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Hospitality Promotion

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  1. Hospitality Promotion

  2. Unit Essential Question What are the various promotional strategies used in travel and tourism?

  3. Essential Question 1 What are the four types of promotion and how do they relate to the promotional mix?

  4. What is promotion? • Any form of communication used by a business to inform, persuade, or remind people about its products and improve its image. • There are two forms of promotion: • Product • Institutional

  5. Types of Promotion • Advertising • Publicity • Sales Promotion • Personal Selling

  6. Sales Promotion • Usually involves short term activities. • Offers some type of incentive to make a purchase. • Can be successfully used in all channels of distribution.

  7. Personal Selling • Oral presentations to one or more potential buyers with the intent of making a sale. • The responsibility of sales personnel. • The most flexible and individualized type of promotion available.

  8. Strategies for Success • Partnerships • Transportation – Airlines, car rental agencies, cruise lines, etc. • Credit cards – MasterCard, Visa, Dinners Club, American Express, etc. • Intermediaries • Travel agents • Tour operators

  9. Promotional Mix • Promotional Mix: The combination of advertising, publicity, sales promotions and personal selling strategies.

  10. Essential Question 2 What is personal selling and how is it accomplished?

  11. What is Selling? • Helping Customers make satisfying buying decisions - The kind they will be happy with after the sale.

  12. Goals of Selling • To ensure customer satisfaction so the firm can count on repeat business. • To help customers decide on purchases.

  13. Feature - Benefit Selling • The concept that a salesperson needs to match the features of each product to a customer’s needs and wants. • Product Features: A physical characteristic or quality of a good or service that explains what it is. • Tangible Product Feature: Physical characteristics of a product. • Extended Product Features: Although not always physically part of the product, important in the purchase decision.

  14. Feature - Benefit Selling • The concept that a salesperson needs to match the features of each product to a customer’s needs and wants. • Customer Benefits: Advantages or personal satisfaction a customer will get from a good or service. • How does the feature help the product’s performance? • How does the performance information give the customer a personal reason to buy the product?

  15. Essential Question 3 What takes place during each phase of the sales process?

  16. Steps of A Sale 1.Pre-approach:Looking for customers and getting ready for the sale. 2.Approaching the customer:Actually greeting the customer face-to-face. 3.Determining needs:Learning what a customer is looking for.

  17. Steps of A Sale 4.Presenting the product:Educating the customer about the product’s features and benefits. 5.Handling questions and objections: • Learning why the customer is reluctant to buy. • Providing information to remove that uncertainty. • Helping the customer make a satisfying buying decision.

  18. Steps of A Sale 6.Closing the sale: Getting the customer’s positive agreement to buy. 7.Suggestion selling: Suggesting that the customer buy additional merchandise or services. 8.Reassuring and following up: Helping a customer feel that he or she has made a wise purchase.

  19. Essential Question 4 What is advertising and publicity and how do they compare and contrast?

  20. Advertising • Paid presentation of ideas, goods, or services directed toward a mass audience.

  21. Types of Advertising • Product: • Creates an interest in the product. • Introduces new products and businesses. • Explains a product. • Supports personal selling efforts. • Creates new markets. • Institutional: • Creates a favorable impression and goodwill for a business or an organization. • Presents information about the companies role in the community.

  22. Advertising (Print Media) • Newspaper TIMES Finance News • Magazines

  23. Advertising (Print Media) • Direct Mail • Outdoor Advertising

  24. Advertising (Print Media) • Directories • Transit Advertising

  25. Advertising (Print Media) • Other print media.

  26. Advertising (Broadcast Media) • Television

  27. Advertising (Broadcast Media) • Radio • Internet

  28. Publicity • Builds a business’ image. • Publicity is free. • Not much control over the message being sent to the public.

  29. Types of Publicity • News Releases • Feature Articles • Photos • Press Conference • Public Relations

  30. Essential Question 5 What are the various types of sales promotions used in hospitality marketing?

  31. Sales Promotion • Usually involves short term activities. • Offers some type of incentive to make a purchase. • Can be successfully used in all channels of distribution.

  32. Licensing : Partnering with another business, organization or celebrity to license, for a fee, their logo, trademark, name and likeness, personal endorsement, etc. to be used in promoting the hotel or restaurant. Example: A celebrity endorses a particular restaurant or hotel. Types of Sales Promotion

  33. Promotional Tie-Ins: Promotional arrangements between two or more companies who combine their resources to do a promotion that will result in increased sales for each partner. Example: Carnival Cruise Lines offers a discount if you fly Delta Air Lines. Visual Merchandising: Floor, window, and counter displays as well as the business layout and general ambience. Types of Sales Promotion

  34. Premiums & Incentives: Coupons: Offers a discount on a product or service. Contests or games: May involve writing a short story or essay about a product or organization where the winner gets an all expense paid trip. Sweepstakes: A good example would be McDonalds’ Monopoly game. Rebates: A portion of the purchase price is returned to the customer. Specialty Items: Low-cost items such as pens, key chains, and calendars. Types of Sales Promotion