Table of Contents
1. Introduction
1.1. Research Topic
1.2. Secondary Data
1.3. Research Interest
1.4. Structure
2 Research Question
3. Research Methodology.
3.1 Research Process
3.2 Sampling site and sampling approach.
3.3 Research location
3.4 Limitation.
4. Literature Review
4.1 Introduction.
4.2 Changing pattern in travelling within a hotel industry
4.3 Segmentation and Brand.
4.4 Patterns of New Markets
4.5 Ownership and management.
5. The Gantt chart
6. Data Collection.
6.1 Primary data analysis
6.2 Secondary data analysis.
7. Recommendation
8. References.
1.0 INTRODUCTION
1.1 Research Topic
This study will be focusing on the hotel industry by looking at the change in travelling pattern within the corporate guest structure; it’s not like before where only white colour used to travel but mow even blue colour and workers travel. The study will, therefore, try to understand the implications of these travelling changes in the hotel industry in terms of its services delivery structures and their business strategies.
1.2 Secondary data
Changes in the travelling patterns around the globe arising from the rise in the number of travellers with diverse needs increasing have been the game changer in the hospitality/hotel industry around the globe. There are far reaching implications associated with these changes according to the available secondary data on the trends in the hotel industry. The changes have brought about shortages in skilled and qualified employees in the hotel industry to deal with the needs of customers from different segments (Deegan and Horan, 2003). In the past hotels owners had been concentrating on training their employees on serving white people who were the main travellers around the world. Studies indicate that the new trending in the traveling industry means that the hospitality industry have shortages in the number of skilled as well as qualified employees who can serve the needs of new customer segments in the hospitality sector (Deegan and Horan, 2003).In order to accommodate the new changes, the hotel owners have to invest heavily in education and training of its staffs for them to gain the required skills (Lewis, 2006). As a result the cost of training and development of employees in the hotel industry has been on the risk in recent years.
Additionally, in order to address the growing needs of its customers the hotel industry has to invest heavily in the IT sector as a result, so as to be able to improve efficiency in serving corporate guests, given that their numbers have increased in the recent years(WTO, 2001).The available secondary data only focus on the challenges and merits associated with the new travelling patterns on the hotel industry, failing to identify the actual implications of the changes on the hotel industry business strategies. Thus, this research will seek to fill this research gap by identifying the implications of changes in the travelli ...
Table of Contents1. Introduction1.1. Research Topic1.2.docx
1. Table of Contents
1. Introduction
1.1. Research Topic
1.2. Secondary Data
1.3. Research Interest
1.4. Structure
2 Research Question
3. Research Methodology.
3.1 Research Process
3.2 Sampling site and sampling approach.
3.3 Research location
3.4 Limitation.
4. Literature Review
4.1 Introduction.
4.2 Changing pattern in travelling within a hotel industry
4.3 Segmentation and Brand.
4.4 Patterns of New Markets
4.5 Ownership and management.
5. The Gantt chart
6. Data Collection.
6.1 Primary data analysis
6.2 Secondary data analysis.
7. Recommendation
8. References.
1.0 INTRODUCTION
1.1 Research Topic
This study will be focusing on the hotel industry by
looking at the change in travelling pattern within the corporate
guest structure; it’s not like before where only white colour
2. used to travel but mow even blue colour and workers travel. The
study will, therefore, try to understand the implications of these
travelling changes in the hotel industry in terms of its services
delivery structures and their business strategies.
1.2 Secondary data
Changes in the travelling patterns around the globe arising
from the rise in the number of travellers with diverse needs
increasing have been the game changer in the hospitality/hotel
industry around the globe. There are far reaching implications
associated with these changes according to the available
secondary data on the trends in the hotel industry. The changes
have brought about shortages in skilled and qualified employees
in the hotel industry to deal with the needs of customers from
different segments (Deegan and Horan, 2003). In the past hotels
owners had been concentrating on training their employees on
serving white people who were the main travellers around the
world. Studies indicate that the new trending in the traveling
industry means that the hospitality industry have shortages in
the number of skilled as well as qualified employees who can
serve the needs of new customer segments in the hospitality
sector (Deegan and Horan, 2003).In order to accommodate the
new changes, the hotel owners have to invest heavily in
education and training of its staffs for them to gain the required
skills (Lewis, 2006). As a result the cost of training and
development of employees in the hotel industry has been on the
risk in recent years.
