...INDIAN HOTEL INDUSTRY RESEARCH REPORT 2013 Submitted by: 1) Arindam Bagh 2) Arindam Das 3) Pavan Kumar Submitted by: 4) Arindam Bagh 5) Arindam Das 6) Pavan Kumar Table of Contents 1. Executive Summary 5 2. Industry Overview 6 2.1. Key Components of Hospitality Industry 6 2.2. Global overview 6 2.3. Indian overview 7 2.4. Market Structure 10 2.5. Industry metrics 12 3. Challenges faced in the Sector 14 3.1. Global economic uncertainty 14 3.2. Seasonality of demand 14 3.3. Oversupply 15 3.4. High Employee turnover 15 3.5. Lack of MICE related Infrastructure 16 3.6. Inadequate supply of quality talent 16 3.7. Low security 17 3.8. High cost of developing property 17 3.9. Poor Infrastructure 18 3.10. Difficult project financing 18 4. Growth Drivers 18 4.1. International tourist arrivals 18 4.2. MICE Destination (Meetings, Incentives, Conferencing, Exhibitions) 19 4.3. Government spending to boost growth 19 4.4. Improving economic environment 20 4.5. Increasing spending power 21 4.6. Government Support (Non-Monetory) 21 4.7. Offers from Airline Industry 24 5. Emerging Trends in the sector 25 5.1. Premium Hotel’s profitability to hit lows 25 5.2. Increasing revenues from F&B Segment 26 5.3. Development of niche tourism offerings 26 5.4. Growing trend towards service apartments 27 5.5. Growing demand for budget segment 27 5.6. Increasing interest of international operators 28 5...
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...Table of Contents Introduction: 2 Macro-Environment Business Strategy Gap Analysis 8 Industry Environment Business Strategy Gap Analysis 9 Strategy-Capability Gap 9 1. Macro-Environment Analysis 16 2. Industry Analysis 22 2.1 Threat of New Entrants 22 2.2 Bargaining Power of Suppliers 24 2.3 Bargaining Power of Buyers/Customers 25 2.4 Power of Substitutes 26 2.5 Intensity of Industry Rivalry 27 3. Internal Analysis Appendix 29 Introduction: [pic] Taj Hotels, Resorts and Palaces operates under the parent company Indian Hotels Corporation Limited. They have been operating for 107 years, and were positioned as India’s largest hotel chain, with a range of properties for both business and vacation travel market. Owned by the Tata group, Taj maintains a very hierarchical structure, with a senior management team that stems from family connections. The report at hand will evaluate the past and current strategic position of the Taj hotel group, how being under the TATA group umbrella and how this has enabled the brand to grow and develop into the most recognized and luxurious hotel brand within India. Hotel brands Worldwide have been trying to go international, taking the advantage of their brand recognition, economic capabilities and increasing market demands. The Taj hotel group past and current strategies of going international were executed in locations that have an already saturated market or in cities...
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...Event Manager Supported by INDIA INTERNATIONAL FURNITURE FAIR 16 - 18 November 2011 I Bombay Convention and Exhibition Centre www.indiafurniturefair.com 16 - 18 November 2011 I Bombay Exhibition Centre I Mumbai, India I www.indiafurniturefair.com ADVANTAGE INDIA • World's largest democracy with 1.2 billion people. • India's economy will grow five-fold in the next 20 years (McKinsey). • Investor-friendly policies and incentive-based schemes. • Second most attractive Foreign Direct Investment (FDI) location in the world; India received a total of US$ 25.9 billion of FDI in 200910. • The urban population of India will double from the 2001 census figure of 290 million to approximately 590 million by 2030 (McKinsey). INDIA INTERNATIONAL FURNITURE FAIR 16 - 18 November 2011 I Bombay Convention and Exhibition Centre www.indiafurniturefair.com INDIA GDP GROWTH 8.9% 8.5-9% Rapid economic growth: GDP to grow by 8.9% in 2010-11* and 9.0% in 2011-12 2010 INDIA INTERNATIONAL FURNITURE FAIR 16 - 18 November 2011 I Bombay Convention and Exhibition Centre www.indiafurniturefair.com 2011-12 Source: World Bank INDIA FURNITURE MARKET • • Worth US $8 Billion Growing at 30% compound annual growth rate in the organised sector (about 15% of the whole industry) World’s 8th biggest importer INDIA INTERNATIONAL FURNITURE FAIR 16 - 18 November 2011 I Bombay Convention and Exhibition Centre www.indiafurniturefair.com • INDUSTRY SEGMENTS • Residential A major...
