Report: Managing Customer Experience in Hospitality and Tourism

This report delves into the critical aspects of managing customer experience within the hospitality and tourism sector, with a specific focus on TUI Group. It begins by exploring the role of digital technology, including information storage, cloud computing, IOT, and CRM systems, in enhancing customer interactions and service delivery. The report evaluates the advantages and disadvantages of CRM systems, highlighting their impact on data management, communication, and operational costs. Furthermore, it examines various strategies employed to provide superior customer service, such as the importance of experienced staff and the use of feedback mechanisms. The report reviews the implementation of these customer service strategies within TUI, assessing their usefulness in improving customer experiences and achieving business goals. The analysis provides recommendations for enhancing customer experiences and justifying improvements, offering a comprehensive overview of customer experience management in the context of a major tourism organization. The document is contributed by a student to be published on the website Desklib. Desklib is a platform which provides all the necessary AI based study tools for students.

Managing the
Customer Experience

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 3............................................................................................................................................3
P5 Use of digital technology in managing customer experience................................................3
M3 Evaluation of digital technology employed in managing customer experience...................5
D3 Critical analysis of CRM and its advantages and disadvantages..........................................5
TASK 4............................................................................................................................................6
P6 Strategies of providing services in hospitality and tourism sector........................................6
M4 Reviewing the implementation of customer service strategies in TUI.................................7
P7 Usefulness of customer service strategies on experience of consumers and attaining
required business goals...............................................................................................................7
D4 Recommendation and justification for improvement experienced of customers..................9
CONCLUSION ...............................................................................................................................9
REFERENCES .............................................................................................................................10

INTRODUCTION
Customers are the most important factor of every service industry because of the nature
of the roles, duties and responsibilities of company. Managing the experience of customers is the
foremost task of service organisations for attracting and retaining more and more consumers
towards their company and services they offer. Digital technology plays a vital role in managing
the experiences of guests, it serves as a mean for understanding and learning about consumers.
Through the data collected by it companies try to provide good services and enhance their
experiences(Goodman, 2019). Many strategies are their in market which companies use to
provide what guests expect from them and give them best services and experience. These plans
which companies use are different and unique for various segments of society. All these
elements are elaborated in this report in context of Touristik Union International. TUI is the
largest tourism group, which has diversified operations in service sector as it deals in hotels,
airlines, travel agencies and several cruise lines. TUI group is an multinational corporation,
founded in 1923 and headquartered in Hannover and Berlin, Germany. It works in tourism and
hospitality industry and serves in North America and Europe and listed on London Stock
Exchange, Frankfurt Stock Exchange (FWB) and Financial Times Stock Exchange. ence,
TASK 3
P5 Use of digital technology in managing customer experience
Use of digital technology in managing customer experience
Digital technology are basically the electric tools, devices, systems and other resource that are
used to generate, store or process any data or information in minimum possible time. It is
basically a branch engineering or scientific knowledge that mainly deals with development,
creation and practical use of digital or computerised devices, systems and methods. The main aim
of any organisations behind making use of digital technology is maintaining a effective digital
communication through using various digital phase like social media(Kandampully, Zhang and
Jaakkola, 2018). TUI is among the one of the largest tourism group of the world having many
diversified operations like hotels, travel agents, airlines and other operations of service sector.
Being a multinational organisations it become necessary for TUI to have proper implementation
and adoption of Digital technology so that efficient flow of operation can be achieved. The main

role played by digital technology in managing customer experience for TUI organisation is
provided below:
Information storage
Use of digital technology facilitates TUI to effectively store and retrieve its data which is
necessary to maintain records for future assistance. Being in a service sector it is necessary for
TUI to have proper data backup of each customer so that desired services and value can be
provided to them. In service sector it is necessary to keep the personal data of its customer safe
and away from the reach of hacker specially the data related with online payments, debit and
credit card(Homburg, Jozić and Kuehnl, 2017). This is possible through making use of digital
technology as it provide facility of encrypted passwords and security measures to keep the
information safe. Thus, lead to better management of customer services in TUI.
Cloud computing
Cloud computing is also a very useful tool of digital technology which provides aid to
TUI through performing various tasks like Customer Relationship Management, Help Desk,
Remote Network Management, and others. Use of cloud computing provides a better sharing of
documents, storing historical tasks, exchange log files, and many other collaborative tasks for
maintaining better relationship with customers.
Illustration 1: Cloud computing
(Source: Cloud computing, 2019)
IOT (Internet Of Things)
Many sensors are connected with the internet, facilitating real-time, remote monitoring.
With use of IOT, the control center records the information directly and in real time, which saves
time and money, and improves the accuracy and quality of the process for TUI organisations. In

