Marketing case analysis - Essay Example

Marketing case analysis Introduction There exist a number of marketing problems at Astor Lodge &suites, Inc. The problems includethe following the way media advertising dollars should be allocated. The lodge has a dilemma on whether the advertising money should be placed in vacation/pleasure traveler or business traveler market. The decision will be made based on the profitability that each provides to the lodge. The other marketing problem that exists is the decision as to whether the frontier strategy that initially existed should be carried forward to the following year.

The decision will be made based on the performance of the strategy in the previous year. The other decision to be made is on the promotion to be made. Previously, the lodge had a strategy whereby guests were given a free weekend, however, it is been proposed that the guests to be given a discount in one weekend in a month (Ali 13).BodyAccording to the research carried out in the hotel industry, most of the guests in hotels are business people. The business people go to lodges mainly for seminars that are meant to educate them on some trending issues in business.

The other business people are those who are travelling to a place that is far from home and they have to spend a night in a lodge. The research shows that the guests who visit for leisure are not many in number and they do not spend many days. In that case, the marketing dollars should be distributed between the two types of guests; however, most of it should be invested in business travelers. This is because they make the highest income to Astor lodge. The lodge should aim at its strong point before diverging its advertising to other centers.

The lodge can go into a deal with many corporate in such a way that they will be given discounts for any time they host a seminar or event at the lodge. That will ensure that the lodge gets frequent visitors especially if the service delivery is perfect (Ali 12).In terms of the frontier strategy, the plan is a perfect one. The company aims at increasing the time of stay and increasing first time visits. The time of stay can be increased by the guests if the lodge gives them a discount for an extra stay at the lodge.

That means that it will seem cheaper for the guests to spend an extra day at the lodge as opposed to cutting short their stay. The first time visits to the lodge can be increased if the lodge increases its marketing campaign. The marketing campaign should be aimed at ensuring that the customers encourage their friends to visit the lodge and that will lead to first time visits (Ali 7). The campaign strategy can be carried out by the use of the referral method. The referral method will ensure that the current customers inform their friends about the services offered at the lodge.

The company can also advertise the services offered by the lodge. That will ensure that a wide number of people will be aware of the services that the lodge offers. The other issue at hand is the issue of promotion. The best strategy for carrying out a promotion is whereby the guests are given one weekend in which they are given a discount. That will be less costly to the lodge as opposed to a free weekend, which is tentatively expensive. The discounted weekend is more efficient as compared to the free weekend offer.

The promotion should also be advertised through the various advertising Medias that include television and newspaper adverts. The offer will attract a number of people and that will lead to repeat visits.The strategies that are in place will face a number of setbacks. The lodge will face competition from other competitors and that means that the marketing strategy may not turn out to be as productive as intended. The company can overcome this challenge by ensuring that it lures more customers by taking advantage of the weaknesses of their competitors.

The other setback is the fact that the company will face a conflict between their profit-making motive and the promotion motive. The aim of the lodge is earn more profits; however, the promotion will cut down on the profit of the company. The company should carry out an analysis that should be aimed at setting equilibrium between promotions and profits.ConclusionIn conclusion, the lodge should continue with the frontier strategy. The strategy will pick momentum with time and it will turn out to be profitable to the business.

The business should also strike a balance between business and leisure traveler. That will help ensure that the lodge does not run out of business at whatever season. Work citedAli Almarzouqi. Astor Lodge and suites, inc. Strategic marketing. 2005. Print.