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Revenue Management Glossary

Negotiated – Transient Sub-segment


The negotiated (transient sub-segment) market sub-segment are individual travelers who book rooms at discounted rates offered through contracts that have been pre-negotiated between the hotel and a corporate client, association or organization. Often this includes business travelers, consultants, contractors and/or government employees.

How to use it

This market sub-segment provide hotels with a consistent revenue stream from employees or members of the contracting organizations, and enables the organizations to offer more affordable rates to their team/members. This sub-segment is valuable for positioning the property as a preferred option for business travelers, enhancing the property's reputation with other corporate clients over time.



Related Terms

Corporate Travel, Fixed Rate, Long-Term Contract, Revenue Management, Inventory Management, Cost of Acquisition, Transient Segment
“This market sub-segment enables hoteliers to encourage repeat individual and corporate guests, who will generally be the most profitable guests. This sub-segment is also valuable as it can help a property maintain consistent profitability, even in periods of low demand, as it offers a pre-existing pool of potential travelers with a lower cost of acquisition and with much less effort than securing traditional transient business (as the rates and terms are already pre-negotiated with the organization).”

Tim Boersma

Tim Boersma