Marketing Strategies And The Positioning Of Hotels Tourism Essay

A hotel’s positioning is a crucial determinant in developing its subsequent marketing strategies. Incorrect hotel positioning will lead to an unclear vision of the hotel’s development and eventually affect the profitability of the hotel (Ransley & Ingram 2004, p.37).

Our hotel has been positioned as a 3.5 start hotel that sits in the middle of the competition. This is a very strategic approach for our hotel to proceed with as it allows us to target upper-end of the market since our hotel has the resource and capability to do so and simultaneously attract other markets segments such as leisure and family holiday makers since our price and products are very competitive compared to other hotels in the same category.

Hotel’s targeted market segments:

Corporate

Our hotel will continue to set company executives and business travellers as our priority of focus, since this market segment has always been a major proportion of the hotel’s business in terms of the number of rooms sold and incomes from the room sales. This market segment would also bring additional revenue to the hotel such as onsite dinning and purchase of other facilities. Therefore, meeting, business and conference related facilities needs to be developed to meet these customers’ needs.

Leisure

The city which our hotel is suited in is a destination of family and leisure vacations and our hotel’s location itself imposes a unique marketing advantage as it is located on the seafront and close to the main shopping centres. Therefore, with the competitive marketing advantage, if we could offer a mix of quality products and services, in fact, all of our hotel’s guest’s rooms are able to accommodate families and other services such as Pub and full service restaurant are integrated to deliver a desired level of convenience. Scale of economy is another critical element that attracts leisure and family holiday makers, however, simply reduce our room rate is not a strategic action to take. Therefore, special discount can be allowed for weekdays bookings in order to maintain the level of room occupancy rates and design various packages for the weekend in order to improve the sales of F&B facilities.

Tour

Tourism has boomed in this region, there are various venues take place in the city throughout the year. This induces a great opportunity to improve our room occupancy rate and ultimately to increase our overall profitability. As tourists have similar features with leisure and family holiday makers in terms of scale of economy and convenience of hotel’s location. Our hotel should come up with different and differentiate packages to suit various venues so that our customers can receive and perceive added values from our hotel. For example, we can assist our customers in booking the tickets for some of venues such as the International Music Festival and International Dance Festival. Internally, we can offer special check-in and check-out channels for group tourists in order to diminish the hassles for them. Additionally, it is essential to have multi-lingual staff at the front desk as we expect group tourists from overseas.

Weddings

Frankly, we cannot host ant weddings prior to our conference facilities in place. Therefore, at this stage, with the available resources and capacities in terms of our rooms and restaurant, we can arrange Honeymoon specials for the new married couples. Once we obtain any honeymoon bookings, we can pre-decorate the rooms with romantic features and ambiences to provide a physical environment which allow those couples to have intimate times together. Additionally, we can also offer discount for new married couples to have dinner in our restaurant with the menu especially designed for the venue.

F&B Services

It would pose a great impact on the operation of our F&B department since the potential resignation of our Head Chef. However, we can take this opportunity to be innovative in terms of turning our restaurant into a completely different concept of dining. Nowadays, F&B services are usually seen as an adhering service to the accommodation. However, the potential ability of F&B services of generating revenue is significant. Therefore, providing we have sufficient financial founds, we can hire another Head Chef who is innovative in culinary arts and develop our restaurant as a dining destination of the region, it is implementable as the local population of over one million in the city ensures the demands of such service if we operate it successfully.

Promotion:

Promotion is a very vital element in the marketing mix (4Ps), as in it builds the hotel’s image and increases the hotel’s public awareness and helps the hotel to reach more markets (Kotler, Bowen & Makens 2006, p.539). Our promotion mix will include a number of media such advertising, hotels’ website and join in marketing consortiums.

Advertising:

Our hotel will still adopt some of the traditional media such as newspaper, travelling magazines and advertising campaign on radio. These media can effectively reach a large group of audience even though involves costs and cannot receive instant response on the effectiveness until the guests actually come to our hotel. For that reason alone, our hotel should use on-line social networks such as Facebook and Twitter. These social networks has increasingly become the primary information sources for people especially for Gen Y’s whose purchasing power has increased dramatically. The social networks allow us nearly zero-cost and can reach to more potential customers.

Hotels website:

Hotel’s website is the first impression we give to our potential guests when they intend to choose us as their hospitality provider. Therefore, a well-established, designed and managed website will effectively promote our hotel to those who are very likely to become our customers.

Marketing consortium:

Since we are an independent hotel and especially with limited budget, we are in a weak position in competing with those international chains in terms of spending money on marketing and promoting themselves. Therefore, join a marketing consortia is a strategic approach at this stage for our hotel. For example, The Leading Hotels of the world, will give us access to its worldwide reservation centre and they have more than 20 offices in the most important cities and this organization also participate in some of the most popular travel exhibitions and trades shows in the pursuit of promoting its members. However, it charges annual membership fees and additional shares for each room they have generated (The Leading Hotels of the World, 2010).

Other marketing related strategies:

Converting guests rooms into Conference facilities:

Currently our hotel does not gain any business from this market segment due to the lack of conference facilities. Functions and banquets are very profitable to conduct as it requires intensive F&B services which can generate significant profits and also impose the potential of room sales and long-term business relationships with the clients. Therefore, the next strategic projection for our hotel is to turn some of rooms into conference facilities (our average room occupancy rate was 20% which means 80% of the room inventory have not been generating profits, and hotel rooms are perishable products). This strategy will require additional financial founds to support, there will be risk involved, but it will be profitable in the long-haul.

Merge to gain additional founds:

Our hotel can merge with another non-hospitality establishment in order to get additional financial support as we are suffering for lack of funds. Although merge is not as fierce as acquisitions, it still poses a certain degree of risks to the management of the hotel in terms of the absolute authority and power over making business decisions (Beamish 2008, p.288).

Budgeting for marketing department:

There are two major areas that require enormous funds to complete.

Projected Budget for Regency Hotel-Marketing Department

Converting rooms into conferences facilities

$1.5 million

Advertising

$2,000 per month

Join marketing Consortia

$200,000 per year

Maintaining Website

$1000 per year

Labour costs

$80,000 per year

Marketing Plan Oberoi Hotels In Mumbai

A luxury 5-star business hotel, The Oberoi, New Delhi provides over 250 rooms and suites. It features the best of restaurants, a well-equipped business center and a rejuvenating spa experience. In addition the dedicated service makes the hotel popular with business and leisure travelers.

Bearing a blend of traditional and colonial style, the rooms are done up with traditional Indian art and handicrafts and also appointments from Europe. The hotel has taken care to ensure there is no compromise on luxury, so a perfect balance of modern luxury and traditional charm has been achieved. Regally appointed baths and specially prepared toiletries add well to the luxuries offered. Guests can choose rooms with different views, the most popular being pool-view or golf course-view rooms. Amongst the most luxurious, the Kohinoor suite is the most luxurious.

The Oberoi offers perfect rejuvenating experiences for the guests. A 9000 square area of the hotel dedicates itself to make you feel relaxed and get rejuvenated. The Oberoi Spa features a therapy suite, an Ayurveda therapy room and a hydrotherapy room for Vichy shower. For those who love to take laps, the hotel has temperature controlled outdoor swimming pool which allows you to swim in all seasons.

Designed to suit the needs of the class business travelers, the hotel is well-appointed with all requirements for the same. It offers to guests conference rooms with a capacity to accommodate around 300 people, business centers with all modern facilities and other business facilities.

Company Overview

The Oberoi, Mumbai

Located in the city’s prime business and shopping district of Nariman Point, The Oberoi, Mumbai has been completely redesigned to be the ultimate destination for contemporary style and luxury in the city. Overlooking the Arabian Sea, the hotel welcomes you with space and serenity. Luxuriously appointed guestrooms have been meticulously planned with a host of innovative features using the latest technology.

The Oberoi, Mumbai is located on Marine Drive, the famed boulevard along the coast in South Mumbai. An hour’s drive from the airport and only minutes away from the business, financial and entertainment districts, the hotel is also well located to visit the city’s tourist attractions.

The hotel offers a rich variety of dining experiences ranging from an all day dining restaurant serving global cuisine, to an Italian Restaurant and a signature Indian restaurant under the direction of a Michelin starred chef.

An ideal location for business meetings and conferences in Mumbai, venues range from private meeting rooms at the 24-hours Business Centre to the conference rooms on the top floor of the hotel offering sweeping views of the Arabian Sea.

Recreational facilities include an outdoor heated swimming pool, a fitness centre and a full service Oberoi Spa. The Spa and the Fitness Centre are open 24 hours.

Complemented by Oberoi Hotels’ legendary service delivered by caring staff, The Oberoi, Mumbai is the ideal hotel for discerning business and leisure travellers.

http://ezinearticles.com/?The-Oberoi-Hotel,-New-Delhi—Blending-Business-With-Pleasure&id=2320861

Our brands:

Business Hotels

The Oberoi, Calcutta

The Oberoi, Mumbai

The Oberoi, New Delhi

Leisure Hotels:

The Oberoi sahl Hasheesh

The Oberoi Rajvillas

The Oberoi Madina

Wildflower Hall, Simla

Current Situation – Macro Environment (PESTEL Analysis)

Economical

The economy of UK has been getting back to the normal position as there are significant amount of increase in the tourists visiting the major cities of London as well the rest of the United Kingdom and so with the migrants from different parts of the world for jobs which would thus lead to a overall increase in the economy of the UK. Initially there need to be a high investment in purchase of building up of the vessel which would be covered under the financial capabilities of the Intercontinental group of hotels as there has been a gradual stability and increase in the economy of the Intercontinental Group of Hotels

InterContinental Hotels was the main talking point yesterday as London started the new year with a bounce.

InterContinental climbed 6.3 per cent to 597?p after a unit of Hong Leong, the Asian conglomerate that owns Thistle Hotels, declared a 3 per cent stake.

As it has been seen that the due to the economy crisis of recession there were many job losses which has left out the skilled workers out and away from their jobs but as now clearing of the overall debts of all the world economy there has been a significant growth in the economic factors as well many job openings

And as seen now there is an substantial increase in Tourism sector which would be quiet related to concept of hospitality on board of Intercontinental Blue Retreat and thus would be easier to find experienced labour

http://www.ft.com/cms/s/0/569a38fa-d937-11dd-ab5f-000077b07658.html

Political

In Britain there is new Liberal Democrats Government which will now bring on new rules and regulations on the have a change in taxation policy in correspondence to the present taxation policy on Britain

The main focus of the government is to reduce the carbon credits by reducing the carbon emissions and such elements leading towards global warming. This means there will be an increase in the fuel costs by imposing taxes over it which will directly effect on the driving of the motor vessel of Intercontinental Blue Retreat which may have a long journeys of a week from Britain to Caribbean, Mexico, Bali, Dubai at initial and thus expanding with the themed holiday retreats so the taxation rates are the major concern in considerations with the fuel as well as the service taxation rates which are to be revised

Socio Cultural Environment

Since the time trend of cruise travel came into existence the cruise liners have been a status symbol for a frequent leisure traveller who had the power to spend high amount for his travel. It was only the upper class of the society who could have afforded to travel with leisure on board but since the concept of travel with leisure had been came into existence promoting varied tourist countries and attractions it has been quiet affordable for the working class and became a means of themed travels just instead of travel with leisure

The average age of tourists travelling varies now from the young age group to the old age group varying from 15 – 55 for the purpose of visiting places over the world for holiday purpose

Technological Factors

The advancements in the cruise liners for facilitating the tourist with all the facilities throughout the journey. The major concerns in the cruise liners is the technologies to be used for waste management and water preservation and storage as well the oil or waste spills in the sea which are to be looked as major concerns.Some of the cruise liners are already implementing Water saving technologies are found throughout cruise ships, such as vacuumed toilets and low-flow faucet aerators on water outlets. In minimising emissions, is also looking at ways to reduce the amount of fuel used. As well as designing more fuel-efficient itineraries, the cruise line is pilot-testing a computer system that will make vessels more aerodynamic and lessen fuel consumption and have to further reduce sulphur oxide and nitrogen oxide emissions and particulate matter over the next decade in accordance with MARPOL Annex VI, revised in 2008, which relates to air pollution.

Some cruise lines are already implementing scrubber technology on board their ships, a system in which the natural chemistry of seawater is used to ‘scrub’ the sulphur out of a ship’s exhaust gases. These technologies are to be implemented and for which the budgeting will the looked over and thus new technologies will be adopted

Environmental

The cruise ships emit tons of sulphur emissions into the sea on a yearly average. The use of low sulphur-producing fuel which is the most popular means of reducing sulphur emissions in the cruise industry, also comes with some environmental consequences. The process of distilling crude oil to make the fuel leaves refineries with a type of waste fuel that is unusable and thus it leaves back a considerable amount of solid waste. Research is been carried out for viability of solar and wind turbine technology for ships and is set to release a sustainability report soon detailing more solutions for the future which will make the cruise liners eco friendly without disturbing the ecological balance and harming the environment.

Legal

The introduction of a new cruise liners should consider the various legal terms to be followed up which are imposed and regulated by the Cruise liner International Association (CLIA) along with the legal regulating bodies of the nations the laws and acts such as

Design and Construction standards

Cruise Vessel Safety and Security Act

Sea Environmental law (solid waste/ Toxic / Ballast water / Air Pollution)

Sexual assault on Cruise Act

Log Book and Crime Reporting

Crime Scene Preservation

These all rules, regulations and acts are to be considered from formulation a vessel to the onboard safety and security of the consumer

http://www.cruiselawnews.com/

Market Analysis

According to the projected bar graph there seems to be a substantial increase in the cruise travellers within the coming two years and this would be a very good thing for the Intercontinental Blue Retreat

The Cruising has become a major part of the tourism industry as well as for onboard hospitality accounting for with over 18 million passengers carried worldwide in 2010. The world’s largest cruise liner is Royal Caribbean which would be the major competitor for the Intercontinental Group. The industry’s rapid growth has seen nine or more newly built ships catering to a North American clientele added every year since 2001, as well as others servicing European clientele. Smaller markets, such as the Asia-Pacific region, are generally serviced by older ships. These are displaced by new ships in the high growth areas. so the Intercontinental with its new vessel would initially grab on the European market and then with the themed holidays and thus moving towards the far east

http://en.wikipedia.org/wiki/Cruise_ship

Using Micheal Porter’s five force analysis model it will help us to classify the major five forces for the Intercontinental Blue Retreat

Competitive Rivalry

There is an existing high density of cruise liners along with a increase in 32 new vessels in the coming three years which will lead to increase in vessels and so creating a port reserving problems along with the shortage of ports for existing cruise vessels There has been a competitive rivalry between the major cruise liners in the past few decades in accordance with the on board services they offer to attract the customers along with the varied experiences for the cruisers to remember with

Threat of New Entrants

Though there are 11 new cruise vessels to be launched in 2011 there is a level of threat of entrants in luxury cruise market .The easiest way to enter the cruise industry appears to be via mergers, acquisitions, and takeovers. There are essentially three cruise market segments: contemporary, premium, and luxury. Along with these types of cruises comes varying levels of service and expertise. The high cost of training and maintaining exceptional employees for their shops, casinos, entertainment, hotel staff, world class chefs, and of course the maritime staff requires a parent company with vast financial resource. Therefore the threat of new entrants is substantial. As the similar marketing strategies can be applied over but the other large group of hotels

Threat of Substitutes

The cruise industry holds a unique position in that the threat of a substitution by another vacation activity by the current consumer market seems likely to be high with the pioneering cruise companies such as Royal Caribbean, Carnival in the cruise tourism. Family cruises are also growing in popularity. a cruise vacation is generally cheaper than a traditional vacation package. Many lines offer package airfare and cruise rates to their customers. An increasing number of lines are expanding their ports of call and destinations to please the demands of today’s diverse cruise market. According to a survey 25 ships from major cruise lines from three more than last year is now carrying about 10% more passengers. All this means more choices for travellers. And thus increase in competition with the existing pioneering cruise companies and increasing a threat of substitution with Intercontinental Blue retreat

Bargain Power of Suppliers

A rise in fuel prices has been quite costly for the cruise industry, who are not only directly affected by fuel cost for running their own ships, but must raise ticket prices to cover the increase cost of flying due to high fuel prices and a hike in airfares. Quality, dependability on suppliers are vital in order to ensure repeat cruisers. If the food was good on the first cruise, consumers expect it to be up to par each time they cruise. This goes for advertising too. Carnival was the first cruise line to use television ads to promote itself. Travel services also play an important role in promoting and fulfilling cruise reservations. the bargain power of the suppliers in regards to fuel , food , supplies is likely to be high which needs an proper evaluation in accordance with the service contract for constant supply of the resources.

Bargaining Power of Customers

Cruise travellers have many different lines to choose from, each offering a slightly different variety of service on cruising. Most cruise lines target middle class travellers with the grand ocean liner experience. The first time travellers or cruisers are offered along in by moderately priced air and cruise package rates. Often one can buy a cruise vacation anywhere form $125-$250 per person, per night. Most hotel stays in major cities are more expensive per night, not including transportation as well as food. Along with low priced package rates, consumers are also demanding a unique vacation experience which would create a difference in their normal vacations . Now cruises appeal to a younger, hipper audience, and it’s easy to see why. Modern cruise ships are being more like “floating resorts,” offering everything from Casinos, spas and gyms to in-line skating and Rock-climbing walls. Cruising is the fastest-growing segment of the travel Ships also stop at more ports, with over 1,800 destinations worldwide to choose with. So does the bargain power of cruisers increase along with having wide options of cruise liners to choose from.

Customer Analysis (current and targeted)

There has been a rapid growth in number of UK cruise passengers travelling by cruise liners which have effectively been doubled in just eight years. The cruise report makes the prediction based on estimates by the UK Passenger Shipping Association that 1.35 million cruises were booked by UK residents last year, with a rise of 15% to 1.55 million predicted for this year. Now cruises are attracting to a younger, hipper audience, Modern cruise ships are being more like “floating resorts,” offering everything from Casinos, spas and gyms to in-line skating and Rock-climbing walls. Cruising is the fastest-growing segment of the travel Ships also stop at more ports, with over 1,800 destinations which would certainly lead to increase in the family travellers and young travellers which would create a trend for them to travel in luxury

The base target of the Intercontinental group would be to create a difference on their cruise liners along with the generation trends. initially it will be launched starting the voyage from UK to Mexico, Caribbean Islands, and covering 1 voyage to Bali and Asian country parts. the motive would be to create a difference in hospitality as intercontinental is following the concept of making customer happy and to create great hotels guest love

http://www.travelweekly.co.uk/Articles/2008/02/13/26646/uk-cruise-market-to-hit-two-million-passengers-by-2012.html

Internal Environment

The potentials of Intercontinental Blue Retreat –

Strengths:

Good financial stability of the brand

Customer loyalty

Large database of Intercontinental customers

Pioneers in Hospitality since long time

Luxury Brand image along with all 9 brands of intercontinental group

Assured clientele

Weaknesses:

Higher fixed cost

Onboard service is labour intensive

Seasonality of ship usage

Weak environmental policies

Long lead time for ship delivery before introduction in the market

Competitive industry with other pioneering cruise liners

High fuel and maintenance cost

Opportunities:

Expected 11 more ships in next four years

Only 8 % have taken over in the tourism sector by cruise lines

Ageing population wants relaxing vacations

Multilingual staff for language efficiency which can be picked over within from the properties over the world

ships for mergers or acquisitions from existing vessels due to brand power

Threats:

Maturing industry

Overcapacity of vessels in the sea

Rate of growth might slow down

Expected growth of 6.3 % in coming year

Tight regulations in voyage and cruise laws

Other cruise companies to increase their vessels in next year’s by acquisitions

Competitive advantage

The aim is to build a sustainable competitive advantage could be achieved by Intercontinental Blue Retreat through the Intercontinental Hotels & resorts groups economy and their pioneering performance in past few decades acquiring over 6 major brands within Brittan and world over . Possessing extensive knowledge of the UK market and existing extensive research into consumer behaviour they can offer a holistic service supported by the group’s expertise in customer service. Intercontinental already has a guest loyalty card of which the regular guests or customers can avail of the discounted rates on the voyages or themed holidays with family and friends also can avail business facilitation with intercontinental business jets for conferencing. Intercontinental blue retreat would formulate a cruise theme trip along with the hotel stays at intercontinental resorts at varied location along with hampered gift packages for the loyal customers or frequent customers and offering business coaches for business class within the cruise and pioneering the cruise liners

Mission Vision and core values of INTERCONTINENTAL HOTEL GROUP

Mission: To create great hotels guests love.

