+ All Categories
Home > Documents > 26478453 Final Project of CRM on Hospitality Sector NW

26478453 Final Project of CRM on Hospitality Sector NW

Date post: 05-Apr-2018
Category:
Upload: ankita-modi
View: 222 times
Download: 0 times
Share this document with a friend

of 53

Transcript
  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    1/53

    CRM INHOSPITALITYINDUSTRY(A COMPARATIVE STUDY OF

    MAURYA SHERATON & PRIDEHOTELS)

    SUBMITTED TO:- Ms. ANURUPA SINGH

    SUBMITTED BY:-CRM GP-6NANDITA NEGINIDHI ANANDNIDHI RANIRANJANA PRIYASEEMA KALKHANDASUMEDHA KUMARI.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    2/53

    2

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    3/53

    3

    HOSPITALITY INDUSTRY AN OVERVIEW

    Hospitality is all about offering warmth to someone who looks for help at a strange or

    unfriendly place. It refers to the process of receiving and entertaining a guest with

    goodwill. Hospitality in the commercial context refers to the activity of hotels,

    restaurants, catering, inn, resorts or clubs who make a vocation of treating tourists.

    Helped With unique efforts by government and all other stakeholders, including hotel

    owners, resort managers, tour and travel operators and employees who work in the sector,

    Indian hospitality industry has gained a level of acceptance world over. It has yet to go

    miles for recognition as a world leader of hospitality. Many take Indian hospitalityservice not for its quality of service but India being a cheap destination for leisure

    tourism.

    With unlimited tourism and untapped business prospects, in the coming years Indian

    hospitality is seeing green pastures of growth. Availability of qualified human resources

    and untapped geographical resources give great prospects to the hospitality industry. The

    number of tourists coming to India is growing year after year. Likewise, internal tourism

    is another area with great potentials.

    The hospitality industry is a 3.5 trillion dollar service sector within the global economy. It

    is an umbrella term for a broad variety of service industries including, but not limited to,

    hotels , food service, casinos, and tourism. The hospitality industry is very diverse and

    global. The industry is cyclical; dictated by the fluctuations that occur with an economy

    every year.

    Today hospitality sector is one of the fastest growing sectors in India. It is expected to

    grow at the rate of 8% between 2007 and 2016. Many international hotels including

    Sheraton, Hyatt, Radisson, Meridien, Four Seasons Regent, and Marriott International are

    already established in the Indian markets and are still expanding.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    4/53

    4

    Nowadays the travel and tourism industry is also included in hospitality sector. The boom

    in travel and tourism has led to the further development of hospitality industry.

    The hospitality industry consists of companies within the food services , accommodations

    , recreation and entertainment sectors.

    The hospitality industry is a several billion dollar industry that mostly depends on the

    availability of leisure time and disposable income. A hospitality unit is such a restaurant,

    hotel or even an amusement park consists of multiple groups such as facility

    maintainance, direct operations(servers, housekeepers, porters,kitchen workers,

    bartenders,etc.) management, marketing and human resources.

    Usage rate is an important variable for the hospitality industry. Just as a factory owner

    would wish to have his or her productive asset in use as much as possible ( as opposed to

    having to pay fixed costs while the factory isint producing), so do restaurants, hotels and

    theme aprks seek to maximize the number of customers they process.

    In viewing various industries, barriers to entry by new comers and competitive

    advantages between current players are very important. Among other things , hospitality

    industry players find advantage in old classics(location), initial and ongoing investment

    support (reflected in the material upkeep of facilities and the luxuries located there in) ,

    and particular themes adopted by the marketing arm of the organization in question ( such

    as a restaurant called the 51st

    fighter group that has a WW2 theme in music and other

    environmental aspects). Very important is also the characterstics of the personnel workin

    in direct contact with the customers. The authenticity, professionalism and actual concern

    for the happiness and wellbeing of the customers that is communicated by successful

    organizations is a clear competitive advantage.

    In 2003-04 the hospitality industry contributed only 2% of the GDP.

    However, it is projected to grow at a rate of 8.8% between 2007-16, which would place

    India as the second-fastest growing tourism market in the world. This year the number of

    tourists visiting India is estimated to have touchedthe figure of 4.4 million. With this

    huge figure, India is becoming the hottest tourist destination. The arrival of foreign

    tourists has shown a compounded annual growth of 6 per cent over the past 10 years.

    Besides, travel and tourism is the second highest foreign exchange earner for India.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    5/53

    5

    Moreover, it is also estimated that the tourism sector will account for nearly 5.3 per cent

    of GDP and 5.4 per cent of total employment.

    GDP Employment Visitor Export Personal T&T Capital Investment Govt. Expenditure

    Outlook for 2006 :- 7.80% 1.40% 10.90% 6.90 % 8.30% 7.70%

    Outlook for 2007-2016 :- 6.60% 1.00% 7.80% 6.70% 7.80% 6.60%

    ATITHI DEVO BHAVO (guest is God)- we have all heard this phrase many times

    during our childhood from our parents and grand-parents. We can also find its presence

    in the earliest Vedas and religious epics. Hospitality is deep-rooted in our traditions and

    comes as an integral part of our heritage. In very simple terms, hospitality is the art of

    being warm to strangers and has been derived from the Latin word hospitalitem,

    which means "friendliness to guests". The hospitality industry covers a diverse range

    of establishments in the form of accommodation, food and drinks. It includes hotels,

    motels, restaurants, bars, ships, airlines and railways. The concept of hospitality business

    started when people started traveling away on business and they needed a place away

    from home which could cater to all their needs. Today hospitality has evolved from the

    basic food and accommodation industry and taken a very important position in almost all

    businesses. In fact, it has become a huge industry and drives economies across the globe.

    The scope of hospitality/ service industry today is far more than one could have ever

    imagined a few years back. Earlier people who graduated from a Hotel School could get

    employed either in Hotels, Cruises or Airlines.

    But service is the BUZZ word for all businesses today. Be it the Retail Sector, Banking

    Industry, BPO, Telecom world, Real Estate or any other sector having direct customer

    contact, a person with hospitality background has an edge above the rest, because of their

    sheer capability of understanding the needs of a customer better and handling difficult

    customers/ situations efficiently. Hotel industry depends largely upon the foreign tourist

    arrivals further classified into business travellers (around 65% of the total foreign

    tourists) and leisure travellers. The following figures show that business as well as the

    leisure travellers (both domestic and international) formed major clientele for hotels in

    2004.Over the last two years, the hotel industry has seen higher growth rates due to

    greater number of tourist arrivals, higher occupancy rate (being around 75% in FY'06)

    and significant increase in average room rate (ARR). The major factors contributing to

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    6/53

    6

    this growth include stable economic and political conditions, booming service industry,

    FDI inflow, infrastructure development, emphasis on tourism by the central as well as

    state governments and tax rationalization initiatives to bring down the tax rates in line

    with the international levels.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    7/53

    7

    Top players of the industry

    The top players in hospitality sector include the following:

    ITC Hotels Indian Hotels Company Ltd. (The Taj Hotels Resorts & Palaces) Oberoi Hotels (East India Hotels) Hotel Leela Venture Asian Hotels Ltd. Hotel corporation of India ITDC hotels

    Some of the main features of the Indian hotel industry include the following:

    The industry is more dependent on metropolitan cities as they account for 75% to80% of the revenues, with Delhi and Mumbai being on top.

