BMMK5103 Marketing Plan: Hilton Kuala Lumpur, Malaysia - Analysis

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This report provides a comprehensive marketing analysis of Hilton Kuala Lumpur, Malaysia, including a situational analysis covering demographics, market trends, and a SWOT analysis. It details Hilton's strengths, weaknesses, opportunities, and threats, highlighting the competitive landscape and economic factors influencing the hotel's performance. The report further elaborates on Hilton's marketing goals and objectives, focusing on customer satisfaction, innovation, technology adoption, and expansion strategies. The seven P's of the marketing mix are discussed in relation to Hilton's product offerings, pricing strategies, distribution channels, promotional activities, physical evidence, processes, and people management. The analysis aims to provide insights into Hilton's marketing strategies and their implementation in the Malaysian market. Desklib offers a platform for students to access past papers and solved assignments for further study.
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Marketing Management
Hilton- , Kuala Lumpur Malaysia
Student’s name
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MARKETING MANAGEMENT 1
Executive summary
From this report, we got to know about the business plan of the Hilton- Kuala Lumpur
Malaysia. In this, certain situational analyses are discussed likewise the demographics,
market key trends and market analysis is done. Along with this, in brief, their discussion of
strength, weaknesses, threats and the opportunities related to the Hilton business aspect which
further highlights their current situation which they are facing. Moreover, the major
discussion held on the marketing strategies also played an important role in understanding the
entire concept, which they planned and worked for. Lastly, how the planned strategies are
implemented, evaluated and controlled are viewed and action is taken upon.
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MARKETING MANAGEMENT 2
(Source: Anon, 2009)
Introduction
Hilton, Kuala Lumpur is a five-star business hotel, which is located at Jalan Stelen
Sentral, Malaysia. It is one of the parts of the hotel chain as Hilton hotel and resorts. This
particular hotel is under number 43, one of the tallest constructions in Malaysia (Anon,
2009). The opening of this hotel was in 2004, which has received more than 100 awards for
its best business services. Moreover, it provides the customers and enhances customers’
experiences at their premises. Other than this, it also provides a high quality of services such
as spa, gym, sauna and much more luxurious facilities to their customers. For all such
performances of the various activities, they have also won the various awards at the global
level for the quality of the services providing to their ultimate customers. By doing this they
not only generate the customers’ loyalty but also targets the company reputation (Anon,
2014).
Situational analysis
Hilton hotels having around 2400 hotels, resorts and vacation properties, which are
designed worldwide. Moreover additional to the corporations’ competitive advantage is the
design of different hotels that are themed based on the specific needs of the different market
segment. Hence, the future of Hilton hotels is very dependent on the alliances with Hilton
alliances, which will help in shaping the company’s growth. Other than this, Hilton hotels are
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MARKETING MANAGEMENT 3
also facing the pressing problems competing in the lodging industry, which comprise of the
economic downturn, threats of terrorisms and lastly the natural disasters (Anon, 2015).
In the situational analysis, the market demographics profile of the customers of the
Hilton highlights about the full swing services within the hotels, resort, urban, suburban areas
are covered. Moreover, in demographic terms, Hilton major focus or we can say the vast
majority to tap baby boomers generation whose age is 35 to 54 around. Moreover, mature
travelers and family vacationers are also highly involved (Bray, Roger, 2009)
Behavioral factors of a Hilton is to understand the different specific groups of the
clientele, who they are, what are their needs and preferences, from where they are coming,
what are their likes and dislikes in order to promote the business based on their needs.
Behavior varies from one another likewise, if we talk about the baby boomers generation they
pay for the luxuries and convenience. Moreover, the mature travelers look for the Hilton as
the business center, health club, and spa purposes and speed delivery of services. Lastly, the
family vacationers seek hotels to cater to the different needs of each family member (Anon,
2013).
