MARKETING FOR TOURISM & HOSPITALITY
DTHM
INTRODUCTION
Marketing calls on everyone in the organisation to be customer-oriented. This is particularly important in tourism and hospitality organisations, such as hotels, restaurants airlines and cruise lines, etc. From the way telephone calls are answered, guests greeted, to how meals are served, events organised; the overall service delivery will impact on the customers’ satisfaction level and the organisation’s success in the long term.
This module will introduce important marketing principles while focusing on the application of strategic and tactical marketing concepts and theories to the marketing of tourism and hospitality related products and services. It will examine consumer and organisational buying behaviors, the marketing mix and marketing strategies to help participants develop a better understanding of how marketing tools can be integrated and effectively used in the tourism and hospitality industry.
COURSE OBJECTIVES
At the end of the course, you should be able to:
1. Understand the complexity of both consumer and organisational buyer behaviour;
2. Identify target markets through the use of suitable market segmentation strategies; and apply the principles of target marketing and product positioning;
3. Conduct situational analysis and exemplify steps on how marketing plans are implemented through marketing mix strategies, and are controlled and evaluated.
CONTENTS
Topic 1 Introduction: Marketing for Tourism and Hospitality
Service Characteristics of Hospitality and Tourism Marketing
Topic 2: The Role of Marketing in Strategic Planning
Topic 3: The Marketing Environment
Marketing Information Systems & Market Research
Topic 4: Consumer Markets and Consumer Buying Behavior.
Organizational Buyer Behavior. of Group Market
Topic 5: Market Segmentation, Targeting and Positioning
Topic 6: Designing and Managing Products
Internal Marketing
Topic 7: Pricing Products: Pricing Considerations, Approaches and Strategy
Distribution Channels
Topic 8: Promoting Products:
Communication and Promotion Policy and Advertising
Public Relations and Sales Promotion
Topic 9: Direct and Online Marketing: Building Customer Relationships
Destination Marketing
Topic 10: Review and Feedback
ASSESSMENT
The assessment for this module is as follows:
1. Individual Report 40%
2. Group Final Report 60%
Total 100%
INDIVIDUAL PROJECT
The individual project is a 1500-word report about social media marketing for a particular tourism and hospitality company.
Task: Choose a tourism or hospitality organisation. This company should be either an airline hotel, resort or meeting venue. Discuss how this company markets itself on social media by using the few points below as guidelines for your report’s discussions.
Suggested guide for the report:
- Introduction about the company and why social media marketing is an increasing trend
- Advantages and disadvantages of social media marketing for your chosen company.
- How can social media marketing be improved? Give TWO (2) recommendations. Ensure that your arguments use academic literature and not your views.
- Conclude by saying how social media marketing will evolve over the next few years.
GROUP PROJECT
To complete this module, all students must complete an individual and a group project. At the completion of the group project, a written report must be produced. Students are to submit their Group Project by the deadline. Any late submission will be awarded zero marks.
(I) AIMS
The aims of the assignment are to:
a) Complement the learning you have encountered during the lectures and enable you to relate the class materials to industry practices.
b) Enhance your knowledge and appreciate the complexities of marketing for the tourism and hospitality industry.
c) Develop your research skills to conduct a more in-depth study of a tourism- or hospitality-related topic.
d) Present an opportunity for you to work in a team and learn to work with others with different personalities and abilities.
e) Practice report-writing skills.
(II) GENERAL GUIDELINES
i. This assignment must be completed as both an individual and a group project. Students need to form groups of 4 to 6 members. The groups are encouraged to draw up a timetable to meet regularly outside formal classes to discuss and work on the project.
ii. The assignment is to be presented in (1) an individual report (2) group final report.
iii. The individual report should be around 1500 words in length. It will be graded based on quality of discussions, presence of critical analyses, coherence, relevance and academic rigour (amount of academic literature used).
iv. The group final report should be around 2,000 words in length. It will be graded on the depth of research, presentation of findings and quality of analysis and recommendations. The overall layout and presentation of the final written report will also be taken into consideration. Arial Font size 12, 1.5 lines spacing and 2.5cms page margins processed in Word will be preferred.
v. You are required to develop a marketing plan for a specific tourism or hospitality organization in Asia. The tourism or hospitality business selected by your team must be one that is currently in existence.
vi. Your team is required to inform your lecturer of your chosen organization. Note that your lecturer will ensure that the class covers a diversity of tourism and hospitality organizations. This means that you may NOT get your preferred organization type.
vii. The assignment is to be presented as a written market plan. The final report will be graded based on the depth of research, presentation of findings, quality of analysis and recommendations. The overall layout and presentation of the final written plan will also be taken into consideration.
viii. After having identified the tourism or hospitality organization, you are required to conduct research on the selected organization, examine its internal and external environment, marketing materials and website. Relate and apply the concepts and theories of this module to develop your marketing plan. You can use additional sources such as marketing collaterals, newspapers, magazines etc. but put them in the Appendix.
xi. Gather all the materials you have used. Record the author, journal name, newspaper title, book title, publisher and date of publication of the materials. If it is from the Internet, include the URL. Keep a file and refer to this list when you cite your sources in the report. Check with your lecturer on the style. and format to follow or adopt when citing sources for your research report. All assignments are to use the APA 7 style.
(III) PRESENTING THE FINDINGS and ASSESSMENT CRITERIA
THE INDIVIDUAL REPORT
(i) The individual report is to be submitted based on the stipulated deadlines and should be around 1500 words. It should reflect the following:
a) A good understanding of your selected topic.
b) Relevance of your discussions to your proposed topic.
c) The relevance of your specific part to the group’s overall report; meaning, how your specific part fit into the overall group report.
d) Discussions in the report must be analytical – there should be less descriptive writing and more critical discussions of issues in your report.
e) Please ensure that there is NO usage of AI; many grammar checking tools are now also equipped with AI so do be careful. Usage of AI constitutes a fail grade straightaway.
f) Good usage of academic literature; at least 8 current academic sources of literature should be used.
(ii) The individual report outline should follow the prescribed format and should be submitted based on the stipulated deadline. Please note that late assignments will receive NO MARKS. Be sure that all parts of the report are in order before you deliver the final paper.
Your individual report outline submission will be marked against the following criteria:
a) Clear introduction and meaningful conclusion - (10%)
b) Relevance of the discussions to the proposed topic and themes – (10%)
c) Critical analyses of the issues and the themes in the discussions - (40%)
d) Flow and coherence – (10%)
e) Academic rigour – use of minimum EIGHT (8), current, relevant and appropriate academic sources of literature - (20%)
f) Presentation – style. and language (10%)
Remember your final percentage mark will be weighted to 40% of the overall
Module weighting.
THE GROUP FINAL REPORT
(i) Having completed your research and discussion, your group should proceed
to write your group final report. The format of the report should be as follows:
a) Title
b) Contents
c) Introduction
d) Outline presentation
e) Main Body
f) Conclusion
g) Summary (optional)
h) Annex
The introduction should focus on the assignment requirements and how you are going to address them, while the main body must contain your findings, personal comments, recommendations and analysis.
You must produce a conclusion. You are advised to comment on the issues read, your learning or any issues or questions prompted by the study.
(ii) The group final report should follow the prescribed format and should be submitted based on the stipulated deadline. Please note that late assignments will receive NO MARKS. Be sure that all parts of the report are in order before you deliver the final paper.
Your Group Final Report will be marked against the following criteria:
Specific criteria (as related to the Module Learning Outcomes):
a) Research and methodology: evidence of supporting research; quality and relevance of material gathered; method and approach (10%)
b) Subject knowledge and understanding: breadth and depth of comprehension and understanding (15%)
c) Critical review: utilization of material; correlation to theoretical constructs; depth and rigour (25%)
d) Conclusions: justification, relevance and practicality (10%)
e) Appendices and supporting information: relevance and appropriateness (5%) Total: 65%
General criteria:
a) Format: appropriateness and writing style. (10%)
b) Structure: cohesion and flow (10%)
c) Presentation: layout, clarity, style. and language (5%)
d) References and referencing: breadth, relevance, style. and accuracy (10%) Total: 35%
Remember your final percentage mark will be weighted to 60% of the overall Module weighting.