today's time all the work of organisations are conducted with the help of internet(Buonincontri
and et. al., 2017). Digital technology has made use of internet more easy and provide a fast speed
internet facility without any interruption thus, it enable TUI to transfer and communicate relevant
information across different customers and other related party instantly. Thus, a fast way of
communication is provided by digital technology winch is pessary to manage the demands and
desire if customers more easily.
CRM system:
Use of CRM ( Customer Relationship Management) is made to properly handle and
manage the customers data. A huge support is provided by CRM to TUI organisations in
delivering actionable insights, sales management and provide better integration with digital
media which facilitates effective communication within in the organisation. Following advantage
and disadvantage are offered by use of CRM system in TUI organisation.
Illustration 2: Components of CRM system
(Source: Components of CRM system, 2019)
Advantages of CRM system
 Helps in establishing and developing deep relation and strong connection with customers
through facilitating effective communication and storage of relevant data.
 Lead to better collaboration and interaction among staff and workforce through providing
better communication channels within the organisation(Jain, Aagja and Bagdare, 2017).
Disadvantage of CRM system
 Implementation of CRM system in an organisation is costly thus, it can increase cost of
operation for TUI.
 Many security threats and data protection issues are also lead by CRM system because of

centralisation of data.
M3 Evaluation of digital technology employed in managing customer experience
Digital technology is playing a crucial role in managing customer experience as provide
better interface between customers and organisations and also keep and maintaining past records
so that best services can be provided to customers in future on the basis of last feedback. Digital
technology is also making changes in CRM systems for acquiring and retaining customers
through providing a more safe and less costly way for storing data and also facilitates effective
communication through making use of digital media like social media, etc. which provide more
instant interaction among customers, organisations and its employees.
D3 Critical analysis of CRM and its advantages and disadvantages
CRM systems are very effective and helpful for TUI, it holds huge importance for
companies and makes provide effective results. Like every tool it has its advantages and
disadvantages, its is beneficial for company as it gives guidelines to company for managing good
relations with customers(Bustamante and Rubio, 2017). But sometimes it can bring some
disadvantages also, like it involves huge costs and that is harming TUI as this cost can be used in
other more essential activities.
TASK 4
P6 Strategies of providing services in hospitality and tourism sector
Customer services is the main part of every tourism and hospitality industry, as poor
services provided to guests can lead the organisation towards failure. TUI also deals in same
sector which is why they needs to adopt effective methods, tools and resources for providing
services to their guests. These strategies are not same for business section it differentiate on
many basis like from industry to industry, geographical areas, targeted audience and resources
available to company. In next section some schemes are seen for providing best experiences to
guests who chose TUI group.
 Experienced staff- Employees of TUI plays very important part in providing their guest
what they needs. Personnels are the ones who stays the closest to customers, they
understand them, their needs and know how to fulfil those desired. Their experience and
knowledge will enhance their abilities and skills of analysing and knowing customer

needs. Time to time training which company provide to staff will help in increasing the
knowledge and talents of personnels and that will ultimately result in better service
provision to guests. Therefore, experienced employees will always works as an asset for
hospitality industry, while serving customers(Keiningham and et. al., 2017).
 Feedbacks- Another strategy which can help in providing best experience to customers is
taking feedbacks. These are very efficient tool of understanding the desires of customers
and to know the expectations of people from TUI. In feedbacks their will be some set
questions which are in accordance with the company, what they services and products
they offer to people and what are the reactions of guests on it. Feedbacks can be printed if
forms are distributed and it can also be sent to existing and new customers using emails.
In these forms some specific questions will be asked about the experience of guests, they
can ask to grade the services which are offered by company and many other related
questions.
 Choosing right tools- As it is known that digital technology is very effective tool for
hospitality and tourism industry due to changing environment and dynamics of market.
TUI also, had to introduce new tools which are correct for their business(Zhang and et.
al., 2017). They can bring in software which will help in enhancing the experience of
guests, they can provide online booking services for their hotels as well as their travel
guests. They can introduce new portals by which consumers can take help in clearing
their doubts and any resolving any issue if arise. These tools and techniques will
automatically help in rising experiences of customers and attracting more public towards
the brand.
All these techniques, tools and methods are necessary and helpful for TUI if adopted effectively
and implemented properly. These ways will vary from business to business in accordance to
them but will be very effective and brings efficient results towards the organisation. TUI has to
operate functions with utmost attention in providing best services to its customers(Kranzbühler
and et. al., 2018). Satisfaction of consumers, their expectations and desires, their experiences and
their loyalty towards TUI will decide the existence, growth and earning of company. These
factors will enhance or reduce the reputation of company and that will affect the position of
organisation in marketplace.

