Service Marketing - Hospitality Industry

The hospitality industry consists of land category of fields within the service industry that includes lodging, restaurants, event planning, theme parks, transportation, cruise line, and additional fields within the tourism industry. The hospitality industry is a several billion dollar industry that mostly depends on the availability of leisure time and disposable income. A hospitality unit such as a restaurant, hotel, or even an amusement park consists of multiple groups such as facility maintenance, direct operations (servers, housekeepers, porters, kitchen workers, bartenders, etc.), management, marketing, and human resources.

 The industry is divided into sectors according to the

skill-sets required for the work involved. Sectors include

1. Accommodation,
2. Food and beverage, 3. Meeting and events, 4. Gaming, 5. Entertainment and recreation, 6. Tourism services, and 7. Visitor information.

Hotel Management structure

(a) departments of a limited-service hotel; (b)departments of a full-service hotel (under 500 rooms); (c) departments of a full-service hotel (over 500 rooms)

Hospitality Service life cycle

This model proposes that hospitality products and services move through four successive stages: creation, growth, maturity, and decline.

The time necessary to pass through the each stage varies.

The model has been extended to describe individual hotel and restaurant firms and the entire hospitality industry as well,

Creation is the initial stage when the new business (or) product is introduced to the market. The majority of offerings do not make it past this stage (i.e., a spicy Mexican restaurant in northern Maine). It is during this period that the marketplace judges its initial value.
Growth is marked by a rapid increase in size (volume of products sold

such as the number of hotel rooms or when additional restaurants built).

Maturity reflects a stabilizing of size (sales, number of employees, etc.).

The maturity stage may linger for quite a while, creating a cash cow for the organization after it standardizes and streamlines operations. Decline occurs when the organization begins to shrink in size. Complete decline occurs when efforts to reenergize it fail or are not implemented. Unlike a biological entity, firms may occasionally move backward from decline through their own rejuvenating actions.

4 Ps + 3 Ps = 7 Ps
1. Product 2. Place 3. Pricing 4. Promotion

5. Process
6. People 7. Physical Evidence

Physical Evidence

Physical evidence refers to the environment in which the service is assembled and in which the seller and customer interact, combined with tangible commodities that facilitate performance or communication of the service. The physical evidence of service includes all the tangible representations of service such as brochures, letterhead, business cards, reports, signage, internet presence and equipment.

For example, in the hotel industry, Design, Furnishing, Lighting, Layout and decoration of the hotel Appearance Attitudes of its employees

Will influence customer perceptions of the service quality and experiences. Because of the simultaneous production and consumption of most services, the physical facility i.e. its services capability can play an important role in the service experience.

Process

People
people are all people directly (or) indirectly involved in the service

encounter, namely the firm's contact employees, personnel and other customers. Contact employees contribute to service quality by creating a favorable image for the firm, and by providing better service than the competitions. Service providers (such as hair stylists, personal trainers, nurses, counselors and call centre personnel) are involved in real time production of the service. They are the service. Much of what makes a service special derives from the fact that it is a lived-through event.

Promotion
Hospitality Promotion includes all the ways available to make services in the industry known to and purchased by customers and clients. Without proper promotion no industry can develop. With vast experience in hospitality industries, good promotions help the industry to reach new customerswherever they may be. There are different ways of promotion like advertisement, direct marketing, Events, Media services, quality evaluation etc

Direct Marketing : A well-executed direct advertising campaign can prove a positive return on investment by showing how many potential customers responded to a clear call-to-action. mobile messaging Email Online Marketing Outdoor advertising Couponing Community Marketing Voice mail marketing Radio Ads

T.V ads
Tele marketing Fliers Catalog distribution

Direct selling
Promotional letters

Events & Press Kits

Events can promote hospitality to a great extent.

Events are attracted by both media and the public.

Hospitality concerns try to increase the attractiveness of events and these events take place after evaluating specific target markets.

Exciting events are conducted to promote the hospitality concern can generate a great deal of favorable media coverage.
Every hospitality concern, whether it is a hotel, resort or spa, regardless of its size should have its key features and unique qualities readily available for the media. An effective press kit is very essential to make sure that the establishment is known to the public. Thus events and press kits are very favorable for any industry by promoting them.

Media Services & Quality Evaluation Media plays an important role in promoting hospitality industry to a great extends. Articles in magazines, newspapers and in website can attract public .They can be placed in local media. Advertisements and news reported in television supports Hospitality and will help to gain the attraction of new customers. Every business in hospitality industry particularly hotels, resorts and spas benefit from a fresh perspective.

Quality evaluation rates every service and gives suggestions to improve the performance of Hospitality Services.

Team 2
1. 2. 3. 4. 5. 6. Deep Patel Gnana Praveen Chitra Deepak Ganesh Gagan