
Group business has historically represented a significant portion of revenues for hotels. Revenues encompass rooms, food and beverage, and all ancillary revenues, and a drop in this segment can have a tremendous impact on a property's profitability. Group business began to plunge in January 2009, when this segment dropped 5.4 million roomnights from the previous year (per STR data). The group average rate for hotels in the United States hit its peak during 2008 at $105.37. Group average rates have dropped since, at an annual average of $103.93 during 2009 and below $100.00 through 2010, according to STR. This article will address some tips for your sales staff to penetrate this market regardless of market conditions to ensure that your property(s) is positioned for profitability. READ MORE