This report focuses on a 12-month marketing campaign for Travelodge, a UK-based hotel chain. It discusses the marketing audit, TOWS matrix, marketing objectives, and marketing mix plan. It also explores ways to improve customer satisfaction and expand market share.
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MARKETING MANAGEMENT
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TABLE OF CONTENTS INTRODUCTION...........................................................................................................................3 MAIN BODY..................................................................................................................................3 Marketing audit and TOWS matrix of Travelodge......................................................................3 Marketing objectives for the twelve-month marketing campaign of Travelodge.......................6 Marketing mix plan......................................................................................................................7 Improve the level of customers....................................................................................................9 CONCLUSION..............................................................................................................................11 REFERENCES..............................................................................................................................12
INTRODUCTION Marketing campaign is an organized course of action and plan to promote or sell the product or services of a company. Travelodge is a UK based private company operating in Hospitality industry and serving across UK, Ireland and Spain.It has more than 570 hotels in UK, making it the largest independent brand of hotels in UK. This report focuses on a 12 months marketingcampaign-“Enablinga leadingBrand” for the company and will explainthe marketing audit principles undertaken in order to develop TOWS matrix which will help to demonstrate its competitive environment. The report will also state and justify Marketing Objectives based on SMART Model and highlight the Marketing Mix in context of the campaign. Important proposals will be recounted for future adaptations and improvements of Travelodge's customer service as a part of the marketing campaign. MAIN BODY Marketing audit and TOWS matrix of Travelodge Marketing Auditrefers to the systematic evaluation and analysis of internal and external business marketing environment of an organization to ascertain problems and opportunities and recommend a plan of action to improve the marketing performance. Its based on principles like Macro- Environment or Demographic and political factors, Marketing Strategy Audit to check the feasibility of Business mission, goals and objectives and Environment Audit Factors like Markets, customers and distributors etc. The Audit is done in a systematic and comprehensive way and is ideal for generating TOWS matrix. (Dandage, Mantha and Rane, 2019) TOWS matrixis derived from the Swot Analysis model and is aimed at generating marketing tactics for Travelodge by analysing internal and external factors of the business environment of the hospitality industry. 1. Strengths: Affordable room rates: Travelodge offers very reasonable prices for family rooms and double rooms and also launch various special deals and early bird discounts on special occasions. For a budgeted hotel, promotions and discounted offers attract a lot of customers.
Schemes and Initiatives: Rooms by the hour schemes which lets customers save money, 'catnap and coffee' initiatives for drivers and motorists to recharge their batteries and stop for a break. Travelodge business account card for premium customers for convenience and quick booking to retain them and gain competitive advantage. ExtendedpresencethroughoutUKwithover500facilitiesfoeeaseinfinding accommodation on any location customers want. Committed sustainability programs like Travelodge green. 2. Weaknesses: Narrow range of products: Travelodge is not able to provide its customers with a wide range of services such as room service, concierge or porter service like other luxury hotels do. Aesthetics: The design and aesthetics of the rooms are plain ans basic, which is not appreciated by customers and their experience is impacted. Policy of overbooking: Travelodge mostly operates on full capacity which may lead to customers facing the risk of being turned down upon arrival due to unavailability of rooms. 3. Opportunities: Potential of Expansion in other countries: Travelodge is majorly concentrating its operations in UK and Ireland and missing out on new markets. Europeans countries are big on tourism and therefore affordable hotels are in high demand all over. Ecotourism: Recent momentum of green and ecotourism can help Travelodge achieve goodwill and positive feedback from guests over its sustainability programs. New partnerships: Good marketing Strategies and public image can help Travelodge get new partnerships for further diversification and expansion. Expanding Online presence to attract more millennials and Gen- Z as target customers.
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4. Threats: Intense competition from other budgeted hotels: hospitality is a highly competitive sector and there are various competitors with better deals and services like Premier Inn, ACCOR, Days Inn worldwide. Limited International presence: Most tourists prefer hotel brands that they are familiar with and Travelodge is not widely known across other parts of the world. This may lead to tourists selecting Hotels with reputation in their home countries. Covid-19 Pandemic: It is the worst threat hospitality industry is facing as the countries are in lock-down and tourism is heavily impacted. S-O strategies: ExistingSustainabilityprogramslike'TravelodgeGreen Programs'can be heavily marketed to gather Ecotourism market share. Offering discounts to First time Users of other countries can help in expansion and market their name worldwide. W-O Strategies: NewpartnershipswillalsohelpTravelodgeindevelopingnewideasabouttheir architecture and designs. They can also switch from basic to a more attractive aesthetics with the help of additional finances. Expanding online presence by opening portals and dedicated websites for other countries and using certain software to track the problems of overbooking. S-T Strategies The Threats of high competition can be tackled using their existing pricing policies and inclusion of facilities like up-gradation of room type to solve complaints and discount offers for regular customers. Travelodge Businesses Card can be linked with other servicesto offer additional discounts in the areas of shopping and entertainment.
