February 19, 2025 • 34 mins
Why do RFPs take forever? Discover the secrets of event negotiation that suppliers wish planners knew!
Ever wondered why your RFPs take so long to get a response? Or how to negotiate hotel contracts like a pro? In this episode of Event Therapy Podcast, we dive deep into the art of negotiation in the events industry—covering everything from RFP timelines to securing the best deal with suppliers.
Our hosts discuss:
✔️ Why hotels take time to respond to RFPs
✔️ How planners can build stronger supplier relationships
✔️ The key negotiation skills every event planner should master
✔️ Tips for evaluating contracts and ensuring a win-win outcome
If you're a corporate event planner, supplier, or meeting professional, this episode is packed with insider insights to help you navigate the negotiation process with confidence!
👉 Don’t forget to LIKE, COMMENT, and SUBSCRIBE for more expert event industry insights!
🎧 Listen now and take your event negotiation strategy to the next level!
🔗 Follow us on LinkedIn & Instagram for more event industry insights!
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:00):
Welcome to Event Therapy Podcast. Today, we're gonna be talking about the art of negotiation, securing the best deal. Well, when it comes to the best deal, I think we're all kind of looking for that win win situation. And I think we can talk through that a little bit today and what that looks like. But I really love to know as a planner burning question, Liz, why don't I get my RFPs back the same day?
(00:01):
Oh, I'm joking. I'm joking. Just jump right into the deep end of the pool there. Here we go. I mean, that's a great question.
I think there's gonna be a different answer based on which, you know, property you're working with, what hotel or what venue you're working with. But, I mean, I think in the hotel business, there could be a lot of reasons for that. But, primarily, most likely, because of the process internally going on at the hotel, and every hotel is different, especially depending on size. I would think the larger the hotel, the bigger the process of evaluating business. But, really, because your business is being evaluated, I mean, that's the simple answer there.
The RFP is obviously critically important, and key elements in that are critically important to be able to assess the value of the business so that we can assure that it makes sense. We can find, you know, if you're flexible, the right dates, to put you into where we can find a win win solution for your program. And the more information, you know, the better, and we can kinda talk through some things if you want, you know, as far as what would be important there. But, really, there's a lot of decision makers depending on who you're working with. In evaluating the business, there's a lot of factors involved.
There could be a lot of potential other pieces of business looking at those exact dates, and you have to, you know, uncover, you know, chatting with other salespeople. Like, is yours happening? Can I bid over these dates? So a lot of different things. But, but, yeah, I mean, your business is really being evaluated, and it's being evaluated oftentimes by more than just the salesperson that you're sending it to.
You know? I think Sorry. Just one thing I wanted to jump in real quick. I was thinking about when you were saying all that. I think sometimes, because a lot of times planners and then even, like, on our end suppliers, we're, like, we're, like, independent business owners.
So in a way, like, the buck stops with us. And occasionally, we forget, like, in a corporate world, there's so many more levels that go up that we kind of forget, like, we are that level up. And so to us, it's like, well, what do you mean you have to ask this person who has to ask this person who has to ask this person who has to ask that person? And even I think sometimes if we're not consciously thinking about it, subconsciously in our mind, we're like, well, this doesn't make sense. Like, I could tell him yes tomorrow, and that's what's that's because I don't have to ask anybody else.
I either say yes or no, and we move forward. So Yeah. Well, I mean, I'm very say that made me think about that. And another good point too about, you know, why you know, it does take a little bit of time, but it does not mean that we cannot respond and say, hey. I just wanna let you know I'm in receipt of your RFP.
I'm looking this over. Excited. Appreciate the opportunity. I think that's super important. You should definitely hear from hotels.
And depending on where you work, I mean, there are requirements, you know, of of how quickly we need to turn around that information. So to be able to turn it around timely, it also includes, like, having the accurate information that we would need to be able to do that. So Well and I think it's, you know obviously, I know I'm not gonna get an RFP back the same day. I was kind of joking around with that, but I do think there needs to be somewhere in between. And I love how you bring up evaluating because I haven't heard it that way before.
Like, yes, in the back of my mind, do I think, oh, you're trying to make sure you have the space available. You can fit my program. But I'm I wasn't really looking at it, and you kinda just made me see that as you're also evaluating, is your piece of business a good fit for the hotel? And I think a lot of people don't realize they just assume, if you have the availability, you should take my program. Right.
But secondarily, I think what you said is very key in that just because I can't get you a response doesn't mean I can't answer you. And I think that's so important, and that is a mark that is missed by a lot of suppliers and hoteliers. Like, you don't necessarily have to get me the exact numbers or the response or the yes right away. But if you can let me know, I'm in receipt of it. I'm gonna review all the details.
I'll let you know if I have any questions so that I can get back with you. Yeah. That goes such a long way. Just that acknowledgment of, like, hey. Yeah.
Like, I got it. We'll we'll work on it. And I value you and your business. Right. Right.
And and and maybe just being fair and establishing a reality of the time frame that it should take to get back. And you you based on your workload or whatever, you kinda know that. I mean, there's always things that pop up we don't expect. But if your workload is heavy, then just saying, you know, like, hey. It may take a little longer than normal, but don't worry.
We have it. We're working on it. We'll get back to you as quickly as we can. And if if workload is not as heavy, then it's like, hey. I can turn this around a little bit quicker for you.
But, I think your point is right. Like, it's just acknowledge just common, normal decency, professional courtesy, acknowledgment of I'm in receipt of it. I'll get it get to it. And by the way, there's so many things out there that can do this for you automatically, truthfully. Yeah.
Like, you can set up auto responders, and I know some people are against those. But there's nothing wrong with an auto responder that says, I've received this. I'll get back to you as quickly as I can because that's what that person on the other end really is just looking for that acknowledgment that it didn't get lost in your spam folder or lost in the Internet world that you actually did receive it. But sometimes that's hard, I think, when you get, like, RFPs through, like, a a a Cvent or another platform to, like, set up this. But to your point, you could have a standard response that you just easily, you know, send out.
And, again, it's showing that client that mutual respect and acknowledging because I I've gone weeks without an acknowledgment, and I honestly write them off and that way. Move on. Yeah. And then and then they reach out to you. They reach out to you and they're and you're like, wait a minute.
I already booked that event at this other property because I didn't hear from you for 2 weeks. So Well, and another part to this is having the accurate information to be able to assess the business. Sometimes, a lot of times, that gets missed, and, you know, I I go back and forth on how much I should be asking asking you for more information. But, like, really, if it's a piece of business that, you know, you've identified, you're looking in our area, or you specifically are looking at our hotel, obviously, I think your response time as a customer will be a little bit more, if it's kinda out to the world as we say and or at least it's going out to a huge market. You know?
You kinda take the information you have and do your best to send a proposal based on that without, you know, emailing the client. And I think every salesperson's different. I think that's how I look at it. So that part of it, you know, really say identifying, like, where you're looking or the property type you're looking at or destination. You know, maybe you do want a beach resort in Florida, but you could be looking at all sorts of different places still knowing that is helpful because I'm like, you know, okay.
Well, that fits my property type. So all those things help narrow down, like, how serious you are too, or are you just out getting a ton of bids? Because, if it's the right fit for the hotel and the hotel really wants to, you know, assesses the business and really wants it, then they're gonna make more of an attempt, obviously, to be in communication with you to get you it back timely and things like that. But if I email you back and say, hey. Wanted to know these few things to be able to really, you know, get you back a proposal that's, you know, fully detailed.
(00:22):
If you don't get back to me timely, I can't get back to you timely. And what I'll do because I'm on a timeline myself, I'm held to certain standards, is I will, after emailing that and not getting a response, say, you know, when I send the proposal, I'll just include in there. Like, I'm submitting the space on all the information you've given me, but I do still have some additional questions. And once you answer those, I'd be able to give you all of the details that you would need. So I think there's just a way around that communication barrier to to get you what you need timely if we both, you know, have other things going on that's slowing that down a little bit.
