ramada case study

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    1. Introduction: Avari Lahore Ramada Renaissance Hotel, a hotel reflecting the

    traditional hospitality of Lahore combined with five star standards. It was situateddown the beautiful tree-lined Shahrah-e-uid-e-A!am overloo"ing the !oological#ardens and conveniently ad$acent to the %rovincial Assembly and commercial!ones of Lahore.

    2. Competitor Analysis&eing one of the only two ' star hotels in Lahore, Avari Ramada faced a taut anddirect competition with %earl (ontinental Hotel. %earl was situated one "ilometre fromAvari so it was essentially in the same neighbourhood ad$acent to #overnors houseand near beautiful )innah #ardens. %earl had similar pricing policies as those atAvari, with the same rate structure and reassessment policies. However, the roomrates of %earl had always been marginally lower than Avari*s. +ovember wasthe first time the room prices of %earl had overta"en the prices of it competitor. /hesummer pac"age of %eal in was a greater success than Avari*s. /his wasbelieved to be due to people s predilection of %earls fresher loo" with bigger rooms

    and widespread lawns.

    3. Marketing Recommendations

    Brand Building0ne of the ma$or wea"nesses of Avari Ramada hotel was the lac" of &rand Image inthe minds of the consumers. /his can also be categorised as an opportunity if themanagement is able to build a differentiating and distinct brand image foritself. (reate the &rand 1Avari2, so when a potential customer thought of Lahore theythought of Avari. Initially at the nascent stage of brand building Avari should harpService as their 13ni4ue Selling %roposition 53S%62.

    Leveraging its eaknessAvari can ma"e its bac"ground and history a selling proposition in the second stageof mar"eting.7ith the deep routed tradition and culture of %a"istan, it can differentiate itself from%earl, an e8periential bouti4ue hotel offering more than $ust stay. It can leverage itssmaller si!ed property to %earl by calling it a hotel with a more intimate setting. /hisstrategy will provide Avari and edge over %earl, especially for leisure travellers whowill be coming to %a"istan to feel the country*s essence.

    !. "uestions

    "1 # $%ould Ra&a seek to increase t%e occupancy rate or average room rate' (%at are t%e

    trade)o**s' (%at *actors s%ould %e consider' Avari Ramada +otel: ,ricing+otel Rooms/he management at Avari seemed fine at not gaining the summer pac"age share aslong as their 9: occupancy target for the year was achieved. /his was not the rightapproach; since they were already giving discounts and promotions to the guests itwill be in the best interest of Avari to ma"e these rates competitive to those of%earl*s.

    Increasing t%e -ccupancy RateAlong with having competition and demand pricing approach, Avari Ramada shouldconcentrate on profit oriented approach. /he hotel*s main focus at this point in time shouldbe to increase the occupancy rate. 0ut of months in , occupancy for months hadbeen higher for %earl. Avari should concentrate on increasing not $ust occupancy solely, but%rofitable occupancy. In the month of +ovember

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