Marketing Report: Premier Inn's Marketing Functions, Mix, and Planning

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This report provides a comprehensive analysis of Premier Inn's marketing strategies, focusing on key roles and responsibilities within the organizational context. It explores market information, exchange functions, standardization, and grading, emphasizing the importance of marketing planning and customer support. The report then delves into the interrelationship of the marketing department with other departments like finance, human resources, and operational management. A comparative analysis of Premier Inn and Marriott's marketing mix, covering product, price, place, promotion, people, process, and physical evidence, is also included. Finally, the report outlines a marketing plan for Premier Inn, demonstrating how the company aims to achieve its goals in a competitive market.
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Marketing Essential
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Key roles and responsibilities of marketing functions...........................................................3
P2 Roles and responsibilities of marketing relate to organisational context..............................5
TASK 2............................................................................................................................................6
P3 Comparing ways in which different organisations apply marketing mix to marketing
planning.......................................................................................................................................6
TASK 3..........................................................................................................................................10
P4 Marketing plan for organisation...........................................................................................10
CONCLUSION..............................................................................................................................13
REFERENCES .............................................................................................................................15
.......................................................................................................................................................16
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INTRODUCTION
Marketing is defined as management and study of exchange relationship. This is
considered as process of business where relationship with consumers are created and are satisfied
by providing high quality goods and services. It is considered as major components of business
management. As per American Marketing Association, marketing is defined as activity, process
and set of institutions in order to create, deliver, communicate and exchange offering values to
their clients, society, customers, partners and others at large (Definitions of Marketing, 2019). It
consists of selling, advertising, promotion, delivering products to users, consumers and
businesses. There are different types of marketing such as internet, blog, print, social media and
other. With help of marketing, organisation can achieve their set goal and objective in systematic
manner. The enterprise chosen for assigned project is Premier Inn which is British Hotel chain
founded in 1987 at United Kingdom. It is one of the largest hotel brand having more than 72000
rooms and 785 hotels. It is operating hotels in different locations such as suburbs, city centre and
airports. This report covers various key roles and responsibilities of marketing functions that is
related to organisational context. The comparison is done for marketing mix with other
organisation for marketing planning. Also marketing plan has been prepared by organisation in
order to achieve goal and objectives.
TASK 1
P1 Key roles and responsibilities of marketing functions
Marketing is referred as art and science for creating, exploring and delivering values for
satisfying their target consumers in order to earn profits and gains (Alford and Page, 2015). It
assist in identification of unfulfilled requirements of consumers. This helps in measuring,
defining and quantifying market size and potential consumers. In order to run business in
effective and efficient manner, it is very important for marketing function to play various roles
and responsibilities to achieve set objectives. The various roles of marketing assist in business
promotion and accomplishment of vision of organisation. As this function reach their potential
consumers, investor in order to increase corporate image in market by providing high quality
goods and services. The key roles and responsibilities of marketing function in Premier Inn are
described below:
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Market Information- In an organisation, it is marketing department to identify
requirements of their consumers and making planning for providing products and services to
users (Barrales‐Molina, Martínez‐López and Gázquez‐Abad, 2014). It is important function of
marketing where respective organisation should collect information from market about taste and
preferences of their consumers. This can includes amount they can pay, advertisement required
for creating awareness. The role is analysing past records and identifying future requirements
and responsibilities is to make best decisions through information collected from market.
Exchange Functions- It is defined as selling and buying of goods and services from
market (Functions of Marketing, 2019). Premier Inn offers sufficient quantities for meeting their
requirement which is supported through personal selling, advertising and sales promotions. The
role of this functions is to facilitate about high quality products to their users and responsibilities
is to deliver it on time. Consumers gets what they have demanded from market in effective and
efficient manner so that they can fulfils their need and demand in proper manner.
Standardization and Grading- Standardization is defined as producing products at set
specification which ensure to meet quality and quantity. Similarly, grading is defined as goods
classification that is based on predetermined characteristics. In case of hotel industry, products
and services includes hotel room, food, lodging, bed, Wi-Fi, parking and others should be
offered in proper manner. There are various types of rooms provided by Premier Inn which are
classified as per business class, family class, luxury and others. The role of this function is to
provide standard and grading facilities to their consumers as per their requirements and
responsibilities is to implement this in business for offering to different users.
