Customer Relationship Management Techniques in Hospitality by Sanjay Gupta

CRM Project Report On

Customer relationship management teChniques in hospitality

aCknowledgement We take immense pleasure in thanking Mr. XYZ, Sr. Joint President, and Mr. XYZ (Admin. and personal), Jaypee Hotels having permitted me to carry out this project work. Needless to mention that Mr. XYZ, Add.G.M, Sales, had been a source of inspiration and for his timely guidance in the conduct of my project work. We would also like to thank my internal Guides, Ms. XYZ (Sales Team) for their able guidance and useful suggestions, which helped me in completing the project work, in time. Words are inadequate in offering my thanks to the Ms. XYZ, IILM for their encouragement and cooperation in carrying out the project work.

prefaCe This report is based on the work done in the three days observation done at Jaypee Hotels, New Delhi. The information was collected with the help of Mr. Rajive Murishwar, Additional General Manager (Sales), Jaypee Hotels. During this period we had to do a detailed survey among the corporate to check the CRM and to know their feedback and their expectations towards the hotels. These forms were filled after taking the depth interviews of the corporate and there clients as 90% of the business was given by corporate clients. The questionnaire was made with the help of marketing department of Jaypee Hotels. Once the data was collected it was put into excel sheet and then was analysis accordingly. The results and the data were confidential for the company therefore it could not be shown in this report. It was a great learning experience as we could directly communicate to the people and know them in a better way. Except the survey we learnt the processes about ICT. The different techniques used to know more about the customers and to maintain the relationship with them. This project was a great learning experience for us. It provided us with the great exposure in both sales and marketing specially CRM management. We would like to thank Jaypee hotels for providing me such an opportunity.

hotel and Catering industry The concept of Hotel originated in the 6th century BC in the form of Inns that were run by couples and provided sleeping arrangements in dormitories. Hotels as is known today emerged in Switzerland and were patronized by the aristocracy. Significant development in the transport facilities, innovations and inventions in the field of Communication, Industrialization, Urbanization and further emergence of tourism as an Industry paved the ways for the development of hotel and motels on an organized basis. The officials on deputation, the business people on trade promotion mission, the foreign representatives on different missions, the domestic or foreign tourist interested in visiting a place for pleasure or gaining knowledge can't perform or enjoy it if hotels are not developed. Restaurants, cafeterias and hotels offer food services and lodging facilities to the customers. Modern hotels provide refined services to their customers often treated as respected guests. The significance of management practices in the hotel industry has increased because the business principle that "the customer is always right" is accepted and practiced in totality. The growing principle of managerial efficiency in hotel industry has necessitated application of marketing principle. Today the services are required to be planned, organized, controlled, automated audited for quality control and evaluated regularly with the motto of initiating qualitative improvement in services. The traditional concept of hotel management has changed due to the inclusion of modern sophisticated domestic facilities like air-conditioning, four channel music, cold drinks, fridge, T.V. set, telephone, luxurious beds, round the clock room servicing, coffee shop, swimming pool, health club, shopping arcade etc. Since the Hotel Industry thrives on customer services and satisfaction, the marketing practices become significant to raise the effectiveness of managerial decisions.

hotel marketing — the ConCept The key points of difference in the hotel marketing as against other consumer products are that once customer has spent money in hotels, he / she has nothing substantial to show for his / her money except the bills, as compared with buying a television or a refrigerator. Effective marketing and dynamic selling become significant in the context of hotel marketing because once you have not sold a seat in a restaurant or a room in a hotel, the income is lost and lost for ever. A hotel bedroom or a restaurant seat has no shelf life. Generally, the hoteliers explain their marketing by showing their computer booking service or the advertising campaigns for the coming season. There is no doubt in it that these things are part and parcel of hotel marketing, but only one aspect of the continuous circle of marketing. For marketing hotel services, it is essential that marketing be understood fully by the executive at the top of a hotel group with total commitment on his part to the continuous need to market.

“Ascertaining consumer needs, tailoring the product as closely as possible to meet those needs, persuading the customers to satisfy his needs and finally ensuring that the product is easily accessible when the customer wishes to purchase it” - Gerry Draper. “The ultimate in marketing is to establish brand loyalty so that eventually the consumer does not purchase the goods/services once, but continuously. This is achieved only by the product following the complete process of marketing - Melvyn Greene”.

Customers of hotel industry In marketing hotel services, it is important to know about the different types of users availing the services with diverse aims and objectives. This would ease the task of marketers specially while studying the behavioral profile.

Users of Hotel Industry

Domestic

Educationists Sportsmen Medical Representatives Trade Representatives Officials Corporate Pilgrims Students

Foreign

Film Stars Cultural Representatives Sportsmen Educationists Political Representatives Trade Representatives Corporate Pilgrims

1. Domestic Users (DFIT – Domestic Free Individual traveler) In the group of domestic users, the different categories are pilgrims visiting the sacred places, students on educational tours, officials on deputation, political representatives, film stars on location shooting, knowledge seekers developing their credentials, sportsmen playing national games, corporate for conferences, etc. The domestic users stay in hotels with a different motive. We find a change in the level of domestic users. Generally the domestic customers pay less attention on value and more on price. A

majority of the domestic users are found price-sensitive and therefore the hoteliers are supposed to make pricing decisions motivational.