    The average room rate (ARR) and occupancy rate (OC) are the two most criticalfactors that determine profitability. ARR depends on location, brand image, star

    rating, quality of facilities and services offered. The occupancy rate depends on

    other seasonal factors.

    India is an ideal destination for tourists. Approximately 4.4 million tourists visitIndia every year. Thus the growth prospects are very high.

    In the hotel sector, a number of multinationals have strengthened theirpresence. Players like Four Seasons are also likely to enter the Indian market in the

    near future. Moreover, Indian hotel chains are also expanding internationally. Acombination of all these factors could result in a strong emergence of budget hotels,

    which could potentially lower the cost of travel and related cost.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    8/53

    8

    Classification of Hospitality industry

    5 Star and 5 Star Deluxe. These are mainly situated in the business districts of

    metro cities and cater to business travelers and foreign tourists. These are

    considered to be very expensive. These account for about 30% of the industry.

    Heritage Hotels. These are characterized by less capital expenditure and greater

    affordability and include running hotels in palaces, castles, forts, hunting lodges,

    etc.

    Budget Hotels: Budget hotels cater mainly to domestic travelers who favor

    reasonably priced accommodations with limited luxury. These are characterized

    by special seasonal offers and good services.

    Unclassified: These are low-priced motels spread throughout the country. A low-pricing policy is their only selling point. This segment accounts for about 19 % of

    the industry.

    5 Star and 5 Star Deluxe

    Heritage Hotels

    Budget Hotels

    Unclassified

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    9/53

    9

    CONTRIBUTION TO INDIAN ECONOMY

    The Indian hospitality industry is going great guns presently, with high operating margins

    and increase in the number of travellers visiting India - both inbound and outbound. Thus,

    the only direction left for the sector points upwards. However, what needs to be focussed

    on is the fact that opportunities are not missed, which presently include the large gaps in

    rooms supply as compared to demand.

    India has approximately 100,000 rooms only in totality, which is lesser than thatin Las Vegas, besides contributing to an insignificant portion of the GDP - just 5.4

    per cent says Sudeep Jain, executive director of JLLM.

    In comparison to nations like China, Thailand and Malaysia where the hospitalityshare ranges between 12 and 15 per cent, India's growth potential is boundless.

    "By 2020, the hospitality and tourism sector would be a major contributor to theIndian economy," says Jain. South Asia is and will remain a must-visit destination

    and India is looking more and more lucrative.

    Within the nation, major contribution as destinations will be from the growing tier I and

    II cities with a special emphasis on business hotels across categories as well as the prime

    leisure destinations like Goa, Rajasthan, etc, which will remain on the growth path,

    creating the aura for India as a leisure destination. Accordingly, the needs of the traveller,

    will be nothing less than perfection. Jain says, "They will be more discerning and more

    value conscious." With an increase in choices available, they will be less forgiving of

    service deficiencies. Guests will require higher levels of service in the full-service

    segments, which will warrant greater training requirements for hotel staff. The limited

    service hotels will require a complete shift in the perception of customer service.

    Nevertheless, this is directly related to the travellers' travel persona. "The same person

    will have different standards when he/she is on a business trip, versus an escape with his

    partner versus a leisure trip with the family," he explains.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    10/53

    10

    The driving force

    Being part of a real estate money management and services company, there are various

    driving factors for growth opportunities. It is believed that if the country is able to sustain

    its economic growth specially in the service sector, it will have a direct influence on the

    hotel industry. This is directly related to the incoming foreign investments, not just in

    the hotels but the economy as a whole. Also equally important is the fact that India has

    now discovered the power of marketing and with campaigns like Incredible India,

    there are also the various large scale regional and global events like the upcoming

    Commonwealth Games, Asian Games and the recent Indian Premiere League that builds

    interest about the nation. "These are just external factors. The policies and incentivesthat will be provided over the next decade could further act as a catalyst to this industry,"

    . Apart from these external factors there are other factors where the industry can be given

    a great boost.

    For instance if land prices became more realistic, the process of getting approvals and

    licences to build and operate hotels are streamlined, together with strong infrastructure

    development and investment and more tax/levy incentives being provided to build hotels,

    it would prove very fruitful for the industry. It is believed that there would be no

    stopping the growth in the industry if these measures were undertaken. But the fact

    remains that half of these changes will only occur if the government begins to take some

    proactive measures and provide the much needed stimuli to further accelerate

    development.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    11/53

    11

    Challenges For Hospitality Industry

    1. Shortage of skilled employees: One of the greatest challenges plaguing thehospitality industry is the unavailability of quality workforce in different skill

    levels. The hospitality industry has failed to retain good professionals.

    2. Retaining quality workforce: Retention of the workforce through training anddevelopment in the hotel industry is a problem and attrition levels are too high.

    One of the reasons for this is unattractive wage packages. Though there is boom

    in the service sector, most of the hotel management graduates are joining othersectors like retail and aviation.

    3. Shortage of rooms: The hotel industry is facing heavy shortage of rooms. It isestimated that the current requirement is of 1,50,000 rooms. Though the new

    investment plan would add 53,000 rooms by 2011, the shortage will still persist.

    4. Intense competition and image of India: The industry is witnessing heightenedcompetition with the arrival of new players, new products and new systems. The

    competition from neighboring countries and negative perceptions about Indian

    tourism product constrains the growth of tourism. The image of India as a country

    overrun by poverty, political instability, safety concerns and diseases also harms

    the tourism industry.

    5. Customer expectations: As India is emerging as a destination on the globaltravel map, expectations of customers are rising. The companies have to focus on

    customer loyalty and repeat purchases.

    6. Manual back-end: Though most reputed chains have IT enabled systems forproperty management, reservations, etc., almost all the data which actually make

    the company work are filled in manual log books or are simply not tracked.

    7. Human resource development: Some of the services required in the tourism andhotel industries are highly personalized, and no amount of automation can

    substitute for personal service providers. India is focusing more on white collar

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    12/53

    12

    jobs than blue collar jobs. The shortage of blue collar employees will pose various

    threats to the industry.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    13/53

    13

    Recommendations to the government

    The government could constitute a steering committee to review the demand and supply

    of the human resources in the hospitality industry and prepare plans for developing

    qualitative human resources which are required for the present day global industry. The

    committee should constitute with the members from all concerned areas like :

    State and central tourism development commissioners Representatives from all areas of hospitality industry Members / president / secretary of the hotel management associations Members / president / secretary of the travel and tourism association Representative from hotel employees associations One member representative from international hotel chain

    The committee should review the present situation and suggest the steps to be taken to

    reduce the gap between the demand and supply of human resources in the industry. The

    committee should concentrate on the following issues mainly :

    Create a policy on industry institute interaction Establish an apex body t coordinate all the management institutes in the country. For conducting common entrance test for all Govt. university / AICTE / private

    institutes in the country

    Curriculum development from time to time as industry requirement Fees structure for different courses in different institutes

    Appoint a committee to identify the requirements of qualified manpower forInternational Hotels and also identify the ways to develop

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    14/53

    14

    Recommendations to the hospitality industry :

    Tieups with institutes :It is the duty of the Industry t makes necessary tie-up / arrangement for their

    required human resources with one or two hospitality institutes in the country.

