Marketing Mix
Place: product and service
information are sold to the guest via personal selling, direct marketing,
advertising and the Internet. Delivery channels include travel agents and
international reservations systems.
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Product Marketing
Product: high quality facilities
accompanied by exemplary personal service, differentiated from competition
quality with the overall brand strategy has proven to be a successful approach
generating high levels of repeat business.
Pricing
Pricing strategy has been consistent
with the differentiation objective, to provide added value for a reasonable
rate as opposed to discounting and de valuing our products and services.
Room rates quoted are net of tax and
service, are per night, per room with continental breakfast included:
- Corporate single - $95.00;
- Corporate double - $125.00;
- Corporate double deluxe - $ 175.00;
- Corporate suite - $225.00 (maximum occupancy 2 persons).
Conference room rates are net of tax
and service, quoted per day use with tea and coffee breaks (2) included:
- The Riverview Boardroom - $260.00;
- The Riverview Conference Hall - $320.00;
- The Riverview Ballroom - $875.00.
Promotion
Promotion: primary focus will remain
on mass communication via print ads in trade publications and on the Internet.
Direct mail campaigns to existing and prospective clients will increase as a
cost effective means of targeted campaigning.
Personal selling in the local market
will remain an important element of the mix in order to continue to build
long-term relationships within the local community and generate high
levels of corporate activity.
Public relations activities will
continue to play an important role in the marketing mix, presenting the hotel
as a supportive member of the community and participating in significant
local events.
Advertising
The following table shows our
primary advertising milestones.
Advertising Milestones
Milestones
|
|||||
Advertising
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Contract media space
|
1/1/2005
|
4/1/2005
|
$20,000
|
Geoff
|
Marketing
|
Ad agency liasonon print ad
material
|
1/1/2005
|
3/28/2005
|
$11,000
|
Geoff
|
Marketing
|
Dispatch/monitor campaign
results
|
5/1/2005
|
8/1/2005
|
$2,000
|
Sally
|
Marketing
|
Total Advertising Budget
|
$33,000
|
||||
Public Relations
The following table shows our
primary PR milestones.
PR Milestones
Milestones
|
|||||
PR
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Public relations functions
to schedule
|
2/1/2005
|
3/1/2005
|
$0
|
Anne
|
PR
|
Evaluate sponsorship
requests
|
3/1/2005
|
4/1/2005
|
$0
|
Anne
|
PR
|
Establish list of
sponsorship events/companies
|
4/1/2005
|
6/1/2005
|
$6,000
|
Anne
|
PR
|
Total PR Budget
|
$6,000
|
||||
Direct Marketing
Our direct marketing will be handled
by our PR agency. We will buy select targeted list of corporate companies and
send them information about Riverview Hotel. We know that we are no experts in
direct marketing so it will be important that our PR agency handles every
aspect of direct marketing for us.
Direct Marketing Milestones
Milestones
|
|||||
Direct Marketing
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Direct mail lists to
purchase/prepare
|
2/1/2005
|
3/1/2005
|
$6,000
|
Sally
|
Marketing
|
Ad agency liason on direct
mail material
|
3/1/2004
|
3/1/2005
|
$7,000
|
Sally
|
Marketing
|
Total Direct Marketing
Budget
|
$13,000
|
||||
Web Plan
Our website is already up and
running, but needs to be revamped to give it an updated look and feel, as
well as to add secure interactivity. The content is good -- it just need a
little refresher.
We need:
- New home page design and navigation
- Online reservations capability
- Printable brochure
Website Goals
Our website needs to be able to do
the following:
- Convey our messaging of high quality, luxury business accommodations
- Be indexed on major travel websites so that people find us
- Be able to take reservations online and make changes to reservations online
Website Marketing Strategy
Our main website marketing strategy
hinges upon making sure all major travel sites such as Expedia.com, Orbitz.com,
and Hotels.com list our hotel when customers search for hotels in our area.
Development Requirements
To attain the level of interactivity
we want in our redesign, we need to increase the features allowed (security
for reservations and credit-card processing, daily back-ups, and real-time
database linking) and service-level of our hosting service. This will slightly
increase our monthly hosting fee.
Sally has contracted with
a database developer to update our reservations system to be compatible
with the online reservation requirements. The new website will be ready to
launch in April.
Pay-per-click ROAS
Pay-Per-Click ROAS
|
||||||||
Network
|
Monthly
Cost
|
Clicks
|
Leads
Generated
|
Orders
|
Monthly
Revenue
|
ROAS
|
Cost-per-click
|
Cost-per-lead
|
Google
|
$3,000
|
600
|
75
|
10
|
$5,000
|
167%
|
$5.00
|
$40.00
|
Yahoo!
|
$2,000
|
300
|
40
|
5
|
$4,000
|
200%
|
$6.67
|
$50.00
|
Other
|
$500
|
100
|
30
|
3
|
$1,500
|
300%
|
$5.00
|
$16.67
|
Total
|
5500
|
1000
|
145
|
18
|
10500
|
222%
|
$5.56
|
$35.56
|
Website Milestones
Milestones
|
|||||
Web Development
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Homepage Re-design
|
1/1/2005
|
1/15/2005
|
$1,000
|
Shelly
|
Marketing
|
Printable Brochures
|
1/1/2005
|
1/15/2005
|
$2,000
|
Shelly
|
Marketing
|
Online reservations
|
1/1/2005
|
1/15/2005
|
$6,000
|
Shelly
|
Marketing
|
Total Web Development
Budget
|
$9,000
|
||||
Service
Our hotel provides guests with an alternative
to the impersonal, large five star properties in the city. Strategically
located, our property enables our guests to be at the heart of the business
community and yet in an environment of calm and professionalism. We seek to
differentiate our product and services in the following areas:
- Personal recognition of our frequent travelers who return time and again.