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...Southern & Eastern Part of India. | January 16 2014 | History of the evolution and emerging Trends of the Indian Tourism and lodging Industry. | | NAME | Student No | Sushil Gujar | 6894422 | Jacob Jose Moolan | 6908420 | Roshan Shetty | 6657332 | Abstract The hospitality and tourism industry in India has largely diversified and has greatly complimented to the GDP as well as employment in major parts of India. Due to its rich heritage and culture it has recorded tremendous growth over the past years thus making it global tourist destination. With development in major hospitality projects and international brands setting its business in India, has led to the prosperity of the Hospitality industry. By providing you a glimpse about major tourist destination and hotels that contribute majorly to the growth of the industry, this report would provide you an insight on the hospitality industry in the southern and the eastern part of India. Contents Introduction 3 Southern part ofIndia 4 Kerala tourism 4 Munnar 4 Cochin 5 Kumarakom 5 Karnataka Tourism 5 Srirangapatana 5 Hampi 6 Mysore 6 Tamil Nadu Tourism 7 Ooty 7 Kanyakumari 7 Pondicherry tourism 8 Lodging and Hotels in South India 8 Taj Group of hotels 8 Oberoi Hotels and Resorts 8 ITC Group of hotels 9 Eastern part of India 10 Bhubaneswar 10 Ranchi 10 Gangtok 10 Kolkata 11 Result/ Conclusion 12 Reference 13 Introduction India consists of 29 states and 7...
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...Customer relation management (CRM) Topic- Comparative analysis of CRM tools in Hospitality industry ACKNOWLEDGEMENT We would like to express our gratitude toward Mrs. Vandana Ahuja ma’am for her kind co-operation and encouragement which helped us in completion of this project. We would also like to express our special gratitude and thanks to industry persons of Taj and Oberoi group of hotels for giving us such attention and time. Our thanks and appreciations also go to our colleagues in developing the project and people who have willingly helped me out with their abilities. * Group members INDEX 1. CRM introduction 2. Architecture of CRM 3. Hospitality industry 4. Classification of industry 5. Top players in India 6. Challenges for hospitality industry 7. Customer management in hotel industry 8. Research framework 9. Technology and CRM 10. CRM software for the hotel industry 11. CRM in Oberoi hotels 12. CRM in TAJ hotels 13. CRM implementations 14. Conclusion 15. Recommendation 16. Bibliography CRM INTRODUCTON Customer satisfaction is a business philosophy which tends to the creation of value for customers, anticipating and managing their expectations, and demonstrating ability and responsibility to satisfy their needs. Qualities of service and customer satisfaction are critical factors for the success of any business. Enterprises exist because they have a customer to serve. The key to...
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...INTRODUCTION- ITDC ITDC came into existence in October 1966 and has been theprime mover in the development, promotion and expansion of tourism in India. one of the biggest Hospitality companies in India ITDC is running hotels, restaurants, provides transportation facilities for tourists, provides entertainment and duty free shopping. The company has several departments to cater to several requirement of travelers. Ashok Travels & Tours, Ashok Group of Hotels, Ashok International Trade Division, Ashok Creativity, Ashok Institute of Hospitality and Tourism Management and Ashok Consultancy PLACE ‡ ITDC has its own branches situated throughout the country‡ Location of hotel plays an important role in deciding the satisfaction level of customers.‡ The Ashok hotels are very well known around the country for their elegant look and services. Also the tour services are provided for different tourist places which play an important role.‡ PEOPLE ‡ there are a lot of Govt. and Pvt. Institutes which offer training to employees.‡ INLEAD is an ISO 9001-2008 certified educational institution offering industry specific postgraduate and short term certification programs.‡ ITDC has partnership with this institute.‡ The aim of these programs is to prepare the students to take upchallenging roles within their respective domains, and transform the minto future leaders in the Hospitality Management, Events & Exhibitions and Business Administration domains. PRO DU C T IVI TY AND...
