Presentation on theme: "RESIDENCE INN 2012 MARKETING PLAN 11/22/11. 2 OVERVIEW POSITIONING CORE MESSAGE TARGET DISTRIBUTION BUDGET GLOBAL Power Brand: Third largest domestic."— Presentation transcript:
RESIDENCE INN 2012 MARKETING PLAN 11/22/11
2 OVERVIEW POSITIONING CORE MESSAGE TARGET DISTRIBUTION BUDGET GLOBAL Power Brand: Third largest domestic brand by revenue and profit contribution. Strong profit margins and guest satisfaction. Category Leader: Long-standing extended stay leadership in aided awareness, market share, and premiums vs. purpose-built competitors stemming from distribution advantage and market tenure. Thrive – Residence Inn is designed for the extended stay business traveler. It is the only brand specifically designed to restore guests physical, mental, and emotional energy so they can thrive on their stay. Thrive The Marathon Business Traveler – Extended Stay FBT who views extended stays asmarathon business trips when compared to shorter business trips. They place a high priority on being productive but also require a balance to stay in peak condition. They want to keep all parts of their life going so they can achieve their personal best. North America: 645 Europe: 2 CALA: 2 Middle East/Africa: 2 Total: 651 (Approximate through 2012) North America: $13.9M (Approximate) Europe: $.XM (TBD) CALA: $.XM (TBD) Middle East/Africa: $.XM (TBD) 2012 RESIDENCE INN
3 NORTH AMERICA KEY DRIVERS CORE MESSAGE TARGET KEY COMPETITORS Aging Product: Aging product and younger competitive product resulting in low scores on up-to-date (44%). Consumer Awareness/Competitive Marketing: Low understanding of the extended stay category and the brands product offering compounded by lack of suites name vs. competition. Competitors have larger ad spends than RI, despite RIs larger distribution, putting RI at risk in awareness, consideration and trip share. Suppressed Extended Stay Occupancy: Relatively low ESOcc (low 40s) driven by economic conditions, compounded by increases in all-suite supply. Market Share Threat: Significant increase in all-suite supply causing market share erosion threat. RI hotels with Homewood Suites in comp set underperform on RevPAR index. Thrive - Key Proof Points: Upscale Spacious Suites – Separate spaces for guests to sleep, eat, work and relax. Full Kitchens – Full kitchens with full-size appliances so guests can eat what they want, when they want it. Strong Value Proposition – strongest value in an upscale environment with free Internet and hot breakfast. Primary: The Marathoner – Upscale, extended stay FBTs who are optimistic about travel and want the ability to be productive and continue their life's pace and routines in an environment that helps them renew and restore their energy so they can perform at their best. Demographics 69% male 62% married 41 years old is mean age $136k mean HH income Secondary Targets: Business Travel: Extended Stay Consultants & Engineers/IT Professionals Personal Travel: Families – Suite Kids Vacations – Family trips with parents and children. Trip Profile: 54% family vacation; 87% Suburb or highway; 87% Travel by car; 81% Kids 5-12 years Demographics: Equal mix moms & dads; Ages 35-49; $ HH income; Above avg. # of BTs Homewood Suites: Strong competitor who despite 50% smaller distribution beats RI on product per Brand Tracking Embassy Suites: Aggressive marketer with a strong value proposition and F&B offering Summerfield Suites/Staybridge Suites: Emerging competitors to watch, backed by large portfolios Full Service/Select Service: more than 90% of 5+ night trips each year; 25% of the trips could be at extended-stay 2012 RESIDENCE INN Psychographics Strong proponents of a balanced lifestyle due to extreme BT. Sophisticated and look for professional treatment. Used to top notch service at stores and restaurants. Place a high priority on work & productivity, but want to fully enjoy life. 76% college+ educated 82% Caucasian 60% suburban 23 BTs/6.53 XS trips MACRO BUSINESS OBJECTIVE Increase RevPAR Index through extended stay business.
