Premier Inn's Marketing Strategies: A Comprehensive Analysis

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MARKETING ESSENTIALS

TABLE OF CONTENTS
Introduction......................................................................................................................................1
LO1..................................................................................................................................................2
P1 Explain the key roles and responsibilities of the marketing function....................................2
P2 Explain how roles and responsibilities marketing relates to wider organisation context.......5
LO2..................................................................................................................................................9
P3 Compare the ways in which different organisations apply marketing mix to marketing
planning process to achieve business objectives.........................................................................9
LO3................................................................................................................................................12
P4 Produce and evaluate a basic marketing plan for an organisation........................................12
Conclusion.....................................................................................................................................15
References......................................................................................................................................16

LIST OF FIGURES
Figure 1: Hotel and brand identification..........................................................................................2
Figure 2: Marketing essentials elements..........................................................................................4
Figure 3: Marketing functions.........................................................................................................5
Figure 4: Market share of Premium Inn..........................................................................................6

LIST OF TABLES
Table 1: Marketing mix of two hotels...........................................................................................10

Introduction
In current competitive business market, marketing has been determined as important ingredient
that aims on managing and studying exchanging relationships with customers. Thus, marketing a
product requires various tactics and tools that help in publicising positive image of business in
front of customers. The current report will focus at explaining responsibilities and roles that are
important for managing function of marketing by marketing manager in reference to Premier Inn
which is largest hotel chain in UK. Further it will discuss marketing roles relations with various
situations or departments of business that will be identified through its functioning. The report
will describe about marketing mix and compare it with different organisation to identify the way
and criteria for attracting customers that helps in boosting sales and profit of hotel chains. At last,
the study will develop and analyse marketing plan for hotel chain that will help in deciding plans
and strategies for targeting customers by effective process.
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LO1
P1 Explain the key roles and responsibilities of the marketing function
In business era, creating products and services is not only motive of firms but is also requires to
promote at global level so that recognition of firm and its brand can be increased within buyers.
For this, a business of small or large scale initiates marketing criteria that helps in reaching the
interested and potential buyers all over the world. The marketing is term used for undertaking
various business activities for promoting selling and buying of goods and services. It comprises
selling, delivering and advertising goods to buyers in exchange of money. The product matching
ability to consumer aids in ensuring profitability results. Thus, the overall functioning of function
of marketing is dependent on its product, place, price and promotion that are major elements that
will be discussed later (Baker, 2016). The businesses applying marketing to products and
services conducts the programs and campaigns for promoting it in global world by targeting
market with high demand.
Figure 1: Hotel and brand identification
(Source: Premier Inn Logo, 2018)
In addition, there are various firms present across the world that takes use of marketing function
for popularising its products within customers. For this, different modes and channels are chosen
for effective advertising. In similar manner, Premium Inn which is well known as British hotel
chain as well as largest hotel brand of UK due to its highest number of rooms with 72000 under
785 hotels. The hotels are situated in different locations such as suburbs, airports and city centres
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by giving stiff competition to Ibis and Travelodge hotel chains. The hotel chain was founded by
Whitbread in 1987 with name as Travel Inn for giving competition to Travelodge. It is serving
areas of UK, India, Germany, Ireland and United Arab Emirates. It has chosen television mode
for advertising its hotel that was identified as first budget hotel. Due to its popularity the rooms
were less for customers with high rates that criticised its operations (Lovelock and Patterson,
2015).
Currently digital and online promotion has taken place for bookings using its mobile app as well
as website including third party websites that makes booking easier for customers for Premium
Inn hotel rooms. The success and popularity is highly depending on its marketing ideas that help
in attracting customers. As assistant marketing manager, different roles and responsibility in
managing the function of marketing in hotel are required that makes sales and profit hikes. For
this it is important to understand the roles and responsibilities of marketing manager which are
discussed below:
Marketing Strategies – The marketing department of hotel needs to have calibre and skills to
deal with strategies and objectives created for attracting consumers. The product and service has
promotional strategies such as selecting distribution channel, targeting sector, utilising platform
of internet for reaching buyers etc. These are determined as plans from which effective results
can be obtained in profits, sales, purchases, booking and consumer base (Ryan, 2016). Thus,
creating better plans and strategies are essential responsibility of marketing manager for creating
strong future of business.
Advertising and Promotion – The marketing manager has role to promote the services of firm. It
is important part of business that aims on using various modes for reaching customers. This role
includes huge responsibility as correct way selection will increase profits of hotel in first stroke.
For instance, the Premier Inn’s marketing manager has chosen television as first and online and
digital mode as second method for promoting its products and services. Further, the third party
websites also initiated for making booking and promotions easier.
