Report: Marriott Hotel's Product Mix, Segmentation, and Buyer Behavior

This report provides a comprehensive analysis of Marriott Hotel's marketing strategies, focusing on product mix, market segmentation, and buyer behavior. The report begins by defining product mix and its contribution to Marriott's sales and profit, examining factors like pricing, quality service, and website optimization. It then explores the role of market segmentation, including behavioral, demographic, psychographic, and geographic segments, in maximizing sales. The report further investigates the factors affecting buyer behavior, such as purchasing power, group influence, marketing campaigns, past experiences, and cultural, social, personal, and psychological factors. The conclusion emphasizes the importance of marketing in increasing sales and profit, highlighting the impact of product mix elements and segmentation strategies. The report utilizes various sources and provides a detailed overview of Marriott's marketing approaches and their effectiveness.

Research report

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASK A...........................................................................................................................................3
1.1) Product mix contribution in Marriott Hotel's sales and profit-............................................3
1.2) Contribution of market segmentation into maximise sales-................................................4
TASK B...........................................................................................................................................5
a) Factors affecting buyer behaviour...........................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES ...............................................................................................................................7

INTRODUCTION
Product mix refers to the complete range of products which is offered for company sales.
In other words, the numbers of product lines that an organization has for its customers called
product mix (Bilton, 2017). It is divided into four categories like breadth, length, depth or
consistency. Width relates to number of products lines, length refers to total products in mix,
within product line and consistency related to how products linked to each other’s. Marriott is an
American multinational hospitality organization which manages or franchises a broad portfolio
of hotels. Report explain contribution of product mix into cited organization sales and profit.
Role of market segmentation is been used for maximising sales and factors affecting buyer
behaviour.
TASK A
1.1) Product mix contribution in Marriott Hotel's sales and profit-
Product mix- Product mix, known as product assortment, refers to total numbers of
product lines a company offers to consumers. For example, an organization sell multiple goods,
its products lines similar like as dish washing liquid and bar soap, that are both used for cleaning
with same techniques (Product Mix, 2017). Product mix include width, length, consistency and
depth. Marriott Hotel provide services to customers and earn profit. There are few factors which
directly have impact on cited organization's sales and profits- Price- : Price is the critical elements of product mix in hospitality industry. It is the
elements that leads to success in the market. Marriott when started its business they adopt
low cost leadership in the market by providing high quality services and this is reason
why Marriott is distinct entity from its competitors. Visitors like to have the best facilities
at reasonable cost. To earn more profit and attract more customers, the Marriott Hotel has
to provide warm welcome to clients. For the business success company has need to only
cover costs, and make profit in this process (Datta, Ailawadi and van Heerde, 2017).
They tag such price for their services which includes cleaning, maintenance, security,
advertising, land taxes but not too much. Sales will increase through the reasonable price
and it generates more profit. Quality service- Marriott Hotel has to provide qualitative services to their customers at
low cost, which attract them towards the Hotel because this is the best way to increase the
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market share and make distinct identify form competitors. Clients like best facilities like
room service, meal facility, cafe at minimum price. This kind of strategy not only
increase sale but also make profits. Speed up company website(Marketing)- In today's digital world Hotel's websites also
play important role in their success. This is also attracted customers and easily can
increase Marriott Hotel sales as well as profit. Educated clients firstly search online
before visit the hotel, in this situation if firm's page takes time than customer chose other
similar option. Don't spoil customers with more options- Cited organization offer limited services to
their customers but make sure that these are qualitative. More choices create confusion in
visitors’ mind and they can't come to know the best option for them (Karakaya and
Kaynak, 2018). To increase sales and earn maximum profits. Marriott Hotel should have
to provide certain facilities to clients at low cost. This strategy is helpful to attract new
consumers or generate high revenue for Marriott Hotel.
 Customer service- Each customer want good service and it is most improving factors for
any hospitality organization. Marriott Hotel give a healthy greeting and better customer
service. It supports the firm in sales increment, which is the reason of profit.
