Taj hotels and resorts service marketing mix Essay Example
Originally, the hotel was built at a time when the hotel industry was not yet recognized as an industry. However, from the beginning, the Tag Hotel was known for its class and comfort. It was a place where important figures like the viceroys of the Empire would arrive and depart amidst scenes of splendor, which were typical of the Raja. The Tag Hotel soon became renowned as one of the wonders of the Orient, surpassing even Singapore Raffles and Hong Songs Peninsula in terms of its rich ancestry. Interestingly, there was hardly any direct advertising to consumers during this time.
Advertising was not seen as necessary and the company itself was conservative and media-shy for many years. What set the Tag Hotel apart from others was its meticulous attention to detail, thanks to its founder Camshafts Data. As early as 1900, he ensured th
...at the Tag Hotel had its own laundry, an aerated water bottling plant, electroplating for silverware, a Moral silver burnishing machine, a crockery washing plant, and elevators.
The hotel was built at a cost of 500,000 pounds in 1903.
MARKETING STRATEGIES BY TAG - Positioning:
The Tag Group identified three distinct entities for their business: Business, Leisure, and Luxury.
The sub-brands within the hotel group started to operate differently in the late 1990s and early 2000s. Each division was responsible for a specific type of hotel, which were located in different geographical areas. The company's strategy focused more on the business segment as it was more profitable and less price-sensitive compared to the luxury segment. They expanded their presence by opening hotels in new cities and smaller towns,
continuously looking for new opportunities to enhance their brand. The company also went through changes such as consolidation, separating unprofitable ventures, and separating sales and marketing functions. The HARD department prioritized performance, career development, and succession planning. The organization was streamlined to be more efficient and compact. Benchmarking against international standards became an integral part of the company's culture. In the mid-2000s, a major renovation took place across the country, involving the refurbishment of units, renovation of rooms, and rebuilding business centers. Over a hundred million dollars were reportedly spent solely on renovating the lifestyle (luxury) segment.The Tag took an ostentatious approach to its new business floors, considering the potential for growth in the business segment and the likelihood of non-traditionalists using it. This involved installing optic fiber cabling, remote control systems, and creating a lounge and mini-business center for relaxation and breakfast options. However, some mistakes were made, such as incorporating a mint-gym that had to be removed due to disuse. Initially, fax machines were installed but had to be replaced with internet and laptops. In response to the decreasing use of telephones with the rise of mobile phones, the Tag provided mobiles for hire and reduced communication charges by 33 percent. Advertising was only done in major feeder markets like the US, UK, Germany, Singapore, and Hong Kong, focusing on the hardware aspect of the hotel. To establish a specific brand identity, a new advertising campaign was developed, reinforcing the Tag's high unaided recall with a corporate campaign featuring an enigmatic woman symbolizing hospitality and efficiency.Extensive research on consumer attitudes towards the Tag was conducted, involving over 60 in-depth interviews by the client
and agency. The focus was on quality rather than quantity, specifically on aspects such as check-in quality, smiles, greetings, and welcome drinks. The gathered insights were analyzed to identify a clear niche for the Tag in the face of global competition. This resulted in the development of a distinct personality for the Tag, described as caring, efficient, and enigmatic. The Tag's slogan became 'She is the Tag,' with the base line being 'Nobody cares as much.'
During the recession, other hotels experienced a significant drop in room occupancy rates, with some reaching as low as 37%. In contrast, the Tag maintained higher average occupancy rates and continued to grow and expand, ultimately becoming more profitable than ever before. This success can be attributed to the Tag's constant activity and presence.
The Tag brand comprises 58 hotels in India and 17 hotels globally, categorized into Luxury, Leisure, and Business. The Tag Luxury Hotels offer luxurious accommodations, specialty restaurants and bars, fitness centers and spas, as well as well-equipped business and banquet facilities.Tag Hotels offer a range of options for both leisure and business travelers. Their Leisure Hotels include beach resorts, garden retreats, palaces, and historic and pilgrim centers. These hotels cater to all age groups with a variety of activities. On the other hand, their Business Hotels are located in key commercial cities and towns, offering contemporary facilities and modern conveniences.
The Tag Hotels Resorts and Palaces brand comprises a total of 58 hotels across India and 17 hotels in international locations. These hotels are divided into three categories: Luxury, Leisure, and Business. The Luxury Hotels provide lavish accommodation, gourmet specialty restaurants and bars, fitness centers and spas, and
well-equipped business facilities. The core product that Tag offers is space, which is supplemented by additional amenities such as restaurants, health clubs, banquets, discotheques, bars, and business centers.
