Case Study 2 CAN YOU ANSWER QUESTION NUMBER 16,17,18,19) Marriott:…
Question Answered step-by-step Case Study 2 CAN YOU ANSWER QUESTION NUMBER 16,17,18,19) Marriott:… Case Study 2 CAN YOU ANSWER QUESTION NUMBER 16,17,18,19)Marriott: Marketing Research Leads to Expanded Offerings With roots that go back to before the Great Depression, Marriott International (www.marriott.com) has come a long way from its founding by husband and wife John and Alice Marriott. As of 2014, Marriott International has grown to be a leading lodging company with more than 3,700 properties in seventy-four countries and territories worldwide. This sustained vast expansion over the last several decades is due in large part to marketing research. Marriott began pioneering segmentation in the hospitality industry by expanding its product offering in the 1980s, both upward and downward in quality from its flagship Marriott brand. Through focus groups and survey research, Marriott found that it could have many types of hotels serving different market segments, and that these market segments, although all providing the same basic needs, would not compete with each other. Certain brands under the Marriott umbrella serve the business traveller. Courtyard by Marriott, with pricing and scaled-back service levels compared to the larger Marriott hotels, is targeted toward the price-sensitive frequent business traveler. Courtyard hotelssaid to be designed for business travelers by business travelersoffer high-speed Internet access, ample workspace within the rooms, and other amenities that are appealing to the business traveller. Fairfield Inns are priced still more modestly to appeal to travelers who are even more price sensitive. Other brands under the Marriott flag, such as the Ramada line, serve a more family-style vacation market, with a focus toward comfort and affordability. However, differentiation is not based on service and pricing alone. Marketing research has revealed other attributes that are important. For example, a family or a basic business traveler on a budget might be looking for a convenient location in addition to affordability. Hence, Marriott places Fairfield Inns along interstates and highways because these targeted groups travel by car. Convenient location becomes another attribute that adds value and enhances perception of the Marriott brand name. When Marriott began its Fairfield Inn and Suites brand, it started simply as Fairfield Inn. Then, with marketing research (focus groups and surveys), Marriott found that its Fairfield Inn customers desired a luxury-class room within the value hotel of the Fairfield line. Responding to this, Marriott changed the name to Fairfield Inn and Suites and added high-class rooms that contain amenities such as spas. Analysis of internal secondary data identified a substantial number of travelers who stayed in Marriott hotels for more than a few nights. Focus groups and surveys revealed that these extended stay travelers have different needs. They might need meeting space to conduct business, a kitchenette to dine in occasionally, or a suite space so that they do not get tired of seeing the same four walls around their beds when they come “home” in the evening after yet another day on the road. For these travelers, Marriott opened the Residence Inn line (a hotel line designed for an extended stay). Through subsequent marketing research Marriott found that this segment had room to expand to a more value-priced line as well. Again, responding to this research, Marriott introduced TownePlace Suites (a value-priced extended-stay hotel line). Some of the guests at the Residence Inn or TownePlace Suites spend up to six months to a year at the same hotel. At the high end, Marriott offers fuller service and higher prices with its Hotel Resorts & Suites and its Renaissance upscale business properties. According to Marriott’s research estimating potential demand, the size of this high-end segment is substantial. With all of these hotel lines, Marriott continues its commitment to quality that began with John and Alice Marriott. Knowing from research that all hotel residents desire quality, Marriott strives to provide this in all facets of M13_MALH6735_01_SE_C13.indd 1 11/7/13 6:11 PM 383b Part 3 | DATA COLLECTION, ANALYSIS, AND REPORTING the hotel service. One way in which Marriott demonstrates this is by empowering its customer service representatives to address customer problems. Although each of the various Marriott brands has worked hard to carve out a niche for itself, they all share the Marriott brand identitythe key ingredient to their success. According to Gordon Lambourne, vice president of marketing and public relations, the Marriott brand identity is all about commitment to service excellence: a strong focus on employees that work in the hotels, taking care of these associates so that they can really focus on their jobs and provide a level of service that customers demand and expect today that is consistent throughout the global Marriott brand. Each of Marriott’s hotels has a different personality with a distinct design and service level that make the guests feel like they are in London or Munich or Paris, but all these hotels have a common thread running through them that identifies them as Marriott hotels. The numerous Marriott brands, rather than creating competition for each other, actually help cultivate and sustain business. According to Gordon Lambourne, each brand does an excellent job of appealing to its particular segment, because each has its loyal following, and each markets itself independently and as part of a group that is a portfolio of brands. However, there is some crossover, but Marriott views it as a great opportunity to serve customers whose needs may change. So a customer looking for an extended stay might prefer the Residence Inn, but choose a full-service hotel such as the Renaissance for a shorter trip. So whatever the customer prefers at any time, whatever that need might be, Marriott is well positioned to capture that customer and that piece of business. Conclusion Marriott has been highly successful in using marketing research to develop a segmentation strategy of targeting a large range of different customers with different needs by providing a strong variety of products and options. The diverse offerings have helped Marriott appeal to an increasingly wide spectrum of clients and win greater business. Continued reliance on marketing research will be critical to Marriott’s success in the future. Questions 1. Discuss the role that marketing research can play in helping Marriott formulate sound marketing strategies.Marketing research can help Marriott as Marriott found that it could have many types of hotels serving different market segments, within these segments, she is able to provide the basic needs that would not compete with each other. 