2. Foreign Users (FFIT – foreign free individual travelers) In the group of foreign users, we find political representatives, trade representatives on business promotion, educationists, sportsmen, cultural representatives, film stars, pilgrims etc. These categories of foreign tourists visit hotels with diverse aims and objectives. They normally prefer to stay in the classified hotels where the services are found standardized. We also find cases where foreigners stay even in the unclassified hotels. To be more specific the existing world wide economic depression has made even the foreign users sensitive to price and this makes it significant that policy makers and the senior executives assign due weightage to this new development. The main thing in the process is to study the levels of expectations of both the categories of users so that the marketers find it convenient to undertake an in-depth study of their changing behavioral profile, which would help them substantially in developing the marketing resources and formulating a sound product portfolio. The formulation and innovation of marketing decisions would be made easier when we are well aware of the emerging trends in the behavioral profile. 3. Corporate clients:They use the hotel services for their guests and the conferences. They are given the special tariffs which are same for all over the year. These rates include the corporate discounts. The corporate are treated as accounts and the top accounts are given preference.

Jaypee hotels Jaypee has 4 hotels running under its name

A tribute to the cosmopolitan culture of New Delhi-the Jaypee Vasant Continental unfolds the finest lifestyle experiences for you. An exquisite blend of business and pleasure, it is the perfect place to confer, relax or pamper your senses. A tribute to the cosmopolitan culture of New Delhi-the Jaypee Vasant Continental unfolds the finest lifestyle experiences for you. An exquisite blend of business and pleasure, it is the

The newly upgraded Jaypee Siddharth is a boutique hotel in the heart of Delhi. It’s elegant interiors, smart new rooms and all new Food & Beverage options are an exciting change for regular customers and a delight for first time visitors to this property.

The regal Jaypee Palace Hotel and Convention Centre, a glorious structural blend of red sandstone and marble, is spread over an unbounded 25 acres of elegantly landscaped luxuriant greenery. Sprinkled with enormous water bodies and endless walkways, this magical creation impeccably blends Mughal and contemporary architecture with modern amenities. Leading the way to luxurious rooms and suites, the impressive interiors along the way set the tone for a majestic way

The Jaypee Residency Manor, Mussoorie India is where your romance with the mountains begins…. exhilarating fresh air, a splendid view and greenery all around you. Promising to make your stay with us an affair to remember Residency Manor, the finest of all 5 Star Hotels Mussoorie India, is a tribute to the majesty and splendor of the Mussoorie hills. Built on an individual hilltop and spread over nine acres of lush green paradise, it offers an amazing 180 degrees of the most awe inspiring view of Himalayas, India.

mission & vision MISSION • To combine the warmth of traditional Indian hospitality, with modern systems and processes to create a truly contemporary, competitive and unique Indian hospitality brand • To position Jaypee Hotels as the preferred choice in the corporate and leisure segments by understanding and meeting customer needs, expectations and aspirations • To create and sustain competitive edge over the competition in products and services through continuous quality improvement • To create a responsive and market oriened organisation where everyone shares a common goal and values. An organisation where focus is on training, skill development and education thereby nurturing an enjoyable work environment which rewards achievements and creativity

VISION • We will demonstrate honesty, care and integrity in all our relationships • We will display professionalism, excellence and continually improve every aspect of our work • We will remain vigilant to, and actively embrace change • We remain committed to the growth and success of Jaypee Hotels, a division of Jaiprakash Associates Limited • We accept that customers define products and service quality. • We respect individuals and accept that a creative, skilled, knowledgeable and motivated team is the key to long term success

Behavior profile of users Behavior is like a mirror in which everyone sees his / her face / image. Purchase of a product or service and brand is rarely the result of a single motive. The users of hotel services come from different regions, strata, and economic categories. Behavior is not found static as it changes over time and especially in tune with demographic, geographic and socio-economic changes. Understanding the behavior of hotel users is thus found essential but a difficult task, which requires the hotel personnel to be professionally sound. Particularly in the hotel services we find lifestyles occupying a place of outstanding importance. From a sociological standpoint, we find lifestyles a group phenomenon. Lifestyles vary according to the sociologically relevant variables. The emerging trends in the satisfaction index help a marketer in evaluating the sensitivity of marketing strategies. If the satisfaction index shows a positive trend, the existing strategies are supposed to be effective. Contrary to it, if the satisfaction index shows a negative trend, the marketers are needed to innovate their decisions. This calls for a microscopic study of the behavioral profile of users. It is not enough that the marketing managers react only to the given wants of customers. In a true sense, they are also supposed to play an active role in anticipating the needs, requirements and taste preferences in shaping and designing their desires and aspirations. The marketing philosophy should be the way of any business that would dictate every activity, operation and policy of an organization with customer satisfaction at its roots. This task is found simplified fantastically when we have detailed information regarding the changing behavioral profile of users. The key factors in the transformation process are situational and organizational. We can't deny that customers have individual values, perception, preferences and a behavior pattern based on environmental influences. The race, ethnic, religion, nationality, leisure habits, health factors and lifestyles have a substantial influence on the behavior of users. The customer’s age, life-cycle stage, occupation, economic condition and personality influence the way in which they make the buying decisions. This makes it essential that the marketing professionals serving the hotels analyze their needs and identify the level of their expectations. We can't deny that arriving at sound decisions is a difficult task that requires worldclass professional excellence. Manifestation of perfection in the purest form is an essential criterion for achieving excellence. All the activities concerned with goods /

services start and end with satisfaction. If the customers / users are found satisfied, the process of increasing the business and expanding the market share, keeps on moving. Contrary to it, if they remain dissatisfied, the business is lost and lost forever. It is against this background that the marketing professionals are supposed to assign due weightage to the satisfaction element which requires due attention on the behavioral studies. The needs and requirements of men and women can't be identical, the behavioral profile of kids and youths can't be the same, the behavioral profile of youths and gray can't be identical or the needs and requirements of business executives and the political representatives can't be similar. This makes it essential that the marketing professionals have made possible a microscopic study of the behavior of different categories of customers belonging to different segments and in the face of their behavioral profile attempt to develop the marketing resources and formulate an effective CRM system. In the hotel industry, the marketers are required to see whether guests • • • • • • • •

Are aware or unaware Are interested or intend to try Are sensitive to price or pro to the quality Are influenced by western culture or they like eastern culture Like Indian foods or are tempted to western food habits Are high spending or prefer to maintain economy Have crossed the threshold barrier or are lacking something Would eat in the restaurants of the hotels or would like to eat outside.

