Hotel Domicile Case Study

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Contents

Executive Summary        2

Issue(s) Identification        3

Immediate issues        3

Long term issues        3

Operating Environment        4

SWOT analysis        5

Alternatives and/or Options        7

Recommendations        12

Monitor and Control        13

References        15

Executive Summary

In order to address and solve the immediate loss of revenue due to empty room at peak times at Hotel Domicile, I compiled this report that details a new distribution channel management strategy aligned with a total revenue management approach at Hotel Domicile.

The decision to implement yield management with the customization our new website that include a booking system is a strategic importance for Hotel Domicile. I am confident that successful implementation of yield management will reduce the time and costs associated with our current traditional pricing tactics.

I was able to identify other alternatives as follows

1. Create reservation systems
2. Contract online Travel Agent and implement a metasearch visibility strategy
3. Implement Global distribution systems
4. Introduce Guest Rewards Sales Strategy

Although these were viable, I am confident that building a custom design hotel direct website i.e. HotelDomicile.ca with a booking system and implementing yield management will provide the best strategic solution that aligns with total revenue management approach.

Respectfully,

Olivier Gagné, CEO of Hotel Domicile Group

Issue(s) Identification

Immediate issues

Empty rooms during high peak season: the last two years properties have empty rooms compared to past history sales .Hotel Domicile is losing money due to these empty rooms. On a high peak time as La Fête Nationale du Québec à Montréal, Quebec’s official national holiday every hotel should have maximum hotel occupancy however we see that three of the four properties have empty rooms.

Non-functional website: The current website has a very slow booking process that is probe to crashing. This is leading to visitors to the website calling to book a room and maybe and maybe loss of some of these visitors to Hotel Domicile competitors. On this day and age of online marketing, it is crucial to have a functional website with relevant content that attract potential guests.

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