Marketing in Hospitality: Analyzing and Repositioning Hellenic Hotel

This report examines marketing strategies within the hospitality industry, using the Hellenic Hotel as a case study. It explores core marketing concepts, including customer focus, marketing environment analysis, and market segmentation. The report delves into the marketing mix variables, emphasizing their role in repositioning the hotel, and analyzes various pricing policies and strategies. Furthermore, it assesses the promotional mix, including advertising campaigns, sales promotion, and public relations. The research also covers the significance of marketing research and proposes different media for marketing the Hellenic Hotel while evaluating the overall marketing plan for appropriate products and services. The report provides a comprehensive analysis of marketing strategies within the hospitality sector.

MARKETING IN
HOSPITALITY

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
A) Concept and process of marketing and customer focus marketing ..................................1
B) Marketing environment and its impact on the hospitality industry...................................2
C) Relevance of customer market and rationale for the developing different market segment..2
TASK 2............................................................................................................................................4
A) Marketing mix variables and its importance in repositioning Hellenic hotel. .................4
B) Role of various pricing policies and strategies used by business. ....................................5
TASK 3............................................................................................................................................6
A) Role of promotional mix in Hellenic hotel........................................................................6
B) Plan and advertise campaign for Hellenic hotel................................................................6
C) Roles of sales promotion and public relation....................................................................7
TASK 4............................................................................................................................................7
A) Relevance of marketing research and undertaking research for a product. .....................7
B) Proposing the different media for marketing for Hellenic hotel.......................................8
C) Evaluation of marketing plan for appropriate product and services. ................................8
CONCLUSION ...............................................................................................................................8

INTRODUCTION
Marketing in current time has become important asset to organisation that not only help
them in finding stability in this ever-changing market but also provide the firm with competitive
advantage (Armstrong and et. al., 2015). The Hellenic hotel provide their customer with 5 star
services, its location in the main market also help it in attracting customers. It provides their
service user with accommodation and catering services. In current time the firm is facing major
issue and has seen major drop in their ratings, the hotel properties are continuously decreasing as
a result the firm has dropped its rating from 5 star to 4 star. In order to overcome this issue major
focus is laid on the marketing of the firm, the entity is required to make some major change in
their marketing plan so that they can overcome this problem. The report in detail will discuss the
concept and process of marketing so that better marketing plan can be formed. Along with this it
will also analyse different environmental factors and its effect on the working of the corporate.
Importance of customer market will also be discussed in detail. Marketing mix and its role in the
repositioning of Hellenic hotel will also be discussed. Pricing policy and role of public relation
along with the advertising campaign are also mentioned in this.
TASK 1
A) Concept and process of marketing and customer focus marketing
In order to be successful its necessary of the firm to pay special attention on the needs of
customer so that they can produce a product or services that can satisfy them. Marketing not only
help in attracting valuable customer but it also helps the entity in providing them with customer
satisfaction. The concept of marketing is such as
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Illustration 1: Concept of marketing
(Source:Concepts of marketing. 2017. )
Production concept: This concept focus on the needs of the customer. According to this the
people prefer those places that are easily accessible and are highly affordable in price. It focuses
on the quality of the product and try to improve it so that it can meet the demand of customers
(Babin and Zikmund, 2015).
Product concept: According to this individual prefer those places that provide them with high
quality of services, for e.g. proper accommodation along with this extra benefits like free brunch
or breakfast etc.,
Selling concept: The main aim of this concept is to make sure that company is making profit.
Promotion is a pay through which Hellenic hotel can promote their services and can attract more
customer toward their land.
Marketing concept: It focuses on the need of target market and produce a new product that can
meet the demand of the public.
Societal marketing concept: This concept believe in providing valuable service while making
sure that society is not being harmed (Baker, 2014).
Process of marketing
Marketing process in simple words can be defined as a process to analyse marketing
opportunities and target market and produce a plan that can provide them with great result.
Analyse marketing opportunities: Its first step and very important part of marketing plan it
provides them with better understanding of market and help them to attain competitive
advantage.
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Selecting target market: Its compulsory of the company to be customer centred. Selecting a
target market help them in attracting to ward them and diverting the customer from the
competitors. Its impossible to satisfy all consumers in given market so its better to divide thyem
and then attract them (Chandon, Wansink and Laurent, 2017).
Developing marketing mix: An effective marketing plan always have element of marketing mix
in order to attract customer firm can use this marketing mix.
Evaluation and amendments: The last steps is evaluation of the whole plan so that loop holes can
be identified and amendments can be made for better results.
