Marketing Strategy and Plan

This report provides an understanding of the marketing strategy for Royal Hotel for the next year. It includes an analysis of the strengths and weaknesses of the company, as well as macro-environmental and micro-environmental factors. Tools like SWOT analysis, PESTLE analysis, and Porter's five forces are discussed, along with strategies for maintaining service quality.

Running head: MARKETING STRATEGY AND PLAN
Marketing Strategy and Plan
Name of the Student
Name of the University
Author Note

1MARKETING STRATEGY AND PLAN
Executive summary
The following report has aimed to provide an understanding on the marketing strategy for Royal
Hotel for next one year. This strategic planning has been done by finding out the strengths and
weaknesses of the company. The macro-environmental and micro-environmental factors have
been analyzed in this paper so the problems of the organization could be highlighted. Some of
the tools like SWOT analysis, PESTLE analysis and Porter’s five forces have been discussed.
Other strategies for maintain the service quality of the organization have also been discussed in
this paper a well. These factors will be helpful to gain the success for the Royal Hotel.

2MARKETING STRATEGY AND PLAN
Table of Contents
1.0. Introduction...............................................................................................................................2
2.0. Environmental Analysis............................................................................................................3
2.1. SWOT analysis.....................................................................................................................3
2.2. PESTLE analysis......................................................................................................................5
2.3. Porter’s Five forces...............................................................................................................7
3.0. Strategic Direct Vision.............................................................................................................9
4.0. Over arching strategies...........................................................................................................10
5.0. Conclusion and Recommendations.........................................................................................10
6.0. Reference List.........................................................................................................................12

3MARKETING STRATEGY AND PLAN
1.0. Introduction
The purpose of the following paper is to determine different factors for the success of the
organizations. The organization that has been chosen in this paper is the Royal Hotel. The
internal and external environments of the organization will be analyzed. The measuring of the
organizational environment through the Porter’s five forces will be discussed in the paper. The
performance of the hotel and their opportunities to grow better in their future will be gone
through. There are many good and bad points of the organization that will be measured through
the different ways by going through the vision and mission of the organization.
2.0. Environmental Analysis
As pointed out by different marketing experts, the analysis of the business environment is
a very important part of the success of the organization (Hill, Jones & Schilling, 2014). The
internal and external environments of the organization will have to be considered to assess how
the organization will lead towards the success.
2.1. SWOT analysis
Figure: (Baker, 2014).

4MARKETING STRATEGY AND PLAN
Strengths
 This hotel organization has provided several opportunities for creating jobs in the
hospitality sector (Hill, Jones & Schilling, 2014).
 The location of the hotel is located at the middle of the town so it will have better
opportunities for attracting the customers. The distance of the hotel from most impressive
attractions of the twon is not far. So, visitors will prefer this hotel mostly (Noe et al.,
2017).
 The hotel provides their visitors with all the modern facilities. This is why visitors prefer
their accommodation styles and services.
 There are around 225 guest rooms with two bars, extensive parking area and other
facilities helpful for their customers.
Weaknesses
 The training of employees is low compared with the other international hotel
organizations in the country (Noe et al., 2017).
 Many criticisms have been faced by the hotel in the last few years because of their
inability to provide customers with best facilities.
 The working conditions for employees are not sufficient for the employees.
 There are some leadership issues within the organization as well (Baker, 2014).
 The profit margins of the organization are not sufficient enough to provide employees
with extensive amounts of incentives.
Opportunities

5MARKETING STRATEGY AND PLAN
 There are several opportunities for the organization to improve their employee training
program just to make sure that customers can get their desired services properly.
 The Royal Hotel will be able to gain more customers if they indulge in their advertising
campaigns more efficiently through the use of traditional and social media platforms
(Baker, 2014).
 Some refurbishments can be done through the activities like spring cleaning and
decorating the hotel with floral painting and other facilities.
 The hotel authorities can look to utilize on the use of green technology to show that they
care for the environment they work in (Foxall, 2014).
Threats
 Due to the heavy competition, employees often change their workplaces because of lack
of job satisfactions in the Royal Hotel. This has led to the staff shortage and affected the
profit of the organization (Foxall, 2014).
 The major domestic hotels in the hotel industry have been a great threat for the
organization.
 After the 9/11 attacks in USA and attacks in Hotel Taj at Mumbai in India by terrorists,
hotel industry and major hotels have turned into primary targets for global terrorists.
Therefore, security threats are very essential in this hotel as well.
2.2. PESTLE analysis
Political
 Political stability in the country is a huge factor for regular visitor turn outs in the hotel.

