CHM601 Marketing Plan: Sofitel Hotel Sydney & Corporate Customers

This marketing plan outlines strategies for Sofitel Hotel and Resort Sydney to attract and retain corporate customers. It includes an analysis of the external and internal environments using PESTEL and SWOT frameworks, respectively. The plan identifies target markets, sets objectives to increase corporate bookings by 15% within a year, and proposes new products tailored to corporate needs. The 4P marketing mix (Product, Price, Place, Promotion) is employed, with specific tactics for each element, such as enhancing conferencing facilities, competitive pricing, strategic location advantages, and targeted promotional activities through various channels including online and direct marketing. Key Performance Indicators (KPIs) are defined to monitor and evaluate the effectiveness of the marketing plan, ensuring alignment with the hotel's overall business goals. The document also includes an overview of the hotel's background, location, market position, and competitive landscape.

Running Head: MARKETING PLAN
Marketing Plan for Corporate Customers at Sofitel Hotel and Resort Sydney
Name:
Institution:

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Table of Content
Table of Content........................................................................................................................................2
Executive Summary...................................................................................................................................4
Organization..............................................................................................................................................4
Review of Products and Services..............................................................................................................5
Current Product Offerings.......................................................................................................................5
Location..................................................................................................................................................6
Market Position.....................................................................................................................................6
Promotional Activities...........................................................................................................................7
External Environment...............................................................................................................................8
PESTEL Analysis..................................................................................................................................8
Competitive Analysis.............................................................................................................................9
Commercial Partner Analysis...............................................................................................................9
Market and Consumer Research........................................................................................................10
International Visitors......................................................................................................................10
Domestic Overnight Visitors...............................................................................................................11
Internal Environment.............................................................................................................................12
SWOT Analysis....................................................................................................................................12
SWOT Analysis....................................................................................................................................12
Organizational Structure....................................................................................................................14
...............................................................................................................................................................14
Internal Research................................................................................................................................15
Segmentation and Targeting...............................................................................................................16
Sofitel Target Markets........................................................................................................................16
Objectives and Goals...............................................................................................................................17
Objectives.............................................................................................................................................17
Overview of Marketing Strategies and Tactics.................................................................................18
Action Plan...........................................................................................................................................18
Product/Service....................................................................................................................................18
Pricing..................................................................................................................................................18

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Place - Distribution..............................................................................................................................19
Promotion - Sales Strategies...............................................................................................................19
References................................................................................................................................................24

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Executive Summary
Sofitel Hotel and Resort Sydney is an exotic hotel situated at the strategic Sydney Central
Business District. The hotel is renowned for providing contemporary hotel and resort services
that are adapted to the modern demand of the hospitality industry, thus addressing the needs of
versatile customers that appreciate excellence, quality and beauty. The hotel competes with 10
other five star hotels in Sydney with only one of them located in the CBD. The Sofitel Hotel
provides 590 stylish guestrooms that include about 35 luxurious suites, with panoramic views of
the city. The hotel provides conferencing facilities with its grand Magnifique Ballroom hosting
up-to 450 people. In this marketing plan we examine the internal and external environments that
the hotel operates in. The marketing plan targets corporate travellers with the objective of
increasing the number of their bookings by 15 percent in the next one year; launching new
products that specifically cater for their needs and device new ways of communicating with this
market segment. The 4P marketing mix will be employed in achieving these objectives, which
shall be reviewed based on the Key Performance Indicators specified on the marketing plan.
Organization
Sofitel Hotel and Resort Sydney, is one of the most exotic hotels in Darling Habour. The
hotel was opened in 2017, thereby becoming making it the first international luxury hotel in
Sydney’s Central Business District. The $ 500 million hotel plays a crucial role in the current
revitalization of the Darling Habour precinct. It is also credited for heralding the renaissance of
new development of hotels in Sydney with about 40 other hotels scheduled to the constructed
and launched in the next decade in the quest to support the growth of tourism in the country.
Richard Francis-Jones, who is Sydney’s renowned multi-award winning architect, designed the

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hotel. The structure of the hotel is characterized by an imposing glass exterior of 35 stories that
feature triangular accents, which essentially represents sails. Their blue exterior and striking red
ochre are a tribute to the various indigenous clans of the Eora ethnic nations that have for
centuries lived at Tumbalong, which is now known as the Darling Harbour. (Sofitel Luxury
Hotels, 2017)
Review of Products and Services
Current Product Offerings
The Sofitel Hotel and Resort Sydney provides 590 stylish guestrooms that include about
35 luxurious suites, most of which provide the visitors with a panoramic view of the city. More
importantly, all the guest rooms have floor-to-ceiling windows that provide the view of the
Darling Harbor. The suites have in-bath television sets, luxurious soaking tubs and double
shower heads for the ethereal pampering experience. At the pinnacle of the hotel there is the
Bellerive suites that have a butler pantry, living room and dining rooms. Furthermore, three
signature restaurant and sophisticated pubs have anchored the hotel as the ideal place in Sydney
to meet for a memorable dining experience or a drink. The hotel can also provide facilities for
holding any kind of meeting considering its grand Magnifique Ballroom that can host up-to 450
people; the events could include gala dinners, haute couture fashion shows, conferences and
large-scale meetings all supported with state-of-art audio-visual technology (Sofitel Luxury
Hotels, 2017). These facilities makes Sofitel Hotel and Restaurant Sydney one of the most
competitive in the Australian industry.

