Marketing in Hospitality

This report analyzes the role of marketing in the hospitality industry, using Thomas Cook as a case study. It examines the impact of the marketing environment, consumer markets, and the marketing mix on the travel and tourism company. The report also includes a detailed analysis of market research, advertising campaigns, and the implementation of a marketing plan.

Marketing in
Hospitality

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Concepts of marketing .....................................................................................................1
1.2 Impact of the marketing environment on the travel and tourism industry......................2
1.3 Evaluate the relevance of consumer markets in the industry...........................................3
1.4 Rationale for developing different market segments........................................................4
TASK 2............................................................................................................................................5
2.1 Importance of the components of marketing mix.............................................................5
2.2 Pricing strategies and policies in relation to the industry.................................................6
TASK 3............................................................................................................................................6
3.1 Role of the promotional mix.............................................................................................6
3.3 Role that sales promotion and public relations play in promotional efforts.....................7
4.1 Relevance of market research to services industry operations.........................................7
TASK 4............................................................................................................................................8
3.2 Plan an advertising campaign for a services industry operation......................................8
Covered In PPT .....................................................................................................................8
4.2 Market Research...............................................................................................................8
4.3 Suitability of different media for marketing...................................................................10
4.4 Implementation of the marketing plan...........................................................................10
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Marketing is identify as an critical process and activities through which enterprise
understand the demands and requirements of the clients and then try to fulfil them by rendering
them quality services and products (Bharwani and Jauhari, 2013). It is important part for the
hospitality industry in order to attract large number of visitors towards tourism destination,
services and products (What Is Hospitality Marketing?, 2018). In this assignment given case
study is Thomas Cook which is consider as a travel and tourism company located in United
Kingdom. This report classified into different parts including marketing concepts, PEST
Analysis and its negative and positive impacts on service industry. Components of marketing
mix and its importance to the company is also explained in this projects. Role and responsibility
of promotional mix in the organisation is also determined in this assignment. Advertising
campaign, market research and marketing plan is determined in this study.
TASK 1
1.1 Concepts of marketing
Marketing can be outlined as a set protocol for making strong relationship with customers
and communicating value to clients in a form that it benefits the business and its stakeholders.
Marketing is foremost tool for the travel and tourism sector to maximise their sales and turnover
by providing effective services to the customers.
Thomas Cook travel is largest travel and tourism industry across the world. It is a
successful service sector for their commitment and investment towards giving for their visitors
‘A time of their Life’ as well as ‘Value for their money’. Concept of marketing is more valuable
and useful for the company to attract various number of customers towards tourism services.
This concepts are divided into different parts which are explained as below:
Production Concepts: It is used by the Thomas Cook to attract large number of clients by
providing their quality services and products at affordable price (Bowie and Buttle, 2011). It
support the company to keep their strong image in the international marketplace.
Product Concepts: Thomas cook provide different products and services including
travelling by cruise/bus, luxury rooms, reasonable prices with motive to attract large number of
customers. It is more essential and valuable concepts for the service industry to maximise their
performance and profitability within predetermined period of time.
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Selling Concepts: Thomas Cook use this concepts for selling their tour package in Egypt
and Morocco to the customers. Thus, it is valuable part for the company to increase their
profitability and effectiveness.
Marketing Concepts: It is important and significant concepts which help the Thomas
Cook to maintain strong and long lasting relation with customers. It is an effective process of
transaction and exchange of the services and goods by the organisation (Chan and Guillet,
2011). In this business apply different kind of promotional mix including advertisement and sales
promotions by using banners, posters and many other.
1.2 Impact of the marketing environment on the travel and tourism industry
Thomas Cook is planning in order to offer their new package to its visitors for traveling
beautiful destination like Morocco. Thus, it is essential for service industry to study the different
factors including micro and macro factors that effects on the working or functioning of
enterprise.
(Source: Macro and Micro factor, 2018)
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Illustration 1: Macro and Micro factor

Micro Environment: It depict to the effect of internal forces which is present within the business
entity. There are some elements of micro factors which highly impacts on Thomas cook are
determined as below:
Customers: They play vital responsibility in the development of business as they use
services served by organization and generate turnover. Main requirements of clients are to get
data and obtain ethical goods with the accessibility of unique services at affordable prices.
