Hospitality Digital Marketing

This report provides a detailed understanding of the opportunities, challenges, and impacts of digital marketing in the hospitality industry, with a focus on Hotel Hilton. It discusses the use of digital tools, platforms, and channels to enhance customer experiences and increase market share. The report also presents a digital marketing plan for Hotel Hilton, including strategies and tactics to maximize profitability and customer satisfaction.

HOSPITALITY DIGITAL
MARKETING

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................1
LO 1 ENVIRONMENTAL ANALYSIS.........................................................................................1
TASK 1............................................................................................................................................1
LO 2 CRITICAL ASSESSMENT OF HILTON.............................................................................3
TASK 2............................................................................................................................................3
Digital Tools of Hotel Hilton.......................................................................................................3
Digital Platforms of Hotel Hilton................................................................................................4
Digital Channels of Hotel Hilton.................................................................................................4
TASK 3............................................................................................................................................5
LO 3.................................................................................................................................................5
Digital Marketing Plan of Hotel Hilton.......................................................................................5
TASK 4............................................................................................................................................8
LO 4.................................................................................................................................................8
Methods to Monitor and Measure Digital Marketing..................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Digital marketing is the technique which is used to increase business growth by
improving sales and profitability with use of digital technology. Consumer trends of Hospitality
industry is changing rapidly due to increase in tourism across the world. Digital marketing in
hospitality helps to increase communication to facilitate better customer relations and increase
their satisfaction level effectively. Innovation in products and services takes place with help of
digital marketing to increase quality of experience of customers.
This report detailed understanding about opportunities, challenges and impacts of digital
environment on Hotel Hilton. Tools and platform will be discussed in report to gain better
understanding about factors which impact efficiency of Hotel. In addition, report provides brief
of digital marketing plan to increase productivity and by effectively monitoring and measuring
methods to evaluate growth prospects of organization. Hotel Hilton is situated in London, UK
and also known for its luxurious services to its customers.
LO 1 ENVIRONMENTAL ANALYSIS
TASK 1
Hotel Hilton has analysed the change in political situation has impacted the policies of
government to safeguard customers from digital attracts or cybercrimes this narrowed
opportunity of Hilton to increase its market share and increase its profitability. Due to increase in
digital usage government has imposed many safety laws for hospitality industry to secure tourists
(Ladkin and Buhalis, 2016). Hotel Hilton analyses that due to de-globalisation of Brexit it has
impacted economic growth and reduced income level of customers. This has impacted in
decrease in digital presence due to decline in customer base and lower income level expend in
high quality services. Due to increase in demand of hotel it also increased the competition on
digital platform which is affecting Hotel Hilton presence on digital platform. Customers are
attracted to new methods to receive services which Hotel Hilton is lacking. It also has deceased
the quality of services of hotel due to inefficient digital platform. Low level of education has
increased the cost of Hotel by promoting and conducting awareness campaigns in market to
compete effectively (Punchihewa, Gunawardena and Silva, 2017). Hotel also analyses that due to
leak of personal data from mobile application has reduced the customer base and deceased sales.
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Hotel Hilton analyses decrease in price of services and products will positively impact the
sales of business and also with the help digital platform it provides to improve the quality of
services according to customer's needs and wants to increase their satisfaction. Hotel Hilton need
to adopt social media marketing and other digital platform to reduce competition and increase
productivity in market. Marketer identifies that management information system helps to
increase customer engagement and communication. This helps to improve quality of products
and services to compete in market and achieve core competency. As the increase in the
technology has provided effective opportunities’ foe the hotel to attract more customers and
decreased the cost of operations effectively. However due to lack of proper workforce to
understand the use of digital technology and reduce the performance of the Hilton hotel
negatively. Increase in the digital presence of Hilton Hotel also increases the competition in
global market and reduce the market share gradually. As the technology changes very rapidly it
also increases the threat and cost to upgrade and innovate new information system in the hotel.
Increase in the usage of digital tools like Smartphone has increased the opportunities for Hotel
Hilton to prove its global presence with the help of digital marketing on social media which also
increases customer base and helps hotel to understand customer effectively. With the help of
online analytical tools hotel can determine behavioural patterns, needs and demand of customers
and develop effective services to increase their satisfaction effectively.
