Witty Wizards

WITTY WIZARDS

PRESENTED BY: ANANT HOSKATTE GURURAJ GOUDAR LOKESH.N

The Experience of Karnataka • Karnataka is the eighth largest state in Indian Union & is a veritable treasure of tourist delight. • Richly endowed with a fascinating mix of natural & man-made attractions, palaces & forts with an aura of mystery, temples, which speak of rich culture & tradition, beaches of golden sands, roaring waterfalls, green meadows & dense forests. • The State Government set up the KSTDC in 1971 to promote tourism in the state by providing facilities to domestic & foreign tourists. • Corporation has 2 divisions: (I) Transportation, and (II) Hotels. • Corporation provides popular conducted & packaged tours to different tourist spots in the state such as Belur, Halebid & Shravanabelagola, Nandi Hills, Shivansamudra, Nagarhole, Bandipur, Dandeli, Jog Falls and Gokarna. • Karnataka has a 320 km long coastline, dotted with numerous beaches, that beckon invitingly those craving for some respite, from the maddening grind of urban life.

The Experience of Karnataka (contd..) Transportation: By Road & • Karwar Rail Accommodation: Nearest KSTDC Hotel Place: Karwar 525 kms from Bangalore/100 kms from Goa. • Karwar makes a good starting point for the voyage of discovering the thrills of the sea, sand & sun. Other attractions include the Sadashivgad Hill fort with a Durga Temple, the unique Octagonal church, & the 300-year old Venkataramana Temple. Also for wildlife lovers, the Dandeli Game Park is just 157 km away. • • Marwanthe Transportation: By Road & Rail Accommodation: Nearest KSTDC Hotel (Hotel Netravati,Mglr) Place: Marwanthe 525 km from Bangalore/110 km from Mglr.

The Experience of Karnataka (contd..) West Coast Highway • Marwanthe is a unique seaside town, where the cruises along with the Arabian Sea on one side, & the river Sauparnika rushes against a verdant mountainous backdrop on the other. Water sports & Beach Resorts promise an enjoyable holiday here. • Transportation: By Road & Rail • Malpe Accommodation: Nearest KSTDC Hotel (Hotel Netravati,Mglr) Place: Malpe 392 km from Bangalore/66 km from Mangalore. • Malpe, with its sheltered harbor makes a quiet beach retreat, just 6 km away from Udupi. Right across is St. Mary’s Isles, more serene & ideal for picnics, which can be reached by boat from here. •

The Experience of Karnataka (contd..) has motels and • KSTDC operates the MayuraGroup of Hotels, which cottages distributed all over the state. They provide restaurant facilities, boating facilities, pubs, suites ,and so on. • The following table represents Relative Performance of Hotels & Transportation in Terms of Income: • • • • • • • • KSTDC has a sister concern by the name Jungle Lodges and Resorts Limited, which promotes eco-adventure and wildlife tourism.

Jungles Lodges & Resorts Ltd. • • • •

KSTDC ha a sister concern, the Jungles Lodges & Resorts Ltd. It is the only profit making unit of the organization. Main objective is to promote environment, adventure and wildlife tourism. Major prestigious projects are Kabini River Lodge, Karapur & Cauvery Fishing Camp, Bhimeshwari. • During 1992-93, the Mahseer fishing competition was conducted at Cauvery fishing Camp in association with M/s Special Journeys Ltd. Of Switzerland. • Resorts are attracting increasing number of foreign tourists apart from domestic tourists.

KSTDC Growth field of tourism. • KSTDC has completed 34 years of service in the • Initially started with 6 hotels & 8 buses. • By 1997, KSTDC was operating 21 hotels, 4 restaurants, 1 kiosk & 31 buses. • The total strength of the Transport fleet as on 31st March 2002 was 37, including 24 state-of-the art coaches. • One Volvo Coach was introduced for exclusive for Tirupathi cellar Darshan in March 2002 and another Volvo Coach was introduced in July 2002 with quite encouraging results. • The turnover of KSTDC in 2002 was Rs 12.42 crores from all sources.

Objective tourism in Karnataka • The main objective of KSTDC is to promote by providing facilities to domestic & foreign tourists. • It’s also taking help of State Government & State Tourism Department, for this purpose.