These aspects would help marketers in identifying the level of expectations of users and they can tailor their marketing resources in tune with the preferences and options of guests. It is in this context that a study of behavioral profile is found essential. There are a number of factors influencing the behavioral profile. The marketers found aware of the emerging trends can study and understand the behavioral profile. The societies influenced by industrialization, the economy influenced by the corporate sector, the development process influenced by sophisticated communication systems generate a particular set of behavioral profile. The needs and requirements in that set are found by and large the same. Contrary to it, the economy dominated by the agricultural developments, lacking sophisticated communication systems, the society not influenced by the corporate culture make ways for a particular set of preferences. Thus, the marketing professionals serving the hotel companies are supposed to be 14

aware of these developments so that they are in a position to make their marketing resources optimal visa versa proactive to the changing business conditions. Steps taken By Jaypee Hotels: In view of the above, it is right to mention that the behavioral studies occupy a place of outstanding significance and the marketing professionals need to assign due weightage to these developments failing which the marketing resources can't be made optimal to the changing behavioral profile of users. It is against this background that we find a study of the behavioral profile of users important to the marketers. For example the profiling for any corporate client (at the time of booking) will be done as:

Title Booker Contact Person Designation D.O.B. Anniversary MD/CEO S&M Head HR/Training Head Industry Type Corporate Address Address1 City H.O. Landline Mobile Email Credit Potential - Delhi Hotels Turnover Joint Venture New Projects

Ms. Manisha Trehan Sales Coordinator 7th August 29th March Mr. R.P. Pargaonkar N/A Ms. Manisha Trehan Manufacturing – Automobile JOST ENGINEERING 304, 3rd Floor, 5, Pusa Road New Delhi – 110005 Mumbai 011 45676013 9911690112 mtrehan@jost.in Yes 15-20 RNS 200 Crores Bruel & Kjaer (Denmark) No

Productivity – JHS Productivity – JVC Potential - Resi. Conf. (Offsite) Remarks

April - Oct' 09 ------- 10 RNS

This will help us review the whole data of the customer and also maintain the records about the same. This 14 Question profiling is done at the starting but as this account turns loyal to the hotel, they target a 100 question profiling to know minute things about the corporate and the booker or decision maker. These 100 questions help us to know the like and dislikes of the clients. They are more personal then professional. This information is with the sales department, reservation department and the front desk department. The sales people are in continuous touch with the corporate accounts while the reservation and front desk use the information to serve the guest of the corporate in a better way. Where as, when there is an individual traveler coming to the hotel, at the time of booking (which is completely online) the basic information gets saved in the opera system. Opera system is automated software used in Jaypee Hotels which can be accessed by only the reservation and front desk employees as they are the ones who are in direct touch with the guests. This information can be accessed at all the hotels of Jaypee. During the booking, the incomplete account is created at Opera which is further completed during the check-in of the guest. The guest is given a form to fill which consists of the general questions related to his likes and dislikes, priorities, etc. This saved information helps the hotel to keep the record of the customer for the future use. Next time when ever the same guest arrive the hotel the arrangements are made accordingly. And if the corporate client gives the booking then he is called up and more information is collected about the guest whose booking is done.

integration of iCt and Crm

In Today’s scenario its very important to maintain relationship with customer and to manage that. So many information and communication technologies help to do that. Following are some practices adopted by Jay Pee hotels. 1. Guest preference sheet: •

At the time of the reservation a preference sheet is sent across to the guest along with the reservation conformation mail

•

This is primarily to capture the various preferences of the customer such as food habits (Diabetic/ Low fat etc.), special needs etc. It also asks if the customer is coming on a special occasion or not and arrangements are made accordingly made on the visit

 e.g. If the guest is coming on a honeymoon or anniversary the room is decorated accordingly, cake is placed in the room etc. 2. Complaint Handling Software: •

This is another important tool in improving the service of the hotel and to capture guest complaints. If a complaint is registered by a customer it is updated on the software.

•

Gradually as the time lapses the status displayed turn from green to yellow and ultimately red. This status can be seen by any of the managers as the software is connected to the central server. A daily Action Taken Report is generated which is signed by the operational head.

3. Fidelio: •

Fidelio is the property management system used by Indian Hotels Company Limited. Although it is used for various functions but it also plays an important role in the CRM processes of the hotel.

•

It is used for saving the profile, preferences and special information (Anniversary, Birthday, allergies etc.) related to the guest on a central server.

•

This information is accessible to all the JayPee properties; therefore, whenever there is a repeat customer the hotel staff already has all the necessary information enabling them to delight the customer by personalized service.

4. Wow card: •

This is a special instrument used by personal butlers for recording guest preferences & other important information related to the guest.

•

This is a small booklet which is carried by the staff at all times and whenever they get any information which can be useful in the future to please the customer, they simple record it here.

