For hotels, rates are the prices that are being offered for the rooms and services that are available in the hotel. The rates of the rooms have many varieties that would depend on the type of room the customer would want to stay in, basically the bigger the room the higher are the prices.
The rates of the rooms for the hotel could also change according to season of the business, whether it is in the peak season or in the non-peak season. They are a lot of type for room rates, the type of room rates are such as:
• Commercial rates
• Cooperate rates
• Membership rates
• Group rates
Hotels nowadays would do a merger with Airline companies as a part of sales techniques. This is where the customers of the airline would be advertised to stay in with the partner company which for this situation would be the hotel. An example would be when Royal Airlines would make a partnership with the Rizqun international hotel.
This technique can only be applied to loyal customers of the hotel, this may also be available for customer that are loyal to the company that is in charge of the hotel. Loyal customer of the hotel might be given benefits that are only available for loyal customer. This will make guests of the hotel to stay loyal to the hotel as they would want to have the benefits as well. The benefits of being loyal to a hotel can include discounted room, free usage of the hotel facilities, discounted price for dining in the hotel restaurant and many more
Packages are a type of promotion where the hotel would want to offer their guest a mixture of products to go along with the accommodation they would want to stay in. For an example The empire hotel and country club is having a package promotion of whoever are checking in their hotel on a Su...
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...statistical data are usually used to find out about information of a particular competitor or even to know which company would be best to form a merge with. The same goes for hotel companies, it is called networking where they would want to form a partnership that companies that would help their business. For example a hotel would want to have an agreement with an airline company to advertise about the hotel to their customers, this is so that the hotel could attract more customers, the airline would then be given commission.
In a smaller scale statistical data could be use internally as well, in terms of room division statistical data could indicate that the department is over buying some of their cleaning products and under buying some of their cleaning materials. The department would then be able to adjust their purchasing order in the future to reduce wastage.
In preparation to negotiate a merger between AAA HotelCo and Lambert Hotels, my team and I determined that both party’s interests complement one another. For example, Lambert desired a presence in Brazil and AAA wished to gain access to the lucrative tourist market in the United States. Therefore, we were confident we could strike a deal and achieve these objectives. However, due to the significant risks associated with the investment, both parties had several issues they wanted to settle in their favor. As a result, my team and I determined not only AAA’s principal interests, but also our secondary interests, so that we could successfully negotiate a win-win with Lambert.
The reason for launching this loyalty program is two fold, one reason is to give us a hand at competing with the big hotel brands which attract the most repeat guests. The second reason is offering a product that will have the chance to compete and effectively promote our selves to the market rather than relying on third parties sites such as Expedia that cost a lot of money in commissions. This means that the hotel will focus on the corporate traveler who spends a lot more on the hotel and we will receive a much higher ADR than we currently receive from tour operators or third party bookings.
Because, internet today is enabling web-based suppliers an opportunity to meet a choice of different types of customers (Schoenbachler&Gordon, 2002) and has evolved as a feasible distribution channel for the firms that wish to expand their market penetration (Frazier, 1999; Frazier & Antia, 1995), reduce costs (Payne & Frow, 2004), increase revenues ( Kotler, 2000), spread risks, and strengthen customer loyalty (Kelly, 2002) through its use (Hobmeier, 2001).now most of the hotels are using the multiple channel strategy where they are in partnership more than one sales and distribution channel to serve the same target market and this has grown in the recent years. This is creating higher complexity for the hotel management as the data are coming from different partners. As customers, today are using multiple channels, it is almost certain that the future will remain to contain a mixture of even more complex channels (Balasubramanian , Raghunathan, & Mahajan, 2005). Since now, it is obvious that why hoteliers employing multiple channels including electronic ones, is no different; to maximise customer awareness and market share and reduce costs, this increasingly widespread trend to cooperate with new channels rather than stick to
It is difficult for Rosewood to find empirical evidence that the frequent program will work effectively because very few hotels have adopted the point-based stay program, and marketing research had showed that customer loyalty was rather cultivated by providing customers with benefits including room upgrades, flexibility to specify room type, accommodation to preferences, etc. Secondly, it is not easy for customers to redeem their rewards,
47% of Marriott’s rooms are in North American Limited Service, 30% are classified as North American Full Service, and the remaining 23% of its rooms are in the international segment (Marriott, 2015). Recognizing that travelers have a range of budgetary and amenities needs, Marriott operates its properties under a variety of different brand names, 19 in total, each of which has its own “price and service points” (Marriott, 2015). Most of Marriott’s brands are at the high end of the market, which includes such widely recognized luxury brands as the Ritz-Carlton, JW Marriott, Renaissance Hotels, Bulgari Hotels, Marriott Executive Apartments, Marriott Vacation Club, Edition Hotels, Autograph Collection Hotels, Gaylord Hotels, and Marriott Hotels (Marriott, 2015). These properties often command nightly rental rates that can run several hundred dollars a night and offer a wide range of amenities well suited for both business and pleasure travelers. These properties are classified as “Full-Service.” Marriott also offers a range of “Limited-Service” brands that do not contain as many amenities and tend to be much cheaper than the Full-Service line. Examples of these properties include Courtyard, Residence Inn, SpringHill Suites, and Fairfield Inn & Suites (Marriott, 2015). Even though these properties are considered Limited-Service, they do offer considerably nicer accommodations and more amenities than other types of budget motels and hotels. In contrast to many of the other hotel brands, Marriott International does not operate any midscale, economy, or budget
Data can give you quite a bit of information about your customers. By examining it, you will be able to begin to see patterns and learn the habits of your customers. This could mean that you are able to provide the correct number of products at the perfect time instead of having a shortfall or being left with additional stock long after interest has fallen in the product.
