J W Marriott report on & 7Ps in marketing

2/14/2018

SERVICES MARKETING AUDIT INCLUDING GAP ANALYSIS OF AN ORGANIZATION ORGANIZATION A Report Presented to Professor Yatish Joshi (FLAME School of Business)

In Partial Fulfilment of the Requirement for the Marketing Research Course in the Master of Business Administration Program

Vikrant jaiswalBy: Shreya Jhamb Vikrant Jaiswal

Drasti Doshi

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Contents INTRODUCTION....................................................................................................................................... ....................................................................................................................................... 2 MARRIOTT IN INDIA ................................................................................................................................ ................................................................................................................................ 3 7 P’s OF SERVICE MARKETING of MARRIOTT ............................................................... .......................................................................................... ........................... 4

SERVICE QUALITY IN J W MARRIOTT................................................................. ....................................................................................................... ...................................... 6 SERVICE QUALITY ATTRIBUTES OF J W MARRIOTT PUNE ....................................................................... ....................................................................... 8 ROOM RATES ................................................................... ........................................................................................................................................ ..................................................................... 13 RESTAURANT RATES ............................................................................... .............................................................................................................................. ............................................... 13 REVIEWS OF O F J W MARRIOT, PUNE ........................................................................................................ ........................................................................................................ 14 BEST PRACTICES .................................................................................................................................... .................................................................................................................................... 16 SUGGESTIONS/ RECOMMENDATIONS .................................................................................................. .................................................................................................. 17 REFERENCES .................................................................... .......................................................................................................................................... ......................................................................18









INTRODUCTION

Excellent customer service is most important in the hospitality industry. It’s the first point of contact, between for example, where the hotel guest and the rep resentative of the hotel usually interact. The first opportunity mainly is to establish that standards to impress and create a lasting great impression. Hotels and restaurants and everything in between in this type of industry, is a hospitality service provider that has a job to sustain customer happiness and satisfaction. Great businesses like this put their customers on forefront of their operation that will generally lead to steady flow of loyal customers to keep the business afloat. Hotel which chose the application of quality concept as a key factor of success should experience the growth in the satisfaction of costumers (guests), i.e. successfully position of brand in the market and thus gaining larger profit. However trying to reach the high level of the quality of hotel services, managers often face issues when it comes to adequately measuring service quality. Firstly hotel managers do not know what their guest consider an important aspect while evaluating the quality of hotel products and very often it is difficult to have reliable methods for determining the expectations and perception of hotel guests when the service quality is concerned. The problem of measuring the quality appeared already at the beginning of the development of a scientific thought about the quality itself. As a solution to this problem, many suggest different methods for measurement of service quality and customer satisfaction. 19 Different models of the quality are analyzed based on the following elements: 

Identification of factors which influence the service quality.

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Adaptability to different forms and types of services.

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Flexibility concerning permanent changes in the perception of customers.

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Suggestions for the improvement when it comes to service quality.

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Diagnosing the needs for training and education of the employees/staff.

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Flexibility concerning modifications depending on the changes in the surrounding conditions.

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Emphasis placed upon the improvement of quality aimed at all levels of organisation (vertically up and vertically down).

The report covers J W Marriott, Pune 7p’s of service marketing. It even covers the Gap analysis and SERVQUAL model with reference to Hotel industry and relating it with the service quality offerings of Marriott Pune. Along, with this the reviews received from guests









MARRIOTT IN INDIA

The world's largest hotel chain begun its operations in the country in 1997 with a project in Goa and now currently it has 86 hotels and 15 brands spanning 35 cities. The tourism growth has been very strong due to the measures introduced by government which has made the Indian destinations more people-friendly resulting in increase in service sector. "One of the pillars of growth, as projected by the government is tour ism.” The hotel chain nets around 75 per cent of its business from domestic consumers. Recently, Marriott launched an initiative called as 'Shaadi by Marriott' a wedding focused campaign. "It's a big signal that consumer her is the consumer of today and the future, ” It is looking at different kinds of weddings including culture at various overseas, seven-star, fivestar, beach wedding, destination wedding and others. Marriott as a company is targeting all the customers, be it leisure or groups. Most importantly they have turned their focus towards domestic consumers. With its 15 brands they play at various price points and don't get into the market from pricing perspective. Their main philosophy is to try to win their customers." "Marriott International International has 86 hotels in the country and they are the biggest hotel company in the world after Taj Group. “Spirit to serve the customers” is the core value and core philosophy of Marriott is that “if

you take care of your employees who forms an important part of internal service provider, they will take care of the customer and then the customer will keep coming back”.

