Per.

Assignment 1
1. There are common misconceptions about marketing as a business function, such as that
marketing is (1) about making money, (2) just about advertising, and (3) about making people
believe something is better. Based on the discussions in this chapter, how would you correct
such misconceptions?

Misconceptions:
- Marketing is about delivering the right message to the right person at the
right time. That’s it. Nothing else. As for making money - there are about a
dozen other variables - you can have all the customers you could possibly
handle…and still not make money. Marketing does not make you money.
- Advertising is just a part of marketing. If you are delivering an effective
marketing campaign…chances are in involves some advertising - along with
outbound selling, public relations, word of mouth, referrals, social media, and
more. Marketing is certainly not about advertising.
- Misrepresenting a product or service isn’t a good idea. In fact - it’s a terrible
idea. If anything you want to exceed expectations - not fall short. Marketing is
not about misrepresenting anything - it’s about delivering the right message (truth
- not hype) - never hype. You may have some short-term success - but at the end
of the day - a disaster is lurking around the corner.
Marketing is often misunderstood as a business function. It is not just about making
money, but rather about understanding and satisfying the needs of customers. It
encompasses a wide range of activities, including market research, product development,
pricing, distribution, and communication. Advertising is just one aspect of the marketing
mix and it is used to reach the target market and promote the product or service.
Therefore, marketing is not just about advertising, but rather it is a holistic approach to
understanding and meeting the needs of customers. Additionally, it is not just about
promoting products and services, but also about creating a positive image for a company
and building customer loyalty.
2. What is a marketing dashboard and how is it useful to hospitality marketers?