Up until recent years Revenue Management was something that has never been heard of. Now days, it is something that hotel managers cannot go without. They spend numerous amounts of time checking their computers for the nightly rates of the hotel. But what exactly is Revenue Management? “Revenue Management (RM) is a scientific technique that combines Operations Research, Statistics and Customer Relationship Management and categorizes customers into price bands, based on various services” (Revenue Management, 2010). In other words someone might reserve a room that is at a going rate of $245 per night while their cousin who reserved a room at the same hotel months in advance only has to pay $105 per night. Now you may ask yourself how hotels can get away with doing this? But what it all boils down to is that someone who reserves a room last minute will end up paying the higher amount because his or her demand for the room is higher.
It allows the analyst to work with a small, manageable amount of data in order to build and run analytical model quickly, while still drawing accurate finding. Sampling can be particularly useful with data sets that are too large to efficiently analyze in full. • feedback on results: both staffs and customers can provide the required feedback for the business improvement and ideas contributions. Therefore their opinions and ideas are used to make the required adjustments for the further business performance improvements. • peer review: Peer review help validating researches, establish a tool by which it can be evaluated, and increase networking possibility within research groups.
A hotel manager is accountable for the day-to-day functioning of a hotel and its staff. They have trade responsibilities for financial and budgeting management, organizing, planning and directing all hotel services, including front-of-house (concierge, reservations, reception), housekeeping and food and beverage operati...
Thanks to these factors, pricing becomes one of the primary uses with which hotels attract customers. However, due to customers’ independent nature, there influence over industry players is limited. In the high-end segment of hotels, price influence becomes even less as hotels find it easier to differentiate themselves from the competition and customers become less price sensitive coming to expect higher prices as a symbolism of superior quality and services. Lastly, corporate business and tour operators can exert more influence due to their large purchases but this affect is of a limited nature and does not extend across the whole
The Hotel industry has become very important in the past years due to immense traveling and growth of international business. Hotel industry not only plays an important role in the life of people but as well as the economy of the country. Development and advancement in the Hotel industry have rapidly been taking place and especially since the rapid change in technology, it is very important for hotels to be promptly keeping up to date. When the hotel industry is spoken of, there are many famous hotels but one hotel company that has been outstanding in growth and other aspects of business, like in Leadership, Teamwork (Employee turnover), Motivation (Customer retention and satisfaction, Goals and objectives, (changing the way hotel business has worked), and Change within the company; structurally inside and physically outside, adding elements, like entertainment, gaming, and outdoor activities, is the Hilton Hotel Company.
In other word, it means that they are marketing services rather than goods. For example, a hotel will want to give a relaxing and fun atmosphere for the customers and inspires those same feelings in the consumer. Because the hospitality industry is mostly made up of tourism and other experiential services, a consistent brand identity is also very important. Marketers want to ensure that brand recognition exists so that customers will repeat to use their services. Repeat customers can create a greater revenue, which mean marketing strategy is necessary to consider about maintaining the relationships with the old customers while seeking out new customers as well (Hussung, 2016). Therefore, with the special characteristics of tourism products, the role of marketing in tourism industry compared with other industries is more important and implementation of marketing tools for a country is considerable. To illustrate, marketing can offer some information about the specific place to encourage the tourists to visit their destination (Laimer & Juergen, 2009). Thus, tourism revenue and international income can be increase by good planning and administration of marketing
There is an absolute difference between a 5 star hotel and a 3 star hotel. In which, people tend to see a 5 star hotel as the better, more luxurious, modern, state of the art and has more advanced facilities available, whereas a 3 star hotel would be a standard, convenient, hotel where standard quality and service are provided. An example of a 5 star hotel is Rizqun International Hotel and an example for a 3 star hotel is Brunei Hotel.
The pricing factor is almost hard to match by the hotel industry, as the consumer is becoming more demanding but also exigent in terms of low pricing. Switching costs range from negligible to high, but a factor that motels can’t substitute are the various benefits including spas, restaurants, or a community holiday feel brought with the package of any chosen hotel/motel. But the consumers in the US, for example, see the switch as more of a necessity rather than a choice, this puts them in an affluent position and the threat from substitutes is likely to diminish. The solution then lies in expansion where mitigation usually takes place, and therefore in turn threatens the substitutes by expanding in the new low cost and service field. Some of these low-cost hospitality choices have expanded thanks to technology and brought to life a new era of cost comparison.
The Hotel industry has become very important in the past years due to immense traveling and growth of international business. The Hotel industry not only plays an important role in the life of people but as well as the economy of the country. I spent an hour of my day relaxing in the lobby at the Fontainebleau resort in Miami, while on vacation with my family visiting from out of state. It was my first time staying at the resort so I was eager to check it out, after seeing such great reviews on Yelp and hearing great things from friends who have been there in the past. The employees working at the resort were very welcoming, professional and willing to go above and beyond to help their guests. The check-in process was very quick due to having