Sales Augmentation – The marketing department is practically managed by marketing manager
that aims of checking the functioning of sales department too. The promotion of products and
services are going right or not is checked by sales graph that can be obtained by sales unit. For
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this, the marketing manager aims on motivating employees in terrific manner through which the
staff focuses on increasing sales (Pappas, 2016). For instance, Premier Inn was using best
promotional technique from which rooms were started selling at £29 that was found higher by
customers. It was stated that due to its strong market recognitions rooms are lesser that has made
idea that products of hotel was selling at huge speed by satisfying buyer at large scale.
Figure 2: Marketing essentials elements
(Source: Chance Shay, 2016)
Determining Potential Markets – The demand of goods and services in market is important to
create by marketing manager through its effective strategies of promoting products by choosing
potential markets. The relationship between existing markets and firms can be maintained by
aiming to target correct market from which higher sales and profits can be obtained. For instance
the Premier Inn hotel has chosen India for delivering its services due to its high population and
increasing standard of people living that helps in selling products. The duty of determining right
market is done by marketing manager that makes employees and other department’s work much
easier (De Pelsmacker, et.al, 2018).
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P2 Explain how roles and responsibilities marketing relates to wider organisation context
The marketing function has specific aim of selling products and services to provide maximum
satisfaction to potential buyers. The function of marketing begins with motive of knowing needs
of consumer and finishes by satisfying needs of consumers. The marketing duties include risk
taking, selling, buying, standardising, storing, transporting, financing, grading, saving marketing
information etc. In organisation there are various targets and objectives that are important for
team to achieve and according to such aims and targets the marketing department strategise and
plans its functions. The Premier Inn hotel also carries various objectives and for achieving it the
marketing unit complies effectively so that desired results can be obtained (Leung, et.al, 2017).
Just like hotel chain every business has basic elements that are related to marketing department
that includes:
Figure 3: Marketing functions
(Source: Functions of Marketing, 2018)
 Profits – The business of any type needs to have customers and purchasers for gaining
profits and revenues as they are determined as income generation sources (Bowie, et.al,
2016). Thus, it makes necessary for hotels to provide best and quality services in rooms
and restaurants so that buyers can have better and memorable staying experiences. The
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centre of attraction in the hotels of Premier Inn includes its highest number of rooms that
makes services all time available that generates better and higher profits by using best
marketing plans.
 Growth Targets – A business of any type of industry is based on growth scales for which
production department in firm boost its working capacitates to maintain strong position in
market. The growth can be obtained by increasing product quantity or setting affordable
prices. In case of Premier Inn hotels the product availability is very with 72000 rooms at
various locations that makes easy for customers to get the service. In context to this, the
hotel gets huge opportunity for growing at rapid speed (Ahmad and Saber, 2015). Here
marketing department has the duty to mention numbers of room availability for boosting
its sales and growth graph.
 Market Share – It refers to market position of firm that is identified by calculating its
sales for determining success graph by comparing with different competitors. As Premier
Inn is budget hotel maintaining its market share is highly tough as room amount that are
charged by customers are affordable that boost its image and popularity. For example –
The market share of Premier Inn is much higher than its competitor named Travelodge. It
is due to higher number of rooms in most populated countries that has impacted on sales
of hotel chains positively.
Figure 4: Market share of Premium Inn
(Source: Daniel Coatsworth, 2013)
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The aforementioned factors in business states that effective strategies and plans are important for
firm to grow with rapid speed by maintaining product quality, pricing and time availabilities skill
that helps in maintaining high market positioning (Li, et.al, 2015). Thus, it depicts that marketing
department is interlinked with business objectives that is managed and tackled by marketing
manager of firm. The hotel has various departments in firm that are connected and functions
based on objectives and aims created by top management. As marketing manager of Premier Inn
it is duty to link with each and every unit of business for completing tasks and duties that makes
business more profitable by attracting customers. Following are business department linked with
marketing unit that includes:
Marketing and Production – Collaborating these two units helps in accomplishing needs of
buyers that improves hotel performances. The production department is aimed at preparing new
goods, develops product quantity, manages delivery and maintains quality. On other side, unit of
marketing knows consumer needs which are interacted with production unit for fulfilling desires
so to achieve profitability and growth. Thus, it becomes more mandatory for departments to join
and comply with each other for getting coordinated functioning and results.
Marketing and Human Resources – The working of HRM unit is based on task and duties that
are given or assigned by top management (Podnar, et.al, 2017). It is majorly done in guidance of
marketing unit that knows requirement of advertising products to potential customers. For
example – The human resource manager of Premier Inn hotel has aim to recruit best employees
that fulfils production needs according to demand of marketing unit. The linking of both unit
helps in developing new and fresh ideas for promoting services by selecting skilled promotional
people or making strong sales team with aim of increasing sales.
Marketing and Sales – The relationship within marketing and sales are collaborating effectively
from several years. The marketing unit creates easy ways for sales team for reaching customers
and increasing sales graph. The sales team of firm found successful if it is skilled for cracking
the deals that do not waste marketing efforts. For this, joining both departments and working
effectively is important ingredient in which marketing provides areas of targeting customers and
sales provides positive results through sales increase that helps in creating special coordination
within both departments (Kotler, et.al, 2017). Thus, functions and departments are closely related
to each other.
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