The Heathrow Windsor Marriott

Hotel

Bacconnet Elodie

Dubreuil Sophie

Corbet Lucie

Panagiotidou Sofia

Main Challenge: improve the

“product” with entertainment

• The Heathrow Windsor Marriott Hotel is a

luxurious four stars hotel located in Slough (in

the south-east of London).

•It has got 382 bedrooms and 10 conference

rooms.

•150 employees work there.

Room with two

double beds

Leisure club Central brewery Internal swimming pool Windsor Boardroom

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1.2: Market Analysis

• The hotel is more affected by the Economical and the Social environments

because it is directly linked to the customers. If the customers have less money

because of the crisis, then it affects the hotel because they lose their clients. And

if the trends change and the clients do not want to come to the hotel anymore, it

will of course affect the hotel.

• See Annex n°1

In 2010, we believe the level of competitiveness is quite high, which

means that the market is quite competitive.

See Annex n°2 (two slides)

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The direct competitors form a real threat:

• Hotel market: Other luxury hotels

• Leisure market: spa, fitness clubs

• Bar market: other bars

• Restaurant market: other restaurants

• Event market: conference rooms, companies that organise events for

individual and businesses…

See Annex n°3 (two slides)

Why is the Heathrow Windsor Marriott Hotel successful :

• The location

• Quality of the services

• Their leitmotiv is to take care of their guests.

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• 2 types of customers: the individuals and the companies

Thanks to its range of products, all customers can come to this hotel without the same

expectations.

Offer for every kind of customers: families, business men, hotel for short stay and

hotel for long stay, etc.

See Annex n°4

1.5: Price, Promotion, Service

Marketing offer:

• high prices Marriott is a luxurious hotel.

• several pricing formula: only one room for a night, for a week, for the whole family with

breakfast.

Marketing promotion: they invite people to the hotel for events and they give out some

vouchers to do activities in the hotel. (drink, dinner, membership, accommodation…)

Service Marketing Elements: an atmosphere very friendly: people always call each other by

their first name and each year an associate week is organised. This hotel is closed to many

touristic places and transports (Winsor, airport, London...).

See Annex n°5 (two slides) 5

Not really present worldwide, Marriott benefits a very good brand image in the

English-speaking countries. Thanks to the well-known quality of its services, the

Marriott brand can take advantage of the booming travel and tourism industry.

The friendly atmosphere among the staff contributes in developing very good and

close relationships to its clients. Eventually, the very well location of the Heathrow

Windsor Marriott Hotel is the biggest strength of the company. On the other side,

Marriott Hotel could be threatened by the expansion of low cost brands which

practice competitive prices.

See Annex n°4

1.7: Positioning

To reach our targeted audience (business men during the week and families during

the week-end and holidays), Marriott should really take advantage of its location

which brings the brand the best opportunity to be competitive on the market.

See Annex n°5 (two slides)

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Report of Sophie

The website of the company:

https://www.marriott.fr/reservation/guestInfo.mi

Forum about the strengths, weaknesses of the Marriott brand and about

the opportunities and threats of the market:

http://malaysia.answers.yahoo.com/question/index?qid=20090908

002222AA2whKm

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In 2011 we are going to develop a new service which will be to create events in the

evening for people who are alone and who are bored in their rooms (service

development strategy).

2.2: Desired market segmentation

2.3: Goals of the company for 2011

In the week our target is mainly business men who stay at the hotel for conferences.

On the weekend our targets are also families and people who visit the area.

During the summer, the target can be customers of the park and fly packages.

We are willing to reach more clients by enhancing the promotion of the Hotel

thanks to direct marketing.

Our second goal is to improve the level of satisfaction of our customers by

making customers survey.

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Because of its strong brand image, Marriott cannot take the risk of tarnishing its

famous reputation. That’s why the executive management has to measure deeply

each of their plans before launching it.

Our objectives consist in developing our offer by deepening the quality of the

existing services. Then, we are willing to understand better our clients to exactly

match their expectations and gain a higher level of confidence. We want to reinforce

our brand image by endorsing the promotion of our Hotel.

See Annex N°6

2.5: Position

To overcome the gap and reach the position where the management plans to be next

year, we want to improve the quality of our services by diversifying our range of

activities in order to increase our customers’ satisfaction. For that, we are going to

endorse our good location next to the airport and the Slough Trading Estate.

See Annex n°5 (two slides)

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The average price for one night is 120€

There are 380 rooms in the hotel and 360 days a year

If only 1.5 % of the budget is generated by our new service, it represents:

120 x (380 x 1.5%) x 360 = 246 240€

We estimate our sales forecast for next year to an amount of 246 240€, which

makes sense for us.