Well, I think it's, you know, going back to what you're saying, it's communication is key. The more you can communicate, the better response you're gonna get. And I know sometimes what I've done, if there's a particular venue or a couple of venues that I've kinda marched that, wow. Okay. These are, like, my top 3 or my top 2.
I will communicate that, and I will say, you know, really interested in your hotel. Yeah. Really think it'd be a great fit for our program versus if I'm just sending it out to the universe. I'm probably not communicating that. Yeah.
Well, I think a lot of listeners listening to this that our planners would say, like, I don't want every hotel to email me. I don't want all the calls. I am sending this out to a ton of different places because that's what I've been directed to do, or it's big enough that they really do need all those options, or it's multiple cities. You know? I think there's a million reasons why there are a lot of programs that the planners will give you all the details, and that is all you're gonna get.
I mean, it'll even sometimes say, especially, you know, hotels get leads all sorts of ways. But if we're talking SIVA, which it sounds like we're talking right now, like, they'll say on there, like, don't reach out to the client. This is going out to multiple cities, multiple they're getting a lot of information. They want to see it this way. I mean, I think a good salesperson reads all of those notes, make sure they understand, you know, the expectations that the customer has.
And, like I said, I think you can sort of sense as a salesperson, like, what they're looking for. And I kinda know when I need to just take what I got and be happy that with that and send it and, or reach out, you know, to get more information or make that personal connection. So everybody's different. And I do think that, especially when they're working with a 3rd party, I think it seems that, you know, that third party is pretty good about communicating what the customer's expectations are, how they like to be communicated to. And if you're not already doing that, do it, because I think we love to see that.
I think it helps. You know, I know you're not just not responding. You you told me that this is your process. You're out to bid. You're you're gonna, you know, shortlist on these dates, and and a broad range of that is obviously fine.
But I think that helps. If you are one of those planners that wants to limit communication, you've sent this out to a lot of places, you don't want a ton of phone calls, because I meet so many people that are like that. They're like, I gave you everything. Don't ask all these questions. You know what I mean?
Not as nicely as can be, but I totally get it, and I respect that. Saying that in the RFP, I think, is important. I love that. Yeah. Because it's so true.
There are so many times where it's like you get inundated by these emails and these phone calls. And if you have sent it out to a a majority of, you know, different venues, that can get overwhelming Mhmm. Especially if your inbox is just getting flooded that way. I'm a little confused. If you send it to 20 people, why would you not expect to hear back from 20 people?
I think she means, like, with a bunch of extra questions and not just responses. Oh, gotcha. Okay. Okay. Okay.
Because I'm sitting here thinking, like, a lot of this to me I'll get a little woo woo for a second, but a lot of this to me is is sort of in a way, I think, part of society becoming this instantaneous answer. I want answers now. I want something new now. I want this now. And I think it's just a matter of, like, remembering that there is a process and but it's a mutual respectful process.
Like, the person asking for the information, has to convey it in a way that the person receiving the information needs it. Not the way I think you need it, but the way you tell me you need it. Now maybe you haven't told me how you need it yet, and that's okay. So that's not your fault yet. No.
But, like, if I come back to you again, if I come to you with an RFP and you say, hey. This is good, but, I also need blah blah blah blah blah and whatever blah blah blah blah is, the next time I come with you with an RFP, I should already know in my head to do that because I know you're gonna need that. And then it streamlines that situation. But you also have that responsibility of understanding that maybe I didn't know that you needed those things. Right?
So I think that's where we kinda get lost sometimes in all of this is, like, we forget that not everybody knows what the other person's responsibilities, not, needs and job is. Alright. And we have to be willing to just be a little bit more open minded and a little bit more respectful to the fact that if I have not worked with you yet, I don't know what your process is. And by the way, especially if it's somebody or a property that you really wanna work with, the smartest thing I think that any of us can do is get to know the way to work with that property so that we can we cannot get mad about something that end ultimately ends up probably being our own fault. Well, yeah.
And I I think it's a little different when you look at it as a planner and supplier and a planner and, like, a hotelier. Yeah. Especially if you're a planner who is going to different markets Yeah. And you're having to source new venues. It's you know, we're trying to narrow down.
We're looking at room rate. We're looking at Yeah. F and b minimums. We're seeing what concessions you're willing to give. We're, you know, kind of high level at first.
So many factors. Really trying to look at all those factors. And then from there, kind of shortlist it to Yep. Your your tops. Then your tops, you are gonna go back with additional questions, dig a little deeper.
But you don't wanna dig a little deeper with 30 properties. Yeah. Yeah. It's a little bit different. You know, and you don't want 30 properties.
You know, and I think from a planner standpoint, when you have a hotelier, when you're like, I've sent you the RFP, you should at least be able, based off that, and correct me if I'm wrong, be able to give me a room rate Mhmm. My f and b minimum, and what general concessions Yeah. You're, you know, you're able to make. Now, of course, that can evolve in the conversation and negotiations, but you can give me, like, a general idea versus having to come back where I've had some hotels who were, like, yeah. But then I also need you to answer these 50 questions.
Mhmm. And that's where I get frustrated. Like, I'm not at that point with you. That's fair. Yeah.
(00:43):
That's fair. I've seen that. Where I think just going back to the win win part of this, like, where I think we can start this win win, not, you know, win win, I feel like people use that in the closing stages. But in the beginning, upfront like this, like Yeah. We want to be in that top 3.
Right? So how do I even get there? How do I even know if it's the right business? The more information that you can give us to be able to say, like history. History.
Where have you been? What are the properties? Like, we can start to assess. Okay. They've we know the other prop okay.
They're they're used to going to 4 Diamond, you know, properties, or they're used to downtown city or whatever, you know, might be making this look more and more like you're a great fit for them as this as the hotel. Like, I'm like, this this program size makes sense. Like, this this is a great dates for us. You know? These are need dates for us.
Like, the more that we can get an understanding of what you're looking for to be able to get you a really good quote upfront so that we can make that shortlist because my job is really to position your piece of business to the hotel as profitable, and why would we why would we give all those concessions? You know? Why are we willing to, you know, reduce the rate? Because, I mean, if you're got a ton of food and beverage, you know, that may offset your rate a tiny bit, or or, you know, every hotel's gonna be different depending on the type of property that they are. But, like, help me help you.
Like, give me all the facts. Show me your value. I think that so many planners and I know I'm saying this on the totally opposite side of the relationship. But, like, so many planners wanna be, like, pulled back on so many things. And I'm like, and it depends on what market we're in, a buyer or seller's market, but I still think it's important to show your program's value.
Like, what are you bringing to the hotel? Well, I'm bringing hundreds of rooms. I'm bringing all this food and beverage. I'm bringing, ancillary services, golf, spa. Like, these are all things that the hotel's looking at as, like, wow.
They're going to be spending a lot of money in the hotel. That's gonna help us when we're looking at your room rate, your minimums, like, those types of things. So you wanna show value, not necessarily, like and I'm giving you all of these things, and I want all of these things now also as a concession. Like, I think some concessions are fine, but, like, what's what's most important to you in the concessions? You know?
And then what, as a hotel can I give you that our value adds that would be a win win Mhmm? For you, but that aren't necessarily, you know, just giving away everything. You know? When you see wave this, wave that, not this, not that, no attrition. It just becomes, like, how am I to go position this in the hotel?
Like, this is a great thing for us. You're you're like you're like, so where are we making money? Right. And real risky. You know?
So you just have to be careful, like, if that's a absolutely we we will not go unless thing. And, you know, there's situations like that, you know, if you're a state entity or or various situations. Right? But, like, for the most part, you wanna position this in a way so that I can go to bat for you, to drive a win win scenario. Like, they're gonna spend a ton of food and beverage with us.
