SERVICE SECTOR MANAGEMENT

HOTEL INDUSTRY

DEFINITION
Webster defines a hotel as, A building of institution providing lodging, meals and service for the people.

Oxford defines a hotel as, An establishment providing rooms & meals for the travellers & tourist.
2

HISTORY OF HOTEL INDUSTRY

Concept of hotel originated in the 6th century B.C in the form of inns Development of hotel & motel on an organized basis Significance of management practices in hotel industry Change in traditional concept
3

CHARACTERISTICS
High initial investment Immovability Competition Variability Supporting services Perishability
4

Customers as guest Intangibility Inseparability

SWOT ANALYSIS

STRENGTHS

WEAKNESS

OPPORTUNITIES

THREATS

Types of Hotels
Budget Hotel Business Hotel Luxury Hotel
6

CLASSIFICATION OF HOTELS
On the basis of standards and control On the basis of star On the basis of nature
7

Resort Commercial International

Residential

ON THE BASIS OF NATURE

Floating

ON THE BASIS OF STANDARDS & CONTROL

Approved

Unapproved

ON THE BASIS OF STAR RATING

7 STARS 6 STARS 5 STAR DELUX 5 STAR 4 STAR 3 STAR 2 STAR HERITAGE HOTELS

10

USERS OF HOTEL SERVICES

Domestic
Educationists Sportsmen Medical representatives Trade representatives Officials Pilgrims Students

Foreign
Film stars Cultural representatives Sportsmen Educationists Political representatives Trade representatives Pilgrims

11

HOTEL MARKETING IN INDIAN ENVIRONMENT

KHotel business is at an infant stage KThe hotel industry needs to revamp the product mix KUsers of the services expect economy and sellers look to cost + profit KThe promotional strategies are also required to be restructured KRequires increased governmental support KThe main way for the development of this industry is to 12 encourage tourism

BENEFITS OF HOTEL INDUSTRY TO OTHER INDUSTRIES

Tourism

Industry

Banking Industry Food

Industry industry

Transport

13

CHAINS OF INDIAN HOTELS

 The Oberoi chain (Now Hilton Hotels)  The Ashoka chain of hotels  The Taj group  The Kamath hotel  The Tunga Hotels  The Ritz chain

14

MARKETING MIX
PHYSICAL EVIDENCE PROMOTION

PRODUCT

PEOPLE

PROCESS PLACE
PRICE
15

Product
CORE

BASIC
EXPECTED AUGMENTED POTENTIAL

16

Price
Demand based
Competition based

Differential pricing

PRICING STRATEGIES

17

TACTICAL PRICING

SEASONAL DISCOUNTS

TRADE DISCOUNTS

SPECIAL DISCOUNTS

18

Place
Distribution Chain
0 level 1 level 2 level 3 level 4 level

19

People
First impression is the last impression

20

Physical Evidence
It addresses the tangible components of the service experience The services cape includes the ambience, the background music, the comfort of seating and the physical layout of a service facility The appearance of the staff, including clothes and grooming, may be used as important clues
21

Promotion
ADVERTISING SALES PROMOTION

WORD OF MOUTH PROMOTION

PUBLICITY AND PUBLIC RELATIONS

PERSONAL SELLING
22

Process
It includes the flow and progress of the production process E.g. the service of providing a meal at the fine dining restaurant of the hotel

23

CASE STUDY

24

25

26

27

Comparison of Hotels
Taj Product Price Place Promotion Orchid Regale
Star, icon, legend ` 6,500 18000 Near to Tourist sites as well as airports Brochures, exhibitions, media Deluxe rooms, luxury Deluxe, executive, club suite, Taj club rooms, prive, orchid suite, Palace wing rooms presidential suite ` 11,000 95,000 High Society or sea side. Calendars, print, exhibitions, TV. ` 5000 -27000 Near airports. Ads, cinema, TV, print media.

Process

Online or on the desk

Online or on the desk

Online or on the desk

28

Taj Performance 6 stars Packages People Physical Evidence

Yatch services Porters, chef, manger receptionist, Built in in 1903 High class High class enjoyment

Orchid
5 star eco friendly Business, spa Porters, chef, manger receptionist It was built in 1997 Corporate travelers Eco friendly

Regale
4.5 stars Nila blue waters. Sparta fitness Receptionist manager, It opened up in 2008 Tourists & normal public Encourage 29 tourism

Positioning Purpose

Presented by
Ateeb Ansari 01 Junaid Gandhi 10 Steffi Biswas 03 Thomas J.K. 15 Shahil Mithani 26 Ali Rizvi 34 Shoeb Syed 41
30

31