(Doc) Marketing Management Solution Assignment

MANAGEMENT

Table of Contents
INTRODUCTION ..........................................................................................................................2
Internal and external marketing environment ........................................................................2
Positioning map and STP strategy .........................................................................................5
Justification of smart objectives ............................................................................................7
Marketing mix .......................................................................................................................8
Recommendations................................................................................................................10
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Management can be defined as a process of controlling things and individuals efficiently.
Marketing management is also a procedure of planning and executing the pricing, promotion and
distribution of services to satisfy customers. This present report is based on Travelodge hotel and
hospitality industry. Travelodge is the cheapest hotel chain that offers several services and value
for money (Travelodge Hotel, 2019). It is the second largest in the UK budget hotel sector in the
context of number of hotels and rooms as well. This study of management is going to show about
increasing importance of marketing plan. In marketing planning internal and external marketing
analysis plays an important role as it helps the hotel in accomplishing its goals by analysis all
those factors that have positive and negative impacts. It will also discuss segmentation, targeting
and positioning strategy that supports Travelodge hotel in attracting targeted customers and
increasing sales. Further it will also show all elements of marketing mix of this hotel like
products, price, place of selling products etc.
Internal and external marketing environment
As a marketing manager it is important to make an effective marketing plan. Marketing
plan consists of all steps and functions that need to be carried out for making marketing functions
successful as well as attract wider range of customers towards buying services of an organization
(Kotler and et.al., 2015). As a marketing manager of Travelodge, a chain of budget hotels, it is
required to analyse marketing environment in order to identify all those factors that can have
positive as well as negative impacts on organizational functions.
Internal marketing analysis:
Internal marketing environment consists of company's strengths, weaknesses,
opportunities and threats that can help them as well as hinder their activities and marketing plan.
Internal marketing factors of Travelodge are being described as follows:
Strengths: Strengths refers quality and skills of doing something in an effective manner. Some
strengths of Travelodge hotel includes:

 The main strength of Travelodge hotel is it offers affordable family and double rooms
along with special offers.
 For attracting wider range of customers it runs programs for its premium customers that
is the best way for a budget hotel to increase brand image.
 It is the 2nd largest discount hotel chain in UK that has approximate 380 branches in the
UK.
Weaknesses: Weakness refers a condition that make a person and an organization weak which
make them unable to do something in an efficient manner.
 The main weakness of this hotel is it does not equip with its all customers' with a whole
range of services and products because it does not provide concierge and room services.
 It also implements overbooking policy which dissatisfy customers as they have to wait
for confirmation of their booking (Kuo and et.al., 2016).
Opportunities: Opportunity refers circumstances that makes possible to do something.
 This hotel tried to make its business eco-friendly and sustainable that gives it opportunity
to maintain a positive image.
 It has an opportunity to go global and expand its business and gain more profit.
Threats: It refers a thing and situation that can cause damage.
 There are several competitors in the hospitality sector that provides attractive services to
customers and it is the main threat for Travelodge hotel.
 Immigration policy and terrorist attacks in UK is also a threat because it can decrease its
sales and profitability.
External marketing analysis: External marketing includes political, social, technological,
economic and environmental factors of UK and all countries in which Travelodge hotel operates
and have branches.
Political: It is stated that employees are demanding excellent working conditions and
safety at workplace by which current legislations has made changes and standards are kept high.
These changes in legislations increase the overall cost of the company. Government charges and