These are great dates. They're flexible. I can move them into this Sunday pattern that's so great for us. And then in return, I'll be able to give you, you know, some of the things that you're looking for. So I think disclosing those things is so important, to drive that win win initially so that we can make the top 3.
And now you have a great property that wants your business that you're, you know, sliding into the top 3. Fair enough. You make a so you're saying I shouldn't throw my entire wish list into the art. And I say that one. Some of that.
Yes, sir. I say that for negotiating. There's probably people that was wholly disagree with me, but I do not mind when we've gotten to close to a deal or even, honestly, if we're, like, in a contract already, and there's a couple more things that you want. Like, I don't mind that because if I'm looking at it and there are some places where I still may be able to shave I mean, I don't wanna necessarily say that, like, major deal breaker, like but I'd I'm okay with that. It can't be like a, oh, hey, we never told you, like, we need all these things or we're not able to move forward, and we're holding space.
We're at a contract. But and I think probably a lot of my hotel friends would disagree with that, but I don't necessarily mind if there's some things that come in the end. If I can help make you look good and there's and I know they're not going to be, you know, major costs on on my hotel, and they're not major changes to what we have looked at, you know, small things. I think that can help seal the deal on a win win. It can also put you to number 1.
Yeah. You know? Well, in a lot of ways, you know, it's it's just an old adage of, like, there's a big difference between what you're doing and what you say you're gonna do. Mhmm. If you're are like, if you're already spending money and and, like, already, like, this is a serious thing that I would feel from your end, you would be more apt to say, well, you know, this concession that they really want, it's not really gonna hurt us on the bottom line that bad.
We can go ahead and get it. Because I could come to you and say, hey. I wanna spend 1,000,000 of dollars with you all day long, but I never have yet. Yeah. Then it's like, why why would you give me the farm when I haven't even done anything?
I was thinking of something else too, and and I'm I'm an outsider looking in in a lot of this. So I'm curious to know because both of y'all have been in the industry for a while. Is this, like, been an ongoing thing for, like, years, or is it something changes. Has it gotten better or worse? Like, what's the industry.
Process I mean, I'm just curious if there was, like, a solution to, you got you know, I've it's well documented. I'm a solutions guy. So I'm sitting over in my head, like Yeah. How can we make this better? Could there be a way where we could is there a standardized?
Like, these are the things that always need to be known, and if I don't know, I'm just It's hard because it goes back to, like, a buyer seller market That's a good point. Yeah. That Liz was saying. So sometimes there are times that I feel like the planner has more of the upper hand, and they can kind of Yeah. Make some of more of those, like, demands for concessions.
But then there's other times where hoteliers are like, we got tons of business over here. So Right. Yeah. We don't need to make those concessions. And that's fair.
(01:04):
I mean, I I really think that this when I'm at events, it comes up so much. I think if you go to the WECs, any industry event, like, when salespeople get to talk to planners, this conversation is so healthy because I think just talking about it, having a podcast about it, you know, just being open about it. And like you said initially, I think just understanding why each side would have, you know, the various reasoning as to why and, like, figuring out how we can best communicate. I think in a seller's market with high volume, like, post COVID when hotel salespeople were not back at work, and there was just a high volume of leads and and no people to do the job, I think that was a really unfortunate time for our side of the industry because there was a lot of business coming in, but not enough people to respond to it also. I think a little bit of, you know, I saw happening in the industry was like, nope.
Doesn't you know, there's just too much volume coming in to handle. I hate that. That's just not me personally. I could never, but I definitely saw that happening in our industry. And that's that will shift.
But, I mean, I think Cvent is a great tool for, for this, you know, people who use Cvent. When you work for brands, you know, there's ways that you get that information from the brand or from your, you know, your brand salesperson kind of so anytime you're working I love working with third parties. I think third parties do a great job because they educate themselves to understand these things, and they can then educate their customer because not everyone we're working with is a professional meeting planner. Oftentimes, they're the marketing director. They're the, you know, something else in their company.
Drew the short straw and said, you go get it figured out. Yeah. So, you know, that continuing I mean, in those scenarios, it's great to work with a third party because you have that subject matter expert, you know, there to help with the negotiation. So I think it just depends on how the information's coming into you. There are some great formats that really help with that.
If not, like, if I'm getting a phone call or an email directly, you know, through our website or something like that, I mean, those are the lengthier. You know? They don't really know what to ask, you know, and I'm having to drive that conversation a little bit more to get the information that I need. But those are usually a quick communication. Right?
Because they came through your website. Like, they're interested. They're interested in they're not really tire kicking. Like, they're pretty serious. Yeah.
So I think I think you bring up a good point that, you know, obviously, communication is key. Like, we've said this a couple times. Having the conversation like we are now in this format, having the conversation in, you know, a bigger like a conference format or a meetup format. But I think also another layer of it is the willingness to change, the willingness to improve. I think with with that falls short on us a lot of times because the longer you're in business, the more you get set in your ways and the more you get into, like, this is how we do it or this is how I do it.
Now, again, I, I don't I speak from owning my own business, so I have a little bit more flexibility than somebody who works for a corporate job. So, if you work for a company, then there are gonna be those, you know, kind of parameters and boxes that you have to stay within. But from an industry wide standpoint, if there are solutions that make it a win win for planner and for salesperson and or hotelier or however you look at it, then that's the that's the kind of the end game that I think we all should be looking at is, like, how can we how can we really make necessary changes, but maybe we remove the word changes and add the word improvements. How can we make these necessary improvements that satisfies everybody and satisfies the whole solution? Because at the end of the day, the more time you spend, like, as a salesperson, the more time you spend on this event is the less time you have to spend on other events that are coming through, and no one event is gonna make or break your entire, you know, year's worth of what you're looking to accomplish, typically.
As much as we might think because it's our event that it's going to, you know what I mean, it's not going to necessarily break or break make or break your entire year. So the Yeah. The quicker a solution can get to, you know, to that that both people could get to, the faster you can because I always think about, like, that part of the process is probably the most friction part of the process. Right? Because think about it.
Once you have, at least in a typical ideal world, once you have picked your venue and you've picked what you're gonna do, then it becomes fun because then you're like, alright. I know where we're gonna be. Now let's start thinking about what's it gonna look like. What's it gonna sound like? What's it gonna feel like?
Like, you can't even get into that process until you know where you're gonna be. So a lot of ways, I feel like this is, like, the biggest friction point of the almost maybe the whole, you know, engagement unless, of course, things go wrong later on that are unforeseeable. But I'm again, I'm just kinda talking in a in a Well, you you bring up a good point. It could be another entire conversation. It's at that point, it's just a transaction.
I'm a email. You know, like, it's it is to especially if you're just going straight through Cvent, Like, it is not a relationship at all yet. Yeah. And how can you position it to be that? I think would be something that we could look at, you know, in another episode.
Like, how can that because we don't trust you don't trust me yet. I haven't met you yet. Like, there's just no rapport built yet in that relationship. The relationship starts to build, obviously, the venue, and you can start to create the event, and everybody's, you know, firing on all cylinders in the partnership. But that's bring up a really good point.
It is really just dates and space and rates, and it's difficult. And I think, you know, good salespeople or the right business for the right hotel can overcome that early on, and that's probably what makes a successful, you know, ultimate partnership there. But that can be difficult. And it's part of the reason why I I I kinda don't like that. You don't you don't hear that know, like, and trust philosophy that much anymore, and it's inherent in us.
Whether we realize it or not, it is inherent in us as human beings. If I don't know you, I don't know if I like you. I definitely don't know if I can trust you, whether that's a business relationship or a personal relationship. We are built that way as human beings, and you don't hear that talked about as much for, like, the newer generation of people in the workforce. And so there is this inherent thing going on in them that if it hasn't been brought up to them and they haven't really been exposed to that concept, they don't even necessarily know what's going on, but it's going on.
