Prajkta BBA Marketing Project
Prajkta BBA Marketing Project
Prajkta BBA Marketing Project
PROJECT REPORT
ON
(HOSPITALITY SECTOR)
AT
THE RITZ CARLTON PUNE
SUBMITTED BY
SUBMITTED TO
PROJECT IN MARKETING
BBA
I hereby declare that the project work entitled “To Study Customer Relationship
Development for hotel industry (Hospitality Sector)” submitted to the Pune University, is a
record of an original work done by me under the guidance of Mr. Kanish Kaul Restaurant
Manager at The Ritz Carlton Pune,
PLACE: PUNE
DATE:
ACKNOWLEDGEMENT
I owe a great many thanks to a great many people who helped and supported me during the
completion of project. My deep sense of gratitude to Mr. Kanish Kaul Restaurant Manager for
support and guidance. Thanks, and appreciation to the helpful people at The Ritz Carlton PUNE, for
their support. I would like to take this opportunity as privilege to express my deep sense of
gratitude to Professor Ms. Ujjwala Soni for their continuous encouragement, invaluable guidance
and help for completing the present research work. They have been a source of inspiration to
means I am indebted to them for initiating me in the field of research.
Thank You.
Place: Pune
Date: 26-02-2023
INDEX
1. INTRODUCTION 01
2. REVIEW OF LITERATURE 03
3. INTRODUCTION OF COMPANY 04
4. RESEARCH METHODOLOGY 07
BIBLIOGRAPHY 16
APENDICES 17
CHAPTER 1
INTRODUCTION
1.Marketing
2.Roles of Marketing
Price
This is the only revenue-generating element of the mix – all other marketing activities
represent a cost. So it’s important to get the price right to not only cover costs but generate
profit! Before setting prices, we need to research information on what customers are willing
to pay and gain an understanding of the demand for that product/service in the market. As
price is also a strong indication of the positioning in the market against competitors (low
prices=value brand), prices need to be set with competitors in mind too.
Place
This is the ‘place’ where customers make a purchase. This might be in a physical store,
through an app or via a website. Some organizations have the physical space, or online
presence to take their product/service straight to the customer, whereas others have to
work with intermediaries or ‘middlemen’ with the locations, storage and/or sales expertise
to help with this distribution. The decisions to be made in this element of the marketing mix
concern which intermediaries (if any) will be involved in the distribution chain and also the
logistics behind getting the product/service to the end customer, including storage and
transportation.
Promotion
So, we have a fantastic product, at an appealing price, available in all the right places, but
how do customers know this? Promotion in our marketing mix is about communicating
messages to customers, whichever stage they are in the buyer journey, to generate
awareness, interest, desire or action.
People
A company’s people are at the forefront when interacting with customers, taking and
processing their enquiries, orders and complaints in person, through online chat, on social
media, or via the call centre. They interact with customers throughout their journey and
become the ‘face’ of the organisation for the customer. Their knowledge of the company’s
products and services and how to use them, their ability to access relevant information and
their everyday approach and attitude needs to be optimised. People can be inconsistent but
with the right training, empowerment and motivation by a company, they can also
represent an opportunity to differentiate an offering in a crowded market and to build
valuable relationships with customers.
Physical Evidence
Physical evidence provides tangible cues of the quality of experience that a company is
offering. It can be particularly useful when a customer has not bought from the organisation
before and needs some reassurance, or is expected to pay for a service before it is
delivered. For a restaurant, physical evidence could be in the form of the surroundings, staff
uniform, menus and online reviews to indicate the experience that could be expected. For
an agency, the website itself holds valuable physical evidence – from testimonials to case
studies, as well as the contracts that companies are given to represent the services they can
expect to be delivered.
CHAPTER 2
REVIEW OF LITERATURE
Review of literature:
Review of literature is a written overview of major writings and other sources on a selected topic.
This provides a critical review of miscellaneous studies, researches, books, scholarly articles, blogs
and all other sources related with social media marketing strategies.
Studies have shown that hotels that prioritize CRD strategies, such as personalized
communication and loyalty programs, have higher levels of guest satisfaction and loyalty,
resulting in increased revenue and profitability.
One study found that hotels that implemented a CRM system experienced a 30% increase in
revenue per guest and a 23% increase in customer retention rates.
Another study found that personalized marketing and communication strategies, such as
sending targeted emails and customized offers, led to a 29% increase in revenue per
available room (RevPAR) for hotels.