Marketing Planning- It is defined as the ways through which firm can achieve
objectives of business in terms of increasing market share and profits (Beall and et. al., 2012). It
also includes various aspects such as promotion, production level and others. Here, Premier Inn
makes market plan on basis of their user need and demand. As organisation run their business
with help of their consumers so their requirement need to be given first priority. The role is to
analyse market and considering future profits of business and responsibility is to implement best
strategy for planning to sustain in competitive era.
Financing- This is the essential function of marketing for every organisation. It is
responsibility of finance manager of Premier Inn to make plan and budget for allocating to every
department and divisions. They makes equal proportion of funding for each department like
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operation, sales, marketing, research and development and others. In order to make such plan and
budget, respective organisation requires skilled, experiences and capable staff for positive
outcomes. Here, role of this department is acquiring and utilising funds in order to carry work
and responsibility is making of proper plan, report, control, long and short term business
strategy.
Customer Support- It is the important functions of hotel industry that helps consumer
and user to solve their problems and issues arise in business. Premier Inn provides different
services to consumers like after sales service, solving their queries, complaints, technical, credit
facilities, maintenance (Beck and Reichert, 2012). It assist in creating satisfaction to consumers
and users to avail services and loyalty towards business. The role of this function is to help
consumers and solve their issues, problems, complaints. Whereas responsibilities is to provide
them information regarding products, services and taking feedback for improvements.
P2 Roles and responsibilities of marketing relate to organisational context
For running business in competitive market, it is very important for organisation to have
interrelationship with other departments of business. As each and every division works together
for achievement of goals and objectives in competitive market. Different roles and
responsibilities helps to grow, sustain and attain success in market which includes distribution,
communication, research and development, finance, planning, selling and others. In wider
context, marketing has various roles and responsibilities with other department of Premier Inn
which are discussed below:
Marketing With Finance- These both department are regarded as pillar of business
which helps it in growing and earning profits (Bigat, 2012). The finance manager of Premier Inn
performs different functions such as balance sheet preparation, profit and loss account, project
feasibility and others. Marketing department of respective organisation gives information related
with advertisement, promotion to finance in order to plan accordingly. Finance department have
to allocate funds to different departments to achieve set outcomes. Therefore, both should work
together for positive outcomes. These both department helps business to achieve competitive
edge from market in order to grow and sustain.
Marketing With Human Resource- The HR department of Premier Inn overview
selection, recruitment, training and selection of working force. They also focus on motivation,
benefits, rewards and others of employees. The marketing department provide information to HR
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for requirement of number of employees for various department and HR should hire skilled and
capable employees for achievement of goal and objectives. For example, the marketing
department requires assistant for running various activities of their respective department then
they have to consult with human resource department for selecting capable staff for required
profile for accomplishment of results.
Marketing With Operational Management- There are various operations performed in
hotel industry such as providing food, key, check in, check out and other on daily basis
(Biggemann, 2012). In order to manage operational department, operation manage should be
there for proper guiding in order to work in effective and efficient manner. Here, marketing
coordinates with operational manager for carrying out tactics activities of Premier Inn to achieve
set results. For example, if other competitors is performing advertisement in market then
operational manager has to make proper plan in order to beat competitors from market.
Marketing With Research & Development- It is an important function of hotel industry
as need and requirement of consumer changes instantly which requires proper research and
development (Constantinides, 2014). With help of research, Premier Inn can know about
happening in market and accordingly make plan for fulfilment of their requirement. Here, both
department works together for knowing about market and performing research accordingly.
Therefore, without research and development none of business can get success and growth in
competitive market because of modernization in need and demand of user and visitors. The
changes are made as per modern technology as everything is performed through online like
booking and cancellation of room, selection of services during staying and others.
Therefore, it is very important for marketing department to work with others for
achievement of goal and objectives. Apart from above there are various other functions in
organisation such as information technology, logistics, production and others. As marketing
provide guidance to all departments for carrying out activities. Therefore, effective relationship
should be maintained by marketing with all other departments.
