BBMK601 Services Marketing Strategy Report: Crest on Barkley’s Hotels

This report assesses the marketing mix of Crest on Barkley’s Hotels, a large hotel group in Melbourne, focusing on product, price, place, and promotion. It evaluates the hotel's services, pricing strategies, distribution channels, and promotional activities, recommending changes to strengthen its brand and customer retention. The report identifies areas where customer expectations exceed the service provided, such as the need for quiet and efficient check-in/check-out processes, and suggests strategies to address these gaps, including celebrity endorsements and economies of scale. Ultimately, the report aims to enhance customer satisfaction and improve the hotel's overall performance in the competitive hospitality market. Desklib offers similar resources for students seeking academic support.

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Services Marketing
Report
6/23/2018
Student Name

1 | P a g e Services Marketing
Contents
Introduction................................................................................................................................2
Evaluation of Crest on Barkley’s Hotels....................................................................................2
Recommended change in Crest on Barkley’s Hotels.................................................................3
Areas where customer expectations are exceeding the service provided by the Barkley’s:......4
Strategies to overcome the issue................................................................................................4
Reflection...................................................................................................................................5
References..................................................................................................................................6

2 | P a g e Services Marketing
Introduction
This report is being prepared to assess the marketing mix of the Crest in Barkley’s hotel. It is
found to be the largest hotel group in Melbourne which is providing the variety of rooms and
services to its customer (Crest on Barkly, 2018a).
Evaluation of Crest on Barkley’s Hotels
Product
Barkley’s hotels are dealing with providing the services to its customer. The main focus of
the company is to provide the class service, ease and luxury to its customers. With the
growing competitiveness in the hotel industry, Barkley’s group is giving huge importance to
planning the product and services provided to its customers. Products are prepared to appeal
the customer attractiveness and interest in it. The company is trying to provide the premium
arrangements for its customer satisfaction.
Price
The price charged by the Barkley group is too nominal which attracts the customer the most.
Price is one of the factors which influence the demand of the customers. The company is
using the cost plus margin technique of product pricing. Further companies are also offering
the discount and various deals to its customer. This is done by the company to uphold the
customer perception or view on the price.
Place
Place represents a location where the product or service is offered by the company. Barkley’s
hotel is operating its business in the area of Melbourne and St Kilda. In terms of booking the
room, there are numerous avenues available for the same. From the hotel only, direct sales

3 | P a g e Services Marketing
are conducted. Along with this various online platforms and company websites are there to
have the booking in the hotel (Crest on Barkly, 2018b)
Promotion
Promotion is the tool to promote the hotel in the market so that its reach can be too the large
mass. Advertisement can be done by using the brochures, online advertising, TV, magazines,
radio etc. are the techniques which are used by the Barkley’s. The company also do the
customizations in giving the service according to the requirement of the customer. It helps the
company to have the loyal customer for a long time in the business.
Recommended change in Crest on Barkley’s Hotels
Product
To make the brand stronger Barkly’s can organised and campaign to make its branding
strategy stronger in the market in comparison to its competitor. This will make the company
attract new as well as the existing customer tied up with the brand. The company should be
engaged in providing the quality services to its customer so that the retention can be
increased.
Price
Barkly’s hotel should give more discounts and deals to its customer so that its check in the
hotels can be increased. The company can opt for the penetration pricing in its business
structure in order to get success in regaining its lost consumers and attain new ones (Amin,
2013).
Place

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Barkley’s hotel can go for the open counter and direct sales more. The customer service
should be provided on the highest priority. The membership services to its customers can be
provided by the company so that customer can visit the hotel many times a see the changes
and service provided to them (Hospitality Net, 2018).
Promotion
Barkley’s should make durable and well-thought implementation of branding through the TV
ads and websites on the internet which are focusing on the specific target segments (Wu and
Ko, 2013).
Areas where customer expectations are exceeding the service provided by the Barkley’s:
There are some areas in which the customer preference and expectation exceeds the
company’s performance. This includes that some customer wants silence and peace in the
hotel which every time is not possible in the hotel as there is a number of staffs and guest are
present there. The atmosphere in the room, discipline and cleanliness of the hotel staff should
be maintained in the hotel all the time. In this, the customer has different perceptions and
view in treating the staff. The staffs are trained with the well-mannered behaviour to be
followed with the guests. Sometimes the requirements of the guests are different from the
normal behaviour of the guest. Another reason is that some customer wants the quick check
in and check out which was not possible sometimes due to a high surge in the hotel so
customer thinks their expectations are not meet by the hotel (Zaibaf, Taherikia, and
Fakharian, 2013).
Strategies to overcome the issue
In order to upsurge the revenue in the hotel, the company needs to accept several
advertisement strategies such as using the famous celebrities for promoting its services in the

5 | P a g e Services Marketing
hotel. This can be analyzed using the gap model by seeing the difference between the
perceived value and expected value of a service by the customer (Chan, 2013). This strategy
makes the company need to add more services and luxury level for the high class satisfaction
given to the guests.
Another strategy can be used by the Barkley hotel that the use of the economies of scale in
the business. In this strategy, the hotel can make the offers and discounts so that large
customer can be attracted and can reach to the hotel. From this large customer, the hotel can
able to cover its cost. Using the gap model, the difference between the delivery of customer
experience and what is communicated to the customer. in this Barkley will exaggerated what
will be provided to the customers to meet the best expectation and in low cost too without
harming the customer perceptions about the hotel (Chen, 2013).
Reflection
From the above discussion, it can be concluded that the Barkley’s is one of the well-known
hotels in Melbourne and are offering the various discount and offers to its customer.
However, the company has to deal with some issues which include that customer satisfaction
is not meeting with the company performances which are discussed in the report. In order to
overcome the problems, some strategies have been suggested for the Barkley’s Hotel to
attract the customer and increase their satisfaction.

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References
Amin, M., Yahya, Z., Ismayatim, W.F.A., Nasharuddin, S.Z. and Kassim, E. (2013) Service
quality dimension and customer satisfaction: An empirical study in the Malaysian hotel
industry. Services Marketing Quarterly, 34(2), pp.115-125.
Chen, W.J. (2013) Factors influencing internal service quality at international tourist
hotels. International Journal of Hospitality Management, 35, pp.152-160.
Crest on Barkly. (2018a) Crest on Barkly Hotel Melbourne [online] Available from:
http://www.crestonbarkly.com.au/ [Accessed on: 21st June 2018]
Crest on Barkly. (2018b) Hotel Features [online] Available from:
http://www.crestonbarkly.com.au/hotel-features.html [Accessed on: 21st June 2018]
Hospitality Net. (2018) Keys to Success - A Fresh Look at the 4 Ps of Marketing or An
Unlikely Salute to Collin Ray [online] Available from:
https://www.hospitalitynet.org/opinion/4045904.html [Accessed on: 21st June 2018]
SW Chan, E. (2013) Gap analysis of green hotel marketing. International journal of
contemporary hospitality management, 25(7), pp.1017-1048.
Wu, H.C. and Ko, Y.J. (2013) Assessment of service quality in the hotel industry. Journal of
Quality Assurance in Hospitality & Tourism, 14(3), pp.218-244.
Zaibaf, M., Taherikia, F. and Fakharian, M. (2013) Effect of perceived service quality on
customer satisfaction in hospitality industry: Gronroos’ service quality model
development. Journal of Hospitality Marketing & Management, 22(5), pp.490-504.