Hotels that prioritize CRD also benefit from positive word-of-mouth marketing, as loyal
guests are more likely to recommend the hotel to others and leave positive reviews.
However, the success of CRD strategies in the hotel industry also depends on effective
implementation and ongoing monitoring and analysis of guest feedback and data.
CHAPTER 3
INTRODUCTION OF TOPIC
Introduction of Customer Relationship Development
Customer Relationship Development (CRD) refers to the process of building and maintaining
long-term relationships with customers. It is a strategy that businesses use to create a
strong bond with their customers to increase loyalty, retention, and revenue. The main goal
of CRD is to create a positive customer experience at every stage of the customer journey,
from the initial contact to post-purchase support. This involves understanding customers'
needs, preferences, and expectations, and tailoring products, services, and communication
to meet those needs.
CRD can be implemented through various techniques such as personalized marketing,
customer feedback and surveys, loyalty programs, and customer support. By building strong
relationships with customers, businesses can improve their reputation, reduce churn, and
increase revenue through repeat business and word-of-mouth marketing. In today's highly
competitive marketplace, businesses that prioritize CRD have a significant advantage over
their competitors. They are more likely to retain customers, attract new ones, and drive
long-term success.
In the hotel industry, Customer Relationship Development (CRD) plays a crucial role in
establishing a loyal customer base and driving repeat business. Hotels that prioritize CRD are
better equipped to provide personalized experiences, anticipate guest needs, and build
lasting relationships with their customers.
Continuous Improvement: Hotels can use feedback from guests to identify areas for
improvement and make necessary changes to enhance the guest experience.
The literature review has shown that hotels that prioritize CRD strategies, such as personalized
communication, loyalty programs, and effective CRM systems, have higher levels of guest
satisfaction, loyalty, and retention, leading to increased revenue and profitability.
Furthermore, the literature review highlights the importance of ongoing monitoring and analysis of
guest feedback and data to improve CRD strategies continually.
In summary, the literature review supports the importance of CRD in the hotel industry as a crucial
strategy for driving business growth and building lasting relationships with guests. By implementing
effective CRD strategies, hotels can create a competitive advantage and sustainable source of
revenue.
CHAPTER 3
Introduction of company:
Company profile: The Ritz Carlton Pune is a five-star luxury hotel located in the city of
Pune, Maharashtra, India. It is part of the Marriott International group and is known for its
exceptional service, sophisticated decor, and top-notch amenities.
The hotel offers 198 spacious and elegantly furnished guest rooms and suites, featuring
luxurious bedding, marble bathrooms, high-speed internet, flat-screen TVs, and 24-hour
room service. The rooms also offer stunning views of the city skyline or the hotel's lush
gardens.
The dining options at The Ritz Carlton Pune include The Three Kitchens and Bar, serving a
range of international cuisine, Ukiyo, a contemporary Japanese restaurant, Gourmet Deli,
offering freshly baked pastries and gourmet coffee, and Aasmana, an open-air rooftop
lounge with panoramic views of the city.
The hotel boasts a range of amenities, including a state-of-the-art fitness center, an outdoor
swimming pool, a full-service spa, and a business center with meeting and conference
facilities.
The Ritz Carlton Pune is conveniently located in the heart of Pune, providing easy access to
the city's commercial and cultural districts, as well as its popular tourist attractions. The
hotel's prime location makes it an ideal choice for both business and leisure travelers
seeking a luxurious and unforgettable stay.
Overall, The Ritz Carlton Pune offers a world-class experience with its exceptional service,
luxurious accommodations, and unparalleled amenities.
Types of business: Hospitality Business, Food and Beverage Business, Spa and
Wellness Business, Spa and Wellness Business.
Spa and Wellness: The hotel's full-service spa offers a range of treatments and
therapies designed to help guests relax, rejuvenate, and unwind during their stay.
Fitness Center: The hotel has a state-of-the-art fitness center with modern
equipment.
Business Services: The hotel provides conference and meeting facilities for business
travelers, including state-of-the-art audiovisual equipment, catering, and event
planning services.
Wedding and Event Planning: The hotel offers comprehensive event planning
services for weddings and other special occasions.
Overall, The Ritz Carlton Pune offers a wide range of services to cater to the needs of its
guests, including luxurious accommodations, fine dining, spa and wellness services, fitness
facilities, and comprehensive business and event planning services.
