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Providing Hospitality Products and Services

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Presentation on theme: "Providing Hospitality Products and Services"— Presentation transcript:

1 Providing Hospitality Products and Services
19/09/2018

2 Develop and maintain product / services and market knowledge
Objectives Develop and maintain product / services and market knowledge Encourage customers to use and buy products and services 19/09/2018

3 What is SELLING The personal or impersonal process of assisting or persuading a prospective customer to buy a service Eg Hotel Room 19/09/2018

4 SELLING What is involved Serving Stimulating interest Communicating
Assisting and advising Relationship building Participation of employees at all levels 19/09/2018

5 What is MARKETING The ability to identify and satisfy customers needs at a profit Attracting customers and selling them products. The process of creating, or making available products and services which satisfy needs and wants. 19/09/2018

6 Definitions A human need is a state of felt deprivation
Human wants are the form human needs take as shaped by culture and individual personality Peoples wants become demands when backed by purchasing power 19/09/2018

7 Definitions continued
A product is anything that can be offered to the guests for use or consumption that might satisfy their want or need – Eg Room – satisfies the want of a good nights sleep 19/09/2018

8 Marketing process Market Research Market Strategy The Marketing Mix
Product Promotion Pricing Place Selling The Marketing Mix Market evaluation 19/09/2018

9 Selling Marketing Emphasis on the customers wants Emphasis on product
Company or establishment first determines what products or services the customer wants or needs and then figures out how to profitably satisfy those needs External, market orientation Emphasis market (buyers) needs Emphasis on product Company first makes a product or service and then figures out how to sell the product/ service profitably Internal, company orientation Emphasis the establishments (sellers) needs 19/09/2018

10 Why is the Sales Function important to the establishment
Cash flow Product turnover Customer feedback 19/09/2018

11 Why is the Marketing function important to an establishment
Long term profitability Structuring of the business Maintaining a competitive edge in the market place Product development 19/09/2018

12 Marketing strategies assist the establishment by:
Focusing the hotel’s marketing towards a desired future goal Making more effective use of the marketing dollar Ensuring that the marketing is consistent and coordinated Preparing the business for anticipated changes 19/09/2018

13 Higher level of education Greater access to travel
Factors that contribute towards the changing nature of the consumer market market in the 1990’s Higher level of education Greater access to travel Increased leisure time Greater discernment by customer Requirement of value for money More choice available /more products More competitive markets 19/09/2018

14 Maslows Hierachy of Needs
A persons behavior will be dominated by trying to satisfy the lowest need before moving to the next level Each successive level in the hierachy must be met before moving on to the next level. Physiological needs (Water, food shelter and rest). Security / safety (Freedom from fear) Social/ group contact (Group belonging) Self-esteem-ego Self- actualisation 19/09/2018

15 Customers needs and expectations
Methods used to anticipate and assess customers need and expectations include: Active listening Identification and interpretation of verbal and non-verbal signals from customers Questioning techniques, implicit and explicit Observations. 19/09/2018

16 Factors that can influence customers expectations
Courtesy Efficiency Helpfulness Personal and sincere interest Reliability Media influence Confidence Word of mouth 19/09/2018

17 Identification of KEY customer needs and wants
Help Respect Comfort Empathy Satisfaction Support Value Friendliness 19/09/2018

18 The role of the Hospitality marketer must encompass the following
Ascertain the needs and wants of the customer Create the product-service mix that satisfies those needs and wants Promoting and selling the product-service mix in order to generate a level of income satisfactory to the management and stockholders of the establishment 19/09/2018

19 A SWOT analysis Strengths Weaknesses Opportunities Threats 19/09/2018

20 SWOT considers the following
The product service mix of the establishment and it’s major competitors in these areas Quality of the products, guest rooms, food and beverage Quality of service Location Parking Exterior and interior structure and décor Meeting and conference facilities 19/09/2018

21 SWOT continued-product service mix
Price Personnel Image in the customers mind The financial status of the organisation Success of current marketing programs and activities 19/09/2018

