CASE STUDY
Delivering a 1,100+ strong outsourced hotel program solution
Charged with totally overhauling a government hotel program, FCM Consulting seamlessly curated a fully-tailored outsourced solution for long-term success.
Key highlights
Overcoming a lack of visibility and accountability
With just 35% compliance, the hotel program was suffering from low booking transparency, poor contract negotiating power, limited accountability, and uncaptured data. With no inventory quality control, a lack of oversight and out-of-policy bookings, the client was missing out on volume-based discounts. Low vendor response rates and flagging hotel participation were driving out-of-policy bookings and significant program leakage.
Vendor engagement and traveler compliance
FCM Consulting took on the role of problem solver, removing client pain points, and delivering a totally outsourced hotel program. Step one was to strengthen the program by recruiting competitive hotel partners. To maximize the client’s budget, FCM Consulting forecast room-night volumes, negotiated volume-based discounts and standardized rates across all hotel destinations.
To drive program compliance, the client’s channel management solutions were fine-tuned to streamline the booking process (via a central platform). This strategy was conceived to improve online program visibility, clearly display negotiated rates, improve efficiency, and reduce booking errors.
Program coverage reaches 93%
FCM Consulting’s proactive hotel program management strengthened existing vendor relationships and attracted new properties. This strategy effectively expanded the program’s reach by 20% and achieved 93% coverage. Strong negotiation skills achieved an US$21 average paid rate improvement, while employee safety and comfort were ensured with travelers staying in vetted hotels to boost compliance by 29%.
The complex program, featuring over 1,100 properties, was streamlined with a tailored booking process allowing access to platforms beyond the Global Distribution System (GDS). Dedicated FCM Consulting support continues to deliver ongoing optimization and performance tracking.
By implementing a strategic program overhaul, FCM Consulting delivered a tailored outsourced hotel program solution providing a tangible return on investment (ROI).
Related Articles:
