Transcript strategic for hotels and restaurants

Five Forces Model
Technological
Environment
Ecological
Environment
80
Sociocultural
Environment
Risk of Entry by
Potential Competitors
Bargaining
Power of
Suppliers
Threat of
Substitute
Products
Regulatory
Environment
Rivalry Among
Established Firms
Economic
Environment
Bargaining Power
Of Buyers
Political
Environment
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Bargaining Power of Buyers
• Buyers are powerful when:
– supply industry is composed of many small companies and
buyers are few in number and large; e.g., market research
firms
– buyers purchase in large quantities; e.g., Marriott and Amex;
MGM Mirage
– when supply industry depends on the buyers for a large % of
its total orders
– buyers can switch orders between supply companies
– threat of vertical integration
– buyers to purchase input from several companies at once
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Bargaining power of suppliers
• Suppliers are powerful when:
–
–
–
–
few substitutes and important to the company
when company’s industry not important to the supplier
costly for a company to switch from one supplier to another
suppliers use threat of vertically integrating to compete
directly with company
– companies cannot use threat of vertically integrating
backward to supply own needs
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Threat of substitute product
• existence of substitutes presents a strong
competitive threat
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Rivalry among established companies
• Extent of rivalry is a function of the interaction
among the following factors:
–
–
–
–
–
industry competitive structure
demand conditions
height of exit barriers
ego of executives in charge
environment
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8 Trends
• Trend 1: More visible guest comfort and convenience in
the guestroom
• Trend 2 : An authentic guest experience
• Trend 3 : Continued brand consolidation with the
emphasis on Europe
• Trend 4 : Increasing brand proliferation
• Trend 5 : The changing nature of destination
• Trend 6 : The Increase and influence of social networks in hotel
distribution decisions
• Trend 7: Increase in Environmental action
• Trend 8: Continued changes in F&B delivery systems
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Guest Room of the Future
Video from U-Tube
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Trend 1: More Visible Guest Comfort and Convenience
Comfort
Convenience
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(c) Stowe Shoemaker, Ph.D
Westin Hotel’s “Heavenly Bed”
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(c) Stowe Shoemaker, Ph.D
Marriott Bedding
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(c) Stowe Shoemaker, Ph.D
 Softer Mattresses
New Offerings
 Silky Sheets
 Duvets
 Pillows in all Shapes, sizes and firmness
 Mood lighting
 Workout Equipment
 Aromatherapy
 Customized Art
 Sound proofing
 Superior interior Air Quality
 Full-Flow Rainforest Showerheads
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Hyatt Check-in Kiosks
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(c) Stowe Shoemaker, Ph.D
Trend 2: An Authentic Guest Experience
‘Don’t ask me to adapt to
the hotel’s way of
operating. I want the hotel
to adapt to me.’
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Trend 3: Continued Brand Consolidation
The conversion of an
independent hotel to a
brand
The increasing
ownership of many
brands by fewer and
fewer companies
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Trend 4: Increasing Brand Proliferation
• Over 30 new brand introductions in the next
two years in the US; then migrating globally
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Synergy of Satisfaction
If you like us for business then you will love us for leisure
– if not in this brand then in one of our others
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Ginger Hotels
• TV ADVERTISEMENT
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Hotel Companies
# of properties
# of brands
CHOICE
5000
10
HILTON
2300
10
STARWOOD
896
9
MARRIOTT
2900
16
ACCOR
4000
11
IHG
3800
7
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Trend 5: The Changing Nature Of Distribution
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Five Major Forces
1. Customers demand for personalization and a travel
experience
2. A shift in customer preferences for communication/
transaction channels and methods
3. The evolution of social networking from small
cliques to global networks.
4. The emergence of a non-traditional and dynamically
changing mix of distribution partners
5. The shifting of vendor-distribution partner
relationships
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Trend 6: The Increase and Influence of Social
Networks in Hotel Distribution
• Customers have access to more sources of
information
• Customers can get feedback from others
• Customer can make reservation through a number
of methodologies-from travel agent to cell phone
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Trend 7: Increase in Environmental Action
• As a citizen of this planet
• Take care of the environment and
society around you
• Build relationship with the
customer
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Green Movement
1. Defining what it actually means to be green
from a hotel operations standpoint
2. A clear understanding of the financial impact
on the operating statement for going for green
3. We need to determine a way to measure
carbon output and the effects each property
has on the environment.
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Trend 8: Continuing change in F&B delivery systems
• Variety of outlets and
delivery system
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F&B Delivery Systems
• Eliminate Food and beverage completely
• Focus food and beverage on only one key
market segment/one key meal period
– Lobby breakfast
– Lobby delicatessen/general store
• Outsource some or all of food and beverage
• Dial for delivery
• Restaurant lease/manage/franchise
• Self-service
– Buffets, barbecues, vending
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Kitchen Video
Beverage Air at IH-M&RS Show 2007
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8 Trends
• Trend 1: More visible guest comfort and convenience in
the guestroom
• Trend 2 : An authentic guest experience
• Trend 3 : Continued brand consolidation with the
emphasis on Europe
• Trend 4 : Increasing brand proliferation
• Trend 5 : The changing nature of destination
• Trend 6 : The Increase and influence of social networks in hotel
distribution decisions
• Trend 7: Increase in Environmental action
• Trend 8: Continued changes in F&B delivery systems
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Tourism Trends for Europe
http://www.etc-corporate.org/modules.php?name
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Tourism Trends in Europe
1. Number of older age categories will rapidly
increase. Seniors will be healthier and will
have higher incomes than in the past. Many
will enjoy earlier retirement
2. The average number of persons per household
will decrease further with higher disposable
incomes and spending power
3. Health-consciousness will increase still further
4. The average level of education is increasing
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Tourism Trends in Europe
5. Modern society exerts increasing pressure on
peoples’ daily lives, and stimulates the wish
for more leisure time and relaxation – which
will have an adverse effect on the increase of
free disposable incomes.
