Marketing Strategy of Radisson BLU †Free Samples for Students

Question: Discuss About the Marketing Strategy of Radisson BLU? Answer: Introducation: Radisson Blu is an international hotel industry that having its operations in UAE with top five star luxury hotels at different locations in UAE country. It uses following ways of segmenting the target markets for its DUBAI DEIRA CREEK Hotel:- Demographic segmentation- Radisson Blu uses this method to segment the market on the basis of demographic differences, such as age groups, gender, marital status, family size, background, professional status, income level, mobility, social status, and life cycle stage for targeting the customers on the basis of the needs of different groups(Selligent, 2016). Behavioral segmentation- Radisson Blu segments the target market based on the behaviors, attitudes, perceptions, trip planning, life styles, and pattern of exchange, purchasing and using the money, leisure activities, and decision-making of the tourists. For ex- during holidays or festivals, the tourists or travellers have great demand of the tourism attractions, leisure trips, and hotels for accommodation. Geographic segmentation- This is another way of segmenting the target market into subsets of the customers on the basis of geographic locations of the customers, such as country state, area, regions, cities, district, suburb, and postcode. This segmentation method is effective for the hotel company to access the large customer segments by dividing the market into different customer segments and to make the planning for them accordingly (Bhasin, 2017). Psychographic segmentation- this is a way of segmenting the target market into different customer group based on the life styles, social and personality characteristics, buying behaviors, social standings and awareness, and the interests, activities, and expectations of the people to define the target markets. Segments targeted by Hotel Radisson Blu, DUBAI DEIRA CREEK hotel targets the segmented markets on the basis of demographic, geographic, psychographic, and behavioral variables. Dubai Deira Creek hotel of Radisson Blu is ranked amongst top fivestar hotels of the UAE. It targets different categories of the customers from different backgrounds, class, and income levels according to their requirements and expectations.It majorly has been targeting the business class travellers, honeymooners, wedding parties, high income group of the customers. Its primary targets markets are high class of rich and wealth people having great demand for the top five star hotels and resorts with the luxury accommodation and guest service facilities(Radisson, 2016). Dubai Deira Creek hotel is targeting big business house, professional clients having needs for the banquet halls and space for the staying of the attenders for the meetings, seminars, conferences or promotional events. The hotel has also been targeting the educational inst itutes, colleges, and campus for the needs of hotels and resorts for staying of the international students while visiting the leisure tours or outdoor visits. Positioning of Radisson Blu in the market against the competitors Radisson Blu, Dubai Deira Creek hotelis ranked among the top hotels in the UAE as well as in the world. The hotel usesthe market positioning strategy to place itself among the top hotel companies in the UAE hospitality industry. It uses the positioning strategy to attain the competitive advantage in the UAE hotel industry despite of close competition from direct competitors, such as Marriott International Hotels, Hilton hotels, and Holiday Inn as well as indirect competition from the restaurants, and substitutes (Wang and Pizam, 2011). The market positioning assists to gain the high brand awareness and loyalty of the customers into Radisson Blu, Dubai Deira Creek hotel for making a good brand presence into the customers against the competitors. The trademark image, intellectual rights, logo, and social media platforms of Radisson Blu hotel create the lasting impression of the brand into the customers mindsets and encourage them for the advance booking of the guest rooms while visitin g the outdoor tours or leisure activities of the travellers. Products and service offerings to sustain competitive advantage Radisson Blu, Dubai Deera Creek Hotel is aimed at maximizing the guests satisfaction by providing the luxury guest room service facilities to the business travellers or tourists through its top five star hotel service facilities(Bhasin, 2017). The hotel offers the high quality and exclusive luxury guest room service facilities with the excellent way of servicing the customers that are highly standardized and different from the competitors(Hilton Hotels, Marriott international hotels, and Holiday Inn). For example, Yes I Can policy is a feature of the hospitality services of Dubai Deera Creek hotel that assists to become the leader and amongst top most lists hotels in the UAE hospitality industry. This policy portrays a positive attitude while dealing with the guests with the main theme of 100% guest satisfaction. The employees at Radisson Blu, Dubai Deera Creek hotel are committed to the guest satisfaction with standardized customer services, if the guests not satisfied with the services offered, the travellers or guests are not required to pay a single penny(Chon, Nykiel, and