Vision: To build the hotel industry’s strongest operating system focused on the biggest markets and segments where scale really counts.

Core Values:

Do the right thing

Show we care

Aim higher

Celebrate difference

Work better together

Mission Vision and Core values of INTERCONTINENTAL BLUE RETREAT

Mission: To create best cruise guest would love.

Vision: to build up the pioneering voyages with a great customer satisfaction maintaining the higher scales in the cruise tourism sector

Core Values:

Do the best for the guest

Show the care through better service on board

Be pioneers

Work unitedly

Create valuable difference

Introduction of INTERCONTINENTAL BLUE RETREAT

The cruise vessel of Intercontinental would be introduced in summer 2010 from south Hampton port of Great Britain and the first voyage would be with grand opening to Caribbean island. The vessel would be initially advertised with the in-house marketing from all the brands of intercontinental group and along with a in-house reservation desk in the lobby of every hotel as travel desks at the lobby which would help make aware the brand loyal guests with the pre launching of luxury cruise

The Marketing Strategy (Marketing Mix)

Product:

The product being a service product it has to be generally promoted based on the brand image of the hotel so as to facilitate loyal customers with the efficient and luxurious on board service at the intercontinental Blue retreat

Price:

The price of the voyage would be as along with the luxury with an offered discounted rate to the loyalty card members of intercontinental group and along with a discounted rate for the first 200 reservation special family and themed packages with a special rated with over the chosen destination in accordance to promote the voyages

Place:

The cruise vessel of Intercontinental would be introduced in summer 2010 from south Hampton port of Great Britain and the first voyage would be with grand opening to Caribbean island. The vessel would be initially advertised with the in-house marketing from all the brands of intercontinental group and along with a in-house reservation desk in the lobby of every hotel

Promotion:

The promotions are to carried out at initially by in house promotions by in room pamphlets, advertisements on in room televisions and to the business class by a presentation of advertisement of launching and on a large scale by following

Company’s own Website

Billboards

Printed advertisements

Direct Mail to business class

Loyalty members offers

Online media

Sales promotions

Sponsorship

Type of Promotion
Method
Objective
Company’s own website

Efficient, branded website with online booking facilities.

And initial advertised page

Provide info

Enable online bookings

Billboards

.billboards at the major transport lines and tourist places along with the airport and stations

Create awareness and promote the luxury voyage facilitated for the consumers

Printed Advertisements

Poster advertisements

Ads in publications such as the travel and tourism magazine

remind and retain customers about the brands new launch

Direct Mail

Letters,

Pamphlets.

Reaching business class segment efficiently

Online Media

Emails

Banners

Sponsored links

marketing

Social media websites

comparison websitessites.

Utilise the internet to reach as many targeted customers, efficiently as possible, to guide them directly to the online booking system and retain data of customers to avail them with promotions.

Sales Promotions

In-house promotional stands and desk prior the launch

Inform about the luxurious service of the cruise

Loyalty members offer

Offer with special packages to loyalty card members

To increase brand loyalty of customer

Sponsor high end events

Sponsor high end events with a handful budget.

To get relation with the people in events and thus make brand promotions

Marketing Strategy:

Differentiation Strategy: Intercontinental Blue Retreat should make their cruises more unique and luxurious then other cruise lines making differentiation with the packages or the services provided on board by the pioneering brand in hospitality.

Sample of Advertising

Critical Reflection

I am a graduate in hospitality and tourism management with a relevant experience of one year working with a 5 star property. I have learned marketing in my bachelors but haven’t related or do not have much relevant experience with the same. It had always seemed interesting subject according to me. Coming from a hospitality background, learning the marketing concepts in depth and relating them with the real world scenario has been a truly worth experience. I was also able to explore the creative side of me while designing of the advertisement which made me think of the several factors which should actually be taken into consideration.

My expectation at the beginning of the module was to learn the basic concepts of marketing which are to be used on regular basis on and throughout marketing in any industry. But I have not only learned the core marketing theories but able to apply the theoretical concepts to practical. I feel confident now as i can take any product and formulate a descent marketing strategy. Following a video advert for the designed product line is a concept of learning the advertisement trends of marketing the new product which is quiet interesting.

The assignments provided me a tremendous opportunity to apply the gained theoretical knowledge and bring into practice. I have always considered PESTEL analysis and marketing mix as the main tool to analyse a marketing strategy for any product. These both theories provide a concrete base for marketing any product. while designing the product line of my product it became quiet clear and concise to me how anyone can relate effectively use the 4 P’s of marketing mix considering not only the product and place as in usual rather then also looked over the price and promotion of the product which are of major considerations for any product. My concept of promotion of a product was only as advertisement but as i progressed through the coursework i found out that advertisement is just a basic tool of promotion. Whereas promotions can be done in varied different ways to promote the product in market.

One of my biggest misconceptions about product placement was cleared in this assignment. I always used to consider the placement of product about an large scale in a hypermarket .as going through the product line of my new product of an chain of hotels to cruise liners was a huge and massive product for which the location on the right place at right time maters a lot as the cruise business is usually termed as seasonal

PESTEL analysis helped me to look overall factors which would effect the new product in the existing competitive market. at initial the factors like political, social and environmental factors where not been of much importance in accordance to me but while going through the assignment i realised that these factors to play a major concern in case of INTERCONTINENTAL group of hotels launching a cruise liner. The environmental factors are of major consideration with the legal environmental laws for the cruise liners as to regulations of carbon emission and oil spillages of cruises are considered with different laws which are followed up by the companies

Market analysis is an another vital tool to recognise and evaluate the market segmentation of an particular product in the market. as considering the marketing game which initially i found to be worthless. But it proved to be a very effective tool for evaluating the strategies to be applied in accordance to market situations. i always had it in my mind as a key assignment where i have learned to evaluate the market in accordance with the situation of the market and the requirements on the product in the sector. it also helped me to consider major budgeting factor as we in a group where provided with a fix budget.

During designing of the product, I had to keep in the mind the existing product portfolio, and the brand image of the company. This was challenging as they act as few factors within which I had the design the product. Placing myself in the shoes of a marketing head, I had to keep in mind the overall marketing strategy of the company, where my product fits in to the plan and how it delivers value to the customers. How would my product differentiated from the other competitors in the market

The consumer analysis in the coursework was one of key learning aspects to consider the consumer behaviour along with the consumer buying habits depending upon the several factors such as age, sex, culture, habits, psychology, needs and wants of a customer which helps in formulating a unique products which can be differentiated from the others thus creating a competitive advantage. The purchasing power of customers vary which makes it more difficult for pricing a product accordingly and also that means to me as a marketing person is that I need to keep in mind these various aspects while designing the marketing campaign. Therefore I felt, the customer profiling exercise is a great tool to understand and identify the target segment of the customers. This exercise has enabled and enhanced my understanding of marketing as a tool to figure out the right target segment for the right set of customers and the right campaign that will help promote/sell the product.

It was great to know that the intercontinental group of hotels maintain a portfolio of regular and business class consumer as well the loyalty card members. They avail and provide their consumers with a global facilitation with the loyalty card with the all existing 7 brands over round the world.

The porters five force analysis which considers the differential factors irrespective to any other theories has helped me through the assignment to consider the situational analysis of the product in the concurrent market as the factors considered such as competitive rivalry, threat of entrants, threat of substitutes are major concerns for the market situation analysis while the bargain power of consumers and suppliers where of not much importance to me unless i evaluated the assignment and came through the situations where such analysis are the major issued as for INTERCONTINENTAL cruise liners had to enter into new market there the supplies such as fuel, food and water suppliers are the major onboard requirements to be considered and suppliers bargain power has helped me to look-over evaluation of any supplier

SWOT analysis was useful in clearly highlighting the strengths I can use to promote and position the product, looking to weaknesses how i can improve the defects on the company, opportunities and threats will help me to look on to futuristic considerations. The best thing about the SWOT analysis was that during the process of conducting SWOT for the pioneering brand of Intercontinental Hotels and resorts, I realised that it is a very effective tool to understand a company’s position in the overall market. Realizing the benefits of a SWOT analysis I decided to conduct a SWOT analysis on myself. This was even more insightful to me. It clearly helped me understand how I can improve myself professionally and personally. Considering my strengths weaknesses and improve myself

After going through the assignment it reminds me of the question which was once asked to us as in a practice session to debate on with “Marketing is an art or a science”? This now truly makes me feel that it cant be any single piece of the duo pair because the science of the theory is implemented and the form of marketing art helps to implement the science into practical. So it cannot be just the one part of instead both terms compliment each other. During the exercise I felt I have undergone a complete transformation in terms of

Marketing Plan For Tui Travel Plc Tourism Essay

This section resumes the marketing opportunities, strategy and financial objectives for senior manager who are in charge with the approval of the marketing plan.

TUI Travel PLC is looking to extend its already integrated operations by opening a sightseeing division. The pilot will be executed in the UK, as London is one of the major destinations for overseas travellers. The company will be able to compete with the sightseeing at local level and the pilot out of London tour, which provides the same attractions as the three already established sightseeing tour operators.

The product will be offered to all our customers, orientated principally to families and empty nesters.

The primary marketing objective is in line with the corporate policies of integrating and offering customers a customised service suitable to their needs.

2 – BUSINESS OVERVIEW

TUI AG is considered the leading integrated tourism provider in Europe, it is divided in three sectors: TUI Travel PLC, TUI Hotels & Resorts and the Cruise brands Hapag-Lloyd Kreuzfahrten and TUI Cruises.

TUI Travel PLC was formed in 2007 by the merge of First Choice PLC and the Tourism Division of TUI AG. The company operates in four sectors: Mainstream, Specialist and Emerging Markets, Activity and Destination and Accommodation.

According to Interbrand, the success of TUI AG as a corporation is the message embedded in its mission statement ‘ Putting a smile on people’s faces, along with their corporate culture of excellency aim to provide customers with an unforgettable experience during their holidays, while reinforcing sustainability in all its destinations.

TUI Travel PLC possesses the strengths inherent from being part of a major corporation including brand awareness, comprehensive services, leading domestic player. The key opportunities come from the joint ventures and the growth in hotel industry. Its principal weakness is dependence in the European market; also face the threats of competition from low cost carriers and slowdown in the markets economy.

Strengths

Brand Awareness:

TUI Travel PLC operates principally through First Choice and Thompson, both have a reputation for servicing the leisure travel customer, providing differentiated and flexible options to meet changes in demand.

Comprehensive Services

Having a broad range of services, the company’s operations cover the whole tourism segments and the diverse stages of a holiday: from retail, tour operating, flying and accommodation up to additional services at the destination.

The company owns a network of travel agencies with active presence in more than 15 markets in Europe, as well as a fleet of aircraft through TUI Fly. TUI Hotels provides hotel accommodation to its various destinations. Additionally, the company offers luxury and premium class cruise liners through its Hapag-Lloyd Kreuzfahrten joint venture.

Leading domestic player

The company supplies travel services for over 30 million customers from 27 source markets. It also provides airline services with a fleet of more than 146 aircraft and 350 retail shops in Europe. Additionally, TUI Hotels & Resorts is considered the leading hotelier in Europe with around 243 hotels with approximately 154,000 beds in 28 countries. The major brands of hotels include Riu, Grupotel, Iberotel, Robinson, Grecotel, Magic Life, and Dorfhotel.

Weaknesses
Dependence on Europe

TUI AG is greatly dependant on Europe for its income generation, around 79% of its revenues. High focus of operations in a single region increase the company’s chances to more diverse risk exposure such as local factors i.e.: lower demand, severe weather conditions, labor strikes, change in regional laws and economic conditions, thus constraining the ability for growth.

Opportunities
Joint venture agreements

In March 2009, TUI Travel and Air Berlin come into a long-term strategic partnership for their German sector flight segment, based on a cross ownership where TUI Travel, through a subsidiary, will have an interest of 19.9% in Air Berlin.

Growing global hotels and motels industry

The worldwide hotels and motels sector has observed a major growth in recent years. The industry performance is anticipated to recover further. With well-built geographic presence in hotel industry, TUI Hotel & Motel is well positioned to take advantage of this opportunity head on.

Treats
Economic slowdown in Europe

Since the company’s revenues rely on the general economic conditions of the region and the economic position of Europe is projected to be weak after the recent chaos in financial markets and consumer attitude, it could reduce the demand for the company’s products and services.

Competition from low cost airlines

Whereas traditional airlines are encountering rigorous challenges such as elimination of routes and reducing staff, the low cost sector carry on expanding at a incredible rate, trends show that the low cost carriers are becoming leading players on a considerable number of intra-European short -haul point-to-point routes. Strong competition from low cost airlines could negatively influence the company’s operations.

3 – MARKET OVERVIEW

Although the tourism industry had a steady growth over the last few years, it is evident that it is not immune to the effects of economic and health alerts. According to the Office for National Statistics, the number of visits to the UK fell in 2008 for the first time since 2001, overseas residents made 31.9 million visits to the UK in 2008 compared with 32.8 million in 2007, a fall of 2.7 per cent. Despite the decline in the number of visits, spending on trips to the UK reached record levels during 2008; overseas residents coming to the UK spent a total of ?16.3 billion, an increase of 2.3 per cent on the 2007 figure (published 16th July 2009) [1]

However the same office, has reported that in the three months to February 2010, compared with the previous three months, the seasonally adjusted results from the international Passenger Survey showed that: aˆ? Overseas residents’ visits to the UK increased by 2 per cent to 7.5 million. Figures for the most recent months are provisional and subject to revision in light of (a) more accurate data on passenger figures becoming available at the end of each quarter (published 15th April 2010) [2]

Although the figures above only represent the winter trends, gives an indication of improvement in the market. TUI Travel PLC, could see such indication as an opportunity to get stronghold in the market in the future.

3.1 – CUSTOMER INFORMATION

The company uses a policy based on its brand identification, for example First Choice is aimed primarily to families, while Thompson has characterised its segment target to be oriented to couples and seniors. Both segments assumed to have additional disposable income.

3.2 – SERVICE INFORMATION

As previously stated, the company offers an integrated range of tourist services, personalised according to customers’ demands and needs.

Thus, in order to integrate further its operations the aim of this project is to highlight the relevance of a sightseeing venture to facilitate the overseas customers visiting UK for example.

4 – OBJECTIVES

The key objectives for the UK sightseeing division under TUI Travel PLC are:

Further integration of services provide to overseas customers.

Continue with the differentiation policies in all products offers.

Aim to carry 50% of UK visitors from its various brands to different sightseeing attractions during the first year of operations. The carrying rates are to rise on 20% on yearly basis thereafter.

5 – STRATEGY

The UK Sightseeing division will provided customers with a friendly, personalised experience while using professionals guides to accompany groups in their trips to the historic and most relevant sights.

5.1 – PRODUCT

Initially the products will encompass the following products:

London tourist sights: Panoramic of London, Photo stop at Buckingham Palace, Photo stop at Saint Paul Cathedral, Lunch in a traditional English pub, cruise for the river Thames and entrance to the London Eye.

Outside London: Entrance to the Windsor Castle, Roman Bath with walking tour of the historic town, Lunch in a traditional English pub in Salisbury and entrance to Stonehenge.

Customers will be pick-up from their hotels at a pre-determine time in order to ensure that all passenger are present at time of departure. At the meeting point customers will be introduce to their guide for the day and will be taken to the vehicles designated for the chosen tour.

5.2 – PRICE

Considering that there is three more sightseeing tour operators in the UK, the prices should be in line with similar products offers by the competitors in order to maintain the demand for the products.

However, since the business unit will be part of a package holiday, TUI Travel will surely achieve a higher level of economies of scale when contracting the services of suppliers involved on the operational side of the tours.

5.3 – PLACE & PROMOTION

Stores: The Company have to its disposition over 650 retail shops around UK, which will give them a competitive advantage over its competitors, as the three major sightseeing operators only serve London through their call centres.

Website: First Choice and Thompson both enjoy large websites, which are characterised for being user friendly and easy to navigate, thus any customer interested in additional services will be able to find the combination of products suitable to their needs.

Search engines optimization: To improve the discovery of the websites, UK sightseeing division will ensure that links are built within key Internet search engines sites, as well as key word register to the main domains (i.e. holidays, short breaks, all inclusive, etc)

Advertising: Once the operational site of the UK sightseeing division is up and running, TUI Travel will make the announcement through its major website, as well as to link the release news on the websites for all its subsidiaries within the group, to ensure that customers booking holidays in advance are aware of the new available services.

Public Relations: Prior to the opening the company will invite representatives from its hotel portfolio to enjoy the tours offered and request feedback on their views as to evaluate the services in offer. The company will arrange for a formal launch of its new division, inviting relevant press representatives from major newspapers as well as tourism specialised magazines.

Promotion: High quality brochure is to be promoted and make available in all hotels belonging to the group for display (concierge desk for example) available to all customer staying at the hotels.

5.4 – PEOPLE

Appropriate staff is essential for a service to be perceived and recognised by its customer. The difference between customer retention or not is mostly attributed to the way services and management customer techniques are delivered by a company. Staff must have the suitable interpersonal skills, attitude, and service knowledge to give the service that consumers are paying for. [3]

TUI is very supportive when it comes to training and ongoing development and believes it is vital that people are given opportunities to learn throughout their career. The company has its own dedicated in-house Learning and Development team and there are many opportunities for development such as workshops on a variety of topics, one-to-one coaching, e-learning and where appropriate, TUI support their staff to undertake professional and vocational qualifications relevant to their role. All staff has regular one-to-one reviews with their managers to support their ongoing development and explore further opportunities for training and development. [4]

5.5 – PROCESSES

Relates to the systems used to aid a company to deliver the service. The company will ensure that time tables are kept in order to avoid delays on the running of the tours. Make certain that customers place their lunch order in time during the morning tour, as to ascertain that lunch meal will be served according to schedule. Any complains or recommendation should be dealt promptly to maintain customer confidence.

