Question

In: Statistics and Probability

A well known leading travel company in Kingdom is providing travel products and services to leisure...

A well known leading travel company in Kingdom is providing travel products and services to leisure and corporate travelers in the Europe and Asia. The company's travel offerings consist of airline flights, hotel stays, car rentals, destination services, cruises, and package travel provided by various airlines, lodging properties, car rental companies and etc. The mission of the company is to become the largest and most profitable seller of the travel in the Middle East, by helping everyone everywhere plan and purchase everything in travel.
Customer satisfaction is key to the Company's overall mission, strategy and success. The company provides online business, hence, the customer's shopping experience is critical for the revenues. The online shopping experience can make or break an online business. It is also important that the customer's shopping experience is mirrored by a good trip experience. Because the customer experience is critical, all customer issues need to be tracked, monitored and resolved as quickly as possible.
Unfortunately, the company lacked visibility into the 'voice of customer' a few years back. It had no uniform way of measuring satisfaction, or analyzing the drivers of satisfaction, or of determining the impact of satisfaction, or the KPIs and the problems with existing performance measurement systems, on the profitability or overall business objectives.
As a manager of such a company, how would you handle this problem and solve it?
a. Tackle the problem, consider the company is not lack of data.
b. Decide how to measure the satisfaction
c. Set the right performance targets for this company
d. Set the KPIs
e. Write the possible benefits.

Solutions

Expert Solution

a. The company will have the date records for the bookings which can be categorized by type of services (hotel, cruise, car rental, flight, train, etc.) and further by dealers, which can be useful to get an idea about the trends which the company bookings have undergone in the past.

b. The customers would be satisfied if the service provided to them is as they expect after seeing it online. The descriptions of the bookings, offers, etc. should be detailed so that the customer knows what he's paying for. The feedback can be collected either directly through web platforms or through the vendors i.e. with the help of actual service providers. A scale of ratings from 1-10 can be set along with frequent surveys with various quality questions about the services to get an insight into the satisfaction of the customer.

c. The right monthly performance target would be:

Number of bookings:

Flights:N000

Hotels:N00

Car rentals:N000

Customer satisfaction level: 90% above benchmark

Customer response level: 80% above benchmark

d. KPIs would be same mentioned in part c.


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