- Luxurious rooms that offer a sense of doing business from 'home.'
- Staff that have a strong customer-service ethic.
- Business facilities second to none in town.
Implementation Schedule
New marketing campaign efforts will
be focused from January through April, aimed at the launch of the redesigned
website in April. We will continue to track the results of this campaign for
the remainder of the year.
Milestones
Milestones
|
|||||
Advertising
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Contract media space
|
1/1/2005
|
4/1/2005
|
$20,000
|
Geoff
|
Marketing
|
Ad agency liasonon print ad
material
|
1/1/2005
|
3/28/2005
|
$11,000
|
Geoff
|
Marketing
|
Dispatch/monitor campaign
results
|
5/1/2005
|
8/1/2005
|
$2,000
|
Sally
|
Marketing
|
Total Advertising Budget
|
$33,000
|
||||
PR
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Public relations functions
to schedule
|
2/1/2005
|
3/1/2005
|
$0
|
Anne
|
PR
|
Evaluate sponsorship
requests
|
3/1/2005
|
4/1/2005
|
$0
|
Anne
|
PR
|
Establish list of
sponsorship events/companies
|
4/1/2005
|
6/1/2005
|
$6,000
|
Anne
|
PR
|
Total PR Budget
|
$6,000
|
||||
Direct Marketing
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Direct mail lists to purchase/prepare
|
2/1/2005
|
3/1/2005
|
$6,000
|
Sally
|
Marketing
|
Ad agency liason on direct
mail material
|
3/1/2004
|
3/1/2005
|
$7,000
|
Sally
|
Marketing
|
Total Direct Marketing
Budget
|
$13,000
|
||||
Web Development
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Homepage Re-design
|
1/1/2005
|
1/15/2005
|
$1,000
|
Shelly
|
Marketing
|
Printable Brochures
|
1/1/2005
|
1/15/2005
|
$2,000
|
Shelly
|
Marketing
|
Online reservations
|
1/1/2005
|
1/15/2005
|
$6,000
|
Shelly
|
Marketing
|
Total Web Development
Budget
|
$9,000
|
||||
Other
|
Start
Date
|
End
Date
|
Budget
|
Manager
|
Department
|
Name me
|
1/1/2006
|
1/15/2006
|
$0
|
ABC
|
Department
|
Name me
|
1/1/2006
|
1/15/2006
|
$0
|
ABC
|
Department
|
Name me
|
1/1/2006
|
1/15/2006
|
$0
|
ABC
|
Department
|
Other
|
1/1/2006
|
1/15/2006
|
$0
|
ABC
|
Department
|
Total Other Budget
|
$0
|
||||
Totals
|
$61,000
|
||||
Sales Plan
Our sales plan hinges upon our sales
strategy, sales process and, prospecting plan. As long as we follow the plans
laid below we should be in good shape.
Sales Strategy
Riverview Hotel's sales strategy
hinges upon repeat visits by key corporate accounts. We need to develop a
relationship with the companies listed in our Sales Account Plan, as well as
actively generate new accounts by soliciting first time corporate visitors.
It will be important to remain
competitive on price, as well as amenities. The corporate accounting department
wants to make sure they limit the amount of money spent per night per employee
on a business trip, but the business traveler will be able to express
preference. If the price is right, and the business traveler knows that they
will have all amenities they need while at the Riverview Hotel, we will be
assured of keeping and attracting key accounts.
Sales Process
We will be sure to mail out
corporate packets every 6 months to our key accounts, as well as any new
accounts we acquire. The packets will have information about corporate pricing
and discounts, as well as information about rooms and amenities for the
companies to share with business travelers.
The biggest piece of our sales
process will depend on personal relationships. We will need to make every
business traveler feel like we remember them and we know their likes and
dislikes. We also need to cultivate good relationships with the person at the
company who makes travel arrangements.
Sales Account Plan
Sales Account Plan
|
|||||
Target Accounts
|
History
|
Status
|
Annual
Sales Potential
|
Key
Account Manager
|
|
Company A
|
disappointed
w/ current
|
proposal
made
|
$20,000
|
Geoff
|
|
Company B
|
referral
from Jack
|
designing
proposal
|
$15,000
|
Geoff
|
|
Company C
|
request
on 12/15
|
drafting
response
|
$10,000
|
Sally
|
|
Existing Key Accounts
|
History
|
Status
|
Annual
Sales Potential
|
Key
Account Manager
|
|
Company 1
|
3
years
|
Stable
|
$40,000
|
Sally
|
|
Company 2
|
5
annual conferences
|
check
next month
|
$60,000
|
Geoff
|
|
Other
|
-
|
-
|
$0
|
-
|
|
Total
|
$145,000
|
||||
Prospecting Plan
Whenever a new customers stays at
our hotel we need to be able to determine whether it is for leisure or
business. If it is for business -- we need to make sure to get the customers
business name and address so that we can send a corporate packet to the company
letting them know about corporate pricing and special business amenities.
