CRM in Hotel Industry

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The document discusses Customer Relationship Management (CRM) practices of hotels like ITC Maurya Sheraton and how they identify different touchpoints to capture customer data and better serve customers. It also talks about loyalty programs and other aspects of CRM.

The Taj Palace hotel offers facilities like banquet halls, a spa called Jiva Spa, two bars called Harbor Bar and Starboard Bar, a fitness club with a gym, pool and sauna, a salon, a lounge area and arrangements for activities like golf.

As Silver & Gold members of Taj Inner Circle, customers enjoy privileges like being greeted with flowers and fruits in their room, easier and faster check-in/checkout, discounts on rooms at leisure hotels of Taj, availability of double occupancy at no extra cost and priority on the wait-list.

CRm in Hotel industry: . CRM is a business strategy; one that puts the customer at the heart of the business.

The value of a customer relationship is well recognized by many leading companies, especially by those in the service sector. For high quality hotel enterprises, application of Customer Relationship Management (CRM) is a great opportunity to increase customer value and provides a way to systematically attract, acquire and retain customers. In the future also, customer relationship management and knowledge management together will help businesses accumulate customer knowledge build up better relationships between them and their customers enhance customer satisfaction and achieve business excellence One of the greatest strength is to attention to details, to focus on the bif abd small little things that make the difference when it comes to comfort, productivity and also the staff. In CRM the detailed attention is made which is unattended and which can really reduce the cost.

CRM OF ITC MAURYA SHERATON

Customer Relationship Management is a process of managing customer relations in an 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 the customer which are known as Touch points in the CRM language. These touch points are considered important as there is direct interaction with the customer and they provide valuable input to the hotel. The input provided by the customer has to be captured in such a way that it

becomes information and can be used by various processes within the hotel. This can be done with the help of technology and the aim is that whenever there is a customer interface with any of those processes they are able to use that information in servicing the guest in a most efficient manner. Customer Service is now more fashionably called Customer Relationship Management. ITC Maurya Sheraton has been following an unstructured form of CRM with a narrow focus of serving the customer well and in a most efficient manner. The concept of Customer Relationship Management has a broader focus of not only serving the customer but also creating the customer and retaining him for measurable and substantial returns. CRM is a vast subject where the concept of one to one marketing is supported by Database Marketing.

CRM process at ITC Maurya Sheraton has been divided in 2 steps:1. Identification of all Customer Relationship management vehicles 2. Integration of these Customer Relationship management vehicles

DATA CAPTURE VEHICLES Maurya Sheraton has identified 5 such vehicles (from marketing point of view) which are also the touch points for the hotel in the process of managing its Customer Relationship. These vehicles are:o o o o o Field selling Loyalty Programs Distribution Points Web Call Centers

Field Selling Field selling is considered the most important vehicle for the CRM function as the initiative is on the part of the hotel to contact the prospective guest. Since the representative of the hotel meets the customer personally, he is able to strike a chord instantly and has a fair chance of representing the hotel. The difference between the customer and consumer 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), this link, in most cases, is the administration personnel who are responsible for making reservations. So with the help of field selling, the executive is able to make a direct contact 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.

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 a guest 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, the transaction is recorded at each individual point and is added to the final bill presented to the guest at the end of the stay. There are certain points attached to the number of rupees spent by the guest. These are called Loyalty points. The points can be redeemed by the guest for either free stays at the hotel or free gifts as listed by the hotel or free meals depending upon the number of points accumulated. The Loyalty Program is called welcome avail which is for the consumer. They have another loyalty programme for the link. The administration personnel, who is called welcome link, is motivated to provide more business to the hotel. Therefore, the more the number of bookings the links gives to the hotel, the more number of points are credited to his accounts which are again redeemable at the hotel either by way of free stay or gifts. This is seen as an important way to keep the source of business motivated towards a long term relationship.

