Nature website

Services Operations Management g) Convenient location: Nearest railway station: Aluva about 142 km; Nearest airport: Cochin International Airport about 110 km h) Long favourable time for tourist visit: Tourist Season: August to March; Best time to visit: Almost throughout the year except September & October i) Absence of serious competition: Presently there are only 4 "real" nature resorts in Kerala and none are in Marayoor. Further details of the resorts are given in Exhibit-02. The existing hotels and resorts in Marayoor are the conventional ones and that too on the economy side. The details and the rates of the existing hotels and resorts are given in Exhibit-03. The lack of serious competition is also evident from the fact that Marayoor doesn? T appear on the website of Kerala tourism as a place to stay (among hill stations - Exhibit-04) for tourists even though it is a tourist destination. This can definitely serve as an opportunity for gaining the first mover advantage. In the entire country, this type of "real" nature resort is present only in the state of Kerala and in some states in the north-east. But, Kerala has an advantage by having a balance between accessibility / development and virginity of nature as compared to the north-east where accessibility is an issue and the rest of the country where development has had a detrimental effect on the virginity and beauty of nature . This poses a convenient and attractive option for tourists looking out for nature resorts. Strategic Positioning The resort will be positioned as a getaway from the hectic professional life - to live 3 to 4 days in the lap of mother nature. The guests could spend their days living in an easy going way, gentle relaxed and care free, avoiding the hurry burry of modern living. They can listen to the heartbeat of tropical rain forests and music of the gurgling streams. The package includes stay in well secured tree houses and cave houses, and bathing / fishing in fresh natural water streams. Food is prepared from vegetables and fruits grown in organic farms. Electronic equipments such as TV, computer and phone and news paper will not be available. With no TV, music system and other electronic devices to contribute to cacophony, the evenings and nights are quiet and in total contrast to the urban chaos. Living with the birds on treetops, this is the closest one can get to nature. Hurricane lamps with kerosene oil and solar energy are used for lighting. The resort will sell the "experience of staying closest to nature? without compromising on safety. The name of the resort will be Green Valley Nature Park (GVNP) which enhances the positioning envisaged. Generic Strategy As Kerala is an eco-tourism destination of the country, there are enough numbers of hotels and resorts in different price ranges. Hence, it will be very difficult to compete on the basis of price alone. So, it will be ideal to compete on some unique aspects and differentiate clearly from the others especially the vast majority of conventional hotels and resorts. GVNP will follow a differentiation focus strategy until the brand is established. The customers will be charged a premium to enjoy the preserved virginity of nature. The selected strategy innately helps reduce cost due to locational advantage, however cost reduction is not an immediate priority of the management.

Services Operations Management Broad Cost Differentia GVNP Leadership tion positio leadership ned Scope here Cost Focus Differentia Narrow (Niche) tion Focus Low Cost High Differentiation Cost / Uniqueness Figure 1: Generic Strategy of GVNP However, the management will try to acquire land at various suitable locations across South India for further expansion whenever the management is ready. Since the location is a unique resource, competitors cannot replicate the strategy so easily. Target Segment and Unique Strategy The resort? S target customers are nature loving tourists mainly from the western society, who are looking for spending a few days close to nature. They are not price sensitive, but will not compromise on safety and comfort. The resort also intends to target the domestic corporate customers mainly during off season. The reasons for choosing foreign tourists as "Target Customers" are: 1. They are less sensitive towards price i.e. their price sensitivity of demand is inelastic as compared to the Indian tourists. 2. As these tourists are in an alien country hence they will value safety and comfort more than the Indian tourists. 3. The CAGR of foreign tourists in Kerala is 17% over the last 5 years as compared to 4% for domestic tourists. Moreover, the CAGR has seen an increase over the last 5 years as compared to the period prior to that (Exhibit-05). Hence, this is the right time to enter the market and tap the increasing potential. GVNP's strategy to cater to the above segment includes the following aspects:? Unique Geographic Position: Location is 3.5 hrs drive from airport. There should be good road connectivity up to a spot which is atleast 4-5 km away from resort. After that there should be mud (kuchha) road connecting main road and the resort which will add to the nature? S experience and distance it from the urban chaos. This will result in low cost of the land while adding to the experience factor. Nearby town will have a small office of the resort which will act as the interface with the external world. The office will have facility to send messages over satellite phone to the resort. ? Unique Secluded & Scenic Location: Should be near a water stream. Facilities for taking bath in the water stream, for fishing etc.
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