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ITC HOTELSSales and Distribution Channel
Girish Menon AjinkyaApoorv Mahajan Shubham BhatiaShubham
ITC• ITC was established on August 24, 1910• Indian public conglomerate company headquartered in Kolkata, West
Bengal, India• ITC's annual turnover stood at $7 billion and market capitalization of
over $34 billion• The company is currently headed by Yogesh Chander Deveshwar (CEO)• It employs over 29,000 people at more than 60 locations across India
and is listed on Forbes 2000• ITC Limited completed 100 years on 24th August 2010
ITC entered the hotel industry in 1975
ITC’s extension in Luxury Hotels
Company Logo
BRANDING• ITC Hotels presents the GREENEST LUXURY HOTEL CHAIN in the
WORLD.• Tagline – “RESPONSIBILITY LUXURY”• ITC Hotels is an exemplar in sustainable hospitality with all its
premium hotels being LEED® Platinum certified• The group today operates under FOUR distinct brands: Luxury Collection Hotels Sheraton Hotels Fortune Hotels Welcome heritage hotel
ITC’s share in the pie
18%
82%
ITC hotelsOther hotels
Of 52,000 luxury rooms in India, ITC has 9,200
Digital Marketing & E - Distribution
Internet and digital media
Brand Website
Social Media
Marketing
Marketing Services
Advertising
Hotel graphics
Brand Management
Loyalty Programs
Leisure sales
activation
Marketing Comm.
Marketing @ ITC Hotels : Structure
ITC’s growth over the years
ITC has added 8,000 rooms in the last 2 years
FY09 FY10 FY11 FY12 FY13 FY14 FY158000
9000
10000
11000
12000
Revenue (INR Mn)
Product – What are we selling?
Luxury rooms
Product – ITC also provide services
Meeting rooms/ Conference rooms/ Board rooms
Restaurants & Bars
Room bookings – Eva, business, executives
SPA & Swimming pool
Services
ITC also provides services as part of its offerings
PRODUCT CATEGORIESBRAND CATEGORY POSITIONINGITC HOTEL LUXURY
COLLECTIONMANSION OF LUXURY
WELCOME HOTEL SHERATON UPPER UP SCALE
PASSION FOR QUALITY
FORTUNE HOTEL UPSCALE -MIDSCALE
PROMISE OF TRUE VALUE
WELCOME HERITAGE
HERITAGE UNIQUE EXPERIENCES
PRICE
ITC follows premium pricing strategy
Charged according to facilities
Room rentals & service charges are very high
Rent for Basic Rooms are ~8-10k/ room/ night
Pricing is the only mix which generates turnover
Place
ITC is spread across various cities in India
Strategic Locations Metropolitan cities Business hubs Tourist places Heritage areas
Mumbai Bengaluru Kolkata Agra Aurangabad
Chennai Hyderabad Jaipur Vadodara Delhi
PROMOTIONS
ITC has a tie up with Wills Lifestyle
Members get rewarded with Loyalty points for their purchase
ITC offers various schemes to increase consumption (one night stay free in the hotel for spending Rs. 60,000 in its properties)
ITC has a reward program for its customers
Members will earn loyalty points based on usage
Loyalty Program for Customers
Tie up with Wills Lifestyle stores Schemes based on Usage1 2 3
SEGMENTATION
“Grouping people according to their similarity related to a particular product category.”
• Geographical – Urban Area• Demographical – High Income people, based on age – 30+• Psychographic – Life style • FEEL GOOD – Hospitality and ambiance
TARGETING
• High Income Families.
• Couples both Indians and foreigners.
• Business travellers.
• Corporate – Meeting & Events
POSITIONING
Tag line – “Responsibility Luxury”
Sales Hierarchy of ITC
Sales Trainee
Area Executive
Area Manager
Assistant Manager
Branch Manager
Regional Branch Manager
District Manager
The Loyalty / Recognition programs of ITC Hotels target various segments of hotel clientele.
ITC Hotels’ member programmes can be classified as:
1.Recognition led – WelcomClub 2.Loyalty / Frequency led – Club ITC, Culinary Plus (Club ITC Culinaire) & WelcomLink3.Acquisition led – ETVP
CEO/MD/Chairman level
Individual Business Traveler
Frequent Diner
Admin Heads / Secretaries / Influencers
Corporate / Company
Club ITC
Club ITC Culinaire
WelcomLink
ETVP
550 / 300 + member base
1,50,000 + member base
40,000+ member base
5000+ member base
250+ corporate members
WelcomClub
Loyalty Marketing : Architecture
Loyalty Marketing : Club ITC
‘Club ITC’ is the frequent guest loyalty program of ITC Hotels – It signifies a coming together of key values that ITC stands for– trusteeship, perfection and a celebration of all things fine.
There are 3 Membership levels - Silver, Gold, and Platinum. Eligible customers will be enrolled into the base tier of the program. i.e. , Silver. Members are upgraded from Silver to a higher tier basis the criteria defined for each tier.
The guest is to be referred to as a “Club ITC Silver / Gold / Platinum member”
Loyalty Marketing : WelcomClub
• WelcomClub works like an “unpublished premium ” tier of the Club ITC Programme (i.e. the level cant be earned by performance , but is achieved by Invitation basis the position he/she enjoys ).
• Till the time the guest is a WelcomClub member there will be no downgrades applicable basis the performance of the member in the Club ITC programme, unlike all other tiers . Further, the spouse of the member will also get a complimentary enrolment into the WelcomClub programme, with all the similar benefits as the primary member
• WelcomClub members are entitled towards the same earnings as the Platinum members.
• The Spouse of the WelcomClub member also receives a WelcomClub membership
• WelcomClub members are never downgraded
Loyalty Marketing : WelcomLink
• Welcomlink is a lifestyle rewards program designed exclusively to recognize and reward individuals channeling business into ITC Hotels.
• Typical members would be admin heads, secretaries and any person in a company who can influence travel and lodging requirements for company executives
• Given that most hotel chains offer competitive rates & services which are more or less similar, WelcomLink may be used as a differentiator. The idea behind this program is to give the customer an incentive for booking with us
• Members can earn points for every materialized room at 1% of eligible room revenue generated when they book at participating hotels. These points can be redeemed for a set of rewards
Loyalty Marketing
Executive Travel Value Plan
ITC Hotels Executive Travel Value Plan (ETVP) is a comprehensive value filled offering for organisations with multi-destination business or leisure travel. Through ETVP, company executives can enjoy special room rates at over 90 participating hotels.
It also offers a host of unique benefits encompassing significant discounts on principal services such as Food & Beverages, Laundry, Telecommunications, Business Centre Services and more.
ETVP is designed for ease of operations, both for the individual and the organisation and relieves them from negotiating terms each time they travel.
CRM Measures
• Conducting monthly Survey.• Suggestion boxes • Taking feedback internal customers i.e., the employees.• Employing Mystery Customers. • CRM software• Having Guest History programs.• Efficient system of complaints handling • Giving recognition awards to attract old customers.• More personalized and empathic services -- satisfied and return customers
THANKYOU