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INTERNATIONAL HUMAN RESOURCE MANAGEMENT - PowerPoint

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INTERNATIONAL HUMAN RESOURCE MANAGEMENT - PowerPoint Powered By Docstoc
					  INTERNATIONAL
HOTEL SALES AND
      MARKETING
                 INTRODUCTION
• Today, the world become as a global market place
 with both hotel enterprises and consumers. This
 means, marketers have to develop new market
 strategies and they have to know cultural diverse
 expectations, attitudes, and what motivates people to
 buy.
• Marketers must research and understand the
 customer’s value judgements, cultural norms and
 new sales and marketing methods.
• For this reason, sales and marketing strategies
 become most important and valuable for hotel
 managers and marketers. We will examine on this
 strategies in this presentation.
         MARKET RESEARCH

The first step in entering any new market is
determining if there is product demand, either
existing or potential.
Effective      research      reveals      market
characteristics and identifies future travel
trends. If the hotel’s products and services can
be tailored to meet the needs of the target
markets, and then formulate a marketing
strategies.
Market research is a process that identifies and defines
marketing, oppotunities and problems, monitors and
evaluates marketing actions and performance and
communicates the findings and implication the
management.
Research priorities as follows :
• Market segmentation and sizing
• Concept development and product testing
• Price-Sensitivity assessment
• Advertising and promotions assessment
• Market tracking
• Customer Satisfaction
MARKETİNG RESEARCH PROCESS



   Defining the problem and research
               objectives              Developing the research plan
                                              For collecting
                                               information




          Interpreting and             Implementing the research plan
           Reporting the                      Collecting and
              findings                      Analyzing the data
● GUEST ANALYSIS
  Hotel managements should identify guest
  histories and demografic datas. This will be useful
  for competitive positioning, product improvement,
  tourist demands and other market strategies.
● COMPETITION ANALYSIS
  Evaluation a hotel’s marketing environment
  requires a SWOT ( hotel’s strenghts, weakness,
  opportunities and threats). Competitor’s can
  determine the disadvantages and advantages of
  tourism marketplaces with this analysis. This
  information show their market share, market
  position and their market strategies.
● INFORMATION ANALYSIS


Information gathered by the company’s marketing intelligence and
marketing research systems can often benefit from addational analysis.
This might include advanced statistical analysis to learn more about the
relationship withhin a set of data. Such analysis allows managers to go
beyond means and standart deviations in the data and answer such
questions as the following :
- What are the major variables affecting sales, and how important is
    each?
- If the price is raised 10% and advertising is increased 20%, what will
    happen to sales?
- What are the best predictors of who are likely to come to my hotel
    versusmy competitor’s hotel?
- What are the best variables for segmenting my market, and how many
    segments exist?
  The Internet : A New Marketing Research

The internet allows access to commercial services such as dialog,
 compuserve, lesis\nexis, and research library information network, some
 useful sites for hospitality and tourism marketing information are as
 follows :
- http://www.adage.com advertising age
- http://www.ama.org\ Amerikan Marketing Association
- http://www.marketingtools.com USA Demographics Marketing Tools
- http://www.ahma.com USA Hotel and Motel Association
- http://www.clubnet.com Club Managers Association of USA
- http://www.hcima.org.uk Hotel and Catering International Management
     Association
- http://www.hsmai.com Hotel Sales and Marketing Association International
- http://www.restaurant.org National Restaurant Association
- http://www.sbaonline.sba.gov Small business administration-supplied trends
     and information for small business
• FORECASTING FUTURE DEMAND

 Forecasting demand is a review of time
 series analysis and based on such key
 variables. A forecast analysis enables the
 hotel to improve decision-making strategy
 planning, and control of marketing efforts
 and resources.
• Common Forecasting Tecniques



      BASED ON                METHODS

      What people say         Surveys of buyers
                              intentions
                              Composite salesforce
                              opinions
                              Expert opinion

