Unit 15: Hospitality Marketing Essentials

This document discusses the key roles and responsibilities of marketing functions within The Ritz Hotel, London. It also explores the relation of marketing with wider organisational functions and compares the ways in which hotels implement their marketing mix. Additionally, it provides a marketing plan for The Ritz, London.

Unit 15: Hospitality Marketing
Essentials

Table of Contents
INTRODUCTION .........................................................................................................................3
LO1..................................................................................................................................................3
P1 Key roles and responsibilities of the marketing functions within The Ritz Hotel, London...3
P2 Relation of roles and responsibilities of marketing with wider organisational functions......5
LO2..................................................................................................................................................7
Comparison of ways in which hotels implement their marketing mix........................................7
LO3..................................................................................................................................................9
P4 Marketing plan for The Ritz, London.....................................................................................9
CONCLUSION .............................................................................................................................12
REFERENCES .............................................................................................................................13

INTRODUCTION
Marketing is a business function that is mainly carried out with an objective with an
objective to promote selling. Several definitions have been developed to explain the concept of
marketing and Peter F. Drucker defines marketing “the aim of marketing is to know and the
customer so well the product or service fits him and sells itself”. This definition suggests that
marketing starts before production and creation of product. Marketing has become significantly
important in hospitality organisations, there are several reasons for that this includes competition
in hospitality, increasing consumer spending in hospitality organisations. This report will
contextualise The Ritz Hotel, London 5-star hotel that is located in Piccadilly, London. This
hotel is considered a symbol of luxury and high society and is also one of the hotels that is
prestigious and also best known hotel. Hotel was opened in 1906 by Swiss hotelier Cesar Ritz.
There are 111 rooms and 3 suites in hotel along with 3 restaurants. This report will discuss about
roles and responsibilities of marketing and interrelationship between other organisational
functions. This will be followed by comparison of marketing mix in hospitality organisations.
This will be followed by development of marketing plan for The Ritz Hotel, London.
LO1
P1 Key roles and responsibilities of the marketing functions within The Ritz Hotel, London
Several roles and responsibilities are fulfilled by marketing function in The Ritz Hotel,
London. These roles and responsibilities of marketing functions get affected trends of marketing.
Success of marketing functions gets affected by trends in marketing in which current trends in
marketing involves digital marketing and social media marketing and future trends in marketing
are likely to involve artificial intelligence as a key tool.
Roles and responsibilities of marketing functions involve-
Identification of customers
This is concerned with identifying wants and needs of customers. This involves matching
services of The Ritz Hotel, London with customer needs and requirements (Schmidt, 2017). In

order to do this marketing function ensures that they are targeting right customer group to whom
they can sell their services or customers who will buy services of The Ritz, London. Once
marketing department has identified target market another step in this is to find ways to reach to
potential customers and connect them with The Ritz, London.
Satisfaction of customers
This is another role that is played by marketing in The Ritz, London. Satisfaction of
customer involves providing them right product at right time or ensuring that right product at
right time is available for customers. This also involve that customers feel that services that they
have bought are of value in exchange of the pay they have made for the services. Satisfaction of
customers is not only a responsibility but also an aim and objective of marketing because
satisfaction of customers leads to customer loyalty towards The Ritz, London.
Retaining customers
This is another role of marketing in which marketing have to ensure that customers have
a reason to come back to The Ritz, London (Öberg, 2020). This involves their satisfaction and
asking for their feedback and maintaining regular connect with customers after sale. Retaining
customers is beneficial for organisation as repeat customers are more beneficial, this also saves
marketing cost of The Ritz, London. Along with this there are several other benefits of customer
retention and this involves important role of marketing to retain customer or guest in The Ritz,
London.
Responsibilities of marketing involve-
Market research
Market research is an important responsibility of marketing. This is concerned with
gathering data about target market and customers. This is aimed at getting information regarding
target market and understanding target market. This help in understanding what type of product
and service customers are interested and market research also help in tracking and knowing
changes in taste and preferences of target market.
Product development

This is another important responsibility that marketing has in The Ritz, London, this
responsibility requires them to develop product according to needs and requirements of
customers (Gama and Casaca, 2019). Marketing has information regarding requirements and
desires of customers and this is why they have important responsibility in ensuring that product
being developed is as per requirements of customer.
Planning
This is another responsibility of marketing function and in this responsibility marketing
function requires to develop plan regarding marketing. Planning involves articulation and
determination of activities and practices that will be carried out by The Ritz, London in future.
Marketing functions specifically design and determine activities and functions to be carried out
in future in relation with marketing. This is important as planning helps in completion of
activities that lead to achievement of objectives of The Ritz, London.
Promotion
This is one of the most important responsibilities of marketing. Promotion can be defined
as marketing communication that is aimed at influencing and pursuing potential customers to
buy services of The Ritz, London. In this responsibility marketing is expected to promote to right
customers and utilising most suitable channels and most effective content to encourage target
market and customers to buy services of The Ritz, London. In order to influence target market
and customers this is very important activity and success of this has huge impact on success of
marketing of The Ritz, London (Chakraborty and Jha, 2019).
P2 Relation of roles and responsibilities of marketing with wider organisational functions
Interrelationship can be defined as interaction and connections between people, group of
people or parts within system. Interrelationship in organisation and its different functions is very
important as they facilitate functioning of the organisation and are beneficial for overall
organisation. Marketing is also related to several other functions in the organisation. As a
hospitality organisation other key functions of The Ritz, London involve housekeeping, front
office, maintenance, human resources, and finance. Interrelationship between these functions and
marketing is as follows-

Marketing and Housekeeping
Housekeeping department in The Ritz is responsible for cleaning and maintaining order
of the rooms, suits and other areas in the hotel where guest and customers are likely to go.
Marketing and housekeeping department shares relationship through which marketing
department inform about standards of cleanliness that customers and guests expect from The
Ritz, London (Swami and Shankar, 2018). Marketing department also responsible for sales
planning and forecasting and plan occupancy of The Ritz and this is used to inform
housekeeping department about their services and further projected sales is divided on monthly
basis. Housekeeping department can make decisions regarding their strategies and practices.
Marketing and Front office
Marketing and front office also shares important relations with each other. Front office is
responsible for directly interacting with guests when they arrive to hotel and staff of front office
of visible to guests. Front office department also is responsible for successful check-in and
check-out of customers. Transactions between hotel and guests are also handled by front office
department. Marketing department plays important role in determination of pricing and along
with benefits to individual customers are also determined by marketing. Communication and
interaction between front office and marketing facilitates working of front office and help in
maintaining positive relations with guests.
Marketing and maintenance
Maintenance department of The Ritz is responsible for ensuring safety of the guests and
employees within hotel and areas where guests can go while their stay in hotel. Maintenance
department of hotel is also responsible for improving energy efficiency and reducing operating
cost of the hotel and ensure that every room and area in hotel is up to standards to safety and
services of The Ritz (Lozovitskaya, 2017). Marketing and maintenance department share
relationship as marketing department project and plan yearly sales, they need to communicate
these with maintenance so that they can develop their plan accordingly. This is important when
there is a requirement for repair work in hotel, both rooms occupied and repair work needs to be

coordinated in order to ensure safe and satisfied stay of guest. Maintenance department is also
important for communicating about repair work and how that is likely to affect sales and room
occupancy in The Ritz, this help in better decision making and planning of marketing
department.
Marketing and Human Resource
Human resource department is responsible for fulfilling requirements regarding
employees and their management within The Ritz. Marketing and HR department shares
important relationship as HR department ensures that marketing department has right number
and right kind of employees available to carry out marketing functions of The Ritz. Other than
this, HR department also ensures management of training and development, compensation and
grievance of employees of marketing department (Podnar, Kohont and Jancˇicˇ,2017). This
mainly outlines importance of HR for marketing but marketing is also important for HR,
hospitality industry involve seasonal employment based on occupancy of the hotel and
marketing department project sales of the hotel and this help in planning HR requirement in
hotel. This way both departments facilitate and contribute in efficiency of each other.
This discussion outlines importance of interrelationship between different organisational
functions and how roles and responsibility of marketing gets influenced in wider organisational
context.
LO2
Comparison of ways in which hotels implement their marketing mix
Marketing
Mix
The Ritz, London Hilton Hotel on Park Lane