Therefore, company should consider the requirement of clients while service best quality (Hyun,
2010).
Competitors: It identify to the main competitors of business and strategy selected by
them. In order to see survival in this antagonistic business environment. Thus it is essential for
service industry to includes pricing strategy and marketing actions adopted by challenger's. For
example: Thomas Cook should find out the extent of rivals in Morocco and Egypt as well as
local provide of services that can effects the working or functioning of business in direct way.
Macro Environment factors: This type of factor present outside the enterprise that directly
impacts on Thomas Cook and its functioning. There are some factors which are consider in this
are determined as below:
Technological factor: It identify the implication of development, research and
technology on the company (Lee and et. al., 2010). For example: Thomas Cook can plan
attractive application of mobile in order to inform potential clients regarding holiday package to
specified destination.
Legal and Political factors: It depict to different regulation framed by the government of
UK that highly effects on business functioning in national marketplace. For example: EU framed
competition policy, it effects of business to indulge in healthy and competitive practices of
business only.
1.3 Evaluate the relevance of consumer markets in the industry
Consumer's Black-Box model: This framework shows the interaction of consumer
characteristic, stimuli, consumer response and decision making process. It can be differentiate
between interpersonal and intrapersonal people. This model includes marketing stimuli,
environmental stimuli, byers characteristic, decision process and buyers responses i.e. 4P's,
PEST Analysis, attitudes, lifestyles, decision regarding information search, purchase decision
and response about product, brand and dealer choice.
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Consumer behaviours are about specified location are determined as below:
Personal preferences: It respect to personal values, preferences, likes and dislikes are
play an essential role and duty on the purchase which is made by clients. For example: Visitors
wants to visit like Morocco and Egypt via cruise than it can choose such facilities served by
Thomas Cook.
Group Behaviour: It identify to effects of different groups including friends, family etc.
of the customers decision making. This type of factor plays vital responsibility on decision
making of booking tickets of trip by friends group or family.
These are important and beneficial for the company to maximise their productivity and
profitability within an organisation (Leung and et. al., 2013). Personal preferences and group
behaviour has advantages and limitation which are shown as below:
Consumer Behaviours Advantages Limitation
Personal Preferences It is important for the business
to maintain strong position in
marketplace by satisfying the
basic needs and wants of
customers.
Sometime, personal
preferences highly impacted
on the functioning and
working of Thomas Cook.
Group Behaviour It help the company to increase
their sales and revenue by
giving quality in tourism
services and products.
Group behaviour impact on the
decision making process of
company by giving services as
per the customer's age group.
1.4 Rationale for developing different market segments
Market segmentation is identify as a classification of entire place on the basis of customer
needs and preferences. These are divided into four parts which are determined as below:
Geographic Segmentation: It support the organisation to classified market as per the
target customers and geographic criteria. For example: Thomas Cook can render its unique tour
package to Morocco principally to United Kingdom based peoples.
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Behavioural Segmentation: Under this segmentation market is fully divided on the basis
of loyalty status, attitudes of clients towards services served by business (McCabe, 2010). For
example: Thomas Cook can target its loyal clients first to yield the unique tour package.
Psychographic Segmentation: In this market is classified on the basis on interest, style
and life of buyers that effects them in order to make buy. For example: Thomas Cook serve high
end facility via psychographic segmentation.
Demographic Segmentation: In this market is classified as per the education, age,
income of clients. For example: Thomas cook can provide adventure package for the age group
of 18 to 24. on the other hand company also offer trip to historical destination for the age group
of 40 to 60.
TASK 2
2.1 Importance of the components of marketing mix
Marketing mix is important concepts which help the business to introduce their
innovative goods and service to the customers (Nunkoo, Gursoy and Ramkissoon, 2013). It is
important for the company to attract different customers towards tourism services.
4P's of marketing mix Application to Thomas Cook
Product Thomas Cook served different items in order to
meet the requirement of customers. They offers
intangible tourism services to its visitors. For
example: Thomas Cook provide new package
to Morocco, in this marketing administrator
consider the product life-cycle. Thus, it is
important for the company maximise their
sales and revenues within predetermined
period of time.
