Marriott Group: An Overview

"When you take good care of your people, they'll take pride in their work. And when they
take pride in their work, they'll take good care of the customers and if you take good
care of the customers, the customers will come back and back and back. And the
business will take care of itself." - J Willard Marriott, Chairman and CEO, Marriott
International Inc.

Marriott International, Inc., established in 1927, is one of the largest hotel

brands in the world. With more than 3,700 properties in 74 countries and
territories, Marriott International offers one of the most powerful brand portfolio
in the world.
Since its inception in India, The Marriott group has been focusing on quality of
service and customer satisfaction. Several Marriott brands have been established
to cater to needs of different customer segments: JW Marriott, Renaissance
Hotels, Marriott Hotels & Resorts, and Courtyard by Marriott.
Marriott is the 3rd largest player in India both in terms of hotels and rooms with
hotels located within major urban centres and near airports.
Hospitality Industry in India:
The service industry accounts for close to two third of the Indias economy.
Amongst the services sector, the hotel industry is one of the fastest growing
industries. The industry has grown significantly over years. The major players in
the Indian hospitality sector includes the big names such as IHCL (Indian Hotel
Company Limited) known as Taj Hotel, Leela, Marriott India, EIH (East India Hotel)
known as Oberoi and ITC Sheraton Corporation.
India has availability of one hotel room for 12000 people, where demand for
hotels is growing with occupancy rates of over 60% which indicates a huge
possibility of growth. The Indian hotel industry has seen a significant growth in
room inventory across categories from luxury to budget hotels. The occupancy
and the room rates have seen continued gains both from the domestic and the
international travellers. But in a huge country like this, no one size fits all
strategy works.

COURTYARD by Marriot: Make Room for a Little Fun

Courtyard by Marriott is designed for business travellers but also accommodates families. Its rooms
have desks, couches, and free Internet access. The majority of locations have a bistro which sell fresh
cooked and prepared breakfast, appetizers, sandwiches, and more. All these hotels have 24-hour
"mini-marts."
Courtyard spans more than 1,000 locations in 38 countries. The hotels are ideal for business, leisure,
and weekend travel. Courtyard by Marriott hotels focus on travellers on the road, who want a nice,
clean place to stay during their trip. Each hotel is designed and positioned to appeal to the unique
wants and needs of the targeted specific group.
Hotel Amenities:

Free high-speed Internet access*

Hot and healthy breakfast selections served daily at The Bistro, or breakfast buffet (varies
by location)

The Market, offering 24-hour food, snacks and refreshments including beer and wine in
many locations

Fitness room, swimming pool and whirlpool

Comfortable lobby featuring media pods to watch game or to use as a functional work
space (media pods available at select locations)

Inviting outdoor spaces with seating to relax and unwind

Business services, including faxing, copying and printing

One or more small meeting rooms with audio-visual service available

Guest laundry

Lobby for casual Meeting & Workspace

Gym & Pool

Comparative Detail:
Brand

Description

Propert
ies

Locations

J W Marriott

5 Star Luxury
Hotel

Bangalore, Chandigarh,
Mumbai, Delhi, Pune,
Mussoorie

Ritz Carlton

5 Star Luxury
Hotel

Bangalore

Renaissance

Upper Upscale

Lucknow, Mumbai

Marriott Executive
Apartments

Long Stay
Apartments

Mumbai

Marriott

Upper Upscale

Bangalore, Hyderabad,
Jaipur, Kochi, Goa, Pune

Courtyard

Upscale Budget
Hotel

13

Agra, Ahmedabad,
Bangalore, Bhopal, Bilaspur,
Chennai, Gurgaon, Kochi,
Hyderabad, Mumbai, Pune,
Raipur

Fairfield

Midscale, Lowercost

Bangalore, Lucknow

Total Hotels

33

Source: http://www.marriott.com/hotel-search/india.hotels.page1/ ; https://hoteldevelopment.marriott.com/brands-dashboard/

Different levels of a product:

Basic Product: Hotels with basic functional attributes like hotels that provide rest, sleep and food.
The aim is to ensure that potential customers buy service.
Expected Product: Set of attributes that customers expect like cleanliness, quite environment etc.
Augmented Product: Additional non-tangible benefits like prompt room service, aroma, music etc.