Product Product of The Ritz, London involves
high class hospitality services as
leading hotel in world. The Ritz offer
services in form of rooms and suits and
both are spacious and of high quality.
Along with high class accommodation
The Ritz, London also provides food
and beverages services through its 3
restaurants. Concerned with
accommodation and hospitality
services The Ritz, London provides
spacious rooms, private baths, and
other comfortable accessories.
Hilton Hotel on Park Lane is a full
service 5-star full service hotel. Other
than this, hotel also offers services
like wedding, meetings and banquet
facilities and special event services.
Price In its price strategy The Ritz, London
offers high class services and has
employed premium price policy (Wu
and Li, 2018). Because of its premium
price positioning The Ritz, London
targets customer segments including
celebrities, business executives, leisure
travellers and upper-middle class,
national and international sports people
and upper section of the society.
Hilton Hotel on Park Lane is an
executive service provider and targets
exclusive segment of society. Hilton
Hotel on Park Lane adopt and
implement premium price strategy.
Premium price strategy this strategy
is based on two variants that are
quality and price and both are high,
high quality and high price.
Place The Ritz, London operates in
Piccadilly, London. Concerned with
distribution channel services like
reservation and booking services of
The Ritz, London are available online
at website of the hotel. Additionally
they are also available through third
party like travel agents.
Hilton Hotel on Park Lane is situated
in park lane, London. In relation with
distribution strategy its services can
be bought online and offline. Online
its services can be bought through its
website and offline reservation
services can be bought through travel
agents and third party application for
tour planning and bookings.
Promotion The Ritz, London has adopted a word
of mouth strategy of promotion in
which satisfied customers of the
company to people known to them.
Other than this, The Ritz, London also
advertises through travel magazines,
travel agents and social media
platforms and its official website
(Camilleri, 2018).
Additionally, promotion of The Ritz,
London also employs a reward program
that offers several opportunities to earn
reward points and in order to earn
reward points customers has to enrol as
Hilton Hotel on Park Lane is
extensively focused on exclusive
services and customer satisfaction.
Hilton Hotel on Park Lane
emphasizes on quality and luxury of
the services (TOMA and
GRĂDINARU, 2018). Promotions of
Hilton Hotel on Park Lane promote
through premium magazines and also
promote through social media and
websites.

member of hotel.
People The Ritz, London employs employees
from best institutes from most elite
sectors of country in each functional
area of the hotel, including business
persons, manager and chefs. They are
further given training to align with
business philosophy and ensure that
customers and guests receive best
services.
In order to ensure and maintain
customer loyalty Hilton Hotel on Park
Lane has highly qualified staff. These
staff is hired from top hospitality
organisations and then they are given
extensive and effective training so
that they can effectively work and
contribute in customer loyalty.
Process The Ritz, London involve several
processes in hotel in order o ensure that
customers and guests are satisfied and
have a comfortable stay at hotel
(Jackson and Ahuja, 2016). In this key
processes of the hotel are reservation,
check-in and check-out, housekeeping
and maintenance.
Process of Hilton Hotel on Park Lane
involves all the processes for
hospitality organisation including
check-in and check-out, and other
processes.
Physical
evidence
Physical evidence of The Ritz, London
involves its interior and exterior and
company offers high quality interior
and has strong emphasis on ambience
and facilities. Exterior of the company
is of Franco-American in style
structurally and visually and is also a
little English architecture.
Hilton Hotel on Park Lane involves
attractive interior and appearance.
Physical evidence involve bills,
check-in and check-out papers.
LO3
P4 Marketing plan for The Ritz, London
Objectives
To generate 13% increase in revenue within next 2 years
To gain 5% market share in the market in 2 years
To expand in presence in 2-3 more countries in 1 year
Marketing audit
It has been found that The Ritz, London operate in London where they offer all types of
hospitality services such as accommodation, food, etc. the resources used by them are HR,
finance, various software and equipments, etc. Also, distribution method followed by hotel is

