Hospitality Marketing: Analysis of Environment, Mix and Promotion
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This report provides a comprehensive analysis of marketing within the hospitality industry, focusing on key concepts, environmental impacts, and strategic approaches. It begins by discussing core marketing concepts such as needs, wants, and demands, and then assesses the influence of both micro and macro environmental factors on hospitality businesses like The Swan Hotel. The report evaluates the relevance of consumer market segments and explores the rationale for developing different market segments to enhance profitability and customer retention. It also examines the importance of the marketing mix components, analyzes pricing strategies, and evaluates the role of the promotional mix, including a plan for an advertising campaign. Furthermore, the report discusses the relevance of marketing research, undertakes market research for a product or service, analyzes the suitability of different media, and evaluates the implementation of a marketing plan. The study uses Porter’s Five Forces model to analyze the competitive landscape and concludes with insights into creating effective marketing strategies for the hospitality sector.

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MARKETING IN HOSPITALITY
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MARKETING IN HOSPITALITY
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Table of Contents
INTRODUCTION..........................................................................................................3
COMPANY SUMMARY................................................................................................4
TASK 1..........................................................................................................................5
1.1 DISCUSS CONCEPTS OF MARKETING FOR A RELEVANT SERVICES
INDUSTRY................................................................................................................5
1.2 ASSESS THE IMPACT OF THE MARKETING ENVIRONMENT ON THE
INDUSTRY................................................................................................................7
1.3 EVALUATE THE RELEVANCE OF CONSUMER MARKET IN THE
HOSPITALITY SECTOR...........................................................................................9
1.4 DISCUSS THE RATIONALE FOR DEVELOPING DIFFERENT MARKET
SEGMENTS............................................................................................................10
M1 AN EFFECTIVE APPROACH TO STUDY AND RESEARCH THE MICRO AND
MACRO ENVIRONMENT HAS BEEN APPLIED....................................................11
TASK 2........................................................................................................................13
2.1 ASSESS THE IMPORTANCE OF COMPONENTS OF THE MARKETING MIX
TO THE INDUSTRY................................................................................................13
2.2 ANALYSE PRICING STRATEGIES AND POLICIES IN RELATION TO THE
INDUSTRY..............................................................................................................14
M2 RELEVANT TECHNIQUES AND METHODS USED TO ANALYSE THE
VARIOUS PRICING POLICIES AND APPROACHES...........................................16
TASK 3........................................................................................................................18
3.1 EVALUATE THE ROLE OF THE PROMOTIONAL MIX IN HOSPITALITY
INDUSTRY..............................................................................................................18
3.2 PLAN AN ADVERTISING CAMPAIGN FOR A SERVICES INDUSTRY
OPERATION...........................................................................................................19
3.3 ANALYSE THE ROLE THAT SALES PROMOTION AND PUBLIC RELATIONS
.................................................................................................................................20
1
INTRODUCTION..........................................................................................................3
COMPANY SUMMARY................................................................................................4
TASK 1..........................................................................................................................5
1.1 DISCUSS CONCEPTS OF MARKETING FOR A RELEVANT SERVICES
INDUSTRY................................................................................................................5
1.2 ASSESS THE IMPACT OF THE MARKETING ENVIRONMENT ON THE
INDUSTRY................................................................................................................7
1.3 EVALUATE THE RELEVANCE OF CONSUMER MARKET IN THE
HOSPITALITY SECTOR...........................................................................................9
1.4 DISCUSS THE RATIONALE FOR DEVELOPING DIFFERENT MARKET
SEGMENTS............................................................................................................10
M1 AN EFFECTIVE APPROACH TO STUDY AND RESEARCH THE MICRO AND
MACRO ENVIRONMENT HAS BEEN APPLIED....................................................11
TASK 2........................................................................................................................13
2.1 ASSESS THE IMPORTANCE OF COMPONENTS OF THE MARKETING MIX
TO THE INDUSTRY................................................................................................13
2.2 ANALYSE PRICING STRATEGIES AND POLICIES IN RELATION TO THE
INDUSTRY..............................................................................................................14
