Hospitality Management Project

This project analyzes marketing concepts and their application in the hospitality industry, focusing on Thomas Cook. It examines the impact of the marketing environment, consumer behavior, market segmentation, and the 4Ps of marketing mix. The project also includes a market research study and an advertising campaign plan for a new classic package targeted at middle-class families in the UK.

Management in hospitality

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK1.............................................................................................................................................1
AC .1 concepts of marketing..................................................................................................1
AC1.2 Impact of marketing environment in industry............................................................1
AC 1.3 Relevance of consumer market in industry................................................................2
AC1.4 Different market segments..........................................................................................3
Task 2...............................................................................................................................................3
AC 2.1 4P's of marketing mix and how it is applied to Thomas Cook.................................3
AC 2.2 Pricing strategies and policies....................................................................................4
AC 2.3.....................................................................................................................................5
TASK 3............................................................................................................................................5
AC 3.3 sale promotional.........................................................................................................5
AC 4.1 Market research.........................................................................................................6
TASK 4............................................................................................................................................7
3.2 Advertising campaign.......................................................................................................7
4.2 Undertaking market research............................................................................................7
4.3 Suitability of different media............................................................................................8
4.4 Implementation of the marketing plan.............................................................................8
Conclusion.......................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
This project contain discussion about different concepts used by hospitality management
for marketing further it discuss about impact of micro and macro factor of economy in industry,
relevance of consumer market in industry, advantages and disadvantage of consumer behaviour,
different market segments, 4p's of marketing mix and how it is applied to Thomas Cook,
pricing strategies and policies, sale promotional activities, public relation used as promotional
tools, market research, classic tour package for middle class family in UK. primary and
secondary research used in products, suitability of different media in marketing and
implementation of plan.
TASK1
AC .1 concepts of marketing
Marketing is activity that is associated with buying and selling of products and services. It helps
to satisfy needs and want of customers (Lovelock and Patterson, 2015). This process includes
selection, designing of products, after designing price of product is determined, and further
goods are delivered to customers.
Some concepts of marketing are as follows:
Product concept: this concept helps to understand different dimensions of product. They spend
lots of time to investigate, so that they can target particular group of people (Goworek,
McGoldrick and McGoldrick, 2015). This concept is based on idea, that customer prefer quality
products.
Selling concept: customers will not buy product of any company unless they make efforts to sell
it in market. They should focus on selling and promoting of products for marketing success.
Marketing concept: this concept helps to analyse needs of customers and make efforts to full fill
their needs. this concept is adopted by many firms (Kotler, Harker and Brennan, 2015)
Societal marketing concept: It suggests that society interest should be considered before
making any marketing decisions.. This strategy focus on long term interest of company.
AC1.2 Impact of marketing environment in industry
Micro factors
Competitors: this is one of the important factors that company should consider; industries are
growing on large scale. Initially, any firm will have to face competition from existing firm.
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Customers: An enterprise must satisfy demands from customers (Brown, 2016). Every
business conducts research study to analyse behaviour of customers and offer products according
to their needs.
Suppliers: a company can deliver goods only if suppliers are willing to supply that product. To
operate in efficiency, balance between demand and supply of product should be maintained.
Macro factors
Political factors: political factors mean government rules and regulations that are
uncontrollable. Change in these factors can adversely affect any firm and if they want to
minimise the effects of such changes then to analyse environment study should be conducted
Economic factors: this factor consists of inflation, deflation, exchange rate, currency exchange
rate etc. this factor plays an important role in growth and development of company.
Technological factor: These factors depend upon change in technology. Technology change
according to need of society, these changes can adversely affect business environment. It helps in
increasing productivity of business, minimises cost and distribute cost (Shaw, 2016 ).
AC 1.3 Relevance of consumer market in industry
Consumer behaviour is the study of an individual and all the activities related to purchase of any
product. It is a way to analyse consumer’s attitude that may response emotionally, mentally or
behaviourally.
Here are some advantage and disadvantages of consumer behaviours:
Advantages
 This helps to satisfy consumers by designing products according to their demands.
 To decide that weather the product will be easily available to customer.
 The price which consumer is willing to pay is also decided by this.
 This helps to find out the best process of promotion to attract public.
 To understand the factors that will influence buying decisions of customers.
Disadvantage
 Inconsistency is one of the biggest disadvantages because consumer-buying products
according to their behaviour will not apply same process in every product.