Organization •The Corporation has two divisions: •Transportation •Hotels

Transportation Division including air• Transportation division has latest hi-tech coaches conditioned coaches. • There are 33 coaches with different seating facilities for 50, 38 and 19 persons & two Volvo Coaches. • These are being used for operating various popular, conducted & packaged tours. • KSTDC operates the following conducted tours from Bangalore. – – – – – – – – – – –

Bangalore Sightseeing tour Mysore Sightseeing tour Belur, Halebid, Shravanabelagola Tirupathi, Mangapura Nagarhole, Mercara Mysore, Srirangapatna, Ooty, Kodaikanal, Madurai, Palani Mantralaya, T.B. Dam North Karnataka Goa, Gokarna South Canara tour Chennai, Kanchi, Mahabalipuram

Hotels Division • The Corporation is operating the Mayura Group of Hotels. • The hotels include Star hotels, motels and cottages located at various tourist sites all over the state. • These hotels provide facilities, which include restaurants, pubs, boating facilities, suites etc. • Demand for tourist fluctuates according to the season. The demand is at the peak when children have vacations. • The other reasons for the demand fluctuations might be during strikes, riots, foreigners preferring to visit India during winter or during festivals like Dussehra at Mysore, or religious functions such as Mahamasthakabhiseheka at Shravanabelagola. • The occupancy ratio for the hotels is around 60% during the peak periods & the average is around 42%.

Competitors • KSTDC faces intense competition from private hotels & the local private travel agents. • However the charges are lower compared to private hotels providing the same amenities.

Social Obligations •KSTDC provides discount for promoting tourism and at the same time serving social obligations. •Students are provided 10% concession. •Facilities available in KSTDC hotels at different places in the state is as shown in table:

Advertisement & Promotion various • The Corporation advertises its services through brochures available at the KSTDC cells, hotels, through word of mouth, mass media & advertising boards at public places.

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Table: KSTDC Coach Charges:

Financial Performance of KSTDC • The financial performance of KSTDC between 2000-2005 is shown in the Tables 2-5. • Table-2: Financial Performance Indicators • • • • • • • • The liquidity ratio (current assets/current liabilities) was 1:2.11. • The quick assets ratio (current assets-inventories/current liabilities) has been increasing steadily & by March 2005 it was 1:2.01.

Financial Performance of KSTDC (contd…)

• Table-3: Operating Results •

Financial Performance of KSTDC (contd…) • Table-4: Debt Equity Ratio •

Financial Performance of KSTDC (contd…)

Financial Performance of KSTDC (contd…) • Table-5: Reserve & Surplus (Grant Received from State Government) Accumulated up to •

Financial Performance of KSTDC (contd…) • The corporation is incurring losses. The accumulated losses up to 20042005 was Rs 206 lakh. • The turnover is increasing every year; but the operating costs are increasing at a faster rate. • The percentage increase of turnover in 2005 (base year:2000) was 45.72; however, the percentage increase in expenditure was 70.28. • • The following figure shows the Income & Expenditure of KSTDC from 2000-2005. 

Financial Performance of KSTDC (contd…) • Table-6: Relative performance in terms of % of Income • •

Financial Performance of KSTDC (contd…) • During the year 1992-93, the Jungles Lodges & Resorts Ltd had sales turnover of Rs 96.52 lakhs as against the previous year sales of Rs 71.48 lakhs. • It also made a net profit of Rs 18.73 lakhs in March 1993. • The Reserves & Surplus of KSTDC has amounted to Rs 352.44 lakh at the end of March 2002, it was Rs 336.63 lakh at the end of March 2001.

Problems Faced by KSTDC of tourist • In spite of Karnataka having a large number of places interest, KSTDC has not been able to exploit this potential to the fullest extent. • There has been a low awareness of the various tourist spots not only to the domestic tourist, but also to the foreign tourist. • There has been a lack of sustained promotion strategies to promote these tourist spots. As a result, KSTDC is incurring financial losses due to this reason. • The image of the tourist with respect to the state is not very high. • The Corporation needs to through better-focused promotional strategies & provision of suitable infrastructure facilities address these problems. • There is a need to promote tourism whether it is of historical, religious, cultural or of other interests.

