Service Blue Print

Ginger Hotels

Group 2

Hotel industry is expected to grow from USD 16.7 bn to USD 30.7 bn at 26% CAGR between 2008-13
Indian Hospitality market size (USD bn)
Restaurant sector Hotel sector Total Hospitality 22.5 5.8 16.7 2008 26% CAGR 12% CAGR 38.8 21.5 6.8 14.7 2009 26.5 9.5 30.7 17 2010 2013
The Indian hospitality industry is one of the fastest

growing sectors of the Indian economy; except for a short phase the during recession and the terrorist attacks in 2008 and 2009 respectively
As of May 2011 contribution of the hospitality industry

8.1

which comprises of hotels, restaurants and allied services to Indian GDP was 2.2%
In 2010, 30% and 16% of the Indian hotel and restaurant

Total Number of Hotels in India, 2010 Hotel Categories 5 Star deluxe/5 Star 4 Star 3 Star 2 Star 1 Star Heritage Uncategorized Total No. of Hotels 165 770 505 495 260 70 7078 8707 No. of Rooms 43965 13420 30100 22950 10900 4200 132885

sectors were in the organized sector

Hospitality industry is one of top employment generating

industries which according to executive search and HR consulting firm Ma Foi Randstad generated 160,300 jobs in 2010 and is expected to generate 218,200 jobs in 2011
According to hospitality consulting firm HVS, there is a

shortage of quality branded hotel rooms in the major Indian cities as compared to other international cities and the shortage will be more pronounced as Indian economy strives toward double-digit growth

Source: Technopak Report Dissecting the Indian Hospitality Industry 2009, Ma Foi Randstad press release dated 31 March 201 1, India Biz News Article dated June 13,2011, Livemint article dated May 2010

Hospitality industry is one of the most liberalized sectors in India with 100% FDI allowance through automatic route and single window clearance facilities
Foreign direct investment (FDI)
FDI has been permitted up to 100% under the

Approval of a hotel project

As of Dec

automatic route Total FDI inflow in hospitality sector between 2000 -10 amounted to USD 2.17 bn For foreign technology agreements, automatic approval is granted if: Up to 3% of the capital cost of the project is proposed to be paid for technical consultancy services Up to 3% of the net turnover is payable for franchising and marketing/publicity fees Up to 10% of gross operating profit is payable for management fees, including incentives fees

Regulatory and FDI policies in Indian hospitality sector

2010, government has given nod to single window clearance for hospitality industry The Ministry of Tourism approves hotels at project stage based on documentation. Project approval is given to a 1, 2, 3, 4, 5 Star Hotels and Heritage Basic Category The Hotels have to apply for classification under 5 Star Deluxe/ Heritage Classic/ Heritage Grand category if they fulfill the prescribed norms within 3 months of commencing operation Project approval will be valid for 5 years

A tax rebate equal to 100% of the profit and gain for the first 5 consecutive years to an hotel in specified areas, if such hotel /

convention centre is constructed and has started operations before 31st July, 2010
A tax rebate equal to 100% of the profit and gain for the first 5 consecutive years to an hotel located in the specified district

having a World Heritage Site and has started functioning before 31st March, 2013
Finance Bill 2009, which has proposed to abolish Fringe Benefit Tax with effect from 1st April 2009 has become major advantage

to the Hospitality industry

Tax Holiday available for hotels

Source: India Law Offices article in 2009

Key hospitality players in India The unorganized and largely fragmented hotel sector in India is undergoing a Segment Future Expansion Plans rapid change Players with entry of foreign players Brands Presence
InterContinental

INTERNATIONAL PLAYERS

Luxury, midsegment and business

InterContinental Crowne Plaza Holiday Inn Holiday Inn Express Hotel Indigo Staybridge Suites Candlewood Suites Radisson Hotels and Resorts Park Plaza Country Inns & Suites Park Inn