Jascolt, 2012). Along with this, the customers or guests have options to choose the rooms of their class, standard, living style, expectation, and budget. The hotel offers the luxury guest room service facility with different design rooms with the entertainment, amusement, parks, sports, gym, and other guest service facilities for 100% satisfaction of the guests or travellers. Ansoffs matrix- Market Development- this is a strategy that could be used by the hotel to target new customers from new markets, such as Brazil, and other countries of Middle East with the existing products or service offerings(Ray and Nilanjan, 2015). Product development- this growth strategy will provide a platform for the hotel to operate the businesses with the existing market segments by developing new products or service offerings. Diversification- this is another growth strategy that will provide the firm an opportunity to grow the businesses by differentiation the business operations with the introduction of new products into the new market BCG matrix- Stars- these are market leaders with high market growth and the relevant high market share. These are profitable business units that provide the firm the competitive advantage with huge market growth and high market share in the relevant industry. Cash Cows- these are business units with low growth and high market share. These are foundations of the hotel industry and the stars of yesterday. These units generate more cash than required. These extract the profits by investing as little amount of cash. Dogs- these business units have low growth in low market share. These operate at declining stages in the mature markets and dont have potential to generate the cash and profits of the company. The hotel will not like to invest into these units because these units will not create profits, revenues, and growth opportunities for the firm. Question Marks- these are stars of the future with high growth and low market share. These business units will absorb the great cash, more profits, and large revenues when the market share remains unchanged. These units have potential to become stars and eventually the cash flows are less then will become dogs. Dubai Deera Creek hotelwill make huge investment into these business units. Placement strategy of Radisson Blu to provide customer convenience In the UAE, Radisson Blu has a range of five star hotels, Radisson Blu, Dubai Deira Creek hotel, Radisson Blu Hotel, Dubai Media City, and Radisson Blu Residence, Dubai Marina hotel are some popular hotels of Radisson Blu in Dubai city. Radisson Blu, Dubai Deira Creek hotel is one of the most popular hotels of Dubai that is located in Deira Creek Area of Dubai at the distance of 7 km far from Dubai International Airport. This hotel was built in 1975 that suits to the business class of the travellers, honeymooners, wedding parties, and high class of leisure travellers. It has 275 rooms, fitness club, entertainment and sports facilities to provide the guest rooms service facilities to the leisure travellers or tourists . (Chon, Nykiel, and Jascolt, 2012). It also includes 12 meeting rooms, business center, conference room facility, and banquet hall to meet the needs of the business class customers or professional groups.It also offers the online booking facility for the advance booking of the guest room services for the leisure travellers as well as conferencing facilities, banquet hall booking, business center for the meetings, seminars, and events with the internet connectivity to the business travellers or professi onal groups. Pricing strategy Radisson Blu, Dubai Deira Creek hotelhas different pricing policies including premium, luxury, and medium pricing rates for targeting the business customers including business travellers, leisure tourists, honeymooners, wedding planners, professional groups and international students. The class of the customers, market size, industry competition, customer demand pattern, and disposable income of the people are some factors that influence the pricing strategy of the hotel. It adopts the premium pricing and high-scale pricing policy that are designed to meet the needs of high or upper class of the customers who are not bothered with superiors.Radisson Blu, Dubai Deira Creek offers the standardized and luxury hotel service facilities with superior hospitality services. For mid-sized hotels, it adopts mid-pricing strategy that is cost effective, reasonable, and affordable to the average or medium income group customers(Selligent, 2016).The hotel also implements the promotional pricing po licy to its regular and loyal customers by offering the discounts and incentives on the sale of hotel room bookings. Promotional Strategy The promotional strategy of Radisson Bluis aimed at promoting the hotel businessesor hospitality services of the Dubai Deera Creek hotel by using the appropriate promotional campaigns to create the high brand awareness and loyalty of the customers into its branded hospitality services. It uses the advertising, personal selling, sales promotion, public relations for achieving the business purpose of the hotel of accessing the large number of business travellers, professional service groups, or high class and rich customers and to persuade them for the large number of booking of the hotels rooms for their leisure accommodation as