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Page 1: Issues and Challenges in Services Marketing Faced By …ijetmas.com/admin/resources/project/paper/f201706291498727838.pdf · Services Marketing faced by the Kerala Tourism Development

International Journal of Engineering Technology, Management and Applied Sciences

www.ijetmas.com June 2017, Volume 5, Issue 6, ISSN 2349-4476

889 Prof. Thomas Chacko, Dr.MerlinThanga Joy

Issues and Challenges in Services Marketing Faced By KTDCGroup of Hotels in Kerala

Prof. Thomas Chacko,Ph.D Research Scholar,Noorul Islam University

Kumaracoil,KanyakumariDistrict,T.N,

India

Dr.MerlinThanga Joy,Assistant Professor,

School of Management Studies,Noorul Islam University,

Kumaracoil,Kanyakumari District,

TamilNadu,India

Abstract- This study is about the issues and challenges inServices Marketing faced by the Kerala Tourism DevelopmentCorporation which is the biggest chain of hotels in Kerala. Themain objective is to analyse the socio-economic profile of thetourist both inbound and outbound tourist. The other objective isto analyze how far the services of hotel industry supportstourism development in Kerala and the level of impression oftourist regarding various services in hotels especially KTDCgrowth. This study also suggests remedial measures for theimprovement of KTDC group of hotels. Through the analysis ofthe problems faced by the visitors of the hotel both inbound andoutbound tourist, different problems have been found out andexperienced by these visitors mainly in the boarding and thelodging sector, transport and communication sector, bankingsector, health care facilities, supply of hygienic water, shoppingfacilities, information centers, food service facilities, bar-attached facilities, round the clock service, ice-cream parlorfacilities, lawn facilities, money exchange facilities, car parkingfacilities,etc. Deficiency of the qualified and trained staff werefound out. Many of the staff could not speak foreign languageslike English, German and French. The investigator suggeststhrough this study that improvements can be made in all theseabove mentioned deficiencies if the concerned departments cantake necessary actions to solve all these problems.

Keywords: Service Marketing, KTDC, Tourism, Hotels,Tourists, Facilities

I. INTRODUCTION

Kerala is today the favorite destinations of

tourist from across the world. And introducing the very

best of Kerala to the world is the Kerala Tourism

Development Corporation (KTDC). KTDC is Kerala’s

largest tourism service provider. It is the state’s premier

destination developer with over 70 properties ranging

from luxury resorts to budget hotels and motels.

YatriNivases and Restaurants – all set in the finest spots

of Kerala. KTDC is the largest chain of hotels in Kerala is

a company incorporated under Indian Companies Act

1956, which is wholly owned by Government of Kerala.

It was incorporated as Kerala Tourism and Handicrafts

Development Corporation Ltd. On 26th December 1965.

KTDC had started its business operation on 1st April

1966. Later the Corporation was renamed as Kerala

Tourism Development Corporation on July 15th 1970. It

has a history of successful development and advancement

through 46 years of experience KTDC has membership in

prestigious international and national organization like

WTO, AITO, TAAI and FHRAI. KTDC will be the most

reliable link between the tourist and Kerala.

Page 2: Issues and Challenges in Services Marketing Faced By …ijetmas.com/admin/resources/project/paper/f201706291498727838.pdf · Services Marketing faced by the Kerala Tourism Development

International Journal of Engineering Technology, Management and Applied Sciences

www.ijetmas.com June 2017, Volume 5, Issue 6, ISSN 2349-4476

890 Prof. Thomas Chacko, Dr.MerlinThanga Joy

Today the services sector is recognized as a

crucial field for economic wellbeing. Consumption of

services is deemed essentially today. The consumer focus

has shifted largely from more and more consumption of

physical goods to greater consumption of services.

Services marketing requires understanding of the

application of basic concepts such as consumer behavior

and expectations, special elements in the marketing mix

and the measurement and control of the services delivery

process. Excellent intangible services and facilities

provided can elevate the scope of guest satisfaction and

its consequent tourist growth.

II. STATEMENT OF THE PROBLEM

The study area enjoys a pridal place in terms of

tourism potentials. There are several places of religious,

social, cultural, historical and scientific significance. The

availability of ancient temples with architectural marvels,

tall towers and artistic wonders attracts tourists steadily.

There is a wide network of Hotel industry in the

study area. Yet the growth of this sector does not keep

pace with the changing demands from the tourists.

Tourists’ expectations undergo considerable changes and

lot of imagination is needed on the part of the custodians

of the hotel industry to predict and perform accordingly.