Marketing dashboard:
 A marketing dashboard is a visual tool that displays key marketing details and targets
for a business in an easy-to-see way. It gathers main marketing reports on one page,
helping marketers and leaders see their marketing progress. This lets them make data
driven decisions using key marketing metrics.
Marketing dashboards typically include metrics such as website traffic, lead
generation, conversion rates, social media engagement, and more. By using a marketing
dashboard, businesses can stay on top of their marketing goals and objectives and ensure
that their marketing efforts are aligned with their overall business strategy.
How marketing dashboard is useful to hospitality marketers:
Marketing dashboards help marketers get the visibility of their performance through
real-time monitoring of key campaign metrics and KPIs.
1. Improved ROI of marketing activities: The consolidated data provided by
marketing dashboards can help businesses identify strategies that are not working and
replace them with more revenue-generating and financially beneficial ones.
2. Better team collaboration: Dealing with multiple data sources in a fractured online
marketing world can be overwhelming and time-consuming. Having all data combined
and transformed into useful information that is presented in one place saves a lot of time
and makes any decision-making much easier and more efficient.
3. Motivational tool: Dashboards show employees their performance compared to
their goals. They can see the metrics move as a direct result of the work they put in. As
you shift to a performance-driven workplace culture, there’s no better motivation for
employees than seeing the real results of their work.
4. Informed decision making: Using a dashboard leads to a better understanding of
relationships within the data and the consequences of when certain marketing actions are
taken. Well-designed dashboards fuel this process with crisp visualizations and advanced
analytic methods, supporting the users in their day-to-day operational activities as well as
in their long-term strategic decisions.
 5. Track developments: Relevant key performance indicators (KPIs) can be derived
from strategic goals and used in a dashboard in order to generate actionable insights
based on current developments.
Per. Assignment 2
Compare and contrast internal databases, marketing intelligence, and marketing research as a
means for developing marketing information.
Internal databases, marketing intelligence, and marketing research are all essential for
managers as irreplaceable tools and conditions to develop marketing information and
each of them has its role, impacts, and benefits to the process.
1. Internal databases:
Large-scale internal database is often built within the company along with the
semblance of general market information gathered from the company’s data network.
Mostly used by marketing managers, it serves the purpose of identifying marketing
opportunities as well as marketing issues, planning marketing strategies, and evaluating
performance.
The use of internal databases is usually much quicker, more convenient, more
effective, and spends less amount of budget than other methods. Though it is frequently
used by both small and big companies but still cannot avoid some disadvantages:
- The database might be incomplete or inconsistent because it is a storage of
information in varied professions and categories, leading to ineffective
decision-making ability.
- The data might lose its value in a short period and it requires a significant
effort to keep the database updated every single minute.
- It requires huge expenses and highly-sophisticated techniques to maintain an
internal database on a giant scale.
2. Marketing Intelligence:
Marketing intelligence is everyday information about marketing developments in the
marketing environment that is received by managers to help them prepare and adjust
plans and future directions with a useful format. It consists of two main sources: Internal
sources (company’s executives, owners, and employees) and External sources ( suppliers,
competitors, newspapers, and government agencies). Sometimes, the source may come
from competitive information such as annual reports, speeches, articles, press releases,
and promotions.
The expense of marketing intelligence, based on today's context, is reasonably cheap
as the providers often sell data at a very low price or even at the cost of 0. For that reason,
it is often used by small-to-average-scale firms However, it may not help make decisions
since the data are incomplete, the same as the internal database.
3. Marketing Research:
Marketing research is a process that determines opportunities and issues as well as
monitors and evaluates activities and performance that involves in marketing, plus
presents the findings and implications to the management. The marketing research
process includes 4 steps:
- Defining the problem and research objectives
- Developing the research plan
- Implementing the research plan
- Interpreting and presenting the findings
Marketing research often shows stronger effectiveness than other methods work with
since it requires carefulness to the details and focuses on the most ideal research objective
to the final research that defines a business’s direction. Therefore, it is commonly suitable
for large-scale companies. However, the process is very time-consuming and expensive,
not to mention that it may not be available at a certain point in time.
The difference between marketing intelligence and marketing research is that smaller
firms use marketing intelligence to know what the market is like including competition
and demographics. Marketing research is not available right away and is gathered by
companies. Companies collect all the information over phone calls, Internet surveys, and
in-person surveys. Internal databases are good because big and small companies can
access them very quickly. This allows for quicker access to opportunities, problems, and
programs. The sources for internal databases usually come internally so from on-the-floor
sales associates and the marketing department of the company.
 Per. Assignment 3
1. Explain why marketers study buyer behavior and discuss characteristics affecting consumer
behavior. Which characteristics do you think would have the greatest impact on your decision to
select a restaurant to celebrate a special occasion, such as a birthday or anniversary?
Marketers study buyer behavior because buyer behavior is an important tool that
helps marketers to understand what influences the buying decision of consumers or
buyers. By studying buyer behavior marketers know about the taste and preferences of
the consumer and they identify and produce the products according to customer needs.
Studying buyer behavior gives various information to marketers. With the data and
information required, they will get to learn how their products – price – commercial are
being responded to and reacted to by the consumers and what characteristics among
cultural, social, psychological, and personal factor has a more significant impact. This is
why marketers are requested to study the behavior of buyers to lead to an increased
chance of attracting more consumers to purchase.
Personal factors, out of all the characteristics of the same category, seem to be the
primary factor that can manage the customer’s choice-making. The restaurants, on the
other hand, must understand the most vital aspect to consider is to make the customer
agree with what you offer, for specific, the operation for the celebration must result in an
optimistic first impression and fulfill the customer’s satisfaction in the beginning.
2. The organizational buying process among businesses encounters obstacles among the
members in the purchase-decision processes. What common inter-organizational issues can
affect the overall performance of the stakeholders involved in the process?
The Organizational Buying Process is where total purchases of an organization are
recorded and done by all the members of the organization that are also involved in
several aspects: technical and economic considerations; expenditure; and interactions of
the buyers. One of the element keys that has numerous affections on it is the
Organizational Buying Decisions, a key which can either be beneficial or cause
drawbacks to the organization depending on how external influences affect the
performance of the stakeholders. Due to its very and diversity, the influence can be
categorized into four groups: environmental factor, organizational factor, interpersonal
factor, and individual factor:
 - Environmental Factors: Political and regulatory developments; Level of primary
demand; Cost of money; Rate of technological change; Economic outlook;
Competitive developments; Supply conditions.
- Organizational Factors: Policies; Organizational structure; Objectives; Systems;
Procedures.
- Interpersonal Factors: Status; Authority; Persuasiveness; Empathy.
- Individual Factors: Job position; Personality; Education; Risk attitudes; Age.
Per. Assignment 4
1. Some restaurateurs want to develop a restaurant with something for everyone. Why is this
idea a dangerous policy?
Some restaurants want to develop a restaurant with something for everyone. This
idea is a dangerous policy because of these reasons:
- They might be failing in providing the most suitable services and products for
their guests.
- When restaurants provide something for everyone, it is hard to understand every
customer from every segment. Especially, products of restaurants are food and
beverage products and additional products. Different persons have a different
taste with wants, needs, and demands so the idea of “something for everyone” is
impossible.
- They cannot put the maximum effort to every segment because the range is too
wide for them to handle.
- This idea can cost a lot of unnecessary money on investing because “something
for everyone” is doubtful, they can waste money on undefined tasks when there is
no targeted segment.
- Restaurants should define their target customers so that they can satisfied their
targeted market segmentations and have suitable marketing strategies to attract
andcreate value for the customers.
2.  Provide an example (other than one given in this chapter) of the use of SoLoMo marketing
by a hospitality company.
 SoLoMo (Social – Local – Mobile) is location-based marketing, which is going
mobile, reaching on-the-go consumers as they come and go in key local market areas. For
example, a local restaurant can decide to implement offer deals only to those located in
your neighborhood or city. There are also new sites being developed for SoLoMo
marketing, including Kapture, SidewalkAd, and LocalBox.Professor Bill Carroll states,
“The Mark Hotel in New York City uses Foursquare’slist functionality as a virtual
extension of its concierge services.”. Guests looking for local dining and sightseeing
suggestions can follow The Mark on Foursquare.
The hotel benefits by promoting its own food and beverage options in its
recommendations. When using deals of local marketing, one has to be careful that the
business generated by the promotion is profitable. The promotion should be priced so the
restaurant makes money on the promotion after paying promotional costs. Also, do
promotions only when you have excess to handle the promotion. For example, if you are
busy on Friday and Saturday night exclude these periods from the promotion.
An example of the use of SoLoMo marketing by a hospitality company (other than
one in this chapter) is Trivago. Trivago develops direct bookings through social media.
There are coupons and discounts for users in their users. Trivago is always the worldwide
leading booking platform with the slogan “Hotel? Trivago”. There are also
advertisements that appear on social media through search tools. Also, the Trivago app
on mobile phones is developed that is friendly for users.
Per. Assignment 5
1. If you were the director of new-product development for a national fast-food chain, what
factors would you consider in choosing cities for test marketing a new sandwich? Would the
place where you live be a good test market? Why or why not?
Before launching a new product to the market, businesses need to go through many
steps such as: forming business ideas, drafting and evaluating projects, planning
marketing, etc. In which, one step cannot be missed. Equally important is product testing,
which helps businesses assess the market acceptability for that type of product. From
there, plan for the next steps to develop the product: if the product is highly appreciated,
it can be manufactured and launched into the market. But if the product is not
appreciated, it is necessary to have policies to improve the product, appropriate marketing
strategies, etc.
Sandwich is a type of fast food, with its own characteristics. Product development
