MARKETING PLAN OF CUSTOMER BUYING BEHAVIOR IN A HOTEL FOR CONFERENCING SERVICES
Hotel Event Management provides a wide range of growth opportunities for building, enhancing and holding profit as well as long term relationships with any other business organization. Conferencing and other hospitality services provided by hotels are best examples for creating large number of consumer clients. This marks a significant shift from focusing only on individuals previously to rather large organizations in the hospitality industry. In this industry, there is barrier to entry for new comers, though; it is even more challenging and competitive for the current established hotels. Hotel industry deals with all kinds of customers from individual people to big client organizations of other industries which make it an interesting sector for examining various customer-buying behaviors. In today’s fast moving world, there is continuous change in customers’ taste and preferences that it becomes mandatory for a company to develop a strategy for custom marketing in order to draw more new customers and retain the old ones. While on the other hand, the hotels that still follow the one size fits all approach are dwindling in profits due to decreasing customer retention. And so, a hotel can expand its sales services by knowing the real expectation of the client customers, differentiating between buying behavior of existing and prospective clients and identifying and exploiting various trends in the hospitality and other related market segment. On account of this, hotels before engaging in sales activities should design a marketing plan so as to make the manager think ahead of time to make better use of resources, ensuring specialization in specific area of operation, building business model for hotels and focusing on price, quality of service and speed of service which forms the future of the business.#p#分页标题#e#
As a Marketing Director of the Grand Hotel, the marketing strategy for a commercial hotel would be to differentiate from the competitors to ensure sustainable competitive advantage through positioning and managing the service life cycle. In the initial phase of positioning, the managers will promote the hotel among business clients and business travelers about the location of the hotel. Mostly the location of commercial hotels is in the interiors of any metropolitan or financial city, which makes it much more approachable and comfortable for the business clients. The following step would be promotion of the location of hotel in and around the locale of the city and also other parts of the country through various advertising media such as posters, billboards, television advertisements, e-marketing, presentations to various prospective clients and active participation in tourism and hospitality exhibitions to spread awareness about the prime location and its benefits to business houses and business travelers. The next step would be to focus on promotion of some specific conferencing and meeting services related to the commercial hotel market segment that is providing free high speed internet access, projector and computer equipments, room-set up, markers and boards, catering and refreshment service, visible signposts for directions to conference site, transportation services from airports to hotel, brochure advertisement facility, call in paper service, documentation delivery facility, video conferencing facility, webcams, video phones and video relay services for individuals who are physically impaired and proper electricity backup.
Further the Hotel will be classified and placed in such a way convincing the organizational clients that the hotel is best option in the whole town providing world-class service to the customers. In this manner, the hotel will be positioned best among all its competitors by differentiating its products and services from those provided by its competitors. The clients will be able to recognize the difference in services and will be attracted to the organization that matches with their needs and interests. Custom-made services shall be offered by the hotel, focused to meet the needs of business customers rather than individual customers, such that it is identified as business conference hotel and not a luxury hotel. This way the hotel will be able to categorize itself in a particular product class. Since the customers of the hotel are big corporate houses, financial institutions, educational institutions, research institutions, medical and other various organizations, the hotel will be positioned as high-end hotel providing premium facilities at relatively high yet competitive prices. In order to gain more popularity among the masses of the home or host country and world-wide, the hotel can also be associated to a promontory of the home or host country. The hotel, in this way, will become a symbol of cultural significance. However, the success of the positioning of services offered by the hotel will depend much upon the life cycle of the existence of services.#p#分页标题#e#
Under service life cycle, the managers will have to manage the demand of the clients by supplying the offered services. And only by managing the demand of the services through effective strategies can the hotel compete successfully in the market. This will lead to increase in competitive advantage as well as help in positioning the hotel with classified services against that of its competitors.
However, the initial positioning of the commercial hotel offerings can only be done after the Marketing Director of the hotel has successfully identified the buying behavior of its clients. The hotel being commercial in nature will target the high-end organizational clients. Therefore, being the director, the foremost priority will be to identify the needs and wants of the high-end business clients. The clients are generally in large groups with same business agenda or interest, so their requirements for a business meeting or conference will also be similar. The business organizations generally want to achieve cost efficiency by outsourcing the business conferencing events to hotels in order to save their time, financial resources and energy. Moreover, globalization has led trading between different countries more manageable and accessible which has resulted in countries becoming increasingly inter-dependent. This has resulted to growth in the travelling of business clients from one city to other for presenting business proposals and making contracts and agreements in business meetings and conferences. Therefore, clients will be inclined to outsource the management of their business events due to increasing paucity of time, increasing technological advances and efficient management of other resources. These will be the factors of buying behavior of the business clients of the commercial hotel.
