Case 8
The Accra Beach Hotel:
Block Booking of Capacity during a Peak Period
Question 1
What factors lead to variations in demand for rooms at a hotel such as the Accra Beach?
Answer:
There are 3 factors that will lead to variations in demand for rooms at a hotel, which are seasonal cycle, economic cycle and days of the week.
Seasonal cycle - Hotel such as Accra Beach will depends highly on seasonal cycle, hotel will be in low demand on September (64.7%) as it is in peak hurricane season. High demand on January through March (87% to 92%), when Caribbean is in nice weather and people need to get away from the horrid season in North America and Northern Europe.
Economic cycle - Business travelers, which are one of the main…show more content… By accepting the deal, they will approximately obtain gross profit of $12,349 per day, which is approximately $152 more than rejecting.
- Marketing impact
Accepting the West Indies Cricket Board (WICB) request will drive positive market image. Moreover, the publicity given in return for the ABH will be beneficial. It will bring awareness to cricket loving country, such as UK. Traditionally, tourist from UK has dominated the ABH’s clientele; thus it will bring back the awareness and will encourage them to choose Accra Beach Hotel as their holiday designation. In addition, as the Spring West Indies Cricket Series is an international sport event, Cherita Howard might be able to use hotel bar as a place to watch or even organize a conference meeting with their favorite players.
- Guest experience impact
By accepting the request, it will affect business travelers as usually they have the needs of quietness and convenience. However, it will enhance vacationers’ experience, as sport events will make their holiday more memorable.
- Guest relations impact
It has a relatively small impact on customer relationship as it is in low season for vacationers and business travelers will not easily switch to other alternatives, since ABH location provides great convenience.
