CASE STUDY ON STRATEGIES OF SALES AND MARKETING FOR BUDGET HOTELS Essay

gross tax income & merchandising division of any hotel is the lifeline of the hotel. It is the department which check outs that the hotel stays in the impertinentlys (for positive activities), has near 100% occupancy at rates which tot up to the bottom line of the hotel Balance Sheet.In a nutshell, gross revenue & selling department is responsible for bring the line of credit to the respective hotel by way of OccupancyNumber of Rooms.Seminars & Exhibitions.Other events so as to ensure that Business centre of the hotel ar to a fault a net venture.SALES & merchandising department has 3 distinct functions1. exoteric Relations2. Event Management & its promotions3. Room Occupancy- Business group calculate hotels passing play low salute business hotel board for budget travel. The low price hotels offering blank to budgeted travelers. For a memorable and unbeatable sumptuosity hotel experience, budget Hotels argon the right choice for low price alteration travelers .Budg et Hotels Offer Low personify hotel manners of the art conveniences for international visitors like sumptuosity Ac Rooms, CCTV, Fridge, 24 hrs Room Service, Travel desk & Safe deposit, India Travel Packages etc.LITERATURE REVIEW agree to Kotler market is a social and management turn by which individuals and groups obtain what they consider and want by creating offering, and exever-changing increases of survey with some others. (Kotler, Philip, merchandise Management Analysis, Planning, Implementation & Control, 7th ed. 1996) In the Mind of the strategist Kenichi Ohmae defines grocery storeing dodging as an endeavor by a corporation to differentiate itself positively from its competitors apply is carnal k flatledge corporate authorisations to better satisfy nodes need, in a go againstn surround ascertainting (Khurana and Ravichandran, Strategic Marketing Management Concepts & Class 1995). Or in other words, tradeing strategy is a set plans or actions that attem pts to satisfy the customers expectations by the use of validations strengths so as to strength the firms localization in the competitive environment and leads to overall profitability and growth.Key equipment casualty (Reich Allen Z. 1997)Strategy Strategy refers to the plan for achieving a goal or target. Websters definition for strategy (a no(prenominal)n) is 1) The wisdom of planning and unionizeing and directing life-size-scale military operations, specifi telephone cally (as distinguished from tactics), of maneuvering forces into the most advantageous position prior to actual engagement with the enemy 2) Skill in managing or planning, e sp bely by using strategy (a plan for deceiving an enemy). (Rich Allen Z. 1997) 3) Another definition of strategy issomething an organization or uses in order to pull round or establish its legitimacy in a valet of competitive rivalry and numerous challenges to managerial autonomy. Rumelts (1979) definition stressed that strategy was w hat a firm used to ready and defend an asymmetric advantage in its product markets (cited in Thomas, 1993, p.3) Miles and Snow (1978) and Mintzberg (1978) agreed with the widely held view that strategy reflects a pattern in a stream of conscious managerial decisions, aimed at ensuring organizational adaptation. (Reich Allen Z. 1997) physical objectThe Aim of this study is to understand who the function of Sales & Marketing in Budget Hotel. . change accusives and strategy.Overview of the Sales division in terms of subject, location, hierarchy and functions. Key objections faced by the gross revenue personnel and the proposed solutions, system of sales budgets and sales forecasting.Reporting Format and Frequency.Size of the sales force.Sales Budgets.Factors taken into account art object assigning quota and territories.METHODOLOGYExplanatoryPRIMARY DATA Questionnaire,Research,Survey Method,Interview.SECONDARY DATA Internet, germane(predicate) Magazines,Relevant Books,Journals,Ne wspapers,Periodicals.LIMITATIONSDifficulties in collecting of front hand data.Its difficult to access the supervisory data.Constraints of date.Financial problem. wishing of co-operation mingled with the researcher and the data giver.BUDGET HOTELroot Corporation special (RCL) is a subsidiary of The Indian Hotels guild Limited (IHCL). Incorporated on December 24, 2003, RCL operates the first-of-its-kind category of offend complete principle hotel chain crossways the country. IHCL operates Taj Hotels, Resorts and Palaces, one of South Asias largest and finest group of hotels. The order was incorporated on 1902 by the founder of the Tata Group, Mr. Jamsetji Nusserwanji Tata and assailable Indias first luxury hotel, The Taj Mahal Palace Hotel, Mumbai in 1903.Launched in June 2004, the Smart fundamentals concept occasiond a revolution in the world of Indian hospitality. A GenNext category of hotels, they signify simplicity, convenience, informality, style, dotingth, recenti ty and affordability. The concept was certain in association with far-famed corporate strategy thinker, Dr. C. K. Prahalad, and the hotels pretend been indigenously designed and developed by IHCL. The first of the Smart rudiments hotel was shewed in Bangalore and was called IndiOne. Having staring(a)d the test marketing of the concept and subsequent fine-tuning of the hotel facilities and go, the Smart rudiments concept is now ready to roll outacross India. These hotels have been launched with a brisk name spice Hotels in sync with the fresh, simple-yet-stylish and warm world of Smart Basics. The peppiness Hotels argon