Project Report

On

“Consumer Perception and Satisfaction towards Hotels in

Delhi & Noida.”

Project Report Submitted to

“AMITY INSTITUTE OF COMPETITIVE INTILLEGENCE AND
STRATEGIC MANAGEMENT
in Partial fulfilment of the requirement for the Dissertation Report of my

MASTER OF BUSINESS ADMINISTRATION

(Business Analytics)

Submitted by,
Shubham Kumar Thakur
Reg. No.: A006110817005,

Under the guidance of

Prof. Archana Singh
(Mentor & Faculty in Charge)

1
 ACKNOWLEDGEMENT

I would take immense pleasure in thanking my faculty guide Prof. Archana Singh
for giving me her time and able guidance, which helped me in completing my
dissertation. He has been an immense source of motivation for the completion of this
dissertation.

Special thanks to staff of Hotel Le Meridien, Hotel Vasant Continental, Hotel Oberoi
& Hotel MBD Radisson who gave a lot of valuable information about their
respective hotels and also allowed me to interact with their customers without which
this project would not have been completed successfully.

In the end, I would like to thank all the respondents for their co-operation, without
them the primary analysis could not have been carried out.

Thank you.

Shubham Kumar Thakur

2
 EXECUTIVE SUMMARY

This project in aimed towards accomplishing the objective of a comprehensive and

comparative study of the consumer perception and satisfaction in 5 star hotels
established in New Delhi & Noida.

A hotel industry is primarily a service sector and emphasis in given on the role
played by relationship marketing. You are nothing without your customers. It is
important to understand that your organization exists for no other reasons than to
meet customer needs and expectations. It is imperative to develop proactive methods
for understanding what your customer like and dislike. If you believe otherwise, just
look behind yourself at the long queue of competitors lined up and waiting for the
opportunities to prove you wrong.

A Hotel caters to a wide range of guests and offer services and amenities to
individuals with an infinite number of desires and expectations. Due to the diverse
population of travelers, it would be no surprise if one hotel brand were perceived
very differently from another. However, a recent analysis of online traveler
discussion between January 1 and October 31, 2005 shows the opposite — guest
perceptions toward different hotel brands are similar, leading to the belief that
travelers are not inclined to become loyal to one brand.

Based on an analysis of consumer comments, it was found that, in general, hotel

corporations such as Oberoi and Taj have an opportunity to further differentiate
themselves from their competitors and build more brand loyalty. Hotels are missing
out on upwards of $20 billion spent by frequent travelers who are not loyal to specific
brands. Travelers are offered comparable services by multiple hotel brands, all of

3
which aim to provide value to their guests — hotel brands have similar personalities.
For example, leisure travelers perceive Oberoi’s and Taj hotels as similar, despite
the possible argument that Taj is a luxury brand while Oberoi is more mid-range.
This demonstrates a lack of differentiation between hotel brands.

4
 Table of Contents

Serial No. Contents Page No.

01 Acknowledgement 02

02 Executive Summary 3-4

03 Abstract 07

04 Introduction 8-9

02 Literature Review 10-11

05 Objectives of the study 12

06 Research Methodology 13-14

07 Industries Profile 15-22

08 Hotel Le Meridien 23-34

09 Hotel Vasant Continental 35-44

10 Hotel Oberoi 45-52

11 Hotel MBD Radisson 53-60

5
08 Conclusion & Recommendation 61-64

10 Bibliography 65

07 Questionnaire 66-68

6
Abstract
Objective of the current study was to examine perception of visitors regarding
services offered by hotels in NCR area. 200 regular hotel visitors in Delhi NCR were
approached and their respective perception regarding services was assessed by
servqual scale using stratified convenient sampling method. Statistical tools like
factor analysis, t-test and one way ANOVA were used to analyze data with the help
of SPSS. Affluent male consumers with higher level of income were found to be
lesser satisfied with services offered by hotels. In a nutshell it can be said that
demographic variables like age, gender, income, education and occupation brings
significant variation in perception of hotel visitors for all the dimensions of service
quality namely tangibility, assurance, empathy, responsiveness and reliability. It is
apparent that visitors are not very much satisfied with the services offered by the
hotels. So visitors may be left with great grievances with quality of services offered
and may be prompted not to visit that particular area. So it is advised to marketers
to look in to the matter and do a close introspection of services offered by them in
order to improve service quality and provide greater degree of customer satisfaction.

7
Introduction

“Customer satisfaction is defined as the individual’s perception of the performance

of the product on service in relation to his or her expectations”.

Hotel industry is a service industry. It sells its services and the more quality services
it provides, the more is going to be its revenue. This industry doesn’t sell any tangible
assets to its customers and while making sales calls on presentation the property
cannot be taken to the potential customer, in reality creating customer satisfaction is
not something an organization does simply to satisfy, it is something an organization
does to stay in business. Top management embraces this reality by acknowledging
communicating and acting upon three basic truths:-

Customer satisfaction is the ultimate goal: There is no higher achievement than

to satisfy the customer whom an organization has committed itself to serving. This
doesn’t mean that the organization become a not for profit industry. Profits and
revenues are nothing more than the outcomes of fulfilling customer’s needs and
expectations.

Customer satisfaction to an investment: Customer satisfaction process does not

often produce results in the very short term. Rather the payoff are usually realized
in the medium on long term.

Everyone must be involved in customer satisfaction: All personnel have the

capability, at some level, to influence customer satisfaction. Top management must
communicate exactly how personnel should interact with the customers to achieve
higher customer satisfaction level.

8
In hospitality each customer relationship has values and should manage effectively.
There is a possibility for repurchase and recommendation from each past customer.

There are various contact points where the hotel comes in direct contact with the
customer that are known as "Touch points". These touch points are considered
important as there is direct interaction with the customer and they provide valuable
input to the hotel and this input provided by the customer has to be captured in such
a way that it becomes information and can be used by various process within the
hotel. This can be done with the help of technology and the aim is that whenever
there is a customer interface with any of those processes they are able to use that
information in servicing the guest in a most efficient manner.

