Introduction
Grenada, besides referred to as the Isle of Spice, is known for much more than the juicy spices and other agricultural merchandises that are grown. Grenada is besides considered an ultimate tourer finish where visitants are captivated by the beautiful beaches, inspiring waterfalls and the exciting escapade Tourss to some of Grenada ‘s most untasted natural countries. The inflow of tourers to Grenada over the past old ages has resulted in a really moneymaking touristry sector and the outgrowth of a new client section, the yachters. Harmonizing to CIA World Factbook ( 2010 ) , “Grenada relies on touristry as its chief beginning of foreign exchange.” The tourer industry has contributed significantly to the state ‘s Gross Domestic Product and as such, has aided in the development of the state as a whole.
The hotel industry plays a critical function in the experience that visitants gain on their stay in Grenada and contributes mostly to the touristry sector. Most of the hotels are located in the South of the island, doing it necessary that they differentiate themselves every bit good as achieve and keep a competitory advantage within the industry. This makes the gross revenues and selling schemes used by the assorted hotels critical as it can play a major function in finding their ultimate success in deriving new clients, retaining their current patronage base and most significantly, guaranting that their clients are invariably satisfied.
This paper will concentrate on two ( 2 ) hotels within the cordial reception and hotel industry: True Blue Bay Resort and Flamboyant Hotel. Their selling and gross revenues schemes will be evaluated, every bit good as penetration into the functions of individuals involved in the executing of selling and gross revenues maps given. Insight will besides be given into direction activities on motivation and counterbalancing employees, and other techniques employed to guarantee that each company ‘s gross revenues and selling ends are established.
It is intended that an analysis of the gross revenues and selling schemes utilized by True Blue Bay Resort and Flamboyant Hotel will foreground these schemes ‘ impact on their several client base, gross coevals and net income degree. Recommendations will be provided to help in the betterment of TBBR and Flamboyant Hotel & A ; Villas.
Company BACKGROUND
The company has a rich history dating back to the 18th and 19th centuries, in which the location now known as the True Blue Bay Resort was one time an Indigo Plantation ( True Blue Bay, 2010 ) . The belongings, True Blue Inn, was purchased in 1998 which, at that clip, consisted of three ( 3 ) two-bedroom bungalows and four ( 4 ) waterfront flats ( True Blue Bay, 2010 ) . Soon, the hotel consists of three ( 3 ) Tower Rooms, five ( 5 ) Villas, and 30 – eight ( 38 ) True Blue designed suites ( True Blue Bay, 2010 ) .
True Blue Bay Resort ( TBBR ) is located in True Blue, St. George and provides a broad scope of activities including diving, seafaring, river rafting and fishing. TBBR ‘s installations include a dress shop, Serenity Spa, Blue Horizon Yachting services and Aquanaut Grenada, which are all in private owned by individuals external to TBBR. Additionally, the Dodgy Dock Restaurant and Bar, which is owned by the hotel, is a cardinal property to the success of the company as it is considered the hard currency cow, bring forthing a steady flow of gross. The hotel is noted for the friendliness of its proprietors and staff, and invitees are treated as drawn-out household of the hotel. Harmonizing to TripAdvisor.com ( 2010 ) , True Blue Bay Resort is rated # 9 out of 26 in the hotels in footings of popularity index and is rated # 1 as the recommended pick by concern travellers to St. George ‘s. True Blue Resort prides itself as being able to derive a big part of its concern from the corporate universe with clients such as American Airlines staff.
SALES & A ; Selling AT TRUE BLUE BAY RESORT ( TBBR )
TBBR is in the touristry and cordial reception sector in Grenada. The company does non import nor export its services ; nevertheless, services are produced and consumed at the same time. In footings of the physical installation, furniture and other stuff points that are needed to finish the running of the hotel are imported. TBBR chiefly utilizes both gross revenues and selling schemes in the organisation of their selling attempts. The selling construct is based around the client and being able to place the client ‘s demands and satisfy those demands through the bringing on service. TBBR uses the selling construct because they believe that, in order to bring forth life-time clients and promote new clients, it is of import to fulfill the demands of the client.
The gross revenues construct is besides used by the company. This construct is used as an extension of the organisation and is conducted through the usage of circuit representatives. These tour representatives approach TBBR with assorted offers with the purpose on advertisement for the company. TBBR will so measure the assorted proposals and find the bundles that best suits the organisation relation to the costs involved. Once chosen, the circuit representatives use the merchandising scheme to raise gross for TBBR. The chief intent of using the merchandising scheme is to force the hotel to consumers in order to bring forth gross revenues.