      What people do          Test markets
      What people have done   Leading indication
                              Statistical demand
                              analyzing
      DEVELOPING AN INTERNATIONAL
            MARKETING STRATEGY
International marketing strategy requires the
selection of specific target markets,
communication and promotion methods, and
distribution channels for hotel enterprises. The
hotel marketer needs to determine the
orientation of the marketing effort and allocation
of resources. The strategy for any market should
be based on the needs and motivations of that
particular market.
1.Marketing Process Strategies


- Long term decions and long term
  effectiveness
- Marketing information reseach with their
  own marketing department or intervention
  companies
- Organization structure
- Private budget for marketing process
2. Determining Strategic Process Levels


- Market Segmentation
- Environmental Factors
- Marketing Formulation
( Strategy formulation-program formulation )
- Using Marketing Factors
( Price-Product-Promotion-Place )
3. Kinds of Marketing Strategies

 Development Strategies
 - Increasing Development
 - Completion Development
 Competition Strategies
 - Price Strategy
 - Cost Strategy
 - Finding Appropriate Market Strategy
 - ‘Leader of Market ’ Strategy
 Alternative Tourism Strategy
 Product Strategy
► National tourism organizations and
other destination marketing organizations
can be helpful in developing an international
market strategy because they normally work
with convention planners, wholesalers, and
travel agents.
Significant cost advantages can be gained by performing
marketing activities on a centralized or reginol basis, spesifically
in the following areas :


- Centralized production of promotional materials
- Central sales force
- Development of international marketing coalitions
- Standardization of common marketing activities
- Sharing marketing information
- Sequencing marketing programs with integrated
  efforts across countries
- Centralizated advertising
►Good    communication between the regional
 offices and individual hotel sales office helps to
 produce new sales efforts, strategies and more
 business for the individual property. Centralization
 and decentralization marketing have different
 advantage and disadvantage.
►To develope an international marketing strategy;
 the target markets have been selected, each
 strategy depends on that market customary use
 of travel agencies, tour packages and special
 promotions as well as the market’s expectation
 and behaviours.
STRATEGIC PLANNING


-   Overwiew of Planning : Many companies operate without
    formal plans. In mature companies, many managers argue that
    they have done well without formal planning, and that therefore
    it cannot too important. Yet, formal planning can yield many
    benefite for all types of companies, large and small, new and
    mature.
-   Defining The Company Mission : A mission statement is a
    statement of the organization’s purpose-what it wants to
    accomplish in the larger environment.
-   Setting Company Objectives and Goals
-   Designing the Business Portfolio
-   Planning Functional Strategies
             Market Opportunity Identification


           Existing products    New products
Existing
Markets      Market                 Product
            Penetration           Development




 New
 markets      Market              Diversification
            Development
     UNDERSTANDING VARIOUS TRAVEL
             DISTRIBUTION SYSTEMS
An important element in the marketing strategy of
any hotel is the system of marketing channels
through which products and services are sold to
their ultimate buyers.The term travel distribution
system refers to a series of marketing or selling
institutions and how a sells its services to buyers
through travel agencies, tour operators, free lines
and others.
     AUTOMATED GLOBAL DISTRIBUTION
                     SYSTEMS
Today, tourism organizations are virtually using
computer reservations systems ( CRSs ) and this
system will allow reservationist to conclude sales
more easily and to place guests in the right hotel
at the right price anywhere in the world.Some of
the CRS are sabre, apollo, galileo, amadeus,
abacus, etc.
DISTRIBUTION CHANNEL FUNCTIONS

1.   Information
2.   Promotion
3.   Contact
4.   Matching
5.   Negotiation
6.   Physical Distribution
7.   Financing
8.   Risk Taking
CONSUMER MARKETING CHANNELS



Manufacturer                                        Consumer




Manufacturer                      Retailer          Consumer




Manufacturer     Wholesaler       Retailer          Consumer



Manufacturer   Wholesaler     Jobber     Retailer     Consumer
INDUSTRIAL MARKETING CHANNELS


