Marketing in the Hospitality Industry: Greenwich Walking Tours

This report delves into the application of marketing concepts within the hospitality industry, using a case study of a proposed walking tour business in Greenwich, London, named 'Go for a Walk.' The report begins by defining marketing in the context of service industries and then analyzes the marketing environment using PESTLE and Porter's Five Forces models to assess the political, economic, social, technological, legal, and environmental factors impacting the business. It evaluates the relevance of consumer markets and emphasizes the importance of adapting to changing lifestyles and technological advancements. The report also examines the competitive landscape and the threats posed by new entrants. The overall aim is to provide a comprehensive understanding of marketing strategies applicable to hospitality businesses, focusing on creating value for customers and achieving business success. The report suggests practical marketing approaches for the 'Go for a Walk' venture, taking into account the unique attractions of Greenwich and the preferences of potential tourists.

MARKETING IN THE HOSPITALITY INDUSTRY
Introduction
Attractions of Greenwich.
In the given situation the operations of another little scale hospitality business named "Go for
a Walk" set up at East London close to Greenwich would be contemplated. As Greenwich
city is a significant hotspot in the visitor guide of London with its ideal mix of picturesque
excellence and authentic attractions the prime concentration of the venture would be not
exclusively to direct guided visits inside the city yet additionally to make an enthusiasm
about the city in the brains of the explorers and in addition give them the chronicled
pertinence with regards to the country. The endeavour would not be benefit focused as such ,
it would rather put more accentuation on the fulfilment of the desires of the purchasers so
esteem is made in the administration conveyance which thus would produce benefits.
(Kusluvan et al., 2010).
The present research will feature the distinctive basic parts of promoting in hospitality
industry. The task will concentrate on the diverse advertising approach which could be used

keeping in mind the end goal to advance another hospitality business. The present
investigation will be done in light of building up an idea of strolling visits in Greenwich and
will involve dialog of its promoting methodology. The task will attempt to dive profound into
the investigation of this idea and will create thoughts. The present research will see the talk of
key business condition models and advertising hypotheses being connected which will make
this specific task a win.
Task: Market Concepts in Service Industry
1.1) Application of marketing concepts to hospitality sector
Concept of Marketing in context of service industry can be defined as advertising of
economic activities served by business to it's potential customers. Whereas, service marketing
involves professional services, selling telecommunications, hospitality,health treatment,
financial, car rental etc. By doing so service industry will be able to meet the emerging needs
of the customers. As well as productivity and probability ratio raises at a large scale.
Marketing is critical area of relatively every business existing in this planet. Each business
needs showcasing with a specific end goal to successfully advance their items and
administrations. Marketing is done to make mindfulness about a specific item or an
administration. There two sorts of items substantial and impalpable accessible in the market.
The substantial items are the physical wares which can be touched and believed and
alongside unmistakable items there is a sort of administration connected, then again elusive
items are essentially benefits which can't be touched or felt however can be
experienced( Anderson and Xie., 2010). It is said that promoting for substantial items is

simple as should have been obvious the items before their eyes and there is an old saying
which says "when you see it, you accept it "and thus individuals get pulled in to item
promoting effortlessly. Though then again benefit showcasing is a strenuous undertaking and
gives advertisers and promoters trouble to taste achievement, consequently accommodation
advertising turns into an amazingly intense assignment.
There are different ideas of advertising that applies to hospitality, some of them are viable
and some are most certainly not. The word marketing has diverse definitions for various
individuals all things considered advertising for an association stands to be a mind boggling
set of exercises performed to make, convey and convey an incentive to the buyers absolutely.
Thus one might say that marketing is a purchaser arranged logic that aides in serving
customers viably. The idea of promoting is wide and comprises of various essential
viewpoints particularly in the field of hospitality. The use of marketing ideas turns out to be
critical. The exercises of advertising ought to in this way be outlined in such a way, to the
point that is coordinated towards the making of an obligation of compatibility and fulfilment
between the brand and the clients by trying endeavours for a good, simpler and common offer
and acknowledgement ( Dev et al., 2010). It is along these lines a logic of operation that is
joined in the business hones and the nonstop presence of any business in the opposition is
intelligent of the degree to which the logic has been put without hesitation.
The achievement of the marketing can never be allowed to sit bothered to the division of
marketing regardless of the span of the venture, in this manner making the association of the
considerable number of levels of the endeavour basic for the fulfilment of the client's needs.

