MARKETING ANALYSIS

Arnaldo’s Hotel and Restaurant

University of Mindanao
Professional Schools

Master in International Tourism and Hospitality Management

MITH 107 – Hospitality Revenue Management
Name of Teacher: Professor Florence Kristina M. Jimenez, PhD

Submitted by:
John Renald Dael
Giylah Ashiyr Labayan
Gerry Louis Gallano
 ACKNOWLEDGEMENT

First and foremost, we would like to express our gratitude to Dr. Kristina Florence
Jimenez, our professor for MITH107 Revenue Management, for her excellent guidance
and advise. She was a huge inspiration for us to work on this project. In addition, we want
to take this opportunity to express our gratitude to the University of Mindanao Professional
School for including this Revenue Management course on our enrolled program. It allows
us to engage in and learn about the dynamics of marketing plans and revenue
management in the hospitality industry. This project's composition has been one of the
most arduous academic difficulties we have faced, and it would not have been
accomplished without the help, patience, and assistance of the group members. Also, the
profitable thoughts of each member of the group in the creation of this project from the
beginning, as well as the rest of the Master in International Tourism and Hospitality
Management students at Professional School, Matina Campus. Every student in this
class has provided crucial personal and professional assistance as well as imparted a
depth of information about scientific research and life in general. Finally, we would want
to thank our families and friends for their unwavering support in helping us finish this
project. We would not have completed this project without the support of the above-
mentioned specifics. Above everything, our All-Powerful Father, who never fails to inspire
and lead us.
 TABLE OF CONTENTS

I. Title Page
II. Acknowledgment
III. Table of Contents
IV. Executive Summary
V. Company Description
VI. Products and Services
VII. Marketing Objectives
VIII. Market Segmentation
IX. Marketing Mix
X. Competitor’s Analysis
XI. 4 P’s Strategies
XII. Summary / Conclusions and Recommendations
XIII. Appendices
A. References
IV. EXECUTIVE SUMMARY

Arnaldo's Hotel and Restaurant renowned for its convenient and strategic locations
within Digos City. The hotel is famous because of its price and comprehensive range of
services. Currently, the hotel has selected operational rooms, limited restaurant dining,
and limited walk-in guest services.

The hotel is suffering in terms of sales as a result of the COVID-19 pandemic, as

international tourists are unable to travel due to travel restrictions. Arnaldo's Hotel and
Restaurant must employ a variety of marketing methods in order to stay afloat. Arnaldo's
Hotel and Restaurant needs to find a new market for their company. Many visitors from
the government sector have recently visited the city. These people must be attracted to
the hotel. Local travelers should also be encouraged to visit the hotel, according to the
company. Personal selling in the local market is necessary to maintain long-term
relationships with local residents and generate high levels of business activity. Doctors,
nurses, and other medical professionals play an important role in the city because they
are today's front-line workers. These experts could be targeted for the property's hotel
rooms. Because these people have been exposed to COVID-19, they require a temporary
residence.

V. COMPANY DESCRIPTION

According to TripAdvisor, Arnaldo's Hotel is a 3.5-star hotel. It caters to Digos City's

corporate community, as well as international and domestic guests. The hotel's core
consumers are contract corporate clients from both regional and national markets. The
strategic location of the property is crucial for commercial success.

The level of client loyalty and repeat business received on an annual basis is
critical to the company's success. They provide technological business facilities for
visitors in both the rooms and the hotel's conference facilities.

Guests at Anrnaldo's Hotel and Restaurant have the impression that they can
conduct business in a less austere environment than at our competitors' establishments,
where there is less personal recognition. They prefer to be greeted by name and have
personnel remember their unique requests when they arrive. This is critical in extending
the partnership beyond the first stay and demonstrating our extra value in comparison to
other establishments in the area.
VI. PRODUCTS AND SERVICES

Beyond the room offerings, a wide range of additional services and amenities are
offered by Arnaldo's Hotel and Restaurant, some with extra charge and some free with
room rental. These include:

• In-room dining
• Concierge service
• Complimentary continental breakfast and coffee
• Indoor pool
• Wireless internet (free throughout the hotel)
• Restaurant and lounge
• Boardrooms and conference rooms (includes reservation fee)

All of these services and amenities are available to all visitors at the Arnaldo's
Hotel and Restaurant.