6MARKETING STRATEGY AND PLAN
 The policies of the government like the implementation of new tax policies, fiscal
policies and major changes in tariffs will most likely affect the operations of the hotel
(Tiago & Veríssimo, 2014).
 If the Government imposes new tax structures or excise duty, the Royal Hotel will need
to restructure their organization completely.
Economic
 The rise of inflation in the global economy will lead to a huge impact on the success of
the organization in the next one year (Tiago & Veríssimo, 2014).
 With the continuation of this economic inflation, Royal Hotel will surely suffer a lot
because guest rates will decrease effectively.
 If the purchasing power of the customers drops down, it will impact on the hotel profits
as well (Tiago & Veríssimo, 2014).
 If the organization does not increase their budget on digital advertising, it will cause
grave effects on the sustainability of the Royal Hotel.
Social
 The social attachment with the customers and their business surrounding will create a
huge positive impact in the business standards (Gummesson, Kuusela & Närvänen,
2014).
 The brand image will be determined upon the connection of the hotel authorities with that
of the customers.
 The proper connection will have to be set up between the customers and management
through social media platforms.

7MARKETING STRATEGY AND PLAN
Technological
 The use of latest technology has become a very crucial factor for a big hotel organization
like Royal Hotel to succeed in this competitive business environment (Gummesson,
Kuusela & Närvänen, 2014).
 Innovative technologies should be introduced in the operations of the Royal Hotel. It will
give better performance for the organization.
 The customers will be happy with faster and better service systems with the use of
technology (Ho, 2014).
Legal
 All legal regulations of the country should be abided by the Royal Hotel. This will surely
add to the good reputation of the organization (Eva et al., 2014).
 All the health aand safety laws should be implemented for overall well being of the
employees.
 Any braech of legal factors will cause great problem for the organization.
Environmental
 The use of green technology will be a huge boost for Royal Hotel to cater for the
environment welfare program (Dobbs, 2014).
 Proper waste management programs should also be undertaken in the next one year by
Royal Hotel to save the environment.
2.3. Porter’s Five forces
Buyer power

8MARKETING STRATEGY AND PLAN
 The power of buyers is very strong because the hotel industry is very competitive.
 The price and value of the goods will have to be measured properly as buyers want
proper accommodation for their friends and families (Nieves & Segarra-Ciprés, 2015).
 Buyers might shift because of alternative options available.
Supplier power
 The market situation will have to be analyzed to ascertain the power of suppliers for
Royal Hotel.
 As there are several other hotels in the region the supplier power is low. This has resulted
negatively on the success of the firm (Benavides-Velasco, Quintana-García &
Marchante-Lara, 2014).
Threat of new entrants
 Hotel industry has become quite competitive. There are always emerging threats of new
entrants in the industry and offering better accommodation facilities at a comparative
lower price (Nieves & Segarra-Ciprés, 2015).
 This will work as a big barrier for the overall success of the organization.
Threat of substitutes
 The changing tastes of the customers have affected the profit level of the organization
and it might impact more in the future as well (Jones, Hillier & Comfort, 2014).
 If customers find better opportunities, they will surely change their preferences without
notice.
Competitive rivalry

9MARKETING STRATEGY AND PLAN
 The competitive rivalry is very high in this sector because many organizations are in this
sector and all of them provide good services and products for their customers.
 It has become a challenge for Royal Hotel since their competitors provides unique
products.
3.0. Strategic Direct Vision
The mission, vision and corporate social responsibility of the organization are quite
essential for the long-term sustainability of the organization. These things contribute a lot for
measuring strategies of the organization (Dedeoğlu & Demirer, 2015).
Mission:
To meet the needs of all our guests and enhance customer satisfaction to the extreme
Vision
We aim to deliver exceptional and efficient accommodation experiences to all our guests in big
time.
Values and Essentials
 The organization aims to provide best hospitality facilities to their customers always.
 They look to the cleanliness of the hotel and help the environment to sustain better.
 The employees of the hotel work with collaboration and honesty.
Corporate social responsibility
 To ensure best relations with the society, Royal Hotel will look to participate in local
festivals and sponsor events in the future Molina-Azorín et al., 2015).

