A Marketing Analysis of 5* Hotels in London

Marketing Assignment

Assessment 1.B Akshay Rai

1. Positioning Maps

The first positioning map is a comparison between my hotel ‘The Rai Hotel’ and the top three main competitors in the area which are The Hilton Hotel, Sky City Grand and The Langham.

Sky City Grand sits on the top as it is the highest price because of the facilities they offer such as the Sky Tower and Casino. Just under is The Rai Hotel as the price and quality is more balanced than Sky City Grand because although there is less facilities than Sky City. Just under is The Hilton and The Langham, the Hilton is more expensive but the Langham is of higher quality.

The second positioning map is of accommodation types in general around Auckland.

5 Star hotels are the highest price and best quality then slightly under is serviced apartments, the price is more expensive for the location because living in central Auckland is very expensive. Just under are the 4 star hotels with the price still slightly high because the quality is high and 3 stars the price is average and the quality is average.

2. Description of market research method with advantages and disadvantages

I choose the Quantitative research methodology to conduct primary research to find out if the Wi-Fi in The Rai Hotel is up to our guest’s satisfaction and standards. I know this information is not already out there. I have organised a survey to research the chosen area I have decided to study. There are survey sheets in 400 out of the 500 rooms there is in the hotel. The guests will fill out the surveys before they depart from their stay from the hotel and housekeeping will collect them once finished. The 100 remaining rooms in the hotel there are instructions left for the guests to do the survey online and also left the survey sheet. We have done this because we also wanted to research what is the ratio of our customers would prefer to do things electronically rather than on paper.

Once I have collected the results I analyse the finding I have received and found out that 219 rooms of the 400 have been completed and 37 rooms did the survey electronically and 12 did the survey on the paper. (Wright, 2014)

Advantages of Quantitative Research:

Less expensive than some other methods such as doing a phone or interview survey. It is fast and efficient, since the questions are simple and easy to answer. The results can be administered online from the online survey we provided. The answers from the survey as usually just yes and no, so the answers are easier to coordinate for researchers. The survey is anonymous so it is more likely for people to participate. (Wyse, 2012)

Disadvantages of Quantitative Research:

You need large numbers of participates involved to fill out the survey. There also can be sampling problems and answers cannot be followed up due to the anonymity. There is limited flexibility of the questions and there can be misinterpretation of questions by the participates, i.e. non English speaking guests. (Wyse, 2012)

Questionnaire

1. Is the speed of the Wi-Fi up to you’re satisfaction?
2. Was the Wi-Fi easy to set up on you’re electronic device?
3. Do you think the coverage of the Wi-Fi is good around the hotel?
4. Was free Wi-Fi a factor of you choosing to book with us?
5. Are you interested in unlimited internet or are you happy with 1GB a day?

Explanation of MIS and examples

MKIS stands for “Marketing Information System” is a system that allows the effective storage of data in a system on a computer, for example excel. The data can be used at any time, also anywhere for the managers to use. Computers are the core aspect of MKIS because all the data is stored on there. Having all the data about various information around the hotel, managers can make effective factual decisions.

(Hatlett, 2010)

Four Components of MKIS are Internal data, Marketing intelligence (External environment information), and Marketing research that all go towards the Storage and analytical processing system (Computer & Software, Hardware, Filing System)

(McCallum, 2014)

Our hotel will store the results from our survey we have done on Wi-Fi in our MIS system called Neo Life Technology. The purpose storing this in our MKIS is to find out if we need to improve our Wi-Fi and internet in our hotel and so our managers have easy access to this information.

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Advantages of MKIS are the data stored in the MIS is kept for a long period of time. The information of the MIS is relevant and up to date. Our managers can access large amounts of data because of the ease of access to it. Also the speed in obtaining relevant information to make decisions is much quicker than any other way. There is an easy follow up and maintaining customer relations. (Boaz, 2006)

Some Disadvantages of MKIS are it costs a lot of initial time and there is a high labour cost involved. It is very complex to set up a system and involves specialised I.T. people. There also can be a limited amount of the right kind of information if there is not the right amount of sufficient research done and data stored.

5. List of businesses in a partnership with:

1. Samsung Electronics

We are partners with Samsung, they supply our TV’s in the rooms, phones all throughout the hotel and our computers that we use in reception. We are in a 5 year contract with Samsung and they are required to supply all of these electronics.

2. Aotearoa Fisheries Limited

We are in a 2 year contract with a local food company called Aotearoa Fisheries Limited, they supply all of our seafood in the restaurants. They are our preferred supplier for seafood and we have a good relationship with them.

3. Altura Coffee

We are in a 1 year contract with Altura Coffee that is located in Auckland and supplies our restaurants with coffee powder and coffee machinery. We buy in bulk from them every month but our barista’s are not happy with the quality of the coffee so we are looking at finding a new supplier next year.

4. Air New Zealand

Our hotel is working with Air New Zealand in a long term relationship on a 5 year contract. We are part of Air New Zealand’s air point programme where Air New Zealand customers can book with our hotel by paying with Air Points, this brings us more customers domestically and Air New Zealand pays the hotel an amount of money to pay for the customers who have booked with us. (Hotel Partners, n.d.)

5. Hospitality Textiles NZ

HTNZ is our preferred linen and towel supplier. We have a long term contract with them for 5 years because we have a close relationship with them. Every 6 months we buy in bulk from them and they supply all the linen in the hotel.

References

Boaz, A. (2006). Marketing in New Zealand (Third Edition). Auckland: Pearson Longman.

Grover, S. (2014). Hotel Management Magazine, 50-62.

Hatlett, M. (2010, 04 16). Marketing Information System. Retrieved from Business Dictionary: http://www.businessdictionary.com/definition/marketing-information-system.html

Hotel Partners. (n.d.). Retrieved from Air NZ: http://www.airnewzealand.co.nz/spending-airpoints-hotel-partners

McCallum, D. (2014, 03 23). Lecture Notes in Marketing. Pacfic International Hotel Management School.

Wright, K. (2014, 03 16). Lecture Notes in Research. Pacific International Management School.

Wyse, S. E. (2012, 10 16). Advantages and Disadvantages of Surveys. Retrieved from Snap Surveys: http://www.snapsurveys.com/blog/advantages-disadvantages-surveys/