VII. MARKETING OBJECTIVES

These are the marketing objectives of Arnaldo's Hotel and Restaurant:

• To provide all guests with a great hotel experience.

• To accomplish the growth targets within the given time and budget.
• Expand the markets and identify new needs for Arnaldo's Hotel and Restaurant
products and services.
• To survive the business operations despite the COVID-19 pandemic.

VIII. MARKET SEGMENTATION

Arnaldo's hotel focuses on their potential market to target clients based on unique
traits, build more effective marketing campaigns, and uncover opportunities in
their market. Their market are those who are staying for business trips and domestic and
international tourists. The hotel can use market segmentation to get to know their clients,
figure out what they need in their market segment, and figure out how to best address
those demands with their product or service. This enables the hotel in developing and
implementing more effective marketing strategies from top to bottom.

However, due to travel restrictions because of COVID-19, the new target market
of Arnaldos Hotel and Restaurant now are the following;

• Local people from Digos City

 • Government Employees/Administrators
• Doctors, Nurses, and other medical professionals

These people can be targeted since they might use conference facilities and
reserved some rooms for visiting the city.

IX. MARKETING MIX

Products and services information are given to the guest via personal selling, direct
marketing, advertising, social media, and the Internet. Whenever new customers stay at
the hotel, they need to determine whether it is for leisure or business. If it is for business
Arnaldo's Hotel and Restaurant needs to get the customers' business name and address
to send a corporate packet to the company to let them know about corporate pricing and
exceptional business amenities.

X. COMPETITOR’S ANALYSIS

The table shows the competitors of Arnaldos Hotel and Restaurant in Digos City.
The primary competitors of Arnaldos Hotel and Restaurant are the following: Avenue
One Hotel, AB Hotel, Hotel de Crisbelle, and Jared Suites.

Name of Star Rating Location Service and Room Rates

the Hotel (TripAdvisor) Amenities
Avenue • 3.5 • Roxas • Free • ₱1100
One Hotel Ext., Tres Breakfast average
de Mayo, • Free price
Digos City, parking per
Mindanao • Fitness night
8001 Center with
Philippines Gym
• Business
Center with
Internet
Access
• Spa
AB Hotel • 3.5 • Pan- • Free WiFi • ₱800
Philippine average
Highway, price
 Digos City, per
Mindanao night
Philippines
Hotel de • 3.0 • National • Restaurant • ₱1000
Crisbelle Hwy, • Free average
Digos City, Internet price
Mindanao • Fitness per
8002 center night
Philippines • Airport
transfer
Jared • 3.0 • Abella • Bar / lounge • ₱1081
Suites Subd., • Free High- average
Zone I, Speed price
Digos City, Internet per
Mindanao (WiFi) night
8002 • Massage
Philippines • BBQ
facilities

The table below is the SWOT Analysis of Arnaldo's Hotel and Restaurant. Their
strengths are; the value for the guest, its prime location, and the hotel is offering a wide
range of services. Arnaldo's Hotel and Restaurant weaknesses are not well promoted and
positioned in the market. There are some delays in decision-making since it is a sole
proprietorship type of business, and its service is only average compared to world-class
standards. The company's opportunities are it has a scope of expansion, there are more
tourists now visiting Digos City, and there are high employment opportunities in the city
now. The threats of Arnaldos Hotels are other hotels and restaurants in Digos City, the
COVID-19 pandemic, and there is also better foreign tourist destination in the city.

