Creating a Marketing Plan for Hospitality and Tourism

This assignment requires students to create a comprehensive marketing plan for the hospitality and tourism industry. The plan should include essential steps such as conducting market research, analyzing competitors using Porter's 5 Forces Model, and evaluating the effectiveness of social media marketing campaigns. Students are also expected to provide examples from real-world scenarios and cite relevant sources. This assignment is ideal for students studying marketing or hospitality management and provides a practical application of theoretical concepts.

Marketing Plan

Table of Contents
INTRODUCTION...........................................................................................................................1
Background: ...............................................................................................................................1
Understanding the market...........................................................................................................2
Micro environment Analysis.......................................................................................................2
Macro environment Analysis......................................................................................................6
Market size..................................................................................................................................7
SWOT analysis............................................................................................................................7
Market research requirement.......................................................................................................8
Consumers...................................................................................................................................8
Conclusion and key issues/ assumptions emanating from Audit. ..............................................8
Key Marketing objectives...........................................................................................................8
Core marketing strategies ...........................................................................................................8
Implementation of marketing mix .............................................................................................9
Action plan .................................................................................................................................9
Marketing Segmentation...........................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES .............................................................................................................................12

INTRODUCTION
For any organization marketing is an important aspect to run the business more
effectively and efficiently. It helps to raise the business to new height and achieve success. There
are various things which helps in the organization development but for processing it requires the
plan and strategies (Alberti, 2014). Planning is required to accomplish the task according to
needs and situations. Every marketing planning is based on certain analysis or strategies. It
must contains the expense budget, marketing analysis and strategies as well as sales forecasting.
Further, it includes the impact, contingencies on the organization, risk, issues and many more
things which can affect the organization and its structure. In terms of the definition it is the tool
which helps to achieve the marketing objectives and build the strategies which helps to eliminate
the competitiveness. It is regularly maintained by the company and the main purpose of it is to
achieve the objectives, maintain the budget for future development. Along with this, it supports
in the accountability and developing the strategic planning for strong customer service and
improve teamwork.
Background:
Following marketing plan is about the IHS Global Alliance whose main services are in
hospitality and conference facilities where they design operating system for the food and
beverage system. They are mostly focused on designing the equipments which are basically for
the hotels and venues. The company products are launched all over the world and is famous for
their design. Firm type is private limited with share capital. They are expanded over 200 cities,
in 50 countries. Most of the hotels they are providing the services are 5-star luxury hotels like
Armani, Conrad, Hilton, Park Hyatt, Four season and Marriott. The company was established in
the year 1990 and has location in 125 Henderson Road, Rowville, VIC ( Altinay, Paraskevas and
Jang, 2015).
Current markets and products offered: It is the hospitality based industry and has more
than 200 employees. The company is famous for the their products in conferencing and
Banqueting tables. Some of the major products developed by them are mobile designer cooking
station, Dining equipments, Bar system, Buffet solutions. Company is offering its major products
to the 5-star luxury hotels in Dubai, Chicago, Bangalore, Melbourne and New York.
Critical issues which will be addressed by the marketing plan are market-segment
selection which includes the competition, barriers and size. Along with this, it will include the
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specificity in their goals. Moreover, it will include the measure-ability and achieve-ability. This
will include the details like the marketing plan will be measurable or not such as the brand
awareness. Through this the company can keep its progress tracked and accounts can be
measured easily. Little success is also accounted in the business. So understanding the
environmental impact can help to build strength against competitors and achieve market-success.
Understanding the market.
To have the successful business, there is need to better strategies for the organization and
employers. Further, every company makes the products for their customers so understanding
their perception about the product. There are many ways through which company can gain
knowledge about the company such as market analysis, product types, retail price, risk
management, strategy setting and targeting retailers. For the given organization, as it mainly
deals with the hospitality and conference industries segments and major products are designed
for it. Further, they are providing the products to only 5 Star luxury hotels and venue markets
(Armstrong and et.al., 2015). The company is expended majorly in the The America, Europe,
Middle east, Asia and South Pacific. Major details about the company is shared through the
LinkedIn, Facebook, Twitter and Instagram. Down below are the methods which will help to
understand the market of the following company.
Micro environment Analysis
There are 2 methods by which micro environment can be easily understood, Porter's 5
forces and BCG Matrix is used:
Porter's 5 models: It helps to understand the organisational strategic and structure. There are 5
models included in it. They are
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1. Threat of new potential entrants: These are those current potential competitors which may
provide competition in the near future (Bowie, Buttle and Brookes, 2016). IHS Global
Alliance new competitors are StageRight, Sico and Staging Concepts. They too are the
developer of the mobile products for the home furnishing products. According to the
Owler rating, the main competition is provided by the Staging Concepts. However, taking
about the economics scale the company is having the high sales and revenue collection.