Foreign tourists can be provided with a 'Guide on Call' facility for helping them explore nearby places with local translators and tour guides. W-T Strategies: The weaknesses like narrow range of products can be minimized by tendering local workers to establish extra services. This will help them get competitive advantage and avoid threats of price wars with other hotel companies. Its weakness of policy of overbooking should be minimized as it is important to avoid threats of customer dissatisfaction and it might increase competitive advantage of other hotels companies. Marketing objectives for the twelve-month marketing campaign of Travelodge Marketing Objectives are defined goals of a company for a specific period. It outlines the strategies, targets and intentions of the marketing team in order to state clear directions for team members to follow and review. The objectives should be based on the SMART model of being specific,measurable,achievable,relevant andtime-bound.(Jaremen, Jędrasiakand Rapacz, 2016) It is essential to use this model to achieve long term goals. Various tests can be done to assess if the objectives are relevant or not, they are: the truth test, the focus test, the relevancy test, the consistency tests, the clarity tests, the cost test, the assess test etc. Travelodge is currently facing impacts of the slowdown in hospitality industry due to corona virus pandemic. Its current twelve month marketing campaign- “Enabling the brand Strategy” is aimed toconsolidate its position by embracing the Internet technologies needed to create competitive advantage. The appropriate marketing objectives for the company are as follows: 1.Doubling the Online reach and adopting cloud technologies:The primary marketing objective of Travelodge should be increasing the customer base online by continuous interaction with people using various social media sites and keep them educating about upcoming offers post lock-down, safety protocols and other information. Apart from all this the company should adopt the latest cloud technology in its operations using which hotels can be managed without physical presence. PMS systems should be incorporated with mobile concierge apps and help guests engagement without personal contact. Hotel
jobscanbetransferredtocompletelyremoteworklikee-commerceanddigital marketing. 2.Increase revenue by 20% and initiate recovery rate with one year:The slowdown should be countered by achieving higher sales targets by concentrating on new customer base. After expansion in online platform is increased by two folds, the revenue target should be achieved by focussing on online marketing and increasing sales. Millennials are likely to take advantage of the lowered prices after lock-down ends and help with the business recovery plan as they prefer Brand value authenticity over perfection of local brands. Monthly and daily reports should be developed to do revenue management of the hotel and keep track of hotel rooms' booking prices. This is necessary for gaining key insights of room comparison with previous month or year. Demand forecasting is vital to maximise revenues and minimize unexpected surprises and optimize hotel's potential. 3.Expanding market share in at least three countries :The marketing department should focus on finding opportunities of expansion in at least 3 countries by the end of the marketing campaign and focus on enabling and establishing itself as a leader in the hotel industry. The market assessment of government policies, infection rates, infrastructure, customer behaviour, travelling costs and economic stability should be done. The focus should be target market, customer profile, demographics, and analysis of market. Market can be defined by constant updates and proper analysing of the country research is being done in. Factors like finance, politics, customer tastes and preferences, legal compliance and facts about tourism and travel should be analysed properly. The accuracy and authenticity of all data should be considered extremely important. All results should ultimately able to find possibility of expansion of the hotel chain in that country with optimal usage of resources. Marketing mix plan It is very important for the company to maintain their reputations and performance in the market which can take place if there is the use of right framework. Covid-19 has really affected the company in a lot of ways possible which will have to be understood and measures have to be taken accordingly. Safety and health of the customers are the most important factor in the organization which will have to be maintained.