The market needs are also one of the basic aspect, which Hilton considers by
attracting the target audiences and providing the guest with a comprehensive and leading
services. They also require the professional approach for getting their strategy right and
moving with the changing needs of the market. In this, Hilton also focuses on a niche market
and building their marketing efforts which help in improving the business with the lesser
marketing efforts (Kotabe, & Helsen, 2014).
Market trends of Hilton highlight some major shifts and their performances and
directions. Hilton had much progressed into the global business stimulated by the advanced
technology, major brands. Additionally, the major trend that is emerging in the largest cities
like New York, Los Angeles, Hong Kong, and Milan due to the increasing demand for the
services (Bray, Roger, 2009)
Market growth of Hilton, highlights, that currently it was shown a strong occupancy
at the landmark and is known for some of the best foods and the beverages offerings. Along
with this, Hilton has extended its global expansion along with the acquisition of the Hilton
international in early 2006. The company also focused on faster growth markets. On the other
hand, Hilton is expecting a strong growth opportunity for brands such as garden in, and
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MARKETING MANAGEMENT 4
Homewood Suites. All this gives the confidence to the entire group to enter into new cities
across Malaysia with partners (Alastair, 2018). Even it was observed that Malaysia and
Southeast Asia are the key growth engines for the group and thus it was embarked on an
aggressive growth path line with the country’s strong tourism outlook (Misbah, & Al Khuja,
2014). Hence, all these aspects observed from the tourism sector in Malaysia are predicted to
experience positive growth (Abdul Hamid, 2011).
SWOT Analysis
Strength
Strong brand awareness
Improving financial outlook
Strong cross-selling
Sales of properties
Strong business history experiences
leadership
Positive brand equity through
corporate responsibility
Varied variety of room chain scale
Successful loyalty programme
Brand acknowledgment
Interesting administration and item
quality
Solid provider relationship
Weaknesses
Poor recent performances
High level of Debt
Economic instability
Overdependence on the US market
Limited presence in the Asia Pacific
region
Not much-developed network
The higher dependency of proprietors
Opportunities
Increased technology usage
Brand and timeshare development
growth
International expansion
Mid-level affordable section
expansion
The games event across the world
expanded Hilton’s deals
Relationship management
Threat
Major competitors likewise, Global
Hyatt Corporation, Marriott
International Inc.
The threat of terrorism and political
instability
Adverse changes in the
macroeconomic climate
Changes in the taste and the
preferences of the customers
The threat of new entrants
Increased salaries
Exceptional rivalry
Strength
Brand acknowledgment: The brand recognition of Hilton in a market in many
countries across the globe is high and which has built a positive perception about the
brand in the minds of the customers.
Solid providers relationship: In Hilton, the relationship with the customers has
extensively recorded the preferences of every customer and every time they diver the
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MARKETING MANAGEMENT 5
same set of preferences to the respective customers on their particular visits to it.
Hence, this has created and helped the brand to establish and emotional bonding with
its ultimate customers (S&P, 2019).
Weaknesses
Not much-developed network: The major drawback in the context of Hilton
Malaysia is that they have-not enough networks to contend with the different lavish
five-star inns working over.
The higher dependency of proprietors: As Hilton does not claim the greater part of
its lodging networks as they having a higher dependence on the other proprietors’
organizations (S&P, 2019).
Opportunities
International expansion: The Hilton is one of the well-known brands which leads to
the international expansion, highlights about how well the mange everything with are
according to the needs and the preferences of the customers and finally leads to the
expansion.
The game's events across the world expanded Hilton’s deals: This game is trendy
in different parts of the world and collaborating with the right partners will help the
business to establish good grounds in the market and increased the customers’ base
(S&P, 2019).
Threats
New entrants: In the hotels which are not well known are trying to collaborate and
shaping their organization together with the global brands to work overseas and
improve business profits.
Exceptional rivalry: Competition is very high in the market and hence possesses a
bigger challenge to the business in terms of revenue and customers base growth (S&P,
2019).