In terms of accommodation, Tag Hotels offer two types of rooms. The Tower Wing Rooms are contemporary and provide easy access to the Business Centre. They offer amenities such as internet connectivity, speaker phones with international direct dialing, voice mail, mini bars, personal safes, channel music, and satellite programmed television. On the other hand, the Heritage Wing Rooms are known for their architectural elegance and old-world charm.Each corridor in this Wing resembles an art gallery, with unique designs, decor, and furnishings in each room. Guests can choose rooms with views of the city, pool, Gateway of India, or Arabian Sea.
Tag Club, located on the top floors of the Heritage Wing, is specifically designed for business travelers. Amenities and services include airport limousine transfers, private check-in at the Club desk, in-room fax, personal safe, a complimentary bottle of wine, valet service, and a deluxe Continental breakfast.
In addition to these amenities, Tag Club also offers exclusive meeting rooms and a Business Service Unit on the Club Floor. Choose from various suites such as Junior Suites, Executive Suites, Large Suites, Luxury Suites, and Grand Luke Suites. The Presidential Suites are the most luxurious with original paintings and antiques that exude regal luxury and grandeur.
At select Tag hotels including The Tag Mall Hotel in Iambi (Mumbai), New Delhi, Kolkata (Calcutta), Agra, Bangalore, and Hyderabad, guests can now access broadband wireless Internet from anywhere in the hotel, eliminating the need to be in their room or at the Business Centre.The hotels have multiple
'hot spots' for Internet access throughout the premises. You can quickly connect to the Internet from anywhere in the hotel. The facilities and services offered include a swimming pool, beauty parlor, barber shop, travel desk, car rental, pastry shop, book shop, shopping arcade, currency exchange, doctor-on-call, and babysitting.
Various amenities such as steam rooms, billiards, tennis, and table tennis can be used upon request. They also provide 24-hour room service and laundry service. All of these facilities and services are available at one central location. The staff is trained to communicate any delays or failures in their services to customers promptly.
To maintain consistency in their services, they have implemented Standard Operating Procedures (SOP). This ensures that the quality and taste of the food served in the restaurant remain consistent at any time of the day. An example of their contingency plan is when the elevator breaks down, the Room Service staff use another elevator in a different wing to ensure timely delivery to customers.
The Tag Mall Palace & Tower in Iambi is a 105-year old heritage hotel and serves as the flagship hotel of the Tag group.The hotel mentioned in the text was targeted by terrorists in the November 2008 bombings of Iambi. It suffered severe damage and has been sealed off until it can be deemed safe and secure. However, the company has publicly stated that they will fully rebuild the resort to its original state. Additionally, the Tag company operates various hotels worldwide and in India, including The Pierre in New York, Tag Boston in Boston, Compton Place in San Francisco, 51 Bucking Gate in London, Tag Exotica Resort & Spa in the Maldives
and Mauritius, and Blue Sydney in Sydney. In India, they have Tag Lake Palace in Diaper, Rampage Palace in Jasper, Maid Banyan Palace in Jodhpurs, The Tag Mall Hotel in New Delhi, The Tag Residency in Locknut, The Tag West End in Bangor, Tag Malabar in Cochin, and Tag Exotica in Ago. The Tag Mall Palace & Tower is also known as Grammas of Maldives and the magmas f the Bengal. To boost occupancy in their hotels, Tag regularly offers promotions such as the Tag Holiday Summer Package during both peak and off-peak seasons. They advertise these promotions through calendars, monthly letters to their "Inner Circle Customers," and exhibitions showcasing their holiday packages.Price - Tag acknowledges that their prices may be too high for some customers, but this is because they have various expenses to cover and they strive to maintain superior quality. For example, a roadside sandwich seller can afford to sell their sandwich for a lower price because they have fewer expenses and no quality standards to meet. However, at The Tag, they prioritize serving the best quality and incur overhead expenses. The Tag caters to a specific target audience who value the ambiance and world-class standards it offers, which justifies the higher prices as it helps maintain the exclusivity of the brand.
Physical Evidence plays a significant role in satisfying customers at The Tag. Being a 5-star hotel, it has maintained an environment that is highly appreciated by all.
The major processes that can greatly impact customer satisfaction are check-in, luggage assistance by bell persons, food service, wake-up calls, and check-out. While these are the main processes performed by all hotels, The
Tag offers a variety of additional services to further enhance customer happiness.
The Tag employs a diverse team of professionals dedicated to delivering excellent service to customers. This includes skilled individuals, professionals, personal agents, and technological experts.Travel agents enlisted skilled professionals to cater to their customers, ensuring minimal service shortcomings and optimal performance.
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