 Sometimes buyers have limited interest in the decisions regarding purchase of product.
People with less interest in product, spends less money in buying it (Malhotra and
Peterson, 2014).
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 Marketers spend time in interrupting consumer buying behaviour of consumer. They
understand that buyers get influenced by social and cultural behaviour.
 Consumers are exploited because manufacture take full advantage of their weakness.
AC1.4 Different market segments
Marketing segments means dividing group of people in different segments or groups so that they
can easily target people for selling their products.
Here is a brief description about common forms of market segments.
Geographical segments: in this, segment market is divided according to geographical criteria.
This criteria consists of country, region, popularity, climate, city, etc. that is widely used in
marketing
Demographic segmentation: in this segment, consumers are divided according to demographic
variables. In this, consumers are more loyal as company focuses on their needs and demands.
The collection of data in this segment is very lengthy and expensive (Strauss and Frost, 2016).
The market is divided according to age, income, gender, occupation, etc.
Psycho graphic segmentation: this divides market according to personality, attitudes, value,
and interest of people. The main advantage of this segment is that it focuses on design of
product. This is the most commonly used segmentation because it helps in better understanding
of customer’s interests.
Behavioural segmentation: this helps to divide markets according to actual behaviour of
consumers. This segmentation is superior as compared to demographic and geographic
segmentation. This create loyal customers, because company design product according to their
behaviour Producst are designed according to customers, as rseult they will not switch brand and
this will increase there loyality towards brand (McDonald and Wilson, 2016).
Task 2
AC 2.1 4P's of marketing mix and how it is applied to Thomas Cook
Marketing mix is one of the important tools that help in creating strategies about market. This
plays an important role in deciding products and further, it helps in deciding price of product and
place where product will be available. Thomas Cook also apply this marketing strategy in
company
Product mix: product can be tangible as well as intangible. To introduce new product in
market, various factors should be considered, this study help to analyse all factors. After factors
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are analysed, company can launch new products considering all necessary factors. Thomas cook
is also very committed towards providing the best services to their customers.
Price mix: price of the product is the amount that customer is willing to pay. If a company wants
to make profits, then price of product should be above cost. Sometimes, price of any product or
services depend upon demand of product (Scott, 2015). Thomas Cook decides price of tickets
by considering their customers’ demands and cost of tour.
Place mix: where products are made available to customers it is known market place for that
product. Company should decide place which is convenient for their customers. Thomas Cook
makes tickets available according to convenience of travellers.
Promotion mix: this mix is used by company when they want to introduce new product in
market. As product is newly launched, it needs to be promoted. Thomas Cook is a travelling
agency, if they organise any new tour, they will promote it.
AC 2.2 Pricing strategies and policies
Strategies and policies are used by firm to sell products To maximise profits, price of
each product should be more than production cost (Lusch and Vargo, 2014). Price of product
help to identify standard, which firm set for there customers.
Thomas Cook follows some of the pricing strategies which are as follows: Pricing at premium: firm targets price which is higher than their competitors’ price. This
strategy is useful at earlier stage of production cycle. Thomas Cook decides price of
product according to competitors present in market
 Pricing for market penetration : in this strategy, producer offers their products at lower
price so that it attracts attention of buyers. This strategy is generally used by new venture
for establishing their products in market. Thomas Company has used this strategy when
they were new in market. Economy pricing: this strategy is commonly used by business. Some customers are very
conscious about product’s price (Bamossy and Solomon, 2016). The main target is to
reduce cost of production. This is very effective for large companies like Thomas Cook,
they offer economic price for ticket.
 Price skimming: this strategy helps increased sale of new products. They offer products at
lower price, buyers get attracted and buy product. Thomas Cook uses this strategy to
decide the price of new trip which they offer to customers.
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AC 2.3
TASK 3
AC 3.3 sale promotional
It is one of the element of promotional mix. This is link between selling and advertising of
goods and services (Ryan, 2016). It help to increase sell of product by spreading awareness about
product in public. Five type of sale promotion are given bellow.
 By offering attractive discounts on products company can increase sale. Company should
not offer discount on regular basis. Company should consider discount according to net
earning of company
 Company can offer facilities of free return and free shipping. If a customer is not satisfied
with services, then product can be returned or exchanged without any charges. This
strategy also help in sale promotion.