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...globalization for the international hospitality industry. In the recent years hospitality industry over the years has expanded their business all around the world. Big hotel chains such as Marriott’s and Accor group are opening their hotels in developing countries such as India, Singapore etc. The process of globalization has played a major role in expanding their profits and laying their business across their own boundaries. Majority countries, around the world have been trying to promote globalization through eliminating barriers and reducing taxes. However, there are various methods through which companies are trying to expand such as licensing, Exporting, joint venture and etc. Globalization has both the positive and negative effects, but over here we will be focusing more on the utility and positive side of the globalization. Globalization in hotel industry helps in giving exposure to various cultures. In the 21st century, with the increase in level of incomes for people in the developing countries, it has been seen that people are visiting the developed countries and they are trying to adopt western culture. The level of tourism has increased and people especially from the Asian counties are visiting developed countries such as US and Australia. They are now becoming more familiar with their culture and their food and are also adapting the same thing in their own country (Lee 2009). People from countries such as China and India are now adapting to western culture in their...
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...copies, call +91-8417-236667/68 or write to IBS Center for Management Research (ICMR), IFHE Campus, Donthanapally, Sankarapally Road, Hyderabad 501 504, Andhra Pradesh, India or email: info@icmrindia.org www.icmrindia.org LDEN/063 MS Oberoi and His Legacy “My life has been achievement-oriented. I started off as a coal clerk at the Cecil Hotel in Simla. But I always had dreams and I worked my way at fulfilling those dreams.”1 MS Oberoi, the Founder of the Oberoi Group. “His [MS Oberoi’s]legacy isn’t just the hotels. His life has been a living example that nothing is impossible. Persistence brings success. His legacy is for the world to see and learn.”2 -Sanjiv Malhotra, Vice-president, Oberoi Towers, Mumbai, September 2001. “I have great respect for the professionalism of Oberoi Hotels. To me, both the hardware and software components are equally important in a complete hotel product and the Oberoi brand excels in both. P R S Oberoi stands for uncompromising quality like his late father and in this country at least, there isn’t anyone who is equal to them on that strength.”3 -Sunil Mathur, Director, International Development, Wyndham Hotel Group4, October 2007. THE FATHER OF INDIAN HOTEL INDUSTRY On Friday, May 3, 20025, Rai Bahadur Mohan Singh Oberoi (Oberoi), the founder of the Oberoi group of Hotels, passed away at the ripe age of 103. According to Ashok Soota, president, Confederation of Indian...
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...Are High Hotel Tariffs Damaging India’s Tourism Potential? Industry analysts fear that the current boom which the Indian hospitality industry is witnessing will not last. The prime reasons cited are steep hotel rates and shortage of rooms. Leading tour operators, in conversation with Bhisham Mansukhani and Charmaine Fernz share their opinion on this current scenario... The Indian hospitality’s current occupancy boom, which revived the industry from its days in shambles, is now posing a serious threat to the supposedly resurgent inbound tourism sector. Inbound tour operators have unanimously cited both the steep Average Room Rates (ARRs) and shortfall in inventory as key deterrents that keep tourists from visiting India. Ashwini Kakkar Neeraj Ghei Himmat Anand Tour operators state that the problem is twofold, while the consequence is simply a low number of inbound tourists. Ashwini Kakkar, CEO and MD, Thomas Cook India Ltd “The problem is particularly serious in the metros. We are not just talking about incredibly high room rates which are disproportionate to the regional benchmark but the absolute non-availability of rooms at any cost. The implications of this in terms of the country’s economy, and Foreign Institutional Investment(FII) approach is far reaching and mostly detrimental. Our nearest and most formidable competitor, China has more than 100,000 rooms in its key industrial hub Shanghai. However India, which claims to draw parallels with it, has a paltry...
