ROOM SELLING TECHNIQUES

Rooms are the most perishable item in the hotel. It is also the major revenue earning
department in the hotel. Therefore it requires, adopting Room Selling Techniques so as to
ensure maximum profitability with guest satisfaction and value for money.

Selling is important to:

Employees : No sales, no customers, no jobs

Employees : To encourage customers to come back – Job security

Customers : Provide them with what they want

Hotel : Increased profiles and development of the hotel

Why Guests visit:

Price : Price suit their pocket

Value for money : Feeling that they are receiving the best goods or services for the
money spent by them

Image : Often guests visit an establishment because it enhance the role in

which they see themselves

Fashion : Because it is the “In Place”. The place to be able to boast about.

Staff Attitude : The staffs are friendly and welcoming.

The procedure used to sell a room:

Basically three ingredients are needed to make a sale
1. Product
2. Customer
3. Salesman

Room Selling Techniques:

Upselling:
The word upselling is basically meant to describe the activity of the front desk staff is being
able to sell a higher priced room to a guest who might have come with the concept oh hiring a
comparatively a lower category room. it is also called as sell high. A good reservation
assistant or receptionist with the ability of being a good salesman can persuade a prospective
buyer to buy a higher priced room by projecting the features of a room in such a way that the
prospective buyer is allured to buy the proposed accommodation without raising many
queries.
Upselling also called suggestive selling refers to the situation when selling something more
expensive then what the customer initially planned for, and gives direct and immediate
results, a more satisfied customer and better and more profitable sales to the hotel.
TOP DOWN METHOD: Under top down approach, the most expensive product is
suggested first to the customer, and then gradually coming down to the next less expensive
product is suggested.

BOTTOM UP METHOD: When a guest/ customer requests for the lower range products,
bottom up method is applied, where the next expensive product to the product asked by the
guest is suggested, mentioning the additional features of the product and gradually climbing
up to the most expensive product.

Strategies and Tactics for Upselling

Whether upselling over the telephone or at registration, here are some strategies that your
staff can use to optimize profits from this revenue stream: 

When Upselling Over the Telephone:

 Always offer a menu of options.  Whether starting from the top and working down, or
using a bottom-up approach, the key is to always give guests a menu to chose from. 
Remember that if you don’t mention these options, they effectively don’t exist for the
guest. 

 Adjust your upsell method according to clues provided.   When guests indicate price
sensitivity by saying “what’s your cheapest rate?” use a “bottom-up” approach by
mentioning the lower-rated option first, then referencing only the incremental
difference for the next category such as “For only Rs.1000 more you will receive…”  
When callers convey a urgency and no price sensitivity, such as by saying “Hi, I want
to make a reservation…,” use a top-down approach to mention the higher-rated
categories first.  With this method you can drop-down to the lower categories if
necessary; just be sure to reinforce that even the lower-rated accommodations are still
a good value. 

 Demonstrate the value received. Be as specific as possible. Rather than saying

“Deluxe rooms have a view,” say “In this room you can look out your window and
see…”  Rather than saying “The concierge floor has a lounge,” say  “As a guest on
this floor you’ll have 24-hour access to our executive lounge, which includes…” 
Rather than saying “This is a 600 square foot suite with a fully equipped kitchen,” say
“Since you’re travelling with your family, you’ll love having all the extra space this
suite provides.  And the kitchen will be nice if you want to make breakfast or bring
back take-out one evening.” 

 Avoid making lower-rated options sound undesirable.  This is especially important

when using a top-down approach, or when guests decline the upsell offer.  Be sure to
reinforce the positives of the lower-tiered rooms with statements such as “With this
option you will still receive all the same amenities and services…” or “Although this
room is a little smaller, it still has…” 

 Use personal recommendations that tie into their stated needs. “Since you’re
travelling on business, I’d definitely recommend the executive level rooms…” “Since
you are travelling with a family, our suites would be just perfect for you….”
When Upselling at Registration:
 Reconfirm the pre-reserved accommodation; reassure the guest that they already have
a nice room.  Avoid making the options they’ve already selected sound undesirable
and instead say “Mr. Kumar, we have you confirmed in one of our ______ rooms,
which I’m sure you will find quite comfortable…”

 Probe to find out if the guest is aware of available upgrades with statements such as:
“Did your (travel agent or assistant) have a chance to tell you about our ____ rooms?”
or “May I ask if you are familiar with our suites?”

 Present the availability of upgrades as a unique opportunity by saying: “We’ve had

some of our ____ rooms open up this evening...” or “We’re offering a special rate to
help familiarize our (repeat or first time) guests with our business suites...”

 Utilize incremental sales techniques, especially since in their minds the original room
rate has already been paid.  “For only Rs. 1000 more, I can offer you one of our
_____ rooms.”

Discounts:
Discount means, deduction from the nominal value or price of anything for payment before it
is due or for prompt payment. It also means deduction from the amount of bill. When we talk
of the term discount with relation to sales, this can be called a selling technique. Conference,
tour and travel agency business is chased to increase the occupancy of the rooms particularly
al low business times. Discounted rates of many types are offered to achieve maximum
possible profit.

Various Discounted rates offered by a hotel are:

1. Package Rates: It covers all expenses of accommodation, food, transportation,

sightseeing, entertainment, etc. These are normally for a fixed period of time, e.g. 4
days and 3 nights.
2. Group Rate: Groups are given special discounted rates. A group of 15 – 30 pax is
given one complimentary room for the Group Leader; a group of 30–45 pax is given
two complimentary rooms and for bigger groups the number of complimentary rooms
provided depends on the management of the hotel.
3. Company Guaranteed Rates (CGR): Companies which give regular guaranteed
business to the hotel are given discounts.
4. Promotional Rates: For publicity and promotion special discounted rates are offered
to CIP’s. These discounts are authorized by senior staff members.
5. Off Season Rates: Resorts usually have separate tariff for peak season and off season,
the off season rate being much lower.
6. Staff Discount: In chain hotels, employees may be given discounts on room rates for
hotels belonging to that chain. This is given on space available basis.
7. Airline Crew Discount: For their crew members, airlines are given a fixed
discounted rate.
8. Crib Rate: Reduced rates are applicable for children below five years.
9. Extra Bed: A fixed charge generally one fourth of the room rate.
10. Other hoteliers and FHRAI members are given discount which is normally 20%.