Additionally, in order to address the growing needs of its
customers the hotel industry has to invest heavily in the IT
sector as a result, so as to be able to improve efficiency in
serving corporate guests, given that their numbers have
increased in the recent years(WTO, 2001).The available
secondary data only focus on the challenges and merits
associated with the new travelling patterns on the hotel
industry, failing to identify the actual implications of the
changes on the hotel industry business strategies. Thus, this
research will seek to fill this research gap by identifying the
3. implications of changes in the travelling patterns on the hotel
industry business strategies.
1.3 Research Interest
In conducting this research I am interested in
understanding the implications that the new travelling pattern
has on the way the hotel industry serves its corporate guest as
well as the changes that have been introduced in the industry
service structure. My main interest is to understand the long
term implications that the changes have on the business
strategies that have been employed traditionally by the hotel
sector in the past.
1.4 Structure
The research will be organized in a number of sections.
The first section will be the introduction part, which will
introduce the topic of the study in terms of its background, the
importance of the research and its implications. The second part
will be a literature review part, which will contain a review of
the already existing data in relation to the topic of the study.
The section will be aimed at giving an overview of what other
scholars say about the topic of this study. The third section will
be methodology, and it will contain detailed information on the
research methods such as data collection techniques, sampling
methods, design and sample size used in the study for purposes
of collecting data. The other section will be the finding and
discussion section, which will provide information on the
findings of the study and its implications in relation to the
existing literature. The final section of the paper will be the
study’s conclusion, and it will provide a summary of the study
findings and it future implications to the hostel industry
management.
2.0 RESEARCH QUESTIONS
In order to complete this study a number of questions will
be used to guide the researcher in the data collection process.
Therefore, the following will be the main research questions;
(i) How has your hotel service structure been affected by new
travelling trends?
4. (ii) What changes have you introduced in your business in
relation to the new trends?
(iii) What are the opportunities presented to your hospital
business by the new travelling trends?
(iv) What are some of the challenges that your hospitality
business is facing as it tries to adapt to the new trends in the
travelling industry?
(v) In which way have the newest trends impacted your hotel
business strategies?
3.0 RESEARCH METHODOLOGY
3.1 Research Process
The research process will start by designing the interview
questions will be used in collecting data. Once the interview
questions have been formulated, the next step will be choosing
the study sample size from which the participants will be drawn
to participate in this study. Once the sample size has been
chosen the next step will be collecting data through
interviewing the study participants (Ketchen, 2007). After the
data collection process is completed the next stage will be to
analyse the data in order to come up with the inferences
(Kothari, 2004). The final step will be writing the final research
report and presenting it to my professor.
3.2 Sampling Site and Sample Approach
The study sampling site will be in Melbourne whereby a
sample of ten guest hotels that deals with corporate guests will
be sampled. The ten hotels will be expected to provide who
participants each (one employee and one customer), who will be
interviewed based on the research questions (Kothari, 2004).
On the other hand, the random sampling approach will be used
in this study. The study participants (hotels) sampled randomly
to avoid biases which may affect the quality, accuracy and
validity of the data that will be collected during the research
process (Jha, 2008).
3.3 Research Location
The study, research location will be Melbourne which is
one of the cities around the globe that has many hospitality
5. businesses. The data will be collected from ten hospitality
businesses that deal with travelling guests. The purpose of using
Melbourne City as the study location is due to the high number
of hotels found here, making it easier and less expensive to
conduct the study, given that the data collection approach that
will be used in the study will be time consuming requiring for a
research location that is not big.
Literature Riveiew
Introduction
This section of the paper intends to provide an overview of
the existing literature on the implication of changes in
travelling patterns on the hotel industry corporate guest
structure business strategies. The literature review will be
informed by the fact that it is not like before where only white
collar used to travel but even blue collar and workers travel
which is impacting the hotel industry. They were mainly built
along the routes of travelers awaiting the tired guests who
would come to look for somewhere they would stay in. Today,
there is a wide range means of finding accommodation and
various reasons for them to travel. Some travel for office work
where as some travel for labor work which is compelling to
bring change with in a hotel industry however the hotel industry
has been able to overcome the challenges that arise as a result
of today recreation. There has been an emergence of new
6. patterns and four of them are examined in this chapter and they
include; market, product, ownership and management
(Frechling, 2001).
