Catering and Accommodation Management  ·  Level 6
Marketing Skills
Chapter 2: Apply hospitality service marketing strategy,
📚 6 Topics
⚑ What you will be able to do

By the end of this chapter, you will be able to:

  • gather market information accurately by following the correct work procedures
  • identify different market segments clearly and correctly
  • develop marketing decisions appropriately while following workplace policies
  • apply marketing strategies effectively using the right work procedures

These skills will help you confidently contribute to successful hospitality marketing, making your service stand out and attract the right customers!

Compiled by: Bonface Ochieng

The hospitality industry in Kenya is highly competitive, particularly in catering and accommodation management, where customer preferences and market dynamics continually evolve. A well-crafted hospitality service marketing strategy allows businesses to position themselves effectively, attract and retain guests, and achieve sustainable profitability. Understanding key marketing concepts and applying them strategically is essential for hospitality managers to respond to customer needs and market trends with agility.

2.1 Definition of Terms

The terminology used in hospitality service marketing forms the foundation for clear communication and effective strategy implementation. Professionals in the catering and accommodation sectors must master these terms to coordinate marketing activities, interpret market data, and align services with customer expectations.

Marketing environment

The marketing environment is the combination of internal and external factors, such as staffing, suppliers, competitors, regulation and the economy, that influence an establishment's ability to serve its guests profitably. Managers scan this environment regularly, because a change in any factor, such as a rise in food supply costs, can affect pricing and service decisions.

Marketing information

Marketing information is the data an establishment gathers about its guests, competitors and market conditions, used to guide marketing decisions. This includes feedback forms, booking records, website enquiries and reports on competitor pricing, all collected and reviewed so that plans rest on evidence rather than guesswork.

Competitors

Competitors are other establishments offering similar accommodation, food or event services that guests may choose instead of the establishment in question. Knowing who the competitors are, and what they offer, helps management decide how to position its own services and prices.

Market strategies

Market strategies are the planned approaches an establishment follows to reach its marketing objectives, such as a strategy to attract more corporate bookings or to build repeat weekend trade. A clear strategy guides which channels, messages and offers the establishment uses, rather than marketing being carried out without direction.

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🔒2.2 Market Information

Market information gives an establishment the facts it needs about its guests, competitors and the wider market, so that marketing decisions rest on evidence rather than guesswork. Customer information is data on guest preferences, booking history and feedback…

🔒2.3 Market Segmentation

Market segmentation is the process of dividing a broad market into groups of guests who share similar characteristics, so that an establishment can design services and messages that fit each group. Demographic segmentation groups guests by measurable traits su…

🔒2.4 Marketing Decisions

Marketing decisions are the choices an establishment makes about its service, price, distribution and promotion, which together shape how it reaches and serves its guests. Product decisions cover what services an establishment offers, such as the standard of i…

🔒2.5 Marketing Strategies

Marketing strategies are the broad approaches an establishment follows to reach its guests and build demand for its services. Digital marketing strategy uses online channels, such as a website, social media and email, to reach guests, share offers and take boo…

🔒2.6 Importance of Marketing Strategy

A marketing strategy guides an establishment's efforts so that resources are used effectively and consistently. A marketing strategy sets out what the establishment aims to achieve and how, so that every marketing activity works towards the same goal rather th…

Chapter Summary

This chapter explored key terms related to hospitality service marketing, establishing a clear understanding of foundational concepts. It highlighted the importance of market information, particularly how customer data guides effective marketing decisions. The discussion then focused on market segmentation, explaining how dividing the market into distinct groups allows for targeted marketing efforts. Various marketing decisions were examined, emphasizing choices around product, price, place, and promotion that influence service success. The chapter also covered different marketing strategies that hospitality businesses can employ to attract and retain customers. Finally, it underscored the significance of a well-crafted marketing strategy in achieving competitive advantage and meeting customer needs efficiently.

Self-Assessment

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A. Written Assessment

  1. Define the term market segmentation and explain its importance in hospitality service marketing. (4 marks)
  2. Identify and describe three key types of market information relevant to a hotel’s marketing strategy. (6 marks)
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Chapter Examination Questions

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SECTION A (40 Marks) - Answer ALL Questions

  1. Define market segmentation and explain its significance in the hospitality industry in Kenya. (4 marks)
  2. What is meant by customer information and why is it critical for catering businesses like hotels and restaurants? (4 marks)
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Am I competent?

At the start of this chapter we promised you would be able to:

  • gather market information accurately by following the correct work procedures
  • identify different market segments clearly and correctly
  • develop marketing decisions appropriately while following workplace policies
  • apply marketing strategies effectively using the right work procedures

Tick each one you can genuinely do.

So, are you there yet?

You're competent when you can confidently do 50% or more of what this chapter promised.

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