Hospitality Industry Research

This assignment delves into contemporary issues within the hospitality industry. It examines the relationship between service climate, employee commitment, and customer satisfaction. The influence of internet-based surveys and online reviews on customer behavior is also analyzed. Furthermore, the paper explores the role of information and communication technologies in shaping the future of hospitality management.

Customer service management
for Tourism & Hospitality

INTRODUCTION.................1
QUESTIONS...................................................................................................................................1
1. Components of Gartner CRM model and it help in building relationship with customers 1
2: Effectiveness of Gartner CRM model................................................................................3
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
Hospitality and tourism industry is based on the relationship they maintain with their
customers and this is necessary for their survival (Altinay, Paraskevas and Jang, 2015). It is the
fastest growing sector which is contributing a huge amount in development of economy because
now a days, people spending their harder earn money on travelling at new places. The present
report is based on Firmdale Hotel which was found in 1981 by Kit Kemp, Tim Kemp and their
headquartering is in London, United Kingdom. Apart from this, it discusses various components
of Gartner CRM model which must be followed by companies to maintain their relation with
customers. Whereas, the same CRM model implementation in Firmdale Hotel and their benefits
to the same.
QUESTIONS
1. Components of Gartner CRM model and it help in building relationship with customers
Gartner CRM model- This model is given by Gartner to see that how organisation is
working for maintaining relationship with their clients. The same measures maturity level that
how they are solving problems of customers so that they can satisfy them by serving and
fulfilling their needs and wants (Ayeh and et.al., 2012). It is the important initiatives taken by
Gartner for customer relationship management and experience. It is necessary for enterprises to
implement such model in day to day activities of business and so, there will be better results that
assist them in achieving pre-determined goals as well as objectives. This involves eight building
blocks which are vision, strategy, valued customer experience, organisational collaboration,
CRM process, information, technology and metrics. Below given is the description of all: CRM Vision- Everything have their vision and when this model is applied in business is
also with the same and its main motive is leadership, value proposition, market position.
These are essential because through customer relationship management firm get their
position in market it also assist in leading.
Strategy- Main purpose of this fulfil objective which is decided when strategy is designed and
the same divide customers in different segments which help in easy solving problem as well
satisfying their needs and demands. For maintaining good or effective relationship with customer
it can be possible when the employees or owner of hospitality industry interact with them in
appropriate manner (Chathoth and et.al., 2013).
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Valued customer experience- For survival in this sector satisfaction of client is necessary and for
this owner of the company have to understand requirement, monitor their expectations because
without monitoring it’s not possible to satisfy them (Evans, Stonehouse and Campbell, 2012). If
there any requirement of improvement then they have to communicate with their clients and take
feedback so modification can be done in proper manner. Organisational collaboration- All the main thing that help in running of business must
be collaborated like culture and structure, partners and suppliers, employee’s
communication, personnel incentives and compensation as well customers
understandings. So overall working should be go smoothly. CRM process- Customer relationship management is also implemented in some steps
like customer’s life cycle which help in marketing several services, 2nd step is combines
provisioning and verification. The same should be framed or designed in proper manner
for effective results. Information- CRM helps in gathering information related to customers with the help of
communication and interactions. Determine client's value segment, understand their
needs and preferences, for particular target special marketing should be created and in
the end their response should be monitor so it will help in future campaigns.
Technology- This involves infrastructure, architecture and application this assist they respective
hospitality industry in maintaining good relationship with the clients, customers and guest (He,
Li and Keung Lai, 2011). Example of the same is: E-mail, websites, customer’s portal and search
engine optimization. This mainly help in managing data related to clients.
 CRM Metrics- This work of loyalty of clients, satisfaction, in gaining value and in
analysing the cost they have to serve. Indication related to internal and external
measurement of customer relationship management failure and success.
Components of CRM - There are three components of this which are given as below: Customer: - These are important elements of every kind of business mainly in hospitality
industry for growth and profit generating. If they are satisfy then help in mouth publicity
of product and services also in grabbing more and more customers.
Relationship: - This can be maintained in between company and their clients with the help of
interaction as well as communication. Although for better growth and development relationship
with customers should be maintained (Hung and Law, 2011).
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Management: - This involves management of relationship with customer so their issues and
problem can be solved as well it assist in taking feedback from them. Management of all the
thing in company is important for its overall working (Law, Buhalis and Cobanoglu, 2014).
Customer relationship management gives its some benefits to business strategy because it
mainly focus on customers and they have a significant effect on the bottom line. When the same
is applied in proper manner then it help in satisfying need and wants of clients which is
necessary for sustain in this competitive market. Strategies are organisations are made for their
target groups also and these can be framed in appropriate manner when feedback, interaction and
communication with their service take and products buyers can be done. This entire process is
cost effective thus, it not require more paper and large number of team for it. Instead of this it
focuses on each and every client separately by the data which is provided by CRM practices.