 Business                                  Business
                                          Consumer


                             Business      Business
 Business                   Distributor   Consumer




  Business   Sales Branch                   Business
                                           Consumer


                             Business       Business
 Business    Sales Branch
                            Distributor    Consumer
WORKING WITH TRAVEL AGENTS

For hotel managers who can work with
travel agents in different countries, the
increase in international travel presents a
golden opportunity. Today, consumers
increasing reliance on travel agents and
hotels work with this distribution systems
to increase revenues by selling more hotel
products on an international scale.
     COMMON HOTEL-TRAVEL AGENCY
         RELATIONSHIP PROBLEMS
 It can be especially stated as commission
  payment problems, currency
  conversations, payment time, booking
  problems and negotiated hotel rates.
 And resolving this relationship problems
  following cases can be used:
 Speed of confirmation and payment
 Payment guaranteed
 Payment in local currency
 Consolidated payment
            TOUR OPERATORS

 For some hotels, teaming up with travel
  partners in a package may be the only way
  to make the foreign marketing effort
  economically feasible.
 In working with wholesalers to develop
  package tours, the hotel needs to consider
  three factors :
- Most wholesalers will package and
  promote
  only those tours
- Any cooperative support offered by the
  hotel in the tour programme will help to
  reduce the wholesaler’s risk and
  encourage the inclusion of a new or
  unproven product
- It requires long-range efforts, negotiations,
  and continuous marketing support
Foreign wholesalers are often reluctant to
 take on a new unproven product, so
 branded hotels are more acceptable than
 unbranded in the package for tour
 operations.
              SEGMENTATION
 The successful hotel marketing effort
  today demands detailed segmentation and
  the use of avalaible resources to satisfy
  specific target markets. Markets can be
  segmented in three ways : geographically,
  demografically and psychographically.
 For example Japanese travel market
  segmented like;
 Free and independent travelers,
 Group inclusive tours,
 Silver market ( families with young children
  )
 Honeymooners, office ladies etc.
Market Segmentation Variables


 • Geographic Segmentation
 It calls for dividing the market into different
 Geopraphic units, such as nations, states,
    regions,
 countries, cities or neighborhoods.
 - Region
 - City or metro size
 - Density
 - Climate
• Demographic Segmentation

 It consist of dividing the market into groups based on
 Demographic variables such as;
 - Age and family life style
 - Income
 - Occupation
 - Education
 - Religion
 - Race ( white, black,Asian )
 - Nationality
 - Family size
• Psychographic Segmentation

It divides buyers into different groups based on;
- Social class
- Lifestyle
- Personality Characteristics

People in the same demographic group can
  have
very different psychographic profiles
• Behaviour Segmentation

 Buyers are divided into groups based on their
 knowledge, attitude, use, or response a
   product.
 Many marketers beleive that behavior variables
   are
 the best starting point for building market
   segments.
 - Occasions
 - Benefits
 - User Status
 - Usage Rate
 - Buyer Readiness Stage
                  BRANDING

 The branding of hotels to identify particular
  properties with specific market segments
  is not a new concept, but has become
  increasingly popular for three basic
  reasons;
 First, it is a response to the need to tailor
  hotel products for the specific needs of
  various segments.
 Second, categorization. It was anatural
  consequence of mergers and acquisitions.
 Third, it provides a better way to create
  standarts of identity, quality and pricing in the
  marketplace.
 For example, today the Holiday Corporation
  has six brands,
  BRAND                          TYPE
 Crowne Plaza      Lower and of 5-star range
 Holiday Inn       Traditional mid-market
 Hampton Inn        hotels
 Embassy Suites    Budget hotels
 Residence Inn     All-suites hotels
                    Extended-stay inns
 Harrahs Hotels    U.S. casino hotels
          PRODUCT POSITIONING
► After the market feasibility study, the
 hotel product is developed and targeted for
 a specific market segment, either through
 distinguishing features of the product itself-
 including lacation, property, pricing and
 service- or through image creations with
 respect to advertising, promotion and
 public relation.
►Hotels may be repositioned to trade up or
 down, but trading up requires the
 investment to improve the property and its
 service before advertising and promotional
 activities.
PRODUCT DIFFERENTIATION