•

This information is further uploaded on the PMS making it accessible to all.

5. GRE Courtesy call: •

Once the guest is in the hotel and stayed for sometime (a day or two) a courtesy call is made by the guest relationship executive during the evening hours.

•

This is just to know about the guest’s experience and how can it be improved in case there is some difficulty being faced by him/her.

•

In case there is a complaint it is uploaded on the CRM software and further processes are followed as mentioned above.

6 Room Feedback form: •

During the evening service/ Turn- down service a feedback form is placed on the bed to know about the customer experiences.

7 GSTS (Guest Satisfaction Tracking system): •

Post departure an automated mail from the central server is sent to the guest requesting to fill up a feedback form. There are various heads covering the various stations of experiences which are scored on a Likert Scale.

•

This information is quantified to highlight the areas of concern. This score is also used as a measure of performance of a hotel unit.

•

There are few loopholes in the system such as

Email ids not updated which automatically stops the guest from giving the feedback.

•

Guest profile not saved intentionally.

Loyalty Programmes of JayPee Hotel •

JayPee Inner Circle Programme:

•

The JayPee Inner Circle is the frequent guest programme of JayPee Hotels Resorts and Palaces. Besides a bouquet of benefits, as a member one can earn points when they stay or stop by for a meal at one of their restaurants at participating JayPee Hotels in India and abroad.

•

Member can earn points on their eligible spends on room, food and beverage, laundry, telephone and business centre. They can also earn points on their spends at the JayPee Khazana boutiques located in select JayPee Hotels in India. Redeem their points for room nights, memorable meals, and gift certificates redeemable at JayPee Khazana, JayPee Salon, Jiva Spa, and gifts from a hand-picked selection.

•

JayPee Advantage Plus: JayPee Advantage Plus is the perfect programme for their valued corporate bookers in India and comes power-packed with great earning and redemption opportunities, special benefits and exciting offers. Enrolment to the programme is by invitation only.

•

JayPee Alliance Preferred Partner Programme: The JayPee Alliance Preferred Partner Membership (TAPP Me) Programme has been designed exclusively for their partners in the travel trade in India. Enrolment to the programme is by invitation only.

Programme for Employees •

Employee loyalty program called STARS, the 'Special Thanks and Recognition System‘ - was an initiative aimed at motivating employees

through

acknowledgements and rewards. •

The STAR system also led to global recognition when the group bagged the 'Hermes Award' for 'Best Innovation in Human Resources' in the global hospitality industry.

•

JayPee Group developed the 'JayPee People Philosophy' (TPP) which helped the company boost the morale of its employees and improve service standards

Seranata Intraware  Connects all four hotels of JayPee and have centralized software  The scenario or the problem ◦

Problem of fragmented distributed information

◦

Problem of delicacy and missing of data

◦

Scalability Issues: incorporating new hotels in the chain involved consuming and time processing process

some innovative Crm praCtiCes to Be adopted By hotels to make a Better relation with guests

Guest is having Birthday

Guest 7 year kid’s favorite animal is elephant

A couple had fight in room

A business women after a hectic day, full of business meetings.

Guest coming to hotel for honeymoon

foreCasting Before getting into insights, it is pertinent that we have an in-depth idea of the product of the hotel industry. The emerging trends in the socio-economic environment occupy a place of outstanding significance. In the product management of an industry, the planning and development processes have a far-reaching effect. We are well aware of the fact that hotels and hotel companies offer a number of core and peripheral services to the customers. It is also a well known fact that by and large almost all the hotels offer the core services of identical nature and character and therefore, the hotel professionals are required to think more in favor of peripheral services that add additional attractions to their service mix. For the formulation of an intelligent as well as a realistic plan, it is essential that we forecast and for right forecasting, it is pertinent that we have complete information about the prospects, intensity of competition and the changing market conditions If we think about hotel planning it is quite natural that we also think about hotel building, furnishing, decor, ground development and aesthetic management It is right to mention that particularly in the Indian perspective, the hotels and hotel companies have not been assigning due weightage to aesthetic management which focuses on managing and developing surroundings and premises in such a way that hotels look like a garden. Yesterday, the multi-storied complexes attracted attention and today, we find the cottage culture, equipped with modern amenities and facilities gaining popularity the tourists in general and the high spending tourists in particular now prefer to stay in hotels away from the hustle and bustle of city life. These changes make it essential that the hotel planning and development get due attention of hotel planners.

CommuniCation mix For successful Customer Relation, it is only not sufficient that hotels concentrate on the quality of services but it is also impact generating that we promote their business in such a way that our prospects come to know about the quality to be offered to them as hotel customers. This focuses their attention on innovative promotional measures. It is against this background that they talk about the promotional measures. There are a number of components for promoting the business and it is hoped that a professionally sound employee would blend the different constituents in such a way that effects are proactive but the process of persuasion is cost-effective. The components like advertisement, publicity, sales promotion, personal selling, word-ofmouth promotion and telemarketing need due attention of hotel professionals. The success rate of a hotel is virtually coiled in the essence of transforming the occasional visitors into the habitual visitors because this helps substantially the process of increasing the occupancy ratio. The sensitivity is vigorously influenced by creativity. This makes it essential that the decision makers in the hotel industry make sincere efforts to formulate sound promotional strategy. We can't deny the fact that creation of awareness has a far-reaching effect on the formulation of promotional strategy. If scientifically formulated, optimally blended promotional measures are used by the professionally sound and personally committed hotel personnel, the rate of success would be found satisfactory. We find a number of instances to quote that even quality services failed in creating and expanding market because the promotional measures failed in sensitizing the prospects. This draws our attention on using the different components of promotion in such a way that we find them very much instrumental in throwing a positive impact. STEPS by Jaypee Hotels: Advertisement We are well aware of the fact that advertisement is a paid form of communication that helps in informing, sensing and persuading the prospects or users. While advertising, it is significant that the hotel professionals make possible a productive use of print media, broadcast media and telecast media. In the face of potentials, requirements and the intensity of competition, we need to select media for promoting our messages and slogans.