3.1: Main cooperative bodies

• Cater: Ragamama

• Theatre: The Royal court Theatre

• Concert hall: O2 arena

• Opera: Bel Canto

• Music, Artist: Virgin active Slough

See Annex N°7

3.2: Retaining marketing activities

• Christmas Parties

• Wimbledon lunch

• Ladies Ascot Breakfast

• Hoppa Bus

• Henley Regatta

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We want to provide evening events with the possibility of having dinner at the

same time. Customers have to book their table in advance if they want to

participate.

The shows’ prices are included but not the dinners’ prices.

The program will be available on the website from every Sunday for the next

week.

The shows will take place on Tuesday, Thursday and Saturday evenings.

There will be different kind of shows with comedians, singers, magicians,

contortionist, illusionist....

Theme evenings could be organized according to different dates like Chinese new

year, Christmas, sport events or Olympic games of 2012...

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3.4.1: PR (event): we will invite the representatives of companies to the first show,

which are used to organising conferences (for several days) at the hotel and the

companies we would like to attract in order to show them our new service.

We will make the first show for the Queen’s Birthday on April the 21st. The theme

will be an opera.

During the show the guests will have the possibility to have dinner for free and the

sales team will take part to this event to provide information about the hotel,

conferences, shows...

3.4.2: Sales promotion: to introduce this service to the current customers, we will use

the Chinese new year. Indeed we will give them Chinese cakes in which they will

find voucher or invitations for shows available for the next time they will come at

the hotel.

Example: free dinner and drink... It will be a Chinese dinner provided by the cater

Ragamama (Asian food specialist).

3.4.3: Advertising: we will give out brochures and put some pictures on the

website of the company and short extracts of the shows by video. We will also put

posters around the hotel.

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3.6: Management plan

Two people of the event team will be responsible of this project in order to be

more efficient. We will train all employees by doing a meeting to explain the

concept, the objectives and the target of this new activity. About location, it will be in

the Buckingham suite because it’s the biggest of the hotel and it can be adapted

according to the number of spectators.

What? When?Who is

responsible?How much? Comments

1. PR 21.04.2011 Event team 8 000€Queen’s

birthday

2. Sales

promotion

12.01.

2010

02.04.

2011

Marketing

department

(managers)

6 000€Chinese new

year event

3. Advertising30.04.

2011

30.09.

2011Advert. agency 3 000€

Location in the

hotel (website

also)

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In the second part, we have seen that thanks to our new service, we can earn

246 240€ per year.

So if we take 8% of our yearly sales forecast to realize our project, it represents:

246 240 x 8% = 19 700€

We can distribute a part of this budget to each expenses:

Resources Expenses

Cooperative bodies 8% (1576€)Marketing

promotion88% (17 336€)

Capital/ Loan 92% (18 124€) Marketing research 2% (394€)

Non-allocated

funds10% (1970€)

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4.2: Control tools

4.3: Control by Milestones

The team could do surveys in order to check the satisfaction of the customers

about the shows (what do they want to improve?).

We could use some figures measuring the percentage of people present at the show

compared with the total number of clients present in the hotel.

The project must be checked by event managers and sales managers of the

company. They can discuss it during the weekly meeting of marketing and sales

departments (every Friday morning).

The interesting dates are :

Wimbledon

Ascot

Christmas

Henley Regatta

Chinese New year

Queen’s birthday

Valentine’s day

Mother’s and father’s day

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Thanks for your attention to

our presentation

The Buckingham Suite

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1.Environmental analysis

Political: The hotel evolves in an international context because Marriott is a

worldwide company.

Economical: It’s a luxurious hotel that’s why all people can’t go in this kind of hotel

and with the financial crisis, people have less money even business man or current

customers can take the decision not to come again.

Social: Business men, pilots, air hostesses, etc. like staying in luxurious hotels. This

kind of hotel doesn’t have a large target. It’s only people who have a lot of money

who can pay for this quality of service.

Technological: The hotel offers a certain level of technologies to their customers.

They have the opportunity to have in the hotel 20 meetings rooms with Wireless

Internet, audiovisual & videoconferencing, full business services, computers, printers

and so one. The level of services is very high and there is a large choice: Copy, fax,

Messenger, Secretarial service, Translator and a lot of equipment.

Ecological: rules linked to ecology are imposed: to recycle the garbage, to save

energy.

Legal: Rules about security and safety

Back

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On which markets is the hotel?

•Hotel Business: Of course the Heathrow Windsor Marriott Hotel is first of

all hotels;

•Restaurant Business: The hotel has got a restaurant;

•Bar Business: There is a bar

•Event Business: Events can be organized at the hotel (for individuals and

for companies);

•Leisure Business: There is a leisure club with a fitness club, a sauna, steam

rooms, solarium and a beauty center;

Porter’s Five Forces Model Grade (1 to 10) Weight out of 1.0 Result out of 10

Barriers of entry and exit 7 0.4 2.8

Substitutes 4 0.1 0.4

Bargaining power of

customers7 0.4 2.8

Bargaining power of

suppliers5 0.2 1.0

Level of market

competitiveness1.0 7

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Barriers of entry and exit: 7/10

It is quite difficult to enter on the sector of luxurious hotels, there are a lot of rules to respect and the

image of the four or five stars hotels are very strong that’s why it’s hard to build a strong brand

image at the entry on this market.

