MARKETING OF HOTEL SERVICES IN ENUGU METROPOLIS, A CASE STUDY OF MAC – DAVOS HOTEL ENUGU 2
Marketing of Hotel Services is the project work, A Case Study of Mac- Davos Hotel; marketing of Hotel service is an important aspect of marketing its domain is to ensure the available of service. So to identify those problem encountered in ensuring that good service are appropriately at the right pace and at the right time in right quality and right condition, the researcher Agboibo Cosmas I. of the department of marketing, school of business studies, dealt with the marketing of hotel service, in the Hotel Industry. The research work was centered on Mac-Davos Hotel Limited.
The study focuses attention on the following:-
1. To find out whether the price charge by Mac – Davos Hotel increase patronage.
2. Whether the marketing strategy employs by Mac-davos Hotel in carrying out its activities in the Hotel Industry has contributed to the level of customer’s satisfaction.
3. To also find out whether the quality of services rendered by Mac-Davos Hotel leads to increase of patronage.
Both primary and secondary data were collected to solve the research problems. The population of study comprised the customers of Mac-Davos Hotel Limited and relevance staff. The research instrument and method used for the collection of data were mainly questionnaire, oral interviews and of course the researcher personal observations. Table frequencies and percentage were also used in presenting and analyzing the collected data.
Chi-square statistic was used to test the various hypothesis the following finding were made:-
1. It was being discovered that customers are satisfied with the quality of services rendered by Mac- Davos Hotel.
2. It was also discovered that, the price charge by Mac-Davos Hotel dose not leads to an increase in customary patronage.
3. It was discovered that, the promotional strategies adopted by Mac-Davos Hotel leads to increased customers awareness.
Finally, based on the findings, the researcher recommended the following as the solution for arresting the situation.
1) That Mac-Davos hotel should keep maintaining and modifying its method of service rendering.
2) That Mac- Davos hotel should revisit her pricing policy and reduce where necessary, price of some of her service especially accommodation.
3) That the marketing strategies applied by Mac- Davos hotels should be maintained and improved with trend of the changing world of computer.
4) It will be of great help if Mac- Davos hotels develops a method of getting complaint from customers.
1.1 BACKGROUND OF THE STUDY
In this nation today, as economic activities advance, marketing activities are changing fast. New market are emerging, trading blocks are extending, and communication channels are diversified. Even selling of service are changing at revolutionary pace.
However, for any business organization to keep to place, it must incorporate some element of marketing programmes into its programmes and policies. Therefore, for us to effectively appreciate marketing of hotel services it becomes imperative for us to understand what marketing, services and hotels are all about.
Marketing could be seen as a process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individuals and organisational goals.
According to Kotler the second European Edition, principle of marketing, marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging product and value with others. They would say marketing is living for customer through a firm and being sustained such firm.
A service is any activity or benefit that one party can offer to another which essentially intangible and dose not result in ownership of anything. Activities such as rendering or renting a hotel, depositing money in a bank, traveling on an aeroplane, visiting a doctor, getting a hair cut having a car repair. It is also important to note that many manufacturers also supply a range of services along side their product, like distribution and delivery, equipment repair and maintenance, training programmes, technical consultant and maintenance.
According to Oxford Advanced learner’s Dictionary “ a hotel is a building where meals and rooms are provided for travelers. These services are usually offered and in return customers pay money for such services. Quality halls and rooms suite are provided for booking. Other facilities are provided such as swimming pools, complete business centre, laundry services to mention few. Hotel in Nigeria offer important services and facilities such as lodging, accommodation (presidential suite, executive suite and master bedroom). The word restaurant is used synonymous with hotel, but the basic difference is that a restaurant is a place where meals are prepared, served and eaten. Some restaurant are well equipped having television set, musical sets etc. where customers can have relaxation and comfort, the increased challenges in hotel services has made it necessary for hotels to be more marketing oriented in the cause of rendering their services. They aim at satisfying customers needs and want as well as fulfilling their own organization goals.
Hotel management therefore can be defined as the application of marketing concept in the hotel industry so as to achieve more effective services to customers. There have been many changes and development in the hotel industry over the past years. Some of these change reflect on the economic, political and social lie of customers. (with other change like technology). It was recently that hoteliers become more transformed and re- engineered to meet this present day trend hotel management.
Hotel industries are confronted with drastic competition to determine who will concern or win the customers patronage, based on good oriented services. In view of these, any hotel wishing to survive in the present day competition should endeavour to provide good and result oriented services to its vast customers and as such creates better image of their organization. This help to boast the promotional activities of the company (to succeed in satisfying customers and building good will, for the organization).
A prepare application of marketing concept by any organization in its operation is very vital to the successful existence of such organization such as Mac-Davos Hotel. Marketing concept as a commercial process starts before production sets in it continues even after sales in form of after sales services long after the production have been sold and transferred to the customers. As concept marketing philosophy focuses more on the customer’s satisfaction as against other concept like the selling concept or production or product concept. Marketing concept colourfully expresses the following:-
1. Marketing needs profitably
2. Funding want and fulfilling them
3. Love the customers not the product.
To satisfy customers prepare, marketing must be put into place. But customers cannot be satisfied effectively without knowing their needs. The essence of knowing customers needs is to be able to formulated marketing strategies (game plane) to create quality services that will lead to satisfaction and profitability for the customers and the organization respectively.
One of such service industry is the hotel service industry. Hotel may appeal to one or more customers segment among different levels of service. Hotel business as a tourist industry renders services to travelers and other customers as they go about their business and tourism.
1.2 STATEMENT OF PROBLEMS
It is no exaggeration to say Mac-Davos Hotel, is one of the leading hotel in Enugu. Although many hotels in Enugu are performing below standard thereby making average performance appear magnificent. This is not meeting the required patronage by numerous customers and probably Mac-Davos is not an exception.
One may be forced to believe that the low performances among various hotels in Enugu metropolis may likely be as a result of non-application of effective marketing principle and strategies. Mac-Davos in an attempt to increase the rate of patronage by offering better services and promotional activities has increased her cost without necessarily increasing the profitability of the hotel.
Note so, the hotel industry is becoming highly attractive and competitive. There are lots of big hotel in Enugu, operating on the same strategies with Mac-Davos. The question now is, how can (Mac-Davos) hotels improve its operation through marketing strategies. These and many other related questions are the focus of this research work.
1.3 OBJECTIVE OF THE STUDY
The aim of this research is as follows:-
1. To find out if Mac – Davos Hotel is truly experiencing high percentage of customer patronage.
2. To find out what marketing strategies Mac-Davos Hotel is applying that attracts more customers.
3. To find out why Mac-Davos Hotel is doing relatively well in creating awareness.
4. To determine the effect of high charge on services on customers at Mac-Davos.
5. To determine the impact of marketing strategies used by Mac- Davos Hotel on its operations.
6. To determine the impact quality of service offer by Mac-Davos as it influence patronage.
7. To make recommendation of how to improve hotel management in Enugu.