Of late, we find telecast media considered to be the most sensitive but expensive media of advertisement. In the world of marketing communication, we assign top position to the telecast media because scope for audio-visual exposure makes ways for sensitizing the prospects in a right fashion. Jaypee Hotels have a big circulation of different newspapers, magazines and keeping in view the target market or audience to be covered. To check these advertisements the marketing department goes through everyday newspapers and the magazines to keep the record of the advertisements of Jaypee and the competitors.

Jaypee Hotels advertise very low through telecast but it only does it when maximum viewers are in front of their TVs. The scenes of hotel location, the swimming pool, the shopping complex, the personal care centers, the arranged bed rooms, the restaurants and convention hall, the aesthetic management are telecasted in such a way that attractions are added in the events. As maximum business is given by the corporate clients Jaypee Hotels advertisements are telecasted on the business channels.

In view of the above information, it is right to observe that out of all the media, we find print media the most effective media for Jaypee hotel advertisements. Publicity Another dimension of promotion known as an unpaid form of persuasive communication also plays an incremental role in promoting the hotel business. While publicizing, the hotel professionals play a significant role by managing the media personnel for publishing news items related to the hotel Public relations activities thus become instrumental in the process of publicizing. Public relations cover a wide range of activities. It is the art and science of planning and implementing a two-way communication and understanding between hotel companies and potential users of the services. It is also known as the reflection of the organizational programs and activities In Jaypee Hotels the specialties of hotel are presented in such a way that the prospects are motivated to avail of the facilities offered by the hotel. This is mainly done in the case of corporate clients. The sales executive do the cold calling for such kind of publicity. Besides, it also helps in collecting the information on the preferences of the prospects. It is right to mention that we find a few or even a very few consumer industries to be benefited substantially by public relations as the hotel industry Events: In the hotel business, we find a number of events which should be transmitted to the local press, such as the appointment of a new chef, list of cocktails, menus for certain functions held at hotel, particulars of certain important conferences or exhibitions to be held, menus for special days of the year, photographs of staff dressed up for special days and well-known people staying in the hotel. Jaypee Hotels does the same for its communication. For example they make full use of media coverage for the corporate parties, Parties for their loyal customers, achievements, celebrity association, etc. For ex. http://www.indiaprwire.com/pressrelease/leisure-travel/2010030544904.htm

Journalists always prefered to visit a Jaypee as they get their full enjoyment free of cost. Jaypee gives journalists a write-up of their story and preferably a story with a photograph. 28

Follow Ups: Tele calling:Regular tele calling is done to keep the customer informed about the special offers and tariffs. It also helped them in keeping a check over any upcoming business from the clients. Mailers & Packages: Regular mailers and packages were sent by emails and post respectively to the clients to always remain fresh in their minds. This would always give them a chance to take our hotel into consideration before finalizing any one for booking. Invitations for Coffee or lunch: Clients were invited for Coffee or Lunch to break the ice between the two. In this way an informal communication was created in order to build a good personal relation with the client. Birthday Gifts: Jaypee hotels keep the record of their customers and to their loyal customers the reminder is set in their opera system for their birthdays. Special Bday Cakes and cards are sent to them as a surprise. Sales Promotions: In almost all the organizations, we feel the need of offering incentives for promoting the business .Like other organizations; the hotels and hotel companies also offer incentives to the user’s vise and versa to the personnel and organizations evincing interest in promoting the business. We consider sales promotion a temporary device to increase the business with certain objectives. It is a short term activity seeking to boost sales during peak demand periods to make it sure that the firm obtains its market share and helps launch a new product or support an ailing or modified services. This tool of promotion is designed to appeal particularly to those customers who are found sensitive to price. Due to the changing market condition where the hotel customers are getting more price sensitive, sales promotion is a very efficient way to maintain the customer relationship. We find repeated advertising and competitive market conditions two important reasons for the growing significance of sales promotion in the hotel industry.

Jaypee provides different packages to their clients. These packages are according to the seasons that is the off season and the peak season. The packages which Jaypee is gave in 2010 are: Word-of-mouth Promotion The word-of-mouth promoters are those who are satisfied with the services of hotels or are motivated to motivate the prospects. We can't deny the fact that one bad meal would often do more damage by word-of-mouth than fifty good meals. According to the Jaypee hotel, their guests take a good meal for granted but don't forget to narrate to their friends and relatives about a bad meal or the bitter experiences of menu-fatigue. This speaks of the fact that word-of-mouth promotion can show more negative effects. So they keep this in mind that they take proper feedback of the customer about their experience in the hotel. Personal Selling Nothing happens unless anyone sells something and nothing is sold unless the buyers are motivated to purchase things of their choice. The oral representation in conversation bears the efficacy of transforming the motivation into persuasion. Thus we find persuasion the main thing in energizing the process of marketing. We can't deny the fact that personal selling has proved to be an important constituent of promotion. There is no doubt in it that the goods or services are found half-sold when their properties are well told. A fair combination of personal and social skill is found essential for the sales force to be engaged. At the initial stage when the hotel receptionists, housekeepers, waiters, travel clerks encounter their clients or guests; the first impression projected by them would have a far-reaching impact. The appearance and proper grooming of the personnel dealing with the guests play a significant role. So Jaypee gives a proper training to their employees for the same and make it particular that they have a regular check over the uniformity and the behavior of the employees. They also have a secrete box for employees where employees are free to complain or give suggestions.

