How to Get Corporate Rates and Discounts on Hotels for Your Business

If your company generates a lot of business travel expenses, corporate discounts on lodging can net you significant savings. Each discount may not seem substantial on its own, but they add up over the year.

Making a profit is the bottom line of every business, no matter how big or small. So when you find ways to save money, like with corporate discounts, it makes smart financial sense to include them in your regular processes.

Did you know you can negotiate rates and use other strategies to boost the value of your dollar?

Once you learn the tricks of the trade, you’ll be able to land discounts effortlessly on hotels. You’ll be maximizing points to get free stuff on bookings you were making anyway.

This article has all the details you need to start saving money today.

Table of Contents

1. How Corporate Rates Work
2. Using a Platform for the Best Rates
3. Using Your Credit Card for Corporate Discounts
4. Discounts, Layered Rewards and Extra Points
5. Other Indirect Savings From Using the Right System

1. How Corporate Rates Work

When you understand the premise behind corporate rates, you’ll know how to approach the negotiation table.

Hotels, car rentals, airlines and travel agencies offer corporate rates as a way to attract workforce business — particularly medium-to-large corporations.

The idea behind hotels offering discounts to big companies is that those organizations will use the deals often enough that the greater amount of bookings will make up for the lower rates. Gaining recurring bookings from a business client can be very lucrative for a hotel, so it’s in their benefit to make themselves an attractive option to book.

Hotels Want Your Business, Even at a Discount

It’s the same mathematical principle used by any business that offers bulk sales:

When you get enough of a quantity sold for an amount slightly higher than your cost, you end up with a profit.

Typically, hotels will offer a general 10% discount on available public rates. This small concession attracts repeat guests and word-of-mouth referrals.

Still, 10% is the bare minimum, and you shouldn’t settle for that small reduction when you can negotiate a much better rate.

2. Using a Platform for the Best Rates

Discount rates are applied using predetermined codes. In the hotel industry, these booking codes are created for different companies to give them the best prices based on certain factors.

For instance, a company that could bring a lot of revenue to the hotel would be able to negotiate a better discount code than a small business with few employees.

The codes are supplied by the employee, manager or authorized person when they book their lodging. The general rate is then adjusted accordingly. However, if you know how to work around the system, you may be able to find better “codes” than your company’s rate can give you.

Hotel Engine’s Deeply Discounted Negotiation System

What booking sites are you currently using to find the best rates for your travelers?

Chances are, you’re not getting the greatest discounts possible — unless you have serious leverage and lots of negotiation finesse.

That’s what you get when you use Hotel Engine.

Unlike other booking tools that go a mile wide and an inch deep with multiple travel needs, Hotel Engine focuses on one thing:

Getting the best hotel rates for business clients, at the most properties worldwide.

By crowdsourcing demand from a large network of small and medium-sized businesses, they provide access to discounts that are otherwise only available to the Fortune 500. Hotel Engine offers rates that are up to 60% lower than what is publicly available.

And once you get those deep discounts, the HE Rewards program allows you to double up your rewards points with hotels’ brand-specific loyalty programs, which we’ll discuss in detail later.

The savings don’t even stop there. When you use your credit card to pay for your bookings, you may be eligible for even more perks.

Learn more: Hotel Engine Members Can Now Double Dip With Expanded Hotel Loyalty Program

3. Using Your Credit Card for Corporate Discounts

How you pay for your rooms makes a massive difference, as well. Your organization likely qualifies for business credit cards that offer cash back or perks for using them. The more you spend, the better the perks.

As long as you don’t allow too much interest to accrue on your card balance, the perks and financial incentives become a profit.

Using Credit Cards for Hotel Bookings

One thing to consider when using credit cards for corporate bookings is the increased possibility of fraud.

When multiple people have access to a company credit card or account, it’s challenging to keep the security under control. Hotel Engine takes care of this obstacle with its virtual credit cards.

Fraud Reduction

Hotel Engine helps you give employees control over their bookings while still maintaining fraud protection by assigning virtual business cards to each employee.

These cards link back to your original corporate card. When it’s time to put together your monthly invoice, all the bookings under those cards are assigned to your company. That way, you can pay off your invoice with your business credit card, gaining points for one large transaction rather than many smaller ones.

The key to maximizing your credit card use perks is to sign up for cards that provide rewards you’ll use. Cash back, travel discounts and free hotel rooms on business trips are great benefits that every company can incorporate into their travel policy.

Discover: 5 Best Tips for Avoiding Fraud While Booking Travel

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