And so it's creating friction. Right? Because they're thinking, well, I don't even know you. Why why do I wanna respond? You don't even know you.
Right? They're thinking that even if they don't verbalize that. That's what they're thinking, and then that creates that friction. So to your point, I think you're right. I think it's, you know, how how do you go about and and, you know, if you're if you're reaching out to 20 or 30 people, you don't have time to make friends with 20 or 30 people.
I get that. But switch to order. Right? But, like, at need to get to like us. Some at some point Interest them.
Yeah. Like, at some point, there has to be that, and and you brought it up earlier. I think that's a good idea. Like, you're you're you're throwing it out there. You're whittling it down.
And then once you whittle it down, maybe take some time to really build a little rapport, build a little bit of a you know, don't make it so transactional. Make it a a little bit more relationship. Mhmm. Well, I think, yeah, y'all brought up a lot of different, points and and kind of looking at it then starting with the industry as a whole No. Hasn't changed.
No. That's and that's sad. Honestly, that's sad. Honestly, I don't know that that's something that on our level, we would be able to make that change because every hotel is gonna be different. It depends on the market, depends on the size, depends on the demand.
(01:25):
Like, there's so many factors. So it's very hard to streamline that that those price points and everything is based on is their availability. If there's a lot of open inventory, you can get a better deal. Yeah. So sometimes I've had salespeople tell me that, and that is intriguing to me to know that, okay, Well, we can really work some things going on because you don't have you know, this is a slower time.
That could leg up somebody, in in my when I'm looking. I think in the beginning, we're really just trying to narrow it down just like the hotel's trying to figure out if it's a good fit. So it really is just kind of an exchange of information. Yep. Once it's whittled down from there and we kind of identify our tops I mean, me, personally, I do try and start to have that relationship and have those conversations.
That's good. And I will tell you, 9 times, hotel that I feel like I have a good relationship. They're responsive to me. They're getting back to me. They may not be even telling me everything I want or giving me everything I want, but they're giving me, hey.
I can't do that, but I can do this. They're really communicating in a fast capacity and building that relationship with me. If I know that you're responsive and I feel like I have a pretty good rapport with you, even if it's via email Mhmm. I'm gonna book you over somebody who even if I've gotta pay you a little more. Well, because in in in both instances, they're showing you what the process is probably gonna look like for the rest of the time.
Why. Because I know if you're easy for me to work with here Yeah. I know it's gonna go good when I book and the communication from there. So it's almost like an insight into the team Mhmm. And how they value me as a program.
Absolutely. And so, again, I think that that kind of bringing it back to that when when, you know, we've talked a lot a lot about kind of the the beginning stage, but I think, really, the when when is it never stops. You're you're constantly even after you sign a contract, trying to work through the program, go through BEOs. But I would say the most significant stage of it is that contract and negotiation. And really going back and forth, and maybe even if it's, to your point, Liz, not a massive, you know, cost on your end, but you can show that little bit of, hey.
I'm willing to make this. And then the other side, then it makes me like, okay. Well, maybe I can agree to this x, y, z, you know, in the contract. That win win is really it it's when both parties feel like they win. And I think so many times, people are like, well, I've gotta win over this person.
Right. Right. Or I've gotta out be you know, the supplier's like, I gotta beat the planner and negotiator. The planner's like, I gotta beat the supplier. Everybody is, like, trying to get this one leg up.
Yeah. You know, they're making that last minute phone call. What else can you throw in? Yeah. It was just just Right at the end of the year.
Yeah. To me, it just is, like, so I don't know. I mean, I love to dive into psychology of that sometime because, like, when you think about I don't know. Just using example, like, when you go to Walmart I don't know. I don't know.
Everybody goes to Walmart. But when you go to Walmart to buy something, you don't, like, grab a shirt and pair of shorts and, you know, socks or something like that, and then go to the cash register and put down the shorts and the t shirt and then say, oh, by the way, can you just throw the socks in and not charge me for them? Like, it's just weird to me that the minute that they're and I understand that there are these are negotiation situations, but it's weird to me that there's something in us that when we know that there's a negotiation, we feel like we have to win that negotiation. But why why can't we just both win? Like, there doesn't have to be a loser for you to be a winner.
Oh, I wanna win. I get it. But I I'm, I have the same mindset. It doesn't have to be a loser. But you see what I'm saying?
Yeah. But but I but I but I don't think everybody thinks that way. Yeah. Because anytime you say I wanna beat the other person, that means you want them to lose. Right?
And I'm not saying you that you're saying that. Right? But but it it's not always easy to get to. I I understand that. But getting to a win win means that somebody doesn't have to lose.
Right. And that's where mutual response the key to balance. And honesty Mhmm. Has to be there. I have to respect the fact that you you have, you know, your numbers you have to meet or you have your budget you have to meet and so on and so forth.
And then I'm asking the person on the other end of respect, like, for me as a as a supplier. And I know we might not be able to get into this on this podcast, but in the future, we'll talk more about this. But, you know, as a even just as a small business owner, like, there's a certain threshold that I have to meet where it becomes a point where I'm not even making any money. So why am I even even doing this? And a lot of times, the misunderstanding comes in because somebody and this is this is kind of a conversation you and I were having before off off, off the podcast about this fact that if you don't even have a context of the value of something, then it's also not fair to assume that something is too expensive or not expensive enough or or vice versa.
It could be the way. Right? Great point. Like, if you don't have a context, then you have to either be willing to educate yourself to understand if somebody chat GBT. Or you you well, chat GBT will help you.
Yeah. A 100%. Yeah. Yeah. No.
To that point, though, I do always list the value of any concession, Like, that it would typically be this, but this is what I get. Because if I tell you I'm gonna discount something to x or I'm gonna well, what was it originally? Or what would I normally have been? I think that is so important. Yeah.
And sometimes often missed in the even the proposal phase is like, what is the value of that? Like, if you're gonna discount audio visual, if you're gonna throw in something Yeah. You know, some mics or some editing that maybe wasn't originally included, like, what was that value? Because And then to take it a step further is that I I need you as the person receiving that. So we'll take editing as an example.
Right? If I say, well, we're gonna throw in some editing for you, and the typical value of that is $1800. Again, I'm just throwing a number out here. There still is this step for you to know that what I'm telling you is true. Like, is it really worth $1800?
(01:46):
You see what I'm saying? Yeah. Like, number 1, I shouldn't take advantage you of a customer and say, oh, that's typically $5,000 if it's really only $1800. I guess that's my point I'm making. Right?
But then also the responsibility on your end of the person that I'm telling that to to understand that, oh, wow. This is a good deal. And not just be like, ah, there's no way. It's probably only, like, $600. They probably tripled it or whatever.
You know what I mean? Like, that is the typical thing that I see happen a lot, and I think that's a that's a shift I'd love to see kind of change. And because we do have so much information available to us now, you brought up chat gbt. I mean, there that is a tool that we, you know, we could find out. Like, I could go on chat GBT right now, and I could take your proposal that you gave me and say, you know, based on comps and based on stuff in the area, is this pretty reasonable?
Are they blowing me out of the water? And that's my responsibility to do that because then I can come back to you educatedly and say, well, hey. Listen. I looked looked up some comps in the area, and, actually, this is a great rate. Thank you.
Or why are you charging me 3 times more than all of your competitors right here? And you may have a valid answer for that, and that valid answer might work for me. Mhmm. But that's just, you know, being more involved in this situation and not just being so assumptive, I think, is the point I'm trying to make. I don't know.
Hopefully. Well, I think we could talk about this all day. I know. I know. I'm sorry.
I went on a rant. I know. I'm sorry. No. No.
