Marketing and Sales Getting to Know the Market Geographic

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Marketing and Sales
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Getting to Know the Market

• Geographic
• Where do your customers come from
• How far do they travel
• Demographic
• What are their characteristics
• Gender, age, education, occupation, income etc.
• Psychographic
• Self-image and lifestyle
• What do they value Allocentric v. Psychocentric
• Behavioristic
• For business, special occasion, loyalty

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The Marketing Process

• What to offer?
• Product category
• To whom to offer?
• Target Market
• At what price?
• What is the strategy for distribution?
• Creating awareness
• Through what channels?
• Retaining Customers.

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Marriott Strategy

• A change from focusing on Accounts to a focus on
  Industry
• Deciding on Intermediary Strategies
• Key Segments
• Airlines, Associations, Entertainment,
  Government, Intermediary, Multi-cultural, SMERF,
  Sports, Business Travel, Catering

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3 Key Strategies

• Segment Analysis and Strategy Development
• Sales Support of Account Management
• Segment specific value added that drive
  incremental sales

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Segment Analysis and Strategy Development

• Marriotts position w/in segment
• Competitive analysis
• Segment Marketing Plans
• Business model strategies
• Data collection and integrity
• Data and trend analysis

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Sales Support

• Leveraging brand initiatives
• Supporting the market direct sales effort
• Account management in key industries
• Facilitate coordination of field efforts
• Company representation at industry and trade
  shows.

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Segment Specific Value Added

• Segment leaders
• Web-based support for direct sales effort
• Corporate and franchise support
• Industry value adds through targeted promotions
  and marketing

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Targeted Segments

• Airlines
• Business partners and revenue source -185
  billion industry
• Business Travel
• Refers to individuals that travel separate from
  associations. This market travel for a variety of
  reasons and lodging needs will change
• Entertainment
• Movies, theaters, production crews
• Government
• 20 billion a year segment with fixed stipends

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Targeted Segments

• Intermediary
• Secondary sources which sell your property
• Sports
• Most think of professional sport teams but a
  large and growing market is the weekend youth
  sport leagues

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Sales Marketing Activities Websites
Marketing plan development format of marketing
plan

• A review of market competition
• Occupancy trends /ADR trends / performance of own
  hotel
• Competitive analysis of your competitor
• Strengths / weaknesses / price structure
• Competitive analysis of your own hotel
• Strengths / weaknesses / price structure

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Sales Marketing Activities Sales Efforts
Marketing plan development format of marketing
plan

• Forecast of future market conditions
• Estimated market growth or contraction /
  performance goals and objectives for own hotel /
  timeline for achieving these goals and objectives
• Determination of specific marketing strategies
  activities
• Advertising / public relations / promotions
• Preparation of a marketing budget
• Development of measurement evaluation tools

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Development of measurement evaluation tools

• Special packaging of products or services
• Promoted and disseminated by advertising and
  publicity

• Information about hotel, media-distributed free
  of charge
• Costs the hotel nothing
• May be either good or bad

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Development of measurement evaluation tools

• Activities ensuring hotel has a positive public
  image (good citizen of the community)
• Hosting charity events, contributing cash or
  in-kind services, donation of hotel staff time
  for worthy cause

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Sales Marketing Activities Websites
Effective hotel websites should

• be easy to navigate.
• have some level of interactivity.
• be linked to appropriate companion sites (demand
  generator).
• allow for online booking.
• balance guest privacy needs with hotels desire
  to build a customer base.
• update and revise room rates easily on the
  website.
• include a virtual tour of the property.
• complement other marketing efforts.
• be in language(s) of potential clients.
• have website address easy to remember.

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Evaluating Sales Marketing Department Pace
Report

• Is a document summarizing confirmed (group) sales
  made by Sales and Marketing dept.
• Can be prepared based on number of rooms sold,
  value (in dollars) of sales made, or both
• Can also include any period of time in the future
• Tells hotels owner and management the potential
  sales volume generated by Sales and Marketing
  department
• However, does not indicate what actual sales
  volume should be (STAR report does!)

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Evaluating Sales Marketing Department Sample
Pace Report
Waldo Hotel Group Rooms Pace Report for January,
200x
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Evaluating Sales Marketing Department The
Smith Travel Accommodations Report (STAR)
Evaluating Sales Marketing Department The
Smith Travel Accommodations Report (STAR)
STAR working process and preparation

• Hotel voluntarily submits financial data to Smith
• Smith maintains confidentiality of all individual
  hotel data
• Combine operating data submitted by selected
  competitors
• An individual hotels operating performance is
  compared to that of its competitive set
  (understanding the competitive set is key
  component of understanding STAR!)

Who are the STAR interest groups?

• Hotel owners, management companies, property
  management, franchisers, appraisers, financial
  community

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Evaluating Sales Marketing Department The
Smith Travel Accommodations Report (STAR)

• Occupancy, ADR, RevPar, market share, historical
  trends, to-date performance, state or region

• Assess performance of Sales Marketing
  department as well as the entire property
• Know the strength of hotel and Sales and
  Marketing staffs sales results, in comparison
  with selected competitors.