directors need to have specific and meticulous considerations and development strategies
before opening a chain of stores for this type of product. A city to test sandwich
marketing should have the following characteristics:
- The population is medium-high. To do marketing effectively, it is necessary to
have a certain number of customers, enough for the business to get results after
testing. If the population is too small, marketing investment can be a waste of
time and effort, not bringing high results.
- People living there must have a middle-high income. Sandwich is a popular dish
and not expensive food, but in Vietnam, people with low income are less inclined
to buy them.
- The population there is young. As a fast food, sandwiches will attract more young
people in Vietnam.
- People have quick access to and grasp information. For marketing forms to easily
reach customers, the target audience will have to be those who have access to
technology or have tools to easily access information.
2. What is a service culture? Why is it a requirement for an internal marketing program?
Service culture is a system of rules that express the values of the business, helping us
understand that creating the best service to bring to customers is the main task of the
business. Service culture focuses on serving and satisfying customers. Because "Without
customers, business does not exist". Creating a service culture will start at the top. When
recruiting, businesses need to choose criteria such as having a professional service
attitude, then training deeply in service. A service culture will help employees know what
they need to offer customers while providing and supporting other employees, helping to
improve service.
In internal marketing, service culture is also an extremely important requirement. A
business that wants to grow needs to have internal rigor. Because if you want to do
marketing and provide the best service to customers, you need to first train a management
apparatus as well as staff in a methodical way, creating the idea "Customer is God".
Employees in the business need to have help and support each other when facing
difficulties, especially in supporting customers. This will satisfy customers from the
smallest steps.
Per. Assignment 6
1. You have just been hired as the dining room manager at a local hotel. The manager asks you
to evaluate the menu prices to see if they need to be adjusted. How would you go about this
task?
To evaluate the menu and whether they need adjustment, it is necessary to consider a
lot of factors, and also need to compare the price with other competitors. If you were a
restaurant manager at a hotel, you would consider the following factors:
- Calculation of input materials. This is a very important step in determining the
price of the meal. If we choose reputable suppliers, quality products, and at the
same time, the price will be a bit higher. But this can go hand in hand with the
value of the items on the menu.
- Check menu quality. The value of a dish will need to be commensurate with its
price. All dishes on the menu need good preparation, presentation, and finishing.
- Define your hotel's target audience. Depending on the main guests of
the hotel, we will makereasonable adjustments to the menu; for example, if
customers are middle and upper class, with high-income, the dishes on the menu
may cost more, along with it the finishing quality of the meal must behigh; But if
the hotel's main customers are low- and medium-income people, we will not be
able to letthe price be too high.
- Compare with competitors, especially direct competitors. We need to consult the
prices of hotels ofcorresponding quality and then offer the most reasonable price:
it should not be too high or too low.
Through the above steps, I will draw out the things that need to be adjusted on the
menu and offer themost reasonable price.
( I would first begin the task of evaluating menu prices in my restaurant by researching
whether the current prices within the menu are contributing to a maximum restaurant
profit I would begin to evaluate the restaurant in a deeper way so that I can appropriately
adjust the price of the menu items. One of the mainthings I would take into consideration
would be consumer perception of price and value. The value-based pricing method can
help me to understand the buyer’s perceptions of value, which can aid in the adjustment
of menu items. Another method that can used to determine if the pricing of the menu
should be adjusted would be to evaluate the prices of competitors and determine where
my restaurant stands within this scale. Cost-plus pricing can also be used to determine the
properprice of menu items because it takes into consideration material costs, labor costs
and overhead costs that contribute to the total price.)
2. Give an example of an effective use of price discrimination. Support your reasons for thinking
that it is a good example
The term discriminatory pricing often invokes mental images of discrimination on the
basis of ethnicity, religion, gender, or age. Discriminatory pricing, from the vocabulary of
economics, refers to segmentation of the market and pricing differences based on price
elasticity characteristics of these segments. Price discrimination as used is legal and
viewed by many as highly beneficial to the consumer. Companies often adjust basic
prices to allow for differences in customers, products, and locations. In discriminatory
pricing, the company sells a product or service at two or more prices, although the
difference in price is not based on differences in cost.
Price Discrimination is a strategy that businesses use to maximize revenue by charging
customers different prices based on their willingness to pay. For example, cinemas
frequently offer different prices for adults, seniors, and children. They also offer deals for
specific days of the week. This is because movie theatres understand that specific age
groups are willing to spend different amounts. There are three types of price
discrimination: first degree, second degree, and third degree. In order to engage in price
discrimination, the market and good must have identifiable segments, preventable resale,
and market power to set prices.Price discrimination is where a company charges a
different price to different groups of consumers. Examples include airlines, buses,
cinemas, coupons, petrol, and nightclubs.For example, the cinema. The cinema is another
classic example of price discrimination that has been around for years. Adults get charged
the highest, with seniors and children receiving lower rates.
The real life example of price discrimination is CGV Membership Program for people
under 23 years old.
Per. Assignment 7
1. Explain how international travel changed distribution channels in the hospitality and travel
industries.
International travel changed distribution channels in the hospitality and travel
industries During the past decade, there has been a pronounced shift in how people
purchase travel and tourism products. This change has been driven by the rapid growth in
the spread and use of the internet, especially in developed economies. The internet has
had a major impact on tourism and travel, with the development of huge numbers of
websites and applications including reservation systems, online travel agents and tour
operators, and interactive product review sites. This constantly changing environment
presents many challenges to the Irish tourism industry.
The international travel market is characterized by uncertainties. Due to rapid
changes in terms of new technologies, changing consumption patterns of customers, and
global economic changes, the travel sector must redefine its business strategies to remain
competitive. In the future, solely resistant customers will use location-based distribution.
The internet and changing customer behavior are the new drivers leading to new
distribution channels and business strategies for travel agencies. In recent years, they
have seen a flurry of online competitors, ranging from giant travel superstars such as
Expedia, Travelocity, Priceline, and Orbitz to newcomers like Trip.com that let
consumers surf the Web for rock-bottom travel deals. To make matters worse, the airlines
themselves now sell more than half of their own tickets online and no longer pay travel
agencies commissions on ticket sales. Hotels are also aggressively promoting booking on
their Web sites to avoid paying 10 percent commissions to travel agents. Travel ranks as
the number-one product sold over the Internet. These new channels give customers more
choices, and they threaten the very existence of many travel agencies.
Competition, a global marketplace, electronic distribution techniques, and a
perishable product have increased the importance of distribution. Innovative ways of
approaching new and existing markets are needed. Globalization has meant that many
hotel companies must choose foreign partners to help them market or distribute their
products. Sheraton built an alliance with the Welcome Group in India, which manages
Sheraton Hotels on the Indian subcontinent. New electronic distribution methods have
resulted in the growth of international reservation systems such as Utell. Finally, the
importance of distribution has increased because hospitality products are perishable. RCI,
a time-share exchange company, uses its large membership base to negotiate special hotel
rates for its members. The agreement works well for both parties: Hotels have a chance to
sell rooms during a soft period, and RCI can offer its members a benefit.
2. What are the major differences between a distribution channel for a business making tangible
products and a firm producing hospitality and travel products?
The major difference between a distribution channel for a business making tangible
products anda firm producing hospitality and travel products is that a distribution channel
for making tangibleproducts represents businesses which buyers pay for a good or a
service. These Distributionchannels have people such as wholesalers, retailers, and
distributors. When it comes todistribution channels for hospitality and travel products
there are different channels such aswebsites, travel agents, and distribution systems
which also acts as a way of selling profitablythrough many channels.
Per. Assignment 8
1. Explain the concept of integrated marketing communications.
Integrated marketing communication can be defined as the process used to unify
marketing communication elements, such as public relations, social media, audience
analytics, business development principles, and advertising, into a brand identity that
remains consistent across distinct media channels. It allows public and private
organizations and businesses to deliver an engaging and seamless consumer experience
for a product and/or service, and to optimize an organization’s image and relationship
with stakeholders. Marketers perfected the art of mass marketing: selling highly
standardized products to masses of customers. In the process, they developed effective
mass media communications techniques to support these strategies.
Integrated marketing communication is a multi-disciplinary field that combines
traditional and new media practices. As its name suggests, integrated marketing
communications is a holistic marketing approach that considers marketing strategy within
the larger context of an organization’s aims and business development and maintenance
needs. In other words, rather than having marketing, advertising, public relations, social
media, and consumer/audience analytics be separate teams or efforts within an
organization, integrated marketing communications encourages the integration of these
disciplines to create a more powerful and concerted approach.
By using integrated marketing communication theories and strategies, marketing
specialists can create, execute, and track multi-channel advertising and communication
messages that target and influence specific audiences. integrated marketing
communication’s influence can be seen throughout modern society, in website display
advertisements, enterprise blogs, search engine optimization, newspaper editorials,
outdoor billboards, magazine advertisements, and more.
2. Compare and contrast publicity with advertising. What are the benefits and drawbacks of
each?
Advertising is marketing as well as a promotional tool in the hands of the company
which conveys a message about the company or a product to the viewers, listeners or
readers. It is aimed at persuading customers, to choose the company’s product over the
product offered by the competitors.
Publicity is another promotional tool, but it is not the same as advertising. It is based
on reality as it is neither sponsored nor it is under the control of any company or its
representatives.

