The Journey
         A newsletter for Phi Theta Kappa chapter advisors, chapter officers, and regional officers.  

Why is the Hotel Rate occasionally higher for a Phi Theta Kappa Convention?

Good question! It is true that rates at large convention hotels fluctuate, depending on many factors. Allow me to help shed some light on this important inquiry, which is asked of Phi Theta Kappa Headquarters every year.

1. No Room at the Inn ... Hotels profit from selling meeting space to multiple groups who are meeting at the hotel simultaneously. Phi Theta Kappa's Convention has one of the most intensive, non-stop program-packed agendas of any convention in the nation. To accommodate the hundreds of events from 60 educational forums to 29 simultaneous regional meetings, our host hotel must usually commit all meeting space to our group. Consequently, the hotel is unable to sell meeting space to other organizations that may need only one or two meeting rooms and a few sleeping rooms. That results in lost income for the hotel. However, these few rooms the hotel has left to sell require much less servicing - so often on short notice the hotel will lower the rate to fill the rooms.

2. The Law of Supply and Demand ... Just as airline fares vacillate daily based upon how many seats have been sold for a particular flight, hotel rates often vary depending on how many rooms have already been reserved. A convention hotel's rack rate (which is generally the price the public would pay for a sleeping room) can change from season to season and even from week to week.

Hotels generally charge higher rates in the peak convention seasons, which are February-June and September-November. Since most organizations do not host conventions in July, the demand for rooms, and the room rate, will be lower. Because March and April are peak convention months, the demand (and the room rate) is usually higher. So if you stayed in July at the same hotel that hosted a Phi Theta Kappa Convention the previous April, your room rate would likely be lower than the Convention rate.

Remember also that rates for conventions are negotiated long before the event itself, often five years in advance. This is necessary because we are competing with other groups for a limited amount of hotel sleeping and meeting room space. In the entire continental US, only five hotels have enough sleeping rooms, meeting rooms and large assembly rooms to accommodate our Convention.

In 1993, Headquarters surveyed chapter advisors regarding the possibility of moving the International Convention to a "non-peak" month like July, in order to significantly reduce hotel rates. The overwhelming majority of advisors voted to keep the Convention in April.

3. You are What You Eat (and Drink) ... When calculating a specific convention room rate, hotels may consider the amount of food and beverage functions the organization will sponsor in-house. Over the years, attendees have told Headquarters that they prefer having one nice banquet on Saturday evening and eating most other meals on their own (at nearby fast-food restaurants or hotel outlets), as opposed to having more catered meals as part of the Convention agenda, because this would increase the Convention registration fee significantly. We agree!

It would have cost $19.45 per person, plus a set fee of 19 percent gratuity, plus tax (for a grand total of $25.09) to have the hotel cater a no-frills breakfast for every attendee at the 1999 International Convention. Most Phi Theta Kappa members would be in favor of eating breakfast on their own for less, or not eating breakfast at all, rather than paying such prices. However, there is still a price to pay, since a hotel often charges more for sleeping rooms when there are fewer group-catered events involved.

Hotels also profit heavily from catering receptions and social events where liquor or wine is served. Because the Phi Theta Kappa Convention has no large functions where alcohol is made available, the hotels often consider this as lost potential revenue and adjust their sleeping rates upward to compensate.

4. Hidden Hotel Costs Add Up ... Many times attendees aren't aware of the hidden costs that someone has to pay for, regardless of whether or not attendees actually use these services. For instance, many Phi Theta Kappans prefer to carry their own luggage to their rooms, but the hotel must still pay a bell staff. When four people share a room, the room requires more linens and more housekeeping services than rooms shared by only two people. Another hidden cost is something as simple as the water stations outside general sessions, regional meetings and educational forum rooms. Attendees may take them for granted, but they are not free. Also, different room uses require different set-ups. An area used for a dance one night may be needed for a breakfast the next morning. The hotel must have staff on hand late at night to "turn" the room and have it ready for the next group. Likewise, our varied and complex audio-visual needs in general sessions and break-out meetings require more hotel staff than do many other groups.

5. Our Reputation Precedes Us ... Most hotels consider the group's overall "wear and tear" on their property. While Phi Theta Kappa maintains an impeccable reputation as a high-quality Convention with enthusiastic and friendly attendees who love to fellowship, our overall delegation has earned a reputation with some convention hotels for being lively, noisy and frequently piling large numbers of students into one sleeping room.

For example, at the 1994 Convention in Anaheim, hotel security received over 60 "noise" complaints against Phi Theta Kappa attendees on one night alone - that was a record we would like to live down because convention hotels share this kind of information with each other, making it more difficult to negotiate low room rates in future years. Based on this reputation, some hotels feel they must schedule additional security personnel for our Convention and pass that additional cost on to us.

Some hotels still confuse Phi Theta Kappa with social fraternities, which many hotels refuse to book. Some hotels refuse to serve any student groups at all. While we attempt to convince hotels that our membership is different, the "high risk fraternity paranoia" still plagues us when negotiating room rates.

We would never want the cost of the hotel to prevent students from attending a Phi Theta Kappa Convention. For that reason we do secure, and publicize, alternate hotel accommodations at a lower rate. We do feel, however, that staying in the Convention hotel results in a more positive Convention experience.

For the 1999 Convention, some Phi Theta Kappans found on the Internet rooms for a lower rate in the Anaheim Hilton. While these offers may sound good, remember that these rooms are not being marketed by the Hilton, but by a third party broker who has secured a handful of rooms. In other words, there are no guarantees in these arrangements - and because the rooms were not booked through the Hilton, Phi Theta Kappa has no way of providing assistance if problems occur.

So... you see, it's not so simple. Keeping rates as low as possible is a top priority, however, and will continue to be our chief concern in negotiating future Convention sites. We hope you and your chapter are already making plans to be at Phi Theta Kappa's 2000 Convention! See you in Orlando, April 20-22, at the Walt Disney World Dolphin and Swan Hotels!

Contact Mike Watson , Associate Director of Phi Theta Kappa at 800.946.9995, Ext. 521.

Phi Theta Kappa International Honor Society
Center for Excellence
1625 Eastover Drive
Jackson, MS  39211
800.946.9995