Price Thomas Cook follow skimming pricing
strategy which help them business entity in
order to attract different number of visitors
towards tourism service and products (Ong,
2012). Further, company update its price on the
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basis of product life-cycle which highly effects
on the functioning of firm.
Place Thomas Cook can create its office in certain
and central places including airports, railway
station and many other to see convenience to
buyers thereafter, specified location are facing
changeless threats of radical attacks. It is also
important for the service sector to increase
their profitability.
Promotion It is identify main component of 4P's which
support the Thomas Cook to easily attract
various travellers towards tourism services. In
this company follow advertisement, public
relation and many other tool with the use of
social and print media.
2.2 Pricing strategies and policies in relation to the industry
Pricing strategy of the Thomas Cook is mainly based on competition and demand of
customers. This aspects support to set the long term and financial objectives or motive to be
accomplished by company so as to obtain a large number of market share in link competitors.
Service industry skimming pricing strategy which is significant for the development and success
of hospitality industry within predetermined period of time.
On the other hand pricing policies in service sector are based on supply and demand
circumstances that creates Thomas Cook maximise or minimise prices. These policies are highly
support the company to improve their performance and effectiveness in limited time duration. In
this service industry make an effective decision about accomplishment of long term objectives
and goals in limited time period (Pechlaner and Volgger, 2012).
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TASK 3
3.1 Role of the promotional mix
Promotional mix is important element which play vital role in order to promote tourism
product s and services to the visitors at affordable price. There are different types of promotional
mix which are used by the Thomas Cook are determined as below:
Advertisement: It assist in brand building and recognition which outputs into maximised
turnover. Thomas Cook can promote the unique package on magazines, radio, newspapers and
television.
Personal selling: Thomas Cook follow personal selling in order to communicate with
potential and target clients. It will support in making long lasting relationship between
prospective customers and management.
Public Relation: Thomas Cook can apply Virtual reality, it will support the organisation
in developing artificial atmospheres of specified destination applying advanced technology.
Direct Marketing: Under this Thomas cook sell their tour package to the customers in
direct way that help them to maximise their sales and profit.
Sales promotion: It is important aspects in which company offers different promotional
technique's including premiums, discounts, contest and many other.
3.3 Role that sales promotion and public relations play in promotional efforts
There are different kind of sales promotion including Gifting, Coupons, Discounts,
Refunds and holiday promotions (Tresidder and Hirst, 2012). All these are play vital and
effective role for the success and development of hospitality industry within predetermined
period of time. These types also support the company to attract different number of tourist
towards tourism services and products. All these are important to the producer to promote their
tour package easily. It is also essential for the intermediaries to easily deal with customers and
make an agreement which reduce the future risks. Coupons and discount are significant for
customers to visit different destination at affordable price.
On the other hand public relation is also important for the Thomas Cook to provide
important information to the visitors easily. There are certain types of public relation including
Social media, public affairs, corporate and social responsibility, integrated marketing and crisis
management. All these are highly beneficial for the Thomas Cook to easily render relevant
information to the customers. Today's, large number of population are spend their more time on
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Social media which is good for the service industry to attract various number of customers in an
easy manner.
4.1 Relevance of market research to services industry operations
Market research is important and essential part for the service industry to identify basic
needs and wants of customers towards tourism services or products (Tsiotsou and Goldsmith,
2012). Market research has different steps which are benefited to the hospitality industry. These
phases are determined as below:
Identify and formulate the problem: Under this process tour operator identify the main
issues regarding tourism destination, products, services and process.
Determine the research design: Descriptive, correlational, semi-experimental and
experimental are types of research design. In this Thomas cook follow descriptive design which
help them to recognise customer's requirement:
Design the sample and methods of data collection: There are two methods of data
collection including qualitative and qualitative. Both are important for the service sector by
which tour operator design a sample size which support the business entity to recognise customer
needs in percentage way.
Collect the data: Primary and secondary sources are essential for the marketing manager
to collect relevant information regarding tourism services and products (Lee and et. al., 2010).
Analyse the data: Company apply primary source of the research which assist to gather
accurate amount of the information. It assist the business to attract large number clients towards
product and services of hospitality sector.