    Continuous training :There is a need of continuous training to all categories of employees in the

    organization. When they have a tieup with the institutes, the institutes will offer

    inhouse training to different category of employees from time to time to update

    their skills.

    Sponsoring:It is the duty of the industry to sponsor some amount / equipment to the institute

    for their betterment. if possible the sponsor a chair for continuous funding and

    research for that institute .

    Research :Every institute must spend some amount for the research which is essential for

    further development and understand the present situation. The industry should

    involve in the researchers by providing timely information and data which is

    ultimately useful for them only.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    15/53

    15

    THE HOTEL INDUSTRY

    What Is Customer Relationship Management?

    CRM entails all aspects of interaction a company has with its customer, whether it issales or service related. It even uses technology to streamline processes that impactcustomer loyalty, service delivery and quality management.

    CRM is a business strategy; one that puts the customer at the heart of the business. Thevalue of a customer relationship is well recognized by many leading companies,

    especially by those in the service sector. For high quality hotel enterprises, application ofCustomer Relationship Management (CRM) is a great opportunity to increase customervalue and provides a way to systematically attract, acquire and retain customers.

    In the future also, customer relationship management and knowledge managementtogether will help businesses accumulate customer knowledge build up betterrelationships between them and their customers enhance customer satisfaction andachieve business excellence

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    16/53

    16

    One of the greatest strength is to attention to details, to focus on the bif abd smalllittle things that make the difference when it comes to comfort, productivity and also thestaff. In CRM the detailed attention is made which is unattended and which can reallyreduce the cost.

    HISTORY OF CRM

    Following on from Enterprise Resource Planning or ERP (the business strategythat promised to automate the back-office), the term CRM was first coined in the mid-1990s. CRM in those days referred to the software used to help businesses manage theircustomer relationships. From sales force automation software (SFA) that focused oncustomer contact management to integrated knowledge management solutions, thesewere the early foundations of CRM.

    The last couple of years have seen the term broaden to encompass a more strategicapproach and the investment of billions of dollars worldwide into CRM solutions andservices has followedCustomer relationship management is more than the practice of collecting guest-centricdata. Its the art of using historical, personal, and experiential information to personalize

    a guests stay while generating incremental revenue opportunities. Knowing a traveler is

    an avid sports fan creates the opportunity to market tickets to a game; knowing a guesthad a less-than-memorable experience in the hotel restaurant gives you a chance to winthem back the next time they are in town.

    Microsoft partners have developed a number of leading CRM solutions based onthe latest generation of Microsoft technology. Using the Microsoft suite of applications,devices, and technology, Microsoft partners can provide you with CRM solutions thatpersonalize the guest experience and help you generate more revenue.

    The Right Technology

    It is estimated that the global market for CRM services and solutions is currentlyworth $148 billion. That means a lot of choice when selecting your technology - fromweb-based solutions aimed at small businesses with less than 10 employees to solutionssuitable for multi-national enterprises with millions of customers.

    I have taken at look at the most widely used solutions and services and listed them in ourCRM Application Guide. Although this is certainly not an exhaustive list, it will give youa good idea of whats out there.

    The Future

    CRM has already made a big impact in the world of Customer Service and willcontinue to do so. As more and more companies become customer-centric those that fail

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    17/53

    17

    to do so will lose competitive advantage. As technology increases to develop at a startlingrate the key emphasis will be how we can fully utilize it within our business.

    However let's not lose sight of the fact that Customer Relationship Management isabout people first and technology second. Thats where the real value of CRM lies,

    harnessing the potential of people to create a greater customer experience, using thetechnology of CRM as the enabler.

    CRM may or may not prove to be the answer to providing excellent customer care, butthe philosophy of putting customers at the heart of our business is definitely a step in theright direction.

    Key Benefits

    Maintain one set of customer information and make that accessible (role based)wherever and whenever it is needed.

    Enable to have a 360-degree view of the customer and achieve excellence. Increase in customer acquisition, retention, loyalty and profitability. Automate the sales process; increase in number of opportunities through constant

    follow-ups.

    Empower sales team with real-time pipeline and forecasting to direct focus tomost profitable opportunities.

    Quickly identify and provide response to your most profitable customer issuesand prospects.

    Enable marketing professionals to quickly measure response to marketinginitiatives (Advertisement, Exhibition, Trade shows, Cold calls, E-mails, TVshows etc.) Real-time basis and leverage the most successful campaigns.

    Achieve customer satisfaction by decreasing customer response time. Reduce call-handling time by providing knowledge base that incorporates

    powerful search capability in order to quickly locate the relevant data and solvecustomer problems.

    Document management saves time in searching the required document when on-line with the customer.

    Send and receive fax from the application. Schedules appointments, meetings, calls. Set reminders; keep you alert of all the

    important activities.

    Marketing activity reports are available on-line for analysis and immediate action

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    18/53

    18

    Some Applications of Technology in CRM

    1. Call centers: These are organizations which deal directly to the customerinteractions. These are otherwise known as "Customer Care Centre" or "Contact Centre"indicating more technological sophistication and multichannel support. Call centretechnologies entered the market place to effectively alleviate some of the repeat workand increase efficiencies, allowing companies to handle escalating call volumes.Customer Service Representatives (CSRs) could look up similar calls and resolutionswhile a customer was on the phone, without having to repeat research. The software toolsbeing used in the call-centers also provide forecasting of call volumes to ensureadequate call centre staffing. (Lemon, et al, 2002)

    2. Web based self-service: The customers themselves, without the help of a live personcan resolve their problems or find out answers to their queries using the web. This modelis founded on the principle of enabling customers, partners and employees to obtaininformations or conduct transactions directly over the internet, avoiding time-

    consuming and costly traditional processes involving multiple verbal or writteninteractions. It provides control, performance, convenience and efficiency.

    3. Customer satisfaction measurement: Survey mails are the major way for companiesto monitor customer satisfaction. Nowadays, these survey forms are even personalized tospecific customers or customer groups. Responses are input into customer databases andincluded as part of individual customer profiles. Such tracking of customer satisfactionover time enables a company to fine tune how it communicates with its customersaccording to their preferences. (Mohan Babu, 2003) Now, the paper based surveys aregiving way to electronic surveys.

    4. Call-scripting: Automatic scripts generated for customer service representatives,based on an individual customer's segment and/or customer profile contents. Scriptsremove the guess work from determining how to respond to a customer query orcomplaint, guiding representatives through a dialogue with the customer and thusoptimizing discrete customer interactions.