Major Problems Faced • Major problem for the corporation is the increasing overheads, due to the partly political intervention. • Further, the weak infrastructure (roadways & communication) is another area of concern. • Poor infrastructure reduces the fuel efficiency of the vehicles, resulting in high operating costs. • Level of motivation of the employees is also low. •

Future Plans a multi• The Corporation has a prestigious plan of constructing tourism promotion complex at a cost of Rs 4.5 crores. • A tourist can access all information about Karnataka in particular & all other places through the latest communication technologies. • The Corporation also proposes to develop other hotel units and take over facilities at Aihole, Halebeedu, Kemmanagundi, Jog & Gokarna. • It also intends to acquire more coaches & expand its base of transport tour operations from major cities like Hubli, Belgaum, Bijapur. • It is proposed to add 24 rooms at a cost of Rs 65 lakhs to hotel Mayura Sudarshan, Ooty & also has plans to put up a 20-room Hotel at Fern hills, Ooty, comprising conference hall, restaurant & dormitories having 4,6,8bed accommodation.

Future Plans (contd..) • • • •

KSTDC is also planning to introduce an information network at its center, Bangalore wherein the tourists can gain 24-hour access to the transport, package tours & hotels. KSTDC have plans to develop the infrastructure to match international levels at Kabini river lodge, Karapur & Cauvery fishing camp, Bhimeshwari. Heli tourism is being launched for the first time in India.

Future Plans (contd..) • KSTDC IN JV TO PROMOTE INVESTMENT In the backdrop of the recently announced tourism policy 2009-14, the corporation would be part of a joint venture company that would be set up to promote investment in tourism in the state. The policy aims to be able to invest Rs 25,000 crore in the next five years in various projects to promote tourism, said KSTDC MD Luthra.     He said the Silver Chariot, a luxury trip on wheels conceived on the lines of Golden Chariot, would be started in the first week of January 2010. To cost about Rs 25,000 per person for the week-long trip, the luxury Volvo bus would go along the same routes as that of Golden Chariot. Passengers will be put up in Jungle Lodges and Resorts, KSTDC properties or in private properties. The Bronze Chariot, to cost lesser than the other two, is also on the cards, and is to be started soon.

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The Golden Chariot

The Golden Chariot 

• The Golden Chariot, a heritage migrant is a ticket into the timelessness of a historic state - Karnataka. • The Golden Chariot on its voyage of 7 days and 7 nights' unveils empires, unlocks treasures, unravels secrets and takes your esteemed customer to a time now lost, wrapped in luxury. • It is a journey that travels from Bangalore, through Mysore, Srirangapatna, Kabini, Shravanabelagola, Belur - Halebidu, Hampi, Badami, Pattadakal and Goa culminating in Bangalore. • The Golden Chariot an unforgettable journey that chronicles the many worlds of Karnataka leaving your esteemed customer with a myriad of experiences. • The Golden Chariot has all the modern day amenities set in the style of Mysore and Belur-Halebiduschools of art and architecture. •

The Golden Chariot 

• The Golden Chariot is the first luxury train of Southern India, an initiative of the Department of Tourism, Government of Karnataka, India, in association with Indian Railways. • The train will be operated by Karnataka State Tourism Development Corporation. • The Golden Chariot has complete carpeted flooring. • The coaches are named after the magnificent dynasties and empires that ruled this South Indian state, Karnataka – Kadamba, Hoysala, Rashtrakuta, Ganga, Chalukya, Bahamani, Adilshahi, Sangama, Shathavahana, Yadukula and Vijayanagara. • The 11 passenger coaches have each cabin fully equipped with amenities like attached baths and plasma TV. • Each room is provided with good storage space like cupboards to store luggage, a side table in each room, reading desks in every room & an electrical sockets in each room. • • •

The Golden Chariot 

• A business centre that helps one keep in touch with the outer world. • 6 DVD Channels and 6 Satellite Channels that entertains ones journey back in time. • The bath area has all the facilities and required toiletries. • The bedspreads are hand woven and made of silk. • The two restaurants are designed in Belur and Hampi style catering to a multi-cuisine delicacies catering to both vegetarians and non-vegetarians. • Madira, the lounge bar designed is in Belur style with the finest collection of wines and spirits. • Soft music that soothes the mind is played in the background. • An Ayurvedacentre, a spa and a state-of-the art gymnasium on the train provides rejuvenation to the travellers.