Changing pattern in travelling within a hotel industry
The changing pattern of individual and group travelers
around the globe has impacted the hotel industry largely .This
has resulted in the introduction of new products in the market.
There is interlacing of the four patterns. An invariable change
in one pattern has impacts on the other. There may be creation
of new patterns of management by new financing methods. For
example, the emergence of new products as a result of being
driven by new market arising from changes in the travelling
patterns. One size does not fit all. The respected person charge
of booking a accommodation began stretching the brand
depending on the person travelling in accordance to their
position which was later termed as brand segmentation and this
is one means through which a dip in the curve of demand is
offset(Weaver & Lawton, 2002).
Segmentation and Brand
The new travel patterns have brought the concept of
branding and segmentation within the hotel industry as it tries
to cater for the new groups of corporate guests.
Segmentation: In order for the upscale hotels to counter the
occupancies that were falling in 1990s, they moved vertically
downwards to come into operations that were midscale. There
was introduction of Fairfield Inns by Marriott for example,
there was counter by the midscale by having movements in both
up and down dimensions (Weaver & Lawton, 2002). It has tried
to enhance its quality by ensuring that it improves its property
and a breakfast that is inclusive. There is a differentiation of
Sleep Inn and the Comfort Inn by the Choice Hotels. Choice
Hotel is also raising its services and rates at the Comfort Suites.
Increasing the richness, there is a thought by most people that
confusion Choice has added the Cambria Suites to its group thus
designating it as a chain of lifestyle.
7. There is movement of other chains that are made
differently. Holiday Inns Hotel introduced a new brand that is
known as Crown Plaza. This brand interfered with the identity
of Holiday Inns Hotels. Motor Inns are no longer a roadside as
it competes with the urban likes of Starwood’s Sheraton and
Hilton Doubletree brands. Recently, Hyatt which is a strong
urban chain on conventions and groups of business has acquired
Arneri Suites which is a chain that is leisure oriented. Resort
companies were brought by other shifts into commercial
businesses and vice versa. There was a spilling of segmentation
from differentiation of the product into other aspects that are
adopted by the industry (Kimes, 2010).
Brand: There are issues that have been created by
segmentations, and solutions to the challenges that exist. New
product identification has been accompanied by too many
designs that have recently erupted. There are also new logos and
new promotions that have also accompanied identification of
these new products. A long time has been taken by hoteliers to
realize that collection of a group of hotels that are alike or even
those that are not alike will not in any way create a brand
automatically. The main thing that defines a brand is
recognition of the customers, logo and the name. In order for
the hotel chains to create new brands, they have poured dollars
of advertising. The question is the number of customers that are
well aware that Renaissance Hotels are actually Marriotts, or
Starwood has children such as Le Meridien and Westin. Most
large chains are comprised of several brands like Starwood,
Marriott and Quest. Some of these brands have either been
purchased or created. If the parent company is in a position to
sell the differences that exist between its multiple brands and
the value associated with every brand, it will be in a position to
reap a lot of benefits(de Seve (2008).The company will also be
able to retain the umbrella of the broader brand.
Patterns of New Markets
There is a rich choice of selection that customers have
today for a bottle of water, options of investment and
8. accommodations in lodgings. Here, there is an application of the
old conundrum of which first came between the egg and the
chicken. The question is whether all the new products that have
been discussed are able to meet the response to demand from
the customers, or whether the changes in these products have
brought about their demand (Frechling, 2001). The main
problem here is the way that customers are to be enticed.
Changes in Hotels Marketing Strategies: Changes in the
traveling patterns around the globe have impacted heavily on
the marketing strategies employed the business in the hotel as
well as the hospitality industry. The two main focus of the new
marketing strategies in the hotel industry has been in the pattern
of individual guests and group travelers (Deegan and Horan,
2003).
Marketing to individuals: There must be acceptance of all the
people that comes to the hotels in good conditions by Law.
What is in practice is that hotels cater for particular market
niches. Different guests have different things that are appealing
to them (Deegan and Horan, 2003). Therefore, the kind of
guests that are present in a hotel gives us more about the hotel.
