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Services Marketing | Group Project Submitted By: WMP | Group 6
Indian Institute Of Management, Lucknow (Noida Campus) 1
A.1 RESTAURANTS
Restaurant is an establishment that serves prepared food and beverages to be consumed on the
premises. The term covers a multiplicity of venues and a diversity of styles of cuisine. Restaurants are
sometimes a feature of a larger complex, typically a hotel, where the dining amenities are provided for
the convenience of the residents and, of course, for the hotel to maximize their potential revenue.Such restaurants are often also open to non-residents. The term restaurant (from the French
restaurer, to restore) first appeared in the 16th century, meaning "a food which restores", and referred
specifically to a rich, highly flavoured soup. According to the Guinness Book of Records, the Sobrino
de Botin in Madrid, Spain is the oldest restaurant in existence today. It opened in 1725.
The modern sense of the word was born around 1765 when a Parisian soup-seller named Boulanger
opened his establishment. The first restaurant in the form that became standard (customers sitting
down with individual portions at individual tables, selecting food from menus, during fixed opening
hours) was the Grand Taverne de Londres, founded in 1782 by a man named Beauvilliers.Whilst inns
and taverns were known from antiquity, these were establishments aimed at travellers, and in general
locals would rarely eat there. The restaurant became established in France after the French
Revolution broke up catering guilds and forced the aristocracy to flee, leaving a retinue of servants
with the skills to cook excellent food; whilst at the same time numerous provincials arrived in Paris
with no family to cook for them. Restaurants were the means by which these two could be brought
together and the French tradition of dining out was born. In this period the star chef Auguste
Escoffier, often credited with founding classic French cuisine, flourished, becoming known as the
"Cook of Kings and the King of Cooks."
A.2 Economics
In economics, restaurants are the end of the supply chain in the foodservice industry. There is usually
much competition in most cities since barriers to entry are relatively low, which means that for most
restaurants, it is hard to make a profit. In most First World industrialized countries, restaurants are
heavily regulated to ensure the health and safety of the customers.
The typical restaurant owner faces many obstacles to success, including raising initial capital, finding
competent and skilled labour, maintaining consistent and excellent food quality, maintaining high
standards of safety, and the constant hassle of minimising potential liability for any food poisoning or
accidents that may occur. Additionally, when economic conditions changefor example an increase
in gasoline priceshouseholds typically spend less on dining out.
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A.3 Types of restaurants
Restaurants in Greek islands are often situated right on the beach. This is an example from
Astipalea.Restaurants range from unpretentious lunching or dining places catering to people working
nearby, with simple food served in simple settings at low prices, to expensive establishments serving
refined food and wines in a formal setting. In the former case, customers usually wear casual clothing.In the latter case, depending on culture and local traditions, customers might wear semi-casual, semi-
formal, or even in rare cases formal wear. Standardely customers sit at tables, their orders are taken
by a waiter, who brings the food when it is ready, and the customers pay the bill before leaving. In
finer restaurants there will be a host or hostess or even a matre d'htel to welcome customers and to
seat them. Other staff waiting on customers include busboys and sommeliers.
Depending on local custom, a tip of varying proportions of the bill (often 1020%) may be added,
which (usually) goes to the staff rather than the restaurant. This gratuity might be added directly to the
bill or it may be given voluntarily. Restaurants often specialise in certain types of food or present a
certain unifying, and often entertaining, theme. For example, there are seafood restaurants,
vegetarian restaurants or ethnic restaurants. Generally speaking, restaurants selling "local" food are
simply called restaurants, while restaurants selling food of foreign origin are called accordingly, for
example, a Chinese restaurantand a French restaurant.
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B. RAJDHANI THALI RESTAURENT
B.1 INTRODUCTION
It was in the year 1947. A year wrought with the ranging fires of Indian
Independence. Two enterprising young brothers left their home in
Gujarat for the bustling city of Bombay. They were Shri Ishwarlal and
Shri Jugaldas Barot. And riding on the immense pride of being Indians
in a 'Free India' they carefully invested their savings in a small
restaurant business in the busy commercial area of Mangaldas Market.