Gross saless and selling at TBBR are combined in one unit. The Marketing Director oversees the section and is assisted by the Marketing Officer. They are besides given extra aid in the country of gross revenues from Reservation Personnel. Together these three ( 3 ) individuals handle all the selling and gross revenues facet of the company including pull offing the company ‘s web site and join forcesing with the circuit representatives guaranting that TBBR is promoted in a mode consistent with the company ‘s image. Reservation Personnel are besides responsible for the monitoring of the company ‘s web site, every bit good as other web sites such as West Indies online ( www.wiol.com ) and Expedia.com, to guarantee that the rates of suites are accurate and remain competitory with other hotels in the industry. TBBR ‘s organisational chart at the managerial degree.
The gross revenues map consists of a combination of outside gross revenues and internet gross revenues. Outside gross revenues are conducted through the usage of the circuit operators, which every bit mentioned antecedently, attack TBBR with their proposals. These tour operators focus on the United States, Canadian and European markets in their effort to increase gross revenues for the hotel. Additionally, magazines such as “Lime and Dine” besides approach the hotel with proposals for musca volitanss in their magazine. TBBR is besides featured on the conditions channel. The company ‘s gross revenues attempts incorporate limited outsourcing in footings of the really selling execution but alternatively rely on referrals from current and past clients.
Additionally, the company besides generates over 30 % of their patronages through the dive installation that is offered on the belongings. Aquanauts Grenada caters to people that visit the island chiefly to plunge and snorkel. Clients that make engagements with Aquanauts are encouraged to remain at the True Blue Bay Resort as one of its installations is located on TBBR ‘s belongings. Internet gross revenues are besides encouraged through the usage of TBBR ‘s website www.truebluebayresort.com. Through the web site, visitants are able to see room options, handiness and rates, larn about the hotel, its installations and services that are provided. Additionally, viewing audiences are able to see events happening at the hotel. Their eating house and saloon, known as Dodgy Dock, is besides marketed through the usage of societal networking, peculiarly Facebook. Their hebdomadal Wednesday dark event, which caters to the immature grownups, has led to their Facebook page, which is really synergistic as events are posted and people are encouraged to react to the assorted stations.
RECRUITING, SELECTION, Training AND EVALUATION PROCESS
Salespersons are recruited ab initio from within the company through informal manners of communicating. Besides, directors and supervisors may urge individuals based on past public presentations. If unsuccessful, referrals are normally made. The company will besides post the unfastened places in the local newspaper. The choice procedure at TBBR is based on the makings and accomplishments possessed by appliers, every bit good as the result from the interview procedure. Training is conducted by in-house supervisors for the section. Employees are besides given the chance to finish online classs that will broaden their range of the hotel industry. Evaluation is conducted every 3 months ; supervisors complete an rating signifier during the period after which gross revenues forces are met with by directors and supervisor to measure their public presentation. Measures are taken to cover with any incompatibilities between desired and existent public presentation.
COMPENSATION, MOTIVATION & A ; SUPERVISION
In–house sales representative are compensated through wage which is really moneymaking. TBBR late changed their system from committee plus salary to paying salary merely. The circuit representatives are compensated on a committee footing hence their avidity to implement the gross revenues scheme. Staff is motivated through plans such as employee of the one-fourth and employee of the twelvemonth. It has been highlighted that most of the staff at TBBR are motivated through intrinsic wagess. The comparatively informal relationship between the proprietors and the salespeople consequences in the staff being more relaxed within the on the job environment. Additionally, employees are given multiple chances when mistakes are made to deliver themselves. The reassurance and openness of the proprietors and directors create an ambiance that keeps most sales representatives motivated.
Employees are monitored by supervisors that are present on every displacement. There are two ( 2 ) displacements per twenty-four hours and each supervisor/manager is required to supervise staff, trade with any minute issues. Any incidences that are deemed out-of-control are taken to the Executive Manager. Customer ailments on staff are besides handled by the Executive Manager.
Planning AND Prediction Gross saless
Directors use past old ages informations to foretell future gross revenues, every bit good as tendencies in the market and the current and forecasted economic clime. Based on seasonality of the tourer season, the company considers this method to be an of import signifier of prediction. TBBR besides involves the usage of intuition in puting gross revenues ends. Planing for the coming twelvemonth is based chiefly on the budget set by the accounting section. For illustration, as the company is involved in the redevelopment of their Waterfront flats, selling attempts will be reduced in order to ease the undertaking.
Company BACKGROUND
When asked “what is one of Flamboyant ‘s typical competences? ” the response was the position. And so Flamboyant Hotel and Villas enables its invitees to be awakened by the beautiful Caribbean Sun to the image perfect position of Grand Anse and the town of St. George. The hotel commenced operations on July 3rd, 1989 under the name Flamboyant Hotel and subsequently became Flamboyant Hotel and Cottages ( The Flamboyant Hotel & A ; Villas, 2010 ) . Soon, the hotel is called Flamboyant Hotel and Villas. The hotel consists of 68 ( 68 ) suites including 15 ( 15 ) suites including Deluxe Hotel room, Superior 2-bedroom Suite, Superior 1-bedroom Suite, Superior Studio and Standard Hotel Rooms ( The Flamboyant Hotel & A ; Villas, 2010 ) .
