Marketing Planning and Strategy: A Case Study on Hilton Hotel

This report provides a comprehensive analysis of Hilton Hotel's marketing strategies, focusing on its international brand image and competitive positioning within the hospitality industry. The study begins with an executive summary, followed by an introduction that outlines the report's objectives and methodology, which is primarily based on secondary research. The market sector analysis examines current market trends, external influences using a PESTLE framework, and the impact of technology. The report then delves into Hilton's brand within the sector, including its mission, services, USP, financial performance, customer profile, and key competitors. A SWOT analysis evaluates Hilton's strengths, weaknesses, opportunities, and threats. The core of the report proposes an integrated marketing campaign incorporating content, digital, direct, affiliate, and PR activities, culminating in a detailed marketing plan. The report concludes by summarizing key findings and recommendations for Hilton to sustain and enhance its brand image and market position. The document also discusses the impact of the COVID-19 pandemic on the hospitality industry and the importance of adapting to changing customer preferences and technological advancements.

Marketing planning and
strategy

Executive summary
To sustain the brand image at international level, it is essential for the company to use
effective marketing strategies in order to stay ahead in competition. Also, the present study is
based upon Hilton hotel and with the help of market analysis, it is examined that hotel has a
brand image because it operates at 113 countries and by using Pestle analysis, company identify
the macro environment factor. Hilton has a brand image and by offering high quality of product
it sustains the brand image. Moreover, study also examined that it uses premium pricing strategy
that attract customers and with the help of SWOT analysis, it is analysed that there are different
customer retention strategies are used by the company to sustain the relationship with customers.
Lastly, report shows that through digital marketing tools, it encourage people to use the services
offered by Hilton.

Table of Contents
Executive summary..........................................................................................................................2
INTRODUCTION...........................................................................................................................1
THE MARKET SECTOR................................................................................................................1
Current market analysis...............................................................................................................1
Key external influences...............................................................................................................2
Marketing trend...........................................................................................................................3
THE BRAND WITHIN SECTOR...................................................................................................3
Introducing the brand..................................................................................................................3
USP.............................................................................................................................................4
Current financial performance....................................................................................................4
Customer profile..........................................................................................................................5
Key competitor............................................................................................................................5
Products/Services........................................................................................................................5
Place............................................................................................................................................6
Search Engine Results Page........................................................................................................6
SWOT Analysis..........................................................................................................................7
PROPOSED INTEGRATED MARKETING CAMPAIGN...........................................................8
Content marketing.......................................................................................................................8
Digital Marketing........................................................................................................................9
Direct Marketing.......................................................................................................................10
Affiliate Marketing....................................................................................................................11
PR Activities.............................................................................................................................12
Marketing Plan..........................................................................................................................12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Marketing planning is the process that helps to examine current situation and information
with regards to marketing opportunities, forecasting and determine the marketing objectives. In
the same way the present report main purpose is to examine the importance of developing
marketing planning and strategy by considering the principles, also the rationale for conducting
the study is to create awareness among readers pertaining to changes in market within hospitality
industry. The chosen organization for this study is Hilton which is currently operating at
different countries by offering good accommodation facilities to their guest. The study is based
only on secondary research in which reliable and authentic sources will be chosen related to
topic such that scholarly articles, journals and books. The main limitation of the study is time
and money and that is why, primary research has not been used because it is more time
consuming method over other.
The present study will present the market sector in which external influences will be
analyzed and identify the key performance of a chosen brand. Along with this, key competitors
will be identified and comparing the same with Hilton and lastly, key points related to new
integrated marketing campaign will be described.
THE MARKET SECTOR
Current market analysis
Hospitality industry is keep growing from last many years and it comprises different
sector such that travel and tourism, hotel, restaurants, clubs etc. Also the demand of hotel
industry is also increases in forecast period especially in London due to increase number
travelers. The average room rate within UK is around 87 GBP, whereas in London it varies by
150 GBP. On the other side, the revenue per available room is around 67.5 (UK) and 124
(London). The total number of tourist arrival in UK is fluctuating such that 29 million visitors
were recorded in 2009 whereas 37.9 million in 2018 (Hospitality industry in UK growth, trend,
Covid-19 impact and forecast (2021-2026), 2020). This shows that tourism is increases from last
many years and that is why, the demand of hotels also increases.
Therefore, it is analyzed that by 2025, there will be high number of hotels established
because of continuously increase in the number of visitors. Apart from this, by 2020 as the
pandemic affect the entire world in negative manner especially to hotel industry because people
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are more concerned about safety and hygiene, so they prefer 5 star hotels and Hilton is one of
them.
