Sales staff in Asia hotels ‘startlingly deficient’

Sales staff at many hotels in the Asia Pacific region are startlingly deficient when it comes to the most basic elements of dealing with MICE enquiries, according to a new study.

A summary of findings revealed that 11% of the hotels failed to respond at all to requests to hold events at their properties.

Of the 45 out of 51 hotels that did respond, 35 didn’t bother to personally contact the prospective client to learn more specific details about the proposed event.

Nearly six out of 10 hotels responded to the query with a generic proposal, providing only a fact sheet and price list.

The sales staff neglected to follow up on 88% of the proposals sent.

The overall average audit score for the Asia Pacific region was only 28% compliant to industry standards, with Hong Kong achieving the highest score of 47% and Bangkok the lowest at just 20%.

"The results are certainly eye-opening, but not totally surprising given the challenges that sales managers in the region face in building and cultivating a professional sales staff," said Ben Flournoy, Vice President of Asia-Pacific for LRA, which provides research services to the global hospitality industry. 

"But the increased emphasis of MICE business as a revenue source for hotels in the region and the pending influx of product in the development pipeline will punish those properties who continue to leave revenue on the table."

A recent study by American Express on meeting planners indicated that 87% expected to maintain or increase their business in the region.  A CBRE Asia Pacific 2012 Market View reported that an estimated 375,000 hotel rooms, most of them in the luxury and upscale market segments, will enter the Asian hotel market over the next two years. 

The LRA Worldwide 2012 MPI Study for Asia-Pacific was conducted out of LRA’s Singapore office at 51 hotels representing 21 different luxury and upscale hotel brands in the following markets: Bali, Bangkok, Beijing, Hong Kong, Guangzhou, Saigon, Shanghai, Shenzhen, Singapore and Taipei. 

The LRA MICE consultants made enquiries into each hotel via phone, email and web portal and evaluated the performance of the sales office and associate from the initial enquiry through the submission of the proposal, follow-up and attempt to close the business against LRA’s best of breed industry standards for MICE sales. 

Consultants were equipped with market- and hotel-appropriate event scenarios, with live "potential client" websites and email addresses to ensure the enquiries appeared legitimate.