A Service Industry Targeting Night Travelers - Coursework Example

A Service Industry Targeting Night Travelers A Service Industry Targeting Night Travelers A niche business is one that is setup in target of a specific group of people who are interested in a common product or service. Such businesses are aimed at fastening the process of acquisition of the common product for the common mark. Unlike shopping malls, niche businesses do not take any interests with other products except for that for which they are in business. Most niche companies are web-based since the operational cost and the losses involved are minimized by the small space management. The internet also enables niche business people to meet up with a wider market that is spread-out world-wide. Discussed in this paper is an example of a niche company that provides a unique service to its market and how it operates. City Night Line is a company that was started in order to provide Travelling services in Denmark, Switzerland, Austria, The Netherlands, and Germany. It also served stations in Czech Republic, Italy, France and Belgium. The train company was initially a Swiss train service before it was acquired by Deutsche Bahn AG, which further merged with DB Nachtzug so as to better its services and to widen its area of operation. The idea behind this business was to target the night travelers seeking to move across the areas indicated by train (Harris, 1999). This is after it was proven that night travel was more economic and efficient. Its first train departed on the 28th of May 1995. That marked the beginning of its operation and growth. The company now operates widely in Europe and is considered one of the best transportation service providers for those wishing to explore European cities by night and save the daylight for business and official operations. The company was set up in the wake of night travel in Europe. It was aimed at providing travel services for those opting to travel at night. The company provides a list of benefits that its customers are bound to experience if they choose to travel with them. A newsletter is also produced every month, to inform the potential and regular customers on what to expect during that month and the new offers that the company has come up with. Some of the advantages of night travel that the company has cited include the fact that the customers arrive at their destinations after having slept well throughout the night. The company provides different car classes with sleeping and washing facilities. These include six to four bed couchettes and economy double bed compartments. Also provided are the seats in the open-plan car and enclosed compartments for customers wishing to set up throughout the journey. All these facilities are provided in different classes so that all categories of economic groups are considered and provided for. Another advantage that is cited by the company is that, by travelling at night, the customers are able to save their day time for better official activities that cannot be carried out in the night. This enables them to save on a lot of time. The company issues regular offers and awards for its customers as a way of encouraging them to keep using their services. It is a form of enticement for its customers, especially during festive seasons as they get gift hampers that they use to acquire stuff that they consider worth during that time. It has also been indicated that night travel by train is very instrumental in easing traffic congestion in the European Cities and City Night Line has been hailed for their service. Travelling by train is also least affected by the weather condition and passengers are therefore able to use the service in whichever weather conditions and seasons. The management allows the passengers to carry their bicycles and winter sport equipment on most of the trains since most of the travelers are tourists. (Danzi, 2006) Furthermore, the prices charged are relatively reasonable and largely cheaper than travelling under similar conditions by road. This shifts the demand from road travel to travelling by train as everyone opts for cheaper options in all the activities that they engage in. Reservations for travelling are done through a Hotmail or online on the Deutsche Bahn website. (Brunhouse, 2004) Niche segmentation is the further specialization of a producer into the specific type of the product that targets a specific group of people. For example, Bentley, a manufacturer that is well known for producing luxury vehicles thinking about moving into more specialized production of armor-plated vehicles. The Guardian reported that Bentley wishes to venture into the production of bullet proof vehicles to target the rich who also have a concern for their safety and would do with a little more spending just to ensure their safety, yet luxury as they cruise the streets in their mighty machines. Bentley has been already a niche company and as it contemplates getting into the production of armored vehicles, it becomes very clear how value addition is something that can be done during the manufacturing process. Similarly, City Night Line is clearly another example of a segmented niche business. From the Bentley case, we can say that apart from providing night travelling options for passengers, the company has also ventured into providing services for customers who seek luxury and comfort in all that they do including travelling. It is clear that the company is targeting the luxury loving customers by providing the first class sleeping coach with water closet. This is a sign of comfort and the wealthy would wish to have an experience overboard. This obviously comes with a cost and it is estimated that a night overboard the train in the first class compartment is worth more than spending a night in a 4star hotel in a city. The company in a way also provides for the middle class and those not wishing to spend much in their travel by providing the second class and sitting compartments (Bertolini & Spit, 2005). All these compartments are, however, also taken to be comfortable at their own levels. This is a clear indication that the company has slowly turned into a segmented niche as it endeavors to better its services. Several reviews have been carried out in the service offered by City Night Line by people who have travelled in its trains. One such review is the one done by a person identifying him/herself as flower of Scotland. The reviewer who boarded the first class superior double cabin with his/her family says that the facility was generally comfortable and generally timely. However, since every good thing must have a bad side, the reviewer also managed to identify certain aspects of negativity in the service. Among the observations that are not provided an instruction manual for the operation of lights, showers, air conditioning system, and location of power sockets that were needed to power the portable electronic devices that they had. The train also surprisingly took longer time than scheduled without any notice issuance to the passengers. YVR Cockroach also issues a report on the service. The evangelist dwells more on the Munich-Rome line. Practically identified are the pros and cons of the liner. The neatness and overall organization of the carriage is noted. Fresh supply of toiletries and fresh air is also identified. However, it has also been noted that a few of the occurrences could do with a lot of improvement if the targeted market is to be reached effectively. The beddings provided in the sleeping couch are noted to be quite thin and need to be replaced. It has also been identified that, however much there is enough ventilation, the windows are quite small and need to be made bigger for customers who wish for more fresh air. The times of departure and arrival also need to be checked to ensure that tie schedules is kept as expected by customers. The washrooms are also observed to be quite tiny and