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BY
Aditya Maheshwari
Abhinav Tyagi
Aditi Khanna
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India's hotel industry is experiencing an unprecedented boom, driven byincreasing numbers of business and tourist arrivals.
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What is Hotel Industry?
A place Where Travelers Can Pay for Lodging and Meals and
Other Services on a short-term basis.
Objectives of Hotel Industry Customer Satisfaction
Health
Safety Environment To Promote Tourism
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Some figures : Hotel Imperial New Delhi: 99.57 % occupancy. Hotel Trident Hilton,Gurgaon
(suburban Delhi): 98.3 % occupancy. Indian hotels are witnessingmindblowing occupancy rates.
Increase in average room rent for the entire hotel industry over the last year:35 %.
The boom has attracted several global players, ranging from Starwood andMariott to Four Seasons and ShangriLa. The largest hotel company in theworld,French chain Accor, has entered India and is now devising aggressiveplans for expansion in the market. Several others are racing to increase theirpresence in India, including the Marriott group.
Currently Marriott has over 1,000 rooms spread across four properties inMumbai and Goa.
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The established hotel chains
A number of global players arealready well established in India.These include Hilton, Shangri-La,Radisson, Mariott, Meridien,Sheraton, Hyatt, Holiday Inn,InterContinental and Crowne Plaza.
Investments
Now besides hotel companies, eventhe investment firms and privateequity companies are beginning toget excited about India. BerggruenHoldings India, a subsidiary of NewYork-based investment companyBerggruen Holdings,has announcedthat it is seed-funding a non-luxury
hotel chain in India. Private equity firm Warburg Pincus
has picked up around 27 % stake inDelhi-based mid-price hotelchain,Lemon Tree, for$ 60.2million.
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Tourist boom
The tourism traffic has been growing between20-28 % every year for the last four years andthis rate of growth is expected to continue forthe next few years.
The constant boom and the resultant demand-supply mismatch has led to sharp increases inthe average room rates and thus pushing up
revenues of industry players (hotels, touroperators, airlines, shipping lines, etc)
The tourism sector is expected to perform verywell in futureand the industry offers aninteresting investment opportunity for long-term investors.
Most of the five-star hotels are seeing morethan 80 % occupancy and some of the lesser-known five-star hotels are overbooked.
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Hospitality experts believe that the Indian hotel industry will witness higherthan usual growth in the coming peak season. The good times for the Indianhospitality industry are here to stay, with top-end hotels experiencing highroom occupancy rates even in the lean season.
Thelean season has been exceptionally good for us. Our room occupancy ratehas been around 89 per cent and we are looking at over 95 per cent occupancyfor the period September to December,says Kapil Chopra, general manager,Trident Hilton, Gurgaon.
There was an increase of15 % in the number of international tourist arrivals in
India and 14 % in the foreign exchange earnings in the first quarter of 2011 ascompared to the same period last year.
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The world's leading hotel brands -joining the battle The country has been flooded by some
of the world's leading hotel brands. Newbrands such as Amanda, Satinwoods,Banana Tree, Hampton Inns, ScandiumBy Hilt and Mandarin Oriental areplanning to enter the Indian hospitalityindustry in joint ventures with domestichotel majors.
Unitech, which is setting up two hotels inDelhi,has already formed a joint venturewith Marriott International to run itsthree new hotels in India, which havealready started its operations .The three new hotels will be located in
Kolkata, Gurgaon and Noida. We areinvesting around 700 crore rupees to setup these hotels, says Unitech managingdirector Sanjay Chandra.
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The movement is not one-way. Cash-rich Indianhotel companies have been acquiring propertiesoverseas. The Tata group's Indian HotelsCompany is in the process of acquiring Boston-based luxury hotel the Ritz-Carlton for around$170 million dollars (around 765 crore rupees).Due diligence is likely to be completed soon. Thehotel will be acquired through the companysNew York-based subsidiary, says RK KrishnaKumar, vice chairman of Indian Hotels.
Indian Hotels is looking to strengthen itspresence in the United States with this
acquisition. It has also set up properties in theMiddle East, the United Kingdom and Africa. Itsfierce rival, Oberoi group, has also been activeoverseas with properties in Saudi Arabia,Mauritius, Egypt, Australia and Indonesia, andelsewhere.
With growing competition, hotels are under
tremendous pressure to generate new lines ofrevenue with creative approaches. With newerplayers poised to enter the market one of the keyfactors that will drive future demand is alternaterevenue streams.
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Many business hotels in India areintegrating full-fledged spas ontheir premises, originally a mainstay of resort properties.
However, in order to attract morevisitors, India still needs todramatically increase the numberof rooms available.
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1. Shortage of skilled employees2. Retaining quality workforce3. Shortage of rooms
4. Intense competition5. Customer expectations
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According to Size Small Hotels (150 rooms)
Medium Hotels (up to 299 rooms)
Large Hotels (up to 600 rooms)
Extra Large Hotels (above 600 rooms)
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According to Star One Star (*) Two Star (**)
Three Star (***) Four Star (****) Five Star (*****)
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STAR RATED
HOTELS
5 DELUXE & 5: LUXURY AT HIGH
PRICE , 27 % GOVT.APPROVED ROOMS
FORMS 30% OFINDUSTRY
BUILT OVER
18000 sq.m AREA
2 & 1 :AROUND TOURIST
SPOT, PREFERRED
BY DOMESTIC
TOURIST
4 & 3 :FOR MIDDLE LEVEL
BUSINESS
EXECUTIVES/LEISURE
TRAVELLERS
Eg : ITC,TAJ GROUP,
OBEROI GROUP,
ITDC
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SPECIALLY EQUIPED WITH CONFERENCE
ROOMS, SEMINAR HALLS, INTERNET
FACILITIES ETC. TO SUIT THE CORPORATE
GUESTS.
Eg: INTER-CONTINENTAL, CROWNE PLAZA
BUSINESS
HOTELS
AIRPORT
HOTELS
LOCATED NEAR AIRPORTS AND SUITABLE
FOR SHORT STAY TRAVELLERS.
ARE FOUND NEAR ALL MAJOR CITY
AIRPORTS.
HONEYMOON
HOTELS
MOSTLY LOCATED AT HILL STATIONS AND
SPECIALLY FASCILITATED TO SUIT THE
COMFORTS OF HONEYMOON COUPLES.
Eg. HOTEL WOODVILLE PALACE, CARLTON
HOTEL, HOTEL HONEYMOON INN ETC.
FACILITY HOTELS
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3 STAR HOTELS FORMAL AND SPACIOUS RECEPTION AREA AND LOUNGE
THEIR RESTUARANTS CATER TO NON- RESIDENTS GUESTSTOO
EN-SUITE BATHS WITH GOOD STANDARD AND QUALITY OFEQUIPMENTS
COMFORTABLE STAY TARGETED
4 STAR HOTELS HIGH QUALITY FURNISHING, DCOR, AND EQUIPMENTS
HIGH STAFF TO GUEST RATIO FOR BETTER SERVICES
SERIOUS APPROACH TOWARDS CUISINES AND VARIETY
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5 STAR HOTELS THE ENTIRE HOTEL IS SPACIOUS AND LUXURIOUS
EXQUISITE CUISINES THAT CATER TO TASTE BUDS FROM ALL OVERTHE WORLD
SERVICES ARE MORE, FLAWLESS AND PERSONAL ATTENTION TO THE
GUESTS NEEDSSOME UNIQUE SERVICES PROVIDED IN THE 5 STAR HOTELS
BUTLERS
CHAUFFER DRIVEN LUXURY CARS
PILLOW MENU CUSTOMISED SERVICES IN THE IN-HOUSE SPA AND SALOON
42 PLASMA TV, INTERNET, FAX, LAPTOPS ON RENT AND MUCHMORE
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Product :- Hotels stay innovative in the peripheralservices. Price :- The diverse nature and character of dishes,
involvement of cost and spending power of
customers. Place :- Location of the hotel is the most important
business decision for the hotel.
Promotion :- Advertisement, publicity, salespromotion, personal selling, word-of-mouthpromotion and telemarketing are the componentsof a hotels marketing strategy.
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People:- The hotel management shouldtrain its people regularly, especially thefront line professionals.
Physical Evidence:- Lobby- It being thefirst & the last part of the hotel that theguest sees, thus it should be welldesigned, also to ensure that the customerreturns again the room should becomfortable and should have made his stayhassle free.
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The Indian Hotels Company (IHC) is theparent company of Taj Hotels Resorts andPalaces.
It was founded by Jamshetji N. Tata onDecember16, 1903.
Currently the Taj Hotels Resorts and Palacescomprises 76 hotels, 7 palaces at 52
locations in 12 countries and employ over13000 people.
