CRM- Need of Industry

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Transcript of CRM- Need of Industry

Page 1: CRM- Need of Industry
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Under true and elegant guidance of

MR. ASUTOSH MATHURASSTT. PROFESSOR MMICT &BM(HM)

MMUMULLANA

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ACKNOWLEDGEMENT

0 In the course of completion of this presentation, I received immense help and co-operation from various persons and institution.it It is my sincere duty to record appreciation from them.

0 First and foremost, I would like to express my sincere gratitude to my supervisor Mr. Asutosh Mathur who not only consented to be my guide but also gave his valuable guidance and orticle comment which enabled me to complete my presentation on time.

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Objectives

0 To discuss the implementation of CRM in hotel industry.

0 To study about various CRM technologies in hospitality industry.

0 To develop research on different hotels(Chandigarh region) with the help of case studies.

0 To evaluate the effectiveness of CRM by focusing on customer satisfaction.

0To seek the CRM future.

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Scope of the Study

0 This study will provide an insight into the hotel industry

0 Also steps being taken by them to improve their relationship withtheir guests/customers. From the study, one can infer the present scenario of the practices and programs being followed by the leading players in this sector and the steps being followed by them to enhance customer retention,customer satisfaction and in turn, leading to enhanced profits and brand image in the minds of the customers.

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For Whom we are in Industry?

0Guest is the most important person for a business. He is not an interruption to our work but the purpose of it. He is not an outsider; he is a part of it. We are not doing him a favor; he is doing us a favor by giving us an opportunity to serve him.

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CRM-?

0Why?

0Where?

0How?

0When?

0What?

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What is CRM?

0 In layman terms as we speak about CRM it stands for the various procedures and advancement brought within the hotel organization and staff in order to maintain a healthy relation between the customer and service provider.

0As the word say customer relationship management i.e. managing a positive and profitable relation with the customer for future growth.

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CRM in Hotel Industry

0Effective

0 Profitable

0Trendy

0Educative

0 Personality developer

0Booster

0 Positive

0Troubleshooter

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CRM TECHNOLOGY

0ANALYTICAL CRM- Database formation, collection.

0OPERATIONAL CRM- sales force automation, skills in operation of staff.

0 COLLABRATIVE CRM- feedback, communication.

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Measurement of CRM

0 Attitude to serve

0 Understanding the Expectations

0 Quality Awareness

0 Reliability

0 Communication

0 Customization

0 Recognition

0 Keeping Promises

0 Auditing the Satisfaction

0 Retention

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CRM IMPLEMENTATION

0 Identify the customer.

0 Select the right channel to reach customer.

0Determine CRM capabilities.

0Receive the effects on brand value.

0Methods adopted for CRM approach

0Budget of the Organization

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Questionnaire

0 Name of the Hotel ………………………………………………………………………….

0 Category …………………………………………………………………………………….

0 Name of the Employee…………………………………………………………

0 Please rate your Organization and your approach on this CRM scale0 Please score between 1-5 for each statement.0 1=Strongly Disagree 2= Disagree 3= Neither agree nor disagree 4= agree 5= strongly agree

Statements

0 Q.1 my organization provides customized services and products to our key guest?

0 Q.2 all people in my organization treat key guest with great care?

0 Q.3 my organization makes an effort to find out what our key customer needs?

0 Q.4 When my organization finds that guest would like to modify a product/ service, the departments makes coordinated efforts to do so ?

0 Q.5 Guest centric performance standards are established and monitored at all customer touch points?

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0 Q.6 My organization has the sales and marketing expertise and resources to succeed in CRM?

0 Q.7 Our employee training programs are designed to develop the skills required for acquiring a deep customer relationship?

0 Q.8 My organization has established clear business goals related to customer acquisition, development, retention and reactivation

0 Q.9 My organization commits time and resources in managing customer relationship?

0 Q.10 My organization has the right software to serve our guest?0 Q.11 Organization has the right hardware to serve our guest?

0 Q.12 Individual customer information is available at every point of contact?

0 Q.13 My organization maintains a comprehensive database of our guest?

0 Q.14 Customers can expect that my organizations employees respond to their requests promptly?

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0 Q.15 My organizations employees are willing to help guest in a responsive manner ?

0 Q.16 My organization provides channels to enable ongoing two-way communication with our key guest and us ?

0 CRM Checklists

0 Do we know the profile of our guest?

0 Do we know the trends in this profile?

0 Do we know exactly how many VIP guest visit our hotel daily?

0 Do we know how many repeat guest we have?

0 Do we know how many guest actually generate referrals?

0 Do we know how many items the customer wanted and how many he actually got?

0 Do we have a customer database?

0 Do we monitor customer satisfaction levels?

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Comparative Research study on CRM in Chandigarh Region:-

The Ramada Plaza, Hotel Chandigarh

Have no as such separate department or hierarchy for

Customer handling or relation management.

