Impact of financial crisis on W Hotel’s marketing in Hong Kong
With a central location in East Asia and with a rapidly growing Mainland China, the Hong Kong Special Administrative Region (H.K.S.A.R) is an international business, trade and financial hub. (Hong Kong Tourism Broad) According to the global finance crisis affect to Hong Kong‘s economic, the GDP in Hong Kong a lower. Because this crisis is affect to the whole world. (Hong Kong Government Wed Site www.gov.hk/en/about/abouthk/index.htm)) In tourism industry, Hong Kong also faces to the same affect. Hong Kong tourism association took many promotions to attract more tourist come to Hong Kong. In fact, some hotels increase the room rates in this finance crisis. Excluding the Disneyland Hotel, W Hotel is one of new brand to increase the room rate. W Hotel opened until now already had half year. W Hotel goes into detail in analyzing W hotel wrote this paper ??? it’s marketing to identify how this hotel has coped with the financial crisis.
Statement of objectives
1. To explain what is the key issues of the critical analysis.
2. To find the information about W hotel Hong Kong nowadays the influence reasons.
3. To integrate the W Hotel’s marketing analyses and summarise what is already known and update the information?
this part shouldn’t be in a research paper..
Hong Kong, Nobody does not know that Hong Kong are famous the paradise of Food, splendid Hotels, cheap and impartial Shopping places in the world. Hong Kong is crossovers Chinese traditional and England freedom and civilization styles. Ever Hong Kong is very small city but no one can find a place like Hong Kong in the world. Undergo by the SARS virus. Hong Kong gave a message to the world that “Hong Kong people are never giving up and full of unite spirit”. Ever the environment is so bad; the economic is not good… Hong Kong government always supports Hong Kong Hotel and Tourism a lot recently 10 years. Tourism and Hotel become the image in Hong Kong. Hong Kong Hotel and Tourism are the biggest incomes in Hong Kong. (Hong Kong Government Wed Site www.gov.hk/en/about/abouthk/index.htm)The most important target of customers come from 40% China, 20% Japan, 10%, Russian, 20% Europe, 5%U.S.A and 5% the other. (Hong Kong Census and statistics department)
Unfortunately, the World financial crisis has bought many disastrous influences to Hong Kong. Nowadays Hong Kong Hotel is confronting a strong a large financial crisis impact. Hong Kong Hotel and tourism are facing to the society financial calamity. W Hotel puts the promotion time longer until January, 2009 to give more people to know this new band in Hong Kong and used up grate the room rate per day until the average room rate. (Money Magazine (2008) Spotlight W Hotel to attentive Wow culture) W Hotel is a sister hotel by Starwood company W is just a hotel brand of Starwood. The first W Hotel built in LA since 1998, until today W Hotel have 26 hotels in the world. (W hotel web site) W Hotel used new concept to run the hotel business. W Hotel put the old management methods away. They are focusing the watching until the smelling. W Hotel would like to give the guest many Extreme WOW feeling. In this hotel even in the financial crisis but still throw much money to attract the customers. Who uses the new create, from the back to the front 360 degree create change concept. W Hotel the name came from “WOW”, it would like to give many surprises to the customers. (Money Magazine (2008) Spotlight W Hotel to attentive Wow culture) In the financial crisis, is it effective for following by create changes hotel? How is W Hotel the plan, How to be success in this crisis. Is it the time to give the Hong Kong hotels change or develop for their methods of the operation? What is the new target market for the W hotel?
Hong Kong is a especial and small city. However, it is famous on finance and tourism. Hong Kong the most important income is from Hotel and Tourism. Facing to the international financial crisis, Hong Kong hotel and tourism business are facing to the large crisis. How can the hotel business come out by this large crisis?
Chapter 1 What is the challenges W Hotel Hong Kong face?
W Hotel is a growth increase hotel in Hong Kong. However, W Hotel has face to many challenges. Such as finance crisis, the other competitors and the management concept. Firstly, Hong Kong is a one of the best finance centreS in the world, but face to finance crisis influence Hong Kong started to decrease in every industry. W Hotel has to solve the international finance crisis influence the people do not want to travel or the people will choose the low standard hotel. (Hong Kong Tourism Broad) It can be force on three –four stars hotels. “Growth is pure oxygen,” states one manager executive. “It creates a vital, enthusiastic corporation where see genuine opportunity… In the way growth is more than our single most important financial driver; it’s an essential part of our corporate culture.” (David Bowie 2004). W Hotel Hong Kong located in Kowloon city but in there has many 4-5 stars hotels. If W Hotel cannot continue to create many new ideas, W Hotel Hong Kong will come to the danger moment. So W Hotel must be creating more new idea and services. W Hotel Hong Kong has a very good new management concept. However, this concept cannot keep for a long time. Ever this concept can pass to the time trial. However, how many HOWEVER does he use? it also has to refresh the concept. W Hotel can be creating the new idea basic on the empowerment method to develop the hotel.
