Basic Marketing Concepts Unit Essential Question What is

Basic Marketing Concepts

Unit Essential Question What is Hospitality Marketing?

Essential Question 1 What functions are involved in the marketing process?

Marketing is. . . F The process of developing, promoting, and distributing products in order to satisfy customers needs and wants as well as the company involved. F Products – Goods – Services

The Marketing Mix FProduct FPlace FPrice FPromotion FPeople 5 P ’s of M ark eti ng

Functions of Marketing F Marketing Information Management - Gathering, recording, analyzing, and disseminating information to aid in making marketing decisions.

Functions of Marketing F Financing – Determining the need for and availability of financial resources to aid in marketing activities and stay in business.

Functions of Marketing F Pricing – The determination of an exchange price at which the buyer and seller perceive optimum value for a good or service.

Functions of Marketing F Promotion – Communicates information about products, services, images, or ideas to customers or clients to influence their purchase behavior.

Functions of Marketing F Product/Service Management – The process of creating a product in response to market opportunities. – Managing marketing activities to optimize the relationships of potential loss to gain.

Functions of Marketing F Distribution – The physical movement of a good or service. – Deciding where and to what extent to sell a good or service.

Functions of Marketing F Selling – Responding to consumers needs and wants through planned, personalized communications intended to influence purchase decisions.

Essential Question 2 What competitive techniques are used in hotel marketing?

Target Marketing F Focuses all marketing decisions on the specific group of people who share similar characteristics you want to reach.

Target Marketing F Understanding the Customer – In order to compete, a lodging establishment must know what its customers want. Demographics – Statistics that describe a population in terms of personal characteristics. These include age, gender, income, ethnic background, education, etc.

Target Marketing F Services With A Smile Service Marketing – Providing intangible products. – Hotels, restaurants, and airlines conduct extensive training to motivate employees to provide exemplary levels of service.

Plugged-in Hotels Amenities – Services or items offered to guests for convenience and comfort. – Some amenities include:

Essential Question 3 Why is travel and tourism critical to the U. S. economy?

The Financial Impact of Travel and Tourism F Travel and Tourism is the largest services export industry in the nation. F Travel and Tourism is the second largest industry in the state of Georgia.

The Financial Impact of Travel and Tourism F $582 billion annually is spent on travel and tourism. F The industry employs over 18 million Americans. F $159 billion in payroll income annually is generated.

The Financial Impact of Travel and Tourism F Besides the direct impact to restaurants and hotels, travel and tourism indirectly impacts: – Shopping – Entertainment – Airplane manufactures – Kitchen and maintenance suppliers and manufactures – Software developers – Many others

The Financial Impact of Travel and Tourism F Growth In Travel and Tourism Domestic Travel – Travel within a country by its own citizens. – Impact of travel: u. U. S. travelers spend $81. 4 billion abroad. u. Foreign travelers spend $95. 6 billion in the U. S. u. This results in a 14. 2 billion travel trade surplus.

The Financial Impact of Travel and Tourism F Travel and tourism creates and supports jobs; provides a travel trade surplus; and generates tax local, state and federal tax revenue.

The Nature of the Hospitality Marketing Industry F Management Opportunities – General managers – Front office managers – Executive housekeepers – Food and beverage managers – Sales directors – Human resource managers – Operations managers – Financial managers

Essential Question 4 What are the differences between the front-of-the-house and the back-of-the-house operations in a hotel or restaurant?

The Nature of the Hospitality Marketing Industry FA House Divided – A typical restaurant or hotel has two divisions: Front of the House – Involves any area in which the general public or hotel guest has access. Back of the House – Those areas not usually seen or frequented by a guest or patron.

The Nature of the Hospitality Marketing Industry F Departments in the front and back of the house are interdependent. F Both must function properly while at the same time assisting each other to ensure the success of the business.