Interpret, discuss and present the finding: Under this process, they analysis the different
sources of fund, resources and many other that support the company to do their all activities
easily.
Follow-Up: It is last phase in which Thomas cook provide their services and products to
the customers as per its needs and wants. Thus, it assist the organisation to maximise their
profitability and productivity ratio.
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TASK 4
3.2 Plan an advertising campaign for a services industry operation
Covered In PPT
4.2 Market Research
Market research is important for the Thomas Cook to research about the customer needs
regarding tourism products about tour package in Morocco (Hyun, 2010). There are two types of
research methods including primary and secondary both are important for the business entity.
These are determined as below:
Primary research Secondary research
 It is a type of field research which
involves in collecting new information
that has not been gathered before. This
approach includes survey applying
interviews or questionnaires with large
number of person in a focus team.
 It is a kind of desk investigation which
involves collecting present information
that has already produced. For instance,
researching the newspapers, internet
and company reports.
Thomas cook use Primary research because it is useful for them to easily collect accurate amount
of the information (Lee and et. al., 2010). In this business follow questionnaire which are design
by the marketing manager. These are determined as below:
Questionnaire
Name:
Gender:
Age:
Contact no.:
Email id:
Q1) Are you satisfy about the Egypt and Morocco destination?
 Yes
 No
Q2) How many times you have visit on a Specified Destination?
 Once
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 Twice
 Three times
 Four times Five times
Q3) Which group do you prefer for visit Egypt and Morocco?
 Tour group
 Family
 Friends Spouse
Q4) What was the mode from which you came to known about travel and tourism industry?
 Word of mouth
 Recommendation
 Brochure
 Tourist information centre Other
Q5) Any recommendation related with travel and tourism in Egypt and Morocco?
4.3 Suitability of different media for marketing
Different ways of media are applied by Thomas Cook in United Kingdom so as to
accomplish better outcomes in their marketing efforts. They follow Television, print media like
magazines, radio, newspaper, visual sources including posters and bill boards. All these are
varies from market, product and services under consideration (Chan and Guillet, 2011). For
instance: Thomas Cook wants and needs to appeal to international clients then it will have to
choose interest related media, it is applied across the world. By applying print media in the way
of magazine and newspapers may not teach Australian and Indian clients. If the company wishes
in order to advertise its innovative or unique website established then the essential form would
be by the internet sits as contrast to radio.
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4.4 Implementation of the marketing plan
Thomas Cook provide plan an effective tour package in Egypt and Morocco in an
effective and efficient manner. In order to enhance their plan business entity take five steps
which are determined as below:
 To provide quality products and services to the customers at reasonable price.
 Utilisation of advanced and innovative technology.
 Provide entire information about services and products through social and print media.
 Arrange accurate sources of fund.
 Attract large number of tourist towards specific destination (Bowie and Buttle, 2011).
Marketing
plan
Implementati
on
Timescales Costs Evaluation of
objectives
Outcomes
Packages to
Morocco
In order to
utilize this
plan Thomas
Cook give
various
services to
their Clients.
3 to 4 days £1449.18 In this Thomas
Cook can
maximise their
turnover.
It renders
better results
to the
enterprise
within
predetermined
period of time.
Packages to
Egypt
In respect to
utilise this
plan Thomas
Cook use
different types
of promotional
mix including
advertisement,
public relation
and many
other
channels.
5 Days £1459.18 With the assist
of promotional
mix Thomas
Cook can
easily attract
various
number of the
clients in
systematic
manner.
With the
follow of
effective tools
Thomas Cook
can
accomplish
their long term
objectives.
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Advantages and disadvantages of marketing plan:
Advantages Disadvantages
 Marketing plan support the company to
do their all activities and functions in
an appropriate manner.
 This plan highly effects on the
functioning and working of company
while making an effective decision.
CONCLUSION
From the above mentioned report, it can be concluded that marketing is more important
and valuable part for the business entity in order to achieve long term goals. There are various
tools including sales promotion, advertisement, and many other. In this market research is also
essential for the company to identify basic needs and wants of the customers. Macro and micro
factor also applied by company to recognise their internal factors.
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