6. The increase in the number of days of paid
leave has come to a halt
7. More sophisticated consumers are
increasingly self-assured regarding their needs
and rights.
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Tourism Trends in Europe
8. Lifestyles in Western society change gradually
9. The penetration of the internet – and its use
for information and the purchasing of tourism
products and services – will continue to
increase
10. The increasing availability of high-speed
trains and low-cost carriers will influence
classical travel flows. Road traffic more
congestion
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Tourism Trends in Europe
11. Environmental consciousness will continue to
increase
12. Acts of terrorism, regional wars, pollution,
and other crises have unfortunately become
facts of daily life, and influence the need to
feel safe and secure
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Trend Site on Web
• http://www.htrends.com/trends-detail-sid26299.html
• http://yumsugar.com/236915
• http://www.trendsresearch.com/institut.html
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Industry Trend Resources
• Stomach competence
(Book: GDI/Lebensmittel Zeitung)
www.stomachcompetence.ch
• FoodService Europe
(Magazines/Online-Archive)
www.cafe-future.net
• Horizons FS Limited
(Research/Consulting Company)
www.horizonsforsuccess.com
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Changing Consumers
Video: Consumer of tomorrow
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Social Environment
Activities
Interests
Opinions
Demographics
Work
Family
Themselves
Age
Hobbies
Home
Social issues
Education
Social events
Job
Politics
Income
Vacation
Community
Business
Occupation
Entertainment
Recreation
Economics
Family Size
Club membership
Fashion
Education
Dwelling
Community
Food
Products
Geography
Shopping
Media
Future
City size
Sports
Achievements Culture
Life cycle stage
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116
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VALS Survey
• http://www.sric-bi.com/vals/presurvey.shtml
The VALSTM system, originally developed by SRI International is
now owned and operated by SRI Consulting Business
Intelligence (SRIC-BI). The U.S. VALS system, Japan-VALS, and U.K.
VALS have proven to be effective tools for categorizing American,
Japanese, and U.K. consumers into various segments based on
psychological characteristics and four key demographics.
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Segment
Thinkers
Lifestyle
Characteristics
Moderately active
in community and
politics
Leisure centers on
home
Value education &
travel
Health conscious
Politically moderate
and tolerant
Psychological
Characteristics
Customer
Characteristics
Mature
Satisfied
Reflective
Open-minded
Intrinsically
motivated
Value order,
knowledge and
responsibility
Little interest in
image or prestige
Above average
customers of
products for the
home
Like educational
and public affairs
programming on TV
Read widely and
often
Look for value &
durability
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Segment
Achievers
Lifestyle
Characteristics
Lives center on
career & family
Have formal social
relations
Avoid excess
change or
stimulation
May emphasize
work at the expense
of recreation
Politically
conservative
Psychological
Characteristics
Customer
Characteristics
Moderate
Goal oriented
Conventional
Deliberate
In control
Attracted to
premium
products
Prime target for
a variety of
products
Average TV
watchers
Read business,
news and selfhelp publications
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Lifestyle
Psychological
Customer
Segment
Characteristics
Characteristics Characteristics
Like the new,
offbeat and risky
Follow fashion
Like exercise,
and fads
socializing, sports Extraverted
Spend much of
and outdoors
Unconventional disposable
Concerned about Active
income on
Experiencers image
Impetuous
socializing
Unconforming, Energetic
Buy on impulse
but admire
Enthusiastic and Attend to
wealth, power and impulsive
advertising
fame
Listen to rock
Politically
music
apathetic
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Segment
Believers
Lifestyle
Characteristics
Psychological
Characteristics
Customer
Characteristics
Respect rules and
Buy American
trust authority
Slow to change
figures
habits
Enjoy settled,
Look for
comfortable,
bargains
Traditional
predictable
Watch TV
Conforming
existence
more than
Cautious
Socialize within
average
Moralistic
family and
Read
Settled
established groups
retirement,
Politically
home and
conservative
garden and
Reasonably well
general interest
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
informed
magazines
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Segment
Strivers
Lifestyle
Characteristics
Psychological
Characteristics
Customer
Characteristics
Trendy
Limited
Narrow interests
discretionary
Not well educated
income but carry
Unconcerned about Reward-oriented credit balances
exercise and
Unsure
Spend on
nutrition
Impulsive
clothing and
Politically
personal care
apathetic
products
Prefer TV to
reading
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Segment
Makers
Lifestyle
Characteristics
Enjoy outdoors
Prefer “hands on”
activities
Spend leisure with
family and close
friends
Avoid joining
organizations except
unions
Distrust politicians,
foreigners and big
business
Psychological
Characteristics
Customer
Characteristics
Practical
Self-sufficient
Constructive
Committed
Satisfied
Shop for
comfort,
durability, value
Unimpressed by
luxuries
Buy the basics
Listen to radio
Read auto,
home mechanics,
fishing, outdoors
magazines
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Segment
Survivors
Lifestyle
Characteristics
Limited interests
and activities
Prime concerns are
safety and security
Burdened with
health problems
Conservative and
traditional
Not innovative
Psychological
Characteristics
Customer
Characteristics
Narrowly
focused
Risk averse
Conservative
Brand loyal
Use coupons
and watch for
sales
Trust
advertising
Watch TV often
Read tabloids
and women’s
magazines
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Product Service Sub-strategy
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Segmentation Variables
• Geographic segmentation
– Most widely used in hospitality
– MSA and DMA
• Demographic segmentation
– Easily measured and classified
• Psychographic segmentation
– Based on self-concepts, lifestyle behaviors,
and personality traits
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Segmentation Variables (cont.)
• Usage segmentation:
–
–
–
–
–
–
–
–
–
–
Purpose
Frequency
Monetary value
Recency
REM
Timing
Nature of purchase
Where they go
Purchase occasion
Heavy, medium, and light users
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Segmentation Variables (cont.)
