Monthly Archives: March 2017

Singh, Anjana “An unstructured approach to Revenue Management in Railways- A special case of premium passengers’ trains in India” proceedings of the 8th International Conference on Services Management at Virginia Tech University, USA.

Prof. Anjana Singh, Associate professor at Vedatya presented her paper titled “An unstructured approach to Revenue Management in Railways- A special case of premium passengers’ trains in India” at 8th International Conference on Services Management at Virginia Tech University, USA. The aim of the paper was to examine and critically reflect upon the revenue management opportunities in premium passenger trains in India. The 8th International Conference on Services Management was held on November, 28- 30 2015 at the Virginia Tech University, USA. This conference was jointly supported by Vedatya Institute, India Macao institute of tourism, Macao and Oxford Brookes University, UK. Co-chairs at the conference were Dr. Levent Altiney from Oxford Brookes University,  Prof. Sandeep Munjal, Director Vedatya, and Prof. Mahmood Khan from Virginia Tech University. The conference was initiated by IIMT (now Vedatya) to provide an international platform to academia, industry and researchers, to share their work. The overall theme of the 8th International Conference on Services Management was “Creating Value, Innovation in Delivering Services”. The presentations in the conference addressed the following three issues:

(1) Creating value and innovation in delivering services

(2) Socio-economic complexities of the growth of service organizations and

(3) Tourism destinations and their responsibilities to different stakeholder groups

http://www.cpe.vt.edu/icsm/

Singh, Anjana and Munjal, Sandeep “Emerging revenue management practices and its challenges: Indian luxury hotelier’s perspective proceedings of the International conference on Global Competitiveness and Corporate Governance Imperatives in Emerging Economies which is being organized by Ansal University (School of Management Studies)

Revenue Management has been one of the contributors towards business profitability and its wide adoption by most service organizations especially hotels evidence its success and strong future. There has been little research in the Indian context to probe rather lethargic absorption of Revenue Management practices in India due to around its acceptance from customers. The purpose of this research was to explore the existing revenue management practices, emerging opportunities and the challenges in the luxury segment from hotel operator’s perspective. A qualitative approach was adopted for the investigation through personal in-depth interviews with Revenue managers and General Managers (in absence of Revenue Manager) of five star luxury hotels. This study aimed to explore the revenue management practices and the challenges faced by Indian Revenue Managers of five star luxury categories.

Singh, A. Driving value through pricing: Strategies adopted by managers in price sensitive and fierce competitive markets in Jauhari, V. for the book, “Creating Memorable Customer Experiences-Insights from Hospitality Sector”, Apple Academic Press, Inc., USA

Hotel managers have always faced the challenge of use of pricing strategies to achieve both revenue and customer satisfaction. The objective of this paper is to identify existing practices of price setting in hotels of National capital region and strategies adopted by managers in price sensitive and fierce competitive market. This information will enable us to analyze the thoughts and price pressures hotel managers go though in driving value for customers through pricing strategies and to make recommendations accordingly.

The chapter uses qualitative primary research through structured open ended interview to discuss in detail pricing strategies. The interviews will be conducted with senior management responsible for pricing decisions like revenue managers or General Managers from a spectrum of hotels in National Capital Region of India. It’s imperative for the hotels to understand the perceived customer value of the product or service in a global context and respond appropriately to change in the market conditions. This research will provide the understanding of the intentions of the hotels towards pricing strategies and the overall aim to be achieved through pricing. This makes this research quite valuable for academic researchers and practitioners to understand the factors that could be important for sustainable pricing strategy.

http://www.appleacademicpress.com/hospitality-marketing-and-consumer-behavior-creating-memorable-experiences/9781771883788

Singh, A Competing profitably with other hotels: The role of Revenue Management as a Strategy in Munjal, S. for the book, “Balancing growth and profitability: Scenario of the Indian Hospitality sector”, Apple Academic Press, Inc., USA.

In today’s competitive world, the management of five star hotels are being flexible and innovative in playing with new set of conventions and strategies to achieve edge and profits. The hotels, being huge and significant investments for both the investors and the national economy, need a long-term strategic planning and management so as to be successful. Improved customer service, better quality, operational effectiveness, bottom line profits and ability to engage with customers are more important to survive in this stiff competition. Revenue Management has been one of the contributors towards business profitability and its wide adoption by most service organizations especially hotels evidence its success and strong future. There has been little research in the Indian context to probe rather lethargic absorption of Revenue Management practices in India due to around its acceptance from customers. The purpose of this research was to explore the existing revenue management practices, emerging opportunities and the challenges in the luxury segment from hotel operator’s perspective. A qualitative approach was adopted for the investigation through personal in-depth interviews with Revenue managers and General Managers (in absence of Revenue Manager) of five star luxury hotels. This study aimed to explore the revenue management practices and the challenges faced by Indian Revenue Managers of five star luxury categories.  This research helped in identifying the level of achievement of five star luxury hotels in applying Revenue Management practices and also thrown light on the knowledge and awareness of Revenue and General Managers. This study also uncovered the challenges faced by Indian Hospitality Managers while implementing Revenue Management in five star hotels of India. The practical implication of this study was to suggest strategies that Indian Hotel Managers can adopt to overcome challenges and implement revenue Management effectively in other parts of the hotel and make Revenue Management as “Responsible Revenue Management”.

Singh, A and Munjal, S. The Growth Story of Hotels in India – Looking Beyond the Rhetoric in Munjal, S. for the book, “Balancing growth and profitability: Scenario of the Indian Hospitality sector”, Apple Academic Press, Inc., USA.

Much has been said and written about the Indian growth story, with respect to the hospitality sector in general and the hotels space in particular. It is a capital intensive business. One look at the major hotel brands like IHG, Carlson Rezidor, Accor, Marriott and Hyatt and it becomes apparent that they are managing hotel assets for others. Aside from the brand name and the specifications that go with it, these corporations are managing hotel portfolios running into 2500 plus hotels each across the globe. The Indian growth story led by the entry of these brands a decade or so ago is no different.

Capacity addition across a range of hotel segments has and will continue to be guided by the demand push that macroeconomic fundamentals will provide, but having said that investment in new hotels, greenfield or otherwise will require investor confidence; wherein they find investment in hotel assets attractive. It is important to analyze the business approaches that have found favor in the Indian marketplace, to comment on their success so far and any challenges that need to be addressed.

Some key questions to be asked are:

  • What is the status of hotel room inventory in India and where is the capacity expansion headed?
  • What is the profile of the investors in the Indian hotel space and what are the key challenges that they face?
  • What types of business partnerships or contractual arrangements are finding interest?
  • Are investors achieving acceptable returns on their investment? Are hotel brands as custodians of these investments ensuring, that the investor’s interest is being protected?
  • Are the owners of hotel assets relying on debt or is it a mix of debt as well as equity? Is servicing of debt an issue?

Answers to the above questions will have implications on the growth of the hotel sector in India. The government push for expansion of our tourism footprint, along with a policy shift towards enabling a favorable visa regime, potential changes in the form of the ‘Goods & Services Tax’ (GST) and other positive steps to improve the ease of doing business in India will have a significant impact. However despite the policy enablement, the macroeconomic promise must be validated by the microeconomic reality operative in the country. Profitable investments by hotel owners will encourage more investments (including significant amount of foreign capital),  it is critical to measure and assess the success of key brands in ensuring that they deliver the promised ROIs to the owners of the hotel assets they manage.