The profile of the Guest: There are several profiles that are
there for the guests in that they wear different hats in
circumstances that vary. There is a change in personas
depending on the reasons for their visit. At times they are
business persons and at other times members of the family.
They may also be transient travelers, members of a tour group
or convention goers. They may either be unsophisticated or
urbane or foreigners or nationalists.
Hoteliers are in a position to manage different segments in
the markets by knowing their guests in circumstances that are
different thus developing the guest profiles. Gathering of the
profiles is done by many agencies other than just hotels. Some
of the agencies that are involved in profile gathering include
trade associations, tourist bureaus and convention. The focus of
the typical study is about demographics such as age, gender,
job, residence, job, the number of people that are in the party
9. and education (Jagels& Ralston, 2007). This should be
conducted with a good deal of accuracy. The starting point of
serving the guests is to first know them. There are patterns that
are less measurable than demographics. Those involved in
development of guest profile should understand and
differentiate between buyers who are both upstairs and
downstairs. Upstairs buyers are in need of workspaces that are
comfortable and sleeping rooms that are large (Sedat, 2007).
Because of above reason, they had to sacrifice theme
restaurants, intimate bars and other accoutrements of lifestyle.
On the other hand, downstairs buyers are the ones who use
concierge and they want the public space above all the other
things (Getz, 2008). They are also more extroverted. In general,
women are upstairs buyers whereas men are downstairs buyers.
The profiles of guests with an extended stay have something
else that they show. They try to recreate a home by ensuring
that they have brought personal items like photos, pillows and
animals that are stuffed. Guests that are long-term rearrange the
furniture. There is a sparing use of kitchenette by both groups.
Marketing to the Group:Even without giving their historic role
of accommodation that is transient, modern hotels become sites
of destination due to increase in the number of travelers.
Hoteliers sell dozens of rooms at a time. Tourists and leisure
visitors have resulted in increased levels of disposable income
thus bringing the cost down to attract large numbers of citizens
across the globe (WTO, 2001). In order to increase efficiency in
manufacturing, hotels have adopted the technique of mass
production. The tour package has also enabled the hoteliers to
handle the mass movement of the leisure guests.
Ownership and Management
Management: the new travelling patterns have increased the
number customers requiring hotel businesses to invest heavily
in the area of employee training and development an area of
management that was neglected earlier. The training of
employees on how to use IT and serve different categories of
guest within the hotel industry has been the main focus of
10. management (Lewis, 2006). The management focus in this area
has been aimed at dealing with the shortage of employees who
have the skills and expertise needed to deal with various
categories of guests in the hospitality as well as the hotel
industry (Lewis, 2006). Additionally, in order to improve the
management performance, the new travelling pattern has had a
direct impact on the management structure within the hotel
industry, whereby most of the hotel businesses employ their
managers on contract basis.
Ownership: within the hotel industry changes in the traveling
patters from time to time have increased turmoil and churning
activities, as the hotel owners try to deal with business
challenges arising from the new patterns(Weaver & Lawton,
2002). This has lead to consolidated ownership of hotel
businesses within an aim of ensuring that hotels are large
enough to deal with upcoming challenges due to new traveling
patterns.
The Gantt Chart
ACTIVITIES
Week 1
Week 2
Week 3
Week 4
Week 5
Week 6
Week 7
Week 8
Week 9
Research Proposal
·
11. Collection of data and review of literature on the topic of the
research
·
Interview layout
·
Preparing for the interview
·
Interview conduction
13. ·
Project submission
·
Data collection:
Primary Data collection:
Explanation: In figure 1, out of 37 survey received 54% of the
feedback stated that they have stayed with Quest Caroline
Springs in the past. That means the percentage of return guest is
more than the first comer. This reflects the opportunity and
patterns of the corporate traveller.
Explanation: In figure 2, out of 37 guest 41% guest travelled for
work purpose, where was 27% of the surveyed guest travel for
leisure purpose for example weekend, wedding, etc. Similarly
8% of the people stayed with us because they had to attend the
14. conference where as 3% and 5% relocation and visiting friend s
and family respectively. However 16% of the survey people
choose other which means they are not willing to disclose the
reason for their travel.
