UNIVERSITY INSTITUTE OF TOURISM

AND HOSPITALITY MANAGEMENT

DEPARTMENT- UITHM
MBA THM
Subject Name- Tourism and Hospitality Marketing
Code- THT 671
Sandeep Paatlan

Part 1 DISCOVER . LEARN . EMPOWER

Learning about airline services 1
marketing
 Concept of
marketing
services and
developing
needs.
Course Outcome
CO Title Level
Number
CO1 Explain and implement the concepts of Rememb
er
Marketing in real life
 
CO2  Explain the different marketing techniques Understa
nd
to handle sales
 
CO3  Implement the marketing theories in Understan
d
workplace

https://www.thewebally.com/digit
al-marketing-services-malta/ 2
 Unit – I:
• Concept of Marketing Service’s
Syllabus for (needs, wants, demand, customer
vs consumer, product / services).
unit 1 Distinction between Product and
Services and their implications.
Marketing Environment Analysis
(SWOT / PESTAL / Porter's five
In unit 1- we will learn about the forces). STP (segmentation,
needs and importance of marketing targeting and positioning) analysis
services with its scope and various
elements. of tourism services. Concept of
Marketing Mix and its elements
(7P’s). Developing Marketing Mix
for Tourism.

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 INTRODUCTION
• SOME BASIC TERMS TO REMEMBER:

• Market: Normally people understand the term market as a place where goods are bought and sold. But,
in the context of Marketing, it refers to a group of buyers for a particular product or service. For example,
the market for Accountancy textbooks consists of students in Commerce and specialized Accountancy
Programmers; the market for ladies readymade garments consists of girls and women, and so on.

• Marketer: It refers to the person who organizes the various marketing activities such as market
research, product planning, pricing, distribution etc.

• Seller: It refers to a person or organization who is directly involved in the process of exchange of goods
and services for money. This includes the wholesaler, retailer, etc.

• Buyer: A buyer is one who is directly involved in the process of purchase of goods and services. He/she
is one who selects the goods, makes payment and takes the delivery

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 INTRODUCTION

• Consumer: One who actually uses the product or service. For example, you bought a shirt and
gifted it to your friend who uses it. Here your friend is the consumer and you are a buyer. However,
a consumer can also be the buyer.
• Customer: A customer usually refers to the person who takes the buying decision. For example, in
a family, father decides on the brand of the toothpaste to be used by his children. Here, the
children are the consumers and the father is the customer. A customer can also be the consumer.
Similarly, the buyer may be different from the customer or one can be the customer as well as the
buyer.
• Product: A product is any good, service, or idea that can be offered to a market to satisfy a want
or need

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 The Evolution of Marketing
• Sample text here (16)

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 Objective of Marketing

• a. To carry out right kind of research to find out consumer needs.

• b. To manufacture goods which really needed by customer.

• c. To make available right kind of goods in right time, at right place, in required quantities & at the right
price.

• d. To create satisfied customers to make them patronage (Permanent customer) of the company.

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 Importance / Advantages / Benefits /
Significance of Marketing
Benefits to Firm
1. It helps in earning & increasing profit:
Main aim of every business unit is to earn profit. Marketing helps the firm to
increase in profit through advertising & sales promotional activities & reducing
cost through market research.

2. Marketing helps in Planning & decision making:

Every business organization has to take important decisions like what to
produce, how to produce, where to produce, when to produce & how these
goods & services are made available to the customers. Answer to all these
questions are given by Marketing Department, So Marketing helps in planning
& decision making.
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:
 Benefits to Firm(CONT…)

3. Marketing is a source of new ideas:

Marketing gives the detail idea of current business environment i.e. demands of
customers, tastes & preferences of customers, prices of competitions through
market research.

4. Marketing provides goods to ultimate consumer:

The marketing process bridges the gap between Producer & consumer. It is the
duty of marketing people to pass the product from manufacturer to the final
consumers through various channels of distribution

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:
 BENEFITS TO SOCEITY
1. Marketing improves the Standard of living of the society:
The main objective of the marketing is to satisfy human wants. Marketing creates
demand & increases demand for new products & services, which ultimately improves the
standard of living of the people.
2. It provides employment:
In India nearly 40% of the population is engaged in marketing activities directly or
indirectly. Large numbers of peoples are engaged in Market research, Wholesale Trade,
Retail Trade, transportation, warehousing, Advertisement, Publicity & promotion. Thus
marketing provides employment opportunities to society.

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:
 BENEFITS TO SOCEITY (CONT…)
3. It stabilizes the economic conditions
More production with less demand & less production with more demand
both situations are harmful to society. A efficient marketing makes balance in
between demand and supply (production), through creating demand & by
distributing goods to consumer, thus it solves the problem of imbalance
economic conditions.
4. Marketing increases National Income:
Marketing creates demand for new & existing products. If demand goods
increase production also increases. If production goods & services increase
the National Income of a country also increases.

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:
 CONCEPT OF MARKET SERVICES
• Sample text here (16)

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 As an actor we are just like workers
in a factory, we provide our services to
directors
CHOW YUN-FAT,ACTOR

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Similarly

As a future potential teachers,

we are like a service provider, we
will provide our services to our
future students.

