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Parth arora
CASE ON TAJ HOTELS
Taj hotel in Mumbai
CONTENT
• VIEW OF HOTEL INDUSTRY
• CHALLENGES FOR HOTEL INDUSTRY
• INTRODUCTION OF TAJ HOTELS.
• MARKETING MIX.
• STP ANALYSIS.
• COMPETITOR.
• MERSER & ACQUISITION.
• ETOP
• SAP ANALYSIS
VIEW OF HOTEL INDUSTRY
• What is Hotel Industry?
“A Building Where Travelers Can Pay for Lodging and
Meals and Other Services”
Objectives of Hotel Industry
Customer Satisfaction
Health
Safety Environment
To Promote Tourism
STAR RATED
HOTELS
5 DELUXE & 5
: LUXURY AT HIGH
PRICE , 27 % GOVT.
APPROVED ROOMS
FORMS 30% OF
INDUSTRY
BUILT OVER
18000 sq.m AREA
2 & 1 :
AROUND TOURIST
SPOT, PREFERRED
BY DOMESTIC
TOURIST
4 & 3 :
FOR MIDDLE LEVEL
BUSINESS
EXECUTIVES/LEISURE
TRAVELLERS
Eg : ITC,
TAJ GROUP,
OBEROI GROUP,
ITDC
HERITAGE
CLASSIC:
HOTELS
CONSTRUCTED
BETWEEN
1920 - 1935
HERITAGE
GRAND:
HOTELS
CONSTRUCTED
PRIOR TO
1920
HERITAGE:
HOTELS
CONSTRUCTED
AROUND
1935 – 1950
HERITAGE
HOTELS
 CHARACTERISED BY LESSER CAPITAL EXPENDITURE AND
AFFORDABILITY .
 OPERATE FROM FORTS, PALACES, CASTLES, RIVER
LODGES, HERITAGE BUILDINGS ETC.
• SPECIALLY EQUIPED WITH CONFERENCE
ROOMS, SEMINAR HALLS, INTERNET
FACILITIES ETC. TO SUIT THE CORPORATE
GUESTS.
• Eg: INTER-CONTINENTAL, CROWNE PLAZA
BUSINESS
HOTELS
AIRPORT
HOTELS
• LOCATED NEAR AIRPORTS AND SUITABLE
FOR SHORT STAY TRAVELLERS.
• ARE FOUND NEAR ALL MAJOR CITY
AIRPORTS.
HONEYMOON
HOTELS
• MOSTLY LOCATED AT HILL STATIONS AND
SPECIALLY FASCILITATED TO SUIT THE
COMFORTS OF HONEYMOON COUPLES.
• Eg. HOTEL WOODVILLE PALACE, CARLTON
HOTEL, HOTEL HONEYMOON INN ETC.
FACILITY HOTELS
Challengeg for Hotel Industry
1. Shortage of skilled employees
2. Retaining quality workforce
3. Shortage of rooms
4. Intense competition and image of India
5. Customer expectations
6. Manual back-end
INTRODUCTION OF TAJ HOTEL
• The Indian Hotels Company (IHC) is the parent
company of Taj Hotels Resorts and Palaces.
• It was founded by Jamsetji N. Tata on
December16, 1903.
• Currently the Taj Hotels Resorts and Palaces
comprises 57 hotels at 40 locations across
India
Cont……….
• Additional 18 hotels are also being operated
around the globe.
• During fiscal year 2006, the total number of
hotels owned or managed by the Company
was 75.
• The Taj hotels are categorized as luxury,
leisure and business hotels.
Cont……….
The Taj Luxury Hotels offer a wide range of
luxurious suites with modern fitness centers,
rejuvenating spas, and well-equipped banquet
and meeting facilities.
The Taj Leisure Hotels offer a complete
holiday package that can be enjoyed with the
whole family.
Cont………
 It provides exciting activities ranging from
sports, culture, environment, adventure,
music, and entertainment.
 The Taj Business Hotels provide the finest
standards of hospitality, which helps the
business trips to be productive.