Distribution Points/ Central Reservation System A customer can simply make a call at the reservation centre to make a booking with the 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 distribution point as an opportunity to establish CRM as the respondents at the reservation centre could let go off the opportunity to do so by not being polite enough or not giving out the information as desired by the guest. The information regarding all guest reservations is managed through computer software, therefore, when a customer make calls to query about a reservation, all his hotel usage history pops up in the system which gives a chance to the executive at the reservations to instantly recognize the customer and address him by his name. This moment of truth is experienced by the customer with a feeling of recognition and feels it as good service at the first touch point itself. The input or instruction received from the customer at the stage is recorded in the reservation system for further reference by the hotel operations. This leads to removal of an irritant and that ultimately leads to a satisfied customer willing to return.

World Wide Web The World Wide Web is part of the internet. It is a computerized, interactive, multimedia system to import and/or access information world wide. It is used for both personal and business purposes. But ITC Mauryas focus is on the business side of using the web. Since the web gives a convenience and allows the access to information at any time, it is considered as one of the vehicles for CRM. Though Maurya recognizes the potential of this system and is in the process of evolving a filing automated system where the reservations can be made by the customers on time and also the confirmation is received back on a real time basis. Presently they have an information portal which only allows the customer to request a reservation which has to be checked manually by the hotel reservations and then only the

confirmations are given. This is a touch point of customer relationship because a speedy and accurate response could win you a customer.

EXAMPLE CRM PROCESS AT THE OBEROI GROUP OF HOTELS According to the Oberoi the terms-Customer Relationship Management and Relationship Marketing are used interchangeably therefore they do not have a separate CRM department as the outlining functions of the CRM process are integrated in the Sales and Marketing operation. They use a variety of after sales tactics for customer bonding and loyalty. Co-operative and collaborative relationships with customers seem to be the most prudent way to keep tracks their changing expectations and appropriately influencing it. The Oberoi has ensured the above by the various end user and booker programs Top The Oberoi Plus This is an end-user program, it is beneficial for guests who use the services of the hotel. Each time a guest spends, he accumulates points which can be redeemed for any services of the hotel. By enrolling and rewarding customers with the help of this program, the hotel ensures that a greater bonding towards long-term customer retention. They have also tied up with the airlines for interchangeable redemption of points. Connections Bookers Program Bookers are an important link in materializing an actual sale therefore they need to be kept motivated to push the hotel when the reservations are made by a corporate account. Each time a booker gives as reservation to the hotel he gets credit points for that and which can be redeemed for gifts or any hotel services. Food Festivals The Oberoi conducts various food festivals at its Restaurants. Regularly and sends invitations to its more profitable Clients. Tie-Ups The Oberoi invites top clients like CEO, Managing Directors and key decision makers of different companies to social evenings specially arranged to further enhance the Customer relationship management functions.

Introduction Of TAJ HOTELS, MUMBAI:


Taj group of hotels is the largest chain in India- with several Hotels abroad also. The parent Hotel-The Taj Mahal Hotel, Bombay is rated among the 10 best hotels in the world. The founder of the house of Tatas, Mr.Mansheti Nuser wanji Tata, in 1894 formed the Indian Hotels company and built the exquisitely beautiful Taj Mahal Hotel in Bombay. Taj has been operating in the USA, the UK, the Maldives, Oman and Srilanka and the Taj Empire continues to expand further. Today Taj has 50 Hotels of which 48 are operational, 38 destinations and is the largest Hotel chain in the country. From its earliest days, taking residence with The Taj Group has been a grand occasion.

SERVICES AND FACILITIES PROVIDED BY TAJ HOTEL:


Accommodation:
The Taj Palace hotel has 381 are Deluxe rooms and 40 are Suites.

Food & Beverage:


Restaurants Coffee Shops Bars Room Service Banquets: Taj Palace has four Restaurants and one Night Club and a Bar. To name the few are Orient Express, Isfahan, The Tea House of the August Moon, Handi and My Kind of Place which is the discotheque and the hottest and most wanted place in the city, especially among the youth.

