The Future of Internet Based Training in the Lodging Industry

ABSTRACT

It has become clear in recent years that the Internet has dramatically affected all aspects of hotel operations. Although the Internet has been primarily used as a medium for marketing and communications, it has the potential to reshape the way in which many other vital operations are performed, such as the distribution of training programs. The proliferation and popularity of the Internet now makes it possible to separate trainees and trainers by both time and location. This study examines expert's predictions of using Internet based training and identifies its benefits, drawbacks and barriers to entry in the lodging industry. The findings of the study have direct implications for hotel operators, training professionals, and technology vendors for their future training plan, budget, technology inputs, and product development.     

Environmental Tactics Used by Hotel Companies in Mexico

Summary

The impact which environmental law and management has had in the hospitality industry is substantial. Hotels have begun conservation and recycling programs as a means of reducing energy cost and solid waste. A significant number of environmentally related regulatory and consumer pressures are being imposed upon the hospitality industry. The purpose of this study is to begin to explore the environmental programs that hotel corporations in Mexico are adopting. Eight managers at eight hotel corporations in Mexico were included in the study. The corporation hotels located in Mexico started to implement environmental strategies in 1995, and the most common reason was because of the legal pressures they faced. Efficient use of lighting and eliminating use of diesel in the boiler were the most frequently sited strategies. Seven hotel managers benefitted from the application of these strategies, while one indicated he did not benefit. The hotel managers feel social, legal, and political pressure in Mexico to implement environmental strategies but consider consumer pressure unimportant. They believe these strategies are not very important when facing competitors, and only one manager mentioned that in the future the competitive threat will be important in developing environmental consciousness.     

Effectiveness of the hotel websites in Singapore: A perspective from Business‐to‐Business (B2B) organisations

Internet marketing in hotels allows potential users to learn about the hotels, to tour hotel facilities and to compare prices among other benefits without directly interacting with a hotel representative. For some users, Internet is the first and only channel consulted when booking hotel accommodations. In the present age, Internet is increasingly becoming both an opportunity and a challenge for hotel marketers. The opportunity lies in reaching users directly through Internet sites. The challenge is to get the guests’ attention long enough to tell the marketers’ story (Connolly, Olsen and Moore, 1998). It has always been controversial as to how effective Internet marketing can be. Both firms and researchers have indicated that the measuring of effectiveness of Internet marketing is a multidimensional question. This study sought to examine the effectiveness of business‐to‐business Internet marketing in the hotel industry in Singapore through analysing the differences between the travel agents expectations of service and hotels’ understanding of those expectations. A total of 66 hotel websites in Singapore were scanned to give the features analysis. On the basis of the perception scores of 112 inbound travel agents, the study identified the gaps between the users and the website provider (hotel industry).     

酒店市场营销:花得越多越好?

本文使用史密斯旅游研究(Smith Travel Research,STR)提供的酒店数据来探寻市场营销开支对酒店将来财务效益的影响.根据荻取的结论,我们有3大发现:1)市场营销支出对酒店一年后财务影响的边际效应呈递减分布;2)在个体酒店这个层次,总经营利润(gross operating profit)、纯经营利润(net operating income)以及总销售(revenue)有很强的自我预测性;3)对总经营利润、纯经营利润以及总销售的构成作进一步分析可以获得更好的预测效果.     

Customer loyalty: the future of hospitality marketing

For many years hospitality firms have believed that the goal of marketing is to create as many new customers as possible. While hoteliers believed it was important to satisfy the guests while they were on the property, the real goal was to continue to find new customers. This constant search for new customers is called conquest marketing. In the future, conquest marketing will not be sufficient. Instead firms need to practice loyalty marketing or retention marketing. The authors believe that this will be the successful wave of the future in hospitality. The goal of this paper is to present a framework for understanding customer loyalty. We do this first by examining the economics of loyalty. We then define loyalty and explain the difference between frequency programs and loyalty programs. We also show why satisfaction does not equal loyalty. We then introduce the Loyalty Triangle^©, which provides a framework for building customer loyalty. Each leg of the Loyalty Triangle^© is then examined in-depth, including examples of how hotel companies use the Loyalty Triangle^© to develop strategy. Next we present ways to measure the success of loyalty programs. Finally, we present future research issues.     

Hotel Innovation Through Property Renovation

ABSTRACT

There is little doubt that renovation is a costly, ongoing and an essential requirement for hotels to stay competitive in the market. At any one time almost every hotel has recently been renovated, is under renovation, or is waiting for renovation. An examination of the literature uncovers that product innovation and property renovation are inseparable in the hotel industry. This is due to the fact that various levels of innovation can be attained through renovation. Therefore, it is the intention of this paper to concentrate on the process of property renovation in the hospitality industry and its role as a strategic marketing tool for product innovation. This is undertaken through presenting an analysis of a survey of hotel general managers in Egypt.     

