Table of Contents
1.0 Executive Summary 2
2.0 Introduction 3
3.0 Brief Description of the Company 4
4.0 Analysis of Customer Relationship Marketing Strategies 5
4.1 The Value Proposition of Ritz-Carlton 5
4.2 The Concept of Experience Economy 6
4.2.1 The "wow effect" of the Company 6
4.3 Four Tier Customer Pyramid 7
4.4 Customer Relationship Management 8
4.5 Customer Complaint and Gap Model 9
5.0 Conclusion 10
6.0 Recommendation 11
7.0 References 12
1.0 Executive Summary
The purpose of this report is to analyze the relationship marketing strategies by selecting one service organisation from certain industry and suggest five ...view middle of the document...
The objective of the report is to analyze how the company conducts its customer relationship marketing strategies in order to create value for customers and retain their loyalty instead of gaining profit.
The name of the hotel started with the birth Cesar Ritz in Switzerland in 1850. Cesar Ritz is known as the "king of Hoteliers" in Europe who opened three luxurious hotels. Early of the 20th country, there are several Ritz-Carlton Hotels built in the North America. In 1983, William B. Johnson acquired the name of the hotel from the previous owner and today, it is part of the hotel giant Marriott International, which operating under the company's luxury segment. (Slideshare.net, 2014)
The objective of Ritz-Carlton Hotel is to provide the finest personal service and facilities to ensure a comfortable environment for their guests. They also enliven the senses, instills well-being, and fulfills the unexpressed wishes and needs of customers. Therefore, the genuine care and comfort of guests is their highest mission.
3.0 Brief Description of the Company
The Ritz-Carlton Hotel form a luxury hotel chain, which parented by the Ritz-Carlton Hotel Company. The Ritz-Carlton is the only company which won two Malcom Baldrige National Quality Awards in the years of 1992 and 1999. Instead of this large achievement, the hotel company also has been featured on Zagat Survey Top Lists for dining, hotels and service.
The Ritz-Carlton Hotel focused on three steps of service which are the warm and sincere greeting (use the guest's name), anticipation and fulfillment of each guest's needs and fond farewell (warm good-bye). (Slideshare.net, 2014)
Instead of spending more expenses on luxurious facilities and equipments, the employees of Ritz-Carlton is investing their time and creativity to create new and better alternatives to enhance customer experience. This is the organisational culture which performs within the company in order to sustain its long-term success and gain competitive advantage in the hospitality industry. Throughout this organisational culture, employees have the development space to contribute their efforts to their company with talents and potential skills which also reduce the spending costs of the company.
4.0 Analysis of Customer Relationship Marketing Strategies
4.1 The Value Proposition of Ritz-Carlton
The value proposition is the benefits and values that a company delivers to its customers. A company with good value proposition able to stand out from the crowd of competitors in the market by gaining competitive advantages.
The Ritz-Carlton Hotel is adopting the customer intimacy as their value proposition model as the company focused on customer relationship by communicating and delivering the product and service experience to the customers. Nowadays, the customer needs are difficult to be identified by the company as they are looking at the qualities of the services and not only the products offered. Customers do not mind to...