the water supply is also observed to be quite limited. Passengers travelling in the seating cabins have also complained of congestion during boarding. It has been reported that due to tight spacing, there is usually a lot of time taken for passengers to settle down as the hostesses also seek to verify the tickets at the same time (Woxenius & Bärthel, 2008). It is normally evident that no good thing can go without criticism. Therefore, the issues identified by the reviews and reports cited from are just meant to help the company better its services in the wake of the highly competitive niche market. Based on that, the company could make certain changes if it is to keep its customers and to attract even more. It is normally said that the success of any business is based on what its target market say about it. Therefore, the management will need to identify these problems and provide practical solutions for all of them so that the sole purpose of the niche business may remain relevant and effective. The management will need to put emphasis on the queries that are addressed by different reviewers and reporters. First of all, there will be a need to ensure that the time schedules are kept and that passengers are allowed to board the trains on time. This will act positively towards encouraging passengers who are out to keep time. The comfort of the cabins also needs to be reviewed to ensure they meet the expected demand. This will ensure that customers who seek comfort throughout the journey are put into consideration and satisfied so as to keep them coming back (Lambert 2013). Since this travelling facility is generally aimed at night travelers, sleep becomes as issue of much importance. Therefore, the sleeping and bathing facilities should be of much importance to the company. The sleeping areas should be as comfortable as possible. The water closets should also be enhanced and made up into several varieties, so that all customers aboard would be catered for. The prices being charged should also be reviewed to match the service being offered. This is to match the claim that spending a night in the first class section of the train is far much expensive as compared to spending a night in a 3star hotel in a city. Road, Rail and Sea Magazine describe the company as one which provides excellent services. It associates the train service with glamour and romance. The magazine dwells in identifying the strong points of the train company and how it is wholesomely satisfactory. According to the magazine, the staff of the company is very hospitable and that their expertise is up to standard (Lambert, 2005). The availability of a restaurant car and a simple complimentary breakfast is of much concern. The breakfast could be optionally brought into the cabin in order by the customers. The magazine took great pictures during its research and posted them in their report on night trains. The magazine went further into issuing detail and advice to potential travelers on what to do and what not to do during night travels by train. Some of the points they identified include carrying travelling gowns to help you during sleep time. The magazine also identified the need to carry entertainment into the train during the journey as there is never any in-train entertainment. The passengers are also advised not to panic during the tour when they ask for their passports on board. The passengers are told that the passports are required for passing across the borders of the country and most feel like there might be problems at the borders though there are rarely any (van Goeverden, 2009). However, the magazine also takes great concern in the sizes of the beds. There is great need to enlarge the sizes of the beds to prevent passengers from falling off the beds as they sleep. The magazine is viewed to be biased as it brings out the service offered by the company as excellent, though in a real sense there are changes which can be made so that the targeted market is reached with a much easier effort (Lambert, 2013). The niche marketing strategy of the company is solely based on online newsletters and the social media. The company publishes monthly newsletters that are relevant to the expectations of the customers in the month. In these magazines, the company posts its strong points and facts about the company that would lighten up its customers and potential customers, too, upon reading (Dolnicar & Laesser, 2007). It is also in these newsletters that the new offers that the company has come up with are posted. Improvements that have been made on the trains are also posted in these newsletters so that they may be viewed for the observers. Customers also get an opportunity of contributing in the newsletters. They are given an opportunity to put across whatever they liked about the service offered and also to positively criticize the company on areas that need to be improved. Through this, the public is made aware of the willingness of the company to better its services. It also becomes possible for the target market to analyze and gauge out the services offered by the company in comparison with other alternatives. Attractive competitions put up by the company for its customers also drives a lot of people towards reading the monthly editions and wanting to know what competitions are up in the new month. Partner companies also come up with offers for the company’s customers. These offers are published in the monthly newsletters. However, a business that focuses on creating its specific niche has the assurance of its target market. It has the privilege of motivating customers to develop a high level of loyalty. In a case where the customers have the opportunity top contribute to the development of the newsletter, they feel dignified, and that motivates them to maintain loyalty. Through social media, the company is able to reach a wider market especially of the younger generation who would wish to travel across the cities of Europe as they tour different areas of interest. Through social media, even international tourists visiting the areas serviced by the train company are able to know about the service and even use it during their time of visit. The monthly newspapers are also posted on the social media pages so that they can be accessed by all who visit those pages. This is so far, the greatest form of marketing for the company. Most of its customers are met through social media. Experts have appraised the efficiency of social media as a modern marketing tool. The high traffic to such sites ensures a large audience for the company’s advertisements. In conclusion, it would be right to conclude that the company is doing good as far as providing the specific service of night travelling is concerned. However, for the purposes of niche segmentation, the recommendations that have been discussed herein could play a very big role in ensuring the company’s goal is reached. The adoption of such recommendations will form a hallmark in ensuring that the company creates its niche in the market. References Bertolini, L., & Spit, T. (2005). Cities on Rails: The Redevelopment of Railway Stations and their Surroundings. Routledge. Brunhouse, J. (2004). Traveling the Eurail Express. Gretna [La.: Pelican Publ. Danzi, M. (2006). Bicycle Carriage on Long-Distance Trains in the European Union. European Cyclists’ Federation. Dolnicar, S., & Laesser, C. (2007). Travel agency marketing strategy: insights from Switzerland. Journal of Travel Research, 46(2), 133-146. Harrington, R. (2003). Trains, technology and time-travellers: how the Victorians re-invented time. London: Routledge Harris, K. (1999). Janes world railways, 1999-2000. Coulsdon, UK: Janes Information Group. Kampf, R., & Velechovský, M. Urban planning and transport in Switzerland. London: Bradt Travel Guides. Lambert, A. J. (2005). Switzerland: Rail, Road, Lake. London: Bradt Travel Guides. Lambert, A. J. 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