Strategic Marketing for Tourism and Hospitality

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This document discusses strategic marketing in the tourism and hospitality industry, focusing on Miller & Carter. It covers the challenges faced by Miller & Carter in the external environment, the impact of service marketing mix, and the contribution of marketing communication and public relations to the company's marketing strategy.

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Strategic marketing for
tourism and hospitality

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Contents
Learning Outcome 1....................................................................................................................................3
Discussion of how Miller & Carter is affected by the challenges it faces within the external
environment from a globe or national perspective...................................................................................3
Learning Outcome 2....................................................................................................................................6
Analyse service marketing mix and how these component impact one another within Miller & Carter
and wider hospitality industry..................................................................................................................6
Learning Outcome 3....................................................................................................................................8
Access the way in which marketing communication and public relation contribute towards Miller &
Carter marketing strategy........................................................................................................................8
CONCLUSION...........................................................................................................................................9
REFERENCES..........................................................................................................................................10
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INTRODUCTION
Strategic marketing within hospitality industry helps in building the brand awareness by
attracting new customer as well as maintaining loyalty among existing ones. Hospitality sector is
one of the most emerging sectors that deals in services so the market manager in order to
generate customer loyalty devote significant amount of time as well as resources to create brand
awareness through interconnected campaigns. It basically comprises of travel and tourism as
well as food and beverages which are more likely to be preferred by different age group as it is
considered as one of the most significant sources of recreational activity (Tsiotsou and
Goldsmith, 2012). For the better understanding of report Mitchell's & Butlers company has been
selected that basically deals in pubs, bar as well as restaurants for the local residents of United
Kingdom. It basically appeals the attention of wide group of customers including both young
generation as well as adults to spend time outside their places and thoroughly leverage the
informal services. The company includes different types of restaurant as well as pubs like All
Bar One, Miller & Carter, Harvester, Browns restaurant and so on. This report cover topics like
external environment challenges that can affect the functioning of Miller & Carter along with
that analyse the impact of service marketing mix within Miller & Carter as well as wider
hospitality industry. Further, describe the way by which marketing communication as well as
public relation can contribute in building the marketing strategies.
Learning Outcome 1
Discussion of how Miller & Carter is affected by the challenges it faces within the external
environment from a globe or national perspective
Miller & Carter is a part of Mitchells and Butler’s that remain fascinated in terms to grab
wide attention of the customer by offering them desirable number of choices in the quality food
as well as drink due to which people find the place value for money. It basically target to the
wide percentage of people that explore pubs as well as restaurant for the purpose to relax and
have informal or casual means (Moutinho and Vargas-Sanchez, 2018). Mitchells & Butlers brand
is the main restaurant that comprises of approximately 1700 restaurants due to which they faces
immense amount of competition in terms to sustain the relationship with internal as well as
external stakeholders.
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External environment: It is necessary for all the organization to study external
environment which involves the surrounding where the business function. As the entity
incorporate into dynamic environment due to which external environment comprises of various
factors including Pestle analysis that helps to gain detailed insight on the basis of which Miller &
Carter can overcome challenges and maintain vital pace within rapidly changing environment.
Political factor: Business needs to understand the surrounding condition, circumstances,
rules as well as regulation to stay competitive in the national as well as international market.
Although political condition cannot be controlled by the entity due to which it is necessary to
make vital amendments according to the situation. Generally, political factor acts as a challenge
or difficult situation for the pubs as well as restaurant industry within United Kingdom due to
which in each and every subsequent year the pub industry gets affected by the flood of various
new regulations. These regulations include ban on smoking, alcohol test order zones, licensing
act and so on. Herein, Miller & Carter needs to abide by each and every regulation where they
cannot entertain people who are below 18 years of age and need to design the menu in such a
way the calorie content is mentioned for the awareness of customers. This is the main reason
Miller & Carter’s profit fluctuate in their business rather than generating uniform income
because it bears the immense interference from government and political bodies (Énalan and
Soteriades, 2012).
Economic factor: This represents the national as well as international situation of the
economy under which business as a whole operates. Business needs to function on the basis of
different economic conditions like inflation or recession along with that interest rate, foreign
exchange rate as well as disposable income of the customer needs to be considered. In relation to
the Miller & Carter seeks the advantage of stable market where the disposable income of
customer is high due to which they can positively generate growth and try to overcome
challenges associated with economic fluctuations. On other side, even after getting the
opportunity immense pressure in the pubs takes place due to which they faces loss and ended up
in the final closure (Line and Runyan, 2014). For instance, according to licensed rate any rise in
the cost of pub has been lead to the shutdown of business. Thus, respective pub needs to
constantly work in terms to build up strong brand image by delivering meaning operational skills
as well as building excellent sites.