TOPIC 1
INTRODUCTION: MARKETING FOR TOURISM AND HOSPITALITY
SERVICE CHARACTERISTICS OF HOSPITALITY AND TOURISM MARKETING
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. Understand the relationships between the hospitality and travel industry.
2. Define the role of marketing and its core concepts.
3. Explain the relationships between customer value, satisfaction and quality.
4. Discuss how marketing managers go about developing profitable customer relationships.
5. Understand why the marketing concept calls for a customer orientation.
6. Identify four characteristics that affect the marketing of a hospitality product.
7. Explain marketing strategies that are useful in the tourism and hospitality industry.
TOPICS
1. Definition of Marketing and Core Marketing Concepts
2. Marketing Management Orientations
3. Building Profitable Customer Relationships
4. Characteristics of Service Marketing
5. Management Strategies for Service Businesses
TOPIC 2
THE ROLE OF MARKETING IN STRATEGIC PLANNING
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. Explain company-wide strategic planning.
2. Understand the concept of stakeholders, processes, resources, and organization as they relate to high-performing business.
3. Explain the four planning activities of corporate strategic planning.
4. Understand the processes involved in defining a company mission and setting goals and objectives.
5. Discuss how to design business portfolios and growth strategies.
6. Explain the steps involved in the business strategy planning process.
7. Know why it is important to have a marketing plan and be able to explain the purpose of a marketing plan.
8. Prepare a marketing plan following the process described in the textbook.
TOPICS
1. Nature of High-Performance Business
2. Corporate Strategic Planning
3. Marketing Strategy and the Marketing Mix
4. The Marketing Plan
TOPIC 3
THE MARKETING ENVIRONMENT
MARKETING INFORMATION SYSTEMS &
MARKETING RESEARCH
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. List and discuss the importance of the elements of the company’s microenvironment.
2. Describe the macro-environmental forces that affect the company’s ability to serve its customers – demographics, economic, competitive and natural.
3. Explain the key changes in the technological, political and cultural environments and understand their impacts on the hospitality industry.
4. Discuss how companies can be proactive rather than reactive when responding to environmental trends.
5. Explain the concept of the marketing information system.
6. Identify the different kinds of information the company might use.
7. Outline the marketing research process.
TOPICS
1. The Microenvironment
2. The Macroenvironment
3. Environmental Scanning
4. The Marketing Information Systems
5. The Marketing Research Process
TOPIC 4
CONSUMER MARKET AND CONSUMER BUYING BEHAVIOR
ORGANIZATIONAL BUYER BEHAVIOR. OF GROUP MARKET
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. Name the elements of the stimulus-response model of consumer behavior.
2. Outline major characteristics affecting consumer behavior and some of the specific factors that influence customers.
3. Explain the buying decision process.
4. Understand the organizational buying process.
5. Identify and discuss the importance of the participants in the organizational buying process.
6. Identify major influences on organizational buyers.
7. List the eight stages of the organizational buying process.
8. Identify and describe group markets in the industry.
TOPICS
1. Model of Consumer Buying Behavior.
2. Factors Affecting Consumer Behavior.
3. Buyer Decision Process
4. Organizational Buying Behavior.
5. Major Influences on Organizational Buyers
6. Organizational Buying Process
7. Group Business Markets
TOPIC 5
MARKET SEGMENTATION, TARGETING AND POSITIONING
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. Explain market segmentation, and identify possible bases for segmenting markets.
2. Outline process of evaluating market segments, and suggest some methods of selecting market segments.
3. Illustrate the concept of positioning for competitive advantage.
4. Choose and implement a positioning strategy.
TOPICS
1. Markets & Market Segmentation
2. Market Targeting
3. Market Positioning
4. Positioning Strategies
5. Communicating & Delivering the Chosen Position
6. Positioning Measurement
TOPIC 6
DESIGNING AND MANAGING PRODUCTS
INTERNAL MARKETING
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. Explain how atmosphere, customer interaction with the service delivery system, customer interaction with other customers, and customer co-production are important elements in product design.