I think we have a a, you know, couple other podcast ideas, but I think that at the end of the day, the win win and the biggest mindset is somebody doesn't have to lose for you to win. And so maybe we can't change the process and the structure that's been around so long, but maybe we can start making changes and little steps towards that Mhmm. Of, you know, changing our mindset, changing our perspective, and realizing somebody doesn't have to lose to win. It can be a win win situation and be a successful negotiation. And at the end of the day, if it is a win win, then I think both parties are more invested, more involved, and overall, it leads to a more successful event, which is the end goal for all of us.
So thank you for all tuning in today. Make sure to follow us at event therapy podcast, and we'll catch you at the next
Welcome to Event Therapy Podcast. Today, we're gonna be talking about the art of negotiation, securing the best deal. Well, when it comes to the best deal, I think we're all kind of looking for that win win situation. And I think we can talk through that a little bit today and what that looks like. But I really love to know as a planner burning question, Liz, why don't I get my RFPs back the same day?
(00:01):
Oh, I'm joking. I'm joking. Just jump right into the deep end of the pool there. Here we go. I mean, that's a great question.
I think there's gonna be a different answer based on which, you know, property you're working with, what hotel or what venue you're working with. But, I mean, I think in the hotel business, there could be a lot of reasons for that. But, primarily, most likely, because of the process internally going on at the hotel, and every hotel is different, especially depending on size. I would think the larger the hotel, the bigger the process of evaluating business. But, really, because your business is being evaluated, I mean, that's the simple answer there.
The RFP is obviously critically important, and key elements in that are critically important to be able to assess the value of the business so that we can assure that it makes sense. We can find, you know, if you're flexible, the right dates, to put you into where we can find a win win solution for your program. And the more information, you know, the better, and we can kinda talk through some things if you want, you know, as far as what would be important there. But, really, there's a lot of decision makers depending on who you're working with. In evaluating the business, there's a lot of factors involved.
There could be a lot of potential other pieces of business looking at those exact dates, and you have to, you know, uncover, you know, chatting with other salespeople. Like, is yours happening? Can I bid over these dates? So a lot of different things. But, but, yeah, I mean, your business is really being evaluated, and it's being evaluated oftentimes by more than just the salesperson that you're sending it to.
You know? I think Sorry. Just one thing I wanted to jump in real quick. I was thinking about when you were saying all that. I think sometimes, because a lot of times planners and then even, like, on our end suppliers, we're, like, we're, like, independent business owners.
So in a way, like, the buck stops with us. And occasionally, we forget, like, in a corporate world, there's so many more levels that go up that we kind of forget, like, we are that level up. And so to us, it's like, well, what do you mean you have to ask this person who has to ask this person who has to ask this person who has to ask that person? And even I think sometimes if we're not consciously thinking about it, subconsciously in our mind, we're like, well, this doesn't make sense. Like, I could tell him yes tomorrow, and that's what's that's because I don't have to ask anybody else.
I either say yes or no, and we move forward. So Yeah. Well, I mean, I'm very say that made me think about that. And another good point too about, you know, why you know, it does take a little bit of time, but it does not mean that we cannot respond and say, hey. I just wanna let you know I'm in receipt of your RFP.
I'm looking this over. Excited. Appreciate the opportunity. I think that's super important. You should definitely hear from hotels.
And depending on where you work, I mean, there are requirements, you know, of of how quickly we need to turn around that information. So to be able to turn it around timely, it also includes, like, having the accurate information that we would need to be able to do that. So Well and I think it's, you know obviously, I know I'm not gonna get an RFP back the same day. I was kind of joking around with that, but I do think there needs to be somewhere in between. And I love how you bring up evaluating because I haven't heard it that way before.
Like, yes, in the back of my mind, do I think, oh, you're trying to make sure you have the space available. You can fit my program. But I'm I wasn't really looking at it, and you kinda just made me see that as you're also evaluating, is your piece of business a good fit for the hotel? And I think a lot of people don't realize they just assume, if you have the availability, you should take my program. Right.
But secondarily, I think what you said is very key in that just because I can't get you a response doesn't mean I can't answer you. And I think that's so important, and that is a mark that is missed by a lot of suppliers and hoteliers. Like, you don't necessarily have to get me the exact numbers or the response or the yes right away. But if you can let me know, I'm in receipt of it. I'm gonna review all the details.
I'll let you know if I have any questions so that I can get back with you. Yeah. That goes such a long way. Just that acknowledgment of, like, hey. Yeah.
Like, I got it. We'll we'll work on it. And I value you and your business. Right. Right.
And and and maybe just being fair and establishing a reality of the time frame that it should take to get back. And you you based on your workload or whatever, you kinda know that. I mean, there's always things that pop up we don't expect. But if your workload is heavy, then just saying, you know, like, hey. It may take a little longer than normal, but don't worry.
We have it. We're working on it. We'll get back to you as quickly as we can. And if if workload is not as heavy, then it's like, hey. I can turn this around a little bit quicker for you.
But, I think your point is right. Like, it's just acknowledge just common, normal decency, professional courtesy, acknowledgment of I'm in receipt of it. I'll get it get to it. And by the way, there's so many things out there that can do this for you automatically, truthfully. Yeah.
Like, you can set up auto responders, and I know some people are against those. But there's nothing wrong with an auto responder that says, I've received this. I'll get back to you as quickly as I can because that's what that person on the other end really is just looking for that acknowledgment that it didn't get lost in your spam folder or lost in the Internet world that you actually did receive it. But sometimes that's hard, I think, when you get, like, RFPs through, like, a a a Cvent or another platform to, like, set up this. But to your point, you could have a standard response that you just easily, you know, send out.
And, again, it's showing that client that mutual respect and acknowledging because I I've gone weeks without an acknowledgment, and I honestly write them off and that way. Move on. Yeah. And then and then they reach out to you. They reach out to you and they're and you're like, wait a minute.
I already booked that event at this other property because I didn't hear from you for 2 weeks. So Well, and another part to this is having the accurate information to be able to assess the business. Sometimes, a lot of times, that gets missed, and, you know, I I go back and forth on how much I should be asking asking you for more information. But, like, really, if it's a piece of business that, you know, you've identified, you're looking in our area, or you specifically are looking at our hotel, obviously, I think your response time as a customer will be a little bit more, if it's kinda out to the world as we say and or at least it's going out to a huge market. You know?
You kinda take the information you have and do your best to send a proposal based on that without, you know, emailing the client. And I think every salesperson's different. I think that's how I look at it. So that part of it, you know, really say identifying, like, where you're looking or the property type you're looking at or destination. You know, maybe you do want a beach resort in Florida, but you could be looking at all sorts of different places still knowing that is helpful because I'm like, you know, okay.
Well, that fits my property type. So all those things help narrow down, like, how serious you are too, or are you just out getting a ton of bids? Because, if it's the right fit for the hotel and the hotel really wants to, you know, assesses the business and really wants it, then they're gonna make more of an attempt, obviously, to be in communication with you to get you it back timely and things like that. But if I email you back and say, hey. Wanted to know these few things to be able to really, you know, get you back a proposal that's, you know, fully detailed.
(00:22):
If you don't get back to me timely, I can't get back to you timely. And what I'll do because I'm on a timeline myself, I'm held to certain standards, is I will, after emailing that and not getting a response, say, you know, when I send the proposal, I'll just include in there. Like, I'm submitting the space on all the information you've given me, but I do still have some additional questions. And once you answer those, I'd be able to give you all of the details that you would need. So I think there's just a way around that communication barrier to to get you what you need timely if we both, you know, have other things going on that's slowing that down a little bit.
Well, I think it's, you know, going back to what you're saying, it's communication is key. The more you can communicate, the better response you're gonna get. And I know sometimes what I've done, if there's a particular venue or a couple of venues that I've kinda marched that, wow. Okay. These are, like, my top 3 or my top 2.
I will communicate that, and I will say, you know, really interested in your hotel. Yeah. Really think it'd be a great fit for our program versus if I'm just sending it out to the universe. I'm probably not communicating that. Yeah.