 They offer well-appointed rooms,
telecommunication facilities, efficient
service, specialty restaurants and lively bars,
well-equipped business centres, and other
conference facilities
THE TAJ GROUP OF HOTELS
SEGMENTATION
TAJ LUXURY
HOTELS –
TAJ PALACE,
TAJ MAHAL,
TAJ BENGAL,
TAJ WEST END
 OFFER FINEST
STANDARD OF
HOSPITALITY &
SERVICE
TAJ BUSINESS
HOTELS:
TAJ PRESIDENT,
TAJ RESIDENCY,
TAJ CONNEMARA,
TAJ BLUE
DIAMOND
 OFFER
MULTI – CUISINE
RESTAURANTS &
BEST BUSINESS
FASCILITIES
TAJ LEISURE
HOTELS:
TAJ BEACH
RESORT,
TAJ CULTURAL
CENTRE,
TAJ GARDEN
RETREATS
 LOCATED AT
BEACH RESORTS,
PALACES, PILGRIM
CENTRES ETC.
Vision
• The Taj Group of Hotels commits itself to the
overall improvement of the ecological
environment, which we are all a part of.
• We recognize that we are not owners but
caretakers of the Planet and owe it to our children
and future generations of humankind.
• It is our endeavor not only to conserve and protect
but also to renew and regenerate the environment
in which we live and operate
Cont………
• Our commitment encompasses all actions related to
our products, services, associates, partners, vendors
and communities.
• We will partner and engage with our environment
through EARTH: Environmental Awareness and
Renewal at Taj Hotels. For us EARTH is not a
program, nor a process; it is a way of life
Global award……….
• Sep-2008
 Taj Hotels Resorts and Palaces is proud to receive the 2008
GOLD Magellan Award for its Brand Campaign - 'No Room for
the Ordinary' in the Advertising / Marketing Campaign Category
and Print advertising Category.
• Sep-2008
 Taj Hotels Resorts and Palaces is proud to receive the award for
‘The Best Business Hotel Chain in India’ by the readers in UK at
the 2008 Business Traveller Awards.
• Sep-2008
 Taj Hotels Resorts and Palaces tops the ranking in hotels segment
in 'Asia Pacific's Top 1,0-00 Brands' survey for 2008.
National award
Apr-2009
• Jiva Spa is nominated for the award of ‘Best Spa Treatment –
Ventoz’ Asia Spa India Awards held on 8th April 2009 held
atDelhi
Jan-2008
• Dun & Bradstreet - American Express Corporate Awards 2007
-India's Top 500 Companies 2007 - in the "Hotels" category -
TheIndian Hotels Company Ltd.
Jan-2008
• Taj Hotels Resorts & Palaces - Avaya GlobalConnect
CustomerResponsiveness Awards 2007- “ India’s Most
CustomerResponsive Hotel “ – Category Hotels.
Mile stone of taj GRoUP
• 1903
The Company opens its first hotel, the "Taj Mahal Palace" in Mumbai,
India.
The Company opens its first five star deluxe beach resort, the "Fort
Aguada Beach Resort" in Goa.
• 1974
The Company begins business in metropolitan hotels by
opening the five star deluxe hotel, the "Taj Coramandel" in
Chennai
• 1980
The Company opens its first hotel outside India, the "Taj
Sheba Hotel" in Sana'a, Yemen.
• 1984
The Company entered into a licence agreement to operate
the "Taj West End" in Bangalore, "Taj Connamera" in
Chennai and the "Savoy" in Ooty.
• 1989
The Company opens a five star deluxe hotel in Calcutta, the
"Taj Bengal
• 1990
The Company establishes the Taj Kerala Hotels and Resorts Limited with the
Kerala Tourism Development Corporation.
• 1998
The Company opens the "Taj Exotica" in Bentota, Sri Lanka.
• 2000
The Company establishes Taj GVK Hotels and Resorts Limited with the GVK
group to operate three hotels in Hyderabad.
• 2001
The Company is awarded the management contract for the "Taj Palace", Dubai.
The Company launches the "Taj Exotica Spa and Resort" in Maldives.
• 2002
The Company obtains licenses to manage and operate two leisure hotels: the
"Rawal-Kot" in Jaisalmer and the "Usha Kiran Palace", Gwalior.
• 2003
The Company relaunches its flag ship property as the "Taj Mahal Palace and
Tower.
• 2004
The Company launches its first luxury serviced apartments, "Wellington Mews" in
Mumbai.
The Company opens its first economy hotel under the brand "Ginger" in Bangalore.