Future Issues in Sales,Marketing, and Revenue Management in Greater China: What Keeps You Up at Night?

ABSTRACT

“Recognizing the current global economic crisis, what do you feel are the key impacts it will have on (sales, marketing, or revenue management) in the hospitality industry in the next 5 years within the Greater China region?” This was the question asked in a Delphi study with 37 hotel industry leaders in Greater China and a follow-up Thought Leaders Roundtable. The results identified the top five impacts in each of the disciplines and the Roundtable provided insights into how to address them. Additionally, how long these impacts will affect the region was determined.     

The Importance of Hotel Attributes in Contributing to Travelers' Satisfaction in the Hong Kong Hotel Industry

Abstract

This study surveyed 402 international travelers to explore their satisfaction levels towards service and facility quality in three Hong Kong hotel market segments, High-Tariff A, High-Tariff B and Medium Tariff. Six perception dimensions were extracted from 33 hotel attributes by a factor analysis. All six dimensions had a significant impact on the overall satisfaction of travelers with service quality and facilities in the three Hong Kong hotel market segments. Quality of Staff Performance was the most influential factor followed by Quality of Room Facilities, Value for Money, Variety and Efficient Services, Business Related Services, and Safety and Security respectively. It was found that travelers had the lowest satisfaction level towards the Medium-Tariff hotel segment. By identifying the most influential hotel dimension in influencing travelers' satisfaction levels, hoteliers will be in an advantageous position to formulate tactics to meet the changing needs and expectations of travelers. Implementing human resources training that emphasizes the fact that service quality is part of each employee's job should have a significant impact on guest re-purchase intention. The importance of value segmentation cannot be overlooked by hoteliers. Travelers will continue to expect hotels to provide more value-for-money services and facilities and they are expected to shift their purchasing decision to an economic value basis.     

Using segmentation to compete in the age of the sharing economy: Testing a core-periphery framework

Airbnb has emerged as a credible competitive threat to the hotel industry. Consequently, hotel brands are having to rethink the experiences they provide to customer in an increasingly competitive environment. Despite these trends in the industry, experience-related research that examines and informs these developments remains under-represented in the hospitality and tourism literature. The present study offers a systematic approach to examine the potential differences in experiential consumption in the accommodations industry. Using a multiple-group analysis approach, it examines the moderating effects of individual characteristics and situational factors on the nature and dynamics of experiential consumption in the accommodations industry. The findings of the study culminate in the core-periphery framework of the hospitality consumption experience that can provide a relevant theoretical lens for future research into the different sectors and types of experiences within the hospitality and tourism industry. The study also outlines important implications for the hotel industry’s strategic experience design initiatives, from the standpoint of product development, the segmentation, targeting and positioning (STP) process, and marketing communications.     

Hospitality Cobranding: An Experimental Investigation of Enhancement and Erosion in Consumer-Based Brand Equity

ABSTRACT

Cobranding is suggested as a competitive strategy for the hospitality industry due to its potential benefits. Although implied, the potential impact of cobranding on consumer-based brand equity of partner brands and the composite brand has not been empirically investigated in the hospitality industry context. Therefore, a quasi-experimental study design with a structured survey was applied to general tourist population in Hong Kong to identify the potential influence of cobranding on the brand equity of individual brands as well as the hotel–restaurant composite brand versus the hotel–retail composite brand. Surprisingly, results revealed brand equity erosion rather than brand equity enhancement for even the presumably fit hotel, restaurant, and retail brands. Theoretical and managerial implications and suggestions for future research are discussed.     

The Impact of Consumer Involvement on the Consumers' Perception of Service Quality-Focusing on the Korean Hotel Industry

Abstract

The consumers' evaluations of service quality may be impacted by their assessments of the actual service received, the service provider, and/or the service facility. Within a service marketing context, the more an individual believes the service is personally relevant, the more involved the individual may become with various aspects of the service. This study integrates these two important variables in consumer behavior, which are consumer involvement and service quality. This paper investigates the effect of consumer involvement on the consumer's perceived service quality by focusing on the Korean hotel industry.     

Effects of Picture Presentations on Customers' Behavioral Intentions on the Web

SUMMARY

As the Web is becoming a major communication channel to bridge hotels and customers, great marketing efforts have been made to attract new customers and repeat business. A wide variety of studies have been conducted to identify factors that could affect customers' purchase behavior on the Web. Little research, however, has been documented that assessed the effects different pictures presented on the Web had on customers' online purchase behavior. Based on the content analyses with 203 existing hotel Websites, this study examined the potential effects of Website format, Website contents, and Website realism on customers' behavioral intentions. Results indicate that the content and realism of picture presentations are important predictors of customers' attitudes toward the Website. The attitudes appear to be a strong predictor of behavioral intentions on the Web. Suggestions and implications are included for the lodging industry and future research.     