22 SWOT considerations continued
SWOT considers the Market for the establishment and the Competition Profile of the current customer Profile of the potential customer 19/09/2018

23 Broad environmental trends
SWOT considers Broad environmental trends Economic Political Social Technological 19/09/2018

24 Areas of Strengths and Weakness
Finance Cash flow Debt/equity Level of assets Profitability Capital available Production Plant & equipment Quality control Research & development Production methods Marketing Customer base Promotion Price structure Distribution Location Product range Personnel Staff size Morale Key personnel Leadership Communication 19/09/2018

25 Areas of opportunities and threats
Competition New competitors Aggressive competitors Economic Interest rates Unemployment Credit availability Inflation Government Policy Taxation Legislation Imports Tariffs Social Social values Population changes Changes to customer preferences Technology New technology Obsolescence New products Changing cost structures Suppliers Mergers Monopolies Prices Distribution 19/09/2018

26 Definition of the term “Service” in relation to the Hospitality Industry
Intangibility Perishability Non-ownership Inseparability People-based viability (quality is buyer defined) Variability 19/09/2018

27 Resources available to employees to promote Internal products and services include the following
Posters Menus Signage Wine lists Compendiums Brochure displays Tent cards Flyers In-house videos 19/09/2018

28 Types of External services, resources and their importance for promoting external products and services Street maps Travel desks Brochures Tourist information guides Television information services Telephone information services 19/09/2018

29 The hotel product and five variables
Price Quality Service Style Option 19/09/2018

30 Importance of Customer advice “interest generating techniques”
Question needs and wants Mutual interest Startling statements Name dropping Story Exhibit Gift Sample Compliment Statistics Analogy Demonstration 19/09/2018

31 Customer advice results in sale
Knowledge of product/ service Knowledge of clients needs Knowledge of self image Results in the sale $ 19/09/2018

32 Selling and Customer relations skills
Sell yourself!! Sell your products 19/09/2018

33 Effective selling means a big difference to the employer
2 Rooms being upsold by receptionist per night 2 rooms per night x 5 nights = 10 extra upsells per $30.00 = over $14,400 per annum extra (48 weeks) 19/09/2018

34 Golden rules of selling
Sincerity Helpfulness Enthusiasm Attentiveness Friendliness Product knowledge 19/09/2018

35 Be aware of the difference between features and benefits
Features are the physical characteristic of your product Features are what you are selling Benefits Benefits are why the customers is there People buy good feelings 19/09/2018

36 Suggestive selling Suggestive selling is the process of selling a suggestion to another person Selling in these terms is persuading someone to purchase a product or service that they may otherwise not have bought 19/09/2018

37 Benefits of suggestive selling
Your customers feel pampered and that you have taken care to explain the value of certain products The revenue per cover or per head is increased as a result of the extra sale It is a challenge to you, the professional to satisy the hidden needs of your customer 19/09/2018

38 Suggestive selling means….
Making helpful suggestions to your customer Not… Don’t ask me about the steak, mate, I’m a vegetarian 19/09/2018

39 What can be sold using suggestive selling
Special features/benefits – club lounge Breakfast Internet RESTAURANT Ports, liqueurs with coffee Speciality breads Various coffees Side dishes-sauces, chips, salads etc 19/09/2018

40 Other types of selling defined
UP-SELLING Selling a product of higher quality (focus on the benefits of the product)Inviting the customer to buy, rather than waiting for them to order Switch selling Offering an alternative product if unable to supply product that a guest requested-this is done to avoid giving the customer a straight refusal. Offer solutions-not problems 19/09/2018

41 Other types of selling continued
On-Selling Think about the customers needs On-selling is selling the garlic bread while people wait for their meal, selling a wine with the meal, a side salad with the main course, a liqueur with the coffee and so on. 19/09/2018

42 References Customer relations, sales and marketing, Regency Publishing, 1998. Sales and marketing awareness, TAFE NSW Assessment package module 6641, 1996. Wearne,N.(1994). Hospitality marketing: Hospitality Press. Melbourne. 19/09/2018


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