4 Statistically significant lift in core messaging, key perception metrics, and intent to stay via ad tracker. Lift consideration and trip share via Brand Tracker. Grow extended stay occupancy rate. (Goal TBD) Incremental personal travel room nights and revenue Media impressions/unique visitors per month (UMVs) Increase engagement and bookings from ri.com/m.com Incremental revenue from Marriott Rewards communications 100% brand voice activation across all touch points OBJECTIVES STRATEGIESMETRICS NORTH AMERICA Increase consideration and trial among extended stay travelers to improve ESOcc and the brands overall profitability Capture mind share of family travelers to drive consideration and ultimately personal travel bookings Activate internal channels to capture Marriott International loyalists and provide a foundation for all RI-related marketing activities Establish RI as the dominant extended stay brand by acting big in marketing efforts Evolve thrive ad campaign with goal of continuing to connect to extended stay travelers on an emotional level and combat the brands aging persona Develop a deeper relationship with key brand loyalists and empower them to be brand advocates Create innovative PR strategies to communicate RIs family leisure benefits/features to media Activate relevant portfolio leisure strategy platforms to drive personal travel business, with an eye toward families target sub-segment Focus efforts on high-impact internal channels (Marriot Rewards and m.com) Develop tools to provide properties with the resources/guidance needed to activate and pull- through RI positioning and marketing efforts 2012 RESIDENCE INN MACRO BUSINESS OBJECTIVE: Increase RevPAR Index through extended stay business.
5 CHANNEL/ ACCOUNTABILITY PROGRAM/ACTIVITYMETRICS Broadcast and Digital Media Public Relations Social Media Field Marketing/ Sales Support Extended Stay Implement a new, breakthrough ad campaign that utilizes integrated communications, including TV, online, mobile and social media to drive consideration of RIs purpose- built benefits and improve up-to-date perception Position brand as a leader in extended stay by combining traditional and social media outreach to business outlets, opinion leaders, and brand advocates Expand Residence Inn Celebrates Moms initiative spotlighting how RI caters to families & personal travelers Introduce Residence Inn to global travel and consumer media, gaining awareness and consideration for the brand in major source markets. Promote RIs unique service culture to media influencers Develop a social media plan to develop relationships with RIs most loyal customers and encourage viral marketing Provide relevant and compelling content for the RI audience in social media assets such as Facebook Develop marketing/sales tools in refreshed brand voice Pull-through sponsorships/promotions on-property Create a sales/marketing playbook Utilize field/GMs to determine ESOcc and leisure best practices and then activate best practices broadly Leverage portfolio power of four MI extended stay brands and extended stay sales team to capture extended stay business via a focused cross-brand marketing strategy Statistically significant lift in core messaging, key perception metrics, and consideration via ad tracker Media impressions/unique visitors per month (UMVs) Customer engagement on social media, especially Facebook BrandWorks utilization Brand Voice activation across all touch points Lift in awareness/consideration Bookings/incremental revenue NORTH AMERICA 2012 RESIDENCE INN
6 CHANNEL/ ACCOUNTABILITY PROGRAM/ACTIVITYMETRICS NORTH AMERICA Marriott Rewards Packages/Promotions Partnerships/ Sponsorships Diversity E-Commerce Mobile HWS M.com Paid Search Develop programs and communications that tap into RI-loyal Marriott Rewards customers focused on extended stay and personal travel stays Create an ESOcc-focused promotional strategy Develop and merchandise a relevant weekend leisure strategy, with a focus on family packages Leverage promo opportunities with AmEx OPEN Leverage cross-brand leisure sponsorships, specificallyTots Travel Too, weddings, and amateur sports Create and leverage sponsorships focused on small business and on-property business services Implement diversity-focused PR efforts, partnerships, sales strategies, and communications Mobile – create consumer validated mobile experiences to differentiate RI within the larger portfolio mobile initiative. Test mobile paid search Hotel Websites – revise design to reflect evolved Brand Voice; ensure proper photography and floor plans; leverage property and brand promo messaging M.com - update global ri.com pages to align with new ad campaigns; leverage site-wide retargeting campaigns; explore LOS search result merchandising. Paid Search – focus on extended stay and family messaging, expand mobile PPC presence, activate/test new opportunities Engagement Lift in awareness/consideration Bookings/incremental revenue Increase in ESOcc bookings Access to potential new guests GSS increase (business services) Lift in awareness/ consideration Bookings/Incremental revenue Lift in awareness/consideration Mobile – bookings/revenue and engagement HWS – brand standard compliance and utilization of promotional messaging M.com - site bookings/revenue and engagement Paid Search – bookings/revenue 2012 RESIDENCE INN