CASE!study: Managing Experience Economy during COVID-19

Page 1

1

oct 2020 | the hospitality experience | group 6


page

page

3

Case Study Instructions

5

Question 1 & Introduction

6 page 8 page 12 page 16 page

➡ Empathy & Comfort ➡ Proactive Approach ➡ Adapting to Social Norms ➡ Adopt & Enhace Digital 2


Case Study instructions A. Read the article entitled, ‘Managing the “Experience Economy” During COVID-19’ by Shaikh Wajihuddin Nizami. B. Afterwards, answer the following guide questions: 1. Would this article be applicable to the experience economy in the Philippine setting?

Cite specific

examples to justify your answer. 2. Imagine that you are a business owner/restaurateur putting up during this time of pandemic, use the 4E's of the experience economy to shape your business within the Covid-19 setting. C. Be as creative as you can in your output.

Question 2 answers to be released in the next volume.

3


Yes, we agree!

4


Question 1

Would this article be applicable to the experience economy in the Philippine setting? Cite specific examples to justify your answer.

In the article by Nizami (2020), the experience economy is not a new concept to the business industry as it has been around since the 90s. Numerous companies have already been employing strategies to enhance the individual experiences of their customers. However, the current COVID-19 pandemic has made significant impacts on our way of living; consequently shaping people’s thoughts, feelings, and behaviors. These factors would, therefore, affect the personal experience each individual would have during this time. Thus, the article stated that businesses must view the experience economy from a human perspective, considering their fears and apprehensions. The article mentioned four aspects which should be considered in managing the experience economy during COVID-19; namely, (1) empathy and comfort, (2) proactive approach, (3) adapting to social norms, and (4) adopt and enhance digital. With that, our group believes that the article applies to the experience economy in the Philippine context. Many Filipinos are currently struggling with the effects of the pandemic. With this, many businesses are seen trying to aid fellow citizens by providing uplifting experiences through different means. These acts are exemplified through the various advertisements and initiatives which fall under the four aspects mentioned above.

5


Empathy and ComforT

The COVID-19 pandemic is one of the most difficult situations the country and the world

has ever been in, we are always at the constant fear of contracting the virus, and a huge number of the general population are losing their jobs and livelihoods. With all the horrible circumstances occurring, an extensive amount of prominent businesses in the Philippines are taking it upon themselves to play their part by providing response efforts, showing the life of frontliners, and tips to comfort and console the people. Â

from Jollibee, Chowking, Mang Inasal, Red Starting with

Ribbon, Greenwich, Burger King, Panda

providing

Express and PHO 24 (Jollibee, 2020). SM

response efforts, beverage

investment corporation has also joined the

giant Coca-Cola is willing to sacrifice

response efforts by contributing PHP 100

and place a hold on advertising their

million to a multi sector coronavirus disease

products, with the intended goal of

poverty relief initiative called Project

redirecting the money to be utilized

Ugnayan in addition to PHP 170 million in

aiding COVID-19 relief and response

medical supplies donations to over 50

efforts especially for the most affected

hospitals nationwide that helped them stay

communities (ABS-CBN News, 2020).

equipped to battle against COVID-19 (PNA,

For Jollibee food corporations, their

2020).Â

response efforts will be done through

Other companies have also taken it upon

providing free food to the frontline

themselves to go the extra mile and pay their

medical workers. They will be donating

tribute to the frontliners by reminding the

PHP 100 million worth of its food

people of what is occurring, and what they

products to medical workers. The

have done for us. One of those companies is

frontliners will be receiving food packs 6


P&G. P&G Philippines, through a video, are

This video reminds us that there are still

reminding the general populace of the lives

positive things we can look to even during

of medical frontliners, all the hardships and

this difficult time.

struggles they have to go through. They try to emphasize the importance of doing our

Due to the uncertain times and a dim

part and staying at home, to help the country

future, countries and especially the

fight the disease. Another company is

businesses that have a large influence have to

Universal Records Philippines, in which they

do their part and show their care and

made a video with various artists

generosity for the people. The Philippines is

emphasizing our unity as a country. They

one of those countries wherein businesses

remind us that we are fighting, serving, and

show that they are not merely for making

healing as one nation, so we should do our

money, but are also caring for the people.

best to stay home and stay safe. Other companies are also providing comfort by giving the people tips, activities, and events diverting their attention away from the terrifying pandemic. One of which was Netflix Philippines and National Bookstore. Both are posts on Twitter asking people to play a game of guessing your favorite childhood movies and guessing the title of the given 4 young adult books, they emphasize on passing time at home. Two other companies that also fulfill similar purposes are McDonald’s Philippines and PLDT Home. They showed videos and posts to celebrate mother's day safely, with the goal of diverting the attention into something more positive. In the video of McDonald’s Philippines it showed the person appreciating being locked down with his mother. Through the lockdown he was able to bond and understand his mother’s quirks and attitudes he never would have noticed before. The lockdown ultimately improved his relationship with his mother. 7