TASK 2
P3 Comparing ways in which different organisations apply marketing mix to marketing planning
Marketing mix consist of all those factors which can be controlled by company and helps
in promoting products and services of company. Premier Inn and Marriott hotel marketing mix is
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conducted in order to identify comparison between 7 P's of both the companies. These 7 P's
includes products, price, place, promotion, people, process and physical evidence.
Basis Premier Inn Marriott Hotel
Product Premier Inn is one of the largest British
hotel chain in UK (Malhotra, Birks and
Wills, 2013). This hotel products can be
consider its room and services to
customers. This hotel have different
types of room with various facilities to
customers . This company objective is
to serve quality services to customers
and provide valuable products to their
guest. Premier Inn hotel have approx
70,000 rooms includes its all hotels.
These rooms have products according to
different preferences of customers or
guest.
This hotel offer very broad and
diversified portfolio to different hotels
and resorts to customers. Marriot
hotels has more than 100 hotels and
characterised into different types.
Marriot hotel brands consist of classic
Luxury, Classic Premium, Distinctive
Luxury, Classic Select, Longer Stays,
Distinctive Select etc. this hotel
provide customised and premium
services to its ultimate customers and
guest. Rooms of this hotel is proper
furnished to serve value and comfort
to its customers.
Price This hotel is known for its affordable
prices. Premier Inn hotel pricing
strategy is based on sales promotion
strategy. This hotel is charging different
price according to time and location at
the time of booking. Premier Inn is
charging price on per room based and
not charging price on bases of person.
This company is focusing on serving
value to customers of charged price.
Premier Inn is keeping its price low as
compared to other luxury hotels to make
Marriott hotel prices are continuously
changing according to its different
hotels in various locations and type of
customers (McDonald and Meldrum,
2013). This hotel prices are based on
premium pricing strategy as its is
offering value based services to
customers. Marriott is targeting high
end customers of upper class
customers so it is keeping price
according to their guest and full needs
and wants of their guests. Targeted
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it affordable for customers. customers are able to offored
premium prices of this hotels and they
are willing to pay these prices for
privilege they get.
Place Premier Inn Hotel operates in various
location and has largest hotel chain in
UK (Möller, 2013). This hotel have
more than 700 hotels in different
locations. This hotels is located in
various areas such as near airports, city
centres, suburbs in order to attract
travels and foreigners to hotel. This
hotel is located in different counties in
the world such as United Kingdom,
United Arab Emirates, Ireland, India,
Germany.
This hotel is providing its services all
around the world by keeping its
presence globally. Marriot hotels are
located in prime locations which help
in maintaining its distinctive quality.
Hotels of Marriott are located in
various areas such as highways,
centre location of city or vital parts of
cities. This hotel is located in around
110 countries such as United States,
China, Thailand, India, Switzerland,
UK.
Promotion This hotel is using various tools and
techniques to attract customers towards
their hotels. Premier Inn hotel is more
focusing in informing customers about
their hotels and its services. This hotel is
targeting family by promoting holiday
or vocations in their advertisements.
Premier hotel is also marketing their
hotels with use of social media and
other websites. Advertisements through
Celebrity also helps company in
building strong brand image.
Marriott hotels in marketing and
promoting its services and hotels with
use of digital market (Tollin and
Schmidt, 2012). This hotel is focusing
on maintaining strong and innovative
website to exhibits their offering to
large market area at same time. Social
media marketing is done by posting
pictures, articles and videos related to
hotels and its services. This tool of
promotion will help in creating
powerful impact in a creative way to
attract large customer.
People People are refer as a staff of Premier Marriott hotel is operating in number
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hotels. These people are influencing
customers and provide qualitative
services to customers. Premier hotel are
setting their price on bases of sales
promotion and these activities are
conducted by sales person or staff of
hotels. This hotel staff helps in effective
communicating and services to
customers.
of area and had to perform different
functions. This hotel have well trained
employees to full fill needs and wants
of customers. Employees of Marriott
hotels is responsible for serving
comfortable and valuable experiences
to their guest.
