Marketing and Customer Retention

This document discusses marketing management philosophies, principles of marketing, corporate social responsibility, and ethics. It also explores the promotional mix and integrated marketing communications strategy. Additionally, it provides a marketing plan for Naturist Restaurant, a specialized restaurant in London.

Marketing and Customer
Retention - (A2)

Table of Contents
INTRODUCTION...........................................................................................................................3
1. Marketing management philosophies and examples of the principles of marketing, corporate
social responsibility, and ethics...................................................................................................3
2. Promotional mix and integrated marketing communications strategy....................................6
3. Marketing Plan for Naturist Restaurant...................................................................................8
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Marketing can be defined as a set of practices that are aimed at promotion of buying and
selling of product and service of an organisation. Process of marketing activities involves
understanding customers, creating products and services as per their desires and requirements,
communicating with potential customers in target market. This process later involves selling of
the products and after sale services are also part of marketing activities. This report will
contextualise Hilton Hotel on Park Lane, global brand of full-service hotels and resorts and the
flagship brand of American multinational company, Hilton. Hilton was founded in 1919 and is
headquartered at Virginia, US. This report also involve development of marketing plan for a
proposed organisation named Naturist Restaurant, an organisation that specialises in natural and
organic food and beverages.
1. Marketing management philosophies and examples of the principles of marketing, corporate
social responsibility, and ethics
Marketing management Philosophies
Marketing management Philosophies are the all encompassing process of the company. It
include the all activities from production to distribution of goods and everything in between
(Garg and Berning., 2020). A Hotel Hilton may not focus on all of their activities, but they can
choose some particular marketing philosophy like product concept or selling concept to take
competitive advantages in the market where they are operating their business. Marketing
concepts are driven by clear objectives like cost efficiency, product, customers needs and quality
of the product. Here are 5 marketing philosophies
Production concept
This concept works the basis of assumptions that consumer prefer a product which is
inexpensive and available easily in the market. In this concepts Hotel Hilton should focus on
producing more of its products and making sure that it should be available to customers easily.
Product concept
The product concept totally work on the basis on assumption that buyer prefers products
of grater quality and price and availability doesn't influence their purchase decision. Hence

Hotel Hilton have to put most of their times in developing or improving their product quality
which usually turns out to the highly expensive.
Selling concept
This concepts usually focus on the marking an actual sale for the Hotel Hilton's products,
regardless of the quality of the product or the need of the customer (Gupta and Nair., 2020). If
Hotel Hilton use this concept then they have to focus on selling more than creating relationship
with their customers.
Marketing concept
In the marketing concept companies try to identify the needs and demand of the
customers from the market researcher. After collecting the necessary information they advertise
their product and services to the desired customers and fulfil their demand.
Societal marketing concept
this philosophy focuses on society’s well-being as well. The business focuses on how to
fulfil the needs of the customer without affecting the environment, natural resources and
focusing on society’s well-being (Kotler., 2019). Hotel Hilton can also use this philosophy by
working toward the society and providing helps to the people who are suffering from the
problems.
Principles of Marketing
Principles of marketing are those principles that guide marketing activities and their
decisions. Mainly there are 4 principles of marketing, that are-
Product
Product of Hilton Hotel on Park Lane is their hospitality services. Hilton Hotel on Park Lane is a
full-service hotel in which their services are divided in different parts. These services are
accommodation, food and beverages, meeting and conference facilities, and other recreational
activities (Porral and Stanton, 2017). These products vary on different basis, for example
services of Hilton Hotel on Park Lane have its services are divided in form of 4-star and 5-star
hotels.
Place