5.6 – PHISICAL EVIDENCE

The physical evidence is an important element of the service mix, customers evaluate their perceptions based on their view of the service provided, having an impact on the organisations perceptual plan of the overall service. [5]

Primary the company will aim to close the gap between customer expectations and company perception of the customer needs.

6 – BUDGETS

Item

Date

Cost

Measure of success

Website adjustment

30 May

?2500

Number of hits per month 3000

Payment to search engines adv to increase exposure

15 June

?13000

All subsidiaries sites carrying links

Brochure

01 June

?10000

Deliver to all hotels in the group

Advertising in specialised magazines

01 June

?10000

Monthly slot secure for 6 months

Site hosting costs

15 June

?8000

Google, Mozila secure feature on first page

Launching Night

15 June

?5000

300 people attendance

?35,500

7 – ACTION PLAN

Action

May

June

July

Aug

Improvement of website

07

Logo design align with TUI Travel

15

Link website into Sub- websites

20

Advert in magazines

27

Invite reps from news papers and mag

01

Launch night

15

Brochure delivery

10

Complimentary tours

01

First customer running tour

10

Measure of passengers on tours

10

Evaluation of results/correctives if needed

15

8 – Evaluation of Results

During this face of the project, the aim is to evaluate the overall performance of the tours operational and tactical side. TUI Travel subsidiaries websites (First Choice and Thompson) have the capability of allowing customers to publish live comments on their experience.

A team will be assigned to evaluate and quantify the comments in order to assess the performance of tours, and implement correctives if necessary.

9 – Conclusion

Where TUI Travel to implement the above plan, it will improve further their policy of differentiation and facilitate customer choices at the time of browsing for a package holiday with London as a destination. The assumption is that the new business unit will be implemented as a pilot project to evaluate its feasibility and acceptance from customers in general, local and overseas travellers.

TUI AG, continue to endorse its mission statement even in the light of lost of revenue in the case of natural disasters; like the one recently experience due to the Volcanic ash from Island which closed European airspace for over a week.

TUI Travel PLC, announced on the 21st April that they were implementing their crisis plans, which included provision of welfare to customers in resorts and commencing the repatriation action as soon as possible. Their plan contemplate repatriation through coaches, ferries and owned cruises and according to their estimation all of its customers will be back in England by Friday 23rd April.

Measures implemented as above, form milestone for brand recognition and undoubtedly give customer peace of mind, as they are confident that their travel company cares about them and will do whatever takes to ensure a safe return home.

Individual Critical Reflection of Learning Outcomes

During the course of the subject Marketing Management, I came to realise that marketing is a complex theme.

The models and other techniques studied where made easy to understand by the tutor and the evaluation of it through practical examples facilitate the assimilation of the material.

Personally I feel that the simulation done through the Marketing Game software was critical for the understanding in how marketing a product affects the whole of an organisation, and how the decisions made in terms of cost/investment can have both, positive or negative outcomes.

Another skill that was put to the test relates to communication, as in some cases we were grouped in teams to solve/discuss material regarding the subject matter.

Regarding the assignment I found it quite difficult to tackle as, first English is my second language and 2nd although I have presented written works before they were in my mother tongue and oriented to practical experiences rather than research itself.

As a next step, I will work through future assignments with more time in order to share my queries with my tutor, as to ensure that I have understood the approach to be evaluated with the written work.

Marketing Plan For Hospitality And Tourism Industry

Explaining the importance of market research and advantages and disadvantages of implementation of the marketing plan for Hospitality/Tourism industry are the key concepts of this essay. To attain these objectives at first a brief description of market research and marketing plan have been given respectively followed by the importance of their presence in the service industry.

Philip Kotler has defined market research as “the systematic design, collection, analysis and reporting of data and findings relevant to a specific situation facing the company”. (2009:190) Market research links the consumer, customer and public to the marketer through information used to identify and define marketing opportunities and problems. (Albert Breneman Blankenship et al, State of the art marketing research, 1998, pg 7)

Market research is a vital part of any successful business today. Some of the benefits of market research for the operation of Hospitality industry are:

Market research helps the industry to identify opportunities in the marketplace.

For example, if you are planning to open a hotel/restaurant in a particular geographic location and have discovered that no such organisation currently exists, you have identified an opportunity. Thus the opportunity for success increases if the location is in a highly populated area with residents who match the target market characteristics which also can be done by research.

Market research minimizes the risk of doing business.

For example, marketing information may indicate that a marketplace is saturated with the type of service you plan to offer. This may cause you to alter your product offering or choose another location.

Market research uncovers and identifies potential problems.

Suppose your new hospitality organisation is thriving at its location on the main road through town. Through research you learn that in two years, the city is planning a by-pass, or alternate route, to ease traffic congestion through town. You’ve identified a potential problem.

Market research creates benchmarks and helps you track your progress.

It’s important to know, for later comparisons, the position of your business at particular moments in time. Ongoing market research allows the industry to make comparisons against benchmark measurements as well as chart of progress between research intervals (such as successive annual surveys).

Success depends on a lot of things, but when you have information about a particular market segment, a geographic area, or customer preferences, you’ll be better prepared to make the decisions that can make or break your business. Many companies use market research as a guide. Whether you want to expand your business into a new area or introduce a new product, market research plays a great role in hospitality industry by providing valuable insight to prevent costly missteps.

A marketing plan begins with the identification (through market research) of specific customer needs and how the firm intends to fulfil them while generating an acceptable level of return. It is a written document that details the necessary actions to achieve one or more marketing objectives. It can be for a product or service, a brand, or a product line. Marketing plans cover between one and five years. It generally includes analysis of the current market situation (opportunities and trends) and detailed action programs, budgets, sales forecasts, strategies, and projected financial statements

Advantages of implementation of the marketing plan for the service industry:

It is imperative for the organization to regularly assess its competitive strength amidst its competitors in the market. This helps the organization in developing and modifying its marketing and sales planning.

A well-written, comprehensive marketing plan is the focal point of all business ventures because it describes how you plan to attract and retain customers, the most crucial aspect of a business.

It is the heart of the business, the basis from which all other operational and management plans are derived. Marketing offers you a wealth of information that if applied correctly virtually can ensure your success.

Determines demand for product

Aids in design of products that fulfil consumers needs

Outlines measures for generating the cash for daily operation, to repay debts and to turn a profit

Allows for test to see if strategies are giving the desired results

Disadvantages of implementation of the marketing plan for the service industry:

Identifies weaknesses in the business skills

Leads to faulty marketing decisions based on improperly analyzed data

Creates unrealistic financial projections if information is interpreted incorrectly

Identifies weaknesses in the overall business plan

(Mary Bellis. Marketing Plan for the Independent Inventor)

The implementation of Marketing Planning simply tries to structure and shape the proposed marketing programmes and activities of the organisation. It offers numerous advantages; along with some drawbacks. However, the advantages outweigh the drawbacks.

Part B
Introduction

This report is about a luxurious hotel from UK, which provides Spa utilities. Things like promotional products, who are the targets market, price, are going to be explained in detail.

Spa Hotel

The word spa, taken from the name of the famous mineral springs in Spa, Belgium, has become a common noun denoting any place with a medicinal or mineral spring. Less well known is its Eastern New England sense, “soda fountain,” probably an allusion to the carbonated or “mineral” water that is a staple ingredient of many soda fountain concoctions.

The term Spa is associated with water treatment which is also known as ballneotherapy. Spa towns or spa resorts (including hot springs resorts) typically offer thermal or mineral water for drinking and bathing. They also offer various health treatments. The belief in the curative powers of mineral waters goes back to prehistoric times. Such practices have been popular worldwide, but are especially widespread in Europe and Japan. Day spas are also quite popular, and offer various personal care treatments.

Chosen organisation: Alexander House and Utopia Spa Hotel

It is located in EAST STREET, Turners Hill, West Sussex. It is an exclusive country house set in 175 acres of mature gardens and parkland yet only 15 minutes from Gatwick Airport and major motorways. The hotel has a vast range of amenities to include Utopia Spa:

Target customers, Promotional activities and the Prising of the chosen product:

The Hotel Spa doesn’t have a specific target market but they put an accent on the adults which are keener to spend some relaxing days at a spa centre and old people too, who are coming for healthy treatments.

Like any other business, the strategy to attract more customers includes promotional offers:

Sunday Night Spa escape -enjoy, invigorate with an energetic massage concentrating on the back, neck and shoulders. Time= 25 minutes

Bust your confidence with a special facial treatment with natural and fresh ingredients. Time = 25 minutes

50% off if you will take dinner in the hotel’s restaurant

Everything for the price of ?140.00

Spring Special Spa Break ?159

?50 toward treatments of your choice

Dinner allocation of ?30 on food only

Overnight accommodation

Analysis of the consumer survey questionnaire to find out the present market position of Spa Hotel:

The table and pie charts given below give a breakdown of a market research on spa hotel in UK. As can be seen, people generally expect convenient, affordable and optimum services from the mentioned hotel. Research has been done by using questionnaire method, completed by 10 people from all walks of life.

When we found an answer to the investigation question arisen in this report, firstly we will display the data in a table and pie chart respectively and, then, the descriptive statistics that allow us to reinforce those results and better understand those differences.

In the second question, Spa experience has divided in 3 major catagories namely calm and quite place, busy night life and country side. Majority of people (6) wanted a calm and quiet place for their spa experience. A substantial number of people (3) have chosen busy night life while only one person has supported country side.

In this context, we see that, in terms of the pieces of per night of a spa Hotel, the responders(6) prefer mainly option one which is ?125-?190 the lowest instead of the others, the second lowest price; in second place as 3 people chose it. Lastly nobody prefers the price of ?250-?350 for their spa experience in contrast 1 person choose option three (?200-?300), which is second more expensive one.

According to the table of second question of price section, Basic+Additional package are not on the preferred list of the people. On the other hand all inclusive and individual packages got the equal position of getting 50% response each, when responders answered about their preference about the packages.

In term of services, restaurant, shopping outlets and beauty saloon are majoring in the main services offered by the Spa Hotel. 60% people have expressed that they would enjoy restaurant facilities most. Shopping outlets have come in second position with 30% while only 10% liked Beauty saloon.

In the last question, people have been asked about whether they like to have outdoor facilities like cycling or climbing on a mountain offered by the spa hotel or not. 8 out of 10 people expressed the intention of joining either of the facilities. In contrast, only 2 people have denied to having them in their spa experience.

Conclusion

To sum up we can say that the opinion of peoples about the spa hotel defers in many ways but they have some similarities as well. One of them is they all like to have the experience of a Spa hotel. There are some restrictions that may be pointed out in this study, namely the fact of not having been highlighted a stricter age rank within the population and the sample’s dimension is somehow reduced. In terms of future threads of investigation, it would be interesting to cross the gender variable with age, income level, professional occupation and also to expand the same study to more than a country.

Marketing Mix Strategy Of The Kenya Tourist Board

The Kenya Tourist Board will develop a good marketing mix strategy to attract target customers from Asian tourism market. The marketing mix will encompass 4P’s analysis that includes tailored tour packages, pricing strategies, well-designed service channels and promotion programs.

Kenya is positioned as a unique and attractive holiday destination that people would like to visit. Kenya tourist Board will coordinate with travel agencies, local organizations, airplane companies, and service operators to ensure tourists have an excellent and unforgettable experience when they are visiting Kenya. The Kenya Tourist Board will plan its tour such that tourists obtain satisfactions from all touch points of services. Tourists’ feedback will be very important for the board to review and adjust its strategies.

Kenya is well established as a leading safari destination with unique wildlife attractions in the western market. The Kenya Tourist Board will continue to provide and improve safari tour as its core product to Asian tourism market. Major safari attractions such as the Great Migration, the Big Five and Maasai Mara Reserve – namely the new Seventh Wonders of the World will be focused on and promoted to Asian tourists. The Kenya Tourist Board will also plan and design special safari tours targeting at high-income earners who are willing to pay special prices to luxury activities such as balloon safari and game viewing.

In recent years, Asian countries are becoming more interested in business opportunities in Africa. As the commercial center for East Africa with good facilities and hotels, Kenya is well positioned to attract MICE (Meetings, Incentives, Conferences and Exhibitions). The Kenya Tourist Board will work with business organizations and companies to attract and promote conference and business events to Asian countries.

The Kenya Tourist Board will plan beach and resort tour packages targeting mainly to business and family holiday tourists who tend to travel in large group size. The tourists will relax and experience the paradise of Kenya beach and shores. The tourists may choose to lay back and enjoy themselves or go out and explore Kenya’s unique coastal culture.

British Prince William and Kate Middleton were engaged in Kenya in November 19, 2010. This is a good change for the Kenya Tourist Board to promote and boost Kenya tourism. The engagement has worldwide publicity that will enhance Kenya’s profile as a romantic holiday destination. The publicity will continue into year 2011 when the wedding will be held. The Kenya Tourist Board will promote Kenya as a romantic holiday destination to Asian tourism market along with this romance.

The Kenya Tourist Board will design pricing strategy carefully because of high-competition in tourism industry from many countries and places. The board will communicate with agencies to make sure that Kenya tour package price is affordable to Asian middle-class tourists. The board will ensure that tour agencies could operate with profit, and at the same time they will not over-charge customers. Since Asian tourism market is new market for Kenya tourism, the Kenya Tourist Board will start with good promotion price to attract more tourists from Asia.

Since Kenya is remote country to Asia, information availability to Asian tourists is vital for promoting Kenya tourism in Asia. The Kenya Tourist Board will set up operation offices in major Asian cities such as Beijing, Shanghai, New Delhi, and Tokyo etc. The board will collaborate with Asian local travel agencies to promote Kenya tourism to potential customers. The Kenya Tourist Board’s headquarter in Nairobi will serve as main office and coordinate the operations of offices in Asian cities.

The “Magical Kenya” is the official Kenya travel and tourism web site owned by the Kenya Tourist Board. The web pages describe attractions and provide travel guide to tourists in English and other languages including Japanese. The Kenya Tourist Board will translate the web pages into Chinese and Korean so that the board will reach Asian customers more effectively since China and Korean are the leading Internet users in the world.

Promotion strategies will be discussed in details in marketing communication strategy section.

Marketing Communication Strategy

The Kenya Tourist Board will develop and implement marketing communication strategy for Asian tourism market. The marketing communication strategy is to focus on brand development, Internet marketing, partnership, advertisement and promotion.

Brand Development

In today’s competitive and crowed tourism market, it is essential for Kenya to create a strong brand identity to differentiate itself from competitors. The brand image should bring not only physical experience but also emotional feelings in customers’ mind. Kenya is potentially one of the strongest brands in Africa for its unique African wild life and diverse landscape. However, currently Kenya is not a strong and well-known holiday brand in Asian tourism market. The Kenya Tourist Board will ensure to establish a consistent brand image of Kenya to Asian tourists through different communication channels.

Internet Marketing

Internet is cost-effective and easy way to reach mass customers. Many tourists especially high-educated and high-income ones search information on the Internet when planning holiday trips. The Kenya Tourist Board will make sure of Internet medias and tools effectively to promote Kenya tourism. The board will translate “Magical Kenya” web site into Asian languages and keep on improving the web site. The Kenya Tourist Board will sponsor Internet users to set up forums, blogs, twitters and facebooks of Kenya tourisms. Emails and newsletters with Kenya tourism news and information will be sent daily to registered users. The Kenya Tourist Board will encourage tourists to tell their stories of Kenya by giving free gifts or prizes. The Kenya Tourist board will also collect tourists’ feedback from Internet to improve its services and products.

Partnership

The marketing communication strategy and plan will not be successful without considering local culture. To conquer communication barrier, the Kenya Tourist Board will establish partnership with local agencies, companies and government organizations. The Kenya Tourist Board will collaborate with Asian government organizations to organize road shows or events like Kenya Week to promote Kenya tourism industry. The Kenya Tourist Board will help local agencies to train local staff to service customers more effectively.

Advertisement and Promotions

The Kenya Tourist Board will advertise and promote Kenya tourism from all touch points. The Kenya tourism magazines and brochures will be placed in Kenya Airways planes, major Asian airports and travel agencies. The Kenya tourism will be advertised on newspaper, magazine, Google web and TV program. The promotion prices will be offered to customers on Asian holidays such as National day, Chinese New Year etc.

Tourism Marketing Mix Essay

The Travel and Tourism industry is still one of the largest single businesses in world commerce and its importance is widely recognized. The tourism industry is now one of the largest sectors earning foreign exchange. In the face of many benefits, many countries have started assigning due weight age to the tourism industry in their national development agenda.Tourism is an industry that operates on a massively broad scale: it embraces activities ranging from the smallest sea-side hotel; to air-lines, multi-national hotel chains and major international tour operators. Originally, non-traditional industries such as tourism emerged as a solution to strike a balance between ecology and industry

Tourism is one of the world’s fastest growing industries at present and holds the status of the world’s no. 1 industry.Spending on tourism amounts to 5%-10% of total consumer, spending in a year worldwide.The industry creates a job every 2.4 seconds with every one of those direct jobs creating another 11 indirect ones.The tourism industry as a whole is presently estimated to earn over US$ 3.5 trillion worldwide. India’s share of the total market is a pittance at 0.51%. The non-tourist countries like Malaysia and Indonesia get much more tourists than India. India’s share of the total market is a pittance at 0.51%. The non-tourist countries like Malaysia and Indonesia get much more tourists than India.

MARKETING MIX OF TOURISM INDUSTRY
PRODUCT

Product is the combination of tangible and intangible elements. The tourism product, which is mainly the destination, can only be experienced. The views of the location travel to the destination, the accommodation and facility as well as the entertainment at the destination all form the tourism product.Thus it is a composite product combination of attraction, facilities and transportation. Each of these components has its own significance in the product mix and in the absence of even single components, the product mix is incomplete.

PRICE

Pricing in tourism is a complex process. Pricing includes the prices of other services like Air travel, Bus, Railways, Hotels, etc. All are included in tourism package. Pricing also depends on the Geographic location of the destination.Pricing also depends on Seasonality. Seasonality is the most important factor in pricing. To match demand and supply tourist managers try to get either discount. E.g. Taj is the tourist attraction in India. Pricing is also based on competitors pricing. Pricing is also subject to government regulations. E.g. Air price changes tourism package also changes, if Hotel charges change then also tourism package changes.

Pricing of the tourist product is a complex matter because of its composite nature. Geographical location of the destination affects the pricing decision. At the same time, seasonality factor and varying demand cannot be overruled. The objective of pricing in any other firms is to fetch a target market share, to prevent competition, and to take care of the price elasticity of demand.

A very important way, in which the travel and tourism business responded to their highly complex pricing circumstances, is to operate at two levels. The first level is corresponds with the marketing strategy, which concerns with the product positioning, value for the money, long run return on investments etc. The second level corresponds to the marketing operations or tactics where the prices are manipulated to match the current demand and competition.

PLACE

Different distribution strategies can be selected for Tourism marketing. Tourism as a product is distributed as a travel. Internet is also used widely. There is an also small agent spread all over the town who plays a role of place. Large travel companies like Thomas Cook, Cox & Kings, SOTC, etc they act as a wholesalers and these wholesalers also act as a retailer.