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Products There are a lot of changes which are going to take place in the company which is because of the customer’s safety and health. The customers are not going to have any direct contact with the customers and the activities like swimming, gyming, etc so that the customers are getting the reputation in danger (Šedík and et.al., 2018). The services for the customers are going to be serviced in the room itself and the check in and check outs are going to be done online so that the customers do not have to come in contact in any way possible. Price The company uses both type of pricing strategy in its workplace competitive-based pricingstrategyandvalued-basedvaluestrategy.Butinthesebothstrategy,thereare competitive-based pricings strategy is too beneficial to Travelodge for making large customer base in the market. Basically, competitive-based pricing strategy enable to this company for providing something less price than its competitors in the market. This strategy enables to company for offer the best and favourable price to different customers. On the other side, there are value-based pricing strategy support to company for charging higher pricing from customers on its luxury and premium services. Place Currently Travelodge serves in many countries at the international level. Nowadays, top- level management of company focuses on expanding its business operations by entering in different new market segment (Kublashvili, 2019). Generally, Travelodge is US based company, but it has highly succeeded in expanding its business operations across the United Kingdom and also in many other European countries. The company is aiming to increase size of its market place by proving the quality services in the market. Promotion There is promotion is another very necessary task to this company. Basically, by conducting different promotional activities this company will be able to increase its market share in the UK’s travel and tourism industry. Currently there are various marketing strategies available to company, which it can use for promoting its services at the large scale in the market in effective manner. For example; digital marketing is one of the most appropriate marketing strategies to this company which can contribute in attracting large customers and people ibn this modern world (Tomczak, Reinecke and Kuss, 2018). There are marketing team of Travelodge
should use STP model as well for promoting its exclusive services. Basically, STP model is a marketing strategy which can support to company for boosting its services in the market. People Currently Travelodge has a workforce of many effective employees who day or night out their huge efforts in the workplace. Basically, this company provides different sessions of training and development to its employees. With the support of these training and development sessions an employee can easily improve its performance and productivity in the market. Upper management of company always believes in maintaining effective relations with its various stakeholders as well including customers and employees. By maintaining excellent relations with its various people of the business environment, this company is able to boost performance and productivity in the market. Process The company is able to run its various business processes in effective manner. Basically, Travelodge’s upper management uses different management strategies and theories for managing its various processes systematic way. Currently this company has a strong distribution channel which support to this company in providing it’s all services to customers on time. It has an effective workforce which can contributes in making Travelodge’s all processes too much effective (Cavallone, 2017). This company considers the concept of operations management also in its workplace which supports in providing the best services to customers with effective business processes. Physical evidence Physical evidence is the last element in the marketing mix strategy. According to this element of marketing mix strategy, Travelodge employees and staff of Travelodge should always give proper support to different customers and people when they visit in the company’s authorisation area. Employees of this company always provides proper information about its services to all customers. That’s why most customers are fully satisfied with the Travelodge in the market. Improve the level of customers There are a lot of measures and techniques which can be used by organizations in the market to increase the satisfaction level of the customers so that there would be a better functioning. Due to Covid-19 there are a lot of losses and the tourism in the country has
decreased which is making Travelodge suffer in the market. The safety and healthy factor in Travelodge will have to improve if the company wants to get back into the business because right now the company is not having a strong base for themselves in the market (Hüttner, 2018). It is because of the government that the organizations which were functioning in the market had to close themselves down and the tourism and moving around of the locals also stopped which is why the company was not able to function and operate effectively in the market.Communication There is a high use of internet and social media in the world after the lockdowns which have taken place in the world. This is going to be very helpful for a long run of the organization if there is going to be a direct communication for the customers in the market. There are a lot of unique features which are going to be added in the organization after the lockdown will open like adding sanitizer, temperature checking, etc for the safety of the customers so that they can have a pleasant stay in the hotel (Hua, 2019). There are going to be services to the room directly for the customers so that there is going to be a better functioning.Feedback The population is having a trust issue with the travelling industry because of the increase in Covid-19 cases all around the world which is why this is going to be a very effective way of getting back the customers in the company (Baker and Parkinson, 2016). There have to be a lot of changes which would be expected out of Travelodge and those will have to be followed by the organization. Feedbacks are taken from the customers so that the right measures and changes can come in the organization so that there would be a better experience of the customers and the company will be able to get back their market share effectively.Technical Skills There are a lot of methods for the employees who will also have to change like they will have to work with having personal hygiene and the customers are going to trust the company. The productivity of the organization will also have to improve so that the company will be able to have better economic stability in the market so that there is going to be a faster recovery of the organization in the market. The services will have to be from room to room so that the customers are going to have better experience and the rooms are going to be cleaned everyday so that the customers can have a better and safer stay.Experience of the customers increase
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The services and products of Travelodge have to increase so that they can make the customers have a better experience in the market. To have a stable economically which is why there have to be more safety measures which have to be taken so that the customers can have better functioning. The customers are going to have altogether a different expectation and take on the hospitality industry after Covid-19 situation is recovered by the world. The pricing of the rooms is going to be low because there are a lot of services which are not going to be functional in the hotel like swimming pool, gym, etc in the organization for the safety of the customers which is going to make the customers get loyal customers in Travelodge (Chernev, 2018). Travelodge has been working in the market from a long time but the company is going to put in a little more extra so that they can get back their reputation and economic stability. CONCLUSION It can be concluded that it is very important for any organization to have a better and effective operations which can take place in the company. There have to be a right skill and measures which need to be planned by the organization to that the expectations of the customers can be matched and the company will be able to increase the satisfaction level of the customers. The competition in the market is increasing which is why it is very important for the organization to have an effective planning and the right framework to understand the market do that there is a better functioning. The employees have to be trained in a way so that the changes which are required in an organization can be taken effectively and the business will be able to operate in the market for a longer run.
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