• 2005
The Company obtains a management contract to operate "The Pierre" in New
York, USA.
The Company entered into a management contract to operate the "Taj Exotica" in
Palm Island, Jumeirah, Dubai.
The Company obtained the operating agreement for the "Umaid Bhavan Palace"
in Jodhpur.
• 2006
The Company acquires the "W" hotel in Sydney, Australia
which is later renamed as the "Blue Sydney".
The Company commences operation of its first wildlife
lodge at Mahua Kothi, Bandhavgarh.
• 2007
The Company acquires the "Ritz-Carlton" in Boston, USA
which is later renamed as the "Taj Boston."
The Company commences operation of its second wildlife
lodge at Baghvan, Pench.
MARKETING MIX STRATEGY OF TAJ
HOTELS
Products
Room
Restaurant and Bar.
Meeting room and Banquet facility
Amenities
Services
Safe deposit box
Special services
• courier
• Child care
• Laundry
• Pet
• Internet
• Travel desk
• Babysitting
• Wake-up call
• Barber shop
• Boutiques
• Currency exchange
• In room telephone service
• Express check -in and out
• Florist
• Front desk 24 – hour
• Gift shop
• Maid service
PRICE
Taj hotel has set its price of the room on the basis of
Business, Leisure and Luxury class.
Rate
The Taj Suite US$-175
Executive Suite US$ -125
Standard sea view double US$-75
Standard sea view single US$-75
The Taj Lady US$-90
PLACE
 Location of the hotel is the most important business
decision for the hotel.
Present in metro cities in India
Global presence (Maldives,London,Dubai,Colombo)
PROMOTION STRATEGY
Promotional schemes are carried on regularly the hotel has
many loyalty programe,clubes,membership,previlage etc
some of them are
1. The Taj Inner Circle.
2. The Taj Junior League.
3. The Taj Club.
Taj also offer Taj surprises including weekend savers,value
vouchers,book early get more,
ADVERTISEMENT
Business news paper(E.T, Financial Express, Bombay Times)
T.V channels like STAR NEWS,CNN and CNBC.
Magazines like THE OUT LOOK TRAVELAR,GO NOW and
TRAVEL.
Physical Evidence
Lobby- It being the first & the last part of the hotel that the
guestsees,thus it should be well designed, also to ensure that the
customer returns again the room should be comfortable and should
have made his stay hassle free
Process
Major service encounter that extremely delighted or disappointed
are:
1. Check – in.
2. Bell person carrying luggage to the room.
3. Food.
4. Wake up call
5. Check out.
People
• Skilled person
• Professional person
• Personal Agents
• Technological person
• Travel agents
COMPETITER
The hotel has many competitors like
1.The Oberai towers
2.The Marine Plaza
3.The Orchid.
4.Le Meridian
Acqusition-hotel blue diamond pune.
STP analysis
Segmentation
• Geographical segmentation
• Demographical segmentation
• Psychographic segmentation
• Behavioral segmentation
THE TAJ GROUP OF HOTELS
SEGMENTATION
TAJ LUXURY HOTELS
TAJ PALACE,
TAJ MAHAL,
TAJ BENGAL,
TAJ WEST END
 OFFER FINEST STANDARD OF HOSPITALITY &
SERVICE
TAJ LEISURE HOTELS
TAJ BEACH
RESORT,
TAJ CULTURAL CENTRE,
TAJ GARDEN
RETREATS
 LOCATED AT BEACH RESORTS,PALACES,
PILGRIM CENTRES ETC.
Positioning
• Through print media
• Electronic media
• Magazines
• Online advertising
Targeting
• Targeting is a group of people who have
common need, and behavior.
