L.A. hotel strikes back with 12% commission for group bookings

L.A. hotel strikes back with 12% commission for group bookings

LOS ANGELES — One downtown L.A. hotel is wooing travel agent and meeting planner business with a new limited-time 12% commission rate on group room sales and meetings.

The boosted rate at L.A.’s LUXE City Center is a competitive move against big-name brands like Marriott, Hilton and IHG, all of which announced commission cuts for group bookings earlier this year.

Marriott notified the trade in January that it was dropping its group booking commission rate from 10% to 7% effective March 31 for all properties across the U.S. and Canada.

Hilton followed in March, with a cut to 7% that takes effect Oct. 1.

And then in May IHG InterContintnental Hotels Group announced that its group booking commission cut to 7% would be effective Jan. 1, 2019. The move impacts all IHG properties, including Kimpton Hotels properties, in the U.S. and Canada. Group bookings at IHG properties outside of the U.S. and Canada will still earn 10%.

LUXE City Center says its new 12% rate for group room sales and meetings applies to all groups booked before Sept. 30.

“We hope this offer demonstrates to meeting planners and travel agents how integral their relationships are to our business,” said Brian Comeau, General Manager of Luxe City Center Hotel. “As a boutique hotel, we are leveraging our position in comparison to the major commission cuts recently made by Marriott, Hilton and Starwood and extending our appreciation to them for all the hard work they do.”

LUXE City Center recently underwent modernizations to its venue spaces in March of this year, with three newly renovated venues: the Angeleno Room, Figueroa and Olympic Ballroom, and Nixo Patio Lounge, overlooking L.A. Live.

The hotel also features an 8,400-square-foot north parking lot, which works well for large-scale events such as car shows, concerts, team building and other public activations, say hotel reps. Directly off of Figueroa and Olympic Boulevard, the blank space “allows for one-of-a-kind events”.

For more information on LUXE City Center visit luxecitycenter.com, fill out a request for proposal, or call (213) 748-1291.

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