strengthened around a unique concept that provides facilities to meet the key ask of todays traveler, at surprisingly cheap rates. They have created a bargon-ass category in the domestic hospitality landscape, musical composition giving a major(ip) fillip to Indian tourism and other ancillary industries. The primary heading behind the launch of thes e hotels is to provide a superior product offering and consistent experience to travelers, beyond the present offerings in the industry.CONCEPT OF LOW BUDGET HOTELS IN INDIA.The budget hotels in India ar acknowledge for their impeccable facilities and services that ensure a satisfying tour. The hotels argon dotted all over the beta tourist destinations since there be many budget travelers all over the world looking for cost effective accommodation. The tourists be going to benefit a lot from the budget Indian hotels that have tastily appointed rooms and provide customer centric services to the travelers during their tour to India. The impressive packages ar designed bounding in mind the taste, preference and likings of the tourists and are reasonably priced so as to wanton away it accessible even to the communal man. The budget hotels are well-acclaimed for their services and facilities that are always directed towards satisfying the ask of the clients. The hotels are pro fessionally managed and feature neat and clean guestrooms that are tastefully furnished with the most modern facilities and room amenities.Budget travel in India is becoming increasingly popular and all the four major metropolitans of India are visited by large bite of tourists each year. Thus to cater to their accommodation options, a large number of fine accommodations have come up that ensure an exclusive stay to the tourists. Though functional at low cost tariffs, the budget hotels in India also cater to the corporate needs of the guests who exonerate in to India for the purpose of business.SCOPE OF LOW BUDGET HOTELS IN INDIAIndia, a land of diverse cultures and unnumberable tourist attractions, is visited by millions of tourists e really year. The country is emerging as one of the fabulous tourist destinations of the world. Budget Hotels in India welcomes you for a hold dearable stay in any dwelling of India during your tour. Whether youre in India for a pleasure trip or on business, youre sure to go up a hotel that suits your preferences.Smart Basics is much more(prenominal) than a catchy phrase. It is a philosophy of providing intelligent, thought-out facilities and services at a cherish pricing. Smart Basics reflects the new spirit in which people live and buy the farm today.The emerging lifestyle which is visible in the degree to which individuals have taken control of their diverse activities viz. the use of electronic mail instead of letters as also the use of mobile phones, conference calls and video conferences to get things through quickly and efficiently.Essentially, Smart Basics signifies simplicity, convenience, informality, style, warmth, modernity and affordability. Simplicity and convenience in ease of doing business (awareness, booking channel, payment gateways) informality, style, warmth and modernity in its approach to product design, service philosophy and affordability in pricing. guest-driven uprightness We foreclose expectations and delight our patrons with convenient and modern facilities at an unsurpassed economic observeEntrepreneurship We sieve to take self- impart of the tasks we set and to create an environment that encourages and supports hatchway and appropriate risk-takingInnovation We swear that making meaningful changes to emend products, services and processes to create value for all stakeholders is an integral part of the daily work of the organizationValuing employees, partners and communities We suppose in nurturing and developing knowledgeable and external partnerships, balancing the growth of the core business while preserving ingrained resources and contri thoing to societySpeed and lightheartedness We deliver on promises with a genius of urgency and unmindful response timeFun, joy and zing We entrust that a happy employee leads to a delighted guestTYPE OF SERVICES AND HOSPITALITY PROVIDED BY THESE HOTELS.Food and Beverage optionsOur hotels have a myriad of option s when it comes to dining. We believe in giving you the best value in dining, as with everything else.The Square MealOpen for breakfast, lunch, dinner party and snacks20 Large screen TVWorld spot radioDial-a-mealOrder from a selection of menus from local eating places and bang the meal at our resturant,collect the food at the Give n Take counterSmart Basics Facilities and Services powdered ginger hotels have intelligently designed facilities and services, conceived with convenience and comfort in mind. Some of our features allow inThe Square Meal The Multi-Cuisine restaurant for a wholesome breakfast, lunch or dinner take in regularize For high speed internet connectivityConference Room (seats 80-100 people) or Meeting room (seats 8-10 people)Laundry mental quickness Express delivery (same day delivery) Give your clothes by 9.30 am and get them back on the same day.Gymnasium Equipped with treadmill, exercycle and ladings, air power bike, dumbbells, dual action poles with step per, wrist curler, limen chinning bar and punching bag, yoga matOn-site ATM From a selected set of approved/empanneled banksSecure parking 24*7 gage on-site monitoring by CC TVDoctor on callSmart Basics , Smart pricesWe have a heart and soully transparent pricing policy, with no isolated be and additional levies. We