• Business class
• Upper class
• Tourists
Mergers and acquisitions
Indian HotelsIndian Hotels Starwood GroupStarwood Group
(W Hotel)(W Hotel)
SydneySydney Dec 2005Dec 2005
The PierreThe Pierre USUS July 2005July 2005
Regent HotelRegent Hotel
(renamed Taj Lands(renamed Taj Lands
End)End)
IndiaIndia September 2002September 2002
ETOPFactors Sub factor opportunity threats Neutral
Neutral Law making, Tax
policy, Price
control, Internal
Environment
legal Employment law,
Govt. policy
economical Interest rate,
Inflation,
exchange rate
Socio culture
technological
competitor
SAP analysis
factors strategy strength weakness Neutral
Marketing mix P 1
P 2
P 3
P 4
HR
Finance
Production
operation
system
G

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  • 2. CASE ON TAJ HOTELS
  • 3. Taj hotel in Mumbai
  • 4. CONTENT • VIEW OF HOTEL INDUSTRY • CHALLENGES FOR HOTEL INDUSTRY • INTRODUCTION OF TAJ HOTELS. • MARKETING MIX. • STP ANALYSIS. • COMPETITOR. • MERSER & ACQUISITION. • ETOP • SAP ANALYSIS
  • 5. VIEW OF HOTEL INDUSTRY • What is Hotel Industry? “A Building Where Travelers Can Pay for Lodging and Meals and Other Services” Objectives of Hotel Industry Customer Satisfaction Health Safety Environment To Promote Tourism
  • 6. STAR RATED HOTELS 5 DELUXE & 5 : LUXURY AT HIGH PRICE , 27 % GOVT. APPROVED ROOMS FORMS 30% OF INDUSTRY BUILT OVER 18000 sq.m AREA 2 & 1 : AROUND TOURIST SPOT, PREFERRED BY DOMESTIC TOURIST 4 & 3 : FOR MIDDLE LEVEL BUSINESS EXECUTIVES/LEISURE TRAVELLERS Eg : ITC, TAJ GROUP, OBEROI GROUP, ITDC
  • 7. HERITAGE CLASSIC: HOTELS CONSTRUCTED BETWEEN 1920 - 1935 HERITAGE GRAND: HOTELS CONSTRUCTED PRIOR TO 1920 HERITAGE: HOTELS CONSTRUCTED AROUND 1935 – 1950 HERITAGE HOTELS  CHARACTERISED BY LESSER CAPITAL EXPENDITURE AND AFFORDABILITY .  OPERATE FROM FORTS, PALACES, CASTLES, RIVER LODGES, HERITAGE BUILDINGS ETC.
  • 8. • SPECIALLY EQUIPED WITH CONFERENCE ROOMS, SEMINAR HALLS, INTERNET FACILITIES ETC. TO SUIT THE CORPORATE GUESTS. • Eg: INTER-CONTINENTAL, CROWNE PLAZA BUSINESS HOTELS AIRPORT HOTELS • LOCATED NEAR AIRPORTS AND SUITABLE FOR SHORT STAY TRAVELLERS. • ARE FOUND NEAR ALL MAJOR CITY AIRPORTS. HONEYMOON HOTELS • MOSTLY LOCATED AT HILL STATIONS AND SPECIALLY FASCILITATED TO SUIT THE COMFORTS OF HONEYMOON COUPLES. • Eg. HOTEL WOODVILLE PALACE, CARLTON HOTEL, HOTEL HONEYMOON INN ETC. FACILITY HOTELS
  • 9. Challengeg for Hotel Industry 1. Shortage of skilled employees 2. Retaining quality workforce 3. Shortage of rooms 4. Intense competition and image of India 5. Customer expectations 6. Manual back-end
  • 10. INTRODUCTION OF TAJ HOTEL • The Indian Hotels Company (IHC) is the parent company of Taj Hotels Resorts and Palaces. • It was founded by Jamsetji N. Tata on December16, 1903. • Currently the Taj Hotels Resorts and Palaces comprises 57 hotels at 40 locations across India
  • 11. Cont………. • Additional 18 hotels are also being operated around the globe. • During fiscal year 2006, the total number of hotels owned or managed by the Company was 75. • The Taj hotels are categorized as luxury, leisure and business hotels.
  • 12. Cont………. The Taj Luxury Hotels offer a wide range of luxurious suites with modern fitness centers, rejuvenating spas, and well-equipped banquet and meeting facilities. The Taj Leisure Hotels offer a complete holiday package that can be enjoyed with the whole family.