9
Literature Review

Hotel industry is highly competitive, and service plays a crucial role for gaining
sustainable competitive advantage that’s why researchers have concentrated towards
perception of the customer for service quality. According to Parayani et al., (2010)
competition for high service quality and customer satisfaction in hospitality industry
is increasing day by day. Customer satisfaction and customer loyalty largely depends
on service quality. Good service quality will increase the satisfied and loyal
customers and this will increase the customer retention which eventually will
increase the profit and growth of the company (Heskett et al., 1994). According to
Woodruff (1997) for gaining competitive advantage, customer value is being treated
as another source. According to Hennig - Thurau et al., (2002), Word of mouth is an
excellent tool for hiring new customers which is necessary for the firm’s long term
growth. According to Reynolds and Beatty (1999), Social benefits resulted in the
improved relationship of customers with the firm or with the employees. Customer
satisfied with social benefits created by the firm will show positive feelings towards
a particular firm and finally become helpful in developing customer’s perceptions of
quality. (Brotherton and wood, 2000), analyzed that researches and practitioners
have great chance to face the challenges of complacency and unquestioning
mindsets, Many things can be identified by conducting research on the essential
nature of the hospitality management. Various researchers have proved the
importance of different dimensions for expectations, perceptions and gap scores.
Dimensions suggested by different researchers are one dimension, two dimension,
three dimension, four dimension six dimension seven dimension and nine
dimensions (Chi Cui et al., 2003, Badri et al., 2005). According to Padma et al.,
(2009) Satisfaction is dependent on the ability of the supplier to meet the customer’s
norms and expectations, and no matter how good the services are customers will

10
continually expect better services. While customer satisfaction could be related to
values and prices, service quality generally does not depend on prices. Service
quality judgments are quite specific to the service delivered but satisfaction can be
determined by a broader set of factors including those which are outside the
immediate service delivery experience. (Ghobadian, Speller and Jones 1994), have
found that expectation of the customers, process of service delivery and outcome of
the service delivery are the key factors which is having impact on perceived service
quality.

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Objective of the Study

 The objective of this project is comprehensive and comparative study of the

guest satisfaction in premium hotels established in New Delhi & Noida.

 The study was conducted to find out about the guest’s satisfaction towards the
level of services offered by 5 star hotels namely –

 Le Meridien

 Oberoi’s

 Vasant Continental

 MBD Radisson

 The study measures how satisfied the customers are along relevant attributes
of the services and the relative importance of the attributes.

 This study tries to find out what resources the organization should determine
and provide to enhance customer satisfaction.

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 RESEARCH METHODOLOGY

As mentioned in the beginning, the players of the hotel industry chosen are:

 Le Meridien

 The Oberoi’s

 Vasant Continental

 MBD Radisson

I have fill the questionnaire by people who were using the services of these hotels.
This approach is exploratory in nature.

 A balance between both structured and unstructured method of interviewing is

adopted.

 It is structured, because we had some predetermined guidelines based on which

the interviewed were conducted.

 It is unstructured because the questions were asked according to the answer given
by the interviewed.

 The balance of structured and unstructured interviews are done in a flexible

manner which was essential and at the same time it lowered out missing, any
important point that should be covered under measurement of customer
satisfaction levels.

Following a personal interview method helped us in the following ways:

- In getting more information, that too in greater depth.

- Greater flexibility, as the opportunity to meet the guest at his and my ease.

- To able to create a relationship with the interviewed.

13
The research is conducted to achieve the before said objectives was both
exploratory and descriptive in nature and involved personal interviews based on
the questionnaire format.

Sample Design

Target population
Those who frequently visit hotels.

Sampling unit
Delhi and Noida market is treated as sampling unit.

Data Collection Method:-

Data will be collected through both primary and secondary approach.

A) PRIMARY RESEARCH The data will be collected by the administration of

a systematically planned simple questionnaire. Data is also gathered by
informal chats with the employees of the organization, mainly the marketing
and public relations dept.

B) SECONDARY RESEARCH: Secondary data is collected from various

journals/Brochure of different hotels, Published Reports, Books, Business
Magazines and Internet.

14
INDUSTRY PROFILE

Hotel Industry Q3 FY06 Review- "Exceeding expectations…"

Industry OR and ARR continue to rise

Tourism industry in India witnessed a healthy growth in 2003-04, followed by the

continuation of the up trend in 2004-05. As per figures released by the Ministry of
Tourism, foreign tourist arrivals increased by 24% in 2004 and this figure may
reached a level of 4 million foreign tourists in 2005-06 compared to 3.54 million in
the previous financial year. We expect this growth to continue during the next 2-3
years if no adverse incidents or circumstances happen in India and the South East
Asian Region, which may affect the sentiments of tourists traveling to this area. In
fact foreign exchange earnings from tourism may touch the level of Rs. 25,000 crores
this year, showing a growth of about 20% over the previous year.

An overall booming hotel industry and Q3 FY05 being the peak

season, hotels across the country witnessed strong growth in ARR and OR. During
the quarter under review, average room rates in the seven major cities rose by 25%
year on year to Rs 6,034 while OR grew by 9% year on year at 72%. Aggregate
revenues of the 5 leading players in the sector have registered a 29% CAGR. Higher
occupancies and firm ARR have driven revenue growth.

15
Growth in ARR and OR in major cities during FY05

Strong revenue growth driven by higher room rates

A large part of the growth in Q3 for the universe under our coverage has come
through ARR increases. ARR for Indian Hotels Company grew by 35% yoy at Rs
8150 while occupancies were down a percentage point at 74% in Q3 FY05 due to
company’s focus on improving RevPAR, Similarly, Hotel Leela Ventures closed Q3
FY05 with a 27% yoy growth in ARR at Rs11485 while OR was down 4% yoy at
74%. For 9M FY05 EIH Ltd reported ARR of Rs7, 550 with 64% occupancy against
62% in the same period previous year. Our universe of 5 companies posted a 29%
yoy growth in revenue at Rs7.6bn in Q3 FY05.

16
Growth in revenue during FY05

Margins expand on the back of higher revenue growth

Operating profit of the companies under our coverage grew by 47% yoy at Rs 2.9bn
in Q3 FY05. This growth is mainly attributed to the strong revenue growth led by
higher room rates. Our universe has reported a 490bps OPM expansion to 39%, as
fixed costs get spread over higher revenue base. Hotel Leela ventures remains the
best performing company at the operating levels with OPM of 54.5% for Q3 FY05
and 49.2% for 9M FY06.