JAYPEE SIDHHARTH , DELHI VALIDITY  VALID FROM 16TH APRIL 2010 TO 15TH JULY 2010 Standard Leisure – Deluxe Room (1 Night/ 2 Days) Duration 1 night/2 Days Tariff Rs.10999 + 5% Tax. (For a couple in deluxe room) Including Breakfast for two. Two children below 5 yrs are free if sharing the same room with parents without an extra bed. Extra bed charges for Children between 05-12 yrs. Inclusive of breakfast RS. 1200/- + Taxes per night. Extra bed charges for Adult inclusive of breakfast Rs.2000/- + Taxes per night Standard Leisure - Executive Room (1 Night/ 2 Days) Duration 1 night/2 Days Tariff Rs.11999 + 5% Tax. (For a couple in Executive room) Including Breakfast for two. Two children below 5 yrs are free if sharing the same room with parents without an extra bed. Extra bed charges for Children between 05-12 yrs. Inclusive of breakfast RS. 1200/- + Taxes per night. Extra bed charges for Adult inclusive of breakfast Rs.2000/- + Taxes per Night. Leisure Executive – Deluxe Room (2 Nights/ 3 Days) Duration 2 nights/3 Days Tariff Rs.19999 + 5% Tax. (For a couple in deluxe room) Including Breakfast for two. Two children below 5 yrs are free if sharing the same room with parents without an extra bed. Extra bed charges for Children between 05-12 yrs. Inclusive of breakfast Rs.1200/- + Taxes per night Extra bed charges for Adult inclusive of breakfast Rs.2000/- + Taxes per Night. 31

Leisure Executive – Executive Room( 2 Nights/ 3 Days) Duration 2 nights/3 Days Tariff Rs.21999 + 5% Tax. (For a couple in Executive room) Including Breakfast for two. Two children below 05 yrs are free if sharing the same room with parents without an extra bed. Extra bed charges for Children between 05-12 yrs. inclusive of breakfast Rs.1200/- + Taxes per night Extra bed charges for Adult inclusive of breakfast Rs.2000/- + Taxes per Night Spa Package – Standard Room Duration 2 nights/3 days Tariff Rs.24999 + 5% Tax (For a couple in deluxe room) Including Breakfast for two adults. Two children below 05 yrs are free if sharing the same room with parents without an extra bed. Extra bed charges for Children between 05-12 yrs. inclusive of breakfast RS. 1200/- + Taxes per night Extra bed charges for Adult inclusive of breakfast Rs.2000/- + Taxes per night. Rs.3000/- + Taxes per day towards SPA treatment. SPA Treatments – Detailed spa schedule attached • Day 1 - Abhyangam (couple), • Day 2 - Sansha Signature Therapy (Couple). • Day 3 o Almond & Sea shell polish and massage (couple), o OR Spa Manicure and Pedicure for female guests

The above packages (Missouri) includes: Welcome Drink (Non Alcoholic) on arrival. In room Tea/Coffee Maker. 20% discount on Food & Beverages (Indian Brands Only). 20% discount on Laundry. On request use of Gymnasium & Swimming pool. On request use of Steam/Sauna once during the stay. On request entry to Leisure mall & Discotheque 32

Pick-Up and drop from/to Dehradun Railway station on request. Transfers between Hotel and Mall road at pre-determined schedule on request. Rates/Tariffs are subject to change as per management’s discretion. Extra Bed Charges are Per Person per night. NOTE: Package rates in INR are applicable to all Indian nationals & foreign nationals holding valid residential permit only.

survey done for the Company As the competition among the hotels is increasing day by day, it is really important for hotels to know how much people are aware of them. The brand awareness should be highly focused to take a leading position in the market among the consumers. To check the brand image in market and know what is the feedback of the customers of Jaypee Hotels among the corporate, as they are the ones who bring the major business Jaypee hotels planned to do a survey among the corportes and take the feedback from the clients. For this the survey forms were generated by the marketing department and those forms were then filled by different corporates. These corporates were personally visited and were interviewed accordingly. Some of the corporate were also met during joint calling with the employees of sales department which helped us get more precise data and more attention from the client. Once the sample size was reached the data was analyzed and results were determined. These results and data were confidential for the company so it could not be discussed in this report. While the project was in progress, I could learn many other things too.

Brand’s Crm survey Market Objective:To check the awareness and CRM of the Brand ‘Jaypee’ among people, especially in the hospitality sector and to take the feed back for the hotels. Research Problem:1) To know the CRM of Jaypee Hotels among the people. 2) To know the preferred hotels among the corporate. 3) To know the further expectations of the guest from the hotels. Target people:• •

Target people for the survey were the bookers and decision maker of the companies, who did the conference & room bookings for the Guests. The Guest staying in the hotels were also surveyed.

Sample size:The sample size for the survey was 30 corporate including both regular customers as well as the one those who have not tried the ‘Jaypee Hotels’. Survey period:The survey was done for 4 days, starting from 16 Jan 2011 till 20 Jan 2011. The concern people were visited personally and called on phone and were interviewed in depth to get the details mentioned in the Questionnaire. Some of the survey forms were filled by the guests who were consuming the hotel services. Survey tools:•

The survey Questionnaires & stationary.

