Marketing Report: Costa Coffee and Hospitality Analysis

This report provides a comprehensive analysis of hospitality marketing, using Costa Coffee as a case study. It begins by defining marketing and its evolution with digital media, then explores key marketing roles and responsibilities within a hospitality organization, including fulfilling customer needs, expanding market share, and managing competition. The report then examines the relationship between the marketing department and other organizational units like R&D, HR, and production. Furthermore, the report compares Costa Coffee and Barista using the marketing mix (product, price, place, and promotion), highlighting their differences in product offerings, pricing strategies, distribution channels, and promotional activities. The report concludes by discussing the importance of marketing strategies in meeting organizational objectives.

HOSPITALITY
MARKETING ESENTIAL

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1: Key roles and responsibilities of the marketing function within a selected hospitality
organisation..................................................................................................................................3
P2: Discuss how roles and responsibilities of marketing relate to the wider organisational
context..........................................................................................................................................5
TASK 2............................................................................................................................................6
P3: Compare different hospitality organisations based on marketing mix..................................6
TASK 4 ...........................................................................................................................................8
Covered in PPT............................................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Traditionally, the term marketing refer to the mean by which the company identify,
communicate, connect as well as engage targetted audience in order to convey the value and
deliver goods and services. With the emergence of digital media lead to the technology
innovation which has promoted hospitality organisation to build long lasting experience with the
customer in order to reach potential market (Diffley, McCole and Carvajal-Trujillo, 2018). For
the better understanding of report, Costa Coffee shops has been selected which is the part of
hospitality industry as it offer various variant in coffee, sandwiches as well as other beverages.
The headquarter of company is in United Kingdom and carry out its operations in different parts
of the national and international market. This report cover topics like different marketing roles
and its interrelation with the other functional units of the hospitality organisation. It compares
different hospitality organisations on the basis of marketing mix. Further, present the marketing
plan for the hospitality organisation in order to meet the certain marketing objective are covered
in this report.
TASK 1
P1: Key roles and responsibilities of the marketing function within a selected hospitality
organisation
Marketing: Marketing refers to activities operated by an organization to promote the buying or
selling of a product or service. Marketing includes advertising, selling, and delivering products to
consumers or other businesses.
Marketing Concept: Marketing concept is a philosophy which says that it is better to
understand the desires and requirements of the customers and try to satisfy those requirements
rather than competing with others. Costa Coffee adopts some of the marketing concepts which
are presented below:
Production Concept: This concept emphasis on the idea that organization should focus
on rendering those products and services which it can produce efficiently and with low-cost so
that demand of products can be increased by supplying them on affordable prices.
Selling Concept: The selling concept inspire the Costa Coffee to promote and advertise
its products and services in order to compete its competitors. It has been seen that customers

prefer those business offerings that are publicized in the market aggressively (Natakusumah,
Nursiana and Suryono, 2017).
Social Marketing Concept: Social or societal marketing concept focuses on the
enhancement of brand image and value of the products and services which is possible by
providing goods and services according to needs of current and potential customers.
Current and future trends:
Relationship Marketing: This trend of marketing can be evolved by those organizations
which directly respond to their customers. This marketing concept focus on customer satisfaction
and relationship rather than increasing sales volume.
Industrial Marketing: Industrial marketing trend is that where an organization sell its
production to the other company which use them to manufacturing complex goods or improve
their quality and then resell the products (Mahrous and Hassan, 2017).
Societal Marketing: This marketing trend is related to CSR in organization and focus on
understanding customer needs and provide them satisfactory products and services which later
bring short-term as well as long-term benefits for the organization.
Overview of different marketing processes:
Overall Marketing process follows some steps to complete the process which are
mentioned as below:
Step 1. Situation Analysis: This process involves the identification and satisfaction of
requirements of current and potential customers.
Step 2. Marketing Strategy: Marketing strategy follows three steps which are
segmentation of market, targeting and value positioning.
Step 3. Marketing-mix Decision: It includes the balance of products, price, place,
promotions, people, process and physical evidences.
Step 4. Implementation and Control: This is the process of monitoring the execution of
strategies and having control over the variances.
Roles and responsibilities of marketing:
Fulfil Customer Needs: Customer is considered as the king of the market hence it is the
responsibility of the marketing managers to meet customer needs and expectations and provide
them products and services that can satisfy their desires. Costa Coffee attempt to to fulfil
customer needs through the exchange process.

