Innovation Opportunities for a Resort in Northern Queensland

This case study discusses potential innovation opportunities for a resort in Northern Queensland to attract tourists and receive government grants. It includes an analysis of Porter's Five Forces, SWOT analysis, and PESTLE analysis. The report also provides recommendations for implementation and monitoring of the innovation opportunities.

INNOVATION

Contents
Contents..........................................................................................................................................2
INTRODUCTION..........................................................................................................................4
MAIN BODY.................................................................................................................................4
Porter's Five Force..................................................................................................................4
SWOT Analysis......................................................................................................................5
PESTLE Analysis...................................................................................................................6
Identify and evaluate three potential innovation opportunities that a respective organisation
can adopt.................................................................................................................................7
Critical evaluation of the one innovative opportunities and detailed plan of implementation8
Process to review and monitor the progress of innovation opportunity and make sure it is
sustainable for tourism services............................................................................................10
RECOMMENDATIONS..............................................................................................................11
CONCLUSION.............................................................................................................................11
REFERENCES.............................................................................................................................13

INTRODUCTION
The following case study is based upon hospitality industry. There are a number of
different kind of services included in hospitality industry including food, drinks, lodging,
events, site seeing, vacation, trips, amusement parks etc. The following report talks about a
resort in Northern Queensland whose COO is Mrs. Crowley. The demand for tourism service
provided by resort are declining which have hugely discouraged the staff as well (Iglesias-
Sánchez and et. al., 2020). The following report discusses about various ways in which
innovation can be brought by Mrs, Crowley to attract tourists as well as government in order to
receive the grant that Queensland state government is providing. The market analysis of resort is
done in order to effectively understand various innovations that can be brought, and
recommendations required to successfully apply it on resort is also described.
MAIN BODY
Porter's Five Force
This is a tool which is used to describe competition present in market for an organisation. There
are five forces included in this analysis which are explained below in relation to the tourist
resort:
Degree of Rivalry existing: There is intense rivalry between resorts in Queensland. There
are a number of resorts that are providing almost similar services in market. The consumer
service industry in which the resort is dealing is highly competitive. It is essentially required by
them to develop competitive strategies.
Bargaining power of buyer:There is a lot of demand made by buyers in every industry.
The same is with leisure industry as well. It is often seen that there are buyers who are keen to
look for discount and opportunities to pay less. Also price factor can make them switch easily.
Due to this the bargaining power with buyers is always high.
Bargaining Power of supplier:There are a number of different supplier available for
tourists resort. Due to this the bargaining power of supplier sis less. Resort can easily change
their suppliers whenever they require. However, it is necessary to keep in good relationships
with suppliers so that negotiation can be carried out effectively in order to increase profitability
margins.

Threat of potential entrants:There are a number of new competitors arising with
different innovations. Due to this tourist resort is required to create barriers for them by
changing their pricing strategy and reducing costs which in turn helps them to generate new
value propositions for organisation.
Threat of substitutes: The threat from substitutes is not very high for tourists resort.
However there are a number of different leisure activities and destinations that tourists might
want to visit but the locations, natural habitat, rainforests, river shore and beauty of nature that is
displayed by Tourist resort in northern Queensland cannot be replaced (Ngin, Chhom and Neef,
2020). The exotic location providing all the benefits of nature along with a leisure trip cannot be
substituted. Therefore threat from substitutes to tourist resort is unnoticeable as every tourist
spot and destinations have their own benefits and drawbacks. Also, decision of location is totally
based on the perception of tourists.
SWOT Analysis
SWOT analysis provides internal analysis of organisation along with various
strengths, weaknesses, opportunities and threats. Below mentioned is a SWOT analysis
conducted on resort:
STRENGTHS WEAKNESSES
Easy access to Great barrier reef, Daintree
rainforest and other tourist spots.
Appealing for international as well as domestic
travellers.
Increased capacity with the help of
development of Cairns Airport.
Far from major metro cities of Australia such
as Sydney, Melbourne etc.
Yield management is difficult due to high
seasonality as visitors during monsoon are
less.
It is highly dependent on discretionary
spending which might lead to unexpected
economic shocks.
OPPORTUNITIES THREATS
Introduction of a number of direct flights from
big economies such as China.
Growth in market share as various markets of
India, China and Middle East have shown
Due to high price of Australian dollar leisure
travel may suffer.
There are a number of tourists who prefer
rented apartments which might lead to