Chapter 2 what is the marketing segmentation of W Hotel in Hong Kong?
W Hotel Hong Kong is a new band in Hong Kong hotel market and opened in August of 2008. Unfortunately, W Hotel Hong Kong has to face the finance crisis. According to Hong Kong is one of important financial center in the world. (Hong Kong Government Census and Statistics Department) Nevertheless, W Hotel has to increase the room rate at this moment. (Money Magazine (2008) Spotlight W Hotel to attentive Wow culture)Ever finance crisis brought out a lot of traveler in Hong Kong. (Hong Kong Government Census and Statistics Department)Since November2008 W Hotel Hong Kong based on the room rate from 1650 HKD increase the price 100 HKD each month until it reached 3,200 HKD. Amazingly the room occupancies increase to 98% within the financial crisis, this can be due to W Hotel’s 4P marketing for the marketing segmentation can be force on target marketing, 4P’s, and life- cycle stage ( W Hotel Hong Kong customer and communication department). For the target, marketing W Hotel Hong Kong is attractive to the Chinese family traveler, young people, businessperson and the Europe tourist.(Money Magazine (2008) They like the art design, new hotel concept, and the surprisingly of high quality service. Tourist would like to enjoy the W Hotel’s organization the different of events. In the 4P’s of W Hotel Hong Kong, Pieces – W Hotel increased their prices with the same quality of service, however they were still reasonably priced for that area. W Hotel has a lot of new create thing such as, new service skills, new management process, new F& B process….else. Place- W Hotel Hong Kong located in Kowloon city. W Hotel near be the MTR station, bus stop, from Hong Kong international airport only 35mins. W Hotel is a very comfortable location beside of the hotel has many big shopping centers, many tourism locations and more than 200 restaurants service different kind of food. W Hotel is mix with entertainment and convenience. In fact, there also have a lot for high quality restaurant, comfortable tourism point and a lot or large shopping mall. In that location also has, nine other hotels are surrounding W Hotel. Such as InterContinental Grand Hong Kong, InterContinental Hong Kong, Kowloon Shangri-la Hotel, Langham Hotel, The Luxe Manor, Marco Polo Hong Kong Hotel, Nikko Hong Kong Hotel, Peninsula Hotel, Royal Garden Hotel.(Hong Kong Hotel Web site http://www.hotelhk.com/index_eng.php) W Hotel has to face those famous bands hotel and the financial crisis the stress is not easy. Luckily, W Hotel is using the create concept to be the image and deeply to communication with the customers, this all are talk about the emotion to interflow. In fact, many hotels also put the customer in the first important. However, W Hotel can have 360degrees feedback section for all the staffs and the touching by the department place. Those effective concepts to make W Hotel increase the occupancy in the financial crisis. In the financial crisis ever hurt the Hong Kong Business deeply but W Hotel can use the comment and the feedback for the guest to development for W Hotel. This is a good management to improve the hotel, ever facing the crisis W Hotel still can attractive the large customers to come. Product- W Hotel opened in August 2008 and is a new hotel to the area. Starwood hotel group for many years has been very popular around the world. In the future, W Hotel group when did W hotel become a hotel group? has six hotels will open in China. It will become a new biggest hotel group in the world. ?????? W Hotel has a lot of high standard Service knowledges. the example by I money magazine 17/3/2009 In Maldives W Hotel have a Housekeeping talent (Staff called by W Hotel) heard that the customer did not know the W hotel in Maldives has fitness room, so the customer forgot to bring the sports shoes When the talent was cleaning the room. Then that talent after finished the room cleaning and wrote down the customer’s shoes size. He called to his friend to help him to buy a 10-size sports shoe. Six hours later, the shoes transfer from the other inland to send to the hotel. That talent packing it like a present then sent to that guest room and wrote, “I hope you enjoy the running experience.” on the card. The result is that customer was extremely happy. The other case happening in Hong Kong W Hotel, one day the talent comes to the guest room for clean. The guest was in the room and settled her things because she went to shopping for a hold day. The talent discovered that the customer was feeling pain from her back. Then the talent after cleaned the room. Then he went to the shopping mall to buy a relieve cream and transfer from other staffs to give her. According to those cause, W Hotel can allow to manage the happen by talent. After the happen the talent no need to report to the department head. (I money magazine 17/3/2009) 5, Wow Vows W Hotel help the customer to create and organize the Webbing event service, Bachelor party and the bridal shower……to give the customer to have a surprised and high quality services experience. Moreover, the last expound is P.A.W. it means W Hotel can also create a difficult experience such as “Pet are Welcome” W Hotel create a lot of menu for the pet and many difficult facilities for the pet. In W Hotel the most important is creating and audacious blaze new