Globalisation,airline alliances and tourism: A strategic perspective

The forces driving globalisation have impelled the majority of international airlines to enter into strategic alliance arrangements. Strategic alliances have enabled airlines to work around structural problems of the industry, particularly foreign ownership restrictions, national regulatory constraints and constraints on building up networks. The history of alliances, to date, shows them to be changing and unstable. Alliances will probably continue to be a feature of the international airline industry, but the forms and membership of alliances may well change further in the future. Further deregulation and liberalisation of the industry could mean that alliances become less important in the future, if deregulation allows mergers and acquisitions of airlines across national borders. Two scenarios of possible futures are presented, with an assessment of their impacts on tourism, as an aid to strategic analysis.     

Relationship Management

Abstract

Total quality management (TQM) is an organizational culture that emphasizes internal integration at the same time that it demands innovation in the marketplace. TQM effectively integrates the internal and external activities of an organization. In business to business marketing, the role of relationship management is to bridge internal quality management with external quality management. In a hotel, the convention services manager must be sure that the promises made by external marketing activities can be fulfilled through interactive marketing activities. Internal marketing processes which enable employees to fulfill marketing promises are an equally important part of the service quality equation.     

Marketing strategies for hotels

The aims of this article are to investigate the application of hotel marketing strategies by independent vs group (chain) hotels and to investigate comparatively the performance — along a number of criteria — of these two types of hotel organisation.The study presents in detail the main stages in developing a hotel marketing strategy and a taxonomy of the 9 major strategies available for hotels, discussing their features, characteristics and when appropriate for application.Any meaningful analysis of hotel marketing should be based on the marketing strategies employed by the individual establishment and group/chain organisation. No doubt effective selling of hotels' products and services depends to a large extent on the marketing strategies selected. As the market for hotels' services is dynamic and accompanied by rapid changes in the environment due to uncertain economic conditions, increased competition, advancement in technology, and inflation, increased attention will be given by hotels in the future to the selection of an appropriate marketing strategy.     

Value Creation

Abstract

The most essential theory of loyalty marketing is that a small increase in loyal customers can bring a significant increase in profitability to a business. Recently, businesses in various industries have turned single-brand loyalty programs into corporate-wide loyalty programs across different brands. The purpose of the study was to examine the effect of strategic alliance on customer loyalty in the hotel industry. Results of the study indicate that there is a positive relationship between strategic alliance and customer loyalty, and that value-creation from strategic alliance is only one element in the decision-making process of loyal customers. Managerial implications, limitations, and recommendations for future research were discussed.     

The Senior Travel Market

Abstract

Demographically, the senior market segment is the fastest growing travel segment in the United States. While existing as one of the most influential groups of leisure travelers, they are often forgotten in the world of hotel marketing, advertising, and overall design of the hotel itself. This study examined the “Do's & Don'ts” of the senior market, as well as the importance seniors hold on service attributes, hotel layout, and building design. Findings are derived from literature reviews and observations. In addition, personal interviews were conducted to compare what hotel employees thought was an important need to the seniors in contrast to what the senior travelers thought was. Recommendations were made to assist hotel companies in attracting the senior market ranging from lifestyle advertising to building guestrooms with particular amenities.     

Impact of an Airline Merger on Customer Satisfaction

ABSTRACT

Given the radical changes in the airline industry where many airlines struggle to sustain their financial viability, consolidation appears to be one viable option for airlines. While airlines guarantee that consolidation will bring better customer service, the traveling public fears the effects of mergers that result from less competition. Using the AA/TWA merger, this article presents the results of an empirical study that provides both the airline public and airlines with insight into the real impact of an airline merger on airline service and customer satisfaction.     

Skills and Competencies Needed for the Hong Kong Hotel Industry

ABSTRACT

The tourism industry is one of the main sources of income to Hong Kong. If qualified employees provide better service, Hong Kong can potentially attract even more visitors. The training of new recruits and existing staff is therefore vital, but views on the value and the type of training vary amongst the stakeholders. This study of the views of hotel human resources managers revealed that they considered that people who were interested in developing their career in the hospitality industry must be prepared to start at the bottom. The hotel human resources managers strongly believe that employees must have a positive service-mind and commitment to the industry with a certain degree of working experience. Employers perceived these were important components to success for every member of staff, rather than having a good educational background. Such qualifications will raise the status of the hotel industry in general and enhance the status of the service providers as professionals.     

Economies of Scale Could Be Key to Profitability

Abstract

The growth of China's tourism hotel industry has been accompanied by declining profitability. Using cross-province tourism hotels data of 2000, this study attempts to empirically quantify the impact of operation scale on hotel performance. Controlling for the effect of overcapacity, this study found a significant and positive association between operation scale and profitability. The findings suggest that to improve performance, the Chinese tourism hotel industry needs not only to reduce the overcapacity but also reverse the property-downsizing trend and pursue economies of scale.