This analysis helps to understand internal factors of business organization which is
controlled by it. Hilton Hotel uses this analysis to evaluate opportunities and threats which
increases its digital presence in market.
Strengths
 Hotel Hilton has very strong brand image in the world which helps organization to
increase its digital presence in new market effectively.
 Hotel also has effective applications and websites which helps to increase customer base
with proper information about services and products.
 Hilton also has collaborated with many businesses which promotes hotel digitally and
improve the digital presence of company to increase market share and stability in sales
(Kriechbaumer, 2019).
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 Company also has a very effective customer feedback forum on its website which helps
to resolve every issue of its customers and helps to increase productivity to compete in
market and achieve competency.
Weakness
 Hilton has many issues in providing better services to customer as they do not have any
communication with the market competitors to analyse their strategies which has reduced
their efficiency.
 Due to lack in technological skills in Hotel it has been very difficult to adopt effective
management information system and handle all information about customers effectively
and provide them offers with digital platform (Hua, 2016). Hilton have limited customer base as hotel focuses on upper middle class and upper
social class customers (Kempiak and et.al., 2016). This also reduces the digital presence
of hotel in market due ineffective pricing policies and marketing policies.
Opportunities
 Hotel Hilton Has opportunities to increase customer base by expansion in new market by
digital market and providing better information through internet platform. Hotel have opportunities to attract more customers by using digital platform to
understand the behaviour and formulate effective marketing strategies to target on more
customer segments (Hudson and Hudson, 2017).
Threats
 Hotel Hilton has analysed that cyber-attacks have decreased brand value and customer
engagement in business (Hendrickson, 2016).
 Hotel also analyses that there is a high risk of new entrants with more innovative digital
technology which impact the decision-making process of customers adversely.
LO 2 CRITICAL ASSESSMENT OF HILTON
TASK 2
Digital Tools of Hotel Hilton
Digital tools are the technological resources which are used to generate effective
information to formulate strategies and enhance business position in market. Hilton hotel uses
different digital tools to increase its presence in market and improve its quality of services.
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Hilton uses email-chimp for email marketing and Marketo (software) for automation marketing
which helps to increase customer services level and make them loyal to hotel. Online reviews
also help in digital marketing of hotel and provide better opinion to customers to make effective
decisions (HRISTOFOROVA and et.al., 2019). Digital tool helps to identify the issues and
problems in the operations of hotel. However, it increases the cost of business to maintain and
compete in market effectively. Promotional activities impact negatively on the business brand
value reducing the market share and impacting the quality of services. With the increase in
digital tool Hilton has implemented digital key and digital room temperature system to maintain
the temperature and provide better experience to customers which help to increase customer
retention and loyalty. Digital tools help hotel to increaser the speed of communicating with
customers and internal activities. It helps to manage and store information effectively. Its
increase the data security and increase the skill and knowledge requirement of employees to
handle all the data of digital tools.
Digital Platforms of Hotel Hilton
Digital platform is the online organization which helps to provide services to customers
and suppliers, this platform helps to improve knowledge of customers about products and
services which are currently offered by different businesses to increase customer satisfaction.
Hotel Hilton uses Facebook and Instagram to post its updated advertisements to provide updates
about new offers and discounts to customers (Gavioli and Bastos, 2019). This is different from
digital tools as platforms are adopted by hotel as it provides better market and procedures to
understand the market trends. Hilton hotel also increases customers from pay per click
advertising this also reduces cost and improves sales to grow in market effectively. Although
hotel Hilton analyses that using digital platform is largely dependent on the internet connectivity
and not every customers uses internet or social media platform (da Fonseca and Gustavo, 2020).
Digital Channels of Hotel Hilton
Digital channel is the framework formulated to send and receive digital signals from one
lactation to another. Hilton uses this channel to increase communication efficiency of all the
branches in the world (Litvin, Goldsmith and Pan, 2018). This helps hotel Hilton to increase
connectivity and secure information from other sources. Hotel Hilton has its own digital; channel
which helps to provide safety and security of data. Organization uses email marking and content
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marketing to increase customer base and it is different from digital tools and platform as it is
specially created according to requirements of Hotel operations to increase its productivity and
market share effectively. This also increases the digital presence of hotel in market by providing
proper knowledge to customers and guiding them to take decisions on technological channel.