Arnaldo's Hotel and Restaurant (SWOT Analysis)

Strength Weaknesses
1. Value for Money 1. Sole Proprietorship – Delay in
2. Prime Location Decision Making
3. Wide Range of Services 2. Not Well Promoted and Positioned
 3. Average service compared to
world-class standards
Opportunities Threats
1. Scope of Expansion 1. Other Hotels and Restaurants in
2. More tourists traveling Digos City
3. High Employees Opportunity 2. COVID-19 Pandemic
3. Better foreign tourist destination

Arnaldo's Hotel and Restaurant need to stand above the competition and must
stand out in the market. Arnaldo's Hotel and Restaurant must do the following:

• Continue to cultivate long-term relationships with both returning and new

customers.
• Continue to design and implement a comprehensive communications strategy
in both domestic and foreign markets.
• As a member of the community, take advantage of the local market's strength
by supporting local events.
• Open new markets for the service, particularly in light of the COVID-19
pandemic concern (Trongjitraksa & Batra, 2020).
• Maintain a culture of continuous personnel training and skill development to
provide the highest level of service.

XI. 4 P’s STRATEGY

Product Strategy

It has been shown to be a successful way of producing high repeat business levels
by increasing hotel facilities accompanied by exceptional personal service, differentiated
from competition quality with the whole brand strategy.

Arnaldo's Hotel and Restaurant must seek the following areas to improve its
services:

• Personal recognition of frequent travelers who return time and again.

• Staff must have a strong customer-service ethic.
• Upgrade the amenities and rooms
Pricing Strategy

The pricing strategy has been consistent with the differentiation objective, to
provide added value for a reasonable rate instead of discounting and devaluing our
products and services.

The following rates are per night, per room, net of tax and service, and include a
continental breakfast:

• Corporate single
• Corporate double
• Corporate double deluxe
• Corporate suite

Conference room rates are quoted per day, net of tax and service, with tea or coffee
breaks (2) included:

• The Riverview Boardroom

• The Riverview Conference Hall
• The Riverview Ballroom

Promotional Strategy

The primary focus of the promotional approach will continue on mass

communication via social media marketing, television/radio commercials, and the
Internet. As a cost-effective way of focused promotion, direct mail campaigns to existing
and new clients will grow in popularity.

Personal selling at the local market will continue to be important (Aballe, et. al.,
2021), especially now that the city is dealing with the COVID 19 pandemic. Personal
selling is required in the local market to maintain long-term relationships with local
residents and produce high levels of business engagement. Public relations activities will
continue to play an essential role in the marketing mix, presenting the hotel as a
supportive member of the community, and participating in significant local events.

Website

Arnaldo's Hotel and Restaurant must have an updated website. A website where
customers can see the services and amenities offered by the hotel.

The following items should be included in the hotel’s web page:

• New home page design and navigation

• Online reservations capability
 • Printable brochure

Here are Arnaldo's Hotel and Restaurant website goals:

• Communicate our message of high-quality, business-friendly housing.

• Be listed on major travel websites so that people may locate them.

• Be able to accept reservations and make modifications to reservations via the

internet.

Social Media

Arnaldo's Hotel and Restaurant must use the following social media accounts to
promote their hotel services:

• Instagram: Instagram posts can feature a link redirecting to the hotel's

online booking engine. An active presence on social media combined with
the opportunity to book online will incite customers to book directly with the
hotel without going through OTAs, therefore maximizing Arnaldo's Hotel
and Restaurant income.
• Twitter: Twitter can build brands' personality and awareness. Twitter can
help Arnaldo's Hotel and Restaurant to share information quickly and start
conversations with the target audience. In turn, the audience would find the
hotel tweets and content valuable, and ideally, they will share it with their
followers.
• Facebook: Facebook can raise brand awareness and promote positive
word-of-mouth. Arnaldo's Hotel and Restaurant can increase its business's
profile on Facebook by encouraging existing and potential customers to
click the 'Like' button on the Arnaldo's Hotel and Restaurant Facebook
page. Once they like the the page, the customers will receive updates on
their wall, where their friends will also see them. This helps to build
awareness about the existence of Arnaldo's Hotel and Restaurant.
Customers can also post positive messages about the services offered by
Arnaldo’s Hotel and Restaurant. They can also share it on their walls for all
their friends to see.
• YouTube: YouTube has evolved into a video marketing tool for reaching out
to the hospitality industry's largest audience, attracting them, and
encouraging them to book rooms. Rather than reading literature, many
travelers prefer to watch videos on their property (Reino & Hay, 2011).
Arnaldo's Hotel and Restaurant can display YouTube users the hotel rooms
 and other amenities and convert them into potential customers through the
hotel's own YouTube channel. Users can publish an entertaining and
educational film across various social media channels, further promoting
their property to a large audience.

