New study says Sales Directors earn more money at luxury hotels
According to the recently released Director of Sales (USA) Compensation Study by David Mansbach, Managing Director AETHOS Consulting Group, Sales Directors at four- and five-star properties in the United States bring significant value to their properties and are compensated accordingly. Capturing market share is a constant battle and it’s vital to the growth and success of luxury properties to find, hire and retain the strongest candidates. Competitive and generous compensation programs attract and retain the “best of the best.”
This study included a compensation review of more than 250 Directors of Sales and found that there is a definite correlation between the size of a hotel and the compensation for Director of Sales particularly when the median cash compensation is based on the property’s room count. According to AETHOS, the highest paid Sales Directors are working for luxury properties throughout the U. S. and receive a median cash compensation total of USD $154,000, including base salary as well as annual cash bonuses. Sales Directors working in branded hotels earned more at USD $175,000, which was about $20,000 more than those working for independent properties.
Sales Director Job Description
In general, Sales Directors manage the property's hotel sales staff and works wtih revenue management and marketing departments to increase revenue for the company, grow market share, maximize RevPar (revenue per available room), and promote the hotel's brand.
The Sales Director has to be versatile and able to perform a variety of tasks when needed. Usually, the Sales Directors (or, the other common title of Director of Sales and Marketing [DOSM]) has extensive experience in the hospitality industry and at least a bachelor’s degree in marketing, sales, or a related field. Front-desk experience is often needed as well.
The director normally reports directly to the hotel general manager or assistant general manager. Candidates in this position must be able to work well with people and multi-task effectively, and should also have a deep knowledge of the hotel and its amenities.
This position often requires:
- A high degree of commercial awareness and excellent sales/negotiation skills
- Good business sense and ability to motivate and lead a team
- Degree in Business Administration, Marketing, Hotel & Restaurant Management or MBA
- 5 -6 years of experience in sales and marketing or related profession as well as a minimum of 3 years in a senior sales role.
Internal responsibilities and duties also usually include (but are not limited to) training staff, creating a sales plan for sales managers, ensuring the hotel meets or exceeds budgeted goals, assisting with development of promotions, attracting new business, providing aggressive positive leadership and setting quotas and incentives for sales staff.
Customer-facing responsibilities include turning a business client or consumer into a repeat customer. That may mean offering discounts on a future stay for an upcoming company event or even a referral credit for any business the customer sends to the hotel. Following a corporate event, the Director typically holds a review to get feedback on the function and continue contact with the client through periodic mailings or emails.
The position of Sales Director is at the crux of growing the hotel’s reputation and revenue, building loyal, repeat customers and increasing market share. Larger, branded and luxury hotels understand the value of a strong Director and compensate them according to results.
Find your next hotel sales job here.