Question:
Discuss about the Hotel Environmental Marketing Strategy.
The hotel and hospitality industry is one of the most flourishing industries in today’s world. This industry requires effective service management and efficient customer services, in order to ensure the success of this industry. This assignment highlights the background of Hilton Hotel. The Hilton hotel and resorts is one of the global brands of full-service hotels and resorts that have been catering to the needs of the customers for years. The company was founded in the year 1919. Headquartered in Virginia, US, the hotels and resorts operate with more than 570 hotels worldwide. This assignment highlights the background of the company Hotel Hilton, along with highlighting the various services management issues that occur in the business organization. The various service management issues that occur in the hotel have been highlighted, along with summarising the issues and findings. Recommendations have been provided, for the enhancement of the service management, such that the customers services provided to the guests and customers are of high quality. The recommendations should be directed towards the improvement of the service strategies. Finally, conclusion should be added in order to summarise the issues and recommendations.
Hilton Sydney Hotel is situated in the heart of the city. It is known for its huge hotel accommodation, large guest rooms, and spacious suits. It has at least 28 conference rooms and hence scores high in a corporate destination. The meeting space is about 400 square carpet areas which can cater 1200 delegates. The meetings rooms are further subdivided on the basis of level 1, level 2, level 3, level 4 and other staging connections. The guest rooms are decorated with king size bed along with blackout blinds. The rooms are also equipped with LED TV, alarm clock, MP3 players and wireless internet connectivity. It is also fitted with a glass top work desk. The classification of the guest rooms occur on the basis of guest room, guest room plus, deluxe room, deluxe plus, executive, relaxation room relaxation suit and junior king size suit, master suit and king suit. The hotel is located near the Sydney Harbour Beach, Darling Harbour and Bondi Beach and has excellent connectivity to the entire major tourist destination in Sydney. The hotel offers several cuisine options in the form of glass breakfast, glass brasserie, zeta bar, marbel bar and caffe cino. The glass wine bar is brimmed with 440 boutique wines and is poen from 12pm till late in mid night. The timings of the wine bar are extended during the weekends. The hotel also takes care of the relaxation regime of its delegates via bestowing them with health and beauty treatments like Livingwell Hilton Health Club, Alysium Spa, Pierre Haddad. Livingwell Hilton Heath Club provides goodness of health via providing interactive Precor cardio equipment. It also provides options for Zumba, spin, Yoga and Pilates. It also has 25 meter stretch swimming pool steam rooms. Hilton Sydney hotel also provides special packages for honeymoon couple and other surprising gift vouchers for birthday and anniversaries (Hilton Sydney 2017).
With the growing intensity of competition in the hotel and hospitality industry, there are several issues that are compromising upon the issues related service quality. All the major large scale Hotel industries of Australia like Hamilton Sydney have to encounter loss of revenue due to the increase in the level of Competition and entry of new service providers. The inability of the hotel to modify their marketing strategies and service quality has hugely compromised upon the quality of service and popularity of the hotel. The management of the hotel has not been able to collect customer’s feedback that could have helped them to improve upon the quality of the service that can help them in the matters related to that of customer retention.
The hotel has also encountered the issue related to employee retention due to the fact that they have not been able to implement proper salary hike. The working capability of the hotel staffs had also deteriorated, which is caused due to poor communication skills of the service provider. The management of the hotel is also not able to incorporate the process of digital marketing, which is common in the hospitality industry. Due to the poor technological infrastructure of the company, it is not possible to introduce online booking system.
According to latest report, nearly 65% of the advance booking in Australian hospitality sector is done through online website (McManus 2013). As the Hamilton hotel is not able to introduce the latest online facility, it is not possible for the company to accept advance bookings from the foreign tourists. The hotel is mainly dependent on the bookings done through agents and other travel partners, which is not preferred by most of the visitors due to higher level of pricing. The website of the hotel is still not developed perfectly, which is not able to provide enough information about the service standard.
The hotel has not been able to bring about organizational changes in quick succession that can help them to respond to the changes according to the external business environment changes. This is one of the major issues that have been encountered by the hotel that compromised upon the service quality.
The fast changing scenario of the hotel industry in Australia brings about new challenges in the business environment. With The fast growing demand of the hospitality industry, it is essential for the Hamilton hotel to incorporate effective service techniques. According to Goh et al., (2017), the Primary indicator of Hotel service quality is obtained from the behavior of the hotel staffs towards the guest. There are various categories of people, from all around the globe, who visit Sydney mostly for business and tourism purpose. It is important for the hotel staff to maintain same protocol of behavior and communication towards every category of guest. Due to the fact that working capability of the staff in Hamilton hotel has compromised significantly, it is essential for the hotel management to provide special training to improve the communication skills among the workers.
