Welcome to the second installment of the Cvent Transient Insider series. Building on our previous data-driven analysis, this edition delivers practical, expert-driven guidance from two of Cvent’s Professional Services team members: Mike Austerschmidt and Stephanie Timken. With decades of combined experience in corporate travel, hotel sourcing, and RFP management, they share actionable strategies for both buyers and hotel suppliers as the next sourcing season gets underway.
Meet the Experts
Mike Austerschmidt
Mike brings over 40 years of experience in the travel industry, including 17 years at CWT. He specializes in helping organizations of all sizes optimize their hotel sourcing strategies and has deep expertise in corporate travel, hotel sourcing, and RFP management.
Stephanie Timken
Stephanie offers a dual perspective from both the hotel and buyer sides. She managed the corporate travel segment for IHG’s Kimpton Hotels and has broad experience overseeing travel programs, procurement, and operations on the buyer side. Her background gives her a well-rounded, practical view of the corporate travel landscape.
1. What’s the Most Important Thing a Buyer Can Do to Prepare for the Upcoming Season?
Mike: Success starts with a clear strategy. Buyers should define the primary goal of their program—whether that’s savings, compliance, or traveler satisfaction. It’s important to prioritize, as maximizing all three simultaneously is rarely possible. Let your main objective guide your sourcing decisions, from which hotels to invite to how many properties to include in each market. Understanding traveler loyalty and company culture is also essential; if your travelers are loyal to a particular brand, including alternatives may not drive the desired results.
Stephanie: Buyers should establish a hierarchy of objectives and use data to understand their program, always bringing decisions back to their main goal. For hoteliers, Stephanie recommends leveraging relationships with revenue management to create flexible rate plans and go beyond rigid policies when needed.
2. What Are Some Common Misconceptions About the RFP Process?
Mike: A common misconception is that repeated negotiation rounds will always yield better rates. In reality, after a couple of rounds, hotels are often at their limit and may simply decline to bid if pushed further. The old style of “forcing your way” is no longer effective, especially as hotel costs rise and market dynamics shift.
Stephanie: Many buyers insist on Last Room Availability (LRA) everywhere, but this isn’t always realistic. Buyers should be pragmatic and accept alternative rate types in markets where LRA isn’t supported, which can speed up negotiations and improve clarity. For hotels, it’s important to remember that market conditions can change quickly, so maintaining long-term relationships with buyers—even smaller accounts—can pay off when demand fluctuates.
3. What Do You Wish You’d Known About Corporate Clients to Save Time or Achieve Better Savings?
Mike: Understanding company culture is vital. If a company allows travelers to book freely, savings will be limited regardless of the negotiated rates. Knowing what travelers will actually do—and what the company can enforce—helps set realistic expectations and program design.
Stephanie: Buyers should share their internal travel policies and how they communicate program requirements to travelers. If a company wants to shift share away from a major brand but can’t influence traveler behavior, negotiated savings may never materialize. For hotels, having accurate city volume data from clients is essential to assess whether it’s worth bidding.
4. What Are the Hallmarks of a Well-Run Program?
Mike: The best programs focus on their core, high-volume markets—where fixed rates and strong partnerships matter most. Avoid over-saturating your program with too many hotels, especially in low-volume markets. Use the 80/20 rule: 80% of your volume comes from 20% of your hotels, so focus your efforts accordingly.
Stephanie: Limit the number of hotels in each market to drive compliance and volume, which strengthens your business case for preferred rates. For hotels, maintaining a diverse portfolio of accounts—including medium-volume clients—can help fill gaps during demand shifts. Ensuring LRA rates are actually available to travelers is also critical for long-term success.
5. How Can Hotel Suppliers Better Align with Evolving Buyer Needs?
Mike: Hotels should be realistic about their potential to attract volume. Simply joining a program doesn’t guarantee bookings, especially if there’s no history of traveler demand. Hotels need to do their homework, present a solid business case, and understand that exposure alone won’t drive results.
Stephanie: Hotels should lead with strong, relevant bids that align with buyer requirements outlined in cover letters. Providing clear feedback when declining negotiations helps buyers understand the reasoning and fosters better relationships. Sometimes, a direct conversation can resolve issues more efficiently than endless email exchanges.
6. Looking Ahead to 2026: Final Advice and Emerging Trends
Mike: No major changes are expected for 2026, but rates will likely see minimal increases. Buyers should continue to focus on driving volume to preferred hotels to justify flat or favorable rates. If volume drops, expect hotels to raise rates or decline bids in future cycles.
Stephanie: The push toward dynamic rates is expected to strengthen, especially from major brands. Buyers need to be honest and rational about which rate plans they’ll accept and where they have the volume to support their position. Both sides should focus on building partnerships and being open to new strategies as the market evolves.
Key Takeaways for Buyers and Hoteliers
- Buyers: Define your program’s primary goal, understand your travelers, and focus on core markets. Be pragmatic about rate types and share your travel policy with partners.
- Hoteliers: Be realistic about your potential, align bids with buyer needs, and maintain open communication. Build long-term relationships to weather market shifts.
- Both: Strong partnerships and clear strategies are essential for success in an ever-changing travel landscape.
Stay tuned for more expert insights in future Cvent Transient Insider installments as we continue to navigate the evolving world of corporate travel sourcing
For more information about optimizing your travel program, visit the Cvent Travel website for buyers or the Cvent Transient page for hotel suppliers.