Brand loyalty of the product can be seen from it's customers who are leading companies
in the hospitality business. Further, Government regulation are also supporting the
growth of the company. The design, structure and quality provided by the company is
highly valued by its customers. The company has established high capital base which can
not be easily taken by some other companies.
2. Threat of substitute product/services: This are those product which competitors provide
to the customers for their satisfaction. The company mainly deals with the products
which are demanded by the high class luxury hotels. The design and structure developed
by the company for their products are truly inspiration for other companies. There
products are no match for the other firms. Further, they are more environmental friendly
then others. There are very less companies which are providing the similar products
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Illustration 1: Porter's 5 Forces Model
Sources: Cowley, 2016

design which a five star high luxury hotels recommand. This has provided an opportunity
to the company to raise their product price and earn more profitability.
3. Bargaining power of suppliers: This are those sectors which provide the input to IHS
Global Alliance. For the company the major products are woods which are easily
available at the near by places. They chose the Native timbers and quick growing pine to
produce their wood products ( Fraj, Matute and Melero, 2015). Further, they are more
focus on the landfill waste degradation. This has made great relationship with their
suppliers. The firm focuses on better approach to their suppliers so that they can provide
world class products to their customers. The culture values and corporate nature of the
organization has helped the company to maintain strong suppliers relation.
4. Bargaining power of buyers: For the given company, the main consumers are famous 5
star luxury hotels which are situated at the most famous cities of the world. Some of the
main customers are Armani, Conrad, Mandarin Oriental and Penninsula. The unique
design and fresh products which company provides to the customers are marvellous. The
firm offer the prices which are based on the customers expectation and the design prices.
Such services are hardly provided some other companies. The bargaining power of the
buyers depends on the number of the products which company wants to purchase from
the company. Along with this, the resources used and cost of installation decides the price
of the products for the buyers. Moreover, innovation and dynamic trends which company
offers to the customers are paid by them.
5. Rivalry among current competitors: There is strong threat to the company from the
current rivalry. As they are having more market shares which can affect to the company.
Moreover, they company is having the high prices as they are mostly selling to their
products to the 5 Star luxury hotels so they have disadvantages as other competitors can
offer the new price to those hotels and can lead the business in the market. Though they
are having the global customers but they still lack in providing services to all their hotels
so they must focus on those areas. However, the demand conditions of the products are
high form their limited customers which has provided advantages to the company.
The other thing which help to understand the micro environment are the growth share matrix.
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 Dogs represent the low market share of the company. For the following company, as they
are producing the products only for the high class hotels and services so they are having
the low market shares (Galliers and Leidner, 2014).
 Question mark represents the high market growth and low market share. The company
has the high design which is not provided by any other company but this has also
provided the loss to the company. Due to unique design and high class performance of
the products their products are purchased by the company but only they are the customers
of the company which made their market share low.
 Stars in the following diagram represents the high growth and share market in the
company. The firm is having the high growth and share market in terms of the design and
services they are providing to. As they are having the limited customers that too 5 Star
luxury hotels so they may continue to supply their services to those companies and
remain as unique and branded products in the market.
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Illustration 2: The GX Matrix
Sources: Goffin and et.al., 2017

 Cash Cow: These are those products which are having high market share but low growth.
The limited high class customers of the company are the cash cow of the company. They
are willing to pay the amount for the designed products and services which the firm is
providing to them (Kandampully, Zhang and Bilgihan, 2015).
Macro environment Analysis
To understand the external macro analysis PESTLE model is done on the IHS Global
Alliance. These are those areas where company do not have any control and they have to adopt
changes according to factors. These are:
1. Political Factors: As the company is expanded in many countries so they need to focus on
the political factors which are there. Further, they need to concentrate on the tax policies
and involvement of government in the trading. For the following company, the political
issues are less affecting the company as the development made by the company is
sustainable. Further, the implementation of the taxation in all the countries are normal.
Moreover, political parties have also supported the firm business.
2. Legal Factors: There are more than 200 employees in the company and they are
following the labour law. Further, other laws like international trade law and regulation
made by the other countries are followed by the company. All the laws, rules and policies
are followed by the company and their employees.
3. Economic factors: The economic growth of the company is though weak as compared to
others. However, the other factors like raw materials and exchange rates company is
having the profit in it. They are least affected by inflation rate as they have fixed number
of customers. Along with this economic factors have least impact on the company.
4. Social-cultural Factors: The organization operates in sustainable ways. In the company
the laws, rules and policies are followed. They are also supporting the employees and
focus on their development also. This has helped the company to earn more profit and
social respect. Teamwork and calm environment are provided to the employees so that
they work effectively and efficiently ( Kim, Lim and Brymer, 2015).