    5. Cyber agents: This is a kind of an improved or modified form of the concept of self-service. Cyber agents are 'lifelike representatives' normally depicted on a companys website as a real person. This attempt to pull together the best of both personalization andadvanced technology. It is given a personality and is having facial expressions andvolume. Usually a cyber agent addresses the web visitor with his/her first name. It candraw from the wealth of detailed information to answer basic FAQs as well as guide acustomer to the appropriate screen for a definite purpose/action.

    6. Web site: It is the efficient and effective use of worldwide web for providinginformation to the customers, by a company who had created that site, in a hassle-freemanner. The main advantage of a web site is its 24 hours accessibility. Usually gatheringinformation from the site is a simple task and is cost-effective. In the US and in thedeveloped countries web is extensively used. In the case of monetary transactions, if it isa high involvement activity most of the customers prefer the offline mode mainly due to

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    19/53

    19

    their concern over security problems in monetary transactions, through the net. (Key Note, 2003)

    CRM IN HOTEL INDUSTRY

    Industry Definition

    CRM is a business strategy to select and manage the most valuable customerrelationships. CRM requires a customer-centric business philosophy and culture tosupport effective marketing, sales and service processes. CRM applications can enableeffective customer relationship management, provided that an enterprise has the right

    leadership, strategy and culture.In hospitality, each customer relationship has value and should be managed effectively.There is opportunity for repurchase and recommendation from each past customer. Theadministration of the information about this past guest and the effective integration of theinformation into frontline guest services programs is the challenge of CRMimplementation.

    Tactically, where does CRM start? The recommended implementation of customerrelationship management typically looks like. Statistically valid customer satisfactionmeasurement:From the very top of the organization, there should be a commitment to CRM including

    customer satisfaction, employee satisfaction and a desire to have one voice to thecustomer.

    With the latest offerings in CRM, hoteliers can:

    Develop comprehensive guest profiles from reservation information and demonstrate toguests that the property is in touch with their needs.

    Drive guest-centric data down to the transaction level, allowing employees and guest-facing technology to deliver greater value to the guest.

    Generate a realistic profile on the spending and stay patterns of guests, allowing theproperty to create guest-centric marketing for increased loyalty and spending.

    Its All about Technology Technology certainly plays an important role in theimplementation of a successful CRM project. However, it is not a silver bullet that willsolve all problems or open all doors. It is important to remember that all technologydecisions are only relevant in a business context. All the technology inthe world is cool,

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    20/53

    20

    but if your business processes arent set up to effectively utilize these resources, your

    company will be added to the statistics of failed CRM implementations.

    Implementing an effective CRM solution is not complex. Adequate planning, effectivecommunication, stakeholder involvement and mistake avoidance will ensure that your

    initiative gets off the ground easily, and places you squarely in the exalted ranks ofsuccessful CRM implementers. The first thing you find when looking into the world ofCustomer Relationship Management is the number of different definitions in use today.

    eCRM or Web based CRM

    e-CRM application in hotel industry are straddling across business functions to retain,capture and capitalize on customer data, i.e. integrating all aspects of business processand systems by keeping the customers as the core. e-CRM projects are no longer viewed

    as stand-alone implementations but are now being increasingly pursued in context oflarger business objectives and core strategic agendas. Corporations realize that the truevalues of their customers in down turn are the ones that will be equipped, tied over theslump and jump start, consolidate and thrive.

    e-CRM Components in Hotel Industry

    Sales functionality: Contact management profiles and history, accountmanagement including activities, order entry, proposal generation Sales management functionality: pipeline analysis (forecasting, sales

    cycle analysis, temporary alignment and assignment, roll up and drilldown reporting).

    Telemarketing/Telesales functionality: call list assembly, auto dialing,scripting, order taking.

    Time management functionality: single user and groupcalendar/scheduling, e-mail

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    21/53

    21

    Customer service and support functionality: incident assignment,escalation, tracking/reporting, problem management/resolution, ordermanagement/promising, warranty/contract management

    Marketing functionality: campaign management, opportunitymanagement, web-based encyclopedia, configuration, marketsegmentation, lead generations/enhancement/tracking.

    Executive information functionality: extensive and easy-to-usereporting

    ERP integration functionality: legacy systems, the web, third partyexternal information

    Data synchronization functionality: mobile synchronization withmultiple field devices, enterprise synchronization with multipledatabases/application servers

    E-commerce functionality: manages procurement through EDI linkand web-server and includes B2B and B2C applications

    Service support functionality: Worker orders, dispatching, real timeinformation transfer to field personnel via mobile technologies

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    22/53

    22

    Customer Relationship Management Software for

    the Hotel Industry

    Guest Ware is a unique Customer Relationship Management System (CRMS) designedspecifically for the lodging industry to provide personalized guest recognition andexceptional service quality. Leading hotel management companies use Guest Ware toimprove guest satisfaction, lower operating costs, build guest loyalty, and increaserevenues. (www.guestware.com)

    Guest Ware is installed in over seven hundred hotels and resorts worldwide; includingMarriott International, Kimpton Hotel Group, Hyatt Hotels, Star wood and manyindependent hotels and resorts.

    Marketing Solution - The CRM Approach

    Now more than ever, it is critical for hospitality sales and marketing professionals tomaximize their return on investment (ROI) in marketing. Experts agree targetedmarketing to existing customers is the best way to increase marketing ROI. Most industryconsultants estimate the cost of finding a new customer is between 5 and 10 times thecost of retaining an existing customer.

    Improvement Analysis - Implement Process Improvement

    Industry surveys show that guests are less likely to return if they experience a problemduring their stay. Guest Wares Improvement Analysis tools provides with the

    information to eliminate recurring problems and keep guests coming back, so to loweroperating costs and increase guest satisfaction at the same time.

    Comment Card Tracking - Listen to your Customers

    Customer survey on restaurant or an extensive questionnaire of guests, the GuestWareComment Card Tracking system assists to manage customer feedback. Guest Ware willimprove productivity in the follow-up process and provide valuable management reportsto maximize the benefits of your surveys.

    Guest ware Enterprise Solution

    For Effective Means

    Intended for hotel chains, brands and management companies, the Enterprise Guest Waredatabase maintains a single view of the customer essentials for CRM. Enterprise GuestWare enhances property management systems (PMS) and central reservations systems(CRS). It allows hotel companies to implement enterprise CRM while leapfroggingexisting hotel technology investments.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    23/53

    23

    Communications Server - Two-way Messaging

    The Guest Ware Communication Server integrates two-way messaging (or other types oftext-based messaging) with Guest Wares Rapid Response. It allows staff to receive andclose requests and maintenance issues from a pager or cell phone. The software helpsstreamline service delivery and uses existing e-mail systems or a modem to communicate

    with most two-way messaging devices.

    With the latest offerings in CRM, Hoteliers can:

    Develop comprehensive guest profiles from reservation information anddemonstrate to guests/customers that the property is in touch with their needs

    Drive guest-centric data down to the transaction level, allowing employees andguest-facing technology to deliver greater value to the guest/customers.