This principle involves determination of decisions regarding place where buyer and seller meets.
This also is referred as process of bringing product and services to the customers. There are
different places where buyers and sellers can meet; these are offline and online places.
Organisations can choose either of the places to bring their product and services or can choose
both these places. For example- services of Hilton Hotel on Park Lane can be bought from online
and offline places. Concerned with place for Hilton Hotel on Park Lane customers can directly
book with its website, they can also book through different agents.
Price
This is another principle in which organisation needs to decide money that buyers will need to
pay for buying services of the organisation. Hilton Hotel on Park Lane has different strategies for
price in which its different services are sold at different prices. For example- Services of 4-star
hotel is different from 5 star hotel services. Pricing strategy of Hilton Hotel on Park Lane is
premium pricing strategy. This reflects luxury and value of the services of Hilton Hotel on Park
Lane.
Promotion
This principle guide different promotional decisions of the organisation in which they can make
promotional decisions based on their marketing objectives. This is another principle of marketing
that is based on promotional activities of the organisation. There are different ways in which
organisation can promote buying and selling of promotion (Tuten, 2019). This is Email
marketing, direct marketing, public relations and other marketing strategies. Organisations can
choose suitable promotional mix through which their marketing objectives can be fulfilled. In
relation with Hilton Hotel on Park Lane, it utilises direct marketing, digital marketing and
advertisements.
Corporate social responsibility
Corporate social responsibility is a self-regulatory framework through which organisation
can contribute in social objectives and goals. Through corporate social responsibility
organisations can contribute in improving society in some particular way. There are several
factors involved in corporate social responsibility and organisation can also utilise their CSR

practices for improving their image through their marketing activities. Organisations creates job
and employment opportunity for people, empower communities and safeguard environment
(Tarkang Mary and Ozturen, 2019). Every organisation in some manner contributes in attainment
of societal goals and objectives. Hilton Hotel on Park Lane also undertakes suitable practices for
corporate social responsibility, in this they are focusing on social impact, and environmental
impact. CSR practices that have been undertaken by Hilton Hotel on Park Lane are-
CSR aimed at making social impact
In this approach of CSR by Hilton Hotel on Park Lane, company is focusing on creating
opportunity for all their communities, creating market access for local and diverse suppliers to
showcase local culture to guest (Noonan and Rankin, 2017). This means that organisation is
focusing on driving positive social impact. In relation with this they are taking steps across their
value chain and also focusing on fostering respect for all human rights. Strategies and practices
that are involved in this approach involve team member engagement, diversity and inclusion,
inclusive growth, promoting human rights and community investment.
CSR aimed at making environmental impact
This is concerned with protecting environment and preserving destinations in which
Hilton Hotel on Park Lane operates. In this approach different strategies and practices of Hilton
Hotel on Park Lane involves energy and carbon, water stewardship, reducing waste, driving
responsible sourcing. This means that through these practices Hilton Hotel on Park Lane is
reducing their contribution in environmental and also making additional efforts to improve
environmental conditions.
Ethics
Ethics can be defined as guiding principles on the basis of which organisation can determine
right and wrong practices that they are undertaking. Concerned with this Hilton Hotel on Park
Lane has well defined practices in its code of conduct that guide ethical behaviour of the
organisation. Additionally, Hilton Hotel on Park Lane has been recognised and included in the
list of most ethical companies (Dimitriou and Ducette, 2018). This is an important consideration
that suggests that practices of Hilton are highly ethical. Business ethics of Hilton Hotel on Park

Lane involves fair dealing, advertising and marketing, competition and antitrust, protecting
assets of Hilton Hotel on Park Lane, protecting and using information. These are some of the
points and practices that are involved in ethical business practices of Hilton Hotel on Park Lane.
2. Promotional mix and integrated marketing communications strategy
Integrated marketing communication strategy is a plan under which organisation integrate
and coordinate its different communication channels. Integration is aimed at providing a
consistent and clear message to target audience. This also ensures that different channels of
marketing communication are effectively linked with each other so that they can work together
in harmony. Hilton Hotel on Park Lane also ensures that its different communication channels
are effectively linked and complement each other. Marketing communication of Hilton Hotel on
Park Lane integrates print and media advertising along with sales promotion, PR and direct
marketing.
Promotional Mix of Hilton Hotel on Park Lane
This consists of different channels and practices that are undertaken by Hilton Hotel on
Park Lane in order to implement its promotion strategies. Promotional Mix of Hilton Hotel on
Park Lane is as follows-
Advertising
This is one of the most popular and effective marketing channel, this channel is aimed at
increasing visibility of product and service or brand in large audience and also these channels is
accessible to large audience. In this promotional mix Hilton Hotel on Park Lane utilises print and
media promotions to communicate its marketing message in its target segment. In its marketing
message Hilton Hotel on Park Lane appeals highest standards of service and perception of status,
achievement and recognition (Yang and Lee, 2016). This message is communicated through
different advertising channels and these channels involve newspaper advertisement, magazines
that are popular in its target segment and senior management professionals. Other than these
channels for print advertisements Hilton Hotel on Park Lane also utilises channels for media
advertisement in which advertisements of Hilton Hotel on Park Lane appears on selected
television channels. These advertisements also form of marketing campaign of Hilton Hotel on