believe in giving you true value for your money. Smart Planet An eco initiativeAt Ginger Hotels, our values give special emphasis on environmental and ecological issues. We unceasingly work towards building a better and sustainable way of living by providing facilities to our customers without compromising on the environment. The steps taken by us speak volumes of the measures that have been taken to create a safer environment for the future.Smart SleepA intimately nights sleep is very cardinal as it renews the mind and rejuvenates the body. At Ginger, we understand the importance of a good nights rest and strive to make our guests incredibly comfortable. We off er state-of-the-art posturepedic mattresses, which provide adequate support, thus ensuring a good slumber. Our special mattresses wait on inProviding advanced pressure point reliefAbsorbing and redistri only whening pressure from your body weightDelivering the correct orthopaedic supportSensing body motion and responding with increased supportReducing tossing and playThese mattresses are complimented with duvets that offer softness and comfort to enhance the sleeping experience. Our exciting new range of bonny bed linen, our comfortable pillows, and sumptuous duvets add to your convenience and comfort. So, dont forget to sleep smarting the next time you are in Ginger Pune.*Smart Sleep is currently available in Ginger Pune.Smart Space RoomsAt Ginger, we believe in the luxury of simplicity. Our Smart Space rooms are designed with comfort and practicality in mind. You quite a little choose fromSingle Rooms saint for the lone traveller, yet does not compromise on any of the conve niences of the other rooms pair off Rooms Separate beds for those who travel togetherDouble Rooms A queen-size bed for your comfortFamily Rooms Perfect for a family of four (at Delhi and Durg wholly)Special Room to look after the special needs of the physically challengedOur rooms are packed with features, to make your stay a memorable experience. You nates find the pursuance amenitiesElectronic locks on doors17-inch wall-mounted flat-screen TV24-hour cable TV with all major channelsInternet connectivity Wi-fiMini-fridgeTea / coffee maker with complementary sachets of Tea/CoffeeSTD and local direct dial, sound mail and self programmed alarm on phoneFull-length mirrorErgonomic work theatreWardrobe and luggage rackSelf controlled ACBottled water, Posturepedic mattress, Duvets Every room has an attached bathroom with the following facilities24-hour running hot and cold waterBranded toiletries Body & hair wash, and hand wash shower areaBath and hand towelsSafe ZoneAt Ginger, we rea lise the importance of safety. Our hotels designed for total security and has security features like24-hour securityClose-circuit TV maintains records of all areas and visitorsSwipe card locks that offer the current in securityDigital safes located at the Give n Take counter at the lobbyGINGER HOTELS IN INDIA.Ginger Mysore provides DOT (Department of Tourism) approved three-star facilities including all the special features of Smart Basics much(prenominal) as Smart space, Safe zone, gymnasium, meeting room, self check-in stalling and is geared to make your stay comfortable and pleasant. Ginger offers clean, well-furnished and aesthetically designed accommodation equipped with amenities like mini-fridge, LCD TV, self-controlled A/c, tea and coffee maker and a telephone. COMPANY BACKGRAOUND AT HOTELSRoots Corporation profileRoots Corporation Limited (RCL) is a wholly-owned subsidiary of The Indian Hotels Company Limited (IHCL). Incorporated on December 24, 2003, RCL operates the fir st-of-its-kind category of Smart Basics hotels across the country. IHCL operates Taj Hotels, Resorts and Palaces, one of South Asias largest and finest group of hotels. The company was incorporated on 1902 by the founder of the Tata Group, Mr. Jamsetji Nusserwanji Tata and opened Indias first luxury hotel, The Taj Mahal Palace Hotel, Mumbai in 1903. Launched in June 2004, the Smart Basics concept created a revolution in the world of Indian hospitality. A GenNext category of hotels, they signify simplicity, convenience, informality, style, warmth, modernity and affordability. The concept was developed in association with renowned corporate strategy thinker, Dr C. K. Prahalad, and the hotels have been indigenously designed and developed by IHCL. The first of the Smart Basics hotel was launched in Bangalore and was called indiOne. Having completed the test marketing of the concept and subsequent fine-tuning of the hotel facilities and services, the Smart Basics concept is now ready to roll outacross India.These hotels have been launched with a new name Ginger hotels in sync with the fresh, simple-yet-stylish and warm world of Smart Basics. The Ginger hotels are built around a unique concept that provides facilities to meet the key needs of todays traveller, at surprisingly affordable rates. They have created a new category in the domestic hospitality landscape, while giving a major fillip to Indian tourism and other ancillary industries. The primary objective behind the launch of these hotels is to provide a superior product offering and consistent experience to travellers, beyond the present offerings in the industry. ContactRoots Corporation LimitedGinger Corporate OfficeGodrej & Boyce ComplexGate no. 8, plant no. 13 office buildingVikhroli (E)Mumbai 400079Phone +91-22-6777 3366Fax +91-22-6777 3377For reservations and enquiriesCall national toll-free number 1800 220 022 orcall our reservation network +91-22-66014634Email