trails. However, it must be polite way. W hotel has the new concept can be interest many customers in the world. Promotion- W hotel Hong Kong is a new brand but many events are organize in there. This is a very effective promotion to attractive more different styles customer. For example: W Hotel promoted the spa-rty, it means customer can have a event in the spa area. Customer also can order the champagnes and the music. In fact, this style of service in U.S.A. was very popular. Nevertheless, for the Hong Kong this is a new market. Many companies will organizer many different party or event to promote their product. (By Hotel Hong Kong official web site) W Hotel Hong Kong has very good marketing communication program, called its promotion mix. By the Advertising, W Hotel can have many advertising in TV Channel did they do it in HK?, Newspaper, Magazines and Online sale and Wed Site agents. According to W Hotel report in those methods for advertising, the most successful is Online sale and Wed site agents advertising. In the Financial crisis, online sale is the cheapest way to promo W Hotel. W Hotel also used Public relation for the other promotion point. Base on W Hotel is a sister hotel by the Starwood Hotel W Hotel is the hotel brand under Starwood, not a sister hotel of starwood !!!!!!. They have very close relationship. It can easy to development a good corporate image, and handling or heading off unfavorable rumors, stories, or event. (Marketing in Hospitality & Tourism) In the financial crisis, W Hotel can use the low prices for the promotion. It is a very important reason; W Hotel can increase the profit by the low cost promotion.
Finally, for the Life- cycle- Life-cycle is a person’s pattern of living as expressed in his or her activities, interest, and opinions. (Marketing Hospitality and Tourism) W hotel Hong Kong ever though is a new hotel in Hong Kong. By the way, W Hotel Hong Kong still has to send the time to growth up. In the product life cycle, W Hotel W Hotel or W Hotel Hong Kong? should be in growth selection. W Hotel should have a good future for development in hotel industry.
Chapter 3 Quality guest service in W Hotel Hong Kong
W Hotel Hong Kong is a five stars standard hotel. There have many different facilities in this hotel.
Guest service is the area the demands the most from service personnel, involving conduct, self-discipline, and an ability to empathize. Your concern for the welfare of your guests clearly indicates your level of professionalism: to provide quality service, you must assume responsibility for your guests’ enjoyment of their dining experience. (Professional table service) The most pounds of that in W Hotel Hong Kong has the highest swimming pool in Hong Kong. This swimming pool located in W Hotel 76 floors. Customer can see the hold Victoria Harbor view in the swimming pool. (I Money magazine) W Hotel Hong Kong always emphasizes the staffs have to communication with the customers. Ever the kitchen chef also has to chat with the guest every day. Base on W Hotel restaurant the Kitchen Chef Chris said before service to customers, he will chat with the customers first, In the communication Chris can follow the customers daily eating habit to cook some special food. There has a case is a woman; she does not like to eat meat and egg. This woman does not have too much chosen in the other restaurants. She just can eat nearly the same food in the other restaurants. Base on this case Chris helps this woman to make some especial food. This woman comes to W hotel nearly five times a week. (I Money magazine) W Hotel will follow by the customer the habit to create the especial food You’ve mentioned already … In W Hotel the conference room, the staffs will put some small toys on the table to give the guest to keep the sprite for the meeting in the conference room. (I Money magazine)
W Hotel Hong Kong is a sister hotel with Starwood hotel company. 2008 the world finance crisis was coming. Unfortunately, W Hotel Hong Kong opened on this worst moment. In Fact, W Hotel Hong Kong used three months to use the promotion package price to try the Hong Kong market. Then W Hotel Hong Kong consulted the location hotel average to increase the room rates. W Hotel is following the future behaviour, empowerment concept to attractive the customer come to W Hotel and the communication system is very good. W Hotel can easy to catch the guest need. W hotel can be increase in Hong Kong. W Hotel Hong Kong always emphasizes the staffs (talents) have to communication with the customers. (I Money magazine)
W Hotel can be the best hotel in the world in future. They used the new concept in hotel management. Base on the financial crisis, the new business management concept can be appearing. W Hotel can be the pioneer by this financial crisis. In hotel industry, the most important is communication. If the hotel does not communication with the customer, it does not have way to improve the standard. W Hotel is following by On-trend. W hotel seek the life and tide develop. W Hotel also needs the staff has culture, art, film, dance, and fashion knowledge. (I money magazine) This is very important in the hotel industry because the staff has to face many different customers every day. Base on that knowledge, staff can must easy to communication with whole customer.
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