As the commercial hotel deals in providing core business services to its business clients at one particular place, so the hotel initially will not sell its services globally. However, if the in future, the hotel plans to expand its branches or make pact with franchise, then the hotel can also engage in providing services globally. Likewise, as the hotel’s core offering is management of business events and providing related extended services, the suppliers will not be from other countries but the host country. The majority of equipments and working staff will be available in the host country, so it will be acquired from within the same country in order to reduce wastage financial resources. The market segmentation in hotel business will help to recognize and differentiate its clients from others. In a commercial hotel, the buyers will be from different age, gender, religion, country but the only similarity will be that all will be business executives and managers, conveners, vacationers. The hotel will target new customers of same segment that is corporate clients. Although, the company’s main priority will be to retain the existing clients and then later reaching out and attracting new clients as well in order to ensure growth of the hotel. Hotel will attract its corporate clients by offering the services required and needed by the corporate houses. The information about the corporate clients will be gathered from the public sources, surveys, internet, questionnaires, research and comparison between the conference services. The hotel will be required to gather lot of information due to extensive decision making required by the clients. In addition, the corporate clients buying decision will be influenced by psychological factor such as motive. The motive of corporate clients buying behavior will be the need to select suitable location for their prospective business meeting. The hotel will not engage in any mal-practices so as to maintain the goodwill, trust, loyalty and reputation among the corporate clients. Even a small amount of hamper to the goodwill and reputation of the hotel can lead to client reduction. The hotel will acquire and use the latest equipments for providing premium services in business conferencing. The adoption of latest technology is mandatory for the hotel as it plays the key role in deciding factor for clients buying decision. Latest technological services will provide business edge to the hotel over those provided by its competitors. The hotel will practice relationship marketing which will help the hotel in customer satisfaction and further lead to customer retention. The hotel will focus on the key business clients who are likely to be loyal to the hotel. While feedback will also be taken from other clients who make their choice depending on the current best option available which provides best quality at relatively lower costs and having a convenient and approachable location. So the hotel will provide services at a lower cost with maximum quality and should have regular fixed prices for their clients to attract new clients and maintain old ones. This way hotel will have long term client relationship value through communication. Hotel will also provide extended facilities like transportation facilities in form of hotel cabs and air-conditioned buses to pick and drop clients to airport, online registration for conferences, hassle free registration procedure, short-notice meeting arrangements and various other facilities will differentiate hotel’s services from those provided by competitors and will give competitive advantage.#p#分页标题#e#
Therefore, the market plan designed for the hotel services will include situational analysis of the company’s actual market standing and position and SWOT analysis assessing hotel’s strength and weakness to make strategic planning for future to gain advantage over competitors. The market plan will clearly define the mission of its business by finding the gap between its present actual position and future desired position. The hotel will bridge the gap between its current and future position by improving the quality of services and bringing improvisation and innovation in already offered services. The differentiated extended facilities will help the hotel to bridge the gap. In addition, the hotel will set clear, authentic, feasible, realistic and time specific objectives and goals such as implementing latest technology, expansion of commercial services for educational and research institutes, construction of more conference rooms, conducting other corporate events apart from meeting and conferences. These objectives must be aligned with the ultimate vision of the hotel that is achieving international recognition in commercial hospitality and creating benchmark services in the field of hospitality. Furthermore, the hotel will make a strategic planning for making use of the future opportunities by positioning its offered sale services according to the corporate segment, corporate clients, core nature of services, and location of the hotel and promotion activities for services offered. The hotel’s design of a service life cycle also forms part of its marketing strategy. Moreover, the hotel will lay down its action plan for separate objectives and short term goals for their easy and successful execution. For providing internet access in the conference rooms along with residential rooms will require the hotel to acquire the most reliable and strong network in the city. Likewise, for providing electronic services 24 hours will require to make electricity backup for the hotel. Thus, the hotel will complete the marketing plan design by monitoring the result in comparison to the pre-assumptions made by the hotel. The hotel will monitor its performance against its competitors, monitoring its performance in a detailed manner for better results and lstly ensuring marketing control through corrective course of actions.