BRAND’s CRM SURVEY QUESTIONNAIRE General: 1. What name comes first when you hear the word 5 star hotels?

2. Your Preferred Hotel in the City you are staying currently, and why?

About the brand ‘Jaypee’ 3. What do you associate the brand “Jaypee” with?

4. How familiar are you with Jaypee Hotels? a. Never heard b. Heard but never stayed c. Visited occasionally d. Frequent visitor 5. How do you find the CRM activities of hotel? 6. Which of these Jaypee Hotels properties are you aware of? a. Jaypee Palace Hotel and Convention Centre, Agra b. Jaypee Residency Manor, Mussoorie c. Jaypee Siddharth, New Delhi d. Jaypee Vasant Continental, New Delhi e. All of the above 7. Of the past 5 times that you have traveled, how many times have you visited Jaypee Hotels (any property)? 8. Overall, how would you rate the service of Jaypee Hotels? A__ B_____ C______

D______

A-Excellent B-Very Good C-Good D-Average 9. What are your expectations on your visit to the hotel? Jaypee Palace Hotel and Convention Centre, Agra __________________________________________________________________ __________________________________________________________________ Jaypee Residency Manor, Mussoorie __________________________________________________________________ __________________________________________________________________ Jaypee Siddharth, New Delhi __________________________________________________________________ __________________________________________________________________ Jaypee Vasant Continental, New Delhi __________________________________________________________________ __________________________________________________________________

10. What did you like the most on your visit to any of our hotels? __________________________________________________________________ __________________________________________________________________ About You 11. You are requested to spare a few moments and fill in the information given belowa. Age Group

i. 25 – 40 ii. 41 – 60 iii. Above 60 b. Income i. upto10 lakhs ii. 10 – 20 lakhs iii. 20 lakhs and above c. Gender i. Female ii. Male 12. 1. Your name: 2. Your company’s name: 3. Your designation: 4. Your e-mail address: 5. The city/town in which you work:

Analysis: Most Preferred Hotel in Delhi:Based on the accounts surveyed, it is found that the most preferred Hotels by the corporate rather than Jaypee Hotels are:1) Taj 2) Le Meridian 3) ITC Maurya Sheraton The reason why the corporate preferred these hotels were found to be the corporate discounted rates (Taj up to 40 %) and the Ambiance of the hotels. People believe that these hotels have better branding as compared to the hotels of Jaypee. The services which are provided by them are standardized and due to this they don’t find any problem during their stay. For instance it was found that people are not aware that ‘Jaypee Siddharth’ is a five star hotel and is a part of Jaypee groups. Those who visited the hotel long back still carry an impression that it is not the 5 star Hotel as the purview of the hotel is the same as before. The Other Hotel which people talked about was ‘Hilton’. People are shifting their preference to this hotel as it is providing them with the rate of Rs.4000 to 5000.This seems to be the biggest threat of now to the areas such as Janak Puri, Rajendra Place and Saket .

With what Jaypee is associated? The few main words with which the brand Jaypee was associated were:• Cement • Infrastructure and real estate • Engineering and construction • Hospitality • Power • Social commitment

EXCEPTIONS (THE EXTREME CASES): Mr. Mukesh Sharma, Branch Manager of ‘abc’ Pvt Ltd. seemed to be Anti- Jaypee. He confirmed if to be honest before answering. He told that the words which come first in the mind, when he hears the brand name Jaypee are ‘Big Manipulators’. He added that he won’t ever prefer going to the hotels of Jaypee as they are not to the standard of 5 star hotels. On the other hand Mr. Suresh Sharma, the Vice President of the company named Jackson and co. seemed to be over whelmed by the people of the Jaypee hotels. He told that he only prefers the hotel due to the people of Jaypee who are very pleasing. Familiarity:Out of all the accounts surveyed it was found that only x %( confidential) of the people are frequent visitors to our Hotels and y %( confidential) are occasionally visitors, z% (confidential) heard about Jaypee but never stayed and rest never heard about the Jaypee Hotels. Advertisements: There were only few people who had seen the advertisement of Jaypee Hotels. Most of them were seen on the billboards (% confidential), in magazines (% confidential), in newspapers (confidential %) and online (% confidential). Rest came to know about the hotels through other sources of advertisements. Only x %(confidential) of the people surveyed came across the advertisements which were of ‘Patra & Eggspectation’. Rest y % (confidential) had never seen any advertisement for Jaypee Hotels. Awareness of Jaypee Hotels: According to the data collected through the survey it was found that very few people are aware of the Jaypee Hotels. Only x % (confidential) people were aware of all the four properties. The brochures were given to those who were not aware of all the four properties. People of Delhi were found to be least aware of JRM and JPA. On the other hand people were aware of Siddharth but not about it’s belonging to Jaypee.

Our Services:When we asked people to rate our services on the scale of excellent, very good, good and average, it was found that most of the people were not able to judge as they didn’t had any experience.