Proactive Approach Global pandemics are not necessarily a common

product’s capability to deeply whiten and cleanse

phenomenon for society. Over the years, there have

pieces of clothing. Their advertisement was still able

only been several pandemic outbreaks, the most

to showcase their signature “whitening” visuals

recent one being the 1918 Spanish Influenza. Yet

within the video yet what was different in

even those past pandemics do not necessarily mean

comparison to their past advertisements would be

that our current generations are fully informed and

the incorporation of safety protocols that are to be

well equipped to brave the ongoing Covid-19

followed and respected. They were able to apply the

pandemic. Situations are different when in

concept of social distancing as well as the

comparison to the earlier cases of these outbreaks,

requirement to wear face masks whenever one is

differences can be seen in technology, medicine,

outside or in a public area. They were able to

society, transportation, and many more aspects of

successfully incorporate this into their video by

society. With this, it can be said that the people in

applying these safety procedures in the setting of

our current society are more or less uninformed or

general laundry areas where a number of people may

inexperienced when it comes to handling a

gather in a certain public area to do their laundry.

pandemic; thus, in terms of taking the point of being

Not only does this video get their product across, but

a business owner during these times, it is their

it also informs their customers about the safety

responsibility to be proactive in the way they inform

procedures that are to be followed now that we are in

their respective customers their new approach with

the time of a pandemic.

dealing business in these times. Within the context of the Philippines, the aspect of taking a proactive approach in these times are applicable and manifested within multiple businesses. During this time of confusion and chaos, businesses have the responsibility to be proactive with the way they conduct their business. In line with that, they must relate it to their respective responses towards the new social implications brought about by the pandemic. This involves the changes within their business procedures and should serve as an informative message to their customers. An example of this would be Tide’s resourceful advertisement released last August. Tide is a famous laundry detergent in the country, usually boasting their 8


9


10


Proactive Approach

One of the biggest and most important changes that the pandemic has brought upon us would be the regulation of incoming and outgoing flights. This was one of the first things enacted by multiple countries because of its possibility to increase virus transmission between countries. With that being said, this has also given people further confusion on how travelling will now be done, especially for OFWs (Overseas Filipino Workers), people that were planning to move into the country, or people that are stuck in a different country when quarantine lockdowns first started getting enacted. As a result, different airline companies within the country had to adjust to the demands of the lockdown and eventually inform the people involved with the flight closures about their corresponding protocols. For example, Philippine Airlines (PAL) released a list of possible government-approved facilities or hotels where someone entering Manila could stay in quarantine for the time being. It is also good to note that most of these changes and adjustments are mainly for the Ninoy Aquino International Airport (NAIA). With this in mind, NAIA was able to release guidelines regarding their new processes of accepting flights into Manila. New additions to the arrival process such as Thermal Scanners and free swab testings for OFWs were put into place and provided for the passengers. Due to the serious and integral roles that these safety protocols are in, it is only fitting to apply this to NAIA where the safety and information of the passengers are of utmost importance. When it comes to being informed about the current news and safety protocols being enacted by

the Philippine government, it is only natural to look to news channels on our televisions or news companies that publish online articles about the news. One of the most shocking and impactful events during the quarantine period would be the government’s decision to go against the renewal of ABS-CBN’s franchise, consequently terminating the company’s franchise. This came as a shock to many Filipinos because of the fact that ABS-CBN is one of the main news contributors in the country. Many have felt that the government’s decision to terminate the company’s franchise would be detrimental to the country in terms of leaving the people further confused and uninformed in a time where information about the current events of the country is especially important. Fortunately, the ABS-CBN news network was able to persevere through the political issues between the company and the government and continue to strive to provide the public with reliable news and information regarding the COVID-19 pandemic and its effects nationwide as well as worldwide in order to proactively provide the people with these important topics. The news channel’s fight to give the people consistent and reliable news had even reached the point where the company was able to find a way to return to free Television since sealing alliances with certain higher uppers within the Television industry. With these local businesses’ perseverance to provide the Filipino people safe and responsible information during these trying times, it can be said that developing a proactive approach towards working around the COVID-19 pandemic is evident within the country.

11


Adapting to social norms

Now that we are collectively upon the time of a pandemic, worldwide efforts are made and enforced

to prevent the further spreading of the COVID-19 virus. In terms of the efforts made by different businesses and companies to work around an unsafe and unprofessional workspace, several procedures are starting to be implemented. The new standards of greeting one’s customers inside their stores would be through temperature checks, sanitizing mats, as well as logbooks for future references in case of contact tracing. These are not the only new procedures and regulations that are being implemented within businesses, different businesses require different criteria to be met to achieve a safe and clean process of doing business. With regards to the Philippines, the country does follow multiple “social norms” that aim to counter and avoid further spreading of the virus. One significant type of business that first

rider’s temperature attached to the receipts of

comes to mind when reflecting about the

the food package. It is safe to say that the

country’s new business norms would be food

McDonald’s franchises countrywide are actively

chains. One of the most popular fast food chains

involved in offering safe and responsible services

in the country would be McDonald’s, the well

to their customers in the pursuit of adapting to

known worldwide fast food chain that originated

the “new normal.”