Yu et al., (2014), have added in the context that it is important to provide regular training to the employees, which can help them to provide improve upon the working skills. The Protocol of training should be according to the new trends and changes in the hospitality sector. It is essential for the hotel to make the training regular process an important part of work schedule of every workers. Personalized form of customer service is it essential in the context of the modern day hospitality industry. This can help the hotel to provide and fulfill the needs of every group of customer, nearby ensuring high level of customer satisfaction. The personalized form of service is necessary at every level of the hotel, which will minimize the chance of any issues that are encountered by the guests. The management needs to introduce the system performance support, which ensures that there is good level of coordination between the working staffs. It is also possible to make knowledge and information widely available for all the stakeholders of the hotel, which will ensure that high level of clarity is maintained within the organization.
One of the major issues that are encountered by the hotel is due to the fact that they are not able to retain customers. Hence, it is essential for the company to incorporate new strategies related to development of customer relationship, which is believed to be one of the effective to retain old customers. The building of switching barriers is also one of the effective policies that can be incorporated in this context (Gummesson et al., 2014). There need to be a proper system within the hotel, where all the guests are able to provide valuable suggestions and feedback about the service quality of the hotel and the area that need to be improved. As every guests leave the hotel, they should be asked to rate the overall service quality and experience of the hotel depending upon various parameters, which will include behavior of the staff, swiftness of the service provides and overall quality of the room and food service. With the help of better level of accurate service, it is possible to quickly fulfill the needs of the customers.
Modifications in the marketing plan also can be incorporated by the company to deal with the external changes in the business environment of hospitality sector. Leung et al., (2017), have mentioned about the importance of using marketing mix elements in this context that can help in the matters dealing to subject modification. In other words, it can be said that the elements of the marketing mix help to change or modify the marketing plan of a business organization depending upon the external environment of business. The hospitality service that is provided by Hamilton hotel is one of the major sources of income. The hotel also provides the food and beverage service that also needs to be modified accordingly to deal with the changes. The pricing strategy also needs to be modified accordingly, which is also one of the important criteria. It is important for the hotel to bring about changes within the pricing strategy that can help them to gain competitive advantage. However, it is also essential to ensure that with the help of the pricing strategy that can help to maintain the high level of profit for the organization.
It is also important to bring about changes within the promotional techniques, which need to be modified by incorporating Digital form of marketing. The company needs to improve upon their technological infrastructure, which can help them to incorporate e-commerce business. With the help of highly developed website, it is possible for the company to encourage advanced online booking system. The main place of operation of business of Hamilton is within the place of Sydney. However, in order to capture the opportunity of high rate of growth in hospitality sector, it is important for the hotel management to incorporate new branches in other areas in the exterior part of Sydney. Are the important part of the promotional strategies that needs to be incorporated is to initiate digital form of communication. This will enable the customers to easily communicate with the hotel staffs in order to complain about any issues. It will be also possible for the hotel staff to provide valuable information to the guests, during the time of their visits (Leonidou et al., 2013).
The formula for social media marketing can also be incorporated by the hotel management, which will help them to ensure better level of connectivity with the will of the society. It will also be possible for the guests to provide valuable positive feedback in the social media platforms, which can help to improve upon the reputation of the hotel.
Conclusion
In the concluding note, it can be said that in spite of being one of the reputed Hotel of Sydney, the Hamilton is currently facing issues due to poor service quality. The management of the hotel has also feel to bring about changes that is necessary to sustain in the hospitality sector of Australia.
It is important for the hotel to bring about organizational changes at various management levels, which include changes in the marketing plan and overall service protocol. Incorporating new techniques of communication is one of the major changes that the hotel needs to incorporate. This can be incorporated to advanced level of training that is provided to the hotel workers. Changes in the marketing plan can be effective by modifying the elements of marketing mix that includes changes within the pricing strategy. These techniques will ultimately help the hotel to retain customers by establishing a healthy relationship.
References
Goh, E., Goh, E., Nguyen, S., Nguyen, S., Law, R. and Law, R., 2017. Marketing private hotel management schools in Australia. Asia Pacific Journal of Marketing and Logistics, 29(4), pp.880-889.
Gummesson, E., Kuusela, H. and Närvänen, E., 2014. Reinventing marketing strategy by recasting supplier/customer roles. Journal of Service Management, 25(2), pp.228-240.
Leonidou, L.C., Leonidou, C.N., Fotiadis, T.A. and Zeriti, A., 2013. Resources and capabilities as drivers of hotel environmental marketing strategy: Implications for competitive advantage and performance. Tourism Management, 35, pp.94-110.
Leung, X., Bai, B. and Erdem, M., 2017. Hotel social media marketing: a study on message strategy and its effectiveness. Journal of Hospitality and Tourism Technology, (just-accepted), pp.00-00.
McManus, L., 2013. Customer accounting and marketing performance measures in the hotel industry: Evidence from Australia. International Journal of Hospitality Management, 33, pp.140-152.
Sydney Hilton, (2017). About the Hilton Sydney Hotel | Central Sydney Hotel, Australia. [online] Hiltonsydney.com.au. Available at: https://www.hiltonsydney.com.au/about-our-hotel [Accessed 8 Oct. 2017].
Yu, Y., Byun, W.H. and Lee, T.J., 2014. Critical issues of globalisation in the international hotel industry. Current Issues in Tourism, 17(2), pp.114-118.
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