In the April issue of “Association Meetings” there is an editorial by Mitchell Beer entitled “Is This the End of the Room Block?” (Association Meetings April 2012, Page 48, web version here) I feel oddly vindicated in my opinions about the “room block.”
My disdain for the “room block” has existed for a number of years. This situation actually begins with Tekkoshocon VI, we had the option of going to the David L. Lawrence Convention Center (DLLCC) for that year but instead settled for the Radison Greentree. Why did we settle? The truth is the Room Block. When Tekkoshocon VI occurred we had the option of going to DLLCC but, we could not get the Westin as the convention hotel; the only option for a hotel was up the road (the name escapes me at the moment, but it is one up by the Civic Arena/Mellon Arena or the now Consol Energy Center), but it was deemed too far for out attendees to walk, thus we searched for another venue. As a point of reference, the Hilton was twice the distance as the potential hotel.
This brings me back to the article and its follow up editorial “End of the Room Block or End of an Era?” I read both of them and came to an interesting point of view. I asked myself who has the real power in booking a room block when using the David L. Lawrence Convention Center? The answer is Tekkoshocon.
The historical point of view:
Our attendees need a place to stay for the convention.
The attendees need the best deal for their rooms.
The attendees need a guaranteed room somewhere.
We need to provide that service so they come to our convention.
The convention needs a guaranteed place to house staff and guests of honor.
The modern reality:
Our attendees are coming to the convention.
Our attendees want a guaranteed room somewhere, but want it really cheap.
Our attendees need a place to stay, but are going to shop for the best price.
We need to provide them with a way to find the best price.
The convention needs a guaranteed place to house staff and guests of honor.
When talking with attendees, reading the forums, and Facebook I realized that our attendees were booking all over the city because they could get a cheaper hotel. A large number of people stayed at the Wyndham Grand Downtown Pittsburgh (Wyndham) because it would help the organization move back to the DLLCC. It was loyalty and love of Tekkoshocon that brought them to the Wyndham as much as the actual location to the convention. While I acknowledge that if the pricing of the Wyndham was cheaper (similar to what you could book outside the block for Tekkoshocon IX) people would have booked happily. I digress.
So, with the necessary changes because of our no longer partnering with the Wyndham, we are in an interesting position. Do we really need a room block? Can we provide our attendees a quality convention without one? Can we provide our attendees with an alternative that will promote growth and satisfied customers?
I believe we can. I know that our attendees will book at the Westin whether or not we have a room block there. That is a foregone conclusion. So, do we really need a room block there? It may be a necessity for staff and guests of honor. If we cannot get the Westin, we can use the Courtyard Marriot again for guests and staff and it is a short walk to the DLLCC. It is a walk that Event Security can easily provide escort for guests. If we had the Westin the main thing we gain is their meeting space. I believe as important financially it is to have; we can make do without it. As I write this, it is still an unknown if they will even truly consider us as customers. So, we have to plan not to have them. I believe that the convention itself will not suffer from not having a specific convention hotel. I may and probably am wrong, but I believe we have to look at things that it will work. I believe if we can partner with a place like www.priceline.com or www.expedia.com or www.bing.com or any other travel website we can provide a better pricing option to our attendees by providing them with more choices. Our attendees booked hotel rooms half an hour away to get a better deal than what they could get downtown for our show. I believe that by giving the attendees more choices; and ones that will not lock them into a single location and a potentially unfavorable price they attendees will be able to better afford Tekkoshocon. This of course, will only work until we become a powerhouse with hotel requirements. I hate to say it, but I believe that because of our time of year and geographical location our attendance is going to plateau shortly and we will become the largest we will become.
Thinking about it, we know the attendees will book at the Westin no matter what we say. The Westin is going to get business from our event. If we have a room block at the Westin, what does it truly by them? A fixed number of rooms sold. What does it buy us? Their meeting space, the potential cost incurred if the room block doesn’t fill, a room commission, and the ability of the Westin to complain about what our attendees have done in the hotel.
Interesting aside, if the Westin truly did not want Tekkoshocon business during our event they would make it so there were no low rates available anywhere. They Wyndham did it for us, making sure we were the cheapest rate for the hotel our weekend. So, do not be mistaken, the Westin wants your business, they just do not want the Tekkoshocon branding associated with their hotel.
It has taken me a while to realize that, and I am amused by it. By realizing it, it returns the power to the customers, and in turn makes it better for all of our attendance.