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Location
The Sofitel Hotel and Resort Sydney is situated near the new dynamic International
Convention Center and a short drive from the nearby shopping center. Sofitel Hotel is also a five
minutes’ walk from the Central Business District of Sydney, where the pre-historic Pryrmont
Bridge is located. There are ferries from the Darling Habour that one can take and enjoy an
ethereal sail under the iconic Harbour Bridge to the Sydney Opera House and then to the Circular
Quay. More importantly, for those visitors from abroad or across Australia, Sofitel Hotel is
strategically located about a half an hour from the Sydeny Kingsford-Smith Airport, where there
are rental vehicles, private transfers and limousines that shuttle to and from the airport to the
hotel. (Sofitel Hotel & Resort, 2018)
The entrance into Sofitel Hotel and Resort Sydney is a stylish porte-cochere that leads the
guests into the building. There are guestrooms and public spaces in the insider, which also pay
tribute to the hotel’s maritime location and the industries that, were previously located at the site.
The extensive use of timber in constructing these places, the use of sandstone motifs and ropes in
the carpets all represent the robust wharf heritage of Sydney. However, whole appreciating the
historical importance of the hotel’s location, its cutting-edge design invariably places the hotel at
the center of the habour’s future (Sofitel Luxury Hotels, 2017).
Market Position
The Sofitel Hotel and Resort brand is recognized worldwide, with a presence in a total of
five continents and in about 40 countries. The brand is reputable for providing contemporary
hotel and resort services that are adapted to the modern demand of the hospitality industry,
thereby catering to the needs of versatile customers that appreciate excellence, quality and

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beauty. Irrespective of its location the Sofitel brand provides its guests with a genuine experience
of the arte de vivre from France.
Promotional Activities
The most common approaches of marketing in business include product and service
promotion. According Boone & Kurtz, (2015) product and service promotion can be achieved
through various means such as advertising where adverts are posted in the mainstream media
such as television, radio, magazine and also online. Sofitel Hotel and Resort advertises its
services through the mainstream Australian newspapers and magazines. The also has got a
website where a catalogue of its services are displayed, with adequate information on the
experiences expected in sampling them and how one may book to acquire them.
Boone & Kurtz, (2015) notes that personal selling is another promotional method where
products are sold through customer service, which relies on sound communication and
interpersonal skills of the sales persons. The personal selling at Sofitel Hotel and Resort Sydney
is largely through the service that customers are provided while at the hotel, where courteous and
helpful hotel stewards are available for the guests to provide them with any form of assistance
that they may require whether in terms of information or service.
The other form of promotional activity of publicity which is characterised by word-of-
mouth and giving interviews to the mainstream media (Boone & Kurtz, (2015). Sofitel hotel is
available for the media to provide them with any information that they may require. The hotel
also makes arrangement with local media to give interviews on upcoming events that are hosted
at the hotel. There is also direct marketing through which brochures, emails and pamphlets are
sent to the target clients (Singh & Gupta, 2016). Visitors at the hotel are encouraged to leave or
rather give their contacts such as emails; the hotels send to them brochures and pamphlets on

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mails regarding the new services and promotions that the hotel is providing at a particular
season.
External Environment
PESTEL Analysis
Political:
-The Australian government supports the tourism industry through policy formulation such as
the Tourism 2020 Industry Potential that was developed by the National Long-Term Tourism
Strategy . The Tourism 2020 is the Australian government’s initiative that is aimed at
improving the productivity capacity of the industry, through providing the players with the
tools that they need to effectively compete at the global scale and also cash on the advantages
presented by the growing Asian economies. (Australian Government, 2018)
Economic:
-The levels of income distribution in Sydney are rather uneven; this makes it impossible for
the lower income groups of the population not to afford the facilities that Sofitel Hotel and
Resort provides. However, the employment and literacy levels are considerably high, the city’s
economy growth rate is also high, which provides a significant portion of the population with a
high purchasing power for the services that Sofitel hotel provides. (Hooper & Zyl, 2011)
-
Social- Cultural Factor:
-The people in Sydney city are quite conscious of their social status and lifestyle. The residents
are also well knowledgeable about the happenings in the other parts of the globe. (Dobson &
Hooper, 2015)
Technological:

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- There is a lot of investments that is being channeled in technology in Australia both by the
private and public sector. The wide reception of technologically enhanced communication has
made online marketing the mode of choice for marketing for most companies. Besides, the
wide adoption of mobile applications has seen to faster exchange of information as most
Australians can access the Internet. (Australian Government, 2018)
Competitive Analysis
Competitive analysis involves taking into consideration the current competitors that a
business encounters in its respective industry. Fleisher & Bensoussan, (2015) note that
competitive analysis also entails taking an inventory of the strengths and weaknesses of the
competitors in a market. Ferrell & Hartline, (2013) further note that through taking into account
the analysis of the competitors a company is able to assess its future opportunities and threats.
The only other five-star hotel that is located in Sydney CBD is, the Westin Sydney. The
hotel is located near the busy Martin Place and includes a bar, fitness center and an a la carte
restaurant. The other five-star hotels in Sydney are not located at the CBD. They include the
Meriton Suite North Sydney that is near the North Sydney Train Station and provides spacious
suites, a spa and sauna, fitness center and unlimited free wi-fi for its guests. The other five-star
hotels in Sydney with similar services and guest capacities include the Meriton Suite Church
Street, Premius Hotel Sydney, Pullman Sydney Airport, Meriton Suite Chatswood and Meriton
Suite North Ryde. (Turner & Friermuth, 2018)
Commercial Partner Analysis
As Turner & Friermuth, (2018) observes, the Australian government is in full support of
the tourism and hospitality industry in Australia. Through the Ministry of Tourism, the
Australian government has come up with the Tourism 2020 Industry Potential strategy that seeks

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to promote high quality services in the industry, inclusive of indigenous tourism; limit taxation,
eliminate red tape and other regulatory hindrances to the hospitality industry. Through this
strategy the Australian government also endevours to undertake effective and coordinated
marketing campaigns that are aimed at driving demand for the tourism and hospitality services.
The tourism and hospitality industry also partners with more than 20 airlines across major
international markets in the transportation of visitors and in some market specific campaigns.
These airlines include Etihad Airways, China Eastern Airways, Air New Zealand, Virgin
Australia, Qantas Airways and China Southern Airlines. (Tourism Australia, 2018)
Market and Consumer Research
International Visitors
According to International Visitors Survey (2016) report, there were about 23 million
from across the world who visited the Darling Habour in Sydney in 2016. About 61 percent of
these international visitors to the Darling Habour spent their night as the New South Wales.
Whereas 66 percent of these international visitors had come for holiday at Darling Habour, 23
percent were visiting their friends and/or relatives, whereas 8 percent were visiting the habour
for business purposes.
The visitors were majorly coming from the Americas, Europe and Asia. The International
Visitors Survey, (2016) report indicate that most of the visitors were from China, who accounted
for 18 percent. About 11 percent of the visitors were from the United States, 10 percent were
from the United Kingdom, 6 percent were from Korea and another 6 percent were also from New
Zealand. The strongest growth rates in the number of visitors were from Japan and Thailand,
who accounted for 33 percent and 32 percent respectively.

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The international visitors engaged in various activities in their stay at Darling Harbour.
The report showed that most of these international visitors engaged in activities such as eating
out, which entailed about 95 percent of the visitors; 86 percent were engaged in sightseeing
whereas 85 percent went shopping. Most of these traveler travelled without company accounting
for 48 percent most of whom were young people in their 20s; about 22 percent travelled as
couples and a majority of them were aged over 55 years, whereas 14 percent traveled with their
family. (International Visitors Survey, 2016)
A significant portion of the international travelers was the young who consisted of 37
percent of the total international visits to Darling Harbour. The other age group worth of
consideration was of people aged from 55 years, above who accounted for 22 percent of the total
international visit, and those were aged between 30 – 40 years who accounted for 20 percent.
Interestingly, about 55 percent of the international visitors to the habour were first-time visitors
to Australia whereas about 45 percent has come to the country before. (International Visitors
Survey, 2016)
Domestic Overnight Visitors
According to International Visitors Survey, (2016) report, Darling Harbour hosted about
1.9 million domestic overnight visitors in 2016. Out of all the domestic overnight visitors to the
New South Wales during the same period, only six percent visited the Darling Habour. Most
these domestic overnight visitors came to Darling Habour for a holiday vacation, accounting for
47 percent of the total visits under this category. Those who came to th harbour for business
purposes were 26 percent while those who visited family and friends were 25 percent.
Furthermore, most of the domestic overnight vistors ate out at the restuarants accounting for 91
percent; 52 percent engaged in sightseeing; 48 percent went shopingg while 32 percent went to

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the beach. Notably, the domestic overnight visitors to the harbour were in most cases were
interstate visitors, accounting for 66 percent of the total visits.
Internal Environment
SWOT Analysis
SWOT Analysis
Strength
- A reputable global brand
- Strategic physical location of the hotel,
making preferable to visitors to Sydney
- An extensive, highly qualified human
resource
- High quality of services provided to the
target markets
Weaknesses
- Limited investment and thus access to
technology
- Poor investment in technologically
enhanced marketing strategies
- Poor online presence
- Poor inventory management
Opportunities:
-The growth in Asian economic powerhouses
such as India and China that are driving new
wealth that may translate to the increase in the
demand for visitors’ experiences
- The roll out of the National Broadband
Network in Australia, which will fast track
the digital revolution in the country providing
the hospitality operators with better
opportunities for engaging with customers
Threats:
-The increase in competition in the Australian
hospitality and tourism industry
-The rise of the value of the Australian dollar
-The reduction in the international market
share of Australia
-The reduction in the domestic expenditure on
tourism since 2000. (Australian Government,
2018)