Potential Service: Included all possible avenues that make the product a distinguished offer

S-T-P Analysis:
Step 1: Segment Your Market
An organization, product or brand can't be all things to all people. This is why one needs to
use market segmentation to divide customers into groups of people with common characteristics and
needs. Thus one can tailor his/her approach to meet each group's needs in a focused, cost-effective
way which gives a huge advantage over competitors who use a "one size fits all" approach.
Marriott believes customers require a base service level and they differ in their
willingness to pay different levels of comfort and luxury. So they have created a
tier of different style hotels varying from price and amenities to meet each
customers wants, needs and income.
Variables they used for segmentation are like customer preference to
luxury, special occasions, weddings, seasoned traveller, upper and
middle class, high income bracket and middle-upper age, business
professionals, singles-families-couples, upscale business conferences
and meetings, business travellers (short or long duration), need of tech
amenities, young business professionals
Based on the market segmentation, it has entered into many different market
segments by its different brands such as full service, more upscale, topquality service, stylish and luxury, customers who plan an extended stay away
from home, and for businesspeople and vacationers who seek value-priced
accommodations.
After predicting growing demands coming from Tier II and Tier III cities, it has
diversified its portfolio and launched affordable hotels in cities like Jaipur,
Lucknow, Cochin, Bhubaneswar etc.
In India, apart from accommodation, there always has been a bigger need for
food, beverage and local cuisine also which Marriott includes according to their
location and food habits of the customers.

Segmentation Implementation:
Geographic: Exclusive luxury hotels in metropolitan/cosmopolitan cities such as
JW Marriott and Ritz Carlton in Delhi, Mumbai, Bangalore etc. Courtyard by

Marriott hotels focus on business travellers but also accommodates families,

who want a nice, clean place to stay during their business or vacation trip.
Purpose of the trip: Marriott split this variable in two categories: Corporate vs
Pleasure or Leisure. It is important for customers when they are choosing a
hotel, what does they consumer want, why are they travelling and what
amenities does a hotel offer that suits their needs. Supporting to the fact that
Mumbai is the commercial capital of India and Bangalore being the IT capital,
most of Marriotts hotel are situated in Mumbai and Bangalore to target the
business travellers who cant avoid travelling around the world for business
purposes. Business hotels like Courtyard, Fairfield have amenities like free Wi-Fi
in public spaces and have business centres or lobby PC with internet and printing
capabilities that help businesspeople to stay productive. Other than that, room
features have free high-speed internet access, have guest rooms with well-lit
work area, and have separate living, working, and sleeping areas. Marriott
Executive Apartment in Mumbai is preferred by international business travellers
who have to stay for longer period in the country.
Psychographics: It is based on the lifestyle of the customers. People want to
and tend to choose an accommodation that they are habituated to. Customers
differentiate and choose a hotel between JW Marriott and Fairfield based on their
lifestyles. Local cuisines also play a major part in the segmentations.
Demographics: There are segmentation between age and income groups.
There is a growing demand from the new age, educated Indian middle class in
Tier II and Tier III cities. Responding to this segment Marriott has focused on
budget hotel brands in India and opened Courtyard in cities such as Agra,
Ahmedabad, Bhopal, Bilaspur, Chennai, Gurgaon, Kochi, Pune, Raipur etc. To
target senior aged professionals with high level of income belonging to upper
social class Marriott focuses on Renaissance, JW Marriott and Ritz Carlton.
Behavioural Segmentation: Brand loyalty, frequency, usage status, benefits.
Marriott offers reward programs with free nights, upgrades. Also it runs many
third party promotions to appeal to its customers. Customers have options to
have their wedding whether in Marriott Hotels & Resorts, JW Marriott or
Renaissance Hotels.
Product Related: Specific services appeal to some consumers such as fitness,
sustainability, technological needs etc. Marriott offers free wifi, meeting space
according to customer needs. Spa packages couple retreats, business convention
centres,
Distribution Channel: Specific tiers market segmentation where they target
the customers directly or through third parties on specific items that suits only
their needs.