M2 RELEVANT TECHNIQUES AND METHODS USED TO ANALYSE THE
VARIOUS PRICING POLICIES AND APPROACHES...........................................16
TASK 3........................................................................................................................18
3.1 EVALUATE THE ROLE OF THE PROMOTIONAL MIX IN HOSPITALITY
INDUSTRY..............................................................................................................18
3.2 PLAN AN ADVERTISING CAMPAIGN FOR A SERVICES INDUSTRY
OPERATION...........................................................................................................19
3.3 ANALYSE THE ROLE THAT SALES PROMOTION AND PUBLIC RELATIONS
.................................................................................................................................20
1

M2 RELEVANT THEORIES AND OR MODELS ARE USED TO IDENTIFY AND
LINK THE HOTEL’S PROMOTIONAL STRATEGIES............................................21
M3 APPROPRIATE STRUCTURE AND APPROACH ARE USED TO CARRY
OUT THE ADVERTISEMENT CAMPAIGN............................................................22
TASK 4........................................................................................................................23
4.1 DISCUSS THE RELEVANCE AND IMPORTANCE OF UNDERTAKING A
MARKETING RESEARCH......................................................................................23
4.2 UNDERTAKE MARKET RESEARCH FOR AN APPROPRIATE PRODUCT OR
SERVICE.................................................................................................................24
4.3 ANALYSE THE SUITABILITY OF DIFFERENT MEDIA FOR MARKETING AN
APPROPRIATE PRODUCT OR SERVICE............................................................25
4.4 EVALUATE THE IMPLEMENTATION OF THE MARKETING PLAN FOR AN
APPROPRIATE PRODUCT OR SERVICE............................................................26
CONCLUSION............................................................................................................27
REFERENCES...........................................................................................................28
2
LINK THE HOTEL’S PROMOTIONAL STRATEGIES............................................21
M3 APPROPRIATE STRUCTURE AND APPROACH ARE USED TO CARRY
OUT THE ADVERTISEMENT CAMPAIGN............................................................22
TASK 4........................................................................................................................23
4.1 DISCUSS THE RELEVANCE AND IMPORTANCE OF UNDERTAKING A
MARKETING RESEARCH......................................................................................23
4.2 UNDERTAKE MARKET RESEARCH FOR AN APPROPRIATE PRODUCT OR
SERVICE.................................................................................................................24
4.3 ANALYSE THE SUITABILITY OF DIFFERENT MEDIA FOR MARKETING AN
APPROPRIATE PRODUCT OR SERVICE............................................................25
4.4 EVALUATE THE IMPLEMENTATION OF THE MARKETING PLAN FOR AN
APPROPRIATE PRODUCT OR SERVICE............................................................26
CONCLUSION............................................................................................................27
REFERENCES...........................................................................................................28
2
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INTRODUCTION
The success of any business not only depends on its product or services but also on
the marketing activities as well. The market has a major influence in driving the
hospitality sector. Through market, the company can identify the needs and wants of
the customers in order to serve them with better quality product or services. The aim
of this report is to understand the conceptualisation of marketing by using different
techniques and methods to be applied in the hospitality industry (Kusluvan, et al.
2010). The internal and external environment is analysed in marketing that impacts
on the decisions of the company in hospitality sector by using tools such as
marketing mix, promotional mix and so on.
3
The success of any business not only depends on its product or services but also on
the marketing activities as well. The market has a major influence in driving the
hospitality sector. Through market, the company can identify the needs and wants of
the customers in order to serve them with better quality product or services. The aim
of this report is to understand the conceptualisation of marketing by using different
techniques and methods to be applied in the hospitality industry (Kusluvan, et al.
2010). The internal and external environment is analysed in marketing that impacts
on the decisions of the company in hospitality sector by using tools such as
marketing mix, promotional mix and so on.
3
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COMPANY SUMMARY
The Swan hotel was built in the 18th century and is located in the centre of Alresford.
The huge and beautiful industry of the Swan hotel is of over two hundred and fifty
years and offers 22 bedrooms along with the original rooms with high standards. All
the bedrooms in the hotel are equipped with all the facilities and amenities required
for comfy night sleep. The dining areas of the hotel are either in restaurants, bar food
in the tap room stalls, and less formal watercress rooms. The facilities for the
customers at the Swan Hotel are ample free car parking, free Wi-Fi for guests in the
public areas, 22 en-suite bedrooms with flat screen TV and sky, restaurants, bar and
lounge, wedding reception speciality and large function rooms.
