What is the meaning of the acronym RFP in the Hotel Management Industry?
In the hospitality industry, an RFP means “Request for Proposal” and it also refers to Groups Request, or Groups Quotation Request that is submitted by a company also called a buyer. In different cases companies such as Event Planners, Government organizations, DMC, or the direct buyer who is budgeting a specific number of rooms and nights during a determinate time period.
The RFP is sometimes confused with other acronyms like RFI or RFQ. Imagine a scenario where your sales team has identified a group need period over future dates. Because you have access to historical RFP data, you can quickly identify groups that have historically shown interest in your property for this time period. Armed with this information, you can reach out to these groups to inquire about future engagements that can help fill your need period.
- RFQ – Request for Quotation
- RFI – Request for Information
Depending on the accommodation type, RFPs are laborious and time-consuming to respond to and manage. For example, hostels with an extensive beds inventory usually relay on the group market segment to fulfill their rooms/beds availability during the lowest seasons. Yet they are one of the most important hotel market segments for those hotels with many Meeting Rooms and Conference Venues.
Fortunately, Hotel RFP management tools can help hoteliers handle and respond to leads quickly and efficiently. Dynamic mangement tools like chartOk can help hospitality organizations manage their leads negotiating process easily, so they can close more deals, in less time and with less effort.