Marketing Management: Segmentation, Positioning, and Communication for Hyatt Hotel's Reusable Straws

This report discusses market segmentation strategies for Hyatt Hotel's reusable straws, including psychographic and demographic segmentation. It also covers the positioning statement and communication objectives for the product, as well as the use of Cialdini's persuasion principle in marketing communication.

Marketing management

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Identification of two market segments.........................................................................................1
The core product..........................................................................................................................3
Positioning statement...................................................................................................................4
Communication objective............................................................................................................4
Cialdini's persuasion principle of marketing communication......................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Marketing management is considered as the process of planning and carrying out the
concepts, costings, promotion and dispersion of ideas, products and services to design exchanges
which can meet individual and company's objectives. It is a discipline of organisation which
aims at implying practical application of orientation of marketing, its techniques and measures
within firm. The role of marketing management is to carry out activities to convert the potential
consumers into end customers (Ahrholdt, Greve and Hopf, 2019). It is concerned with
controlling aspects of marketing, set goals for firm and organise plans accordingly. For this
report, the chosen organisation is Hyatt Hotel which is a luxury hotel in UAE. It is located in
most vibrant locals and provides experience with luxury rooms, innovative restaurants, splendid
views and many more.
This report highlights two market segments and which segment will be most beneficial
for directing marketing efforts at. It analyse the positioning statement and rationale behind the
formulation. It covers communication objectives and what type of promotional efforts have to be
used to meet those communication objectives.
MAIN BODY
Identification of two market segments
Market segmentation is termed as strategy of marketing where selected groups of
customers are determined in order to make specific goods or product line which can be presented
to public in ways that can appeal their interests. It assist firms to define and better comprehend
their target audiences and prospect customers. This allows marketers to identify right market for
the proposed product and then target the marketing efforts in strategic manner (Benoit, Lessmann
and Verbeke, 2020). It is getting an essential component of marketing strategies and can provides
differentiation basis for firms in landscapes of competitive market. It has been evaluated that
efficient communication is the best measure to separate a business from its rivals. Therefore,
market segmentation provides an opportunity to pinpoint the accurate message of brand that has
the power to drive consumers to make a purchase. For the hospitality market, the two market
segment operated are described below:
Demographic segmentation- This segments is characterised as dividing the audience as
per observable and individual based differences. This include attributes like age, gender, family
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size, occupation, income, religion, nationality and marital status. It is termed as basic form of
segmentation as this can benefit firms to easily access the information at low cost. This way the
firms making gender specific products can easily target their audience and ends up saving time
as well as resources on ineffective marketing activities (Coffin and Egan-Wyer, 2022). More
luxuries hospitality firms can target their marketing efforts by segmented customer base as per
income level. This way they can add value to customers purchase and boosts their self esteem.
The benefit of demographics segmentation for firms is that it is easy to acquire data from
government sources about customers income, education, health data etc. Organisations can
segment their marketing strategies as per the age they wants to targets as they understand that
each age group has different needs and preferences.
Psychographic segmentation- This segmentation of market is associated with
characteristics of customers which are more emotional and mental. These aspects are not very
easy to observe but if research accurately these can provide valuable insight about customers
preferences, motives and needs. By comprehending these attributes, firms can create marketing
strategies that can better appeal to audience's desires. It answers the question of why customers
purchase something. This segment is done on basis of personality traits, values, hobbies, beliefs,
lifestyle and life goals. For these, an exclusive research is crucial as it will facilitate firm to
design incredibly effective marketing which will be more interpersonal to audiences and connect
with each on personal level (D'Attoma and Ieva, 2020). In hospitality industry, when hotels
provides luxury experience they want to target who leads luxurious lifestyle and put more
emphasis on their values as well as beliefs. This way large markets can use psychographic
segmentation to sort their audiences on basis of their choices and personality traits. The data
about the attributes can be assessed by undertaking various surveys which consists of open ended
questions that utilises qualitative approaches which can provide firm with deep insight into user's
issues. Another measure is to provide semantic differential scale where people can be asked to
rate a certain product, enterprise, brand and other attributes which can provide data about
customers attitude and preferences.
To direct the marketing efforts of presenting reusable straws in Hyatt Hotel,
psychographic segmentation has been taken into consideration. As the hotel is luxuries, it strives
to target those users who leads lavish lives and can afford the services provided by the hotel.