Marketing Goals and Objectives
Since 1925, Conrad N Hilton founded the Hilton hotel and expanded its presence to
104 countries. It is one of the largest and the fastest growing hospitality brands in the world.
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Hilton hotel and resorts are mostly known for hospitality brands, which are achieved on the
basis of luxury and service quality (Anon, 2017).
Hilton Malaysia objectives
Hilton Mission and objectives majorly focus on two of the aspects, which is related to
hospitality and the high positive impact. Moreover, the main aim of this hospitality sector is
to provide the best quality of services to the customers. A mission explains meaning
opportunities for the team members, a higher value for owners and a positive impact over the
communities. Other than this, their major focus is also on the corporate social responsibility
aspect (Wearne, & Morrison, 2013).
Other than this, annual report of 2016 highlights that their mission is to create or
generate the most hospitable company in the world by generating the most heartfelt
experiences of their guest and a meaningful opportunities for their team members, higher
valuation for the owners of the company which has a positive impact over communities
(Anon, 2018).
The major focus of Hilton, Malaysia is over certain strategic priorities like aligning
the culture and the organization at a similar pace. Secondly, strengthening the brands and the
commercial services platform, thirdly, Expansion over global footprints and lastly,
maximizing the overall performances of the industry. Hilton Malaysia has also planned to
expand its luxurious offerings with the opening of the canopy by Hilton by 2021 (Tan, 2018).
By seeing the development in cluster marketing and communication strategies to meet the
national objectives, Hilton also highlights by describing that Hilton is abundant opportunities
and having a huge potential for growth as their main focus is to fill gaps with the right
branding techniques, the right location at the right time (Anon, 2018)
Customer satisfaction:
The major marketing goals are to provide customers with the most satisfactory
services and goods. The purpose behind the same is to find and to ensure that customers will
visit them again and will see the customers’ feedbacks and will able to attract more of the
customers’ by the process of word of mouth from the regular customers.
Innovation:
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Hilton Malaysia is having excellent staffs that have a keen eye to innovation. They
come up with the various innovative strategies, some of the innovation includes the modern
rooms that ensure and satisfy the customers’ needs and wants. Moreover, innovative
employees of the Hilton also reward and give opportunities to further improve and innovate
through education in institutions that offer various hospitality courses and give them an
opportunity to meet and exchange ideas Dadzie, et al, 2017).
Technology:
Technology is indeed the most imperative which is running in every business sector.
Hilton in which aspect takes many technologies inventions in order to remove overburden
from their employees as well as making it easier for the customers for making bookings
online, hiring most of the employees through the internet through this they save money and
time while recruiting the new workers.
Expansion:
The operations of the business lead to expanding at a larger pace. Hilton as the hotel
business at initial faced much risk, such risk that includes bad weather, political instability
which major affects the reputation of the company as well as the market expansion and
growth in comparison to the other hospitality brands (Edge prop, 2019).
Marketing strategies
The seven P’s of marketing mix strategies highlights the product, price, place,
promotion, physical evidence, process, and people. As Hilton having a strong network, which
keeps on expanding its horizon and due to this they are at boom which results in the number
of competitors in this particular field.
Product Marketing Mix
Hilton one of the well- known hotels and the resorts which offers the customers with the
various services which include luxurious rooms, facilities, wedding facilities along with the
banquet facilities, swimming pools, beverages and lots more. The core product deliveries of
Hilton are different from the regular hotels, which are offered to the ultimate customers.
Other is the supporting products, which are offered to the customers in order to have the best
position within the market segment and to gain the desired competitive advantage over the
other competitors.
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Other than this, there are facilitating products, which helps the customers for
consumption of the core products and facilitate products to the customers’ restaurants, bars,
and reservation facilities online. Lastly, the augmented products which include the desired
benefits such as membership discounts, exterior designs, health and relaxed atmosphere
which improves the reliability and the quality of the offered products as well as the
satisfaction of the ultimate customers. Hence, all these efforts help in improvising the good
quality of services and the products that help in increasing the clienteles’ satisfaction (Bhasin,
2018).
