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Response to the Various Complains Concerning Poor Services in Virgin Hotel - Case Study Example

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The paper “Response to the Various Complains Concerning Poor Services in Virgin Hotel" is a convincing variant of a case study on marketing. I as the Marketing Manager of Virgin, I apologize for the various problems that our customers have been enduring, especially in terms of meals. Some of the problems that the customers have been encountering during the meals are very serious…
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Extract of sample "Response to the Various Complains Concerning Poor Services in Virgin Hotel"

Marketing of service products Business letter Dear Customers REF: RESPONSE TO THE VARIOUS COMPLAINS CONCERNING POOR SERVICES I as the Marketing manager of Virgin, I apologize for the various problems that our customers have been enduring, especially in terms of meals. Some of the problems that the customers have been encountering during the meals are very serious. This has contributed to the reduced number of customers, who are interested in purchasing foods from Virginia. Some of the problems that the customers have been enduring during meals can be solved. Solving the problems will ensure that our customers are attended to according to their demands. This will increase the number of customers that will visit the restaurant. The more quality services are provided to the client is the more profitable gains that the hotel will receive. However, because of the poor services that are provided by the hotel, most customers have been discouraged in visiting and eating in the Virgin hotel. The poor services that are received by the client are because of various different aspects. Although the Virgin hotel has been undergoing through various challenges, it should implement various diverse measures to solve the problems. This will ensure that the number of customers visiting the hotel increases. Other hotels in the same region have become more competitive in nature. This is because of the quality and unique services that the hotel offers to the customers. Some of the key aspects that have caused the increase in the number of the poor services that are offered to the clients encompass of increased number of customers. Since customers have increased, the quality of the services has also decreased because of the number of services. Another reason that has caused poor service delivery to customers is the change in management in the hotel. The management of the Virgin hotel was changed because of the increase in the number of the corruption cases. The increased demand in the services that are provided by the Virgin hotel is another factor that has promoted to the poor services offered. To be able to offer genuine services, the Virgin hotel has to increase the number of employees. This is to ensure that the demand of customers is rectified. An extra recommendation that can be enacted to ensure that customers complain are rectified is by training the inexperienced clients. Most of employees that are employed by the Virgin hotel are inexperienced. This is one of the vital aspects that are affecting the services that are offered to customers. Correcting the above challenge will ensure that the Virgin hotel receives more customers hence becoming competitive in nature. Yours Sincerely Richard Branson Literature Summary The problem that is faced by the customers of the Virgin hotel can be rectified in different ways. The main problems that actually face customers that visit the Virgin hotel are the poor food preparation and the poor serving methods. Problems facing the Virgin hotel For Compensation Purposes Customers that obtain food and services usually complain because of the fact that they usually want to obtain compensation. Customers are usually forced to complain to the Virgin hotel for the main reason of receiving compensation. The prices of foods and services that are offered in the Virgin hotel are usually expensive. This is for the key reason that the services and the foods are usually of high quality (Telegraph Media Group Ltd, 2009). This makes it extremely expensive for some customers to purchase products especially, if there is economical crisis. For this reason, because of the struggle of the customers, the Virgin hotel is usually forced to compensate the consumer to be able to receive more customers. Customers are the main reason why businesses normally progress. Without consumers in a business, it might be very expensive for the Virgin hotel to maintain its daily businesses and pay its bills. The money that is obtained from the customers is usually very essential in maintaining the schedule of the hotel. Compensation can be offered to the customers in diverse ways depending on the price and service that the customer has paid (Parasuraman 2006, p. 178). Compensation can be in form of the discount that the customers are usually offered to the customers. Therefore, obtaining of compensation is one of the key reasons why customers of the Virgin hotel complain. Improving the Services and Foods Offered By the Virgin Hotel Another reason that makes the customers to complain is the fact that customers usually like the services of the Virgin hotel to improve. Customers usually pay for the services that they receive from the Virgin hotel. This is why most customers usually prefer to be given the type of food that they need. For this reason, most of the clients usually complain especially when the services and commodity bought is not equivalent to the money paid (McColl-Kennedy 2003, p. 125). Some customers usually feel that the money that is paid for the services and the food offered in Virgin hotel is too expensive. When compared to the amount of food that is consumed by customers, the quality of service is usually very low. For this reason, customers usually complain