Key external influences
There are many external factor that directly affect the performance of a company and to
analyze the same Pestle framework is used which is as mentioned below:
Political factor: Having a political stability within country assist to influence number of
visitors direct and indirect ways. On the other side, many years ago, due to terrorism attack most
of the travelers do not visit UK and as a result, it affects the entire performance of Hilton in
negative manner (Hollensen, 2019). Also, due to pandemic most of the international flights were
canceled and this also affect the operations of a company in adverse manner.
Economic factor: This is deal with economy of a country and having a strong economy
will assist to offer effective products and services to their visitors. Though there was a economy
crises in 2009 that creates inverse impact upon business performance due to inflation rate. To
tackle such issue, Hilton offer discount to their guest in order to attract range of people towards
it.
Social factor: it deals with changing customer lifestyle and pattern that shift their
preference towards another brand. Therefore, by identify the need of customers, Hilton redesign
its most of the properties that creates positive impression upon guest (Chernev, 2020). This
reflected that company keep working to identify range of changes in perception of visitors and
implement strategy accordingly.
Technological factor: Implementing different technologies within premises might have a
great impact upon Hilton performance. As quoted hotel prefer to book their guest room through
online that helps to attract many international customers. Also, Hilton keep post about its new
offer, discount on social media with an aim to attract customer. This shows that company is keep
trying to comply with technological aspects so that it does not cause any negative impact upon
performance.
Legal factor: It is deal with the changes in UK jurisdiction that affect the performance
directly or indirectly. As Hilton operates in many countries and every country have their own
rules and regulation which needs to be followed by a firm. Such that Employment Act, Equal
opportunity act, health and safety act etc. Also, it affected directly by consumer protection and
risk of military invasion that cause adverse impact upon profitability.
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Environment factor: Hospitality industry become a point of criticism for polluting
environment and it also disturb animals as well (Opresnik, 2018). Most of the hotel contributing
carbon emission and global warming, but Hilton comply with strict regulation pertaining to
Sustainability Act and develop waste management system that do not cause any adverse impact
upon environment.
Marketing trend
Technology implementation is considered one of the biggest trend that hotel industry
should comply with. Such that companies must design their own website in order to deal directly
with their customers. Or else, hotels may post images and take a review from their customers in
order to identify their views pertaining to own properties. Apart from this, company also focused
upon innovation in which they hire robots which improve the guest experience. This in turn also
helps to provide strong competitive edge over competition (Travel and Hospitality trend, 2020).
Also, this advance technology is more reliable than human staff and also help personalize a
guest's stay that keep attracting range of new customers towards a brand. In addition to this,
hotel should ensure about health and safety of their visitors because due to Covid-19, individuals
are more conscious, so to attract the same it is essential to arrange such things that attract visitors
globally.
THE BRAND WITHIN SECTOR
Introducing the brand
Hilton is the multinational company which operate at different countries by offering
range of services. Currently the company have more than 9 lac rooms in 118 different locations
which clearly stated that it has a brand image at international level. In 1919, Conrad Hilton
purchased first hotel with 40 room and in 1925 Dallas Hilton become the first hotel to use Hilton
name and it is further expanded its operation at different countries because it has a strong
financial performance at international level (Thomas, 2021). Also, it launched different
programs in order to stay connected their customers for long term which helps to enhance the
performance.
Mission: To become one of the most hospitable company in the world by offering best services
and provide outstanding experience to their guest, provide high values for owners and also
provide positive impact in their communities.
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Vision: To fill entire world with light and warmth of hospitality by offering exceptional
experience every time.
Services: Quoted firm provide products and services for leisure travelers and business. It also
offers extra services such as bed, breakfast, family fun packages and conference facilities etc.
Along with this, company provide tour package and arrange vehicles in order to offer best
experience.
USP
The manager of Hilton offers extra ordinary service with integrated IT system. The main
focus of these people is on customer satisfaction and it always ready to answer any query of
their customers in order to creates positive impression upon them (Da Silva and Las Casas,
2017). The brand identity of Hilton in the entire world is considered another USP of the
company that makes it differentiate from others.
Logo
Current financial performance
With the help of its last year financial statement, it is identified that net income projected
to be between $797 million and $1,015. Also, it is analyzed that company's overall performance
will be increase by 5 to 7% as compared to 2019. In addition to this, from 1996 to 2000 shows
that there is a 5% increase in the customer loyalty which in turn help to increase the overall
performance of a company in positive manner. Apart from this, guest loyalty is considered
another leading indicator of future RevPAR (Sadeghpour and et.al., 2017). In addition to this,
company also set bench marking in order to identify whether the defined goals are meet or not.
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Moreover, it also reflected that revenue growth and income sources are considered two main
KPI of Hilton through which the business measure its performance.