17
Declining interest cost due to global fund raising

There has been a sharp fall in the interest cost burden for most of the companies, as
they have successfully raised low cost funds from international markets and
restructure or repayment of old debts. During the quarter under review combined
interest cost of our universe declined by 17% yoy at Rs367mn.

Robust profit growth

Operating profit of our universe grew by 47% yoy at Rs2.9bn in Q3 FY05. Other
income grew by 63% yoy, which helped PBT growth of 83% yoy at Rs2.3bn.
However, during the quarter under review, effective tax rate was higher (36% in Q3
FY06 vs 29% in Q3 FY05), partly due to high tax outgo on extraordinary one time
income of EIH. EIH’s net profit before extraordinary income displays a flat trend
due to the higher tax outgo, however profit growth has been robust (PBT up 60.8%).
Aggregate net profit growth was higher by 63% yoy at Rs1.4bn.

18
Growth in APAT during Q3 FY06

Tourist arrivals remain healthy

The hotel industry in India is witnessing a new high in all respects. Tourist arrival,
occupancies and room rates have touched an all time high. Success of "Incredible
India" campaign, introduction of low cost airlines, growing infrastructure thrust by
the government and India’s emergence as an outsourcing hub has led to a 13.2%
surge in foreign tourist arrival in calendar year 2005 over the previous year.

19
Month wise tourist arrival

ARR expected to rise further

With growing business, domestic and international leisure travel, room demand is
going to rise further. Though there is a huge room capacity addition lined up by
many companies and which are under various stages of construction, the demand
supply mismatch is expected to continue at least for the next two years. By the
middle of 2008 we might see some capacities coming in. Till that time room rates
are expected to rise further.

Our top picks in this sector are Indian Hotels Company Ltd (CMP Rs1268).
Among the other stocks that we are upbeat on include Hotel Leela venture
(CMP Rs315). Taj GVK (CMP Rs228) is another stock to watch out for.

20
Hotels in India

Tour to India is perhaps the most talked about tour in the world. A holiday without
a comfortable stay seems to be incomplete! Here is where the importance of hotels
and Indian hospitality industry comes into picture. The India tour has gained
momentum with time on account of its efficient and professional hotel services.

With time, India has made an indelible mark in the area of hospitality. The deluxe /
luxury, first class & budget Hotels offers various accommodation options along with
the contemporary facilities at par with world standards and comes with expected
comforts. From a business traveler to a leisure traveler, the hotels in India offer a
wide choice of rooms for short as well as an option for long stay. Some of the top
end hotels of India have also been honored with international awards and now - a-
days lot of Indian Hotels are featured by reputed top International travel magazines
as must stay city hotels or beach resort.

The various Group of India hotels and Chains like Taj Group of Hotels, The Oberoi
Group, ITC Welcome Group, The Park group, Sarovar Park Plaza Group, Oberoi
Trident Chain, Welcome Heritage, Radisson India, Le Meridian India, Ambassador
group of hotels, HRH Group of Hotels to name a few others have carved their niche
in the arena of Indian hospitality industry and thus have placed India as one of the
most happening tourist destinations in the world. Some of the well known Indian
Chain of Hotels / groups of Hotels are adding newer properties within India but they
have also expanding their reach by opening their properties at par with world

21
standards abroad, thus creating a hallmark in the hospitality industry at an
international level.

India offers you various India tour packages by recommending properties from the
list of hotels mentioned here as well as in the following pages. The recommended
hotels are known for their quality / location advantage and also offers value for
money with superior service standards. For the discerning traveler’s we also provide
accommodation in advance to avoid un-necessary inconvenience caused by seasonal
tourist flow to destination of choice. In a nutshell Hotels in India are a synonym to
comfort, luxury and sheer elegance.

22
HOTEL LE MERIDIEN - HISTORY
Founded in 1988, under the able guidance and leadership of Late Mr. Charanjeet
Dua, this hotel has blossomed into a world-class 5-star super deluxe hotel liability.
After facing rough weather, this hotel has acclimatized itself well to meet the needs
of the Indian consumer. This hotel has an unwritten philosophy it follows - not to
follow standards set by other hotels but to establish benchmarks of excellence.

There can be a lot said about Le Meridien's excellent services, its image, the
ambience, its functioning and the people responsible for building the hotels
reputation, but I would suggest that the quality of Le Meridien is reflected in the
services it offers and the standards it has set.

Next to the Capital’s fashionable shopping commercial and cultural center and just
17kilomertes from the international Airport. All of which make it the profiteered
destination of the discerning traveler.

The hotel's exquisitely designed 355 guestrooms include 7 tastefully decorated

designer suites, 91 new exclusive Le Royal Club rooms and 44 specially decorated
designer suites each based on a unique contemporary theme are designed to suit
guest's requirements.
The view from the room is breathtaking overlooking Lyutens Delhi, covering the
presidential estate, India Gate and Parliament of India.

Be it in well-endowed Conference/Banquet Halls, the modern Business Center the

well-equipped health club the numerous sports facilities you can be sure of a
responsive personalized service. And of a distinguished atmosphere that’s best
exemplified at Club President offering a very exclusive set of privileges reserved for
a select few.

23
One can savor the celebrated cuisines of five gourmet restaurants. Consider Le
Belvedere for the finest continental and Indian specialties, Golden Phoenix for
authentic Szechwan and Cantonese Cuisine and Pierre for the classic French cuisine.
You can also enjoy North-West Frontier Cuisine at Pakwan or have a quick bite at
La Brasserie the 24hour coffee shop.

Overlooking Lutyen’s Delhi the Parliament house India Gate Lawns the hotel is
also in close proximity to historical and cultural sights like Red Fort The National
Museum & the Old Fort to name a few.

