Place in Hospitality Marketing: Location

1
Chapter 10

• Place in Hospitality Marketing Location

2
Location Strategies

• Clustering
• Cannibalization
• Location type
• Freestanding or POD
• Colocation
• Funnel or magnet

3
Tactical Issues
Location Site Decision Decision
?
4
Restaurant Location Evaluation

• Trading area
• Population and its characteristics
• Relations to Roadway systems and traffic
• Physical barriers
• Social barriers
• Distance
• Local traffic
• Other sources of business
• Gravity of large centers and traffic flow
• Gravity model
• Competition

5
Restaurant Site Evaluation

• Traffic
• Visibility
• Relative visibility
• Accessibility

6
Visibility and Accessibility
Site A
Site B
Site H
Site G
Site F
Site E
Site D
Site C
7
Restaurant Site Evaluation

• Visibility
• Accessibility
• Size
• Parking
• Cost
• Land use in surrounding area
• Site terrain

8
Hotel Feasibility Study

• Site evaluation
• Marketing area analysis
• Demand analysis
• Build-up approach
• Current demand
• Competitive/supply analysis
• Other study contents
• Revenue, expenses, profits
• Informed judgement