In time their business grew, and spurred on by sheer hard work and
zeal, the duo soon earned reputation far and wide, for its south Indian food, under the banner 'Ishwar
Bhuvan', for five decades.
By this time, fresh blood was taking over with Rajnikant Barot, along with Pankaj Barot, who did their
Food & Service Management from Dadar catering, Shri Ketan Barot, an academic from the Sophia
Catering and Kamlesh Barot, a merit card holder from Dadar Catering College in Food Service
Management, all graduates of Commerce and N.K.Maheshwari from catering college dadar.
Simultaneously for the Barots, newer avenues were presenting themselves. From the early days of
Ishwar Bhuvan, business had been good, and with the coffers ringing in Bombay, the Barots sought
larger investments elsewhere. By the year 1980 the historical city of Baroda was also rapidly growing
in commercial importance and became a distinct possibility. With characteristic foresight, they
acquired a running business on the main road of Dandia Bazaar, Baroda, 'Hotel Rajdhani'.
Under its new management Hotel Rajdhani enjoys 90% occupancy and it's restaurant aptly named
'Ishwar Bhuvan', owned by "Ishwar Bhuwan Hotels Ltd" a public limited company, has become
famous all over Gujarat, for it's gujarati thali.
Just as popular fashions dictate taste, so do food habits. And in 1989, the old Ishwar Bhuvan,
Bombay, running into its 42nd year, was ceremoniously redecorated and renamed 'Rajdhani
restaurant' owned by "Ishwar Bhuwan Refreshment Annexe". By serving exquisite ethnic gujrati foodfor the first time in Bombay, Rajdhani restaurant became a popular lunchtime rendezvous for the
shoppers and businessmen in the busy market area. The Barots had not only put Gujrati cuisine on
the map, but in doing so had amply paid back a tribute to the land of their birth. What really turn a
restaurant into a legend, is the quality of it's food and service. With its latest refurbishment and
introduction of regional cuisine, like the Rajasthani, Maharashtrian and the Kathiawadi Thali, Rajdhani
has created a 'Niche' for it's trendy and authentic food with the connoisseurs of Indian food.
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In 1992, they started with the second branch of Rajdhani in Baroda. Encouraged with every enviable
success, the Barots moved on to newer ventures. In 1991 they opened 'Revival' Bombay's most
glamorous vegetarian restaurant & bar in the prestigious sandy expanse of Chowpatty, Bombay
owned by Barot Hotels Pvt Ltd. The restaurant features 1920's architecture and interiors.
Stir Academy of Bartending at Revival started in 1999 with a partnership of Mrs. Shatbhi Basu. An
academy of it's kind in India, teaches students the finer details of Flair Bartending, with audio-visual
and computer aids, is a sought after school for not only bar personnel but also amateurs and Career
appreciation enthusiasts. Our students today are working in the most elitist of restaurants, clubs and
hotels of Bombay
In May 2000, for the first time in Gujarat the Barots have franchised a Silver Thali restaurant
"Aamantran" which serves five different cuisine of India namely, Rajasthani, Kathiawadi,
Maharashtrian, Punjabi and South Indian. Achieving an overnight success of this virgin concept, as
usual there shall be a lot of emulators to come. Housing a 120 capacity Banquet Hall this restaurant islocated in the plush environs of Alkapuri in Baroda
With the success of Swiss Resorts Lonavala, the Pherwani's of Whispering Woods have approached
the Barots to franchise their management operations for their colloquial Go-carting resort. This resort
has six food outlets and 13 rooms to cater to.