TARGET AUDIENCE

The Le Meridian has divided its hotels into several categories on the basis of
the customers they target and the city in which it is located. There are luxury
hotels such as the Le Meridian in Bombay, Delhi, Jaipur etc. for the rich tourists
and senior business executives who demand very high levels of service. Then,
there are Business hotels such as Le Meridian, New Delhi etc.; which are
typically situated in India's key commercial towns and serve the needs of the
business travelers.

Tourists are the prime customers at the Le Meridian, even though they host
some business conventions, which are clubbed together with a holiday
destination. Fisherman's cove, Madras, Em-Boo-Dhu Fin-Olhu Island Resort in
Maldives etc. are a few examples. Then there are Le Meridian Hotels such as
Lake Palace, Udaipur etc. that provides the guests with the luxuries and royal
experience of ancient times.

24
 RELATIONSHIP MANAGEMENT IN LE MERIDIEN

Relationship Management is a business strategy to select and manage the most

valuable customer relationships. RM requires a customer-centric business
philosophy and culture to support effective marketing, sales and service processes.

Tactically, where do we start? The of customer relationship management in Le

Meridian is typically looks like:

Statistically valid customer satisfaction measurement. From the very top of the
organization, there is a commitment to CRM including customer satisfaction,
employee satisfaction and a desire to have one voice to the customer.

Integration of customer information. The process of extracting customer data

from legacy systems (i.e., the property management system) and integrating all the
databases in the property that contain guest information is complex and time
consuming. The data sources may include guest history, external guest profiling
systems, restaurant club programs, sales and catering system information and other
data.

At Le Meridian Hotels identifying customers begins at the Web site. Meridian

selected ATG (www.leMeridian-newdelhi.com) to provide the relationship-
management framework for www.leMeridian-newdelhi.com and Le Meridian North
American network of 120 property Web sites.

25
Le Meridien liked ATG's Scenario Personalization capabilities and commitment to
open standards. Scenario Personalization can be used to create Web experiences and
interactive marketing programs based on each user's relationship with Le Meridian.

The Meridien Name

- High brand awareness throughout the world.

- International travelers have high awareness and recognition of the media name.

- Well known and well connected in the travel trade.

- Increased International Business

- Differentiated from the American brands

Le Meridien has the ability to deliver reservations to your property

Le Meridien around the world

- Over 80 hotels

- 40 countries

- New openings planned

- Commitment to expansion

Le Meridien is truly global and represented worldwide.

5 year objective:

Double today's portfolio and manage 150 Le Meridien Hotels and Asserts around
the world.

26
These product standards sit along with the Welcome Charter, and used together, the
documents outline:

What they deliver - Product Standards

The manner in which they deliver it - Welcome charter

Examples : Signage Amenities Standards

Welcome Charter Basics

Appearance Responsibility

Language Efficiency

Posture Offer a choice

The smile Reliability

Consideration Provide information

Listen Nurture a team spirit

Be available

"You never get a second chance to make a first impression"

27
THE CORPORATE CULTURE

- work closely with owners and partners

- open communication framework

- empowered management/flat hierarchical structure

- Focus on training and development

The company began with a simple philosophy; to provide excellent services to the
travel industry and the corporate world at a price one could easily afford. The dream
of providing total satisfaction in all its spheres of activity, put consumer in excellent
service at a competitive price, to give employees a fine quality of life and to offer
business associates a total sense of belonging, a thorough understanding of fast-
changing consumers behavior, new market segments and product opportunities and
a marketing mix sensitive to changing customer needs form the core strategy and
philosophy. This is essentially a completely customer driven approach. Thus, the
changing consumer needs and never static technologies, which provide fresh
challenges every day and at Le Meridien the progress, continue to turn.

QUALITY

Quality at Le Meridien is not just modern services and equipment. It is an everyday

discipline. It is technology in experience that spans a decade of excellence. It is an
attitude that masters the challenge of growth and changes. Change in consumer’s
perceptions about products and new aspirations arising from a new generation of
buyers.

By tradition, conformance to quality at Le Meridian begins at the reception with

every employee ensuring at each stage of service that nothing faulty passes through
his hands. Total quality is ensured from arrival to the departure of the guests.
Constant service up gradation ensures that the company stays in the global
28
mainstream , and maintains its competitive edge. Besides the improved quality
control methods that came about with foreign collaboration, the company also
employs the service of independent experts from around the world, to assist in new
design and serving process. But tradition remains uppermost. Control on quality
still begins from the reception which is matter of pride for the worker.

At Le Meridian learning is a continuous process. The Hotel has adopted latest

technology to suit the Indian conditions by keeping pace with the time and making
use of all the sophisticated hotel operational devices as its counterparts in the foreign
countries, to give the customers the best service that is launched. For example when
Le Club was launched it was positioned as a executive club for the business traveler,
value addition came with special features like a Library, individual fax machines
and personalized stationary and other secretarial services. Today, Le Meridian
understands the needs of the Indian travel market much better. This is why it’s
Research and Development is always endeavoring to add more features to the
existing range.

CLIENTELE

The peak season of the Hotel Industry is October to March whereas the lean season
for the hotel industry is from May to August.

The clients range from Industrial, Corporate Houses, MNCs and Public Sector
undertakings. The customers in this class are of two categories:
1. Customers for Business and Commerce
2. Customers on Holidays Tours for pleasure.
 Domestic individual travelers who form the part of the clientele

 Clients on Holidays tours for Pleasure

 Guest on pilgrimage.

29
 ANALYSIS OF THE QUESTIONNAIRE

Where did you hear about the Le Meridian from?

0
TA Comp. Adv. Employees Others

From the above graph we can see that most of the guests were informed about the
package from their travel agents. This shows that the travel agencies have a very
important role in success of a hotel.

30
Are you a regular guest here?

40% Yes
No
60%

The guests in the hotel rooms, the plaza plus rooms are not the regular customers but
are mostly the first time visitors. It becomes all more important for the employees in
the hotel to take good care of them so that the guests return to the hotel next time
also.

Also effort should be made that the guest once, your guest should always be your
guest and the regular guest, should be informed regularly about the new schemes
and packages.

31
You are currently on any packages are you aware of the benefits of the
package?

Many of the guests availing the package were not aware of the benefits with the

40% Yes
No
60%

package. A full documentation of the package should be given to the guest on the
time of the check in.