Place Strategy

Arnaldo's Hotel and Restaurant must focus on the repeat visits of government
agencies now. They need to develop a relationship with the government agencies since
there are many meetings conducted in the city due to the COVID-19 pandemic. They
also need to generate new accounts by soliciting first-time visitors actively.

XII. SUMMARY/CONCLUSION AND RECOMMENDATION

It will be critical to maintain price and amenity competitiveness. Arnaldo's Hotel

and Restaurant should mail out corporate packets every six months to the key accounts,
as well as any new reports they acquire. The packs will have information about corporate
pricing and discounts and information about rooms and amenities for the companies to
share with business travelers.

The most significant piece of Arnaldo's Hotel and Restaurant sales process will
depend on personal relationships. They need to make every business traveler feel like
Arnaldo's Hotel and Restaurant remember them and know their likes and dislikes. The
hotel must also cultivate good relationships with the person at the company who makes
travel arrangements.

Whenever new customers stay at the hotel, they need to determine whether it is
for leisure or business. If it is for business Arnaldo's Hotel and Restaurant needs to get
the customers' business name and address to send a corporate packet to the company
to let them know about corporate pricing and exceptional business amenities.

Arnaldo's Hotel and Restaurant marketing strategy is designed to help them meet
their strategic objectives of increasing overall income by differentiating their products and
services from the competition.

The marketing team at Arnaldo's Hotel and Restaurant must guarantee that the
plan is carried out to the best of their abilities, with the utmost efficiency and accuracy. All
data should be checked on a regular basis to see how projections compare to actuals.
XIII. APPENDICES

A. References

Aballe, J. Y., et. al., (2021). Dealing with the decline of tourism livelihood: The tales

of Tricab (tourist cab) drivers amidst COVID-19 pandemic. Eubios Journal of

Asian and International Bioethics, 31(5), 288.

ARNALDO’S HOTEL AND RESTAURANT - Reviews (Digos City, Philippines). (n.d.).

Tripadvisor. Retrieved July 16, 2021, from
https://www.tripadvisor.com.ph/Hotel_Review-g2189206-d2010920-Reviews-
Arnaldo_s_Hotel_and_Restaurant-
Digos_City_Davao_del_Sur_Province_Mindanao.html

Arnaldo’s Hotel and Restaurant. (n.d.). FindGLocal. Retrieved July 16, 2021, from
http://www.findglocal.com/PH/Digos/105115552875289/Arnaldo’s-Hotel-and-
Restaurant
Garrido-Moreno, A., García-Morales, V. J., & Martín-Rojas, R. (2021). Going beyond the

curve: Strategic measures to recover hotel activity in times of COVID-

19. International Journal of Hospitality Management, 96, 102928.

Nazarova, E. (2014). A New Strategic Marketing Plan for a Hotel.

Reino, S., & Hay, B. (2011). The use of YouTube as a tourism marketing tool. In

Proceedings of the 42nd Annual Travel & Tourism Research Association

Conference, London, Ontario, Canada.. Travel & Tourism Research
Association.

Trongjitraksa, S., & Batra, A. (2020). Handling Covid-19 Pandemic Crisis to Sustain the

Hotels Business. In AU Virtual International Conference Entrepreneurship

and Sustainability in the Digital Era (Vol. 1, No. 1, pp. 172-178).