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Developing a Multi-channel Customer Relationship Management Strategy for Hotel Operation

  • Soteris Kefalas
Conference paper
Part of the Springer Proceedings in Business and Economics book series (SPBE)

Abstract

Travellers are becoming more price sensitive, less brand loyal and more sophisticated in their hotel choices. The use of a Customer Relationship Management (CRM) system, has becomes a strategic necessity for attracting and increasing guest patronage. For this case-study, a multi-channel CRM system was used to examine its effectiveness on guests’ relations of “X” Hotel in Cyprus. Data was collected from various resources in order to: (1) profile the existing customer and clarify which market segment should be targeted, (2) proceed with an environmental and competitor analysis, (3) process collected data to identify significant patterns of data as they pertain to particular customers or customer groups, (4) understand unique value propositions of the company in relation to guests’ expectations, (5) develop creative marketing communications and assess their return on investment, (6) determine organizational effectiveness to adapt and innovate according to guests’ preference. It was found that an effective CRM strategy incorporates sharing the vision with staff and giving staff more decision-making power. The critical success factor, however, is the optimally use of data to enhance return on investment (ROI), as knowing the customers’ needs can help pinpoint communications more accurately, improving the marketing effectiveness of ROI.

Keywords

Hotel market segment CRM strategy Creative marketing Return on investment Competitor analysis Innovation 

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Copyright information

© Springer Nature Switzerland AG 2019

Authors and Affiliations

  • Soteris Kefalas
    • 1
  1. 1.InterNapa CollegeFamagustaCyprus

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