EXCEPTIONS (THE EXTREME CASES):As mentioned above in the report Mr. Mukesh Sharma rated the services as not good. He believes that it not according to the 5 star hotel standards. Mr. K. H. Subramanian from xyz Pvt. Ltd. was not at all satisfied with any of the services of Siddharth. Every time he booked a room in Siddharth for his American, Canadian and Singapore Guests he faced problem with one or the other service. The most prominent was the Pick and Drop service which was never followed on time and his guest had to stand at airport for hours at late hours in night. He told us that he himself wants to promote Siddharth because it’s nearby to his office but he can’t as the guests refuse to stay there. Similar case was with Mr. Yasir Khan of abc who also faced problem with pick and drop services for his Japanese guest who was his first time visitor to the Hotel. On the other hand Ms Anu Arora of XYZ said “If we are giving you the business and accepting the corporate rates then we should be given the preference as it happened before, that when we asked for room bookings in the peak season you straight forwardly deny to make the arrangements due to full occupancy. Other things which most of the corporate pointed out were regarding the complaints which they got from their guests after the stay. They were:1) Parking: - (Does not give an impression of 5 star hotels). Almost everyone said that the Hotel should have a proper parking place for itself. They gave examples of ‘Hyatt’. 2) Ambiance: - This was the most important finding that people believe that the ambiance of Jaypee Siddharth is not according to the Five Star Hotel. Mr. Anmol Chhabra Director of ABC quoted “I have a different feeling when I visit Maurya Sheraton as compared to when I go to Siddharth.”

Similarly Mr. Sahil Chakrovarti (Son of Director) of PQR said “Siddharth still seems to be an old hotel which it used to be long back. The purview is still not like the 5 Star Hotels. But still I like the swimming pool of the Hotel.” Even some of the corporate said that Siddharth’s corporate rate is not according to the hotel. People of abc. Company was one of them. Many other said that the infrastructure of Jaypee Vasant Continental and Siddharth doesn’t match to that of a 5 Star Hotel. People really admired the ambiance of Jaypee Palace Agra. Demographics:AGE GROUP:The surveyed sample was from all age groups. Out of which 57% were from the age group 26 to 40 years; 36% are from age group 40 to 60 years; 3% lies in the age group less than 25 years and rest 4% are above 60 years. INCOME GROUP:The income groups in which surveyed people were segregated were: 1) Below 10 Lakhs - 76% 2) 10 to 20 Lakhs - 18% 3) 20 lakhs above - 6%

expeCtations and feedBaCk:-

All Hotels:The response of the staff is bit poor & need to be improved. Want old baker’s Chicken Burger served in 1997- 1998 back on the menu. Room décor should be improved & prompt complaint handling. Branding should be focused as the guest never approves to stay in Jaypee Hotel. Commitment towards corporate rate & availability should be focused. Services & catering- understanding need, response to the need. Need to understand that every customer is different Pick up at reasonable rate (Options in the budget cars).

• • • • • • •

Jaypee Vasant Continental:• • • • •

Banquet events needs more personal attention (senior person should be there to handle management) Wi- fi (should not charge). Although it can be included in the tariff. Sometimes the coupon system for internet hinders very important meetings. Noise proofing in the rooms should be good. Conference hall should be improved. Rates should be competitive as the ambiance of the Hotel is not too good.

Jaypee Siddharth:• • • • •

Deals were not up to the mark, you always try but never promising. Banquette arrangement should be improved. The are lots of miscommunications while booking the hall. Rates should be competitive as the ambiance of the Hotel is not too good. Service should be improved.. Architectural problem is that it doesn’t look like 5 star.

• • • • •

Renovation & branding should be done (Luxurious feeling is not there as compared to Maurya). Services & catering- understanding need, response to the need. Need to understand that every customer is different Lobby is too small. Pick up at reasonable rate (Options in the budget cars). Miscommunication among the departments.

most admired: Although there were expectations among people from Jaypee Hotels, but they also admired things which they really liked. One of these was the food of the hotels (both Paatra and Eggspectations). Almost everyone admired the taste and the variety of the cuisines of the restaurants. They also like the ambiance of the restaurants. The other thing which people liked of Jaypee Siddharth was the ‘People’. They said that they are very good and helpful. But sometimes due to miscommunication the guest and the booker face problems in booking. The ambiance of JPA and JRM too were admired as they found them best among all the four Hotels.

graphiCal representation:-

1 2 3 4 5 6 7 8 9 1 0 1 1

PREFFERED HOTELS TAJ OBEROI ITC SHANGRI LA LALIT LE MERIDIEN AMBIENCE/ LEELA SAHARA STAR, MUMBAI HYATT EROS CONTINENTAL, NEHRU PLACE JAYPEE HOTELS (JVC,JS,JPA,JPH)

Total 17 4 10 2 7 12

OTHERS

18 PREFFERED HOTELS

AMBIENCE/ LEELA 0%

TAJ 14%

OTHERS

OBEROI 3%

15%

SAHARA STAR, MUMBAI

ITC (JVC,JS,JPA,JPH)

8% SHANGRI LA 2%

JAYPEE HOTELS 34%

LALIT 6% LE MERIDIEN 10%

EROS CONTINENTAL, NEHRU PLACE 0%

HYATT 8%

[Rest data is confidential for the company so could not be discussed]

reCommendations • The hotel is managing CRM practices very well. But it needs to do even well by providing special services to corporate clients and to give competitive services as given by other hotels. • More Promotional events and advertisements should be followed for all the four properties of Jaypee to make people aware for the brand as well as Hotels. • Jaypee’s Celebration Day (event) should be organized for loyal customers once in a year. This will make them fell special and privileged. • Invite blogs from the corporate describing their experiences and publish them on the website of Jaypee Hotels. • Promotion among the educational institutes should be done in order to increase the Conference Hall sales and Banquette sales as they come up with huge business during the admission time. (E.g. - AIMA always prefer Taj for its 3 days conferences or meets which takes place approximately 7 to 10 times a year.) • Renewal of privilege cards according to the loyalty of customers. The Gold and platinum cards should be introduced.

referenCes • www.jaypeehotels.com • www.wikipedia.com

Book: • Philips Kotler’s Marketing Management