the heathrow windsor marriott hotel - marketing...
TRANSCRIPT
The Heathrow Windsor Marriott
Hotel
Bacconnet Elodie
Dubreuil Sophie
Corbet Lucie
Panagiotidou Sofia
Main Challenge: improve the
“product” with entertainment
• The Heathrow Windsor Marriott Hotel is a
luxurious four stars hotel located in Slough (in
the south-east of London).
•It has got 382 bedrooms and 10 conference
rooms.
•150 employees work there.
Room with two
double beds
Leisure club Central brewery Internal swimming pool Windsor Boardroom
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1.2: Market Analysis
• The hotel is more affected by the Economical and the Social environments
because it is directly linked to the customers. If the customers have less money
because of the crisis, then it affects the hotel because they lose their clients. And
if the trends change and the clients do not want to come to the hotel anymore, it
will of course affect the hotel.
• See Annex n°1
In 2010, we believe the level of competitiveness is quite high, which
means that the market is quite competitive.
See Annex n°2 (two slides)
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The direct competitors form a real threat:
• Hotel market: Other luxury hotels
• Leisure market: spa, fitness clubs
• Bar market: other bars
• Restaurant market: other restaurants
• Event market: conference rooms, companies that organise events for
individual and businesses…
See Annex n°3 (two slides)
Why is the Heathrow Windsor Marriott Hotel successful :
• The location
• Quality of the services
• Their leitmotiv is to take care of their guests.
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• 2 types of customers: the individuals and the companies
Thanks to its range of products, all customers can come to this hotel without the same
expectations.
Offer for every kind of customers: families, business men, hotel for short stay and
hotel for long stay, etc.
See Annex n°4
1.5: Price, Promotion, Service
Marketing offer:
• high prices Marriott is a luxurious hotel.
• several pricing formula: only one room for a night, for a week, for the whole family with
breakfast.
Marketing promotion: they invite people to the hotel for events and they give out some
vouchers to do activities in the hotel. (drink, dinner, membership, accommodation…)
Service Marketing Elements: an atmosphere very friendly: people always call each other by
their first name and each year an associate week is organised. This hotel is closed to many
touristic places and transports (Winsor, airport, London...).
See Annex n°5 (two slides) 5
Not really present worldwide, Marriott benefits a very good brand image in the
English-speaking countries. Thanks to the well-known quality of its services, the
Marriott brand can take advantage of the booming travel and tourism industry.
The friendly atmosphere among the staff contributes in developing very good and
close relationships to its clients. Eventually, the very well location of the Heathrow
Windsor Marriott Hotel is the biggest strength of the company. On the other side,
Marriott Hotel could be threatened by the expansion of low cost brands which
practice competitive prices.
See Annex n°4
1.7: Positioning
To reach our targeted audience (business men during the week and families during
the week-end and holidays), Marriott should really take advantage of its location
which brings the brand the best opportunity to be competitive on the market.
See Annex n°5 (two slides)
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Report of Sophie
The website of the company:
https://www.marriott.fr/reservation/guestInfo.mi
Forum about the strengths, weaknesses of the Marriott brand and about
the opportunities and threats of the market:
http://malaysia.answers.yahoo.com/question/index?qid=20090908
002222AA2whKm
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In 2011 we are going to develop a new service which will be to create events in the
evening for people who are alone and who are bored in their rooms (service
development strategy).
2.2: Desired market segmentation
2.3: Goals of the company for 2011
In the week our target is mainly business men who stay at the hotel for conferences.
On the weekend our targets are also families and people who visit the area.
During the summer, the target can be customers of the park and fly packages.
We are willing to reach more clients by enhancing the promotion of the Hotel
thanks to direct marketing.
Our second goal is to improve the level of satisfaction of our customers by
making customers survey.
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Because of its strong brand image, Marriott cannot take the risk of tarnishing its
famous reputation. That’s why the executive management has to measure deeply
each of their plans before launching it.
Our objectives consist in developing our offer by deepening the quality of the
existing services. Then, we are willing to understand better our clients to exactly
match their expectations and gain a higher level of confidence. We want to reinforce
our brand image by endorsing the promotion of our Hotel.
See Annex N°6
2.5: Position
To overcome the gap and reach the position where the management plans to be next
year, we want to improve the quality of our services by diversifying our range of
activities in order to increase our customers’ satisfaction. For that, we are going to
endorse our good location next to the airport and the Slough Trading Estate.
See Annex n°5 (two slides)
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The average price for one night is 120€
There are 380 rooms in the hotel and 360 days a year
If only 1.5 % of the budget is generated by our new service, it represents:
120 x (380 x 1.5%) x 360 = 246 240€
We estimate our sales forecast for next year to an amount of 246 240€, which
makes sense for us.