• Benefit segmentation
• Price segmentation
– Between product class
– Within product class
• International segmentation
• Fine-tuning segments
– Become more specific and concentrated
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Segmentation Using Multivariate
Analysis
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Methodology for Multivariate
Procedures
The Multivariate Section presents an overview of the
findings of the multivariate analysis used to develop a
more detailed understanding of the attitudinal
differences of the population under study. A variety of
statistical techniques and procedures were used to
develop this understanding.
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Factors of Importance Ratings
A. Clean & Appetizing
Has Fresh Food
The Restaurant is always clean
The Food Always Looks Appetizing
Clean Dinning Spaces
B. Good Service/Staff
Service is always prompt and efficient
Server is knowledgeable about the food
Has Friendly Staff
C. Good Price Value
Reasonable prices
Good Value for Money
D. Food preparation and taste
The Food is Prepared Just the Way I Like It
The Food Taste Great
E. Consistent food and right variety
Food is Constant Time After Time
Has the right variety of food for me
F.
G.
H.
I.
J.
K.
L.
M.
N.
Serves the type of food I Like
Offers Healthy Choices
Serves Generous Portions
Location is Convenient
Provides Exhibition Style Cooking
A place for the family
A good place to go with friends
Service is Relaxed, not hurried
Has Pleasant Decor
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136
Multivariate Analysis
Cluster Name
Percentage of
Total Sample
Limited Experience at
brand
10.4%
Friends, Family & Fun
31.9%
Selection & Service
30.5%
Consistency
10.7%
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
A.
B.
C.
Clean & Appetizing
J
Good Service/Staff
Good Price Value
D.
Food preparation and taste
E.
Consistent food and right variety
F.
Serves the type of food I Like
G.
Offers Healthy Choices
H.
Serves Generous Portions
I.
Location is Convenient
J.
Provides Exhibition Style Cooking
K.
A place for the family
L.
A good place to go with friends
M.
Service is Relaxed, not hurried
E
N.
Has Pleasant Decor
Cluster II
Friends Family
& Fun
137 A
N = 339
31.9%
I
K
H
M
D
F
N
C
B
Cluster I
Limited KFH
Experience
L
G
Cluster IV
Consistency Dimension 1 vs. Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
N = 114
Dimension 2
10.7%
N=110
10.7%
Cluster III
Selection & Service
N=324
30.5%
Cluster 1: Limited Brand Experience n=110 (10.4%)
138
Cluster Characteristics
Management Implications
The restaurant is always
clean (9.35)D
This is part of the basic service package and
needs to be highlighted in the way that the
customer can easily see. For example, clean
restaurants, clean staff uniforms, non
cluttered hostess stand, and of course a
clean parking area.
Overall, it’s a place I will
visit again (9.10)D
Since members of this group have desire to
visit again, they must be reminded to do so,
especially given that they are susceptible to
the coupons of competitors. One possible
idea for this group is the use of “bounce back
coupons.”
This is very much related to the appearance
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
of cleanliness as well as to presentation of
139
Cluster 1: Limited Brand Experience n=110 (10.4%)
Cluster Characteristics
Management Implications
To convey the promptness and efficiency of
service, even when the restaurant is
extremely busy, customers must be informed
of wait times, visited on a frequent basis to fill
bread and water, and told when order will be
Service is always prompt ready. It is also critical that members of this
and efficient (8.75)D
group not wait long for their check
Influenced by coupons
As mentioned earlier, “bounce back “ type
(33.6%)B and direct
coupons will be popular with some members
D to try
mailings (14.5%)Strategic
this and
group
and
direct
mailPh.D
should be used
Marketingof
for Hotels
Restaurants
(c) Stowe
Shoemaker,
new restaurants
to remind customers to come back.
140
Cluster 2: Friends, Family & Fun n=339 (31.9%)
Cluster Characteristics
Management Implications
Service is relaxed, not
hurried (8.91)ACD
In order to capture this feeling, wait staff
should ask consumers at their tables if they
are under time pressure. This will enable
services to provide less hurried service. It is
also important that when visiting every table
staffs are focused only on that table and not
looking what they have to do for other tables.
Convenient location relates to ease of getting
to the restaurant, ease of parking, and the
like. Management should examine potential
barriers at each restaurant that create
artificial barriers
Location is convenient
(8.61)ACD
for Hotels and Restaurants
(c) Stowe
Ph.D plates provide
Serves generousStrategic MarketingResearch
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smaller
ACD
141
Cluster 2: Friends, Family & Fun n=339 (31.9%)
Cluster Characteristics
Management Implications
A place for the family
(7.98)ACD
Because members of this group had the
most children, it is not surprising that this is
an important feature. Kids menus, kids
placemats would be useful for this Group.
A good place for special
occasions (7.95)ACDs
The fact that this group rates these variables
important versus other guests suggests that
A good place to get a
this group is looking for “the experience.”
drink (7.01)ACD
They are a large group and King Fish needs
Provides exhibition
style to make sure that they have activities in
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
cooking (6.82)ACD
which members of Group II can partake.
Cluster 3: Selection & Service n=324 (30.5%)
Cluster Characteristics
142
Management Implications
Given the extensive menu offered, it is not
surprising that this is an important feature.
However, the menu at times may seem
overwhelming. To highlight the right items, it
is important for employees to first determine
the type of seafood they like (e.g., by taste,
texture, “fishiness”) and then direct them to
this particular section of the menu. This will
also ensure that members of this group
Serves the type of food I believe that restaurant “offers the right
like (9.61)ABD
variety of foods for me.”
Similar to Group I, this is an important
attribute for visitors to restaurant. To convey
the promptness and efficiency of service,
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
even when the restaurant is extremely busy,
Cluster 3: Selection & Service n=324 (30.5%)
143
Cluster Characteristics
Management Implications
Has friendly staff
(9.27)ABD
This feature suggests the need to hire for
attitude not necessarily knowledge or
experience. Both knowledge and experience
can be taught, friendliness is innate.