Company have to work according to the strategy they make and in this there is several
importance of CRM some of them are explained in above paragraph. This overall is important
for company because it assist in maintaining relationship which is necessary for survival of the
organisation in this environment which is full of competition (Mauri and Minazzi, 2013). For
example: Firmdale Hotel serves standard quality of accommodation and food. Which is made by
talented chef's with but sometimes they don't get satisfied with them because food ordered for
home delivery may be sometimes late or not appropriate in quantity. So they use CRM practices
in their firm which assist in tracking orders, taking feedbacks, measuring satisfaction of
customers, monitoring performance and also for interaction with their customers. This assist in
managing their business globally, in making changes which is required and in identifying best
CRM solution.
2: Effectiveness of Gartner CRM model
Firmdale Hotel is founded in 1985 by Tim and Kit Kemp its Headquarters is in London.
Same organisation specialities are Restaurant, Bars and Hoteliers. Approximately there are 1001-
5000 employees are working as well comprising with 10 hotels and 9 bars & restaurants. Interior
of their hotels is unique and excellent which easily gain attraction of the customers it is in such
manner which reflect freshness, modern English style. When customer relationship management
is implemented in the same organisation give value because clients are important to company for
its growth and development (Mok, Sparks and Kadampully, 2013). As it is all kn-owed it is
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essential for hotel industry for satisfying their guest and adding value to their products and
services. How CRM applied in Firmdale hotel gives them values is given below:-
One-Stop Database: this is software which contains all the relevant data related to customers
and help in identifying as well as in solving problems through which they are suffering
(Mohammed and Rashid, 2012). This entire process is done in quick manner with the help of IT
software. Because no data can be manage with computer there is large number of clients. Thus,
these practices assist in gathering data related to guest of the same organisation.
 Enhance sales productivity: CRM mobile access allow sales team of the hotel to
continue access to their clients taste and preferences which help them in creating latest
offers for them. Information related to this is given with Emails, messages etc.
 Customer Retention: Firmdale hotel keep in touch with their gives always so they can
offer them better services as per their requirements in this process CRM helps in
maintaining relationship with their customers. This is important because mostly clients
are not loyal if they are not satisfied then they easily shifted to the brand and one more
reason of this is lack of personal bond.
 Increase Referrals: a satisfied person always gives their positive reviews about the
hotel which enhance reputation of the respective organisation. Although through this
more peoples got referrals.
 Better Customer supports: this is in the form of phones, chat, e-mails and face to face
contact. Which provide better assistance to contact with clients and for effective result it
must be adopted as philosophy.
When something is implemented in company it gives immediate benefits same when CRM
practices are applied it also gives quick results some of them is given below:-
Deeper client Connection: this can be done with the help of creating better communication and
interaction as well with the help of constantly responding to the Emails which is received from
customers and also in solving their problems. This can be possible with the help of customer
relationship management software (Nickson, 2013). This is opportunity for examine needs and
wants of clients which assist them in satisfying.
 Better Pipeline Perspective: it is possible with 360 degree view Microsoft Dynamic
CRM this assist in focusing on existing customers of Firmdale Hotel and this maintain
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demographical graphs, communication, purchase and interaction these all are related to
customer’s profiles.
 Stronger collaboration: information related to clients of the respective give hotel shared
with employees working in the same so they can used that and manage entire activity in
proper manner for better outcomes. Easier to Manager: overall activity related to relationship with the customers and CRM
help manager to the same hotel in managing entire activity. With the implementation of
this there is no need of complicate training, any disruption and hassle as well workflow of
company got easier.
Generating revenue: mainly customer’s satisfaction help company in generating revenue (Ryu,
Lee and Gon Kim, 2012). If they purchase goods and services then it will automatically assist in
earning profit.
Above mention are some immediate which Firmdale hotel get after implementing customer
relationship management practices in their business. Apart from this it have some latent
benefits also these are those which organisations get in future by implementing CRM in their
day to day working some of them are stated below:-
 Customer’s loyalty- this is what is not gained instantly but surely in future when
company is maintaining good relation with their guest. Especially in hospitality sector it
is fulfilling need and wants of clients help in gaining their loyalty.
 Help in designing proper business strategy- Every department have their own
strategies and they work according to that for production this assist in many ways like in
identifying what they have to produce according to current market trend or as per need
and wants of their existing clients as well for making new also.
These are some advantages which are important for survival and growth of business but these are
future benefit which is gained by company after implementing customer relationship
management model. There is software of the same how it gives benefits when used by
administrations in managing contact with the clients at worldwide but now a day’s its updated or
latest version is not limited only for managing contacts it assist in boosting sales, time saving,
money and in decreasing stress level (Shaw, Bailey and Williams, 2011). Some more advantages
are given at lower place:-
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 Saves time: This process includes lots of data and paper work with the help of software
this save time by doing overall work on the computer or laptops. Instead of this it reduces
chances of mistake and bring efficiency in working of Firmdale hotel.