reservationsgingerhotels.comValue adde d servicesTaxi and travellers van serviceDoctor on callCheck-in, check-out12 noonSELF go INSave time and fuss with Gingers unique self check-in facility, which allows you to help yourself in without any assistance from the Front Office. The automated check-in kiosk, powered by Astrolife, has been introduced in India for the first time and our guests love it.SAFE governKeep your valuables safe and secure in the state-of-the-art security systems Ginger has installed for you. All rooms have electronic tamper-proof locks. You also have the option of using the digital safes at the Give n Take counter, at a very nominal charge.GIVE N TAKEKeep your valuables safe and secure in the state-of-the-art security systems Ginger has installed for you. All rooms have electronic tamper-proof locks. You also have the option of using the digital safes at the Give n Take counter, at a very nominal charge.GYMNASIUMAt Ginger, we realise the importance of process as a stress buster and as part of a hea lthy lifestyle. All our hotels have well-equipped gymnasiums with treadmills, exercycles, boxing bags, weights, etc. Please help yourselvesMEETING ROOMConduct your meetings and presentations at Gingers capacious conference rooms. Our meeting rooms seat about 8-10 people with boardroom style seating, wi-fi connectivity and audio-visual equipment. You need to inform us in advance if you wish to hire a conference room.NET ZONEStay connected to your favourite sites in cyberspace with our high-speed internet connection at Net Zone. For those who want to avail of wi-fi connectivity, we offer wi-fi cards on sale at the reception.CURRENCY EXCHANGEGinger hotels have a currency de doise facility where all major currencies and travellers cheques can be exchanged.WATER DESPENSERQuench your thirst with the complimentary bottle of mineral water in the minifridge in your room and, when you need a refill, just walk down to the water dispenser on your floor.VENDING MACHINES hawking machines have be en installed at all Ginger locations. These machines are equipped with an array of products ranging from juices to toiletries. This 24-hour service will remedy you the trouble of stepping out of the hotel for a purchase.VISION & MISSIONVISIONGinger is a fresh and warm experience, of an unsurpassed value. MISSIONWe provide smart, clean and safe hospitality offerings by adopting next-practices that constantly enhance value for our patrons. We are driven by respect for people and nature and passion for our stakeholders.VALUES node-driven excellence We anticipate expectations and delight our patrons with convenient and modern facilities at an unsurpassed value. Entrepreneurship We strive to take ownership of the tasks we perform and to create an environment that encourages and supports initiative and appropriate risk-taking. Innovation We believe that making meaningful changes to improve products, services and processes to create value for all stakeholders is an integral part of the da ily work of the organization. Valuing employees, partners and communities We believe in nurturing and developing internal and external partnerships, balancing the growth of the core business while preserving natural resources and contributing to society. Speed and agility We deliver on promises with a sense of urgency and short response time. Fun, joy and zing We believe that a happy employee leads to a delighted guest.11 HOTELSSituated on the airport road, Ginger Agartala provides favourable accessibility to every part of the city.Located close to the International Tech Park in Bangalore, Ginger Bangalore is ideal for the business traveller.Stay at Ginger Bhubhaneshwar in the heart of the city, within easy maintain of all historic cultural and business areas.Conveniently located close to the City Centre, Ginger Durgapur is in the residential part of town.Situated close to Har-ki-pauri in Haridwar, Ginger Haridwar is the first choice of pilgrims to the holy city. nest in the peac eful environs of the Vasanth Mahal road, Ginger Mysore is close to both the business and tourist centres.Located centrally in Satpur MIDC, Ginger Nashik is easily accessible from the bus stand, railway station and airport.Located in the French colony at Oulgaret Municipality, Ginger Puducherry is near to the airport.The Ginger hotel in Pune is in the Pimpri Chinchwad region, the industrial hub of the city.In Thiruvananthapuram, Ginger is located inside the sprawling Technopark campus.Conveniently located at Fatehgunj camp road, Ginger Vadodara is just 3km from the airport.COMPONENTS OF MARKETING strategyIn developing a marketing plan for a hotel, each of the following components, cognize as the 6 Ps of marketing system, are to be considered.1. People2. carrefour3. harm4. forward motion5. Package6. Performance1. People Who are the present and potential drop customers? Where are they? What are their needs, desires and constraints?2. reaping What are the existing or planned faci lities and services? How closely do they match? Do they salute correctly what the guests want and desire?3. PriceConsider the hotels need to operate at a profit while offering products and services which are competitive not only with other comparable hotel facilities, but with other products such as vacations abroad, second homes, camping and the suchlike.4. Promotion Utilize all appropriate confabulation media and merchandising tools Attract the attention of prospects See that the product and price are right5. Performance breathing up to what has been promised in every respect in order to maximize theguests