2. Marriott would like to further penetrate the non-business-travellers segment in the United States. Define the management decision problem. Ramada line is what the Marriot will be called for the non-business travellers which will accommodate the more focus groups of a more family-style vacation market, with a focus on comfort and affordability. As well as a family or a basic business traveller on a budget might be looking for a convenient location in addition to affordability. 3. Define an appropriate marketing research problem based on the management decision problem you have identified.The appropriate marketing research that took place to back the information found in question #2 is that the Marriott conducted a survey based on many different types of travellers. Which Marriott came up with the idea of having different hotels for the desired traveller that wishes to stay with so that each traveller has their needs met to the fullest. 4. What type of research design should be adopted? Justify your recommendation.The type of research that should be adopted to help Marriott is by using qualitative research. The reason behind why we as a group think this is because within the Marriott they conducted a survey to gather information about non-business and business stays with the Marriott industries as there are many different hotels supported by the Marriott giving each and every single person that is to stay with them the experience, satisfaction, and meetings every needs that is possible. 5. Use the Internet to determine the market shares of the major hotel chains for the last calendar year, globally and in the United States. The United States is the largest on the market with a share of approximately 30%. It is then followed by China and Europe. Marriott International is the largest hotel chain with a variety of different types of hotels that add up to 7500 hotels. The global top 4 manufacturers hold a share of about 25%https://www.globenewswire.com/en/news-release/2021/07/08/2259694/0/en/Global-Luxury-Hotels-Market-and-Luxury-Travel-Market-Size-and-Share-2021-By-Industry-Demand-Worldwide-Research-Healthy-CAGR-Leading-Players-Updates-Emerging-Trends-Investment-Oppor.html6. What type of internal secondary data will be useful to Marriott? Internal data includes data that already exists and is stored within the organisation. In this case, the internal data that is useful to Marriot is the information they have gathered through focus groups and survey research. Marriot found that having different hotels to serve different market segments would be beneficial while still avoiding competition amongst each other. Using this internal secondary research, Marriott found that travellers who have stayed in Marriotts hotels for more than a few nights required different needs, and therefore adapted to those different needs. 7. What type of syndicated data will be useful to Marriott? CH 3 pg 74-79Syndicated data is general market data that is not specific to one client or business. It is normally collected by market research firms and is then sold to different businesses. It is very similar to secondary data in the fact that it is stored data available for companies to gather.. Information like different geographic markets to know where most of the clients are coming from and what needs they may have based on where they are coming from could be discovered or even reports of clients that have stayed at different hotel chains and the experience they had with them could help marriott change and improve the different hotels and stays that they offer in order to be the top hotel chain in the world. 8. Discuss the role of qualitative research in helping Marriott further penetrate the nonbusiness-travellers segment in the United States.Qualitative research is a technique used to gather non numerical data. Examples of the research that would have been used in order to help Marriott grow is information such as who is staying at the hotels, and why they are staying at our hotel. They used this information to come to the conclusion of what the traveller’s needs are. If they are business travellers they require different needs therefore each hotel has been specifically made in order to accommodate all those different needs. 9. Marriott has developed a new hotel package for families on a vacation. It would like to determine consumers’ responses to this package before introducing it in the marketplace. If a survey is to be conducted to determine consumer preferences, which survey method should be used and why? P125There are two types of methods that come to mind but I am thinking the best one is an online survey. The reason be is that most people will book their hotel rooms online and when they book the room or even before you can have the survey on the website that advertises the new hotel package for families. Then you are able to get the consumer’s opinion on it quite easily.10. In what way could Marriott make use of experimentation? What specific experimental design would you recommend? We think a way they could run an experiment on families and when they have them checking into the hotel they could upgrade them for free to a new package deal they are trying out or a new special room they need opinions on and all you ask them to do if they agree to partake in the experiment is for them to fill out a survey after for them to express likes, dislikes, and recommendations.11. Illustrate the use of the primary scales for measuring consumer preferences for hotel chains?Qualitative in the ordinal scale of measurement, they would use this scale because it is used to determine satisfaction on a scale of 1 is satisfied and a 4 is unsatisfied. So they would use it to ask the preferences about their hotel chain and the answers would be used to determine how satisfied they are and the preferences of the hotel chain.12. Develop Likert, semantic differential, and Stapel scales for measuring consumer preferences for hotel chains. M13_MALH6735_01_SE_C13.indd 2 11/7/13 6:11 PM Chapter 13 | Report Preparation and Presentation 383c I will help- joLikert scales will ask consumers to agree or disagree with a statement while a semantic differential and Stapel scale will get them to rate it on an order continuum.How did you like your stay at the hotel?1 hated, 2 disliked, 3 neutral, 4 liked, 5 loved itHow likely are you to recommend this hotel to others?1 very not likely, 2 not likely, 3 neutral, 4 likely, 5 very likely. 