Flamboyant Hotel and Villas ‘ installations include Peter Rod Car Rentals, Dive Grenada, Masseuse, and The Owl Restaurant. The hotel besides provides nuptials and conference services every bit good as diving services. The Flamboyant Hotel and Villas ‘ vision is “To be Grenada ‘s Premier Holiday Resort” and its mission is “To Provide foremost category cordial reception to our invitees, value for our stockholders and development chances for our employees” . Harmonizing to TripAdvisor.com ( 2010 ) , The Flamboyant Hotel and Villas ranks # 8 out of 26 in its popularity index and # 6 as the recommended pick by concern travellers to Grenada.
SALES & A ; Selling AT THE FLAMBOYANT HOTEL & A ; VILLAS
The Flamboyant Hotel & A ; Villas is in the touristry and hotel industry where its primary focal point is on supplying adjustment and other services such as conferences and nuptialss to its clients. The company does non import or export major merchandises or services ; nevertheless, merchandises used by the hotel such as equipment is sourced outside of Grenada, if it is non readily available locally. The challenges of the economic recession have led the hotel to acknowledge the value of selling, and as such the company embarked on an aggressive selling scheme to better and keep its market portion. The hotel uses a combination of gross revenues and selling constructs to bring forth clients. The selling construct is tailored to the demands of their clients. The merchandising scheme is used to drive gross revenues and is utilized mostly by the circuit representatives back uping the hotel. These schemes offer a assortment of services at the hotel which are tailored specifically to the Caribbean market. The gross revenues and selling maps are combined into one unit and handled by the Gross saless and Marketing Manager.
The gross revenues map is organized as a combination dwelling of outside gross revenues, inside gross revenues and internet gross revenues. Outside gross revenues ( which is a cardinal property of the merchandising construct ) involves the usage of circuit representatives located in Canada, The United Kingdom, United States and Germany. In the U.S, the hotel uses Destinations of Distinctions which attend trade shows and route shows sponsored by the Grenada Board of Tourism to force addition consciousness and push gross revenues for Flamboyant. In the UK, High Profile Marketing execute the merchandising and selling maps ; while in Canada, Germany and other European states by Air Canada Vacations, Karibik Reisen and Meiers Weltreisen, severally. Flamboyant besides utilizes the cyberspace through their website www.flamboyant.com and other sites such as Expedia, Travelocity and Orbitz. The hotel ‘s advertisement plans continue through WSEE TV ads, Tempo, Gyel, the Weather Channel and the Barbadian newspaper, The Guardian.
In footings of inside gross revenues, up-selling is a cardinal facet of Flamboyant. Every member of staff employed by the hotel is trained as a gross revenues agent and they are considered gross revenues agents, from front –line staff to the nurseryman. Up-selling is applied to all countries of services from the suites to nutrient and drink. Additionally, Flamboyant uses conferences held on its belongings to advance the hotel through the puting up of a show tabular array where circulars are displayed and particular trades are offered. They besides use the director ‘s tally punch party as an chance to advance the hotel and encourage referrals. The organisational chart at the managerial degree is shown in Figure 2 below:
RECRUITING, SELECTION, Training AND EVALUATION PROCESS
Salespersons are recruited through a procedure known as head-hunting where direction determines the standards needed to suit the place. The Board of Directors will so carry on an probe on individuals that may be best suited for the occupation. The names are so pooled and interviews conducted. The company normally tries to happen individuals who have connexions, are qualified and have a certain image. The newspaper and in-house recruiting are options that are besides implemented ; nevertheless head-hunting is the preferable method. Once the sales representative is chosen, the orientation and preparation procedure commences. This is conducted by the Human Resource Manager who is a certified trainer. At the terminal of the preparation session, sales representatives are expected to travel out and execute every bit trained. Evaluation is conducted for the provisional period of 3 months, so every 6 months thenceforth. A public presentation reappraisal is done for each employee by managers/supervisors through the usage of an rating signifier. Additionally, a public presentation study is kept during the period so that the director can maintain notes on staff instead than waiting until the terminal of the period. Salespeople so meet with the direct supervisor and HR Manager to measure advancement and the necessary actions taken.
COMPENSATION, MOTIVATION & A ; SUPERVISION
Salesperson are given a salary plus a committee of 5 % -10 % for up-selling. A wage of EC $ 8,000 is paid on a monthly footing for any outside gross revenues. Staff is motivated through the usage of committee which is straight related to any up-selling and besides any tips received. The company besides uses employee of the month in order to actuate staff to execute better within the organisation. Bonuss are besides paid at the terminal of each twelvemonth. Employees are supervised by the director or supervisor on responsibility in a displacement system. The sales representative answers straight to that section caput.