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It provides exciting activities ranging from
sports, culture, environment, adventure,music, and entertainment.
The Taj Business Hotels provide the fineststandards of hospitality, which helps the
business trips to be productive. They offer well-appointed rooms,
telecommunication facilities, efficient service,specialty restaurants and lively bars, well-equipped business centres, and otherconference facilities
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THE TAJ GROUP OF HOTELSSEGMENTATION
TAJ LUXURY
HOTELS
TAJ PALACE,
TAJ MAHAL,
TAJ BENGAL,
TAJ WEST END
OFFER FINEST
STANDARD OF
HOSPITALITY &
SERVICE
TAJ BUSINESS
HOTELS:TAJ PRESIDENT,
TAJ RESIDENCY,
TAJ CONNEMARA,
TAJ BLUE
DIAMOND
OFFER
MULTICUISINE
RESTAURANTS &
BEST BUSINESS
FASCILITIES
TAJ LEISURE
HOTELS:
TAJ BEACH
RESORT,
TAJ CULTURAL
CENTRE,
TAJ GARDEN
RETREATS
LOCATED AT
BEACH RESORTS,
PALACES, PILGRIM
CENTRES ETC.
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The Taj Group of Hotels commits itself tothe overall improvement of the ecologicalenvironment, which we are all a part of.
We recognize that we are not owners but
caretakers of the Planet and owe it to ourchildren and future generations ofhumankind.
It is our endeavor not only to conserve and
protect but also to renew and regeneratethe environment in which we live andoperate
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ProductsCore Services :- Room
Restaurant and Bar
Meeting room Banquet facility
Amenities
Services
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Courier Child care, Laundry, Pet Taj Sats Air Catering Ltd. Wi-Fi Access
Express check -in and out Taj Air and Taj Yachts Babysitting Wake-up call
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Barber shop, Boutiques,Florist
Currency exchange In room telephone service Front desk 24 hour Gift shop
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Taj hotel has set its price of the room on thebasis of Business, Leisure and Luxury class.
RateRoom Tariff of all TAJ Palaces, Resorts,And Hotels.pdf
http://localhost/var/www/apps/conversion/tmp/scratch_3/NewTariff.pdfhttp://localhost/var/www/apps/conversion/tmp/scratch_3/NewTariff.pdfhttp://localhost/var/www/apps/conversion/tmp/scratch_3/NewTariff.pdfhttp://localhost/var/www/apps/conversion/tmp/scratch_3/NewTariff.pdf -
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Location of the hotel is the most important business decisionfor the hotel.
Present in metro cities in India Global presence (Maldives, London, Dubai, Cape Town and
many other countries)
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PROMOTION STRATEGYPromotional schemes are carried on regularly the hotel has many
loyalty programe,clubes,membership,previlage etc some of them are1. Taj Inner Circle2. Taj advantage plus3. TAPP MeTaj also offer Taj surprisesincluding weekend savers,
value vouchers, book earlyget more.
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Major service encounter that extremelydelighted or disappointed are:
1.Check in.2.
Bell person carrying luggage to the room.3.Food.4.Wake up call5.Check out.
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Skilled person Professional person Personal Agents
Technological person Travel agents
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The hotel has many competitors1. The Oberai towers.2. The Leela.3.
ITC Hotels.4. Le Meridian.
Acquisition - hotel blue diamond, pune.
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Amanresorts, Alwar- Best Desert Retreat Oberoi Udaivilas, Udaipur- Best Place to Feel Like Royalty Taj Mahal Palace, Mumbai- Best Dining Oberoi Rajvilas, Jaipur- Best Tent Accommodations Oberoi Amarvials, Agra- Best Views of The Taj Mahal Taj Lake Palace, Udaipur- Best Place For Romance The Four Seasons, Mumbai- Best Car Services The Imperial, New Delhi- Best Common Spaces The Leela Palace, Bangalore- Best Business Hotel
Devi Garh, Udaipur- Lovable Design
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STRENGTHS Faster GDP growth Industrialization. Natural heritage India as a global player
WEAKNESS lake of connectivity. Lake of publicity. Hectic rules Influence of politicians Marketing gap.
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OPPORTUNITIES Health tourism. Strong in cultural and nature aspects. Commercialization of sports and games. FDI policy. Mismatch of supply and demand.THREATS Poor domestic tourism infra structure Political conditions Terrorism Increase in pollution Entry of new competitors
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ENJOY THE STAY