Cheval Residences: Marketing Strategy and Competitive Advantage

This presentation analyzes the marketing strategy of Cheval Residences, focusing on how the company leverages its approach to achieve a competitive advantage within the serviced apartment industry. The analysis begins by positioning Cheval Residences within Porter's Generic Strategies, highlighting its strategic choices and how these are reflected in its marketing efforts. It delves into the specific marketing tactics employed, such as branding, pricing, and distribution strategies, to understand how these contribute to its market position. The presentation also considers the use of visual aids to effectively communicate the findings and insights, as well as the overall presentation skills demonstrated, providing a comprehensive overview of Cheval Residences' marketing strategy and its effectiveness.

Market Analysis of Cheval Residences

Overview of company
 It is a private listed hospitality company. , founded in 1982.
 Award winning, five star service provider apartment group in United Kingdom.
 Eight luxurious properties in London.
 Offers finest hospitality and one of the leading lodging provider.
 Cheval’s collection includes Cheval Thorney Court, Gloucester Park,
Knightsbridge, Cheval Hyde Park Gate, Calico House, Harrington Court and
Phoenix House.
 Company has a total of 704 employees with $183 million annual revenue
(Bouet, P., 2016).

Competitors
 Marlin Apartments with revenue of 140. $28 Million. ...
 Shama Management Limited with revenue of 158. $31 Million. ...
 Waldorf Apartments Group with revenue of 514. $102 Million.
 Staycity Ltd. 182 with revenue of $36 Million (Meredith, 2016).

PORTER’S ANALYSIS
 Threat of new entrant
• The expansion of the Hotel Industry in most urban areas is constrained by the
availability of appropriate spaces, therefore, access to dispersion networks can be
an issue. There is high entry barrier because the industry demands high capital
cost for investment and limited availability of locations.
• Threat of substitute
• There is no important risk of substitute open to Cheval’s business. Cheval does
not face intense rivalry due to fragmented nature of the competitors and the
potential expansion pace of its objective marketplace.
• Bargaining power of supplier
• There is an unexpected interest for enhanced universal information and booking
capabilities in the hotel and tourism business. Cheval is not dependent on the
bargaining power of supplier and endure low degrees of circuitous burden on
their seriousness from this source.

Contd.. Porters analysis
• Bargaining power of buyer
• Many buyer for the Cheval group use bargaining power of their concentration and
bulk purchasing. These groups would incorporate visit operators, international
and domestic airlines and huge clients, for example, show coordinators.
Differentiation is an enormous aspect in respect of the business travelers and for
specific groups of free relaxation travelers, yet it declines in consequence in the
planned groups obliging spending refreshment explorers and groups (Varelas and
Georgopoulos, 2017).
• Rivalry among existing competitors
• Rivalry for the Cheval has turned out very serious especially in in secure
expenses and conservation cost projects, for example, the Hotel Industry in most
urban areas. There are heavy competition in selling limit by price cutting from
ends of the week and holiday times. Exit barrier occur due to fiscal, dynamic and
budgetary factorss which hold competitors in the hotel business.

What is Cheval’’s competitive
advantage?
• The two crucial factors that enable Cheval is good location, qualified objective market and nature of
management.
• To be in the competitive market, Cheval has expanded its business in major cities and focuses on
travelers from tourist groups.
• Focuses on customer loyalty, differentiation and image building (Bouet, 2016).

SEGMENTATION, TARGETING AND
POSITIONING
• Chavel has segmented its brands in two categories Cheval Residences and Cheval Maison.
• Target customers are mostly property investors.
• Cheval has positioned itself as a pioneer in the developing and managing of extravagance apartments
and residences.
• Cheval's utilizes of innovation to improve the relocation experience.

4 Ps of the company
 Product
• Apartments, hotels, maisons
 Price
• Available for customer of all income level
 Place
• Mostly urban areas
 Promotion
• Mostly dependent online for promotional events.

Loyalty programs of the company
• Private medical assurance
• Holiday packages
• Life insurance and pension schemes
• Loans for season tickets
• Discounts and employee support programs

References
• Bouet, P., 2016. Châteaux et résIdenCes PrInCIères dans la Tapisserie de Bayeux. Castles
and the Anglo-Norman World, p.135.
• Köseoglu, M.A., Ross, G. and Okumus, F., 2016. Competitive intelligence practices in
hotels. International Journal of Hospitality Management, 53, pp.161-172.
• Meredith, W., 2016. Selections from Henry Reeve's Journal of A Residence at Vienna and
Berlin in the Eventful Year 1805-6. The Beethoven Journal, 31(1), p.18.
• Varelas, S. and Georgopoulos, N., 2017. Porter’s competitive forces in the modern
globalized hospitality sector–the case of a Greek tourism destination. J Tour Res, 18,
pp.121-131.