Step 2: Target Your Best Customers

Marriott in India uses differentiated targeting strategy to find the smaller

segments of a target market where they could reap more profit from.
Marriott targets business travellers: Marriott's targeted market is mostly
business travellers. The flagship Marriott brand offers full service. The Marriott
hotels are equipped with restaurants, meeting rooms, fitness centres and other
exclusive facilities. This service is tailored for the business travellers with
average expenditures in their minds. Marriott does not only cater for this
segment alone, but caters for more exclusive clients too. JW Marriott brand is
the more upscale version of Marriott hotels and the Ritz-Carlton brand which is
known for top-quality service. Besides these, to target the lower strata of the
business segment, they run Courtyard and Fairfield. These two are tailored for
business travellers who are willing to spend less.
Marriott care about customer budget: Marriott also caters for the more cost
constrained business travellers who seek other aims. Courtyard and Fairfield
are mid-priced hotels for customers. These two are tailored for "budget" oriented
business travellers. Marriott Executive Apartments are for those customers
who plan on extended stay away from home. The Fairfield Inn & Suites are for
businesspeople seeking valued-priced accommodations. Looking beyond pricing,
Marriott also targets based on the individuals personalities that attracts them
towards suitable Marriott brands. For the "achievers" segment, Marriott hotel
stated that "Marriott is about productivity and performance" to cater for business
travellers who feel driven to get a lot done in a short time.
Marriott provides more completed facilities: Marriott also looks into the
reason as to why should businesspeople visit their hotels. For example,
businesspeople who travel frequently and see a hotel as a place to relax, feel
refreshed and take a break from the stress of being on the road, preferred the JW
Marriot or Ritz Carlton. Specifically, for the more tech savvy business travellers,
Marriott had equipped many of its meeting rooms with latest in recording and
communications technology. It has also partnered with third parties like Cisco to
provide these services in Marriott, JW Marriott and Renaissance Hotels.
In a nutshell, Marriott is using the differentiated strategy to target different
segments of the market by providing variety of unique hotel services, features
and attributes to cater for a specific segment as listed above. By bringing more
business from businesses customers, Marriott also offers hotel space to hold

meetings and seminars. Meeting usually involves additional purchases such as

snacks or meals.

Step 3: Position Your Offering

Positioning is not what you do to the product. Positioning is what you do to the
mind of the prospect.
Marriott focuses on its customers productivities and performance according to
its marketing executives. After Marriott realizes its customers are heavy users of
technology, Marriott uses mobile marketing as well as traditional media to get its
message across. To position Courtyard among the most valuable customer segments it focused
on Culinary (includes fine dining, cooking and wine and spirits); Culture (which relates to travel, art
and music); and Holistic Wellness (which is fitness, healthy eating and yoga or meditation).

Marriott International in India - Perceptual Map

Point of Parity (PoP) : Marriott uses top end location and facilities. Many of its
hotels are situated near to airports to lessen customer travel time. Courtyard and
Fairfield are fairly priced while not compromising the service quality.

Point of Difference (PoD): Ritz Carlton and JW Marriott are Marriotts

statement of luxury. Many of these hotels are located in Mumbai, Bangalore and
Delhi.
Brand Identity: Uniqueness of the offering
Brand
JW
Marriott
Ritz
Carlton
Renaissa
nce
Marriott
Executive
Apartmen
ts
Marriott

Taglines/Slogans
The JW Treatment.
Remarkable in every
way.
Step into a local
state of mind.
You dont stay here
you live here
Travel Brilliantly

Courtyar
d
Fairfield

Make Room for a

Little Fun
LET'S GET IT DONE

Target
They are The Accomplished,
exceptionally rich
Exceptionally rich people, retired
professionals
Tourists
Businessmen with longer period of stay
at abroad
Family vacation planners and business
executives
Business executives and business
travellers
Business executives and middle income
travellers

Source:
http://www.marriott.com/Multimedia/PDF/Hotel_Development/JWDevelopmentBro
chure.pdf
Marriott uses different taglines for its brands to support their identity to provide a
clear indication of the product/brands desired market positioning.
J W Marriott: As their tagline says, this brand offers services that are
Exceptional All Around by people who do service with a grace. Their slogan
clearly establishes the competitive advantage that highlights the JW treatment
is available nowhere else.
Ritz Carlton: Their top of the line five-star hotel that is remarkable every way it
quality of service.
Renaissance: This brand offers everything one expect from business travel or
tourists to help customers discover genuine local experiences.
Marriott Executive Apartments: Their slogan encapsulates the service
guarantee Marriott offers in terms of their hospitality.

Marriott: Their simple slogan is targeted to the travellers.

Courtyard: It is sort of in the moderate tier and provides a great entry point for
the new Indian middle class, new travellers for the first time. Companys aim is
to grow this segment with them and down the line, push them to the higher and
higher tiers of the marketplace.
These hotels suit primary and secondary markets and provide full service, offer
meeting spaces and all the other amenities at a lower price,.
This brand features restaurants like the MoMo Caf, a full-service eatery
featuring Western and Indian cuisine. Chefs partner with local artisans, organic
farmers and sustainable fisheries to deliver authentic cuisine for the
sophisticated palate in addition to providing unique food experiences that
celebrate well-being and sustainability.
Fairfield: Targeted towards the business executives and middle income group,
their aim is to provide quality service at lowest price to get things done.