For instance a star service status hotel remains still a

remote dream. High quality food with suitable variety

seems to be a little scarce.

This study proposes to find out and highlight the

present problems and challenges in services marketing

faced by KTDC group of hotels/hotel industry.

The relative strength, weakness and capability of

the hotel industry in the light of the modern national and

international conditions, levels and aspirations of the

prospective customers to be brought out. Tourists’ living

and learning shall be taken into account in the process of

this exploration. The existing ‘desiderata’ will be closely

scrutinized and lapses identified. A simple evaluation of

the conditions of the hotel industry in the study area

becomes increasingly imperative. It is proposed to

estimate the possible changes in some key variables using

their linear growth rate.

III. OBJECTIVES OF THE STUDY

The specific objectives of the study are:

i. To study the socio-economic profile of the

tourists.

ii. To investigate how far the services of Hotel

industry supports the Tourism Development of

Kerala.

iii. To analyze the level of impression of tourists

regarding various services especially in KTDC

group of hotels.

iv. To suggest measures for the improvement of

functioning of KTDC group of hotels/hotel

industry in the study area.

IV. SELECTION OF RESEARCH METHOD

A. Area of Study

The present study covers 70 properties

ranging from luxury resorts to Budget Hotels,

and Motels, YatriNivases and Restaurants all set

in the finest spots of Kerala.

B. Sample Profile

The study focuses on luxury resorts,

Budget Hotels, Motels, YatriNivases and

Page 3: Issues and Challenges in Services Marketing Faced By …ijetmas.com/admin/resources/project/paper/f201706291498727838.pdf · Services Marketing faced by the Kerala Tourism Development

International Journal of Engineering Technology, Management and Applied Sciences

www.ijetmas.com June 2017, Volume 5, Issue 6, ISSN 2349-4476

891 Prof. Thomas Chacko, Dr.MerlinThanga Joy

Restaurants. 50 percent of the properties of

KTDC i.e. 35 properties are included in the

sample. Apart from that by using structured

questionnaire the researcher collected the

opinion and views from a sample of 400 visitors

selected at random, who happened to visit the

study area during the study period (2010-2011).

Similarly the researcher had tried to collect the

opinion views and problem of 35 officials and 70

staff members. All were chosen at random.

C. Sources of Data

Both primary and secondary are made use of

in this work. By using structured questionnaire

the researcher collected the opinion and views

from the sample of 400 visitors selected at

random, who happened to visit the sample hotels

in the study area. Similarly the researcher had

tried to collect the problem, opinions and views

of 35 officials and 70 staff members from the

hotels selected for investigation.

The sources of secondary data were books,

journals, periodicals, newsletters, annual reports

of FHRAI, DOT, Government of Kerala,

Ministry of Tourism and Government of India.

D. Tools of Data Collection

Separate questionnaires were used to

collect information from the visitors and officials

and staff of the identified hotels. In addition to

this a few case studies were conducted

extensively to collect pertinent and most relevant

information about the hotel industry. Moreover a

focused group discussion with a small group of

hotel officials and staff was organized to get

qualitative information about the hotel industry.

All these information would be a supplement to

the primary data collected through questionnaire.

E. Study Design

Design in any plan for the collection

analysis and evaluation of data. The present

study is primarily based field study method

which is suitable to explore and brings out more

and more facts.

F. Profile of Hotels

As mentioned earlier hotels were taken

at random from Premium Properties, Economy

Hotels and Tamarind – Budget Hotels from

Thiruvananthapuram, Thekkady, Kochi, Kollam

and Kozhikode.

G. Profile of employees

The employees were classified into

Managers (officials) and staff. One official from

each hotel (35) was included in the sample.

However the members of the staff included in

the sample were two per hotel (70). This was

done to ensure greater representation of the

members of the staff, as their population was

higher than that of the officials

H. Period of study

Period of study was from 2000 to 2010.

However, primary data for the study was

collected during April 2010 – March 2011.

Page 4: Issues and Challenges in Services Marketing Faced By …ijetmas.com/admin/resources/project/paper/f201706291498727838.pdf · Services Marketing faced by the Kerala Tourism Development

International Journal of Engineering Technology, Management and Applied Sciences

www.ijetmas.com June 2017, Volume 5, Issue 6, ISSN 2349-4476

892 Prof. Thomas Chacko, Dr.MerlinThanga Joy

I. Tools for analysis

This is a descriptive and field research exercise.

It includes evaluation and estimation also.

