CRM

AT
RADISSON BLU
MBA22219 Surabhi Sahu
MBA22235 Yukta Vishwkarma
MBA22236 Rohit Verma
MBA22249 Aditya Seth
MBA22252 Pradeep Prajapati
 Sector and organisation review

By 2024, 15 million foreign visitors and 30 billion dollars in foreign exchange earnings are expected to contribute 50 billion dollars to
India's GDP.
Industry growth: From an expected $ 75 billion in FY20, the Indian travel market is predicted to grow to $ 125 billion by FY27
The average profit margin for hotels typically falls between 5% and 15%. However, it varies depending on size, location and type of hotel
Global market size of hotel and resort industry in 2023 .is 1.31 trillion USD

source: Statista, EMIS

Need of CRM
for Radisson Blu

Intense competition (from Accor,

Hilton, Marriott, Hyatt)
Well informed customers
Decline in brand loyalty
Improved customer retention
Low switching cost
Mission:
To optimize guest satisfaction and loyalty by
harnessing data-driven insights, innovative
CRM strategies, and exceptional service.

Vision:
To be the industry leader in leveraging cutting-
edge CRM technology and personalized guest
experiences, fostering lasting relationships, and
enhancing the Radisson Hotel brand's reputation
for excellence
 CRM Strategy: Radisson Blu
EAT WHAT
YOU WANT ONE PORTAL SUPER
FOR OWNERS BREAKFAS
24x7 availability AND
of food orders FRENCHISEES T

INTEGRETED CRM
FREE
PLATEFORM AND APP
MORE THAN FOREVER
through collaboration JUST WI-FI Resolver is free
with accenture

They are following the certain strategy for the CRM, which are as follows:-
Personalization
Guest Loyalty Program
Integrated Software for CRM
Feedback Collection
Referral Programs
Customer Interactions & Touchpoints
Online Booking
Pre-
presence process
arrival

Customer CUSTOMER
service & TOUCHPOINTS Reception
support

Business & Dining &

Post stay
meeting entertain
services ment
 Customer journey map
Touchpoints Pre-sales Sales Post-sales

Visits booking website/app like

Research & planning
makemytreip, agoda OR Radisson hotels app

Contacts hotel, speaks to customer care to

Enquiries/assistance
resolve any queries

Booking Makes payment, completes booking process

Pre-arrival Guest is receved at the airport (VIP)

Warm greetings
Check-in at reception
exchanged

Luggage handover to luggage handed

bellman safely
 Customer journey map
Touchpoints Pre-sales Sales Post-sales

Dining & Food delivered, ambience of

entertainment restaurant

Room service/ Special Assistance with any guest

requests made for inquiries/issues during the stay.
events/celebrations 24/7 customer service hotline.

Collecting customer
Feedback & reviews
feedback, calculating NPS

Social media interactions and

Follow-up engagement, communicating
special offers on occasions.
 Special
Radission integrates data from various
01 offers
and
sources into a unified CRM platform,
discount
providing a single source of truth.

Customer collaborat Collaborate with online travel agencies

02 - ion and (OTAs) and global distribution systems
Acquisition Partnershi
-p
(GDS) to expand the reach

Partner with travel influencers to

03 Influencer
marketing
showcase your hotels and share their
experiences with their followers.
 During the booking process and check-
Upgrade
01 Options
in, offer guests the option to upgrade
their room, such as upgrading to a suite
or a room with a better view.

Cross Special
Create packages for special occasions
such as anniversaries or birthdays.
02 occasion
Selling
Include amenities like champagne,
packages
flowers, and late checkout.

Encourage guests to join a loyalty

Reward program that offers points for every
03 Program purchase, including room upgrades,
dining, spa services, and more
 Personaliz Collect and utilize guest data to
01 - ed personalize their experiences. And
Experience remember their preferences, and tailor
their stays accordingly.

