Marketing Analysis and Strategies for the Travelodge Hotel Chain

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This report provides a detailed analysis of the marketing strategies employed by Travelodge Hotel. It begins by outlining the marketing process, emphasizing its importance in building brand image and customer loyalty within the hospitality industry. The report then explores the macro and micro environments influencing marketing decisions, including PESTEL and SWOT analyses. It assesses the relevance of consumer market segmentation, detailing geographic, demographic, psychographic, and behavioral segmentation strategies. The study examines the marketing mix variables applicable to the hospitality sector, focusing on the significance of place, price, and promotion. Furthermore, it delves into the role of various pricing policies and strategies used by Travelodge. The report also analyzes the promotional mix, including advertising campaign plans and objectives, and evaluates the roles of sales promotion and public relations in enhancing the hotel's market presence and customer engagement. The analysis is supported by relevant academic references.
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Marketing in Hospitality
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Contents
INTRODUCTION...........................................................................................................................................4
1.1 Describing marketing process and discussing the concept of marketing in Travelodge hotel............4
1.3 Evaluating the relevance of consumer market in industry and discussing why it is useful to segment
consumer market.....................................................................................................................................5
2.2 Role of various pricing policies and strategies used by businesses of Travelodge hotel....................6
REFERENCES..........................................................................................................................................12
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INTRODUCTION
Marketing is the most important part of any type of industry or any company operating in
any kind of business. The importance of marketing and all of its elements in hospitality industry
to build a brand and attracting new customers and then maintaining loyalty. As the main aim of
hospitality industry is focus on creating experience and relationship with all types of customers.
The present report on marketing in hospitality industry will be covering marketing process and
concept of marketing will also be include macro and micro environment that are influencing the
marketing decision in hospitality sector. It will further continue marketing mix variables
applicable within hospitality with assessing importance of marketing mix components in
Travelodge Hotel. This hotel is private company operating in hospitality industry throughout
UK. In the country Travelodge hotel is second largest hotel in budget sector and third largest
hotel chain with about 32600 numbers of bedrooms at the end of 2010.
TASK 1
1.1 Describing marketing process and discussing the concept of marketing in Travelodge hotel.
Marketing process is the planning procedure which will be establishing the direction and
purpose of all the marketing efforts form planning to execution. There are five steps in process of
marketing which includes identification of mission, analyzing situation, setting objectives,
developing marketing strategy and evaluation (Nieves and Diaz-Meneses, 2016). In the
Travelodge hotel concept of marketing is very much important as will be helping the company in
building brand image, attracting new customer and maintaining loyalty. The marketing in
Travelodge hotel will be including both print and digital media and then targeting customer from
all segment from society.
Marketing process in Travelodge hotel:
Mission- this is the basic step of marketing which involve mission of organization this is the
reason as to why the business was set up. The main mission statement of Travelodge hotel will
be including the improvement in public health and education and this will be leading to profit
maximization.
Situation analysis- this will be the second set of the marketing process which will be including
the situation analysis which can be done under SWOT analysis. In this type of analysis will
include strength, weakness, opportunity and threats which are there in internal environment
(Prud’homme and Raymond, 2016). It will determine understand resources that will be building
and then the challenges which they will be facing.
Setting objective- after Travelodge hotel can identify their strength, weakness, opportunity and
threats they need to set up the objective of company so that they can attain that objective whether
long or short run. The objective which they need to set up should be clear, measurable, specified,
time bound and realistic.
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Developing market strategy- then after this they need to develop the market strategy which will
be supported by marketing and its essential (Perera and Perera, 2017). This will be including
setting up the target market and customer which will be buying the product and service of firm.
Evaluation- then this is the last step which is the evaluation of all set market objective and
mission of business which will be telling the effectiveness of marketing process.
1.2 Explaining and assessing macro and micro environmental that will be influencing marketing
decision in industry.
While formulating the marketing decision or marketing objective of firm Travelodge
need to consider both external and internal environment of the business. This will be including
micro and macro environment which will be affecting the decision making process of the
company.
Micro environment- this will be including the internal factors which will be effecting decision
making of Travelodge hotel which would be its policy, owner, management, employees and all
type of department which are there in company. It will be stating the amount and extent to which
all these factors will be affecting business decision making (Radojevic,Stanisic and Stanic,
2015). The marketing manager will be identifying the supply and demand of products and
services among customer. The strength and weakness Travelodge will also be affecting the
decision making of company. The policy of company should be very good and should not be
rigid so that they can be modified according to situations.