    Generate a realistic profile on the spending and stay patterns of guests, allowingthe property to create guest-centric marketing for increased loyalty and spending.

    ITC Maurya Sheraton - Field selling, Loyalty programs, Reservation systems, Web &Call centers are the major sources of database development. The hotel has 35,000members in its database. They regard this management of their database as an assetbecause it enables a superior customer understanding.

    Using the Database:

    Product and service improvement is just one result of tapping into a database.Developing special promotions and employing direct mail to promote these campaigns is

    another major use of database marketing.

    For example: A sales team of Mughal Sheraton, Agra had completed a review of anupcoming weekend. This review revealed that bookings to date were some what belowforecast and that a special promotion may be done in order to speed up the business. Thesales team then enveloped special promotion packing to encourage bookings forweekends. They searched their welcome break holiday package database and scratched itto identify and segment the customers who tend to (Sheth, 2002):

    Book on long weekends Book on a short term basis Respond to promotional campaigns

    The direct mailing was used as a principal means to reach out to these customers.Activities like these are today referred to as database marketing. It is aggressive sellingto the potential customers who have particular needs and wants and building a match orfit the needs of the noted. Therefore, out of the database of 35,000 members, only a

    few but almost some customers were contacted by direct mailing which resulted insizeable sale during the otherwise lean weekend at Mughal Sheraton Agra.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    24/53

    24

    Database Mining

    Starkov, (2006) points out that Database mining is the process to distill the targetcustomers groups out of the massive data files typically found in hospitality operations.In other words, these are systematic ways to distill through a database of a multitude of

    databases to get the information for which one is reaching.Some hotels outsource these tasks to companies that specialize in this field or at best, doit internally. It enables users to easily integrate company/ property managementreservations and point of sale systems, automatically extracting operating data fromlegacy databases for use in the marketing database. The systems analysis tools allowusers to profile their most profitable customers, analyze their buying habits, develop &assess the performance of targeted marketing campaigns. The biggest advantage ofdatabase mining is that it helps to focus the efforts and available resources into onedirection which is most profitable and out-base mining helps to eliminate the non-profitable customers and hence reduces the costs and enhances the profits. The profitsenhanced are not only in monetary terms but also in terms of customer loyalty and long

    term retention. Companies in hospitality that are adopting the database marketingapproach to enhance sales are seeing increased customer satisfaction which further resultsin increased revenues. From the point of view of the internal customers also, a newprofession is emerging in the hospitality industry of getting and keeping a customer.

    Relationship Marketing

    Rama (2005) suggests that frequent customer programs and database marketing effortscontribute to a more comprehensive approach to satisfying customers called relationshipmarketing. Relationship marketing depends on the goodwill generated by frequent-buying programs as well as on the information provided from database marketing efforts,goes beyond simple short term awards and involves all the elements of a firms andservices to encourage a personal relationship with each customer. Relationship marketingis knowing the customer and using that information to bond with them. Form the initial

    personal contact and then serve as the foundation for nurturing this brief encounter into afriendly and accommodation relationship by focusing on personal guest information. Inaddition to knowing the purchase habits of members (room selection, certain amenitypreferences, and so forth), personal information such as spouses name and hobbies areadded to a member database The company uses this information to tailor special eventsand products to small segments of the membership.

    Complaint Handling

    Few companies, use or pay attention to complaints. Who wants to hear what theyre

    doing wrong, especially if the criticism is well founded. It is estimated that 90 percent ofdissatisfied customers whose problems were not solved will never do business with theretailers that sold them the product nor will they again buy the product that caused theproblem. In case of hotels customer/guest is more likely to switch if the provided serviceis not satisfactory to their expectation.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    25/53

    25

    On a personal level we all know what our faults are but we get defensive way theyre re

    pointed out. Were also aware of weaknesses in our job performance, problems in ourorganization and imperfections in its products and services. But reacting to criticism isdifficult. We tend to respond in a guarded and defensive way, which may avoid squarelyconfronting the real problem. Likewise, companies tend to let themselves off the hook

    too easily: We never could have satisfied that customer. (Schneider and Bowen, 1999)The astonishing news is that those people who do complaint and have their problem takencare of, tend to be more loyal to the company than the people who were satisfied in thefirst place. World-Class companies see complaints as opportunities to improve, toimpress customers and to turn complaining customers into loyal ones.

    Priority Marketing

    Priority Marketing focuses on whats important to the customer. What is important to onecustomer however, may not be as important to another.Consider the varying demand placed on a hotel: An airline stewardess may find the 24hour room-service extremely valuable, a retired couple may need dietary menu options, a

    tour wholesaler may favor low prices, and a young female executive considers a securitya priority.Hotels should break down their services and ask customers what is important to them.This approach can field very valuable insight about changing customer preferences.Identifying groups of customers who have similar preferences or even similar tastes (suchas sharing common perceptions of quality or states), hotels can target promotions tocapitalize on known characteristics and individualize the presentation.It is important that hotels involve their guests and stay in touch with customer perceptionsof current services.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    26/53

    26

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    27/53

    27

    VALUE CHAIN OF CUSTOMER INTERACTION IN HOTEL INDUSTRY AND

    POSSIBLE BENEFITS OF e-crm

    CustomerResearch

    Pre-saleInteraction

    SaleTransaction

    Routine Post-saleInteraction

    Non-routinePost-saleinteraction

    ConsumerBuyingbehavior

    Paymentpatterns

    ConsumerProfiles

    Comparisonof Hotelproducts

    Customization of products

    Clarificationof FACs andspecificqueries

    OrderplacingPayment

    Orderprocessing

    PaymentProcessing

    Routineinformationsharing (newproducts/services, advisoryservices etc.)

    Investmentspecificinformationsharing

    Short-termpayments/redemptions

    On time/ Endtimesettlement

    Claimsprocessing intimes

    AccuracyComprehen-

    siveness

    DecisionMaking

    CustomizationScrutiny

    SpeedAccuracy

    Delivery

    SpeedTransparency

    AccuracyFairness

    SpeedTransparency

    Source : Raghunath S., Joseph Shields (2001, "Introduction of e-CRM in Indian Hotel Industry, CRM Emerging concepts, Tata McGraw Hill,).

    Activities

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    28/53

    28

    CRM OF ITC MAURYA SHERATON

    Customer Relationship Management is a process of managing customer relations inan organized way. They aim at managing each Moment Of Truth that is

    experienced by the customer.