13. Develop a questionnaire for assessing consumer preferences for hotels while on vacationOn a scale of 1-5, how important are the following to you, when it comes to your stay in our hotel?1 being not important at all and 5 being very important 1. How important is the cleanliness of your to hotel room to you? 1 2 3 4 5 2. How important is a friendly attitude of the staff to you? 1 2 3 4 5 3. When it comes to hotel room pricing, how important is affordability to you? 1 2 3 4 5 4. How important is the Hotel’s location to you? 1 2 3 4 5 5. Do amenities such as an on-site dining options or a swimming pool play a factor when deciding on a stay with a hotel? 1 2 3 4 5 6. How important is it to you that your hotel room be quiet? 1 2 3 4 5 7. Does having security on fty7site of the hotel play a factor when making your decision on where to stay? 1 2 3 4 5 8. Is comfort during your stay something you consider when booking a room? (High quality mattress’s, pillows and blankets). 1 2 3 4 5 14. What sampling plan should be adopted for the survey method you recommended in question 9? It was recommended that an online survey be used to determine consumer preferences. The sampling plan that should be adopted for this survey method should be the non-probability sampling approach because it includes convenience sampling – this would allow the survey to be posted directly on the hotel’s website and visitors to the site are invited to respond. To obtain objectivity, the questions should be focused on helping to meet objectives and ensure the questions provide direct data to meet your objectives. Use closed ended questions whenever possible and keep the questions simple. 15. How should the sample size be determined for the survey method you recommended in question 9?For an online survey, the sample size used in a study should be determined based on the time, cost or convenience of collecting the data, as well as the need for it to offer adequate statistics.To determine the sample size for an online survey, the following should be considered: -Diversity of target population-Degree of precision-Sample design and method -Budget-Number of break variables for analysis 16. How would you conduct the training and supervision of the field workers for the survey method you recommended in question 9? 17. According to Marriott’s vice president of marketing and public relations, quality, price, service, amenities, comfort, and convenience are all independent variables that affect the preference for a hotel chain. Assume that in a survey of hotel chains, each of the independent variables is measured on a 7-point scale, with 1 = poor and 7 = excellent. Preference for hotel chains is also measured on a 7-point scale, with 1 = not at all preferred and 7 = greatly preferred. Each respondent rates Marriott and three competing hotel chains on all the independent variables as well as preference to stay there on a vacation. What statistical technique(s) would you use to answer the following questions? a. About 13 percent of the respondents have missing values on one or more variables. How would you treat the missing values? b. A question asked the respondents to check as many of the seven hotels that they had stayed in the past three years. How should the data for this question be coded? c. The sample is divided into two groups: regular patrons of Marriott and patrons of other hotels. Is patronage associated with the customers’ respective incomes (defined as high, medium, and low)? How would you test the statistical significance of the observed association and what statistic would you use to measure the strength of association? d. Is hotel patronage as defined in question 17c associated with family size (defined as small or large)? How would you test the statistical significance of the observed association and what statistic would you use to measure the strength of association?e. Is preference related to each of the independent variables considered individually? What is the nature of the relationship you expect? f. Is preference related to all the independent variables considered simultaneously? g. Do the respondents evaluate the hotel chains more favourably on quality than they do on price? Formulate the null (H0) and the alternative (H1) hypotheses and specify the appropriate test. h. Do the two groups of question 17c differ in terms of their ratings of Marriott on quality? Formulate the null (H0) and the alternative (H1) hypotheses and specify the appropriate test. i. The goal of the management is that the mean preference of consumers for Marriott exceeds 6.0. Has this goal been achieved? Formulate the null (H0) and the alternative (H1) hypotheses and specify the appropriate test. 18. What charts and graphs would you use in preparing a report for Marriott? 19. If marketing research was to be conducted in Japan to determine consumer preferences for hotels, how would the research process differ? 20. How can Marriott make use of social media to enhance the effectiveness of its marketing research? Social media can enhance the effectiveness of marriott research in the following waysPosting pictures and videos of the hotels regularly on the organisation’s facebook, instagram page to create more awareness and generate traffic.Social media could also be used to make prospects and customers aware of the promotion pricing,events and Social media also helps to have a deeper knowledge of the interests, lifestyles, desire and needs of customers and also monitor changes in the industry.Social media will also help give an insight into what the competitors are up to21. Discuss the ethical issues involved in researching consumer preferences for hotels. Employee theft: Arts & Humanities Communications Marketing BA 2200 Share QuestionEmailCopy link Comments (0)