3.1: Main cooperative bodies
• Cater: Ragamama
• Theatre: The Royal court Theatre
• Concert hall: O2 arena
• Opera: Bel Canto
• Music, Artist: Virgin active Slough
See Annex N°7
3.2: Retaining marketing activities
• Christmas Parties
• Wimbledon lunch
• Ladies Ascot Breakfast
• Hoppa Bus
• Henley Regatta
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We want to provide evening events with the possibility of having dinner at the
same time. Customers have to book their table in advance if they want to
participate.
The shows’ prices are included but not the dinners’ prices.
The program will be available on the website from every Sunday for the next
week.
The shows will take place on Tuesday, Thursday and Saturday evenings.
There will be different kind of shows with comedians, singers, magicians,
contortionist, illusionist....
Theme evenings could be organized according to different dates like Chinese new
year, Christmas, sport events or Olympic games of 2012...
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3.4.1: PR (event): we will invite the representatives of companies to the first show,
which are used to organising conferences (for several days) at the hotel and the
companies we would like to attract in order to show them our new service.
We will make the first show for the Queen’s Birthday on April the 21st. The theme
will be an opera.
During the show the guests will have the possibility to have dinner for free and the
sales team will take part to this event to provide information about the hotel,
conferences, shows...
3.4.2: Sales promotion: to introduce this service to the current customers, we will use
the Chinese new year. Indeed we will give them Chinese cakes in which they will
find voucher or invitations for shows available for the next time they will come at
the hotel.
Example: free dinner and drink... It will be a Chinese dinner provided by the cater
Ragamama (Asian food specialist).
3.4.3: Advertising: we will give out brochures and put some pictures on the
website of the company and short extracts of the shows by video. We will also put
posters around the hotel.
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3.6: Management plan
Two people of the event team will be responsible of this project in order to be
more efficient. We will train all employees by doing a meeting to explain the
concept, the objectives and the target of this new activity. About location, it will be in
the Buckingham suite because it’s the biggest of the hotel and it can be adapted
according to the number of spectators.
What? When?Who is
responsible?How much? Comments
1. PR 21.04.2011 Event team 8 000€Queen’s
birthday
2. Sales
promotion
12.01.
2010
02.04.
2011
Marketing
department
(managers)
6 000€Chinese new
year event
3. Advertising30.04.
2011
30.09.
2011Advert. agency 3 000€
Location in the
hotel (website
also)
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In the second part, we have seen that thanks to our new service, we can earn
246 240€ per year.
So if we take 8% of our yearly sales forecast to realize our project, it represents:
246 240 x 8% = 19 700€
We can distribute a part of this budget to each expenses:
Resources Expenses
Cooperative bodies 8% (1576€)Marketing
promotion88% (17 336€)
Capital/ Loan 92% (18 124€) Marketing research 2% (394€)
Non-allocated
funds10% (1970€)
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4.2: Control tools
4.3: Control by Milestones
The team could do surveys in order to check the satisfaction of the customers
about the shows (what do they want to improve?).
We could use some figures measuring the percentage of people present at the show
compared with the total number of clients present in the hotel.
The project must be checked by event managers and sales managers of the
company. They can discuss it during the weekly meeting of marketing and sales
departments (every Friday morning).
The interesting dates are :
Wimbledon
Ascot
Christmas
Henley Regatta
Chinese New year
Queen’s birthday
Valentine’s day
Mother’s and father’s day
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Thanks for your attention to
our presentation
The Buckingham Suite
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1.Environmental analysis
Political: The hotel evolves in an international context because Marriott is a
worldwide company.
Economical: It’s a luxurious hotel that’s why all people can’t go in this kind of hotel
and with the financial crisis, people have less money even business man or current
customers can take the decision not to come again.
Social: Business men, pilots, air hostesses, etc. like staying in luxurious hotels. This
kind of hotel doesn’t have a large target. It’s only people who have a lot of money
who can pay for this quality of service.
Technological: The hotel offers a certain level of technologies to their customers.
They have the opportunity to have in the hotel 20 meetings rooms with Wireless
Internet, audiovisual & videoconferencing, full business services, computers, printers
and so one. The level of services is very high and there is a large choice: Copy, fax,
Messenger, Secretarial service, Translator and a lot of equipment.
Ecological: rules linked to ecology are imposed: to recycle the garbage, to save
energy.
Legal: Rules about security and safety
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On which markets is the hotel?
