The document provides an overview of key marketing strategy concepts including: 1. The marketing mix includes product, price, place, promotion, and other factors known as the 7 Ps that are used to satisfy customer needs within target markets. 2. Target markets are customer groups selected by an organization for marketing attention based on common characteristics. Segmented marketing strategies recognize differences among target markets. 3. Positioning develops a service and marketing mix to occupy a specific place in customers' minds within target markets. It involves documenting customer benefits, deciding the desired image, differentiating from competitors, designing communications, and delivering on promises.

1. MARKETING
STRATEGY
AILEEN MAE DOROJA

2. MARKETING STRATEGY
The selection of a course of action
from among several alternatives that
involves specific customer groups,
communication methods,
distribution channels, and pricing
structures.
It is a combination of target markets
and
Marketing mixes.

3. TARGET MARKET
A target market is a market segment
Selected by a
Hospitality and travel organization
For marketing attention.
Market segmentation involves dividing
Customers into groups (market segments)
With common characteristics.

4. MARKETING MIX
 A marketing mix includes those
controllable factors that have been
chosen to satisfy customer needs.
 The eight controllable factors are product,
price, place, promotion, packaging,
programming, partnership, and people.
 These are also know as the 7 Ps.

5. 7 P’s
1. Process of Planning
- to come with TP to a target market
2. People
- a target market
3. Product
- TP (goods and services in combination) offered to target
market.
- Variety of product mix, features, designs, packaging, sizes,
services, warrantees and return policies.
4. Price
- for TP consumers is important shift for communication or
interactive behavior.
- Retail price/wholesale
- Discounts

6. 7 P’s
5. Promotion - activities trended to communicate
the merits of TP.
 Personal Selling or Sales Force
 Advertising
 Sales Promotion – samples, coupons,
premiums, cash refunds, demos, point-of-
purchase materials, display allowances, trade
shows, sales rep contests
 Public relations
 Direct marketing - direct mail, Internet,
telemarketing, and direct-response, catalogs.

7. 7 P’s
6. Place/Distribution - activities that make
the TP available to the target market.
Includes distribution channel, geographic
coverage, locations, inventory,
transportation or logistics.
7. Partners/Alliances - joint relationships
involving cooperation and responsibilities for
duties including products, distribution and
promotion functions.

8. RELATIONSHIP MARKETING AND
STRATEGIC ALLIANCES
Relationship Marketing
Placing an emphasis on building, maintaining, and
enhancing long-term relationships with
customers, suppliers, travel trade intermediaries,
and perhaps even competitors.
Strategic Alliances
Special long-term marketing relationships formed
between two or more hospitality and travel
organizations, or between a hospitality and travel
organization and one or more other types of
organizations
(e.g., KLM and Northwest, STAR alliance).

9. MARKETING OBJECTIVE
A marketing objective is a measurable goal
that a hospitality or travel organization
attempts to achieve for a target market
within a specific time period,
typically one year.

10. SEGMENTED MARKETING
STRATEGIES
 Approaches that recognized the differences
among target markets by using individualized
marketing mixes for each of the target markets
selected by a hospitality or travel organization.
Also known as a differentiated strategy.
 The three alternative segmented strategies are:
1. Single-target-market strategy
2. Concentrated marketing strategy
3. Full-coverage marketing strategy

11. UNDIFFERENTIATED
MARKETING STRATEGY
 A strategy that overlooks segment
differences and uses the same marketing
mix for all target markets.

12. ALTERNATIVE STRATEGIES FOR
PRODUCT LIFE CYCLE STAGES
 Introduction Stage
a. Rapid-skimming strategy (high price/high
promotion).
b. Slow-skimming strategy (high price/low
promotion).
c. Rapid-penetration strategy (low price/high
promotion).
d. Slow-penetration strategy (low price/low
promotion).

13.  Growth Stage
a. Improve service quality and add new
service features and elements
b. Pursue new target markets
c. Use new channels of distribution
d. Lower prices to attract more price-sensitive
customers
e. Shift some advertising emphasis away from
building awareness to creating desire and
action
ALTERNATIVE STRATEGIES FOR
PRODUCT LIFE CYCLE STAGES

14. ALTERNATIVE STRATEGIES
FOR
PRODUCT LIFE CYCLE
STAGES
 Maturity Stage
a. Market-modification strategy
b. Product-modification strategy
c. Marketing-mix modification strategy
 Decline Stage
a. Reduce costs and milk the company
b. Sell off or get out of the business

15. ALTERNATIVE STRATEGIES
BY INDUSTRY POSITION
 Market Leaders
a. Expand the size of the total market
b. Protect market share
c. Expand market share
 Market Challengers
a. Take on or attack the market leader

16. ALTERNATIVE STRATEGIES
BY INDUSTRY POSITION
 Market Followers
a. Shy away from any attacks on market
leaders
 Market Nichers
a. Specialize in a particular market
segment

17. POSITIONING
Positioning is the development of a service
and a marketing mix
to occupy a specific place in the minds
of customers within target markets.

18. REASONS FOR INCREASED
IMPORTANCE OF
POSITIONING1. Perceptual processes of customers
They screen out most information
2. Greater competition
More organizations competing for share
of mind
3. Growing volume of commercial
messages
Advertising and promotion clutter

19. STEPS REQUIRED FOR
EFFECTIVE POSITIONING (THE
FIVE DS)
Documenting
Deciding
Differentiating
Designing
Delivering

20. THE 5 DS OF POSITIONING
 Documenting
What benefits are the
most important to your
current and potential
customers?
 Deciding
What image do you
want your current and
potential customers to
have of your
organization?
 Differentiation
Which competitors do
you want to appear
different from, and
what are the factors
that you will use to
make your organization
different from them?

21. THE 5 DS OF POSITIONING
 Designing
How will you develop
and communicate
these differences?
 Delivering
How will you make good
on what you’ve
promised, and how do
you make sure that you
have “delivered?”

22. POSITIONING APPROACHES:
SIX MAJOR ALTERNATIVES
 Specific product features
 Benefits, problem solution, or
needs
 Specific usage occasions
 User category
 Against another “product”
 “Product class” dissociation

23. PRODUCT STRATEGIES
Product Mix Strategies
Market penetration versus market skimming
Quality
High
Medium
Low
Price
High Medium Low
Premium
Goods
Penetra-
tion
Super
Bargain
Over-
Pricing
Average
Quality
Bargain
Hit and
Run
Shoddy
Goods
Cheap
Goods

24. PRODUCT STRATEGIES
Product Market Growth Strategies
Market Penetration
(increase usage)
Product Development
(new uses)
Market Development
(new users)
Diversification
(new users, new uses)
Markets
Products
Old
Old
New
New

25. MARKET POSITION
STRATEGIES
Market Leader Strategies
Increase Size of Total Market
Product-Market Growth Strategies
Protect Market Share
Fortification
Assortment of brands, sizes
Innovation
Best defense is a good offense
Counteroffensive
Increase Market Share

26. MARKET POSITION
STRATEGIES
Frontal Attack
Out-innovate leader
Tough to do, easier to defend
Flanking/Bypass Attack
Attack where leader is not looking
Find a new market segment
Price Discount Strategy
Buyers are sensitive to price
Works if leader does not cut price
Cheaper Goods Strategy
Lower quality but much lower
price
Vulnerable to still cheaper goods
Prestige Goods Strategy
Increase both quality and price
Cheaper Goods
Strategy
Lower quality but
much lower price
Vulnerable to still
cheaper goods
Prestige Goods
Strategy
Increase both quality
and price

27. END