Process Premier Inn hotel process starts from
booking a room till check out process of
customer. This hotel process is to
provide hassle free booking with online
and offline facilities and serving
valuable experience to their customers.
Process also includes in maintaining
decent relationship with their guest.
Marriott hotels process includes to
full fill quality customer service with
efficient booking and comfortable
stay in their hotels. This hotels
operated in many areas and it has to
full demands and requirement of each
and every customers. Hotels in
different area needs to maintain their
process according to cultural of that
area.
Physical
evidence
In Premier Inn hotel, Physical evidence
refers to rooms, lobby area, restaurants
of hotels and other area which attract
customers towards hotel and create
positive environment in hotels. Physical
evidence include furniture of hotels and
quality of rooms offered by hotel which
help in comforting guest and building
strong brand image.
Physical evidence of Marriott hotels is
its building and resorts. Physical
evidence includes all tanagble and
lavish ambience of the hotel. Marriott
hotels have amazing interiors which
leads to create unforgettable
experience to their customers. Barnd
image of Marriott hotel is also
consider as a physical evidence.
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For the above comparison it can be understood that both the companies are using
different tools and techniques to attract customers towards hotel. Both of these hotel are offering
quite simpler services but with different ways.
TASK 3
P4 Marketing plan for organisation
Marketing plan is referred as study which outlines marketing plan of action for
approaching week, month, quarter or year (Dahnil And et. al., 2014). This contain overview of
advertising and marketing goals. It is referred as blue print of organisation which helps in
achievement of goal and objectives. This includes current position of marketing, description of
marketing mix, target consumers, strategy, description of marketing and advertising goals, key
performance tracking, time of strategy and others. All activities and work are prepared in step
format for better results. The marketing plan prepared by Premier Inn is described below:
Step 1: Situation
It is regarded as first phase of business plan where situation of respective organisation
need to be analysed. This consists of information about SWOT analysis, firm, market, industry,
competition and environment. SWOT analysis is described below:
Strengths- It is profitable hotel of UK with 80% of occupancy rate and increase in profit
by 7.5%. This carry a strong brand image in UK as the hotel has won many awards such as Best
UK economy hotel brand in British travel awards 2017. Premier Inn has a high level of satisfied
customers.
Weaknesses- The hotel does not has its global presence worldwide. It only expanded its
network in limited countries. As per the Newton's report the hotel does not maintain hygiene
which create a bad impact on the hotel
Opportunities- The hotel is building its brand value across the globe through
relationship with their customers. It has started expanding its hotel in new market and made tie
ups with companies of other countries. Premier Inn is building its business digitally to build large
network of customer as well as explore markets.
Threats- Premier Inn hotel has competitors such as Easy hotel, Ibis as well as Marriott
which has same price as of Premier Inn. This situation give rise to tough competition to sustain
in the market (Fan, Lau and Zhao, 2015).
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It is very important for Premier Inn to analyse market, competition, environment, firm in
appropriate manner. This can help them to make best plan, policies and strategies against
competitors in order to achieve maximum profits and gain in efficient manner.
Step 2: Objectives
This is defined as specified outcomes that individual or organisation aims in given period
of time. This is required by firm to set proper objectives while preparing marketing plan. It can
be related with market share, leadership, sales, market expansion, satisfaction. Here, for each
work Premier Inn need to set objectives to achieve effective outcomes. The objectives of Premier
Inn is to increase sales by 25% in next four years. This also assist to increase market share by
20% in three years. They also make plan for expansion of market which can help them to achieve
their set objectives by selecting appropriate market and expanding it in other business. Each and
every activities should be guided by leaders so that satisfaction can rise within themselves for
business and their products and services. The SMART objectives of Premier Inn is to increase
market share by 20% in next three years by expanding market in Spain.
Step 3: Strategy
This is defined as step where company need to develop various strategies in order to
target right segment and position their goods and services in market (Finch, Nadeau and
O’Reilly, 2013). Premier Inn is using premium pricing for their consumers as it provided high
quality goods and services. There are various strategy which need to be made by respective
organisation in terms of price, quality, product positioning, diversification and differentiation.