 Brand can offer some hampers or scratch cards to customers, this will attract more buyers
and they will try products. Customer will get opportunity to earn gifts vouchers and
everyone love free gifts. This is one of great sale promotion technique.
 Loyalty points can be offered to customers (Lovelock and Patterson, 2015). They gain
point whenever they buy something from brand. These points can be redeemed on
demand of customer. This help to maintain loyalty of customer towards brand.
b) public relation used as promotional tools
public relations are used to create positive image of company in media. Here are some ways in
which public relation can be used as promotional tools in hospitality.
 Press release: in this entrepreneur or businessman make official announcement about
product in front of media. Statement of entrepreneur is written or recorded, and then it
published in newspaper or television as news feed.
 Social media: company can use social media to promote there product. Promotion can be
done by posting the content that contains information about product.
 Publications: you can give detailed description about new product in publication. Large
number of audiences read news paper on daily basis, this is effective way to promote
product (Goworek and McGoldrick, ., 2015).
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 By giving advertisements on search engine, generally public use these engines to find
information about different products. Website of company should appear high on search
engines.
AC 4.1 Market research
Market research help to analyse how successful will be product in market. Here are some
importance of market research: identify problems and opportunities in market: it help to identify opportunities by
analysing market situations for new as well as existing products formulation of marketing strategy: market have become global, there are large
competitors existing this world. Business environment continuously change, in this
situation it become very difficult to understand need of customers (Brown, 2016).
 Determination of customers want : business environment is dynamic in nature it change
according to situation .customers wants are unlimited and it is very difficult determine
which product will satisfy them. Improvement in selling activities : research help to understand performance of company.
It help in identifying segments in which product should be sold. It provides alternative
methods for distribution of goods ( Armstrong and et.al, 2015).
 Future forecasting :this help to forecast market situations using different tools. marketing
plans are made according to result of research (Shaw, 2016).
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TASK 4
3.2 Advertising campaign
There are various types of campaign which can be used by Thomas Cook that helps to
introduce a new service or product in the market effectively. This will be providing mid-range of
classic services or packages for the middle class people according to their affordability.
Promotional activities for services should be done in an effective manner in order to
communicate with the most prospects who are interested to buy them. In addition to this, the
campaign will be based on different media coverages such as television, print media and social
media platform. In respect to this, social media platform will be the best platform for firm in
order to provide information regarding their product or service launched in the market (Torres
and Mejia, 2017). It is a promotional activity which does not require any kind of huge investment
in today's world. It is analysed that everyone in this generation using social media and all the
latest and updated news is upgraded here effectively. Print media and television are also some
best examples of this but they are more expensive as well as consumes time for business. These
are the traditional methods and very limited people are able to see the advertisement on
newspaper.
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Thus, the platform of social media will help to spread services offered by business at a
large scale. This will attract new as well as existing customers in the market.
4.2 Undertaking market research
It can be said that there are number of services offered by business in the market towards
customers related to tourism which are also essential, cost effective, classic and top range of
comprehensive packages effectively. These are some particular services provided by firm
including insurance benefits as well for the customers around the world and worldwide
efficiently. The market research is based on primary and secondary data collection techniques is
used to collect information and data from different sources. In this, there are 10 respondents are
gathered as a customer of Thomas Cook. A market research is conducted that the firm is
launching a new product related to the mid range of middle class people in terms of classic
package. The market research questions are based on a process of questionnaire in order to carry
the best outcomes.
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 What are the quality services and products offered by business to customers.?
 What is the age group segmentation of using these services.?
 What is their frequency according to their purchasing behaviour.?
 What is the satisfaction level of consumers after using the product and services offered by
firm.?
 What will be the new target market for Thomas Cook.?
4.3 Suitability of different media
There are different ways from which Thomas Cook is able to deliver information
regarding their new service launch which is a classic package for middle class people.
Internet: There are number of people using internet services that social media platform on
internet is one of the most effective platform for business in order to promote their new service
to customers effectively (Harrington, Ottenbacher and Fauser, 2017). The firm can easily
promote their service on social media platform so that everyone can easily receive information
and other crucial offerings.
Print media: Print media is also an effective technique or source which can be used by business
to promote their new service launch effectively. Magazines, newspapers and other print media
platform will help to deliver information t=regarding new service launch by firm in the market.