Comparison Chart

BASIS FOR
ADVERTISING PUBLICITY
COMPARISON
Meaning The activity of generating The activity of providing
advertisements of products and information about an entity, i.e. a
services to commercialize them is product, an individual or a
known as Advertising. company to make it popular is
known as Publicity.
What is it? It is what the company says about It is what others say about the
its product. product.
Cost involved Very expensive marketing tool. Free of cost.
Given by Company and its representative Third Party
Is it under the Yes No
control of the
company?
Which type of Positive It may be positive or negative.
message it conveys?
Credibility and Less Comparatively more
Reliability
Focus on Target Audience Awareness
Repeatation Yes No
 Advertising is a one-way public communication that conveys a message regarding a
product, service or company to the viewers, readers, and listeners. It is the biggest
marketing tool used for non-personal promotion of goods and services to the potential
customers, however, the most expensive one.
- Advertising is a sort of monolog activity done with an aim to induce customers
i.e. to grab the attention of the target audience in such a manner that they are
ready to buy the advertised product. The basic objective of advertising is to
increase the consumption of the product of the sender company.
- Most of the company’s use this sales promotional tool because of its reach, a
single message can reach millions of people in nanoseconds. It is a paid
announcement by sponsors, which can be done with various mediums like radio,
television, websites, newspapers, hoardings, magazines, social media like
Facebook, etc.
- Although, we should not trust the advertisement blindly because some of them
are false or misleading one that does not give complete information about the
product. It is just a technique of branding whereby a product is highlighted by its
few qualities, to leave an impact on the consumer’s mind.