well as booking for the hotel rooms and banquet halls for their professional purposes for the meetings, conferences or professional events(Radisson, 2016). Additional elements of the extended marketing mix The additional elements of the marketing mix of Radisson Blu include people, processes, and physical evidence or aspects that are following as- People- Radisson Blu, Dubai Deira Creek hotelemploys the skilled, trained, and experienced staffs for different posts as perthe hotel requirements including chefs, hotel managers, receptionist, and service staffs for servicing the effective customerservices of their high class, standards, and living styles as per their requirements and expectations. Processes- The processes of this hotel of Radisson Blu are highly standardized and structured to cater the accommodation or guest room services and foods standards for meeting the needs of different class of the customers or travellers with 100% guest satisfaction. Physical evidence- the physical aspects show the physical evidence of this hotel of Radisson Blue in the form of its brand presence, logo, trademark, and intellectual assets(Kaynak, 2013). Recommendations for improvements to the marketing mix Radisson Blue, Dubai Deera Creek hotel shall offer complete product portfolio or service facilities to different class of the tourists, travellers or guests including guest rooms, foods and beverages, parking facilities, express check-in checkout services, entertainment, recreational facilities, and health and wellness activities from the hotels, resorts, and restaurants to the leisure travellers for their family trips. It should offer the business class travellers or professional clients groups the completed hotels business facilities, such as banqueting hall, video conference facilities, executive longue, travel disk, business center, and good in-room internet connectivity services(Goodalland Ashworth, 2013). It should determine the pricing strategy according to the class of the customers, family size, type of professional groups, seasonal demands, festivals, and holiday tours. It should more focus on the social media promotional campaigns, such as link with YouTube channel, twitter and Facebook accounts, TripAdvisor, Yelp, Google+ page, and other social platforms, billboard advertising, Hoardings, television commercials, Hotel pens pencils, scratch pads with hotel logo and Airbus advertising (Hotel Set up, 2016). It will also be effective for Dubai Deira Creek hotel to use both direct (TripAdvisor, Global Distribution System (GDS), Hotel Website Booking System (WBS), print media and social media advertisements, and personal contracts through direct calls). It should also use indirect sales through the hotel sales team rand indirect distribution methods (Travel agencies, independent travel agents, event planners, independent hotel representatives, online travel agents (Expedia, Agoda, and Booking.Com) and online travel portals (TripAdvisor, HotelIQ, and Yelp). Recruitment and Staffing policies with the motivational techniques for the employee satisfaction Radisson Blu, Dubai Deera Creek hotel is of the leading hotels of the UAE that employs the skilled, expertise, and experienced service staffs having the adequate job competences, educational qualification, and communication skills for representing the guests or tourists the standardized hospitality services of their standards, living styles, and business class. It recruits the external candidates through its own website, external recruitment agencies, online job placement websites (Monster, LinkedIn), and job portals through the advertisement in the magazines, newspapers, brochures, and job alert websites. It also uses internal recruitment either through retaining the existing service staffs for higher posts or employee referrals(Tsiotsou and Goldsmith, 2012). The hotel service staffs are provided the cultural diversity with the training and development programs, learning and cohesive culture, safe and healthy working conditions, flexibility of the working practices or shifting of hours, and adequate pay structures, and reward system for enhancing the employees job satisfaction and confidence. The motivational theories, such as Maslows hierarchy needs theory is practiced and applied to the organization of Radisson Blu hotels. This theory enhances the morale, job satisfaction, and performance level of the employees by encouraging the hotel staff members for achieving the psychological, self-esteem, belongingness, self-actualization, and safety needs to give them the high level and long-term motivation to perform their duties, roles, and responsibilities effectively. References Bhasin, H. (2017). 4 types of Market segmentation and how to segment with them. [Online]. Available at: https://www.marketing91.com/4-types-market-segmentation-segment/. (Accessed: 5 May 2017). Bhasin, H. (2017). Marketing Mix of Radisson Hotels. [Online]. Available at: https://www.marketing91.com/marketing-mix-radisson/. (Accessed: 5 May 2017). Chon, S. K., Nykiel, A. R., and Jascolt, E. (2012).Marketing Your City, U.S.A.: A Guide to Developing a Strategic Tourism Marketing Plan. USA: Routledge. Cram 101 Textbook Reviews (2012).e-Study Guide for: Progress in Tourism Marketing: Business, Business. London: Cram 101 Textbook Reviews. 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