Marketing Trends Impact on International Hotels: A Report

This report examines the current trends in the hospitality sector and their impact on customer satisfaction and competitive advantage. The report focuses on four key trends: service industry technology, managing physical evidence, people as a customer strategy, and people as an employee strategy. Each trend is analyzed in terms of its impact on the international hotel guest experience, the competitive environment, and customer satisfaction. Recommendations are provided for hotels to compete with their direct competitors. The report covers topics such as mobile apps, hotel design, customer service wait times, and employee empowerment. The analysis includes examples from hotels such as Hilton, Caesars Palace, and the Savoy. The report concludes with overall recommendations and a bibliography.

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Executive Summary
The report is on the trends that are followed in the hospitality sector and the impact it has on
the satisfaction of the customers. It is necessary that every international hotel maintain trends
in the business that helps in its development and at the same time ensures that it manages to
maintain its significant feature. The hotels that are considered for the report are based on the
trends that are followed. Trends in the form of technology, satisfaction of the customers and
the employees along with the physical style of the hotels are taken into consideration. The
effectiveness of these trends and recommendations are provided based on the application
made by the hotels.

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Table of Contents
Introduction................................................................................................................................3
Authorisation..........................................................................................................................3
Limitation...............................................................................................................................3
Scope......................................................................................................................................3
Trend 1: Service industry technology........................................................................................4
What is the current trend shaping the international hotel guests experience?........................4
How does the trend impact the current hotel’s competitive environment?............................4
What effect does this trend have on customer satisfaction?...................................................4
What recommendations can be provided for this hotel to compete with direct competitors?5
Trend 2: Managing the firm’s physical evidence.......................................................................5
What is the current trend shaping the international hotel guests experience?........................5
How does the trend impact the current hotel’s competitive environment?............................5
What effect does this trend have on customer satisfaction?...................................................6
What recommendations can be provided for this hotel to compete with direct competitors?6
Trend 3: People as strategy-customer........................................................................................6
What is the current trend shaping the international hotel guests experience?........................6
How does the trend impact the current hotel’s competitive environment?............................7
What effect does this trend have on customer satisfaction?...................................................7
What recommendations can be provided for this hotel to compete with direct competitors?7
Trend 4: People as strategy-employee.......................................................................................8

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What is the current trend shaping the international hotel guests experience?........................8
How does the trend impact the current hotel’s competitive environment?............................8
What effect does this trend have on customer satisfaction?...................................................8
What recommendations can be provided for this hotel to compete with direct competitors?9
Recommendation........................................................................................................................9
Conclusion..................................................................................................................................9
Bibliography.............................................................................................................................10

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Introduction
Authorisation
The authorisation for the development of the report rests on the fact that the current
trends in the hospitality industry is taken into account. These trends are associated with the
development of large hotels and the manner in which attraction of the tourists can be done at
these hotels for its development. Therefore, as stated by Hoffman (2017, p.45) the
authorisation rests on the fact that in the modern world, trends in hotels are the main reasons
for its success. Based on this, the report is developed and the trends are identified.
Limitation
The report needs to conduct excessive research needs to be developed so that the
competitiveness among the hotels based on the trends can be identified. Therefore, the
limitation that can be associated with the report can be the fact that research on the hotels can
be difficult. This is because the secondary analysis about the information of the hotels can
have a negative result since confidentiality of information and the application of trends are
not published online. Hence, this can be considered as a huge limitation for the development
of the research.
Scope
The scope of the report is to analyse the latest trends that exist in the hospitality
industry and the manner in which the guests of the hotels can be enhanced. The importance of
the trends is taken into consideration and the manner in which recent application of the trends
can provide a competitive advantage for the hotels. At the same time, the effectiveness of the
trend on the satisfaction of the customers are taken into consideration and based on the