Widen Market Share: Marketing team of the selected firm also plays an important role in
expanding its business and increase the market share of the company into hospitality sector. It
has the responsibility to utilise the marketing channels and strategies in order to create the brand
image and promote business offerings.
Adapting Best Prices: Customers can only be attracted when quality products and
services are provided on acceptable prices. The marketers of respective hospitality company are
responsible to analyse the market and then set such prices for the offerings that can provide
desired profit margin to the company and satisfy the customer as well.
Manage Competition: In today's global economy, it is essential to have emphasis over
the competitors' products and services so that company's offerings can be made better from the
competitors' offerings (Baporikar, 2017). On the other hand, marketers of Costa Coffee also
liable to create healthy and legal competition into the market.
Functions Of Marketing:
Promotion and Advertisement: This is the main function of marketing to promote and
advertise the business offerings so that it can be acknowledged to maximum people and sales
volume can be increased.
Market research: Marketing managers of chosen company conduct market research on
regular basis so that they can analyse the market trends, understand customer needs and evaluate
the competitors' strategies.
Customer support and relations: Marketing has to perform this significant function so
that it can widen the customer base of the selected organization and create healthy relations with
its customers which provide advantage of mouth publicity (Alexander, 2018).
Besides above mentioned functions, product designing and development, packaging and
labelling, selling and distribution, etc. are also important functions of marketing that helps in
improving profitability and productivity of firm in an effective manner.
P2: Discuss how roles and responsibilities of marketing relate to the wider organisational context
Within organisation, marketing plays an essential role as it cover the areas like
identifying customer requirement, conducting planning and develop the advertisement in order to
formulate the long term relationship with customer. Along with this, there are various other

departments in an organisation such as human resource, finance, research and development on
which the marketing department depend to attain the organisational success.
Marketing and research and development department: Research and development
department is responsible to investigate the market or external environment and determine the
relevance of changing trend within the market (Wang and others, 2018). In terms of marketing
department is responsible to identify the changing trend and analyse the external market or
consumer behaviour in order to bring significant changes. So marketing department depends on
R&D either to bring alterations or launch new product in order to satisfy the upcoming needs of
customers. So based on this, the marketing department of Costa coffee can set effective
strategies to attract wide audience within market.
Marketing and Human resource: Human resource select and train the employee in
order to enhance their capabilities due to which they can perform their different tasks effectively.
It basically helps the organisation to fill vacant position by attracting right candidate for the
required position (Sotiriadis, 2018). Hence, it is vital for the marketing manager to coordinate
with HR manager so that together they can create the competitive team which can function
together and achieve the shared objective. Herein, Costa coffee's marketing manager share the
detail of vacant post and basic requirement to the HR department which can finally develop the
skilful team capable to achieving predetermined objectives.
Marketing and production department: Production department is responsible to fulfil
the needs of customer by transforming raw material into the finished goods. Moreover,
marketing department collect the data from market to anticipate the forecasted demand. Being
specialised in producing quality output marketing department is interrelate with this area to
product the accurate goods based on the preferences of market. As Costa coffee is well known
worldwide for its supreme quality which is possible due to the better interaction and coordination
amongst production and marketing department.
TASK 2
P3: Compare different hospitality organisations based on marketing mix
Marketing mix is a comprehensive part of the marketing plan that consist of different
areas which are considered in order to reach out the audience and focus on the major marketing
areas. Focusing on these aspects assist the organisation to prepare the strategic decision which is

used either to launch new product in the market or revising the existing ones (Shahriar and
others, 2018). Hence, the comparison between two different hospitality organisation based on
marketing mix is demonstrated below:
Basis of difference Costa Coffee Barista
Product Costa coffee offers various
variant in its coffee like, Flat
White, Americano, Mocha,
Latte, Lemonade and so on.
Apart from just dealing with
customer, the company too sell
its vending machines to the
corporates with the company's
brand name.
Barista has the leading chains
of coffee that comprises of
different flavours of coffee,
smoothies, mojitos, lemonade
and is especially known for the
expert in offering espresso.
Each product are available in
different sizes (Vuignier,
2017) .
Price Unlike Barista, Costa coffee
charges the premium prices for
all its food and beverages.
Although, it also include the
different sizes of the product
such as small or large but
overall the prices are high.
Further, the prices too vary on
the basis of supplement like
extra cream or chocolate added
in the coffee (Mathaba,
Dhurup and Mpinganjira,
2017).
Barista comprises of various
variant as each variant of
beverage has either regular or
large size which is offered at
different prices. Like, regular
size price is low and large cup
has high price. It basically
offer products at standard
prices which is comparatively
lower than Costa Coffee.
Place The company has around 3300
outlets that operates in
different countries based on
which it modifies the menu to
The company does not make
home delivery. It only provide
the coffee through its outlet. It
mainly segment to the students