in the Virgin hotel so that the quality of both foods and services should be improved. Improving of the services that are offered by the Virgin hotel might comprise of different aspects that might affect the nature in which, the Virgin hotel operates. For instance, to be capable of improving the quality of the food and services, a new management will have to be enacted. This is because of the virtue that the poor food quality is usually prepared by the cooks and chefs. For this reason, improving the manner in which, the services are offered to the customers might imply that a new management is enabled (La, K. V. & Kamdampully 2004, p. 156). Teaching the old staff new cooking and hotel management techniques might also be a way of improving the techniques that are offered by the Virgin hotel. This will change the manner in which customers cook, and serve the food thus improving the services and quality of the food offered by the Virgin hotel. Altruistic Reasons Some customers that purchase commodities of pay for the services that are offered by the Virgin hotel usually complain because of selfish reasons. Since, the Virgin hotel usually receives numerous customers, not all customers can posses the same character traits. For this reason, most of customers usually have diverse reasons why they have to complain. For instance, a customer might complain because of the nature of the building of the Virgin hotel. This is a fact that cannot be altered by the management of the hotel (Kau & Wan-Yiun, L. 2006, p. 123). Since the building was constructed in the manner in which it is, it cannot be altered in any manner. This implies that customers that complain about the shape and size of the Virgin hotel usually have their own selfish reasons. They might have their own stress which they might release on the workers or employee of the Virgin hotel. Customers that complain for their own selfish reasons should be ignored for the key reason that they cause distraction and mismanagement of the Virgin hotel. When an employee is harassed for the mistake that he or she has not committed, most will get destructed. This might affect the entire roles and duties that might be assigned to the employee. The employee might get affected with the manner in which the customer complained. This might affect the nature in which the customers provide the services to the customers thus affecting the quality of the services offered. After complaining, customers usually prefer that the management of the Virgin Hotel react to complain in different ways. The three ways that customers expect the management to be made complains encompass of procedural, outcome and interactional (Jones & Farquhar 2007, p. 154). Interactional justice The interactional justice method is the most commonly used method to solve various problems that are associated with the Virgin hotel. In case a problem occurs to the hospital that interferes with the proper management of the Virgin hotel. Customers are usually approached. The first step is usually explaining to the customers the reason of failure especially to the company. The failures of the Virgin hotel usually affect the nature in which the customers receive their customers. When the Virgin hotel does not function better because of the failures, it directly affects the customers. This is because the failure of the Virgin hotel will affect the quality of the foods and services that are served (Hocutt et al, 2009, p. 67). For this reason, the management should avoid failures in the system. However, if the failures occur, the Virgin hotel management should reveal to the customers the real impact of the failure. Customers should be vividly informed about the cause of the failures. This will make the customers to get informed of the causes of the failure thus still purchase the food and receive the services from the Virgin hotel. Informing customers about the causes of the Virgin hotel also assist the customers to understand the situation of the hotel’s management (Robbins & Miller 2004, p. 423). The hotel management should then make efforts of rectifying the problems. This will strongly encourage customers in purchasing new commodities from the Virgin hotel. Procedural justice Another method that can be used to resolve complains of the customers especially for the failures of the Virgin hotel is the procedural justice. This is usually widely used, since customer complaints are usually solved in a fair and justice manner. The management of the hotel after realizing the problems that are facing the Virgin hotel should select a strategy that will be capable of solving the problems that are facing the company (Craighead et al 2004, p. 109). The procedural justice is usually a formal manner that the customers are supposed to seek for help. This is for the key reason that the customer’s rights might be offended without proper help. Therefore, there are rules and regulations that a customer is supposed to follow strictly for him or her to receive fairness. This is usually by consulting the management of the hotel so that the proper measures might be taken. The management of the hospital should then follow strictly the rules available to ensure that customers please are adhered to properly (Lorenzoni & Lewis 2004, p.133). Solving the customer’s problems will also increase the number of customers that visit the Virgin hotel. This will ensure that it makes large profitable gains thus become more competitive in nature. After reporting complains to the management of the Virgin hotel, the customers usually expect management of the hotel to solve the problems. The management of the company is supposed to strictly adhere to the problems facing consumers of the food and services. Without customers, the hotel cannot be able to face the making profits. This will also ensure that customers are capable of receiving the best treatment in the hospitals. The management of the Virgin hotel should then search for