Summery Marketing for hospitality and tourism
1 Introduction: marketing for hospitality and Tourism
1.1 Your passport to success
Today’s marketing isn’t simply a business function: It’s a philosophy, a way of thinking, and a
way of structuring your business and your mind. The role of marketing is to attract customers by
setting expectations. It should not fool customers by setting the expectations too high and should ensure
that the company’s image is never damaged. Marketing should motivate purchase and fulfill needs of
customers.
Goal of marketing To provide real value to targeted customers, motivate purchase and fulfil
customer needs.
1.2 Customer orientation
The purpose of a business Create and maintain satisfied, profitable customers.
Hospitality focus VS profit focus Hospitality focus is when the business goal is to satisfy the
customer while the customer is paying a fair price for the product that leads to profits for the business.
Profit focus is only based on gaining profits and conduct negative reactions from customers
1.3 What is hospitality and Tourism Marketing?
Marketing mix A set of marketing tools that work together to produce satisfied customers Four P’s:
Product, Price, Place (Distribution) and Promotion. Marketing also includes research, information systems
and planning. The aim of the marketing mix is to know and understand customers so well that the product
or service fits them and sells it.
1.3.1 Marketing in the hospitality industry
Hospitality industry Businesses that offer one or more of the following services: accommodation,
prepared food and beverage and entertainment.
Hospitality Marketing The art and science of finding, retaining and growing profitable customers.
Promoting the products or services from the business does this.
1.3.1 Marketing in the tourism industry
Tourism Marketing (not the definition but characteristics) Successful marketing is dependent on the
entire travel industry, government agencies play important roles in travel industry marketing through
legislation aimed at enhancing the industry and through promotions of regions, and nations.
1.4 The marketing process:
1. Understand the marketplace and customers’ needs and wants
2. Design a customer-driven marketing strategy
3. Construct an integrated marketing program that delivers superior value
4. Build profitable relationships and create customer delight
5. Capture value from customers to create profits and customer equity
View illustration on next page
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, 1.5 Marketing process
2.5.1 Step 1. Understanding the marketplace and customer needs
Five core customer and marketplace concepts:
1. Customer needs, wants and demands:
Understanding customer’s needs, wants and demands in detail provides important input for designing
marketing strategies.
(Human) Needs this is the basic physical need for example food, safety or belonging.
Human) Wants are how people communicate their needs. People have almost unlimited
wants, but limited resources, they choose products that produce the most satisfaction for their
money.
Demands When backed by buying power, wants become demands.
2. Marketing offerings (Tangible products, services and experiences):
A marketing offering a product that is some combination of tangible, services, information or
experiential products components. In the hospitality industry, the intangible products including
customer service and experiences are more important than the tangible products.
3. Customer value and satisfaction:
Customer value the difference between the benefits that the customer gains from owning
and/or using a product and the costs of obtaining the product. One of the biggest nonmonetary
costs for hospitality customers is time.
Customer expectations based on past buying experiences, the opinions of friends and
market information. If a company manages to meet or exceed the expectations, the result is
customer satisfaction.
4. Exchanges and relationships:
But first of all, the company should attract customers to arrange exchanges of resources The
act of obtaining a desired object from someone by offering something in return. A relationship is
not based on transactions only.
5. Markets
The collection of transactions creates a market A set of potential and actual buyers that share
a common interest.
2|Page
1 Introduction: marketing for hospitality and Tourism
1.1 Your passport to success
Today’s marketing isn’t simply a business function: It’s a philosophy, a way of thinking, and a
way of structuring your business and your mind. The role of marketing is to attract customers by
setting expectations. It should not fool customers by setting the expectations too high and should ensure
that the company’s image is never damaged. Marketing should motivate purchase and fulfill needs of
customers.
Goal of marketing To provide real value to targeted customers, motivate purchase and fulfil
customer needs.
1.2 Customer orientation
The purpose of a business Create and maintain satisfied, profitable customers.
Hospitality focus VS profit focus Hospitality focus is when the business goal is to satisfy the
customer while the customer is paying a fair price for the product that leads to profits for the business.
Profit focus is only based on gaining profits and conduct negative reactions from customers
1.3 What is hospitality and Tourism Marketing?
Marketing mix A set of marketing tools that work together to produce satisfied customers Four P’s:
Product, Price, Place (Distribution) and Promotion. Marketing also includes research, information systems
and planning. The aim of the marketing mix is to know and understand customers so well that the product
or service fits them and sells it.
1.3.1 Marketing in the hospitality industry
Hospitality industry Businesses that offer one or more of the following services: accommodation,
prepared food and beverage and entertainment.
Hospitality Marketing The art and science of finding, retaining and growing profitable customers.
Promoting the products or services from the business does this.
1.3.1 Marketing in the tourism industry
Tourism Marketing (not the definition but characteristics) Successful marketing is dependent on the
entire travel industry, government agencies play important roles in travel industry marketing through
legislation aimed at enhancing the industry and through promotions of regions, and nations.
1.4 The marketing process:
1. Understand the marketplace and customers’ needs and wants
2. Design a customer-driven marketing strategy
3. Construct an integrated marketing program that delivers superior value
4. Build profitable relationships and create customer delight
5. Capture value from customers to create profits and customer equity
View illustration on next page
1|Page
, 1.5 Marketing process
2.5.1 Step 1. Understanding the marketplace and customer needs
Five core customer and marketplace concepts:
1. Customer needs, wants and demands:
Understanding customer’s needs, wants and demands in detail provides important input for designing
marketing strategies.
(Human) Needs this is the basic physical need for example food, safety or belonging.
Human) Wants are how people communicate their needs. People have almost unlimited
wants, but limited resources, they choose products that produce the most satisfaction for their
money.
Demands When backed by buying power, wants become demands.
2. Marketing offerings (Tangible products, services and experiences):
A marketing offering a product that is some combination of tangible, services, information or
experiential products components. In the hospitality industry, the intangible products including
customer service and experiences are more important than the tangible products.
3. Customer value and satisfaction:
Customer value the difference between the benefits that the customer gains from owning
and/or using a product and the costs of obtaining the product. One of the biggest nonmonetary
costs for hospitality customers is time.
Customer expectations based on past buying experiences, the opinions of friends and
market information. If a company manages to meet or exceed the expectations, the result is
customer satisfaction.
4. Exchanges and relationships:
But first of all, the company should attract customers to arrange exchanges of resources The
act of obtaining a desired object from someone by offering something in return. A relationship is
not based on transactions only.
5. Markets
The collection of transactions creates a market A set of potential and actual buyers that share
a common interest.
2|Page