Customer focus marketing: Its process where focus is laid on the needs and demand of the
customer so that organisation can produce a product or can provide their services in such a
manner that it can satisfy the customers.
B) Marketing environment and its impact on the hospitality industry.
Micro and macro factor have major impact on the working of the organisation. Its
necessary of Hellenic Hotel to observe the external environment before it implement any plan.
Micro environmental factors
Customers: Customers play important part in the business. Its essential of the firm to understand
the needs of service user so that they can provide them with those services that can satisfy them.
Suppliers: Suppliers play important part in marketing decision. If the firm is able to find
suppliers that can provide them with quality raw material in low price than it will help them in
providing quality services at low price to their customers. On other hand if such is not the case
than it will increase their operational cost (Zouganeli and et.al., 2014).
Competitors: They act as a major hindrance in the marketing of the Hellenic hotel. Strategy used
by competitors can affect the sales of the firm.
Macro Environment
Political: Political changes have major impact on the working of hospitality sector. Any major
changes in rules, regulation of doing business will have its impact on the Hellenic hotel.
Economic: In current time the economic condition of UK is emerging but the effect of inflation
can still be seen that affect the purchasing power of people. People are still reluctant to spend
extra on luxury item. It can affect the sales of Hellenic hotel.
Social: Lifestyle, cultures and value of people have major impact on the services iof the firm its
necessary of firm to come up with the services that is suitable and can meet the demand.
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Technological: Technology has become important part, the cited firm need to invest in this
technology and research and development team so that they can find new and innovative way to
introduce new services in market and can achieve the goal of customer satisfaction (Van der
Westhuyzen and Van der Merwe, 2015).
C) Relevance of customer market and rationale for the developing different market segment.
Consumer is important part of the hotel industry. They are the main element who decide
the success of the whole firm. Consumer culture is big part of hospitality industry its focus lies
on sociological and psychological impact that affect the buying behaviour of the customers.
Personal influence and external environmental forces have major impact on the buyers'
behaviour (Del Chiappa and Dall’Aglio, 2016). The behaviour patter of the consumer are
affected by marketing and various external stimuli.
The firm is trying to make perfect balance between marketing and outward stimuli so that
desired goals can be achieved. The concept of value chain is equally important to maintain long-
term benefits and customer relation which Hellenic hotel can apply in their working. Value
chain can help Hellenic hotel in delivering maximum value at reasonable cost. A good room
with T.V. And personal internet connectivity (Walker, and Harding, 2016). This type of tactic
not only help firm in attaining customer satisfaction but also help them in gaining the loyalty of
the customer, customer base marketing also make sure that person repurchase their services and
select them every time. The firm who focus more on customer are able to differentiate
themselves from other organisation whose focus is to earn maximum profit. Customer market
help firm in gaining one of its most important objective of customer satisfaction, that make firm
different from other and act as the key element in business strategy.
The market segmentation is the process where the entire market is divided into different
customer segment. After dividing the market in particular group, process of target marketing get
started, in this the firm decided to invest on any one particular customer segmentation on which
it will concentrate more. It helps the firm in coming up with different strategy that can help
them in attracting more customers toward the firm (Dzhandzhugazova and et. al., 2016). There
are different type of segmentation few are mentioned below
Demographic: In this customer are divided on the basis of their age, gender, size, income,
occupation religion etc.,
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Psycho graphic segmentation: This segmentation focus more on the lifestyle, activities and
interest of the people.
Geographic segmentation: This segmentation divide user on the basis of geographical area.
Behaviour segmentation: In this the customer are divided on the basis of their behaviour and
decision making process. By diving their customer on the basis of above segmentation it will
become easy for the Hellenic Hotel to understand the demand of the people and produce a
service that can satisfy them. With the help of this segmentation the firm can develop proper
marketing activities which can help firm in attaining its formal glory. It's also quite effective in
choosing the right advertising tactics in strategic way that can help Hellenic hotel in attracting
more customers toward them (Horner, 2017). For instance if the target market of the Hellenic
Hotel is young generation than firm can adopt social media as one of their important platform to
gain the attention of the young people and advertise their product. Segmentation help in
increasing the customer base of the firm. A proper market segmentation analysis also include the
research to find why customer are not buying their services. This will help them in realizing the
area where they lack and come up with better strategy that can help them in gaining new client.
BY adopting strategic tactics in their working the firm can increase the number of visitors
toward the hotel.
TASK 2
A) Marketing mix variables and its importance in repositioning Hellenic hotel.
