Hotel Booking for Business Owners

Question: A buddy of mine - a self-employed professional - drives me nuts bragging about the great hotel deals he gets when traveling for business, while I always seem to pay top dollar. I'm planning a trip right now and as with other business owners, every dollar comes out of my own pocket. What's the secret to saving money on places to stay?

Answer: Hotel room pricing, much like airfare, is complex and uneven. On any given floor in a hotel, occupants might be paying up to 20 different rates for the same room. Price conscious entrepreneurs traveling on business can save a ton of money by making the right hotel booking moves.

"The hotel industry hasn't quite caught up to the pricing sophistication of the airlines, so you can be quoted very different rates for the same room depending on whom you call," says William Mitchell, author of Hassle-Free Business Travel (Ten Speed Press, 2003). "There is no single source that guarantees the lowest rate."

A little effort combined with luck and timing are your best weapons. Web sites run by the hotels themselves are a convenient place to comparison shop, but you won't necessarily get the best rate. In some cases it's best to call the hotel chain's toll-free reservations number. In other cases, calling individual hotels directly works best.

But no matter whom you call, says Mitchell, expect to hear the highest "rack rate" first. Before you accept that rate, try asking if something better is available. Even calling the same number on different days can get you a better deal.

Online hotel booking agencies that negotiate special deals with select hotels can be an excellent place for business owners to save time and money. These sites specialize in hotels, and some offer bookings only in certain cities. Many offer convenient search tools to help you find hotels with specific amenities or features that you need, at discount prices. These are our favorites:

• We first started using Quikbook in the early 1990s when it specialized in discounted rooms at business class hotels in New York, San Francisco and a few other cities. Now this consumer friendly service negotiates great rates for hotels at 75 destinations and is one of the top money saving tools around for small biz travelers. The service here is exceptional. Visit www.quikbook.com or call (800) 789-9887.
  
  
• Hotels.com is the biggest of the discount hotel brokers. Because of its high-volume clout, it's a good place to look for a room even when the hotel itself says nothing's available. Discounts on car rentals, too. Go to www.hotels.com.
  
  
• Other options include: Hotelsonline.com, PlacesToStay.com and TravelWeb.com.

Here are some other money-saving tips and strategies:

1. If you are flexible on your hotel choice, Priceline.com could save you hundreds. Pick the part of town where you want to stay, select your desired quality level (up to 3 stars), and enter an amount you want to pay. If there's a hotel willing to accept your price, the service will book the room and charge you in advance. Only then will they tell you which hotel you are staying in. Many travelers routinely pay $50 or less for rooms that go for $100 or more.
   
   
2. If you like a full, hot breakfast but not those outrageous hotel breakfast prices, consider suite hotels that include a hot breakfast in the price of the room. Choices include: Hawthorn Suites, AmeriSuites and Embassy Suites.
   
   
3. Check cancellation policies. Some hotels require three to seven days notice to cancel or you'll be charged for the first night. Others let you cancel up to the day of arrival with no penalty.
   
   
4. If you use an American Express card for your business, the American Express travel service - Amex's in-house travel agency - is a good place to book hotels. Amex has discount deals with hotels in most major cities.
   
   
5. Sign up for hotel rewards program that give you points - and in some cases, airline miles - for each night. Convert points to free nights, room upgrades and other freebies. Marriott Rewards, Hyatt Gold Passport, Holiday Inn Priority Club and Starwood Preferred Guest (Sheraton, Westin and others) are a few good ones.