tax on the luxury category of hospitality industry have several impacts on its operations.
Terrorism attack is other main factor of political in UK that also has negative impacts on its
functions (Arif and Hossin, 2016).
Economic: It is stated that budget hotel is ideal for most tourists as it grew up to 5 %.
Budget hotels are in demands in UK that attract wider range of tourists. Tourists is one of the
main source of increasing economy. Some factors like inflation rate, monetary policy and
interest rates has positive impacts as budget hotels can be viewed as an inferior good.
Social: UK is now ageing population as it is reported that approximate 10 million people
are over the age of 65. These ageing population has a new type of demand with lower prices. It
has negative impacts on Travelodge as it can decrease their expected sales as well as profitability
(PESTLE analysis, 2014).
Technological: Advanced technology has several positive impacts on its functions and
operations of Travelodge hotel. For example, making an effective use of CCTV cameras and E-
mail save time of the hotel as it can send mails and any type of message to customers. CCTV
cameras increase security and protection of staff and customers. With the help of online booking
and uses of technology, customers can save their time and money.
Legal: Legal factors refers money that a person is paid by the company. Employment law
like minimum wage, sick leave act impacts on the performance of this hotel. Recent changes in
employment law and legislation forces Travelodge hotel to comply with safety and health
legislation. They also have to give equal opportunity with employment that can decrease
discrimination within an organization.
Environmental: Due to usage of air conditioners and excessive water in rooms,
Travelodge increases carbon emission. It requires appealing to its environmental conscious
customers and present its hotel as being friendlier. So, it can be said that its activities and
increasing demand of environmental friendly services can have several negative and positive
impacts on its operations (Bigley, 2018).

Positioning map and STP strategy
STP strategy plays an important role in marketing planning and activities. It helps
marketing manager to reach and get to right and potential customers and attract them towards
buying products and services of the hotel. Travelodge can identify its current market position as
well as effectively use it's all marketing resources in order to make better strategic marketing
decision.
Segmentation: Segmentation refers to the differentiating the current customers along
with market into different categories based on the prevailing common characteristics. Hence, the
company travelogue has identifies the income section into demographic segmentation(Hyun and
Perdue, 2017). The company is usually targeting the low income customers and casual travellers
at the beginning. The company has identified itself as he budget hotel as trying to provide
reasonable hotel along with good service at reasonable prices. Companies is to target the low end
or income customer . The company used to believe the low income customers are tended to be
more loyal as they have the limited choices due to higher switching cost. With the help of
segmentation company can easily identify the potential customer and develop the marketing plan
according to term and condition rewarded by customers.
Targeting: Whereas in targeting it refers to have the decision regarding the company's
potential customers. The company is targeting the people between the age of 20-50 years. The
company is having the traditional way of the accommodation for attracting the customer. The
company is basically targeting with sensitive discount offers which leads to promotion of the
company among the targeted market(Verma and Verma, 2017). For attracting wider range of
customers it runs programs for its premium customers that is the best way for a budget hotel to
increase brand image. Company will use the digital marketing as the most effective channel for
promotional activity to meet the demand of globalization. Travelogue hotel in attracting targeted
customers and increasing sales. Further it will also show all elements of marketing mix of this
hotel like products, price, place of selling products etc.

Positioning: It refers to the decision of how the company have compared the products
among the competitors , its values and the various advantages. Travelogue position to be couple
friendly hotels along with facilities for babies. The main strength of Travelogue hotel is it offers
affordable family and double rooms along with special offers. As family used to have additional
services and amenities for the accommodation of their children such as the baby station,
additional beds and playground for kids. The company has positioned itself as the hotel to cater
the specific needs such as family room, double room along with facility of super room. Proper
positioning of the product create the brand image in the mind of customers. The company turned
out to be the preference for the company in the choice among various customer(Kim and et.al.,
2016). The company target the low income customer between the age of 20-50 years, so they
turned out to be loyal customers and brand loyal to the company.
Positioning map
It is the diagram representation of the basically drawn to illustrate the perception of customer
regarding the business on the bases of price,quality and other products benefits as how the

perception has the comparison against the competitors. Travelogue is the company places at the
quadrant of high quality and low price. The company is placed in the quadrant of high quality
and low cost as company has targeted the low income customers and casual travellers. The hotel
tried to make its business eco-friendly and sustainable that gives it opportunity to maintain a
positive image(Moore, 2017).
Justification of smart objectives
Smart objective refers to the accurate and efficient business goals of an organization that is
needed to be achieved by the hotel travelogue in upcoming 3 years to ensure its profitability and
effectiveness in competitive environment along with effectiveness and efficiencies. The more or
less there is the idea behind for development of setting up the objective to be SMART. There
used to be had a practical implication regarding how to set the goals so that it should be clear to
everyone.
There is use of word SMART represents the letters which corresponds to each element for the
smart goal of business. The goals should be-
Specific- there must be something unique in the goal which be opposite to general. It should be
detailed about the specific the organization want to arrive. The goal should be properly
understandable and unique in terms of company.
Measurable- When it is about measurable it not only define a particular measurement or a
specific number to be achieved but also that its objective can be ascertained objectively.
Attainable- Say it achievable or attainable. It means the goal should be in limit or company to be
achieved. It should not resonate with any hypothetical situation. Along with it also contains
about the resources need to accomplish goal(Toffler, 2016).
Relevant- This means that the goals should be realistic in terms of age expectation for
performance or the development of professionals.
Temporal- This feature refers to the time period required for the completion and achievement of
the goals.

