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Strategic Marketing

for Tourism & Hospitality

Hanoi Open University ­ Faculty of Tourism
Lecturer: Tran Nu Ngoc Anh

   
Strategic Marketing for Tourism & Hospitality
Course Objectives
 Understand strategic marketing concepts and strategic marketing
tools in the tourism industry
 Ability to establish a strategic marketing plan for tourism organizations
 Ability to make presentation and to communicate the strategic
marketing terms in English
Content
Chapter 1: Introduction to Marketing and Tourism Marketing
Chapter 2: Introduction to strategic marketing
Chapter 3: Macro marketing environment analysis
Chapter 4: Micro marketing environment analysis
Chapter 5: Market analysis
Chapter 6: Pricing
Chapter 7: Positioning the Product
Chapter 8: Advertising and Publicity
Chapter 9: Effective sales of travel products and services
Chapter 10: Implementing the marketing plan
Strategic Marketing for Tourism & Hospitality

Duratio n o f the Co urs e


60 periods (04 credits)
12 lessons (indoor class)
Exams
Participation:     10% of the total mark 
Course Project: 30% of the total mark 
       & condition to take the final exam 
Final exam:       60% of the total mark (multi ­ choice + open questions)

If students do not do the course project, 
he/she will be not allowed to take the final exam.
Strategic Marketing for Tourism & Hospitality

Course Project
Establish a strategic marketing plan for a tourism organization that you
know well, including following compulsory requirements:
1. Introduction to the organization
2. Macro environment analysis for the selected organization
3. The analysis of the organization
4. The competitor analysis (Analyze with at least 2 main competitors)
5. The market analysis and questionnaire designed
6. Mission statement, Goals and Objectives
7. Marketing strategies (9Ps)
8. Marketing tactics  positioning statement 
the cover of print ad (A4 size)
9. Marketing tactics  letter persuading customers to buy services, sales promotions …
10. Implementing the marketing plan
Pre s entation & Powe r Po int - Slide s
Chapte r 1
Introduc tion to Marketing & Touris m Marketing

Le arning Obje c tive s  


 Be aware of Marketing , Service Marketing & Tourism 
Marketing concepts 
 Identify the similarity and the differences between 
Service Marketing & Tourism Marketing
 List characteristics of Services and Marketing ­ Mix 
Components
 Classify the differences between marketing and sales.
Chapter 1: Introduction to Marketing and Tourism
Marketing

Marketing Research

 Find wants and fill the m (R S T  PDB  MM  I 


C)
 Pus h - Pull S trate g y
 3R (Re tain lo yal c us to me rs , Re trie ve lo s t c us to me rs ,
Re c ruit ne w c us to me rs )
 Partic ipants : All s taff o f an o rg anizatio n
 Marke ting Mix: 4P (Pro duc t, Plac e , Pro mo tio n, Pric e )
Chapter 1: Introduction to Marketing and Tourism Marketing

Marketing mix - 4P

4P of Marketing

+Product
+Place
+Promotion
+Price
Chapter 1: Introduction to Marketing and Tourism Marketing

+ Product

S¶n phÈm cèt lâi
B¶o hµnh

Bao b× S¶n phÈm hiÖn thùc
S¶n phÈm bao quanh
H×nh  Nh÷ng lîi  §Æc 
thøc  H×nh  Phôc 
Ých c¬ b¶n  tÝnh 
tÝn  d¸ng vô 
mang l¹i s¶n 
dông b¸n
phÈm

Tiªu chuÈn chÊt l­îng

L¾p ®Æt S¶n phÈm bæ sung
DÞch vô bao quanh/dÞch vô ®Þnh 
Chapter 1: Introduction to Marketing and Tourism Marketing

Chu kú s è ng cña s ¶n phÈm

Doanh sè

Thêi gian
  H×nh thµnh              T¨ng tr­ëng (PT)              Tr­ëng thµnh      Suy tho¸i
              vµ b∙o hßa
Chapter 1: Introduction to Marketing and Tourism Marketing

Chu kú s è ng cña s ¶n phÈm

Establishment Growth Mature Decline


Revenue Low Increase Max Low
fast
Cost High Average Low Low

Profit Loss Increase High Low

Customers Pioneers Increase Big No Late


Followers
Competitors Few Increase Stable Decrease
Chapter 1: Introduction to Marketing and Tourism Marketing

+ Place

        Kho tµng           Hµng hãa       Kho tµng   Hµng hãa

(Chuçi)
Trung VËn t¶i
Ng­êi s¶n xuÊt VËn t¶i Ng­êi mua
gian

Th«ng tin
Chapter 1: Introduction to Marketing and Tourism Marketing

+ Place
Kªnh trùc tuyÕn (MC)
Kªnh ng¾n (MRC)

Nhµ s¶n  Ng­êi tiªu 
xuÊt ­ ng­ Kªnh dµi (MWRC) dïng ­ ng­
Ng­êi
êi lµm  êi mua
Ng­êi 
marketing Kªnh dµi ®Çy ®ñ  b¸n lÎ
b¸n  (C)
(M) (MJWRC) bu«n (R)
M«i 
giíi (W)
(J)
Chapter 1: Introduction to Marketing and Tourism
Marketing
Tourism Services Research

 Intangibility
 Inseparability
 Variability
 Perish ability
 No ownership
 "4S" Model in USA (SEA, SUN, SHOP, SEX or SAND)
 3H  Model  in  USA  (HERITAGE,  HOSPITALITY, 
HONESTY)
Chapter 1: Introduction to Marketing & Tourism Marketing

What is SERVICE ?

S mile for everyone


E xcellence in everything we do
R eaching out to all guests with hospitality
Viewing every guest as special
Inviting guests to return
Creating a warm atmosphere
E ye contact that shows we care
Chapter 1: Introduction to Marketing and Tourism
Marketing

Product & service Marketing Research

Service Marketing
=
Product Marketing Products - Customers
= Services
Products - Consumers

S taff is the b rid g e o f


Pro d uc ts to c us to m e rs
Chapter 1: Introduction to Marketing and Tourism Marketing

Tourism Marketing Research

Touris m Marketing
=
Products - Touris ts
Servic es

touris ts ’ expec tations
bus ines s obje ctives
Chapter 1: Introduction to Marketing and Tourism Marketing

Marketing mix - (9P) In tourism

4P of Marketing 5P of Marketing in Touris m

+People
+Product
+Place +Packaging
+Promotion +Positioning
+Price +Programming
+Partnership
Chapter 1: Introduction to Marketing and Tourism Marketing

Introduction to organization
(presentation 1)

