Marketing and Sales Strategy for Freehold Hotel/Bar/Restaurant

This coursework report details a comprehensive marketing and sales plan for a freehold hotel, bar, and restaurant located in Llanelli, Wales. The report begins with an introduction to commercial real estate marketing principles, emphasizing location, quality, demand, and lease structures. The main body of the report focuses on developing a marketing and sales plan, covering sales strategies such as defining objectives, creating digital and print assets, and measuring results. It explores recommended methods of sale, including auction, expressions of interest, and price negotiation, along with sales particulars and market appraisal techniques like cost, sales comparison, and income capitalization approaches. The report concludes by summarizing the importance of effective marketing in the commercial real estate sector. The assignment includes a detailed analysis of various marketing strategies, from print and social media advertising to networking events and cold calling. The report also provides insights into appraising commercial properties, including the cost approach, sales comparison approach, and income capitalization approach. The report uses academic journals and books to support the analysis.

COURSEWORK

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Commercial real estate marketing and investing in commercial properties need to follow
certain principles of long term investment to earn higher returns than most other debt instruments
that need to focus on location, quality of buildings, demand and supply, market rent vs. in place
rent, interior fitness, lease structure, security deposits and diversification (Tuten, 2009). The
Coursework will devise a marketing and sales plan for the commercial property Freehold hotel /
bar and restaurant with private cottage in Llanelli, Dyfed, Wales. The marketing and sales plan
of Freehold hotel / bar and restaurant will describe sales strategy and recommended method of
sale. It will also explain the particulars of sale and market appraisal techniques or methods that
can be implemented by Freehold hotel / bar and restaurant
MAIN BODY
Marketing and Sales plan for Freehold hotel / bar and restaurant
Marketing of the commercial property Freehold hotel / bar and restaurant includes a sign
in front of the property and postcard mailings that are utilized for a mailing lists where sellers
need to ask brokers regarding arriving at their mailing lists. Print and social media advertising
are the other forms of promoting and marketing Freehold hotel / bar and restaurant commercial
property (Abril, Olazábal, and Cava, 2009). The real estate marketing plan of Freehold hotel /
bar and restaurant renders a comprehensive structure for all paid media assets that allows to
document marketing activities and define objectives to have a clear understanding about the
goals and needs. Good commercial marketing plan need to have a well-balanced marketing mix
strategy and leverage earned, owned and paid media and is the key component of Freehold
hotel / bar and restaurant’s commercial property marketing to help in planning and managing
timelines and budget.
Sales Strategy
Creating successful marketing strategy for commercial property Freehold hotel / bar and
restaurant requires involvement and putting together of real estate marketing techniques to create
a strategic market winning (Chen and Khumpaisal, 2009). To create an effective marketing plan
certain steps are to be followed by Freehold hotel / bar and restaurant which are as follows:
 Define objectives and answering basic questions that involves planning stage
 Develop the collateral and game plan that involves tactics for generating visibility; Print
collateral, broker events, print media, direct mail, window signage displays and
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networking nationally and internationally (How to Create a Commercial Real Estate
Marketing Plan. 2018)
Create digital assets and online marketing campaigns for Freehold hotel / bar and restaurant that
includes website development, updates ongoing, outreach marketing, email campaigns, videos,
media placements, social media, online press releases, media placements, digital brochures and
performance based advertising (Ponzini, 2011)
 Measuring and tracking results which includes metrics to measure success and reporting
for making inform decisions to improve campaign performance
 Organize marketing tasks and set timeline
The sales strategy of Freehold hotel / bar and restaurant are focused on high quality
marketing materials with effective marketing collateral highlighting commercial property’s
unique appeals as the real-estate property is highly attractive built with impressive design.
Freehold hotel / bar and restaurant already has a website which it uses to create a listing page on
the marked property in the website and CRE portal which serves as a digital hub for the
commercial property’s marketing efforts. They also implements the social media platforms like
twitter, Facebook, LinkedIn etc., which are the powerful tools for advertising commercial
properties that enables to choose target audience for the advertisement, place and time of ad as
well.
