Hospitality Strategic Marketing - Assignment Example

1. Marketing research is the systematic design, collection, interpretation and reporting of information used to help marketers solve specific marketing problems (Strydom 2004: 86). The following research questions would be used to advise a colleague who has decided to open a bakery. Questions you want to be answered Primary or secondary data Data collection method How big is the population? Secondary data Demographic What is the distance between residents? Primary Survey What is their mode of transport? Primary Survey What is the structure of their families? Primary Demographic What is the level of their income? Primary Demographic What is the level of their education? Primary Demographic What is their marital status? Primary Demographic What is the age group of targeted customers? Primary Demographic What is their consumption pattern of confectionary products? Both Survey and case studies What is their staple or favourite food? Both Survey What is their religion? Primary Demographic Who are the competitors? Secondary Survey and case studies What products are offered by the competitors? Both Survey What are the distribution channels of products are available? primary Survey What are the strengths of the competitors? Both Case study& survey How reliable are the distribution channels? Primary Survey What factors determine the prices? Both Tastes Are the raw materials readily available? Both Survey What are the costs of production? Primary Survey Do the customers buy that idea of desserts? Primary Questionnaire Is there any substitute of the dessert? Primary Taste test Who are the targeted customers? Primary Survey 2. In order to be able to successfully penetrate the market, she has to portray a unique and positive image to the customers so as to be better positioned to make a clear distinction between her bakery and the other competitors such as Starbucks and Au Bon Pain. Given that these competitors do offer the baked sweet goods, they however do not specialise in them which is one competitive advantage to her bakery. More importantly, she has to show the uniqueness of the product such that they would appeal to all the age groups living within the surrounding residential area. Dessert can be seen as something that is minor but the way it is presented to the potential customers will make a big change if properly marketed. The positioning of the bakery is very strategic it will be located in Thayer Street which is mainly comprised of pedestrians who live in the trendy neighbourhood on the East side of Providence where the residents are generally wealthy. Given that the other competitors do not specialise in this product, she can capitalise on this advantage given that there are likely chances of getting buyers from the overally wealthy residents who live nearby. The residents in the neighbourhood are predominantly wealthy year round residents as well as students from Brown University and Rhode Island School of design. Indeed, dessert can be seen as luxury but in most cases, wealthy people are fascinated by flashy and unique things that can also be used to serve the purpose of asserting their status in society. When launching a product, the most important thing to consider is that the new item in the market has to be unique and it also has to appeal to a wide number of people. Since this is a new product in the market, it is likely to appeal to a number of potential customers if the image and message are clear to the customers. She has to communicate the benefits that can be derived from consumption of the product. 3. Strydom (2004), defines segmentation as the division of a heterogeneous market into fairly homogeneous subsets or segments of customers who normally have similar needs and likely to respond in a similar way to the market offering. Basically, geo-demographic segmentation converges geography and demographics of a particular group of people in an identifiable area. In most cases, people who live in the same area are assumed to have similar socioeconomic characteristics. In some instances, they use similar transport and shopping options hence they tend to live together in an identifiable geographical area. There are various segmentation variables such as age, gender, lifestyle, and geography and these are used as yardsticks upon which different products are developed on the premise that people with similar interests and income levels tend to live in the same areas hence it would be easier to reach them. Against this background, it can be seen that McDonald’s success story as the world’s largest fast food chain serving more than 40 million customers daily can be attributed to its strategies in segmenting its market and consistency in producing quality products that appeal to all segments every time. McDonalds use demographic segmentation as its strategy in segmenting the market and age is used as a measure where the targeted customers are mainly children, youths as well as other young urban families. According to Balajie et al (N.D), the major target audience for McDonald’s is children followed by urban families as well teenagers. These are segmented on the basis of age as well as interests. Special products are carefully designed for children and the meals are prepared in such a way that they would be able to satisfy their needs regardless of their age. These happy meals are often accompanied by play time where the kids can enjoy playing with the toys while at the same time enjoying their meals. Special facilities such as play place are provided and this helps add more pleasure to the fun. Thus, the target segment of a family with kids is primarily meant to give a treat to the children as well as trying to create a fun place to be. The other target segment for McDonald’s is the teenagers. These also do have their own interests as well as tastes when it comes to consumption of different food products offered by the organisation. McDonalds has successfully managed to appeal to this segment by keeping several products affordable while at the same time offering facilities that make hanging out more enjoyable and fashionable. Such services like Wi-Fi are offered so as to allow the teenagers who may want to surf through the internet to enjoy the convenience while at the same time enjoying their meals. The other target segment is the urban customer who is moving around. These are offered great taste as well as quick services such that their time is not wasted. 4. When a consumer decides to buy a product, there are five stages he goes through in taking a decision to purchase that particular product and these are: need arousal, information search, evaluation behaviour, purchase decision and post purchase feelings. In deciding on the venue to hold a wedding reception, these stages can as well be experienced. First there is need recognition where either an internal or external stimuli positively influences the buyer to have interest in a particular place to hold a wedding reception after having recognised the important need to use the venue. There would be particular features that are attractive as far as the venue selected is concerned and the second stage will be information searching. Before making a purchase, there is need for the buyer to search and gather enough information about the place so as to be better positioned to make informed decisions. Information can be gathered verbally, from different people including the family, friends as well as the owners of the venue. Information can also be obtained from newspapers or the internet as well as any other media. Evaluation of alternatives is the third stage where there is need to evaluate all the information available as well as the other alternatives that may exist which can be used as second choices. After this stage, there is purchase decision which is concerned with making the decision to purchase a product. In this case, decision to pay for the venue to hold a wedding reception is reached and the purchase can be made. After the purchase has been made, the last stage is post purchase behaviour where the buyer ponders over the decision made if it has been appropriate. Marketers of different event venues can influence consumers in each of these stages in various ways. Firstly they need to raise awareness about their venue in order to make the customers recognise their needs through specially designed messages meant for publicity. They also need to appeal to their interests by showing that their venue is the best for such an occasion and they can gather suitable information from various sources that is targeted for the consumers. Evaluation behaviour which is the third stage can also be done by the marketers of event venues. They need to assist the customers evaluate all the relevant information and can even influence them to go through to the next stage which is purchase decision. They keep on reminding the buyer about the potential benefits of the product as well as going through them to the last stage which is post purchase feelings. There is need for the marketer to show the customers that they will get value for money for the purchases they will make. 5. Walt Disney Company is operating in an environment where there are various market trends that affect its success during the contemporary period. During this decade, it can be noted that there are also other competitors in the film industry such as Time Waner Inc, CBS Corporation, and Hollywood among others. It can be noted that competition is the major impediment that often affect business during the current period. It can also be noted that the advent of advanced technology such as the iPod is making the viability of the film industry a bit challenging and problematic. Piracy in the film industry is rampant among other factors. There are also social, political as well as economic trends that affect the organisation’s operations. The global economic recession that gripped the world during the past years did not spare the organisation either. Consumers had less income to spend which partly affected the viability of the organisation. Being in charge of the marketing department, the first thing that would propose are measures to stamp on piracy. It can be seen that piracy is one major obstacle that is bedevilling the film industry as sales are lost to unscrupulous dealers who pirate the films. I would also put measures that are meant to tightly control the distribution channels of the films as they often find their way to the unlicensed dealers which creates problems for the organisation. There is also need for market research to venture into other potential markets such as developing countries as they are slowly developing technologically. References Balajie M.S. (N.D.). “Behind the golden acre: Customer acquisition and retention. NMIMS University. 12 July 2010 Strydom J (2004). Marketing. CT. Juta. Read More