Sei sulla pagina 1di 14

MARRIOTT’S CUSTOMER-

FOCUSED
BY: HINA
E-BUSINESS STRATEGY
KAPOOR
AASHU

HEMRAJ MEENA

ASHISH AGNIHOTRI

ABHISHEK YADAV

SECTION- C

BATCH- L1S1
INTRODUCTION
qThe case is about Marriott
International, world leader in
hospitality industry who focused
on providing excellent customer
service by using IT.
q
qHeadquartered at Washington in
the US.
q
qThe company offered
personalized services to its
clients, whom it referred to as
its ‘guests’.

qIn 1980’s the company launched


the Marriott Automated
BACKGROUND OF MARRIOTT

q In 1927, J.William Marriott set up a nine-seat root-


beer shop in Washington and after some time
started serving hot food and named the shop
‘The Hot Shoppe.
q In 1937, it entered into airline catering at
Washington Airport.
q In November 1967 the name was changed to
Marriott Corporation.
q Marriott ventured into economy lodging by
launching the first Fairfield Inn in Atlanta,
Georgia in 1987.
q In 1993 the operations of Marriott were split into
two companies- Marriott International Inc and
CONT…
qIn 1997 Marriott completed the
$1 bn acquisition of the
Renaissance Hotel Group.

qMarriott had a presence in


vacation ownership resorts
through its Marriott vacation
Club International

qAs part of its proactive efforts to


improve customer service,
Marriott launched its website
www.marriott.com in 1996.
THE WEBSITE
q The website in its homepage had five
icons
 Hotel Directories- This section had
details such as the name of the
hotel, the address and the phone
numbers of all the hotels in the
Marriott chain across the world.

 Reservations- By clicking the ‘Make
Reservations’ that led to the ‘click
hotel availability’ page. Then after
entering the date of arrival and
departure and the number of people
the page displays the type of rooms
CONT…
 Meeting Planner- This section
targeted business customers to
conducted frequent meetings.
These clients could book a min
and max number of rooms and
meeting rooms.
 Travel Agent- This section was
targeted at travel agents providing
them with the information
regarding the codes of hotels and
to know the availability of the
hotels.
 Suggestion Box- Through this the
users could e-mail their
E-BUSINESS SYSTEM
q By the late 1990’s Marriott’s
management had realized that
through IT the company could make
its services easily accessible to
clients and boost the finances
considerably.
q Marriott wanted to install an e-
business system which could it a
single-point interface for all
customer transactions.
q Marriott partnered with Siebel Systems
a leading Customer Relationship
Management (CRM) software vendor
in 1998.
BUSINESS STRATEGY

q The e-business strategy emphasized


on increasing revenues earned per
customer.

q The four key objectives of the e-


business strategy included:

1.Serving Customers Proactively- The


company felt the need to acquire
more information about its
customers tastes and preferences,
equipped with data the sales
personnel could cultivate long-term
relationship and present Marriott as
CONT…
2. Personalized Service Offerings-

Customers could make


bookings/cancellations either through
websites, over the phone, through
travel agents or through the sales
personnel. E-business provide
standardized information about
customer data. This facility was
especially useful for business visitors
who had to change the schedules
frequently.

3. Enhancing Brand Loyalty- Depending


upon customer requirements and


spending capabilities Marriott offered
various price and service levels. It
helped Marriott to hook customers to
CONT…
4. Cross-Selling- Marriott’s e-

business strategy aimed at cross-


selling other products and
services to its existing customers.
For example- Marriott could sell
vacation packages to its business
customers. Once the customer
agrees it could develop a vacation
plan as per the tastes and
preferences of the customers to
provide them personalized
service at the time of arrival.
BENEFITS FROM E-BUSINESS
SOFTWARE
q In 1999 Marriott earned a revenue of
$150 mn from the online booking
through its website.
q
q Estimates for 2000 indicated that every
month the website received 3 mn hits
making it one of the largest viewed
websites in the US hospitality industry.
q
q By 2002 the website earned Marriott
sales of $ 1 bn.
q
q On August 25, 2003 Marriott was given
the prestigious CIO-100 award and
became the only company in the
hospitality industry win the award for
the fourth time.
CONT…
q Marriott was also ranked as the
most admired company in the
lodging industry in 2003 by the
Fortune magazine.
q
q Fortune magazine selected Marriott
on various criteria such as
innovativeness, quality of
management, employee talent,
use of technology, social
responsibility, financial
soundness, long-term value and
quality of products and services.
CONCLUSION
q Latest IT is an integral part of any
organization.
q
q Marriott realized the importance of IT
in their business and adopted the
same.
q
q IT provided Marriott customer loyalty
and a lot of rewards and
recognitions.
q
q Due to the adoption of IT Marriott
earned a lot of revenue and their
business strategy was a complete

Potrebbero piacerti anche