The Taj Club:


It is a known fact that a business traveler is a much pampered person indulged with comforts and conveniences unheard of even a decade ago. However a yearning has undoubtedly arisen for a special privilege, an inner sanctum, an Exclusive Club

Business Centre:
It offers several useful facilities 24-hrs a day, seven days a week. These include Facsimile, Internet, Email, Color photocopying and legal library, as well as laptops, city pagers and mobile phones on rental basis. Taj Palace Business Centre is designed to give the best to the business community who do require sophisticated communication facilities and other gadgets to stay connected to the rest of the world while at the Hotel. With no exaggeration it could be said that the guest gets the best of best services and facilities which are more than necessary for a modern business man, and also feel at home while at work.

Banquet Facility:
The hotel provides facility for orchestrating parties and banquets, conferences, seminars and symposiums. Taj Palace has 11 Banquet halls

Spa
The Jiva Spa offers therapies that make you feel royally pampered and pleasurably unwound. The therapies include aromatherapy, rejuvenating treatments, wraps and others

Harbor bar and starboard bar :


Along with the restaurant facilities there are also bar facilities available in the Taj Hotel to satisfy the customers and the guests to a greater extent. Harbor bar was first opened in 1933 and it is the first licensed bar. The star board bar is the port side bar which offers many entertaining features to the guest along with variety of beverages.

Fitness and Fun club:


The Taj hotel in Mumbai offers variety of fun and fitness activities. Fitness is very important for one person to stay healthy. There are many options available in Mumbai hotels which consist of lots of gaming zones for both adults and kids. In this criteria Taj hotel in Mumbai provides arrangements for golf, bookshop, fitness centre, swimming pool and shops. Fitness Center The fitness facilities include world standard gymnasium, swimming pool and sauna.

TAJ SALON:
The Taj Salon at The Taj Mahal Palace, Mumbai gives you a sense of luxury and elegance with a touch of tranquility. A team of skillful stylists and aestheticians customize your needs in grooming and relaxation. Where comfort is an assurance and where opulence is an inheritance!

PALACE LOUNGE:
The classic beauty and charm of the hotel are encapsulated in the Palace Lounge, the seat of all things splendid. For the exclusive use of Palace wing guests alone, during the day it is home to a delectable sparkling tea service and at sundown it is the cradle of carefully cultivated style, complete with cognac pouring all with our compliments, exclusively for our Taj Club and Suite guests. Priceless paintings from Indian masters like V.S. Gaitonde, Ram Kumar, Ara and Jehangir Sabavala adorn the walls of the refined Palace Lounge.

BENEFITS THAT CUSTOMERS ENJOY AS A SILVER & GOLD MEMBER

In addition to rewards, customers enjoy a host of privileges that have been created to enhance customers experience at the Taj. From the moment customer check in at any of participating hotels, they will be treated as a very special guest, in more than one way: o Customers will be greeted with flowers & fruits in their room o Check-in & departure formalities will be easier, faster & flexible

o Receive special discount on rooms at Taj leisure hotels o Avail of double occupancy at no extra cost o Entitled to a priority wait-list.

Custumer delight in Taj Hotel


1. Points Redemption

Epicure points can be redeemed to settle stay or dining bills at participating Taj hotels in India. Points will be instantly deducted from the accumulated points in the membership account. Members can even entertain or holiday at exotic Taj hotels in exchange of Taj Epicure Diners Club Card: Experience the art of fine living with this exclusive card, guests can receive exclusive benefits across 43 Taj properties and over 200 Taj restaurants.

2. Taj Inner Circle: Taj Inner Circle, the frequent guest programme, allows guests to earn points whenever they stay or dine at The Taj. Guests can then redeem their points for specially selected rewards like complimentary stays at Taj hotels, resorts, and palaces. 3. Taj Epicure Plan: The Taj Epicure Plan is an optional add-on dining plan to the Taj Inner Circle. Members earn Epicure points for expenditures incurred on food and beverages, at participating Taj restaurants in India.

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