Macro environment- this is the external part of business or larger part of society which will be
affecting business and decision making of marketing process. The macro environment will be
included like demography, economy, natural forces, technology, politics and culture (Kim, Vogt
and Knutson, 2015). The main analysis which will be included will be PESTEL analysis and
they will be affecting from outside the company and they all can be controlled by company.
1.3 Evaluating the relevance of consumer market in industry and discussing why it is useful to
segment consumer market.
This is the process of dividing consumer of market on the basis of existing and potential
customer. There are basically two types of customer which are business to business and business
to customer segments. And whole of the market which is divided into four parts which are
geographic, demographic, psychographic and behavioral segmentation.
Geographic segmentation- this is that basis market in this type of segment is divided into areas
vices division. There are broadly as continents, country, region, population density, city or town
size and then climatic zone.
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Demographic segmentation- this is based on consumer demographic like age, sex, income and
family (Bharwani and Jauhari, 2013). This type of assume that all customer who are having
similar type of profile will be exhibiting similar purchasing power or motivation of customer.
Psychographic segmentation- these are based on similar study activities, interest and opinions
of customer. This is the widest form of market segmentation on the basis of customer as there are
number of customers who are having same taste and interest in some of the activities.
Behavioral segmentation- they are divided according to the observed behavior of customer they
are considered to as superior form or segmentation of customer (Tsai, Dev and Chintagunta,
2015). They are mainly of purchase or usage occasion, loyalty status, buyer readiness.
1.4 Identifying rational of market segments to target Travelodge hotel.
It won't generally bode well to take into account each client's impulses. This can get
expensive and tedious if your business isn't engaged with its endeavors. With a specific end goal
to legitimize reacting to a specific market fragment or sub-focus on, the customer request must
produce enough benefit to legitimize the labor and time responsibility. The buyer should likewise
have needs that are significantly unique in relation to your fundamental target gathering. On the
off chance that neither of these criteria is met, it is worth genuinely considering whether your
business would be ideally serviced by concentrating on one center target showcase.
Task 2
2.1 Marketing mix variable that can be applicable within hospitality and importance of marketing
mix component for repositioning.
The 4ps of marketing is also knows as the marketing mix. For the hospitality industry all the Ps
are not important but price, place and promotion will be part of these industry.
Place: the location of the Travelodge hotel will be matter for the customer and for the tourist it
should be nearby the entire place which they can cover.
Price: the different services of the organization will be helpful to repositioning and the price of
service will be also matter to the customer (Šerić, Gil-Saura and Ruiz-Molina, 2014).
Promotions: it can be help to attract more customer and aware about the service of the
organization.
2.2 Role of various pricing policies and strategies used by businesses of Travelodge hotel.
Pricing for market Penetration.
Economy Price: These can be the most common way of pricing in which every customer will get
the service at economy pricing.
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Skimming Pricing: it will help to develop the new price and increase the sales volume of the
business.
Psychological: refers to techniques that marketers use to encourage customers to respond on
emotional levels rather than logical ones
TASK 3
3.1 Promotional mix and its role on Travelodge Hotel.
The terms promotional mix is a tool of communications marketing to achieve firm’s
objectives in better manner. In every organization the various factor that will includes some way
of promotion to attract the customer and generate the loyalty.
Role of promotional mix on Travelodge Hotel such as follows:
The 4ps of the marketing will be the main element of the promotional mixes in which
organization can easily synergy whit other element of the marketing in which products, price and
place.
The main imprint role of the promotional mix will help to uncared the sale promotion of
Travelodge hotel. The profit of the firms will be depends on the target customer perceive as
effective promotion. From advising of the different serves and maintain relation with public
through specific strategies. From the advertising Travelodge Hotel can target more and more
customer through radio, TV and magazines are some way the can be attempted by the
organizations. Promotion can bring the strength of the services provided by firm and take the
high competitive advantages. To maintain the better relation with customer through public
relations. It will give the high goodwill and easy to over the market share as compared to other
competitor. The main aim of the promotional mix is to communicate with the target customer to
achieve best possible output.
3.2 Advertising campaign plan and appropriate objectives of Travelodge Hotel.
Advertising will communicate the best way to the customer with specific objective of the
organization. The different way of advertising campaign can help bring reliable output of the
organization.
Advertising campaign: For the hospitality industry organization has to target their customer in
various ways which can be effective for to communicate (Jones, Hillier and Comfort, 2016).