5. Technological Factors: The company uses the technology which are way out of reach of
most of the companies. They use their technology for the design purpose and for
expanding the market of the company. Along with this, their products are also developed
through this factors.
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6. Environmental Impacts: The firm has focus on the environmental issues and for this they
are recycling and reusing their products. Further, they are developing the products with
maximum utilisation so that there are less impact on the environment.
Market size
The company has limited number of the customers but those are 5 Star high class luxury
hotels. They are also expanded to more than 200 cities in 50 countries. Number of customers the
company is having is more than 21 such hotels where only their furniture products are sold they
are also involved in providing the other services. Some of this companies are Armani, Andaz,
Convention & Exhibition center, Hilton, Radisson Blu, Park Hyatt and Mandarin Oriental. The
firm uses high techniques and technology which are helpful for the company to design such
products. They have more scope if they provide the services to the other areas of the same
standard hotels. They need to identify the areas where they can make changes in their techniques
to influence more customers (Law, Buhalis and Cobanoglu, 2014). The permanent customers of
company are helping the company to develop but this has also reduced the chance of making the
products for other hotels. But as per the market size the company is getting profit in their sector
which has helped the company to gain such a brand name and such high class customers.
SWOT analysis
STRENGTH WEAKNESS
1. The brand image and unique design of the
company's product.
2. Permanent customers which are high class
luxury hotels.
1. Limited to some companies.
2. High competition from the competitors.
OPPORTUNITIES THREATS
1. If they expand their market level they can
earn more profit.
2. There are many companies where they have
not supplied their products.
3. Expansion to new countries.
4. Development of products in other industrial
sectors.
1. Limitation to high class luxury products.
2. Competition from the Staging Concepts and
new companies.
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Market research requirement
Market research requirement is required to understand the customers and their preference.
For the company the main aim is provide the services which have high class design and aspects
of the customers. It also details about the demographics of the company and competitors.
Consumers
There main consumers are fixed. They only deals with the customers which are having 5-
star luxury ratings (Leonidou and et.al., 2013). Some of their customers are Armani, Andaz,
Convention & Exhibition centre, Hilton, Radisson Blu, Park Hyatt and Mandarin Oriental which
are mainly situated at London, Dubai, New York, Bangalore and many more.
Conclusion and key issues/ assumptions emanating from Audit.
From the above it can be concluded that major advantages company is getting is from the
design and development of new featured products. The brand image of the company is developed
through their customers and other services they are providing to them.
Key issues which are emanating from the Audit are:
1. Company is gaining advantages from the design and brand image which is restricting its
profit.
2. Key consumers have made the brand image of the company.
Key Marketing objectives
IHS Global Alliance provides facilities to the leading brand and organisations. Therefore,
to determine requirements and analysing behaviours of buyer organisations considers SMART
objectives. Some of the are following:
 Deal with all the leading brand across the world.
 Maintain balance between material and production ratio.
 Fulfil demands within the time limit.
Core marketing strategies
IHS Global Alliance consider B2B market segmentation strategies. As the company
manufactures furnitures are equipments. Along with this deals with leading organization's
therefore, for in order to understand buyers behaviour effectively B2B approach is considered.
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With this help of this technique they are able to understand change in demands of corporate
world.
Implementation of marketing mix
In order to make marketing and promotional activities more effective IHS Global
Alliances considers marketing mix. In order to understand process 4P's are considered Following
is the implementation process:
Production: This is considered as an essential step of this mix. Through this step organisations is
able to increase production, by implementing advance technology for effective and accurate
results. For this various strategies are being considered by company such as hiring experiences
and professional employees (Phillips and Moutinho, 2014). Along with this various tactics are
considered such as repairing and maintenance. It increases speed of the process.
Prices: The objective of the organisations is to increase sales and purchase of company. For this
they are providing services at affordable prices. Along with this various strategies are also
considered such as economy prices. Through this they are able to attracts maximum number of
buyers effectively. Along with this various pricing tactics are also considered such as choosing
prices by considering various factors, providing discounts and offers and so on.
Places: Location is considered as an essential element for the success of any product. The IHS
Global alliances are also established their organisations at reachable location. Through which
transportation and resources cost get reduces automatically. Along with this it also plays and
effective role to attract clients.
Promotion: Promotion is considered as an essential step. Through .this process company is able
to present their services into market, attract clients and increase profitability. For this various
promotional strategies are considered by company. Along with this various tactics are also
considered. Such as considering social and digital media and present services effectively. Along
with this this platform organisations is able to cover large number of audiences.
Action plan
This is considered as an documentation. Through this company is able to present their
objectives and plan in front of investors and clients (Pike and Page, 2014). IHS Global Alliances
also implements yearly marketing action plan to achieve objective effectively. In this process
development of marketing objectives are considered as initial step:
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Marketing objectives: with the help of this step organisation is able to identify objectives that can
help to achieve objective. Following are the marketing objective of company:
 Increment in sales rate up to 50%.
