CASE STUDY: BOUTIQUE HOTEL

Introduction
The hotel market has been faced by stiff competition which brings the need for different hotel
entities to reinvent and rebrand themselves so as to cope with the exponentially growing
competition. Anyway, boutique hotels are not excluded in this gradual competition growth as
they strive also to remain competent to customers in provision of quality services. Botique
hotels is one of the emerging business in the market. Its goal is to always provide business to
specific customers by establishing themselves.
To sum up, boutique hotel basically provides unique services and experience to its customers
as compared to traditional hotel services. However, despite the greater potential in boutique
hotels, there are a number of factors and issues that affect the entire operation of this
business. This paper analyses the operational challenges likely to encounter new boutique
hotels and also to determine how the hotel can maintain consistence level of service with
endangering their unique service mission.
The Operational Challenges facing Boutique Hotel
The botique hotels are in the group called lifestyle hotels, they vary in sizes and shape.
However they rely on creative energy and also highly customized service to strive in the
growing hotel industry. In addition, boutique hotels offer unique experience to quests and can
be profitable in that the guest would want to come back again. However, botique hotels face
some challenges as below.
The first challenge faced by the boutique hotel is in terms of the high initial cost of
investment needed. This is because boutique hotels targets at providing unique services and
experience for their clients, the upcoming hotels may encounter challenges in figuring out
which specific target to be given services. Psychographics is a good tool that is normally
used by the management to determine the specific target to be given their unique services.
Secondly, high maintenance cost- in line with maximizing their profit, the lifestyle hotels
tend to be more expensive than ordinary hotels, most customers will hesitate to have this
unique experience because of the cost involved in it. This gives the management team
pressure to make sure that they only offer unique experiences to their customers to ensure that
they will be considering coming back again.
And lastly, in terms of being unique to provide customized services for their customers the
management in charge need to seldom improve their business and as well as service
management skills so as to keep up with new changing trends within the lifestyle hotels, and
develop good business contacts as well as partnerships to ensure stronger market demands
(Galliard, 1998).

Mass customization
To ensure that completely different industries are able to give specific desires of the clients,
the management of the corporate tries to form their merchandise additional customized and
customised (Griffin & Herres 2002). Mass customization is that the latest rising trend
during this trade and major corporations try to honour and apply this trend as a result of they
needed to achieve loyal customers. Through mass customization of merchandise, completely
different industries are able to place further effort in guaranteeing provision of additional
made-to-order service to supply. Mass customization is believed to permit the business to
own additional glad and happy shoppers. Varied corporations that have used mass
customization of merchandise like telecommunications and computer corporations, has given
method for edifice industries to try and do constant in customizing the services provided to
their clients.
Botique hotel being an uprising industry, the management is given the possibility to find out
from mass customization reaching to providing specific desires of shoppers in line with their
lifestyles. Thus on accomplish client satisfaction, the shop edifice has been able to think
about individual client demands and wishes. Since each customers want varies from one to a
different, customization is extremely instrumental to any kind of business. The utilisation of
customization dictates that some factors should be taken under consideration. First, one must
ponder about if the customization planned to be undertaken is feasible supported the delivery
systems and also the services characteristics. Second, one should confirm the abstract
thought which will be exercised by the client contact personnel in dictating the character of
service individual customers receive within the shop edifice. This is often vital as some
service ideas are standardized whereas others are able to give varied alternatives and choices
(Newsome, 2000).
Services are various therein, some styles of services don't solely need a high level of
customization however additionally needs the client contact personnel to deliver the services
to the purchasers. This kind of service provision is additionally known as prescriptive within
the edifice industries, wherever the main target of management is transferred from the
purchasers to the supplier. Skilled services of the shop edifice are enclosed during this class.
These service industries got to have adequate education and coaching thus on satisfy
individual client desires. This is often one amongst the explanations why completely different
studies on industry pertains to the interaction between the service supplier and also the client
as this relation determines the degree of client satisfaction. This specially is applicable to the
shop edifice (Mariger and Miller, 1999).

Standard maintenance in botique hotels

Generally, store edifice should be in an exceedingly position to be concerned designing,
organizing, and directive regulation of resources (human and material) to be ready to
maintain constant and customary level of service.
A suitable surroundings is often needed by boutique edifice therefore on deliver distinctive
and constant services to its customers sufficiently. This means that, most of the botique hotels
often allocate appreciable investment capital in field styles and infrastructure and additionally
the standard of service offered to the clients. Aside this, the management should additionally
place client satisfaction on the battlefront by providing the requirements considering their
psychographics and demographical aspects.
Most service industries, specifically in hotel are commonly enthusiastic about the contact
and also the reception they receive from the clients. Therefore, the involved hotel staffs
should have a precise degree of availableness towards the clients, a considerable margin of
initiative and a powerful sense personal responsibility to keep up consistent and customary
level of providing service. This role is extremely a lot of important in getting the required
results of each the purchasers and also the business, specifically in customization of their
services. In satisfying the needs of the purchasers, the moral and psychological factors should
even be concerned among store edifice staffs. Theres appreciable proof that shoppers
appreciate actual interaction with people; so, the treatment shoppers ought to receive from
service suppliers should show a discrepancy from what they receive on daily routines (Min,
H., Min, H. & Chung, K. 2002)
Identification of the key issues
Based on the analysis of the case with regards to dress shop edifice, there are some problems
which will be stress that embody the following:
Marketing challenges problems facing hotel supported the study conducted by Kandampully
and Suhartanto (2000) with regards to the client satisfaction. During this article it helps hotel
industries to increase data on the connection between loyalty, satisfaction and image of the
corporate. The second issue that may be thought of is that the issue branding-loyalty and
brand image that is noted within the article by Tepeci (1999). Herein, the article provides
recommendation on the way to improve the whole image of the hotel industries. Successive
issue that has to be thought of is with regards to the service management to make sure client
retention providing in edifice industries like dress shop edifice that is studied within the
article by Barnett (2005). Additionally, another key issue that has been noted within the case

includes the service quality of the dress shop edifice. Herein, such side was thought of within
the study of Ladhari (2009). And lastly, another issue that ought to be thought of is
concerning the service expertise and repair styles that is taken into account as essential in
dress shop hotels that was highlighted within the article by Zehrer (2009).

Conclusion
It is evident that boutique hotel encounters varying challenges and issues which must be
given proper and cooperative attention. The revolution of this calibre of hotel service is not
being the trend in the growing and high rate changing market and they must figure out proper
business professional approach to become competitive in the market.
Reference
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