However digital platform is ineffective as it is long term procedure to increase customer base .
This also increase cost due to limited due to lack of large audience of digital channels.
Television, radio, direct mails, newsletters, telephone are the methods which Hotel Hilton is
using.
TASK 3
LO 3
Digital Marketing Plan of Hotel Hilton
Digital marketing is an alternative to promote business products and services on online
platform to a big mass. Promotion of services and products can be portrayed by digital channel
to increase customer base and understand customers to satisfy them effectively (Leite and
Azevedo, 2017). Digital marketing is successful only when business has digital capabilities to
increase its productivity and reach market customers to sell their products and services
effectively. This helps business to be innovative and increase information about the latest market
trends to gain better market share to compete. Hospitality industry is increasing its demand
rapidly and the use of digital marketing is also increasing.
Aim
To maximize profit and customer satisfaction by increasing customer experience and providing
premium quality products and services.
Objectives
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 To increase sales of luxury services by 10% till the end of year 2020.
 To increase the market, share by 30% to increase holiday seeker in Hotel Hilton till the
end of year 2022.
 To enhance consumer experience by 20% in upcoming 9 months.
 To increase the profitability by 20% till the end of year 2020.
Strategies
Product Strategy
Hilton hotel must increase the efficiency of services by adopting technological equipment which
helps to increase customer experiences and improve the quality of stay. Digital tool and
channels need to be adopted by hotel which helps to understand customer needs and wants to
increase customer experiences and compete in market. Digital channel also helps to analyse
strategies of competitors. By increasing collaboration with digital travel agents Hotel can attract
more customers. Hilton also must innovate services which helps to improve holiday seekers to
increase their experience and use luxury services of hotel. High quality services will also help
hotel to increase profit margins (Wan and Law, 2017).
Price Strategy
To provide competitive prices to customers on digital platforms Hotel Hilton and also additional
benefits which involve online bookings, referral codes, extra discounts on selected travel agents.
This helps hotel to increase customer experience by offering them what they exactly want
(Semeradova and Vávrová, 2016). Holiday seekers also are price cautious and need low prices
to increase satisfaction. Hotel has to increase quality of rooms to increase customer base and
profitability to archive objectives of company.
Place Strategy
Digital marketing will provide better opportunity for hotel to understand the most demanding
places for holiday seekers to establish new branch and gain more profitability effectively.
Collaboration with transport agencies for holiday seekers will increase the satisfaction and
experiences to attain objectives effectively. Hotel Hilton also analysed that with the help of
internet it can lower the cost of research and attract more customers for their luxury services by
gaining more technological advancements effectively. This helps to increase profit
maximization and improve quality of services . Hotel Grand Hilton needs to be increased to
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attract more holiday seekers. Digital marketing helps hotel to understand effective place to
increase business and profitability.
Promotion Strategy
Hilton hotel uses digital channel to increase the promotional activities and attract more customer
as it reduces the cost of business and provide better opportunities to invest in customer
satisfaction and innovation of products and services effectively (Kotler and et.al, 2017). By
advertising it will attract more holiday seekers in hotel and increase high class customers by
marketing them members of famous clubs which increases their pride. Hotel need to increase
the promotion of Waldorf Astoria and Conrad hotel chains which are the luxurious hotels to
increase customer experience. Company also must adopt multi-channel capabilities to increase
customer engagement and improve quality of services effectively.
Tactics
Segmentation
Hotel need to segment their customers on social class, lifestyle, age, income levels to attract
customers in luxury hotels and provide them effective experience and gain maximum profits.
Hotel need to segment on basis of benefits to holiday seekers which helps to increase their
satisfaction. Hilton needs understand importance of customer mapping which help customers to
make decisions. This will help Hilton to understand customer's thinking and hotel's brand value
in the market (Slootweg and Rowson, 2018).
Targetting
Hotel target on customers which have high income level and wants to increase their status by
staying in a five-star room at premium prices. This will help hotel to gain better profit margins.
Hotel also need to target on families by proving them offers on email, calls, messages to attract
them increase their desire to go on holiday in Hilton hotel. Digital advertising also helps
customers to get influenced by the visuals and audio to visit the hotel and satisfy their wants and
desires effectively (Hendrickson, 2016).