The term publicity is a combination of two words public and visibility. It refers to the
flow of information or fact, regarding general awareness about a subject or hot topic or
any burning issue. Here the subject may include a person, product, service, business
entity and so on.
- Publicity is used to draw the attention of the people, for any subject with the help
of broadcast media, print media or social media. It is not a promotional technique
and thus free of cost.
- Publicity can be printed or just aired. It is either be positive or negative, but it is
true and real as well. It is an entirely unbiased opinion as it comes from an
independent source like it can be given by an expert or a common man or mass
 media. As the third party has nothing to do with the company, their responses and
reviews are given high weight.
- However, it can be seen many times that rivals use this tool deliberately like they
spread false rumors to injure the image of the company and ruin its market
position too. Positive publicity boosts the consumption while the negative
hampers the same.
Per. Assignment 9
1. What are the most common methods of structuring a sales force?
The most common methods of structuring a sales force are:
Territorial-Structured Sales Force: Each sales representative is assigned an
exclusive territory in which to represent the company's full line. This sales structure has a
number of advantages. First, it results in a clear definition of the salesperson's
responsibilities. As the only salesperson working the territory, he or she bears the credit
or blame for area sales to the extent that personal selling effort makes a difference.
Second. territorial responsibility increases the sales representative's incentive to cultivate
local business and personal ties. These ties contribute to the sales representative's selling
effectiveness and personal life. Third, travel expenses are relatively small because each
sales representative travels within a small geographic area.
A territorial sales organization is often supported by many levels of sales
management. Each higher-level sales manager takes on increasing marketing and
administration work. Sales managers are paid for their management skills rather than
their selling skills. The new sales trainee, in looking ahead, can expect to become a sales
representative, then a district manager, and then a regional manager, and, depending on
his or her ability and motivation, may move to still higher levels of sales or general
management.
Market Segment: Company structures it's sales force based on market segments.
Separate sales forces can be set up by different industries for the convention/meeting
segment, the incentive travel market, and other major segments. This is the most common
type of structure within the hotel industry. For example, associations have different needs
than corporations; thus, one salesperson may be assigned to the association market, while
another is assigned to the corporate market.
Market Channel: The importance of marketing intermediaries, such as wholesalers,
tour operators travel agencies, and junket reps, to the hospitality industry has created
sales force structures to serve different marketing channels.
The cruise line industry has historically depended on travel agents for the bulk of its
sales. A study by Claritas, the marketing support company, showed that 96 percent of
cruise line passengers purchased tickets through a travel agency. This company
developed thematic maps targeting the areas in which the best prospects for a cruise line
were concentrated. The cruise line then used these maps in presentations by its sales force
to travel agents.
A segment of the cruise line industry, cargo freighters are ships that carry freight
everywhere in the world and offer a few berths to travelers. They lack the glamour and
service of cruise ships but appeal to travelers with time. Highly specialized travel agents
sell this product.
Some hotels such as those near historical sites receive substantial bookings through
motor coach tour brokers. The location, size, and type of hospitality companies greatly
affect the relative importance of travel intermediaries. This in turn affects whether a
company designs its sales force structure by travel intermediary.
Customer Structured: A sales force is organized by market segments, such as
association market and the corporate market or by specific key customers. A customer-
structured sales force recognizes that specific customers who are critical to the success of
the organization exist. The sales force is usually organized to serve these accounts
through a key or national account structure.
Combination Structured: Some hotels and resorts have a sales force structured by
product, market segment, market channel, and customer. A large hotel might have a
catering/banquet sales force (product), a convention/meeting sales force (market
segment), a tour wholesale sales force (marketing intermediary), and a national accounts
sales force (customer). Proponents of such a sales force believe it encourages the sales
force to reach most available customers. They also contend it is impossible for a single
salesperson to understand and effectively sell all the hotel's products to all available
customer segments through all marketing channels. Sales specialists can become familiar
with major customers, understand trends that affect them, and plan appropriate sales
strategies and tactics.
Opponents of this system feel that in many cases this sales force structure indicates
the hotel is trying to be all things to all people in the absence of long-run goals and
strategies. They contend that such a structure is difficult to manage and can be confusing
to the sales force and the customer because the same customer may be classified in
different areas and thus be handled by more than one salesperson.
2. Discuss the benefits of direct marketing to both buyers and sellers.
Benefits of Direct and Digital Marketing to Buyers and Sellers
For buyers, direct and digital marketing are convenient, easy, and private They give
buyers anywhere, anytime access to an almost unlimited assortment of goods and a
wealth of product and buying information. Meta-search travel sites such as Kavak.
TripAdvisor and Trivago give the traveler a great deal of information and reviews on
hotels as well as travel destinations. Zomato, Yelp, and OpenTable are common sites
used by consumers to find reviews and information on restaurants. Through direct
marketing, buyers can interact with sellers by phone or on the seller's Web site or app to
Create the exact configuration of information, or products they want and then order them
on the spot. Finally, for consumers who want it, digital marketing through online, mobile,
and social media provides a sense of brand engagement and community, a place to share
brand information and experiences with other brand fans.
For sellers, direct marketing often provides low-cost, efficient, speedy alternative for
reaching their markets. Today's direct marketers can target small groups of individual
customers. Because of the one-to-one nature of direct marketing, companies can interact
with customers by phone or online, learn more about their needs, and personalize
products and services to specific customer tastes. In turn, customers can ask questions
and volunteer feedback.
 Direct and digital marketing also offer sellers greater flexibility. They let marketers
make ongoing adjustments to prices and programs, or create immediate. timely, and
personal engagement and offers. Especially in today's digital environment, direct
marketing provides opportunities for real-time marketing that links brands to important
moments and trending events in customers' lives. It is a powerful tool for moving
customers through buying process and for building is customer engagement, community,
and personalized relationships.
Discuss the importance of establishing sales objectives and various kinds of sales
force objectives common to the hospitality industry.
Customer satifaction is with the upmost importance, you have to have positive sales
objectives that work when selling a product that people need. Some of these sales
objectives would include having a product that will circulate repeat business, finding a
target market for your product, who will be using it, who will be buying it. So you have
to do your research so you can get the most profit out of your product. There are five
sales objective strategies that companies should always use:
- Choose a market entry strategy for each niche you intend to serve.
- Set objectives for each target market.
- Design a sales program for each one.
- Implement and manage the marketing strategy.
- Set metrics; measure, control, and adjust as you go.
If you have all these elements, and a great team to work with, then your company will
prosper.
Many people feel they do not have the ability to be successful salespeople. What role does
training play in helping someone develop selling ability?
Training plays a very important role in helping someone develop selling ability because it can
sometimes be the only teaching someone has before actually needing to sell something.
Training helps the staff member develop an organized list of things to do to make a sale.
Training will also most likely provide experience with customers and guided assistance in
certain
Discuss the process of negotiation and how sales force members can use it effectively.
Negotiation is all about creating an agreement that appeals to both sides
The first step in negotiating is understanding the issue at hand with clear knowledge of what
he/she wants to gain. The next step is for each side to present its case. The individual can state
their goal, what they want to gain, and what they are willing to offer up in return. Both sides
need to listen to each other's proposal / offers. The bulk of a negotiation is a back and forth
process of ideas, options, and arguments between both sides. A solution is then found, and
negotiations enter the final step. A written contract is processed, reviewed, and signed by both
parties. Then each side needs to fulfill their agreement and then can part ways. Some complex
negotiations can involve a long-term commitment.
6) Good salespeople are familiar with their competitors products as well as their own. What
would you do if your company expected you to sell a product that you thought was inferior to
the competitors? Why?
I would first lower my sales price because it would then be competitive for supply and demand.
Someone isn't going to pay more for a product if it doesn't work as good if not better than a
competitor's product. But there are some rare cases, for instance Apple and Android products,
everyone knows that Andriod works better and is more compatible with PC's. However people
will buy Apple products because of the brand name. If my company had a great name brand like
Apple I would just go by our reputation, most of the world has Apple products and they're easy
to use and pretty much if you don't have an iPhone you're not cool. So there are factors like
that that come into place. But I would rather lower the price of my product to sell more rather
than go by the brand name, that way I would have the upper hand of having the cheaper
product because people like cheap.
No Question
There are two primary things a sales manager should provide their salespeople with in order to
motivate them and thus increase total sales: sales force competition and supplementary
motivators. Sales Force Competition is when a competitive environment is created in the
workplace amoungst sales representatives. This competition will motivate sales representatives
to sell more than their fellow co-salespeople, increasing total sales. Supplementary motivators,
such as sales quotas and incentives, give the sales representatives a goal to work towards
individually, increasing total sales through personal motivation. Sales quotas also help prevent
sales from dipping below a certain minimum level, helping to evaluate sales representatives
more efficiently. A sales manager's job differs from that of a salesperson's job in that a
manager's job is to motivate and evaluate the sales representatives to increase total sales,
rather than to physically sell a product themselves.
A district sales manager voiced the following complaint at a sales meeting: "The average
salesperson costs our company $40,000 in compensation and expenses. Why cant we buy a
few less $40,000 full-page adds in Time magazine and use the money to hire more people?
Surely one individual working for a year can sell more products than a one-page ad in one
issue of Time." Evaluate the argument.
While on the surface it would seem like an extra salesperson added to the team would gain us
more in sales, I think over the long term it may not be as effective. Although it would seem the
add and the salesperson cost the same, after you factor in the cost of training, both monetary
and labor-oriented costs, it may end up costing the company additional resources. While a
salesperson is more personal and can speak with a customer and utilize sales techniques, it may
not be worth the loss in 'visibility' from an ad in Time magazine. It is such a national magazine
that one salesperson could not possibly come into contact with as many people as a full-page
add would. The national advertising in the end will bring more business to the already existing
sales team which may lead to a larger market share for the company.
Chapter 6
All of the following statements are true, except:
Consumer buying behavior refers to the buying behavior of final customers.Marketers
must understand how the stimuli are changed into responses inside the consumer's
black box.A buyer's characteristics have no impact on how he or she reacts to the
stimuli.A buyer's decision process affects outcomes.
A buyer's characteristics have no impact on how he or she reacts to the stimuli.
_______ is the most basic determinant of a person's wants and behavior.
Social classCultureSubcultureOccupation
Culture
_______ refer to the groups to which people do not belong but would like to.
Membership groupsReference groupsAspirational groupsAll of the above
Aspirational groups
The buying process starts from ________.
information searchevaluation of alternativespurchase decisionneed recognition
need recognition
The set of beliefs held about a particular brand is known as the _______.
brand recognitionbrand selectionbrand imagebrand preference
...
Prizm is a _________ system that allows researchers to know the mix or density
of lifestyle groups in each of the nation's 36,000 zip code areas.
demographicgeodemographicpsychographicgeographic
geodemographic
______ refers to distinguishing psychological characteristics that lead to
relatively consistent and enduring responses to the environment.
Self-imageSelf-conceptPersonalitySelf-esteem
Personality
__________ is the process by which an individual selects, organizes, and
interprets information to create a meaningful picture of the world.
PerceptionMotivationLearningBeliefs
Perception
_________ is the tendency to twist information into personal meanings and
interpret information in a way that will fit our preconceptions.
Selective hearingSelective attentionSelective distortionSelective retention
Selective distortion
Cognitive dissonance is caused by ______ conflict.
pre-purchaseduring purchasepost-purchaseinformation research
post-purchase
For what does the acronym VALS stand?
validity and likeability scalevision and landscaping systemvalues and lifestyles
programvalues loading scales
values and lifestyles program
One of the eight American lifestyles is
workers.achievers.believers.motivators.
believers.
Chapter 7
Performance review is the stage of an industrial buying process in which a buyer rates
its satisfaction with suppliers, deciding whether to continue, modify, or drop the
relationship.
True
Organizational demand comes ultimately from the demand for _____________.
Consumer goods and services
All of the following statements are true, except:
The organizational buying process is more complex than the consumer process.

