Table of contents
(I) List of figures and tables 1
(II) List of abbreviations 1
1. Introduction 2
1.1 Background and Purpose of the Topic 2
1.2 Methodology 2
2. Case Description 3
2.1 The History of Runtriz 3
2.2 Introduction of the Invention Hotel Evolution 3
3. Theory 5
3.1 Definition of Service Innovation 5
3.2 Service Innovation Models 5
3.2.1 Models from Gallouj and Weinstein 5
3.2.2 Models from Michel, Brown and Gallan 6
4. Case Analyses 7
4.1 Radical Innovation 7
4.2 Incremental Innovation 8
4.3 Changing the Customer Roles and Firm`s Value Creation 9
5. Conclusion 11
(III) List of references 12
The service industry, especially the hospitality industry, has to handle high pressure from competition and frequently changing demands from their customers (Victorino et al., 2005). Hotels have to establish a unique offering or service for their guests, to highlight themselves on the market. A way to generate a successful establishment within the hospitality industry is to implement and develop innovations, which can be seen as the creation of an extra value for the guest (Victorino et al., 2005). Findings from various articles and books like Service innovation and customer choices in the hospitality industry from Victorino et al. in 2005 and Open Services and Innovation from Henry Chesbrough in 2011, lining out that Service Innovations have an impact on the choice of customers and are a “clear and sustainable way to grow a business” (Chesbrough, 2011, p.13). Therefore, innovations have been coming into focus of importance also in the hospitality industry. (Victorino et al., 2005)
Runtriz, a company from the United States, has specialized itself in offering mobile solutions for luxury hotels. Their newest invention is called Hotel Evolution and was brought at the market in 2008. Hotel Evolution is a mobile touch screen platform, which allows guests to communicate and interact with the staff in the hotels (Enz et al., 2010). The question arising is what is the actual innovation of Hotel Evolution. Therefore, the overall aim is the analysis of the innovation, Hotel Evolution. Different theories and models will be used to apply the chosen case with scientific theory.
Table of Contents
1. Introduction
1.1 Background and Purpose of the Topic
1.2 Methodology
2. Case Description
2.1 The History of Runtriz
2.2 Introduction of the Invention Hotel Evolution
3. Theory
3.1 Definition of Service Innovation
3.2 Service Innovation Models
3.2.1 Models from Gallouj and Weinstein
3.2.2 Models from Michel, Brown and Gallan
4. Case Analyses
4.1 Radical Innovation
4.2 Incremental Innovation
4.3 Changing the Customer Roles and Firm`s Value Creation
5. Conclusion
Objectives and Topics
This paper aims to analyze the "Hotel Evolution" service innovation developed by the company Runtriz. It explores how this mobile platform transforms communication and interaction within the luxury hospitality sector by applying established scientific innovation theories and service-dominant logic models.
- Analysis of service innovation in the luxury hospitality industry.
- Evaluation of Runtriz’s "Hotel Evolution" as a radical and incremental innovation.
- Application of Gallouj and Weinstein’s innovation models to service sectors.
- Investigation of customer role changes and firm value creation using Service-Dominant (S-D) logic.
Excerpt from the Book
4.1 Radical Innovation
Gallouj and Weinstein (1997, p. 547) are defining the term of radical innovation as “denotes the creation of a totally new product, i.e., one defined in terms of characteristics unconnected with those of an old product.” Hotel Evolution can be seen as a Radical Innovation within the hospitality industry. One has to be carefull at this point, cellphone and touchscreen applications allready existed at the market but the specific usage of such applications was new for this certain type of industry. There was not such a service offering as Hotel Evolution before within the hospitality industry. A new system and way of communication was created through to Hotel Evolution, also complete working processes within the customer-employee communication system changed.
The old way of communication via phone or mail has been innovated now through the direct communication via the hotel application. It was also new that guests have the possibility and complexability to see and discover services, products, activities etc. through pictures and directly can read other guest comments to certain offerings from the hotels. As mentioned from Gallouj and Weinstein (1997) the competences of the company are also effected by Radical Innovations. Hotels are now able to provide better and more detailed information about their guests and can enhance the guest experience and satisfaction when using the new competences. (Enz et al., 2010) In the case of Hotel Evolution, the hotels are able to create detailed guest profiles, including the favorite dish, music, flower, massage etc. This is also leading to more focused marketing strategies and offerings with the right product for the right guest. Additionaly the sales and revenues increased through the direct and customized offerings and the usage of the gained guest informations. (Enz et al., 2010)
Chapter Summaries
1. Introduction: This chapter outlines the high-pressure environment of the hospitality industry and introduces the "Hotel Evolution" platform by Runtriz as a key service innovation.
2. Case Description: This section details the history of Runtriz and the evolution of its mobile platform from fixed tablets to a flexible, web-based touch screen solution.
3. Theory: This chapter defines service innovation and introduces the theoretical frameworks of Gallouj and Weinstein and Michel, Brown, and Gallan regarding innovation and S-D logic.
4. Case Analyses: This chapter applies the previously defined theories to analyze Hotel Evolution, categorizing it as both a radical and incremental innovation and examining changes in customer roles.
5. Conclusion: This chapter summarizes the findings, highlighting how Hotel Evolution successfully bridges gaps in hotel service offerings through technological personalization.
Keywords
Service Innovation, Runtriz, Hotel Evolution, Hospitality Industry, Radical Innovation, Incremental Innovation, Service-Dominant Logic, Value Co-Creation, Customer Roles, Digital Transformation, Luxury Hotels, Mobile Solutions, Value Creation, Employee Performance, User Experience.
Frequently Asked Questions
What is the primary focus of this assignment paper?
The paper focuses on analyzing "Hotel Evolution," a mobile technology platform created by Runtriz, to understand its role as a service innovation within the luxury hospitality industry.
What are the core thematic areas of the research?
The core themes include service innovation theory, the hospitality service lifecycle, customer co-creation of value, and the application of strategic innovation models to real-world business cases.
What is the primary research objective?
The primary objective is to apply scientific innovation theories to the Hotel Evolution case to evaluate how the platform has transformed communication and operational processes in luxury hotels.
Which scientific methods are employed in this work?
The author conducts a literature-based analysis, utilizing academic frameworks from authors such as Gallouj, Weinstein, and Michel et al., combined with a descriptive case study approach.
What topics are covered in the main section of the paper?
The main section covers the history of Runtriz, definitions of service innovation, analysis of radical and incremental innovation types, and an investigation into S-D logic regarding customer and firm roles.
Which keywords best characterize the study?
Key terms include Service Innovation, Hotel Evolution, Hospitality, Radical/Incremental Innovation, and Value Co-Creation.
Why is Hotel Evolution considered a "discontinuous" innovation?
It is classified as discontinuous because it significantly alters how customers co-create value through the platform and impacts financial performance metrics such as revenues and market interaction.
How does the application change the customer's role?
The application changes the customer from a passive receiver of service to an active co-creator, performing roles as a user, buyer, and payer, while allowing them to interact with the hotel regardless of their location.
What role do "operant resources" play in this innovation?
Operant resources, such as guest data and preferences collected via the platform, are embedded into objects to increase the hotel's knowledge base and enhance service customization.
- Arbeit zitieren
- Doreen Kupke (Autor:in), 2012, Runtriz - The Leader of mobile Hospitality, München, GRIN Verlag, https://www.hausarbeiten.de/document/210444