The tourism marketer may not have adequate choice of the tourist center, because in most of the case the tourist destinations many be natural, historical attraction. But, infrastructure facilities, transportation, communication are important for the development of the tourist center. The major decision that the tourism marketer takes regarding distribution is relating to the channel of choice and channel members. The uniqueness of tourism industry is predominant position of intermediaries. The two major functions performed by the distribution system in tourism marketing are:

To extend the number of points of sales or access, away form the location at which services are performed or delivered

To facilitate the purchase of service in advance

Different distribution strategies may be selected to reflect the company’s overall objectives. The middleman may be tour operators, who buy tourism products in bulk and make them available to travel agents who are retailers. The range of tourist products, which are bought by the tour operators are airline seats, hotel accommodation, bus for local sight seeing, etc. they may also sell directly to customers. The latest mode of reaching the tourist is through Internet. Ticket booking can also be done through the Internet and payment is made with credit card.

PROMOTION

Creation of awareness has a far-reaching impact. The tourist organizations bear the responsibility of informing, persuading and sensing the potential tourists in a right fashion. The marketers need to use the various components of promotion optimally so that they succeed in increasing the number of habitual users. Promotion helps in maximizing the duration of stay, frequency of visit by offering new tourist products in the same country to areas, which have remained untapped or partially tapped. The various dimensions of tourism promotion are as follows:

Advertising: Advertisement gives important information to the actual and potential tourists. Its coverage is wide. Advertising is aimed at the public to create awareness of the travel offers available on a resort and its attractions to influence their business decisions. Intangibility can be compensated with the help of visual exposure of scenes and events. We can project hotel bedrooms, well-arranged restaurants and cafeterias, swimming pools etc.

Publicity: It focuses attention on strengthening the public relations measures by developing a rapport with media people and getting their personalized support in publicizing the business. It helps in projecting the positive image of tourist organizations since the prospects trust on the news items publicized by the media people. The publicity program include regular publicity stories and photographs to the newspapers, travel editors, contact with magazines on stories etc. advertising is a part of publicity.

Sales promotions: Sales promotion measures are the short-term activities seeking to boost sales at peak demand periods to ensure that the firms obtain its market share and are used to help launch a new product or support an ailing or modified one. The tool of sales promotions is designed to appeal particularly to those customers who are price-sensitive. There are a number of techniques to promote sale and the tourist professional need to use them in the face of their requirements vis-a-vis the emerging trends in the business. Eg. In the tourism industry, a travel company offers give-aways to their clients, such as flight bags, wallets for tickets, Foreign Exchange (Forex) and covers of passport. The hotels offer a number of facilities like shoe shine clothes, first aid sewing kits, shower caps and shampoo. Further, the VIP clients also get fruits and flowers in their rooms.

Word-of-mouth Promotion: Most communication about tourism takes place by word-of-mouth information, which in a true sense is word-of-recommendation. In the tourism industry it is found that the word-of-mouth promoters play the role of a hidden sales force, which help the process of selling. The high magnitude of effectiveness of this tool of promotion is due to high credibility of the channel, especially in the eyes of the potential tourists. The sensitivity of this tool makes it clear that tourist organizations need to concentrate on the quality of services they promise and offer. The marketers or the tourist organizations need to keep their eyes open, identify the vocal persons or the opinion leaders and take a special care of them so that they keep on moving the process of stimulating and creating demand.

Personal Selling: Personal Selling is based on the personal skill of an individual. The travel and hotel business depend considerably on the personal selling. The development of travel and tourism has been possible due to well-educated and trained sales personnel. The development of tourism business has been influenced by the services rendered by the travel agents and travel guides since they work as information carriers. Personal selling is the personal presentation of a tangible product or intangible services or ideas to the customers. It is important to mention that in the tourism industry, the personnel who attend tourists form an essential ingredient of the product, such as sales personnel are found responsible for dealing with customers behind the counter, the resort representatives cater to the need of tourists when they reach the destination etc. all of them play a vital role in ensuring that the tourism products satisfy the tourists. The phrase- the customer is always right applies specifically to the tourism industry. No reduction in price would compensate for impolite and indecent travel guide, a solvent waiter and a surly or a haughty coach driver. These facts are testimony to the proposition that the travel business is linked with the performance and behavior of sales personnel or travel staff.

Telemarketing: It is a method of selling in which a professionally sound telemarketer markets the business. The quality of technology and the communicative ability of the telemarketers determine the magnitude of success of this component. In tourism, the travel agents, offices of airways, receptionist, and secretaries work efficiently if the telephonic services are not up to the mark. Also recruiting a person considered to be professionally sound, personally-committed sales personnel having an in-built creativity, innovation and imagination is very important.

Exhibitions: The participants include state and national tourism promotion boards, travel agents and tour operators, airlines, car rentals, cruise liners, holiday financiers, technology providers, hotels and resorts, education institutions in the field of hospitality and tourism. Over the years the participation of foreign tourism promotion boards like the Dubai Tourism and the Mauritius Tourism, etc has increased in order to aggressively promote their respective countries.

PEOPLE

It plays a most important part in tourism. In people local people are very important, that how they treat tourist. The travel agents, guides, staff of travel companies, sales staff, etc they are the people. Travel Company also like Railways, Air, etc. is included in people. Normally a tourist assures a tourism quality like hotels, Travel Company.

The personnel who attend to the needs of the tourists form an essential ingredient in tourism marketing. The sales personnel are responsible for dealing with the customer behind the counter. The airline and transportation crew interact with customers while traveling. The resort or hotel representatives enter to the needs of the tourist when they reach the destination.

The tourist guides, who interact with the customers at the tourist location, all form the people element in tourism marketing. These contract persons must be trained on interpersonal skills as well as knowledge of the product. In the tourism industry the travel agents and the travel guides are the two most important people who speak a lot about the industry. Hence it is imperative that they have to be at their best at all times. Travel guides especially, are expected to have a lot of patience, good sense of humor, tact to transform the occasional tourists into habitual ones, thorough knowledge of the places, linguistic skills etc.

PROCESS

The operation process of the tourism firm will depend on the size of the tourism firm. The sequential steps involved in the delivery of the tourist products are:

Provision of travel information: The information regarding the travel is provided at a convenient location where the potential tourist seeks clarification about his proposed tour.

Preparation of itinerates: It is a composition of series of operations that are required to plan a tour.

Liaison with providers of services: Before any form of travel is sold over the counter to a customer; contracts have to be entered with the providers of various services including transportation companies, hotel accommodation, coaches for local sightseeing etc.

Planning and costing tours: Once the contracts and arrangements are entered into, then the task of planning and costing the tour, this will depend on the tour selected as well as individual requirements.

Ticketing: The computerized reservation system has in recent years revolutionized the reservation system for both rail and air travel.

Provision of foreign currency and insurance: In case of foreign travel the final task provide foreign currency as well as insurance

PHYSICAL EVIDENCE

The tourist attraction, which is an expensive for the customer must be tangibilised with the help of tangible items like, comfortable seats while traveling, layout, and design of the resort, natural service scope, etc. the sign posts that indicate directions, route maps, information regarding rules and regulations of the tourist spot and the sign regarding the public utilities like toilets, telephone booth also form a part of the physical evidence.

Printed matters such as brochures also play an important role in the development of tourism. As the product, in tourism is intangible. There is a need to describe fully the product, which is done by providing an elaborate brochure, which shows how different elements of the programmes are carefully planned to include all necessary information to make holiday establishes expectation of quality value for money, product image and status, which must be matched when the product is delivered.

PEST ANALYSIS

Environmental influences can be analyzed by using the PEST analysis.

POLITICAL

The political factors are the main driving force of the industry. The Indian tourism industry is built on the backbone of Government support and the industry cannot sustain itself without it. The various archaeological sites and the places of historical importance, the roads and the railways are all in the hands of the Government. All the support services like the hotel industry, the airlines industry and the tourist operators to name some are heavily dependent on the support and the cooperation of the Government.

The major reason as to why tourists visit India is for the vast and rich heritage that our country has. That is under the control of the Government, through the Archaeological Survey of India. Any policy change that comes into force can have dramatic effect on the way the industry players perform. For example, the Government charges high rates of taxes on the luxury and the star category hotels and this has always been a cause of disagreement between the hotel associations and the Government. There are many areas where the growth of tourism has not been rapid or has seen dramatic fall because the political environment has not been conducive. Examples are the North East for the former and Kashmir for the latter. The neglect of the Government in developing the North-East has led to a situation where there is practically no tourism in the seven states.

Similarly, the political turmoil in the state of Kashmir and now in Gujarat has caused a virtual decimation of the flourishing tourism industry. However, there has been a change in many of the policies of the Government with regard to the tourism industry. The hotel industry has been getting many incentives and many State Governments are encouraging the growth of major hotels in their states.

ECONOMIC

The tourism industry not unlike the other industries grows with the increase in the spending of the people. The more the people spend the more the industry grows. The spending power of the people has been increasing in the country and all over the world. Since we are concentrating on the international tourists, the large increase in the spending power in most developed countries has left a large amount of idle cash in their hands. This has led to a tourism boom the world over and India has been no exception. There have been more people coming into the country with more cash than ever before. This has lead to an increase in the demand for better hotels. People who previously used to come to the country on a shoestring budget and hunt around for the cheapest accommodation can now afford to go in for luxury hotels. This has led to an increase in the number of hotels in the country. However, an increase in spending does not only limit itself to accommodation. The increase in the spending is also evident in the increase in the number of people traveling by air. Even the number domestic tourists traveling by air has dramatically gone up.

SOCIAL

Tourism was always looked upon as something that led to the destruction of the social fabric of a place. The more the amount of outside people coming into a place, the more the perceived risk of that place losing its identity. A good example is Goa. From the late 60’s to the early 80’s when the Hippy culture was at its height, Goa was a haven for such hippies. Here they came in thousands and changed the whole culture of the state. This had a ripple effect on the country. People became cautious, especially of the international tourists. Whenever a certain place became famous, the example of Goa was cited to discourage the inflow of international tourists.

However some places such as Kerala and Rajasthan have been able to strike a balance between their own culture and the demands of the international tourists and have profited handsomely in the bargain. People are now adopting themselves to the fact that tourism pays and it can be a major source of income for them.

In addition, tourism as a form of recreation has really caught on. People themselves have started traveling and are willing to travel to a place that is out of the way and exotic. While traditionally traveling on a holiday meant going to a hill station or a beach, now people are willing to go in for adventure tourism and also visit places that might be exotic and cannot really be called hospitable. For example, now places like Leh and Lakshwadeep are mentioned in the same breath as Goa or Kashmir.

TECHNOLOGY

Although technology does not seem to be a major influence at first glance, it plays a major part in the promotion of a place. Better communication facilities are one of the first prerequisites for growth in the inflow of tourists. This has been made possible with technology. Improved technology in the field of communication at cheaper costs has resulted in many remote and inaccessible areas of the country getting connected to the rest of the world. This connectivity has made these places visible to the world. Better communication means access to media. And that is very important if any place wants to be on the world tourist map. Similarly better transportation facilities have lead to a dramatic increase in the number of tourists visiting any particular place. The presence of an airport and the availability of frequent flights are a great convenience to any traveler.

TOURISM COMPANY: SITA ONLINE TOURISM CORPORATION(SOTC)

Established in 1949 with just five employees at an office in Cawasji Hormusji Street, Mumbai, it has grown to become one of India’s largest travel companies. By the year 1968, the Company had moved to a much bigger office at Mint Road and was also counted as one of the top ten travel agents in Mumbai, with a turnover touching Rs 25 million.

A major turning point came in 1976 when SOTC handled its first group tour to the US during the bicentennial celebrations. Within three years, SOTC had taken about 500 passengers to Europe, the US, Singapore and Japan. In 1981, came another breakthrough when SOTC Package Tours began active advertising, with the first ad hitting the newspapers.Between the years 1983 and 1995, SOTC grew by leaps and bounds. It moved to new premises at Church gate, Mumbai, installed the first computer for sales and operations, and went through a management metamorphosis with a complete restructuring of the business into autonomous Strategic Business Units (Subs) with a state-of-the-art call centre. SOTC has been fulfilling the travel needs of Indians for over five decades now. It continues to seek out new and exciting destinations to offer to outbound travelers

SOTC’s outbound business operations broadly encompass Packaged Group Tours for Indians and Individual Holidays. SOTC World Famous Tours caters to those who seek comfort in group travel. It is widely acknowledged to be the most successful package tour brand in India. Recognizing the importance of language markets, SOTC also pioneered tours conducted in Marathi and Gujarati under the SOTC brand extensions: SOTC BhramanMandal and SOTC GurjarVishwadarshan.

MARKETING MIX
PRODUCT

SOTC offers a variety of tours which includes tours for families with kids, tours for senior citizens, theme vacations like beaches and also special packages for pure vegetarian and jains.Some of its products are as follows:-

SOTC World Famous Tours

SOTC World Famous Tours is the flagship brand of SOTC, which pioneered the designing and marketing of escorted tours for cosmopolitan travelers in India. SOTC World Famous Tours has escorted over 3, 00,000 travelers across the globe for more than 30 years, to various destinations including Europe, Australia, New Zealand, USA, Africa, Mauritius, South Asia, and the Far East Being a 100% subsidiary of Kuoni Travel Holding, Switzerland – one of the world’s largest travel companies SOTC leverages the advantage of the buying power and travel services to provide customers value for- money packages. SOTC has built a reputation that it lives up to its promise to take Indians around the world, while making them feels completely at home, no matter where they are.

SOTC BhramanMandal

In 2002, SOTC BhramanMandal was launched exclusively for Maharashtrian, to cater to their specific needs and requirements. SOTC BhramanMandal offers ‘All-inclusive’ exciting package tour options to Europe, Far East, Australia and New Zealand. While designing the tours, every single need of the Maharashtrian is kept in mind – their culture, eating habits and likes and dislikesProminent features of SOTC Bhraman Mandal Europe and Australia tours are the Predeparture meeting, Travel Kit and an experienced Marathi speaking Tour Manager who accompanies them all the way from Mumbai to the destination and back. Within just five years of existence, SOTC Bhraman Mandal has become a household name amongst the Maharashtrian.

SOTC Gurjar Vishwadarshan

SOTC Gurjar Vishwadarshan was launched especially for Gujarati community residing in India, to cater to their needs of having a Pure Indian Vegetarian Meal with a Gujarati flavor, Gujarati speaking tour manager at your service right from India to India and traveling with the finest Gujarati families makes your holiday the most memorable and comfortable one. Gurjar Vishwadarshan launched in the year 2004 received an overwhelming response from the Gujarati’s staying all over India. Since then it has been scaling heights year after year today in its 4th year of existence it has become a household name for Gujarati’s and is fondly rembererd by Gujarati holiday goers, this has been possible because of all of those fellow Gujarati’s who chose to travel with us. With the new positioning of our brand “Expect More” ….in Gujarati which means “Apeksha Thi Vadhare” we assure our patrons that every time they can just expect more with SOTC.Gurjar Vishwadarshan is one of the business units of SOTC. SOTC has pioneered its position in the packaged tour segment with its unparallel expertise devised over last 50 years.

SOTC Do-it-Yourself Holidays

SOTC Do-it-Yourself Holidays caters exclusively to the needs and requirements of the discerning Free Individual Traveler. It offers a wide range of customized holidays that allows individual travelers the freedom to define their preferences of the destination, length of stay and pace of travel .Following high-quality standards, SOTC Do-it- Yourself Holidays have ensured accommodation at some of the world’s finest hotels allowing for proximity to city centre attractions such as shopping malls, pubs, cafes, restaurants and scenic delights. An individual traveler on SOTC Do-it-Yourself Holidays has the option to explore all the attractions of a single city. Or focus on all key cities of a particular country. They can even combine two to eight countries in their holiday, depending on their tastes, time and budget.

SOTC Holidays of India

SOTC Holidays of India has something for every kind of traveler – be it families, youth, students, honeymooners, groups or individuals. SOTC Holidays of India offers packages that cover every conceivable tour requirement – whether it is an extended vacation with the family, a paragliding spree with friends or simply a rejuvenating weekend break. SOTC Holidays of India offers an opportunity to visit and explore all the splendors of India through various categories of holiday packages. SOTC Holidays of India has categorized all holiday packages into Standard, First and Deluxe Class categories.It also offers a wide range of customized holidays thereby giving individual travelers the complete freedom and flexibility to define their preference of the destination, length of stay and pace of travel

SOTC Holidays of India offers packages that cover every conceivable tour requirement; whether it is an extended vacation with the family, a paragliding spree with friends or simply a rejuvenating weekend break SOTC Holidays of India offers you an opportunity to visit and explore all the splendors of India through various categories of holiday packages:-

Classic Holidays of India are time tested popular attractions like Kashmir, Himachal, Rajasthan and Kerala those have proved their ability to completely satisfy the traveler

Fun-filled Beach Holidays offers not just sun and sand but also cool lagoons, clear waters, corals, reefs and beach resorts.

Hill Stations & Quick Getaways offer a break through a multitude of retreats at a short distance from home.

Spiritual Retreats to Rediscover Your Soul provide excursions to various spiritual and hallowed sites.

Components of Tours as a Product

Sr.No.
BENEFIT
MEANING
WITH RESPECT TO THE TRAVEL AND TOURISM INDUSTRY

1

CORE BENEFIT

The fundamental benefit or service that the customer is buying.

Traveling.

2

BASIC PRODUCT

Basic, functional attributes.

Ticketing, hotel reservation.

3

EXPECTED PRODUCT

Set of attributes/conditions the buyer normally expects.

Customer friendliness, good food.

4

AUGMENTED PRODUCT

That meets the customers desires beyond expectations.

Prompt services, comfortable and convenient trip, spectacular sights, and music.

5

POTENTIAL PRODUCT

The possible evolution to distinguish the offer.

Totally customized tour packages, A grade service at every stage.

PRICE

SOTC offers price sensitive tours like cost saver and premium tours which can be afforded by all classes. In SOTC the tours are customized that is if customer can’t afford the premium holiday he will be given the same tour but the cost will be reduced by offering him a deluxe hotel instead of a five star hotel or by offering him a non ac bus instead of a ac coach.

PLACE

Different distribution strategies are selected for Tours marketing by SOTC. There are also small agents (who have taken franchise of SOTC) spread all over the town/country who also play a role of place. SOTC act as wholesalers and also act as a retailer. The latest mode of reaching the customers is through Internet that is SOTC has its own website from where information on the tours can be procured, direct booking can be done for which the payment can be made through the credit card. SOTC also has its own offices from where booking can be done.

PROMOTION

SOTC uses electronic, print and all sorts of media as tourism is a highly promoted industry. SOTC gives printed ads in The Times of India mentioning the special tours in it with the special prices offered by them. Brochures are another form of communication provided by SOTC to stimulate customers and motivate them to buy. They are used to demonstrate in pictures and words the images and positioning of the product and the organizations.

PEOPLE

SITA enjoys loyalty of its 2, 00,000 Indian customers.

PHYSICAL EVIDENCE

SOTC provides its customers with a detailed brochure of the tour they have selected, a list of things to be done before going for a holiday e.g. cooking gas switch to be turned off etc and if the customer is going for foreign tour then a list of basic words like hello, water etc in the foreign country’s language which will make it easy for the customer, this establishes value for money, product image and status, which must be matched when the product is delivered.