It becomes convenient for the question to avail of the benefits if they are told about
them in advance. The package has been Packard with lot of hard work and thinking,
to make it a real success the guests should know about the benefits so that they can
after they learn advertise for the hotel, through herbal connects on the package.

32
What are the benefits you are aware of?

American Breakfast

Bottle of win per day

tea coffee through out the day

Use of club loonge throughout the day

Ticket confirmation

Ironing of a suit/Day

Photocopying and use of comptuer in the club

Chauffer driven AC Luxury car for the day

Buffert dinner at the cofee shop

0 2 4 6 8

Many people came to know about the benefits of the package fro the magazines in
their rooms. A list of benefits should be made available to all the guests using the
scheme.

33
Rank the attributes accordingly in order?

18
16
14
12
10
8
6
4
2
0
Ambience Facility Charges Location Accomo. Service

34
HOTEL OBEROI - HISTORY

Five star deluxe hotel, centrally located and overlooking the prestigious 18-hole
Delhi Club.

The Oberoi’s, New Delhi is undoubtedly the most exclusive hotel in the capital of
India. It is centrally located and overlooks the prestigious Delhi Golf club. The hotel
is in close proximity to the commercial and shopping district and has a reputation
for services, luxurious accommodation and cuisine.

It is spacious rooms and suits, completely refurbished, features state of the art
facilities for discerning business travelers and include data ports, fax machines in
the 24 hours personalized butler services.

Accommodation

The hotel’s 279 rooms and suites overlook either the green fairways of The Delhi
Golf Course or the beautiful 16th century Mughal tomb of the emperor Humayun.
The entire guest rooms are furnished in a quietly elegant contemporary Indian style
.Every room is fully equipped with state-of-the-art communications and in-room
entertainment. Deluxe rooms and suites offer the advantages of complimentary
breakfast and return airport transfers.

16 Executive Suites feature a separate living room which overlooks the golf course.

8 Deluxe Suites have a spacious living/dining room and separate bedroom with king-
size bed and a whirlpool bath. An extra bedroom is available if required.

5 Presidential Suites have views of both the Golf Club and Humayan’s Tomb, a
bedroom with King-size bed and a grand living and dining room. The bathroom has
a separate shower and whirlpool bath. There is a butler’s pantry equipped with
microwave and refrigerator.

35
The Curzon Suite offers all this and more. More grandeur, more space (177 sq.m.)
and a private study, with the best views in the hotel.

Dining

Four specialty restaurants 360’, Travertine, Taipan, Kandhar, serve Continental,

Italian, Chinese & Indian cuisine. The Club Bar is located at lobby level and the
Gourmet Shoppe offers great coffee 24 hrs.

Facilities and services

Swimming pool secretarial services, same day laundry and dry-cleaning, 24 hour
room services, health club, beauty salon and barber shop, travel desk, car rental,
bank, chemist and a boutique arcade.

A 24 hour business center equipped with state of the art modern facilities includes a
conference room for 8 people, office for private use, secretarial and courier services,
Internet services, Interpreter, PC rental, courier services, secretarial services, fax,
photocopier and audiovisuals rental.

Credit Cards

Access, American Express, Visa, Diners Club Eurocard, Japan Credit Bureau Master
Card, Mastercharge, Grindlays-Visa-Classic, Carte Blanche, Central Card, Andhra
Bank Card, Bank of Baroda.

Banquet and Meeting rooms

Seven banquet and conference rooms, Ideal for meetings, private parties and
receptions for upto 400 persons.

The Oberoi's offers the following loyalty programs

36
The Oberoi’s 'TOP' - This loyalty program running for the last 12 years, is a unique
program consisting of exclusive privileges and benefits especially designed to
recognize and reward regular guests of the Oberoi’s Group.

HOW DOES TOP WORK

Every time a customer stays or dines at any hotel of The Oberoi’s Group in India,
he earns points on each eligible rupee spent by him. The points are recorded when
he presents his membership card to the front office cashier at check out or at the
restaurant the time of settlement of his bill. A statement of points earned is sent to
him on a 30 day rolling cycle.

MEMBERSHIP BEGINS WITH IMMEDIATE BENEFITS

A special bonus of 50 points is given to the customer for signing on along with a one
time upgrade voucher to the next category of room or suite.

MEMBERSHIP LEVELS

There are two levels of membership: TOP level and silver level.

On joining, the customer will enter at the TOP level. At this level he earns 25 points
per Rs. 1000 of eligible spend.

Once he accumulates 4000 points during the one full year of membership, he will
automatically receive a Silver Card. At this level he will earn 30 points for every
Rs. 1000 of eligible spend and additional privileges.

To stay at the Silver level, he has to continue to accumulate 4000 points during each
year of membership.

SPECIAL PRIVILEGES FOR BOTH LEVELS OF MEMBERSHIP

 Free accommodation for spouse in a double room

37
 Late check-out till 6 pm (subject to availability)

 50 bonus points on renewal of membership

The Oberoi, Bangalore - The Oberoi Grand, Calcutta - The Oberoi Towers-Mumbai,
the Cecil-Shimla.

SPECIAL PRIVILEGES FOR THE COMPANY

Oberoi’s offers special corporate rates based on volume of business and customized
packages for extended stay and conference requirements. It also offers facilities like
early from the company.

SPECIAL PRIVILEGES FOR THE MEMBERS

To facilitate the interactive process with the hotel, they offer dedicated facsimile
members for reservations, confirmation by fax or mail on request and the exclusive
use of their concierge network.

The 'Connections' membership card entitles the member to a 20% discount in the
Coffee shop and on confectionery items from the Pastry Shop. A member can also
enjoy a 15% discount at the Beauty Salon or the Barber Shop at select Oberoi’s
Hotels and Trident Hotels. The 'Connections' card can be presented at shopping
stores in major cities to avail of special discounts.

38
 ANALYSING THE QUESTIONNAIRE

Where did you hear about the Oberoi’s Hotel?

0
Travel Agent Companies Advertisement Employer Others

39
Here also we can see that travel agents and companies play a vital role in promotion
of Oberoi’s.

40
Are you regular guest here?

40%
Yes
60% No

According to the above the above chart it is clear that Oberoi’s is a well known 5
star hotel because there are approx. 60% of the guests who are a regular customer in
the hotel.