10MARKETING STRATEGY AND PLAN
 In quest to long-term success, the organization will have to work with integrity and take
utmost care of both their employees and customers.
 To take part in various community services to engage with people
4.0. Over arching strategies
Marketing strategy
Royal Hotel should engage in adopting effective marketing strategies that will surely help
them to overcome the odds that they faced during the beginning of this century. The feedbacks
from their loyal customers should be collected on how they can improve in future by making
certain changes in their organization (Strauss, Frost & Sinha, 2014). The use of online ticket
booking facilities should be a great boost for their success. The social media presence will also
develop their ability to provide better outcomes (Chaffey & Smith, 2017).
Managing service quality
In order to maintain a proper reputation in business market, Royal Hotel will have to
manage their service qualities very effectively (Strauss, Frost & Sinha, 2014). The employees
should be given proper training facilities so they can perform better and cater to the needs of
their guests. The motivation for employees should be provided by the leaders so this would
maintain a better service delivery option for their organization.
5.0. Conclusion and Recommendations
On a concluding note, it can be said that Royal Hotel should have to look forward to their
mistakes and make proper strategies that would see them through success. Their failure to
implement strategies has been important in this situation. They will need to use the online

11MARKETING STRATEGY AND PLAN
services more to create a positive impact on the minds of their customers. Apart from that, they
will have to implement proper training programs for their employees that would lead them to
success. It is also recommendable that Royal Hotel should be dynamic in their approach to gain
economic benefits and focus on security of their employees as well.

12MARKETING STRATEGY AND PLAN
6.0. Reference List
Baker, M. J. (2014). Marketing strategy and management. Macmillan International Higher
Education.
Benavides-Velasco, C. A., Quintana-García, C., & Marchante-Lara, M. (2014). Total quality
management, corporate social responsibility and performance in the hotel
industry. International Journal of Hospitality Management, 41, 77-87.
Chaffey, D., & Smith, P. R. (2017). Digital marketing excellence: planning, optimizing and
integrating online marketing. Taylor & Francis.
Dedeoğlu, B. B., & Demirer, H. (2015). Differences in service quality perceptions of
stakeholders in the hotel industry. International Journal of Contemporary Hospitality
Management, 27(1), 130-146.
E. Dobbs, M. (2014). Guidelines for applying Porter's five forces framework: a set of industry
analysis templates. Competitiveness Review, 24(1), 32-45.
Eva, M., Hindle, K., Paul, D., Rollaston, C., & Tudor, D. (2014). Business analysis. D. Paul, D.
Yeates, & J. Cadle (Eds.). BCS, The Chartered Institute for IT.
Foxall, G. (2014). Corporate Innovation (RLE Marketing): Marketing and Strategy. Routledge.
Gummesson, E., Kuusela, H., & Närvänen, E. (2014). Reinventing marketing strategy by
recasting supplier/customer roles. Journal of Service Management, 25(2), 228-240.
Hill, C. W., Jones, G. R., & Schilling, M. A. (2014). Strategic management: Theory & cases: An
integrated approach. Cengage Learning.

13MARKETING STRATEGY AND PLAN
Ho, J. K. K. (2014). Formulation of a systemic PEST analysis for strategic analysis. European
academic research, 2(5), 6478-6492.
Jones, P., Hillier, D., & Comfort, D. (2014). Sustainability in the global hotel
industry. International Journal of Contemporary Hospitality Management, 26(1), 5-17.
Molina-Azorín, J. F., Tarí, J. J., Pereira-Moliner, J., Lopez-Gamero, M. D., & Pertusa-Ortega, E.
M. (2015). The effects of quality and environmental management on competitive
advantage: A mixed methods study in the hotel industry. Tourism Management, 50, 41-
54.
Nieves, J., & Segarra-Ciprés, M. (2015). Management innovation in the hotel industry. Tourism
Management, 46, 51-58.
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2017). Human resource
management: Gaining a competitive advantage. New York, NY: McGraw-Hill
Education.
Strauss, J., Frost, R., & Sinha, N. (2014). E-marketing. Upper Saddle River, NJ: Pearson.
Tiago, M. T. P. M. B., & Veríssimo, J. M. C. (2014). Digital marketing and social media: Why
bother?. Business horizons, 57(6), 703-708.