 Overview of the organization


– Organization History
– Organizational Chart
– Operational Activities
– Main Services
 Business Assessment (2007-2011)
– Revenue
– Tourists, Target markets
– Occupancy Rate
– Others
 Marketing Assessment (2007-2011) (optional)
– Organizational Chart of Marketing Department
– Applied Marketing Strategies
– What achieved, what not?
Chapte r 2
Intro duc tio n to S trate g ic Marke ting
Learning Obje ctive s  
 Be aware of Strategic Marketing Plan concept, components of 
a strategic marketing Plan for Tourism and Hospitality 
Organizations and the importance of strategic marketing for 
Tourism and Hospitality.
 Practise to write Mission Statements for Tourism Industry and 
Tourism Organizations.
 Classify Objectives, Strategies and Tactics and practise to 
formulate Objectives, Strategies and Tactics for Tourism 
Organizations.
 Be able to apply SWOT matrix to analyse the tourism 
organizations’ business environment.
Chapte r 2
Intro duc tio n to S trate g ic Marke ting

Main content

1. Strategic Marketing Planning 
2. The Mission Statement
3. Objectives, strategies, tactics
4. SWOT matrix in Tourism Industry
5. Discussions and Practices
Chapter 2: Introduction to Strategic Marketing

Strategic Planning

Strate gic planning


=
organization’s re s ource s + opportunities

obje ctive s , s trategies & tac tics
marke ting efforts

S trate g ic planning is the manag e rial pro c e s s o f de ve lo ping and ke e ping an o ptimal fit
be twe e n the de plo yme nt o f an o rg anizatio n’s re s o urc e s and the o ppo rtunitie s in its
c hang ing e nviro nme nt in o rde r to e s tablis h its o bje c tive s , fo rmulate its s trate g ie s and
tac tic s (to g uide its marke ting e ffo rts ).
Chapter 2: Introduction to Strategic Marketing

Goals of Strategic marketing

Maintain the balance between:

 Profits of Tourism Organizations


 Satisfaction of Tourists

Strategic Marketing means to enforce


the relationship between :
Tourists & your organization
Chapter 2: Introduction to Strategic Marketing

Goals of Strategic marketing

Recruit new customers Retain loyal customers


Retrieve lost customers

Good Effective Customers’


company name Sales products & services satisfaction

•Promotion
• Introduction •High quality programs
•Product design
& Sales •Pricing to services •Good relationship
•Advertisement •Internal & external •Excellent amenities with customers
•Publicity Sales and facilities
•Training
Chapter 2: Introduction to Strategic Marketing

Strategic Planning Steps

S te p 1 S te p 2
Situational Analys is Targe t marke t

S te p 6 S te p 3
Controlling & Evaluating Pro duc t Po s itio ning

S te p 5 S te p 4
Implementing Obje c tive s ,
s trategie s & tac tic s
Strategic Marketing for Tourism & Hospitality

Content of A marketing Plan


1. Introduction to the tourism organization
2. Overview of the strategic marketing plan
3. The organization’s marketing environment analysis
4. The market analysis
5. Mission statement
6. Objectives
7. Marketing strategies and tactics 
8.     Implementing the marketing plan
Sofitel Metropole ®­îc c«ng nhËn lµ: 
Mét kh¸ch s¹n sang träng vµ n¨ng ®éng nhÊt. 
Mét kh¸ch s¹n cã c«ng nghÖ phôc vô c¸ nh©n tuyÖt h¶o.
Mét kh¸ch s¹n cung cÊp nh÷ng tiÖn nghi F/B, nh÷ng s¶n phÈm vµ dÞch vô v­ît bËc.
Mét kh¸ch s¹n kh«ng ngõng n©ng cÊp chÊt l­îng dÞch vô vµ ®µo t¹o nh©n viªn.
B»ng c¸ch ®¶m b¶o ho¹t ®éng kinh doanh cã hiÖu qu¶ vµ uy tÝn trªn thÞ tr­êng, 
kh¸ch s¹n Sofitel Metropole cam kÕt víi:
Nhµ ®Çu t­: TiÒn lêi tèi ­u trªn vèn ®Çu t­
            ­ Kh«ng ngõng x©y dùng nh÷ng chiÕn l­îc kinh doanh míi.
            ­ ThËn träng trong viÖc sö dông ng©n s¸ch ®iÒu hµnh.
Kh¸ch: Sù kÕt hîp cña  tÝnh hiÕu kh¸ch ViÖt Nam víi phong c¸ch ch©u ¢u.           
  
            ­ Tèi ®a sù tho¶i m¸i vµ phôc vô tõng c¸ nh©n kh¸ch víi mét nô c­êi.
            ­ TuyÖt h¶o vÒ chÊt l­îng vµ ®¸ng gi¸ víi ®ång tiÒn. 
Nh©n viªn: C¬ héi ®Ó gia t¨ng kü n¨ng vµ ph¸t triÓn c¸ nh©n.            
            ­ §µo t¹o theo tiªu chuÈn kh¸ch s¹n quèc tÕ.
            ­ §­îc tham gia vµo c¸c ch­¬ng tr×nh ph¸t triÓn nghÒ nghiÖp. 
Céng ®ång: §ãng gãp tÝch cùc vµ cã lîi h÷u h×nh cho nÒn kinh tÕ.
            ­ T¹o ra nhiÒu c¬ héi viÖc lµm.
Chapter 2: Introduction to Strategic Marketing

The Mission Statement concept

 A written document to announce the operation &


scale of an organization, a service or a product.

 Guide briefly resources distribution to all staff.

 Help all staff have an overview of the


organization’s operation.
Chapter 2: Introduction to Strategic Marketing

The Mission Statement concept


Lêi ph¸t biÓu c­¬ng lÜnh cña chñ tÞch tËp ®oµn Sol Meli¸ ­ Gabriel 
Escarrer
“NÒn t¶ng cña tÊt c¶ c¸c ho¹t ®éng cña Sol Meli¸ tõ khi thµnh lËp c«ng ty ®Çu 
tiªn tíi nay lµ m­êi ®iÓm t¹o nªn triÕt lý vµ c¸c gi¸ trÞ cña chóng ta. Nh÷ng quy 
t¾c nµy cïng víi ph­¬ng c¸ch qu¶n lý vµ v¨n hãa lµm viÖc riªng cña chóng ta thÓ 
hiÖn t­ t­ëng cña mçi chóng ta trong tËp ®oµn Sol Meli¸ trªn toµn cÇu”.
TriÕt lý vµ c¸c gi¸ trÞ
1.Gi¸ trÞ cña ®ång tiÒn: Cung cÊp cho kh¸ch hµng cña chóng ta nh÷ng lîi Ých 
tèt nhÊt xøng ®¸ng víi ®ång tiÒn mµ hä bá ra.
2.DÞch vô ®Æc thï: Cung cÊp mét dÞch vô cã tÝnh ®Æc thï cao víi sù ©n cÇn 
vµ sù quan t©m lín nhÊt tíi tõng chi tiÕt.
3.Nghiªm kh¾c, ch¨m chØ, ®¬n gi¶n, cã ®¹o ®øc vµ khiªm tèn. KhuyÕn khÝch 
sù ch¨m chØ, nghiªm kh¾c vµ khiªm tèn.
4.Kh«ng ngõng n©ng cao tiÕn bé cña b¶n th©n. Ph¸t huy kh«ng ngõng sù tiÕn 
Chapter 2: Introduction to Strategic Marketing