These three attributes are all related to the
feature “serves the type of food I like.” As
mentioned, it becomes the role of the staff to
Server is knowledgeable not just become “order takers” but become
about the food (9.24)ABD “sales people” and “fish experts.”
Has the right variety of
foods for me (9.38)ABD
44,2% (top two box) of the members of this
segment would like to see restaurant offer
Strategic Marketingnew
for Hotels
and Restaurantsseafood
(c) Stowe Shoemaker,
Ph.D
seasonal
specials.
(This
144
Cluster 4: Consistency n=114 (10.7%)
Cluster Characteristics
Management Implications
Food tastes great (8.74)
Overall it is a place I will
visit again (8.55
Food is prepared just the
way I like it (8.50)
Overall it is a place I am
satisfied with (8.44)
Food is consistent time
after time (8.06)A
These important features indicate that
Has the right variety
of
members of this group really just want a
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
foods for me (7.62)A
consistent experience.
145
Cluster 4: Consistency n=114 (10.7%)
Cluster Characteristics
Management Implications
Although this feature was rated higher by
members of this group compared to
Provides exhibition
style
of Group
it is still
Strategic
Marketingmembers
for Hotels and Restaurants
(c) StoweIII,
Shoemaker,
Ph.D rated relatively
low.
cooking (4.33)C
146
Carvel Ice Cream
• Work on possible segmentation strategy for
Carvel Ice Cream
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Value
Efficiency
147
Quality
Innovation
Customer
Responsive
Size
Components
of a product;
GAP model
Taco Bell
The
components of
the loyalty
circle
Franchise
Infrastructure
Manufacturing
R&D
Marketing
customer
How to loyalty; lifetime value
create
Materials
Management
Human
Resources
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Efficiency
Communication Sub-strategy
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Word of Mouth
• The One Number Firms Should Be Concerned
About
• Critical in services because of variability and
heterogeneity – customers discount advertising,
PR, and the like
• WOM comes from friend, associate, family
member
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Word of Mouth - continues
• Questions to ask:
– How likely is it that you would recommend
_______ to a friend or colleague?
use a 0 to 10 scale
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Word of Mouth - continues
• Net Promoter: calculate
– % of people who respond with a 9 or 10 (promoters)
– % of people who respond with a 0 – 6 (detractors)
Net Promoter Score = Promoters – Detractors
(E-Bay, Amazon, USAA 75% - 80%
Median 400 firms in 28 industries was 16%)
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Life-Time Value
Case Pre Assignment
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Assignment
• Calculate the life-time value incremental customer
for Jellystone Resort Campground
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Life Time Value Incremental Customer
Jellystone Resort Campground
•
Need to Know the following
–
–
–
–
–
–
–
Sale price
Fixed cost
Variable cost
Average stay
Lifetime Customers visit
Return customers
Total customers
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Assignment
• Calculate the value of word of mouth
recommendation for Jellystone Resort
Campground – both positive and negative
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Word of Mouth: Incremental Customer
•
Need to know the following
a. Likelihood that customer will refer
b. Number of people to whom the recommendation will be
made
c. Percent of referrals that are empathetic (i.e., have the
ability to act on what they hear)
d. Probability of those who are empathetic who will buy the
service
e. LVIC
•
Formula:
WOM = (a*b*c*d*e)
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Negative Word of Mouth: Incremental
Customer
•
Need to know the following
a. Number of people dissatisfied customers tells
b. Percent of people that are empathetic (i.e., have
the ability to act on what they hear)
c. LVIC
•
Formula (a*b*c) = $
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How Might We Ask Questions to Get
WOM Information?
• How likely are you to recommend ____ to your
friends? “0 – 10”
• How many friends are you likely to tell when
you have a very positive experience?
• How many friends are you likely to tell when
you have a very positive experience?
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Assignment
• Calculate the value of promotion for Jellystone
Resort Campground
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Impact of Promotion to Increase Word of
Mouth: Jellystone Resort Campground
• What we know:
– Mailed 1000 postcards
– 10% off a 2 night stay and same discount for friends
they brought with them
– Need to bring post card with you to get discount
– 200 people returned with card
– 50 came with card that was passed on to them by
original receiver
• What is value of this promotion?
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Impact of Promotion to Increase Word of
Mouth: Jellystone Resort Campground
•
What we need to know:
a.
b.
c.
d.
e.
f.
g.
h.
# of redemptions
Revenue per customer per day
Discount
Length of stay
Number of new comers
New customer revenue
Life time value of new comers
What program cost
loss revenue = 250 * $35* 2 = $17,500 (no discount)
250 *$31.50*2 = $15,750 (discount)
difference: $1, 750 + cost of mailing
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The Communications Mix
•
•
•
•
•
Advertising
Sales promotion
Merchandising
Public relations and publicity
Personal selling
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The Communications Mix:
Defined
• “All communications between the firm and the
target market that increase the tangibility of the
product/service mix, that establish or monitor
consumer expectations, or that persuade
customers to purchase.”
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Communications Strategy
• To plan, implement, and control persuasive
communication with customers
• Six stages of the communication process:
–
–
–
–
–
–
To whom to say it
Why to say it
What to say
How to say it
How often to say it
Where to say it
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Attitudinal Components and Their Impact on
Communications Strategy
Consumer Stage
Effect Stage
168
Strategy
Cognitive: the stage of
thoughts/beliefs
Create awareness, beliefs Provide information, get
attention, inform,
remind
Affective: the stage of
emotion
Change attitudes and
Position, create benefits
feelings, get involved,
and image, stir
evaluate
emotions, arouse
Conative: the stage of
motivation and
intention
Stimulate and direct
desires, adopt
Move to action, reinforce
expectation, persuade
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Types of WOM
• Buzz Marketing:
– Using high-profile entertainment or news to get people to talk about
your brand.
• Viral Marketing:
– Creating entertaining or informative messages that are designed to be
passed along in an exponential fashion, often electronically or by email.