the most appropriate means in which the problems can be solved. This mostly depends on the effectiveness of the strategy that will be chosen by the management of the Virgin hotel. The problem solving strategy should be effective in solving the problems that are hotel (Magnini et al, 2007, p. 167). It should also be flexible especially in cooperation with the other programs and projects that are still accomplished by the Virgin hotel. This implies that the strategy selected should not interfere with the other schedules of the Virgin hotel. Outcome justice An extra method that can be used to solve complains that are posed by customers to the improper services that the Virgin hotel provides is the outcome justice technique. The outcome justice involves the compensation that is usually given to workers because of the loss and the inconvenience that the customers receive. After the Virgin hotel realizing that it has been failing its customers especially, because of poor services and low food quality, the hotel might decide to compensate its customers. This is to ensure that customers still gain the trust of customers (Magnini et al, 2007, p. 167). The procedure of compensation to customers might be managed in diverse ways thus ensuring that customers are satisfied with the Virgin hotel services. The compensation procedure can be in a manner that the hotel is comfortable with the procedure and ensuring that the procedure does not affect the operation of the hotel. The management of the hotel can prolong the time of compensation to ensure that the proposed strategy is attained. However, most of the hotels and organizations do not like this technique because it includes time consumption. Most of the activities usually require long duration of time before being implemented. It also requires efforts and more energy in attaining the recovery service (McCole 2003, p. 172) . There are diverse customers that usually affect the manner in which the Virgin hotel usually operates and function appropriately. The main types of customers that usually affect the Virgin hotel encompass of jay-customers. A jay-customer is a customer that behaves in an abusive manner hence causing problems to the firm. Such a customer usually has different intentions, which are mostly aimed at affecting the manner of operation of the Virgin hotel (McCole, 2004, p. 155). The results of the jay-customers to the firm usually spoil the portfolio of the hotel. This usually affects the Virgin hotel in diverse ways. The customers are usually affected because of the fear that complains that are posed by the jay-customers might be true. The manner in which the jay-customers complain to the Virgin hotel, because of the poor services might also affect the employees. Although employees might be trying their level best to ensure that the services are appropriate, jay-customers might undermine their efforts (Thwaites & Williams 2006, p. 647). This might be very destructive thus, making it very complicated for the Virgin hotel to achieve its expectations. There is no organization that usually wants an ongoing relationship with abusive customers, because they are extremely destructive. The jay-customers might have different impacts to the organization. The manner in which abusive customers complain is usually very different as compared to the other customers. The abusive customers usually pose complains in an arrogant manner in the presence of other customers. They usually ensure that the other customers are aware of complains thus spoiling the reputation of the company (White & Yanamandram 2007, p. 359). There are diverse types of the jay-customers. Some of the common identifies jay-customers encompass of; the thief, the cheat, the rule-breaker and the belligerent. The belligerent are the worst kind of the jay-customers that might affect the organization and its employees. The belligerent usually shout at employees because of the failures and the problems that are affecting the entire organization. These types of customers might even insult employees or members of management of the hotel. The mouth insults are usually extremely harmful to customers (Lorenzoni & Lewis 2004, p.133). This is because of the fact that some employees might be discouraged in giving better performances to customers. The attitude of the employee might also be altered by curses and insults that are received from the belligerent. Most employees might be insulted and yet it is not their problem. These circumstances should be avoided in the Virgin hotel. This is through management enacting appropriate measures, to ensure that the Virgin hotel achieves its profitable return to become more competitive in nature. The thieves usually use all the readily available means to ensure that he or she does not pay for both the service and food that are offered by the Virgin hotel. This can be through use of cunning ways to ensure that management and employees of the organization are not aware. The thieves might also have intentions of stealing the Virgin hotel property for their own selfish advantages (Robbins & Miller, 2004, p. 423). The level of stealing is usually determined by the technology in use and the substance being stolen. The cheat are similar to the thief however, the cheat usually think of various diverse mechanisms that he or she might obtain the services and the food offered by the Virgin hotel at cost free. The mechanism of cheating might be in different ways thus making it very difficult for the management or employees to recognize the cheat (Magnini et al, 2007, p. 167). The level of the cheating mechanism also depends on the service or the food being stolen from the hotel. Rule breakers usually go against the rules and regulations that are posed by the management of the company. The Virgin hotel has rules and regulations that are capable of guiding the customers in the different sections and departments. Some customers usually break the rules and