length of stay, amount of spending, and loyalty, so that the guest becomes a ring customer and the hotels ambassador of goodwill.6. Package Comprises of incentives, including discounts and loyalty programs Attractive set of offers put together at what the customer perceives as a reasonable price Offers a good experience and value for moneyMARKETING MIXThe three elements o f marketing plans are as under.1. Customer or Prospect Mix Who are the present customers? Who are the desired customers?2. Service Mix What needs and wants of each group are now being met? What needs and wants of each group should be met in the future?3. Promotion Mix How is the involve being activated and sustained? How should it be? Promotion sashay includes Advertising, Promoting, merchandise and individualized changeVALUE AND WORTHValue is the customers estimate of the products capacity to his set of goals. Worth is the perception of the end between satisfied goals and the costs knotty in satisfying these goals. Good value is where worth is perceived as greater than the costs, and poor value where the costs are perceived greater than the worth.As consumer needs, wants and reads change, as emulation increases, and astechnology offers new opportunities, the process of creating a consumer-product relationship is also the process of managing change.Broadly, advertising, prom oting and merchandising whitethorn be described as the process of bringing the emptor and seller together once the needs of both these parties have been understood. packagingThe product in a hotel context constitutes a wholesome package on the offer, and attempts to satisfy and carry on The come across of the organisation Quality of the product and service Style of managementPrices Environment, facilities and servicesPromotion is an legal action directly concerned with the product. Promotion should inform the customers of the establishment, make them aware of its existence, persuade them to buy and convince them of the image and quality of the product. This is done by way of Personal sellAdvertisingSales promotionsMerchandisingPublic relationsAgentsPromotion is an act which mustiness be carefully planned and controlled. Usually the main objective of the promotional campaign is to stimulate demand by using persuasive messages to attract past users and new customers to the e stablishment. Such messages should convince prospective customers that the product on offer is good value for money.PERSONAL exchangePersonal selling is doe through contacts with local organizations and committees, or more directly through the restaurant staff talking to guests.All employees who are in contact with the customer must be do aware of the importance of selling the products to increase profits and provide a satisfactory experience for the customers.Personal selling is the most potent method of promoting sales where the seller has an opportunity to make a complete presentation of his sales story, answer all objectives, and follow through the computation of a sale with a signed order. All staff must therefore gain a good knowledge of the companys products and services, and develop good social dexteritys with an ability to promote and sell. Showing concern for the customers not only makes them feel comfortable, but also promotes sales and increases the effectiveness of t he establishment.ADVERTISINGAdvertising should convey messages which influence customer behavior. Advertisements should convey and result in An immediate increase in sales Awareness of the existence of the establishment Informing the public of the name and location of the establishment Telephones and faxes of the establishment Timings and dates of operation The type of offer room, restaurant, catering, leisure activities Style of food and drink offered Unique selling propositions and special features Whom to contact for whatAdvertising messages should define and explain Objectives of the advertisement Menu offering Target customers Media type to reach target Timing of the advertisement Budget Product differentiatorsThe medium used for the advertisement may be television, radio, newspapers, magazines and journals, Internet, pamphlets, brochures, posters, static poster sites, sponsorships, cinema and direct mailers. The selection of themedium depends on the budget and the target audience. Large hotel companies organize their own local campaigns. This requires that the hotel progresses and reviews the unlike stages in the preparation of various ads and be aware of the advertising production cycle. SALES PROMOTIONSales promotion is a day to day operation relating to discount offers, price reduction and special offers. They are designed to appeal to a certain section of the market or the target audience. Food festivals, for example, are held to promote cuisine and beverages of a particular region or country. A theme promotion may help the business and promote sales by way of volume of sales increased during off-peak periods by attracting new customers, gain publicity in the local media circle, and stimulate and interest regular groups. Follow up after sales is a very vital component of any promotional activity. MERCHANDISINGThe objective of merchandising in F&B is not so much to create new techniques, but to implement existing merchandising techniques to thei r utmost potential. A customer can hardly buy what he doesnt know, and so all merchandising and salesmanship should be directed to the five senses of sight, smell, taste, touch and hearing. base on these factors, we should analyze our restaurants in detail in order to establish