"When you take good care of your people, they'll take pride in their work. And when they take pride in their work, they'll take good care of the customers and if you take good care of the customers, the customers will come back and back and back. And the business will take care of itself. “– J Willard Marriott, Chairman and CEO, Marriott

Through an ever-evolving portfolio of innovative and award-winning brands created to answer precise market needs, Marriott continues to lead the way in customer satisfaction, and owner and franchisee preference (Marriott International, 2011). All levels of Marriott are the proven systems, support and services that provide the means for individual brands and hotels to operate efficiently and effectively, helping each to deliver the quality experience those guests worldwide expect. This, alongside a tradition of attentive guest care, exceptional amenities, in-depth local knowledge and loyalty programs) Marriott feels, “empowers the company’s global brands to continually set industry standards around the world” (Marriott International, 2011).









7 P’s OF SERVICE MARKETING of MARRIOTT

The traditional marketing mix does not cover the customer interface. We therefore need to extend the marketing mix by adding three Ps associated with service delivery- process, physical environment and people. Collectively, these seven elements are referred to as the “7 Ps” of services marketing. As service offering can be easily replicated, promotion becomes

crucial in differentiating a service offering in the minds of the consumer. The essential elements of product, promotion, price and place remain in service the service marketing mix, but three additional elements People, Physical evidence and Process are included to the 7Ps mix. Marketing Mix of Marriott basically recognises a brand via performing analysis of the brand/company which covers the most prominent 4Ps i.e. Product, Price, Place, Promotion and explains the Marriott marketing strategy. Since service delivery cannot be stored or transported, the location of the service product is of utmost importance. Product: J W Marriott is one of the most recognized and prominent luxury hotel chains in the worl d. The core

product of is in the form of hospitality services. It disassociates its services mainly in the 3 parts: core, actual and augmented which consists of numerous services like Hotels, Hospitability management, Resorts, lodgings etc. Among all of these the maximum revenue is generated from their core product i .e. hotels which ultimately depends on how to satisfy customers’ needs and

wants. Among the hotel as a product it is further subcategorized into different brands such as The Ritz-Carlton, St. Regis, JW Marriott, BULGARI, Le MERIDIEN, Westin, Renaissance hotels, Gaylord hotels, Courtyard hotels, four points, spring hill suites etc. Marriott almost follows the same footsteps for its entire brand but they usually follow the same concept when it comes to their location, environment as per the convenience of customers which made it so successful all across the globe.

Price:

In terms of pricing management, J W Marriott’s hotels price differs with different hotels, customers and location. Marriott resolve the prices of their hotels by keeping the value with quality framework satisfied and also the pricing strategy is maintained in such a way that without losing their brand name. Hotels prices also differ on the customer demand and also to maintain the cost utilised in promotion and maintenance. Marriott products price also follows a competitive strategy that their price also it varies based Deluxe, Executive and Suites. Place:









because they consider it as an advantage to attract customers especially business class, whereas travellers prefer to do night stay in hotels near highways and airports, tourist people prefer location near the Main area or central market where they can have easy accessibility and feasibility when it comes to explore the place. Promotion:

Marriott entirely targets on the digital promotion of their products. They have build their website in such a way that they precisely focus on the services which they exhibits in all their product offerings in a very good detailed manner and also follows precooking of the rooms in hotel through various online booking websites like MakeMyTrip, Expedia, Trivago. The various promotional mediums are through different advertisement, videos and campaigns on different social media sites. Their campaign on ‘Shaadi by Marriott' got them a huge success in India by promoting the bride’s big day in association with Marriott. It also

puts efforts by maintain customer loyalty through various promotional schemes and also by attracting new customers with the marketing and advertising of new products. People:

Marriott distinguishes the importance of serving its guests, which is the main people strategy of the brand. They train their staff in minute details and give them authority in case of any service failure. They focus on training the staff consistently so that they are highly motivated to deliver the outstanding services which outstands the expectations of customers. Marriott is awarded awarded “Best place to work” in 2016 and it receives more reviews

related to its staff then its services. Process:

Marriott has numerous business processes in place to certify quality customer services, efficient bookings and a comfortable stay for f or customers. Marriott works in a transparent manner where it guest can easily operate and use on line booking websites to book the room. It follows check-in from 10.00 and check-out on 12.00 pm policy. Physical Evidence:

J W Marriott hotel buildings and resorts are the biggest physical evidence for the company. Services are primarily intangible but Marriott tries to provide beautiful lavish ambience and interior to their customers a lavish ambience with a lasting physical experience which itself attracts customers easily and makes them to return back and retain that experience. The other physical objects of the brand Marriott include towels, booklets, pens, soaps etc. Hence this gives an insight in the marketing mix of Marriott.