In 2005 Nirmal Lifestyles, at LBS Marg, the most stylized Mall in the Queen of Suburbs, Mulund has
Rajdhani, a 95 cover, blend of traditional and contemporary design serving regional Indian food. A
take-away counter allows the visiting gentry to savor the unique snacks, Aamras, Undhiya kind of
USP dishes of this food outlet. Guest comments like, "Thank you for gracing in the suburbs with
favorite Rajdhani food" says it all.
B.2 CUSTOMER PROFILE
Their main customers are families which comprises not only of Marwadi and Gujrati families but a
balance of other section as well. In Crawford market the percentage of Gujrati customers are more
which sums up to 80% where as in INORBIT it constitutes to only 15-20%
They have targeted people working in INORBIT as well tourists who come there for shopping.
Premium customers include celebrities like Padmini Kolhapuri, Vasundhara Das and Shabana Azmi
Who add to the goodwill n fame of Rajdhani.
In the K. G Marg market outlet the food is sweet as the 80% of the customer is gujarati who prefers
sweet food and in the INORBIT Outlet the food is spicy keeping in view of the cosmopolitan customer.
They have the policy of customer delight, they treat customer as GOD really they follow the principal
of ATITHI DEVO BHAVA. They take the customers complaints and the suggesti ons in the positive
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manner and starts working on them right away. There is separate suggestion book and feedback
forms given to them at the end of the meal so that their valuable suggestions are noted are worked
upon. This makes the customer feel that their suggestions are listened and worked on.
B.3 Present infrastructure
Despite extensive global influences creeping in the 'Thali' is still synonymous with everything Indian,
and remains a symbol of basic simplicity inherent in Indian culture, as evident in the popularity of the
Rajdhani brand. The Architects thus chose to design the restaurant to represent this curious new
fusion now visible in Indian culture They chose rural and rustic idioms to represent the basic simplicity
of the 'thali', and at the same time treated them with characters and forms which are universal and
contemporary. The rough hewn timber benches, the raftered ceiling, the contemporary treatment of
rope in the ceiling and display, the basic terracotta pottery display, and a new interpretation of the
bandhni motif forms an interesting fusion with the bright wall colours to form a modern environment,
which while complementing the bright, glitzy feel of the mall, does not take away from the essentially
'truly Indian' feel of the THALI.
The carpet area is around 2000-2500 square feet. And the Rajdhani in orbit is 90seater and Crawford
market is 50seater. They have their corporate office situated in lower parel.
B.4 Organization structure and manpower strength
Board of directors ( Maheshwari , Barot, Goenka )
Corporate sales manager and marketing manager
Corporate general manager
Corporate store manager
Corporate kitchen supervisor
Supervisors
Hostess
Staff
Manpower strength75 employees in Inorbit branch
Total no. of employees: 789.
Each unit: 2 sales people
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Total 25 executive chefs.
Product line distribution of market
Thali is India's homespun answer to authentic plated meals, and truly "faster than fast food" that's
nutritious and wholesome too, dished out to hungry guests in a hurry A new set comes in with a
change in the season, every quarter of the year too. The cooking is traditional, and only hand-
pounded pure spices are used. It is a long, narrow, air-conditioned, clean eatery, coupled with brisk
service.
In the evenings Rajasthani, Maharashtrian, North Indian, South Indian and the Kathiawadi food, is
served in turns, on a silver plated peacock thali with the entire crockery, cutlery in silver, known as
"Utsav" (Festival) Thali. Along with the Utsav, the Gujrati meals are also available. Exclusively, cooks
from the specific region prepare each cuisine, to retain the distinctive taste, cooking with meticulous
care and attention to detail.
B.5 Quality : A measure of excellence.
Quality is exceeding the customer expectations. Its very difficult to define quality in service sector
because of intangibility and services cannot be stored.
Quality can be defined as user-based, value-based, manufacturing based.In service sector industry,
we can come to know about the quality by measuring difference between customer expectation about
the service and the service offered by the management. In a restaurant the experience starts when
customers comes to the restaurants, he has perception about food quality, service quality, ambienceetc and ends when he goes out.It can either lead to customer delight if the quality exceeds customers
expectations or customer dissatisfaction if it is not upto the customers expectations.