development (Anning-Dorson and
Nyamekye,2020).
Increase in visit from traditional markets such
as United Kingdom and Japan.
decrease in demand.
Due to continuously changing weather the
tourists attraction is facing constant fluctuation
in number of tourists visiting.
PESTLE Analysis
Pestle analysis studies external factors affecting business including political, social, economic,
legal, environmental, legal and technological factors. Pestle analysis conducted on resort is
mentioned below;
Political Factors: It is necessary for resort to focus on the changes that are taking place
in government of Queensland as well as Australia. There are risks of level of corruption,
political instability, changes in tax rates etc. that might effect the tourist resort.
Economic Factors: There are a number of tourists visiting from international locations
due to this it becomes necessary for resort to keep a tap on changes in the rates of foreign
currency exchange. Also various economic factors in country such as interests rate, inflation,
unemployment, GDP etc. might heavily affect functions of organisation.
Social Factors: It is necessary that the resort is typically keeping in mind all the
requirements of society and culture. It is their duty to keep up the cultural heritage and also
effectively save the values and believes. It is also necessary for resort to critically assess the
changing needs and perceptions of people and meet them as these might have negative affect on
business.
Technological Factors: It is required by resort to understand technological
advancements and apply them in their work. This will provide them edge over their competitors.
They can use automated machines in their kitchens to save efforts. Technological backwardness
can negatively affect business (Keiningham and et. al., 2020).
Environmental Factors: Environmental norms are to be followed by resort otherwise it
may lead to depletion in their brand value. It is necessary that while fulfilling requirements of
customers they are not damaging environment. Climatic changes in the area are major
environmental factor which is affecting tourist resort.
Legal Factors:There are a number of legal factors that are affecting the business of
tourists resort such as health and safety act, employment law, discrimination law, consumer

protection law etc. Not following these may lead to penalty or negative effect on business of
resort.
Identify and evaluate three potential innovation opportunities that a respective organisation can
adopt
It is significant for Mrs. Crowley to bring out some innovation in market that is unique as
well as different in market as it help company to attract large number of customers and sustain
in market for longer time period (Greco, Grimaldi and Cricelli, 2019). In addition to this, it also
assist in develop sustainable tourism due to which it can gain the opportunity provided by the
government. Nowadays, the preferences of people is getting changed as they are more likely to
invest in those things and consume those services which is new and innovative in market. It is
important for the resort situated in Northern Queensland to bring to bring out innovation in
marketplace. The identification and evaluation of three potential innovation opportunities in
relation to resort is given below:
Catbots: It is consider as one of the effective technological innovation opportunity that
allow to stay connected with the guest for longer time period. In addition to this, chatbots
initiate conversations with customers right on their mobile phones (Hjalager and Madsen, 2018).
It is analysed that because of space constraints in phone and thousand of applications in phone,
most of the customers are reluctant to download particular brand application. With the help of
chatbots, an automated response is given to customers that hep in customer engagement and
development of more loyal customers as well. Acquisition of such innovative technology will
help to provide rapid and quick response to customer queries that develop a positive mind set
towards brand and enhance performance as well as profitability of resort.
Online presence and enhance customer learning: Another innovation opportunity is
development of application and website that provide all the information to the customer about
the resort to the customers. In addition to this, it also help in gaining insight about people who
are searching for resort that further targeted by company with an attractive offers. In addition to
this, it also allow guest to give their feedback on that particular webpage so that positive
response of one customer looking by other customer develop a positive mind set towards brand
and leads to booking conformation. This will help in attracting large number of people and
create awareness in market which in turn help resort to sustain and perform in market for longer
time period.