SERVICE QUALITY IN J W MARRIOTT

The SERVQUAL model is the most popular model in which customer satisfaction is measured in almost all services industry. The model is primitively based on the client’s evaluation of

service quality, where comparison of the expected and the obtained value considering the gaps in the process is studied and identified. Service quality is referred as consumer’s perceptions about the relative superiority and inferiority of service providers and their services. The foundation of SERVQUAL scale is the gap model. Parsuraman, Zeithaml, and Berry formulated a service quality model that specifically highlights the main requirements for delivering high service quality. The model identifies five gaps that cause unsuccessful delivery. The GAP model of quality and quality dimension presented in SERVQUAL model received the greatest advantage and the best critics. The main advantage of the model is that it actually enables the management to identify the gaps in service quality on vario us levels, as well as in its external orientation.









Marriott believes in delivering services keeping in mind the speed and time time of delivery and for this their front line staff are been trained in such a way that they can easily interpret information about the guest expectations. Gap2: Gap between management perception and service quality specification:

Represents variation between perceptions of the management about the expectations of customers and specifications of service quality, i.e. management of a company realized the actual customer’s expectations but has no t developed a system of measures which will

enable the delivery of a desired d esired quality. An example here would be that hotel administrators may tell the staff to respond to a request ‘fast’ but many not specify ‘how fast’.

Marriott Staffs are been trained to plan the procedures and properly follow the service development process for which they go rigorous training procedure. Gap 3: Gap between service quality specification and service delivery:

Represent difference between specification of service quality and attributes of the process of service production and delivery i.e. difference between what managers have defined as an actual standard of service quality and the way how a service was actually delivered. This gap may arise owing to the service personnel. p ersonnel. The reasons are mainly related to poor training, incapability or unwillingness to meet the set service standard. Proper customer education and training along with systematic human resource policies of recruitment, role ambiguity is the hallmark of Marriott staff. Gap 4: Gap between service delivery and external communication:

Represents variation between delivered service and what customer was actually told about the service itself. The hotel printed brochure may have clean and furnished rooms, but in reality it may be poorly maintained. This discrepancy may lead to customer dissatisfaction. The physical evidence with eye-catching interior promises that Marriott commitment to the comfort of their guests is matched by our dedication with the environmental re sponsibility.









SERVICE QUALITY ATTRIBUTES OF J W MARRIOTT PUNE

Measuring service quality levels to minimise the gaps between customer perceptions and expectations and many authors have used different attributes for measuring this purpose. One study was carried out by Akbaba (2006) wherein service quality was measured on the basis of 25 attributes and the results revealed that for business travellers convenience is the most important factor. The attributes used within the study are relevant to the focus of our study and also are similar to ones developed by Parsuraman (1985), therefore these attributes would used to analyse the differences in customer perceptions and expectations about the service quality levels. Service quality and customer satisfaction result in “Repurchase Intentions” and “Brand Loyalty.”

The SERVQUAL model for evaluating service quality, mainly comprises of five dimensions i.e. reliability, tangibility, assurance, empathy and responsiveness and on the basis of these dimension service quality is referred as a function of differences between expectations and performance. The SERVQUAL dimensions are widely popular and are used across almost all hotel industries for evaluating service quality levels. In all, service quality is inherent aspect of every service businesses and enables organizations to drive customer loyalty, employee satisfaction and commitment, appeal new customers, word of mouth, enhanced corporate image, reduced costs. Harrington and Akehurst (1996) in their study found a significant relationship between service quality and business performance and suggest that it is not only important to measure service quality but also to develop and promote services.

RELIABILITY LIKELINESS TO ASSURANCE

VISIT SATISFACTION









Tangibility: 

Modern and comfortable furniture near the check-in reception and various points for the convenience of guest.

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Appealing eye catching interior and exterior hotel decor.

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Cleanliness and comfort of rooms.

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Hotel between Pune Airport and Mumbai Pune Expressway, making it an ideal destination for business travellers and vacationing families here in India.

