Distribution of hotel services for the inbound tourism segment of «Holiday Inn» hotel chain»
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Date
2020
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Publisher
KNUTE
Abstract
For hospitality industry, a key part of any revenue management strategy revolves
around distribution channel management. An effective hotel distribution system is
imperative for maintaining the partnerships and business relationships that are necessary
in order to optimize sales and maximize revenue. Distribution channel management is
an important concept within the hotel industry and the use of a distribution channel
manager can improve associated processes. As a result, management can be made faster
and more accurate, more dynamic pricing strategies can be adopted, visibility can be
enhanced and revenue can be increased.
Many scholars are engaged in studying issues of hotel distribution. Francis Buttle
gave an overview about principles of hotel distribution and channel management (first
published 1986 by Holt, Rinehart and Winston in Great Britain).
Carroll B., Siguaw J., recognized evolution in electronic hotel distribution and its
effects on hotel chain and intermediaries in 2003. A.Mazaraki, S.Shapoval,
S.Melnichenko, M.Boyko and others co-authors recognized general solutions for
creation an effective distribution process for hotel chain and presented manual HoReCa
in 2017, Kyiv.
Very important question in hospitality is to evaluate distribution channels, to
determine effectiveness each of them and create powerful distribution system for
excellent revenue results. Distribution can make or break a hotel chain. Therefore,
despite the wide range of publications about it, the problems of creating distribution
hotel system for the inbound segment of customers remain unsolved. Thereby, the
issues of determining the essence of the hotel distribution, as well as its reflection in the
revenue management require for a further study.
Having reviewed a number of papers related to issues of distribution of hotel
services, the purpose of the work is to research distribution system for inbound tourism
segment in Holiday Inn Inc., Kyiv.
In order to address the purpose of the research the following objectives should be
fulfilled while conducting this study:
to research essence of distribution;
to define principles of distribution and channel management;
to identify the main functions of (and flows in) channels of distribution;
to describe at least 10 types of channel intermediary for hospitality services;
to explain the differences between conventional and vertical marketing system;
to recognize 4-step channel planning process;
to explain the difference between physical distribution in a hospitality context;
to identify the key variables to be considered when selecting a trading area and a
particular site for location;
to describe process of distribution of the hotel services for the inbound tourism
segment.
The object of the research is hotel distribution, process of distribution hotel services
for the inbound tourism segment as well.
Theoretical basis of research methodology is a systematic approach to the study
of distribution processes, the performance of domestic and foreign
scholars dealing with the approach of application principles of distribution and channel
management. General scientific methods, e.g. the methods of analysis and synthesis, are
used to illustrate the distribution process of hotel services, classification distribution
channels, and its functions for needs of management. The comparison method is used to
determine the most effective approaches to reflect information about distribution in
hospitality area.
The experience of Holiday Inn Inc. is shown in reflection of data about
distribution and channel management. In addition, in the study capitalization of research
and development of the distribution system of the hotel services.
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