The Mission Statement concept


Lêi ph¸t biÓu c­¬ng lÜnh cña chñ tÞch tËp ®oµn Sol Meli¸ ­ Gabriel 
Escarrer
5. §µo t¹o vµ ®Ò b¹t. Ph¸t triÓn ®éi ngò nh©n viªn th«ng qua ®µo t¹o 
th­êng xuyªn nh»m khuyÕn khÝch viÖc ®Ò b¹t trong néi bé.
6. C«ng ty gia ®×nh: Sö dông mét m«i tr­êng thuËn lîi cña mét c«ng 
ty gia ®×nh t¹o ra mét sù thèng nhÊt chung gi÷a c«ng ty vµ ®éi 
ngò lµm viÖc vµ c¸c kh¸ch hµng.
7. L∙nh ®¹o b»ng viÖc tù nªu g­¬ng. Lu«n lu«n l∙nh ®¹o b»ng viÖc tù 
nªu g­¬ng tõ ®éi ngò l∙nh ®¹o cao nhÊt cña tæ chøc.
8. Ph©n c«ng. Ph©n c«ng c¸c chøc n¨ng vµ tr¸ch nhiÖm râ rµng.
9. KhuyÕn khÝch tinh thÇn tr¸ch nhiÖm. KhuyÕn khÝch tinh thÇn 
tr¸ch nhiÖm cao nhÊt.
10. KiÓm so¸t. Thùc hiÖn nh÷ng biÖn ph¸p kiÓm so¸t cÇn thiÕt nh»m 
Chapter 2: Introduction to Strategic Marketing

How to establish a Mission Statement

Answer 3 questions

1. what do we do ?
2. ho w do we do it?
3. fo r who m we do it ?
Chapter 2: Introduction to Strategic Marketing

How to establish a Mission Statement

Examples & practices

Co m p any m is s io n s tate m e nt: “We absolutely guarantee


satisfaction to our guests by providing excellent services. Our staff
are enthusiastic and sincere in their wish to please guests and
fellow staff members”.

what do we how do we For whom


do? do it? we do it?
Chapter 2: Introduction to Strategic Marketing

How to establish a Mission Statement


Examples & practices

what do how do we do Forwhom we


we do? it? do it?
Provide luxurious hotel  In a consistent, 
experience, up to date  friendly and 
Guests
convention facilities  professional manner
services
Company mis s ion s tatement:
Chapter 2: Introduction to Strategic Marketing

Objectives, Strategies & Tactics

Objectives What do you want to do ?

How
Strategies do you want to do it ?

Tactics
Which tool(s) will you use ?
Chapter 2: Introduction to Strategic Marketing

Introduction of SWOT matrix


 
 
 
Analysis of business Environment
  Based on SWOT Matrix

Macro Environment Micro Environment

Opportunities Threats Strengths Weaknesses

Strategic Marketing Plan for Tourism Organizations
Chapter 2: Introduction to Strategic Marketing

Exercies & homework


A 4 star hotel with 100 rooms, running before ASEAN Conference.
Apply SWOT matrix to determine following announcement: 

Features S W O T
1. Low staff turn – over
2. 30% average occupancy
3. Government reduced work sheet to 5 days per week
4. ASEAN conference planned
5. Staff can speak Vietnamese, French  or Russian
6. Owners take 70% profit
7. Hotel near Ho Chi Minh Museum
Chapter 2: Introduction to Strategic Marketing

Exercies & homework


Apply SWOT matrix to determine following announcement
about Halong City: 

Features S W O T
1. Internationally ­ known city
2. A World Heritage Site
3. High quality environment
4. Lack of visitor management strategy
5. World Heritage Site ­ anniversary of Halong Bay
6. Lake Water Park’s (in Hanoi) attraction
7. Aggressive marketing of other areas
Chapter 2: Introduction to Strategic Marketing

To be continued
Exercies & homework
Features S W O T
8. Lack of local products in souvenir shops
9. Professional tour guides  encourage visitors stay  
    longer and see more
10. Signs poorly understood by the public
11. Various kinds of public transportation with low fees
12. Poor entertainment facilities
13. Romantic atmosphere
14. High additional income from tourists
15. Many beautiful islands and islets
Chapter 2: Introduction to Strategic Marketing

Exercies & homework


content O S T
1.  Do more advertising
2.  Offer a free meal during the next day
3.  Reduce the number of customers’ complaints
4.  Increase the volume of repeat business by 10%
5.  Increase the occupancy level by 2%
6.  Provide a training of 2 days on “satisfying customers”
7.  Give an incentive to comebacks
8.  Buy a page to advertise on the “Heritage” 
9.  Improve customers’ services
Chapte r 3
Analyzing the Mac ro Bus ine s s Enviro nme nt

Le arning Obje c tive s  


 List  and  discuss  the  importance  of  the  elements  of  Marketing 
Environment
 Describe the Macro Environment that affects Tourism and Hospitality 
Organizations’ ability to serve their customers.
 Apply SWOT Matrix to determine both opportunities and threats to the 
Operation of Tourism and Hospitality Organizations
 Understand Strategic Window concept and know how to choose 
appropriated time for Marketing Plan of Tourism and Hospitality 
Organizations in specific situations 
 Discuss how Tourism and Hospitality Organizations can be proactive 
rather than reactive when responding to environmental trends. 
Chapte r 3
Analyzing the Mac ro Marke ting
Enviro nme nt

Part 1: General ideas MainPart 2: Analyzing the Macro Business 
content
Environment 
1. Concept of Marketing  1. Elements of Macro Environment
Environment 2. Macro Environment Analysis
2. Marketing Environment  2.1. Environmental Opportunities 
Elements + Attractiveness
3. Impacts of Marketing  + Success Probability
Environment to business 
2.2. Environmental Threats
strategies of Tourism and 
Hospitality Organizations ­ Seriousness
­ Probability of Occurrence
3. How to determine Market Share
Chapter 3: Analyzing the Macro Marketing Environment

