Marketing of Services

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2. By
Aarzoo Jain
Arnav Yadav
Jabir Alam
Joslin Mary Joseph
Mitali Sinha
Prerna Pandey
Shreyash Joshi
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3. Shall Cover..
• Introduction
• History
• Marketing mix of Marriott
• CRM
• The E-business strategy
• Gap model
• Consumer behavior
• RATER
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4. Introduction
• Headquarter in Washington, US
• Marriott became the first hospitality company to
win ISO-100 award
• It had more than 2600 operating units in US in
2003, and workforce of 145000 employees across
65 countries
• In 1980, company launched Marriott Automated
Reservation System for Hotel Accommodation
• In 1998, company adopted an e-business strategy
with Siebel System
Contd..
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5. Contd..
Marriott’s portfolio-
• Marriott Hotel & Resorts
• JW Marriott Hotels & Resorts
• Renaissance Hotels & Resorts
• Courtyard by Marriott
• Residence Inn by Marriot.
• Fairfield Inn by Marriott
• Towneplace Suites by Marriott
• The Ritz Carlton Hotels & Resorts
• Ramada International Hotels & Resorts
• Marriott Conference Centers
• Marriott Vacation Club
• Horizons by Marriott Vacation Club
• The Ritz-Carlton Club
• Marriott Grand Residence Club
• Marriott Executive Apartments
• Marriott Execustay 5

6. History
• In 1927, J. Willard Marriott set up a nine-seat root beer
shop in Washington
• In 1937, Hot Shoppe Inc. ventured into airline catering
• Company ventured overseas, acquiring new airline
catering kitchen
• In 1967, its name changed to Marriott Corporation
• In 1982, Marriott acquired Host International a leading
service provider
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7. Marketing Mix of Marriott
Products
The core product of Marriott is to provide lodging facility
• Guest rooms
• Food and beverages
• Conference facilities
• Executive lounge
• Express Check-In services
• Resorts
• Parking facilities
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Contd

8. Contd…
Place
• Hybrid VMS/multi channel
Promotion
• Personal selling
• Non Personal (Brochures, TV, Billboard Etc.)
Process
• E-booking
• Desk booking
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9. Contd…
People
• Hotel management
• Employees
• Customers
• Shareholders
Physical Evidence
• Uniform of the employees
• Website of Marriott
• Infrastructure
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Contd

10. Contd…
Price
• Value is the Quality I get for the Price I Paid
• Value pricing
• High price and high service
• Yield management- They offer discount on limited early
purchases, higher price on late purchases and the lowest
on unsold inventories.
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11. CRM
• 1980’s – MARSHA
• 1996’s –www. marriott.com
• 1998’s – E-business strategy, IT application: sales, accounting and HR.
(CRM Application – Siebel system)
Benefits of E-CRM
• Elimination of the lag-time between clients original requests for
housing and their receipt of a Marriott confirmation.
• An increase in reservation accuracy
• An increase in clients’ or association members satisfaction
• A decrease in the time you spend managing reservation problems
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Contd

12. Contd
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Acquiring
Satisfying
Retaining
Enhancing
Marriott places special
emphasis on finding, attracting
and retaining high value
customers through integrated
sales and marketing efforts

13. The E-Business Strategy
The e-business strategy emphasized on increasing revenues
earned per customer. By employing e-business strategy,
Marriott wanted to have greater control over the company’s
worldwide operations. The four key objectives of the e-
business strategy included-
• Serving customer proactively
• Personalizing service offerings
• Enhancing brand loyalty
• Cross selling
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14. Gap Model
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15. Consumer behavior in services
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People Processing Possession Processing
Mental Stimulus
Processing
Information Processing
(directed at intangible assets)
e.g., airlines, hospitals,
haircutting, restaurants, hotels,
fitness centers
e.g., freight, repair,
cleaning, landscaping,
retailing, recycling
e.g., broadcasting, consulting,
education, psychotherapy
e.g., accounting, banking,
insurance, legal, research
In Marriott, people are critical

16. RATER in Marriott
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Reliability
Assurance
Tangibility
Empathy
Responsiveness
Satisfaction
with Marriott
Brand loyalty
Recommend
others
Likeliness to visit
Contd

17. Contd…
Reliability
• Staff performing services right the
first time
• Performing the services at the time
promised
• Experienced staff
• Accuracy in billing
• Accuracy of food orders
• Accurate information about hotel
services
• Advance and accurate information
about prices
• Timely housekeeping services
• Availability of transport facilities
• Reliable message service
Assurance
• Friendliness of staff
• Courteous employees
• Well-trained and staff
Responsiveness
• Keeping customers informed about
when the service will be performed
• Availability of staff to provide service
• Quick check-in and check-out
• Prompt breakfast service
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Contd

18. Contd…
Tangibility
• Modern and comfortable furniture
• Appealing interior and exterior hotel de´cor
• Attractive lobby
• Cleanliness and comfort of rooms
• Spaciousness of rooms
• Hygienic bathrooms and toilets
• Convenient hotel location
• Neat and professional appearance of staff
• Availability of swimming pool, sauna and gym
• Complimentary items
• Visually appealing brochures, pamphlets, etc.
• Availability of non-smoking areas in restaurants
• Image of the hotel
Empathy
• Giving special attention to the customer
• Calling the customer by name
• Availability of room service
• Understanding the customers’ requirements
• Listening carefully to complaints
• Problem-solving abilities of staff
• Customer loyalty program
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