Save money: CRM helps in saving money and in gaining return on the amount they have
invested through many ways. There is variety of software but according to need of company it
should be applied so there will be better outcomes (Sigala, Christou and Gretzel, 2012).
 Improves Marketing Campaigns: this work for not only maintain relation with existing
clients but also in reaching to prospects customers. Whereas there is no need to conduct
marketing campaigns by email, messages etc. for single contact list. With CRM software
there is no requisite of employs to do this work but only need to create recipient list of
targeted customers with respective date and time.
 Provide actionable Insights: the same software give whole visibility into marketing
efforts, customers accounts, project statuses as well relationship that need action. It ssist
in enhancing Firmdale Hotel strategy.
 Strengthen communication: every day customers interact or communicate with the
given hotel for many queries related to accommodation and food or can be for parities
because the same have bars, restaurant both (Sparks and Browning, 2011). This can be
manage with the help of software when clients put their problems in these they will gain
answer of the same in revert. Outcomes gain from this is good relation, satisfaction and
many other things which help in generating revenue as well in growth of the same.
 Enhance customer’s experience: when same organisation provides best services
according to needs and wants as well take care of their guest by serving best quality of
food and accommodation facilities. Then it raise experience of their clients (Ye and et.al.,
2011).
Customer relationship management gives its various benefits in hospitality industry and it is
important for them to apply this in their own companies so they can satisfy their clients
which assist in referring more people as well in generating revenue.
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CONCLUSION
From the above assignment it has been concluded that maintaining relationship is important
for every kind of business especially in hospitality sector because this is the business which
is totally depend on the satisfaction of clients. This can be possible by interaction and
communication with them also by taking their feedbacks after offering goods or services. It
assist Firmdale hotel in making modification in existing thing if required for satisfying them
same activity is done by the every enterprise although it is the main motive. Upper mention
entire report is based on the hotel of London which is founded in 1985 and how their value
enhance after applied CRM as well as its advantages of immediate period and latent.
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REFERENCES
Books and Journals
Altinay, L., Paraskevas, A. and Jang, S. S., 2015. Planning research in hospitality and tourism.
Routledge.
Ayeh, J. K. and et.al., 2012. Perceptions and strategies of hospitality and tourism practitioners
on social media: An exploratory study (pp. 1-12). na.
Chathoth, P. and et.al., 2013. Co-production versus co-creation: A process based continuum in
the hotel service context. International Journal of Hospitality Management, 32, pp.11-20.
Evans, N., Stonehouse, G. and Campbell, D., 2012. Strategic management for travel and
tourism. Taylor & Francis.
He, Y., Li, W. and Keung Lai, K., 2011. Service climate, employee commitment and customer
satisfaction: evidence from the hospitality industry in China. International Journal of
Contemporary Hospitality Management, 23(5), pp.592-607.
Hung, K. and Law, R., 2011. An overview of Internet-based surveys in hospitality and tourism
journals. Tourism Management, 32(4), pp.717-724.
Law, R., Buhalis, D. and Cobanoglu, C., 2014. Progress on information and communication
technologies in hospitality and tourism. International Journal of Contemporary
Hospitality Management, 26(5), pp.727-750.
Mauri, A. G. and Minazzi, R., 2013. Web reviews influence on expectations and purchasing
intentions of hotel potential customers. International Journal of Hospitality
Management, 34, pp.99-107.
Mohammed, A. A. and Rashid, B., 2012. Customer Relationship Management (CRM) in Hotel
Industry: A framework proposal on the relationship among CRM dimensions, Marketing
Capabilities, and Hotel performance. International Review of Management and
Marketing, 2(4), p.220.
Mok, C., Sparks, B. and Kadampully, J., 2013. Service quality management in hospitality,
tourism, and leisure. Routledge.
Nickson, D., 2013. Human resource management for hospitality, tourism and events. Routledge.
Ryu, K., Lee, H. R. and Gon Kim, W., 2012. The influence of the quality of the physical
environment, food, and service on restaurant image, customer perceived value, customer
satisfaction, and behavioral intentions. International Journal of Contemporary
Hospitality Management, 24(2), pp.200-223.
Shaw, G., Bailey, A. and Williams, A., 2011. Aspects of service-dominant logic and its
implications for tourism management: Examples from the hotel industry. Tourism
Management, 32(2), pp.207-214.
Sigala, M., Christou, E. and Gretzel, U. eds., 2012. Social media in travel, tourism and
hospitality: Theory, practice and cases. Ashgate Publishing, Ltd..
Sparks, B. A. and Browning, V., 2011. The impact of online reviews on hotel booking intentions
and perception of trust. Tourism management, 32(6), pp.1310-1323.
Ye, Q. and et.al., 2011. The influence of user-generated content on traveler behavior: An
empirical investigation on the effects of e-word-of-mouth to hotel online
bookings. Computers in Human behavior, 27(2), pp.634-639.
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