M4 Reviewing the implementation of customer service strategies in TUI
Customer service strategies are necessary for TUI as it is an service provider and those
importances are discussed in sections above. Their application is what is important and which
decides that it will be effective for TUI or not(Surridge and et. al., 2018). Therefore, company
has to pay their utmost attention while implementing and executing their plans and unique
suitable strategies they made for their organisation and its fucntions
P7 Usefulness of customer service strategies on experience of consumers and attaining required
business goals
All those tools, techniques and methods of customer service discussed in above section
will help TUI in providing best experiences to its customers and also, achieving expected
business standards. All these activities will contribute their part in reaching towards the goals,
aims and objectives of organisation along with satisfying the consumers. In next section below it
is demonstrated and elaborated that how these actions which TUI group takes will enhance the
experience of buyers.
 First is Experienced staff, it is known that customers are the backbone for organisation to
work and employees are the one who performs all the plans and strategies made by
company. Staff knowledge from their existing jobs will give them power to understand
guests and their needs. This talent of employees will allow them to work in an effective
manner and in accordance with what exactly consumers needs. On top of that, company
can enhance their skills by providing them training which will make them more efficient
to perform their tasks and stand on the expectations of their superiors and guests. All
these activities will ultimately provide great experience to customers and that will result
in obtaining required standards of organisations which are predetermined by the
management.
 Next useful tool is Feedback, for TUI group as it is working in service industry it
important for them to know opinion of their customers and guests visiting their hotels. In
this feedback form will help company to provide good experience to
consumers(Bharwani and Jauhari, 2017). Talking their opinions and listening to guests,
understanding their needs will make them feel important. Guests get this positive attitude
towards the organisation, they feel their importance and that will make them happy and
provide them with utmost satisfaction. This satisfaction of guests and happy faces will

ensure their loyalty towards TUI's services and make sure for company that they retained
those customers for longer duration. Then the company will maintain healthy relations
with customers, they keep them updated with all new ideas and schemes to attract their
attention. This will result in earning more profits, having huge customer bas which is
loyal and attaining predetermined objectives(Ponsignon, Durrieu and Bouzdine-
Chameeva, 2017).
 Then the third technique used by TUI is Choosing Right Tools, with increasing use of
digital technology in day to day lives of people, hospitality and tourism industry can
make effective use of them in their businesses. TUI group has also done that for
enhancing the experiences of their guests. They provided them ease and comfort for
everything, in just some clicks people get all the information they require about the
company. They can use its official websites for pre-bookings and reserving their services
on prior basis. Current guests can use their official portal to clear their doubts, gathering
any information and conveying their experience by which if any problem arises that can
be solved at the very moment. All these actions will provide good experience to
customers of TUI, by satisfying their needs and also benefits the company. These
satisfied consumer will perform activity of mouth publicity and increase the goodwill of
TUI and making them more popular. People will start recognising them, they will prefer
TUI before any other organisation this will enhance the business of company and
increase its efficiency and effectiveness.
D4 Recommendation and justification for improvement experienced of customers
Customer service strategies are delivered effectively when there is proper communication
is taking place in company and its structure. These strategies can be more effective and deliver
better results when they are performed exactly they were planned. Feedback form which TUI is
sending can be made more flexible and easier for people to understand them and provide better
opinions. Employees should be well trained and their should be very effective channels of
communication present in company's structure which makes them comfortable in expressing
themselves. This way they will be happy and satisfied and work in better manner and with their
full potential.

CONCLUSION
From the above report it can be concluded that customer services are the most essential
tools every company in hospitality and tourism needs and should make their in relation with
them. This is due to the importance and position customers holds in company's, they are the
engine of every service industry. Digital technology is another aspect which is helping service
sector industry to grow faster and work effectively by providing good experiences to their guests
or customers. Technology provides ease to both company and to consumers, it holds huge
importance in daily lives of people and works for betterment of organisations and society.

REFERENCES
Books and Journal
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Buonincontri, P. and et. al., 2017. Managing the experience co-creation process in tourism
destinations: Empirical findings from Naples. Tourism Management. 62. pp.264-277.
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environments. Journal of Service Management. 28(5). pp.884-913.
Goodman, J., 2019. Strategic customer service: Managing the customer experience to increase
positive word of mouth, build loyalty, and maximize profits. Amacom.
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implementing an evolving marketing concept. Journal of the Academy of Marketing
Science. 45(3). pp.377-401.
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Keiningham, T. and et. al., 2017. The interplay of customer experience and commitment. Journal
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Kranzbühler, A. M. and et. al., 2018. The multilevel nature of customer experience research: an
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Ponsignon, F., Durrieu, F. and Bouzdine-Chameeva, T., 2017. Customer experience design: a
case study in the cultural sector. Journal of Service Management. 28(4). pp.763-787.
Surridge, M. J. and et. al., 2018. System and method for customer experience management. U.S.
Patent Application 10/135,982.
Zhang, M. and et. al., 2017. Understanding relationships among customer experience,
engagement, and word-of-mouth intention on online brand communities: The
perspective of service ecosystem. Internet Research. 27(4). pp.839-857.