Several statistical tools like tables, diagrams,

averages, percentages and rates are employed,

wherever needed. Statistical tools like mean,

standard deviation and co-efficient of variation

were also used for the analysis of data.

V. PROFILE OF TOURISTS

Profile of visitors to the study area have been

collected and analyzed. But using structural questionnaire

the investigator collected the details about their

nationality, sex composition, age composition, level of

education, nature of occupation, marital status, religious

composition, nature of family, number of family

members, mode of transportation, annual income, number

of days spent and sources of information, from a sample

of 400 tourists selected at random from a cross section,

who happened to visit the study area.

TABLE NO.1

DISTRIBUTION SHOWING THE NATIONALITY OF THE TOURISTS

Sl.No Nationality Number of

Tourists

Percentage

1 Indian 200 50

2 Foreigners 200 50

Total 400 100

Source: Survey Data

In a sample of 400 visitors, 200 were Indians and

200 were foreigners. There are two types of tourists i.e. an

inbound tourist i.e. inside the country and the foreign

tourists is known as the outbound tourist i.e. outside the

country.

TABLE NO.2

DISTRIBUTION SHOWING COUNTRY-WISE CLASSIFICATION OF THE FOREIGN

TOURISTS

Sl.No Nationality Number of

Tourists

Percentage

1 United

Kingdom

60 30

2 America 42 21

3 France 24 12

4 Germany 22 11

5 Japan 18 9

6 Italy 12 6

7 Singapore 10 5

8 Malaysia 5 2.5

9 Sri Lanka 4 2

10 Australia 3 1.5

Total 200 100

Source: Survey Data

The above table reveals that among the

foreigners there were 30 percent from United Kingdom,

21 percent from America, 12 percent from France, 11

percent from Germany, 9 percent from Japan, 6 percent

from Italy, 5 percent from Singapore, 2.5 percent from

Malaysia, 2 percent from Sri Lanka, 1.5 percent from

Australia.

Page 5: Issues and Challenges in Services Marketing Faced By …ijetmas.com/admin/resources/project/paper/f201706291498727838.pdf · Services Marketing faced by the Kerala Tourism Development

International Journal of Engineering Technology, Management and Applied Sciences

www.ijetmas.com June 2017, Volume 5, Issue 6, ISSN 2349-4476

893 Prof. Thomas Chacko, Dr.MerlinThanga Joy

TABLE NO.3

DISTRIBUTION SHOWING TRAVELLERS’ IMPRESSION ABOUT THE

FACILITIES PROVIDED BY KTDC HOTELS (NUMBER OF TOURISTS)

Sl.No

Traveller’s

Impression

about…..facility

Excellent

Good

Stressfor

modernization

Insiston

drasticchange

s

Indecisive

1 Boarding - 72 216 87 252 Lodging - 64 88 209 393 Communi

cation- 23

2112 - 56

4 BankingNetwork

236 164

- - -

5 HealthCare

- 152

224 24 -

6 HygienicWater

- 75 103 222 -

7 ShoppingComplex

- 176

224 - -

8 Information

Centers

- 120

- 216 64

9 FoodServices

- 226

152 22 -

10

Bar-attached

- 232

168 - -

11

Aroundthe ClockService

- 172

116 80 32

12

Ice creamParlor

- 58 188 118 36

13

LawnService

- 242

122 - 36

14

Qualifiedand

trainedstaff

215 185

- - -

15

MoneyExchange

95 230

75 - -

16

CarParking

- 240

160 - -

17

LiftService

- 152

200 48 -

18

Lodgeswith

ElectricGenerator

s

- 201

72 115 12

Source: Survey Data

This table 3 reveals the suggestions of the

visitors regarding the facilities offered by the hotels

in the study area. Majority of the tourists stress for

modernization and insist on drastic changes.

TABLE NO.4

DISTRIBUTION SHOWING TRAVELLERS’ IMPRESSION ABOUT THE

FACILITIES PROVIDED BY KTDC HOTELS (PERCENTAGE)

Sl.No

Traveller’sImpressionabout…..facility

Excellent

Good

Stressfor

modernizati

on

Insiston

drastic

changes

Indecisiv

e

1 Boarding - 18 54 21.75 6.252 Lodging - 16 22 52.25 9.753 Communic

ation- 58 28 - 14

4 BankingNetwork

59 41 - - -

5 Health Care - 38 56 6 -6 Hygienic

Water- 18.