Concept of Marketing Environment

A  Company’s  environment  consists  of  the  outside  actors  and 


forces  that  effect  a  company’  ability  to  develop  and  maintain 
successful transactions with its target customers. The marketing 
environment  is  made  up  of    a  microenvironment  and  a  macro 
environment. 
The micro environment  consists of actors and forces close to the 
company  that  can  affect  its  ability  to  serve  its  customers,  the 
company itself, marketing channel firms, customer markets, and 
a broad range of publics. 
The macro environment  consists of the larger societal forces that 
effect  the  entire  microenvironment,  demographic,  economic, 
political, natural, technological, cultural forces.   
Chapter 3: Analyzing the Macro Marketing Environment

Marketing Environment Elements

Mac ro Env iro nm e nt


Economic - Political Technological
 
 
     Company  

  Marketing
Suppliers Customers
  Intermediaries
  Competitors

Publics
Mic ro Env iro nm e nt

Geographic Natural Cultural


Chapter 3: Analyzing the Macro Marketing Environment

Marketing Environment analysis

Macro environment
analysis

Environme ntal Environmental


Nh÷ng c¬ héi tõ m«i tr-êng (Environmental

Opportunities Opportunities)
Threats

Attractiveness. Seriousness.
Success Probability Probability of Occurrence.
Chapter 3: Analyzing the Macro Marketing Environment

Marketing or business tip

   Attractiveness
           Success Probability
Macro environment analysis for the selected organization
(presentation 2)

 Môi trường tự nhiên


Cơ hội
Sự kiện Kết luận
Mức độ hấp Tỷ lệ thành
dẫn công
Macro environment analysis for the selected organization
(presentation 2)

 Môi trường kinh tế


Thách thức
Sự kiện Kết luận
Mức độ nghiêm trọng Tỷ lệ thành đạt
Chapte r 4
Analyzing the Mic ro Marke ting Enviro nme nt
Le arning Obje c tive s  

 Describe the Micro Environment that affects Tourism and Hospitality 
Organizations’ ability to serve their customers.
 Apply  SWOT  Matrix  to  determine  both  strengths  and  weaknesses  to 
the Operation of Tourism and Hospitality Organizations
 Be familiar with Benchmarking Concept
 Practise  to  analyse  a  Tourism  or  Hospitality  Organization  and  its 
competitors
 Criteria to determine the company’s competitive position
 Analyse  current  situation  of  a  tourism  company  to  discuss 
appropriated strategies.
Chapte r 4
Analyzing the Mic ro Bus ine s s Enviro nme nt

Main content

1. Describe elements of the Micro Environment
2. Apply SWOT Matrix to analyse the Micro Environment 
    (Product, Competitive & markets)
3. Introduction to Benchmarking 
4. Strategic competitive Positions
5. Practice: Analyzing Macro and Micro Marketing 
    Environment of a Tourism or Hospitality Organization
Chapter 4: Analyzing the Micro Business Environment

Micro Environment elements

 
Company  

Marketing
Suppliers Customers
Intermediaries
Competitors

Publics

Majo r ac to rs
in the c o m p any ’s m ic ro e nv iro nm e nt
Chapter 4: Analyzing the Micro Business Environment

Concepts of Micro Environment elements

Customers:  (1) potential customers Suppliers:  firms  or  individuals  that 


(2) lost customers prodvide the resources needed to 
(3) loyal customers the company t produce its goods 
or services
The company: 
Intermediaries:  firms  that  help  the 
Products + Services company  promote,  sell,  and 
distribute  its  goods  to  the  final 
Competitors:  buyers  (ex:  Marketing  service 
(1) Similar products & services agencies,financial  intermediaries 
(2) The same customers – bank etc.)
(3) Similar prices
(4) Similar scale Publics: others …
(5) Location
Chapter 4: Analyzing the Micro Business Environment

Micro Environment analysis

Micro environment analysis

Strengths Nh÷ng c¬ héi tõ m«i tr-êng (Environmental Opportunities)

Weaknesses

Strengths Selection Weaknesses Selection


Chapter 4: Analyzing the Micro Business Environment

How to analyze a company

A writen document that gives o bje c tive as s e s s me nts of a


company’s products. (The mentioned products are
To uris m s e rvic e s ).

no te s whe n analyzing the to uris m pro duc ts

 Tang ible +Intang ible factors included


 S pe c ific and pre c is e assessments
 Selection of changing de c is io ns (costs, benefits +
profits /ROI - Returns On Investment).
Chapter 4: Analyzing the Micro Business Environment

How to analyze a company

Tangible factors Intangible factors


 Location, accessibility  Image
 Public & functional  Prestige
areas  Sanitary
 Amenities & facilities  …
 Architecture, paint
 Staff performance
 …
The analysis of the organization
presentation 3

Areas Strengths Weaknesses Recommendations


Chapter 4: Analyzing the Micro Business Environment

How to analyze a competitor

A process of
analyzing Competitors’ strengths and weaknesses
+Time & duration to analize
+Selection of competitors Company location
Business area(s)
Products & service provided
Price
Target market
+Competitors’ information gathering
 Business objectives, strategies & tactics.
 Strengths +weaknesses
 Customer behaviour
Chapter 4: Analyzing the Micro Business Environment

benchmarkeing

Be nc hmarking Pro c e s s
(PDCA - Plan, Do, Co ntro l, Adjus t)

Planning

Adjustment Do

Controlling
Chapter 4: Analyzing the Micro Business Environment

Strategic competitive Positions

Market Market Market Niche


leader challenger follower marketer

Active Aggressive Passive Specialized 


Innovative Innovative Small scale market share

Large scale Large sale Small scale

Price + Quality
Ex: Sofitel  Ex: Hanoi  Ex: mini hotels  Ex: 
Metropole  Daewoo Hotel  in Hanoi Gouman hotel
Hanoi Hotel  Hanoi Toserco
Chapter 4: Analyzing the Micro Business Environment

Timing of the Strategic Process

- Strategic window concept


- Marketing tools supporting for Strategic window:
 Continge ncy planning
 Environmental scanning
 Issue management
 S trate gic fle xibility
The competitor analysis
presentation 4
Items Company Competitor 1 Competitor 2 Comments