The product and services in hospitality industry are highly perishable and inseparable.
Hence its necessary of the firm to come up with unique combination of marketing mix that is
relevant in meeting the demand of people in different times (Hudson and Thal, 2013). While
formatting a product plan a firm is need to pay attention to the unique selling points that is
offered in different product and services. Marketing mix within hospitality industry are as
follows
Services/ facilities: Its necessary of the Hellenic hotel to provide their customer with quality
services. Such as guest room, Food and beverages, with better accommodation etc. In order to
gain competitive advantage the firm can provide their customer with additional benefits such as
free dinner or brunch or beverages.
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Place and distribution: Hellenic hotel can used online services as their sales and distribution
channel, so that they can provide their customer. They can also deliver their clients with superior
quality with the help of better logistic management. Technology is playing key role in making
major changes in hospitality distribution. It can also introduce new model based on internet such
as online based reservation etc. (Millar, Mayer and Baloglu, 2012)
Promotion and communication: Promotion activity and advertisement help the firm in
communicating with potential customers and passing their values. Hellenic hotel can use direct
method where they can contact their loyal customer and can tell them about various offers. Other
than this they can also use different platform to attract the people.
Pricing: Pricing play major role in success of the organisation, Hellenic hotel need to come up
with perfect price that not only satisfied customer but also help firm in attaining profit.
With the help of marketing mix Hellenic hotel can come up with different strategy that
can help them in attracting more customers and regaining their position.
B) Role of various pricing policies and strategies used by business.
According to pricing theory, it can either be based on the cost, demand or competition
based. This element help firm in achieving their financial objectives so that they can achieve
more market share compare to their rivals firm. Hellenic hotel has used the pricing policies like
competitive pricing strategies and demand orientation strategies in their working (Morris and
Goldsworthy, 2016). If the firm find that the surrounding hotel have increased prices than it will
also increase it prices. On the other hand if he finds that price is decrease according to area than
it will also applied same concept for its hotel. Thus, it can be said that firm decide it prices
strategy on the n basis of situation.
Pricing policy in the firm is based on demand and supply circumstances that make them
increase or decrease their prices. Competitive scenario also forces hotels to adopt competitive
pricing strategies so that they can align themselves with the demand and supply norms. Along
with this there is also a seasonal fluctuation and increasing competition that help them in making
strategically and tactical pricing decision (Armstrong and et. al., 2015).
Looking at the current condition of the Hellenic Hotel it will be better of them to make necessary
changes in their pricing strategy that can help them in attaining more customer and regain their
position of being a 5 star hotel.
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 Economy pricing: Economic pricing method will help the Hellenic hotel in attracting
price conscious customers. In this business minimize the cost associated with marketing
and production so that price of the product can be kept low.
 Bundle pricing: It's another way which can help the Hellenic hotel in regaining their
position. With the bundle pricing the firm can offer multiple services to their service user
at much lower price compare to the individual buying. Not only it helps in moving
unsold items but it also helps in increasing value perception in the eyes of customers
(Babin and Zikmund, 2015). For e.g. the firm can provide their customer with free one
day meal or child meal if they are staying with firm for more than 3 days.
This type of strategy will help Hellenic hotel in attaining the attention of the service user.
TASK 3
A) Role of promotional mix in Hellenic hotel.
Promotional mix is consist of few factors that can help the firm in creating awareness
among customer, it also has major impact on the customer purchasing preference. The
promotional mix focus on four factors that are mentioned below:
Illustration 2: Elements of promotional mix
(Source: Elements of promotional mix. 2015)
 Advertising: Hellenic hotel can use different platform in order to promote their product
such as, radio, television, billboard, magazine. It will help them in creating awareness
about their services and will also encourage them in buying their services (Baker, 2014). Sales promotion: In order to promote their sales the Hellenic hotel has come up with
different discount coupons such as seasonal discount, bulk discount, money off coupons
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etc. It will help them in attracting the attention of potential customers. In order to
increase their sales it can also use visual promotion, to turn the eyeball of customers
toward them. Personal selling: The cited firm can adopt personal selling in their working. They can do
door to door marketing and even send email to their loyal customer telling them about
various offer company has to offer (Chandon, Wansink and Laurent, 2017).
 Public relation: The firm can take the feedback and suggestion from their customers, not
only it will help them in improving but will also help them in maintaining better
relationship with them. They can also take advice from the employees at lower level who
came in direct contacts of client and are aware of their demands and complains.
The above factor will help firm in maximizing their sales and attaining their formal
glory.
