KADAVU RESORTS

CASE STUDY

ANALYSIS

MOS GROUP 4(MBA-G)

GROUP MEMBERS:-

-ASHISH SINGAL-G09

-NIHARIKA SETHI-G25

-NITIN PARSWANI-G26

--SONALI KAPOOR-G50

-VANDANA CHAUHAN-G54

-PRIYANKA VASON(GROUP LEADER)-G57

Kadavu Resort as an intangible service product

All services are intangible. By intangible, we mean that service which cannot be measured, it can

only be felt and which satisfies the customer.

Kudavu Resort, in order to differentiate itself and gain an edge over its competitors in the area,

offered a variety of services which were unique and attractive

The rooms offered by the resort are centrally air-conditioned with a beautiful view of crystal clear

backwaters surrounded by coconut plantations .

Hotel also provides services like ayurveda therapies, amphitheatre, library and other various games

and activities for the in-house guests which would along with comfort give them a leisurely stay.

All these services would give satisfaction to the customer as they would feel that apart from just a

comfortable stay they have been offered with a lot more other benefits.

Kudavu Resort also focuses a lot on providing the staff with training to develop a customer friendly

attitude. In the service industry, the politeness of the staff or smile to the guest makes the customer

feel satisfied but this can’t be seen and measured

“STP analysis”Segmentation-Targeting-Positioning Analysis of

Kudavu Resorts

Segmentation of Kudavu resorts:-

Kadavu has segmented its customers on the basis of status and income. In

accordance to the same it caters to the affluent upper class - high income segment.

It attracts a psychographic profile of customers looking for a sense of peace and

privacy, both of which are offered through the picturesque setting and personalized

cottages.

It is looking at a geographical expansion of its customer base through an extended

sales promotion network.

Target Analysis of Kudavu resorts:-

Targeted to the premium segment of the customers i.e. the rich and the

affluent.

It also targets the Corporate and has various resources at its disposal to

cater to their needs. These include conference halls, board room and an

art convention complex.

Positioning Analysis of Kudavu resorts:-

Kadavu positions itself as a premium luxury resort.

It is also positioned itself as a business resort for Corporates

SWOT Analysis

PLACESTRENGTHS

Exotic scenery Ethnic infrastructure Situated in Kerala one of the largest tourist destination

OPPORTUNITY

Kozhikode resource with its share of resources is a contender for largest tourist inflows with untapped potential.

Kadavu has the image of a luxury hotel that satisfies the ego and pride of the elite and hence has maximum turnover.

WEAKNESS

Strange name for people Kozhikode too difficult to reach The hotel layout hinders delivery of services in time

THREATS

Better and central locations of competitor which enable customers to have business deals and avoid boredom is a serious threat to the Kadavu resort.

Resentment due to non-employment of locals at the hotel.

STRENGTHS

Well-paying jobs an attraction to the prospective employees

OPPORTUNITY

If it provides training to its employees to improve skills, it can come up as a best among all the hotels in Kerala

WEAKNESS

Untrained manpower Difficulty in hiring talent from outside state as Kozhikode was a distant

location. Managing human resource Maintaining the service quality standards. High attrition rates

THREATS

Skilled professionals with experience in the hotel industry hired by competitors.

PEOPLE

STRENGTH

Hotel cum convention centre Facilities by way of recreational activities Ayurvedic rejuvenation centers

WEAKNESS

Only focus to the niche market

OPPORTUNITY

Improvement in service quality process as well as design Improvement in operational efficiency of service delivery process

THREAT

Quality deterioration due to increase in the competition. Natural Calamities like flood

PRODUCT

STRENGTH

Premium pricing and exclusive image High revenue generation which can easily make out the loss during off

season.

WEAKNESS

Restricted to only nice segment It’s service was not complied with existing services.

OPPORTUNITY

Managing the demand thru differential pricing strategy Attracting the customers at time of off season.

THREAT

Distract the pricing strategy and further their focus on target market.

PRICE

STRENGTH

Separate children’s park , play area and a tennis court. Encouraged to visit restaurants and coffee bars Facilities like Chaliar-the conference hall and thekkini the board room and

pather- the bonquet space and pool side lawn

WEAKNESS

Lack of appropriate design so as to provide quality services with in acceptable time limits

Lack of formal training programme

OPPORTUNITY

Improvement in their service delivery process and standards By engaging their employees into training and development programme

THREAT

Deterioration in service quality standard

PROCESS

STRENGTH

The unique appearance of Kadavu with Hindu style and ethnic

architecture, spread over 10 acres of waterfront land present it as

luxurious and cozy place due to which people find it worth for high

charges

WEAKNESS

Use of technology and modernization can attract more customers and can provide competitive advantage.

PHYSICAL EVIDENCE

Cost leadership

Differentiation

Focus

(Low Cost)Focus

(Differentiation)

COMPETITIVE ADVANTAGE OF KADAVU RESORT

COSTUNIQUENESS OF

PRODUCT

BROADER MARKET

NARROW MARKET

Focus Differentiation

The things which differentiate it from other hotels as it saw itself as a

luxury resort in Kerala.

Differentiating factors of Kadavu Resort was its architectural and

picturesque setting which gives the resort an absolutely unique

appearance

Raj resorts and royal resorts can not compete with Kadavu in terms of

quality of services offered.

It should try to use its location to its advantage “ A quite place where u

can get away from your hectic life”

The location of Kadavu resort, Kozikhode, was such that the huge tourist

market was untapped and also it had to compete with two other major city

hotels-Raj hotel and Royal hotel for the share of tourist and business inflow in

the city.

Kadavu follows a pricing strategy that targets the premium segment. The idea

behind this kind of strategy design is to satisfy status symbol and ego of that

segment of users.

Kadavu saw itself as a luxury resort and thereby adjusted in pricing with

various premium resorts in Cochin and Kumarakum in Kerela as competing

resort in Kerela. For the local market it offered the product and services as

almost twice the price of its competitors.

Is the premium priced Kadavu Resort actually sustainable in a place which is not yet a preferred tourist destination?

The resort provides attractive packages to its customers and their

families within and around the resort. The quality of these services is

perceived & primarily judged by the price for the service

Situated at a place which is not yet a preferred tourist destination, the

‘premium pricing’ is what adds exclusivity to the resort’s

perceived/psychological value

Thus, the resort must keep its pricing standards and rather concentrate on

promoting the brand for its services

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