Explanation: In figure 3, it reflects how individual heard about
Quest Caroline Springs. As we all know there are different
means of getting information therefore it was a challenging part
for me to put as minimum option as possible but also in other
had to ensure get as accurate result as possible. Out of 37
people 22% of surveyed people choose corporate traveller
management where was 19% of surveyed people choose Quest
website. Similarly 14% of people choose other and 16% and
13% choose travel agents and previous stay respectively
.Whereas no one choose word of mouth, print add and passing
by. Above result shows the middle level corporate traveller are
increasing because those are the people who use corporate
traveller management to make a booking to get better rates
whereas high level managers get their secretary to book direct
with is falls under other.
15. Explanation: As above figure it is self-explanatory. The
question that was asked “How did you make reservation” so out
of 37 guest 4 people choose travel agent, 8 people choose
corporate traveller management, 7 people choose direct at Quest
location and 7 actually booked from Quest website which is
usually a foreign traveller and 2 Quest customer contact centre,
which means they did not call property directly but the head
office and as expected 9 people choose online as a tool for
booking and 0 others.
Explanation: In figure 5 – 9 I have asked the question related to
the room as I feel it is one of the element business people
deicide weather or not to stay in the hotel. And this question
was more focused to get feedback so that we can make changes
accordingly to ensure we accommodate corporate guest taste
and we are changing along with them to ensure they are happy.
This will ensure we have repeated guest and corporate guest
which is the aim of the business.
16. Explanation: In figure we tried to get feedback about the
internet service as this is essential for business travel. This
would help us to identify weather or not this is one of the
factors that influence corporate traveller. Out of 37 feedback
54% did not use , which means the high level corporate traveller
are decreasing because leisure guest or lower level corporate
traveller do not tend to sue much internet for work purpose.
Likewise 16% guest agreed the internet service is satisfactory
where was 14% and 15% were not satisfied with internet series
and it is mainly hotel still is only provide broadband service.
20. Reference list:
C. de Seve (2008). Room Taxes and Economic Impact of the
Lodging Industry. American Hotel and Lodging Educational
Foundation,Washington DC, pp. 23–24.
Deegan, M. and Horan, T. (2003).Smith Travel Research,
PhoCusWright Inc., Pricewaterhouse Coopers Graphic.Chicago
Tribute.
Frechling, D. C. (2001).Forecasting Tourism Demand: Methods
and Strategies. Oxford: Butterworth-Heinemann.
Getz, D. (2008). Event Tourism.Definition, evolution, and
research, Tourism Management, 9 (3): 403-428.
Lewis, A. (2006). Stakeholder Informed Tourism Education:
Voices from the Caribbean. Journal of Hospitality, Leisure,
Sport & Tourism Education, 5(2), 14-24.
M.G. Jagels – C.E. Ralston (2007). Hospitality Management
Accounting.John Wiley &Sons, Inc, Hoboken, New Jersey,
pp.278-280.
S.E. Kimes (2010).Pricing Strategy and Distribution Channels
in Hotel Revenue Management.Cornell University, Distance
learning online material, Ithaca, NewYork
Weaver, D. & Lawton, L. (2002).Tourism Management.
Brisbane: Wiley & Sons.
WTO. (2001). Tourism 2020 Vision: Global Forecasts and
Profiles of Market Segments.Madrid:World Tourism
Organization.
Y. Sedat (2007). An Integrated Forecasting Approach to Hotel
Demand.MathematicalandComputerModeling,Volume
46,Issues7-8, October 2007, pp.1063–1070
C. de Seve (2008). Room Taxes and Economic Impact of the
21. Lodging Industry. American Hotel and Lodging Educational
Foundation,Washington DC, pp. 23–24.
Deegan, M. and Horan, T. (2003).Smith Travel Research,
PhoCusWright Inc., Pricewaterhouse Coopers Graphic.Chicago
Tribute.
Frechling, D. C. (2001).Forecasting Tourism Demand: Methods
and Strategies. Oxford: Butterworth-Heinemann.
Getz, D. (2008). Event Tourism.Definition, evolution, and
research, Tourism Management, 9 (3): 403-428.
Lewis, A. (2006). Stakeholder Informed Tourism Education:
Voices from the Caribbean. Journal of Hospitality, Leisure,
Sport & Tourism Education, 5(2), 14-24.
M.G. Jagels – C.E. Ralston (2007). Hospitality Management
Accounting.John Wiley &Sons, Inc, Hoboken, New Jersey,
pp.278-280.
