, the only software and services provider to optimize 100% of corporate hotel spend through procurement best practices, today announced significant enhancements to its Enterprise Transientå? platform as companies and hotels prepare to undertake their annual negotiations for preferred hotel rates.
Using ProcurePoint, companies benefit from cost-savings, process improvements and greater visibility into and control over one of their largest annual expenditures.
During the last quarter of the fiscal year, corporations typically begin the process of negotiating with hotels for annual preferred rates. Until recently, corporations and hotels negotiated these rates using phone, fax and mail-based processes which took place over the course of several months. Last season, however, with the availability of Enterprise Transient, more than fifteen companies (including eleven of the Fortune 1000), relied on ProcurePoint technology to negotiate their 2003 preferred hotel rates.
ProcurePoint clients completed more than 500 online negotiations for 500,000 room nights worldwide, with an approximate value of $100 Million USD. Using a unique combination of RFP automation with the option of completing one on one Internet-based negotiations or transparent, dynamic auctions, companies reduced their procurement process from months to a matter of weeks and yielded an average year over year savings of 15%. All of these factors contributed to a rapid return on investment for ProcurePoint clients.
New Enterprise Transient product features, which will enhance the sourcing, negotiation and reporting process, include:
➢ Expanded sourcing database with detailed listings for more than 60,000 properties and enhanced database search features (including hotel size, chain affiliation, zip code) to speed sourcing and RFP creation
➢ Complete integration and automation of NBTA standard RFP formats for hotels and corporate users
➢ Advanced RFP customization tools, in addition to the existing 70 hotel-specific bid variables, enabling corporations to tailor negotiations to their specific needs
➢ Improved real-time communication during OpenBid? auctions, including bid change alerts and instant message capability with any or all bidders
➢ Enhanced visibility and decision-support tools, including new logging, tracking and data sorting features and weighted bid analysis score card reports
➢ On demand data export, improving integration with external travel agencies and online booking tools, including American Express and GetThere
“ProcurePoint technology and services support the expanding organizational link between travel and procurement departments as companies look to gain greater control over one of their largest corporate expenses,” said Ed Sarraille, ProcurePoint CEO. “Our clients have several options to optimize their RFP and negotiation processes—whether it’s a one to one negotiation with a property in a secondary market or, in major competitive markets, with dynamic, transparent auctions where hotels bid for corporate business. In either case, travel managers tell us that they see value beyond process improvements and cost savings, as they are freed up to be more strategic in the day to day execution of their jobs, enabling them, for example, to build better supplier and traveler relationships.”
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