Substitutes: 4/10

If we consider the hotel business in general, we could say that substitutes to the hotels are camping,

youth hostels etc. but these are not really a threat to luxurious hotels because they don’t target the

same clients.

Bargaining power of customers: 7/10

Customers have a strong bargaining power, indeed they are the base of the hotel’s image. If there

is no client, there is no hotel anymore.

Bargaining power of suppliers: 5/10

If it doesn’t work with a supplier, the hotel can easily decide to take another one. But in the other

hand, it is quite complicated to change of suppliers, because you have to find someone that you

can trust. In the luxury business you can’t take the risk to have suppliers which don’t do their work

correctly.

Level of market competitiveness: 7.0/10

According to the chart above, we see that the level of market competitiveness is 7.0. Indeed, it is

quite high because even if there are almost no substitutes to a luxurious hotel, it is balanced by the

fact that the bargaining power of the customers is high.

The level of competitiveness is 7.0/10, indeed the bargaining power of customers and the barriers

at the entry and at the exit are quite high and the threat concerning the substitutes and the

bargaining power of suppliers are quite low.

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The five main direct competitors of the Heathrow Windsor Marriott Hotel are:

Competitors Description

Beaumont Estate

It is a four stars hotel located in Old Windsor (1.9 miles away from

our hotel). It is a countryside hotel with a very nice park. They have

a wonderful reception room called “The Chapel”.

Pinewood Hotel

It is a four stars hotel located in Wexham which is 3.2 miles away

from our hotel. It is a countryside hotel with a nice park. But it is

quite small.

Copthorne Hotel

Slough Windsor

It is a four stars hotel located in Slough, 6.2 miles away from our

hotel. A lot of companies organise conferences there. (proximity

with the Slough Trading Estate)

Sheraton Heathrow

Hotel

It is a four stars hotel. It is one of the Heathrow hotels. It is 4.1

miles away from our hotel. They have a lot of clients because the

Airport is not far away from there. 20

Indirect competitors

•Hotel: it can be chain of budget hotels . In fact this kind of hotel purpose a

room for a night but it’s not the same quality and service.

i.e.: holiday inn, accord, Hilton,

•Restaurant: it can be all other places which make food: other restaurants

without the same level of quality and service or fast food, pizzeria and so

on.

•Event: we can find in this category: nightclubs which offer regularly theme

night or promotion for some events in the year (Halloween, Christmas,

national Day, new year…)

•Leisure: It can be the manufacturers of sport equipment.

Back

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Back

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To follow you can see different positioning (part1, point 7) depending on

location, quality of services and diversity of services. On the same graphic you

find also positions linked by the point 5 in the second part.

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Between the 3 graphics,

this one is the most

important . That’s why

we have decided to

concentrate our efforts

on these points (location

and diversity of

services) and to reach

the ideal point.

Back1

Back 2

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Strengths Weaknesses

Opportunitie

s

Thanks to its good location near the airport and the Slough

Trading Estate, the Heathrow Windsor Marriott Hotel attracts lots

and divers clients.

Their big range of services allows them to reach several types of

clients. Moreover, they do not depend on one market as their

activity is divided in many segments.

The fact that the staff is very friendly and close to the customers

is an advantage as it allows the management team to understand

better the clients’ needs and thus to adapt the offer to their

expectations.

The absence of low cost

brands in the group allows

Marriot Hotels to have a

strong image of quality.

Threats

The location of the hotel makes the competition higher as several

other famous hotel brands are settled in the same area.

The Marriott brand inspires so much confidence that they hardly

can fail or make a mistake; otherwise it will destroy their

reputation. They always have to be at the top…

Too many services can tarnish their reputation if they only focus

on the quantity and not the quality.

In case of economic crisis,

people tend to save money

and choose rather low cost

hotels.

Marketing objectives :

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Questionnaire to Katie Lahlou, sales manager of the Heathrow

Windsor Marriott Hotel.

Do you think that our project is achievable?

Answer:

Well, I think this would be a great idea , insofar the hotel already

organizes big events especially for companies. So it can be interesting to

develop our offer in this way

Which companies would you collaborate with?

Answer:

As we often work with Ragamama, we know the quality of the services

they offer and I think that it could be interesting to work with them on

this project in order to take benefit of their experience.

But also I believe that O2 would be a good partner as the project is

about concerts.

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