41
Are you currently on any package? Are you aware of the benefits of the
package?

30%

Yes
70% No

70% of the guests in Oberoi’s are aware of the benefits and the packages.

42
What are the benefits you are aware of?

Bottle of win per day

tea coffee through out the

day

Ticket confirmation

Ironing of a suit/Day

Chauffer driven AC
Luxury car for the day

Buffert dinner at the cofee

shop

0 1 2 3 4 5 6 7 8

From the above graph we can see that most of the guests are aware of the benefits
which hotel provides.

43
Rank the attributes accordingly in order?

25

20

15

10

According to my survey most of the people think that Oberoi’s service are good and
charges and rated accordingly.

44
HOTEL VASANT CONTINENTAL- HISTORY

Hotel Vasant Continental is a Hotel Situated at Vasnt Vihar, New Delhi. This star
Hotel falls under the group "Jaypee" established in 1982, to fulfill the need of hotel
industry during Asiad Olympics. The person or guiding force behind the hotel is
none other than "Jay Prakash Gaur" The Chairman of Jaypee Group.

BRIEF DISCRIPTION OF HOTEL

Location: 12 KM from International Airport, It is surrounded by offices like Hero

Honda, American Express.

Physical Features: 7 floor 5 Star building with 3 restaurants, 119 rooms, parking
space, shopping orchard, swimming pool, Idle location.

1st Floor - Food and Beverages, 2nd Floor - Club room, 3rd floor - VIP Floor, Rest i.e.
4th, 5th, 6th & 7th are normal room floors.

Components: Hotel has:

 Health club - contains beauty parlour maintained by Shehnaz Hussain.

 Export shop - Ranita exports, Barber shop, Cruise i.e. body massage and a
gymnasium.

 Coffee shop - where tea and coffee along with food is available 24 hours called
as "Eggspectation"

 Lounge Bar - called "Tapas"

 Confectionery shop- Old Baker

 Restaurants- Two Specialty restaurant Ano tai & Paatra serving Chinese and Pan
Indian Cuisine.

45
 RELATIONSHIP MANAGEMENT AT VASANT CONTENTIAL

Relationship Management is a business strategy to select and manage the most

valuable customer relationships. Relationship Management requires a customer
centric business philosophy and culture to support effective marketing, sales and
service processes.

Tactically, where do we start? The customer relationship management in Vasant

Continental is typically looks like:

Valid customer satisfaction measurement : From the very top of the organization,
there is a commitment to Relationship Management including customer satisfaction,
employee satisfaction and a desire to have one voice to the customer.

Integration of customer information : The process of extracting customer data

from legacy systems (i.e., the property management system) and integrating all the
databases in the property that contain guest information is complex and time
consuming. The data sources may include guest history, external guest profiling
systems, restaurant club programs, sales and catering system information and other
data.

Services : the services of hotel run with a motto behind them; the motto is "You're
among friends" i.e. the service rendered her is like homely atmosphere and the
customers are treated as "guests" similar to the guests who comes to our house, hence
the nature of service is a homely one.

Nature of service : Food + lodging + ambience + "homely feeling"

The concept of homely feeling is the key for the success of this hotel.

Supplementary: Escorting of guests, bell boy for room service AT&T phone
facility for local and international call with the operation of an operator.

46
Other services are:

Free birth day cake to guest, fruits to guest or visiting members

For VIP, soft drinks, dry fruits are served.

47
 QUESTIONNAIRE ANALYSIS

Where did you hear about the Vasant Continental hotel?

From the above graph we can see that companies play an important role in the

5
4.5
4
3.5
3
2.5
2
1.5
1
0.5
0
Comp TA Advertisement Others Employees

promotion of the hotel.

48
Are you regular guest here?

Yes
40%
No
60%

49
Are you currently on any package. Are you aware of the benefits of the
package?

In Vasant many guest who are on the package were not aware of the benefits with

Yes
40%
No
60%

the package.

So it is recommended that full description of the package should be given the guest
on the time of their check in.

50
What are the benefits you are aware of in the hotel?

Bottle of win per day

tea coffee through out

the day

Ticket confirmation

Ironing of a suit/Day

Chauffer driven AC
Luxury car for the day

Buffert dinner at the

cofee shop

0 1 2 3 4 5 6 7

From the above graph we can make out that there are some benefits which are not
known to the guests.

Rank the attributes accordingly in order?

51
 20

18

16

14

12

10

0
Service Ambience Facility Charges Location Accom.

From the above graph it is depicted that Hotel Vasant Continental’s rates high in
location and accommodation parameters.

52
 HOTEL RADISSON- HISTORY

A 5 star deluxe hotel situated in Noida adjacent to the newly built Wave Cineplex in
Noida in Sector 18 market. The hotel is conveniently located in one of the posh
localities of Noida. Apart from the well furnished rooms, it also provides conference
rooms, restaurant with Indian and international cuisines and a plethora of
recreational activities.

Locate the Hotel Radisson Noida

The Hotel Radisson Noida is placed 35 kms away from airport, 15 kms away from
Trade Fair Ground and 18 kms away from the city centre, New Delhi.

Lodging at Radisson Hotel Noida

In all there are 114 well furnished rooms and suites including Superior, Deluxe,
Club, Crescent and Terrace Plaza, Executive Suites and a plush Presidential Suite.
All the rooms are well equipped, centrally air-conditioned, with a mini bar, tea and
coffee maker, electronic safe, hair dryer, ironing board, weighing scale, international
direct dial telephone and colour TV with satellite channels.
The product which a hotel offers fall into two category :-
1. Accommodation - This includes Rooms, Food & Beverage.
2. Service - This is an intangible product.
Food & Beverage - which is also a perishable commodity like a room, are served
from different F&B outlets like restaurants, coffee shops, banquets, rooms service,
specialty restaurants, bars etc.
Accommodation - Further classification of Accommodation would make the range
of Products wider; The Rooms could vary from a Standard deluxe room to luxurious
Presidential Suites which differ considerably in the facilities offered and of course

53
the Tag or Tariff on them. The banqueting facilities, halls and conference rooms also
come under the ambit of the Rooms division.