4
The Swan hotel was built in the 18th century and is located in the centre of Alresford.
The huge and beautiful industry of the Swan hotel is of over two hundred and fifty
years and offers 22 bedrooms along with the original rooms with high standards. All
the bedrooms in the hotel are equipped with all the facilities and amenities required
for comfy night sleep. The dining areas of the hotel are either in restaurants, bar food
in the tap room stalls, and less formal watercress rooms. The facilities for the
customers at the Swan Hotel are ample free car parking, free Wi-Fi for guests in the
public areas, 22 en-suite bedrooms with flat screen TV and sky, restaurants, bar and
lounge, wedding reception speciality and large function rooms.
4

TASK 1
1.1 DISCUSS CONCEPTS OF MARKETING FOR A RELEVANT SERVICES
INDUSTRY
MARKETING PROCESS
The marketing process is referred to that method in which major purpose is to create
a value in such a way that it satisfies the needs and requirements of the customers.
Marketing process in services is industry is an endless series of action, as well as a
reaction wherein the attempts, are made by both customers and the companies such
as The Swan Hotel to satisfy the needs of the customers by creating the value
(Legrand, et al. 2013). The marketing process includes the examination to identify
the opportunities to formulate strategies and tactics to take a decision and execute
the plan and monitor the results.
Fig 1 Marketing Process
[Source: https://www.smartsheet.com/strategic-marketing-processes-and-planning]
CONCEPTS OF MARKETING
The concept of marketing in service industry includes wants, needs, demands,
products and market that vary in their function that they deal with. The needs want
and demand of the customers are different which needs to be analysed, evaluated
5
1.1 DISCUSS CONCEPTS OF MARKETING FOR A RELEVANT SERVICES
INDUSTRY
MARKETING PROCESS
The marketing process is referred to that method in which major purpose is to create
a value in such a way that it satisfies the needs and requirements of the customers.
Marketing process in services is industry is an endless series of action, as well as a
reaction wherein the attempts, are made by both customers and the companies such
as The Swan Hotel to satisfy the needs of the customers by creating the value
(Legrand, et al. 2013). The marketing process includes the examination to identify
the opportunities to formulate strategies and tactics to take a decision and execute
the plan and monitor the results.
Fig 1 Marketing Process
[Source: https://www.smartsheet.com/strategic-marketing-processes-and-planning]
CONCEPTS OF MARKETING
The concept of marketing in service industry includes wants, needs, demands,
products and market that vary in their function that they deal with. The needs want
and demand of the customers are different which needs to be analysed, evaluated
5
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and fulfilled. Marketing offer in the service industry are the services that are made
and developed by the marketer as per the requirement of the customer (Brotherton,
2012). The customer is the major focus in the service industry as the value is
observed as the capacity of the products or service which derives the level of
satisfaction among the consumer.
Fig 2 Concept of Marketing
[Source: http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0103-
65132007000300003]
6
and developed by the marketer as per the requirement of the customer (Brotherton,
2012). The customer is the major focus in the service industry as the value is
observed as the capacity of the products or service which derives the level of
satisfaction among the consumer.
Fig 2 Concept of Marketing
[Source: http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0103-
65132007000300003]
6
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1.2 ASSESS THE IMPACT OF THE MARKETING ENVIRONMENT ON THE
INDUSTRY
The companies such as The Swan Hotel need to analyse the impact of the micro as
well as macro environment elements in the hospitality industry (Bharwani and
Jauhari, 2013). Following are some of the micro as well as the macro environment:
Fig 3 Macro and Micro Environment
[Source: Sindhuja, 2018]
MICRO ENVIRONMENT
The micro environment is said to those factors that are comprised in the immediate
environment of the business organization such as The Swan Hotel. It includes:
Suppliers: it is essential for the Swan Hotel to coordinate with its suppliers as well
as intermediaries to provide the facilities considering their price and quality to the
customers (Hassan, 2012).