Collect the existing questionnaire in your company


and bring to the class next time.
Chapte r 5
Analyzing Marke ts

Le arning Obje c tive s  

 Be aware of market segmentation concept for Tourism and 
Hospitality organizations.
 Criteria to divide the market of a Tourism and Hospitality 
organization into market segments and determine target market(s).
 Apply  market research to operate Tourism and Hospitality 
organizations effectively and efficiently.
 Practise to build up an effective questionnaire for Tourism and 
Hospitality organizations.
 Ability to select market segments in the Tourism Industry
 
Chapte r 5
Analyzing Marke ts
Main content
1. Market segmentation Concept
2. Steps in segmentation, targeting, and positioning 
3. Criteria of market segmentation in the Tourism Industry.
4. Evaluating Market Segments 
5. Selecting market segments
6. Marketing Research
7. Practice to establish Questionnaire for Tourism and Hospitality organizatio
8. Group discussion: Determine market segments of a 5 star hotel in
    Hanoi or a famous tourist area in Vietnam and choose its target
    markets. Give reasons why your group made your decision.
9. Practice: Design a questionnaire for a Tourism and Hospitality Organizatio
    that you know. 
Chapter 5: Analyzing Markets

Market segmentation Concepts

Market: a set of all actual and potential buyers of a product
Market segmentation: dividing a market into distinct groups of buyers who 
might require separate products and/or marketing mixes
A market segment: a distinct group of buyers who might require separate 
products and/or marketing mixes
A  target  market:  a  market  segment  that  a  company  concentrates  its 
marketing efforts to draw.
Market  targeting:  evaluating  each  segment’s  attractiveness  and  selecting 
one or more of the market segments 
Market  positioning:  developing  a  competitive  positioning  for  the  product 
and an appropriate marketing mix
Chapter 5: Analyzing Markets

Steps in segmentation, targeting & positioning

  Market segmentation
1. Identify bases for segmenting the market
2. Develop profiles of resulting segments

        Market targeting
3. Develop measures of segment attractiveness
4. Select the target segment(s)

     Market positioning
5. Develop positioning for each target segment
6. Develop marketing mix for each target segment
Chapter 5: Analyzing Markets

Criteria of market segmentation


Demographic  Age, Income, Occupation, Family Size/ Life Cycle, Education, 
Segmenting  Other Demographic Criteria: religion, race, gender,etc…
Geographic Segmenting  Location, climate,etc…
Psychographic Segmenting  Personality, Lifestyle, class ,etc…
Purpose of travel  Business and leisure tourists

Behavioristic Segmenting  Occupancy  rate,  frequency  and  potentiality, 


loyalty, benefits
Services  Distinct product for target market(s)

Channel of Distribution  Direct marketing, indirect marketing or both
Chapter 5: Analyzing Markets

Evaluating market segments

Re quire me nts fo r e ffe c tive s e g me ntatio n


 Gather enough information and document
 Measurability, Accessibility, Substantiality, Action ability.

Evaluating marke t s e g me nts


 Segment size and growth
 Segment structural attractiveness
 Resources and objectives of the company
Chapter 3: Analyzing the Macro Marketing Environment

How to determine Market Share

Fair share
Company supply ability ⇔ Market supply ability

Market Share
Company demand ability ⇔  Market demand ability
Chapter 5: Analyzing Markets

Selecting market segments

Undifferentiated Marketing Strategy 
The company’s marketing mix Market
Differentiated Marketing Strategy 
The company’s marketing mix No1 Target market No1
The company’s marketing mix No2 Target market No2
The company’s marketing mix No3 Target market No3
Concentrated Marketing Strategy 
Target market No1
The company’s marketing mix Target market No2
Target market No3
Chapter 5: Analyzing Markets

Questionaire

The questionaire consists of a set of questions


presented to a respondent for answers

Part 1: Introduction
Headline, reasons, answering guideline
Part 2: Questions
Geographic questions
Subject questions
Part 3: Conclusions
Thank & wishes
The market analysis and questionnaire designed
presentation 5

1. What are the existing segments?

2. What are criteria to re-segment?

3. What are new segments? Why?

4. What are characteristics of new segments?

5. Strengths and weaknesses of existing questionnaire?

6. Design a new one.


Chapte r 6
Pric ing S trate g ie s

Le arning Obje c tive s  

 Be aware of factors that have influences upon pricing
 Ability to use basic pricing methods flexibly in the Tourism 
Business.
 Classify rate concept and remember pricing terminologies in the 
tourism industry
 Practise to calculate room rates in different methods
 Ability to use discounts effectively.
Chapte r 6
Pric ing S trate g ie s
Main content

1. Pricing decisions in the Tourism Industry
2. Basic pricing methods in the Tourism Industry
3. Room rate and tour package rate calculation
4. Room Rate Terminologies 
5. Sales techniques, using pricing policies
6. Rate Reduction Situations ­ Discounts
7. Practice: Calculate room rates and package rate, using learnt 
pricing methods
8. Group Discussion: Give at least 02 problems related to rates 
to deal with.  
Chapter 6: Pricing Strategies

Principles OF PRICING

1. Consumer perception
2. Overall Marketing Policies & Objectives
3. Product life cycles
4. Demand & Supply and price elasticity of demand
5. The structure of the market & the company’s position in
the marketplace
6. Costs of the products
7. Inputs & outputs
8. The economy & government involvement in the market
Chapter 6: Pricing Strategies

Basic pricing methods in the Tourism Industry

1. Cost ­ based pricing
Product Cost Price Selling Price Value Customers
2. Competitor ­ based pricing

3. Market ­ driven pricing
Customers Value Selling Price Cost Price Product

4. Competitive tendering
The suppliers or contractors sealed tenders from a number 
of companies
Chapter 6: Pricing Strategies

new product pricing strategies

1. Skimming pricing
    High prices to maximize profits
2. Market penetration 
    Low prices to gain market entry and share
Pricing strategies for new products Price Promotion Cost
Skimming Fast High High
Slow High Low
Penetration Fast Low High
Slow Low Low
Chapter 6: Pricing Strategies

room rate calculation


Published Rates =Basic Rates =Rack Rate 
1. The Hubbart Room Rate Formula = Bottom Up Method

         estimated hotel incomes – other incomes
Room rate =
     estimated occupied rooms
Notes:
Estimated hotel incomes = Operating expenses + taxes & insurance + 
depreciation (standard rates) + reasonable return on present fair value..
Other incomes = total income from sources other than room rentals
Estimated occupied rooms = Number of available rooms x occupancy rate x time 
2. The Building Cost Method of Estimating Rate = rule of thumb 
   1USD room rate equivalent to 1.000 USD building costs.
Mission statement, Goals and Objectives
presentation 6

