Mariot Market Segmentation and Targeting

In this report, we will be concentrating on Millennial hotels - hotels that target Millennials or have a Millennial-liked mindset. We will discuss the factors, specifically revolving around the marketing mix, that are likely to affect the success of Millennial hotels.

Marriott Corporation began from root bear stand, and developed to be the leading supplier of food services and leading logging company in the U.S. The leading parts of the business were lodging, contract services, and restaurants. Their intentions regarding the business strategy was to focus on employees and customer satisfaction. In that way, they can remain the leading growth company. The financial strategies used were:

The four key elements of Marriott 's financial strategy were the following: • • • •

For instance, in the hospitality industry, the Hilton brand symbolises high-end properties, elevated quality of service and a unique guest experience. Brand name and brand image are essentially two factors that differentiate companies which operate in the same industry and market. Therefore, the brand name must be unique. Hotel companies like the Hilton have established strong national brands and seek to use them globally with an intention of increasing profits. Once its established as a global brand, the company has successfully created an international image that can lead to increased efficiency through branded marketing efforts and cost savings on a much larger scale. Nowadays with an increase in international travel, the competition among international hotel corporations is becoming a lot more competetive. Those tourists that travel to foreign countries tend to stay in one of the known hotel brands and their standardised quality of service. Hotel chains are motivated to maintain a high rate of global expansion as a key marketing strategy of creating brand loyalty (King,

According to the article, “[i]n 1987, Marriott’s sales grew by 24% and its return on equity stood at 22%. Sales and earnings per share had doubled over the previous four years, and the operating strategy was aimed at continuing this trend” (HBR, 9-298-101, p.1). The article also noted that the company intends to “…aggressively develop opportunities within [their] chosen line of business” (HBR, 9-298-101, p.1). Currently, Marriott’s four components of their financial strategy are:

The hotel chain, Astor Lodge and Suites, Inc., operates 250 properties in 10 western and Rocky Mountain states. The company’s customer base primarily comprises business travelers. In addition, the locations of the properties surround airports, large regional shopping centers, and major highways close to suburban industrial sites as well as office complexes. Projections of 2005 fiscal year forecast a fifth consecutive year of a gross loss for the firm. The estimates include an anticipated $422.6 million in company lodging revenues but a net loss of $15.7 million for 2005. As a result, Joseph James, president and CEO of Astor Lodge and Suites, Inc., initiated a challenging goal for executive management to devise a strategy achieving net profits in two years and sustaining positive growth in the future.

Amber Inn & Suite, Inc. was built in 1979 and is composed of 250 hotels chain empire of which each consisting an average of 120 exquisite guest rooms or suite units. The profits are $422.6 million and deficits of $15.7 million. The Amber Inns & Suite have total of 30,000 rooms. The Company’s objective is to cater mainly to professional clienteles that are traveling with fabulous guest rooms at an economical price. Amber Inn & Suites, Inc. is located in areas amid ten western and Rocky Mountain States with two hundred fifty numerous property hotel chains. In most cases, each property is made up of one hundred twenty single guest rooms or suite units. Amber Inn & Suites Inc. positions its properties on prime areas such as major

Since its foundation in 1927 Marriott Corporation grew into one of the leading lodging and food services in the US. With three major business lines: lodging, contract services and related business, Marriott has the intention to remain a premier growth company. To achieve this goal the corporation’s strategy is to develop aggressively appropriate opportunities within their business lines. Marriott would like to be the preferred employer, the preferred provider and the most profitable company in each of the operating areas. The financial strategy includes four key elements:

For my luxury brand marketing analysis I choosed the Four Season Hotels chain, as on my mind it is one of the most successful and well-known hotel chain, providing 5 star service all around the world.

targeted those people who would recognize and appreciate quality lodging and not those who were seeking “cheap sleep”.  Inviting potential guests or individuals who might influence visitor hotel selection to launch parties, swim parties, cocktail parties and other planned events.  Targeting supportive hospitality businesses.  Packages that supported local businesses were developed.

Premier Inn is the name of a British Budget Hotel chain running the largest hotel brand in the United Kingdom. Hotel chain is running 690 hotels with more than 50,000 rooms built in different countries. The hotel chain listed in London Stock Exchange in 1987 with brand name of “Whitebread” and started trading of its services under the chain of “Travel Inn” in order to compete with travellodges. Business operation of Premier Inn is not only limited to city centers but also covering suburbs and airports locations Hotel chain is following the expansion and acquisition policies since the time of its inception and acquired hotel chain named as Premier Lodge in 2004 (Whitebread, 2013). This acquisition increased the number of hotels and the profit as well. Premier Lodge was running with 141 hotels and contributed 70% of the total profit of “Whitebread”. Target market of the hotel chain is not only the leisure visitors and families but also the world business class seeking countless business and travel facilities. Award winning business services, comfortable sleep on king size beds and delicious breakfast are further adding value for the hotel chain while elevating the status of Premier Inn to be the first choice of families and business class to take their stay decisions at Premier Inn. The ambitious and high paced profitable progress of the Hotel chain is opening new ways of expansion and development. The hotel chain is therefore, planning to increase around 45% i.e. 75,000 rooms

is one of Canada’s top hoteliers in the mid-market, owning interests in 16 hotels in Canada and the United States. Furthermore NGI is in ownership of 2,200 rooms in 17 hotels across Canada and the United States. The Company is expert in all facets of the hotel business, from marketing to building to management. Focused on creating the best return and value for all stakeholders, Northampton’s market-sensitive strategy is to acquire or build hotels that provide great value and superior accommodation. Gratefully, NGI excels in this sector by offering services that exceed expectations while still posting industry-leading margins. Besides acquiring and developing undervalued and underutilized hotel assets, NGI also provides superior overnight accommodations at mid-market prices. This has been done through aggressive marketing, re-branding and ongoing hotel upgrades.

The following report was derived from the primary use of secondary sources, in addition to telephone contact with hotel representatives. Secondary sources included research from the Internet, industry books, company marketing communications, trade and general business newspapers and magazines, among others. Through all the sources, relevant data and information was extracted into the report's appendices. After individual analysis and group discussion, the following report was devised. The mandate of this report is to provide a macro examination of the luxury hotel industry and specifically the future outlook of Four Seasons Hotel and Resorts, Inc.

To be the first choice of hotel guests, team members, and owners alike, building on the heritage and history by:

The Ritz-Carlton Hotel Company operates within the upscale & luxury hotel industry. While it could be argued that Ritz-Carlton operates in the more broad and inclusive lodging industry, they offer a highly differentiated product and service and therefore find themselves operating in an exclusive industry alongside very few direct competitors, such as Four Seasons Hotels, HongKong and Shanghai Hotels, and Starwood Hotels & Resorts. Therefore when analyzing this industry I will not be including cheap hotels, motels, lodges, or inns, unless to offer potential substitutes to luxury hotels. In order to assess the attractiveness of the upscale & luxury hotel industry, an analysis of the general environment surrounding the industry must be