•Hotel Business: Of course the Heathrow Windsor Marriott Hotel is first of
all hotels;
•Restaurant Business: The hotel has got a restaurant;
•Bar Business: There is a bar
•Event Business: Events can be organized at the hotel (for individuals and
for companies);
•Leisure Business: There is a leisure club with a fitness club, a sauna, steam
rooms, solarium and a beauty center;
Porter’s Five Forces Model Grade (1 to 10) Weight out of 1.0 Result out of 10
Barriers of entry and exit 7 0.4 2.8
Substitutes 4 0.1 0.4
Bargaining power of
customers7 0.4 2.8
Bargaining power of
suppliers5 0.2 1.0
Level of market
competitiveness1.0 7
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Barriers of entry and exit: 7/10
It is quite difficult to enter on the sector of luxurious hotels, there are a lot of rules to respect and the
image of the four or five stars hotels are very strong that’s why it’s hard to build a strong brand
image at the entry on this market.
Substitutes: 4/10
If we consider the hotel business in general, we could say that substitutes to the hotels are camping,
youth hostels etc. but these are not really a threat to luxurious hotels because they don’t target the
same clients.
Bargaining power of customers: 7/10
Customers have a strong bargaining power, indeed they are the base of the hotel’s image. If there
is no client, there is no hotel anymore.
Bargaining power of suppliers: 5/10
If it doesn’t work with a supplier, the hotel can easily decide to take another one. But in the other
hand, it is quite complicated to change of suppliers, because you have to find someone that you
can trust. In the luxury business you can’t take the risk to have suppliers which don’t do their work
correctly.
Level of market competitiveness: 7.0/10
According to the chart above, we see that the level of market competitiveness is 7.0. Indeed, it is
quite high because even if there are almost no substitutes to a luxurious hotel, it is balanced by the
fact that the bargaining power of the customers is high.
The level of competitiveness is 7.0/10, indeed the bargaining power of customers and the barriers
at the entry and at the exit are quite high and the threat concerning the substitutes and the
bargaining power of suppliers are quite low.
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The five main direct competitors of the Heathrow Windsor Marriott Hotel are:
Competitors Description
Beaumont Estate
It is a four stars hotel located in Old Windsor (1.9 miles away from
our hotel). It is a countryside hotel with a very nice park. They have
a wonderful reception room called “The Chapel”.
Pinewood Hotel
It is a four stars hotel located in Wexham which is 3.2 miles away
from our hotel. It is a countryside hotel with a nice park. But it is
quite small.
Copthorne Hotel
Slough Windsor
It is a four stars hotel located in Slough, 6.2 miles away from our
hotel. A lot of companies organise conferences there. (proximity
with the Slough Trading Estate)
Sheraton Heathrow
Hotel
It is a four stars hotel. It is one of the Heathrow hotels. It is 4.1
miles away from our hotel. They have a lot of clients because the
Airport is not far away from there. 20
Indirect competitors
•Hotel: it can be chain of budget hotels . In fact this kind of hotel purpose a
room for a night but it’s not the same quality and service.
i.e.: holiday inn, accord, Hilton,
•Restaurant: it can be all other places which make food: other restaurants
without the same level of quality and service or fast food, pizzeria and so
on.
•Event: we can find in this category: nightclubs which offer regularly theme
night or promotion for some events in the year (Halloween, Christmas,
national Day, new year…)
•Leisure: It can be the manufacturers of sport equipment.
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To follow you can see different positioning (part1, point 7) depending on
location, quality of services and diversity of services. On the same graphic you
find also positions linked by the point 5 in the second part.
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Between the 3 graphics,
this one is the most
important . That’s why
we have decided to
concentrate our efforts
on these points (location
and diversity of
services) and to reach
the ideal point.
Back1
Back 2
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Strengths Weaknesses
Opportunitie
s
Thanks to its good location near the airport and the Slough
Trading Estate, the Heathrow Windsor Marriott Hotel attracts lots
and divers clients.
Their big range of services allows them to reach several types of
clients. Moreover, they do not depend on one market as their
activity is divided in many segments.
The fact that the staff is very friendly and close to the customers
is an advantage as it allows the management team to understand
better the clients’ needs and thus to adapt the offer to their
expectations.
The absence of low cost
brands in the group allows
Marriot Hotels to have a
strong image of quality.
Threats
The location of the hotel makes the competition higher as several
other famous hotel brands are settled in the same area.
The Marriott brand inspires so much confidence that they hardly
can fail or make a mistake; otherwise it will destroy their
reputation. They always have to be at the top…
Too many services can tarnish their reputation if they only focus
on the quantity and not the quality.
In case of economic crisis,
people tend to save money
and choose rather low cost
hotels.
Marketing objectives :
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Questionnaire to Katie Lahlou, sales manager of the Heathrow
Windsor Marriott Hotel.
Do you think that our project is achievable?
Answer:
Well, I think this would be a great idea , insofar the hotel already
organizes big events especially for companies. So it can be interesting to
develop our offer in this way
Which companies would you collaborate with?
Answer:
As we often work with Ragamama, we know the quality of the services
they offer and I think that it could be interesting to work with them on
this project in order to take benefit of their experience.
But also I believe that O2 would be a good partner as the project is
about concerts.
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