Front desk employees take the guest feedback and do

the needful follow ups.

Less guest concerns as per CRM terms.

Guest references can be neglected as no such serious

attention is available.

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Hotel JW Marriott:

JW Marriot has a separate department known as Guest relations.

This dept. is responsible for the success of CRM in terms of guest

satisfaction and retention.

As due the presence of separate and personal attention towards

guest preferences and disliking; satisfaction is assured itself.

Closely and positively the guest queries/complaints/request are

taken care of.

VVIP in room check-ins, express check-out, birthday celebrations in

the lounge as per guest availability and protocol.

0 More number of Repetitive guests

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Hotel Lemon Tree

0Hotel do not have separate department for CRM purpose.

0 Front office staff takes the feedbacks while checkout, which is a drawback as sometime guest not really up for a feedback maybe coz of dissatisfaction or in a hurry.

0 CRM procedure is followed not at high level as overall responsibility comes down to the front desk staff along with other responsibilities.

0There are chances that guest preferences may be missed out at time of traffic.

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The Lalit

0 Hotel closely concerned about the guest preferences and values their feedbacks.

0 Have a separate department named as guest relations and maintained by guest relation manager.

0 Guest relation department is part of front desk but closely co-ordinate with all other departments for the guest satisfaction, preference, request or complaint handling.

0 VVIP in room check-ins, providing special privilege(any service out of ordinary) during stay to each guest, maintain guest feedback history and amenities placements in rooms are some functions performed by guests relations

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Research Methodology

0Qualitative research is being conducted on the methods and process of CRM followed by different hotels in Chandigarh region.

0Questionnaires, surveys and hotel website data are collected and analyzed for the conclusion.

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CRM FUTURE

0 CRM Roadblocks- four P’s – process, perception, privacy and politics.

0 Proper organizational planning

0 CRM Globalization

0 CRM Retention strategies.

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CONCLUSION

0 In the first place the findings suggest that about eighty percent of the hotels in region are either budgets.

0 Secondly the results of the study suggest that the hotels with high ‗star ratings‘ have high level of practice, consciousness and orientation to CRM than the hotels with low ‗star ratings‘. In other words the higher the star ratings‘, the higher the level of practice of CRM.

0 The findings suggest that the hotels in Chandigarh region are more oriented to and conscious of the practice of knowledge management than the other three dimensions. Likewise the hotels are more oriented to the key customer focus dimension and CRM organization dimension than technology-based CRM dimension.

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0 Again, the results of the study suggest that significant majority of the hotels have high orientation to the key customer focus dimension and knowledge management dimension of CRM. In addition, the results of the study suggest that significant majority of the hotels have low orientation to the CRM organization dimension, and technology-based CRM dimension of CRM.

0 Finally, the findings suggest that significant majority of the hotels have low orientation to CRM as a whole.

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RECOMMENDATIONS0 CRM practice in the hotels is generally low especially with the majority low

rated hotels. This could have serious adverse bearing on tourism in Haryana and Punjab. The government should consider a policy that will encourage management of hotels to practice CRM. For example, Government could institute a day to create awareness and to award hotels for best CRM practice as in the case of farmers and teachers. The hotel industry could also institute award night to create awareness of the importance CRM practices to the industry and to encourage good CRM practices among hotels of the industry as in the case of the Punjabi music industry. Secondly, the majority of the customer service officers of the hotels have low level of education and experience. Management of the hotels should consider engaging more qualified and experienced CRM officers or train the existing CRM officers to handle CRM issues of the hotels. Moreover, CRM is found to be functional strategy and process rather than a firm-wide policy and activity. The hotels should develop a firm-wide culture of CRM by organizing all structures and functions and levels of management of the hotels to support effective and efficient CRM practice. Effective and efficient CRM is crucial to the profitability of all service firms and hotels are not an exception.

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0 In addition, the use of technology to enhance profitable customer need recognition and satisfaction is low among the hotels. However, it is necessary for the hotels to make maximum use of the existing level of information technology to leverage effective and efficient CRM practice.

0 In the end, I would like to add on the change I would like to make in this topic is with the name. As CRM includes word customer but in hotel industry we no more use word customer, we say guest/s. So I would preferably would like to rename it GRM instead of CRM as per the study and research conclusion. I.e. no more customer relationship management, instead, Guest relationship management.

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