RURAL TOURISM

Rural tourism focuses on participating in a rural lifestyle. It can be a variant of ecotourism. Any village can be a tourist attraction, and many villagers are very hospitable. Agriculture is becoming highly mechanized and therefore requires less manual labor. This is causing economic pressure on some villages, leading to an exodus of young people to urban areas. There is however, a segment of urban population that is interested to visit the rural areas and understand their perspective. This segment has been rapidly growing in the past decade and has led to Rural tourism becoming a good business prospect. Rural tourism allows the creation of an alternative source of income in the non-agricultural sector for rural dwellers.The added income from rural tourism can contribute to the revival of lost folk art and handicrafts. It is an ideal and natural method of rural and urban economic exchange.

Scheme of Rural Tourism

Tourism growth potential can be harnessed as a strategy for Rural Development. The development of a strong platform around the concept of Rural Tourism is definitely useful for a country like India, where almost 74% of the population resides in its 7 million villages. Across the world the trends of industrialization and development have had an urban centric approach. Alongside, the stresses of Urban lifestyles have led to a “counter urbanization” syndrome. This has led to growing interest in the rural areas. At the same time this trend of urbanization has led to falling income levels, lesser job opportunities in the total areas leading to an urbanization syndrome in the rural areas. Rural Tourism is one of the few activities which can provide a solution to these problems. Besides, there are other factors which are shifting the trend towards rural tourism like increasing levels of awareness, growing interest in heritage and culture and improved accessibility, and environmental consciousness. In the developed countries, this has resulted in a new style of tourism of visiting village settings to experience and live a relaxed and healthy life

Marketing Islamic Travel Destinations A Religious Perspective Tourism Essay

Literature on tourism and destination marketing research is rich with key themes which seek to explain why people travel and select specific destinations. Many of the studies are based on the theory of pull and push motivations. The theory posits that tourists are pushed by internal desires or emotional factors to travel as well as pulled by external factors in the form of the attributes of various destinations. While many studies have been conducted to investigate the various types of destination attributes, there has been a lack of research on the religious attributes of the destination and its impact on tourist’s choice as well as satisfaction. Moreover, when it comes to Islamic religious attributes, the lack of study is more noticeable and profound. The objective of this study is to investigate whether there exists a basis for segmenting the tourism market by Islamic religious attributes through studying the views and opinions of tourists visiting Malaysia.

2. Significance of the Study

The Muslim tourism segment may consider a target for destination marketers. Assuming religion represents one of important factors in the decision-making process in regards to travel destinations(Collins & Tisdell, 2002), it is important to ensure that Islamic religious attributes are available in those destinations. This may lead to tourist satisfaction as well as encourage multiple return visits. Muslims are well-ordered to follow Islamic teachings which directly and indirectly impact on their decisions concerning leisure and travel plans (Hamira & Henderson, 2009). In this regard plans to market destinations for Muslim tourists should be guided by Shariah (Islamic code of life) rules specifically those that pertain to tourism activities.

In recent years, it has been observed that there is a growing interest in new tourism concepts such as “Islamic tourism.” Another concept is “Halal hospitality” which is akin to the concept of “Halal food”, a concept already recognized in many countries including those in the Middle East(WTM, 2007). Newspaper articles consider this to be a new phenomenon in the United Arab Emirates and Middle Eastern countries. Halal tourism has attracted many tour packages entirely based on what they term ‘Islamic culture’ (Javed, 2007) which is defined as a type of religious tourism which is in conformity with Islamic teachings regarding behaviourisms, dress, conduct and diet (WTM, 2007). Heyer’s (2008) elaboration on the rapid large-scale development of ‘Shariah-compliant hotels’ is but another expression of the existing trends towards increased Islamisation of activities which in the past focused more on banking, insurance and finance. Thus, tourism is generally encouraged by Islamic law as following the religion entails etiquettes, mannerisms, rules and regulations regarding conduct, dress, food, and prayer(Hamira & Henderson, 2009).

Halal tourism operators target families from the Gulf region known for their conservative interpretation of the teachings of Islamic Shariah. The World Travel Market Report (2007) shows that Halal tourism has the potential to develop into a resilient market. Promising market potentialities cause it to be targeted by industry operators and market researchers. Focus on this market is further increased by a forecasted increase in growth whereby tourist income for the Middle East is expected to grow 108% to a staggering US$ 51 billion while domestic tourism is expected to grow by 82% to reach US$24 Billion by 2011. Much of the forecasted growth is due to increased numbers of Middle Eastern tourists which underlines the need for tailored Halal tourist packages offering services catering to Muslim needs.

The negative side of western tourism causing Halal tourism to be increasingly popular among Muslims is issues which have a negative impact on the Muslim community such as the consumption of alcohol, prostitution, inappropriate dressing, kissing in public and open affection between sexes in public (Sindiga, 1996). However, non-Muslim countries continue to attract Muslim families, including those from the Gulf region interested in visiting attractions such as nature parks as these comply with Islamic Shariah. In response to this the current study is an attempt to greater understand the new concept of ‘Halal tourism’.

Muslims constitute a global market of 1.82 billion potential customers (Muslim population worldwide, 2009). Islamic religious attributes are bound to be very important considerations when a Muslim decides to travel abroad. Given the potential problems expected from non-Halal tourism, the Muslim tourist may decide not to travel to a particular destination due to the absence of these attributes. According to Uysal et al. (2008, p. 413) a study of a the particular attributes of any given destination would provide clues and/or insights that destination marketers could use in developing and promoting their tourism destinations. Bogari et al.(2004) claim that destination attributes and issues pertaining to Islamic culture were not sufficiently covered by researchers. In effect, the study focuses in the Islamic attributes of destinations which could be used as a base to attract Muslim tourists in destination marketing programs.

The marketing of Islamic destinations is certainly not an easy task(Henderson, 2008b) because of the variance between the demands of western tourists and the Islamic teachings. Therefore, exploring Islamic attributes may help destination marketers to tailor products and services that satisfy Muslim tourists in addition to using them in promotional programs. In addition, this study attempts to offer insights into the tourism expectations and experiences of followers of the Islamic religion. Muslim tourists could be influenced by religious aspects in their destination choice. Thus, the objective of this study is to explore which Islamic attributes of destinations such as worship facilities and Halal food that may be important to the Muslim tourist; especially in the Muslim world.

3. Literature review:

Religion plays a large influence on many people’s behaviour as customers (Essoo & Dibb, 2004). In the context of tourism, religion may influence the choice of destination and tourists’ product preferences(Adi & Ron, 2008). According to Poria et al. (2003), the effects of religious belief on behaviour come from two main sources First, there are the yes and no’s, do’s and don’ts of a person’s religion which are to be observed. Examples consist of the religious rules prohibiting Muslims from consuming pork, or Hindus from consuming beef. The second means by which behaviour is influenced is the fact that religion shapes the culture, attitudes and values of society. This is supported by Grigg (1995) whose research provides evidence on the influence of religion and religiosity on dietary habits. Further support is found in Essoo and Dibb (2004) who demonstrated the influence of religion on consumer behaviour by identifying the differences in consumer spending between Muslims and Hindus.

Although the relationship between tourism and religion has been addressed in the literature on tourism, there remains a shortage of theoretical publications in the area of tourism in the context of Islam. Religion and religiosity are acknowledged factors influencing behaviour according to various social settings. In spite of this widely acknowledged fact, research that explores relationships between religion, behaviour and tourist destination choice remains highly limited (Adi, 2006; Adi & Ron, 2008; Din, 1989; Fleischer, 2000; Howe, 2001; Poria et al., 2003; Rinschede, 1992). Din (1989) argues that social scientists have tended to overlook the importance of religion in tourism studies. Its importance is emphasized by Adi and Ron (2008) who underline the general importance of the relationship between tourism and religion. For this reason Heo et al. (2004) recommend more related studies that identify and discuss special tourist requirements and preferences. Although neglecting to mention religion specifically, Fang et al. (2008) conclude that tourists are more likely to choose destinations believed to best satisfy tourist ‘push’ needs and preferred destination attributes.

Studies conducted in this area include Adi (2006) which investigates the religious needs of Christian tourist in the hospitality industry and Fleischer and Nitzav (1995) which investigates the religious needs of Christian pilgrims in the tourism industry. Likewise Hoffmann (1994 Cited in Adi 2006) conducts research on Jewish ultra-orthodox tourism segment. In addition to this, some papers complement the aforementioned research by discussing the religious requirements in the tourism food sector. For example, Dugan (1994) presents the religious necessities in food supply for Muslim, Christian, Jews, Hindus and Buddhists.

When it comes to the relationship between tourism and religion, particularly Islam, the lack of literature is more obvious especially regarding Islamic religious attributes and their impact on tourist needs in general and Muslim tourists in particular. The only studies available typically focus only on the needs of Muslim pilgrims’ (when they visit Makkah for the Haj) rather than the needs of tourists. However, Adi and Ron (2008) forecast increased number of religiously-minded tourists who join dynamic multipurpose packages especially from developing countries many of which are Muslim countries.

3.1 Religious Attributes

What does the term `religious attributes’ of destinations really mean? There are many aspects that can constitute `religious attributes’ of destinations. The following sections present the literature on the matter:

3.1.1 Hotels Meeting the Religious Needs of Patrons

Additional religious services and provisions in hotels may result in attracting new markets and improved hotel rates (Adi, 2006). A study in Israel conducted by Mansfeld et al. (2000) recommended placing ‘Makkah stickers’ or `Qibla stickers’ (stickers with ornamented arrows pointing towards the city of Makkah in Saudi Arabia for prayer directions) as well as placing a copy of the Quran in every room occupied by Muslim visitors. Din (1989) found that hotels in Kuantan, Malaysia catered to Muslim needs in the hospitality industry by requiring first class hotels to provide prayer rooms fully equipped with prayer mats, the Quran, Suruh Yasin, and Tasbih, plus Qibla stickers.

Adi (2006) presented a number of suggestions to improve the religion-friendliness of hotels. The suggestions begin by simply providing a bible in hotel rooms along with providing information on religious activities and institutions. This keeps religiously-minded tourists in direct contact with scripture and informed of available services. Employment of Christian workers creates a religious atmosphere in the hotel. The hotel may choose to organize its own religious activities. It should provide a place of worship within the hotel itself or be in close proximity to a church. Christian symbols within a hotel such as a cross and images of the Virgin Mary help to provide a religious environment and decor.

Religious values play a role in catering to religious needs. For example, Collins-Kreiner & Kliot (2000) hypothesizes the Protestants’ need for a bible in hotel rooms based on their belief in direct communication with God. Fleischer (2000) compares between Catholic and Protestant pilgrims in terms of the peculiarities of their tourist needs. The study reveals that Protestants appreciate religious symbols and opt for religious-sensitive tourist packages more so than Catholics. Moreover, Adi (2006) recommended catering to such Christian needs in the hotel room as that may increase the satisfaction of Christian tourists

Empirical studies on the impact of catering to Islamic religious needs and the level of satisfaction of Muslim tourists are very few. Some of the studies discuss services of this nature which may include Muslim religious restrictions such as activities of vice and forbidden entry for unmarried couples (Din, 1989; Hamira & Henderson, 2009; Henderson, 2003) . They also found that hotels may provide religious information such as the location of nearby mosques or prayer times and nearby Halal restaurants (Henderson, 2003). Furthermore, as Muslims avoid free mixing between the sexes, hotels could offer separate swimming pools and recreational facilities (Al-hamarneh & steiner, 2004; Henderson, 2003; Timothy & Iverson, 2006). Hashim et al. (2007) suggest that providing Halal food on the hotel menu or information on nearby Halal restaurants would enhance the holiday experience. Timothy and Iverson (2006) also suggest that hotels should educate their staff on cross-cultural communication to allow them to treat Muslim tourists with respect and consider recruiting religious staff.

3.1.2 Places of worship

The five daily prayers are of great importance to practicing Muslims. Therefore, the mosque (a Muslim house of worship) or prayer room is considered to be one of the most crucial facilities for Muslims (Al-hamarneh & steiner, 2004; Syed, 2001). Adi (2006) suggests that proximity to a mosque may influence Muslim tourist preferences when making hotel reservations. Mohsin (2005) conducted a study to assess Peninsular Malaysians attitude towards choosing the Northern Territory of Australia for a holiday as a tourism destination and found that Muslim respondents were concerned about the availability of mosques.

Mohsin and Ryan (1997) recommend that the ease of access to Islamic services are important when they explored the attitudes of Malaysian and Indonesian business people towards the possibility of holidaying in Australia. It is also suggested that Middle Eastern countries take concrete steps to develop Halal tourism internally by having prayer rooms at tourism sites (WTM, 2007). Syed (2001) also suggested that the availability of mosques at tourist destinations may increase satisfaction levels. The mosque itself may be considered as a tourist attraction if they are unique and outstanding (Henderson, 2003).

3.1.3 Availability of Halal food

Dugan (1994) presented findings on food service requirements by Jews, Muslims, Hindus, Buddhists and Christians. Evidence from Brown’s (1996) ethnographic study shows the influence of religious prohibitions on determining their expectations regarding services provided by a hotel such as appropriate ingredient choice and preparation. This is further supported by Williams (2002) who identified the role of the Jewish Kashrus (Jewish religious requirements) in prohibiting certain foods and regulating compliance procedures for food preparation.

For Muslims, the issue is centred on the concept of Halalness. Halal food refers to food that can be lawfully consumed when conditions for Islamic food preparation are met. Food that is unlawful to Muslims includes pork, pork-derived foods including lard and bacon and meat and other products from carnivorous animals or those that feed on carrion. Consumption of any food or drinks with alcoholic content is also prohibited (Dugan, 1994). One important distinguishing feature of the Halal label is that animals must be slaughtered in the name of Allah (God).

There are many studies that show the importance of the availability of Halal food to Muslims in choosing their tourist destinations (Adi, 2006; Adi & Ron, 2008; Mohsin, 2005; Mohsin & Ryan, 1997; Syed, 2001). The importance of this to some Muslims is reflected by the fact that even when served halal food, many are still concerned over whether the food is genuinely halal. Henderson (2003) found that some firms in the Western tourism industry are concerned over this issue. Some Muslims ask about the ingredients the meal is made up of because pork and alcohol in all its many forms are forbidden. Therefore, meals which are provided to Muslim have to be alcohol and pork-free and the utensils have to be uncontaminated by these two elements (Dugan, 1994).

Catering to Muslim tourists’ needs in terms of providing Halal food in any particular destination may increase their overall satisfaction and loyalty. Mansfeld et al. (2000) gives explicit recommendations for providing food which complies with Shariah laws. Therefore, a caterer who is aware on how to satisfy Muslims or who offers religious groups’ dietary needs will attract more Muslim customers (Dugan, 1994).

3.1.4 Banning of Alcohol Consumption and Gambling

According to Islamic Shariah, it is completely forbidden for Muslims to drink or sell alcohol. Muslims are also prohibited from gambling and being involved in the gambling industry. It is stated in Al-Quran: “O ye who believe! Intoxicants and gambling, (dedication of) stones, and (divination by) arrows, are an abomination,- of Satan’s handwork: eschew such (abomination), that ye may prosper.” (Al-Quran, 5:90). Moreover the Prophet of Islam, Muhammad (peace be upon him) said: “Alcohol is the mother of all evils and it is the most shameful of evils.” (Ibn Majah, 2004). It is also not permissible for Muslims to visit places where alcohol is consumed and gambling is practiced (Al-hamarneh & steiner, 2004; Din, 1989; Hamira & Henderson, 2009; Hashim et al., 2007; Henderson, 2003, 2008a).

Muslim countries like Saudi Arabia implement very restrictive policies related to gambling and the sale of alcohol. Other countries are not so restrictive. For example, in most states in Malaysia alcohol is freely available although Muslims can be punished for drinking in public.

3.1.5 Sexual permissiveness

The Shariah expressly forbids Muslims from engaging in fornication or adultery. Activities deemed conducive to sexual permissiveness are not allowed to take place in public. This is based on many verses in The Holy Quran including like: “Nor come nigh to adultery: for it is a shameful (deed) and an evil, opening the road (to other evils).” (Al-Quran, 17: 32).

Many Muslim scholars take the view that it is Haram or not permissible to visit, for the sake of tourism, places where sexual permissiveness is rampant. Their opinion is based on the principle that Islam came to impede all roads leading to evil. If some tourist activities result in the facilitation or the commission of sins then it is not permissible for Muslims to be involved in such tourist activities (Rasma, 2008).

Most Muslim countries including Malaysia prohibit adultery. The Malaysian licensing policy prohibits prostitution and behaviours such as public or indecent displays of affection (Din, 1989; Hamira & Henderson, 2009; Henderson, 2003, 2008a). Moreover, in some Malaysian towns municipal enactments for lodging establishments explicitly forbid unmarried couples from being in close proximity (Din, 1989). Many Muslim authorities frown on tourism in general due to the perception that tourism is associated with sexual permissiveness (Din, 1989). Therefore, some Muslim scholars prohibit sex tourism as practiced by some Arab Muslims from the Middle East in travelling to Europe or Bangkok (Din, 1989).

What is more, using sexually provocative images in marketing tourist destinations to Muslim customers is also frowned upon. According to Shariah, promotion techniques must not use sexual appeal in international marketing (Mohammad et al., 2001). Female images are therefore not featured in tourism promotion in some Malaysian states like Terengganu (Henderson, 2003). Mohsin (2005) is of the opinion that the use of sexually provocative images of bikini-clad girls to promote a destination will not attract Muslim tourists.

3.1.6 Dress code

According to Shariah Muslim women must not expose their hair and body. The Holy Quran states: “O Prophet, tell your wives and daughters and the believing women to draw their outer garments around them (when they go out or are among men). That is better in order that they may be known (to be Muslims) and not annoyedaˆ¦” (Al-Quran, , 33: 59) Men are supposed to cover their thighs (Timothy & Iverson, 2006).

In deciding tour destinations, Muslims look at the local dress codes in that particular region of the world being considered. Such considerations are to gauge the level of conformity to Islamic dress norms in order to determine if they will or will not be comfortable visiting that particular destination. This is particularly so for Arab tourists who have to observe strict dress codes in their native countries and prefer not to expose themselves and families to environments that may threaten their sense of proper dressing.

Hashim et al (2007) demonstrates the Malaysian Tourist Board’s awareness of Islamic dress sensitivities by restricting their marketing campaigns to present only traditional Malay Muslim dress codes. Women with headscarves and men wearing Songkoks-a black rimless hat worn by Malay men usually for praying-were depicted on advertising billboards and home pages. Some conservative Malaysian states enforce appropriate dress norms prohibiting people from disturbing cultural norms by wearing revealing clothes such as bikinis. Furthermore, western tourists are expected to adorn the Islamic attire when visiting religious places like mosques (Henderson, 2003).

Hamira and Henderson (2009) claim that Shariah laws prohibit improper dressing. Al-Hamarneh and Seiner (2004) assert that considerations of the religious conservatism of any particular region including prescribed dress codes should be respected. Such cultural considerations are expected more so of tourism operators in all aspects of the tourism industry as they are interacting directly and regularly with foreign tourists (Adi & Ron, 2008).