Customers:
The Ritz Carlton Pune primarily caters to customers seeking a luxury hospitality experience in Pune,
India. The hotel attracts a wide range of customers, including:
Business Travelers: The hotel provides convenient access to the city's commercial and
business districts, making it an ideal choice for business travelers seeking luxury
accommodations and comprehensive business services.
Leisure Travelers: The hotel's prime location, exceptional service, and luxurious amenities
make it a popular choice for leisure travelers seeking a high-end hospitality experience.
Event and Wedding Planners: The hotel's comprehensive event planning services and state-
of-the-art facilities make it a popular choice for event and wedding planners seeking a luxury
venue in Pune.
High-End Diners: The hotel's range of dining options, including multiple restaurants serving
international and local cuisines, and a rooftop lounge with panoramic views, attract high-end
diners seeking an upscale dining experience.
Overall, The Ritz Carlton Pune caters to customers seeking a luxury hospitality experience in Pune,
India, including business travelers, leisure travelers, event and wedding planners, and high-end diners .
CHAPTER 4
Research Methodology:
1. Selection of Area:
The Study is conducted in the Yerawada, in the Pune district. The present study was conducted by
working in the Hospitality Industry. The Ritz Carlton Pune falls in the Pune district situated in
Maharashtra a state with a population. Maharashtra is the second-most populous state in India and
the second-most populous country subdivision globally.
Overall, the study of guest relationship development in the hotel industry is significant as it can help to
improve the guest experience, increase hotel revenue and profitability, and contribute to academic knowledge
in the field of hospitality and tourism management.
3. Statement of Problem:
The hotel industry is highly competitive, and hotels are constantly seeking ways to improve guest
satisfaction and loyalty. One key factor that can contribute to guest satisfaction and loyalty is the
development of strong guest relationships. However, there is limited research on the factors that
contribute to guest relationship development in the hotel industry. This gap in knowledge presents a
problem for hotel managers and staff who are seeking to improve guest satisfaction and loyalty.
Therefore, the problem that this study seeks to address is the lack of understanding of the factors
that contribute to guest relationship development in the hotel industry and their impact on guest
satisfaction and loyalty. Specifically, the study aims to identify the key factors that contribute to
guest relationship development, and how these factors impact guest satisfaction and loyalty in the
hotel industry.
Some specific challenges that brand face in social media management include:
Customer relationship development is crucial for brands, as it helps to build customer loyalty and
increase customer lifetime value. However, there are several specific challenges that brands face in
customer relationship development:
Trust: Building and maintaining trust is essential for effective customer relationship
development, but it can be difficult for brands to establish and maintain trust in an age of
increasing privacy concerns and data breaches.
Timing: Brands must strike a balance between being present and engaging with customers
without overwhelming them with too much communication.
Retention: Retaining customers can be more challenging than acquiring them, and brands must
work to develop strategies to keep customers engaged and loyal over time.
Competition: In a crowded marketplace, brands must compete with other brands to win
customers' attention and loyalty, and this can make it difficult to stand out and build meaningful
relationships.
The main objective of this study is to identify the key factors that contribute to guest relationship
development in the hotel industry and their impact on guest satisfaction and loyalty.
To achieve this objective, the study will pursue the following specific objectives:
To review the existing literature on guest relationship development, guest satisfaction, and
loyalty in the hotel industry.
To identify the key factors that contribute to guest relationship development in the hotel
industry, such as service quality, communication, personalization, and trust.
To explore how these factors impact guest satisfaction and loyalty, and to identify any
potential relationships between these variables.
To provide recommendations for hotel managers and staff on how to improve guest
relationship development, based on the findings of the study.
To contribute to the academic knowledge base on hospitality and tourism management,
particularly in the areas of guest satisfaction, loyalty, and relationship marketing.
Overall, the objective of this study is to provide insights and recommendations for hotel managers
and staff on how to improve guest relationship development, and to contribute to the academic
understanding of the factors that contribute to guest satisfaction and loyalty in the hotel industry.
5. Statement of hypothesis:
Based on the research problem and objectives outlined above, the following hypotheses are
proposed for this study:
H1: Service quality positively impacts guest relationship development in the hotel industry.
H2: Communication positively impacts guest relationship development in the hotel industry.
H3: Personalization positively impacts guest relationship development in the hotel industry.