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...96 ISSN 0976 - 4089 www.soeagra.com/ijert/ijert.htm © Society of Education, India IJERT Original Article Marriott India: Managing Its Hospitality through Gearing Service Quality Shikha Singh, Dinesh Kumar, Nilosha Sharma Bahadur Shastri Institute of Management, Delhi Nurture Education Solutions Private Limited, MBA College, Gujarat University, Ahmedabad Email: shikhabirsingh@gmail.com , dineshkumar.kumar02@gmail.com, niloshasharma05@gmail.com 3i1,2Lal ABSTRACT The Marriot group of Hotels launched back in 1983 are one of the largest brand and the world’s 12th largest lodging chain.1 The Marriott had around 8,000 hotels worldwide. The company operated and have franchisees under the brand names Marriott, JW Marriott, The Ritz-Carlton, Renaissance, Residence Inn, Courtyard, TownePlace Suites, Fairfield Inn, SpringHill Suites and Bulgari. The Marriott group in India has being focusing on its quality of service delivered and the various other factors like customer satisfaction. The case highlights the journey of Marriott group and the various services provided by Mariott. The case also discusses the various challenges upcoming for Marriott group in India related to customer service and customer satisfaction. Pedagogical Objectives The case study helps to understand and analyse: 1. The dynamics of Indian service Industry/Hospitality Industry 2. Challenges and Opportunities for Marriott in India Mariott Group: An Overview "When you take good care of your people, they'll...
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...INDIAN HOTELS INDUSTRY Consumer confidence low; revival contingent on global environment QUARTERLY REVIEW March 2012 ICRA expects the Indian Hotels industry to finish 2011-12 on a weaker note with subdued pricing power eroding margins. Although some revival in operational metrics was witnessed during late 2010-11, the industry continued to lack the pricing power to drive out of its current stagnancy. Globally weak macroeconomic scenario, the European sovereign debt crisis, geo-political turmoil in the Arab countries, high interest rates, inflation and a muted domestic corporate performance during the current fiscal (year to March 31, 2012) have sapped the industry’s ability to sustain inflation adjusted Average Room Realizations (ARRs). Muted ARRs and high costs have led to one of the weakest nine month (9M) periods (April-December-11) in over five years. With uncertainty continuing to cloud the near term, wavering business/consumer confidence and a sluggish economy, there is no significant trigger for the industry during the next two-three quarters. While the start of the next season (in Q3, 2012-13) may bring some relief to the industry in some specific markets, we expect real traction to return to the industry only by 2013-14; overall, we expect this to be a slow and long slog to recovery. We expect ARR growth during the current fiscal to be limited to around 5%, followed by around 5-8% during 2012-13. In the current inflationary environment, RevPAR growth of around 6-7%...
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...Tourism Industry Anurag Dugar* Competitiveness is a comparative concept, primarily applicable at the company or firm level (McFetridge, 1995) and indicates towards its willingness and ability to compete in a given market, but the contemporary usage of this term has extended its traditional meaning to new dimensions. However, for one school of thought, competitiveness is equally applicable to all business enterprises, levels of government and nonprofit agencies and workers of the postmodern nation state. (Hillman C. H. 1992), but for another the underlying premise for competitiveness is - ‘firms compete, and not nations’, for example, according to Krugman - "The world's leading nations are not, to any important degree, in economic competition with each other" (Wikipedia). Similarly, Porter holds that - diversified corporate do not compete; only their business units do. Thus, according to the second school of thought competition occurs at the business unit level and hence the ‘corporate strategy’ must reinforce and focus on nurturing the competitiveness of each (business) unit. From this perspective, Nations can be visualized as diversified conglomerates and its sectors, industries and firms as its diverse business units, and then the role, relevance, importance and impact of “Government Policies” (Corporate Strategy), on the competitiveness of its sectors, industries and firms (business units) is clearly elaborated and India (as a conglomerate) and its Tourism Industry (one of...