Forge partnerships with airlines, travel

Customer 02 Partners
-hips and
agencies, and other businesses to offer
additional perks to loyal guests, such as
Retention Alliances
discounts on flights or activities

Staff Empower employees to go above and

03 Empowe beyond to make guests feel valued and
rment appreciated
Customer Contact Centers Hotel Website
Radisson has a network of customer (www.radissonhotels.com)
contact centers across India.
Radisson customer care is
available 24/7 to assist customers with
their needs .
Radisson Blu App
Customers can contact Radisson
customer care for a variety of reasons,
including:-
24/7 Customer Care Helpline No
To get help with their bookings and
services. 1800 1080 333
To report a problem or complaint
Please feel free to ask about new
Radisson service offerings.
To provide feedback on their staying
Social Media Handles
experience
 Loyalty Wheel
Analyze what makes guests to switch. Tiering of service: Radisson
One reason of switching could be the Rewards program is available
location (when they are located far from 1. Build a for 3 different tiers: Club,
3. Reduce Premium, VIP
the airport). Radisson can convert this foundat
churn
pain point into a sweet spot by receiving ion for Target the right customers:
drivers
guests at the airport or offering loyalty Using CRM, the hotel can
convenient commuting options to them. CUSTOMER identify who are repeat
LOYALTY customers and who are not.
Enhance realtionship marketing: Train
the employees and also Once this distinction is made,
2. Create
empower/provide the liberty to cater to they can offer incentives and
loyalty
the guests/ requests as much as possible. make them their repeat
bonds
customers.

Deepen the relationship: Members of the Radisson Rewards program start earning from the very 1st
day of their stay and they also start gettng the benefits. Customers thus feel that if they have already
points here, why book a room in another hotel.
The program offers both financial and non-financial rewards to its members.
Hotel industry is all about “experience”. Radisson ensures that the hotel staff/employees offer a
pleasant service to its guests, such as extending a warm welcome on their arrival, receiving the guests
at the airport and assisting them with check-in, etc.
 Loyalty Program
Radisson Rewards program offered at Radisson which is the 1st step towards
establishing a relationship between the hotel and the guest.

These rewards can be redeemed at any hotel of Radisson in any city/country.

This also helps in increasing the switching cost as guests find it better to
redeem their existing points and avail benefits rather than stay at a new hotel
whose services they are not familiar with.

It offers exclusivity to its members by offering member-only-services.

LoyaltyProgram
 Referral Program

Referral is done by Personalized referral link, available in a customer account.

If anyone refers their friends to Radisson Reward, Both will earn 1000 bonus points after the first stay.
You can earn up to 50,000 bonus points per calendar year.
Upto 1000 bonus points for you friend whom you referred.
Performance metrics

No. of repeat Churn rate for

Net
No. of customers both
Promoter
guests (MOUs for corporate and
Score
reveived corporate non-
(NPS)
guests) corporate
customers
 Return on CRM investments
Calculation of Customer Acquisition Cost:-
Assumptions:
Radisson Blu Hotel's marketing and sales expenses for a specific period: ₹200,000
(Rupees two lakhs).
During the same period, the hotel acquired 140 new customers.

CAC = Total Sales and Marketing Costs / Number of New Customers Acquired
CAC = ₹200,000 (Total Sales and Marketing Costs) / 140 (Number of New
Customers Acquired)
CAC = ₹1,428(approx) per new customer
On an average, Radisson blu room cost lies between 3000 to 4000 INR
Assumptions :
There is 1000 Rs. Cost on an average customer for hospitality and services, including staff
salaries Total cost = CAC+ Services and hospitality charges & Salaries per Room/customer
Total Cost= 1428+1600= 3028
Return = 3500-3028= 472
Taxes(@30%)= 472*(1-.3)= 330.4( INCOME)
ROI = PROFIT / Invested Cost = 330.4/(1428+1600)
ROI = 10%( approx)

(Notes: These no. is just an example for understanding the CAC calculation)
Cost of CRM Software
Accenture Software Calculation of Costof CRM Software
01 has been bought.
Usually, the cost of a software from
02 Implementation Cost
Accenture ranges from 1000$ to 10000$
which includes both implementation cost
and training cost.
03 Training Cost

https://www.youtube.com/watch?v=MT-bsqIXJqc&t=10s
 Implementing a Customer
Relationship Management (CRM)
system

0
10 12 14 16

Data Guest Privacy and CRM

Staff Training
Integration Data Security Customization

from various sources within the Hotels handle sensitive guest

hotel chain, including information. Training staff to use the CRM system to meet the
reservations, guest preferences, Complying with data protection CRM system effectively is unique needs of
feedback, and marketing regulations, such as GDPR. crucia Radisson Blu
campaigns
Thank You!