The organizational buying process tends to be more formalized than the consumer
process.

The organizational buying process tends to require more professional purchasing effort
than the consumer process.

In the organizational buying process, purchases often involve large sums of

money.

In the organizational buying process, buyer and seller are often very independent from
each other.
In the organizational buying process, buyer and seller are often very independent from
each other.
These are some of the Participants in the Organizational Buying Process:

_______1____ select product requirements and suppliers.

______2_____ they often initiate the buying proposal and help define product
specifications

______3_____ have formal authority for selecting suppliers and arranging the terms of
purchase
1 : Deciders
2 : Influencers
3 : Buyers
Which of the following factors will influence organizational buyers?
Individual factors
Organizational factors
Environmental factors
Interpersonal factors
Secretaries as gatekeepers, have little power and are of no real concern to a
salesperson.
False
Put the organizational buying process in order:

Performance review

Proposal solicitation

General need description

Order-routine specification

Problem recognition

Supplier search

Supplier selection

Product specification
…
________________ are among meetings that associations sponsor

Trade show
Board meetings
Special-interest
Educational
Corporate
Board meetings
Educational
Special-interest
Chapter 8,9
With ________, the seller identifies market segments, selects one or more, and
develops
products and services tailored to each selected segment
Target Marketing
The three stages of target marketing are market segmentation, market targeting and:
Marketing Positioning
Which of the following is a psychographic segmentation variable?
Social Class
Which of the following is NOT a requirement for effective segmentation?
Accountability
In using a(n) ________ marketing strategy, a company ignores market segmentation
and goes
after the entire market with one market offer.
Undifferentiated
The increasing fragmentation of the mass market into hundreds of smaller markets is
called:
Micromarketing
A product's ________ is the way the product is defined by consumers on important
attributes.
Position
Evaluating each segment's attractiveness and selecting one or more of the market
segments.
is one of the major steps in the target marketing process, which is called:
Market targeting
Which of the following is NOT a part of the psychographic variable?
Loyalty
Which of the following is NOT a demographic variable?
User status
The degree to which segments can be assessed and served is the ________ of the
market
segment.
Accessibility
The degree to which effective programs can be designed for attracting and serving
segments
is the ________ of the market segment.
Actionability
Instead of going for a small share of a large market, the firm pursues a large share of
one or a
few small markets. This marketing strategy is called:
Concentrated marketing
Undifferentiated marketing is more suited for ________ products
Homogeneous
When a firm introduces a new product, it may be practical to launch only one version, so
________ marketing makes the most sense.
Undifferentiated or concentrated
Which of the following do NOT contribute to a company's product differentiation efforts?
Profitability
Dividing a market into groups based on consumers' knowledge, attitude, use, or
response to a
product is called:
Behavioral segmentation
Formulating competitive positioning for a product and a detailed marketing mix is called:
Market Positioning
Income and occupation are psychographic segmentation variables.
False
A segment may have desirable size and growth and still not offer attractive profits.
True
Using an undifferentiated marketing strategy, a company ignores market segmentation
differences and goes after the entire market with one market offer.
True
Actionability is the degree to which the segment's size and purchasing power can be
measured.
False
Chapter11
A hotel trying to sell its food and beverage facilities, meeting rooms, retails, and other
features to its guests is an example of:
a. Up-selling
b. Down-stream selling
c. Cross-selling
d. Internal promotion
c. Cross-selling
A restaurant seeking to establish a heavy demand is likely to offer:
a. High-quality products for low prices
b. Low-quality products for high prices
c. High-quality products for high prices
d. Low-quality products for low prices
a. High-quality products for low prices
00:0301:25
A restaurant seeking to establish an exclusive clientele is likely to:
a. Deflate food and beverage prices
b. Inflate food and beverage prices
c. Keep prices similar to those of other restaurants in the area
d. None of the above
b. Inflate food and beverage prices
A server in a restaurant who convinces a patron to buy a t-shirt at the front counter is:
a. Upselling
b. Cross-selling
c. Split-selling
d. Overselling
b. Cross-selling
An executive fully reimbursed for all travel expenses is unlikely to be attracted to a(n):
a. Discount rate offer for a hotel room
b. Discount rate offer for a hotel room and a restaurant offering a $9.99 dinner special
c. Discount rate offer for a hotel room and a restaurant offering a $9.99 dinner special
and a free breakfast the next day
d. Upscale hotel, to have a room-service breakfast, and to eat lunch and dinner in a
more expensive restaurant
d. Upscale hotel, to have a room-service breakfast, and to eat lunch and dinner in a
more expensive restaurant
Charging $0.99 instead of $1.00 or using 3s in the price instead of 7s is an attempt to
engage in:
a. Competition-based pricing
b. Psychological pricing
c. Yield management
d. Price discrimination
b. Psychological pricing
Costs that do not vary with production levels are called:
a. Nonoperating cost
b. Variable cost
c. Fixed cost
d. Permanent cost
c. Fixed cost
Customers are more price-sensitive when the price of the product accounts for a large
share of the total cost of the __________________.
a. Flight ticket
b. Perceived benefit
c. End benefit
d. Monthly budget
c. End benefit
During periods of weak demand very few competitors escape the effect of a ________
market.
a. Weak
b. Strong
c. Volatile
d. Spiraling
a. Weak
Fixed costs are the same as overhead.
a. True
d. False
a. True
For which goods could the demand slope curve upward?
a. Necessary goods
b. Prestige goods
c. Discretionary goods
d. Most goods
b. Prestige goods
Going-rate pricing is an example of competition-based pricing.
a. True
b. False
a. True
00:1201:25
Hotels often use this strategy when the economy slumps:
a. Price gouging
b. Survival
c. Price hike
d. Price maintenance
b. Survival
In the first few months after opening a new hotel, a hotel company wanting to achieve
market share leadership is most likely to:
a. Try to influence supply
b. Try to influence demand by offering "buy three nights, get the fourth free" packages
c. Use low opening rates to influence demand
d. Charge a high price
c. Use low opening rates to influence demand
In the short run, the most important pricing strategy is:
a. Survival
b. Penetration
c. Profit maximization
d. Sales maximization
a. Survival
One major benefit to yield management is that it is removed from any ethical problems.
a. True
b. False
b. False
Pricing based on segmentation of the market and pricing differences based on price
elasticity characteristics of these segments is called:
a. Elasticity pricing
b. Inelastic pricing
c. Market segmentation
d. Discriminatory pricing
d. Discriminatory pricing
Product-bundling involves combining several products into a package with a reduced
price.
a. True
b. False
a. True
Target profit pricing refers to the profit a company can make from a particular target
market.
a. True
b. False
b. False
The basic break-even price is:
a. Variable costs divided by selling price
b. Fixed costs divided by selling price
c. Fixed costs divided by contribution
d. Contribution divided by variable costs
c. Fixed costs divided by contribution
The establishment of price based largely on those of competitors is called:
a. Cost-based pricing
b. Value-based pricing
c. Going-rate pricing
d. Break-even pricing
c. Going-rate pricing
The factor that sets the floor for a product's price is:
a. Elasticity
b. Quality
c. Availability
d. Cost
d. Cost
The more someone spends on a product, the more _________________ he or she is to
the product's price.
a. Sensitive
b. Insensitive
c. Neither sensitive nor insensitive
d. Comfortable
a. Sensitive
The restaurant industry has adopted a rule of thumb that says the highest-priced entree
on a menu should cost no more than 2.5 times the lowest-priced entree.
a. True
b. False
a. True
The strategy of setting a high price when the market is price-insensitive is called:
a. Market-penetration pricing
b. Market skimming pricing
c. Target profit pricing
d. Going-rate pricing
b. Market skimming pricing
Upselling is part of effective revenue management.
a. True
b. False
a. True
Value-based pricing is based on the seller's perception of value.
a. True
b. False
b. False
Value-pricing is a very safe way to price.
a. True
b. False
b. False
When employees try to sell a higher priced alternative to a potential customer, it is
called:
a. Up-selling
b. Down-stream selling
c. Cross-selling
d. Internal promotion
a. Up-selling
When families go to the same resort year after year and get to know and like both the
resort employees and friends in the nearby town, they may be less sensitive to price
increases at the resort due to the:
a. Sunk investment effect
b. Price quality effect
c. External environment effect
d. Substitute awareness effect
a. Sunk investment effect
When pricing, creative judgment can be as important as technical expertise.
a. True
b. False
a. True
Which of the following is NOT a factor affecting price sensitivity?
a. Total expenditure effect
b. Customer satisfaction effect
c. End-benefit effect
d. Unique value effect
b. Customer satisfaction effect
Which of the following is an example of an elastic demand situation?
a. Demand rises 4% if price falls 6%
b. Demand falls 8% when price increases 5%
c. Demand rises 7% if price falls 10%
d. Demand falls 7% when price increases 9%
b. Demand falls 8% when price increases 5%
Which of the following statements is TRUE?
a. Price points are rare, if not nonexistent, in the hospitality industry.
b. Today, yield management is used by everyone.
c. Excess capacity is a good reason to cut prices.
d. Business travelers are usually more price-sensitive than pleasure travelers.
c. Excess capacity is a good reason to cut prices.
With increased demand, or higher guest/customer traffic, the total costs are likely to
______________.
a. Increase
b. Decrease
c. Stay the same
d. Remain undetermined
a. Increase
Chpater12,13 đa lên đầu
Linking
Which of the following is NOT a function of the distribution channel?
a Direct-marketing channel
A restaurateur buying produce from a grower at a farmers' market is an example of:
Independent Contractors
All of the following are considered marketing intermediaries except:
Consortia
Supranational, Logis de France, and Leading Hotels of the World are examples of:
Global Distribution systems