Customers: the needs, demands and wants of the customers affect the business
operation of the Swan Hotel.
7
INDUSTRY
The companies such as The Swan Hotel need to analyse the impact of the micro as
well as macro environment elements in the hospitality industry (Bharwani and
Jauhari, 2013). Following are some of the micro as well as the macro environment:
Fig 3 Macro and Micro Environment
[Source: Sindhuja, 2018]
MICRO ENVIRONMENT
The micro environment is said to those factors that are comprised in the immediate
environment of the business organization such as The Swan Hotel. It includes:
Suppliers: it is essential for the Swan Hotel to coordinate with its suppliers as well
as intermediaries to provide the facilities considering their price and quality to the
customers (Hassan, 2012).
Customers: the needs, demands and wants of the customers affect the business
operation of the Swan Hotel.
7

Competitors: the customer is influenced by the desire of the customers, form of the
product such as design, features etc and a brand name which creates competition
among the competitors.
MACRO ENVIRONMENT
The below are macro-environmental factors that are comprised of large societal
factors which will impact the micro environment of the Swan Hotel:
Political: the Swan Hotel is impacted by the political scenario or system that is
authoritarianism being prevailed in the UK to foster or control the business activities.
The two systems are democracy and totalitarianism or authoritarianism.
Social: the business operations or activities of the Swan Hotel are impacted by the
desires, expectations, pressure that gives rise to societal laws. The promotion of the
certain products, ideas and services are impacted by the social inertia (Leung, et al.
2015).
Technological: technological emergence has benefitted by the making their online
presence through a website and other mobile application.
Economic: the economic market in any country comprises of three systems that are
capitalism, socialism and communism (Dief and Font, 2010). The economic system
of the UK impacts the activities and promotions of the Swan Hotel.
8
product such as design, features etc and a brand name which creates competition
among the competitors.
MACRO ENVIRONMENT
The below are macro-environmental factors that are comprised of large societal
factors which will impact the micro environment of the Swan Hotel:
Political: the Swan Hotel is impacted by the political scenario or system that is
authoritarianism being prevailed in the UK to foster or control the business activities.
The two systems are democracy and totalitarianism or authoritarianism.
Social: the business operations or activities of the Swan Hotel are impacted by the
desires, expectations, pressure that gives rise to societal laws. The promotion of the
certain products, ideas and services are impacted by the social inertia (Leung, et al.
2015).
Technological: technological emergence has benefitted by the making their online
presence through a website and other mobile application.
Economic: the economic market in any country comprises of three systems that are
capitalism, socialism and communism (Dief and Font, 2010). The economic system
of the UK impacts the activities and promotions of the Swan Hotel.
8
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1.3 EVALUATE THE RELEVANCE OF CONSUMER MARKET IN THE
HOSPITALITY SECTOR
The success factor of the company such as The Swan Hotel depends on the
customers in the hospitality business. One of the major aim and purpose for
instigation of the hotel chain and other businesses such as the Swan Hotel is to
satisfy the needs and desires of the customer with its quality and high-class products
and services (Kandampully, et al. 2015). The customers often look up to the hotels at
the time of any events such as wedding receptions, group occasions and business
conventions.
A major focus is given by the Swan Hotels in delivering customer care services
which refers to the provision of the service to the customers before, at the time and
after purchase as this activity increases the level of satisfaction by meeting the
expectations of the customers. The vital part of the Swan Hotel is to provide
excellent customer service to its customers for their growth and prosperity (Williams,
2012). This issue is strongly related to the management of quality services and its
significance to the customer's satisfaction and the perceived performance of the
Swan Hotel.
9
HOSPITALITY SECTOR
The success factor of the company such as The Swan Hotel depends on the
customers in the hospitality business. One of the major aim and purpose for
instigation of the hotel chain and other businesses such as the Swan Hotel is to
satisfy the needs and desires of the customer with its quality and high-class products
and services (Kandampully, et al. 2015). The customers often look up to the hotels at
the time of any events such as wedding receptions, group occasions and business
conventions.