Park Lane. Selective advertisement helps Hilton Hotel on Park Lane in maintaining its premium
image those only target high class customers.
Sales Promotion
This is another channel or element of promotional mix that is utilised by the organisation.
Sales promotion is a strategy or practice through which organisation can boost immediate sale.
This means sales promotion works as incentive for buying service of brand. Hilton Hotel on Park
Lane also utilise different sales promotions in form of loyalty programme in which it offers
discounts to its loyal customers. Other than discounts, Hilton Hotel on Park Lane also offers
digital check-in, free internet access, late check-out and few other services to its loyal customers.
Discount vouchers are also available on the website of Hilton Hotel on Park Lane; this is also a
form of sales promotion.
Public Relations
This is another element of promotional mix public relation (PR) can also be defined as
publicity, this is a popular strategy that is utilised in hospitality industry. PR involves sharing of
message or doing something that is newsworthy that are shared by channels with audience. There
can be different channels that organisation can utilise for its public relations marketing. Hilton
Hotel on Park Lane also utilise this strategy or promotional mix (Maulani, 2017). Channels that
Hilton Hotel on Park Lane utilise in this involve newsletter, collection of feedback from
consumers, organisation of event, press coverage and media relations. Through these channels
and Hilton Hotel on Park Lane maintain its public relations. Important aim of this strategy is to
gain attention of audience and leverages existing customers of Hilton Hotel on Park Lane.
Digital Promotions
This is another element of promotional mix in which Hilton Hotel on Park Lane utilises
different digital marketing channels for communicating with target consumer segment of the
company. These are different social media sites; website of the company is also an important
channel to communicate with target segment of the company. Other than this, Email marketing is
also utilised by the Hilton Hotel on Park Lane, in which it ensures satisfaction of customer’s
information need. Hilton Hotel on Park Lane use direct main as important channel to

communicate about holiday packages that are offered by different locations of Hilton Hotel on
Park Lane around the world.
Above discussion suggests that there are different channels of promotion that are used by
Hilton Hotel on Park Lane in order to ensure its effective marketing communication (Dalgiç,
Güler and Birdir, 2017). Channels are effectively integrated in which each channel of marketing
complement other channels of marketing through which Hilton Hotel on Park Lane communicate
with its target segment.
3. Marketing Plan for Naturist Restaurant
Executive Summary
Marketing plan is a can be as a document that involves different marketing decisions.
This marketing plan has involved vision and mission of Naturist Restaurant along with its
objectives. Followed by this it also defines and outline target market and activities of marketing
through marketing mix. Followed by this practices of monitoring and evaluation have also been
discussed in this marketing plan.
Overview of Organisation
Naturist Restaurant is a restaurant that is based in London, restaurant is specialised in
providing natural food prepared with natural and organic resources. This restaurant because of its
specialisation in organic and natural food and beverages is expensive.
Vision
“To be the first choice in terms of quality and taste”.
Mission
“To ensure quality of the food and also provide different verities in vegan food”.
Objectives
 To increase profitability of organisation by 15% in 2020-2021
 To increase online sales of food and beverages by 30% in 2020-2021