4. Methodology

The objective of this study is to explore Islamic religious attributes which may be important to Muslim travellers. In order to achieve this objective, focus group discussions (FGD) were conducted and were followed up with interviews to explore opinions and travel experiences in more depth. This combination of the FGD and the interviews has its advantages. Firstly, in identifying a range of Islamic religious attributes from the FGD. Secondly, to explore in depth, by conducting interviews using a relatively wide range of participants in order to discover more Islamic attributes and to check the conclusions with the FGD (Morgan, 1996). The FGD and the interviews are research techniques pertaining to qualitative research (Myers, 2009, p. 121). The aim of the FGD is to collect information through group interaction but the interview is considered an opportunity to discover new information from individuals (Cavana, Delahaye, & Sekaran, 2008, p. 138). Semi-structured questions were designed in this study for the purpose of conducting interviews and focus group discussions.

Semi-structured questions were designed in this study for the purpose of conducting interviews and focus group discussions. The participants were asked about the Islamic attributes they would require when traveling in a Muslim country or a non Muslim country. They were then asked specifically about these attributes when visiting Muslim countries. This was followed by probing questions that sought to explore in detail specific attributes generated from FGDs such as access to worship facilities, availability of Halal food, services provided in hotels, and morality.

Two focus group discussions were conducted in June 2009. The participants of these focus groups were international PhD students currently studying in Malaysia in different areas of research. The participants of FGD1 consisted of eight males from Saudi Arabia, Palestine, Mauritania, Oman, Jordan, Yemen, Egypt and Sudan. The duration of FGD1 was one and a half hours. The participants of FGD 2 consisted of seven females from Egypt, Libya, Yemen, Nigeria, Oman, Turkey, and Algeria. The duration of FGD 2 was one hour and fifteen minutes and the participants did not agree to record the session digitally. The reason for this may be culturally related. All FGD participants had overseas travel experience for various purposes such as tourism, business, learning, and visiting friends.

A total of 53 interviews were conducted with tourists in Kuala Lumpur, the capital city of Malaysia; 27 interviews in July 2009 and 26 interviews in October 2009. Thirty of the interviewees were males, and twenty three were females. Only those who professed to be Muslims were selected. 38 tourists did not accept to be interviewed. The duration of most interviews was between 35 to 45 minutes. 41 interviews were recorded digitally. The rest were unable to be recorded due to objections from the interviewees who were females from the Middle East. The interviewer transcribed both the FGDs as well as all interviews session. Some interviewees from the Middle East preferred to communicate in Arabic while the rest were conducted in English. The interviewer adopted the probing technique during the session to encourage the participants to provide more details. Some demographic information was also gathered. The digital recording of the interviews was changed into text. The data was organized for easy categorization and systematic data analysis.

5. Findings

Results of the analysis were categorized into two major aspects which are tangible and intangible. The tangible aspect consists of Islamic religious facilities such as, worship facilities, Halal food, and Islamic recreational facilities:

(A)Prayer facilities:

Mosque: all interviewees were concerned about the availability of Mosques (Masjid) or prayer rooms for their tourist destination. Easy access to a mosque/prayer room is considered a vital aspect for Muslim tourists and should not be ignored by tourism planning but should be considered a necessary service. This can be shown in the following response:

“aˆ¦ Masjid or prayer room must be available in the streets and public places. In other words, a prayer room should be available in all places which I may visit in the destination such as hotels, shopping malls, and airports. Even in the airplane to destination, it should allocate a place for prayer.” (FGD No. 1)

“Masjid is available in most of the places in the destination during my journey, in shopping malls, highwaysaˆ¦ and of course in the hotel.” (Int. No.1, USA)

It is noticed from the previous responses that Muslim tourists expect easy access to a Masjid and/or prayer room to be a primary requirement in Muslim countries. They also highlighted that they expect to find prayer facilities readily accessible during tourist activities.

Islamic call (Azan) for prayer: 31 interviewees were concerned about the need for public calling of the Azan (prayer time). Destination operators should provide information about Muslim prayer times. 17 interviewees recommended a prayer time call during flights or journeys to their destinations, hotels, shopping malls and parks. Some also requested prayer time clocks (which ring with each prayer time) or a prayer timetable in the hotel room.

“aˆ¦ I need also Prayer time call in the airplane, airport, hotel or at least prayer timetable in hotel room.” (Int.No.2, Canada)

“aˆ¦ Prayer timetable or Alfajr clock (Prayer time clock brand) should be found in hotel room.” (Int.No.4, Saudi Arabia).

In Islam Muslims should pray five times daily but they are permitted to merge and shorten the prayers while travelling according to the length of the journey and other Islamic legal rules and requirements. As such, the participants preferred that they be reminded about prayer times in order that they may choose between praying at the usual times or merge them.

Quran and Qiblah direction pointer: all interviewees emphasized the importance of the provision of Qurans and Qiblah direction pointers in hotel rooms. Some proposed that one or two simple Islamic books to be provided in hotel rooms and in aeroplane seat pockets.

” aˆ¦It will be fine if I find Quran book in hotel room, some Islamic leaflets in the airplane seat pocket, Makkah direction pointer, Sejadda for prayer (prayer mat), simple Islamic book in hotel room aˆ¦” (FGD No. 1)

“aˆ¦I need the Holy Quran book inside the hotel room, some Islamic books which I can read; I don’t want any statue or sculpture like a Buddhist. I found that in India when I was there. Also direction of Qibla is important to meaˆ¦” (Int. No.15, Djibouti)

The Quran is the Holy book for Muslims. Muslims are requested to read the Holy Quran. Although most of Muslims have a soft copy of the Quran on their hand phones, the hard copy represents the preferable option for reading. Moreover, the Makkah direction pointer is a basic demand of Muslims as they perform their prayers elsewhere even though in public places. Some hotel industry practitioners, even some hotels in non Muslim countries, already provide Qiblah pointers inside their hotel rooms but some participants report that they did not find it in some hotels in Muslim countries.

Muslim toilets: 36 interviewees who have travelled to western destinations complained about the bath room because they could not perform ablution (Muslim mandatory washing before performing prayers). There is no such facility inside airport toilets and hotels. Therefore, they requested Muslim toilets to be provided in all airports, hotels and public places.

“Muslim toilet is very important in airport because the regular toilets provide only tissue. As Muslims, we need water supply inside the toilet. It should be found in public places because in the hotel you can find water but in public it is difficult.” (Int. No.14, Thailand)

“I will be very happy if I find aˆ¦ and Bidet in the bathroom” (Int. No.2, Canada).

Muslim followers must do ablution before prayers. They are required to clean themselves with water when using the toilet. Some countries adopt modern toilet designs which do not enable users to wash themselves using water; providing only tissue. However, some Muslim countries have modified this style and have adopted a Muslim design for their bathrooms which provide water. From previous participant responses, they find it satisfying when water facilities are made available in toilets.

(B)Halal food: all interviewees reported that the availability of Halal food is a basic need for all destinations. It is noticed that all interviewees need Halal meals in flights to their destination. Moreover, they recommended that hotels and restaurants in the destination should provide Halal meals free from pork and alcohol. Some of them were worried about the preparation of Halal meals. Seven interviewees highlighted that the kitchen should also be Halal which means that Halal and non-Halal foods cannot be cooked together in the same kitchen and with the same utensils.

“aˆ¦ I need Halal food to be available. The mosques and Halal food restaurants, mostly they are close to each other. Last week, I was in Cambodia. Once I was close to the Masjid I found Halal restaurants.” (Int. No.13, Turkey)

“aˆ¦ Some hotels, in breakfast they provide Halal food and non-Halal food from the same kitchen that means the Halal and non Halal food are cooked together using the same facilities. I need Halal kitchen. Moreover, some Arabian tourists can’t read English so they eat non-Halal meat.” (Int. No.12, Egypt)

The travel experiences of some participants highlighted that easy to find Halal food is one factor in choosing the destination for their vacation. Some are very sensitive regarding Halal issues and go well beyond Halal labels. They want to make sure the meat and ingredients used in cooking are Halal and do this by usually asking the service providers. On top of this they also ask whether the kitchen is Halal or not. In response to this some hotels in Malaysia allocate two kitchens; Halal and non-Halal.

(C)Islamic entertainment: 39 interviewees gave high priority to finding Islamic-oriented recreations s

Marketing of Barcelona’s Tourism Industry

Destination Marketing

This report provides an analysis and evaluation of the Barcelona’s current marketing provision and market position. Secondary research has been conducted on the marketing provisions, marketing campaign and their delivery methods of their promotions. Research has shown that Social media, destination websites and Television have been the medium of choices. The report shows the number of consumers attracted and how effective social media is in this current generation. However, the report also notes the issues facing Barcelona concerning the over excessive tourist numbers that are impacting the destination negatively. The recommendations discussed include; introducing premium pricing, negative advertising to reduce mass tourism, promoting niche tourism and increase daily expenditure per tourist

Barcelona is the capital of the autonomous community of Catalonia, with a population of 1.6 million inhabitants and approximately 32 million visitors just last year (LaGrave, 2017). It is the 5th most visited city in Europe after London, Paris, Berlin and Rome, and ranks within the top ten most visited cities of the world Hosteltur Special WTM 2011). The purpose of this report is to critically evaluate Barcelona’s marketing provision and market position; linking to generic and destination-specific marketing theories. Firstly, the report will define the role of a DMO and the concept of destination marketing. The report will then explain the market provisions in Barcelona including analyzing the marketing campaign currently in use, as well as the target market and motivations. The report will address the issues currently facing Barcelona, which include the increasing tourist numbers caused by the all-inclusive package holidays or mass tourism. Finally, recommendations in the different strategies that suit the destinations current environment.

Destination management Organizations (DMOs)

Buhalis defined destination as an ‘amalgam of tourism products offering an integrated experience to consumers’ (2000). Destinations play a key role in any modelling of the tourist system, a place consumers travel to temporarily, from tourist generating regions to the destination region, creating a tourism flow (Pike and Page, 2014) as illustrated in Leiper’s (1979) model (Appendix 1). DMO’s are ‘organisations responsible for the marketing of an identifiable destination at any level’ (Pike, 2004). Most DMOs have no direct control of the tourism products they promote or the results achieved, however they do have influence over tourism marketing.

Destination marketing

The first definition of tourism destination marketing is “the management process through which the National Tourist Organisations and/or tourist enterprises identify their target market and communicate with them to determine and influence their needs and motivations; in order to formulate and adapt their tourist products accordingly in view of achieving optimal tourist satisfaction” (Wahab, Crampon and Rothfield, 1976, cited in Pike & Page, 2014: 204). In this current increasingly globalized and competitive market, destination marketing is recognized as a pillar of growth and sustainability of tourist destinations (UNWTO, 2011). Destination marketing is related to activities associated with distribution of products to potential target markets by focusing on responding to consumer demands and competitive positioning (UNWTO, 2004).

Destination – Barcelona

Barcelona is among the world’s main urban tourist destinations (TurismeBcn, 2015), an unexpected success which continues to break records in spite of the economic crises (TurismeBcn, 2015). In 1992 Barcelona hosted the Olympic Games which resulted in a steady growth in tourist numbers and the development of the citizen based city model. The 90’s Games enabled resources to be raised to turn the model into reality, while providing the city with the best global publicity campaigns (TurismeBcn, 2015). In October 2008, Barcelona City Council drew up a Municipal Action Programme (MAP) for the period of 2008-2011 with the mission to strengthen the cities appeal as a tourist destination and its position worldwide; highlighting the features that set the destination apart and boosting tourism quality (TurismeBcn, 2015).

Marketing Provisions

The current marketing provisions for Barcelona include various methods of tourism destination advertising, online personal selling, public relationships, direct marketing, sponsoring events and/or sales promotional activities. Tourism destination advertising is considered one of the most visible and significant marketing practices used to attract tourists to a destination (Choe, Stienmetz and Fesenmaier, 2017). Barcelona has been using promotional campaigns for advertising via Television adverts, social media and YouTube to reach a wider audience.

Marketing Mix

Authors Kotler and Keller defined marketing an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders” (Kotler & Keller, 2009). McCarthy elaborated on the most well-known marketing implementation tool in 1960, the marketing mix consisting of the four P’s (Appendix 2). The marketing mix tool is implemented in marketing of the majority of various sized business. Due to the progressive broadening of the marketing concept, marketing has been applied to geographical entities arising the concept of destination marketing (Balaencourt and Zafra, 2012). In destination marketing ‘the product’ is a service which consists of five specific characteristics intangibility, perishability, variability, inseparability and lack of ownership (Cowell, 1984 Appendix 3). According to Pike (2004) DMO’s have no control over pricing and place, however they institute measures to monitor perceptions of value held by the target market.

Promotional mix
Marketing campaign

Turespana launched the current new digital media campaign “Spain Addict” in 2010; merely part of the larger campaign “I Need Spain” (Hosteltur Special WTM 2011). I Need Spain was launched within the framework of Turespana’s global marketing strategy campaign, whose main objective is to reposition the Spain tourism brand and make it a unique, aspirational, experiential, global and premium leading destination.

The campaign reinforces the Spain tourism brand in international markets by encouraging visitors who have visited the country to advertise their experiences of their vacations themselves, user’s contributions. The campaign was launched in the press and on television and according to Hosteltur Special WTM (2011) viewed by 470 million people. “Spain’s World Cup victory 2010 was very positive for tourism,” the executive director of the Madrid-based United Nations World Tourism Organisation (UNWTO) (Eturbonews.com, 2017). The win reinforced the positive image of Spain and the campaign.

Social media

Barcelona’s social media presence has enhanced since the campaign launched. The launch was conducted in two stages with the aim of Consolidating traditional markets and attracting others (Hosteltur Special WTM 2011). They concentrated on emerging marketing such as Russia, China and Japan, where the motivation index for travelling to Spain is around 99%, 98% and 90% (Hosteltur Special WTM 2011). That is why the video ad is represented in Spanish, English, French, German, Italian, Russian and Asian languages (Hosteltur Special WTM 2011). The social media promotion also became a Word Of Mouth (WOM) advertising which was reached millions of people and cost nothing for the DMO by making the tourists who visit Spain WOM or PC-to-PC promoters. In this media lead society, this media campaign surpassed mature markets such as the UK, France, Germany and Italy resulting in boosted levels of motivation for visiting Barcelona. (Hosteltur Special WTM 2011)The campaign is linked to the Turespana’s website, spain.info, a site with over eight million annual visitors and other social media sites. The use of Social media was the mote effective way to promote barcelona because the internet and social reaches a wider range of consumers. Consumers actively social media to talk about good and bad travel experiences. For most airlines Twitter has become a crucial communication channel. The TV ads also used for the campaign where effective because it is the easiest way to reach a large number of customers, but is the most expensive medium. Finally, the destination websites used as part of the promotional mix are relatively cheap and interactive. However, the issues with websites is that they are difficult to draw or attract customers.

Social Media sites

Followers/ Subscribers & Views

Facebook(Facebook.com, 2017)

Twitter (Twitter.com, 2017)

YouTube (YouTube, 2017)

Instagram (Instagram.com, 2017)

Catalunya Experience

94,253

54,000

11,883 & 6,925,673 Views

77.9K

Target Market

Identifying target markets is the first step in developing profitable customer relationships (Pike, 2004). One of Barcelona’s prominent traits is the diversification of markets. The destination is characterized for attracting different visitor segments in relation to country of origin and reasons for travelling. According to Ajuntament de Barcelona (2014) the prominent markets related to tourism typology are cultural, professional, medical, incentive, educational, LGBT, sport, business, luxury, gastronomy, cruise ship tourism etc. However, Barcelona’s cheap all-inclusive package holidays promote mass tourism and attract the type of tourist mentioned in Cohen’s (1972) and Plog (1974) Tourist typology (Appendix 4) The authors linked their concepts to Butlers (1980) evolution of a destination lifecycle (Appendix 5). Butler assumes that as a tourist area evolves, the range of tourist types present will change according to changes to the tourism area (Ho and McKercher, 2015). Plog and Butlers models provide identifiers of tourist alignment changes in destinations suggesting that various stages in its life cycle appealing to different types of tourists (Ho and McKercher, 2015).

Motivations

According to Ritchie (1996) tourism motivations theories are theoretical rather that pragmatic. One theory linked to Barcelona and related to tourism motivation is Maslow’s (1943) theory of motivations. Mill and Morrison (1992) suggested recognizing travel as need and want satisfiers was the key to understanding tourism motivations (Pike, 2004 Barcelona’s tourist demand is encompassed of diverse geographic and motivational markets, a fact that contributes to the vibrancy of an industry that must continuously adapt and reinvent itself in order to satisfy visitors (Horwath HTL, 2015). In terms is demand, Barcelona is Multi-motivational due to diversity of segments and a combination of interests and motivations. The behavior of tourism demand in Barcelona is generally de-seasonalised even if during the peak seasons when tourist activity grows by a significant amount. This can be explained by the diversity of motivations and origins of the tourists who visit Barcelona for cultural, pleasure, business, professional, medical and educational reasons, among many others. According to research conducted by Ajuntament de Barcelona (Barcelona’s tourism activity: development and management) in 2013, 50.6% of tourists travelled to Barcelona for holiday, 30.8% stated their main motivation was business, and 10.1% came for trade fairs and congresses. This shows that professional motives are especially important with the growing role of the MICE (Meetings, Incentives, Conferences and Exhibitions) segment in the tourism industry of Barcelona.

Issues

The key issues facing Barcelona as a result of their marketing provisions is was ‘too successful’. Their marketing campaign was accepted through the world aimed at different markets. This ensured success, however the main problem now is that there are too many visitors in Barcelona. According to the director general of the Barcelona Hotel Association, “Of the 32 million people who visited Barcelona last year, only eight million stayed in hotels” (LaGrave, 2017) The sudden growth in the industry also attributed by the weak Euro, attracting more tourisits. However, the increase in tourist has a negative social impact on the city and many local feel that the social impacts outweigh the financial benefits of tourism. (McClain, 2015).

Strategic marketing planning is a proactive attempt to shape a positive future by establishing a meaningful and accurate position in the minds of the target market (Pike, 2004). When developing a strategic marketing plan, the first step is the situation analysis, which consists of several methods of analysis, one of which is a SWOT analysis or matrix (Appendix ..). Then there is the environmental scanning which analysis the key issues, trends and drivers that affect tourism using STEEPL analysis tool. Then there is the destination’s goals and objectives, general statements of intent that relate to the destinations mission and brand (Johnson & Scholes, 2002). The objects have to be SMART quantifiable targets of the goals (Tribe, 1997). Then there is the strategy formulation, followed by the marketing positioning and defining the marketing mix. Finally, there will be the implementation and monitoring phase. The most common method of monitoring visitor metrics is visitor monitor programs.

Tourist Statistics

Turisme de Barcelona, Barcelona City Council and Diputacio de Barcelona (Barcelona Provincial Council) have been publishing statistical date on tourist activity in Barcelona since 1989. The most recent publications states that in 2015, the total number of tourists in Barcelona is 8,988,038, a 6.4% increase since 2014 (Designer, 2017). According to tourism review, tourist numbers in Barcelona have increased by 12% in a city of 1.6 million inhabitants (Moor, 2016).

