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marketing
A system of interrelated activities formulated to plan, price, promote and make available to consumers in a target market.
sales
Direct efforts to sell a property by personal sales calls, telecommunication and mailings.
marketing mix
combination of the four P's of marketing; product, place, promotion and price.
4 P's of marketing
product, place, price and promotion (controlled variables)
Product-Service Mix
guestroom, furnishings, decor, amenities, service features, structure/exterior, quality/name brand.
Place-Distribution Mix
travel agents, tour operators, salespeople, referral groups, reservation systems, direct sales
Promotional - Communication Mix
publicity, internal sales, media advertising, direct sales, public relations, word-of-mouth
Price - Rate Mix
room rates, menu pricing, amenity fees, beverage prices, discounts, commissions
Valley period
off-season, when demand is lowest
peak period
in-season, when demand is highest
shoulder period
time frame between a peak and a valley
uncontrollable variables
external factors such as a recession, energy crisis, natural disaster, weather conditions
Director of Marketing
Difference between DOM and DOS is that the DOM deals more with research and strategy and is concerned with identifying the needs and wants of consumers.
Director of Sales
carries out marketing strategies and directs the sales staff in finding solutions to consumers' problems.
Intangibility
selling the "use" of guest rooms or banquet space
Perishability
Lost business forever; used guest room, empty restaurant seat, unfilled tee-time
Inconsistency
service by an employee that varies greatly at different hotels
Inseparability
production and consumption happen at the same time. Guest comes to the hotel and services are consumed at the same time.
Environmental scanning
The study of trends. Keeping abreast of trends and acting on them before your competitor does.
Globalization
establishing an international presence to serve travelers abroad
Consolidation
the combination of two or more corporations to form one corporation.
Partnership marketing
Two or more firms, serving the same markets with non-competitive products joining together. Also known as developing strategic alliances and synergism marketing.
strategic alliances
like - kind alliances team up to increase their presence in the market.
niche marketing
designing, building and marketing products for a specific market segment.
ecotourism
tourism that promotes enjoyment of nature; may includes efforts to protect or preserve the visited region.
relationship marketing
Customers are assets. Retaining customers by nurturing and sustaining a relationship with them.
service guarantee
promise made to customers that they will be 100% satisfied.
marketing plan
a guide for marketing, sales, advertising, and promotional efforts.
Steps of a marketing plan:
conduct mkt audit, select profitable target mkts, position the property, establish objectives and action plans, monitor & evaluate the plan.
marketing audit
evaluation of a business, it's competition and the marketplace
marketing intelligence
information that has been analyzed, evaluated and formatted to help formulate plans and make decisions.
marketing information system
the people, the equipment and procedures involved in gathering and analyzing data to provide accurate info to marketing decision makers.
property analysis
evaluation of a business's facilities, services and programs to determine its strengths and weaknesses
occupancy and activity analysis
analysis of a property's past, present and potential operating statistics; part of the marketplace analysis.
competition analysis
evaluation of the business's competition to identify opportunities and unique selling points.
competitive set
properties in the area that sell to a similar market segments, with similar pricing and similar product and service.
differentiation
separating your property from those in your competition
fair share
number of rooms a hotel would sell if the demand were distributed based on the number of rooms in each property.
feeder city
city in which guests arrive from
guest mix
mixture of guests who stay at your property
market segementation
dividing the market into groups with similar needs, wants, backgrounds, incomes, buying habits
market share
number of room nights a property sells compared with the total number of room nights within a market area.
marketplace analysis
evaluation of environmental trends affecting a business. Such as changes in lifestyles, societal values, economic conditions and technology
positioning
the process of how consumers perceive the products and services offered by a hotel in relation to similar products/services by the competitor.
RevPAR
revenue per available room.
target markets
market segments with the greatest potential. marketing activities are aimed here.
zero-base budget
budget that starts at zero and forces planners to justify expenditures.