Chapter 18 Convention Billing and Postconvention Review Convention

Chapter 18 Convention Billing and Postconvention Review Convention

Chapter 18 Convention Billing and Postconvention Review Convention Management and Service Eighth Edition (478TXT or 478CIN) 2011, Educational Institute Competencies for Convention Billing and

Postconvention Review 1. Explain how hospitality properties handle billing for conventions and meetings. 2. Describe typical procedures for conducting a post-convention review. 2011, Educational Institute 2 Convention Billing

All billing instructions must be detailed in the resume Avoid surprise billing charges by communicating early and openly on billing arrangements

Two key forms for communicating billing charges: 1. Master Account Billing Authorization Formprovides instructions on the types of folios to be used, limits of financial liability, and names and signatures of personnel authorized to sign for group charges. 2. Rates and Changes Bulletincommunicates to the convention attendees the specific rates for rooms, meals, incidental charges, and gratuities, as agreed to by the convening group and the hotel. 2011, Educational Institute

3 2011, Educational Institute 4 2011, Educational Institute 5

Folios for Meeting Groups Master account folio Individual guest folio Split folio 2011, Educational Institute 6 2011, Educational Institute

7 Master Account Meeting planners are increasingly asking hotels to divide the overall bill into sub-master accounts. Authorized signers should be noted in the resume. A rates and charges bulletin communicates to attendees what charges they are responsible for. Meeting planners often request a meeting with the accounting office prior to the start of the convention. Daily meeting debriefings are often held to review

itemized charges. All charges posted to the master account must have backup, including invoices, signed checks, and BEOs. 2011, Educational Institute 8 Time of Payment Payment Schedule Depends on property, credit and reputation of group, groups history, frequency of business

Delayed payment can hurt hotels cash flow Usual Payment Schedule 1. Deposit when contract is signed 2. Pre-convention payment on agreed-upon date 3. Payment during convention 4. Final payment after event 2011, Educational Institute 9

Gratuities and Service Charges Pointers Gratuities/tips are voluntary Service charges are mandatory Present planners with policy Include clause in contract 2011, Educational Institute (continued)

10 Gratuities and Service Charges (continued) Four Categories 1. Gratuities for hourly employees: bellpersons, food servers, room attendants, door attendants 2. Service charges for group functions and banquets: hotel adds them to bill; fixed and mandatory 3. Blanket service charges

Added to room charge Total is distributed to service personnel Attendees tip only once 4. Gratuities for managers (never GM) and area heads; strictly voluntary 2011, Educational Institute 11 2011, Educational Institute

12 Surcharges and Resort Fees Surchargescharges added to guestrooms for such items as energy and Internet access; and to meeting rooms for products and services from electricity to additional charges for labor. Resort feescharges added by a hotel for services such as in-room amenities, use of recreational facilities, spa access, and newspapers. These charges are generally mandatory but are not

popular with meeting planners. Hotels should fully disclose fees. 2011, Educational Institute 13 Example of Resort Fees 2011, Educational Institute 14

Postconvention Review Two Review Sessions Intra-staff review with hotel staff Postconvention review with meeting planner and hotel staff Comparison with Projections Guestroom pickup: number and type No-shows and overbooking problems Early and late departures Compare figures with those from past meetings

2011, Educational Institute (continued) 15 Post-convention Review (continued) Function Attendance Many hotels now use the Post-Event Report (PER)

Feedback on Special Services Room service, restaurants, athletic facilities, elevator service, telephone operators, front desk clerks Comments from Individual Guests and Hotel Staff Final Appraisal Prevent problems from recurring 2011, Educational Institute 16

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