  • 13. Cont………  It provides exciting activities ranging from sports, culture, environment, adventure, music, and entertainment.  The Taj Business Hotels provide the finest standards of hospitality, which helps the business trips to be productive.  They offer well-appointed rooms, telecommunication facilities, efficient service, specialty restaurants and lively bars, well-equipped business centres, and other conference facilities
  • 14. THE TAJ GROUP OF HOTELS SEGMENTATION TAJ LUXURY HOTELS – TAJ PALACE, TAJ MAHAL, TAJ BENGAL, TAJ WEST END  OFFER FINEST STANDARD OF HOSPITALITY & SERVICE TAJ BUSINESS HOTELS: TAJ PRESIDENT, TAJ RESIDENCY, TAJ CONNEMARA, TAJ BLUE DIAMOND  OFFER MULTI – CUISINE RESTAURANTS & BEST BUSINESS FASCILITIES TAJ LEISURE HOTELS: TAJ BEACH RESORT, TAJ CULTURAL CENTRE, TAJ GARDEN RETREATS  LOCATED AT BEACH RESORTS, PALACES, PILGRIM CENTRES ETC.
  • 15. Vision • The Taj Group of Hotels commits itself to the overall improvement of the ecological environment, which we are all a part of. • We recognize that we are not owners but caretakers of the Planet and owe it to our children and future generations of humankind. • It is our endeavor not only to conserve and protect but also to renew and regenerate the environment in which we live and operate
  • 16. Cont……… • Our commitment encompasses all actions related to our products, services, associates, partners, vendors and communities. • We will partner and engage with our environment through EARTH: Environmental Awareness and Renewal at Taj Hotels. For us EARTH is not a program, nor a process; it is a way of life
  • 17. Global award………. • Sep-2008  Taj Hotels Resorts and Palaces is proud to receive the 2008 GOLD Magellan Award for its Brand Campaign - 'No Room for the Ordinary' in the Advertising / Marketing Campaign Category and Print advertising Category. • Sep-2008  Taj Hotels Resorts and Palaces is proud to receive the award for ‘The Best Business Hotel Chain in India’ by the readers in UK at the 2008 Business Traveller Awards. • Sep-2008  Taj Hotels Resorts and Palaces tops the ranking in hotels segment in 'Asia Pacific's Top 1,0-00 Brands' survey for 2008.
  • 18. National award Apr-2009 • Jiva Spa is nominated for the award of ‘Best Spa Treatment – Ventoz’ Asia Spa India Awards held on 8th April 2009 held atDelhi Jan-2008 • Dun & Bradstreet - American Express Corporate Awards 2007 -India's Top 500 Companies 2007 - in the "Hotels" category - TheIndian Hotels Company Ltd. Jan-2008 • Taj Hotels Resorts & Palaces - Avaya GlobalConnect CustomerResponsiveness Awards 2007- “ India’s Most CustomerResponsive Hotel “ – Category Hotels.
  • 19. Mile stone of taj GRoUP • 1903 The Company opens its first hotel, the "Taj Mahal Palace" in Mumbai, India. The Company opens its first five star deluxe beach resort, the "Fort Aguada Beach Resort" in Goa. • 1974 The Company begins business in metropolitan hotels by opening the five star deluxe hotel, the "Taj Coramandel" in Chennai
  • 20. • 1980 The Company opens its first hotel outside India, the "Taj Sheba Hotel" in Sana'a, Yemen. • 1984 The Company entered into a licence agreement to operate the "Taj West End" in Bangalore, "Taj Connamera" in Chennai and the "Savoy" in Ooty. • 1989 The Company opens a five star deluxe hotel in Calcutta, the "Taj Bengal
  • 21. • 1990 The Company establishes the Taj Kerala Hotels and Resorts Limited with the Kerala Tourism Development Corporation. • 1998 The Company opens the "Taj Exotica" in Bentota, Sri Lanka. • 2000 The Company establishes Taj GVK Hotels and Resorts Limited with the GVK group to operate three hotels in Hyderabad. • 2001 The Company is awarded the management contract for the "Taj Palace", Dubai. The Company launches the "Taj Exotica Spa and Resort" in Maldives. • 2002 The Company obtains licenses to manage and operate two leisure hotels: the "Rawal-Kot" in Jaisalmer and the "Usha Kiran Palace", Gwalior.
  • 22. • 2003 The Company relaunches its flag ship property as the "Taj Mahal Palace and Tower. • 2004 The Company launches its first luxury serviced apartments, "Wellington Mews" in Mumbai. The Company opens its first economy hotel under the brand "Ginger" in Bangalore. • 2005 The Company obtains a management contract to operate "The Pierre" in New York, USA. The Company entered into a management contract to operate the "Taj Exotica" in Palm Island, Jumeirah, Dubai. The Company obtained the operating agreement for the "Umaid Bhavan Palace" in Jodhpur.
