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Hotel Marketing Be a yardstick of quality. Some people aren’t used to an environment where excellence is expected. -Steve Jobs Copyright© Texas Education Agency, 2012. All rights reserved. 3 Marketing Basics Marketing – the creation, management, and selling of products 4 Copyright© Texas Education Agency, 2012. All rights reserved. Products Goods • Tangible, hold or touch • examples: T-shirts, furniture Services • Intangible, can’t touch • examples: spa, miniature golf 5 Copyright© Texas Education Agency, 2012. All rights reserved. Marketing Process Identify the customer Market Segmentation Determine customer’s wants Target Marketing Make the right product… Product Management …at the right place… Place (Distribution) …at the right price Price Management Communicate to the customer Promotion The Marketing Mix (4 P’s of Marketing) 6 Copyright© Texas Education Agency, 2012. All rights reserved. Identifying the Customer • Market – All potential customers – share common needs and wants – have the ability and willingness to buy • Marketers can conduct research to identify a target market • Identifying a target market is achieved through market segmentation • The strength of a marketing mix depends on two things: – How well the target market is defined – How well all marketing decisions are directed toward that target market 7 Copyright© Texas Education Agency, 2012. All rights reserved. Determine What the Customer Wants Wants are determined by segmentation and research 8 Copyright© Texas Education Agency, 2012. All rights reserved. True or False • • • • Guests are price sensitive? Guests want discounts? Guests want everything for free? Guest want rest and relaxation? 9 Marketing Mix Product Place (Distribution) Marketing Mix Price Promotion 10 Copyright© Texas Education Agency, 2012. All rights reserved. Make the Right Product… • • • • Obtaining Developing Maintaining Improving 11 Copyright© Texas Education Agency, 2012. All rights reserved. Product Strategies • • • • • • • Amenities Benefits Branding Features Image Packaging Services 12 Copyright© Texas Education Agency, 2012. All rights reserved. …at the Right Place Location, location, location! 13 Copyright© Texas Education Agency, 2012. All rights reserved. …at the Right Price • • • • Complex decision Non-price Revenue Management Software Strategies include: – based on demand – competitors – image 14 Copyright© Texas Education Agency, 2012. All rights reserved. Communicate to the Customer Advertising Sales Promotion - print - broadcast Interactive -website - social media Personal Selling - suggestive and group - telecommunication - coupons, rebates, discounts - frequent buyers program Promotion Public Relations - press releases/kits - media relationships Personal Selling 15 Copyright© Texas Education Agency, 2012. All rights reserved. Seekender Wants 4 Passions 1. Food 2. Sports 3. Music 4. Great Outdoors 68% feel experience ranks higher than money Copyright© Texas Education Agency, 2012. All rights reserved. 17 How to reach the Seekender 1. Entice procrastinators (only 7 rooms available) 2. Include parking 3. Identify things to do 4. Feed the foodies 5. Capture the experience Copyright© Texas Education Agency, 2012. All rights reserved. 18 Facts Studies show that people remember: 10% of what they hear 20% of what they read 80% of what they see and do Copyright© Texas Education Agency, 2012. All rights reserved. 19 Biggest Marketing Trend • Social Media • 91% of smartphone users have their phone within arm’s reach 24/7 • 60 million tweets mentioned hotels last year 20 What did Volvo do? 21 Actual Commercial • https://vimeo.com/122989280 Copyright© Texas Education Agency, 2012. All rights reserved. 22 Marketing Trends • • • • • • • Visual storytelling Personalized web experiences Experience driven strategies Interactive promotions Limited Time Offers- cyber Monday Packages Local Presence Copyright© Texas Education Agency, 2012. All rights reserved. 24 • Have a Blog to post information on activities, attractions, dining, shopping, nightlife. It allows you to provide your guests with suggestion on what to do. Moreover it is a constant source of content that you can use to spread on other social networks like Facebook and Twitter. • Manage your online reputation, by inviting guests to post reviews on TripAdvisor, Yelp and other review websites. • Invite guests to join your Facebook page (upload their emails), and ask them to post pictures of the hotel and their trip. Panoramia is also a great site to have guest post pics as it is linked to Google Earth & Maps. • Link local companies and attractions in your Twitter and Facebook posts by using ‘@’ and their profile name. It will jump start your interaction online and grow your sphere of influence. • Prizes to get the job done. An incentive gets people moving. Give a free weekend in return for the best guest pic of the month … • Find interesting and funny videos of your destination and add them to your YouTube Channel to create a sort of video tour guide. Interactive Promotions Copyright© Texas Education Agency, 2012. All rights reserved. 31 Limited Time Offer Promotions Copyright© Texas Education Agency, 2012. All rights reserved. 32 Marketing Fails DiGiorno’s Pizza “#WhyIStayed You had pizza.” Union Street Guest House’s Guest Fines Brides and grooms were told that they’d be fined $500 for every negative comment left on any website by any of their wedding guests. Copyright© Texas Education Agency, 2012. All rights reserved. 33