• Community Marketing:
– Forming or supporting niche communities that are likely to share
interests about the brand (such as user groups, fan clubs, and discussion
forums); providing tools, content, and information to support those
communities.
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Types of WOM
• Grassroots Marketing:
– Organizing and motivating volunteers to engage in personal or local
outreach.
• Evangelist Marketing:
– Cultivating evangelists, advocates, or volunteers who are encouraged to
take a leadership role in actively spreading the word on your behalf.
• Product Seeding:
– Placing the right product into the right hands at the right time, providing
information or samples to influential individuals.
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Types of WOM
• Influencer Marketing:
– Identifying key communities and opinion leaders who are likely to
talk about products and have the ability to influence the opinions of
others.
• Cause Marketing:
– Supporting social causes to earn respect and support from people
who feel strongly about the cause.
• Conversation Creation:
– Interesting or fun advertising, emails, catch phrases, entertainment,
or promotions designed to start word of mouth activity.
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Types of WOM
• Brand Blogging:
– Creating Blogs and participating in the blogosphere, in the
spirit of open, transparent communications; sharing
information of value that the Blog community may talk
about.
• Referral Programs:
– Creating tools that enable satisfied customers to refer their
friends.
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How to Create WOM
•
•
•
•
•
•
Encouraging communications
Giving people something to talk about
Creating communities and connecting people
Working with influential communities
Creating evangelist or advocate programs
Researching and listening to customer feedback
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How to Create WOM
• Engaging in transparent conversation
• Co-creation and information sharing
• Blogs
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http://www.subservientchicken.com/
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Video: Undercover marketing
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Blog
• Word of the year in 2004
• Defined by Merriam-Webster as “a web-site that
contains an online personal journal with reflections,
comments, and other hyperlinks.”
• Survey by the Pew Internet and American Life Project
revealed that 27 percent of adults who go online in the
United States read blogs.
Janet Johnson, Vice President of Communications,
Marqui, Inc.
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Blog
• More than 28% of journalists now rely on blogs
for reporting and research, according to a
survey by EURO RSCG Magnet and Columbia
University, with 53% of surveyed journalists
revealing they gleaned story ideas from blogs
and 36% saying they used blogs to locate
sources
Janet Johnson, Vice President of Communications, Marqui, Inc.
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What a blog should be used for
• Provide product or service information, talk
about your market, explore the vision of your
management or leadership team, provide
opportunity for customers to share their stories
Janet Johnson, Vice President of Communications, Marqui, Inc.
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Examples of Blogs
•
•
•
•
•
www.thelobby.com
http://www.blogs.marriott.com/
http://behospitable.com/
http://www.hamptonlandmarks.com/
http://www.homewoodstories.com/
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Positioning Strategy
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Product Positioning
The way the product is defined by
consumers on important attributes - the
place the product occupies in
consumers’ minds usually relative to
something.
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Positioning - Continued:
Market position differences by market
segment or season (e.g., business travel
versus leisure travel)
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Positioning
• Must create an image, differentiate itself, and
promise a benefit
• Positioning approaches:
– By attribute, feature, or customer benefit
– By price/quality
– With respect to use or application
– According to users or class of users
– With respect to a product class
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Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
– Vis-à-vis
the forcompetition
187
Checklist for Evaluating Positioning Strategy
•
•
•
•
•
•
Does it say who you are and what you stand
for? Does it create a mental picture?
Does it set you apart and show how you are
different?
Does it preempt a benefit niche and capitalize
on an advantage?
Does it turn any liability into an asset?
Does it have benefits for the target market you
are trying to reach?
Does it provide tangible evidence or clues?
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Checklist for Evaluating Positioning Strategy
•
•
•
•
Does it feature the one or two things that your
target market wants most?
Is it consistent with strategy—for instance,
does it expand or exchange usage patterns?
Create new awareness? Project the right
image?
Does it have credibility?
Does it make a promise you can keep?
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Ways to Position
# 1. Positioning by attribute
– Associating a product with an attribute, a
product feature, or a customer feature
– e.g., Hyundai low price, Volvo safety, BMW
handling
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Vintage Building
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Ways to Position
# 2. Positioning by how customer uses your
product or service
– Arm & Hammer baking soda as odordestroying agent in refrigerators
– Long distance phone line “Reach out and
touch someone”
– Campbell’s Soup for use at lunch, Gatorade
as sports drink
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Ways to Position
# 2. Positioning by how customer uses your
product or service – continued
– Positioning to business travelers versus
leisure travelers
– e.g, baby shampoo, Miller Lite beer
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Ways to Position
# 3. Positioning by price/value
– Higher price used to signal higher quality to
the consumer
– Does not have to been high price; especially
if one considers definition of quality- “design
to work as it is supposed to work”
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Ways to Position
# 4. Positioning with respect to product class
– e.g, 7-Up as the “un-cola;” Caress as a bath oil
rather than a hand soap
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Ways to Position
# 5. Positioning with respect to competitor
– Used to exploit the dominant position of a
competitor (e.g., Avis, we are number two)
– Sometimes it is not important how good
customers think you are, it is just important that
they believe you are better than the competitor
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Positioning Maps Using Excel
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Example: Importance Question
• Next, please think for a moment about the reason for visiting a specific hotel
in Las Vegas for gambling. Please tell me how important each reason is for
you in your decision to visit one specific property over another. Please use a
1 to 10 scale, where a “1” means the reason is not at all important and a “10”
means the reason is very important in your decision to choose one
establishment over another for gambling. You may use any number on this 1
to 10 scale.
[Ask questions in random order]
• How important is…_______________…in your decision to choose one place
to visit over another?
– It is a place my friends like to go
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Example: Attitude Question
• Now I am going to read you a list of features that may or may not describe
some of the hotels in the Las Vegas area. We’ll use a 1 to 10 scale, where a
1 means it “does not describe the hotel at all” and a 10 means “describes the
hotel perfectly”. If you have not been to the hotel personally, please base
your answers on what you have heard, or what you believe to be true.
