An Analysis of Sales, Marketing and Merchandising at Hilton Hotels

This report provides an in-depth analysis of sales development and merchandising strategies, focusing on the Hilton Hotel. It begins by examining the role of product mix, including core and formal products, in contributing to sales and profits. The report highlights the importance of factors like hygiene, room services, and food and beverages, and emphasizes the need for hotels to create appealing product bundles. It then explores market segmentation, detailing geographic, demographic, psychographic, and behavioral segmentation strategies and how these contribute to increased sales. The report also investigates factors affecting consumer buying behavior at Hilton, including social, cultural, personal, and psychological influences. These factors are analyzed in detail with examples such as family, culture, age, and lifestyle. The conclusion summarizes the key findings, emphasizing the significance of product mix and consumer behavior in driving sales and profitability for the hotel. The report references various books, journals, and online resources to support its analysis.

Sales Development and
Merchandising

INTRODUCTION
Sales development is the process that includes marketing and sales function of business
and is in charge of front end of sales cycle. On the other hand, marketing mention to mixture of
goods accessible for selling as well as show of commodities (Burke, 2018). The present study is
based on Hilton hotel. It is British multinational hotel and resort in UK. It will product mix that
contributes sales and profits.
TASK A
(A) Product mix contributes to sales and profits
Product mix refers to offer number and type of products and services. It also known as
products assortment that mention to overall figure of good line firm provides to their consumers.
The four concepts to company's products mix that involves breadth, duration, extent as well as
property. There are various types products in hotel industry such as core, formal.
Core products: It satisfies basic need of customers. Accommodation includes on this core
product. Role of hotel international is to give basic accommodation facilities.
Formal products: Marketer offers some tangibility to existing core products when customer's
expectation grows synchronized with raising competition (Product Mix of Hotel Industry, 2013).
Consumers prefers to pay more for these additions and marketers have more to offers than
competitions. Hilton hotel has to provide some additional features such as hygiene, room
services, price, etiquettes, laundry services, food and beverages etc.
These types of product mix contribute in sales and profits of hotel business. Hotel
professional are needed to develop bundle that assists in pulling consumers, so that it directly
increasing sales and profits of business. The generation of idea, formulation of concept, analysis
product costs and testing of services before commercial launch. While, preparation product mix
for hotel services, it is important that catering administration, restaurants, eating place direction,
sleeping room arrangement and group meeting halls are presented due weightage. In order to
that, businesses as well as their executive also turn attending since they aid us sustainability in
acquiring enterprise. In add-on, data detailing services accessible in hotel would be regard to
such fields producing revenues as well as fields are not creating gainful fiscal returns.

The adjustment services acquirable as well as housework stand off aid to better standards
of works. While preparing strategical judgements, it significance which involve in good premix
every fresh works provided by their challenger. Element such as environment, brand, position,
kind of group and firm institution superior hotel building up fair image. This help in increasing
sales and profits of hotel business (Datta, Ailawadi and van Heerde, 2017).
(B) Market segmentation contributes to maximum sales
Market segmentation prevents hotel to cost as well as utilize stock manage in relation to
increase revenues form different organizations. In this context, hotel administration ensure that
they utilization the fewest formal technique achievable for pursuit their enterprise. Cordial
reception market segments centralizes on 3 fields products, rating as well as arrangement.
(Garrido-Morgado, González-Benito and Martos-Partal, 2015). This helps in increasing sales of
hotel business. The requirement for market segmentation is most large in cordial reception
business now due to fast modification in customers requirement as well as wants as well as huge
amount of product offering. With lines blurring in relation to supports as well as particular
marketplace offering, partitioning has become more complex problem.
There are four categories of market segmentation such as:
Geographic: It includes region, size, population and climate.
Demographic: It involves age, gender, income, life style, occupation.
Psychographic: It includes activities, social interest, values etc.
Behavioural: It involves features, benefits, usage, loyalty and occasion.
Therefore, Hilton provides services according to life style and income in demographic,
social interest segment in psychographic. If hotel provides services, according to chosen
segmentation that helps in increasing sales of business. Opening base of division in firm market
use some same elements as specific user marketplace but may have huge variation in procedure
concerned in acquiring that particular account(Singh, Rhoads and Marinova, 2016).
There are few areas to focus on location or cluster of industry, corporate type, size,
purchasing criteria, behavioural characteristics, usage buying status. Marketing division is in
point, actual activity get. Income as well as merchandising can start to design mark drive for
every portion with originative gross sales attempts to move consumers in products, works as well

as particular supports have to offering. So that, company provides better quality services to
customers. Therefore, each market segmentation helps in raising sales of Hilton.
TASK B
(A) Factors affecting buyer behaviour
There are various factors that affecting buying behaviour of consumer by taking services
of Hilton hotel. Such as social, culture, personal, psychological factors.
Social factors: This factor includes references groups, family, roles and status. All elements are
affecting buying attitude of customers. References teams have possible for arrangement of
position or attributes of single, effect of this element vary crosswise goods as well as marque. It
also includes opinion leaders. The buying behaviour is strongly influenced by family members.
So that, vendors try to effect of married man, married woman as well as children. If judgement to
buy a particular services of Hilton, that is power by wife of the seller will try to target women in
their ad.
Culture factors: This element involves culture, sub culture and societal group. It is portion of
every organization and is leading reason of individual who needs as well as attitude. The effect
of civilisation on buying attitude changes from to nation thus hotel operator has to be same sure
in investigation of civilization of various units locations or even nations (Singh, Rhoads and
Marinova, 2016). In the sub culture, involves religious, nationalities, etc. merchandising units
utilization these sections of marketplace in various little parts. For instance, marketplace plan
goods reported to wants of particular geographic unit.
Personal factors: It includes age, occupation, economic conditions, lifestyle, personality and
other elements. These affects on buying behaviour of consumers who are taking services of
Hilton.
CONCLUSION
From this report, it can be concluded that product mix helps in increasing sales and
profits of Hilton. There are different factors such social, culture and personal that affects buying
behaviour of the consumers of hotel. Company has chosen demographic segmentation for
providing services of their hotel.

REFERENCES
Books and Journals
Burke, R.R., 2018. Virtual Reality for Marketing Research. In Innovative Research
Methodologies in Management (pp. 63-82). Palgrave Macmillan, Cham.
Datta, H., Ailawadi, K.L. and van Heerde, H.J., 2017. How well does consumer-based brand
equity align with sales-based brand equity and marketing-mix response?. Journal of
Marketing. 81(3). pp.1-20.
Garrido-Morgado, A., González-Benito, O. and Martos-Partal, M., 2015. Improving sales of
private labels in store. In Advances in National Brand and Private Label Marketing (pp.
3-7). Springer, Cham.
Garrido-Morgado, Á. and González-Benito, Ó., 2015. Merchandising at the point of sale:
differential effect of end of aisle and islands. BRQ Business Research Quarterly. 18(1).
pp.57-67.
Singh, J., Rhoads, G.K. and Marinova, D., 2016. Frontline Store Manager’s Entrepreneurial
Orientation for Merchandising and Service Role Performance: Scale Development and
Validation. In Marketing Challenges in a Turbulent Business Environment (pp. 93-98).
Springer, Cham.
Chimhundu, R., 2016. Marketing store brands and manufacturer brands: Role of referent and
expert power in merchandising decisions. Journal of Brand Management. 23(5). pp.24-
40.
Online
Product Mix of Hotel Industry, 2013. [ONLINE]. Available through. :
<http://www.bms.co.in/product-mix-of-hotel-industry/>.