1.External environment analysis

Macro-environmentDemographic

PoliticalEconomic

Technological

MicroenvironmentSuppliersMarketing

intermediariesPublics

CustomersCompetitors

2. Opportunities and threats

OpportunitiesMarco:Politically, individual traveling scheme Mirco:more potential customers

ThreatsMarco:Demographically, no increase in income

Mirco:strong competitor

3. Competitor – The Ritz-Carlton, Hong Kong

• Background• A worldwide luxury hotel company• Located at International Commerce Centre, 1 Austin Road West, Kowloon

Reasons for choosing as competitor:

• Two main target customer groups• Independent travellers & meeting event

planners • Gift shop• Physical store & global gift shop online

Ritz-Carlton Online Shop

Strengths

-High reputation & loyal customers-A wide range of products-Global online shop

Weaknesses

-High price-Global online shop fails to localize the products-Lack of uniqueness-Sales tax maybe charged

4. Objectives

extend customers’ experience

through selling

souvenirs

advocate environm

ental friendly products

promote Hotel X’s

brand name

5. Target market

in-house business travelers

higher spending

power

young to middle adults aged 26

to 55

most likely to purchase

green products

6. Marketing mix strategies and

programs

1st

Business product line

Product

business product line

Business

Deluxe Business

Pen

Metal Pen USB stick

Mobile phone USB

charger

4 in 1 laserPen

Spa product line

Spa

Mini Spa Kit

Candle in Tin

Ayurveda Massage

Oil

Essential Oil

Price

1. Pricing objective

Image objective

Promotion

LCD monitors & Flyers

Internet & Social media

Internal promotion

Promotion week

Place (Distribution)

1.Physical Shop

2.Online shop

Physical Store

7. Implementation milestoneMilestones Start Date End Date Budget Who is

responsible?How to evaluate?

Advertising January December $250 X 12= $3,000

Public Relations Department

Questionnaires to collect feedback; click-through rate of online shop

Seasonal promotion

End of January; Mid-November

End of February; Mid-January

$80,000 x 2=$ 160,000

Sales and Marketing department

Customer feedback form; sales volume

Promotion discount

January December $875,874 / 0.9 x 0.1 + 583,917 x 40% x 0.1 x 4 = $190,746

Sales and Marketing department

utility rate of coupon

8. Marketing budgetSales Forecast

Sales forecast (monthly) = Capacity of Hotel (room available x average guest number per room) x Assumed occupancy rate x Assumed probability of entering the souvenir shop X Assumed

probability of purchasing souvenirs x Price x Assumed standard sales volume x Seasonal Sales Adjustment

Table of Sales ForecastMonth

Product

1 2 3 4 5 6

Business products

$ 344,645

$ 344,645

$ 229,764 $ 229,764

$ 229,764 $ 229,764

Spa products

$ 531,229

$ 531,229

$ 354,153 $ 354,153

$ 354,153 $ 354,153

Total sales $ 875,874

$ 875,874

$ 583,917 $ 583,917

$ 583,917 $ 583,917

Month

/Product

7 8 9 10 11 12

Business products

$ 373,366 $ 373,366 $ 172,323 $ 172,323 $ 172,323 $ 344,645

Spa products

$ 575,498 $ 575,498 $ 265,615 $ 265,615 $ 265615 $ 531,229

Total sales $ 948,864 $ 948,864 $ 437,938 $ 437,938 $ 437,938 $ 875,874

Sales Forecast of Products

HK

$

Month

1 2 3 4 5 6 7 8 9 10 11 120

100000

200000

300000

400000

500000

600000

700000

800000

900000

1000000

Spa productsBusiness products

10. Marketing controls9.Marketing Control

Questionnaires

Financial reports

Click-through rate of online shop

Assessment meetings

Contingency plan

Souvenir Silver, Serves You Forever