A company can differentiate its product or offer
products similar to competitiors. Today, most
products try to differentiate themselves from
  their
competitors.
- Physical Attribute Differentiation
- Service Differentiation
- Personnel Differentiation
- Location Differentiation
- Image differentiation
          POSITIONING MEASUREMENT : PERCEPTUAL
                                       MAPPING



    - Grand           Expensive

    - Regency
                               Palace
                Shangri-la
                                                Moderate
High Service                                     Service
                Sheraton          Atlantic


                      Italia       Castle
                                             Alexandar ıv
                   Less Expensive
                                               Airport Plaza
►Marketers should attempt to analyse their
 competition’s positioning statements,
 advertising message, and buyers as part of
 the market research effort.
  PROMOTIONAL TOOLS AND TECHNIQUES

  1. Advertising
  It is a attractive promotion tools and is paid for
  by the hotel in the mass communication media-
  tv., radio, newspapers, consumer and travel
  trademagazines. The cost of most media
  advertising makes it prohibitive for the avarage
  individual hotel because these are expensive.
 Trade advertising : It appears primarly in
  travel trade publications, directories and tour
  operators brochures.
 Hotel Directories: Directory listing and ads
  can be effective ways to attract the attention
  of the international travel industry. Hotel &
  travel Index, airline guide etc.
 Consumer Advertising: This type of
  advertising is made for direct consumer
  appears in tv., radio, newspaper,
  magazineposters etc.
 Direct Mail: It is one of the most popular
  means of contemporary marketing. Mailing
  lists can be compiled from in-house
  generated data banks of guest files, lists of
  potential visitors etc. It is effective and
  cheaper than other tecniques.
 Sales Promotions : This tecnique includes
  activities other than advertising, personel
  selling and public relations to stimulate
  room, restaurant or other sales. These are
  brochures, postcards, posters and the
  organization of special program and prices.
 Public Relations : Public relations is the
  employement of any means of advancing
  the hotel’s relationship with the community
  and the general public.
 Frequent-Guest Programs: Frequent
  guests are become important customer
  potential for the hotel. It includes such
  benefits as; guaranteed reservations,
  personalized gifts, special amenities in
  room etc.
PROFILES OF MAJOR MEDIA TYPES

MEDIUM     PERCENTAGE       ADVANTAGES                LIMITATIONS
Newspap    23,4            Flexibilty,timeliness        Short lift,
er         poor

           reproduction
Television 22,4            High attention, motion       High cost,
           high
                                                         clutter
Direct     19,3            Audience selectivity         Junk mail
Mail       image
Radio      6,6             Mass use, low cost            Lower
           attention
Magazine   5,3             Credibility snd prestige     Some waste
s                                                       circulation
Outdoor    0,8            low cost, low competition     No audience
                                                        selectivity
  2.Personel Selling
 Personel selling involves any from of face
  contact with individuals groups for the
  purpose of generating advance sales. It
  includes with members of the travel trade,
  familiarization tours, representation at travel
  shows, travel missions, corporote groups, car
  rentals, airlines and destination management
  organizations.
 Personel selling is an effective and
  sometimes necessary way to reach
  international market.
                SUMMARY
►An international marketing minded hotel
 executive tries to create value satisfying
 products and services that guests from
 arround the world, as well as at home, will
 want to buy.
►Hotel manager’s have to pursue
 development of an international marketing
 strategies and consumer’s demand.
►Ultimately, the success of marketing is
 measured in terms of the ability to close
 sales and the translation of sales into hotel
 revenues.

				
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