Transcript Chapter Notes

Hospitality Promotion
Unit Essential Question
What are the various
promotional strategies
used in travel and
tourism?
Essential Question 1
What are the four types of
promotion and how do they
relate to the promotional mix?
What is promotion?
 Any
form of communication used by
a business to inform, persuade, or
remind people about its products and
improve its image.
 There are two forms of promotion:
– Product
– Institutional
Types of Promotion
 Advertising
 Publicity
 Sales
Promotion
 Personal Selling
Sales Promotion
 Usually
involves short term activities.
 Offers some type of incentive to make
a purchase.
 Can be successfully used in all
channels of distribution.
Personal Selling
 Oral
presentations to one or more
potential buyers with the intent of
making a sale.
 The responsibility of sales personnel.
 The most flexible and individualized
type of promotion available.
Strategies for Success
 Partnerships
– Transportation – Airlines, car rental
agencies, cruise lines, etc.
– Credit cards – MasterCard, Visa, Dinners
Club, American Express, etc.

Intermediaries
– Travel agents
– Tour operators
Promotional Mix
 Promotional
Mix: The combination
of advertising, publicity, sales
promotions and personal selling
strategies.
Essential Question 2
What is personal selling and
how is it accomplished?
What is Selling?

Helping Customers make
satisfying buying
decisions - The kind they
will be happy with after
the sale.
Goals of Selling

To ensure customer satisfaction so
the firm can count on repeat
business.
 To help customers decide on
purchases.
Feature - Benefit Selling
 The
concept that a salesperson needs to
match the features of each product to a
customer’s needs and wants.
– Product Features: A physical characteristic or
quality of a good or service that explains what it is.
• Tangible Product Feature: Physical characteristics of a
product.
• Extended Product Features: Although not always
physically part of the product, important in the purchase
decision.
Feature - Benefit Selling

The concept that a salesperson needs to
match the features of each product to a
customer’s needs and wants.
– Customer Benefits: Advantages or personal satisfaction
a customer will get from a good or service.
• How does the feature help the product’s performance?
• How does the performance information give the customer a
personal reason to buy the product?
Essential Question 3
What takes place during each
phase of the sales process?
Steps of A Sale
1. Pre-approach: Looking for customers and
getting ready for the sale.
2. Approaching the customer: Actually
greeting the customer face-to-face.
3. Determining needs: Learning what a
customer is looking for.
Steps of A Sale
4. Presenting the product: Educating the
customer about the product’s features and
benefits.
5. Handling questions and objections:
– Learning why the customer is reluctant to buy.
– Providing information to remove that uncertainty.
– Helping the customer make a satisfying buying decision.
Steps of A Sale
6. Closing the sale: Getting the customer’s
positive agreement to buy.
7. Suggestion selling: Suggesting that the
customer buy additional merchandise or
services.
8. Reassuring and following up: Helping a
customer feel that he or she has made a wise
purchase.
Essential Question 4
What is advertising and
publicity and how do they
compare and contrast?
Advertising
 Paid
presentation of ideas, goods, or
services directed toward a mass
audience.
Types of Advertising
 Product:
–
–
–
–
–
Creates an interest in the product.
Introduces new products and businesses.
Explains a product.
Supports personal selling efforts.
Creates new markets.
 Institutional:
– Creates a favorable impression and goodwill for a
business or an organization.
– Presents information about the companies role in the
community.
Advertising (Print Media)
Newspaper
TIMES
Finance News
Magazines
Advertising (Print Media)
Direct
Mail
Outdoor
Advertising
Advertising (Print Media)
Directories
Transit
Advertising
Advertising (Print Media)
Other print
media.
Advertising (Broadcast Media)
Television
Advertising (Broadcast Media)
Radio
Internet
Publicity
 Builds
a business’ image.
 Publicity is free.
 Not much control over the message
being sent to the public.
Types of Publicity
 News
Releases
 Feature Articles
 Photos
 Press Conference
 Public Relations
Essential Question 5
What are the various types of
sales promotions used in
hospitality marketing?
Sales Promotion
 Usually
involves short term activities.
 Offers some type of incentive to make
a purchase.
 Can be successfully used in all
channels of distribution.
Types of Sales Promotion

Licensing: Partnering with another business,
organization or celebrity to license, for a fee,
their logo, trademark, name and likeness,
personal endorsement, etc. to be used in
promoting the hotel or restaurant.
– Example: A celebrity endorses a particular
restaurant or hotel.
Types of Sales Promotion

Promotional Tie-Ins: Promotional
arrangements between two or more companies
who combine their resources to do a
promotion that will result in increased sales for
each partner.
– Example: Carnival Cruise Lines offers a discount
if you fly Delta Air Lines.

Visual Merchandising: Floor, window, and
counter displays as well as the business layout
and general ambience.
Types of Sales Promotion

Premiums & Incentives:
– Coupons: Offers a discount on a product or
service.
– Contests or games: May involve writing a short
story or essay about a product or organization
where the winner gets an all expense paid trip.
– Sweepstakes: A good example would be
McDonalds’ Monopoly game.
– Rebates: A portion of the purchase price is
returned to the customer.
– Specialty Items: Low-cost items such as pens, key
chains, and calendars.