Advertising through social media campaign can be the most important for the Travelodge to
impact on customer with low budget (Yadav, Kumar and Swaroop 2016). Another mode of
advertising they can firm choose is the TV and radio for the regular customer attention. It
requires the huge budget which can effect on the firm’s profits. The time period of for the both
advertising will be six month. At the initial level organization have to make more afford on the
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TV and radio advertising thorough specific target customer of the hotel. For the local and global
customer attention according to the demogrhaphic condition will be help with the social media
advertising campaign for the for last three months.
Advertising Objectives of the Travelodge Hotel:
Too aware about the firms best service and take the high competitive advantages.
T0 enhance the firm’s revenue in limited time and cover the market share with high goodwill in
local and international locations.
3.3 Analyses the role that sales promotion and public relation play in Travelodge Hotel.
In every organization the most important aspect is the public relation and sales promotion
play an important role. Travelodge hotel focus on the high relationship with their better relation
with stakeholders such as employees, customer, creditor etc. public relation brings the high
publicity to the organizations and also the market awareness will be increase about the name of
the firm in between the customers. The way firms required more attention towards its competitor
with public relation with their suppliers and other external force which are part of the Travelodge
Hotel (de la Peña and Velázquez, 2016). O the other hand the sales promotion will enhance the
customer attention towards the organization to brings the high revenue in the firm with more
promotional through advertisement and other way of increasing the sales which can be best
utility in the 0rganisations. The various discounts offering to the customer will be more
beneficial to achieve the sales target an increase the profit of the Travelodge Hotel. Also
organization the contest and events to increase more customer and give price for the lower price
of the hotel rooms with effective service for sales promotion. The way organization need high
success in the market that can be achieve by only with the effective public relation and sales
promotions better the reaction more publicity will be increase and sales of the organization will
also enhance in better manner.
TASK 4
4.1 Relevance and importance of undertaking marketing research in Travelodge.
In every organization the most important aspect is the marketing research to know the
demands of the customer to bring high growth and development of effective services. It can be
the most important aspect that can be the best possible out and some business changes can be
mad e with the research (Lee, Piers and Rosenberger, 2017). It can be helpful to see the target
customer in the way organization wants to pitch their services. Travelodge need to focus on the
secondary market research in which more chance of taking review from the customer and know
their needs to make more advancement and effective changes that can be made in the
organization. But it should be the relevant research which gives some idea that can be effective
for the organization in terms on increasing sales, publicity and targeted customer on the basis of
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research. The way Travelodge had done the previous year marketing without any research
undertaking and them just taken the customer feedback and takes the various steps for changes. It
is important for the organizations to focus on the research to bring the effective services in which
customer satisfaction can be measure. The data gas to be collect from the relevant sample from
the targeted customer. Than it has to be analyses all the data that can helpful to make changes in
the development of the organizations. Relevant research can helpful to know the competitor
position in the market.
4.2 Undertake the market research for Travelodge Hotel customer services.
The Travelodge focus their customer services with various methods that can achieve
various source of information to about the satisfaction of the customer with their services. That
had conducted research on the customer services satisfaction with all the targeted clients on the
basis of different services have been used. The survey can be taken online through social media
campaign by asking the relevant question about the services used by the customer is effective or
not. Some if the direct question can be ask to the customer such as
What can be the best about the Travelodge Hotel?
Is it employees are well behaving with you...
Are you satisfied with the hotel services?
Are the price is according to the service had provided to the you.
These all are the question that can be carried out for the effective research that can bring more
improvement in the organizations. Sometime the research is effective when the customer will
give true data to help in various changes of the organizations (Porch and Alcántara-Pilar, 2017)
. Also the customer knows the way treated by employees and other staff in hotel. It is important
for the hotel to take all the customers seriously and try to evaluate their problems with better
solutions.
4.3 Analyze and proposing a different media for marketing Travelodge hotel for its luxury suites
to business executive.
For the Travelodge hotel television and radio will be the be way to give the effective
advertising as well the marketing can be done on the basis of targeted customer who are more
likely to travel and have high adventures life style are some of the customer for the organizations
(Xiang, Schwartz and Uysal, 2017). From the public relation and other strategies that can be
some of basic ways of marketing that can be evaluate chose by the Travelodge hotel. It is
important for the organization to bring the effective target group which can be the customer of
the organizations in an effective manner. But the budget of the firms has to be limited for the
various advertisements such as TV, Radio and different sponsored of the game and event that can
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be used by the organization. These are the various media that can be the used by the organization
for the effective marketing of the organizations. The aim and objectives of the firms has to be
achieve with these different way of media and help to get the more reach to customer in better
manner. From the newspaper and TV shows sponsored by the Travelodge hotel can target the
entire customer across the globe. It is important for the firm to allocate the budget for all the
media marketing according to the need of the firm.