B) Plan and advertise campaign for Hellenic hotel
In order to promote their services the firm can adopt integrated promotional mix. In this
method Hellenic hotel can choose both online and offline platform in order to promote their
products. It can produce brochure with detail description of their services and circulate among
the public in order to promote themselves (Van der Westhuyzen and Van der Merwe, 2015).
They can also adopt internet marketing campaign such as engine optimization, social media
marketing etc. In order to attract the customer of younger generation. It can also adopt personal
selling in their working where they can provide their customer with all the important
information. It will work as two side sword it helps them in their sales and will also assist them
in retaining their valuable customers (Zouganeli and et.al., 2014). Using different platform and
ways will help the firm in reaching much wider area that will help them in attracting the
attention of customer and will also increase their sales. Social media will help them in attracting
the audience on the basis of their target market. In order to achieve their objectives its necessary
of the Hellenic hotel to set their goals and objectives so that it can match well with the plan.
They also need to set the budget according to the needs and requirement.
C) Roles of sales promotion and public relation.
Sales promotion will help the firm in maximizing their profits and increasing their
revenue whereas public relation will help Hellenic in creating better relationship with their
customers. It will also help them in connecting them with the firm for lifetime (Del Chiappa and
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Dall’Aglio, 2016). For sales promotion the firm can use both online and offline method to attract
the customers toward the firm. Other than this direct selling will also work in the favour of the
firm, it will help them in increasing their sales and will also help them in retaining their valuable
customers. Direct selling also provide them with the chance to seek feedback from their
customer, it will help them in improving their performance (Walker, and Harding, 2016).
Public relation team of the firm can focus on building good relationship with their customers.
Public relation play major role in creating good brand image of the firm and maintaining better
relationships with them.
TASK 4
A) Relevance of marketing research and undertaking research for a product.
Marketing research is one of the important part of marketing plan. It a customer centric
approach that help Hellenic hotel in understanding the needs and demand of buyer as well as
their marketing perception. The marketing research assist firm in improving their services and
gaining customer satisfaction. By analysing the need of customer the cited firm can provide them
with the services that can provide them with the customer satisfaction. It also promotes
continuous development in the firm that help firm in finding stability in this ever-changing
marketing. It will also help the firm in finding the loopholes in their current strategy and reason
for their fall. With the help of this firm can develop better strategy that can help them in
achieving their objectives (Dzhandzhugazova and et. al., 2016). With proper market research the
firm will become aware of the various opportunities that can help in the development and
expansion of the firm. There are various way through which research can be conducted in the
firm. Hellenic hotel has decided to use qualitative approach in their working, so that they can get
better insight over the customer service of the firm.
B) Proposing the different media for marketing for Hellenic hotel
As we have already known that firm is using both online and offline platform in order to
promote their product and services. In current time the firm is focusing more on social media to
promote their services. The firm is advertising their services and product on the snap chat and
Facebook. It has taken the pictures of their luxury rooms as the pop up link, which directly direct
the server to their official sites where more pictures, prices and special offers are made. On the
official site the person will be able to access all the information that they needed to know about.
IN order to attract the attention of the customer it also provides them with additional profit every
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person who is directed to the official sites are given with the discount of 10% on their first
purchase plus free membership card which add their points every time a person choose their
services. The firm also invest in print media, in the major magazine the firm has printed the
pictures of their luxury rooms along with various offer that firm has to offer to their customers
(Horner, 2017). They are also using various print media like newspaper, pamphlet etc., to attract
customers.
C) Evaluation of marketing plan for appropriate product and services.
Integrated promotional mix will work in the favour of the Hellenic hotel. Digital
marketing on one hand will help them in reaching the customer at much wider level. In order to
evaluate their marketing plan firm can observe their sales. In order to do so the firm can record
the average sale of the firm before the marketing plan and after the marketing plan (Hudson and
Thal, 2013). If there is positive change in the sales of the entity it means the marketing plan was
successful, but if there is no change than it means that firm need new and better plan. Other than
this the firm can also seek also conduct an online survey where they can ask them for their
opinion. With the help of proper evaluation the firm will find out how much successful the plan
was and it will also able to identify the loopholes that are hindrance to growth. They can take
necessary action to remove all the barriers so that better success can be found.
CONCLUSION
From the above study it can be concluded that in order to reposition themselves into 5
star hotels its necessary of the Hellenic hotel to pay more attention on their marketing plan. The
firm can adopt integrated marketing strategy where they can use both the platform to promote
their product. Sales promotion and public relation will help in increasing the revenue of the firm
and maintaining better relationship with their customers.
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