Dimensions Definitions
ACESS Approachability and ease of contact
COMMUNICATION Listening to customers and keeping them
informed in a language in which they can
understand.
UNDERSTANDING THE
CUSTOMERS
Making the effort to know customer and
their needs.
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TANGIBLES Appearance of physical facilities,
equipments, personnel and communication
materials.
RELIABILITY Ability to perform the promised service
dependably and accurately.
RESPONSIVENESS Willingness to help customer and provide
prompt service
COMPETENCE Possession of the skills and knowledge
COURTESY Politeness, respect, consideration, and
friendliness of contact personnel.
One definition of quality is that the product has a distinguishing characteristic, which shows a superior
standard of excellence as compared with a lesser product. This means that dishes must be judged on their
appearance as well as their taste. The following points are aspects of quality:
The dishes suit the tastes of a cross-section of the customers
The dishes are appropriate to the kind of meal and the occasion
The food is fit for human consumption and is produced in Compliance with legislation
The standard size portions give value for money
The food is prepared and served to retain its nutritional value
The dishes have a degree of originality but are true to their names and menu
The meals contain a proper balance of taste, texture, seasoning and aroma
The dishes are neatly and artistically arranged to make them visually attractive
The dishes are served at the correct temperature and to the correct standard.
In the reference to the Rajdhani
Rajdhani is ISO Certified taking in consideration of the all the quality standards pertaining to the food
and beverages sector. The Quality which are they providing are par more then what customer
expects. The ambience, food and the service provided by Rajdhani are on the standard to provide top
excellent quality to the customers.
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Indian Institute Of Management, Lucknow (Noida Campus) 8
B.6 Product lines
Thali is India's homespun answer to authentic plated meals, and truly "faster than fast food" that's
nutritious and wholesome too, dished out to hungry guests in a hurry. The tables here are already set,
requiring no menu reference. The service begins with a meticulously synchronized operation as the
servers, transform the empty thali into an appetizing kaleidoscope of complementing colours textures
and flavours. Being very homogeneous though distinct from each gleaming katori to the other, food is
served on large steel/silver platter, is what a thali is all about. Known as a "thali place" with 80
different rotating menus, we give even the most regular customers the flavour of novelty. A new set
comes in with a change in the season, every quarter of the year too. The cooking is traditional, and
only hand-pounded pure spices are used. It is a long, narrow, air-conditioned, clean eatery, coupled
with brisk service. In the evenings Rajasthani, Maharashtrian, North Indian, South Indian and the
Kathiawadi food, is served in turns, on a silver plated peacock thali with the entire crockery, cutlery in
silver, known as "Utsav" (Festival) Thali. Along with the Utsav, the Gujrati meals are also available.
Exclusively, cooks from the specific region prepare each cuisine, to retain the distinctive taste,
cooking with meticulous care and attention to detail.
B.7 KINDS OF CONSUMERS
Knowing the type of customer is as essential as knowing the difference between salt and pepper.
Budget consumers:
These are the type of consumers who are very cautious of the money they spend on food and prefer
economical food. They eat outside more out of necessity than choice. The people having long working
hours beginning early morning also can be considered as budget customers.
Variety seeking consumers:
They are those kinds of consumers who frequently visit food joints. As they eat by choice, variety of
food is the essence. They may visit a food joint once every week
Occasional consumers:
They are consumers who hardly eat out or visit restaurants and prefer home made food, due to health
or other economical reasons.
Bulk regular consumers:
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These are the consumers who generally purchase the raw materials or prepare food in large
quantities on a regular basis. There is also the likelihood that these consumers may have entered into
a contract with the catering or other enterprise to provide the requirement on a regular basis.
This is also typically observed in case of canteens. Even the food in college canteens are prepared in
large quantities; making them bulk customers.