The Golden Chariot 

• The spa is equipped with all the necessary rejuvenating oils and a masseur. • The gymnasium has the latest equipments like the treadmill, cycle and stepper. • It has a changing room, steam bath, two shower rooms and a toilet. • •

The Passengers Cabins: • The Golden Chariot comes with 11 passenger coaches. Each of these coaches have been named after dynasties that ruled the State of Karnataka. • Distinctive styles of architecture of Belur, Halebidu and Mysore have been used on board the train and these are visible in each coach in the selection of upholstery, the colour combinations and the linen used. • Craftsmen from the State of Karnataka have painstakingly crafted all the cabins on board The Golden Chariot. They depict the very essence of the State. The Linen used is made of raw silk and woven to depict the various cultures and art forms of the state. • Safety lockers are provided in each cabin for your valuables. equipped with a • Every cabin on The Golden Chariot comes fully Plasma TV for the guests entertainment. There are 6 satellite channels and 6 DVD channels. A TV guide placed in each cabin would indicate the movies that are being played and the channels that are being aired on board the train. • The air-conditioning system is centrally controlled. • Guests are requested to take special care of the carpets, the linen and other furnishings in their cabins. • • 

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Restaurants • Nalapaka & Ruchiare two restaurants on board The Golden Chariot. The cuisine will be Indian & Continental. The guests are requested to take note of the timings of the restaurants & bar when they are announced on the PAS. • Nalapaka is named after a king and legendary chef from the times of the Mahabharata, the great Indian epic. Ruchi, a name that means fine taste in Sanskrit. • A lot of care has been taken to ensure that world-class cuisine is served to the guests on The Golden Chariot. All the ingredients are of the best quality to ensure that they not only enjoy the food but also relish the experience. • The Indian cuisine served on board originates from the land of Karnataka. 

The Bar • Madira, which means the nectar of the gods is an impressively stocked bar on board The Golden Chariot. • The guests are requested to take note of the fact that all consumables at the Madira would be billed for. • A Plasma TV has been placed in the bar. 

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The Gym, Spa and the Business Centre • This coach is equipped with a spa, a gym and a business centre. • Guests are requested to note that services rendered on this coach would be charged for. • The business centre can also be used to download music of choice to any of the compatible music players brought on board by the guests. • 

Other Key Facilities • Entertainment System • The Golden Chariot is equipped with a complete entertainment system. a) A • This includes 6 DVD Channels and 6 Satellite Channels. detailed listing of the movies and the timings would be made available on board the train. b) Guests could make a request at the business centre for the movies they'd like to watch during the afternoon from the movie guide. c) A fully loaded music library is also made available on board d) The Golden Chariot is also stocked with books that have been carefully sourced. Guests could read these books placed in all the lounges of the coaches. Guests may also buy any of these books. 

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Wildlife resort • The tour on day 2 to Kabini/ Bandipur includes an overnight stay. Passengers who do not want to stay over night would have to notify their respective agents 1 week prior to the tour. • No requests would be entertained once the tour has commenced for a change with regards to this. • Passengers who wish to opt out of this tour would be provided with an alternative itinerary. • All the guests onboard are expected to abide by the law of the country. Anybody found violating the laws will be held responsible for such acts. • Discretion of taking passengers to Kabini/Bandipur rests with the KSTDC and The Mapple Hospitality group. • The KSTDC would not entertain any requests for certain activities on board the train which would violate certain laws. 

ISSUES FOR DISCUSSION

Make a SWOT analysis for KSTDC.

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Strengths • Good Coordination between transportation and hotels. • Hotels distributed all over Karnataka. • Wild life tourism • Operating since 1971 • Jungle lodges attracts foreign tourists. •

Weakness • Lack of promotional strategies. • Operating costs are increasing at a faster rate. • Level of motivation of the employees is low. • Low fuel efficiency of vehicles. • Political intervention. •

Opportunities Information network. Tie up with international players. Expansion plans. Numerous beaches, roaring waterfalls • Heli-tourism • • • • • •

Threats • Competition from private players. • Competition from other state tourism boards like Kerala, Goa. •

What steps can be taken by KSTDC’s end to meet infrastructural deficiencies? • KSTDC can concentrate more on highway linked destinations. • Develop network systems for better communication. • Build more jungle lodges and cottages rather than usual hotels. • KSTDC can get the hotels for hire or leasing instead of constructing new ones.

What should the strategy of KSTDC be taken for internal marketing?

• Promote KSTDC in all state run hotels and restaurants. • Promote the package tours in KSRTC buses and BMTC buses. • Provide the package tours to various Government departments. • Launch special offers to Government employees

What are the methods one would go about to make KSTDC a profit making organization? Better fuel efficient vehicles. Cut down the overheads. Promote the wild life tourism more. Concentrate more on cultural festival like Dasara. • Motivate its employees. • Utilize the long coastal areas to attract tourists. • • • • •

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