Taj Hotels, Resorts and Palaces Case Study-

Question 1- What criteria would you use to determine how much the Taj brand could be
extended into sub-brands?
Answer 1-

 Cover different traveler/consumer categories from high spending business traveler to

budget oriented traveler separately.

 Look at the ROI of the sub-brand if it comes into existence.

 Level of investment to be done over the brand Taj, plus how much segregation can be
done over its sub-brands.

 Understand and look for the Room for positioning the sub-brand distinctively from the
others.

 The future expansion prospects and possibility of the sub-brand in certain number of
years.

Question 2- What is your evaluation of the ‘Sun and Planet’ model of branding? What
implication does this have for the Tata family brand?
Answer 2-
Evaluation of “sun and planet” model-

 Sun and planet approach are mix of global, corporate, regional and national product level
brands or different structures.
 Taj would be at the center of the “sun” and “planets” will be Vivanta by Taj, The
Gateway and Ginger.
 Taj is the branded as a luxury categorized as 5-star hotel. It will be targeted to high end
business travelers.
 Vivanta by Taj is upper upscale categorized as 4-star hotel. It will be targeted to new
generation of travelers.
 The ginger will be branded as no frills budget hotels to target to los spending travelers.
  The gateway was a 3-star hotel which was in between of Vivanta by Taj and Ginger in
terms of property, quality, functionality, and specifications. It will further capture
domestic travelers.
Implication of this for Tata family brand-

 Changing strategy from single brand name use of Taj for different categories to sun and
planet model.
 Categorizing and segregating different brands as per market segments like- Vivanta by
Taj, Ginger and The Gateway.
 The link of name Taj varies from high end to budget hotel categories based on
segmentation and brand beliefs.

Question 3- Should the Vivanta by Taj be launched, postponed or withdrawn altogether?

Answer 3-

 Vivanta by Taj launch must be postponed till certain time until the scenario regarding
terrorist attack stables in the country and the company restore the brand and customer
confidence regarding the brand Taj. Due to this, it will help THRP put a fresh start in a
segment with proper messaging of brand identity in the market.

 Vivanta by Taj being a 3-star hotel must not be withdrawn as it covers a significant part
of the market segment of Taj, that is the new generation travelers who want an essence of
luxury with comparatively less pricing then high end Taj hotels.