H4: Trust positively impacts guest relationship development in the hotel industry.
H5: Guest relationship development positively impacts guest satisfaction in the hotel
industry.
H6: Guest satisfaction positively impacts guest loyalty in the hotel industry.
These hypotheses suggest that there are positive relationships between service quality,
communication, personalization, trust, guest relationship development, guest satisfaction, and guest
loyalty in the hotel industry. The study will aim to test these hypotheses through data analysis and
exploration of the research question.
6. Limitation of Study:
Sample size: The study may be limited by the sample size, as data may only be collected
from a small number of hotels or guests, which may not be representative of the entire
industry or population.
Self-reporting bias: The study relies on self-reported data from guests and hotel staff, which
may be subject to bias and may not accurately reflect their true attitudes and behaviors.
Generalizability: The findings of this study may only be applicable to the specific context and
time period in which it was conducted, and may not be generalizable to other settings or
time periods.
Data collection: The study may face limitations in data collection, such as difficulty in
reaching certain groups of guests or obtaining access to certain hotels.
Language barriers: The study may face limitations due to language barriers, as some guests
or hotel staff may not be fluent in the language of the survey or interview.
External factors: External factors, such as changes in the economy or political environment,
may impact the study findings and limit the ability to draw accurate conclusions.
Methodological limitations: The study may face limitations in the methodology used, such as
potential confounding variables or limitations in the statistical analysis techniques used.
Overall, while the study aims to provide valuable insights into guest relationship development in the
hotel industry, these limitations should be taken into consideration when interpreting the findings
and applying them to real-world contexts.
The hotel industry collects guest data from various sources to develop guest relationships. Some
common sources of data collection in guest relationship development in the hotel industry include:
Reservation systems: Hotel reservation systems store guest information such as name,
contact details, and booking preferences. This data can be used to personalize the guest's
stay and provide a better experience.
Loyalty programs: Many hotels have loyalty programs that allow guests to earn points or
rewards for their stays. These programs collect data on guest preferences, spending habits,
and travel patterns that can be used to create personalized offers and promotions.
Social media: Hotels can collect guest data from social media platforms like Facebook,
Twitter, and Instagram. This data can be used to track guest feedback, monitor online
reviews, and engage with guests in real-time.
Guest feedback: Hotels collect guest feedback through surveys, comment cards, and online
reviews. This data provides insights into guest preferences, expectations, and areas for
improvement.
Guest history: Hotels can track a guest's history with the hotel, including previous stays,
requests, and complaints. This information can be used to create personalized experiences
and resolve any issues.
Website analytics: Hotels can track website analytics to gather data on how guests interact
with their website. This data can be used to improve the user experience, target marketing
efforts, and increase bookings.
Overall, the hotel industry collects guest data from multiple sources to develop guest relationships
and create personalized experiences.
CHAPTER 5
Analysis and Interpretation:
Collect and clean data: Once the objectives are defined, hotels need to collect and clean
the data. This involves identifying relevant data sources and removing any duplicates, errors,
or inconsistencies in the data.
Analyze data: With the data cleaned, hotels can then use various data analysis techniques
to identify patterns and insights. This could involve running statistical analyses or using
machine learning algorithms to identify trends and patterns.
Interpret findings: Once the data analysis is complete, hotels need to interpret the
findings. This involves identifying key insights and trends, and understanding what they
mean in the context of guest relationship development.
Take action: The final step is to take action based on the insights gained from the data
analysis. Hotels can use these insights to personalize guest experiences, improve service
quality, and develop targeted marketing strategies.
By analyzing and interpreting guest data, hotels can improve their guest relationship development
strategies. For example, hotels can use guest data to create personalized offers and promotions,
anticipate guest needs, and proactively address any issues. Additionally, hotels can use guest
feedback data to make operational improvements and train staff to provide better guest service.
Overall, analyzing and interpreting guest data is crucial for developing strong guest relationships and
improving the overall guest experience in the hotel industry.
CHAPTER 6
Limitation of Business/ Topic:
There are several limitations to consider when it comes to the topic of guest
relationship development in the hotel industry:
Data privacy and security concerns: Collecting and analyzing guest data can raise privacy
concerns, and hotels need to ensure that they comply with regulations around data
protection.
Limited resources: Not all hotels have the resources to invest in data collection and
analysis tools, which can limit their ability to develop effective guest relationship strategies.