1. Strengths and weaknesses of the mission statement?

2. Answer 3 questions to set up a new one.

3. Write a new one.

4. What are possible goals and objectives of the


company for the coming year? Why?
Chapter 6: Pricing Strategies

tour package rate calculation

1. Number of tourists
2. Itinerary of the tour: Days? Nights
3. Activities included?
4. Service items:
 Transportations
 Lodging
 F & B
 Sightseeing fees
 Insurance
 Guide wages
 Administration fees
 Others (if included)
Chapter 6: Pricing Strategies

Room Rate Terminologies

1. The Modified American Plan (MAP)


Accommodation +2 meals (breakfast +lunch or dinner)

2. The Full American Plan (FAP)


Accommodation +3 meals

3. European Plan (EP)


Accommodation

4. Continental Plan (CP)


Accommodation +buffet breakfast

5. Bed and Breakfast Plan (BB)


Accommodation + breakfast
Chapter 6: Pricing Strategies

Sales techniques, using pricing policies

1. Up - Selling Technique 
The escalating method
The middle choice method
The step down method
2. Yield Management
High Demand maximizing product prices
Low Demand maximizing the number of tourists
Chapter 6: Pricing Strategies

Rate Reduction Situations - Discounts

1. Off – season, low season


2. Weekly Cycle
3. Rates for Special People
4. Per Diem/ Per day
   5. Corporate Rate
   6. Group Rate
7. Day Rate
Marketing strategies (9Ps)
presentation 7
1. Thuyết trình một mục tiêu (SMART) cho cty
2. Dựa vào 9P (Product, Price, Promotion, Place, Packaging, People,
Programming, Partnership and Positioning) chọn ra 3Ps phù hợp nh ất v ới
doanh nghiệp và đạt được mục tiêu đề ra để phân tích
3. Từ 3 Ps đó xây dựng bảng sau: (Tactic phải cụ thể để thực hiện)

Strategy 1 Tactic 1.1


Tactic 1.2…
Tactic 2.1
GOAL Strategy 2 Tactic 2.2
Tactic 2.3…
Strategy 3 Tactic 3.1
Tactic 3.2…
Chapte r 7
Po s itio ning the Pro duc t

Le arning Obje c tive s  

 Be aware of Product Positioning Concept in the Tourism 
Industry

 The principles of product positioning

 Positioning Strategies in the Tourism Industry

 Practise to design positioning statements for Tourism 
Organizations.
Chapte r 7
Po s itio ning the Pro duc t
Main content
1. Positioning Concept in the Tourism Industry 
2. Principles to Product positioning
3. Steps to design positioning statements
4. Considerations before designing positioning statements 
(using USP ­ Unique Selling Points)
5. Positioning Strategies
6. Examples of positioning statements in the Tourism Industry.
7. Practice: Design positioning statements for Tourism 
organizations in Vietnam.
Chapter 7:Positioning the Product

Positioning Concept in the Tourism Industry

Concept
A product’s position is the way the product is defined by
consumers on important attributes - the place the
product occupies in consumers' minds relative to
competing products.
Principles to Pro duc t po s itio ning
  1. The position of a single product in relation to competing
products (its similarities & differences).
2. Gather strengths & weaknesses of the competitors.
3. Prospective customers’ perceptions of that product’s
position
4. Confirm mission statement of the company
Chapter 7:Positioning the Product

Steps to design positioning statements

Documenting
Deciding
  Target markets’ perceptions

Ph©n tÝch lîi Ých


product ­ features 
Ph©n tÝch ®Æc product ­ benefits 
s¶n phÈm
analysis
tÝnh s¶n phÈm
(product – features)
analysis
(product – benefits) Differentiating
Concentrating on the unique characteristics and 
competing other main competitors 

Delivery Designing
Attractiveness and differences
Keep your promises 
Chapter 7:Positioning the Product

Requirements for designing positioning

 Simplicity
 
 Consistent viewpoint shared by all employees of the company

 Reliability

 USP - Unique Selling Points

 Emotional appeals

Vocabulary using: alliteration, etc.

 Logo, product names, etc.


Chapter 7: Positioning the Product

Positioning Strategies

1. Specific product attributes: Price & product can


be used to position a product
2. Needs products fill or the benefits they offer.
Ex: a restaurant can be positioned as a fun place.
3. Certain classes of users. Ex: a hotel advertising
itself as a woman hotel
4. Against an existing competitor. Ex: Hilton Hotel
and Metropole Hotel
Chapte r 8
advertising and publicity

Le arning Obje c tive s  

 Be aware of promotion concepts, promotional tools and criteria to 
choose promotional tools in the Tourism Industry.
 Dis ting uis h ad v e rtis ing c o nc e p t and p ub lic ity c o nc e p t
 Und e rs tand the im p o rtanc e o f Ad v e rtis ing in the To uris m
Ind us try and s tud y ad v e rtis ing to o ls that are e ffe c tiv e to
the To uris m Ind us try
 Prac tis e to d e s ig n p rint ad v e rtis ing fo r the To uris m
Ind us try
 Und e rs tand the ro le s o f PR and Pub lic ity in the To uris m
Ind us try
Chapte r 8
Adve rtis ing and Public ity
Main content

1. Promotion concept and classification
2. Direct information
3. Public Relations – PR in the Tourism Industry
4. Advertising in the Tourism Industry
5. Group discussion
+ Advertising tools are appropriated with the Vietnam Tourism. 
+  Give  at  least  2  situations  that  hotels  or  Tourism  Organizations 
have to enforce advertising and PR. Then, choose appropriated 
tools for each situation.
Chapter 8: Advertising and Publicity

Promotion concept and classification

Promotion in Tourism

Direct  Public Relations 
Direct
Advertising Sales
information
information
(PR)

Pro mo tio n is us e d as me dia be twe e n s e lle rs and buye rs


(po te ntials inc lude d) to pe rs uade the c o ns ume rs to buy,
that is , to s timulate de mand .
* “Promotion” is one of the 4P’s – a basic element of  the Marketing ­ Mix to support sales
Chapter 8: Advertising and Publicity

The Objectives of Promotion (AIDa)

1. Attention/ Awareness: ge t atte ntion


unique, curiosity, astonishing, ...

2. Interests: hold inte re s t


explain benefits, features ...

3. Desire (Stimulating demand): Cre ate de s ire


more benefits, prestige, VIP, VVP, pride...