Hyatt Hotel can gain deep understanding of its users and get to know them on personal level. The
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resources available to hotel can be best spend targeting this market segment as this can facilitate
marketers to develop marketing strategies only for the audience who have keen interest in
spending their money on getting life long experience of staying and dining in luxurious hotel like
Hyatt. This will provide managers to explore its audience who wants to adopt sustainable
practices and wants to work in direction of saving environment (Dreyer and Krüger, 2018). The
hotel's resources will be optimised fully by developing strategies considering in mind the special
attention of every user. This will allow them to serve customers by understanding their values
and beliefs. Researchers can perform segmentation on basis of personality of people and can
assess whether they take on firms services friendly or not. Social status of audience can also help
managers of Hyatt Hotel to evaluate whether an individual will be interested in adopting
sustainable practices like using reusable straws. This segmentation will help the hotel to market
their product of reusable product to all social classes as in long run it will result in obviating
plastics. People with values of not harming environment and adopting practices in that direction
can result in best audience for reusable straws. The marketers of Hyatt Hotel can put their
resources to understand people's interests and opinions.
The core product
The core product offered is beverage in the restaurant of Hyatt Hotel. The actual product
is lemon flavoured mojito which has been taken into consideration about the health prospect of
consumers. The augmented product is reusable straws which is being adopted to save
environment from usage of plastics. The product is proposed to support the global shift towards
selling and buying more eco-friendly products. As people are adopting more environmental
friendliness, they have started to adopt more sustainability products. In this direction, stainless
steel reusable straws are the best option to protect environment from harmful effects of plastic.
This option will be welcome by consumers of Hyatt Hotel as it is viable in nature and people
who were more conscious about environment are the main target of this initiative (Hackley,
2019). This augmented product will help firm to make effective marketing strategies such as
advertisement, social media platforms, direct selling etc. to take the word out about the hotel's
initiative of adopting sustainable practices. The value proposition made by Hyatt Hotel can help
the marketers of solving customers pains of not getting enough sustainable practices options.
This way they can provide them gain reliever to make their value proposition more strong .
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Positioning statement
To psychographic segmentation that our brand Hyatt Hotel is bringing the concept of
stainless steel reusable straws which can bring the difference of protecting environment from
harmful effects of plastics. The best positioning statement for Hyatt Hotel for stainless steel
reusable straws will be symbolic and functional positioning. As the proposed product will
improve self image of customers and satisfy their ego of using sustainable practices. Luxurious
hotel like Hyatt can take advantage of this option by boosting the self esteem of their customers
and also helps them to enhance their image (Hunt and Madhavaram, 2020). With help of
functional positioning, Hyatt Hotel can solve customers issues and provide them with genuine
advantages of giving them options of sustainable practices. This emphasis and focus on esteem
as well as self actualisation needs of humans. As it fills them with self esteem that they are
taking steps towards sustainable practices. As self actualisation needs, people will feel that they
have fulfil their potential as a person. This will imply the feeling of taking steps towards saving
environment and will help them to lead a sustainable life.
Communication objective
Communication objective of Hyatt Hotel will be through advertising on television, social
media platforms and direct selling. Hierarchy of effects presents advertisers with stages
consumers went through. It involves awareness which is the vital step and initial point of buying.
Businesses ensures that customer are aware of their existence in certain segment. Next is
knowledge where a commodity is analysed with other brands by users and businesses that
affirmative knowledge is available about the commodity. Next step is liking where a user
develops liking to a certain product. Next is preference where a customer is convinced to try out
a brand's product. And the last step is conviction where the uncertainty in minds of customers
about purchasing a product transformed into action. The managers will focus on the awareness
level of Hierarchy of effects. The best communication objective suited for this product will be
advertising on social media platform as people uses it frequently. The word about Hyatt Hotel's
initiative of reusable straws will be spread more on social media. This will facilitate people to
know about the benefits of adopting this initiative and why they should also support this practice
of hotel. Spreading awareness will help the firm to start the entire process smoothly. This will
allows the firm to bring in the notice of more audience towards the brand (Mehrabi, Coviello and
Ranaweera, 2019). The promotional efforts Hyatt Hotel will deploy will be direct selling of
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reusable straws at their restaurant and will communicate more about the health benefits from
lemon flavoured mojito. This marketing is considered as pull marketing as it means
implementing marketing tactics in place and at exact position which will draw customers interest
to the offered products and services. The strategy of advertisement will build up demand for
reusable straws in customers. As the product is more environmental friendly, this will
automatically pull in more customers.
