The power of speed in convention sales
In the dynamic industry of conference hotels and events, every minute counts. Event planners must organize their meetings and conferences efficiently and expect a high level of professionalism from the hotels and venues. This means, above all, that they expect quick and precise responses to their inquiries. Time is not just a resource in this process, but a crucial factor for a hotel's success. The faster a high-quality offer is sent, the more likely an inquiry will turn into a booking.
We wanted to know how much conversion rates really depend on the offer times and took a close look at our own figures.
The influence of offer speed on the conversion rate
The comprehensive analysis of over 7,000 offers we created for our hotel partners clearly demonstrates the correlation between offer speed and conversion rate. The data highlights that a quick response to inquiries is crucial for high conversion rates.
Here are some key findings from our evaluation:
Offers sent within 4-5 hours achieved the highest average conversion rate of over 55% .
A quick quote (under 5 hours) is immediately perceived as very competent and reliable and creates a wow effect for the customer.
Offers sent after 16 hours show a significantly lower conversion rate
If more than 24 hours, the booking rate drops to below 10%
The conversion rate decreases depending on the offer time
Our Managing Director Bernd Fritzges sums it up aptly: "There's no question that there's a correlation and causality between offer speed and conversion rate. However, I was surprised that the trend line isn't linear. However, that doesn't change the fact that offer times longer than 24 hours clearly lead to enormous revenue losses. Therefore, we work every day, in consultation with our hotel partners, to speed up the times together."
Explanation of the trend line
The trend line shows that the conversion rate is highest for quick quote times (under 5 hours) before declining slightly over the next few hours. This could indicate that customers who receive very quick quotes are impressed by the efficiency and professionalism. This "wow" effect clearly leads to high conversion rates. The conversion rate remains relatively stable until 16 hours after the inquiry is received, then declines with minor fluctuations. For quote times over 24 hours, the booking rate drops dramatically. This confirms that delays in quote creation lead to significant revenue losses.
How we optimize offer times
At MICE DESK, we specialize in managing the entire convention sales process chain, either fully or partially. Here are some of the key methods we use to shorten quote times and increase conversion rates:
Proprietary user interface and BI tool: We utilize our own user interface with connectivity to various property management systems (PMS) and our own BI tool. These technologies significantly accelerate data entry in the PMS and meaningfully expand the scope of our analyses.
Process optimization through a "bird's eye view": Within our team, processes are optimized from a higher-level perspective. Performance dashboards of individual team members are reviewed by an external auditor and analyzed in individual meetings to identify potential for improvement.
Detailed process analysis: We identified a total of 36 individual processes, from inquiry receipt to invoice verification. These processes are continuously evaluated to increase efficiency and improve the quality of customer service.
Technological support from our in-house development department: Our development department regularly analyzes process times and implements targeted technical optimizations. These improvements are implemented internally, so our customers don't have to make any changes to their processes. This increases productivity and makes the service more attractively priced for the hotel industry.
Arrange your appointment now
Ready to optimize your offer times and drive more bookings? Contact us today to schedule a consultation and learn more about customized solutions for your hotel. Together, we can increase your conversion rates and secure your business success.