Ms. McCullough

Meetings & Conventions

Successful Upselling

By Lynn McCullough, Executive Director, ACOM

More often than not, your meeting planner clients will come to you with a set budget for their event-with set parameters for what they want in terms of food and beverage, decor and logistics. While it is good when clients know what they want, it is also good to suggest ways to enhance their event so that they look even better-and equally as important, these enhancements can improve a facility's bottom line. That is where upselling comes in.

What is Upselling?

In the simplest terms, we are all familiar with upselling: extended warranties on appliance purchases, "supersized" meals at fast food outlets, software additions for computers, blush to go with that foundation at the cosmetic counter, a fancy bowl and fish food for that cute goldfish, and much more.

Upselling is a procedure designed to get more money at the point of sale. By offering your clients an upgraded product or related item at the time they are making their first purchase, you will find they are more receptive if you explain the added benefits of the ancillary product. It may be something they haven't considered, but with savvy salesmanship, upselling is easier to accomplish than a "cold" sale. You will find that clients with whom you are already doing business appreciate your thoughtfulness in offering them an added benefit they didn't know about. Upselling can include:

Limitless Possibilities

Of course, the hospitality industry is more sophisticated than a fast-food outlet with a myriad of opportunities for upselling. One of the most effective methods is bundling products and services. Depending on how many rooms are blocked, for example, if your hotel has a spa, you might offer a 20 percent discount on its services. You will still make a good profit if the services would have gone unused, and it will make the delegates feel like VIPs.

At a casino property, you can sell the planner inexpensive gaming cards (say five dollars face value) to include in the delegate package. They know their delegates will enjoy using them, and the cost to the planner is minimal-but the enhanced revenue they will bring to the casino is obvious. If your facility is on a golf course, discounted greens fees will be welcomed and will encourage more playing time. Suggest hotel catering of a brunch, lunch, snacks or dinner for the group's sightseeing excursions. Offer a cooking class or demo, presented by your chef and including the prepared meal.

Food and beverage service is a gold mine for upselling. Fresh-squeezed juice stations during continental breakfasts are popular and taste much better. Instead of an ordinary coffee break, offer espresso and cappuccino. Add cookies and chocolates at the afternoon breaks for that important lag time lift. For canap'es at cocktail receptions, shrimp beats celery dip every time. If your clients' budget can afford salmon at a plated meal, upgrade it by combining it with filet mignon for a small fraction more (the portions of each will be slightly smaller).

If you are serving wine, explain the virtues of a higher quality vintage. Suggest triple chocolate mousse instead of ice cream for dessert and inexpensive floral arrangements for the table, where the client may not have ordered any decoration. The possibilities for upselling are endless, as long as you don't forget your principle goal-upgrading the delegates' experience and therefore, their enjoyment. Here are a few tips from members of the Association for Convention Operations Management (ACOM).

Real Life Examples

Everyone wants to feel special, and there are people within every group who are a natural audience for upselling. "We try to sell amenities to our meeting planners for their VIP's, board members and guest speakers," said Devon Sloan, CMP, director of events for the Hilton Tucson El Conquistador Golf and Tennis Resort in Tucson, AZ. "Those menus are included in our menu packet so that they can see what we have to offer when we provide them with their banquet menu suggestions. We have several that are higher priced, and one in particular that is lower priced and at a lower cost to us, indicative of the Southwest. That gives them a choice.

Generally, when they have a high number of delegates, this option is the one typically chosen. We are pleased that they have bought something extra, and they feel they have gotten a bargain that their delegates can enjoy."

"We have the benefit of having an event service manager on our floor at all times, and our coffee breaks are always staffed with our coffee break captains," Sloan continued. "We find both positions to be masters at upselling. Since they are around the coffee breaks set out for our groups, they can see what items are being consumed and will suggest to the meeting manager that they may need to provide more coffee or bottled water. We believe that their upsell capabilities totally pay for us to have the breaks staffed at all times."

A Different Kind of Peace Dividend

"I believe upselling is most effective when proposing options that reflect local specialties, as well as special events which make the hotel or city a unique experience," notes Marie Lou Coupal, CMP, director of convention services & catering for the Fairmont The Queen Elizabeth Hotel in Montreal, Canada. And her hotel has a poignant and unique experience to sell.

Back in 1969, Fairmont Le Reine Elizabeth was host to the famous "Bed-In for Peace" of John Lennon and Yoko Ono in suite 1742. The highlight of this unique event was Lennon's composition of "Give Peace a Chance" on June 1, 1969. He wrote the song on the spur of the moment, and converted the suite into a recording studio under the direction of Andr'e Perry.

"One of our servicing managers, Maria Papadomanolakis, worked with a client who wanted to purchase special welcome gifts for their guest speakers but not the usual food and beverage offerings," Coupal explained. "Maria suggested a special gift package based on the John Lennon theme: Calligraphied lyrics to "Give Peace a Chance;" a CD of the song; a limited edition collection of photographs by Gerry Deiter on the Bed-In for Peace; and a signature tea box."

Another Fairmont customer service manager, Francine Morin, CMP, likes to upsell the John Lennon Suite Experience to meeting planners who want to impress a particular VIP: the "Give Peace a Chance Exclusive Package." This is a total package of amenities that includes accommodation in suite 1742, souvenir bed-in pajamas similar to John and Yoko's, a bouquet of white flowers and souvenir white flower petals, a signature tea box, personalized souvenir menus, in-room dining full breakfast and dinner as ordered by John and Yoko, a bottle of wine, calligraphied keepsake lyrics to "Give Peace a Chance," souvenir CDs, a framed souvenir picture of the bed-in, and limousine transfers from the airport! It's enough to make any Beatlemaniac ecstatic. Furthermore, "Fairmont colleagues have been known to dress-up as John and Yoko during a convention to greet attendees!" Coupal added.

The on-site boutiques at La Reine Elizabeth, Fairmont Boutique and Boutique Gourmandise, can design special baskets or gifts to combine hand-made chocolates and other delicacies, which add local flavor to welcome amenities and departure gifts.

Other upselling packages at La Reine Elizabeth include high speed Internet, with an order form which outlines one, two or three day packages, which simplify ordering for the customer. For audio-visual requirements, the in-house AV staff designs a one-page price list, which outlines the most frequently used equipment in easy-to-buy packages, thus insuring the customer books with the hotel rather than using an outside supplier. "This tool is especially appreciated by our customers who book short-term business meetings," Coupal emphasized.

Problem? Solution!

As you can see, the best technique for successful upselling is to know your clients and their needs. This takes planning and experience, rather than mere sales savvy. Look at upselling as problem solving. Does the customer have a problem? Upsell them a solution! As seen by the above examples, successful upselling fulfills previously unrecognized needs. By creating packages and strategies that sell even more of your solution to each client, upselling will improve your client service, your reputation and most importantly, your bottom line!

Lynn McCullough was formerly Executive Director of the Association for Convention Operations Management (ACOM). Ms. McCullough was involved with the direction and management of the association, as well as membership recruitment and retention. She provided substantial direction on strategy and tactical issues, with responsibilities that included Board of Director relations, strategic development, and event planning and management including promotion, set-up and follow-up. Ms. McCullough earned her Bachelor of Journalism degree from the University of Missouri School of Journalism. Ms. McCullough can be contacted at 609-799-3712 or lmccullough@cmasolutions.com Extended Bio...

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