regulations for their own benefits. This is to ensure that they are favored by not adhering to the instructions posed by the organization (White & Yanamandram 2007, p. 359). Some customers might also break the rules of the organization to ensure that the broken rules favor their schedules in the hotels. This is usually not advised and should be reported. Most of the foods that are cooked during the different meals also make it very difficult for waiters to be able to serve the available customers. The number of customers that are visiting the hotels because of quality of food and good services provided has drastically increased. This is based on the fact that the Virgin hotel has been ranked as one of the best restaurant in the entire universe. Most of the institutions also like to carry food from the restaurant that can be used to feed the students. Families and groups have united to ensure that they promote the Virgin hotel by purchasing foods from the Virgin hotel (Thwaites & Williams 2006, p. 647). This has been one of the most boosting aspects to the Virgin hotel. Since it has more customers; workers begun offering poor services to them. The increased number of customers made it very difficult for quality services to be offered. The more customers increased is the more other services provided by the Virgin hotel become poor. This made it very difficult for customers to receive betters services. The cooks and the waiters of the Virgin hotel performed the duties in a quick manner to ensure that they were capable of serving all customers. This made it very difficult for customers to receive quality food (White & Yanamandram 2007, p. 359). The food might have been cooked in a proper manner, but the more the number of the customers is the more the quality of the food was reduced. This is the key reason why the services of the Virgin hotel had reduced. List of References Telegraph Media Group Ltd, 2009, Virgin: the world's best passenger complaint letter? Retrieved 29 July, 2011, from http://www.telegraph.co.uk/travel/travelnews/4344890/virgin-the-worlds-best-passenger-complaint-letter.html Chilongo, B. S 2006, Competitive Horizon. Strategic Direction, Mongu: Zambia. Craighead, C. W., Karwan, K. R. & Miller, J. L 2004, The Effects Of Severity Of Failure And Customer Loyalty On Service Recovery Strategies, Production And Operations Management, 13, 307-322. Hocutt, M. A., Bowers, M. R. & Donavan, D. T 2006, The art of service recovery: fact or fiction? The Journal of Services Marketing, 20(3), 199-207. Jones, H. & Farquhar, J. D 2007. Putting it right: service failure and customer loyalty in UK banks, The International Journal Of Bank Marketing, 25 (3), 161-172. Kau, A.-K. & Wan-Yiun Loh, E 2006, The effects of service recovery on consumer satisfaction: a comparison between complainants and non-complainants, The Journal of Services Marketing, 20 (3), 101-111. La, K. V. & Kamdampully, J 2004, Market oriented learning and customer value enhancement through service recovery management. Managing Service Quality, 14 (5), 390-401. Lewis, B. R. & Mccann, P 2004, Service failure and recovery: evidence from the hotel industry, International Journal of Contemporary Hospitality Management, 16 (1), 6-17. Lorenzoni, N. & Lewis, B. R 2004, Service recovery in the airline industry: a cross-cultural comparison of the attitudes and behaviors of British and Italian front-line personnel.,Managing Service Quality, 14 (1), 11-25. Magnini, V. P., Ford, J. B., Markowski, E. P. & Honeycutt, J. E. D 2007, The service recovery paradox: justifiable theory or smoldering myth? , The Journal of Services Marketing, 21 (3), 213-225. McCole, P 2003, Towards a Re-Conceptualisation of Service Failure and Service Recovery: A Consumer-Business Perspective, Irish Journal of Management, 24, 11-19. McCole, P 2004, Dealing with complaints in services. International Journal of Contemporary Hospitality Management, 16 (6), 345-354. McColl-Kennedy, J. R., Daus, C. S. & Sparks, B. A 2003, The role of gender in reactions to service failure and recovery. Journal of Service Research, 6 (1), 66-82. Parasuraman, A 2006, Modeling Opportunities in Service Recovery and Customer-Managed Interactions, Marketing Science, 25 (6), 590-593. Robbins, T. L. & Miller, J. L 2004, considering customer loyalty in developing service recovery strategies, Journal of Business Strategies, 21 (2), 95-109. Thwaites, E. & Williams, C 2006, Service recovery: a naturalistic decision-making approach,Journal of Business Strategies, 21 (2), 95-109. White, L. & Yanamandram, V 2007, A model of customer retention of dissatisfied business services customers, Managing Service Quality, 17 (3), 298-316. Wirtz, J. & Mattila, A. S 2004, Consumer responses to compensation, speed of recovery and apology after a service failure, International Journal of Service Industry Management, 15 (2), 150-166. Vázquez-Casielles, R., Suárez Álvarez, L. & Díaz Martín, A. M 2010, Perceived justice of service recovery strategies: Impact on customer satisfaction and quality relationship. Psychology and Marketing, 27 (5), 487–509. Jong, A. d. & De Ruyter, K 2004, Adaptive versus Proactive Behavior in Service Recovery: The Role of Self-Managing Teams. Decision Sciences, 35, (3), 457–491. Ryan, A. M. & Ployhart, R. E 2003, Customer Service Behavior. Handbook of Psychology. P. 377–397. Harris, L. C. & Ogbonna, E 2010, Hiding Customer Complaints: Studying the Motivations and Forms of Service Employees' Complaint Concealment Behaviours, British Journal of Management, 21 (2), 262–279. Livne, G., Simpson, A. & Talmor, E 2011, Do Customer Acquisition Cost, Retention and Usage Matter to Firm Performance and Valuation?, Journal of Business Finance & Accounting, 38, (3-4), 334–363. Bonnemaizon, A. & Batat, W 2011, How competent are consumers? The case of the energy sector in France. International Journal of Consumer Studies, 35: 348–358. Read More
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