4. Action: Le ad to action
accessible, comfortable, convenience, ...
Chapter 8: Advertising and Publicity

Customers’ attitude analysis for promotion

Ch-a biÕt
KhuÕc Quªn
h tr­ BiÕt vÒ s ¶n phÈm
¬ng
Th«ng  Kh«ng 
tin HiÓu vÒ s ¶n phÈm hiÓu

Sù        Nghi  
tin cËy Tin vµo s ¶n phÈm ngê
NhËn  Bµng 
thøc vÒ lîi  Mua quan
Ých
Chapter 8: Advertising and Publicity

Direct information

Tourism centers Tourism offices (abroad), hotels, 
transportation companies, 
entertainment & recreation areas
Fairs, displays , etc.
Word of mouth Public telephone, internet, etc.
Service quality ⇒ tourist expectations
Print advertising  Mails …
Leaflets, brochures, tend cards, etc.
Chapter 8: Advertising and Publicity

Public Relations (PR) in the Tourism Industry

Public Relations - PR

Internal Relations External Relations

Press, 
Employees Customers authorities,   Customers Local people
intermediarie
s
PR activities: famtrips (familiarizations trips), show room, trade fair, …
Chapter 8: Advertising and Publicity

Advertising objectives

1. Increase consumer awareness levels


2. Improve consumer perception of the
company
3. Support the successful introduction of a new
product or service
4. Increase sales
5. Support a short - term promotional program
Chapter 8: Advertising and Publicity

Advertising process in the Tourism Industry

Establishing Objectives  Budgeting

Evaluating & Selecting content & 
Adjusting Advertsing Tools
Chapter 8: Advertising and Publicity

Advertising types in the Tourism Industry

Inform Ad + Create primary demand
+ Product guideline 
+ Service descriptions
+ Introduction to product application
+ announce changes.
Persuasive Ad Create selective demand

Comparative Ad Make customers change their mind

Remind Ad Make customers remember services even 
they are not using these regularly
Chapter 8: Advertising and Publicity

Information needed for designing Advertisement

1. What is the management’s perception of the


product?
2. What is the market’s perception of the product?
3. What is the business’positioning statement, mission
statement?
4. Who are the business’ target market?
5. What are the special benefits, features and contact
information?
Chapter 8: Advertising and Publicity

Advertising tools in the Tourism Industry

1. Outdoor Adve rtis ing


+Billboards, company signs,
De s ig ning no te s : easily readable, bright & contrasting colours,
simple & bold letters, use of cutouts & a
panel
+Displays: transit cards, posters placed in buses, taxi,
transportation terminals and trade shows

2. Collateral mate rials


brochures, fliers, tentcards & special items: key chains,
Chapter 8: Advertising and Publicity

Advertising tools in the Tourism Industry

2. Print Adve rtis ing


2.1. Newspapers
2.2. Magazines
2.3. Directories
Designing Print Advertisments
An attention - getting illustration: attractive, half the
size of the ad
A headline: short, curious, interesting, attractive and questionable 
Copy: Benefits, features, Prices
Marketing tactics presentation 8
positioning statement
cover of print ad (A4 size)

1. Positioning statement
­ USPs of your company, benefits?
­ Which USPs would your target market like? Why?
­ Which USPs would be not used by your competitors?
­ Write a new one.

2. Cover of print ad (A4 size)


­ Strengths and weaknesses of the cover of the existing leaflet?
­ Design a new one in A4 size.`
Chapter 8: Advertising and Publicity

Advertising tools in the Tourism Industry

4. Broadcast Advertising
Tivi, radio
Announcer: Hi, Tom Bodet for Motel 6 with some relief for the business traveller or anyone 
on the road trying like the dickens to make a buck. Well, money doesn’t grow on trees and 
I’m probably not the first person who’s told you that but maybe I can help anyway.
      Why not stay at Motel 6 and save some of that money? Cause for around 22 bucks, the 
lowest price of any national chain; you will get a clean, comfortable room, free T.V, movies, 
local calls, and long distance ones without a motel service charge.
      No, we don’t have a swinging disco or a mood lounge with maroon leather chairs and an 
aquarium where you can entertain your clients, but that’s O.K. I got a better idea. Take the 
money  you  save  and  meet  that  client  in  town.  Beside,  they  probably  know  all  the  best 
places  to go anyway.  Let them tell  you what they know  best  and  you do what’s  best for 
business.
      Call 505 ­ 891 ­ 6161 for reservation at Motel 6. I’m Tom Bodet for Motel 6 ... and we’ll 
leave the light on for you.
Chapter 8: Advertising and Publicity

Advertising tools in the Tourism Industry

5. Low - Cos t Adve rtis ing


Reciprocal Advertising
Cooperative Advertising
⇒ Save Advertising Costs
letter persuading customers to buy services
presentation 9

1. Design the most attractive envelop and write a


persuasive letter according to AIDA.

2. Analyze AIDA used in the letter.

3. (Refer to page 100)


Chapter 8: Advertising and Publicity

Advertising tools in the Tourism Industry

3. Dire ct Mail Advertising


Design follows AIDA formula: Attention,
Intere st, De sire, Action
Prepare:
Envelop, letter paper, le tter tittle , ink colours,
fonts, small gifts, etc.
Contact lists and data …
Chapte r 9
Effe c tive S ale s o f Trave l Pro duc t & S e rvic e

Le arning Objectives  

 Be aware of Sales Concepts in the Tourism Industry.

 Distinguish the differences between Sales of Tourism 
Products and Sales of other Products 
 Study effective sales steps in the Tourism Industry 

 Ability to overcome difficulties to sign the contract in 
the Tourism Industry
Chapte r 9
Effe c tive S ale s o f Trave l Pro duc t & S e rvic e

Main content

1. Effective sales concept in the tourism industry


2. Sales basic types in the tourism industry
3. Inside and outside sales techniques
4. How to contact with customers & introduce the products
5. How to overcome difficulties
6. How to solve the conflicts
Chapter 9: Effective Sales of Travel Product & Service

Effective sales concept in the tourism industry

Effective sales in the tourism industry = (3W +2 Q)

Notes :
3W:+What
+When
+Which way

2Q: +Quantity
+Quality

Sales in the Tourism industry: ins ide s ale s & o uts ide s ale s
Chapter 9: Effective Sales of Travel Product & Service

Inside sales
- Understand products and services’benefits and features.
- Update tatics of the company
- Keys to success verbal and non - verbal communication
Verbal Communication
 Use simple and precise words
 Use polite words. Ex: Please, thank you, sir, madam, excuse me
 Try to use an appropriate tone of voice
 Use an appropriate volume
 Use an appropriate speed
 Pronounce words clearly
 Remember and use guests’names
 Use positive statements. Ex:  “Let me see what I can do”
 If  you  do  not  speak  the  same  language  as  the  guest,  try  to  find  a 
staff member who does.
Chapter 9: Effective Sales of Travel Product & Service

Inside sales
Non - Ve rbal Com m unication
 Be aware of body posture
 Make eye contact
 Smile as often as possible
 Be aware of negative habits. Ex: tapping fingers, scratching,
etc.
 Use gestures or draw to clarify
 Be aware of the distance between guests and employees.
 
