Hilton Hotel, Taupo was built in the year 1889, on the North Island of New Zealand. It is situated at a very short distance from Taupo Town centre and only about fifteen minutes from the Airport. This property gives its clients an awe-inspiring sight of ordinary beauty and fabulous blue water experience of a lifetime as it is situated near the lake. This hotel has 113 rooms including suites and bedsits in its Inheritance wing having a splendid valley and lake view. Taking the above-mentioned property as the case study material we shall now discuss detailed SWOT analysis of Hotel Hilton, Taupo.
The swot analysis done for the Hilton Hotel,Taupo
- Brand Image
- Location & security: Heritage building and amazing landscape, protected environment
- Infrastructure & facilities: Award winning restaurant, Thermal Spa, Swimming pool, Free Car parking, Tennis court
- Nearby local attractions for tourists to visit
- Quality service and sumptuous, multicultural food by talented chefs
- Emergency call button on phone sets
- 24*7 room dining
- Luxurious & spacious variety of rooms and suites
- Competent staff
- Lack of flexibility due to its large size
- Highly priced rooms
- Extra charges for getting car parking facility close to the rooms
- Limited to organisation of property
- No complimentary things such as kettle, shampoo etc
- No executive lounge
- Single restaurant
- New environmental policies
- Focusing on R & D
- Further International market coverage
- Improving current services by technology upgradation
- Takeover of neighbouring inns and hotels
- Intense competition
- Bad weather
- Brand image of being expensive
- Increasing salaries
Now we shall discuss all these points in detail.
Hilton has many brands such as Hilton Hotels and Resorts, Waldorf Astoria, Conrad, Double Tree, Embassy Suites to name a few. The company draws benefit from the economies of large-scale business. Thereby, creating potential for further growth of the commercial. Hilton has its product credit by serving from so many years and outperforming itself. So it’s a strength for the hotel – its name is enough.
Secondly, the hotel is situated in an excellent location in proximity to the Airport, tourist spots such as Huka Falls, Lake Taupo, Wairakei International Golf course,Whakapapa Ski-resort. So many people want to stay in Hilton as its close to the local attractions.
Hilton offers many incentives to its loyal customers such as discounted prices, free internet access, digital check-in, late check-out etc. Customers appreciate these benefits as they get the best of services. So, customers retain. Moreover, the staff is highly efficient and amicable.
Hilton has effectively achieved a high level of service customisation through technological integration. It has partnered with Uber to create a smooth travel experience for clients. Hilton introduced the concept of digital hotel room keys which were installed into customer smartphones, thus giving the clients an ability to select rooms and customize the hospitality experience using smartphones. Other amenities such as emergency call button, 24*7 room dining, free food for children up to the age of 5 years, thermal spa etc are also provided which enriches the travel experience.
The Hotel staff is well trained, courteous and always helping. The Hilton group has a Hilton university. Every new member of the housekeeping team must successfully complete sixteen separate courses.
According to critics, Hilton is overpriced. They feel that the basic amenities can be made available at an affordable price too. This is in fact a weakness as Hilton loses its customer base due to this notion in the minds of many.
Safe car parking is a major concern for many visitors and this facility is giving by Hilton at a distance from the hotel room that too at the owner’s risk.If the visitor wants to park the car safely and under vigilance, then he has to spend a basic car parking fee which is an extra cost for him.
Due to its large size, Hilton lacks flexibility.As the scale of operations is widespread at Hilton it is very difficult to change things and plans according to circumstances. To arrange new things how to modify a plan in a short span of time would be a great risk due to its large size.
Some customer reviews also state that Hilton does not provide any complementary stuff such as toiletries, kettle etc.
Besides, there is only a single restaurant within the Hilton premises to offer food which restricts the choice of the guest.
Hilton must focus on areas other than the New Zealand and Australian marketplace to attract and enlarge its guest base especially the Asian market.
It must focus on research and progress to be advanced in creation and supply of services, within optimum cost.
It must work upon current services to improve it through technological advancement and upgradation.
Procurement of neighbourhood inns– Obtaining local hotel collections and chain will help to eliminate the local competition and increase the prepared customer base.
Competition is always very high in the hospitality industry and it also gives birth to rivalry. Hence it poses a big challenge to the business in terms of growth in revenue and customer base.
New Group of hotels who enter the market are always on a look out to outdo the existing business. therefore, the new entrants are always a threat to the current running business.
Employee satisfaction is of utmost importance for running a hotel business.after working for a fixed duration employee usually expect a pay hike to continue.so, increase his salary is another threat for existing hotels such as Hilton.
Employees always look for change to improve their standard of living.employee turnover is a major threat and Hilton must be careful to retain its employees.