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Social factor: It includes responses of people which are an essential factor in terms to
deliver the goods and services effectively. To face challenging situation it is vital for the Miller
& Carter to evaluate changing trend of the customer within United Kingdom. As most of the
people prefer going outside with their family and friends causing increased demand of informal
restaurant as well as pub in comparison to traditional fine dining restaurants. Mitchell’s &
Butlers retain concern for the people that does not consume alcohol due to which it is considered
as one of the most responsible pubs. Such goodwill helps other subsidiary company like Miller &
Carter to maintain trust and loyalty of customer (Gerritsen and van Olderen, 2014). As nowadays
health consciousness amongst the customer has become challenging situation for informal pubs
or restaurant. But regular study about the social factor has assisted respective companies to focus
on the healthy cooking practices where they try to serve healthy food stuffs to the customer by
maintaining nutritious value as well as hygiene level.
Technology factor: Technology improvement and urge to adopt the latest innovation has
become necessity for the hospitality industry in order to reduce the waiting time and effectively
deliver the services within stipulated time period. Adoption of technology enables businesses to
optimum utilize their resources and maximize their output which helps to reduce the energy, time
as well as money. In context to Miller & Carter focuses to save the energy by investing in
electric smart meters, energy efficient equipment, low energy electric bulbs and so on. The main
challenge for the company is to carry out immense expenditure while installing new equipment
or latest innovations to deliver significant amount of result.
Environment factor: Based on environment factor immense attention is given to reduce
the carbon footprint by increasing energy efficiency techniques (Rosenbaum and Wong, 2015).
Most of the restaurant or bar makes desirable practice in order to reduce the carbon emission and
effectively safeguard the interest of external surrounding. Miller & Carter carry out immense
expenditure in the corporate social responsibility so that they can maintain desirable image
amongst the internal as well as external stakeholders. The company invests more into
green concept and has enormously participated to reduce the carbon emission due to which it has
gain various positive awards. Further, it has employed wide number of people to overview the
customer and delivers them meals and drink because of which it has gained recognition in terms
to scale up the operations and mitigate chances of wastage.
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Legal factor: This factor comprises of legislation that is essential for all the national and
international company to abide by for the welfare of employees, surrounding as well as society.
There exists huge imposition of taxes within pubs as well as restaurant so it is necessary for
manager to render regulation like it cannot serve to the people who are below 18 years and need
to build separate zone for the smoking area (Horng and Tsai, 2012). Such actions don’t affect the
people who does not consume alcohol or indulge in smoking even it helps to build desirable
image amongst the government because negligence of any law can lead to high penalty charges
and termination of license. This is the challenging situation for Miller & Carter due to which
they need to remain updated about the regulation for the success of business.
Learning Outcome 2
Analyse service marketing mix and how these component impact one another within Miller
& Carter and wider hospitality industry
Marketing mix strategy involves the tactics that helps to focus on the different areas of
business with the objective to achieve desired result by serving the market or demands of
customer effectively. The service marketing mix involves seven elements that are discussed
below:
Product/Services: It refers to the offering which can be in tangible or intangible form but
its purpose is to provide satisfaction to the customer. In relation to the Miller & Carter which
operator in United Kingdom and offer the facility of restaurant as well as pubs that serve light
meals and drinks to customer. It basically offers wide variety of choices in the food stuff so that
the customer find value for money as they get the zone to accommodate their requirement
(Sigala, Christou, and Gretzel, 2012). Within hospitality industry efforts are taken to
acknowledge the requirements of customer, gain adequate information about target market and
resolve their problem by delivering them suitable services.
Price: Competitive price strategy is adopted by the Miller & Carter due to high
availability of pubs as well as restaurant. Application of such strategy helps company to retain
the interest of customer and they need to pay affordable prices and get high quality of food as
well as beverages. Along with that it delivers online services for which additional prices are
added due to the delivery as well as packaging cost of the product. Thus, the hospitality
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industries identify the purchasing capability of the demographic region and simultaneously
design prices for food and catering services.
Place: The company deliver services to the customer through their restaurant as well as
pubs which comprises physical chain as well as have effectively design the space within online
website. This has effectively strengthened the position of company and has helped them to
generate frequent traffic leading to high earnings. Hospitality industry research the whole
territories and according cover emerging requirement of customer based on this internal staff can
expand the services in diverse areas without any complications (Kotler and et. Al., 2017).
Promotion: Multimedia channels are used to promote the services of company which
include role of both traditional media that specially includes print advertisement, radio and
television. Along with that dependency on social media site and website of company can help to
understand wide requirement of customer. This does not only helps to enhance the sales of
company but also helps to understand perception of customer based on which necessary
amendments can be made. In relation to the hospitality industry promotion through word of
mouth publicity, referral opinion and online review sites helps in making the final decision of
customer.
Physical evidence: The ambience, sitting arrangement, variants in the services, user
friendly website and cutlery act as a physical evidence of Miller & Carter that allow customer in
developing the desirable experience. Food and beverage is the part of hospitality sector under
which customer on the basis of physical environment generate potential experience.
People: Miller & Carter comprises of wide percentage of staff that helps to deliver the
favorable services to the customer. Attending each and every customer significantly helps in
building the favorable responses of customer due to which the sales representatives are trained
enough to understand the requirement of customer (Kastenholz, Carneiro and Marques, 2012).
Under hospitality sector people helps to reducing the chances of dissonance by providing
outstanding services to the service seeker.
Process: The process from taking the orders, preparing and delivering them are
significantly defined in Miller & Carter due to which customer gets their order within confined
duration. Even the online process are clearly defined under which customer can order products

