Read the Case Study, Carlson: A Case Study in Strategy and Hospitality
Marketing Position by Justin Richards and Fred DeMicco. Review the questions at the end of the study, choose two questions and respond to them in the comments of this post.
NY Times Travel Section.
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New technologies that can assist Wagonlit Travel in securing the business of potential customers who are more used to traditional methods of travel arrangements are online advantages such as check in, reservations, and planning. By using new technologies such as phones and computers, customers can look at all their reservations and possible plans in one place and cross reference what they already have planned to maximize time. The company can do this by listing the benefits of these new technologies such as efficiency and convenience. The technology that I believe to be used in the next coming years is apps and online websites to book travel plans. To prepare for this Carlson should build their own user-friendly app that users can use from the convenience of their cell phone.
#2
I think hospitality rewards programs are important because it keeps customers returning to the same place or brand if they know they are getting good service and care and getting a little extra something as a reward. It keeps customers coming back to earn more and use the rewards they have earned. Some challenges they would face when creating a rewards program would be figuring out what rewards to give, what guests would need to do to receive points and rewards and creating new rewards for long term members. I would advise Carlson to create a reward system that encourages people to keep returning to help them reach their long-term goals.
1 What if any challenges are there in expanding into newer, emerging markets with high return potential? In your own words, what should Carlson be most concerned with, and provide a blueprint for how they can overcome this concern
Answer: To be honest there are many things to be worried about. When changing companies there agreement is going to be totally different when you started. However, if changing companies there may be better opportunities to better the sells. These are some concerns/ opportunities when doing something different.
There are more of course but these are just a few that come to mind. Wish that I can name them all, but we are going to be here all day.
2 Why do you think hospitality rewards programs are so important?
Answer: Hospitality rewards are very important because it makes the customer feel valued. And makes them want to come back or to spend that news that they should come to there instead.
2.1 What are some of the challenges that a hospitality company faces when creating and marketing a rewards program to the consumer?
Answer: There are MANY CHALLENGES that hospitality go through. Some customers are just completely rude that you don’t want to give it. Also some that just want their money back and going write a bad review online about their experiences.
2.2 How would you advise Carlson to market their?
Answer: The way I will be market something is making poster/ putting them online. Making a meeting for the employees to know how to respond if someone asked a question about it.
When I read about Carlson’s approach, it sounded like a quick transition that involved a significant level of risk. However, as I read deeper into the article, I learned that Carlson has three main franchises—hotels, restaurants, and a travel agency—that could work seamlessly together to create a non-stressful environment for guests. This would be especially true if they were to work together efficiently, as guests would not have to worry about finding accommodation or dining options. Despite Carlson’s ambitious goals of competing with world-renowned hotels and using technology to create better hotels, it did result in a decrease in hotel revenue.
Despite popular belief, hotels weren’t the main source of revenue for Carlson. It was their travel agency that brought in more profits from hotels and restaurants. This realization prompted Carlson to shift their focus entirely to the travel agency, resulting in even greater revenue gains than their hotels. When considering new ideas, it’s important to be fully committed and already have multiple ideas rather than simply competing with other companies. It was a learning experience for Carlson, and the company was able to benefit from this.
Carlon wanted to have a main focus in their industry and had to make a tough decision to have a clear focus. Opening in a foreign location is a big step they would have to be careful with. However, when the location is scoped out there are a lot of hidden gems you wouldn’t be able to find without the locals. Whenever tourist spots are being promoted they have the same locations in areas and they are always crowded. Being able to connect with someone from the area can tell you what food you should serve if there is a complimentary breakfast. Some locations can have scarce resources and would be frowned upon if they were being served.
Even though they sold TGIF they wanted to take a risk and focus more on the lodging industry. Despite the revenue the industry brought it wasn’t Carlson’s main goal. Focusing on the lodging industry is going to require more time especially if they want to join the ranks like Hilton and Marriot. Having unique locations can add to the charms like having a loyalty program if they have a profile with the company. Guests like to be appreciated if they have been loyal to a company for many years.
Why do you think hospitality rewards programs are so important? What are some of the challenges that a hospitality company faces when creating and marketing a rewards program to the consumer? How would you advise Carlson to market their program in order to reach their near term goals?:
Rewards are important for many reasons some of those reasons being that it encourages customer loyalty because when you offer customers a rewards program its because they are going to come back quite often and frequently thus giving them rewards for doing so which has them wanted to come back to both stay at the hotel and or resort and earn some more points towards a reward. Another reason for this is the revenue that comes from the royalty programs which brings in people who want to earn and get rewards which brings in more traffic to the hotel with a rewards program rather than one that does not have one. Some challenges that occur when making these reward programs and a big problem is the fact that once one hotel does the program and sees that it works its only a matter of time before other hotel companies start doing the same and it creates more competition and it also has the problem of technology implementation as it may become a problem to implement to an already existing system there might be bugs or glitches when making a new program which will make it harder to manage guest accounts and adding that personal touch. I would advise Carlton to clearly communicate and advertise the value of the rewards program to any potential customer while highlighting benefits some examples might be free nights, exclusive discounts, personalized perks etc. Another more obvious way is to invest in a promotion campaign which advertises the program like signs on the road or flyers that have QR codes to a sign up sheet and add a bonus points for first time sign up or referrals to friends and family. Lastly I would advise him to look at user data and to read feedback from customers as their data and feedback is the most important when it comes to improving on rewards and or benefits as they are the ones using the program and know what is working and what isn’t.
How can new technologies assist Carlson Wagonlit Travel with 66 Volume 4, Number 4 securing the business of potential customers who are more used to traditional methods of making business travel arrangements? What would you consider to be the technology that will be most used in the coming years and how should Carlson ensure that they are prepared for more widespread adoption of this technology in the coming years?
New Technologies are always being made now adays everyday we get more and more advance when it comes to technology so it is always important to keep up with the times and I would recommend the use of mobile apps as now a days every company has its own mobile app to make things simpler and easier than pulling up a website on your browser and typing in all your information when you can just set up your information once on the app and then never have to worry about it again and this is something that will be continued to be use for generations to come. The way you can insure that it will stay prepared for widespread adaptation is to invest in research and development to have people research what is trending and what people are using the most because the best strategy when it comes to our business is getting information and taking advantage of that information is what makes a good business.
1.What in your view does Carlson contribute, or not contribute, to the industry that assists in keeping hospitality related companies an employment leader in the U.S.?
Carlson contributes to the hospitality industry through its resorts, hotels, restaurants and travel agency which covers the main hospitality sectors of accommodation, food & beverage, travel & tourism and entertainment & recreation. The Quorvus Collection is a new addition to the Carlson family of hotel brands featuring six lifestyle elements of entertainment, replenishment, wellness, style, connectivity and inspiration. On the other hand, Carlos Wagonlit Travel is one of the leaders in corporate travel retaining their status to keep hospitality related companies an employment leader in the United States.
2.Why do you think hospitality rewards programs are so important? What are some of the challenges that a hospitality company faces when creating and marketing a rewards program to the consumer? How would you advise Carlson to market their program in order to reach their near term goals.
Hospitality reward programs are important as it enhances guest experience and increase revenue. Customers feel valued when they receive rewards which will lead to customer loyalty. This customer loyalty will lead to recommendation and new customers which will increase revenue. Challenges hospitality companies faces when creating and marketing a rewards program to customer are personalization and referrals. Personalization is the answer to customer satisfaction and referrals is something that will increase revenue and some customers may not refer others. One advise I would give Carlson to market their program in order to reach their near term goals is to personalize rewards to each customer and maintain a good reputation as an example how Disney would make magic for guest when something happen.