Vision

Focused on Sustainable Growth and Community Participation. (Rtd7.org, 2013)

ValuesResponsible tourism based on the definition of responsible tourism in the Cape Town Declaration (2002) and the Barcelona Charter on Responsible Tourism (2010) (Rtd7.org, 2013)
Respect the development of Barcelona and Catalonia(Rtd7.org, 2013)
Balances the relationship between residents and visitors(Rtd7.org, 2013)
Prioritises the realisation of economic, sociocultural and environmental sustainability (Rtd7.org, 2013)

Mission

Worldwide leading tourist destination, aims to become a benchmark in responsible and sustainable tourism.

Promote the importance of local traditions and cultures as a product differentiator to what makes Barcelona unique such as the Catalan language, its status as regional capital, unique architectural heritage and Catalan cuisine (Turismebcn, 2015).
To promote a tourism model which will strengthen the balance between local residents and tourists, while preserving the identity values of the city (Turismebcn, 2015).
We will promote tourism that includes civic-minded attitudes as a value for coexistence (Turismebcn, 2015).

The recommended strategy for Barcelona is a de-marketing strategy, Beeton (2001) argued that to achieve greater management efficiency and sustainability, de-marketing strategies have to be incorporated into the marketing mix. Venice is a good example of a destination that implemented de-marketing strategies by introducing premium pricing and negative advertising to reduce mass tourism(Pike,2004). The sudden growth in the industry is attributed by the weak Euro, attracting more tourisits. However, the increase in tourist has a negative social impact on the city and many local feel that the social impacts outweigh the financial benefits of tourism. (McClain, 2015). Barcelona’s policy makers are considering implementing a new tourist tax to charge visitors who spend less than 24 hours and those in town on a cruise (LaGrave, 2017). This tourist tax is a de-marketing strategy that is recommended and will restrict tourist numbers. Another de-marketing strategy currently in place is a moratorium on licenses for rentals like Airbnbs and restrictions on building new hotels rooms building new hotels in the efforts of restrict tourist numbers (LaGrave, 2017). Benfield and Beeton (in Beeton,2001) mentioned the strategies below being adopted (Pike, 2004):

Increasing Prices
Increasing advertising that warns of capacity limitations
Reducing promotion expenditure
Reducing sales reps’ selling time
Curtailing advertising spend
Eliminating trade discounts
Adding to the time and expense of the purchaser
Suggested marketing Positioning and Marketing Mix
Product Analysis

Destinations are made up of both tangible and intangible assets (Qu 2011 in Schaar, 2013). The tangible assets include geographical features and the intangible assets include culture, customs, and history. Barcelona is an urban territory in Catalan that offer experiences all year round with a strong modern, cosmopolitan component.

Price

According to a report on Mintel all-inclusive package holiday growth has surpassed far independently booked holidays over the past holidays. This encourages mass tourism and that is the last thing Barcelona need going forwards. It is recommended to increase prices of package holidays or reduce the package holidays and introduced more high end products to target high spending target groups and brands and international markets. Another strategy is to promote niche tourism and increase daily expenditure per tourist

Promotional Mix (Appendix 6)

The recommended promotional mix for Barcelona include advertising, personal selling, direct marketing and public relations. The most effective and recommend is however is websites and social media. Websites are relatively cheap and do not draw an excessive amount to customers. Which works well into the demarking strategy. Social media is cheaper, almost free and can reach a wider range of customers. It allows personal selling, direct marketing, adverting and public relations online via Social Networking Sites, Picture Sites, Video Sites, Forums/Message Boards and Blogs/Microblogs for free. It allows interpersonal communication to broadcasting, and if the chosen destination message is funny, controversial or information that people want to share then there is a chance it will go viral and spreads on the web through sharing.

In conclusion, Barcelona current marketing provisions for include various methods of destination marketing mix including advertising, online personal selling, public relationships, direct marketing, sponsoring events and/or sales promotional activities. Barcelona has been using promotional campaigns for advertising via Television adverts, social media and YouTube to reach a wider audience. As a result, their tourist numbers have increased to the point of excessive. The marketing strategy recommended for Barcelona is a de-marketing strategy which should be incorporated into the marketing mix to achieve greater tourist management efficiency and sustainability.

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Market and Competitor Analysis of Hotel Industry

Market Analysis: Industry and Competition
EXECUTIVE SUMMARY

Businesses fail to define satisfaction in the same way that customers do. Customer relationship satisfaction is measured by repeat business and recommendation of the store to others (Thompson 2004, p. 104). While customers can agree to these behaviours only “60% of customers who named a business they were loyal to, said they would also shop at the competition” (Donogh 2000, p. 1). How consumers perceive a company or product depends upon varying factors different for each individual (Whelan 2004). It is part of the job of the e-marketing analyst to disseminate how their client will gain market share and competitive advantage through marketing schemes. With regard to the tourism industry and creating customer relations, it is important to remain unique and as individual as every customer. How does one do this with limited time and funding? Customization of a web site is key to advantage but also creating a unique experience on the web site and at the destination is part of niche marketing and a main cornerstone to any tactic.

GENERAL OVERVIEW

It is of utmost importance to carry out an analysis of the industry per business operations and define the competition. As part of this presentation, a market analyst should keep in mind different models in which to decipher the current state of the market and where to gauge an organisation’s advantage. For the purpose of this presentation and understanding the tourism industry, four models chosen for this analysis are: (1) SWOT analysis, (2) PESTEL analysis, (3) Michael Porter’s Five Forces and (4) Boston Matrix. By comparing and contrasting the Althorn web site with the competition of other stately English homes, one can better assess the marketing plan and continue to make appropriate changes. The web sites chosen for review with Althopr.com are as follows: (1) Balmoralcastle.com and (2) Muscottmillfarm.co.uk.

MARKET INDUSTRY ANALYSIS: SWOT Analysis

The Historic Monument Travel Industry

Strengths and Weaknesses are considered internal factors while Opportunities and Threats are external to company (‘SWOT Analysis’ 2005). It is important to note the analysis using this tool is very subjective in nature. When it comes to niche travel, England’s stately homes, castles and historic monuments fall into a very distinctive category that surprisingly appeals to many travellers’ sense of history. What makes the online presence special is being about to capture history while maintaining a certain level of current events, even celebrity about staying somewhere unique.

(S)trengths: Places like Althorp and Balmoral have the essence of royalty engrained into the image and experience. These places have been witness to infamous times in history and famous people as well.

(W)eaknesses: Historical travel destinations may also have an air of affluence about them, which could limit their target audience potential. This feeling of being beyond reproach may send mixed signals to the common man.

(O)pportunities: Because places like Althorp and Balmoral are well known to the public because of their relationships to royalty, this propels them into the spotlight more than other less known sites like Muscott Mill. These places like Balmoral have history but also many opportunities that a smaller place cannot take advantage of. Places like Balmoral and Althorp also have a following where product sales with branding becomes key to continued image and public awareness. This allows them more interaction and further investment into different ways to capture the audience such as private rentals and entertainment events like golf and concerts.

(T)hreats: Consumers may be afraid to travel because of the war in Iraq and threats of terrorism, increased security being time consuming. Also times are tight for a lot of people due to increasing energy costs and lack increased spending power. Many people have chosen to stay home or vacation close to home. Places like Althorp need focus on local tourism.

ALTHORP.COM: CURRENT AND POTENTIAL MARKETS
PESTEL Analysis

This strategy analysis takes into account external forces, which may have influence on the organisation’s success (‘PESTEL Analysis’ 2005).

(P)olitical: The political force that may influence Althorp is its relationships with the surrounding local community. Many do not want to see their ‘neighbourhood’ tarnished or changed by the tourist traffic or see Althorp take advantage of their royal status. Environmental: This is a very trendy topic, the notion of ‘going green’ but needless to say something to consider adopting as part of the new image tactic. Also Althorp should consider the fuel demands of travellers and maybe run a promotion with a local hotel or petrol station.

(S)ocial: Social forces at work externally could be a fear of flying or travel. Also in times of trouble, people band together, become closer within their communities. Althorp should consider looking closer to home and cultivating a relationship with locals. They should use the Internet as a tool to focus globally.

(T)echnological: Obviously the web site is classy and reflects the overall image of Althorp as a stately home with beautiful grounds. The web site should using appropriate e-tools to continue consumer interaction. These e-tools vary from pod casting to blogging but also create a more intimate interaction with the public, which also reflects another image of Althorp being a special place for Princess Dianna. Continued evolution of the web site can bring a feeling of closeness to the site it lacks currently. This may involve further investment to update software and hire a Web master or graphic designer.

(E)cological forces at work for Althorp include once again the price of fuel or energy source and its prolonged use at the site, the affect it has on the environment. Has Althorp considered what affect it may have on the global warming? It would environmentally sound for the company to research ways to conserve and protect the environment maybe through a conservation project in conjunction with another site.

(L)egal forces or changes in the laws that govern travel are constantly in issue. Also Althorp must keep in mind a lot of times people are not culturally aware of differing laws that apply when travelling. It is important that not only the house watch for the risk legal issues cause but also look out for its employees giving the correct information to customers.

THE COMPETITION: BALMORAL AND MUSCOTT MILL FARM
BALMORALCASTLE.COM

PORTER’S FIVE FORCES

Customer Bargaining Power – High

Today’s Internet savvy consumer is educated when it comes to their travel plans. This gives the consumer power over places like Balmoral to match their need for a web site that will understand their intelligence. They know what they want and at what price they want it. They may chose a different destination if they don’t like the web site.

Threat of Substitute Products and Services – Emerging

This is where diversification of services at Balmoral becomes important and an asset. The future of these places depends on presentation of different formats and product specialty to keep the customer’s attention. These niche locations like Balmorals will meet consumer demand of specific needs.

Supplier Bargaining Power–Medium

The bargaining power of Balmoral is relatively medium because of the nature of the product. Balmoral must remain at above industry standard while maintaining the sense of class found and that level of services.

Threat of New Entrants – Emerging

New entries into the market, one would think should be low because of the designation of this being a niche destination as historical but the truth is places like Balmoral must compete outside their niche for capture of customers. They compete with theme parks and adventure vacations of the like. Many tourists because the information from the Internet is so vast are looking for something beyond the regular vacation.

The Overall Level of Rivalry – Moderate

There is a perception that the more densely populated the area becomes the higher the competition with the company struggling for market participation. This is an incorrect assumption because most of niche travel locations are operating online mainly suppliers to manufacturers or to the public. This results in less advertising and an environment where the competitive spirit is unvoiced.

MUSCOTTMILLFARM.CO.UK

Boston Matrix Analysis

There are four areas that divide the matrix so that a place like Muscott Mill Farm can be differentiated from other stately English homes or working historic monuments. The place falls into one of these areas. The four areas are as follows: (1) Stars, (2) Cash Cows, (3) Question Marks and (4) Dogs (‘Boston Matrix’ 2005).

Stars are tourist sites like Balmoral or Althorp that have a strong presence in the market and they are able to keep up, even be ahead of the competition. Balmoral, while stoically regal also maintains a global image because of it being the Queen’s summer residence. Cash Cows are smaller places of interest like Muscott Mill that are not in the spotlight and may be hidden from the average tourist’s mind (‘Boston Matrix’ 2005). Many smaller historical sites are becoming cash cows because of operating cost increases but also the aftermath of 9/11 remains. People are not as eager to travel and the price of airfare keeps people closer to home. Muscott Mill would be better off focusing on local markets for shorter weekend holidays. Question Marks are companies that have potential to make money if they are run properly (‘Boston Matrix’ 2005). A good example of a Question Mark in the industry would be smaller B&B type places but not at the level of Muscott Mill. They are constantly facing challenges with their operations management and particularly labour disputes. Dogs are companies that are just terrible, have no potential and should be out of business but continue to struggle (‘Boston Matrix’ 2005). Euro Disney is the prominent example. It has never lived up to the hype. Muscott Mill Farm remains at the bottom of the chain of advantage because it is not well known by the public as a destination. Its web site is quaint at best and not at all interactive but yet one can see the purpose it serves to at least introduction someone to its existence.

EVALUATION OF MARKETING COMMUNICATION AND CRM

A company’s marketing and recognition begins with its name. Because the business of tourism is greatly service oriented, it is of utmost importance that the company’s name has integrity. With time, as the organisation further establishes itself, the two will become interchangeable. The organisation has a reputation to uphold where market share remains wide-open and competitive advantage strong. Recently the house’s name and intellectual property in the forms of trademarks and brand has been at the forefront, in constant view thanks to e-business.

John M.T. Balmer surmises that much of the problem with establishing a marketing framework for organisations is built on the concept that the notion of identity is vague to the corporation and therefore the consumer. Defining identity and therefore CRM becomes a challenge now especially as business practices change and shift to encompass all areas of focus and strategy. Balmer’s (2001) research writes of, “identity was a pressing issue for many institutions and that the question of identity, or of what the organisation is or stands for, cuts across and unifies many different organisational goals and concerns” (p. 250). Hence the confusion and challenge of figuring out exactly what identity is for a particular organisation because it is different for each.

CONCLUSION

The purpose of this presentation was to demonstrate different market strategy models that allow one to analyse not only the particular industry but also the competition. The niche travel destination market has its strengths and weaknesses but also these are areas that Althorp can use to make its marketing scheme better. The competition for the United Kingdom is vast but Althorp has many elements on its side as a special location for travellers. The main focus of any marketing scheme should be to know how to capture the mindset of the individual to reach a higher state of competitive advantage and this begins and ends with conveying the correct brand image.

REFERENCES

Allen, G 1999, Introduction to Marketing, Mountain View College, Mountain View, California.

‘Althorp’, Althorp.com, viewed 5 Aug. 2008,

Balmer, J M T, Fukukawa, K & Gray E R 2001, The Nature and Management of Ethical Corporate Identity: Discussion Paper on Corporate Identity, Corporate Social Responsibility and Ethics, Bradford School of Management, England.

Balmer, J M T 2001, ‘Corporate identity, corporate branding and corporate marketing seeing through the fog’, European Journal of Marketing vol. 35, 3/4, p. 248-291.

‘Balmoral Castle’, Balmoralcastle.com, viewed 7 Aug. 2008, .

Boston Matrix or Boston Consulting Group Box “BCG” Box’, viewed 5 Aug. 2008, .

Donogh, J 2008, ‘Customer Loyalty—From the Customer’s Perspective’, viewed 3 Aug. 2008 http://www.businesslink.gov.uk/bdotg/action/detail?type=RESOURCES&itemid=1074451452>

Peters, T 2003, ‘Helping Small Firms Put the ‘e’ in Trade’, International Trade Forum, 1 July.

Pitturo, M 1999, ‘Get into the e-Commerce Without Betting the Store’, Journal of Accountancy, 1 May.

Porter, M E 1999, Strategy and the Internet, Harvard University Press, Cambridge.

Porter, M E 1985, Competitive Advantage: Creating and Sustaining Superior Performance. The Free Press, New York.

‘SWOT Analysis’, viewed 5 Aug 2008, .

Thompson, H 2004, What They Want: Ten Myths About Your Customers, Prentice-Hall, Clifford Falls, New Jersey, p. 103-112.

Whelan, D 2004, ‘Build It and They Will Come’, Forbes, 27 Dec 2004.

APPENDICES

APPENDIX A

SAMPLE POSSIBLE QUESTIONNAIRE

1. How do you rate Althorp’s web site overall ease of use? (1=very easy; 5=very difficult)

2. Having Althorp’s picture of the web sites you visited (1: strongly agree; 5=strongly disagree; 6=no opinion)

a. Reflects how you think about the web.

b. Gives you more confidence in exploring the web.

c. Slows down the computer too much.

d. Helps you feel more adventurous.

e. Lets you know where you are in the web.

f. Takes too much time to use.

g. Helps you move around in the web.

h. Makes me feel like I’m travelling throughout the web.

i. Takes up too much space on the screen.

j. Makes web organisation clearer.

3. Please rate how you think Althorp would be for the following functions (very useful, useful, not useful, don’t know):

a. Pure Entertainment (games, chat, humor)

b. Personal uses (hobbies, health, recipes, travel)

c. Business (buy and sell, product info, banking)

d. Academic (exchange data and results, communicate with colleagues, grad info).

4. I feel that looking for information on the World Wide Web using Althorp.com is: (Strongly Agree, Agree, Neutral,

Disagree, Strongly disagree, Don’t Know):

Easy; entertaining; confusing; complicated; intimidating; hard; boring; straightforward; simple; frustrating.

Management Structures And Organization Of Hotels

This module introduces the basic concepts of hotel operations. It will help students to acquire the basic knowledge about the hotel business and its operations prior to acquiring more knowledge in the field The learner should read the ATHE resources, study the recommended text book on this unit and also do their own research.

Learning Outcomes and Assessment Criteria

Centres are free to offer this the qualifications using any mode of delivery that meets the needs of their learners. This may be through traditional classroom teaching, open learning, distance learning or a combination of these. Whatever mode of delivery is used, centres must ensure that learners have appropriate access to the resources identified in the specifications and to the subject specialists delivering

the units. This is particularly important for learners studying for the qualification through open

or distance learning. The lecture and seminar notes provided below are for guidance and it is up to the centre whether they use these or alternative ones. The questions at the end of each unit will form the evidence of understanding.

Learning Outcomes and Assessment Criteria

1. Understand how to categorise the different levels of management.

1.1 Explain how the first line management level differs from middle management level.

1.2 Differentiate the variety of functions of someone who works at top management level.

2. Understand management structures and the way in which the hotel is organised.

2.1 Explain the nature and necessity of management structure in a large hotel.

2.2 Describe and illustrate an organisational structure suitable for a medium sized hotel in a city centre.

3. Understand the importance of maintaining different types of food services within a hotel.

3.1 Examine the different types of room service available for food and beverage.

3.2 Analyse the management of food service in a large hotel.

4. Understand how to appraise the various control systems within a major international hotel.

4.1 Formulate different ways of creating and storing information in a hotel.

4.2 Understand the various ways of financial control systems in a specific hotel.

Introduction to Hotel Management – Suggested Lesson Plan

1. Understand how to categorise the different levels of management.

1.1 Explain how the first line management level differs from middle management level.

Seminar

In this seminar the lecturer should discuss with the students about two different line managers as an example quality of first line management and middle line management

Lecture

This lecture should focus on front line staff should be highly skilled.

Group discussion

The lecturer should ask the students to pick the work schedule of a Laundry Manager, where teamwork was working and was disrupted by different factors, then facilitate a discussion around this.

1.2 Differentiate the variety of functions of someone who works at top management level.
Lecture

Explain the variety of functions in a large hotel and identify the top management ones.

Seminar: Discuss the paragraph below

A manager may be responsible for one functional area, but the general manager is responsible for all areas. Most commonly, the term general manager refers to any executive who has overall responsibility for managing both the revenue and cost elements of a company’s income statement. This is often referred to as profit & loss (P&L) responsibility. This means that a general manager usually oversees most or all of the hotel’s marketing and sales functions as well as the day-to-day operations of the hotel. Frequently, the general manager is also responsible for leading or coordinating the strategic planning functions of the company.

