Rethinking the Strategy Meeting
Scenario 1:
Your strategy meeting is led by the revenue manager, either on site or remote. They speak for 30 minutes uninterrupted, and all the details are great details. They manage to cover the STR, forecast, and 90 days into the future. You change a few rates, make a few small recommendations to digital strategy and then the meeting concludes.
Scenario 2:
You are the GM, and you lead the strategy meeting. The revenue manager is there to provide supporting data, but it’s not as good as your gut because you’ve been in the business for 20+ years. You cut them off at every suggestion, but you still manage to cover the STR, forecast, and 90 days into the future. You make some changes, but overall, you feel good because you have a positive STR and that is all that matters to your boss. However, your GOP has been slipping.
Scenario 3:
The DOS at the hotel has worked in several hotels in your market and comes to the table with tons of market knowledge. You start the strategy call with a brief review of the STR and the forecast. As the revenue manager, you need to discuss group wash and potential lost business for the holidays, but the DOS keeps redirecting the conversation to the next 30 days of pricing. You spend the rest of the strategy meeting going day by day to make $10 rate changes because that is what the hotel down the street is doing and they were super successful back in the day.
Raise your hand if any (or all) of these scenario’s resonated with you? If you look closely, they each have a similar pattern. Each meeting starts with an agenda that includes reviewing past performance, future forecasts, and making a few changes. These are my top 3 favorites of hotels that are failing or likely headed down that path. This is the problem with the traditional strategy meetings. For a hotel to be successful in the long term, the strategy meeting must pivot. Here are the most comment pitfalls and how you as the commercial leader can change them to have a more successful strategy meeting.
Lack of collaboration. In each scenario listed above, there is no collaboration. Someone at some point has commandeered the meeting to serve their purpose or to redirect a problem off themselves. Solution, make sure everyone in the meeting has a purpose. No one should be there just to listen. In scenario 1, pause and ask questions of the team to encourage contribution. Simple statements like “how did you view our performance last week” or “give me your opinion on this data point” can drive engagement. Often you find there is a lack of knowledge that you can help with a small 5- or 10-minute training session at the start of every call.
The market know-it-all. Scenario 3 shows how someone that believes a strategy call is only about market conditions and pricing can be damaging to a meeting. While this scenario can be less common, it tends to show a sales leader with limited success when that is likely not the case. Solution, the day prior to the meeting send an email with suggested pricing changes (or whatever might be holding the meeting back). Explain in the mail that you want to make sure all of this is covered so that you can spend time on strategic initiatives. Then make sure to ask the sales team to come with the answers or the data that is needed to understand the topic to cover. If they show up unprepared, reschedule the meeting. If they still want to talk about rates, offer to schedule a separate call to satisfy their concerns. Be sticky with strategy during strategy meetings.
Too many opinions. This is especially true when it comes to interpreting data. “My gut tells me that we should be at $199 that weekend and not $349”. “Based on my instinct due to being in this market for so long, I think we should follow the discounts strategy of the Westin next door”. “I know this market better than the data”. That last one is my favorite. The solution in this instance is to give all the opinions space. If you are testing a new pricing strategy or discount/package offer, give it a few weeks to try it out then go back and measure it. You can do the same for conversation about taking the group or not taking the group or deploying a new digital strategy. The best thing you can do is test until you fail BUT place guardrails on any you test. Have the entire commercial team agree on the time frame of the test and how success will be measured.
Inadequate meeting structure. You can avoid almost all the pitfalls suggested by having an adequate meeting structure. This starts with a solid agenda that is well organized with clear objectives and a timetable but does not end there. Each element of the meeting should be assigned to a key stakeholder, allowing everyone time and a place to contribute. Encourage those stakeholders to email concerns in advance so you can ensure they are placed on the agenda and reviewed. If you feel their concerns do not align, offer instead to have a side meeting so that you can remain focused. Last, you should also constantly gather feedback and adjust for future meetings.
In the end, I think it is important to take a step back and assess how your meetings are trending. Some good questions to consider could be:
Is my hotel successful?
Do I feel like the entire team contributes?
Is the meeting well rounded and we have discussed all the key elements of commercial success?
Can I articulate clearly what was discussed in my notes?
Do I feel good about how the team communicates commercial success?
If you cannot answer positively these questions, or if your hotel is not outperforming in desired metrics, start with some of the suggestions listed above; especially meeting structure. As a commercial leader, creating a structured environment where all voices contribute meaningfully and discussions remain strategic, you’ll not only enhance decision-making but also drive greater growth and profitability.
