1. MARKETING – EVERYBODY’S JOB

2. THREE APPROACHERS TO THE
MARKET
A Product Orientation
A Sales Orientation
A Marketing Orientation

3. A PRODUCT ORIENTATION
 After WWII, hotel occupancy was at all-time high.
 Flushed by their success, hotel owners saw the new
roadside motels as a passing fad because they knew
what a good hotel was.
 However, 10 years later, the hotels were facing declining
occupancies and revenues.
 The roadside motels provide convenience and lower
rates
 The hotel operators thought that the products that they
designed were the most important success factor

4. A PRODUCT ORIENTATION
 Some restaurateurs have suffered from a similar
orientation.
 They defined what a restaurant was in terms of
their own tastes and preference – what they liked in
a good restaurant.
 In today’s marketplace, operations of this type are
disappearing and being replaced by those that are
in tune with customer demands.

5. A PRODUCT ORIENTATION
 Operators who have a product orientation, however,
have a point in that good products and efficient
operations are essential to an effective marketing
program.
 However, the right products alone are not enough
for success.

6. A SALES ORIENTATION
 Selling as the entire extent of marketing.
 Typified by the idea that the key to business
success is to “get out there and sell”
 When an operation offers products and services
that fit the needs and preference of its guest, selling
can contribute greatly to the success of the
operation. However, when guest’s tastes change,
the sales orientation is doomed to failure.
 Remember, satisfying the guest is the key to repeat
sales and a vital part of marketing.

7. A MARKETING ORIENTATION
 To adopt a marketing orientation, the reasoning
process about what we offer begins with
consumers’ needs and wants.
 A leading hospitality marketing researcher put it this
way:
 The sole difference between competitive restaurant
volumes is simply the netter definition of guest’ needs.
There may be many today who are foolish enough to
believe that consumers continue to come to your
restaurant just because of your offering…but they don’t!
Rather, they come to satisfy their own needs, which
happen, at the moment, to be satisfied by your products
and services. (Rice 1983)

8. THREE APPROACHES TO THE MARKET
Approach Stressess
Importance of
Advantages Weakness or
Problems
Product Our product
Our know-how
We know how to
do this
Offering
something
customers may
not want
Sales What we have to
sell
Our commitment
We can decide to
make this effort
May not result in
sales if customers
are not satisfied
Marketing Customers’ needs
and wants
Customers’ points
of view
Customers’ values
Recognizing new
needs may
stimulate
demands
We stress both
product and
selling efforts
Offerings change
with the
consumers
More difficult to
implement than
product or sales
approach
Requiring careful
analysis of
problems and
plans
Requiring more
than operating
know-how

9. MARKETING DEFINITION
The American Marketing Association defines
marketing as:
The process of planning and executing the
conception, pricing, promotion, and distribution of
ideas, goods, and services to create exchange that
satisfy individual and organizational goals.
(Bennet 1995)

10. MARKETING
 The marketing process, begins with customers.
 Specifically the process starts with a particular
group of customer, often called the target market.
 The activities that constitute marketing are often
referred to as the marketing mix, a term underling
the fact that marketing involves several related
activities.

11. THE MARKETING MIX
 Four P’s
 Product
 Price
 Place
 Promotion

12. THE MARKETING MIX
 Providing products (goods and services) that
consumer need or want
 Offering products in a place that is convenient to
the guests
 Setting a price that will generate a profit while
providing value to the guests and taking into
account the prices of competing goods and
services
 Informing prospective guest of the offering by
promotion, including advertising, personal selling,
and other forms of marketing communication

13. MARKETING AS A SOCIAL FORCE
 Broad definition of marketing describes it as “the
creation of satisfied customers.”
 Mayflower Hotel in Plymouth, Michigan, was about
to be foreclosed and the hotel was ready to go out
of business.
 Ralph Lorenz, a young man two years out of
college with come uncommon sense saw the run-
down old hotel as an opportunity.

14. MARKETING AS A SOCIAL FORCE
 Every plant had a bowling league, so he
approached company personal managers, union
officials, and bowling league officers with this
propositions:
“Bring your busloads of bowlers to my hotel for their
bowling banquets and I’ll give them the biggest T-bone
steak they ever saw for one dollar over my cost.”

15. MARKETING AS A SOCIAL FORCE
 Gradually, Ralph was able to reinvest the profits of
the bowling banquets to repair the hotel coffee shop
and dining room.
 The Mayflower Coffee Shop become a local
gathering spot, and, in time, the hotel’s reputation
for friendly, prompt service attracted people from
Detroit and beyond.
 Ralph and his hotel became a focal point in
Plymouth.
 An important point in this success story is that
Ralph recognized the needs of the market.

16. MARKETING AS A SOCIAL FORCE
 Short-run, he saw a need for low-cost, but big portion,
meals and used the space in an old, run down hotel to
fill that need.
 In longer run, he recognized the need for a local
gathering spot and invested the profits from bowling
banquets to refurbish his hotel so that it could become a
town center.
 In very long run, he recognized the need for a facility not
only to meet the demands for food and lodging but also
to provide focus for community.
 Members of the community rewarded his efforts with
repeat patronage.
 His friendly, efficient crew of “part-time marketers’ was a
big part of the success because it was they who
provided the service.

17. MARKETING AND SOCIETY
 Business organizations have come to realize that
they have responsibility to society and environment,
in addition to their traditional objectives of making a
profit.
 Marketing and public relations campaigns are
typically the vehicles used to deliver the message
that they care.
 E.g. : Mc’Donald’s

18. DISCUSSION QUESTIONS
 Why is marketing everyone’s job?
 What are the three approaches to the market? Why
is the marketing approach superior?
 What are the elements of the marketing mix?