Bulk occasional consumers:
These are the consumers who purchase food in bulk, i.e. in large quantities but in certain special
situations or on certain special occasions, like in case of wedding or party orders.
B.8 PROMOTIONAL STRATEGIES OF RAJDHANI
Through promotion, marketers inform existing or prospective customers about service features and
benefits, price and other costs, the channels through which the service is delivered, and when and
where it is available.
Rajdhani follows the least aggressive in off-premise strategy.
The target market from various sources are received through this information.
Messages Transmitted Through Production Channels:
In this category, communications are developed within the organization and transmitted through the
production channels used to deliver the service itself.
Front-line staff:
In catering services, employees in front-line position, i.e. wait staff serve the customers directly. They
promote services of the organization through excellence in service delivery, technical knowledge.
Messages Transmitted Through Marketing Channels:
In business, very few well established firms like fast foods chain, etc, undertake these tools of
promotion.
Advertising
Print
Direct Mail
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Website
Sales Promotion
B.9 ESSENTIAL SKILLS REQUIRED FOR RUNNING A RESTURANTS SERVICE.
Competency in cooking and food preparation
Planning and organization
Efficiency
Ability to work under pressure
Skill in problem solving and crisis management
Ability to deal with clients confidently and successfully
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SERVICE FAILURE: FISHBONE
C. FUTURE ANALYSIS OF RAJDHANI RESTAURENT
C.1 Future vision of the enterprise
Description of plans
The Barots are gearing up to debut the Rajdhani brand in England via a franchisee deal with British-
based Indian fast food chain, Shakuni. Part of Shakuni's existing South London 250-seater restaurant
will be overhauled and remodelled on the popular Thali brand set piece. The two incumbents will also
consider more franchise opportunities in light of the franchisees' restaurant chain in Britain. The latest
franchise is part of a larger overall thrust on local and international expansions which is being planned
under a newly launched holding company, Encore Hospitality, to serve the objective.
The company will focus on ownership and franchise projects in the wake of forays into the north
Indian markets with flagship brands, Rajdhani and Revival. Says Encore Hospitality director, Kamlesh
Barot,
Encore will have a separate office run by a corporate manager, purchase manager and stewards that
service the existing and upcoming properties. The company has appointed an individual known as the
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Responsibility Centre (RC) who will be trained at one of the existing properties and will then be
entrusted with the task of setting up subsequent franchise outlets. Going forward, they hope to add
another five editions to the existing chain of five Rajdhanis, taking the tally to ten by November 2005.
"The Rajdhani franchise in Australia has been well received in Sydney and it enjoys a considerable
advantage over the conventional small establishments that suffer from labour turnover and sourcing of
ingredients which is predominantly local. The Sydney Franchise is already ranked as the third best
Indian speciality restaurant in the city. Expanding further into other Australian cities unfortunately has
proved to be an uphill task as work visas are an issue. Further expansions into Western Europe
though is quite a possibility as the restaurant chain that we have the franchise agreement with tied up
with, has eight other outlets in the region so the options are always open depending on how the first
franchise fares. South East Asia is not very encouraging, as the governments are not that open. I did
consider Kuala Lumpur but faced a tough task when trying to convince the Malaysian government to
set up an Indian restaurant," Barot revealed.
C.2 SWOT ANALYSIS OF RAJDHANI THALI RESTAURENT
11.. SSTTRREENNGGHHTTSS
THALI Unlimited food
Variety in the menu
Excellent service
Traditional ambienceattracting customers from all sects
Rates as compared to the other restaurants are nominal
Location Inorbit mall, Malad
Taste & requirement according to the customer preferences
Nominal wastage per day
Quality - Assurance & Reliability
2. WEAKNESS
No Home delivery service
Less sitting space for customers- less dining area
Waiting time
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Restriction on abroad licensing
Penetration more on the Gujrati & Marvadi community
3. OPPORTUNITIES
Planning to start services of take away parcels
Tie- ups with the other service sector including airplanes & railways
More traditional touch with live folk dances
Collaborating with call centers of Mumbai on large scale
Franchise openings
Launching at a global level
Opening restaurants targeted to a specific community- marketing research to be made.