________ are computerized reservation systems that serve as a product catalog for
travel agents and other distributors of hospitality products.
Motivational Houses
________ provide incentive travel for employees and distributors.
Corporate vertical Marketing System
Coordination and conflict management are attained through common ownership at
different levels in the channel in a(n):
Understanding the target market of the company
The first step in selecting a location for a hotel is:
Buy a franchise
The chances of succeeding are the highest if you:
Provide expertise in product creation
In a supply chain, "upstream" from the company is a set of firms that:
Provide a connection between the firm and its customers
In a supply chain, "downstream" from the company is a set of firms that:
Provide consulting on feasibility of new products
Which of the following is not a function of the Distributionn channel? Provide
Brand.com
Which of the following is the least expensive distribution channel for hotel rooms?
OTA
Which of the following is the most expensive channel for hotel rooms?
Online Travel Agencies
In hotel rooms distribution channels, OTA stands for:
Junket Reps
Distribution specialists that serve the casino industry as intermediaries for premium
players are called:
Motivation Houses
Distribution specialists that provide incentive travel offered to employees or distributors
as a reward for their
Vertical Conflict
In channel conflicts, conflicts between different levels of the same channel are termed:
Vertical Marketing Systems
A _______________________ consists of producers, wholesalers, and retailers acting
as a unified system.
Royalties
Which of the following is not an advantage of a franchise to the franchisee?
Horizontal Marketing System
When two or more companies at one level join to follow a new marketing opportunity, it
is termed a:
Mulit-channel Marketing System
When a single firm sets up two or more marketing channels to reach one or more
customer segments, it is termed a:
less
Using sales representatives offers _____ control than building your own sales force.
Concierges
Which of the following is not a marketing intermediary?
True
T & F. A direct marketing channel has no intermediary level.
True
T & F. There are several types of flows that connect all the institutions in the channel.
True
T & F. The primary reason for the use of intermediaries is their superior efficiency in
making goods available and accessible to target markets.
False
T & F. To date, the restaurant industry has had little use for the Internet as a distribution
channel.
True
T & F. What is good for one member of the channel may not be good for another.
False
T & F. Vertical conflict in a channel occurs between firms at the same level in the
channel.
True
T & F. Priceline is an example of a company that uses a system where the buyer cannot
specify any particular brand of hotel or airline.
False
T & F. Franchising is an example of a corporate VMS.
False
T & F. Franchising works well in the restaurant industry but has had limited success in
the hotel industry.
True
Alliances are informal agreements between two organizations that stand to benefit from
each other's strengths.
Identifying the target audience
the first stage of the promotion process is:
Conviction
in the buyer readiness process, the state that immediately precedes purchase is
Rational
The type of message appeal that relates to an audience's self-interest is:
objective and task method
The most logical method of setting the promotion budget is the:
Percentage of sales
The ________ method of promotion budgeting views sales as the cause of promotion
rather than as the result.
sales promotion
The promotional tool that rewards customers for a quick, short-term response is/are:
Personal selling
When hospitality firms market to consumer markets, the least used element of the
promotion mix is:
60
As many as ________ percent of TV viewers may be regularly tuning out commercials.
Informative
________ advertising is used when introducing a new product.
Reach
________ is a measure of the percentage of people in the target market who are
exposed to an ad campaign over a given period of time.
Friend
Viral marketing messages have a higher chance of being opened because they come
from a _____________.
Viral Marketing
What does not comprise a promotion mix?
viewers are watching TV on DVRS
Marketers are losing confidence in TV marketing because of:
Decoding
the process by which the receiver assigns meaning to the symbols encoded by the
sender:
Noise
the unplanned static or distortion during the communication process, which results in
the receiver's getting a different message than the one the sender sent
Attention, Interest, Desire, Action
The four pillars of the AIDA model of communication design are:
Personal selling
Which of the following is not an example of a sales promotion?
TV advertisement
Which of the following is not an example of direct marketing?
Business
Which of the following is not a major department in an advertising agency
Media
In an advertising agency, which department is responsible for placing ads
Informative strategy
strategy used heavily when introducing a new-product category, builds demand
Reminder
___________ advertising is used for mature products
Magazines
Which of the following major media types has high audience selectivity?
Television
Which of the following media types is likely to cost the most?
Continuity
Scheduling ads evenly within a given period is called:
False
T & F. When marketing activities are directed at channel members, a pull strategy is
being used
False
T & F. One major disadvantage of public relations is its lack of believability
True
T & F. Many companies set the promotional budget at what they think they can afford,
which can make long-range planning difficult.
True
T & F. The objective and task method of budgeting defines specific objectives,
determines tasks that must be performed, and estimates the cost of performing them.
False
T & F. Sales promotions are most effective in building long-run brand preferences.
False
T & F. A large advertising budget guarantees a successful advertising campaign.
False
T & F. Today, fewer companies are adopting the concept of integrated marketing
communications.
False
T & F. Atmospheres are considered to be a personal form of communication.
True
T & F. The purpose of persuasive advertising is to build selective demand
True
T & F. The intangibility of the hospitality product creates many advertising problems.
Chapter 1
Create and maintain customers
The purpose of a business
Relationship marketing
Relationship marketing involves creating, maintaining, and enhancing strong
relationships with customers and other stake holders
Selling concept
The idea that consumers will not buy enough of an organization's products unless the
organization undertakes a large selling and promotion effort
Transaction
Consists of a trade of values between two parties; marketing's unit of measurement
Demands
Human wants that are backed by buying power
Exchange
The act of obtaining a desired object from someone by offering something in return
Hospitality industry
Made up of those business that offer one or more of the following: provide
accommodation, prepared food and beverage service, and/or entertainment for the
traveler
Human need
A state of felt deprivation in a person
Human want
The form that a human need takes when shaped by culture and individual personality
Manufacturing concept(production concept)
Holds that customers will favor products that are available and highly affordable, and
therefore management should focus on production and distribution efficiency
Market
A set of actual and potential buyers of a product
Marketing
A social and managerial process by which people and groups obtain what they need
and want through creating and exchanging products and values with others
Marketing concept
The marketing management philosophy that holds that achieving organizational goals
depends on determining the needs and wants of target markets and delivering desired
satisfactions more effectively and efficiently than competitors
Marketing management
The analysis, planning, implementation, and control of programs designed to create,
build, and maintain beneficial exchanges with target, buyers for the purpose of
achieving organizational objectives
Marketing manager
A person who is involved in marketing analysis, planning, implementation, and control
activities
Marketing mix
Elements include product, price, promotion, and distribution. Sometimes distribution is
called place and the marketing situation facing a company.
Product
Anything that can be offered to a market for attention, acquisition, use, or consumption
that might satisfy a want or need. It includes physical objects, services, persons, places,
organizations, and ideas.
Product concept
The idea that consumers will favor products that offer the most quality, performance,
and features, and therefore the organization should devore its energy to making
continuous product improvements.
Quality
The totality of features and characteristics of a product that bear on its ability to meet
customer needs (American Society for Quality Control)
Societal marketing concept
The idea that an organization should determine the needs, wants, and interests of target
markets and deliver the desired satisfactions more effectively and efficiently that
competitors in a way that maintains or improves the consumers and societys well-being.
Chater 2
1. intangibility
2. inseparability
3. variability
4. perishability
Four Characteristics of Services:
unlike physical products, services cannot be seen, tasted, felt, heard, or smelled before
they are purchased
Intangibility:
we take away only the memories of our experiences
One implication of experiential products is that:
hospitality products are first sold and then produced and consumed at the same time
Inseparability:
they are coproducing the service
Customers and Employees must understand the service delivery system because...
Services are highly variable. Their quality depends on who provides them and when and
where they are provided.
Variability:
cause of customer disappointment in the hospitality industry
Variability or lack of consistency in the product is a major....
services cannot be stored
Perishability:
1. invest in good hiring and training procedures
2. standardize the service-performance process
3. monitor customer satisfaction
Steps to Reduce Variability:
1. internal service quality
2. satisfied and productive service employees
3. greater service value
4. satisfied and loyal customers
5. healthy service profits and growth
The Service Profit Chain:
superior employee selection and training, a quality work environment, and strong
support for those dealing with customers, which results in satisfied and productive
service employees
Internal Service Quality:
more satisfied, loyal, and hardworking employees, which results in greater service value
Satisfied and Productive Service Employees
more effective and efficient customer value creation and service delivery, which results
in satisfied and loyal customers
Greater Service Value
satisfied customers who remain loyal, repeat purchase, and refer other customers,
