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RADISSON BLU MARINA
CONNAUGHT PLACE
Presented by:Shashank Jaiswal
Justification of the Topic
 Measuring revenue generation is the part of
ascertaining profit.
 Analyzing core business function from where profit
generation is high or low should be monitored.
 This study will help in taking corrective measures
against low profit generation area.
 This study will lead us in forecasting sales.
 Role of Revenue management.
OBJECTIVE OF Study
 To analyze the role of Revenue Management in hotel
 My primary objective was to study different sources
from where hotel industries generate revenue.
 To analyze the Financial growth and valuation Of
Hotel .
 My focus lies on the analysis part which identifies
these specific areas and to justify the significance of
their contribution.
 To learn on the software BOSS ,MICROS and OPERA.
Research Methodology
 The methodology used for research study is analytical and
subjective in nature which requires controlling & managing
the inventory relevant data and compiling databases to
achieve complete understanding of Sales process in hotel.
 Data types:
 Primary source: Data collected from Radisson Blu’s
software “Opera, Boss, Micros” and through individual
interactions with the employees and guest.
 Secondary source: From the company’s website
(www.radissonblu.com) and www.carlsonrezidor.com.
Major Findings
 Most of the profits are arises from room occupancy in
Radisson Blu.
 The next source for revenue generates from F&B.
 Mostly customers are price sensitive.
 Offers do attract Corporate for booking.
 People from corporate are package sensitive, there is
high chance of customer switching.
Membership also impacts profit generation.
Tourism has now become a significant industry in India. As per the World Travel
& Tourism Council, the tourism industry in India is likely to generate US $121.4 bn
of economic activity by 2016, and the hospitality sector has the potential to earn US
$24 bn in foreign exchange by 2016.
The occupancy ratio was around 57%, up 1% from last year.
The average room rate decreased over the last one year by about 3.4% due to supply
pressures and the general slowdown in the economy.
The long term outlook for the Indian hospitality business continues to be positive.
Government of India increased spend on advertising campaigns (including for the
campaigns 'Incredible India' and 'Atithi Devo Bhava' - Visitors are like God) to
reinforce the rich variety of tourism in India. The new Indian government has stated
that tourism will be a key focus sector.
As per Cushman & Wakefield (C&W) reports, hospitality sector of India is
expecting to witness better infrastructure growth. Approximately 4,304 new hotel
rooms are expected to open in 2016, of which 36% for Mid-scale, 13% in the upscale
segment, 17% is expected for Budget segment, 13% in Upper Upscale, and 20% in
the Luxury segment
ABOUT RADISSON BLU
 Radisson Blu, formerly Radisson SAS, is an upper
upscale brand for Radisson Hotels primarily outside
the United States, including those in Europe, Africa,
and Asia.
 These are operated by Carlson Rezidor Hotel Group.