Dining at Hotel Radisson Noida

The special series of restaurants at Hotel Radisson Noida, which serves a variety of
cuisines, are:
Made-in-India - An Indian Specialty Restaurant
R.E.D. - Serves the far eastern cuisine
S-18 - Brasserie, serves world cuisines with buffet for lunch and dinner
@Links - a stylish bar, well stocked with fine wines and liquors
The Chocolate box - Pastry Shop

Hold a Conference at Radisson Hotel Noida

The Radisson Hotel Noida provides comprehensive conferencing facilities and

banqueting facilities. There are 2 halls of 6,000 sq. feet, namely Lexicon & Concord
each which are fully equipped to handle national and international conferences.

Recreation

The leisure time can be spent quite busy at the Hotel Radisson Noida. The recreation
alternatives at the hotel include Health Club with latest equipments, Spa with a range
of relaxation therapies, steam, sauna and hydrotherapy, Beauty Salon, open air
Swimming Pool, Jacuzzi and Guest memberships for 18 hole Golf Club.

54
QUESTIONNAIRE ANALYSIS

Where did you hear about the Radisson hotel?

From the above graph we can see that companies play an important role in the

2.5

1.5

0.5

0
Comp TA Advertisement Internet Employees

promotion of the hotel.

55
Are you regular guest here?

No
38%
Yes
62%

56
Are you currently on any package. Are you aware of the benefits of the package?

The graph shows that 60% of Radisson customers are aware of the hotel’s benefits of
the package. In Radisson customer are in economic class so most of them are aware of
the benefits with the package.

Yes
40%
No
60%

57
What are the benefits you are aware of in the hotel?

From the above graph we can make out that there are some benefits, which are not

Bottle of win per day

tea coffee through out

the day

Ticket confirmation

Ironing of a suit/Day

Chauffer driven AC
Luxury car for the day

Buffert dinner at the

cofee shop

0 1 2 3 4 5 6 7 8

known to the guests.

58
Rank the attributes accordingly in order?

25

20

15

10

0
Service Ambience Facility Charges Location Accom.

The graph shows that that Hotel Radisson Noida charges are economical in services and
accommodation parameters.

59
 ANALYSIS & FINDINGS
On analyzing the above information gathered about the four major hotels, I found that
each of these hotels realize the immense potential of relationship management have
suitable systems in place to implement their strategies and practices.

Hotels offering similar discounts and rewards thus it’s the recognition that a hotel offers
to its customers that makes all the differences. This recognition is that, which can be
improved upon at all the touch points where the customer comes in contact with the
hotels.

Comparison between the four hotels led me to the following findings they are as follows:

The Oberoi's

 The Oberoi's offers tops a loyalty programme, consisting to exclusive privileges and
benefits to recognize and reward the regular guests of the Oberoi's group.

 Oberoi's was awarded the "best concierge awarded".

 Oberoi's membership  top level

 Silver level

60
Le - Meridien

Le - Meridien has more than 1000 employees working for it providing service shift wise.

They have come out with the "different packages" which will provide better customer
service.

 Hotel offers a range of meeting and banquet facility room, recreational facilities and
many more, to enhance the comfort of its customer.

 Le - Meridian has a well maintained inventory record of all the guests with added
facilities as has been mentioned in the promotional brochure. "PRIVATE LINE".

 Quality at the Le-Meridian is not just modern services and equipment. It is an

everyday discipline. Total quality is ensured from arrival to the departure of guest.

Vasant Continental

 The service of this hotel run with a motto "you're among friends".

 Service, which are rendered here, are more like in a homely atmosphere.

 Core services include food and beverages specialty restaurant and bar.

Radisson

The Radisson Hotel Noida is within walking distance to Noida's best shopping,
entertainment and dining.

Travel desk with sightseeing tours is available round the clock, entertainment
options around the Hotel - Centrestage Mall, WAVE cinemas, 18 -hole golf course,
tennis and squash facilities in walking distance.

Radisson’s promotional activities include print media like news papers; magazines
etc. like Oberoi’s, Radisson too have a very well maintained inventory of its
regular guests. They send New Year cards, invitation on different celebrations, etc
to their guests.

61
The recreation alternatives at Radisson include Health Club with latest equipments,
Spa with a range of relaxation therapies, steam, sauna and hydrotherapy, Beauty
Salon, open air Swimming Pool, Jacuzzi and Guest memberships for 18 hole Golf
Club.

While studying and analyzing the questionnaire the conclusion which is drawn

62
In Le – Meridian, most of the guests are informed about the package from their travel
agents. In Vasant continental hotel most of the guests were informed by the
companies and Oberoi's graph shows that travel agents play important role in success
of a hotel employees and the companies also play an important role in bringing
awareness in the guests about the hotels and different schemes in the hotel.

In the Le-Meridian and Vasant 60% of the guest are not a regular customer, which
means that the guests are not fully aware of the benefits and package, which are
provided by these hotels. But in Oberoi's 60% of the guests are regular customers.

All the star hotels provide benefits to their guests but are the customer aware of those
benefits?

The Oberoi's it is observed that mostly customers are aware of the benefits like
Chauffer driven A/c Car hotel of wine per staff or use of lounge through out the day.
Mostly customers are made aware of these benefits on their arrival time.

In Vasant and Le Meridian there are some benefits which are not known by the
customers like using of the club, or about American breakfast or a bottle of wine per
stay.

In another analysis of we compare these 4 hotels according to their service,

Ambience, facility, charges, location and accommodation I have observed that in
Oberoi's services are the highest among other two hotels. Charges are more or less
the same in all the 4 hotels. But the facilities, which are provided in Oberoi’s, are
much higher than the other two. The Hotel Radisson Noida is placed 30 kms away
from airport.

