Evaluation Hilton

Evaluate the performance of the Customers Really Matter initiative to date.The I would like to start the discussion of this question with the quatation of the Hilton announcement: «CRM is a way to use technology to give you the power to solidify relationships with our best customers». With this CRM system (OnQ) every gesture, everything is fixed, so the analyse of statistics can be done totally. Need to add more bla-bla

The nervous system of Hilton Hotels Corporation was a comprehensive andintegrated infrastructure known as OnQ which is custom built enterprise systemdesigned to support the property-level operations if each hotel in HiltonCorporation to enable Customers Really Matter initiative at each customer touchpoint. The essence of the initiative was that CRM is a way to use technology togive you the power to solidify the relationship with the best customers. It took$650,000 to build OnQ and yearly maintenance was estimated to around $1M.Before there were barriers to good service as information was not integrated andeasily available, time taken in call centres w ere longer, they couldn’t give continuity to guests who stayed in multiple brands and also if the customers hada bad experience in their previous stay they couldn ’t figure out what the problem was exactly. With the implementation of CRM all these was fixed.

By enabling the OnQ technology Hilton Hotel Corporation hadvarious advantages. A guest profile manager was on the software where guestsare classified into best guests or one-time visitor etc. Through this method theycan analyze who are their best customers and can add more revenue tocompany. With the help of OnQ, regardless of where and how, customers couldreserve their stay online. So they know how the guest would like to be treated.Pre arrival communication was another advantage of CRM. They were able tocommunicate with their customers before their arrival which might help to know what the customers expect from them. On arrival they were able to deliver qualityservice to guests. On the period of stay Hilton ensured that the accommodation included the customer’s preferences and always made sure that it exceeded their expectations. Upon departure they can exceed the customer’s expectation. Afterthe stay they could record what they have missed and on the next visit they couldprovide what they have missed.

When evaluating the RevPAR(Hilton Hotels), during the year 2001 and 2002 itwas $87 and $84 respectively. With the implementation of OnQ CRM technologyin 2002 tremendous changes have been recorded in the Hilton HotelCorporation. Even though the there was a decrease in the first year of installationthe success of CRM technology was proved within the next 2 years of time. Bythe year 2006 Revenue Per Available Room increased from $87 of 2001 to $105.Almost in all brands of Hilton Hotel Corporation there was a significant increasein RevPAR. Another aspect should be considered is the Return on investment ofCall Center. The initial investment on implementing CRM was $650,000. Fromthe provided details there was a tremendous increase in Room Revenue(Waldorf=Astoria Collection) from $2,565,871,863 to $3,334,146,538 whichdirectly shows that the implementation of CRM software was very much success.And Return on Investment was very high.

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* The essence of the initiative was that CRM is a way to use technology to give you the power to solidify the relationship with the best customers. * Before there were barriers to good service as information was not integrated andeasily available, time taken in call centres were longer, they couldn’t give continuity to guests who stayed in multiple brands and also if the customers hada bad experience in their previous stay they couldn’t figure out what the problem was exactly * they know how the guest would like to be treated.

* They were able to communicate with their customers before their arrival which might help to know what the customers expect from them. * When evaluating the RevPAR(Hilton Hotels), during the year 2001 and 2002 itwas $87 and $84 respectively. With the implementation of OnQ CRM technologyin 2002 tremendous changes have been recorded in the Hilton HotelCorporation * From the provided details there was a tremendous increase in Room Revenue(Waldorf=Astoria Collection) from $2,565,871,863 to $3,334,146,538 whichdirectly shows that the implementation of CRM software was very much success.