[Ask questions in random order]
• How well does this feature describe…(brand to be rated)?
– It is a place my friends like to go
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Steps to Developing a Positioning Strategy
1. Identify the competitors
– From customer’s point of view
– Different competitors in different segments
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Best Way to Define True Competitors
• Ask 50 – 100 customers at check-in, “If you did
not stay here tonight, where would you stay?”
• Those hotels who, if they took a pricing action,
would force you to take a pricing action
• Where do you currently “walk” guests?
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Best Way to Define True Competitors
• Based upon a definition of the core
customer; different competitors for
different segments
• Avoid emotional opinions
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Steps to Developing a Positioning Strategy
2. Determine how the competitors are perceived
and evaluated
3. Determine the competitors’ positions
•
Critical to also have reference points for data
analysis
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Matrix of Competitive Advantages
Example: Casino
Level of Importance
high
Slot Club
Friendly
Staff
Value of
Promotions
Brand
Feel
Safe
Service
Package
Price
Good
Entertainment
Non
Smoking
low
Relative Performance
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Index of Competitive Strength
The competitive advantages and disadvantages which are
shown in the matrix of competitive advantages can be
condensed into one single index, the index of competitive
strength. All relative performances of the product on the
individual factors are weighted with their importance and
summed up.
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Calculation of Competitive Index
1. Sum the importance ratings for all features and
multiply by the number of scale points. (The
numbers are in column A in Table on next page)
2. For each attribute, multiple average importance x
average performance. Answers in Column C
3. Sum all numbers in column C
4. Calculate the CSI as -- Total C/Total in A
5. Repeat steps for competitor's: see columns D and E
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Calculation of Competitive Index
A
Scale: 1-10
Company
Rating
B
Scale: 110
Company
Score
C
A*B
Competitor
Rating
D
Scale: 1-10
Competitor
Score
E
A*D
It is a place
friends like to go
7.3
7.6
55.48
6.4
46.72
Atmosphere is
very pleasant
8.8
7.7
67.76
7.6
66.88
One place seems
to have better
odds
Slot machines
filled in a timely
manner
Type of
promotions
offered
TOTAL
INDEX
7.4
6.8
50.32
6.0
44.40
7.5
6.8
51
6.8
51.00
7.4
7.7
56.98
6.8
50.32
Importance
Feature
38.4 *10=384
281.54
73.3
259.32
67.5
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Feel
Safe
There
Importance
Rio
Bally
Boulder
Caesar
Circues
Excalibur
Fiesta
8.20
7.26
6.55
7.40
7.19
4.70
6.61
6.19
Drink
Orders
Friendly Place My
Always
Taken in Cashier Restaurants
Employe Friends Have Good Timely Lines Are Offer Great
es
Like to Go Entertaiment Manner
Short
Value
8.20
6.60
5.28
6.88
5.85
4.60
5.64
6.00
Rio
Bally
Boulder
Caesar
Circues
Excalibur
Fiesta
6.27
6.49
3.96
6.40
6.15
4.07
5.01
4.75
4.80
6.47
4.59
5.74
5.81
4.24
4.89
4.64
Rate
CSI
$179.00
$185.00
$160.00
$189.00
$159.00
$140.00
$155.00
59.97
47.91
63.92
53.16
43.41
52.07
54.3
6.12
5.93
5.11
6.50
5.37
4.59
5.03
5.48
6.37
5.91
5.05
5.90
5.43
4.63
5.42
5.43
7.49
5.70
4.05
6.54
4.32
4.55
5.01
5.61
Slot
Machines
Can get Filled in Like the You Can Get
change
Timely Promotion Complimentari
quickly Manner s Offered
es
6.33
5.54
4.70
6.11
4.82
4.15
5.19
5.60
5.67
5.35
4.60
5.89
5.07
4.21
5.04
5.34
4.80
5.05
3.75
6.16
3.62
3.80
4.06
4.66
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6.15
4.96
4.20
6.05
3.97
3.81
4.47
5.25
216
overall
average
6.40
5.93
4.71
6.32
5.24
4.30
5.12
5.36
217
53.16
Caesar
$189
$185
47.91
Bally
$180
$179
$159
59.97
Rio
43.41
Circus Circus
54.3
Fiesta
$155
$140
63.92
Boulder
52.07
Excalibur
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218
Exercise
• Develop positioning maps for coffee shop data
on the next slide
• What the positioning map show you?
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Importance
It is a
Grind
Starbucks
Norma
Jeans
Café
Java
Einstein's
You feel safe there
8.20
7.26 6.55 7.40 7.19 4.70
The employees are
friendly and courteous
8.20
6.60 5.28 6.88 5.85 4.60
It is a place my friends
like to go
6.27
6.49 3.96 6.40 6.15 4.07
Always have good
entertainment
4.80
6.47 4.59 5.74 5.81 4.24
Drink orders are taken
and delivered in a timely
manner
6.12
5.93 5.11 6.50 5.37 4.59
I can sit and read the
paper
6.37
5.91 5.05 5.90 5.43 4.63
Offer great price value
7.49
5.70 4.05 6.54 4.32 4.55
Food items taste great
6.33
5.54 4.70 6.11 4.82 4.15
Music is to my liking
5.67
5.35 4.60 5.89 5.07 4.21
The type of promotions
offered
4.80 for5.05
6.16
Strategic Marketing
Hotels and3.75
Restaurants
(c) Stowe3.62
Shoemaker,3.80
Ph.D
Price of cup of coffee
3.25 3.50 3.25 3.75 2.75
219
220
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Value
Efficiency
221
Quality
Innovation
Customer
Responsive
Size
Components
of a product;
GAP model
Taco Bell
Market
Intelligence
Franchise
Infrastructure
Manufacturing
R&D
Marketing
customer
How to loyalty; lifetime value
create
Materials
Management
Human
Resources
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Innovation
• Case Study Taco Bell
• Case questions:
– Critically analyze the actions taken by Taco Bell
between 1983- 1994
– Given the speed and magnitude of change, why did
not Taco Bell go “out of control”
– Can Taco Bell’s major competitors copy the Taco
Bell strategy? Why or why not
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Case Questions: Taco Bell
• What explains the degree of Taco Bell’s success
in contrast to its competitors?