Video sites like YouTube and Vimeo are the popular marketing tools that are used by
Freehold hotel / bar and restaurant which is the fast growing advertising niche for extensive
advertisement of its properties (Phillips and Roper, 2009). Low cot tool of email shot are also
being applied by the Freehold hotel / bar and restaurant to advertise their commercial property
that is created by embedding the listing of property in a group email that are sourced from an in
house database. Several networking events of Freehold hotel / bar and restaurant renders
opportunities to directly market the property to a sensibly chosen pool of potential buyers and
investors. Cold calling is an extremely effective strategy of sale by screening prospects from the
in house database to identify contacts that have interest in buying the Freehold hotel / bar and
restaurant property by directly calling them.
Recommended methods of Sale
Freehold hotel / bar and restaurant commercial property selling is a big decision which it
need to be decided on the basis of strategies and marketing plan devised. The local industry have
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an experience and proven track record of turning sales campaigns into genuine sales activities.
With the help of an experienced broker or agent who has knowledge and can discuss specific
needs and concerns might advise the most appropriate method of sale and create marketing
strategy designed to attain maximum result (Rapoport, 2014). Freehold hotel / bar and restaurant
can implement the following best ways and methods to sell their commercial property
successfully:
Auction
This is the best way of attaining a premium price in a competitive market that involves
short, sharp and intensive marketing campaigns of Freehold hotel / bar and restaurant
commercial property without a price done to test the market to identify the potential purchasers.
Marketing with price will limit the keen buyer and once listing price gets established for the
Freehold hotel / bar and restaurant property a ceiling can be placed on expectations of buyers
paying for it. Sale by auction is the most popular method o selling commercial property Freehold
hotel / bar and restaurant that can adopt public auctions that have various advantages:
 It removes the ceiling price created by private sale and avoids the risk of underselling
 It encourages and develops competition between prospective buyers both prior to and at
auction process (How to choose your method of sale, 2017) The public competition generated by auction raises the price received for the Freehold
hotel / bar and restaurant property compared to that of private sale
Expressions of interest
Tender works in a similar system of auction process but there is no public auction date or
venue and offers close at a specific tome on a specific date that presents opportunity for sellers to
create a competitive situation without starting a listing price by setting terms, conditions and
deadlines and the prospective buyers have the opportunity to put forward the competitive offer
(Ratchatakulpat, Miller and Marchant, 2009). It requires formal documentation to be completed
by a due date with right group of buyers bidding, higher price options in exchange for changes to
terms of sale or a longer settlement period or smaller deposits can render Freehold hotel / bar and
restaurant an excellent result.
Price by negotiation
This is a method which can be used by Freehold hotel / bar and restaurant that can be
applied in three ways:
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 Without advertising price where buyers will make offers through the sales consultants
 Minimum price of Freehold hotel / bar and restaurant’s commercial property may be
advertised and offers above the set lowest price are considered
Advertising price range and offers within this price band can be considered by Freehold hotel /
bar and restaurant (Coiacetto, 2009)
Sales Particulars
After the listing of Freehold hotel / bar and restaurant commercial property delivering the
promise of selling the possessions at highest price possible in the least amount of time by making
client happy with stress free processes for parties involved are part of the marketing plan and
strategy to sell commercial; property successfully. To avoid the mistakes of believing that
Freehold hotel / bar and restaurant are perfect for any opportunity and to specialize in
commercial real estate investing they need to prepare their sale particulars by answering the
uniqueness that they offers and possess to attract potential buyers. Freehold hotel / bar prepares
their sale particulars by specifying the restaurant or hotel building, targeting big hotel or food
chain groups with their demographic and psychographic make up for creating a single piece of
marketing (.Gibler and Lindholm, 2012). Their uniquely built structure, excellent exteriors and
interiors and location are the major exceptional elements that they can mention in their
advertisements to attract potential buyers. Branding with professional photos and logos, website
and powerful slogans or sayings that tell people exactly about the property and its benefit will
assist in attracting more purchasers towards Freehold hotel / bar and restaurant commercial
property. They also need to develop an online and offline marketing strategy that aims at getting
noticed by potential purchasers with advertising, social media, print media, direct mails,
networking events etc.
Market Appraisal
Real estate or commercial property market appraisal are the beneficiary for various
reasons as the professional appraiser carries out this process by assembling different facts,
statistics and information regarding the Freehold hotel / bar and restaurant commercial property
(Colomb, 2012). The data is then analysed and used to develop opinions of value which will help
in determining acceptable selling prices, assists underwriters in establishing value of security for
mortgage, supports lease negotiations etc. Freehold hotel / bar and restaurant commercial
property use the following types of approaches for appraising their commercial real estate:
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The cost approach
This technique associates the value of Freehold hotel / bar and restaurant commercial
property to the cost of construction that considers depreciation by assuming a fair market value
for the real estate property (Anatomy of a Commercial Real Estate Appraisal: A Top 10 Q&A
Guide, 2017). It comes with the share of debate and is used to appraise new and unique
properties with few comparable sales.
