Marketing Report: Strategies, Analysis, and Campaigns in Hospitality

This report delves into the multifaceted world of marketing within the hospitality industry, exploring crucial concepts and strategies. It begins by discussing fundamental marketing principles, including product, selling, and marketing concepts, and then assesses the impact of the marketing environment, encompassing both micro and macro factors, on the industry. The report further evaluates the significance of consumer markets, analyzing factors influencing consumer behavior and the rationale for market segmentation. It then examines the components of the marketing mix (product, price, place, and promotion) and analyzes pricing strategies. The report also evaluates the role of the promotional mix, including personal selling, advertising, public relations, and sales promotion, and analyzes the impact of sales promotion and public relations. The report also undertakes market research and plans an advertising campaign, analyzing the suitability of different media and evaluating the implementation of a marketing plan. The report uses Thomas Cook as a case study to illustrate the concepts.

Marketing in Hospitality Industry

Table of Contents
INTRODUCTION...........................................................................................................................1
Task 1...............................................................................................................................................1
1.1: Discuss concepts of marketing for a relevant services industry...........................................1
1.2: Assess the impact of the marketing environment on the industry........................................2
1.3 Evaluate the relevance of consumer markets in the industry......................................................3
1.4 Discuss the rationale for developing different market segments...........................................3
Part B................................................................................................................................................4
Task 2...............................................................................................................................................4
2.1: Assess the importance of the components of marketing mix to the industry.........................4
2.2: Analyse pricing strategies and policies in relation to the industry.............................................5
Task 3...............................................................................................................................................6
3.1: Evaluate the role of the promotional mix.............................................................................6
3.3 Analyse the role that sales promotion and public relations play in promotional efforts............6
4. 1:Discuss the relevance of market research to service industry operations................................7
Part 2.................................................................................................................................................7
Task 4...............................................................................................................................................7
3.2 Plan an advertising campaign for a services industry operation.................................................7
4.2 Undertake market research for an appropriate product or service...........................................8
4.3 Analyse the suitability of different media for marketing an appropriate product......................9
4.4 Evaluate the implementation of the marketing plan for an appropriate product or service........9
Conclusion........................................................................................................................................9
References.......................................................................................................................................11

INTRODUCTION
Marketing in the hospitality industry is the marketing efforts which helps to increase the
revenue in the hospitality industry. Marketing is that process which helps to bring the
organisation's product or service in front of the customers. Hospitality marketing also provides
facilities such as fun, luxurious and relaxing atmosphere( Goldberg and Majka, Zoomdining, 2017).
In hospitality marketing, marketer ensures the brand awareness to exists which helps them to
create repeated customers and those repeated customers results in increase in revenue. The
following report will cover marketing concepts, impact of marketing environment on the
industry. Further it will cover importance of components of marketing mix in Thomas cook and
it's pricing strategies. And lastly this report will cover an advertising campaign and undertake
market research for an appropriate product.
Task 1
1.1: Discuss concepts of marketing for a relevant services industry.
Marketing is the process of promoting company's product or services to bring it in front of the
customers. Marketing includes those activities which are undertaken by the company for buying and
selling their product or service in the market. Advertising, selling, promoting, delivering goods on
time, etc. are the activities in marketing.
Marketing concept is the philosophical system that should analysed by the firms to know the
needs and demands of the consumers and then take the final decision to meet those needs. Thomas
cook is a tourism company in hospitality industry. Concept of marketing for Thomas cook is as
follows:-
 Product concept :- Thomas cook focuses on the product concept and it also believes
that the product quality and functional feature are very essential for customers to buy
them.
 Selling concept :- selling concept is used by those companies which are sales oriented.
Sales oriented means that they make their product and sell it to their targeted market.
 Marketing concept :- aggressive marketing policies are adopted by the Thomas cook
group to increase its brand image in the global market.