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Availability of Pool, fitness centres with Gym/workout Room, Restaurant, Bar/Lounge, Spa, and Outdoor Pool.

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Availability of non- smoking areas in restaurants.

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Other hotel Amenities include dry cleaning, meeting rooms, laundry services, Concierge, Banquet room, multilingual staff, conference facilities, babysitting.

Reliability: 

Staff performing services right the first time where complimentary drink is giving on arrival of guest.

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Performing and delivery the services on time as they are been promised.

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Experienced, well-trained and knowledgeable staff.

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Accuracy of food orders inside the room or in their restaurants, Billing and accuracy in all the information about hotel services.

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Airport transportation is also included in their Hotel Amenities.

Responsiveness: 

Keeping the guests informed about when the service will be performed.

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Quick check-in and check-out service

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Prompt breakfast service which is inclusive in booking of the room.

Empathy: 

Giving special attention to customer right from their stay.









ENTRANCE AND ROOMS IN J W MARRIOTT, PUNE

Lobby

Executive Room











RESTAURANTS IN J W MARRIOTT, PUNE

Alto Vino









FITNESS IN J W MARRIOTT, PUNE

Fitness center









ROOM RATES









REVIEWS OF J W MARRIOT, PUNE

Overall ratings for J W Marriott in various online booking websites:

No. of Reviews Overall Rating Cleanliness Comfort Facilities and Hotel Condition Service and Staff *Nm- Not Mentioned

TripAdvisor

Expedia

Booking.com

1936 4.5/5.00 Nm Nm Nm

201 4.7/5.00 4.8/5.00 4.8/5.00 4.8/5.00

413 9.0/10.00 9.2/10.00 9.3/10.00 9.2/10.00

Nm

4.7/5.00

9.0/10.00

Positive Reviews on TripAdvisor









Negative Reviews on TripAdvisor











BEST PRACTICES

J W Marriott rewards:

Marriott’s award -winning hotel loyalty program, Marriott Rewards, provides the foundation for the company’s customer relationship strategy. Marriott Rewards provides actionable

information that allows the company to determine customer value, precisely target marketing efforts and messages, and capture and use critical customer knowledge to predict future travel behaviour and business potential. Marriott Rewards has the largest base of active frequent business travellers of any lodging industry loyalty program, providing a costeffective, revenue-building mechanism to reach the most profitable customers Architecture and Construction Marriott’s Architecture and Construction Division (A&C): (A&C) :

It is a global resource dedicated to optimizing products and assuring brand integrity. Leveraging industry experience and diverse knowledge of the business, A&C delivers high-









SUGGESTIONS/ RECOMMENDATIONS

When it comes to service quality attributes Marriott stands out with its competitors like Hyatt, Hilton, Sheraton , and Holiday Inn being some of them. Customers associate quality with Marriott. They expect it and Managers always tries to see that customers received that quality in every area by not compromising on the company's high standards. J W Marriott tries to provide world class facility with its top class rooms, great service, swimming pools, with the complete business environment and also excellent health clubs. It depends a lot on the hotel and travel booking industry for its hotel room bookings. This includes online sites like TripAdvisor, expedia.com, trivago.com, booking.com booking.com being some of them. They try to read reviews and suggestions from guest and make necessary changes if needed. If any customer is dissatisfied they provide them with some loyalty program which they can access or use in their next stay. With the increased in standard of living of the people around the world, coming of ecommerce, e commerce, it has significantly taken advantage of both the situation to its favour.









REFERENCES

https://www.tripadvisor.in/ShowUserReviews-g297654-d1859177-r535549688JW_Marriott_Hotel_Pune-Pune_Pune_District_M JW_Marriott_Hotel_Pu ne-Pune_Pune_District_Maharashtra.html aharashtra.html http://www.soeagra.com/ijert/ijertjune2012/11.pdf https://www.ijsr.net/archive/v3i3/MDIwMTMxMjIw.pdf http://www.dgt.uns.ac.rs/turizam/arhiva/vol_1501_blesic.pdf http://www.marriott.com/Multimedia/PDF/Hotel_Development/PowerofMar http://www.marriott.com /Multimedia/PDF/Hotel_Development/PowerofMarriott_brochur riott_brochur eEMEA.pdf //economictimes.indiatimes.com/articleshow/59954467.cms?utm_ //economictimes.indiatim es.com/articleshow/59954467.cms?utm_source=contentofint source=contentofinteres eres t&utm_medium=text&utm_campaign=cppst

J W Marriott report on & 7Ps in marketing

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