Primary criteria for improving the issues would remain the ultimate customer satisfactory quotient, which can be retrieved by a survey of visitors. This would suffice to the satisfaction of the services offered.
The other criteria would be the sustenance in the occupancy and the retention of regular customers, along with innovative acquisition of new ones. The numbers are important as they reveal the health of the hotel’s performance and its internal ability. The occupancy falling from 68% in 2010 to 65% in 2011 is not too difficult to understand. The occupancy fell because of the market movements, combined with the hotel’s internal mismanagement and inability to be at its service peak when most required. However, the occupancy remains stable because it is not that bad when compared to standard occupancy standards or benchmarks.
The other criteria to look for is the profit increase that is caused by continuous efforts of retaining the best customers, and by opening new revenue streams for the hotel. This could require more of restructuring the present operational style and replace it with a more serious hierarchy and seasoned hospitality professionals.
Evaluation of alternatives
The occupancy rates are something which informs of the health of the hotel and the popularity in attracting visitors. This is important as a tool and must be one of the prioritised tools in measuring the success of the hotel.
In terms of profit and customer satisfaction, they actually should go hand in hand, as a higher satisfaction would transform into a healthy profit for the owners and investors. However, fighting for customer satisfaction would probably lead the hotel to make more profits, as the satisfaction would entail from all the revenue streams inside the hotel.
Overall, it makes sense to go for higher customer satisfaction, retaining the best ones who will maintain a good occupancy, and working on introducing more revenue streams to make easy profit possible from the same amount of input.