 To improve quality engagement of customers by 60% in 2020-2021
 To increase quality leads by 35% in 2020-2021
Segmentation, Targeting and Positioning
Segmentation
This is concerned with dividing customers in different in identical groups. This division is based
on certain common elements that are demographic characteristics (this includes age, education,
interest, social status etc.), psychographic, lifestyle, geographical and behaviour segmentation.
Among these segments, segmentation of Naturist Restaurant is based on demographic
characteristics and lifestyle characteristics.
Targeting
Targeting is also based on certain elements and these are profitability expected from
target segment, criteria size, accessibility of the segments (Camilleri, 2018). Naturist Restaurant
will target customers preferring healthy lifestyle and those who are vegan and prefer natural
food. This will also target high-class customers in order to reflect quality image of the Naturist
Restaurant. In terms of age, Naturist Restaurant has attractive food options for all ages of people.
In other words, Naturist Restaurant target high class customers and interested in vegan or prefer
natural food.
Positioning
Positioning strategy for Naturist Restaurant is product characteristics and customer
benefit positioning strategy that has will be implemented for Naturist Restaurant. Positioning of
Naturist Restaurant in target market is based product characteristics and customer benefits. This
is because product of Naturist Restaurant is aimed at serving needs of health conscious people in
its target market.
Unique selling proposition
Unique selling proposition can be said as one of the element associated with organisation
that differentiates its product and service from its competitors.

Unique selling proposition of Naturist Restaurant is that it provides natural and organic
food in different verities. This means that those products that are generally are not natural will
also be provided using natural products and vegan ingredients.
Situation Analysis
Strength
 Natural and health conscious food
 Effective verity of food available
 Online ordering services
Weaknesses
 Expensive food
Opportunities
 Increasing health conscious people
 Increasing number of online ordering of food
Threats
 Recession
PEST Analysis
Political
This factor involves impact of political situations on restaurant. In relation with this
stable political situation are favourable but changing regulations for food safety and increasing
standards can create challenge for Naturist Restaurant.
Economical

This involves economic policies and regulations in which recession can have negative
impact on the Naturist Restaurant. But favourable economic policies for small business work as
an opportunity for Naturist Restaurant.
Social
This involves changing consumer preferences in which online orders, health conscious
attitude are some of the favourable factors for Naturist Restaurant.
Technological
Effective use of technology for preparation of food and for the purpose of marketing can
make effective contribution in success of Naturist Restaurant. Additionally, uses of technology
for processes such as using services for touch-free payments can extra value for Naturist
Restaurant.
Marketing Mix
Product
Product is important element in marketing mix of the company. This is based on what
organisation has to offer its customers. Products of Naturist Restaurant are natural and organic
food and beverages (HR and Aithal, 2020). Products are available in different verities including
different types of food and different cuisines. Products mainly are divided in food products and
natural beverages.
Price
This strategy involves determination of the price that customer is expected to pay in exchange of
service and products of the organisation. Determination of price for the products of Naturist
Restaurant is based on value based pricing strategy. This strategy states that organisations set
their price based on how much customers believes to be worth of product. Naturist Restaurant
provides natural food and beverages with high quality and provides value to customers who are
seeking for quality natural food and beverages. Value based high price also reflect quality of the
products that organisation is providing to its customers.

Place
Place is another important element of marketing mix, place is determination of the point
where products and services meet buyer. In other words, it can be said that the place where buyer
and seller meet. There are mainly two types of places that Naturist Restaurant can consider in
this strategy. These places are online and offline points of sale. Online is the point in which
customers can order online through the website of the company or any other channel. Offline is
one in which customers can buy products at restaurant.
Naturist Restaurant will utilise both these channels in its place strategy. Because
increasing online engagement of customers have made it essential to ensure products of the
restaurant are available online. Further, restaurant will also provide service through its online
channels to make bookings for tables in restaurant. This will help both customers as well as
Naturist Restaurant to make effective use of property of Naturist Restaurant along with avoiding
any difficulty that customers can experience regarding sitting and table arrangement in Naturist
Restaurant.
Promotion
This strategy is concerned with determination of promotional practices that organisation
will undertake to communicate with its target market (Pogorelova and et.al., 2016). Promotion
has been highly important for overall success of the organisation. Promotion help in
communicating with target market and encouraging them to buy products and services of
organisation. In order to ensure success of promotion determination of right channel and
designing effective content play an important role.
Promotional Mix for Naturist Restaurant is as follows-
Advertisement
This strategy and element of promotional mix involves advertisement through third party. These
are also known as paid promotion, in this strategy Naturist Restaurant can advertise through
different forms and communicate with mass audience. Advertisement will involve newspaper
advertisement, advertisement through billboards. These are two effective channels for
communicating with local consumer and audience.

