Marriott's Customer - Focused E-Business Strategy|IT and Systems|Case Study|Case Studies

Marriott's Customer - Focused E-Business Strategy

            
 
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Case Details:

Case Code : ITSY035
Case Length : 12 Pages
Period : 1998 - 2004
Pub Date : 2004
Teaching Note :Not Available
Organization : Marriott International
Industry : Hospitality
Countries : USA

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.



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Excerpts

Background Note

In 1927, J. William Marriott (William) set-up a nine-seat root beer shop in Washington. After some time, William started serving hot food along with root beer and named the shop as 'The Hot Shoppe.'In 1929, Hot Shoppe was officially incorporated as Hot Shoppes, Inc.

In 1937, Hot Shoppe ventured into airline catering at Washington airport, serving the Eastern, American and Capital airlines. Over the next three decades, Hot Shoppes diversified into other businesses including food services management by starting a cafeteria at the US Treasury Building and Highway division...

IT and Systems Case Studies | Case Study in Management, Operations, Strategies, IT and Systems, Case Studies

The Website and E-Business System

The website's home page had five main icons including hotel directories, reservations, meeting planners, travel agents and a suggestion box. The hotel directories section had details such as the name of the hotel, the address and phone numbers of all the hotels in the Marriott chain across the world. Clients could select the city and the hotel where they wanted accommodation, on the screen...

The E-Business Strategy

Marriott's e-business strategy aimed at transforming itself from a property-focused to a customer- focused company Previously, Marriott measured its financial performance on the basis of the revenues earned for each of its individual property. The e-business strategy emphasized on increasing revenues earned per customer. The four key objectives of the e-business strategy included serving customers proactively, personalizing the service offerings according to the needs and preferences of the customers, enhancing brand loyalty and awareness, and cross-selling...

The Benefits

In 1999, Marriott earned revenues of $150 mn from online bookings through its website. Estimates for the year 2000 indicated that every month, the website received three mn hits, making it one of the largest viewed websites in the US hospitality industry. By 2002, the website emerged as a money-spinner for Marriott with online sales of $1 bn...

Exhibits

Exhibit I: Financial Performance of Marriott
Exhibit II: Marriott Brand of Hotels
Exhibit III: Awards and Recognitions Received by Marriott (Partial List)


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