Hotel Haggling
Know needs and wants before entering lobby, then negotiate
By MICHAEL CULVER
When traveling for business or pleasure, hotel and motel expenses can
drain a budget. But being armed with a few insights, doing a little research
and making a few phone calls can save you money.
When trying to save money on hotel rates, you must first decide what accommodations
fit your needs and wants. With this decision, you can start to narrow
your choices. Perhaps, the most important choice is whether you will stay
at a nationally franchised hotel or an independently owned hotel.
The most important money-saving difference between franchised and independent
hotels is the person who is in charge of setting room rates and, more
importantly, discounting these rates.
“Franchised hotels like Holiday Inn give little room for discretionary
room rate discounts,” said Allen Hildreth, owner of a Holiday Inn
and an independently owned hotel called the Kings Inn. “At the Kings
Inn, I set the rates and discounts and I give my front desk staff a great
deal of freedom to modify and discount these rates to optimize occupancy.”
Hildreth also said corporate franchise hotels set rate standards, and
the owners and staff have little control to change or discount these rates,
but at the independent hotels “anything is negotiable.”
For instance, while traveling, many people often drive several days en
route to a specific destination.
During these trips, travelers often do not make reservations because
they are not sure exactly where they will stop to get rest before continuing.
First, start paying attention to billboards about an hour before you plan
to stop for the night. This gives you an idea of the choices and rates
available in the area.
Second, stop at a convenience store or gas station. Many times these stores
have free discount travel guides for the state or region in which you
are traveling.
Third, call the property before stopping to ask for room rates and availability.
This helps you gain information for step four.
Fourth, after arriving at the hotel, do not be afraid to negotiate. You
are now armed with information and hopefully a coupon from a travel guide.
Before showing your coupon to the clerk, ask him or her about the rate.
You may get a different rate than the one quoted over the phone.
At this point, you have three rates to work with. Take 10 percent off
the lowest rate quoted and simply tell them you will pay this amount or
you will go to another hotel.
Don’t panic if they reject the offer. They are still committed to
the three previous quotes, so simply tell them the previous rate or coupon
rate will do and they will gladly accept this offer.
Destination rooms require a different technique to minimize rates.
First, look online. Many Web sites, such as www.roomsaver.com, offer discount
coupons that are available for free. But many times these coupons are
only valid upon arrival. The hotel will usually have a higher reservation
rate than the coupon rate.
First, negotiate for the lowest reservation rate you can get and make
your reservation. This will ensure you have a place to stay when you arrive.
From this point forward anything that lowers this rate will save you money.
Be sure to find out the cancellation policy of the hotel. Most hotels
give you until 6 p.m. the day of the reservation to cancel without a charge.
Second, once you arrive at the property, do not immediately tell them
you have a reservation. First try to negotiate a lower rate than your
reservation rate or present the coupon. If they give you a lower rate
than the reservation rate, accept it. Go to your room and simply call
and cancel the reservation.
Using these techniques can lower room rates by as much as 30 to 40 percent.
Remember, they may have the room, but you have the money and they want
it. You are in control of the situation, and there are usually competitors
that would gladly work for your business.
Editor’s notes: Michael Culver was in the hotel management
business for 10 years. Check out The Collegian’s Travel Guide, a
special insert, Friday.
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