Cialdini's persuasion principle of marketing communication
Cialdini’s persuasion principle is used to boost the power of persuasion. There are
various rules which could be used by the individual to influence other people. This principle is
the one of the most crucial which helps the organisation to improve the effectiveness with the
help of various stages. This framework also helps to understand the behaviour of the individual
with the help of different stages. There are different principles to boost persuasion which is
mentioned below:
 Commitment and Consistency – In this the individual develops a self image and
consistent. There is a insignificant extent through which the person can become healthy.
It is the mentality to undertake various actions which helps the individual to work in an
effective manner. Hyatt group of hotels is launching the new product which is called
reusable straw. This will help them to attract different potential customers in the market.
By applying this principle the organisation can fulfil the demand of the customers. The
main focus is to implement the motive of becoming healthy. Reusable straw can
revolutionise the hospitality industry (Suh and Chow, 2021). Hyatt groups is able to
generate more profits in the market and achieve greater results in the future. The
organisation also needs to be consistent in providing the new products to the consumers
to achieve maximum customer satisfaction in the market. The organisation needs to be
consistent in order to provide the necessary products to the consumers. There are various
strategies which could be implemented in the workplace to successfully deliver the
essential products to the consumers. The management and the employees needs to be
consistent in performing the duties and work responsibilities. This will help the new
products to become successful in the market. The management can influence the decision
of other to improve the profitability of the organisation in the industry.
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 Authority – This is the third principle in the persuasion of authority. The individual
needs to be more authoritative in making the reliable decision . It helps in attaining an
effective growth in difficult situations. The management needs to create various effective
decisions while launching the products in the market and achieve great results in the
future. In relation to Hyatt group of hotels the new products can impact the organisation
performance in a positive way (Yang, Jiang and Xie, 2019). There are different new
opportunities on which the organisation can capitalise in the market. This principle in the
framework can help the management to become more precise towards their decision
making. They can involve the employees to take various suggestions and improve the
effectiveness of the new products in the market. The management needs rto understand
the want and desires of the customers to make the products more effective and
presentable in the market. Hyatt could generate more profits if the product becomes
successful in the market and able to attract various customers in the industry. The main
focus of the hotel group is to deliver a successful product to the consumer. The
organisation can also the target audience in providing the effective products to the
consumer.
CONCLUSION
From the information presented above, it has been concluded that marketing management
is a crucial business activity which needs to be implemented carefully in order to grab huge
market. This can be done by segmenting market on basis of psychographic and demographics
where firm can decide on what basis they wants to target the market. It allows firms to
effectively position the proposed product to get maximum attention. Marketing involves
communicating the idea to target customers through advertisement and spreading awareness
about the product.
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REFERENCES
Books and Journals:
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analytics for maximising return on marketing investments. Journal of Marketing
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corruption as the Left’s Žižekean fantasy. Journal of Marketing Management. 38(1-2).
pp.48-70.
D'Attoma, I. and Ieva, M., 2020. Determinants of technological innovation success and failure:
Does marketing innovation matter?. Industrial Marketing Management. 91. pp.64-81.
Dreyer, A. and Krüger, A. eds., 2018. Sporttourismus: Management-und Marketing-Handbuch.
Walter de Gruyter GmbH & Co KG.
Hackley, C., 2019. Qualitative research in marketing and management: Doing interpretive
research projects. Routledge.
Hunt, S. D. and Madhavaram, S., 2020. Adaptive marketing capabilities, dynamic capabilities,
and renewal competences: The “outside vs. inside” and “static vs. dynamic”
controversies in strategy. Industrial Marketing Management. 89. pp.129-139.
Mehrabi, H., Coviello, N. and Ranaweera, C., 2019. Ambidextrous marketing capabilities and
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Suh, T. and Chow, T. E., 2021. Developing a digital marketing tool for ethnic ventures' mixed
business model and market-shaping: A design scientific approach of web
demographics. Industrial Marketing Management. 93. pp.10-21.
Yang, Z., Jiang, Y. and Xie, E., 2019. Buyer-supplier relational strength and buying firm's
marketing capability: An outside-in perspective. Industrial Marketing Management, 82,
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Zahay, D., 2021. Advancing research in digital and social media marketing. Journal of
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