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...crore. India has the potential to become the number one tourist destination in the world with the demand growing at 10.1 per cent per annum, the World Travel and Tourism Council (WTTC) has predicted. The WTO (World Travel Organisation) predicts that India will receive 25 million tourists by year 2015. Major attractions in India are the world's highest mountains, miles of coastline with excellent beaches, tropical forests and wildlife, desert safari, lagoon backwaters, ancient monuments, forts and palaces, adventure tourism and, of course, the Taj Mahal. India currently has over 200,000 hotel rooms spread across hotel categories and guest-houses and is still facing a shortfall of over 100,000 rooms (source: FHRAI). The country is witnessing an unprecedented growth in hotel constructions and will be adding almost 114,000 hotel guest rooms to its inventory over the next five years. (source: HVS) The earlier setbacks in global tourism have strengthened the Department of Tourism's resolve to promote India's tourism through aggressive marketing strategies through its campaign 'Incredible India'. The 'marketing mantra' for the Department of Tourism is to position India as a global brand to take advantage of the burgeoning global travel and trade and the vast untapped potential of India as a destination. The Indian Hospitality Industry – An Overview The current scenario • Existing hotel rooms in India: 202,963, source FHRAI • Revenue of the Indian hotel industry FY 2009-10:...
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...Emerging Indian Hospitality Sector: A study of NCR hotels Shiv Mohan Verma, Asst. Professor. HRCTGI Ravi Kumar Singh, Asst. Professor. HRCTGI Abstract Today, big name brands are embracing new technologies and adjusting their budgets in some surprising ways. Using mass production, network broadcasting, nationwide transport and chain retailing, marketers are driving consumption among the rapidly increasing population. The emerging trends in marketing have been caused by multiple factors like advent of MNC’s in India, changing industry structure or increasing media penetration to Indian homes. Marketers today acknowledge the value of knowing the customer and retaining customer relationship. This paper explores the changing dynamics of the Hospitality Sector, its ever-increasing focus on innovation along with the reasons causing the changes. The paper will address everyday questions faced by marketers in the rapidly evolving marketplace. Introduction The economy has moved decisive to a higher growth phase. Till a few years ago, there was still a debate among informed observers about whether the economy had moved above the 5 to 6 per cent average growth seen since the 1980s. There is now no doubt that the economy has moved to a higher growth plane, with growth in GDP at market prices exceeding 8 per cent in every year since 2003-04. Over the last five years there has been a sharp acceleration in the growth of per capita income, almost doubling to an average...
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...Introduction to Hospitality Industry UNIT 1 1.1 1.2 1.3 Meaning and definition Historical evolution and development Hospitality as an Industry 1.1 Introduction Meaning and definition Tourism is not just about the facilities and attractions provided for visitors. It is about people and especially about the relationship between the customer and the individual providing service. Everybody employed in tourism needs to have the knowledge, skills and attitudes to provide the standard of product and service that customers expect. Knowing about the tourism industry, its component parts and especially where you fit in is an important starting point to a successful career in tourism. What Is Tourism? Tourism may be described as the activities of tourists and those who cater for them. It is a highly diversified business with many component parts ranging from airlines to hotels. Tourism is concerned with providing: Travel and transport facilities Accommodation Food and drink Entertainment/recreation Information and assistance Souvenirs Above all, tourism is a hospitality industry providing a service to visitors in a warm and welcoming way. ICHM Page 1 Introduction to Hospitality Industry Who Are Tourists? Tourists are people who for a variety of reasons travel to destinations, where they stay at least one night. Excursionists are also visitors that do not make an over-night stop, such as daytrippers or people on cruises. There are several basic types of tourists: ...
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