TM5004 Assignment: Taking on the role of a consultant, identify the opportunities, threats and strategies that Caenshill Hotel may have based on the trends and developments of the industry, management of the ‘service encounter’ and customer relationship management. Also consider how they may build on their strengths to improve their performance.
For this report you will need to demonstrate an understanding of theories and models related to hospitality management, operations and service.
For this assignment you will need to conduct a case study analysis of Caenshill Hotel. You will need to conduct relevant research and apply this to the case study. The assignment needs to follow the standard report format. Your case study analysis should include:
- Main body in which you link theory from the literature along with the practices of the organisations and critical analysis
- Recommendations to the hotel owners
Caenshill Hotel is an independent three-star hotel located in a small, tourist community near the seaside town of Southend-on-Sea, UK. It has been in business for fifteen years and has developed a solid, loyal customer base made up mostly of people over the age of 55. During the tourist season, the hotel used to get many referrals from various resorts in the area and has received good reviews which has helped draw in new customers for the hotel and restaurant. Over the past two years there have been some complaints about the hotel that have been published on review websites. This has led to some issues with ‘gaps’ in expectations and realities due to differing customers’ needs and wants with regards to facilities and service and this has started to have an effect on the occupancy and profits of the hotel and the usage of the restaurant by residents and non-residents.
What customers wanted was a decent place to stay and they were attracted by the location of the hotel. There have been several complaints about the inconsistent service in the restaurant, sometimes it took a long time for food to arrive and on other occasions the service was rushed. Customers did not feel that they had received good service that enabled them to relax and enjoy the views from the restaurant windows. There were also complaints about the food being cold. Several complaints had also been directed towards the staff covering reception and some of the housekeeping staff and the service they provide.
The owner of the hotel wants to set some goals so that Caenshill Hotel can move back towards their vision and mission statements: “To keep our customers coming back for beautiful hotel rooms, locally sourced food, attentive service, and a friendly welcoming atmosphere” and “Our mission is to provide customers quality rooms, healthy, organic cuisine with excellent service that exemplifies our heritage in Southend-on-Sea.”
In addition to this, they would like to expand their customer base to include different market segments and also have a more continuous flow of customers and not just rely on the tourist season to generate the majority of the income. They are aware of the changes in trends and developments in the industry but are not sure which direction to go in with the increased levels of competition in all areas (accommodation; food and beverage; events).
The following information provides additional background on this establishment:
- The current Head Chef was educated at Le Cordon Bleu, Paris, and has been chef at several luxury resorts.
- The local council encourages local businesses to expand.
- Because of housing development in the area, more hotels and restaurants are opening in the community.
- A small influx of popular chain and fast food restaurants has come to the area.
- Increased competition from other independent and chain hotels.
- Caenshill Hotel has a small staff quota; with many being multi-skilled.
- Caenshill Hotel can create customised menu selections upon request for events and special occasions and people can hire the restaurant for exclusive use.
- Caenshill Hotel serves breakfast, lunch and dinner and room service.
- Caenshill Hotel has a bar (open to residents and non-residents).
- Caenshill Hotel currently has a small menu of healthy food, including fish and game.
- Cash flow can be unreliable at times.
- Some customers have asked if they do catering for events outside of the hotel.
- Occupancy % – 66.1%
- ADR – £50.55
- RevPar – £33.40
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