Place Marketing Mix
In order to generate the desired growth of the hotel firm, the selection of a suitable place
plays the most important role in evaluating the business process of the required restaurant.
The selection of the place and the distribution channels should be attractive so that the larger
number of customers can be attracted. It should also be convenient for the respective
customers as it evaluates the expansion of the business methods towards the larger
organization. Nowadays, the distributions of the services are done with the different social
media platforms as the users of social media have increased by time.
Price Marketing Mix
Pricing strategies highlight the differentiation between the services offered by other
companies within the target market segments. It is very important for Hilton to look for the
desired pricing strategies along with the products services offered which helps in increasing
the satisfaction of the ultimate customers. In Hilton concern, its provides the four-star and the
five-star customer's services with not just the sense to stay and dining but along with this,
they also think and works with the sense of status and luxury (Woon, & Kahl, 2015).
Promotional Marketing Mix
Hilton, one of the well-known brands in the hospitality industry, for which they apply the
various promotional activities to help the industry to differentiate themselves for the other
hotel industry. In this, the promotional techniques, which Hilton Malaysia applies, are an
exclusive membership given to the people. Even teams members and the entire staff also
work over the marketing strategies to generate something new or unique towards the market
indulgence. The best strategy in concern of promotional aspect is to keep track of the results
of the strategies, which provides strong feedback. Hence, leads to the helping hand while
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making further strategies, which help in growing and improving the overall reputation and
growth of the Hilton (Bhasin, 2018).
People Marketing Mix
In people mix, it includes employees, shareholders, and the stakeholders, which helps in
evaluating the overall growth of the organization. The target market and people are directly
related to the business. If we highlight the customer's concern, the loyal customers’ and the
upcoming customers make it worldwide famous due to their satisfaction level they gain.
Hence, to maintain loyalty for the upcoming customers the company should focus on
maintaining their services by improving them, keeping update qualified staff and lastly
maintaining the market image. The Hilton hotel and resorts fulfill all the above-mentioned
characteristics as they have successfully served their customers and even their employees.
Other than this, the strong base of Hilton is all set on the basis of running support desk, string
customer services, proper allocation and organizing the different entrainment events for their
customers (Pearce, Dent, & Video Education Australasia, 2009).
Process Marketing Mix
The process marketing mix highlights the system of the Hilton Group is considered as
the best management of the hotel chains in the world of the Hotel industry. The application of
innovative techniques helps in facilitating the enhancement of the work processes. In Hilton
concern, it is noticed that the staff or the employees throughout the hotel industry deliver the
considerate amount of services which not only satisfy the wants and the needs of the
customers’ and the satisfaction of the clienteles but also improves the overall performances’
of the firm in the overall hotel industry. Moreover, Hilton applies the most reliable processes,
which helps in maintaining its supply chain management, along with this; it also helps them
in minimizing the operating cost. Moreover, by the proper flow of the distribution system and
the service flow helps the Hilton in maximizing their revenues, which results from
maintaining and leading the marketing positions (Hilton, 2019).
Physical evidence Mix
This particular marketing Mix highlights’ about the tangible and intangible resources, the
tangible aspect highlights the brand presence, logos, luxurious rooms, interiors, and exteriors.
Moreover, it also highlights about the documentation, files, brochures and the services all
comes under the physical evidence of a hotel industry, which helps in evaluating the business
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process, which was priory set to win over the other competitors. Other than these physical
resources such as digital communication and security systems, reveals about the documents
that are used for the promotional activities related to products and the services provided
(Bhasin, 2018).
Hence, the Hilton group in this context has tied up with many other hotel booking chains
in order to increase the reach and evidence about the market. Lastly, Hilton is one of the
famous hotel groups in which the manipulation of the customers demands by converting them
into hospitality services. With the varied varieties of the location and the type of services,
which Hilton provides to its ultimate customers’, carries a lot of weight in the market for the
immersed reputation. Hence overall Hilton in its services, informing strategies and plying
them to retain their customers to make them loyal towards them and attracting more of them
helps in channelizing their reputation for the longer run.
