Essay: Marketing

One definition of marketing is given by Hayes and Miller (2011, p.209) referring to it as the exchange process of services or products between the provider and the customer or buyer.
Important aspects related to the marketing activity are represented by the four Ps: product, price, place and promotion.
The product, in the case of hotels, it is represented by services, intangible products.
There are several differences between marketing a hotel and marketing other products or services. Therefore, according to McCabe (2009, p.9-12), marketing communications in the hotel industry are affected by the ‘products’ special features: intangible, perishable, inseparable and heterogeneous.
This leads to a different marketing approach, where the word-of-mouth plays an important role in the decision-making process of the potential customers. Also, the loyalty of customers towards a certain brand is determined in a great manner by their own personality and motivations.
The price refers to the offered rates for different types of rooms at a certain moment.
The place, in the hotel industry, refers to the hotel’s location and to the distribution channels on the same property. The distribution channels represent the mean used by the hotel to promote its services and special prices to the potential buyers (Hayes and Miller, 2011, p. 260).
Promotion is one of the most important processes which is used to communicate the offer to the potential customers. (Hayes and Miller, 2011, p.209)
According to a study published by American Express in 1994, Europe was ranked as the foremost business travel market in the world, taking over the United States and Asia. At that time, the results showed that there were more than 94 million people in the private sector workforce, recording an annual travel expenditure of $141 billion, which was 2.5 % of the GDP. From the total European travel expenditure, 31% was spent abroad. The countries with the highest expenditure abroad were Sweden (60%), followed by Switzerland (50%) and Belgium (44%). The largest sectors in travel, classified by expenditure, were air fares (26%), hotels (20%) and motor fuel (19%) (Seaton and Bennett, 2001, p. 318-320).
3.2. Competitive marketing strategies
In the hospitality industry, the performance of hotels may vary depending to the period of the year, to the pricing strategy of the competitors or to other different factors. The combination of a hotel’s reputation, brand, age, location, the skills of the employees and the Revenue Management department’s strategy may lead to high prices, higher occupancy rates than usual and, even more, to a high occupancy.
Nonetheless, most of the hotels increase prices during special events when a specific location is very much looked for and it is obvious that the occupancy rate will be extremely high. On the other hand, when the occupancy is extremely low, it is preferable to reduce the rates or to create special offers.

Source: Essay UK -

Not what you're looking for?

Search our thousands of essays:


About this resource

This Marketing essay was submitted to us by a student in order to help you with your studies.

  • Order a custom essay
  • Print this page
  • Search again

Word count:

This page has approximately words.



If you use part of this page in your own work, you need to provide a citation, as follows:

Essay UK, Essay: Marketing. Available from: <> [24-03-18].

More information:

If you are the original author of this content and no longer wish to have it published on our website then please click on the link below to request removal:

Essay and dissertation help

Latest essays in this category:

Our free essays: