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Re-Allocating Resources:
Customer Satisfaction
and Revenue Gains
[Click to Download PDF]
“This is remarkable. We needed some basis for setting our
priorities beyond our own judgment, and now we clearly
have it with the ‘Big Five.' ”
“Great! This is the best information we’ve ever gotten
from Marriott Corporate!”
“It’s easy to understand and it works!”
“This is exactly what I needed to run my hotel. Fantastic! Now I know how to keep guests happy and
add to my revenues as well.”
Hotel Managers
Marriot Hotels |
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Marriott Hotels is the largest lodging company in
the world with almost 2,400 owner or franchised
properties in 64 countries. Its hotel brands include:
Courtyard, Marriott, Residence Inn, Spring Hill Suites, and Ritz Carlton.
Objectives
Despite a successful track record, the Marriott Hotel
Division wanted a more fact-based way to allocate
resources and set operating-division priorities. The
president of Marriott Hotels asked DMR’s founder
to accept the challenge. |
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Process
The process involved developing a new, cutting-edge
statistical methodology – the Key Driver model. The
Key Driver method was used to build statistical models for 25 categories of hotels. The objective was to maximize the ability to detect differences across hotels.
Results
The results showed little variation among the various
categories of hotels with one exception – resorts. Overall,
however, there was substantial consistency in the results.
Five factors were identified which, if improved, would
lead to the greatest impact on guest satisfaction and
increased revenues. These results were used to set division operating priorities and became know as “The Big Five.”
“The Big Five” led to a five percent gain in customer
satisfaction and revenue increases of eight, point four percent within one year.
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