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 Societal marketing concept:- this concept focuses on giving the customers satisfaction
and social welfare. By using this concept by Thomas cook, it receives long term
profit.
1.2: Assess the impact of the marketing environment on the industry
The growth and development of the hospitality industry is greatly affected by the marketing
environment. Marketing environment consist of both external and internal business factors that highly
influences the industry(Kandampully, Zhang and Bilgihan, 2015.). It is the responsibility of the
company to analyze all these internal and external factors and try to reduce their impact on the
hospitality industry. For example, during recession i.e. economic condition, the consumers prefer not
to spend excess for international holidays as they consider it as an expensiveness. Therefore, they
prefer to spend on domestic vacations. In this contrast, the businessmen also select the best and lowest
price to gain accommodation for their business. Factors such as power of customer spending,
exchange rate differences, etc. in this marketing environment greatly affect the hospitality sector.
Micro environment factors :-
 To suppliers :- when the supplier hold the power, they can control the success of the business. The
buyer is not important to the suppliers.
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 The sellers :- when the organization's product is taken by the 3 rd party re-sellers such as retailers or
wholesalers, then the success of the marketing is affected by these 3 rd party. The customers :- customers are B2B, B2C, local or international and their product buying decision
play an important role in how the company will plan the product marketing.
Macro environment factors :-
 Demographic forces :- forces such as age, education, lifestyle etc. highly affect the different market
segmentation.
 Natural forces :- nature's renewable resources such as forests, agricultural products, marine products,
etc must be taken as important aspect. And various non renewable resources of nature such as coal,
oil, minerals etc may also affect the production of the industry.
1.3 Evaluate the relevance of consumer markets in the industry.
The hospitality industry is basically customer oriented and it takes customers as the important
part for their success. The consumers buying behavior is affected by various different factors. These
characteristics show what is happening in the black box of the consumer. The consumer’s black box is
their attitude towards the organization's product(Šerić, Gil-Saura and Ruiz-Molina, 2014.). The black
ox consists of two parts. a) the buyer's characteristics, b) their decision process. The consumers
buying behavior is influenced by some factors such as culture, personal, social and psychological,
they are as follows:-
Cultural Personal Social psychological
1. Culture Age and life cycle families motivation
2. Social class occupational Status beliefs
3. Subculture personality Reference groups Learning
These factors leads to conversion of a stimulus into a specific response. Therefore, hospitality
industry must try their best to hold these characteristics in mind and design products and programmes
for marketing according to these factors in the buyer black box.
1.4 Discuss the rationale for developing different market segments
The process of dividing one or more uniform groups of marketers and customers in a specific
market is called market segmentation. Market segmentation helps the marketers to focus on the
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particular group of people who contains common wants, expectations and needs. When market
segmentation is used by the organizations, then they find the particular group of customers with
appropriate marketing mix. This becomes more effective in hospitality sector and helps them to have
monopolistic conditions. There are various variables which are utilized by the hospitality industry for
the purpose of the market segmentation. Variables are consumer behavior, demographics, psycho
graphics and geographical(Eriksson and Sharma, 2015).
1. Geographical means location, whether the market is global, regional, national or local, it can
be segmented. Different regions have different needs and requirements depending upon the
environment.
2. Demographic :- the common demographic variables are gender, age, income, and education.
By understanding these variables company can identify the actual age of the consumer. When
customers are segmented demographically, then the company can target its strategies to reach
them particularly.
3. Psycho graphic :- this type of marketing segmentation is based on the consumer attitudes,
behaviors, emotions, beliefs and so on.
Part B
Task 2
2.1: Assess the importance of the components of marketing mix to the industry
For every company involved in the hospitality industry, the marketing mix technique is very
important. The four main elements of marketing mix are price, product, place and promotion. The
products or services provided by the hospitality industry is highly perishable in nature. Thus, it is the
responsibility of the marketers to focus on the producing the best combination of marketing, which
allow them to achieve the consumers demand.