    There are various contact points where the hotel comes in direct contact with thecustomer which are known as Touch points in the CRM language. These touch

    points are considered important as there is direct interaction with the customer andthey provide valuable input to the hotel. The input provided by the customer has tobe captured in such a way that it becomes information and can be used by variousprocesses within the hotel. This can be done with the help of technology and the aimis that whenever there is a customer interface with any of those processes they areable to use that information in servicing the guest in a most efficient manner.Customer Service is now more fashionably called Customer RelationshipManagement. ITC Maurya Sheraton has been following an unstructured form ofCRM with a narrow focus of serving the customer well and in a most efficientmanner. The concept of Customer Relationship Management has a broader focus of

    not only serving the customer but also creating the customer and retaining him formeasurable and substantial returns. CRM is a vast subject where the concept of oneto one marketing is supported by Database Marketing.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    29/53

    29

    CRM process at ITC Maurya Sheraton has been divided in 2 steps:-

    1. Identification of all Customer Relationship management vehicles2. Integration of these Customer Relationship management vehicles

    DATA CAPTURE VEHICLES

    Maurya Sheraton has identified 5 such vehicles (from marketing point of view) whichare also the touch points for the hotel in the process of managing its CustomerRelationship. These vehicles are:-

    o Field sellingo Loyalty Programso Distribution Pointso Webo Call Centers

    Field SellingWhen a sales group or a marketing executive of the hotel makes a sales call to acorporate, then it is called Field Selling. Field Selling includes Prospecting whichmeans searching and seeking for new customers. Current Accounts are one of thebest sources to uncover new business that is within these current accounts, as theyharbor many sources of untapped business potential. They also provide Leads andreferrals. Leads are potential customers with whom no contact has yet been made and

    learning of potential customers from current customers is called Referral. Fieldselling is considered the most important vehicle for the CRM function as the initiativeis on the part of the hotel to contact the prospective guest. Since the representative ofthe hotel meets the customer personally, he is able to strike a chord instantly and has afair chance of representing the hotel. The difference between the customer andconsumer is apparent at this stage as, the person who uses the hotel is a consumer(guest) and the person who helps him make this choice is the customer (link), thislink, in most cases, is the administration personnel who are responsible for makingreservations. So with the help of field selling, the executive is able to make a directcontact with the link, the administration person and is able to take the feedback on a

    continuous basis and helps to customize the offering. The main objective of this is to

    maintain one to one contact with the customer on a regular basis and also tomaintain reasonable visibility so that whenever there is a requirement, the hotel is themost obvious alternative for the customer to consider.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    30/53

    30

    Loyalty Programs

    Second vehicle for CRM identified by Maurya Sheraton are the Loyalty Programs.These programs are designed to reward the loyal guests of the hotel. Every time aguest checks in the hotel at his every touch point or interface with the hotel, every

    time he spends on a service provided by the hotel (use of Room, Restaurant, Laundry,Telephones etc.), the transaction is recorded at each individual point and is added tothe final bill presented to the guest at the end of the stay. There are certain pointsattached to the number of rupees spent by the guest. Therefore higher the amount ofthe bill, the higher will be the number of points attained by the guest. These pointsare credited to the account of each guest with the help of technology. These are calledLoyalty points. These accounts having the loyalty points are unique to every guest.Therefore, whenever after the first time that guest checks into the hotels, the guesthistory also affects the loyalty points. The higher the number of points, more loyal isthe guest. The points can be redeemed by the guest for either free stays at the hotel orfree gifts as listed by the hotel or free meals depending upon the number of points

    accumulated.The objective of having a loyalty programme is not only to make the guest feelrewarded for his stay but also providing a chance to the guest to reduce them at thehotel, they essentially gross self the other services which would be used & paid by

    the guest. In case he redeemed (for example) his points for a free stay, he wouldspend on the supporting services like laundry, telephones, restaurants etc. and therevenue generated from these could be earned by the hotel. Therefore, instead of lossof revenue by providing free stay, they actually gain the revenue as well as certaincustomers for life with the help of the loyalty. The Loyalty Program is calledwelcome avail which is for the consumer. They have another loyalty programme for

    the link. The administration personnel, who is called welcome link, is motivated toprovide more business to the hotel. Therefore, the more the number of bookings thelinks gives to the hotel, the more number of points are credited to his accounts whichare again redeemable at the hotel either by way of free stay or gifts. This is seen as animportant way to keep the source of business motivated towards a long termrelationship.

    Distribution Points/ Central Reservation SystemA customer can simply make a call at the reservation centre to make a booking withthe hotel. It sounds simple but it could get complex in case he does not receive the

    expected or the desired response. Therefore, Maurya Sheraton sees this distributionpoint as an opportunity to establish CRM as the respondents at the reservation centrecould turn a prospective customer into a sale or could let go off the opportunity todo so by not being polite enough or not giving out the information as desired by theguest. The information regarding all guest reservations is managed through computersoftware, therefore, when a customer make calls to query about a reservation, all hishotel usage history pops up in the system which gives a chance to the executive at thereservations to instantly recognize the customer and address him by his name. T

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    31/53

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    32/53

    32

    CRM OF THE GLORIOUS GROUP OF HOTELS

    THE PRIDE HOTEL

    OVER VIEW:

    The Pride Hotel is one of the best luxury hotels which possesses unparallelelegance and grace. it is a world-class five star hotel, They provide finest amenities and

    accommodation, exotic cuisine at restaurant with bar, state-of-the-art conference hall andbanquet hall to host any occasion. Blending sophisticated urban flamboyance with arelaxed attitude, hotel is ideal for an enthused business trip, social events, or indulgentescape from the chaos of the city.

    ROOMS:

    The rooms are of three types and when we asked them about the rooms theyreplied as below:

    SuiteThese rooms are designed with a royal finesse, this exquisite Royal Suite is to

    pamper customer completely. Whether customer is on a social visit or on a holiday,customer can unwind themselves lavishly. Have a look at the suite and customer wouldnot like to go for an alternative.

    Superior RoomTraveling on business trips can be clumsy & tiresome. Here is what customer can

    look forward. A spacious contemporary suite to rejuvenate customer senses along with

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    33/53

    33

    giving them the best of business amenities. Work, Relax - the suite can surmount all yourneeds graciously.

    Deluxe RoomHave frequent business visits & desiring the solace of your home? Check out this

    Deluxe Room. Having essential business aids, this room is expediently designed to makeyour business trip full of leisure

    TARIFFROOM CATEGORY SINGLE

    INR US$

    DELUXE 8000 220

    SUPERIOR 9000 250

    SUITES 12000 325

    RESTAURANTS:

    SeasonsThe 24 hrs Coffee shops serve delectable cuisines from across the globe and are

    the perfect place for a quiet rendezvous or dining out with family and friends.

    Bandhani

    Savor the essence of royalty at Bandhani, our fine dining multi-cuisinerestaurant. The display kitchen is a visual treat to see the exotic specialties created by theexperts themselves. Culinary traditions of most exotic and exciting cuisines of the worldare characterized by subtle spices and delicate flavors. Whether you are looking forIndian, Chinese, Thai or Continental, we have it all there for you. To add to theexcitement, a live band would be playing your favorite numbers. If it is celebrations, ithas to be here.

    ZING:

    It is the mocktail lounge bar. It is the only place where there is karaoke, hookahs

    and exotic mocktails. And a DJ is also there to play customers favorite tracks

    BANQUETS:There are 6halls in all which can in all conveniently accommodate up to 1200

    people for wedding receptions or from 25 to 800 people theatre style from seminars andconferences. The Imperial, Royal, Majestic, Chancery Halls & Board Room offer

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    34/53

    34

    exclusive layouts & latest gadgets to give you truly memorable conferences, seminars,weddings or parties

    .