Sales is directly have impact on company revenue. High sales means more profit
and low sales shows the less turnover.
1.2) Contribution of market segmentation into maximise sales-
Market segmentation is the activity of dividing consumers and business market, generally
consisting of existing or new potential clients, into sub-groups of customers. Market
segmentation impact on maximize sales of Marriott Hotel (Liu and et.al. 2017). There are few
elements-
 Behaviour segmentation- Customers behave also influenced the Marriott sales.
Consumers wants services according to their taste and gives reaction. Marriott Hotel
monitors patterns like loyalty, buying frequency of visitors. It is the way of meeting
clients requirements and the way of their behave (Liu and et.al., 2017). They like to visit
those place where they felt better, so Marriott Hotel provide facilities as per the
customers’ desires.
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 Demographic segmentation- It includes age, gender and geographic location. Services
according to customer's age or gender make them feel happy. They understand that
Marriott Hotel take care about their happiness and like to visit it again and again. This
make impact on Marriott Hotel sales and generate more revenue (Bilton, 2017). Location
of Hotel is another factor which can increase its sales. If it is reachable for every one and
nearest to city, become first choice for visitors and they prefer to buy products or services
from selected Marriott Hotel.
 Psycho graphics segments- It includes goals, frustrations and interest. Marriott Hotel has
to aware about emotions pain points of customers and make their lives easier. It is
difficult for segmenting Marriott Hotel consumers list. This segments will generally like
to vary per niche. Knowledge about age, gender, location, occupation, likely be relevant
in professional-based brick and mortar business (Loo and Leung, 2018). Their goals is to
satisfy clients through qualitative services increase Marriott sales, which make high
profit.
 Geographic segmentation- It is a common planning when Marriott serve customers in a
specific area. It is an effective approach for Hotel with large national or international
markets because various consumers in different regions have their needs, requirements
and cultural values. Global clients increase Marriott Hotel sales or make more annual
turnover. It works in different areas of population density. Visitors comes from different
location and have their own perception about Marriott Hotel services They demand
according to their culture, which has to fulfil by Marriott.
TASK B
a) Factors affecting buyer behaviour.
Buying behaviour is the decision made by consumers to buy. It includes understanding
what consumers want, how much they are willing to pay, how they choose what they will buy
and how they finalize their buying procedure. In the industry of hospitality, consumer behaviour
affects how visitors select the hotel, restaurants as well as entertainment (Paulssen and Roulet,
2017). The behaviour of consumers is depended on the quality of service Marriott Hotel is
providing. It is very critical process to track behaviour of consumer for the department of
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marketing to retain their position successfully in market place. There are some factors that affect
the buying behaviour of consumers at Marriott Hotel are as follows-
Purchasing Power- This is most important factor that plays a vital role in influencing the
behaviour of consumer. It is the tendency of a consumer that they will determine capacity of
purchasing before making a decision to purchase or use services of Marriott Hotel (Rees-Jones,
2018). The services of hotel are excellent but sometimes it cannot able to meet the ability of
buyer which has great impact on the sales of Marriott. In order to achieve the best result, it is
very essential that management should divide the segments of consumers based on the income or
capacity. Marriott Hotel can adopt strategy to reduce the prices of products ad services.
Group Influence- This is also the major factor that affect the buying behaviour of
consumer. Influenced of group is also noticed that affect the decision made by consumers
(Rootman and Krüger, 2017). Family members, relatives, friends and classmates, neighbours and
other groups are fundamental influential groups that has great impact on the decision made by
buyers to use the services of Marriott hotel. For example, a friend of Ram visit Marriott Hotel
and friend describe hotel in most beautiful way that it surely affects decision of ram to use
Marriott Hotel.
Marketing Campaigns- The role played by advertisement is very effective and efficient
as it influences the buying behaviour of consumers. The promotional and advertisement
techniques are major factors that has great impact on the mind of consumers. Advertisement and
promotional techniques of Marriott Hotel are incredible (Rees-Jones 2018). It has been notices
that if Marriott Hotel regularly organize marketing campaign that it surely affects the buying
behaviour of consumers. Marriott is a big brand but still it is very important that they should do
marketing campaign on a regular interval so that customers remain in touch.