Plans to operate 45 new hotels by

2015

Carlson

Luxury, business, economy and cruises Luxury, midsegment and budget

Plans to increase its presence in

India to 78 hotels by 2012, from 28 in 2009

Plans

Indian Hotels

Taj, Gateway Vivanta Ginger

to construct 50 budget hotels under the Ginger brand over the next four years

NATIONAL PLAYERS

ITC Welcome group

Luxury, budget and heritage

EIH

ITC Hotel Luxury Collection Welcome Hotel Sheraton Fortune Welcome Heritage

To invest USD 2,000 mn over next

few years
Plans to develop 750 additional

Business , leisure and cruises

Luxury and heritage

Oberoi Trident

hotel rooms under the Trident brand over the next 2.5 years
Expected to add 349 more rooms

The Leela

Leela penta Leela palace

in 2012

Source: TCFI Report Hospitality in India, Oct. 2010

Ginger Hotels
Established by Roots Corporation Limited, and part of the Tata Group
There are 25 Ginger Hotels in India Vision- Ginger is a fresh and warm experience, of an unsurpassed value. Mission- We provide smart, clean and safe hospitality offerings by adopting

Gen next-practices that constantly enhance value for our patrons. Values Customer-driven excellence Entrepreneurship: Innovation Valuing employees, partners and communities Speed and agility Fun, joy and zing

Services offered by Ginger

Smart Basics Facilities and Service The Square Meal: The Multi-Cuisine restaurant for a wholesome breakfast, lunch or dinner Net Zone: For high speed internet connectivity Conference Room (seats 80-100 people) or Meeting room(seats8-10 people) Laundry facility: Express delivery (same day delivery): Give your clothes by 9.30 am and get them back on the same day. Gymnasium: Equipped with treadmill, exercycle and weights, air power bike, dumbbells, dual action poles with stepper, wrist curler,doorway chinning bar and punching bag, yoga mat On-site ATM: From a selected set of approved/empanneled banks Secure parking: 24*7 security on-site: monitoring by CC TV Doctor on call

Customer Action
A person decides to go to specific location Phase 1 He has to find a place to stay in that location He looks at the best deals and books a room at Ginger Hotel either through an agent or online Phase 2 He gets a receipt for the same

Phase 3

On his arrival, the receipt is shown at the reception and is guided to his specific room

Phase 4

All the facilities provided by the hotel is used at the guests discretion

Phase 5

After having utilized the facility at Ginger Hotels, the payment for the same is made

Interaction with the parking staff during car parking.

Security Check at the entrance of the Hotel .Interaction with the security staff

2.O

Room booking Interaction at the reception counter

Interaction with the house keeping staff & room service staff.

Interaction with the staff at hotel restaurant and coffee house.

4.O

3.O

5.O

1.O

Website management team which enables pre booking of rooms.

Administrative team , the floor managers , the area managers.

Technical staff which maintains the Wifi, electrical connections etc.

The housekeeping staff which answers the room service calls 24*7.

4.B

2.B

1.B

3.B

1.S Online Room booking management

2.S Marketing of the Hotel

3.S Food, Beverage, House Keeping

4.S Social Media presence

5.S Parking of patron's vehicles

Food & Beverages

Room amenities

Desk Registration papers Wash Room Amenities Delivery tray, Room appearance Advt / Website Carts for bags Security Guards & Setup Bill Desk/Lobby Hotel Parking Elevators Food & Beverage Menu

evidence

Physical

Desk registration Hotel exterior papers Carts for bags parking Lobby key Arrive at hotel Gives bags To attendant Check in

Elevators Stairs Go to room

Room amenities / bath room Receive bags/ shower / sleep

Customer

(Onstage ) actions

Delivery tray/ food appearance Call room Receive service food

menu

Food

Eat

Bill desk/ lobby hotel/ exterior parking Check out/ leave

Contact person

Greet & take bag

Process registration

Deliver bags

Deliver food

Process checkout

(Back stage)

Take bags to room

Take food order

Support

processes

Registration system

Prepare food

Registration system

Fail points

Blueprint for Ginger Hotels

12

Fallouts/Problems

Staff not organized and experienced Service Delivery time is long Lack some basic services