S.W.O.T Analysis
STRENGTHS
•International Brand of High Repute
•Locational Edge
•Widely well Accepted F&B options
•Spa of International Standard
•Day Use / Wash & Change Offer
•GRAB And RUN
WEAKNESS
•Limited Room Inventory
•Limited Superior Category &Twin
Bed Rooms
•Shortage of staff
•Location
OPPORTUNITIES
•Better Branding
•The Growth In Market
•Focus On Travel & corporate
Segment
THREATS
•Upcoming hotels within the airport
and nearby locations
• Low Rates offered by high inventory
and newly opened Hotels
The Revenue Generation Divisions of Hotel
 CATEGORIES OF ROOM
 SUPERIOR ROOMS
 DELUXE ROOMS
 BUSINESS CLASS
 EXECUTIVE SUITE
 DELUXE SUITE
 PRESIDENTIAL SUITE
 PHYSICALLY
CHALLENGED
Single occupancy Double occupancy
6500 7500
7000 8000
8000 9000
10000 10000
11000 11000
12000 12000
 FIFTY 9 (Restaurant)
 Breakfast buffet (07:00
AM to 10:30 AM)
Rates Starts From Rs. 699
Plus Tax
 Lunch (12:30 PM to 03:00
PM)
Rates Starts From Rs. 999
Plus Tax
 The Great Kebab
factory
(TGKF)
 The Connaught Bar
 The SPA
 Revenue Generation
from Taxes
particul
ars
Lux tax Service
tax
D vat
tax
Room 15% 8.7% 12.5%
Spa 3% 14.5% ----
Food ---- 12.5% 12.5%
Liquor ---- 5.8% 20%
laundar
y
15% 14.5% ----
REVENUE STRUCTURE
OVERALL HOTEL
INDUSTRY
RADISSON BLU
55.2 52.2 51.3 50.9
38.3 41.2 41.9 42.6
6.5 6.6 6.9 6.6
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2012-13 2013-14 2014-15 2015-16
OTHERS
F&B
ROOM
73 72.41 70.92 68.47
22.31 23.38 27.89 29.99
4.69 4.21 1.19 1.54
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2012-13 2013-14 2014-15 2015-16
OTHERS
F&B
ROOM
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
AVERAGE RADISSON DELHI
AVERAGE
61.30%
89%
63.20%
OCCUPANCY
AVERAGE RATE
AVERAGE RATE
4200
4400
4600
4800
5000
5200
5400
5600
5800
AVERAGE RADISSON
4789
5655
AVERAGE RATE
AVERAGE RATE
 AVERAGE RATE =
Rooms Revenue / Rooms
Occupied
Revenue mix of Hotel
0
10
20
30
40
50
60
70
ROOM F&B OTHERS
50.9
42.6
6.6
68.47
29.99
1.54
AVERAGE
RADISSON
Comparison With Same Inventory (Room) Hotel
Occupancy % Average Rate
65.60%
89%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
50-150 ROOMRADISSON (90)ROOM
OCCUPANCY %
OCCUPANCY %
5686
5640
5610
5620
5630
5640
5650
5660
5670
5680
5690
RADISSON AVERAGE
AVERAGE RATE
AVERAGE RATE
Comparison With Independent Hotels
5686
5640
5610
5620
5630
5640
5650
5660
5670
5680
5690
RADISSON AVERAGE
AVERAGE RATE
AVERAGE RATE
Recommendation
 Use of creative advertisement to attract more and more
customers and to create awareness among them.
 Radisson BLU should regularly conduct market research
and surveys for knowing customers perception and for
facing threat from competitors.
 Radisson BLU should play to make its promotional
activities more effectively.
 Take the feedback of the guest.
 Radisson BLU open the door of SPA for outsider guest for
making more revenue.
 Upgrading software .
 Trends in industry .
 Skill development .
 Required manpower.
Conclusion
 The study has been done on Revenue generation process of Radisson BLU Marina
Hotel Connaught Place. Revenue management is not only based on maximizing
revenue either. Besides the fact that hotels benefit from implementing Revenue
Management, it also has advantage for the customers. Indeed, they make use of the
various offers. Customers for whom room or a service is very important are happy to
get this seat or service, in spite of the price. Radisson Blu Marina is high income
generate on rooms. It’s measure source of generating revenue is from room booking.
On the basis of analysis this study further conclude that the I find the result is 60%
revenue generate by hotel rooms. Hotel rooms are divided in different categories
Superior, Deluxe, Business Class, and three Suites also in Radisson Blu Marina
Executive Suite, Deluxe Suite and Last is Presidential Suite. Even has generating
good revenue on a daily bases help of Food and Beverage. .Radisson Blu Marina
has 3 outlets generating 40-45% of revenue of the hotel. Customer more attract on
the hotel brand. Customer first thing see in the hotel outlet. Revenue management
manage all thing of the hotel and change the room price in daily bases for generating
revenue. Hotels room price depend on BAR rate.
Reference list
 Marketing Management of Philip kotler Second edition
 www.carlsonhotels.com
 www.radissonblumarina.com
 www.radissonblu.com
 Radisson Blu Marina Hotel Sales
 www.wikepedia.com
 Government of India Ministry of Tourism H&R Division
Document
 www.abbott.co.in
THANK YOU……..