    FACILITIES:

    Swimming pool and health club, in house laundry, travel desk, business center.

    1) Airport transfers2) Welcome drink on arrival3) Fruit basket on arrival4) Buffet breakfast5)24 hour room service6) Refrigerators in all rooms7) hair-driers in all rooms

    8)24 hours in house satellite TV channels9) Direct dial STD/ISD10) Internet connectivity in all rooms11) Tea and Coffee maker

    Majority of the customer are for business purpose because there are very few places tovisit in Ahmedabad so mostly people come for the business purpose.

    MEMBERSHIP

    THE VALUE DIFFERENTIATION IS THROUGH MEMBERSHIP CARDS

    Pride hotel provide membership to all those who visit their hotel frequently or vise versau can say that those who become the member of the hotel become its loyal customers.There are basically 2 types of membership silver and golden and different offers are therefor different types of members. There are in all 2000 members which are day by dayincreasing and front that 1100 holds gold card and 900 holds silver card

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    35/53

    35

    IF YOU ARE A MEMBER OF THE HOTEL THAN.You will get various discounts which are as follows if u are a silver member of the hotel.These all will be provided in the form of vouchers of Rs. 29999.

    1) The member would get the discount on food if he goes with 2 more members.2)

    Complementary cake on your birthday or wedding if u celebrate in pride3) A reduction of Rs. 500 in the meal at Bandhani restaurant in Ahmedabad

    4) 20% discount at all the pride hotel of India for accommodation on week days and30% discount on weekends

    5) Complementary room for night stay at pride hotel for one person and 40%discount for two.

    6) By paying the rack rate they will be allowed to shift or upgrade the superiorcategory of the room

    7) Free usage of swimming pool, 20%discount in health club.

    IF THE MEMBER IS A GOLD CARD HOLDER.

    He becomes the gold card holder if he pays the amount of Rs. 49999.1) You are entitled to special holiday at 3700 RCI affiliated resorts across the world

    for 2 days and 3 nights.2) 50% discount on food and beverages.3) Free usage of swimming pool and 50% discount on health club4) They will send a cake on the day of wedding anniversary or birthday if they are in

    the any of the cities where pride is located.5) They will get a voucher of Rs. 900 for meal at Bandhani restaurant in Ahmedabad6) 40% discount at all the pride hotel of India for accommodation on week days and

    50% discount on weekdays7) Complementary room of your choice for night stay at pride for 1 person and 50%

    discount for 2.

    REAL RELATIONS THROUGH.Even though pride is far from that of the airport more foreign visitors are there in pride ascompare to the comfort inn and the main reason is its location which is in the middle ofthe city an other important reason is its quality relation they have kept with theircustomers.

    1) Pride hotel has its own small call center at satellite from where they call andinvite the customer to visit their hotel.

    2) Birthday and wedding anniversary wishing through calls and e-mails.3) Free airport facilities are provided specially to the loyal customers at their prior

    report4) Greet the customer with name

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    36/53

    36

    5) There are 2 rooms which are kept specially for the card holders if they comewithout any prior intimation

    6) If the customer every time prefer the same room and his visits are also at certainperiod of time then at that time they call them and ask for their visit and keep thatroom block for them.

    7)

    Also they have a childrens room for the Childers of the member person. Theycan enter the room after showing the card.8) And also at the time of Navratri they give the passes to the foreign customers.

    This is offer especially for the foreign loyal customers. Some time they also givetickets of movies also

    9) They also have a travel agent who is available 12 hours every day of year toprovide knowledge regarding the places of the city and take them there ifnecessary.

    10)CUSTOMIZED SERVICE: One person of the staff is always there on every floorand the moment they need the person is there in front of the customers door.

    MINORITIES ARE NOT NEGLECTED LOOK HOW????????

    1) Information regarding the customers are taken at the time of checkout because theythink that in the beginning customer must be tired.2) all the staff is given training before joining the hotel. A receptionist is given training of40 days while 15 days to the house keeping person

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    37/53

    37

    Software

    THE SOFTWARES WHICH ARE USED BY THE HOTELS ARE:

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    38/53

    38

    Customer Profiling

    An Overview of the Software used in Hotel Industry forCustomer Relationship Management:

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    39/53

    39

    RESEARCH

    Objectives of the Study

    Theprimary objective would be:

    To study Customer Relationship Management in the Hotel Industry.The other objectives would be:

    To study the programs and practices of CRM employed by the leadinghotels in India.

    To study the measures to build a better relationship between thecustomer/guest and the hospitality unit.

    Scope of the Study

    This study will provide an insight into the hotel industry and the steps

    being taken by them to improve their relationship with theirguests/customers.From the study, one can infer the present scenario of the practices andprograms being followed by the leading players in this sector and the stepsbeing followed by them to enhance customer retention, customer satisfactionand in turn, leading to enhanced profits and brand image in the minds of thecustomers.

    Findings

    A survey was conducted with a sample size of 30. The age of all thecandidates was between 20-35, of which 12 were females and 18 weremales, the statistics of their occupation and annual income is as follows.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    40/53

    40

    OCCUPATION

    ANNUAL INCOME

    0

    5

    10

    15

    20

    25

    BELOW 2

    LAKH

    2-5LAKH 5-10 LAKH ABOVE 10

    LAKH

    TOTAL

    0

    5

    10

    15

    20

    25

    TOTAL

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    41/53

    41

    QUESTIONNAIRE

    Dear Sir/Madam,

    We the students of IILM, Gurgaon are conducting a survey on the CustomerProfiling Customer Profiling process for Hotel Industry in NCR. Your support in filling

    this Questionnaire will be highly appreciated and the data or information obtainedherewith will be used for academics purpose only. Thank you for your support in ourresearch.

    Personal Detail:-Name:-_____________________________

    Age:- 20 35 36-50 50 -65 Above 65

    Gender: - Male Female

    Occupation: - Business Professional House wife Other_______________

    Annual Income (in Rs.):- Below 2, 00,000 2,00,000 to 5,00,000 6, 00,000 -10, 00,000 Above 10,00,000

    City:- ______________________________State:- ______________________________Country:-___________________________

    (1)In which hotel of NCR do you prefer to stay?(a)Hotel ITC(b)Crowne Plaza(c)Park Plaza(d)Bristol Hotel(e)Others__________________________

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    42/53

    42

    (2)What are the facilities provided by the hotel?(a)Choice of Room(b)Choice of Food(c)Transportation Facility(d)Online Registration(e)

    Conference Room(f) All of them

    3) How frequently you visit this hotel in a year?(a) Less than 3 time(b) 3 to 5 times(c) More than 5 times

    4) The purpose of visiting NCR?a) Businessb) Holidaysc)

    Professional commitment

    5) What are the reasons that lead you to stay in particular hotel?(Rank it from 1 to 7 where 1 is for least relevant reason and 7 is for more relevant

    reason)a. On time service _b. Quality of service __c. Employees Behavior __d. Ambience __e. Tariff __f. Facility __g. Convenience __

    6) How they recognized you as a loyal customer?__________________________________________________________________________________________________________________________________________

    7) What are the extra services you get in your preferred hotel?