which results in healthy service profits an growth
Satisfied and Loyal Customers
1. service marketing
2. internal marketing
3. interactive marketing
Types of Marketing:
requires more than just traditional external marketing using the four P's
Service Marketing:
means that the service firm must effectively train and motivate its customer-contact
employees and all the supporting service people to work as a team to provide customer
satisfaction
Internal Marketing:
means that perceived service quality depends heavily on the quality of the buyer-seller
interaction during the service encounter
Interactive Marketing:
1. service differentiation
2. service quality
3. service productivity
4. customer complaints
5. employees as part of the product
6. perceived risk
7. capacity and demand
Marketing Strategies:
service companies can differentiate their service delivery in three ways:
1. people
2. physical environment
3. process
Managing Service Differentiation:
once customer expectations are determined, managers need to develop a service
delivery system that will deliver a service that meets the guest's expectations
Managing Service Quality:
in attempting to improve service productivity, companies must be mindful of how they
create and deliver customer value
Managing Service Productivity:
a company cannot always prevent service problems, but it can learn from them, good
service recovery can turn angry customers into loyal ones
Resolving Customer Complaints:
the manager must hire friendly and capable employees and formulate policies that
support positive relations between employees and guests
Managing Employees As Part Of The Product:
customers who buy hospitality products experience some anxiety because they cannot
experience the product beforehand
Managing Perceived Risk:
...
Managing Capacity and Demand
1. Listening
2. reliability
3. basic service
4. service design
5. recovery
6. surprising customers
7. fair play
8. teamwork
9. employee research
10. servant leadership
Recommendations for Improving Service Quality:
is responsible for matching capacity with demand on a long-term basis; unit managers
are responsible for matching capacity with fluctuations in short-term demand
Capacity Management:
getting the customer involved in service operations expands the number of people that
one employee can serve, thus increasing the capacity of the operation
Involve the Customer in the Service Delivery System:
when managers cross-train their employees, they can shift employees to increase the
capacity
Cross-Train Employees:
managers can sue part-time employees to expand capacity during unusually busy day
or meal period or during the busy months of the year for seasonal businesses
Use Part-Time Employees
businesses do not have to be constrained by space limitations or equipment limitations
Rent or Share Extra Facilities and Equipment:
one way to decrease capacity to match the lower demand is to schedule repairs and
maintenance during the low season
Schedule Downtime During Periods of Low Demand:
adjusting operating systems to enable the business to operate at maximum capacity
Change the Service Delivery System:
pricing is one method used to manage demand, when demand exceeds capacity,
managers raise prices to lower demand
Use Price to Create or reduce Demand:
hotels and restaurants often use reservations to monitor demand, when it appears they
will have more demand than capacity, managers can save capacity for the more
profitable segments. Reservations can also limit demand by allowing managers to
refuse any further reservations when capacity meets demand.
Use Reservations:
not everyone who reserves a table or books a room shows up, overbooking is another
method that hotels, restaurants, trains, and airlines use to match demand with capacity
Overbook:
managers can create more demand for a product by lowering its price and lower
demand by raising its price
Revenue Management:
voluntary queues, such as waits at restaurants, are a common and effective way of
managing demand
Use Queuing:
if the date is flexible, the manager shifts the date to a period when the hotel is not
projected to sell out and needs business
Shift Demand:
an object of promotion is to increase demand or, as we will learn later, to shift the
demand curve to the left
Create Promotional Events:
1. unoccupied time feels longer than occupied time
2. unfair waits are longer than equitable waits
3. uncertain waits are longer than known, finite waits
Tips for Managing Waiting Lines:
Chapter 4 ch trước
market segmentation
division of the overall market for a service into groups of people with common
characteristics.
2. why do we segment
-increased understanding of customer wants and need
-focused marketing expenditures
-competitive advantage
3. Factor Selection
-Geographic Segmentation
-Demographic Segmentation
-Psychographic Segmentation
-Behaviour Segmentation
-Purpose-of-Trip Segmentation
Geographic Segmentation
dividing the market into different geographic unit such as nation, states, countries, cities,
region.
Demographic Segmentation
dividing based on on demographic variable such as age, gender, income, occupation,
race.
Psychographic Segmentation
dividing buyers into different group based on social class, lifestyle and personality
characteristics.
Behaviour Segmentation
dividing into groups based on their knowledge, attitude and use / response to a product
Purpose-of-Trip Segmentation
use of this segmentation base is widespread such as lodging, restaurant, travel agency.
Requirement for Effective Segmentation
-Measurable
-Accessible
-Substantial
-Actionable
Measurable
size, purchasing power, profiles of segments can be measured
Accessible
can be reached and served.
Substantial
segments are large or profitable enough to save.
Actionable
effective programs can be designed to attract and serve the segments.
Target Market
-market segment selected by a hospitality and travel organization for marketing
attention.
-a set of buyers sharing common needs or characteristics that the company decide to
serve.
Target Market Segment
-Undifferentiated Marketing
-Differentiated Marketing
-Concentrated Marketing (niche)
Undifferentiated Marketing
-focuses on what is common in the needs of consumer rather than what is different.
Differentiated Marketing
a coverage strategy in which a firm decides to target several market segment and
designs separate offers for each.
Concentrated Marketing
instead of going after a small share of a large market, a firm goes after a larger share of
one or a few smaller segments or niches.
Positioning
arranging for a market offering to occupy a clear, distinctive, and desirable place relative
to competing product in the minds of target consumers.
Example of Positioning
-Key features / attribute
-benefits
-price
-personality
-emotion
-target user
Areas for Competitive Differentiation
-physical attributes
-services
-personnel
-location
-image
How To Develop USP
1. use your biggest benefit
2. be unique
3. solve an industry "pain point" or "performance gap".
4. be specific and offer proof
5. condese into one clear and concise sentence.
6.integrate your USP into all marketing materials
7. deliver on your USP promise
Possible Errors
-underpositioning
-overpositioning
-confused positioning
Underpositioning
failing to really position the company at all.
Overpositioning
giving buyers too narrow a picture of the company.
Confused Positioning
leaving buyers with confused image of the company.
Niche Marketing
a market coverage strategy in which a firm goes after a large share of one or a few
segment or niches.
Chapter 3
Marketing Research
process that identifies and define market opportunities and problem, monitor and
evaluate marketing action and performance, and communicate the findings and
implications to management.
Importance of Marketing Research
-customer
-competitors
-change
-credibility
-confidence
Customer
to determine how well customer needs are being met, investigate new target market,
and assess and test new services and facilities.
Competitors
to identify primary competitors and pinpoint their strength and weaknesses.
Confidence
to reduce perceived risk in making marketing decision
Credibility
to increase the belief ability of promotional messages among customers.
Change
to keep update with changes in travelers' needs and expectations
Key Requirement
1. Utility
2. Timeliness
3. Cost Effectiveness
4. Accuracy
5. Reliability
Utility
gathered only information that can be used.
Timeliness
information should be current and up to date.
Cost Effectiveness
The research cost must be directly related to the expected value of investigating the
opportunity or solving the problem.
Accuracy
in both primary and secondary research is essential.
Reliability
if the same/similar research was done, the result would be approximately the same.
Marketing Research Process
1. Defining the problem and research objective
2. Developing the research plan
3. Implementing the research plan
4. Interpreting and reporting the findings
Objective
-exploratory
-descriptive
-causal
Exploratory
to gather preliminary information that will help define the problem and suggest
hypothesis.
Descriptive
to describe the size and composition of the market
Causal
to test hypothesis about cause and effect relationship.
Types of Data
-Primary data
-Secondary data
Primary Data
-information collected for the specific offer purpose by hand.
-can be collected by mail, telephone, personal interview.
Secondary Data
information that already exist somewhere, having been collected for another purposes.
Designing the Sample Call
1. who will be surveyed?
2. how many people should be survey?
3. how should the sample be choosen?
4. when will the survey will be given?
Questionnaire
-Close Ended
-Open Ended
Close Ended
include all posibble answer, and subject make choices among them.
Open Ended
allow respondents to answer in their own words
Interpreting and Reporting the Findings
-draw conclusion and make recommendations.
-Finalize the research report in a written format.
-designing the research report presentation.
Types of Research
-Observational Research
-Survey Research
-Experimental Research
-Internet Research
Chaper5
marketing plan
a written plan that is used to guide an organization marketing activities for a period of
two year/less.
Importance
-provides a road map for all marketing activities of the firm for the next year.

-ensure the marketing activities are jn the agreement with the cooperate strategic plan.

-create a process to monitor actual against expected result.

Benefits
-activities matched with target market.
-consistency of objective and target market priorities.
-common term of reference.
-assistance in measuring marketing success.
-continuity in long term planning.
Requirements
-fact based
-organize and coordinated
-programmed
-budgeted
-flexible
-controllable
-internally consisted and interrelated
-clear and simple
Steps
1. Executive Summary
2. Corporate Connection
3. Environmental Analysis & Forecasting
4. Segmentation & Positioning
5. Next Year's Ibjectives and Quotas
6. Action Plans: Strategies & Tactics
7. Resources Needed to Support Strategies & Meet Objectives
8. Marketing Control
9. Presenting & Selling the Plan
10. Preparing For the Future