  • 23. • 2006 The Company acquires the "W" hotel in Sydney, Australia which is later renamed as the "Blue Sydney". The Company commences operation of its first wildlife lodge at Mahua Kothi, Bandhavgarh. • 2007 The Company acquires the "Ritz-Carlton" in Boston, USA which is later renamed as the "Taj Boston." The Company commences operation of its second wildlife lodge at Baghvan, Pench.
  • 24. MARKETING MIX STRATEGY OF TAJ HOTELS Products Room Restaurant and Bar. Meeting room and Banquet facility Amenities Services Safe deposit box
  • 25. Special services • courier • Child care • Laundry • Pet • Internet • Travel desk • Babysitting • Wake-up call
  • 26. • Barber shop • Boutiques • Currency exchange • In room telephone service • Express check -in and out • Florist • Front desk 24 – hour • Gift shop • Maid service
  • 27. PRICE Taj hotel has set its price of the room on the basis of Business, Leisure and Luxury class. Rate The Taj Suite US$-175 Executive Suite US$ -125 Standard sea view double US$-75 Standard sea view single US$-75 The Taj Lady US$-90
  • 28. PLACE  Location of the hotel is the most important business decision for the hotel. Present in metro cities in India Global presence (Maldives,London,Dubai,Colombo)
  • 29. PROMOTION STRATEGY Promotional schemes are carried on regularly the hotel has many loyalty programe,clubes,membership,previlage etc some of them are 1. The Taj Inner Circle. 2. The Taj Junior League. 3. The Taj Club. Taj also offer Taj surprises including weekend savers,value vouchers,book early get more, ADVERTISEMENT Business news paper(E.T, Financial Express, Bombay Times) T.V channels like STAR NEWS,CNN and CNBC. Magazines like THE OUT LOOK TRAVELAR,GO NOW and TRAVEL.
  • 30. Physical Evidence Lobby- It being the first & the last part of the hotel that the guestsees,thus it should be well designed, also to ensure that the customer returns again the room should be comfortable and should have made his stay hassle free Process Major service encounter that extremely delighted or disappointed are: 1. Check – in. 2. Bell person carrying luggage to the room. 3. Food. 4. Wake up call 5. Check out.
  • 31. People • Skilled person • Professional person • Personal Agents • Technological person • Travel agents
  • 32. COMPETITER The hotel has many competitors like 1.The Oberai towers 2.The Marine Plaza 3.The Orchid. 4.Le Meridian Acqusition-hotel blue diamond pune.
  • 34. Segmentation • Geographical segmentation • Demographical segmentation • Psychographic segmentation • Behavioral segmentation
  • 35. THE TAJ GROUP OF HOTELS SEGMENTATION TAJ LUXURY HOTELS TAJ PALACE, TAJ MAHAL, TAJ BENGAL, TAJ WEST END  OFFER FINEST STANDARD OF HOSPITALITY & SERVICE
  • 36. TAJ LEISURE HOTELS TAJ BEACH RESORT, TAJ CULTURAL CENTRE, TAJ GARDEN RETREATS  LOCATED AT BEACH RESORTS,PALACES, PILGRIM CENTRES ETC.
  • 37. Positioning • Through print media • Electronic media • Magazines • Online advertising
  • 38. Targeting • Targeting is a group of people who have common need, and behavior. • Business class • Upper class • Tourists
  • 39. Mergers and acquisitions Indian HotelsIndian Hotels Starwood GroupStarwood Group (W Hotel)(W Hotel) SydneySydney Dec 2005Dec 2005 The PierreThe Pierre USUS July 2005July 2005 Regent HotelRegent Hotel (renamed Taj Lands(renamed Taj Lands End)End) IndiaIndia September 2002September 2002
  • 40. ETOPFactors Sub factor opportunity threats Neutral Neutral Law making, Tax policy, Price control, Internal Environment legal Employment law, Govt. policy economical Interest rate, Inflation, exchange rate Socio culture technological competitor
  • 41. SAP analysis factors strategy strength weakness Neutral Marketing mix P 1 P 2 P 3 P 4 HR Finance Production operation system