Why Hospitality

Marketing?
Week 1: Introduction to Hospitality Marketing
Nur Agustinus
1. Learn How To Cook 5. Become Your Own Boss
2. Try New Flavors 6. Become A Celebrity Chef
3. Travel The World 7. Earn A Great Salary
4. Work In Restaurants
https://www.tagcourse.com/article/7-reasons-to-attend-culinary-school
• Marketing planning helps you
develop products and services
in your business that meet the
needs of your target market.
• Marketing is the process for
getting a company's product or
service out to consumers.
• Good marketing helps your
customers understand why
your product or service is
better than, or different from,
the competition.
 What is the Purpose of Marketing?
• So that people know
our existence
• Determine the right
price
• Increase market share
• Increase profit
• Making growth / growth
• Determine the future of
the business
Why is pricing important
in marketing?
Is Marketing the Same as Selling?
 Trade involves the transfer of goods or services

TRADE from one person or entity to another, often in

exchange for money.
 What
should I
trade?

I need fruit
and
vegetables

The Battle is in the Mind

 Hospitality refers to the relationship between a guest and a
host, wherein the host receives the guest with goodwill,
including the reception and entertainment of guests, visitors,
or strangers.
 Hospitality industry (or tourism industry), a broad category of
fields within the service industry that includes lodging,
restaurants, event planning, theme parks, transportation,
cruise line, and additional fields.
 Service industry
"...business that does work for a
customer, and occasionally provides
goods, but is not involved in
manufacturing.“
Service- what you do to someone
(technical delivery).
Customers are buyers or clients.
If done with consistency, should
satisfy most customers.
Hospitality industry
"...a broad category of fields within
the service industry that includes
lodging, event planning, theme
parks, transportation, cruise line, and
additional fields within the tourism
industry.“
Hospitality-how you make someone
feel (emotional impact).
Customers are guests.
The ability to make an emotional
connection with your guest.
 What is the purpose of hospitality?
• The purpose of the hospitality industry is to serve its guests
profitably while delivering a lasting experience.
 What is the difference between
Restaurant and Warung (Eating Stall)
What is your offer?
1. Core Benefit : It is the service
or benefit the product is
offering.
2. Basic product : The core benefit
triggers the basic product.
3. Expected product : These are
attributes expected by the
consumer from the product.
4. Augmented product : It is a
differentiated product that is
made to exceed a consumer's
expectations.
5. Potential product : This is
where the company looks for
innovate ways to satiate the
consumer.
Example:
• Core Benefit : In a soft drink, a consumer is
buying the product to quench the thirst
while dining at a restaurant, hotel or on a
hot day.
• Basic product : For a soft drink, the basic
requirements are soda fizz & sweetened.
• Expected product : In case of Pepsi, it must
be served chilled to get the real taste of the
drink.
• Augmented product : Pepsi offers Diet Pepsi
which is a non-sweetened soft drink for the
ones who are health conscious but are not
ready to give up their loyalty for Pepsi while
choosing a drink.
• Potential product : It comes for a new to the
category/ sub-category and also hence forms
a new life cycle.
 What Your Guests Want to See
1. Choose a Concept that You’re Comfortable
With
2. Menu design is just as important as the food
3. Color scheme can translate into repeat
customers
4. Choosing Your Service Style

https://www.foodnewsfeed.com/fsr/vendor-bylines/4-small-changes-your-customers-want-see
 Choose a Concept that You’re
Comfortable With
• Choose a concept and cuisine that you’re
comfortable with to get customers into your
restaurant. This makes it easy to understand what
your customers want to see in a new restaurant.
Menu design is just as important as
the food
• What can my restaurant menu offer
that others in the area do not?
• What menu items do we have in
common?
• How does our pricing match up?
• Does my menu offer more variety
than theirs?
Color scheme can translate into
repeat customers
Although it’s a fact that red makes people
hungry—driving the logo design of
countless fast food restaurants—it may not
make them repeat customers. Research
shows red is actually a deterrent when it
comes to restaurant décor, while color
schemes that incorporate oranges,
yellows, greens, and browns are much
more palatable to guests. When it comes
to ambiance as a whole, elements like
lighting and even the view from a guest's
seat can play a big role in the dining
experience.
 Choosing Your Service Style
• A restaurant’s service style describes the method by which
you handle ordering, food sales, and serving. Your service
style determines how large your staff will be, at least
regarding front-of-house (FOH) staff (servers, hosts,
cashiers, etc.).
• For example: Italian restaurants are often family style.
McDonald’s is a quick-service restaurant, traditional “fast
food,” while some restaurants are called “fast-casual”
because they’re somewhere in-between conventional fast
food and a full, sit-down dining experience.
• Other examples of restaurant types include bistros, bar and
grills, food trucks, pop-up kitchens, and family-style
restaurants. Each has unique staff and menu requirements.
Five Basic Services a Customer Needs
at a Restaurant

1. Greeting your
customers
2. Clean Environment
3. Hire good chefs
4. Timely service
5. Hospitality
 Strategies for Success
• Research
– Customers choose restaurants and other hospitality services for
a variety of reasons.
• Awareness
– If potential customers don’t know about a service, they can’t
purchase it. Marketers make sure information on restaurants,
resorts and hotels is easy to find and up-to-date.
• Promotion
– Another smart strategy for attracting customers is to run
promotions during certain times of the year, usually when
business is slower.
• Relationships
– To ensure high levels of repeat business, good customer
relationships are vital.
 People avoid marketing because:
• Considered high cost / expensive
• Feel no results
• Good marketing is investment.
• Too complicated • A sign of good marketing: increasing
market share, increasing perceptions of
brands and happy customers.
• Online marketing is now cheaper than
advertising on TV, even many are free.
• Choice of decisions on resources to
invest is right: time, people and money.
• Money can be obtained by
bootstrapping.
 People avoid marketing because:
• Considered high cost / expensive
• Feel no results
• Too complicated • Poor marketing planning
makes bad results.
• First notice is Strategy and
the second is tactics.
• If you ask someone about
your business and he
doesn't know, you need
marketing.
 People avoid marketing because:
• Considered high cost / expensive
• Feel no results
• Too complicated
Solution:
Make a simple and
consistent marketing
strategic plan
 Moment of Truth
Moment of truth (MOT) in marketing, is the moment when a customer/user
interacts with a brand, product or service to form or change an impression
about that particular brand, product or service.
 Word of Mouth
Word of mouth or viva voce, is the passing of information from person to
person by oral communication, which could be as simple as telling
someone the time of day.
Next week:
 Assignment
• You are traveling to a city that you have never
visited and want to find a place for lunch.
Which restaurant will you choose based on
Moment of Truth and Word of Mouth? Write
down the process, collect the reviews that you
can get and explain why you finally chose it.