E-mail: E-mail is an internet service commonly used by people age between 15 to 60. it can be
described as an indirect platform or connection between business and customers through which
the firm is able to provide new service launch information effectively.
4.4 Implementation of the marketing plan
Gathering and analysing information: Collecting information will help management to
determine areas with problems as well as areas which requires improvement or development.
This will help to change business strategy in order to make effective marketing plan (Mohammed
and Rashid, 2016).
Adjustments: Adjustments are necessary for business in order to improve campaign such as
social media platform during the exhibition. This will help to enhance interaction and will also
establish frequency and presence.
Focus on top customers: Top customers are those who are using services consistently and
regularly. It can be said that it is better to have 20% people who can bring remaining 80% sales
instead of 80% people which brings 20% sales effectively.
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Finding opportunities: Opportunities comes from innovation and it is required for every
marketing plan to grab opportunities in order to receive positive outcomes (Ling, Liu and Wu,
2017). This will help to point towards the right direction and keep cutting the edge of marketing.
Conclusion
This project concludes that in marketing process it very important to have concepts like product,
marketing, selling. There are different macro and micro factors that affect business environment
of industry. Market segmentation target particular segment of people and try to sale product in
that specified segment which increase sale of company. Marketing mix is very important for new
product. It consist of 4p's price, product, place and promotion. Market research help in analysing
market situations and result of these analysation can be very useful for development of company.
Research can be complete in two basic ways primary and secondary. This project contain all
relevant discussion regarding marketing.
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REFERENCES
Books and Journals
Armstrong, G., and et.al 2015. Marketing: an introduction.
Bamossy, G.J. and Solomon, M.R., 2016. Consumer behaviour: A European perspective.
Pearson Education.
Brown, S., 2016. Postmodern marketing: dead and buried or alive and kicking?. In The
Marketing Book (pp. 43-58). Routledge.
Goworek, H., McGoldrick, P.J. and McGoldrick, P.J., 2015. Retail marketing management:
Principles and practice. Harlow, UK: Pearson.
Lovelock, C. and Patterson, P., 2015. Services marketing. Pearson Australia.
Lusch, R.F. and Vargo, S.L., 2014. The service-dominant logic of marketing: Dialog, debate,
and directions. Routledge.
Malhotra, N.K. and Peterson, M., 2014. Basic marketing research. Pearson.
McDonald, M. and Wilson, H., 2016. Marketing Plans: How to prepare them, how to profit from
them. John Wiley & Sons.
Ryan, D., 2016. Understanding digital marketing: marketing strategies for engaging the digital
generation. Kogan Page Publishers.
Scott, D.M., 2015. The new rules of marketing and PR: How to use social media, online video,
mobile applications, blogs, news releases, and viral marketing to reach buyers directly. John
Wiley & Sons.
Shaw, S., 2016. Airline marketing and management. Routledge.
Strauss, J. and Frost, R.D., 2016. E-marketing: Instructor's Review Copy. Routledge.
Torres, E.N. and Mejia, C., 2017. Asynchronous video interviews in the hospitality industry:
Considerations for virtual employee selection. International Journal of Hospitality
Management 61 pp.4-13.
Harrington, R.J., Ottenbacher, M.C. and Fauser, S., 2017. QSR brand value: Marketing mix
dimensions among McDonald’s, KFC, Burger King, Subway and
Starbucks. International Journal of Contemporary Hospitality Management 29(1)
pp.551-570.
Mohammed, A.A. and Rashid, B., 2016. The Moderating Influence of Internship Program on the
Relationship between Undergraduates’ Perception and their Intention to Join Tourism and
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Hospitality Industry: A Theoretical Model. International Review of Management and
Marketing 6(2) pp.317-321.
Ling, Q., Liu, F. and Wu, X., 2017. Servant versus authentic leadership: Assessing effectiveness
in China’s hospitality industry. Cornell Hospitality Quarterly 58(1) pp.53-68.
Lovelock, and Patterson, , 2015 Goworek,., McGoldrick, and McGoldrick, ., 2015 Armstrong,
and et.al, 2015 Brown, 2016.Shaw, 2016 Malhotra, and Peterson, 2014. Strauss, and Frost,
2016.McDonald, and Wilson., 2016Scott, 2015 Lusch and Vargo, 2014.Bamossy and Solomon,
M.R., 2016Ryan, 2016.
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