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TABLE OF CONTENT
• Importance of service sector
• Why study service market?
• “service”
• Nature of service
• Characteristics of service
• Goods v/s services
• Service mix
• Classification of services
• Challenges in services
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How important is the service
sector in our economy?
• In most countries, services add more economic
value than agriculture, raw material and manufacturing
combined
• In developed countries , employment is dominated by
service jobs and most new jobs comes from the services
• Most activities by government agencies and NGO
involves services

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Why study services? Or Why do
firms focus on services?
• Services can provide higher profit margins and
growth potential than products
• Customer satisfaction and loyalty are driven by
service excellence
• Services can be used as a differentiation strategy in
competitive markets.

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Contribution of service industry
globally.

32%
https://www.slidesha
re.net/alcasi/loveloc
k-ppt-chapter01ppt manufacturing
Agriculture
services
64%
4%

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What is a product?
• Anything that can be offered to a market for attention,
acquisition, use, or consumption and that might satisfy
a want or need.

• Includes : Goods, services, events, persons

• places,organisations, ideas, or some combinations
thereof.

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What is a service?
• An act or performance offered by one party to another
• An economic activity that does not result in ownership
• A process that creates benefits by facilitating a desired
change in customer themselves, physical possessions or
intangible assets.

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Definition of services
“ In exchange for their money, time, and effort, in service
customer expect to obtain value from access to goods,
labor, professional skills, facilities, networks, and
systems but they don’t normally take ownership of any
of the physical elements involved’
CHRISTOPHER LOVELOCK

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“ Something that can be
brought or sold but cannot be
dropped on your foot!!”

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Nature of services
• The service product is essentially a bundle of activities,
consisting of core product.
• Example in case of Federal Express it consists of
transporting packages overnight and delivering them
next morning to the assessee plus the cluster of other
supplementary services.

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Characteristics of services
• Intangibility
• Inconsistency
• Inseparability
• Inventory

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• Services are typically produced and
consumed simultaneously….
• Co-production..dentist/patient
• Isolated production..T.V.Serial
• Self services..ATM,weighing machine

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Classification of services
• Based on degree of customer involvement (Lovelock)
1. People processing
2. Possession processing
3. Mental stimulus processing
4. Information processing

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Goods v/s services
Goods Services
• Tangibles • Intangibles
• Standardized • Heterogeneous
• Production separates from • Simultaneous production
consumption and consumption
• perishable
• Non perishable

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An extended marketing mix of
services
It includes the following:-
• Product(services)
• Place(cyber space and time)
• Promotion
• Price
• People
• Process
• Physical evidence

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People

• All human actors who play a part in service delivery and

thus influence the perceptions: namely the firm’s
personnel, the customer, and other customers in the
service environment

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Physical evidence
• The environment in which the service is delivered and
where the firm and customer interact, and any tangible
components that facilitates the performance or
communication of the service.

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Processes

• The actual procedures, mechanisms, and flow of

activities by which the services is delivered- the service
delivery and operating systems.

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CHALLENGES FOR SERVICES
• Defining and improving quality
• Communication and testing new services
• Communicating and maintaining a consistent image
• Motivating and retaining employees commitment
• CRM
• Bridging demand and supply
• Setting prices
• Standardization v/s personalization

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MARKETING ENVIRONMENT
•.

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MARKETING ENVIRONMENT
INCLUDES
MICRO Actors close to the company that
●

ENVIROMEN affect its ability to serve its

customers
T
MACRO ●
Considered as beyond the
ENVIRONME control of an organization
NT
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35
The Company’s Macro environment

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 The Marketing Environment
and Competitor Analysis

•SWOT analysis
• PEST analysis
•Five forces analysis

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 SWOT analysis
• Strengths (internal) Weaknesses (internal) Opportunities
(external) Threats (external)

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 PEST analysis

Political factors Economic

factors Socio-cultural
factors Technological
factors

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 Political/legal

Monopolies legislation Environmental

protection laws Taxation policy
Employment laws
Government policy
Legislation Others?

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 Economic Factors

Inflation Employment
Disposable income
Business cycles
Energy availability and cost Others?

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 Sociocultural factors

•Demographics
•Distribution of income
•Social mobility
• Lifestyle changes
•Consumerism
•Levels of education Others?

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 Technological

•New discoveries and innovations

•Speed of technology transfer
•Rates of obsolescence Internet
•Information technology Others?

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Porter’s 5 Force Model

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 MICHAEL PORTER

“An industry’s profit potential is largely determined by

the intensity of competitive
rivalry within that industry”

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Porters 5 Forces Model

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 FAQ’s
 Why we study Marketing?
 What is Marketing management ?
 Why Airlines marketing is important?
  what is sales ?

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Assessment Pattern

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 Applications
1) After going through this PPT Student will able to understand the basic Concepts of Marketing

2) Students will Generate marketing Questions on particular approach.

3) Students will able to do service marketing in a particular field.

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 REFERENCES

Reference Books
 Philip kottler, Sales & Marketing .
 Marketing for Hospitality and tourisim, Dr. John V. Padua
 Zeithmal, V. A. and Bitner, M. J., Services Marketing, Tata McGraw-Hill
Reference Website
• https://issuu.com/worldscouting/docs/marketing_guideline
• https://www.slideshare.net/karenhouston125/supply-and-demand-in-tourism
• https://studiousguy.com/marketing-environment/
• https://www.feedough.com/marketing-environment/

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THANK YOU

For queries
Email: sandeep.paatlan@cumail.in

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