4. THREATS
Competitors serving thali- Panchavati
Young generation preference for Pizza hut, Caf coffe day etc.
Restaurants with varied cuisines
Modern polished restaurants
D. SERVICE BLUEPRINT
D.1 The service blueprint consists of 5 components:
Customer Actions
Onstage / Visible Contact Employee Actions
Backstage / Invisible Contact Employee Actions
Support Processes
Physical Evidence
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1. Customer Actions
This component contains all of the steps that customers take as part of the service delivery
process. This element is always on top of the service blueprint.
2. Onstage / Visible Contact Employee Actions
This element is separated from the customer actions by a line of interaction. These acti ons
are face-to-face actions between employees and customers.
3. Backstage / Invisible Contact Employee Actions
The line of visibility separates the Onstage from the Backstage actions. Everything that
appears above the line of visibility can be seen by the customers, while everything under the
line of visibility is invisible for the customers. A very good example of an action in this element,
is a telephone call; these is an action between an employee and a customer, but they dontsee each other.
4. Support Processes
The internal line of interaction separates the contact employees from the support processes.
These are all the activities carried out by individuals and units within the company who are not
contact employees. These activities need to happen in order for the service to be delivered.
5. Physical evidence
For each customer action, and every moment of truth, the physical evidence that customers
come in contact with is described at the very top of the service blueprint. These are all the
tangibles that customers are exposed to that can influence their quality perceptions.
D.2 Blueprint of Rajdhani restaurant.
Please refer the schematic given below:
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D.3 Interpretation of the blueprint.
The figure above is the service blueprint of Rajdhani restaurant. This blueprint is prepared considering
all the components of a service blueprint which are the customers, on-stage or visible employees
actions, invisible or backstage employees and the support process. A restaurant is a service which is
high in experience quality and is positioned right in the middle of the goods service continuum. Thus,
the quality of the service can be judged not only on the basis of intangible elements such as the foods
taste and aroma, ambience, etc but also the tangible elements such as the interior and exterior of the
restaurant, furniture, menu card Parking lot etc.
On top of the blueprint are the tangible components of the service delivery process are
mentioned such as the menu cards, foods and beverages, furniture etc which act as
the physical evidence to the customer.
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The three lines that are visible in the blueprint are the lines of external interaction, lines
of visibility which is further divided into on-stage and backstage actions and the last
which is the line of internal interaction.
The internal arrows connecting the boxes represent the service encounters in the
service delivery process and the moment of truth where the service provider and the
customer come face to face.
The circular designs between the boxes are the bottlenecks or the potential point of
failures which can occur if the service is inefficient or poor.
D.4 The delivery process
1. The service delivery process starts right from the point the customer arrives at Rajdhani restaurant
and enters the restaurant.
2. He is greeted by the host, if there is place then he is guided to a vacant table and if there is no
place then the host puts his name on the wait list and leads him to the waiting area. This could be
a potential point of failure if the customer has to wait for too long.
3. After a table gets vacant the host calls the name of the customer and leads him to the table.
4. The customer then goes through the menu and orders for the food he likes. The waiter takes the
order and passes it to the kitchen department where the chef prepares the order. This is a
backstage activity which is beyond the visibility of the customer.
5. The waiter then picks the order from the kitchen and serves it to the customer. This is an on-stage
activity and is visible to the customer. Here, there is another possibility of failure which could be
poor service and unsatisfactory food.
6. The customer consumes the meal and asks for the bill. The bill is bought by the waiter, the
customer pays the bill and leaves the restaurant.
7. The bill is then registered with the restaurant staff.
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8. The host who takes the customers names on the waiting list and the kitchen department acts as
the support team in the whole delivery process.
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