825.7 55.5 -

7 ShoppingComplex

- 44 56 - -

8 InformationCenters

- 30 - 54 16

9 FoodServices

- 56.5

38 5.5 -

10 Bar-attached

- 58 42 - -

11 Around theClock

Service

- 43 29 20 8

12 Ice creamParlor

- 14.5

47 29.5 9

13 LawnService

- 60.5

30.5 - 9

14 Qualifiedand trained

53.75

46.25

- - -

Page 6: Issues and Challenges in Services Marketing Faced By …ijetmas.com/admin/resources/project/paper/f201706291498727838.pdf · Services Marketing faced by the Kerala Tourism Development

International Journal of Engineering Technology, Management and Applied Sciences

www.ijetmas.com June 2017, Volume 5, Issue 6, ISSN 2349-4476

894 Prof. Thomas Chacko, Dr.MerlinThanga Joy

staff15 Money

Exchange23.75

57.5

18.75 - -

16 Car Parking - 60 40 - -17 Lift Service - 38 50 12 -18 Lodges

withElectric

Generators

- 50.25

18 28.75 3

Source: Survey Data

This table 3 reveals the suggestions of the

visitors regarding the facilities offered by the hotels

in the study area. Majority of the tourists stress for

modernization and insist on drastic changes.

VI. SUGGESTIONSFOR IMPROVEMENTS

According to these visitors opinionconcerned departments have to take necessary stepsto solve all these problems mentioned above.

Using different marketing strategies thetourism potentials of our country have to be broughtto the knowledge of the tourists out bound as well asunbound tourists. By making all these steps, ourtourism will be flourishing, developing just likeSingapore, Malaysia, Thailand, and UK and so on.

VII. CONCLUSION

Profile of the visitors to the study area havebeen collected and analyzed from a sample of 400visitors / tourists – both Indian and foreigners. Theforeign tourists came from different countries likeUnited Kingdom, USA, France, Germany, Japan,Italy Singapore, Malaysia, Sri Lanka, and Australia.

According to the opinion of these customersdrastic changes and modern factors have to be donein boarding, lodging, transport and communication,laundering, health care facility, supply of hygienicwater, shopping facilities, information centers, foodservice facilities, bar attached facilities, round theclock service, ice cream parlour facility, lawn servicefacilities, money exchange facilities and so on.Qualified and trained staffs were comparatively notenough. Many of them could not speak foreignlanguage like English, German, and French etc.

REFERENCES

A. Book References

[1] SatishBabu A. “Tourism Development

in India”. A.P.H. Publishing

Corporation, New Delhi, 1998, PP. 1-

286.

[2] JavindAkhtar “Tourism Management in

India” Ashish Publishing House, New

Delhi, 1990, PP. 1-173.

[3] BijenderK.Puma “Tourism –

Management – Problems and

Prospects”, Ashish Publishing House,

New Delhi, 1994, PP. 1-199.

[4] M.M. Anand, “Tourism and Hotel

Industry in India”, Prentice Hall, New

Delhi, 1976, PP. 10-95.

[5] S.Medik, “Profile of the Hotel and

Catering Industry”, University of

Survey, Survey, 1972, PP. 5-78.

[6] L.T. Crampar, “The Development of

Tourism”, University of Colarado,

Colarado, 1963, PP. 8-92.

B. Journal References

[1] E-Beresky Andrew, Ed., “Fodor’s India”,

Fodor’s Travel Publications, London, 1988,

PP.5-205.

Page 7: Issues and Challenges in Services Marketing Faced By …ijetmas.com/admin/resources/project/paper/f201706291498727838.pdf · Services Marketing faced by the Kerala Tourism Development

International Journal of Engineering Technology, Management and Applied Sciences

www.ijetmas.com June 2017, Volume 5, Issue 6, ISSN 2349-4476

895 Prof. Thomas Chacko, Dr.MerlinThanga Joy

[2] The Department of Tourism Government of

India, “A Survey of Foreign Tourists in

India”, 1982- 83, Indian Statistical Institute,

Calcutta, 1984, PP. 1-227.

[3] Kumar B. Dass And Mohanty P.M., “Profile

Of International Tourism In India”. Southern

Economist, Vol. 31, No. 8, August 15, 1992,

PP. 25-26.

[4] Singh L.P., Tourism Marketing In India:

Problem and Prospects, Southern

Economist, Vol. 29. No.18, January 15,

1991, PP

[5] Bheemraj P., “Marketing in Tourism”,

Voice of Hindecon, HRC, AnmealVol.XVL,

2007-08, PP.29-33.

[6] BrijBharadwaj, “Infrastructure for Tourism

Growth”, Yojana, Vol.43, No: 8, August

1999, P.31.