Well, I think a lot of listeners listening to this that our planners would say, like, I don't want every hotel to email me. I don't want all the calls. I am sending this out to a ton of different places because that's what I've been directed to do, or it's big enough that they really do need all those options, or it's multiple cities. You know? I think there's a million reasons why there are a lot of programs that the planners will give you all the details, and that is all you're gonna get.
I mean, it'll even sometimes say, especially, you know, hotels get leads all sorts of ways. But if we're talking SIVA, which it sounds like we're talking right now, like, they'll say on there, like, don't reach out to the client. This is going out to multiple cities, multiple they're getting a lot of information. They want to see it this way. I mean, I think a good salesperson reads all of those notes, make sure they understand, you know, the expectations that the customer has.
And, like I said, I think you can sort of sense as a salesperson, like, what they're looking for. And I kinda know when I need to just take what I got and be happy that with that and send it and, or reach out, you know, to get more information or make that personal connection. So everybody's different. And I do think that, especially when they're working with a 3rd party, I think it seems that, you know, that third party is pretty good about communicating what the customer's expectations are, how they like to be communicated to. And if you're not already doing that, do it, because I think we love to see that.
I think it helps. You know, I know you're not just not responding. You you told me that this is your process. You're out to bid. You're you're gonna, you know, shortlist on these dates, and and a broad range of that is obviously fine.
But I think that helps. If you are one of those planners that wants to limit communication, you've sent this out to a lot of places, you don't want a ton of phone calls, because I meet so many people that are like that. They're like, I gave you everything. Don't ask all these questions. You know what I mean?
Not as nicely as can be, but I totally get it, and I respect that. Saying that in the RFP, I think, is important. I love that. Yeah. Because it's so true.
There are so many times where it's like you get inundated by these emails and these phone calls. And if you have sent it out to a a majority of, you know, different venues, that can get overwhelming Mhmm. Especially if your inbox is just getting flooded that way. I'm a little confused. If you send it to 20 people, why would you not expect to hear back from 20 people?
I think she means, like, with a bunch of extra questions and not just responses. Oh, gotcha. Okay. Okay. Okay.
Because I'm sitting here thinking, like, a lot of this to me I'll get a little woo woo for a second, but a lot of this to me is is sort of in a way, I think, part of society becoming this instantaneous answer. I want answers now. I want something new now. I want this now. And I think it's just a matter of, like, remembering that there is a process and but it's a mutual respectful process.
Like, the person asking for the information, has to convey it in a way that the person receiving the information needs it. Not the way I think you need it, but the way you tell me you need it. Now maybe you haven't told me how you need it yet, and that's okay. So that's not your fault yet. No.
But, like, if I come back to you again, if I come to you with an RFP and you say, hey. This is good, but, I also need blah blah blah blah blah and whatever blah blah blah blah is, the next time I come with you with an RFP, I should already know in my head to do that because I know you're gonna need that. And then it streamlines that situation. But you also have that responsibility of understanding that maybe I didn't know that you needed those things. Right?
So I think that's where we kinda get lost sometimes in all of this is, like, we forget that not everybody knows what the other person's responsibilities, not, needs and job is. Alright. And we have to be willing to just be a little bit more open minded and a little bit more respectful to the fact that if I have not worked with you yet, I don't know what your process is. And by the way, especially if it's somebody or a property that you really wanna work with, the smartest thing I think that any of us can do is get to know the way to work with that property so that we can we cannot get mad about something that end ultimately ends up probably being our own fault. Well, yeah.
And I I think it's a little different when you look at it as a planner and supplier and a planner and, like, a hotelier. Yeah. Especially if you're a planner who is going to different markets Yeah. And you're having to source new venues. It's you know, we're trying to narrow down.
We're looking at room rate. We're looking at Yeah. F and b minimums. We're seeing what concessions you're willing to give. We're, you know, kind of high level at first.
So many factors. Really trying to look at all those factors. And then from there, kind of shortlist it to Yep. Your your tops. Then your tops, you are gonna go back with additional questions, dig a little deeper.
But you don't wanna dig a little deeper with 30 properties. Yeah. Yeah. It's a little bit different. You know, and you don't want 30 properties.
You know, and I think from a planner standpoint, when you have a hotelier, when you're like, I've sent you the RFP, you should at least be able, based off that, and correct me if I'm wrong, be able to give me a room rate Mhmm. My f and b minimum, and what general concessions Yeah. You're, you know, you're able to make. Now, of course, that can evolve in the conversation and negotiations, but you can give me, like, a general idea versus having to come back where I've had some hotels who were, like, yeah. But then I also need you to answer these 50 questions.
Mhmm. And that's where I get frustrated. Like, I'm not at that point with you. That's fair. Yeah.
(00:43):
That's fair. I've seen that. Where I think just going back to the win win part of this, like, where I think we can start this win win, not, you know, win win, I feel like people use that in the closing stages. But in the beginning, upfront like this, like Yeah. We want to be in that top 3.
Right? So how do I even get there? How do I even know if it's the right business? The more information that you can give us to be able to say, like history. History.
Where have you been? What are the properties? Like, we can start to assess. Okay. They've we know the other prop okay.
They're they're used to going to 4 Diamond, you know, properties, or they're used to downtown city or whatever, you know, might be making this look more and more like you're a great fit for them as this as the hotel. Like, I'm like, this this program size makes sense. Like, this this is a great dates for us. You know? These are need dates for us.
Like, the more that we can get an understanding of what you're looking for to be able to get you a really good quote upfront so that we can make that shortlist because my job is really to position your piece of business to the hotel as profitable, and why would we why would we give all those concessions? You know? Why are we willing to, you know, reduce the rate? Because, I mean, if you're got a ton of food and beverage, you know, that may offset your rate a tiny bit, or or, you know, every hotel's gonna be different depending on the type of property that they are. But, like, help me help you.
Like, give me all the facts. Show me your value. I think that so many planners and I know I'm saying this on the totally opposite side of the relationship. But, like, so many planners wanna be, like, pulled back on so many things. And I'm like, and it depends on what market we're in, a buyer or seller's market, but I still think it's important to show your program's value.
Like, what are you bringing to the hotel? Well, I'm bringing hundreds of rooms. I'm bringing all this food and beverage. I'm bringing, ancillary services, golf, spa. Like, these are all things that the hotel's looking at as, like, wow.
They're going to be spending a lot of money in the hotel. That's gonna help us when we're looking at your room rate, your minimums, like, those types of things. So you wanna show value, not necessarily, like and I'm giving you all of these things, and I want all of these things now also as a concession. Like, I think some concessions are fine, but, like, what's what's most important to you in the concessions? You know?
And then what, as a hotel can I give you that our value adds that would be a win win Mhmm? For you, but that aren't necessarily, you know, just giving away everything. You know? When you see wave this, wave that, not this, not that, no attrition. It just becomes, like, how am I to go position this in the hotel?
Like, this is a great thing for us. You're you're like you're like, so where are we making money? Right. And real risky. You know?
So you just have to be careful, like, if that's a absolutely we we will not go unless thing. And, you know, there's situations like that, you know, if you're a state entity or or various situations. Right? But, like, for the most part, you wanna position this in a way so that I can go to bat for you, to drive a win win scenario. Like, they're gonna spend a ton of food and beverage with us.
These are great dates. They're flexible. I can move them into this Sunday pattern that's so great for us. And then in return, I'll be able to give you, you know, some of the things that you're looking for. So I think disclosing those things is so important, to drive that win win initially so that we can make the top 3.
And now you have a great property that wants your business that you're, you know, sliding into the top 3. Fair enough. You make a so you're saying I shouldn't throw my entire wish list into the art. And I say that one. Some of that.