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shashank sip final

  • 1. RADISSON BLU MARINA CONNAUGHT PLACE Presented by:Shashank Jaiswal
  • 2. Justification of the Topic  Measuring revenue generation is the part of ascertaining profit.  Analyzing core business function from where profit generation is high or low should be monitored.  This study will help in taking corrective measures against low profit generation area.  This study will lead us in forecasting sales.  Role of Revenue management.
  • 3. OBJECTIVE OF Study  To analyze the role of Revenue Management in hotel  My primary objective was to study different sources from where hotel industries generate revenue.  To analyze the Financial growth and valuation Of Hotel .  My focus lies on the analysis part which identifies these specific areas and to justify the significance of their contribution.  To learn on the software BOSS ,MICROS and OPERA.
  • 4. Research Methodology  The methodology used for research study is analytical and subjective in nature which requires controlling & managing the inventory relevant data and compiling databases to achieve complete understanding of Sales process in hotel.  Data types:  Primary source: Data collected from Radisson Blu’s software “Opera, Boss, Micros” and through individual interactions with the employees and guest.  Secondary source: From the company’s website (www.radissonblu.com) and www.carlsonrezidor.com.
  • 5. Major Findings  Most of the profits are arises from room occupancy in Radisson Blu.  The next source for revenue generates from F&B.  Mostly customers are price sensitive.  Offers do attract Corporate for booking.  People from corporate are package sensitive, there is high chance of customer switching. Membership also impacts profit generation.
  • 6. Tourism has now become a significant industry in India. As per the World Travel & Tourism Council, the tourism industry in India is likely to generate US $121.4 bn of economic activity by 2016, and the hospitality sector has the potential to earn US $24 bn in foreign exchange by 2016. The occupancy ratio was around 57%, up 1% from last year. The average room rate decreased over the last one year by about 3.4% due to supply pressures and the general slowdown in the economy. The long term outlook for the Indian hospitality business continues to be positive. Government of India increased spend on advertising campaigns (including for the campaigns 'Incredible India' and 'Atithi Devo Bhava' - Visitors are like God) to reinforce the rich variety of tourism in India. The new Indian government has stated that tourism will be a key focus sector. As per Cushman & Wakefield (C&W) reports, hospitality sector of India is expecting to witness better infrastructure growth. Approximately 4,304 new hotel rooms are expected to open in 2016, of which 36% for Mid-scale, 13% in the upscale segment, 17% is expected for Budget segment, 13% in Upper Upscale, and 20% in the Luxury segment
  • 7. ABOUT RADISSON BLU  Radisson Blu, formerly Radisson SAS, is an upper upscale brand for Radisson Hotels primarily outside the United States, including those in Europe, Africa, and Asia.  These are operated by Carlson Rezidor Hotel Group.
