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Running head: AT HOME INN – SEYCHELLES1
At Home Inn – Seychelles
Marketing Plan
Jennifer A. Bylan
Marketing Strategies
Southwestern College Professional Studies
Petra Spillman / Deb Stockman
May 6, 2012
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AT HOME INN -- SEYCHELLES 2
At Home Inn – Seychelles
Executive Summary
The At Home Inn is a bed and breakfast (B & B) located in the Seychelles based on a
concept of giving more than just a typical resort experience to the guests. The founders of the
Inn believe there is a marketing segment of adventure seekers looking for personalized service
above the normal generic services offered from existing all-inclusive resorts. The Inn offers its
guests the ability to step out of their front door into their own back yard, feeling as though they
are a native to the island rather than trapped in the touristy commercialism of traditional resorts.
Guests at the At Home Inn have the security of their own personal guide to tend to their every
need, including escorting them to the local venues available to the natives. This personalized
service does not diminish the extravagance of the facility itself, offering prestige through modern
facilities, with the upmost in magnificence and opulence.
The market plan outlined below demonstrates the desire to reach the target markets
identified as having the greatest potential for enjoyment of all the Inn has to offer. The plans
outlined assure target markets receive the promotional goals and objectives outlined. They will
not only receive the messages, but will do so in repetitive and different venues, such as print and
web ads. By narrowing these ads to the target markets most likely to seek the special services
and extravagance offered, this marketing plan guarantees success.
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Situation Analysis
The Internal Environment
Marketing goals and objectives. The marketing plan developed for the At Home Inn
centers on the future outlook stated in the vision statement and the overarching mission statement
of Bed & Breakfast (B & B). As the inspiration for the B & B, and the framework for all
strategic planning, the At Home Inn developed a vision statement focused on the expectations for
the future:
To share with domestic and international visitors the various aspects of life on The Seychelles in a manner that enhances both their vacation expectations and their cultural curiosity. We aim to provide a quality vacation experience which will lead to warm, lasting memories for both visitor and host.
The B & B mission statement is concise on its purpose for its existence:
Our mission is to offer our guests a distinctively intimate experience by providing the finest in location, accommodations, amenities, dining, recreation, leisure, and relaxation provided with one-on-one personal service. Our passion is to exceed the expectations of our guests through personalized, gracious, friendly service, accented by the natural and majestic beauty of the Seychelles and offer an experience our guests will remember always. We promise to provide our guests unmatched personalized service starting with individual airport pickup and ending when they are returned, an exclusive local guide available to escort guests to native attractions and assuring guests are offered all the comforts of home. We want to be, and be seen to be, the best B & B for offering a “guest house rental” vacation
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with resort amenities, without the impersonal resort service and crowds.As this is a newly formed venture, there is no history of achievement of marketing goals
and objectives. However, all planned marketing activities are inline in fulfilling the vision and
mission statements of the B & B. The marketing goals and objectives are defined to assure the
attraction and repeat visitation of guests. This is accomplished through the number one
marketing goal, which is to promote our ability to out rate the competition through over-the-top
personal service for each guest. The performance of the hospitality industry as a whole is
improving in that discounts and slowing improving economy are allowing consumers to enjoy a
greater budget for travel.
Current and anticipated organizational resources. The Seychelles’ number one
industry is tourism, which accounts for approximately 70% of its $750 million GDP. The total
available workforce consists of roughly 52,000 individuals, of whom 3,000 are unemployed,
making the unemployment rate 5.8% (U.S. Department of State, January, 2012). This affords the
B & B with a deep pool of available human resources. With the recognition of the importance of
tourism, this available workforce therefore has a solid knowledge of the tourist industry. In
addition, it will therefore make it easier to hire professional staff members dedicated to the
mission of the B & B. The promotion of a fun work environment will aid in attracting the right
talent to fulfill the necessary positions.
The actual buildings of the B & B have been purchased with all accommodations
completely paid in full. Financial resources remaining will be sufficient to support the initial
opening activities and early visiting guest requirements. These financial resources are estimated
to be adequate enough to support all activities until the B & B reaches a profit-making level.
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It is planned to use as many local suppliers as possible in order to save in shipping costs
associated from getting supplies from Africa. Relationships with these key suppliers have
already been established and have been formed with a partnership foundation. These supplier
partnerships will be a key to the success of the B & B as cost savings will be necessary to turn a
profit quicker. It is not expected these relationships will sour. The B & B has formed
partnerships with alternate sources of supply, should one supplier have a change that no longer
matches the mission of the B & B.