63
Consumer Perception of Hotel Industry

90
80
70
60
% of people

50
40
30
20
10
0
Location Facilities Ambience
Parameters of distinction

Oberoi LeMeridien Vasant Continental Raddison

As we can see in the graph, it depicts the picture of three major parameters of any
hotels like location facilities, ambience. Out of 30 people who are survey, 30% who
were the guests of Vasant Continental rates high regarding the location of Vasant
Continental Hotel. Now if we see the facilities of all the three hotels and compare
we conclude that Oberoi’s rates high among the two hotels. Another conclusion of
my survey regarding ambience of three hotels is that Oberoi hotels rates high among
the two.

64
Location Preferences

90.00%
80.00%
70.00%
60.00%
% of people

50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
Airport Shopping
Parameters of distinction

Oberoi LeMeridien Vasant Continental Raddisson

In my survey regarding location I have divided location under two heads – Airport
& Shopping. Vasant Continental rates high as it is near to the airport and Le-
Meridien rates high because it is near by Connaught Place and Janpath area. The
Hotel Radisson Noida is placed 30 kms away from airport and 15 kms away from
Trade Fair Ground and 18 kms away from the city centre, New Delhi.

65
Facilities provided by various hotels

100.00%

90.00%

80.00%

70.00%

60.00%

50.00%

40.00%

30.00%

20.00%

10.00%

0.00%
Ironing of suit per day Chauffer Driven AC car Ticket confirmation Buffet dinner

Oberoi LeMeridien Vasant Continental Raddison

Now dividing facilities under the following heads like buffet dinner and ticket
confirmation etc. We observed that Oberoi's rates high among the facilities.

66
Ambience

100.00%
90.00%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
Interior Exterior

Oberoi LeMeridien Vasant Continental Radisson

While dividing ambience under the two heads exterior and interior parameters
Oberoi’s rates high among the two.

67
 CONCLUSION & RECOMMENDATIONS

A deep insight of the hotel reveals that it is a business. In service industry like hotel
industry everything depends on the manpower.

Create differentiation at every point whenever products and services come in

contract with the customer.

By capturing the right requirements organizations can avoid failure of their

relationships to the customer. However there is no golden formula, the focus should
be on capturing the right requirements.

Creating positive first implementation requires team approach

As experienced hoteliers know, a first impression sets the tone for an entire stay.
When a positive impression is created, everything trends to go well thereafter.

The following page gives an insight into how the hotels can ensure that a positive
first impression is created consistently and effectively. This can be done by taking
care at the following touch points:-

68
Reservations

Train your staff to obtain and enter accurate contract information of their guests who
are going to arrive.

Front Desk

Make sure all associates services the arrivals to identify repeat guests the might
recognize and later be able to great by name.

Make sure that every guest in properly greeted upon arrival with welcoming
statement, deliver sincerely with a warm smile and eye contract.

Guest Services

Make sure door staff stays in position even during slower periods. Ensure that the
staff extends hospitality to all guests, including greeting every one they pass in room
corridors and public areas.

Train your staff on effective verbal communication techniques including inflection

and energy.

Benefits and Packages

It becomes convenient for the guest to avail of the benefits if they are told about
them in advances. The packages has been prepared with lot of hard work and
thinking, to make it a real success the guests should know about the benefits so that

69
they can after they leave advertise for hotel, through verbal comments on the
packages.

 Retention of the hotel in the minds of the customers in terms of their services,
ambiences and image has to be constantly reminded to them, and for that, the
hotels have to resort to serious advertisement and image enhancing campaigns.

 All the 3 hotels have more than 1000 employees, working for them providing
services shift wise. They have come out with the "different packages" which will
provide better customer services.

For the guests it has been suggested that the various corporate guests should be
requested to give their views on the hotel services, quality etc. in an unbiased manner
and should also be asked to give suggestions on how else to improve to their services,
what facilities they should like to be included etc. This should be well taken care of
an appropriate action should be taken.

70
Every business customer relationship makes good sense to be successful in making
each individual customer as profitable as possible. We need to understand their value
and growth potential. Good customer relation allows us to keep customers happy
and satisfied and they will keep coming back to us, and for this we need to respond
quickly to their unique needs and behavior. The better we know our customer, the
more efficiently/effectively we can customize the offerings and thus make more
profits.

71
 BIBLIOGRAPHY

Internet

 www.lemeridien-newdelhi.com

 www.oberoihotels.com/india/delhi/oberoidelhi/overview/index.asp?leftinfo=1&
leftitem=1
 www.jaypeehotels.com/vasant/boutique-hotels-new-delhi-india.asp
 www.radisson.com/noidain
 www.google.com
 www.brandimensions.com
 www.indiainfoline.com

Books & Journals

The Federation of Hotel & Restaurant Associations of India (FHRAI’s ) Indian

Hotel Industry Survey 2003-2004 manual.

72
 QUESTIONNAIRE

Name:
Age:
Occupation:
Address:

Please mark the appropriate choices “ – yes and  – no”:

Where did you hear about the hotel from?
Travel agent  Company 

Newspaper advertisement  Employees  Others 

Are you a regular guest here?

Yes  No 

You are currently on any package. Are you aware of the benefits of the
package?
Yes  No 

Please tick () the benefits you are aware of:

American Breakfast  Evening Canapés 

Bottle of wine per stay  Tea / coffee through out the day 
Use of plaza club lounge  Meeting room for two hours per 
throughout the day day

Ticket confirmation  Ironing of a suit per day 

73
Chauffer driven AC Luxury car  Buffet Dinner at the coffee 
for the day shop.

Photocopying and use of 

computers in the plaza club
library

Overall how satisfied have you been with the service.

Very satisfied Somewhat Neither Somewhat Very

satisfied satisfied nor dissatisfied dissatisfied
dissatisfied

REASONS:

Please indicate your views on the following:

Excellent Good Fair Unsatisfactory

1.Greeting on arrival

2.Check - in Experience

3.Luggage handling

4.Quality of rooms

74
 5.Quality of Bathrooms

6.Service

7. Menu selection and food

quality

8. Atmosphere and ambience

Please indicate
a) Your view on the service level.
My view on
Service level is: Low high
1. Quality of service
2. Employees understanding of the needs of the guests
3. Willingness to help guests
4. Maintaining error free records.
5. Promptness in service.

Do you feel your hotel is cost effective?

Yes  No 

Is there anything in particular you liked or disliked about the hotel?

75