So the objective for company for the next 3 years which will help in the contribution in the
growth and development of company will be-
1.To open 10 new hotels by the end of 3 years in 5 different countries at large level.
(this objective in specific, measurable and temporal)
2.Increase the revenue by 20% by the end of two year.
( the objective is specific, measurable and attainable.)
Marketing mix
It is a strategy that help the businesses in covering all the areas for marketing the companies
product. The objective of Travelodge is to ascertain a 'mix' for their products & services, that
satisfies customer's demand and needs and maintains firms unique position in the
market(Išoraitė, 2016).
Product:- Product element of marketing mix consists of all the tangible goods and
services that a company offers. Travelodge is offering accommodation and respective services to
their guests. The products of Travelodge consist of fully furnished double room & family room
and in addition to that their are limited range of services available to the customer's such as WiFi,
room services and reception. As Travelodge is a budget hotel it's infrastructure matches the
standards and is suitable for short stay. The company should make some improvements in their
facilities and services as some regular occupants of hotel are businessmen. So the company
should cater to their needs like Travelodge family rooms.
Price:- Price is the worth that a product or service possess. Travelodge company is
committed towards the customer's and they believe in providing best services at cheapest rates.
The company intends to target low income group customer's. It uses competitive promotional
programs that include exceptional offers on early bookings & some special deals. This further
reduced the companies prices and let the customer's enjoy this gives a boosts to customer
demand(Stead and Hastings, 2018). The price of the company's product are according to the
spending power of lower & middle class people.

Place:- This element of the mix consists of distribution of a product or service and finally
making it accessible to the market I.E. the final consumer. The place should be convenient and
easy to find for the customer's or it can be near airports or can be on romantic view, a lake side
river front to make it more appealing for the customer's so that they choose the company. But
unlike other luxury hotels who can afford to situate at strategic and expensive locations, budget
hotels are backed with limited choices when they are searching for locations. For Travelodge
hotel areas like at the entrance of city are suitable.
Promotion:- This component of marketing mix involves strategies of communication
that are linked to the marketing of the product or service. It includes elements like advertising,
personal selling, sales promotion and publicity. To appeal and attract customer's in new market
segment, advertising is most suitable form(Bagozzi and et.al., 2018). For budget hotels strategies
like offering discounts & giving special offers is always beneficial as price is an crucial factor for
Travelodge's chosen market segment.
Process:- Process is an incorporated buying exposure. It involves the process of prime
segment to contact with the customer's through networks & websites, to distribution of good &
services. But this is not the end, it also includes after sale services and maintaining relations with
the customer's even after their purchase. Travelodge ensure that all their hotels are providing
same process wide across in the company, by insuring that their customer's are taken care
properly that the layout looks similar. The company makes sure that they their customer's are
receiving same services across the hotels and that they are providing right services.
Physical Evidence:- It is a evidence that the customer's sees when they come into
Travelodge. The staff in proper uniform, everything used is of good quality, it can be different in
different hotels. Physical Evidence includes the contacts of the Hotel across the world.
Travelodge being a budget hotel is tied to few hotel booking chains to increase it's reach in the
market(Chernev, 2018). The hotel collects feedback's from the customer's to improve their
products and services.