2. Understanding branding and the conditions that support branding.
3. Explain the new product development process.
4. Understand how the product life cycle can be applied to the tourism and hospitality industry.
5. Understand why internal marketing is important.
6. Explain service culture and the importance of customer focus.
7. Describe the four-step process of internal marketing.
TOPICS
1. Product Levels
2. Branding
3. New Product Development
4. Product Life-Cycle Strategies
5. Internal Marketing Process
6. Marketing Approach to Human Resources Management
TOPIC 7
PRICING PRODUCTS: PRICING CONSIDERATIONS, APPROACHES AND STRATEGY
DISTRIBUTION CHANNELS
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. Outline the factors to consider when setting prices.
2. Identify and define the external factors affecting pricing decisions.
3. Contrast the differences in general pricing approaches, and be able to distinguish among cost-plus, target profit pricing, value-pricing, and going-rate.
4. Identify the new product pricing strategies of market-skimming pricing and market- penetration pricing.
5. Understand how to apply pricing strategies for existing products.
6. Discuss the key issues related to price changes.
7. Describe the nature of distribution channels and understand the different marketing intermediaries.
8. Identify the distribution channel functions and number of channel levels.
9. Discuss channel behavior and organization, explaining corporate, contractual and vertical marketing systems, including franchising.
TOPICS
1. Factors When Setting Price
2. Pricing Approaches
3. Pricing Strategies
4. Pricing Changes
5. Distribution Systems
6. Marketing Intermediaries
7. Distribution Channel Functions
8. Number of Channel Levels
9. Channel Behavior. and Organization
TOPIC 8
PROMOTING PRODUCTS:
COMMUNICATION AND PROMOTION POLICY AND ADVERTISING
PUBLIC RELATIONS AND SALES PROMOTIONS
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. Describe the promotional tools and discuss the factors that must be considered in shaping the overall promotional mix.
2. Outline the six steps in developing effective communications.
3. Explain the methods for setting the promotion budget.
4. Describe the major decisions in advertising - including setting objectives and budget; creating advertising message; selecting advertising media; choosing media types, vehicles and timing, and evaluating advertising.
5. Describe the different public relations activities - including press relations, product publicity, corporate communications, lobbying and counseling.
6. Outline the public relations process and how public relations tools are used.
7. Implement a crisis management program in a tourism or hospitality business.
8. Explain how sales promotion campaigns are developed and implemented in tourism and hospitality organizations.
TOPICS
1. The Promotion Mix
2. Integrated Marketing Communications (IMC)
3. Developing Effective Communications
4. Developing the Total Marketing Communications Budget
5. Integrated Marketing Communications
6. Managing the Coordinating IMC
7. Major Decisions in Advertising
8. Public Relations and Publicity
9. Crisis Management
10. Sales Promotion
TOPIC 9
DIRECT AND ONLINE MARKETING: BUILDING CUSTOMER RELATIONSHIPS
DESTINATION MARKETING
LEARNING OBJECTIVES
At the end of the session, course students should be able to:
1. Define direct marketing and describe the major forms of direct marketing.
2. Explain how companies have responded to the internet and other new technologies with online marketing strategies.
3. Describe how to set up an effective database and how databases can be used to develop direct marketing campaigns.
4. Explain tourism strategies and different options for creating and investing in tourism attractions.
5. Identify key tourist market segments and how to manage communications with these visitor segments.
6. Explain how central tourism agencies are organized and describe their role in marketing and promoting a destination.
TOPICS
1. Direct Marketing
2. Customer Databases and Direct Marketing
3. Direct Marketing to Build Customer Relationships
4. Forms of Direct Marketing
5. Online Marketing
6. Tourism Strategies and Investments
7. Segmenting and Monitoring the Tourist Market
8. Communicating with the Tourist Market
9. Organizing and Managing Tourism Marketing
TOPIC 10
REVIEW AND FEEDBACK
LEARNING OBJECTIVES
At the end of the session, students should be able to:
1. Review key concepts covered in this module.
2. Reflect on the module learning outcomes.
3. Gain feedback on the group work assessments.