Challenges Indian Hotel Industry

needs to address and

the Marketing Strategy for the
Industry
 Challenges need to be addressed
• Dependence on Foreign tourists to increase sales
• HR related
– Low salary compared to other sectors
– Lack of performance based incentives and rewards
• Tax related
• Infrastructure
• Demands need to meet supply
– Noticed excess supply in Metros
• High competition
– Big Domestic Players
– International players
• Technology up gradation
• Sustainable development
 Marketing Strategy
• Target different customer segments with customised deals
and promotions for Hotel bookings and Food & beverages
• Increase Penetration on the Domestic tourist segments by
offering special promotions for regional events and festivals
• Tie-ups with India specific tourism promotion campaigns to
attract foreign tourists
• Tie-ups with
– airlines, railways (Palace on Wheels), cruise liners
– tour operators/agents
– regional and state tourism boards
 Marketing Strategy contd..
• Increase Food and beverage revenues
– Food festivals
– Special events
– Social events – Fashion shows/art shows
• CSR Campaigns
• Enhancing the complete customer experience
– Offering additional services like shopping, gifts and handicraft discounts
– Travel assistance
– Spas, beauty saloons, Gyms
• Better incentives and alliances (rewards) for the reservation
channels
– Hotels own website
– Online travel portals
– Tour operators and agents
• Promotions
– Maintaining guests database for Direct mailers
– Customer loyalty programs
– Websites and Direct booking
– Digital, social media advertising
– Outdoor advertising
– Print advertising (Travel /Trade magazines)
– Radio advertising
– Sponsorships and promotions
• Fashion shows
• Polo events
• Sports events etc
• Environmental strategy
– To reduce taxes
– Better infrastructure
– Tourist promotions
– Alignment of costs vis-à-vis global cost
structure
– Sustainable development