Customer profile
Hilton target customers are middle and senior aged professionals who have a high level
of income. Also, these target group must belong to upper class people because they easily afford
the services offered by a hotel (Dimitrescu and et.al., 2018). Therefore, as per the demographic
segmentation, hotel mainly target individuals who pursue lifestyle and then company charges
premium prices for their products by complying with high quality products.
Key competitor
Through the matrix, it is analyzed that it faces strong competition with its rivalries such
that Fitzwilliam, Europa Hotel and The Merchant hotel. Further, Hilton provides a quality
position in the target market because it offer high quality service by adding facilities that grab
attention of many customers towards it. On the other side, most of the other hotel uses strong
marketing style or good pricing style that also assist to positioned itself at top position.
Products/Services
Quoted firm offered variety of hospitality services to their customers through its hotel
chain which includes Hilton Gardn Inn, executive services like extended stay suites and vacation
hotel etc. Loyalty program are also included in its product range that assist to increase the brand
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image of a company (Hansen and Juslin, 2018). Further, the prices of offered services is
depending upon the locality, generally hotel uses premium cost for value added services in order
to engage their customers.
Place
Currently, Hilton operate at 113 countries with more than 5500 properties and this reflect
that it has a brand image at international level. Now, company is looking to invest in China to
enhance the brand image at international level (Huang, Xu and Lim, 2021). Also, customers are
attracted towards a hotel because it offers high range of products and its marketing style also
grab attention of many customers towards it. It has its online presence in which company
confirm its online booking in order to engage with customers.
Search Engine Results Page
Hilton hotel is using the Google’s new ad product whose aim is to grow the industry and
increase the ROI by 12% along with 45% conversion rate. Earlier company do not use effective
range of marketing strategies, but in the era of competition it ensures that different
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advertisements are used that help to draw attention of customers towards it. For example,
through Google advertising products, hotel ads focus upon reaching travellers as they plan their
own trip and for that they search on Google properties which includes maps, search etc (Arnett,
Wittmann and Hansen, 2021). In the same way, Hilton also focused upon SEO in which key-
terms are identified that helps to reach the firm. This in turn assist to promote the business at
further level of success.
SWOT Analysis
To identify the internal factor of the company, SWOT analysis is used that examine the
company's strength, weaknesses, opportunities and threats. These are as mentioned below:
Strength:
 Having a brand image at global level is considered one of the biggest strength which a
firm occupy. Such that it is operating in more than 120 countries that reflect it has a
strong financial performance as well.
 The management of Hilton is also strong and effective that helps to manage the entire
work and keep develop strategies in order to raise the performance of a company.
 It also has a strong customer base which means that it uses range of customer retention
schemes (Silva, 2021). Such that it offers special discount offers to their VIP customer
and also develop a high level of service customization via technological integration.
 Along with its customer retention strategy, it also develops many employee retention
methods that assist to attain the defined aim of a company. Hotel also have a high level of service customization that is achieved via technological
integration and this in turn assist the business to improve the brand image at international
level.
Weakness:
 The operations of Hilton are affected globally due to different government policies and
parameter. Thus company faces issue with regards to implementing its unit at different
country.
 Hilton is completely depending upon the proprietors and this in turn somehow affect the
financial performance of a company in opposite manner.
 Quoted hotel did not have enough number of inn network in Europe and North America
because it already has range of lavish five start hotels.
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 Company do not invest upon the research and development department, this in turn affect
the overall market because it do not identify the customer’s preference and causes
opposite impact upon its brand image.
Opportunities:
 Having a strong financial performance will assist the firm to establish its another unit in
Australia that helps to attract wide number of customers. As the economy of a country is
also strong and this in turn assist the firm to enhance the overall performance.
 Formation of strategic alliance is considered another opportunity for the company in
order to establish its brand image at many countries (Mansour and Mwambwiga, 2021). Hotel should also have focused upon the research and development department so that it
identifies the need and demand of customers and implement strategy accordingly.
Threats:
 Company faces threat of terrorism and political instability that cause negative impact
upon the business.
 Sudden change in the climatic condition also decrease the number of travelers.
 Hilton faces strong competition within its rivalry firm.
 Quoted hotel also loss key talent and personnel that directly affect the business
performance in adverse manner.
PROPOSED INTEGRATED MARKETING CAMPAIGN
Content marketing
Hilton visually attract Twitter, instagram and Facebook feeds in order to promote the
services so that it attract range of customers towards it. Thus, with the help of content marketing,
Hilton also broadcast through advertising, but make sure to use attractive content so that it
encourages visitors to visit the place once.
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Digital Marketing
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