- Sales techniques
+Up - Selling Technique
+Yield - Management
+Overbooking - Sales
Chapter 9: Effective Sales of Travel Product & Service

Inside sales
Te n c o mmandme nts o f Human Re latio ns  
    1. Speak to People (There is nothing as nice as a cheerful word of greeting)
     2. Smile at People (It takes 45 muscles to frown, only 15 to smile)
     3. Call people by name (The sweet music to anyone’s ears is the sound of his own name)
     4. friendly and Helpful (It will develop harmony)
5. cordial (Speak and act as i everything you do were a genuine pleasure)
6. Genuinely interested in people (Do it with warmth and sincerity)
     7. generous with praise, cautious with criticism (to avoid negative impact)
 8. considerate with the feeling of others (It will be much appreciated)
9. thoughful to the opinion of others (There are 3 sides to a controversy: yours ­ the other 
fellow’s ­ and the right one)
 10. alert to give service (What counts most in life is what we do for others). 
Chapter 9: Effective Sales of Travel Product & Service

outside sales process

D
A
Fo llo w - up T Po te ntial c us to me rs
A finding

C
O
Co ntrac t s ig ning L
& S e rving Appo intme nt making
L
E
C
T
Pe rs uate c us to me rs I
Pro duc t pre s e ntatio n
O
n
Chapter 9: Effective Sales of Travel Product & Service

Potential customer finding


Po te ntial c us to m e rs ?
  1.  Have enough money to buy products or services.
  2.  Have demand. 
  3.  Be accessible.
Who w o uld b e p o te ntial c us to m e rs ? Any body
What is p o te ntial c us to m e rs find ing ?
  1. Find as many names of new customers as possible
  2. Is a fexible & patient activities, an intended job
  3. Consistently finding
Whe re to find p o te ntial c us to m e rs ?
   1. Personal relationship
   2. Customers of the company
   3. VIP, VVP, pretige people …
   4. Any others
Chapter 9: Effective Sales of Travel Product & Service

5 steps to succeed in Potential customer finding

Listing

Selecting

Writing

Contacting

Infor. 
Collecting
Chapter 9: Effective Sales of Travel Product & Service

Appointment making

    Telephone (indirect)                 Direct
Chapter 9: Effective Sales of Travel Product & Service

Product presentation

1. Pre s e ntation Planning = Time +Impression


2. Get atte ntion (make impres s ion)
Questions to gathe r information
Customers’address, birthday, habits
3. Dis c over cus tomers ’demands
Where would you like to go ­ Destination
When ­ Timing ­ How long ­ Duration
Who will be going? How many, number in group
What level of service do you prefer ­ value
Chapter 9: Effective Sales of Travel Product & Service

Product presentation

Ho w to c o m m unic ate w ith c us to m e rs ?


 Phrasing questions
 Budgeting questions shoud be the las t
 Leisure/ Business Travelers classification
 Listening: free of distraction & interruption
 Recording
 Concentration
 Verbal and non - verbal communication using
Chapter 9: Effective Sales of Travel Product & Service

Product presentation

Ho w to make impre s tio n ?

 Grooming
 Do not let customers suspect who you are
 Do no t applaus e lo o s e nly
 Do no t applaus e s tro ng ly
 Do no t whis pe r
 Do no t s pe ak lo undly
Chapter 9: Effective Sales of Travel Product & Service

Solutions

+Acknowledging demands
+Emphasis benefits
+Confirm demands and consult on services.
+Up - Selling Techniques.
+Additonal sales
Chapter 9: Effective Sales of Travel Product & Service

Persuate customers to overcome difficulties

Listen to customers

Sympathize with customers

Clarify the problem

Explain, suggest and consult

Close the transaction
Chapter 9: Effective Sales of Travel Product & Service

How to solve conflicts


Responsible for helping

Set a positive atmosphere Appropriate time

Appropriate place

EEEexplain the issues Find reason(s)

Understand individual’s demand


X Clarify needs and wants
Listen to all sides

List solutions

Solve the conflict Select the best solution

Check and evaluate.


Chapte r 10
Imple me nting the Marke ting Plan

Le arning Obje c tive s  

 Study the content of Marketing Plan Implementation.

 Ability to set an effective marketing budget

 Learn controling and evaluating methods of the 
Implementation Process in the Tourism Industry.
 Ability to design a Marketing Plan for Tourism 
Organizations in different scales
Chapte r 10
Imple me nting the Marke ting Plan
Main content

1. Content of Implementation Plan


2. Operated Plans and Assigning Responsibilities
3. Budget setting
4. Controlling the Marketing Process
5. Evaluating the Marketing Plan
6. Discussion & Review
Chapter 10: Implementing the Marketing Plan

Content of implementation Plan

 Schedule & Assigning Responsibilities


 Budget
 Controlling
 Evaluation
Chapter 10: Implementing the Marketing Plan

Budget setting
Charac te rs o f a g o o d Marke ting budg e t
+ Show how much money to spend to implement the total
makreting plan and how the total should be
+ create revenues that exceed the amount invested in marketing
+ Have a c o nting e nc y fund (10 – 15% of the marketing budget,
reserved for unanticipated increase in marketing expenses)
Budg e t - s e tting me tho ds
1. The Arbitrary - and - Affordable Method
2. The Percentage - of - Sales Method
3. Competitive - Parity Method
4. The Objective - and Task Method
Chapter 10: Implementing the Marketing Plan

Controlling the Marketing Process

1. Gathering information from


- Registration cards
- Questionaires
- Informal Interviews (during waiting for check - out)
- Inquiries (telephone, letter, e - mail, personal visits …)
2. Controlling finances
- Using ISO to control the whole process
Chapter 10: Implementing the Marketing Plan

Evaluating the Marketing Plan

Measurement Methods
1. Total Sales Figure
2. Sales/ Objectives Variance
3. Market - Share Variance
4. Marketing Cost and Profitability
5. Efficiency Ratios: CPI, CPR, ROI

Evaluation and Follow - Up


Implementing the marketing plan
presentation 10

1. Schedule of the plan, including of tactics, staff


and time.
2. Estimate marketing budget for the coming year
3. Controlling methods chosen and why?
4. Evaluation methods used and why?
Strategic Marketing for
Tourism and Hospitality

Dis c us s io n & Re vie w

Lecturer: Tran Nu Ngoc Anh, Mba.

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