Current and anticipated cultural and structural issues. As the number one important
aspect of the B & B, customer service will play a large part in all activities for the company.
This includes not only the guest service representatives, but will be applicable in the promotional
marketing activities as well. Over-the-top guest services will have to be the thread that weaves
the total organization, from the ground up. One main marketing goal of the marketing strategy
will be to promote the unsurpassed personal attention each guest will receive during their stay.
As a small business, the hierarchy of the organization will remain fairly flat. The owner
will be the main decision maker for the processes and procedures of operation. However, these
decisions will not be made unilaterally without suggested input from the employees. This type
of organizational structure will promote employee empowerment and assurance of best practices
policy. In addition, with the inclusion of employee input, there would be a lessening of internal
politics as well as power struggles. The structure of the organization is built on a foundation of
open-door management and employee participation. Mixed with these ingredients will be the
ingredient of a fun and appreciation. This allows for happier and motivated employee which
extends to the wonderful customer service they provide.
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The internal structure is not expected to change as employee engagement will remain the
focus. However, since this is a small business, should change be necessary, it will be easier to
accomplish. Employee buy-in will be accomplished with their input and understanding of the
need for change. The company will utilize a short-term planning horizon for its marketing
activities. This will assure the organization remains flexible enough to keep up with the ever
changing demands of traveling guests.
The Customer Environment
Who are the firm’s current and potential customers? The marketing strategy will be
to target the premium market segment identified to select the extravagant B & B as their choice
vacation getaway. This segment includes couples in the 35 – 65 age group. These couples will
most likely have children that are grown or they have no children at all. It is this group that is
more likely to indulge more on themselves than those with the financial responsibilities of
raising children. Professionals with a higher income level, approximately $75,000 - $100,000,
are a perfect fit to this segment as well. It is at this income level or greater that affords are larger
discretionary travel budget.
The guests most likely to select the B & B also view the major motivator for travel to be
relaxation – to get away from the daily grind. They seek a more sophisticated atmosphere rather
than an adolescent Spring Break environment. These guests would be defined as individualist
and ones that hate crowds. They, instead, prefer the smaller, close-knit group of people with
similar tastes.
What do customers do with the firm’s products? The B & B is a perfect match for
consumers looking for a retreat unlike any other they have experienced. The B & B allows
couples to reconnect and re-energize their relationship. Be newlyweds or couples that have been
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together many years, the B & B is exactly the place for their travels. It offers a chance to travel
to an exotic location, but yet still feel like they are at home or visiting long-time friends. Guests
that desire the opportunity to know what it is like to actually live on the island will be able to do
so with the local guide to take them to the native shops and locations rather than the shops and
restaurants geared toward tourists.
Guests traveling to the B & B will predominately be celebrating a special occasion such
as a honeymoon or anniversary. This is especially true for couples traveling from the United
States, where the length of travel is greater than their European counterparts. Couples from Asia
and Europe are more likely to use the B & B as a vacation spot for a non-event related vacation.
Marketing activities will then have to vary in the different countries, with a greater wedding and
romance base for promotion in the United States.
Where do customers purchase the firm’s products? In today’s e-commerce boom, the
use of travel agents has become less and less frequent. However, the older demographic that is
less computer suave may tend to use an agent’s services. This group is not comfortable with
booking vacations via the internet. Rather, they would prefer the security felt by face-to-face
reservations. A younger couple will be more apt to use computer-based travel sites to book their
getaway. International travel websites such as Expedia, Orbitz, and Travel.com would all be part
of the marketing strategy as areas to focus promotional activities. In addition, couples will enlist
the use of social media and blogs for their research efforts. This is not limited to the younger
demographic. Social media such as Facebook is used across the entire age range of the target
segment. This would be another avenue for marketing activities.
When do customers purchase the firm’s products? Potential guests could be
persuaded to purchase a vacation if promotional discounts were fairly substantial. More likely
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influences such as room availability during desired travel dates would affect purchases. If guests
are unable to be minimally flexible in their preferred travel dates, it might be possible a guest
would have to select a competitor.
A larger factor affecting the purchasing trends of travelers would be climate and seasonal
considerations. The temperature on the islands varies little throughout the year, with a range of
75° – 85° F. The coolest months are July and August, where the temperature drops as low as
70°. The most enjoyable time of year is from May to November when humidity is the lowest
and there are pleasurable trade winds. The hot months are from December to April with high
humidity (U.S. Department of State, 2012). For travelers from the United States, November
through March are the months potential guests would be seeking a vacation in a tropical setting.
