Hrt 302 Chapter 1

Front 1

Marketing Mix
Traditional consists of:

Back 1

Price
Product
Place
Promotion

Front 2

Marketing Mix
Hospitality consists of:

Back 2

Product-service mix
Presentation mix
Communications mix
Distribution mix (?)

Front 3

Traditional Marketing Mix
Price

Back 3

The value that a company places on its products and services

Front 4

Traditional Marketing Mix
Product

Back 4

The unique combination of goods and services offered by a company to consumers

includes both the tangible and intangible elements of the product

Front 5

Traditional Marketing Mix
Place

Back 5

The manner in which the products and services are being delivered to consumers

Involves decisions related to the location of facilities and the
use of intermediaries

Includes the decision regarding customer involvement in the production process

Front 6

Traditional Marketing Mix
Promotion

Back 6

The methods used to communicate with consumer markets

Includes advertising, personal selling, sales promotions (e.g. coupons, rebates, and contests) and publicity

Front 7

Hospitality Marketing Mix
Product-Service Mix

Back 7

Bundle of goods and services offered by a hospitality organization

Includes both tangibles and intangibles

Front 8

Hospitality Marketing Mix
Presentation Mix

Back 8

Elements used to increase the tangibility of the product service mix for the customer (value, benefits, etc.)

Front 9

Hospitality Marketing Mix
Communications Mix

Back 9

All communication between the hospitality organization and the customer (two-way)

Includes advertising, promotion, market research, consumer feedback, etc.

e.g., Marriott spots; Marriott dancing

Front 10

Hospitality Marketing Mix
Distribution Mix

Back 10

All channels available for product and service distribution between the firm and the target market

Front 11

What are the External Environments

Back 11

Social, Political, Economic, Competitive, Technological

Front 12

Environmental Scanning is used to:

Back 12

to monitor factors in the external environments that could affect a hospitality organization, its products and its target market

The larger the firm, the more likely it will have a structured approach to scanning the environment and documenting trends

Opportunities

Threats

Front 13

Economic
Purchasing Power

Back 13

Ability to purchase products and services
Directly related to the economic health of the target market in a city, state, and county

Front 14

Economic
Disposable Income

Back 14

portion of an individual’s income that is left for spending after required deductions such as taxes

Front 15

Economic
Discretionary Income

Back 15

income that is available for spending after deducting taxes and necessary expenditures on housing, food, basic clothing, etc.

Front 16

Economic
Consumer Price Index (CPI)

Back 16

Measure of the relative level of prices for consumer goods in the economy

Front 17

Social
Demographics

Back 17

characteristics that describe a population, such as age, income, education, occupation, family size, marital status, and gender

Front 18

Competitive
Competitive Structure

Back 18

combination of buyers and sellers in a market

Front 19

Competitive
Monopoly

Back 19

one seller and many buyers

Front 20

Competitive
Perfect Competition

Back 20

many buyers and sellers of homogeneous products that are almost exactly the same

Front 21

Competitive
Oligopolies

Back 21

a few sellers and many buyers; most common form

Front 22

Competitive
Monopolistic Competition

Back 22

many buyers and sellers with differentiated products

Front 23

Competitive
Elasticity of Demand

Back 23

As price decreases expressed demand increases

Elasticity is more of a factor as competition increases

Front 24

Competitive
Product Form Competition

Back 24

companies that provide similar products and services to the same customers at a similar price level (i.e.; luxury hotel brands)

Front 25

Competitive
Product Class/Category Competition

Back 25

companies that offer the same class of products (i.e.; all quick service brands)

Front 26

Competitive
General Competition

Back 26

companies that offer the same basic service that fulfills the same basic consumer needs (i.e.; transportation).

Front 27

Competitive
Budget Competition

Back 27

companies that compete for consumers’ disposable incomes, especially the discretionary income (hospitality, entertainment, tuition).

Front 28

Technological
Direct Marketing

Back 28

contacting consumers at home or at work with promotional offers

Front 29

Technological
Database Software

Back 29

target customers and track their behavior

Front 30

Marketing Within the Organization

Back 30

target customers and track their behavior


Not only should hospitality firms factor the various elements in the external environment, but also it should engage the effort from all department.
Internal marketing involves all departments of a firm, including operation department, finance, human resource, and R&D department.

Front 31

Marketing within the Organization
Operations

Back 31

Day to day activities
Service excellence
Delivering on the promise
Creating the experience

Front 32

Marketing Within the Organization
Finance

Back 32

Asset management
Cash flow
Working capital
Funding product development and marketing activities

Front 33

Marketing Within the Organization
Human Resource Management

Back 33

Recruiting and selecting employees
Training and orientation
Professional development
Employee satisfaction/turnover

Front 34

Marketing Within the Organization
Research and Development

Back 34

Market research
Monitor Operations
Develop new products
Adjust existing products
Monitor customer satisfaction

Front 35

The Marketing Management Cycle
Planning

Back 35

Perform a situation analysis, set goals and objectives, devise strategies and action plans
Where are we now?
Where do we want to go?
How will we get there?

Front 36

The Marketing Management Cycle
Execution

Back 36

Implement action plans developed during the planning process
Advertising, promotion, publicity
Direct marketing
Service training for employees

Front 37

The Marketing Management Cycle
Evaluation

Back 37

Monitor and control the elements of the marketing plan

Effectiveness

Efficiency

Marketing information system
Computer systems used to store and organize data for use in decision making

Marketing research
Process used to collect information about consumers, target markets and competitors