Marketing Strategy for Sheraton Hotel: Hospitality Industry Report

This report provides a detailed analysis of marketing strategies for the Sheraton Hotel in the United Kingdom. It covers key aspects of marketing in the hospitality industry, including the concept of marketing, the impact of the marketing environment, and the relevance of the consumer market. The report also examines market segmentation, the importance of the marketing mix (product, price, promotion, place), and various pricing strategies. Furthermore, it discusses the role of the promotional mix, planning an advertising campaign, and the significance of market research for Sheraton Hotel operations. The analysis includes an assessment of different media for marketing and implementing a marketing plan, aiming to provide a comprehensive understanding of how to effectively market services in the hospitality sector.

MARKETING IN
HOSPITALITY

Table of Contents
INTRODUCTION......................................................................................................................... 2
OVERVIEW OF THE SHERATON HOTEL, UNITED KINGDOM.................................................3
LO1.............................................................................................................................................. 4
1.1 CONCEPT OF MARKETING FOR RELEVANT SERVICE INDUSTRY..............................4
1.2 IMPACT OF MARKETING ENVIRONMENT ON THE INDUSTRY.....................................4
1.3 RELEVANCE OF CONSUMER MARKET IN INDUSTRY..................................................5
1.4 RATIONALE FOR DEVELOPING DIFFERENT MARKET SEGMENTS.............................5
LO2.............................................................................................................................................. 7
2.1 IMPORTANCE OF COMPONENTS OF MARKETING MIX TO INDUSTRY.......................7
2.2 ANALYSING PRICING STRATEGIES AND POLICIES IN RELATION TO THE
INDUSTRY............................................................................................................................... 8
LO3............................................................................................................................................ 10
3.1 ROLE OF PROMOTIONAL MIX.......................................................................................10
3.2 PLANNING AN ADVERTISING CAMPAIGN FOR SERVICE INDUSTRY ORGANIZATION
............................................................................................................................................... 10
3.3 ROLE OF SALES PROMOTION AND PUBLIC RELATIONS IN PROMOTIONAL
EFFORTS.............................................................................................................................. 11
TASK 4...................................................................................................................................... 12
4.1 RELEVANCE OF MARKET RESEARCH FOR SHERATON HOTEL OPERATIONS.......12
4.2 MARKET RESEARCH FOR APPROPRIATE HOTEL OR SERVICE...............................13
4.3 ANALYZING THE SUITABILITY OF DIFFERENT MEDIA FOR MARKETING AN
APPROPRIATE PRODUCT OR SERVICE............................................................................14
4.4 IMPLEMENTING THE MARKETING PLAN FOR PRODUCT..........................................15
CONCLUSION........................................................................................................................... 16
REFERENCES.......................................................................................................................... 17
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2

INTRODUCTION
This report helps in the understanding of the concept for the purpose of doing marketing in
hospitality organization of United Kingdom. Marketing helps in understanding the needs as well
as the demands of the people so that they can offer them with the products as well as the
services (Bowie, et al. 2016). Marketing helps in building the growth of an organization by
increasing the profitability. The main component of the marketing is the market research which
is done in order to build the strategy of marketing for the UK based organization named HW
Marriott. This report will help in the understanding of the strategy needed for this organization in
order to review it. The marketing strategy is developed because of the variation in the market
forces as well as the competition in the market.
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OVERVIEW OF THE SHERATON HOTEL, UNITED KINGDOM
Sheraton hotel is among the international hotel and it consists of a chain and resort of hotel
which is being operated by the Marriott International. Sheraton consists of about 500 hotel
across the world and these hotels are situated in Africa, South America, Asia Pacific, Europe,
North America, Middle East, Caribbean, and Central America (Taylor and Hotel, 2011). This
hotel was founded in the year of 1937 in the United States by Ernest Henderson and Robert
Moore. The size of the organization is about 145,000 employees. The hotel is situated in White
Plains, New York, United States. The aim of this hospitality industry is to deliver the best
experience of travelling. All the technical needs of the customer are being fulfilled by the hotel.
An online facility for booking a hotel is also provided by the hotel. The hotel consists of the
different types of services offered to the customer such as food as well as the beverage, the
clubbing facilities, an everlasting experience, workouts, etc. this hotel has also been recognized
as the official hotel for different leagues of baseball. The hotel consists of about 155,815 rooms
which are open and 19,616 rooms which are pipelined.
Figure: Hotel Sheraton
Source: Admin, 2016.
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LO1
INTRODUCTION
This report will help in an understanding of the marketing concept needed for the Sheraton hotel
as well as their impact on the industry. In addition to this, the report also describes the
consumer market of the Sheraton hotel.
BODY
1.1 CONCEPT OF MARKETING FOR RELEVANT SERVICE INDUSTRY
The marketing helps in establishing the relationship with the customer through the process of
communication in order to provide the services to the customer so that the organization, as well
as the stakeholders, can receive the profit from it. The integration of the services provided by
the Sheraton hotel together with the needs as well as the demands of the customer helps in
achieving the profit of an organization (Lovelock, 2011). The main aim of this hotel is to satisfy
the needs of the consumers by analysing it through the market. This analysis helps in
generating the revenue for the organization so integration needs to be done.
In order to develop the campaigns of the marketing, the management team of the organization
must focus on determining the culture of the market for the purpose of embedding it. The
integrated type of marketing is being used by the Sheraton hotel. The services provided to the
customer are of the superior quality which helps in bringing the growth of an organization. The
priority of this hotel is to focus on the needs of the customer.
1.2 IMPACT OF MARKETING ENVIRONMENT ON THE INDUSTRY
The plan of the marketing is implemented in the environment of its own consisting of the macro
as well as the microenvironment which is of a variable nature. This variability factor is
responsible for bringing opportunities and also the threats with respect to the holders of the
business. Analysis of these factors must be done by the management team in order to develop
the strategies of marketing for the organization. Another factor is the coordination among the
suppliers as well as analysing the rivals, adjusting the budget according to the strategy, comes
under the micro factors of an environment which needs to be synchronized for achieving the
profit.
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The competition can be analysed with the help of the demographics factor which includes age,
structure, size of the population, occupation, as well as the ratio of the gender. Economic factors
include the GDP, pattern of consumption, the interest rate of the current level, etc. helps in
affecting the activities as well as the operations of the business (Yazdanifard and Mercy, 2011).
The political factors consist of the patents, policies concerned with the tax, the government
stability which needs to be maintained as per the regulation as well as the laws in order to
benefit the organization. The technological factors consist of the development of the innovative
product, up gradation in the software as well as the different types of application which need to
be analysed regularly. Social factors consist of the size of the family, different lifestyle
concerning the people as well as the awareness should be developed among the masses for
the purpose of building the strategy concerned with the market.
1.3 RELEVANCE OF CONSUMER MARKET IN INDUSTRY
The purpose of developing the strategy for the Sheraton hotel is to meet the needs as well as
the demands of the people which require an identification of the target market. The end users
are those users who purchase the services of the hospitality for his own needs which are
considered under the consumer market (Janse, et al. 2010). Sometimes it is difficult for the
organization to identify the buying pattern of the consumer market.
The case study of the Starbucks helps in analysing the issues encountered in the China which
is the gratitude of the Chinese people towards the hotel was not warm. They have mistaken the
company for expanding the culture westerly. This happened because of the unawareness about
the tradition as well as the customs of China. So it is of utmost essential to understand
consumer market of the Sheraton hotel.
1.4 RATIONALE FOR DEVELOPING DIFFERENT MARKET SEGMENTS
Market segmentation helps in understanding the target market by grouping the people into
groups of similar needs so that the strategies can be built accordingly (Yoo, et al. 2011). A
pattern of the consumer can be estimated with the help of market segmentation in order to offer
the best services as well as the products in the market.
The demographic type of segmentation can be applied to the Sheraton hotel which consists of
the grouping of the people according to the age, income, occupation, size of the family, etc. by
the spreading of geographical locations which consists of cities, nations, states, areas, etc. The
segmentation can also be based according to the behavioural segmentation consisting of the
attitude, knowledge, etc. of the consumer.
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Figure: Market Segmentation
Source: Administrator, 2010.
CONCLUSION
The above report helps in understanding the market of the Sheraton hotel as well as their
impact on the industry so that different segments can be developed for doing the segmentation
process of the market.
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LO2
INTRODUCTION
This report helps in the understanding the significance of the marketing mix elements to the
Sheraton hotel as well as different strategies and policies were analysed with respect to the
Sheraton hotel.