Yes, sir. I say that for negotiating. There's probably people that was wholly disagree with me, but I do not mind when we've gotten to close to a deal or even, honestly, if we're, like, in a contract already, and there's a couple more things that you want. Like, I don't mind that because if I'm looking at it and there are some places where I still may be able to shave I mean, I don't wanna necessarily say that, like, major deal breaker, like but I'd I'm okay with that. It can't be like a, oh, hey, we never told you, like, we need all these things or we're not able to move forward, and we're holding space.
We're at a contract. But and I think probably a lot of my hotel friends would disagree with that, but I don't necessarily mind if there's some things that come in the end. If I can help make you look good and there's and I know they're not going to be, you know, major costs on on my hotel, and they're not major changes to what we have looked at, you know, small things. I think that can help seal the deal on a win win. It can also put you to number 1.
Yeah. You know? Well, in a lot of ways, you know, it's it's just an old adage of, like, there's a big difference between what you're doing and what you say you're gonna do. Mhmm. If you're are like, if you're already spending money and and, like, already, like, this is a serious thing that I would feel from your end, you would be more apt to say, well, you know, this concession that they really want, it's not really gonna hurt us on the bottom line that bad.
We can go ahead and get it. Because I could come to you and say, hey. I wanna spend 1,000,000 of dollars with you all day long, but I never have yet. Yeah. Then it's like, why why would you give me the farm when I haven't even done anything?
I was thinking of something else too, and and I'm I'm an outsider looking in in a lot of this. So I'm curious to know because both of y'all have been in the industry for a while. Is this, like, been an ongoing thing for, like, years, or is it something changes. Has it gotten better or worse? Like, what's the industry.
Process I mean, I'm just curious if there was, like, a solution to, you got you know, I've it's well documented. I'm a solutions guy. So I'm sitting over in my head, like Yeah. How can we make this better? Could there be a way where we could is there a standardized?
Like, these are the things that always need to be known, and if I don't know, I'm just It's hard because it goes back to, like, a buyer seller market That's a good point. Yeah. That Liz was saying. So sometimes there are times that I feel like the planner has more of the upper hand, and they can kind of Yeah. Make some of more of those, like, demands for concessions.
But then there's other times where hoteliers are like, we got tons of business over here. So Right. Yeah. We don't need to make those concessions. And that's fair.
(01:04):
I mean, I I really think that this when I'm at events, it comes up so much. I think if you go to the WECs, any industry event, like, when salespeople get to talk to planners, this conversation is so healthy because I think just talking about it, having a podcast about it, you know, just being open about it. And like you said initially, I think just understanding why each side would have, you know, the various reasoning as to why and, like, figuring out how we can best communicate. I think in a seller's market with high volume, like, post COVID when hotel salespeople were not back at work, and there was just a high volume of leads and and no people to do the job, I think that was a really unfortunate time for our side of the industry because there was a lot of business coming in, but not enough people to respond to it also. I think a little bit of, you know, I saw happening in the industry was like, nope.
Doesn't you know, there's just too much volume coming in to handle. I hate that. That's just not me personally. I could never, but I definitely saw that happening in our industry. And that's that will shift.
But, I mean, I think Cvent is a great tool for, for this, you know, people who use Cvent. When you work for brands, you know, there's ways that you get that information from the brand or from your, you know, your brand salesperson kind of so anytime you're working I love working with third parties. I think third parties do a great job because they educate themselves to understand these things, and they can then educate their customer because not everyone we're working with is a professional meeting planner. Oftentimes, they're the marketing director. They're the, you know, something else in their company.
Drew the short straw and said, you go get it figured out. Yeah. So, you know, that continuing I mean, in those scenarios, it's great to work with a third party because you have that subject matter expert, you know, there to help with the negotiation. So I think it just depends on how the information's coming into you. There are some great formats that really help with that.
If not, like, if I'm getting a phone call or an email directly, you know, through our website or something like that, I mean, those are the lengthier. You know? They don't really know what to ask, you know, and I'm having to drive that conversation a little bit more to get the information that I need. But those are usually a quick communication. Right?
Because they came through your website. Like, they're interested. They're interested in they're not really tire kicking. Like, they're pretty serious. Yeah.
So I think I think you bring up a good point that, you know, obviously, communication is key. Like, we've said this a couple times. Having the conversation like we are now in this format, having the conversation in, you know, a bigger like a conference format or a meetup format. But I think also another layer of it is the willingness to change, the willingness to improve. I think with with that falls short on us a lot of times because the longer you're in business, the more you get set in your ways and the more you get into, like, this is how we do it or this is how I do it.
Now, again, I, I don't I speak from owning my own business, so I have a little bit more flexibility than somebody who works for a corporate job. So, if you work for a company, then there are gonna be those, you know, kind of parameters and boxes that you have to stay within. But from an industry wide standpoint, if there are solutions that make it a win win for planner and for salesperson and or hotelier or however you look at it, then that's the that's the kind of the end game that I think we all should be looking at is, like, how can we how can we really make necessary changes, but maybe we remove the word changes and add the word improvements. How can we make these necessary improvements that satisfies everybody and satisfies the whole solution? Because at the end of the day, the more time you spend, like, as a salesperson, the more time you spend on this event is the less time you have to spend on other events that are coming through, and no one event is gonna make or break your entire, you know, year's worth of what you're looking to accomplish, typically.
As much as we might think because it's our event that it's going to, you know what I mean, it's not going to necessarily break or break make or break your entire year. So the Yeah. The quicker a solution can get to, you know, to that that both people could get to, the faster you can because I always think about, like, that part of the process is probably the most friction part of the process. Right? Because think about it.
Once you have, at least in a typical ideal world, once you have picked your venue and you've picked what you're gonna do, then it becomes fun because then you're like, alright. I know where we're gonna be. Now let's start thinking about what's it gonna look like. What's it gonna sound like? What's it gonna feel like?
Like, you can't even get into that process until you know where you're gonna be. So a lot of ways, I feel like this is, like, the biggest friction point of the almost maybe the whole, you know, engagement unless, of course, things go wrong later on that are unforeseeable. But I'm again, I'm just kinda talking in a in a Well, you you bring up a good point. It could be another entire conversation. It's at that point, it's just a transaction.
I'm a email. You know, like, it's it is to especially if you're just going straight through Cvent, Like, it is not a relationship at all yet. Yeah. And how can you position it to be that? I think would be something that we could look at, you know, in another episode.
Like, how can that because we don't trust you don't trust me yet. I haven't met you yet. Like, there's just no rapport built yet in that relationship. The relationship starts to build, obviously, the venue, and you can start to create the event, and everybody's, you know, firing on all cylinders in the partnership. But that's bring up a really good point.
It is really just dates and space and rates, and it's difficult. And I think, you know, good salespeople or the right business for the right hotel can overcome that early on, and that's probably what makes a successful, you know, ultimate partnership there. But that can be difficult. And it's part of the reason why I I I kinda don't like that. You don't you don't hear that know, like, and trust philosophy that much anymore, and it's inherent in us.
Whether we realize it or not, it is inherent in us as human beings. If I don't know you, I don't know if I like you. I definitely don't know if I can trust you, whether that's a business relationship or a personal relationship. We are built that way as human beings, and you don't hear that talked about as much for, like, the newer generation of people in the workforce. And so there is this inherent thing going on in them that if it hasn't been brought up to them and they haven't really been exposed to that concept, they don't even necessarily know what's going on, but it's going on.
And so it's creating friction. Right? Because they're thinking, well, I don't even know you. Why why do I wanna respond? You don't even know you.
Right? They're thinking that even if they don't verbalize that. That's what they're thinking, and then that creates that friction. So to your point, I think you're right. I think it's, you know, how how do you go about and and, you know, if you're if you're reaching out to 20 or 30 people, you don't have time to make friends with 20 or 30 people.