Direct Marketing
This involves determination of small group of potential customers that organisation seek to sell
their product and services (Khan, 2016). In this strategy Naturist Restaurant will utilise Email
marketing to communicate potential target market so that they can reach to more number of
people in less cost. Offers are also to be tailored on the basis of their previous purchase
behaviour.
Digital Marketing
This is concerned with promotion of organisation through digital channels. There are several
channels available through which Naturist Restaurant can promote its offerings in its target
market.
Process
Process in Naturist Restaurant is similar to any other Restaurant or hospitality
organisation. What differs in Naturist Restaurant is that food and beverages both will be prepared
once customers have made their orders. This is aimed at ensuring and communicating that food
and beverages both are fresh and this also involve giving customers with an experience based on
how is there food prepared. Customers are also allowed to make customised choices for their
food and beverages.
People
People for the Naturist Restaurant involves staff of qualified personnel in food
preparation, efficient people at front office and effective people at back of the office. For the
purpose of people for preparing food, chefs from the top hospitality organisations will be hired
along with experienced people. For the front office individuals needs to have effective
understanding and experience of customer handling with effective communication skills (Poljić,
Tešić and Košutić, 2018). Compensation and work environment is key for employee engagement
and their productive performance and this is why attractive salary and benefits will be provided
to customers.
Physical Evidence

Physical evidence of Naturist Restaurant is its restaurant, interior and sitting
arrangements are also involves in this. Specific in Naturist Restaurant customers will be able to
see how their food is being prepared through a transparent window. Other than this, packaging of
the product involves a sophisticated design that reflects that products are natural. Other than this,
customers will also be provided with information of ingredients in their product to ensure they
receive right and adequate information regarding their product.
Budget
£ 2500 has been decided to be overall budget of the marketing plan of Naturist Restaurant.
Allocation of budget for different activities is as follows-
Category Estimated cost
Promotional activities
Advertisement £1500
Digital marketing £ 700
Direct marketing £ 200
Monitoring and Evaluation
Monitoring involves periodic tracking of the performance of different strategies and
marketing plan. Initially, monitoring need to be done on daily basis in order to understand
successful and non-successful factors of the marketing plan. This help in changing plan and
strategies accordingly without negatively influencing performance of organisation.
Evaluation refers to a process in which merit and worth of something is identified. This
also means identifying success of the Marketing Plan developed for Naturist Restaurant (Karvele
and Znotiņa, 2019). There are different strategies through which evaluation can be done. These
ares-
Sales performance

This is concerned with evaluating plan on the basis of overall sales performance of
Naturist Restaurant. This is an effective strategy because ultimate objective of marketing plan is
to increase sales of Naturist Restaurant.
Cost per acquisition
This refers to aggregate cost to acquire one paying customer on a campaign or channel
level. This is mainly concerned with measuring success of marketing campaign.
Return-on-Investment
This is another and one of the most important strategies to evaluate success of marketing
plan. This is return on investment that refers to what Naturist Restaurant has generated on its
investment that it made on implementing marketing plan.
CONCLUSION
As per the report has been coved study of Hotel Hilton who are having presence in all
over the world and provide luxury Hospitality services to their customers. This report has been
analysed the marketing management Philosophies which are used by the Hotel Hilton and also
included the principles of marketing, corporate social responsibilities and ethics. It has been
demonstrate the use of promotion mix and also integrated the marketing communication strategy
so company can take competitive advantages in the market, and they can show their presence as
a reputed brand. In the Part B of this report has been prepared the marketing plan of own
proposed Hospitality business that is called Naturist restaurants. Marketing plan has been
concluded tools of marketing STP, Budget and in the end controlling and monitoring tools.

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