 Deal with leading brand of world.
 Expand business with maximum turnover.
 Attract more clients with effective products.
With the help of these marketing objectives, company is able to focus and achieve their
objective.
Marketing Segmentation
In order to understand needs and requirements of clients marketing segmentation is
considered as an essential step. With the help of this step organisation distributes their clients
into small modules to understand their needs effectively. IHS Global Alliance, considered B2B
marketing segmentation approach. With the help of this step they are able to analyse behaviours
and requirements of buyers effectively. Therefore, they are able to meet their requirements
effectively. Along with this enables them to identify suitable technology in order to meet needs
of clients effectively and satisfy them.
Marketing strategies: IHS Global Alliances considers various strategies, to meet demands and
needs effectively. Along with this it also help in order to maximise profitability. Some of the
steps are following:
Penetration: Under this techniques various approaches are considered in order to promote
products and services. This process plays important role in order to boost up the profitability.
Development: In order to expand business various development strategies are considered by
company. With the help of this they are able to bring their company into new market or at new
platform.
Programs: The development of the programs are necessary to understand the market and make
strategies according to them (Yoo and Bai, 2013).
Positioning: Through this way IHS Global Alliances is able to improve their reputation into
market. Along with this it help to identifies competitors and techniques that are being considered
by customers.
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Controlling and Evaluation: On the basis of above process, analysis and evaluation step is
implemented by IHS Global Alliances. With this help of this they are able to determine strength
and weaknesses. On the basis of that corrections are implemented by them.
CONCLUSION
From the above report, detail description about the marketing plan for the IHS Global
Alliances is mentioned. The company is famous for its product and services it is providing to 5-
star luxury hotels. It is mostly engaged in the hospitality sector and serving in more better ways.
For the following firm marketing plan has been identified for which various analysis are carried
out.
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REFERENCES
Books and Journals
Alberti, G., 2014. Mobility strategies,‘mobility differentials’ and ‘transnational exit’: the
experiences of precarious migrants in London’s hospitality jobs. Work, employment and
society. 28(6). pp.865-881.
Altinay, L., Paraskevas, A. and Jang, S. S., 2015. Planning research in hospitality and tourism.
Routledge.
Armstrong, G. and et.al., 2015. Marketing: an introduction. Pearson Education.
Bowie, D., Buttle, F. and Brookes, M., 2016. Hospitality marketing. Taylor & Francis.
Cowley, M. B., 2016. Irish Home Care: An Integrated Digital Marketing Plan &
Communications Evaluation for Care Worker Recruitment.
Fraj, E., Matute, J. and Melero, I., 2015. Environmental strategies and organizational
competitiveness in the hotel industry: The role of learning and innovation as determinants
of environmental success. Tourism Management. 46. pp.30-42.
Galliers, R. D. and Leidner, D .E. eds., 2014. Strategic information management: challenges and
strategies in managing information systems. Routledge.
Goffin, J.R. and et.al., 2017. Use of a marketing plan for recruitment to a lung cancer screening
study.
Kandampully, J., Zhang, T. and Bilgihan, A., 2015. Customer loyalty: a review and future
directions with a special focus on the hospitality industry. International Journal of
Contemporary Hospitality Management. 27(3). pp.379-414.
Kim, W. G., Lim, H. and Brymer, R. A., 2015. The effectiveness of managing social media on
hotel performance. International Journal of Hospitality Management. 44. pp.165-171.
Law, R., Buhalis, D. and Cobanoglu, C., 2014. Progress on information and communication
technologies in hospitality and tourism. International Journal of Contemporary
Hospitality Management. 26(5). pp.727-750.
Leonidou, L.C. and et.al., 2013. Resources and capabilities as drivers of hotel environmental
marketing strategy: Implications for competitive advantage and performance. Tourism
Management. 35. pp.94-110.
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Phillips, P. and Moutinho, L., 2014. Critical review of strategic planning research in hospitality
and tourism. Annals of Tourism Research. 48. pp.96-120.
Pike, S. and Page, S. J., 2014. Destination Marketing Organizations and destination marketing: A
narrative analysis of the literature. Tourism management. 41. pp.202-227.
Yoo, M. and Bai, B., 2013. Customer loyalty marketing research: A comparative approach
between hospitality and business journals. International Journal of Hospitality
Management. 33. pp.166-177.
Online
Steps to Create a Marketing Plan, 2017. [Online]. Accessed through:
<https://www.thebalance.com/what-is-a-marketing-plan-1794426>. [Accessed on 15th
July, 2017].
How to create the marketing plan, 2017. [Online]. Accessed through:
<https://www.entrepreneur.com/article/43018>. [Accessed on 15th July, 2017].
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