I get that. But switch to order. Right? But, like, at need to get to like us. Some at some point Interest them.
Yeah. Like, at some point, there has to be that, and and you brought it up earlier. I think that's a good idea. Like, you're you're you're throwing it out there. You're whittling it down.
And then once you whittle it down, maybe take some time to really build a little rapport, build a little bit of a you know, don't make it so transactional. Make it a a little bit more relationship. Mhmm. Well, I think, yeah, y'all brought up a lot of different, points and and kind of looking at it then starting with the industry as a whole No. Hasn't changed.
No. That's and that's sad. Honestly, that's sad. Honestly, I don't know that that's something that on our level, we would be able to make that change because every hotel is gonna be different. It depends on the market, depends on the size, depends on the demand.
(01:25):
Like, there's so many factors. So it's very hard to streamline that that those price points and everything is based on is their availability. If there's a lot of open inventory, you can get a better deal. Yeah. So sometimes I've had salespeople tell me that, and that is intriguing to me to know that, okay, Well, we can really work some things going on because you don't have you know, this is a slower time.
That could leg up somebody, in in my when I'm looking. I think in the beginning, we're really just trying to narrow it down just like the hotel's trying to figure out if it's a good fit. So it really is just kind of an exchange of information. Yep. Once it's whittled down from there and we kind of identify our tops I mean, me, personally, I do try and start to have that relationship and have those conversations.
That's good. And I will tell you, 9 times, hotel that I feel like I have a good relationship. They're responsive to me. They're getting back to me. They may not be even telling me everything I want or giving me everything I want, but they're giving me, hey.
I can't do that, but I can do this. They're really communicating in a fast capacity and building that relationship with me. If I know that you're responsive and I feel like I have a pretty good rapport with you, even if it's via email Mhmm. I'm gonna book you over somebody who even if I've gotta pay you a little more. Well, because in in in both instances, they're showing you what the process is probably gonna look like for the rest of the time.
Why. Because I know if you're easy for me to work with here Yeah. I know it's gonna go good when I book and the communication from there. So it's almost like an insight into the team Mhmm. And how they value me as a program.
Absolutely. And so, again, I think that that kind of bringing it back to that when when, you know, we've talked a lot a lot about kind of the the beginning stage, but I think, really, the when when is it never stops. You're you're constantly even after you sign a contract, trying to work through the program, go through BEOs. But I would say the most significant stage of it is that contract and negotiation. And really going back and forth, and maybe even if it's, to your point, Liz, not a massive, you know, cost on your end, but you can show that little bit of, hey.
I'm willing to make this. And then the other side, then it makes me like, okay. Well, maybe I can agree to this x, y, z, you know, in the contract. That win win is really it it's when both parties feel like they win. And I think so many times, people are like, well, I've gotta win over this person.
Right. Right. Or I've gotta out be you know, the supplier's like, I gotta beat the planner and negotiator. The planner's like, I gotta beat the supplier. Everybody is, like, trying to get this one leg up.
Yeah. You know, they're making that last minute phone call. What else can you throw in? Yeah. It was just just Right at the end of the year.
Yeah. To me, it just is, like, so I don't know. I mean, I love to dive into psychology of that sometime because, like, when you think about I don't know. Just using example, like, when you go to Walmart I don't know. I don't know.
Everybody goes to Walmart. But when you go to Walmart to buy something, you don't, like, grab a shirt and pair of shorts and, you know, socks or something like that, and then go to the cash register and put down the shorts and the t shirt and then say, oh, by the way, can you just throw the socks in and not charge me for them? Like, it's just weird to me that the minute that they're and I understand that there are these are negotiation situations, but it's weird to me that there's something in us that when we know that there's a negotiation, we feel like we have to win that negotiation. But why why can't we just both win? Like, there doesn't have to be a loser for you to be a winner.
Oh, I wanna win. I get it. But I I'm, I have the same mindset. It doesn't have to be a loser. But you see what I'm saying?
Yeah. But but I but I but I don't think everybody thinks that way. Yeah. Because anytime you say I wanna beat the other person, that means you want them to lose. Right?
And I'm not saying you that you're saying that. Right? But but it it's not always easy to get to. I I understand that. But getting to a win win means that somebody doesn't have to lose.
Right. And that's where mutual response the key to balance. And honesty Mhmm. Has to be there. I have to respect the fact that you you have, you know, your numbers you have to meet or you have your budget you have to meet and so on and so forth.
And then I'm asking the person on the other end of respect, like, for me as a as a supplier. And I know we might not be able to get into this on this podcast, but in the future, we'll talk more about this. But, you know, as a even just as a small business owner, like, there's a certain threshold that I have to meet where it becomes a point where I'm not even making any money. So why am I even even doing this? And a lot of times, the misunderstanding comes in because somebody and this is this is kind of a conversation you and I were having before off off, off the podcast about this fact that if you don't even have a context of the value of something, then it's also not fair to assume that something is too expensive or not expensive enough or or vice versa.
It could be the way. Right? Great point. Like, if you don't have a context, then you have to either be willing to educate yourself to understand if somebody chat GBT. Or you you well, chat GBT will help you.
Yeah. A 100%. Yeah. Yeah. No.
To that point, though, I do always list the value of any concession, Like, that it would typically be this, but this is what I get. Because if I tell you I'm gonna discount something to x or I'm gonna well, what was it originally? Or what would I normally have been? I think that is so important. Yeah.
And sometimes often missed in the even the proposal phase is like, what is the value of that? Like, if you're gonna discount audio visual, if you're gonna throw in something Yeah. You know, some mics or some editing that maybe wasn't originally included, like, what was that value? Because And then to take it a step further is that I I need you as the person receiving that. So we'll take editing as an example.
Right? If I say, well, we're gonna throw in some editing for you, and the typical value of that is $1800. Again, I'm just throwing a number out here. There still is this step for you to know that what I'm telling you is true. Like, is it really worth $1800?
(01:46):
You see what I'm saying? Yeah. Like, number 1, I shouldn't take advantage you of a customer and say, oh, that's typically $5,000 if it's really only $1800. I guess that's my point I'm making. Right?
But then also the responsibility on your end of the person that I'm telling that to to understand that, oh, wow. This is a good deal. And not just be like, ah, there's no way. It's probably only, like, $600. They probably tripled it or whatever.
You know what I mean? Like, that is the typical thing that I see happen a lot, and I think that's a that's a shift I'd love to see kind of change. And because we do have so much information available to us now, you brought up chat gbt. I mean, there that is a tool that we, you know, we could find out. Like, I could go on chat GBT right now, and I could take your proposal that you gave me and say, you know, based on comps and based on stuff in the area, is this pretty reasonable?
Are they blowing me out of the water? And that's my responsibility to do that because then I can come back to you educatedly and say, well, hey. Listen. I looked looked up some comps in the area, and, actually, this is a great rate. Thank you.
Or why are you charging me 3 times more than all of your competitors right here? And you may have a valid answer for that, and that valid answer might work for me. Mhmm. But that's just, you know, being more involved in this situation and not just being so assumptive, I think, is the point I'm trying to make. I don't know.
Hopefully. Well, I think we could talk about this all day. I know. I know. I'm sorry.
I went on a rant. I know. I'm sorry. No. No.
I think we have a a, you know, couple other podcast ideas, but I think that at the end of the day, the win win and the biggest mindset is somebody doesn't have to lose for you to win. And so maybe we can't change the process and the structure that's been around so long, but maybe we can start making changes and little steps towards that Mhmm. Of, you know, changing our mindset, changing our perspective, and realizing somebody doesn't have to lose to win. It can be a win win situation and be a successful negotiation. And at the end of the day, if it is a win win, then I think both parties are more invested, more involved, and overall, it leads to a more successful event, which is the end goal for all of us.
So thank you for all tuning in today. Make sure to follow us at event therapy podcast, and we'll catch you at the next
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