Sales comparison or Marketing approach
This method risks that an investor will pay for the similar products only sold for and the
sales comparison or market approach is embedded in which Freehold hotel / bar and restaurant
commercial property’s characteristics are similar and costs associated with those traits. Location,
size, condition, floor plan etc., are the major features (Urbanavičiene, Kaklauskas and
Zavadskas, 2009).
Income capitalization approach
This method or tactic involves a rationalization of the income that Freehold hotel / bar
and restaurant commercial property may generate over time and appraisers use this technique
which have strong earning ability. Lenders will closely examine the findings and determines
whether they feel confident about their repaying of investments.
CONCLUSION
Commercial real estate marketing is necessary to advertise, promote and market the
commercial property in the highly competitive digital age is essential for Freehold hotel / bar and
restaurant commercial property to sell their possession successfully at a higher price. The
coursework on Freehold hotel / bar and restaurant commercial property devised a marketing and
sales plan for effective marketing efforts for a specified timeline. It developed various sales
strategies that Freehold hotel / bar and restaurant commercial property can implement to
effectively advertise and promote the possession through print, social media and various other
forms of advertising. Freehold hotel / bar and restaurant commercial property were also
recommended with various methods of sale which it can implement fort successful selling of real
estate possession that elucidated auctions, tenders and price by negotiation methods
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REFERENCES
Books and Journals:
Tuten, T., 2009. Real world experience, virtual world environment: The design and execution of
marketing plans in Second Life. Marketing Education Review, 19(1), pp.1-5.
Abril, P.S., Olazábal, A.M. and Cava, A., 2009. Marketing and the law. Journal of the Academy
of Marketing Science. 37(3). pp.375-380.
Chen, Z. and Khumpaisal, S., 2009. An analytic network process for risks assessment in
commercial real estate development. Journal of Property Investment & Finance. 27(3).
pp.238-258.
Ponzini, D., 2011. Large scale development projects and star architecture in the absence of
democratic politics: The case of Abu Dhabi, UAE. Cities. 28(3). pp.251-259.
Phillips, D.R. and Roper, K.O., 2009. A framework for talent management in real estate. Journal
of Corporate Real Estate. 11(1). pp.7-16.
Rapoport, E., 2014. Utopian visions and real estate dreams: the eco‐city past, present and
future. Geography Compass. 8(2). pp.137-149.
Ratchatakulpat, T., Miller, P. and Marchant, T., 2009. Residential real estate purchase decisions
in Australia: is it more than location?. Graduate College of Management Papers. p.86.
Coiacetto, E., 2009. Industry structure in real estate development: is city building
competitive?. Urban Policy and Research. 27(2). pp.117-135.
Gibler, K.M. and Lindholm, A.L., 2012. A test of corporate real estate strategies and operating
decisions in support of core business strategies. Journal of Property Research. 29(1).
pp.25-48.
Colomb, C., 2012. Pushing the urban frontier: temporary uses of space, city marketing, and the
creative city discourse in 2000s Berlin. Journal of urban affairs. 34(2). pp.131-152.
Urbanavičiene, V., Kaklauskas, A. and Zavadskas, E.K., 2009. The conceptual model of
construction and real estate negotiation. International Journal of Strategic Property
Management. 13(1). pp.53-70.
López-Morales, E.J., 2010. Real Estate market, state-entrepreneurialism and urban policy in
the'gentrification by ground rent dispossession'of Santiago de Chile. Journal of Latin
American Geography. pp.145-173.
Online:
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Anatomy of a Commercial Real Estate Appraisal: A Top 10 Q&A Guide. 2017. [Online]
Available Through :< http://www.rweiler.com/blog/commercial-real-estate-appraisal-top-10-qa/
>
How to choose your method of sale. 2017. [Online] Available Through: <
https://content.harcourts.co.nz/blog/how-to-choose-your-method-of-sale>
How to Create a Commercial Real Estate Marketing Plan. 2018. [Online] Available Through:
<https://www.inmotionrealestate.com/resources/how-to-create-a-commercial-real-estate-
marketing-plan/>
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