I am deeply indebted to Siam@Siam for allowing me to intern there, for their constant guidance and supervision as well as providing necessary information whenever needed and their support in completing the project. Last but not least, I would like to thank my colleagues at Siam@siam and CMMU for helping me during my consultancy internship and Master's degree. This study and internship will take you to the micro level of the Siam@Siam hotel business where I undertook my internship.
Furthermore, Siam@Siam must find a way to complement itself with other family businesses such as 3 golf courses in Pattaya. As Siam@siam is also a consulting firm for hospitality businesses, taking on new business partner is a must and connecting with other family businesses has a great comparative advantage. Siam@siam marketing department has actually been dealing with all types of travel agencies, airlines and other hotels for many years.
One way Siam@Siam can improve its performance is by handling all travel transactions across all companies under Siam Kolakarn. In other words: all companies must make their trips and bookings via Siam@Siam. Siam@Siam was founded in 2003 when owner and CEO Phornpinit Phornprapha announced that he would convert a family business into a hotel.
I was lucky enough that the owner allowed me to look at any part of the hotel operation that I want.
SWOT ANALYSIS
The other strength of Siam@Siam is Party House, an excellent conceptual bar and restaurant that offers value for money. Customer is familiar with certain designs such as luxury or boutique design, but the design of Siam@Siam is based on a factory character, which makes the hotel look like an industrial hip design hotel. No banquet facility at Siam@Siam is one of the weak points. The hotel does not have a dedicated space to hold the banquet, it will adapt Bar10 to hold the event and support a maximum of 160 participants, which also makes the hotel lose the chance of the visitor who always stays at the party venue.
The other weakness of Siam@Siam is limited parking which is inconvenient for customers. Second, Siam@Siam has an opportunity to accommodate the customers attending the event at Siam Paragon Hall, which is the hotel's neighboring venue. In addition, Siam@Siam has created its own high-profile events matching the hotel target market to recruit the customer in the hotel, such as International Underground DJs Monthly at Party House One, The Returner Exclusive Cocktail Session with Toshiaki Aizu, TV Champion Winner Bartender @ Bar Eleven.
In addition, Siam@Siam's is located close to Rajaprasong town, which is the main location of political protestors, which could make the customer unsecured. In the conclusion of the product analysis, Siam@Siam is strong in its strategic location where the central area of Bangkok is, but it has to take care of the critical threat which is the oversupply of hotel rooms in the same area, which may cause price competition.
DATA COLLECTION
Data Collection
Data Analysis
PROBLEM STATEMENT
Key Consideration
Problem Statement
- Improve and expand marketing campaign
- Expand Branches
The Issue Tree Analysis diagram shows the approach to solve the problem statement “How can Siam@Siam increase the number of customers?” to solve. According to the problem statement, two approaches are proposed to solve the problem as shown below. Facebook is a free marketing program that makes it easy to post photos, messages, and other media such as video.
The company can have interactive communication with the customers by posting comments on the company wall that can make the company know the customers better. The use of CRM can be done by sending an email or card on the customer's birthday or a special occasion or open free space on the company's website or on Facebook, so that the customer can share his comments or photo performed during the stay at the hotel. To make the deal happen, the company can create an event such as a golf tournament and invite them to have a meal after the game.
According to Structure Analysis, it is possible that Siam@Siam hotel can increase the number of its customers. However, even with the low GDP, unstable political situations and natural disasters, Table 3.1 suggested that hotel performance (based on occupancy rate) is still very good. This means that when everything returns to normal, there is potential growth for the hotel to achieve.
Moreover, tourism has not grown as expected and is likely to recover to meet the expected growth. Due to the unrest, Bangkok was not the tourist destination it used to be. Tourism in Pattaya has grown over the years and the average spend is higher than other places.
The above feasibility showed why Siam@Siam could potentially open the second branch in Pattaya. Siam@Siam must utilize the potential that online marketing and social media have to offer. By collaborating with websites such as agoda and a travel advisor, Siam@Siam can explore the potential market online.
RECOMMENDATIONS
Rationale for Recommendation
- Rationale for recommendation #1
- Rationale for recommendation #2
- Rationale for recommendation #3
- Rationale for recommendation #4
Social networking is an easy and cheap way to communicate because it is free software and ready to use. To initiate social network effectively, the company should hire one administrator to look after the hotel social network. To let people know the company Facebook, IT team can link Facebook page with company website which is easily searched by search engine.
To make facebook interesting, the team must always activate the page to make facebook always dynamic by posting messages, advertisements, pictures or other media such as video clips and always interact with customers who send messages or comment on the wall. To measure how effective it is, it can be measured by the number of friends on facebook, the number of likes, the frequency of comments and track the customer profile that knows the company through facebook. The hotel's social network must offer the service in different languages to be able to respond to the different targets.
Agency like Compass Hospitality will give access to the domestic market while others give access to the international market. Company should look for domestic agency that meets our target group and apply to international organizations like expedia. Siam@Siam can offer the incentive tour package to the customer to stay with Siam@Siam and reduce the commission cost to be paid to the external tour company.
The company should do marketing through the family business chain, be it seminars, guests from abroad etc. Moreover, they now have experience in running hotels and their reputation has increased over the years. Siam@Siam hotel has experienced hotel staff and if they decide to build, they can get the hotel up and running in no time.
The Result
Recommendation 2 suggested that Siam@Siam should consider expanding into the online market through the use of experienced marketing agencies such as Expedia and Agoda. Siam@Siam joined agoda and it has worked relatively well: online booking increased by almost 7% after joining. Siam@Siam Pattaya has also joined Agoda and more than 30% of bookings before the hotel's grand opening were from foreigners through online marketing agencies.
92% of website users who visited this hotel would recommend Siam@Siam to their colleagues. Most of the inbound and outbound trips through the Siam Kolakarn group were organized by Wendy Tour. As a result, Siam@Siam hosts all Siam Kolakarn customers during their stay in Bangkok, benefiting the Siam@Siam group and Siam Kolakarn.
Siam@Siam revenues increased slightly, while travel expenses for Siam Kolakarn decreased by approximately 5-6%. Recommendation 4 suggested that Siam@Siam should try to expand branches to other areas. The proposed location would be Phuket, Samui or Pattaya. Siam@Siam is immediately entitled to reserve a time slot for the golf course that other hotels do not have.
Second, with the second hotel branch, Siam@Siam has more products to offer. Siam@Siam Bangkok offers city life for both business and pleasure, while Siam@Siam Pattaya offers a very different aspect of Thailand such as beaches, water sports, leisure such as golf and a completely different atmosphere.