In many cases, the general manager of a hotel is given a different formal title or titles. Most corporate managers holding the titles of chief executive officer (CEO) or president, for example, are the general managers of their respective businesses

Seminar

Discuss the duties of a general manager

In hotels, the General Manager is the executive manager responsible for the overall operation of a hotel establishment. The General Manager holds ultimate authority over the hotel operation and usually reports directly to a corporate office or hotel owner. Common duties of a General Manager include hiring and management of a management team, overall management of hotel staff, budgeting and financial management, creating and enforcing business objectives and goals, managing projects and renovations, management of emergencies and other major issues involving guests, employees, or the facility, public relations with the media, local governments, and other businesses, and many additional duties. The extent of duties of a hotel General Manager vary significantly depending on the size of the hotel and company; for example, General Managers of smaller hotels may have additional duties such as accounting, human resources, payroll, purchasing, and other duties that would usually be handled by other managers or departments in a larger hotel.

Group Discussion

Discuss issues brought up at the lecture and how will this differ with smaller hotels.

2. Understand management structures and the way in which the hotel is organised.
2.1 Explain the nature and necessity of management structure in a large hotel
Lecture

Lecturer will use the following structure and explain to students.

A typical organizational chart for a mid-scale to large hotel:

General Manager

Assistant Manager or Operations Manager

Director of Room Operations

Front Office Manager

Guest Relations Manager(s)

Concierge Manager

Front Desk Manager

PBX Supervisor

Reservations Manager

Bell Services Manager

Executive Housekeeper

Housekeeping Manager(s)

Director of Sales & Marketing

Senior Sales Manager

Sales Manager(s)

Sales Coordinator

Catering Manager

Revenue Manager

Convention Services Manager(s)

Director of Food & Beverage

Restaurant Manager(s)

Room Service Manager

Bar Manager

Banquet Manager

Chief Engineer

Director of Human Resources

Director of Security

Spa & Recreation Manager

Accounting Manager / Controller

Group Discussion

Discuss issues brought up at the lecture and how this structure will differ with smaller hotels.

2.2 Describe and illustrate an organisational structure suitable for a medium sized hotel in a city centre
Seminar

Students will use the organisational chart shown above and then design a flow chart for a smaller hotel.

3. Understand the importance of maintaining different types of food services within a hotel.
3.1 Examine the different types of food service available for food and beverage.
Lecture

Teacher should explain the different types of food services available and students should then write down examples and the type of person who uses them, e.g. business lunch or quick snack. Students can use notes below.

There are various types of food services. Restaurants fall into several industry classification based upon menu style, preparation methods and pricing. Additionally, how the food is served to the customer helps to determine the classification.

Historically, restaurant referred only to places that provided tables where one sat down to eat the meal, typically served by a waiter. Following the rise of fast food and take-out restaurants, a retronym for the older “standard” restaurant was created, sit-down restaurant. Most commonly, “sit-down restaurant” refers to a casual dining restaurant with table service rather than a fast-food restaurant where one orders food at a counter. Sit-down restaurants are often further categorized as “family-style” or “formal”.

In British English, the term restaurant almost always means an eating establishment with table service, so the “sit-down” qualification is not usually necessary. Fast food and takeaway (takeout) outlets with counter service are not normally referred to as restaurants. Outside of North-America the terms Fast casual-dining restaurants, Family style, and Casual dining are not used. Junk food establishments would also not often be referred to as a ‘restaurant’.

Group discussion

After both the Seminar and Lecture the tutor/lecturer should ask the students to write down any questions they have and partake in researching those questions. The students should then bring those questions and research they have undertaken to a smaller group where debate and questioning should be encouraged

3.2 Analyse the function of food and beverage service in a large hotel.
Lecture

Examine the roles of the Food and Beverage department for a hotel business.

The Food and Beverage (“F&B”) department in a hotel is responsible for the operation and maintenance of the dining rooms, restaurants. room service (if available), and the needs of any other function such as a meeting or party that might desire food and beverages.

SeminarWhat is the difference in the management of food and beverage services offered by a large hotel compared to a budget hotel.

4. Understand how to appraise the various control systems within a major international hotel.
4.1 Formulate different ways of creating and storing information in a hotel.
Seminar

Discuss how the information hotels get from guests including personal and bank cards and how they are stored in a secure way

4.2 Understand the various ways of management control systems in a specific hotel.

Lecture 2 The lecture can be based on definition and examples of management control.

Management controls, in the broadest sense, include the plan of organization, methods and procedures adopted by management to ensure that its goals are met. Management controls include processes for planning, organizing, directing, and controlling programme operations. A subset of management controls are the internal controls used to assure that there is prevention or timely detection of unauthorized acquisition, use, or disposition of the entity’s assets.Simons (1994) defined MCS as “the formal, information-based routines and procedures managers use to maintain or alter patterns in organizational activities”.

Seminar

In this seminar the lecturer should discuss with the students utensils Inventory control of every department.

Unit 2-Hotel staff Management

This unit is to help students understand the importance of staffing in a hotel.

Learning Outcomes and Assessment Criteria

Importance of briefing of hotel staff

Regular coaching gives staff development

Appraisal and training gives motivation to staff

Staff co-ordination keeps good team work within the industry

Hotel staff require speaking skills

Explain GM’s working process of a hotel

Explain all departmental heads duty rosta

1. Understand effective methods of communication for hotel managers when managing staff.

1.1 Examine the different methods of communicating with staff in a large hotel.

1.2 Analyse the importance of the management of staff coordination within a large hotel.

2. Understand hotel organisational charts

2.3 Explain why lines of authority are particularly important in a large metropolitan hotel.

2.4 Evaluate the importance of two organisational rules and regulations.

3. Understand how to review and comment on the management organisational structure of different types of hotels.

3.1 Illustrate the chain of command in a small hotel by using a Management Organisational Chart.

3.2 Explain the nature and necessity of a complex structure in a large hotel.

4. Understand progression opportunities within the hotel industry.

4.1 Analyse the career path within one department of a large hotel.

4.2 Illustrate using a diagram the place of the hotel industry as one of the components of the Tourist industry.

Hotel Staff Management-Suggested lesson plan
1. Understand effective methods of communication for hotel managers when managing staff.
1.1 Examine the different methods of communicating with staff in a large hotel.
Lecture

The lecturer should select a large hotel and discuss the different methods of communication available for both guests and staff. This would depend on the size of the hotel. The students should then be given an assignment where they would imagine a large hotel in a city where many of the staff and guests have lesser knowledge of English and how to communicate messages.

Group discussion

Continue from lecture and discuss.

1.2 Analyse the importance of the management of staff within a large hotel.

Lecture can be based on following notes

Small- and medium-sized firms’ employers realise the value of their staff in driving forward business success according to a recent survey based on a telephone interviews with 500 SMEs. However, too few SMEs focus on the need to motivate staff other than by financial incentives.83% of the SME directors/senior managers surveyed see employees as their business’s most important asset, while 63% believe that attracting and retaining staff is as important to an enterprise’s success as providing good customer service.However, the report, People Management in Growing Companies, commissioned from MORI by gusinessHR, a SME human resource advisory specialist, also examines SMEs behaviour in terms of expenditure and policies in the light of these opinions. It reveals that SMEs are not necessarily reflecting their views in their actions.A key finding is that SMEs are concerned with their employees’ job satisfaction and staff motivation, but as many as 86% feel that financial incentives – salary and benefits – will do the trick in attracting and retaining staff. Only 28% cited good training and development opportunities for employees as important, with just 25% viewing achieving a good balance between work and home life as significant. An overview of SME human resource policies illustrated that they tended more towards protecting the employer than nurturing the employee. 96% have formal employment contracts, 93% have disciplinary/dismissal procedures, and 88% have health and safety assessment audits and grievance procedures. Only about three-quarters have staff training and development plans and less than two-thirds have a formal appraisal system in place.Businesshr managing director Ian Stobie commented, “Skills shortages and the rising costs of recruiting staff mean that it is vital for SMEs to retain key staff if companies wish to grow.

Throwing money at someone who is bored will not buy their commitment or ensure consistent, outstanding performance.”

Interestingly, the larger SMEs (those with over 100 employees) tended to be more concerned about motivating and retaining staff, and their productivity, and placed more value than smaller companies on training and self-development, as well as having more systems and policies in place which motivate and support employees. 91% of larger SMEs have staff handbooks, 85% training and development plans and 80% have an appraisal system.Manager of Advisory Services at businesshr, Tom O’Reilly, explained, “you can think like a corporate but on a smaller scale. SMEs need to get to the root of the issues that affect their employees [rather than just increasing their salaries, for example].”There are a variety of sources to tap about human resources issues, but a useful starting point for smaller businesses, is the Small Business Advice Service, managed by the Department of Trade and Industry. Its website is at www.businessonline.org .

For a copy of the report, visit www.businesshr.net/businesshr_27cApril.pdf .With thanks to Lloyds TSB Success4Business. For more news and information visit www.success4business.com© 2010 Association of Tourism & Hospitality Executives

Group discussion

Discuss and answer questions on case study.

2.Understand hotel organisational charts
2.1 Explain why lines of authority are particularly important in a large metropolitan hotel.
Lecture

Organizational structure involves, in addition to task organizational boundary considerations, the designation of jobs within an organization and the relationships among those jobs. There are numerous ways to structure jobs within an organization, but two of the most basic forms include simple line structures and line-and-staff structures.

In a line organization, top management has complete control, and the chain of command is clear and simple. Examples of line organizations are small businesses in which the top manager, often the owner, is positioned at the top of the organizational structure and has clear “lines” of distinction between him and his subordinates.

The line-and-staff organization combines the line organization with staff departments that support and advise line departments. Most medium and large-sized firms exhibit line-and-staff organizational structures. The distinguishing characteristic between simple line organizations and line-and-staff organizations is the multiple layers of management within line-and-staff organizations. The following sections refer primarily to line-and-staff structures, although the advantages and disadvantages discussed apply to both types of organizational structures.

Several advantages and disadvantages are present within a line-and-staff organization. An advantage of a line-and-staff organization is the availability of technical specialists. Staff experts in specific areas are incorporated into the formal chain of command. A disadvantage of a line-and-staff organization is conflict between line and staff personnel.

Group discussion

Questions and discussion relating to case study.

2.2 Evaluate the importance of two organisational rules and regulations.

Seminar In this seminar the lecturer should discuss different organisational rules and regulations.

Group discussion After both the Seminar and Lecture the tutor/lecturer should ask the students to write down any questions they have and partake in researching those questions. The students should then bring those questions and research they have undertaken to a smaller group where debate and questioning should be encouraged

3. Understand how to review and comment on the management organisational structure of different types of hotels.
3.1 Illustrate the chain of command in a small hotel by using a Management Organisational Chart.
Lecture

This lecture should focus on General Manager’s working process of a hotel increase business

Seminar

In this seminar the lecturer should discuss about duty rosta of departmental heads

3.2 Explain the nature and necessity of a complex structure in a large hotel.
Lecture

This lecture should focus on explain types of chain association and classify types of chain association

Seminar

In this seminar the lecturer should discuss explain the management contract in a large hotel.

4 Understand progression opportunities within the hotel industry.
4.1 Analyse the career path within one department of a large hotel
Lecture

This can be based as below.

Career in the Hotel Industry
Overview

There are numerous job opportunities available within the hotel industry due to the many different departments that contribute to the smooth running of an establishment. These include both front and back of house operations such as housekeeping, maintenance, reception, and food and beverage. Additionally, all hotels need a manager and some have individual department managers reporting to a general manager, thus providing opportunities for promotion. Also, the larger chains will often employ area managers who are responsible for the management of a network of hotels.

No matter what position you undertake within a hotel, the primary focus of the role will be to ensure that optimum service standards are delivered to guests and visitors to the premises. On the reception desk, you are the first point of contact for guests checking in and out of the hotel, and will therefore have to deal with enquiries and complaints on a daily basis. In the restaurant and bar areas, you are responsible for the quality of food and beverages served to the guests. As a housekeeper, you are accountable for the condition of the bedrooms and the public areas of the hotel. Hotel managers are accountable for all hotel functions as well as the administrative and accounting duties associated with the management of the premises. Additionally, hotels with bars must be compliant with statutory licensing regulations and it is the responsibility of the manager to ensure that this is maintained.

Due to the nature of the business, working in a hotel involves unsociable hours with many hotels often busier at weekends and on public holidays. It is essential to be passionate about customer service and all customer-facing roles require excellent communication and interpersonal skills. Hotel managers need to have strong business acumen and the ability to implement effective marketing strategies to enable the hotel to remain profitable in what is a highly competitive industry sector. There will always be complaints received from guests and customers so a professional approach is important as is the ability to deal diplomatically and tactfully with any incidents that occur.

Entry requirements

The hotel industry is one that benefits more from the personality traits of its staff rather than their standard of education, although for progression to management level it is possible to undertake HNC, HND and degree qualifications in Hotel and Hospitality Management. Most of the larger hotel chains, including Marriott, Travelodge, Ramada and Best Western, offer training courses leading to the achievement of NVQs or SVQs in Hospitality Service, Hospitality Supervision and Hospitality Management.

Progression opportunities

At entry level, the hotel industry is not necessarily one that pays particularly well although this does improve with progression to management level. Some of the larger hotel chains also have establishments in other countries so if you have a desire to work overseas, the hotel industry can offer excellent opportunities to those willing to learn a foreign language.

Seminar

In this seminar the lecturer should discuss a career in a specific department e.g. housekeeping.

4.2 Illustrate, using a diagram, the place of the hotel industry as one of the components of the Tourist industry.
Lecture

This can be based on following case study In the modern times, the way people spend their vacations has undergone a great change. People like to spend good times with family and friend while at the same time exploring various tourist places across the globe. As a result the tourism industry across the globe has seen an unprecedented growth which in turn has also resulted in tremendous growth in the hotel and accommodation facilities.

Comfortable hotels and accommodation facilities play a very important role in popularizing any tourist destination. If a person, who is quite far away from home, gets to enjoy the same facilities and comforts as he enjoys at his home, then he is bound to become attached to the place. On the other hand if the tourist ends up at a place where the hotels and accommodation facilities are not satisfactory, it is quite likely that he might never return to that place.

Perhaps that is why, hotels and accommodation facilities being made available at different tourists spots, have shifted the focus to providing maximum comfort to tourists at reasonable rates. It is also vital to provide comfortable accommodation to people from diverse economical backgrounds. While five star hotels can cater to the needs of affluent visitors, small and medium range hotels and lodging houses are available for use by a middle class traveler.

Blog reviews are also vital in that information about all the hotels and accommodation facilities available in a particular tourism spot are available to people quite easily. For this there can be no better option than internet, as most tourist gain information about the hotels and accommodation facilities through this medium only. The other ways are by making booklets containing information about the hotels and accommodation facilities available at train and bus stations.

The information provided to the tourists should be detailed and correct. It should contain the information related to room rentals, types of rooms, catering services, check out times, pick and drop facilities etc. Additional information about the significant tourist spots in the area can also be provided both on the net as well as the booklets, to promote not only the hotel but the tourist spot as well.

There are many websites available on the internet which are based on travel and tourism. You can get information regarding hotel accommodations, tourists place, and business blog reviews sight scenes. You should search these websites to make your travel easy and plan things accordingly. Through blog reviews you can get the link of such websites that are truly genuine and will provide you with travel packages into many countries. Read these blog reviews and you will know better.

Article Source: http://EzineArticles.com/?expert=Suman_Ahliya

Seminar

In this seminar the lecturer should discuss relation between hotel and tourism and how hotels are an integral part of the tourism industry.

Unit 3-Marketing of Accommodation
Explain pricing strategy
Understanding Client behaviour
Knowledge of Market Research and Planning
Marketing to organize
Manage the retail marketing mix
Analyse SWOT

1. Understand how marketing principles apply to different types of hotels.

1.1 Examine the components of the marketing mix as applied to the hotel industry.

1.2 Analyse the benefits of segmentation for a large hotel.

2. Understand the marketing strategies and communication strategies of hotels.

2.1 Analyse the advantages of branding in relation the hotel industry.

2.2 Prepare a detailed SWOT analysis for a large chain of hotels.

3. Understand how two sales promotion packages are used to promote hotel services.

3.1 Evaluate two external influences which may affect the promotion of hotels.

3.2 Analyse three marketing objectives to be used in the planning of a promotional campaign.

4. Understand the part which market research has in the selling of accommodation and services

4.1Compare and contrast the advantages and disadvantages of both primary and secondary research.

4.2 Illustrate how two internal and two external sources of information can be used by a hotel when promoting holidays.

Marketing of Accommodation-suggested lesson plan

Do the case study on Riverview and ask questions.

1. Understand how marketing principles apply to different types of hotels.
1.1 Examine the components of the marketing mix as applied to the hotel industry.

Lecture: Explain how the marketing mix is directly responsible for maximizing room sales and revenues in a hotel.

Seminar

In this seminar the lecturer should explain pricing strategy

1.2 Analyse the benefits of segmentation for a large hotel.

The tutor will need to explain what segmentation is and then discuss the list below and whether all of these would apply to a hotel marketing.

Companies who segment their markets match their strengths and offerings to the groups of customers most likely to respond to them. Points for discussion.

aˆ? Differentiate products and services to meet customer needs and desires.

aˆ? Design or redesign new products and services to meet market needs.

aˆ? Find hidden needs and make improvements to existing products.

aˆ? By selecting and focusing on the most responsive segments to the exclusion of others, marketing can be created to more effectively fit consumers needs. Finding, understanding and focusing on the needs of the best customers can make a market leader.

aˆ? Target marketing mix to the customers most likely to want the products or services

aˆ? Identify behaviours and buying motives for products.

aˆ? Identify most and least profitable customers.

aˆ? Help.

aˆ? Avoid unprofitable markets.

aˆ? Increase brand loyalty and decrease brand switching.

2. Understand the marketing strategies and communication strategies of hotels.
2.1 Analyse the advantages of branding in relation the hotel industry.
Lecture

In this lecture the lecturer should discuss with the students branding systems in International Marketing

Group discussion

Srudents should have had photographic evidence of branding of major hotel chains and discuss usefulness in marketing on a global scale.

2.2 Prepare a detailed SWOT analysis for a large chain of hotels.
Lecture

Provide an explanation of the case study below and advise the students on what they should do.

Case study

Riverview Hotel

The Hotel

The Riverview Hotel, Notown USA, is representative of the five star brand within the ‘Exclusive Business Hotels of the World’ group. All Riverview Hotels are boutique properties, offering between 25 and 35 exclusive rooms.

Mission

The Riverview Hotel is dedicated to providing its guests with the highest quality of service and standards. We seek to deliver on our promise of value and quality above all else. We value our place in the community and will work to develop those relationships and to respect and protect our environment.

We will continue to strive to create value for both owners and shareholders whilst honoring our brand values and encouraging our personnel to develop themselves in an environment of trust, loyalty and encouragement.

Service Offering

Service: high-quality facilities accompanied by exemplary personal service, differentiated from competition in line with the overall brand strategy, has proven to be a successful approach generating high levels of repeat business.

Positioning

The Riverview Hotel is positioned as a five star plus, business travellers hotel, strategically located and offering a high level of personal service. Our focus is on offe