adequate programs for improvement. Sight The most common technique in this category is the use of visual displays. These not only include static displays of result or ice, but also menus, tabletops, trolleys and carts, and the suchlike. Smell Aroma stimulates taste-buds, and the use of smell to sell is a very effective tool. Aromas used effectively in restaurants include freshly brewed coffee, exotic herbs and spices, and the like. Taste Whereas the success of a restaurant depends on the taste of the food, successful merchandising may include pre-order tasting and niblets. Touch Merchandising to the touch not only include various textures on the food but also such things as crisp napkins and beautiful c rystal ware.DEFINITION OF MARKETINGThe word market is derived from the Latin work Marcatus meaning goods or trade or a place where business is conducted. The term marketing is delimitateas a business activity planned at satisfying to a reasonable extent, consumer or customer needs and wants, generally through on exchange process.The human needs are less and are important for his survival. The wants of people are many and varied and change with time, place and society. The wants keep changing with life styles, earning capacity of consumers, social values, education etc. Human intentions and decision to acquire may not be the same due to existing conditions. A man like or designate to stay in a five star hotel. He may decide (or acquire) a room in a three star hotel due to his tight financial position.Kotler defines marketing as a social and managerial process by which individuals and groups obtain what they need and want through creating, offering and exchanging products of value w ith others.As per the definition by the American Marketing Association (AMA), marketing is the process of planning and kill the conception, pricing promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational goals.Market traditionally is a place where buyers and sellers gather to exchange their goods. With this concept of markets, it is seen that Marketing means working with markets to actualize potential exchanges for the purpose of satisfying human needs and wants. To meet the exchange process in the market, considerable skill and work is put by one party to the transaction. To bring in the desired response from the other party in a market, the marketer has to analyze, plan, implement and control activities.Definition of Marketing Management, according to Kotler, is the process of planning and executing the conception, the pricing, promotion and distribution ideas, goods and services to create exchanges that satisfy indiv idual and organizational goals. He has thus approved the definition of the AMA.Marketing Management is engaged in influencing the direct, quantify thecomposition of demand in a manner that will help an organization to achieve its objectives. Marketing Management is fundamentally demand management.COMPONENTS AND CLASSIFICATION OF MARKETMarket is a social and economic institution which performs activities and provides infra social organisation for exchange of commodities between buyers and sellers. A market is not confined to a particular geographical location, it exists wherever the fundamental forces of demand and supply exist.Market ComponentsThe following components are necessary for a market to exist dickens parties are necessary one buyer/s and secondly seller/s Goods or commodity for transaction. Physical existence of goods is not necessary. Business relation and communication between buyer and seller and Demarcation-area or place there, uniform price or competition is not a condition.Classification of MarketsBased on nature and dimensions, markets are classified as under1.Area of CoverageLocal Market Where buying and selling activities are taking place, where buyers and sellers be vast to same or nearby villages. These are for perishable items like vegetables.Tehsil take aim Markets Market catering to buyers and sellers of taluka area. Buyers and seller meet for their stock of food grains and other daily use items.regional level Markets Usually at district headquarters to cater to a larger area.National Level Buyers and sellers world over meet in this market. These are large scale markets and business value and volumes are large. The items transacted include, silver, gold, non-ferrous metals, petro goods andmachinery. In the recent past, agricultural commodities have also entered the area.2.LocationVillage Market The transactions between buyer and seller takes place in a small village center called a village market or a Haat. This meet is periodica l, usually once or twice a week capital Market The villagers take their agricultural produce to the nearby town or Tehsil on bullock carts, buses or tractors-transaction in the town market takes place between farmers and products.Wholesale Markets These markets are located at important commercial centers or district headquarters. The arrivals from villagers and other markets are large in quantities. The transactions take place among villagers, village traders and wholesalers. There are specialized marketing functions that take place in this market. They are commitment agents, brokers, packers, weighment etc. These are also called Secondary markets.Terminal Market This market caters to the final consumer or processor. These are organized and modern markets. These markets are in cities or state capitals and deal in many commodities.3.Volumes of affairRetail Markets Where goods are brought and sold to consumers based on actual requirements. The retailers purchases