    __________________________________________________________________________________________________________________________________________

    8) Do you get any kind of discount?(a) Yes (b) No

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    43/53

    43

    (9) How satisfied are you by the overall hospitality of your preferred hotel?

    a) Highly satisfiedb) Satisfactory

    (10) Being a loyal customer have you been given preference over the othercustomers?

    a) Yesb) No

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    44/53

    44

    ANALYSIS

    Q1) PREFERENCE OF HOTEL:

    Q2)FACILITIES PROVIDED BY THE HOTEL:

    MAURYA

    SHERATON

    PRIDE HOTEL

    park plaza

    bristol hotel

    others

    0

    2

    4

    6

    8

    10

    12

    14

    16

    18

    20

    MAURYA SHERATON

    PRIDE HOTEL

    CHOICE OFROOM

    CHOICE OFFOOD

    TRANSPORTATIONCONFERENCEROOM

    ONLINEREGISTRATION

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    45/53

    45

    Q3) FREQUENCY OF VISITING A PARTICULAR HOTEL:

    Q4) PURPOSE OF VISITING NCR:

    0

    2

    4

    6

    8

    10

    12

    14

    16

    18

    > 3 TIMES 3 - 5 TIMES < 5 TIMES

    MAURYA SHERATON

    PRIDE HOTEL

    0

    2

    4

    6

    8

    10

    12

    14

    16

    18

    MAURYA SHERATON

    PRIDE HOTEL

    BUSINESS HOLIDAYS PROFESSIONALCOMMITTMENT

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    46/53

    46

    Q5) REASON TO STAY IN A PARTICULAR HOTEL:

    Q6)HOW THEY RECOGNIZED YOU AS A LOYAL CUSTOMER?

    To this question most of the people mentioned that it is through their guest records and

    recognition software that they identify a regular guest and depending upon the number oftimes of your visit and potential of a future revisit they tag you as a loyal customer.

    Q7) WHAT ARE THE EXTRA SERVICES YOU GET IN YOUR PREFERRED

    HOTEL?

    Free safe deposit lockers Full-equipped Business Centre Knight Rider on-line service Arrangements made for golf and tennis Beauty shop 24-hour fax/ telex facilities Secretarial service Currency Exchange Doctor on call High speed internet facility.

    0

    5

    10

    15

    20

    25

    30

    35

    On time

    service

    Quality of

    service

    Employees'

    behavior

    Ambience Tariff Other

    facilties

    Pride Hotel

    Maurya Sheraton

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    47/53

    47

    Q8)POSSIBILTY OF GETTING DISCOUNT:

    Q9) OVERALL SATISFACTION FROM THE HOSPITALITYOFFERED:

    0

    5

    10

    15

    20

    25

    30

    35

    Yes No

    Pride Hotel

    Maurya Sheraton

    0

    5

    10

    15

    20

    25

    30

    Highly satisfactory Satisfactory

    Pride Hotel

    Maurya Sheraton

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    48/53

    48

    Q10) PREFERENCE TO LOYAL CUSTOMERS OVER OTHERCUSTOMERS:

    Maurya Sheraton

    Pride Hotel

    0

    2

    4

    6

    8

    10

    12

    14

    16

    18

    Yes

    No

    Maurya Sheraton

    Pride Hotel

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    49/53

    49

    CONCLUSION

    From the data collected we have reached a conclusion which states that Hotel Pride(GLORIOUS GROUP) has a better CRM system over the Hotel Maurya Sheraton( ITC

    GROUP). Customers prefer it for the choice of food over others. Frequency of customers visiting this hotel is also higher. Customers visiting NCR prefer this hotel for a perfect Holiday stay. The quality of service provided by The Pride Hotel is also highly satisfactory. The extra services such as 24*7 high speed broadband service and provided by

    the Pride Hotel are also superior to others.

    The preference is given to loyal customer over other customers.All in all facilities provided by HOTEL PRIDE (GLORIOUS GROUP) is highlysatisfactory as compared to MAURYA SHERATON (ITC GROUP)

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    50/53

    50

    Recommendations

    In this era of globalization where Customer is the King, customer expectations are

    going up which is making the situation more and more competitive. As the product isbecoming generic in nature, the hotel industry can no longer rely on the traditionalmarketing strategies to retain the customers.

    Customer Relationship Management is one of the key tools to fight this cut throatcompetition and stand out as a superior brand.

    On the basis of the study, I would like to recommend some suggestions which couldbe implemented profitably by the industry.

    1. Surveys: Conducting monthly guest/customer surveys, club surveys, roomcomment cards, toll free guest assistance centers can help in getting customer

    feedback and to improve in the areas where there is a lag as suggested by thefeedback.

    2. Maintaining suggestion boxes at every touch point/point of interaction with thecustomers.

    3. Taking feedback not only from external customers but also the internalcustomers i.e., the employees.

    4. Proper check on the hotel staffs and processes efficiency by the management,say by employing Mystery Customers.

    5. Keeping regular track of the sales data for further leads and follow-up6. Employing effective CRM software to improve guest satisfaction, lower

    operating costs, build guest loyalty, and increase revenues.

    7. Having Guest History programs- keeping a databank of customer profilesalong with such details as room preferences, amenities preferred, specialrequests, meal preferences, wallet services, sending birthday cards to the loyalguests and even their spouses and giving them a hassle-free check-inprocedure-like sending them pick-up and drop facilities.

    8. Employing an efficient system of complaints handling as complaints are theopportunities to improve, to impress the customers and to turn complainingcustomers into loyal ones.

    9. Giving recognition awards to attract old customers.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    51/53

    51

    10.Giving the customers a more personalized and empathic services as buildinggood rapport with the customers goes along way in having satisfied and returncustomers.

  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    52/53

    52

    REFERNCES

    Jay Curry (2006) - Key to CRM Success for Small and Medium-size Enterprises, from

    www.customermarketing.com

    Rama Mohana Rao, K. (2005), Services Marketing, Pearson Education

    www.guestware.com

    www.ascenantone.com/CRM.asp

    www.crmdaily.com/perl/story/22438.html

    www.expresscomputeronline.com/20030623/newsan1.shtml.

    www.researchandmarkets.com/reportinfo.asp?cat_id=53&report_id=3929

    www2.roanoke.com/columnists/shareef/5249.html

    www.tajhotels.com

    www.itchotels.com

    www. crmguru.com

    www.visiglobe.com

    www.gloriousgroup.com

    http://www.customermarketing.com/http://www.visiglobe.com/http://www.visiglobe.com/http://www.visiglobe.com/http://www.customermarketing.com/
  • 7/31/2019 26478453 Final Project of CRM on Hospitality Sector NW

    53/53


Recommended