from the United States. With attempting to cope

In relation to the topic of fast food chains’

with the nation’s position amidst the COVID-19

responses towards the COVID-19 pandemic, the

pandemic, multiple chances for adapting to this

most famous local fast food chain, Jollibee, has

issue were bombarded upon McDonald’s. New

also implemented different measures in

safety procedures were implemented with the

accordance with conducting safe and

physical stores of the company. Basic procedures

responsible business

such as temperature checks, face mask

McDonald’s, Jollibee more or less applied the

requirements, and sanitation spray downs were

same cleanliness and safety procedures for their

followed, as well as store-appropriate ones such

stores. Customer mask requirements, employee

as counter and table guards, frequent facility

uniforms, and facility sanitations are also

sanitations, and social-distancing markers. Even

followed by the company. In terms of their drive-

with regards to the fast food chain’s delivery

through procedures, “no-touch” policies were

service, safety precautions were also put into

also added. Payments are now accepted through

action, where these include frequent delivery bag

a long reaching apparatus to avoid touching.

decontaminations as well as an indication of the

Similarly, the food products being offered are

strategies. Much like

12


13


Adapting to Social Norms strictly placed on food trays so as to avoid

rooms are in good shape for the guests to be safe

physical touching between the employees and

and protected.

customers once again. Much like every other food chain within the country, Jollibee complies

Because of the “new normal” brought upon

with the country’s safety regulations and is

the country by the COVID-19 pandemic,

actively adapting to the new requirements

businesses, both big and small, must adapt and

imposed by the pandemic.

improvise their safety procedures in order to

On a separate note, hotels are also among the

provide their customers with the best and most

many experience economy related businesses

safe experience as they possibly can. It is a

that are actively involved in adapting to the

worldwide effort to adjust and adapt to this

requirements that the COVID-19 pandemic has

changing environment where the Philippines is

brought upon. Since hotels are involved in

among the many other countries that actively

providing their guests and customers with

seek to follow this.

shelter and food among other things, it is important and crucial for these businesses to comply with safety procedures brought about by the new social norms. Varying procedures may be seen throughout the different hotels of the country. Solaire Resort and Casinos is among the many Philippine hotels that have subscribed to this. Misting tents (disinfection) as well as ultraviolet (UV) light cleaners have been put into effect by the company in the hopes of effectively providing a cleaner and safer experience for their valued customers. For Shangri-La Hotels and Resorts, extra steps were also taken to assure guests that they hold their customers’ safety to a high regard. Health and travel declaration forms are made mandatory for their guests in case of future contact tracing processes, Personal Protective Equipments (PPEs) and face masks are also offered for the guests to provide them with an extra assurance of protection. Housekeeping procedures are also to be executed more diligently to make sure that the 14


15


.

The COVID-19 pandemic has led to a multitude of differences towards our way of living and interactions in life. One of the most notable differences is the quarantine. We are always advised to stay at home and limit our

AD

exposure to the outside, as to mitigate the spread of the virus. With how different and difficult it currently is to go out and purchase items, businesses and establishments all around the world have migrated to selling their services and products online. The Philippines is not an exception because a large number of the different businesses have also adopted online marketing and selling to properly cater to the people in the country. One of the most popular business sectors that have truly utilized and migrated to the online market is the food service industry. Jollibee has always made an effort to make deliveries accessible to Filipinos everywhere through their website. But now with new problems arising from COVID-19, they had to innovate and find ways to make it more convenient and safer for customers. Jollibee has introduced its new application that is simpler and more convenient for people to order their food. It has features such as exclusive promos, cashless payments, scheduled deliveries and order tracking. Other than big corporations like Jollibee, smaller establishments such as home baking have also started utilizing social media as a way for them to sell their food products. Using platforms such as Facebook and Instagram to advertise their business, and using couriers such as Lalamove and Grab food for their products to reach people. 16


dopt & enhance digital Another sector would be the financial services

industry such as banks. These are of great importance especially now that we are at times of financial uncertainty, we have options such as loaning from the bank. Banks in the Philippines, specifically Banco De Oro (BDO), have created a more substantial online and mobile banking experience that encourages its clients to make transactions from home. Using digital channels, clients can pay bills, send money, load up their prepaid mobile phones, and check account balances (BDO, 2020). The convenience of being able to order clothes, gadgets, products, etc. is now very essential to a lot of customers. With that said, Filipino entrepreneurs have also embraced the digital phenomenon of online shopping. Selling of goods and products through the use of ecommerce websites such as Lazada and Shopee are now becoming a norm among Filipinos (Arreola, 2020). With the current circumstances and struggles that countries have to adapt to from the onslaught of the COVID-19, online marketing and shopping is now a grave necessity to all. Philippines, like most other countries, have their fair share of businesses that transitioned and migrated online to further give the people the accessibility and convenience they need 17


A Case Study Presented to Chef Annalisa Margarita Mariano Ateneo de Manila University 1BS Restaurant Entrepreneurship

In Partial Fulfillment of the Course Requirements in LAS 51.30 : The Hospitality Experience

Submitted by Group Six: Jamie Trisha Valle Jared Matthew Tanco Adrian Jerome Pascua Thomas Mari Sta. Ana Gail Dominique Ocampo

October 2020 18


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.