goods from the whol esale market and sell in small lots to the nearby consumers.Wholesale Markets The wholesale markets are in big cities or commercial centers in a district. The commodities are brought in bit lots bulk and sold in bulk. These markets balance supply and demand fluctuations and also determine the prices of the commodities being transacted. As such wholesale markets are an important part in the market scheme.4.Time SpanShort Period Market These markets are for few hours or a day in a week. Generally perishable goods like vegetables, fruits, milk, fish, mutton are traded. The prices are fixed on the basis of demand pattern.Long Period Market Where perishable items for a long period are traded. The items are food grains, oilseeds and oil. The prices are governed by supply as well as demand forces in the market.Permanent Market Markets where commodities can be kept for any length of time like machinery, steel furniture, manufactured goods.5.Number of CommoditiesGeneral Market These markets deal in a large number of commodities and of different quality and packages. The items are as groceries, foodgrains, oils, oilseeds, sugar etc.Specialised Markets Markets where only one or wo commodities are transacted are called specialized markets. Examples are foodgrain markets, electrical markets, cotton markets and vegetable markets.6.Type of TransactionsSpot or Cash Markets Where goods are exchanged immediately on payment of cashForward Markets In this market, the timing of exchange of commodity and purchase and sale of that commodity are not same. The goods are delivered at a later date. Sometimes the goods are not delivered at all, only difference being in sales and purchase price which are paid as per agreements.7.Degree of CompetitionMarket are seen from spotless competition to pure monopoly. The markets may exist different intermediate points. The markets are classified on the basis on basis of competition as underPerfect Markets The perfect market in true sense does not exist. This presupposes that There are large numbers of buyers and sellers.The buyers and sellers in the market have indepth knowledge of prices, demand and supply. Price are uniform in a geographical area-Plus or minus cost of transportation from surplus to deficit market. Plus or minus cost of storage over a period of time.Plus or minus cost of converting the product from one to another.Imperfect Markets In this market, the conditions of perfect market are lacking. These are Monopoly market where there is only one seller of a commodity. He has sole control. The prices are generally higher. When there is only one buyer, the market is termed as monophony market. Duopoly market is a market there are two sellers of a commodity in the market. Where there are only two buyers in the market, it is called duopsony market. Monopolistic competition Where a large number of sellers are selling heterogeneous and differentiated forms of a commodity, the situation is termed monopolistic competit ion. Example farmer has to choose between various makes or brands of pesticides, pumpsets and fertilizers.8.Nature of CommoditiesCommodity Markets Pertains to the types of goods like grains, cotton, sugar, fertilizers etc. Capital Markets Markets where touchs, debentures and bonds are purchased and sold as in share markets.9.Government InterventionRegulated Markets Where markets are controlled by government or statutory rules and regulations, pricing and distribution are as per laid down rules. Unregulated Markets The seller or trader makes his own rules for conduct of business. These are not government rules for trading. The traders may exploit the situations.10Accrual of Marketing MarginsThis is done on the basis of whom the marketing goes. These are usually cooperative market. These are prevalent in milk, fertilizer and sugar industries. The margins are distributed to the cooperative members.11Type of commonwealth ServedUrban Market Markets to serve the urban population.Rural Market Markets to meet demands originating from the rural population.MARKETING SYSTEMMarketing activity presently dealt with focused on the commercial transaction between a seller and a buyer. The seller offers his commodities to the buyer to satisfy his needs and wants. The buyer purchases the commodity or services as per his needs and demand.Marketing Activity and EnvironmentThe framework or environment in which marketing activity takes place is within and outside the buyer and seller organizations some are controllable and some are uncontrollable variables. Some variables can be controlled by the seller that is one can plan, organize and perform whereas there are variables which are beyond and control.Five PsThe controllable variables are planned and their level of intensities are used to influence the target market. This is called the marketing mix. E.J. McCarthy developed the marketing mix. They are the five Ps-Product, Price, Packaging, go forth and Promotion.The variables in each of these Ps is detailed in Fig.ProductPricePackagingPlacePromotionQualityList priceLot sizeRetail outletsAdvertisingOptionsDiscountDurability takePersonal sellingFeaturesAllowancesAppealCoverageSales promotionStylePayment period tranquility in handlingInventoryPublicityBrand nameCredit termsAnd commitTransportPublic relationsSizeHandlingWarrantiesStore keepingReturnsAppealValue5Ps and their variablesMARKETING GOALSMarketing is an important and integral part of any enterprise. It follows of the organization, that is marketing desires goals from an organization. gives goals of an organization and