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analysis recommendations are provided that can help in gaining competitive advantage for
the hotels.
Trend 1: Service industry technology
What is the current trend shaping the international hotel guests experience?
The technology such as mobile apps has a significant importance on the development
of hotels in the modern world. For example, international hotel like the Hilton Hotel can
develop mobile apps with which people can make reservations at the hotel beforehand. At the
same time, it is observed by Hummel and Murph (2011, p.265) the mobile applications can
help in analysing the customers via social media so that any type of new facilities developed
at the hotel can be notified. Chat boxes for communication are required to maintain effective
connection with the customers. The chat boxes works as popup so that any messages or
notifications can appear instantly on the screen of the managers or the person in-charge with
building customer relationship.
How does the trend impact the current hotel’s competitive environment?
The trend can have a positive impact on the competitive environment of Hilton Hotel.
This is mainly because people aiming to conduct business deals or celebrations need to book
the hotel in an advanced manner. The application of the mobile application can help Hilton
Hotel to confirm such bookings and thus, ensure that competitors remain unaware of the
situation (Shahin 2010, p.12). At the same time, booking over the internet can provide the
customers with discounts that can help in the development of the popularity among the
customers.

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What effect does this trend have on customer satisfaction?
The trend can have a significant positive effect on the satisfaction of the customers.
One such significant trend can be the fact that the customers can use the mobile apps for
booking the hotel for various events owing to the thought of gaining discounts. At the same
time, Lovelock and Wirtz (2004, p.67) stated that the loyalty of the customers could be
maintained which can help in enhancing the business prowess of Hilton Hotel and at the same
time help it to increase its revenue.
What recommendations can be provided for this hotel to compete with direct
competitors?
Recommendations for Hilton Hotel that can be provided may rest on the fact that the
application of the mobile apps need to be based on the ease at which the customers can access
the hotel. Prompt responses need to be provided by the people in-charge of the facilities
related to the IT department so that none of the customers has to wait to gain confirmation
about the booking. At the same time, a user-friendly mobile app can help every customer to
book the hotel irrespective of its existence.
Trend 2: Managing the firm’s physical evidence
What is the current trend shaping the international hotel guests experience?
The trends in design that is shaping the experience of the hotel guests include the
theme and style of the designing of the hotel. Rosenbaum and Massiah (2011, p.471) are of
the opinion that the international hotel guests aim to live in a luxurious place that is designed
in a theme and depicts the style of an era. For example, Caesars Palace in Las Vegas can be
considered as one of the hotels that are benefitted from the recent trend.

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How does the trend impact the current hotel’s competitive environment?
The trend can impact the current competitive environment of Caesars Palace is by
ensuring that it can attract the attention of the guests based on the dual services it provides.
For example, it has been seen that Caesars Palace provides opportunities for guests to be
involved at the casino much like any other hotel in Las Vegas. Wang and Mattila (2015,
p.346) observed that with the theme of the hotel being that of the Romanian era, customers
are usually attracted to gain a mixture of both past and present side of the development in the
world.
What effect does this trend have on customer satisfaction?
Customer satisfaction can have a positive trend due to the development of the theme.
As stated by Bateson (2002, p.110) customer satisfaction based on the recent theme of the
hotel can be attributed to the fact that the style at Caesars Palace can attract customers from
all ages and thus enhance the profitability of the hotel. This can be attributed to the fact that
at Caesars Palace, the customers can find the glimpse of the past while enjoying the modern
world facilities of the hotels.
What recommendations can be provided for this hotel to compete with direct
competitors?
The recommendations that can be provided for Caesars Palace can be based on the
evidence that the hotel need to avoid changing its infrastructure. Rival hotels around Las
Vegas can have facilities that match Caesars Palace. However, the style and the theme of the
place is the reason for its name and thus, protection of the name and heritage of the hotel
need to be maintained based on the establishment of the recent trend in the hospitality sector.