The idea of promoting to be trailed by the hospitality specialist unit can be aptly represented
by the accompanying outline:
1.2) Assess the impact of the marketing environment on the industry.
The research of marketing condition of any sort of industry requires the direct of
different sorts of examination of the business out of which the most huge ones are The
PESTLE and the Porter's five force analysis. PESTLE providers an outline of the large scale
condition in light of which the key basic leadership is attempted by the undertaking. The
accompanying examination would loan a review of the UK hospitality division and
furthermore consequently make it important for "Go for a Walk" to set up its business in the
zone of Greenwich.
Political – the hospitality business positions fifth in the rundown of enterprises in UK and its
commitment is well over the sign of 34 billion pounds in net assessment incomes. The

business produces around 8% of the aggregate work and the legislature has taken exceptional
activities to guarantee that the country gets a position inside the initial five best goals in the
worldwide guide as that would thus make around 50000 occupations for each year. The
division's development has to a great extent been the reason for the foundation of the
territorial development finance particularly for the area of accommodation and it brought
about the production of 236,000 extra openings the country over in the year 2015 which
raised the work volume of the segment to 2.76 million (British Hospitality Association 2011).
It is along these lines a very lucrative setting for the speciality unit of "Go for a Walk" to set
up and grow provincially inside the country. As the endeavour is centred around directing
strolling visits over the celebrated spots beginning with Greenwich the positive help of the
administration towards mechanical improvement of the division would betoken well for the
business.
Economic – there has been a considerable development in the volume of the market and the
parts of supply keeping in mind the end goal to get the prevailing position in the market
economy. The worldwide tourism part has developed complex over the most recent couple of
years which were pegged at thrice the development of the UK showcase. In spite of the fact
that there had been financial retreats in 2009 and the spending power had endured a
noteworthy mishap however the move of the diminishment of the rates of intrigue limited the
joblessness rate in the country and the energy of spending climbed consistently. The present
commitment of the cordiality segment to the worldwide GDP has been 10.3% and the
expansion in the quantity of guests at a rate of 4.9% in the country has made it a positive spot
for speculations( Reid and Bojanic., 2009). The venture of strolling visits would focus more

on the occupant travel advertise since the swapping scale favourability and the business
development has been consistent in the UK economy.
Social – the adjustments in the way of life and the ways of life has been in charge of the
changes in the social and social part of the worldwide situation. The typical cost for basic
items has seen an expansion with time and in this manner a stamped inclination of minimal
effort items and administrations giving high an incentive to the cash spent has been seen in
the economy. Over 28% of the populace has been seen to be online customers which is
intelligent of the way that due to the less spending force and dissimilarity of expectations for
everyday comforts the country over individuals have a tendency to remain inside more
regularly. The spread of malady in the country as per the 2015 report of NHS expresses that
there has been fall in the rate of ailments which is uplifting news for the inbound
voyagers( Line and Runyan., 2012). The wellbeing and security concern has demonstrated
that there has been a noteworthy fall in the rate of wrongdoing which would help the
development of the
1.3) Evaluate the relevance of consumer markets in the industry.
Tourism segment. The get-togethers of a few games and social occasions additionally
make the country a present hotspot for explorers from around the world. These positive
variables of the economy would help in the business increase of the strolling visit undertaking
since they could appropriately outline their bundles remembering the necessities of the
different client portions. It is however essential that the venture should likewise make it
reasonable and useful and connect it with the social milieu of the detect that is being
investigated.

Innovative – this variable has coordinate effect on the business operations and the tourism
segment is profoundly affected by the online operations of the different visit administrators
alongside the improvement of the infrastructural offices as to the offices of correspondence.
As Greenwich is situated next to Thames it is very much associated with methods for water
and land transport. The reserving for the strolling visit must be masterminded through the
online stage which would bring about a high number of footfalls. In this manner the venture
must contribute on the production of an online entry through which the explorers not
exclusively would be presented to different sorts of offerings and the data on the spots yet it
would likewise empower appointments along these lines making it more available to the
intrigued individuals.
Legitimate – the UK government has expanded the rate of the lowest pay permitted by law by
15.5% which has brought about the high operational costs including high cost of generation
which thus had influenced the evaluating methodology for clients. However the setting up of
the strategy of mindful sourcing that characterises the co-operation standards and least
measures from the providers, accomplices and temporary workers would make it simple for
"Go for a walk" to work inside the enactments set for the business practices.
Environmental – there has been a developing mindfulness about the ecological duties among
the masses and in that capacity they offer their full help to brands which advance and think
about the security of the quick condition. Endeavours giving due significance to
contamination diminished and satisfactory transfer of waste items and utilisation of
recyclable items are given first inclination by the buyers (Breukel& Go, 2009). It is basic that
the endeavour of strolling visits must guarantee that the papers and the transportation offices
that are given by the venture are eco-friendly in nature and as a piece of the social duty the

undertaking must attempt and address the business needs of the group and furthermore
guarantee the well being of the clients over the span of the visit.
Porter's Five Forces
The Porter's Five Forces device is an instrument to comprehend which component of
business is holding energy to impact business. This demonstrates advantageous as it helps in
evaluating the present business aggressive quality of a man with the focused on locale of
business section. On understanding the territory of quality and shortcoming, one may take
sufficient measures to weld ones position in the business situation. One can assess the
capability of new business endeavours, products and services.