Elements of marketing mix Thomas cook travellers
1. Product Product in the hospitality industry refers the
satisfaction and dissatisfaction received by the
consumer from an experience. The satisfaction
may be economic, social, psychological or
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physiological.
2. Pricing strategy Price is the actual value given to the product.
Hotel products such as guest rooms, food and
other services are not priced competitively,
then the customers may reject it. Industry must
adopt proper pricing strategy to adopt
customers.
3. Place In hospitality industry the product doesn't go to
the customers but the customers come to the
product. Thomas cook uses either direct or
indirect method of distribution to reach to their
potential customers.
4. Promotion The hospitality industry must use effective
promotional techniques to attract maximum
customers as they can. Brochures, websites,
social media, etc. are all examples of
promotional channels.
2.2: Analyse pricing strategies and policies in relation to the industry
The pricing strategies and policies in relation to the industry is mainly consists of the cost,
demand and competition. The elements of pricing helps in framing the financial objectives. These
financial objectives help to achieve greater market. Thomas cook utilizes the pricing strategies of
demand oriented along with competitive pricing policies(Fortenberry and McGoldrick, 2016). If small
hotels charges high prices as compare to big hotels around them, then it will result in applying the same
principle. The pricing strategies of hospitality industry highly depends upon the demand and supply
which stimulate the industry to keep their prices accordingly. For example, during the holiday season
hotels decrease their prices to gain maximum costumers. Hence, it shows that the competitive situations
also affect the hotels pricing strategies so that it can fulfill the demand and supply statistic. Apart from
this, various factors such as seasonal changes and increase in competition also affect the pricing
strategies. In such cases, Thomas cook follows the ethical structure while charging their clients.
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Task 3
3.1: Evaluate the role of the promotional mix
The promotional mix is very important in the growth and development of the hospitality
industry in the UK. It involves the activities to deliver their product to the end users. There are various
promotional techniques which are used by hospitality industry in the UK. The promotional strategies
help the industry to make their potential customers aware about their product or services. Is also helps in
boosting and improving the brand image of the company. The hospitality industries uses various types
of promotional strategies, campaigns and online marketing to promote themselves.
1. Personal selling :- it is the face to face interaction between buyer and seller for exchange of
products and services.
2. Advertising :- it is a paid form of media for promoting company's product or service. Is involves
television, radio, magazines, newspapers etc.
3. Public relation :- public relation activities create a positive image, generate publicity and
increases sales. It allows to influences the targeted customers with creates company's favorable
image.
4. Sales promotion :- sales promotion techniques such as 50% off, buy one get one etc. which
increases sales and beneficial for new products in the market.
3.3 Analyse the role that sales promotion and public relations play in promotional efforts
Sales promotion is an element of promotional mix helps in promoting products or services. If
the company is launching a new product to the market which is receiving less attention, then the
company may promote its product through sale promotion(Sozinova and Fokina, 2015).
 Discounts :- there are two common types of discounts; one is trade discount and other is trade
discount. If it is 10% discount on any product then it is known as consumer discount. If there
is a 10% discount while buying from the company then it is trade discount.
 Gifting :- it is the most common ways of sale promotion used during festival seasons. If a
person buys a set amount of products then he will eligible for Assured gift.
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 Coupons :- it is basically used to motivate customers to purchase when the customers think
about the price is too high for them. Pizza hut, domino's etc use coupons in their marketing for
promotions.
 Financing :- companies with huge resources act as financers as they allow the consumers to
buy products on EMI or on different options of financing.
 Bundling :- bundling is an activity of combining products for sale for the same price. The
customers like to buy the bundled products more as compared to singe offer.
