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Hotel contracting

Hotel contracting is one of the most crucial activities of any holiday company’s business - it is also one of the most demanding with an endless round of resorts and hotels and the inevitable negotiatons of next season’s rates.

‘We need hoteliers as much as they need us,’ said Cadogan Travel’s tour operations general manager Gary David, who has made thirty-four visits to nine destinations featured in the winter brochure. ‘But they play games; there’s a lot of bluffing going on.’ He claims this year to have toured 17 hotel and sell-catering properties, viewed 500 bedrooms and visited sixty- five handling agents. This is in addition to briefing couriers, inspecting hotel noticeboards to make sure material is well displayed (it often isn’t), visiting the tourist offices for each destination and dealing with forty airlines that serve the resorts.

‘There are all sorts of politics,’ said Mr. David. ‘It is a question of attitude as well because some hoteliers like bigger operators while others do not.’

At Gibraltar’s Rock Hotel, the manager agreed to contributions for advertising and brochures, whereas in Tangier, the Rif Hotel manager refused to move from his 20 pet cent hike in rates. However, bartering for room rates is only one aspect of Gary David’s work. Others cover increases in room allocations, upgrades, added extras such as wine, fruit or flowers, afternoon tea, improved child reductions, long-stay deals and contributions towards advertising, which are all used to improve the overall deal.

Another way of getting a better deal from hoteliers is to introduce a new section to the brochure which promotes a top hotel in each resort, and use this as a bargaining tool, or give out awards to tempt them to give better discounts.

‘In Gibraltar I’ve had to drop two hotels because of poor standards so I’ve got a shortfall in capacity. I’ve got now to push for increased allocation, but I’m dealing with hoteliers who don’t need me because most cater for business traffic.’

(adapted from Travel Trade Gazette)

Write out the sentences containing the words before the text and paraphrase them. Answer the questions.

  1. Who is Cary David?

  2. What does his job involve?

  3. What kind of problems does he have to handle? Why?

  4. In his opinion how cooperative are the hoteliers he has been working with?

Task 2. Read the article below and check up the words given in the dictionary, if necessary.

frosty to be out of pocket sluggish (business)

ailing to hold down (prices) a brand name

outstanding to settle up to go bust

to cover (overheads)