1. Use of the Figures to Facilitate Tutorials/Discussion
To assist you with the preparation of lectures, tutorials and student discussion, the figures from the book are available here as part of a PowerPoint presentation. Each slide is annotated with some ideas and guidance on the use of the material in lectures.
Chapter: 1 Introduction to Marketing
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2. Copyright 2004 Bowie & Buttle
Learning Outcomes
You should be able to:
·      Define key marketing terms and understand the “marketing concept”
·      Describe major environmental influences, which impact on hospitality customers and organizations
·      Explain the special characteristics of service businesses to which marketers must respond
·      Identify the eight elements of the hospitality marketing mix.
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3. Copyright 2004 Bowie & Buttle
What is marketing?
Write down what you think marketers do.
List the tasks for which you think marketers are responsible.
A good way to start your Introduction to Hospitality Marketing lecture is to ask students what they actually think marketing is all about.
For most people who have never studied marketing before, the answers are usually linked to “advertising,” “promotion” and “selling.” Obviousl marketing communications is an important and visible element of marketing, but the answer involves many more responsibilities including:
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4. Different Perspectives of Marketing
Marketing as transactions in the market place: satisfying needs and wants through the exchange process
Marketing as a management process
Marketing as the management of the marketing mix
Marketing as the management of demand
Marketing as a philosophy: the customer is king – a customer orientation
Relationship marketing: the development of mutually beneficial long-term relationships with customers
There are a variety of different definitions and quotes you can use to introduce students to marketing – see the “Marketing Insight” on page 8.
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5. Fig 1.1 The hierarchy of customer value
This diagram introduces students to the concept of a competitive environment, developing competitive advantage and “delighting the customer.”
The basic level delivers the core product but is unlikely to generate repeat and recommended sales.
The expected level gives customers what they expect, but no more. Again there is no incentive to return.
The desirable level provides a marketing offer which is superior to most competitors because the hospitality organization is delivering the desirable attributes customers like, but do not always get.
The unanticipated level means that companies are delivering more than what customers expect – and the experience is exceptional.
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6. Management Orientations
The key point to emphasise is that many hospitality companies, especially the smaller ones, do not know what their management orientation is!
Unfortunately many hospitality organizations are “sales-led” because of the need to drive revenue, even if incompatible markets are mixed.
The marketing concept is based upon either a marketing orientation or a societal marketing orientation.
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7. Environmental influences on hospitality organizations
This slide introduces the macro-environment (PESTE ) and the microenvironment.
Macro forces cannot be controlled by an hospitality organization; the micro-environment can be controlled.
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8. Typical hotel industry cycle
Almost all hotel/hospitality companies respond to the economic cycle, although the actual room occupancy statistics vary according to the location and market sector.
A serious problem for the industry is that development projects are funded at the top of the cycle, and open just as the decline/trough period sets in – creating additional capacity, as demand falls.
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9. The hospitality marketing mix
The key difference which this hospitality marketing mix puts forward is the separation of “place” into location and distribution. Students often confuse the dual role and nomenclature of “place” – we hope that this approach will be simpler for students to understand.
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10. Marketing before, during & after the encounter
Pre-encounter
Encounter
Post-encounter
Product/service offer x
Location
Price
Distribution
Marketing communications
Physical environment
Process
People
This figure summarizes the marketing mix used to influence demand and build customer relationships at different times – before the customer visits the property (pre-encounter mix); at the point of sale (during the encounter); and after the customer has left (post-encounter).
Copyright 2004 Bowie & Buttle
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