Integrated Marketing Communication:

Social network recommendations prevail over marketing and advertising:
Today customers choose where to stay and what to do more on basis of the recommendations of their
personal social network. Guest has reason not to trust all the hype and marketing when they have
perfectly good friends and likeminded acquaintances that have been to a good hotel.
At Courtyard, the emphasis on social media and the role it plays in its integrated marketing
communications plan has become more pronounced. Having a digital presence for a hotel is a quick,
economical and real-time medium to connect with the target audience.
Customers today are digital-savvy and very proactive in sharing their hotel experiences on social
media. Hence, it becomes very important that using platforms like Facebook and Twitter as effective
listening tools. Courtyard replies to online queries or address grievances posted by guests on social
media at the earliest possible. A hotels activity on social media also helps drive bookings and increase
its search engine visibility.

FAIRFIELD BY MARRIOTT. Travel with confidence.

Thoughtfully designed to meet the needs of the value-seeking Indian traveler,
were raising expectations for hotel guests in India. Fairfield by Marriott offers
modern design and amenities, superior quality, and courteous and attentive
service all at a great value. When you book a Fairfield by Marriott hotel, you
can expect to have everything you need to travel with confidence.
For over 25 years, Fairfield has provided travelers with high-quality

business hotels and courteous service, at an exceptional value.

With over 700 hotels across the U.S., Canada and Mexico, Fairfield has

earned a reputation as a leader within the hotel industry.

Now, after extensive research, we have designed a new hotel that is

specifically tailored to the needs of the Indian traveler.

In addition to delivering the amenities that are most important to Indian

guests, Fairfield consistently provides courteous, attentive service.

Our upcoming hotels in India will continue our tradition of convenient,

modern, and reliable business hotels.

WHAT FAIRFIELD OFFERS:

Modern, stylish and immaculately clean rooms featuring ample

workspace, Wi-Fi, comfortable beds, and a spacious bathroom.
Courteous and attentive service.

Inviting three-meal restaurant serving delicious Indian cuisine with

vegetarian selections and Western menu items.

Bright and spacious lounge with areas for meeting, socializing, and
relaxing.

Meeting rooms equipped with modern technology such as Wi-Fi.

Fitness facilities featuring state-of-the art equipment.

Snacks and travel necessities for the on-the-go traveler at The Market.
Fairfield by Marriott participates in the Marriott Rewards guest loyalty program.
Its an opportunity to earn points for each stay and to use points at more than
3,700 locations worldwide.

Source: http://www.marriott.com/fairfield-by-marriott/india.mi

Extra Collections:
Marriott SWOT Analysis:
Strengths

Weaknesses

Reputation

Luxury brands

Global leader

Courtyard brand losing its core business

Brand equity

customers.

Geographic presence

Lack of a low-cost lifestyle brand

Unhampered by hotel ownership

Uncertainty around the launch of new brand

(i.e.

Focused pipeline development

Edition)
Strong internet presence
Indian economic downturn
Quick Response to the needs of business
and leisure
travellers from IT solutions
The adoption of the latest design,
technology, food
and beverage offerings.
Highly qualified services
Strengthening international market
Superior strategies to retain and attract
employees
Eco-Friendly

Declining demand for travel accommodation

in India

Opportunities

Threats

Emerging markets

Consumer confidence of luxury brands.

Individuated experience

Downturn in business travel poor economic

Keep developing Eco-tourism

conditions

Hotel refurbishment

Economy brand development

Uses of good CRM systems that can help

them keep

Timeshare not popular any more

Credit crunch of tourism industry

track of customers demands.

Loss of market share as a result of intense
Distinction amongst hotel service offered
competition
Growth in online booking
Increased minimum wages in the India
Epidemics
Terrorism

Exhibit 2: Marriott Brand Portfolio

Marriott Courtyard Hotels in India:

Average Price

1. Courtyard Mumbai International Airport

5130

2. Courtyard Pune Hinjewadi

4532

3. Courtyard Pune Chakan

4057

4. Courtyard Raipur

3817

5. Courtyard Agra

2916

6. Courtyard Ahmedabad

4940

7. Courtyard Bengaluru Outer Ring Road

6650

8. Courtyard Bhopal

5681

9. Courtyard Chennai

3595

10. Courtyard Bilaspur

2375

11. Courtyard Gurgaon

4280

12. Courtyard Hyderabad

4226

13. Courtyard Kochi Airport

4234