BODY
2.1 IMPORTANCE OF COMPONENTS OF MARKETING MIX TO INDUSTRY
The marketing mix is an essential part which helps in developing the strategy needed by the
hotel in the market. The marketing mix consists of the four elements associated with the
marketing namely place, product, promotion, and the price.
Figure: Marketing Mix
Source: Martin, 2014.
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PRODUCT
The product helps in realising the needs as well as the demands of the consumer and this
product depends on the lifecycle of it. The lifecycle of the products consists of the different
stages such as the creation, growth, and decline (Huang and Sarigöllü, 2014). The decline
phase states that the consumer wants to have newly developed innovative products. These
lifecycle phases must be realized by the Sheraton hotel so that it can raise the competition in
the market.
PRICE
The price of the products must be kept such that it is being paid by the consumer regarding the
product. The price of the product should be set according to the type of the product being
offered to them which can be ensured with the help of doing the market research. The view
regarding the products of the consumer must be checked so that the quality can be improved.
PROMOTION
Promotion helps in targeting the customers by providing them with the attractive features of the
product which is done with the help of advertising the products to the masses (Tomczak, et al.
2011). This also includes the providing the information to the people on the different social
media platforms. The promotion should reflect the quality as well as the value of the product.
PLACE
It includes the location for distributing the products among the masses as in the place must be
chosen such that the people must find that place. The factor of convenience should be made
available for the consumers.
2.2 ANALYSING PRICING STRATEGIES AND POLICIES IN RELATION TO THE
INDUSTRY
Following are the strategies described below:
Skimming
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This strategy is used for attractive as well as a different product whose cost is high so that the
hotel can gain high profit so that the industry can recover the high investment it has done on
developing that different product.
Penetration
This strategy is used when people don’t want to buy the products which are of higher cost so
that the volume in the production can get increased.
Competitor Analysis
This strategy helps in analysing the strategy used by the competitor for pricing the products with
the help of surveys, or through expertise so that they can gain the advantage.
The policies are the cost-plus, break-even, value-based, competition based, and the variable.
The competition-based policy helps in analysing the competitor strategies being adapted to
raise and build the target customers (Vogel, 2014). Value-based policies focus on the values
possessed by the consumer regarding their buying process of the product. Cost plus strategy
defines the cost of the product according to its features and the significance for the consumer.
Variable consists of the different policies being adopted by the Sheraton hotel in order to
increase the customer base as well as the market share of the organization.
CONCLUSION
From the above report, it is concluded that pricing strategy plays a key role in reaching to the
target customers and also it utilises the concept of the marketing mix in order to achieve the
goal.
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LO3
INTRODUCTION
This report helps in the understanding the role of the marketing mix with respect to the service
industry of Sheraton hotel. Also, an advertising campaign is developed for this hotel.
BODY
3.1 ROLE OF PROMOTIONAL MIX
Promotional mix helps in bringing the products to the customer. The hotels have used different
ideas as well as the strategies for implementing it. The fusion style has been adopted by the
Sheraton hotel which includes merging of various types of rooms along with the food. This helps
in increasing the revenue of Sheraton hotel. The other approach adopted by the hotel is the
provision of the online packages which has generated a high profit to the hotel. The needs as
well as the demands of the customer must be analysed with the help of market research. The
approach in delivering the products as well as the services to the customer must also be taken
into the consideration (Sagala, et al. 2014). Also, the method must be analysed for delivering
the services to the consumers. Advanced technology is used by the Sheraton hotel for providing
customer service. The foreigners are at ease in booking the hotel online without any difficulty.
This help in building the economy of the country as a whole. The overall aim of the Sheraton
hotel is to promote the satisfaction of the customer with respect to services.
3.2 PLANNING AN ADVERTISING CAMPAIGN FOR SERVICE INDUSTRY
ORGANIZATION
An advertising campaign is planned by focusing on the needs of the consumer and also the
verified methods are used which the below mentioned factors:
Covering the local area helps in knowing the customer in order to build the crowd.
Technology helps in booking the hotels online which facilitates a large number of customers.
Covering the media sometimes become expensive but also helps in attracting a large number of
consumers with the help of newspaper as well as television (McDonald and Wilson, 2016).
Benefits must be received by the hotel without compromising the profit by providing the
consumer with various attractive offers.
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