Implementation
In the implementation process, the company management should mobilize the
relevant resources and a particular plan for actions that help in implementing the formulated
strategies. For every business, a successful strategy implementation is very much crucial for
the overall success of the organization. Everyone within the organization should be clear
about the role and the responsibilities, duties towards the achievement of the shared vision. In
case of Hilton, the company should decide to apply more of innovative technology that gives
the real-time feedback and allows the clientele to make the required reservations within the
shortest time (Hilton Kuala Lumpur, 2017).
In an implementation process, the company should focus on both the number of
customer service staffs as well as should also invest in technology aspect in order to reduce or
save the cost and enhance efficiency. Through the updated technology, the work will become
easier and the sufficient training will be given to employees to access those technologies will
generate more effective and efficient in overall work. Hence, all this helps in improving the
performances of the hotel industry.
Moreover, the performance benchmarking also helps in improving the Hilton business
with its competitors. As the focus of the Hilton is on developing the appropriate services
standards, which are based on the clienteles needs, wants and expectations. The major focus
should be on the quality, dependability, speed, flexibility and then the cost. Moreover, Hilton
also having an opportunity to further utilizes its intellectual capital and generates sustainable
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MARKETING MANAGEMENT 11
competitive advantage (Hilton, 2018). Through this entire implementation, Hilton leads to
the improved customer base, increased customer loyalty, increased customer share,
differentiated customers (Edge prop, 2019). Not only has this they also implemented the
certain valued Likewise, focusing on hospitality, Integrity, Leadership, teamwork, ownership
and working on with the sense of urgency and discipline. Lastly, the development of
operational strategies helps in driving the competitiveness of the hotel business, also
understanding the resource capabilities of the firm and the departments. Moreover, the
desired objectives should also consider the overall strategic mission and the objectives of the
company (Cannon, 2017).
Evaluation and controlling
The last step of the business plan highlights the evaluation and controlling of the
activities and the set strategies by the organization. In this, the Hilton needs to first identify
the desires and wants of an ultimate customer and they should work over it. Hilton focuses to
provide extraordinary service to their guests by review the guest comments and their
feedbacks by proper planning and controlling of the policies, strategies and lastly the
procedures and according to the decision are made and are reviewed. Moreover,
questionnaires will be used to encourage the feedbacks from the customers. In this kind of
Feedback Company got to know about the customer's experiences and the perception of the
services offered to them. Along with this, the company also got to know about the further
needs, requirements and the expectation of the ultimate customers. In addition, through the
proper implementation of the procedure ultimately helps in improving the reputation of the
company in the market and in the overall hotel industry sector (Hilton hotel and resorts,
2018).
Summary
From the above report, we got to know about the business plan of the Hilton- Kuala
Lumpur Malaysia in which swot analysis helped in getting to know about the external and the
internal marketing trends. The Hilton group of hotels are having a high recognition in the
hospitality industry. Certain changes in the policies and the ethos can play a profound impact
to decide the future and present success of the Hilton hotel. Although Hilton hotel carries, a
bright future but still is required to be in tune with the upcoming trends to gain an edge over
its competitors. Hence, it is mandatory to consider the key trends, and the marketing
environment in order to know about the company’s growth and the future reputation.
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MARKETING MANAGEMENT 12
References
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purpose/
Anon, (2009).Hilton Kuala Lumpur Hotel. (MALAYSIA)(Brief Article). Business Traveller
Asia Pacific, 24, p.73.
Anon, (2013) Hotel Business News - North America. Air Guide Business, pp. Air Guide
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The 4A Marketing Mix Framework. Journal of Marketing Theory and
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Edge prop. (2019). Hilton to double presence in Malaysia, reports weekly. Retrieved from:
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