S.E. Kimes (2010).Pricing Strategy and Distribution Channels
in Hotel Revenue Management.Cornell University, Distance
learning online material, Ithaca, NewYork
Weaver, D. & Lawton, L. (2002).Tourism Management.
Brisbane: Wiley & Sons.
WTO. (2001). Tourism 2020 Vision: Global Forecasts and
Profiles of Market Segments.Madrid:World Tourism
Organization.
Y. Sedat (2007). An Integrated Forecasting Approach to Hotel
Demand.MathematicalandComputerModeling,Volume
46,Issues7-8, October 2007, pp.1063–1070
Appendix:
22. 3.How did you hear about us Quest Website Travel Agent
Corporate Travel Management Word of MouthPrint Ad
Previous Stay Passing by Google Online Travel
Agent Others 7 6 8 0 0 5 0 2 4
5 4.How did you make reservation Travel Agent
Corporate Travel Manager Direct at Quest Location
Quest Website Questt Customer Contact Center Online
Other 4 8 7 7 2 9 0 5. How
would you rate the Quality of the kitchen Excellent Good
Fair Poor Fair 10 9 3 4 11 6. How would
you rate the Quality of the Bathroom Excellent Good
Fair Poor Uncertain 9 15 6 2 5
7. How would you rate the Quality of the bedroom
8. How would you rate the Quality of the bedroom Excellent
Good Fair Poor Uncertain 20 9 3 5 0
8. How would you rate the Quality of the living room
9. How would you rate the Quality of the living room
Excellent Good Fair Poor Uncertain 15 12 8 2
0
9. The Apartment was comfortable
9.The Apartment was comfortable Strongly Agree Agree
Disagree Strongly Disagree Uncertain 6 19 5 2
5 1 1 1 1 1
10. I was satisfied with the in-room internet
11. I was satisfied with the in-room internet Strongly Agree
Agree Disagree Strongly Disagree Uncertain/Did not
use 0 6 5 6 20
11. I was Satisfied with Breakfast option
12. I was Satisfied with Breakfast option Strongly Agree Agree
Disagree Strongly Disagree Uncertain/Did not use 0
23. 10 8 2 18
13. I was satisfied with Pantry Shopping Service
13. I was satisfied with Panty Shopping Service Strongly
Agree Agree Disagree Strongly Disagree
Uncertain/Did not use 0 2 0 0 35 14. I
was satisfired with resturant charege back option Strongly
Agree Agree Disagree Strongly Disagree
Uncertain/Did not use 18 12 0 0 7
15.Reception Staff were professional and provided excellent
customer service
Reception Staff were professional and provided excellent
customer service
4
Strongly Agree Agree Disagree Strongly Disagree
Uncertain/Did not use 18 10 5 4 0 16.
Housekeeping Staff were professional and provided excellent
customer service Strongly Agree Agree Disagree
Strongly Disagree Uncertain/Did not use 16 12 8
1 0
17.Any Particular Quest Employee who contributed to your stay
being more comfortable and memorable
Any Particular Quest Employee who contributed to your stay
being more comfortable and memorable Yunish Azra Grace
Amol Chris NA 15 4 5 4 2 7
#REF! Strongly Agree Agree Disagree Strongly
Disagree NA 10 16 5 4 2
19.I would return to the property
I would return to the property Strongly Agree Agree
Disagree Strongly Disagree Uncertain/Did not use 16
10 5 5 1 20. I would recommend this property
to others Strongly Agree Agree Disagree Strongly Disagree
Uncertain/Did not use 16 9 5 6 1 21. I
would consider and recommennd the Quest Brand in thhe future
Strongly Agree Agree Disagree Strongly Disagree
Uncertain/Did not use 16 8 7 5 1
Sept/2012(Room Nights) AH Bread Nupure Volkswagen
24. Suncrop Swiss Log60 90 150 150 50 Sept/2013
(Room Nights) AH Bread Nupure Volkswagen Suncrop
Swiss Log44 84 160 200 100 Sept/2014 (Room
Nights) AH Bread Nupure Volkswagen Suncrop Swiss
Log 20 2 180 250 200
1. Is this your First Stay at Quest Caroline Springs Yes No 20
17 2.What was the Purpose of your trip Business
Leisure Conference Relocation Visiting Friends
and relatives Others 15 10 3 1 2 6