• Describe the process of change at Taco Bell and
comment on whether it helped, hindered, or was
essential to success.
• Can the strategy lead to a competitive
advantage?
• What is next for Taco Bell?
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Taco Bell Video
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Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Value
Efficiency
226
Quality
Innovation
Customer
Responsive
Size
Components
of a product;
GAP model
Taco Bell
Market
Intelligence
Franchise
Infrastructure
Manufacturing
R&D
Marketing
customer
How to loyalty; lifetime value
create
Materials
Management
Human
Resources
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227
Understand the Customer Using
Marketing Research/ Intelligence
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Definition of Marketing Research
The systematic and objective identification,
collection, analysis, and dissemination of
information for the purpose of assisting
management in decision making related to
the identification and solution of problems
(and opportunities) in marketing.
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Steps In the Research Process
1. Decision
Problem
5. Determine
Research
Design
2. Research
Problem
4. Review
Secondary Data
6. Data Collection
Methods and Forms
3. What Do We Expect
To Know
7. Design Sample
8. Implement the
Field Work
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Steps In the Research Process: con’t
9. Field Control
14. Editing
15. Code
Building
10. Field
Supervision
13. Validation
16. Coding
12. Field Quality
Checks
17. Code
Verification
21. Analyze Data
22. Write Report
11. Field
Interviewers
20. Clean
Data
18. Keypunch
19. Keypunch
Verification
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231
Sources of Research
•
•
•
•
•
Full Service Suppliers
Consultants
Advertising Agencies
University
Data Tabulation Houses
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Research Design
• Exploratory
• Descriptive
• Casual
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Research Design:
Exploratory Research
•
•
•
•
Literature Search
Focus Groups
In-depth Interviews
Analysis of selected cases
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Research Design: Descriptive
Research
• Purpose
• To describe characteristics of certain groups
• Estimate the % of people in a specified
population who behave in a certain way
• Make predictions
• Require clear specifications of who, what, where,
when, why, and how
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Research Design: Descriptive
Research
• Types of Descriptive Studies
• Longitudinal Analysis
– True
» Advantages
» can look at changes in individuals
» collect lots of classification material
» accurate
» participants selected systematically
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Research Design: Descriptive
Research- con’t
• Types of Descriptive Studies
• Longitudinal Analysis
– Omnibus
» Advantages
» can ask certain people certain questions
» smaller surveys
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Research Design: Descriptive
Research- con’t
• Types of Descriptive Studies
• Cross-Sectional Analysis
» Provides snapshot of variables at a specific point
in time
» example is a sample survey
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Research Design: Casual Research
X causes Y
• Three kinds of evidence to support inferences of
causality
• Concomitant Variation
• Time order of occurrence
• Elimination of other possible causal factors
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Research Design: Casual Research
• Use Experiments to Provide Evidence
• Laboratory
• Field Experiments
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Causal Research: types of Q
A magazine company printed various cover designs and asked
people in its office to indicate the design they like best. This
experiment measured the effects of cover design on preference.
The same company printed magazines with the two most popular
cover designs, shipped these magazines to newsstands in
different cities, and measured sales for each design.
This experiment also measured the effects of cover design
on sales.
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Types of Data
•
•
•
•
Nominal
Ordinal
Interval
Ratio
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Types of Data - Nominal
• Measurement in which numbers are simply
assigned to objects or classes of objects solely
for the purpose of identification
• Only appropriate measure of central tendency is
the mode
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Example – Nominal Data
• Which of the soft drinks on the following list do
you like? Check all that apply:
____ Coke
____ Dr. Pepper
____ Mountain Dew
____ Pepsi
____ Seven Up
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Types of Data - Ordinal
• Numerals assigned reflect order as well as
identity
• The median and the mode are appropriate
measures of central tendency
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Example – Ordinal Data
• Please rank the soft drinks on the following list
according to your degree of liking for each, assigning
your most preferred drink rank = 1 and your least
preferred drink rank = 5.
____ Coke
____ Dr. Pepper
____ Mountain Dew
____ Pepsi
____ Seven Up
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Types of Data - Interval
• Numerals convey information about the
magnitude of the differences between the
objects; we can determine how much more one
category is than another
• Appropriate measures of central tendency are
the mean, median, and mode
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Example – Interval Data
• Please indicate your degree of liking for each of the soft
drinks on the following list by checking the appropriate
position on the scale:
Dislike a lot
1
Like a lot
2
3
4
5
6
Coke
Dr. Pepper
Mountain Dew
Pepsi
Seven Up
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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248
Types of Interval Scales
Likert-type scales:
– “Below are a list of benefits that a luxury hotel
could offer to entice you to be loyal to that hotel.
For each benefit listed, please indicate the impact
that feature would have on your loyalty. Use a 1 to
7 scale, where “1” means the feature will have no
impact on your loyalty and “7” means the feature
will have a great impact on your loyalty. Use any
number from 1 to 7”
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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My rule of thumb for scales
• Minimum scale range 1 to 7
• Tend to use 1 to 10
• Include ‘No opinion’ option
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Types of Data - Ratio
• Similar to interval, but there is a natural 0 point
• The 0 point indicates an absence of the attribute
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Example – Ratio Data
• During your next 10 visits to the supermarket, please
indicate the number of 2-liter bottles of each of the
following beverages that you would purchase.