Menu selection: Nowadays, most of the resorts are integrating more selection in their
offering menu in order to provide all type of food to their customers in an effective manner. this
includes organic produce foods, healthy foods, natural products, dairy products and so on which
offer guests more good selections (Hall, and Williams, 2019). In addition to this, resorts have
their own QR codes which can be scan by guest at anytime within the resort. Scanning this code
will show the menu in phones and decline the guest visit to reception or food tables. This
innovation of QR codes for menu selection will help to offer convenience to its guest as they
can order food at any place within the resort. In addition to this, providing satisfactory service to
customers will help assist in retaining them for longer time period which has a positive impact
on the performance and profitability of resort.
Critical evaluation of the one innovative opportunities and detailed plan of implementation
By analysing the above technical innovative opportunities, it is stated that online presence
and enhancing customer experience through social media application is effective for the resort
located in Northern Queensland. This will help Mrs. Crowley to develop a sustainable tourism
development and increasing its customer base level which directly leads to increase in sales and
profitability of resort. It is determine that millions of people social medial applications such as
Facebook, Instagram and YouTube in daily basis and creating awareness through such medium
will help in market retention. In addition to this, nowadays people are more aware about the new
services coming in market and they use internet in order to get knowledge about such service
through the feedback comments. They take purchasing decision after seeing the reviews so
providing a positive experience to guests and getting positive review will help Mrs. Crowley to
strengthen brand image and increase its performance at marketplace. The implementation
process to execute such idea is given below in relation to resort:
Implementation process
Stage 1: Exploration
It is consider as the first stage that determines what innovation are likely to bring in
order to attract more people towards resort. It is determine that by using online applications and
aware people via Facebook, Instagram and YouTube about such natural attractions will help
Mrs, Crowley to enhance its performance and profitability level that can be used in developing
sustainable tourism development.
Stage 2 Installation:

Herein, an entity develop a system that will support in systematically implementation of
new innovative idea for the improvement in performance of resorts. Development of system will
needs examining and quality features which directly leads to success. For implementing the plan
of developing online website and to enhance customer experience, the resort is require to hire a
professional person who have the knowledge of social media handling in an appropriate manner.
Stage 3: Initial Implementation
The purpose of initial investment is to put the idea of natural attractions at selected social
media websites. This will help in gaining feedback and review the response of people towards
brand. By creating awareness about resort and its features on some websites will assist Mrs.
Crowley to increase performance and make improvements if needed.
Stage 4: Full implementation:
Herein, an individual ensure that the new idea or practice are used to achieve positive
outcomes in an effective manner. If it is talking about implementation of new idea of
development of online presence the it is determine that it has a positive impact on the
productivity and profitability of the resort. In addition to this, it will help Mrs, Crowley to gain
profits and invest all the amount in develop resort an attractive and effective tourism attraction.
Stage 5: Expansion
Herein, finally the development of online website is take place by a professional person
and gaining of customer experience will take place. It is important for Mrs. Crowley to focus on
providing effective and quality service to customers so that they can give positive feedback or
experience on the online websites. This will help in attracting large number of towards natural
attraction.
From the above discussion, it is sated that development of online presence and
enhancing customer experience will help in raising customer base and profitability level. In
addition to this, it will help Mrs. Crowley to gain profits and invest into developing sustainable
tourism due to which it can gain the opportunity offered by the government of northern
Queensland.
Process to review and monitor the progress of innovation opportunity and make sure it is
sustainable for tourism services
By considering the significant innovation opportunity which is the online presence and it is
beneficial for resort and it is possible with the help of online customer reviews that are emerged

as the essential part of customer purchasing process. More online reviews play an important role
in making effective online presents and helps in developing image and reputation of resort in the
market. It considers interactions with the unfamiliar sellers contain the components of risk add
the modern customers also have access considering the various forms of information that is
useful in resolving the uncertainty (Van der Have and Rubalcaba, 2016). Moreover, in terms of
effective management online presents is accomplished with the help of internet services that are
developed with the prominent purpose and it include various steps that are:
 The selection of significant technique is important as the week listening skills and
techniques does not useful for effective monitoring and become barrier in terms of
distracting from the purpose.
 Moreover, when the prominent purpose is to apply these techniques and then the
manager of Hotel need to make sure regarding the effective listening for the right things
as it is important to monitor they agree creatives organization references competitors’
products and so on (Tidd and Bessant, 2018).
 Moreover, with the help of tools prominent degrees also share team listing in terms of
having effective communication that helps in making online presents of Resort and
useful in attracting maximum number of customers.
Reviewing: It is important in terms of gaining control over their Impressions on the organization
and useful in maintaining significant awareness for making online presents that is beneficial for
the company. Along with this they also develop a proper measurement system that provide the
clear goal driven analysis concerning the online reviews as well (Schilling and Shankar, 2019).
With the help of developing the ability for the effective use of review management the customer
service and product development automatically gets enhanced and helps in gaining ability for
monitoring their competitors.
Therefore, by considering the effective Management process it is analyzed that it is
important as it offer a level of control over the social relevance and helps in not being
victimized by the negative comments and powerless to get fair and accurate story within the
tourism services and helps in making them more sustainable in market.
RECOMMENDATIONS
From the above study, some of the recommendations give to Mrs; Crowley in order to
achieve innovation achievement is given below:

 It is suggested to higher authorities of resort to develop an effective plan and then bring
innovation in market as it help in implementing all the activities and operations in a
systematic an effective manner which has a positive impact on overall performance level
of a company.
 It is recommended to Mrs. Crowley to make use of social media applications such as
Facebook, Instagram, YouTube and so on in order to aware more number of people
about innovation (Ahn, 2020). This will help in reaching large number of people which
directly laeds to increase in customer base and number of bookings of Queens of resort
situated in Northern Queensland. In addition to this, it help in increasing profitability and
also assist in bringing sustainable technology development in market due to which Mrs,
Crowley can gain government opportunity.
 In addition to this, it is suggested to Mrs, Crowley to check and monitor all the activities
associated with bringing innovation in market. It will help in analysing the level of
performance with the set standards and making improvements effectively and timely as
well.
 Moreover, it is recommended to provide training session to its staff members about the
using of new technology and dealing with customers. Along with this, it also enhance the
level of skills and knowledge of employees that help in providing satisfactory service to
customers which leads to retention of customers and raising of profitability of resort as
well.
CONCLUSION
From the above study, it has been analysed that innovation plays an important role within
the hospitality industry as it help in attracting large number of people due to which it can attain
higher growth and success at marketplace. Pestle analysis help an entity to gain insight about
external factors that has impact on the performance and activities of a company. In addition to
this, applying of SWOT analysis help in knowing the strengths and weaknesses of an entity due
to which effective strategy is developed for improvements and attainment of opportunities in
market. It is important for resorts to go online and make use of social media applications in
order to attract large number of people towards it and sustain in market for longer time period.
There are many technological innovation taken place in market and is an innovation

opportunities for resorts such as chatbots, enhancing customer experience, development of
websites, online check outs and check ins and many more.

REFERENCES
Books and Journals
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relatedness support with integrated resort experiences. Current Issues in
Tourism, 23(6), pp.756-769.
Anning-Dorson, T. and Nyamekye, M.B., 2020. Be flexible: turning innovativeness into
competitive advantage in hospitality firms. International Journal of Contemporary
Hospitality Management.
Greco, M., Grimaldi, M. and Cricelli, L., 2019. Benefits and costs of open innovation: the
BeCO framework. Technology Analysis & Strategic Management, 31(1), pp.53-66.
Hall, C.M. and Williams, A.M., 2019. Tourism and innovation. Routledge.
Hjalager, A.M. and Madsen, E.L., 2018. Business Model Innovation in Tourism: Opportunities
and Challenges. The Sage Handbook of Tourism Management, p.373.
Iglesias-Sánchez, P.P. and et. al., 2020. How do external openness and R&D activity influence
open innovation management and the potential contribution of social media in the
tourism and hospitality industry?. Information Technology & Tourism, pp.1-27.
Keiningham, T. and et. al., 2020. Customer experience driven business model
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micro businesses in the tourism and hospitality sector: The case of Kratie,
Cambodia. Environmental Research, p.109557.
Schilling, M.A. and Shankar, R., 2019. Strategic management of technological innovation.
McGraw-Hill Education.
Seraphin, H. and Yallop, A., 2019. Proposed framework for the management of resorts mini
clubs: An ambidextrous approach. Leisure Studies, 38(4), pp.535-547.
Tidd, J. and Bessant, J.R., 2018. Managing innovation: integrating technological, market and
organizational change. John Wiley & Sons.
Van der Have, R.P. and Rubalcaba, L., 2016. Social innovation research: An emerging area of
innovation studies?. Research Policy, 45(9), pp.1923-1935.