Threat of new participants - the danger from the comparable enterprises giving
comparable product yet at a lower value makes it troublesome for the current brands in the
opposition. The clients tend to change over to the new brands. This factor is reliant upon the
degree of the boundaries that stops the new participant, for example, high volume of starting
ventures and settled costs, mark devotion, asset shortage, economies of scale, enactments,
controlled channels of circulation and crude materials and client relations( Andralic and
Rugric., 2010). As the strolling visit endeavour is a little scale undertaking concentrated on a
specific city of Greenwich it is less demanding to confront the opposition. There would be no
authoritative hindrances in spite of the fact that the providers directs as offices of
transportation could posture issue alongside the dedication of the visit fans towards different
brands, which can successfully be dealt with by offering of customised bundles.
Threat of substitutes – It shows up through contrasting costs since offering of best items is
impossible at a high cost since the clients would lean toward a superior choice from the

current brand at a reasonable cost. Thus the present value patterns and the relative cost of the
substitutes must be kept in see by "Go for a Walk" and offer the administration with included
an incentive at a value that is moderate with regards to the comparable sort of an offering
from a contender.
Bargaining power of suppliers – the bargaining power of suppliers in UK hospitality
showcase is moderately low since there are an extensive number of providers in this way
making it simple for the brand to apply their impact on the providers ( Brotheton., 2012).
However the factor of substitutes does present the defence solid for the suppliers since the
methods of transportation does not have much difference to look over consequently it would
be prudent for the strolling visit to tap its known assets where the undertaking can benefit the
best bundle at a steal.
Bargaining power of buyers/customers- it relies upon the purchasing energy of the purchasers
and their simplicity in moving to an alternative. In the event that the visit administrators offer
administrations at a cost that is higher than the others in the opposition however the clients
think that its less secure as far as the administrations in offer they would make do with the
high cost items. The strolling visit organisation should accordingly give benefits that are
fundamentally esteem driven as there is a probability that the clients have the information
about the creation costs.
The rivalry among current competitors – the competition of the contenders is very high in
the tourism area. Advertising and special crusades are surrounded with the goal that piece of
the overall industry can be picked up from the competitors( Walker and Walker., 2012).
Since there are heaps of visits co-operators offering administrations of comparable kind it
would be troublesome for the new undertaking to discover an a dependable balance thus

customisation and personalisation to an impressive degree can spare the day for "Go for a
Walk".
1.3: Relevance of consumer markets
Consumer markets rely upon the distinctive sections which are shaped in light of
customer culture, individual taste, geological foundation, and so forth. The clients purchase
the hospitality services as indicated by their surrounded tastes for their utilisation; they are
the end user of the services. The decision of an eatery made for an end of the week dinner is a
customer advertise so is a redone visit bundle worked out for a gathering of sightseers by a
tour operator. Consumers are impacted by many elements which influence their purchasing
designs. On the off chance that the hospitality associations can't comprehend the components
impacting the purchasing example of the customers, their business wanders will undoubtedly
come up short.
Aside from culture, there are various components that impact the purchasers' purchasing
designs. The major point are talked about below:
Cultural:
Each individual has a foundation of an alternate culture. This shapes the individual taste for
the visit bundle. This can be a referential casing for judging the purchaser advertise situation.
At the point when organisations choose to grow and take into account a totally extraordinary
arrangement of individuals varying geologically the hospitality showcasing system will
contrast altogether with new customer base.
1.4) Discuss the relevance of market research to services industry operations.
The rationale for developing different market segments are explained as follows:
Enhancing huge profit for business: Go for a Walk by distinguishing market
segments in the global market huge revenue is gathered in the global market. Accumulated
profits further used in growth and development of the business in order to gain competitive
advantages against rivalry.
More opportunities for expansion of business: Expanding Go for a Walk in more
fields aid the company to grab more job opportunities prevailing in the open market place.
The chances of growth raises at a tremendous scale.
Binding more consumers with the product and services: Go for a Walk expanding

the business in new segments helps to bind the potential customers for longer time period. By
doing so consumers needs and wants are satisfied by the company in the global market.
The market segmentation is the most indispensable of the considerable number of
components in the marketing design since this system helps in tending to the necessities of
the different fragments that the organisation is taking into account( Kumar., 2010). The
strolling tour company with its one of a kind approach of city visit on feet in the Greenwich
city is taking into account all the age gather that incorporates the old individuals, youngsters,
students, little children and the couples. For each segment it would have an arrangement with
some extraordinary offices like the old individuals would be subjected to rests and
caffeinated beverages and restorative checkups amid the visit. The youthful ones would
likewise be given instructive help as that would likewise improve their insight base while in
the visit. The little children who take an interest in the visit would be furnished with rests and
suppers and contraption would be given so they could move safe way. The gatherings would
be divided by their particular needs so that there could be many gatherings taking the
strolling visit with their assortment of inclinations getting satisfied.
Task 2 Role of marketing mix
A) Significance of marketing mix elements
2.1) Assess the importance of components of the marketing mix to the industry.
In spite of the fact that the cordiality business is regularly alluded as a service industry
yet it likewise contains certain items which includes viable marketing for making
mindfulness. For this situation it is critical to apply the promoting idea like sorting out
marketing mix and utilising the marketing mix variables and afterwards it will be identified
with the operations of "Go for a Walk" another little scale hospitality business set up at
Greenwich in East