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Trend 3: People as strategy-customer
What is the current trend shaping the international hotel guests experience?
The customer strategy such as the waiting time of the customers can be considered as
a recent trend in business. It can be seen that the service response time provided to the
customers can be considered as important for the hotel mainly because the experience of the
hotel guests rests on the services provided. In this regard, an example of the services provided
by the Savoy in London can be considered. The waiting time of the customers at the hotel is
limited and helps in the development of the experience of the customers.
How does the trend impact the current hotel’s competitive environment?
The trend can have a positive impact on the hotel mainly because the competitive
advantage needs to be developed as per the requirements of the customers. At the Savoy, it is
seen that the competitive environment of the hotel can be based on the evidence that prompt
services are provided to the customers while providing them with food or rooms. Hence, as
stated by Heung and Gu (2012, p.1167) the development of the satisfaction level of the
customers can help with the development of the hotel.
What effect does this trend have on customer satisfaction?
Customer satisfaction of the Savoy can improve due to the reduction in the waiting
time of the customers. This can have a positive impact since prompt customer service can
provide Savoy with an opportunity to develop its competence in the market. At the same
time, the customer satisfaction can lead to more intakes of guests and the Savoy can have a
positive impact in trying to develop its competitive advantage in the market. Thus, customer
satisfaction can have a growing trend in the business of Savoy.

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What recommendations can be provided for this hotel to compete with direct
competitors?
Recommendations for Savoy can be based on the evidence that the hotel need to
reduce its customer waiting time by confirming the bookings of the customers. Criticism
from Hoffman et al. (2010, p.44) has highlighted the fact that Savoy is slow in providing
confirmation about the bookings done and thus, tends to lose customers to its competitors.
Hence, this particular recommendation need to be adopted by Savoy in order to gain a
competitive advantage in the market based on the trend related to quick response time for
meeting the needs of the customers.
Trend 4: People as strategy-employee
What is the current trend shaping the international hotel guests experience?
The current trend that shapes the hotel guest experience can be considered based on
the empowerment strategies. The empowerment strategy comprises of providing abilities to
the employees of a hotel to continue with taking decisions such as customer service, facilities
required and so on. Example of the hotel that follows this trend is that of the Heritage hotel in
Australia. The empowerment of the employees needs to be based on the evidence that
maintaining the scenic heritage that makes the hotel famous can be taken into account.
How does the trend impact the current hotel’s competitive environment?
The trend can have a positive impact on the competitive environment of the hotel.
Various competitors are face by the Heritage hotel in Australia, and thus employee
empowerment can have a significant positive impact in its development. At the same time, as
stated by Meuter et al. (2000, p.64) it can be said that the empowerment of the employees
may lead to rash judgements, which in turn can have a negative consequence in trying to
maintain the satisfaction of the customers.

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What effect does this trend have on customer satisfaction?
The effectiveness of the trend can have a positive impact on the customer satisfaction
level. The empowerment of the employees can be based on the evidence that it helps in the
motivation of the employees and at the same time, reflect the performance while trying to
satisfy the employees. Schuckert, Liu and Law (2015, p.608) are of the belief that the trend
can bring about customer as well as employee satisfaction owing to the fact that perfect
collaboration exists between the two concepts.
What recommendations can be provided for this hotel to compete with direct
competitors?
The recommendations that can be provided to Heritage can be based on the evidence
derived from the fact that every employee need to be guided properly despite providing them
with the empowerment required for making decisions. Every decision of the employees needs
to be scrutinised and finalised only after considering the positive aspects as well as the
advantage that can be received from the application of the decisions taken by the employees.
Therefore, it can be said that the application of these recommended monitoring strategy can
help Heritage to develop its competency in the hotel industry.
Recommendation
Overall recommendations can be that every hotel need to analyse the recent trends
and its possible impact so that it can gain a competitive advantage in the market as well as
maintain customer satisfaction.
Conclusion
From the analysis of the trend, it can be conclude that every hotel needs to be able to
maintain a trend that can be used for its advantage in gaining customer satisfaction. The

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recent trends take into account every activity that exists in the hotel industry and thus, ensures
that proper development of the hotel takes place. At the same time, it can be said that each of
the hotels that has been analysed are hugely famous international hotels and it is the duty of
the managers of each of the hotels to understand the importance of the trends and the manner
in which it can shape the wellbeing of customer services.