  • 8. S.W.O.T Analysis STRENGTHS •International Brand of High Repute •Locational Edge •Widely well Accepted F&B options •Spa of International Standard •Day Use / Wash & Change Offer •GRAB And RUN WEAKNESS •Limited Room Inventory •Limited Superior Category &Twin Bed Rooms •Shortage of staff •Location OPPORTUNITIES •Better Branding •The Growth In Market •Focus On Travel & corporate Segment THREATS •Upcoming hotels within the airport and nearby locations • Low Rates offered by high inventory and newly opened Hotels
  • 9. The Revenue Generation Divisions of Hotel  CATEGORIES OF ROOM  SUPERIOR ROOMS  DELUXE ROOMS  BUSINESS CLASS  EXECUTIVE SUITE  DELUXE SUITE  PRESIDENTIAL SUITE  PHYSICALLY CHALLENGED Single occupancy Double occupancy 6500 7500 7000 8000 8000 9000 10000 10000 11000 11000 12000 12000
  • 10.  FIFTY 9 (Restaurant)  Breakfast buffet (07:00 AM to 10:30 AM) Rates Starts From Rs. 699 Plus Tax  Lunch (12:30 PM to 03:00 PM) Rates Starts From Rs. 999 Plus Tax  The Great Kebab factory (TGKF)  The Connaught Bar  The SPA  Revenue Generation from Taxes particul ars Lux tax Service tax D vat tax Room 15% 8.7% 12.5% Spa 3% 14.5% ---- Food ---- 12.5% 12.5% Liquor ---- 5.8% 20% laundar y 15% 14.5% ----
  • 11. REVENUE STRUCTURE OVERALL HOTEL INDUSTRY RADISSON BLU 55.2 52.2 51.3 50.9 38.3 41.2 41.9 42.6 6.5 6.6 6.9 6.6 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2012-13 2013-14 2014-15 2015-16 OTHERS F&B ROOM 73 72.41 70.92 68.47 22.31 23.38 27.89 29.99 4.69 4.21 1.19 1.54 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2012-13 2013-14 2014-15 2015-16 OTHERS F&B ROOM
  • 13. AVERAGE RATE AVERAGE RATE 4200 4400 4600 4800 5000 5200 5400 5600 5800 AVERAGE RADISSON 4789 5655 AVERAGE RATE AVERAGE RATE  AVERAGE RATE = Rooms Revenue / Rooms Occupied
  • 14. Revenue mix of Hotel 0 10 20 30 40 50 60 70 ROOM F&B OTHERS 50.9 42.6 6.6 68.47 29.99 1.54 AVERAGE RADISSON
  • 15. Comparison With Same Inventory (Room) Hotel Occupancy % Average Rate 65.60% 89% 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% 90.00% 100.00% 50-150 ROOMRADISSON (90)ROOM OCCUPANCY % OCCUPANCY % 5686 5640 5610 5620 5630 5640 5650 5660 5670 5680 5690 RADISSON AVERAGE AVERAGE RATE AVERAGE RATE
  • 16. Comparison With Independent Hotels 5686 5640 5610 5620 5630 5640 5650 5660 5670 5680 5690 RADISSON AVERAGE AVERAGE RATE AVERAGE RATE
  • 17. Recommendation  Use of creative advertisement to attract more and more customers and to create awareness among them.  Radisson BLU should regularly conduct market research and surveys for knowing customers perception and for facing threat from competitors.  Radisson BLU should play to make its promotional activities more effectively.  Take the feedback of the guest.  Radisson BLU open the door of SPA for outsider guest for making more revenue.  Upgrading software .  Trends in industry .  Skill development .  Required manpower.
  • 18. Conclusion  The study has been done on Revenue generation process of Radisson BLU Marina Hotel Connaught Place. Revenue management is not only based on maximizing revenue either. Besides the fact that hotels benefit from implementing Revenue Management, it also has advantage for the customers. Indeed, they make use of the various offers. Customers for whom room or a service is very important are happy to get this seat or service, in spite of the price. Radisson Blu Marina is high income generate on rooms. It’s measure source of generating revenue is from room booking. On the basis of analysis this study further conclude that the I find the result is 60% revenue generate by hotel rooms. Hotel rooms are divided in different categories Superior, Deluxe, Business Class, and three Suites also in Radisson Blu Marina Executive Suite, Deluxe Suite and Last is Presidential Suite. Even has generating good revenue on a daily bases help of Food and Beverage. .Radisson Blu Marina has 3 outlets generating 40-45% of revenue of the hotel. Customer more attract on the hotel brand. Customer first thing see in the hotel outlet. Revenue management manage all thing of the hotel and change the room price in daily bases for generating revenue. Hotels room price depend on BAR rate.
  • 19. Reference list  Marketing Management of Philip kotler Second edition  www.carlsonhotels.com  www.radissonblumarina.com  www.radissonblu.com  Radisson Blu Marina Hotel Sales  www.wikepedia.com  Government of India Ministry of Tourism H&R Division Document  www.abbott.co.in