Planning AND Prediction Gross saless
When calculating for the undermentioned twelvemonth, the company takes into consideration the current market state of affairs, and the usage of historical informations including past gross revenues and tenancy degrees. The company besides will foreground marks to be met for the coming twelvemonth in footings of tenancy degrees and the mean day-to-day rate ( ADR ) . This is strongly affected by the budget set Forth by the fiscal accountant given the fiscal place of the company.
SIMILARITIES BETWEEN TBBR & A ; THE FLAMBOYANT HOTEL & A ; VILLAS
In analysing TBBR and Flamboyant, similarities between the two companies have been highlighted. These are indicated as followerss:
* Both companies are located in the South of the island
* Both offer services such as diving, massage, nuptials and conference
* Both utilizes the merchandising and selling constructs
* In both instances, gross revenues and selling are combined into one unit and the footings are used interchangeably
* In the enlisting procedure, both uses in-house advertisement of place and newspapers
* Both offer initial preparation by supervisor/manager and displacements are supervised in similar mode
* Both utilizations rating signifiers on employees
* Both utilizes wage and committee for employee
* Both utilizations clip – series methods of prediction
Although there are similarities, major differences are besides apparent. This is reflected in the tabular array below for easy comparing.
TBBR
Flamboyant Hotel & A ; Villas
No of suites ( 46 )
No. of suites ( 68 )
Approached by Tour Operators
Beginning Tour Representatives
Ranks # 9 in popularity index
Ranks # 8 in popularity index
Gross saless map: outside & A ; cyberspace gross revenues
Gross saless map: exterior, inside & A ; cyberspace gross revenues
Do non head – Hunt
Recruitment through caput – hunting
Online preparation
No online preparation
Evaluation every three months
Evaluation every 6 months
Employee of the quarter/ per twelvemonth
Employee of the month
Recommendation
Both companies possess characteristics that make them alone and typical in their ain right. However, the undermentioned recommendations have been proposed to better the sale and selling maps of both organisations. First, TBBR need to be more proactive in their selling attempts. Rather than waiting for circuit reps. to offer proposals for selling and selling, the company should truly play a more active function in advancing the resort. Training should be conducted intermittently to guarantee that accomplishments are non lost or forgotten. It can besides function as a motivational factor for gross revenues staff. Gross saless staff should besides be incorporated in puting the company ‘s ends. This will promote staff to run into marks as they were actively involved in puting them. Last, TBBR can profit from up-selling it services. This allows clients to go familiar with services that they may non hold been cognizant of, every bit good as, generate extra grosss for the company.
Flamboyant, like TBBR, should carry on intermittent preparation for staff as a refresher and besides include them in their end puting procedure. This can help in increasing their degree of motive. The provisional period should be reduced to 3 months to suit better monitoring of staff. This besides prevents any incompatibility to be dealt with early. Finally, Flamboyant should implement more intrinsic wagess system for staff as it can increase employee morale resulting in addition in public presentation.
Decision
Although TBBR and Flamboyant operate in the same industry, there exist major similarities and differences between the two that add to their ain corporate civilization. The gross revenues and marketing maps of each organisation are of import to its ultimate success and as such, employees in each functional country of the organisation must be proactive in the executing of gross revenues and selling schemes. This is applicable for both TBBR and Flamboyant.
Mentions
CIA World Factbook ( 2010 ) . Grenada. Retrieved on April 26, 2010 from hypertext transfer protocol: //www.cia.gov/library/publications/the-world-factbook/geos/gj.html
Daniel, A. Mr. , Marketing Officer, True Blue Bay Resort. Interview conducted May 3, 2010
The Flamboyant Hotel & A ; Villas ( 2010 ) . About. Retrieved in May 3, 2010 from hypertext transfer protocol: //www.flamboyant.com/Accommodations.htm
True Blue Bay Resort ( 2010 ) . About us. Retrieved in May 3, 2010 from hypertext transfer protocol: //www.truebluebay.com/
TripAdvisor ( 2010 ) . True Blue Bay Resort & A ; Marina. Retrieved on May 3, 2010 from hypertext transfer protocol: //www.tripadvisor.com/Hotel_Review-g147296-d262109-Reviews-True_Blue_Bay_Resort_Marina-St_George_s_St_George_Grenada.html
TripAdvisor ( 2010 ) . The Flamboyant Hotel and Villas. Retrieved on May 3, 2010 from hypertext transfer protocol: //www.tripadvisor.com/BusinessCenter-g147296-St_George_s_St_George_Grenada.html
Williams, A. Mr. , Financial Controller at Flamboyant Hotel. Interview conducted on May 3, 2010.