People:- It includes the targeted people and people that are related to business. The hotel
business depends on the loyal customer's. Therefore to maintain the loyalty, the hotels need to
improve it's products & services, hire qualified staff to improve the image of the hotel. Targeted
customer's are the businesses decision maker of the Hotel, so to maintain the customer base the
hospitality services need to enhance their services(Haider and et.al., 2019). Travelodge runs
support desk, customer services and also organize various entertainment events for the
customer's are some strong point for their success.
Recommendations
Travelodge should start providing more comforting facilities to their regular customer's
that are businessmen. The company can open new rooms facility like Travelodge's family room,
Travelodge's double room and Travelodge's super room. This will satisfy the needs and wants of
the customer's and they will not try to shift to other hotels. The company is already giving offers
that attract the customer's. Offering discounts on some occasions will be more beneficial for the
company. For promotion, the rise of internet and global processes is fastly increasing,
Travelodge should use digital marketing which is one of the most effective channel of promotion
to reach to customer's globally. It will let more people know about the Hotel, so that they can get
influenced to visit once. Making social media appearances is trending in today's world and is the
best, time saving and cost saving way to promote a company's product. For making it suitable for
the customer's, Travelodge should open the Hotel at entrance of the town or city. The Hotel
should organize more fun events or can give it on rent to generate extra profits.
CONCLUSION
From the above study it has been summarized that marketing functions as well as
marketing planning played a vital role. It helped hospitality industry in accomplishing their pre
determined goals and attract wider range of customers. It has included internal and external
marketing environment analysis. With the help of internal and external marketing analysis or

SWOT and PESTLE analysis, hospitality industry has taken appropriate decisions and made
changes in its marketing strategy. It has also shown the importance of STP as with this help, an
organization attracted its target customers and identified its market position. Objectives pushed
company to do better and improved all strategies. Lastly, this report has discussed each element
of marketing mix like products, pricing strategy, people, physical evidence etc. All these
analysing models helped an organization in expanding business and increase brand image.

REFERENCES
Books and journals
Arif, T.M.H. and Hossin, M.Z., 2016. A comparative analysis of internal and external
environments between Hotel Hyatt, UK and Hotel The Cox Today, Cox’s Bazar,
Bangladesh. IOSR Journal of Humanities and Social Science. 21(6), pp.13-22.
Bagozzi, R.P., and et.al., 2018. Marketing-Management. Walter de Gruyter GmbH & Co KG.
Bigley, J., 2018. Assembling frameworks for strategic innovation enactment: Enhancing
transformational agility through situational scanning. Administrative Sciences. 8(3), p.37.
Chernev, A., 2018. Strategic marketing management. Cerebellum Press.
Haider, A. A. and et.al., 2019. Marketing Management.
Haider, A.A., and et.al., 2019. Marketing Management.
Hyun, S.S. and Perdue, R.R., 2017. Understanding the dimensions of customer relationships in
the hotel and restaurant industries. International Journal of Hospitality Management. 64.
pp.73-84.
Išoraitė, M., 2016. Marketing mix theoretical aspects. International Journal of Research–
Granthaalayah. 4(6). pp.25-37.
Kim, J., and et.al., 2016. Application of construal-level theory to promotional strategies in the
hotel industry. Journal of Travel Research. 55(3). pp.340-352.
Kotler, P. and et.al., 2015. Marketing. Pearson Higher Education AU.
Kuo, C.M. and et.al., 2016. SMART SWOT Strategic Planning Analysis: For Service Robot
Utilization in the Hospitality Industry. Consortium Journal of Hospitality & Tourism.
20(2).
Moore, J., 2017. Setting SMART objectives. Headteacher Update, 2017(6). pp.14-14.
Stead, M. and Hastings, G., 2018. Advertising in the social marketing mix: getting the balance

right. In Social Marketing(pp. 29-43). Psychology Press.
Toffler, A., 2016. Writing SMART, short-term outcome objectives.
Verma, M. and Verma, K., 2017. Social Media a Promotional Tool: Hotel Industry. Journal of
Advances In Humanities. 5(1). pp.221-223.
Online
Travelodge Hotel. 2019. [Online]. Available through:
<http://research-topics.blogspot.com/2011/09/strategic-analysis-of-travelodge-uk.html>.
PESTLE analysis. 2014. [Online]. Available through:
<https://uweassignment.wordpress.com/2014/02/15/macro-analysis-for-business-
economically/>.