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via user friendly website through which feedbacks are also collected in favor of company.
Within hospitality sector process is basically the integrated buying exposure that helps to
establish the network and function to distribute goods and service.
Learning Outcome 3
Access the way in which marketing communication and public relation contribute towards Miller
& Carter marketing strategy
Marketing Communication helps in building the favorable relation with the ultimate user
of the product and services. In this competitive environment it is very necessary to build positive
public relation in order to generate high amount of conversion as well as traffic rate. In context
to, Miller & Carter carry out immense expenditure in upgrading the quality of their offerings.
Like, to attract the health freak customer the restaurant offer desirable combination of nutritious
and tasty food. All the transition or innovation are mainly promoted through the digital presence
which comprises of various tools like website, social media marketing and deliver personalised
offers through email media (Eissa, 2016).
Marketing communication generally includes promotional, advertisement activity and
direct marketing that helps to gain the direct sales. As PR more emphasize on the reputation
management by generating positive media coverage as well as stakeholders communication.
Amongst diverse pubs Miller & Carter has maintained its unique image and gained various
awards as it suitably abide by the all legislation imposed by local authorities, along with that it
focuses to maintain the interest of people. Maintaining desirable communication with audience
helps to reach out to the current as well as potential audience. The role of public relation is to
positively maintain the relationship and engage favorable interest of target audience for the
particular brand. The company has significantly managed its brick and mortar outlet as well as
online chain through which the customer can track the services of entity and generate the urge to
maintain the loyalty amongst customers. The website involves the helpline number, contact
details and email address of an organization through which queries are addressed directly in
order to reduce the chances of dissatisfaction. Similarly, within the restaurant or pubs there is a
high availability of the staff that looks after the convenience of the customer (Okumus and et. al.,
2019). So existence of desirable place attracts audience to come up at particular zone where they
can relax and leverage the advantage of supreme quality of food as well as drink. Moreover, this
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determined that it is vital for an organization to maintain the communication with the customers
so that they remain well versed about the offerings and can subsequently order them leading to
long term sustainable advantage (Kotler, 2012).
CONCLUSION
From the above report it has been determined that it is very essential for the hospitality
sector to effectively build the strategy and market them in favor of customers. As the core
offering of the hospitality industry is services which are deliver in form of hotel, accommodation
entertainment services, food and beverages. Thus, it is very essential for the restaurant or pubs to
analyse the external environment in which they have to operate their business so that they can
face the challenges by developing effective strategy. Along with that effective techniques needs
to be built for the service marketing mix as it helps in developing unique image of the brand
amongst the other rivalry dealing in similar type of the industry. Furthermore, it is vital for
restaurant to communicate with ultimate user by building public relationship to understand their
requirement and develop effective strategy appropriately.
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REFERENCES
Books and Journal
Tsiotsou, R. H. and Goldsmith, R. E. eds., 2012. Strategic marketing in tourism services.
Emerald Group Publishing.
Moutinho, L. and Vargas-Sanchez, A. eds., 2018. Strategic Management in Tourism, CABI
Tourism Texts. Cabi.
Énalan, D. and Soteriades, M., 2012. Tourism destination marketing: approaches improving
effectiveness and efficiency. Journal of Hospitality and Tourism Technology.
Gerritsen, D. and van Olderen, R., 2014. Events as a strategic marketing tool. CABI.
Sigala, M., Christou, E. and Gretzel, U. eds., 2012. Social media in travel, tourism and
hospitality: Theory, practice and cases. Ashgate Publishing, Ltd..
Kotler, P. and et. Al., 2017. Marketing for hospitality and tourism.
Kastenholz, E., Carneiro, M. J. and Marques, C., 2012. Marketing the rural tourism experience.
Strategic marketing in tourism services. 16. pp.247-264.
Rosenbaum, M. S. and Wong, I. A., 2015. Green marketing programs as strategic initiatives in
hospitality. Journal of Services Marketing.
Line, N. D. and Runyan, R. C., 2014. Destination marketing and the service-dominant logic: A
resource-based operationalization of strategic marketing assets. Tourism Management.
43. pp.91-102.
Horng, J.S. and Tsai, C. T., 2012. Culinary tourism strategic development: an AsiaPacific
perspective. International journal of tourism research. 14(1).pp.40-55.
Kotler, P., 2012. Kotler on marketing. Simon and Schuster.
Eissa, M. M., 2016. How to Apply the Suitable Strategic Marketing during the Political and
Security Crisis in the Egyptian Hospitality Industry. International Journal of Heritage,
Tourism, and Hospitality. 7(2).
Evans, N., 2015. Strategic management for tourism, hospitality and events. Routledge.
Okumus, F. and et. al., 2019. Strategic management for hospitality and tourism. Routledge.
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