Premier Inn need to make STP for their business which is described below:
Segmentation- It is defined as dividing market into small or different segments. It is
based on demographic, psycho graphics, demographic, behaviour factors. Premier Inn has
segmented businesses, families people who is looking for budget accommodation. This can help
them to divide market properly and effectively.
Targeting- It is defined as ways through which Premier Inn can target segmented market.
Here, they have targeted families, business class people, leisure travellers group to provide
services.
Positioning- Premier Inn can create position in market by providing high quality goods
and services to their consumers in effective manner (Huotari and Hamari, 2012). It is regarded as
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UK's best budget hotel that focusing on providing high quality goods and services to users.
According to requirement of users service should be provided.
With these strategies, respective organisation can gain competitive advantages from their
competitors which assist in achievement of goal and objectives.
Step 4: Action Plan
Premier Inn should make action plan for their new market that is Spain with same
existing products and services. They need to set various strategies or plans into actions. The
action plan works as guidance for organisation to achieve set goal and objective within given
time period. The action plan for Premier Inn is made for 4P's of new market that is Spain which
is described below:
Product- Premier Inn deals in hospitality sectors which is coming into new market with
same products such as Wi-Fi, food, lodging, accommodation, AC, room services and others
(Laczniak and Murphy, 2012). They can bring modification in their existing product and add
more feature in it for sustaining and growing in competitive market.
Price- It has focused new market where cost of each and every thing is high which leads
them to charge high prices for their products and service. Here, Premier Inn is following
premium pricing strategies for their organisation in order to achieve their objective within given
time period.
Place- Premier Inn is setting their new hotel in Spain for providing them high quality
products and services for increasing profits. They have chosen Spain because people are more
interested in travelling for their leisure and experience gain purpose.
Promotion- Premier Inn is using modern methods for promotion such as social media,
internet, email, messages and other in order to create awareness about their business in other
place. They have chosen this media because people are more connected towards social sites
which easily create awareness about organisation.
Step 5: Forecasts
It is defined as step where forecast is done for financial resources (Lusch and Vargo,
2014). It includes costs, sales, market share and profits which helps to make proper budgeting.
Marketing Budget- It is budget made for marketing which includes different types of cost
occurred for market. It is described below:
MARKETING BUDGET
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PARTICULARS I Year II Year III Year IV Year V Year
Initial money 3000 8000 13600 13560 18640
Investment 12000 12500 25840 31900 16480
TOTAL 15000 20500 39440 45460 35120
MARKETING OUTLAY
Promotion 5450 2850 4250 3520 3030
Sales publicity 2000 1500 3600 2500 1300
Direct selling 3500 1600 5500 2500 5600
TOTAL 10950 5950 13350 8520 9930
Therefore, the above table shows marketing budget for Premier Inn and types of various
cost incurred for running business in competitive market.
Step 6: Control
For maximum return, it is necessary to have control on various activities and progress of
organisation (Macarthy, 2018). The respective business should measure and do evaluation of
strategies and functions of business. Plan should be implemented and evaluation should be done
on regular basis for correcting it and for accomplishment of objectives. The techniques for
control and evaluation used by Premier Inn are as follows:
Monitor Customer Feedback- The respective organisation need to take feedback from
their clients, users about new market. They can take feedback from users who visit hotel and
make improvement as per their requirements.
Cost Analysis- It is very important for respective hotel to analyse cost required for
launching venture in new market. This means doing comparison of actual cost with set budget of
business. This is essential for Premier Inn to make effective budget after understanding
requirement of their consumers and correction should be made accordingly.
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Therefore, Premier Inn need to control each and every activities of business for effective
outcomes so that set result can be achieved.
CONCLUSION
As mentioned report, it can be concluded that marketing helps in achievement of goal and
objective of business in effective and efficient manner. The marketing function has various roles
and responsibilities for product designing, marketing planning, information and other in order to
run their business in effective manner for better results. Each functions of marketing possess
various roles and responsibilities in order to carry out work. The marketing department should
have interrelationship with all other department for carrying work easily and accomplishment of
goals and objectives. Here, comparison between two organisation has done to know about 7P's of
both companies and make changes accordingly. Marketing plan has developed by respective
organisation for achieving their set objective in given time period.
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REFERENCES
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