4. 1:Discuss the relevance of market research to service industry operations
In the hospitality industry, an effectively planned market research plays an important role in
improving the services offered by the other competitors. An impressive marketing research is taken as a
source of innovation for new services or product launch and replacing the existing one's. The market
research is generally conducted to gather and use the information regarding prices and other elements to
satisfy the potential customers accordingly. The whole process of marketing research plays a significant
role in collecting and understanding the information so that the Thomas cook can make proper decision
regarding its product and services. The main aim of Thomas cook group is to develop a better
knowledge of markets and customers. Hence, the market research is considered as the effective tool by
the hospitality industry to understand the consumer's behavior.
Part 2
Task 4
3.2 Plan an advertising campaign for a services industry operation.
To enhance the sales volume and building brand image of the company, an effective advertising
campaign is necessary. Thomas cook advertising campaign determines the growth and success of the
company. Thomas cook advertising campaigns help the customers to remind the products and services
provided by them. It helps in creating repeated customers and purchase of products and services. This
will boost the sales of Thomas cook in the coming years.
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The company put a huge amount of efforts into understanding what our customers want and
focuses on the changing holiday experiences. You can experience your holidays with partners,
families and children. The Thomas cook is offering £170 off summer 2018 holidays . It applies
till this week on package holiday bookings of £1,200 and above.
Terms and conditions
 Offer Validity : 3rd to 11th Apr 2018
 no discount on single passenger or infant
 maximum discount per transaction can be basis 5 pax in GIT
FIT products with relate T&C
 discount is only valid for land packages
 offer is not valid for air inclusive FIT package
4.2 Undertake market research for an appropriate product or service
A market research is conducted by the hospitality industry to know the customer's response
regarding their product or service. The primary research strategy can be undertaken on the consumers by
conducting interviews, questionnaires and surveys. Further more, they can use secondary research which
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will be conducted using internal records such as journals, government publications, articles in
newspapers etc. the collect data is assist properly by using pie charts and bar graphs prepare from the
feedback provided by the respondents. The data understanding and finding will help the Thomas cook
to identify whether to continue with the same services or product or to change it according to the
customers preferences.
4.3 Analyse the suitability of different media for marketing an appropriate product
It is important for the organization to implement an appropriate media for their product
marketing, so that they can effectively aware maximum customers. The select of the best media helps in
boosting the sales. The must be less expensive in order to achieve maximum results. If the company's
marketing budget increases, it will reduce the profits of the organization. Media such as television, print
media, magazines, journals, newspapers etc are the examples of media available to Thomas cook.
Printing:- newspapers, magazines, etc fall in the category of print media. It is the best suitable
for Thomas cook to promote their product or service in front of the customers. Newspaper are highly
consumed by huge range of customers and are still retaining prestige. Thomas cook consider this form
of printing to reach maximum customers at the same time.
4.4 Evaluate the implementation of the marketing plan for an appropriate product or
service
The marketing plan for Thomas cook provides the fair and transparent information regarding
new product or services offered to the UK market. The market research plan by the thomas cook has
achieved its goals and objectives. By the interpretation and findings of the feedback gathered by the
customers suggest that the new product can be accepted by the customers. The new improved product is
successful in meeting the new preferences and trends of the customers(Chen, Pang and Pan, 2014). The
research has also recommended that the product price is slimly as per the quality of the product. The
new product will be designed in such a manner that it will suit all the market segment. As per the
feedback if thomas cook fails to produce new product then the product mat fail to acquire the market.
Conclusion
From the above report it has been concluded that Marketing is the process of promoting company's
product or services to bring it in front of the customers. Market segmentation helps the marketers to
focus on the particular group of people who contains common wants, expectations and needs. The
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marketing plan for Thomas cook provides the fair and transparent information regarding new product or
services offered to the UK market.
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References
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Fortenberry Jr, J.L. and McGoldrick, P.J., 2016. Internal marketing: A pathway for healthcare facilities
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Šerić, M., Gil-Saura, I. and Ruiz-Molina, M.E., 2014. How can integrated marketing communications
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Sozinova, A.A. and Fokina, O.V., 2015. Special aspects of studying the internet as a marketing
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