____ Coca-Cola
____ Dr. Pepper
____ Mountain Dew
____ Pepsi
____ Seven Up
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Types of Data Generated
•
•
•
•
•
•
Awareness, Trial, Usage (ATU)
Behavior
Intentions
Attitudes and opinions
Demographic information
Service failure and value recovery
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Measuring Attitude, Trial, and
Usage (ATU)
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Measuring ATU
• Awareness/Knowledge or ATU (awareness,
trial, and usage): what respondents do and do
not know about some object or phenomenon
– Unaided: brand name not mentioned
– Aided: consumers specifically asked if they recall
brand
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Measuring ATU
a.
b.
c.
d.
e.
255
Please think for the moment about fast food restaurants located in your area.
Which restaurants can you name?
FOR THOSE NOT MENTIONED ASK: Before this interview, have you heard of
READ NON-CIRCLED BRANDS.
FOR BRANDS CIRCLED IN a or B ASK: In the last six months have you been
to READ BRAND.
FOR BRANDS CIRCLED IN C ASK: In the last three months have you been to:
READ BRAND.
FOR BRANDS CIRCLED IN D ASK: How many times have you been to BRAND
in the last 30 days?
Unaided
a
McDonald’s
Burger King
In and Ou 3
Other Mentions
(WRITE IN)
___________
1
2
3
Aided
b
Six Months
c
1
2
1
2
3
Three Months Last 30 Days
d
e
1
2
3
_________
_________
_________
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Measuring Behaviors
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Behavior
• The measure of behavior involves four distinct
elements:
– the action: the behavior one is trying to measure;
e.g., purchase of a hotel room
– the target: the thing at which a behavior is directed;
e.g., purchase of a Marriott hotel room
– the context: e.g., staying at a Marriott for business vs.
staying at a Marriott for pleasure
– the time:
e.g., perhaps if late at night stay not at a
Marriott, but first place you find
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Behavior
• Behavior: what subjects have done or are doing
• Involves the development of a description of the purchase or use
activity, either past or present, with respect to some or all of the
characteristics listed below:
Purchase/Use Behavior
» What
» How much
» How
» Where
» When
» In what situation
» Who
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Behavior
• How many nights have you stayed overnight at a resort
in the continental U.S. for vacation or personal reasons
in the last 12 months? __________________
• How many nights have you stayed overnight at a hotel
outside of the continental U.S. (including Hawaii and
the Caribbean) for vacation or personal reasons in the
last 12 months? __________________
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Behavior
• While traveling for leisure in the last 12 months, how many
nights did you stay at: READ EACH BRAND. IF ZERO,
PLEASE WRITE “0”.
Crowne Plaza _____
Marriott _____
Sheraton _____
Hilton _____
Hyatt
Ritz-Carlton ___ Other brands ____
_____
Four Seasons_____
Westin _____
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - Be Aware Of Situational Factors
Wrong!
What kind of wine did you last buy?
Correct!
What kind of wine did you last buy when you went out
on a romantic date?
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - Response Choices Should Have All
Possible Answers
Wrong!
How many times did you eat lunch last week?
1
2
3
4
5
6
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - Response Choices Should Have All
Possible Answers
Correct!
How many times did you eat lunch last week?
1
2
3
4
5
6
7
8 - Did Not Eat Lunch
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - Make Items Clear and Precise
Wrong!
How frequently do you drink coffee?
Extremely often……………….
Very Often……………………..
Not too often………………..…
Never…………………………..
1
2
3
4
Correct!
Within the last 7 days, how many 8 oz. cups of coffee did you
drink?
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - Response Choices Should Not Overlap
Wrong!
How many times do you eat breakfast in the Dining Commons?
0-3
4-6
6-7
Correct!
How many times do you eat breakfast in the Dining Commons?
0
1-3
4-5
6-7
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - Respondents Must Be Competent To
Answer Questions
Wrong!
How many kilometers from home are you away
from the nearest McDonald’s?
Correct!
During normal traffic conditions, how many minutes
does it take you to drive to the nearest McDonald’s
from your home?
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - State Explicit Alternatives
Wrong!
Would you buy pasta-in-a-jar if available in a store where you
normally shop?
Correct!
If pasta-in-a-jar and the canned pasta product you currently use
were both available in the store where normally shop, would
you:
A) Buy only the canned pasta product
B) Buy only the pasta-in-a-jar product
C) Buy both products
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Measuring Demographic Questions
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - Ask demographic questions in nonthreatening ways
Wrong!
How much do you make per year?
Correct!
1. What is your annual household income:
1. $50,000 or less (skip to Q1a)
2. $50,001 or more (skip to Q1b)
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Ex: - Ask demographic questions in nonthreatening ways
Q1a. Is that :
1. Under $20,000
2. $20,000 - $30,000
3. $30,001 - $40,000
4. $40,001 - $50,000
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Exercise
• Work on developing questionnaire for CIC
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
Value
Efficiency
273
Quality
Innovation
Customer
Responsive
Size
Components
of a product;
GAP model
Taco Bell
Market
Intelligence
Franchise
Infrastructure
Manufacturing
R&D
Marketing
customer
How to loyalty; lifetime value
create
Materials
Management
Human
Resources
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Size
Noodles
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Questions for Noodles Case
• See pages 14 and 15 of case
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
276
Objectives
1. Introduce Strategic Marketing System Model – the
Framework for the class
2. Review definition of marketing and discuss the future
of marketing
3. Review the buyer purchase model
4. Discuss how to calculate the life time value of the
customer and the value of WOM and why this is
important
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Objectives
5. Discuss market positioning
6. Discuss a framework for developing a
marketing plan
7. Review communication strategies
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
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Carvel Ice Cream
– Incorporates class material (negates 5 forces model,
SWOT, presents measures to show success, etc.)
– Originality
– Likelihood of success
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
not at all 1 2 3 4 5 6 7
#1
#2
#3
does extremely well
#4
Creativity
Originality
Incorporates class
information
This group had fun
Will build a CA
Presents measures to
monitor success
TOTAL
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D
#5
279
280
Presentations
Strategic Marketing for Hotels and Restaurants (c) Stowe Shoemaker, Ph.D