A major focus is given by the Swan Hotels in delivering customer care services
which refers to the provision of the service to the customers before, at the time and
after purchase as this activity increases the level of satisfaction by meeting the
expectations of the customers. The vital part of the Swan Hotel is to provide
excellent customer service to its customers for their growth and prosperity (Williams,
2012). This issue is strongly related to the management of quality services and its
significance to the customer's satisfaction and the perceived performance of the
Swan Hotel.
9
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1.4 DISCUSS THE RATIONALE FOR DEVELOPING DIFFERENT MARKET
SEGMENTS
Market segmentation is referred to the process of dividing the groups of the
consumer on the basis of their purchasing behaviour as well as their reaction
towards the promotion as well as communication from the company. The customers
in the market are segmented into segments such as demographic, geographical,
behavioural and psychographic (Bowie, et al. 2016). There are several justifications
to develop these market segments. Companies such as the Swan Hotel focus and
target the segment in the market in order to enhance the profit margin and minimise
the competitive pressure.
Fig 4 Types of Market Segment
[Source: https://www.dreamstime.com/royalty-free-stock-images-market-
segmentation-types-image28845369]
The company such as The Swan Hotel create and focus on each segment in order to
match the needs, desires and wants of the customer in better and effective manner.
It helps the company such as the Swan Hotel in building better growth opportunities
and also enhances the profits for the business according to the sales and varied
disposable income of the customers (Ruizalba, et al. 2014). It also helps in customer
retention due to increasing the appeal for the products and services at its different
life-cycle in the hospitality industry. Effectively communicating with the relevant
10
SEGMENTS
Market segmentation is referred to the process of dividing the groups of the
consumer on the basis of their purchasing behaviour as well as their reaction
towards the promotion as well as communication from the company. The customers
in the market are segmented into segments such as demographic, geographical,
behavioural and psychographic (Bowie, et al. 2016). There are several justifications
to develop these market segments. Companies such as the Swan Hotel focus and
target the segment in the market in order to enhance the profit margin and minimise
the competitive pressure.
Fig 4 Types of Market Segment
[Source: https://www.dreamstime.com/royalty-free-stock-images-market-
segmentation-types-image28845369]
The company such as The Swan Hotel create and focus on each segment in order to
match the needs, desires and wants of the customer in better and effective manner.
It helps the company such as the Swan Hotel in building better growth opportunities
and also enhances the profits for the business according to the sales and varied
disposable income of the customers (Ruizalba, et al. 2014). It also helps in customer
retention due to increasing the appeal for the products and services at its different
life-cycle in the hospitality industry. Effectively communicating with the relevant
10

customer audience helps in increasing the profitability and market share of the Swan
Hotel.
M1 AN EFFECTIVE APPROACH TO STUDY AND RESEARCH THE MICRO
AND MACRO ENVIRONMENT HAS BEEN APPLIED
Porter’s Five Forces Model is the most effective and popular approach which can be
used by the company such as the Swan Hotel to analyse and research on the macro
as well as a micro environment that is given below:
PORTER’S FIVE FORCES MODEL
The companies in the hospitality industry such as the Swan Hotel have faced both
recession and growths in the economy of the UK. The companies in the hospitality
industries evaluate the factors of both Micro as well as the macro environment in
order to determine the profitability and sustainable competitive advantage
(Kandampully, et al. 2015).
Fig 5 Porter’s Five Forces Model
[Source: https://www.visual-paradigm.com/guide/strategic-analysis/what-is-five-
forces-analysis/]
11
Hotel.
M1 AN EFFECTIVE APPROACH TO STUDY AND RESEARCH THE MICRO
AND MACRO ENVIRONMENT HAS BEEN APPLIED
Porter’s Five Forces Model is the most effective and popular approach which can be
used by the company such as the Swan Hotel to analyse and research on the macro
as well as a micro environment that is given below:
PORTER’S FIVE FORCES MODEL
The companies in the hospitality industry such as the Swan Hotel have faced both
recession and growths in the economy of the UK. The companies in the hospitality
industries evaluate the factors of both Micro as well as the macro environment in
order to determine the profitability and sustainable competitive advantage
(Kandampully, et al. 2015).
Fig 5 Porter’s Five Forces Model
[Source: https://www.visual-paradigm.com/guide/strategic-analysis/what-is-five-
forces-analysis/]
11
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