Positioning
Hilton Hotel should provide brief information, advertising and hire influential powers to
influence people to become hotel's loyal customers and increase satisfaction (Murphy, Chen and
Shapiro, 2017). Hotel Hilton has set its brand value for its premium quality of services and
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luxury hotels at premium prices this can help Hilton to gain better quality of services and
product.
Implementation
Hilton Hotel must use proper communication channel for digital marketing and identify all the
market factors by PESTLE analysis and SWOT analysis. Management information system help
company to gain better inflammation and decrease processing time effectively . Implementing
Chabot’s helps to increase customer service level and improving the quality of digital channel.
Company also need to adopt effective technology which helps to compete competitors and
achieve competitive advantage in short run.
TASK 4
LO 4
Methods to Monitor and Measure Digital Marketing
Digital marketing need to be analysed by business to ensure effectiveness and
performance of marketing. It is very essential to monitor and measure digital marketing due to
large network it has high threat of new entrants and there are many frauds and cybercrimes
which decrease the efficiency and may also impact the brand value of Hotel adversely. By
monitoring and measuring performance Hilton determines smooth running of marketing digitally
and reaching targeted customer effectively. Due to increase in we traffic it decreases the capacity
of website and impact the sales of hotel. Travel agents are middle man and increase the sales but
reduces profit margins.
Conversions
Conversions is the process when customer develop interest in business marketing
campaign and wishes to use their services and products to increase their satisfaction level. This
helps to evaluate how many customers have converted their business to purchase hotel services
to increase sales of hotel.
Online Sales
This method provides statistics about which marketing strategy is effective in increasing
sales on website of hotel Hilton. With help of web analytics tool hotel can track online sales
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percentage and understand the factors which lead to increase in sales effectively (Minor and
Bratec, 2020).
Online to Business sales
This method helps to evaluate the number of customers which are attracted from
marketing strategy online through various digital channels and directly visit to hotel to increase
direct sales (9 Ways to Measure Digital Marketing Success, 2020). This method also helps to
measure and monitor customer behaviour as they are likely to visit hotel to see the services in
person before making a purchase of the services (Imad, 2019).
Leads and Sales from phone calls
Online enquiries and calls from customers about the services provided in the marketing
campaign helps Hotel Hilton to track and approach those customers to increase sales and
improve business profit margins effectively (Aswathy and Nair, 2020).
Website Behaviour
Website behaviours are the interaction which customer does to browse. Website
behaviours helps Hotel Hilton to understand the customer engagement with the marketing
campaigns. This method also provide brief information about what are the customer journey
from number of clicks to number of page visited (Alves, Sousa and Machado, 2020).
Website Visits
This method allows Hotel to analyse with help of analytics tools like google analytics,
which helps to measure traffic trends on digital channels where marketing campaigns are running
(De Pelsmacker, Van Tilburg and Holthof, 2018).
Page view per visit
This is measuring technique helps to understand that how many customers have visited
the marketing website and viewed the content to attract more customer (Kingsnorth, 2019). This
method helps Hotel Hilton to measure the effectiveness of marketing on digital platforms.
Time spent on website
This method helps Hotel Hilton to identify the engagement of customers on the
marketing campaign on digital website. As more duration time means more likely to purchase
services and vice versa.
Bounce rates
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Bounce rates is the inefficiency rate of marketing campaign of hotel Hilton n which could
not attract and increase sales of business. This method helps to measure that how many
customers has left the website without considering the services of Hotel. This helps Hilton to
understand factors which decreases the effectiveness of marketing strategy and resolves it to
improve efficiency and increase sales effectively.
CONCLUSION
This report had a detailed discussion on digital marketing of hospitality industry to
evaluate different challenges, opportunities which business analyses on digital platform. Report
also discussed the impact of digital marketing on digital presence of Hotel Hilton and which are
the effective digital tools, platforms and channels which hotel need to adapt to increase its digital
marketing efficiency. Hotel Hilton analysed different factors which helped to achieve its
objective of improving in luxury division and increasing value of holiday seeking customer by
providing them effective services. With help of digital marketing plan, it had decreased the risk
of hotel and adopted effective methods to monitor and measure the effectiveness of digital
marketing though help of digital analytics tools and systems.
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