4.4 Evaluate and discuss the implementation the proposed marketing plans in Travelodge Hotel.
The plan has to be implementing according to the requirement of the organization. It is
important for firm to achieve its objective in the six month as per the marketing plan have been
set for Travelodge hotel. It is important to be noted that budge of the organization have the
limited and no more allocation as per the profits of the firm have been earn in the last year and
be distributed for the marketing media. Social media marketing will be done by the professional
digital marketing platform on the daily basis (Kandampully, Zhang and Bilgihan, 2015)
. The way the plan has been associated with the organization to bring the various changes in
Travelodge Hotel. The better the firm will adjust some of the obstacle with this plan also and
take the corrective decision related the sales promotion and other advertising campaign can be
done by the research and development team suggestion after they take the relevant feedback
from the customer. The most important thing is to Travelodge hotel has to take the advantaged of
the competitor through effective marketing plan. The better step can be taken from the plan and
customer will be satisfied if the hotel had taken corrective step by implementing the best plan of
marketing of Travelodge that give huge revenue and attract more customers with higher
goodwill. This implementation of the marketing plan will bring mane changes in the organization
within completion of six months.
CONCLUSION
From the report is can be concluded that marketing in hospitality is an important aspect to
give effective services to the customer. It will help to assemble a brand and drawing in new
clients and after that looking after dependability. As the principle point of accommodation
industry is concentrate on making knowledge and association with a wide range of clients. The
present write about showcasing in accommodation industry will cover promoting procedure and
idea of advertising will likewise be incorporate full scale and miniaturized scale condition that
are impacting the promoting choice in cordiality part. It will additionally keep showcasing blend
factors appropriate inside accommodation in the Travelodge hotel. The plan has to be
implementing according to the requirement of the organization. It is important for firm to
achieve its objective in the six month as per the marketing plan have been set for Travelodge
hotel. For the Travelodge hotel television and radio will be the be way to give the effective
advertising as well the marketing can be done on the basis of targeted customer who are more
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likely to travel and have high adventures life style are some of the customer for the
organizations.
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REFERENCES
Books and Journals:
Bharwani, S. and Jauhari, V., 2013. An exploratory study of competencies required to co-create
memorable customer experiences in the hospitality industry. International Journal of
Contemporary Hospitality Management. 25(6). pp.823-843.
de la Peña, M.R., and Velázquez, F.J., 2016. Are innovations relevant for consumers in the
hospitality industry? A hedonic approach for Cuban hotels. Tourism Management. 55. pp.184-
196.
Jones, P., Hillier, D., and Comfort, D., 2016. Sustainability in the hospitality industry: some
personal reflections on corporate challenges and research agendas. International Journal of
Contemporary Hospitality Management. 28(1). pp.36-67.
Kandampully, J., Zhang, T. and Bilgihan, A., 2015. Customer loyalty: a review and future
directions with a special focus on the hospitality industry. International Journal of
Contemporary Hospitality Management. 27(3), pp.379-414.
Kim, M., Vogt, C.A. and Knutson, B.J., 2015. Relationships among customer satisfaction,
delight, and loyalty in the hospitality industry. Journal of Hospitality & Tourism
Research. 39(2). pp.170-197.
Lee, H.C., Pires, G.D. and Rosenberger III, P.J., 2017. The moderating effect of cost orientation
on RMO adoption in the hospitality industry. International Journal of Economics and Business
Research. 13(1). pp.57-71.
Nieves, J., and Diaz-Meneses, G., 2016. Antecedents and outcomes of marketing innovation: an
empirical analysis in the hotel industry. International Journal of Contemporary Hospitality
Management. 28(8). pp.1554-1576
Perera, G.R. and Perera, I., 2017. Influence of Social Media Marketing on the Brand Image of
Organizations in the Hospitality Industry of Sri Lanka. Media Influence: Breakthroughs in
Research and Practice: Breakthroughs in Research and Practice. p.371.
Porcu, L., and Alcántara-Pilar, J.M., 2017. Modeling the Antecedents and Effects of Integrated
Marketing Communication (IMC) in the Hospitality Industry. In Marketing at the Confluence
between Entertainment and Analytics (pp. 385-389). Springer, Cham.
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