Impact of Customer Relationship Management on Customer Loyalty, Customer Retention and Customer Profitability for Hotelier Sector

Abstract

Since the entrance of strategies oriented to marketing relational in Hotelier Sector, the traditional way of travel agents and other representatives arranging hospitality services for hotel and travel reservations has changed. The strategies oriented to customer relationship management are a relatively new area of specialty loyalty marketing in the hotel and hotelier sector, with advancements being made constantly. The use of this type of strategy can allow hoteliers or companies to tailor special guest programs, services and promotions based on hotel guest preferences. The hotel can use the data collected in a program to identify the needs of particular customers across hotel chains to be able to use marketing that can be targeted at specific groups of people. It also gives hoteliers the opportunity to evaluate frequent guest programs, personalize their services and perform trend analysis. A program based in marketing relational is typically run by hotels and companies to collect guest information and transaction data for use and examining to allow hoteliers to see target groups that should be marketed too. Based on these transactions hotels are able to create and manage guest loyalty programs and reward schemes. This research approach is to appraise the impact of customer relationship management on customer profitability as mediated by customer loyalty and customer retention within the hotelier sector of Mexico, and specifically for those hoteliers classified like of three stars. A sample of 100 hotels three stars was interviewed as respondents in this study. The objective of the study was to find the impact relationship between effective customer relationship implementation, customer loyalty, and customer retention and customer profitability. The findings of the study add value to hotels three stars in Mexico, and provide some invaluable statistical results essential for hotel managers and owners to successfully enhance customer loyalty, customer retention and customer profitability. By applying a questionnaire that count with seven blocks different one each other, the results of our study identified and provide path analysis of the relevant systems; and enumerated among the relevant system, those critical inter-component relationships within this highly competitive industry. This study's findings add to the body of knowledge and enable the managers of this sector to implement customer relationship management in the best shape possible, to match it with Mexican market-needs thereby creating more loyal and repeat clientele.

Keywords

• Marketing relational
• customer retention
• customer profitability
• customer loyalty
• hotelier sector