its marketing arm.OrganizationMarketing step-upProductSales growthMarket developmentDiversificationProfitabilityMaximum sales revenueMaximum contributionMarket PenetrationMarket leadershipInnovationConsumer satisfactionImageCompany imageBrand imageSocial imageGoals of Organization and Marketing change AND MARKETING CONCEPTSSelling concept holds that, if left alone, a customer will or dinarily not buy enough products of the organization. the organization must, therefore, go for aggressive selling and invest in promotional campaigns. This is a common mans approach. The aim is to sell what an organization makes rather than make what the market wants. On the hand, marketing is a business philosophy that is opposed to the selling concept. The marketing concept holds that the key to achieve goals of an organization consists of being more effective than its competitors in evolving and executing marketing activities towards determining and satisfying the needs and wants of target markets. The concept is put is few words find wants and fill them or meeting needs profitably. The difference between selling and marketing are detailed in below.ConceptsStarting PointsFocusMeansEndThe Selling ConceptFactoryProductsSelling and PromotingProfits through sales throughThe MarketingTargetCustomerIntegratedProfit throughConceptsMarketNeedsMarketingCustomer SatisfactionDIFFERENCES IN SELLING AND MARKETING CONCEPTSMarket Structure and DynamicsMarket structure has to meet the requirements and adjust substantially to the changing environment. For good performance, the market structure should keep pace withDemand Changes in MarketThe market structure should be reoriented to keep pace with demand for products in terms of size, quality, packaging due to changes in incomes, consumer tastes and habits.Product Changes in the MarketThe production pattern changes with technology, economic and institutional reasons. The structure should be reoriented to suit changes.Marketing Function and Cost FactorsMarket information, enfacing inventory holding patterns and transport facilities have bearing on the type of market structure. Should change as per costs and changes in Government policies.CHAPTER IIIDATA ANALYSEQuestionnaire Based Analysis1. Do you think customer satisfaction is the main goal of the management of a budget hotel?2. Do you think ensuring the customer of all the comfort will always help in repeat business?3. What do you think is the reason for lack of repeat business even if all services provided to the guest are budget hotel?4. What should be the main aspect to be worked upon to attract suitable guests?5. why do you think prospective guests are attracted the most by in a hotel facility?6. What do you think is more important- the tangible goods (food, room, etc) or intangible services provided by hotel employees (courtesy, chivalry, friendly behavior, etc)7. How important is branding according to you?CHAPTER IVCONCLUSIONBIBLIOGRAPHYQUESTIONNAIRECONCLUSIONHotel Industry in across the globe needs to give a greater in-depth thought to branding their products and services to reap the benefits of changing customer needs. The Hotel Industry as a whole must continue to ensure Customer Satisfaction and Loyalty and thus make all efforts to retain customers. Hotels must be given a higher ratio of importance as future trends signify that the mention ed sector will be a cash cow for the investors. Innovation is also proposed as a key to success in the Hotel industry currently and also for the future as competition is growing rapidly. So, it will be a good idea to establish theme restaurants with class of cuisines. Emphasizing on areas like Semiotics would result in generating brand recognition and awareness. This would be a helpful tool in order to impact the consumers mind. Media is the recommended channel through which the impact can be profound. Ensuring exceptional guest care by each and every employee should be the norm. To ensure this, embrace structures are recommended to stimulate communication process and close working as a team. Staff levels must be offered better pay packages since they are the ones in direct contact with your customers. Competitive pay packages will also help in retention of staff and better services to the customers. Empower employees, encourage and -support them in theirdecisions to build confide nce. This will lead to better customer service at guest contact points. Outsourcing options should be considered seriously, and in as many services as possible. This will definitely lower payroll costs and may also improve efficiency of operations.BIBLIOGRAPHY1. Kotler Philip, Marketing Management Analysis, Planning, Implementation and control, 8th ed. 1996, Englewood Cliffs, NJ prentice Hall, New Delhi. 2. Roberts, John Marketing for the Hospitality Industry, 1993, Hodder Stoughton, London. 3. Kotler, Philip, Marketing Management, the millennium edition, (10th edition) 1999, Prentice hall of India, New Delhi. 4. Reich A.Z., Marketing Management for the hospitality Industry a Strategic Approach (1997), John Wiley & Sons Inc., New York. 5. Wearne. Neil Hospitality Marketing, 2001, worldwide Books D Subscription Services, New Delhi. 6. Kotler, Bowers and Makens, Marketing for Hospitality and Tourism, 1996, Prentice- hall International, USA. 7. Pearce, J. II and Robinson, R.B. Jr., Fo rmulation and Implementation of competitive strategy, fourth Ed. (1989), Homewood, ILIrwin. 8. Knowles, Tim Corporate Strategy for Hospitality, 1996, Longman Company Limited England.Trade Journal & Magazines1. Hotelier and Caterer2. FHRAI magazine