direct that is B2C. Its competitors are Hilton, Accor, Marriott, and many other hotels operating in
UK.
Marketing analysis
This refers to analyzing of market and then targeting people. For that STP is followed
which is explained as
Segmentation- It is a process of categorising population on basis of homogenous groups and with
some criteria. Hence, The Ritz, London will segment it on basis of income level.
Targeting - Company target the audience on basis of criteria identified. Here, hotel will target
upper middle class income people (Bowie and et.al., 2016).
Positioning - It refers to placing or promoting its brand to target audience and showing that how
it is different from rival products. They will position it through high quality, premium services,
SWOT analysis
Strength
The presence of hotel is in right location and near famous places. Also, it is situation in center of
city London.
Customer who want luxury stay prefer to select this hotel
It provides high quality services and there is strong brand name of hotel in entire UK.
Weakness
There are many other hotels as well in UK that provide luxury services but at low cost. So, it
gives tough competition to The Ritz, London.
There is fluctuation in demand due to which hotel is not able to sustain its brand image in
market.
Opportunity
They can expand in new market and emerging countries like India, Singapore, etc. where there is
growing preference of luxury among people.
It can use technology to shift business model and provide services online. This will enable in
attracting more people.
Threats
The competitors of hotel are Hilton, Accor, Marriott, etc that may give tough competition in
market in future.

The covid 19 pandemic has highly impacted on hospitality sector. So, it may require more time
to overcome loss and ensure long term growth of business.
Marketing strategy
Market penetration- here, the company focus on existing market with existing product. The Ritz,
London can try to increase customers base in London by attracting more people. For this they
can offer discounts, coupons, etc and do effective marketing to attract people (Jaworski, and
Lurie, 2019).
Market development- it refers to strategy in which businesses enter in new market with existing
product. thus, The Ritz, London can enter in new market such as India, Norway, Denmark, etc.
and provide same services. It can grow and expand their business.
Product development – in this company develop new products for existing market to fulfil their
needs. Similarly, hotel can also provide new services like Spa, pick and drop, city tour, etc. in
current market. It will help in increasing sales.
Diversification - this strategy is most risky as here company enter in new market with new
product. it is done to create awareness and expand. Likewise, The Ritz, London can enter in new
location with new services.
Thus, The Ritz, London can follow strategy of market development. They can expand in
new countries so that more sales is generated. In this way they can grow their business.
Budget
In order to implement the marketing plan and attain objectives there is need of a budget.
This makes it easy to allocate resources and gives insight as well. it is as follows
Elements Budget
Salary of HR $750
Marketing and promotion expenses` $500
Technology tools and equipment $1000
Other expenses $300
Total budget $2550
Action plan

There is an action plan needed to ensure that how marketing plan will be implemented. It
also helps in monitoring of plan in effective way. Therefore, here action plan will by obtaining
outcomes of each month and then comparing it with goals set. Moreover, services will be offered
through online channel and tracking of marketing will be done.
Marketing plan: Action plan
Company objective Strategy Tactics Control/ Measure
To generate 13%
increase in revenue
within next 2 years
Coming onto the
digital platforms.
Providing direct
booking facility.
Discover the number of
the target customer on
facebook, instagram and
twitter.
Establishing a software
that take direct booking.
Number of target
audience liking,
commenting and
reviewing the hotel
posts on digital
platform and
website.
By measuring the
conversion rates or
number of enquiry
recived for direct
booking.
To gain 5% market share
in the market in 2 years
Develop unique
selling points.
Adding some extra
services which are
attractive and provide
luxury to guests.
Number of guests
prefer staying in
Ritz hotel compared
to compeititors.
To expand the presence
in 2-3 more countries in
1 year
Doing collaboration. Contacting hotel chains
in the country in which
the hotel has to expand
and doing partnership
with them.
The response from
the other hotel chain
and their interest to
look forward to the
project.

CONCLUSION
On the basis of above discussion, it can be concluded that marketing has become highly
important for hospitality organisations. This is because hospitality organisations are operating in
a highly competitive environment and also emphasis has increased on customer satisfaction and
loyalty. This report discussed several roles and responsibilities of marketing in hospitality
organisation and these involve planning for marketing, and research for marketing. Report also
discussed about roles and responsibilities of marketing functions and their link and
interrelationship between marketing and other organisational functions. Followed by this, report
discussed about marketing mix and its implementation in two hospitality organisation.
Organisation considered for that involve Hilton Hotel on Park Lane and The Ritz, London. On
the basis of discussion and data collected a marketing plan for The Ritz, London was developed.
Marketing plan included marketing audit, marketing analysis and development of marketing
strategy for The Ritz, London.

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