retain the interest of
customers. Further, most of the
outlets are either in airport or
large malls where the visitor
rate is high.
who prefer hanging out with
their friends. Thus, the
company majorly functions at
the large or metropolitan cities
where they can segment huge
audience (Barista Marketing
Mix Strategy, 2019).
Promotion Costa coffee does not promote
its brand through
advertisements, it just try to
make valuable experience of
customers so that they take the
positive experience along with
them and share it with others.
Hence, it only focuses to get
word of mouth publicity.
Barista widely uses different
advertisement platform such as
digital media and traditional
media that has helped the
company to enhance and reach
out various audiences. It has
advertised itself as “where the
world meets” that provide the
large platform where people
can meet and socialize with
each other. Further, it too aim
to provide discount coupons or
loyalty card in order to deliver
best possible services.
Physical Evidence The company apart from
selling coffee, also offer the
brand cup which is exclusively
designed for the customer that
consist of the company's name
(Chong, 2018).
The Barista stores has the wide
physical presence especially in
the malls or metropolitan cities
where it can easily find the
people. With the presence of
quality staff the company can
serve the espresso drink to
customer in best possible way.
People The employees of Costa coffee Due to fierce competition,

are highly trained so that they
can spread the uniqueness to
the customer through their
different outlet. The internal
employee wear similar type of
uniform and interact wither in
the regional language or in
English whatever preferred by
the customer (Costa Coffee
Marketing Mix Strategy.
2019).
Barista intensively focuses on
the quality of services and
trained staff that help the
company to maintain the high
standard of the offerings.
Process Each outlet of company is
suitably designed like it offer
the comfortable area where the
people can come and relax by
having coffee. Once order is
placed the staff make sure that
the customer does not have to
sit for long and always greed
them with smile and patience.
High standard as well as step
by step processes are met out
to build suitable experience of
customer, for which the
company try to reduce the
waiting time and chances of
human error when serving the
guest (Martens and Reiser,
2019).
TASK 4
Covered in PPT
CONCLUSION
From the above report it has been determined that marketing is an essential department of
an organisation that help to tie long term relationship between the organisation and customer.
There are different roles and responsibility which are the part of marketing function such as
identify market and determining promotional strategy which need to be focused by an

organisation in order to increase the profitability of firm. Along with that, the marketing
department is strongly interrelated with other departments in order to enhance the sales of
company and meet business objective. On the basis of comparison based on marketing mix the
organisation can determine competitor's market and implement suitable strategy. Hence,
marketing plan is the written presentation that is basically used to launch the new product or
variant in market so it give the arena of different aspect in order to gain competitive advantage.

REFERENCES
Books & Journals:
Alexander, B. D., 2018. Communication in Multinational Hospitality Organizations (Doctoral
dissertation, Capella University).
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Chong, K. L., 2018. Price or pride? Malaysian marine cruising behaviour. International Journal
of Tourism Sciences. 18(2). pp.110-123.
Diffley, S., McCole, P. and Carvajal-Trujillo, E., 2018. Examining social customer relationship
management among Irish hotels. International Journal of Contemporary Hospitality
Management. 30(2). pp.1072-1091.
Li, H., 2018. An exploratory study of the preferred qualities of managerial hospitality candidates
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of Technology).
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investigation of multichannel choices in the travel and tourism industry of an emerging
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destinations–The perception of first-time visitors from Germany. Tourism and
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Mathaba, R. L., Dhurup, M. and Mpinganjira, M., 2017. Customer satisfaction levels, store
loyalty and perceived important store attributes among sportswear apparel shoppers in
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Natakusumah, Y. R. M., Nursiana, A. and Suryono, C., 2017. The Impact of Marketing
Communication in Attracting Customer (Case Study at Fairmont Hotel Jakarta). TRJ
Tourism Research Journal. 1(1). pp.68-80.
Shahriar, S. H. B. and et.al, 2018. Service Recovery Strategies versus Customers’ Expectations,
Race for Sustainability: a Qualitative Study on Micro Brands. Marketing–from
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Sotiriadis, M. ed., 2018. The Emerald Handbook of Entrepreneurship in Tourism, Travel and
Hospitality: Skills for Successful Ventures. Emerald Publishing Limited.
Vuignier, R., 2017. Place branding & place marketing 1976–2016: A multidisciplinary literature
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Wang, W. and et.al, 2018. Examining Chinese adult children’s motivations for traveling with
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Online
Barista Marketing Mix Strategy. 2019. [Online]. Available
through:<https://www.mbaskool.com/marketing-mix/services/17017-barista.html>
Costa Coffee Marketing Mix Strategy. 2019. [Online]. Available
through:<https://www.mbaskool.com/marketing-mix/services/17119-costa-coffee.html>