Past Experience- This is also a major factor that affect the decision of buyer. The past
experience which a person gain has ever last impact on mind of consumers. If a person gets good
service as per his desire than consumers will surely come and use the services but if they have
bad experience than it will not good for Marriott Hotel (Sharma and et.al., 2017). The services
of Marriott Hotel are very effective and efficient but it is very essential that it should lead to
positive impact on the mind of consumer.
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Cultural factor- Cultural factor are the most essential factor that determine the
behaviour consumer. It is the basic area that strongly affects the wants and demands of humans.
Value, perception, liking as well as behaviour is largely affected by the cultural factors. Marriott
Hotel understand effectively and efficiently the behaviour of there consumers.
Social factor- Social factor refers to group of family, social roles as well as status that
affects the behaviour of customers. It plays a vital role in influencing the decision of buying.
Friends, family, relatives and co workers affects the buying decision very strongly. It is tendency
of consumers that he/she wants to buy or use the services that there family members, friends are
persuading, it strongly affects. Thus, this is also the factor that affect the buying behaviour of
consumer and affect the profitability and productivity of Marriott Hotel.
Personal Factor- Personal factors are related with all those factors that are discussed
above. Personal factors like perception, motivation, learning, belief as well as attitudes are the
major factors that affects the buying decision. Economic conditions like what customer wants to
spend is largely depends by the economic situations that are prevailing in the market. This factor
also included age elements as age is also one of the major as they are very crazy to visit new
hotels wants to use more services. Addition to this, occupation also affects the behaviour of
consumer as people who are in job tends to like to visit more at the time of holidays. Lifestyle of
consumer affects the buying decisions as the wants that suits on there personality and there living
standards. Marriott Hotel is very super fast hotel as it is visited by people who have high living
standards.
Psychological factor- this is also one of the major factor that influenced the buying
decisions as it talks about the psychology of a person that drives the actions of consumer actions
to seek satisfactions. The level of motivation affects the buying behaviours of consumers. Belief
and values of people also affects as what is going on trends in society. Thus, this is also the
factor that affect the buying behaviour of consumer and affect the profitability and productivity
of Marriott Hotel.
CONCLUSION
The above report concluded that marketing is very essential factor in raising the sales and
profit of company. The Above assignment also makes understood various elements of product
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mix that will affect decision of buying of customer like price, place etc. Further this report has
also discussed segmentation that contributes to maximise sales of company. On the other hand,
element of buying behaviour was also included in this study.
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REFERENCES
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equity align with sales-based brand equity and marketing-mix response?.Journal of
Marketing.81(3), pp.1-20.
Karakaya, F. and Kaynak, E., 2018. Selecting Software for Teaching International Business: An
Analysis of Existing Programs. In Utilizing New Information Technology in Teaching of
International Business(pp. 67-96). Routledge.
Liu, Y., Li, K.J., Chen, H. and Balachander, S., 2017. The effects of products’ aesthetic design
on demand and marketing-mix effectiveness: The role of segment prototypicality and
brand consistency.Journal of Marketing.81(1), pp.83-102.
Loo, P.T. and Leung, R., 2018. A service failure framework of hotels in Taiwan: Adaptation of
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Paulssen, M. and Roulet, R., 2017. Social bonding as a determinant of share of wallet and cross-
buying behaviour in B2B relationships.European Journal of Marketing.51(5/6), pp.1011-
1028.
Rees-Jones, D., 2018.Carol Ann Duffy. Oxford University Press.
Rootman, C. and Krüger, J., 2017. Buying behaviour in the South African clothing retail
industry: considering reference groups and culture.Journal of Contemporary
Management.14(1), pp.1035-1063.
Sharma, P. and et.al., 2017. Impact of advertisement on consumer buying behaviour with
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Research (AJMR).6(4), pp.47-59.
Online
Product Mix. 2017. [Online]. Assessed through:
<https://economictimes.indiatimes.com/definition/marketing-mix>.
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