Changing guest preferences: Guest preferences can change rapidly, making it challenging
for hotels to keep up with evolving trends and deliver personalized experiences.
Competition: The hotel industry is highly competitive, and hotels need to continuously
innovate and improve their guest relationship strategies to stay ahead of the competition.
External factors: Hotels are also affected by external factors such as economic conditions,
natural disasters, and pandemics, which can impact guest behaviour and spending patterns.
Technology limitations: While technology can help hotels collect and anale guest data, it
also has its limitations. For example, technology may not be able to capture all guest
preferences or interactions, limiting the insights gained from data analysis.
Overall, while guest relationship development is a critical aspect of the hotel industry, there are
several limitations and challenges that hotels need to overcome to develop effective strategies and
stay competitive.
CHAPTER 7
Observation:
Hotels can use various methods to observe and gather information about guest
behavior and preferences, such as:
Guest feedback: Hotels can collect guest feedback through surveys, comment cards, or
online review platforms. This feedback can provide insights into guest preferences, areas for
improvement, and overall satisfaction levels.
Guest interactions: Hotels can observe guest interactions with staff and analyze their
behavior to identify patterns and preferences. For example, if a guest frequently orders
room service, the hotel may infer that the guest values convenience and prioritize this in
their guest relationship strategy.
Booking data: Hotels can analyze booking data to identify trends and patterns in guest
behavior, such as the time of year when guests tend to book, or the types of rooms or
services that are most popular.
Social media: Hotels can monitor social media channels to gather information about guest
preferences and feedback. This can include analyzing hashtags or mentions related to the
hotel or the industry, and engaging with guests through social media platforms.
By observing guest behavior and preferences, hotels can develop more effective guest relationship
strategies and improve the overall guest experience. However, it is important to balance these
observations with respect for guest privacy and data protection regulations.
Conclusion:
In conclusion, guest relationship development is a critical aspect of the hotel industry, and hotels can
use various methods to collect and analyze data to gain insights into guest preferences, behaviors,
and needs. By developing effective guest relationship strategies based on these insights, hotels can
improve guest experiences, increase guest loyalty, and drive business outcomes.
However, there are limitations and challenges to consider when it comes to guest relationship
development, such as data privacy concerns, limited resources, changing guest preferences,
competition, and external factors. Hotels need to be aware of these limitations and work to
overcome them to develop effective guest relationship strategies.
Overall, through effective data collection, analysis, and interpretation, hotels can stay competitive
and provide a superior guest experience that meets and exceeds guest expectations.
Suggestions:
Here are some suggestions for improving guest relationship development in the hotel
industry:
Train staff: Training staff to provide exceptional guest service and anticipating guest
needs can improve the overall guest experience and foster stronger guest
relationships.
Stay ahead of trends: Staying up-to-date with evolving guest preferences and
industry trends can help hotels develop more effective guest relationship strategies
and stay competitive.
By implementing these suggestions, hotels can improve guest relationship development and
provide exceptional guest experiences that drive business success.
CHAPTER 8
Bibliography:
Kim, H., Mattila, A. S., & Kim, W. G. (2017). The effects of hotel employees'
emotional labor on job satisfaction and turnover intentions. International Journal of
Hospitality Management, 66, 79-87.
Lee, H., Law, R., & Murphy, J. (2011). Examining the effect of website quality on
relationship quality and loyalty in the hotel industry. International Journal of
Hospitality Management, 30(3), 577-590.
Sparks, B. A., & Butcher, K. (2001). The effects of satisfaction and loyalty on profits
and growth: Products versus services. Australian Journal of Hospitality Management,
8(2), 1-12.
Wang, D., & Zhang, H. (2012). Managing customer relationships in the social media
era: Introducing the social CRM house. International Journal of Hospitality
Management, 31(3), 819-827.
These references provide insights into the importance of guest relationship development, as
well as strategies and approaches that hotels can use to develop effective guest relationship
strategies.
CHAPTER 9
Appendices (Questionnaire):
a) Thank you for taking the time to complete this questionnaire about customer relationship
development in the hotel industry. The purpose of this questionnaire is to gain insights into
guests' opinions and preferences related to guest relationship development in hotels.
b) All responses will be kept confidential and used only for research purposes.
2. Demographic Information:
3. Hotel Experience:
Thank you for taking the time to complete this questionnaire. Your input is valuable and will help us
better understand guests' opinions and preferences related to guest relationship development in the