As the hottest months in the Seychelles are during this time, it could impact potential sales.
However, most travelers would consider 85° comfortable relative to a cold winter. The tropical
travel window for European and Asian guest would vary slightly from the U.S. guests. The
continental difference in desired travel seasons affords the ability to fill the B & B all year round.
Why (and how) do customers select the firm’s products? Compared to the impersonal
guest accommodations of a resort, guests are enticed to select the At Home Inn because of the
one-on-one attention offered. Guests are also attracted to the intimate atmosphere of the B & B
versus the crowds associated with resorts and cruises. At the B & B visitors have the ability to
control the degree of personal interaction they have, both with employees as well as other guests.
They will not have to worry about intrusion of a crowd but are still able to meet new people, if
that is what they desire.
The other major attraction of the At Home Inn over that of competitors is the B & B
offers its guests the opportunity to feel like one of the locals. This is an advantage over the
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competition that only offers commercialized and generic tours and attractions. Instead, guests
are able to mingle with the local merchants and residents with the security of a personal guide.
Guests are not made to feel as though they are entrapped behind the walls of a stuffy resort.
Rather, they have the ability to explore the unique adventures provided on the islands.
Why do potential customers not purchase the firm’s products? There are potential
customers that will not find the B & B offerings appealing. These include the younger
demographic seeking a Spring Break party atmosphere. These consumers are searching for
locations with the largest crowds offering the greatest amount of party-type activities. Market
segments in a lesser income range than specified will also not be ones to use the B & B as their
travel destination. The pricing of the Inn would limit those with a smaller discretionary travel
budget. Finally, non-customers are those that are not interested in discovering the culture offered
by the local natives. Rather, they prefer the shut off feeling behind a gated resort.
The External Environment
Competition. The largest competitors to the Inn would be the Banyan Tree Seychelles
and Lemuria Resort. Both of these two resorts are upscale resorts marketing to some of the
same segments as the Inn. The Lemuria offers the only 18-hole golf course in the Seychelles,
which could potentially draw the golf aficionado. The price range for each of these resorts is
fairly comparable to that of the Inn, making them even tougher competition. However, Lemuria
is only 3 miles from the airport, which makes for interruption to the serenity of the guests.
Unlike the Inn, the rooms and the common area are within close proximity of each other,
removing the feeling of complete privacy. Finally, each of these locations is not couples only –
they offer accommodations for families as well. This could be to the advantage of the Inn, which
promotes a mature, adults-only atmosphere.
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Economic Growth and Stability. According to the World Travel & Tourism Council,
“Global Travel & Tourism GDP growth is forecast to remain positive in 2012, at 2.8%”. This is
good news for the organization. Especially since the same report forecasts “Travel & Tourism in
China, India, Japan, Latin America and Africa is forecast to perform well in 2012” (World
Travel & Tourism Council, April, 2012 ). The recent global economic recession of 2008 has
without a doubt had an impact on all industry, travel and tourism not excluded. Based on this
report, there does seem to be an upward trend in this industry, slight as it might be. While this
news is good, there is still uncertainty in the global economy, which affects potential revenue
generation. For this reason, until the economy stabilizes, the hotel and travel industry will
constantly be facing a new normal somewhere on the globe. The GPD of the Seychelles was
estimated at $750 million. “Given the small size of the economy and its heavy dependence on
tourism, the island remains vulnerable to external shocks” (U.S. Department of State, 2012).
Political Trends. “The legal system in the Seychelles is based on English common law,
French civil law, and customary law” (U.S. Department of State, 2012). With a political system
established much like that of the United States, with French influence, there is little threat of
political impact on the company.
Legal and Regulatory Issues. “The Government of the Seychelles has entered into
multiple agreements with various international partners, including the United States, to protect its
borders and its tourism and fishing-based economy” (U.S. Department of State, 2012). These
agreements have opened the islands to partnering relationships with countries from where
potential consumers would begin their destination. With such protections in place, travelers have
an added security, enticing them further to selection the Seychelles.
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Technological Advancements. The use of the internet and social media websites to plan
travel has increased significantly and continues to grow.
By 2016, half of the travel industry will be using social media as a way of generating revenue and bookings. Currently more than one-fifth (22 percent) use social media as a revenue generating tool with a further 27 percent planning to do so over the next five years (Rauch R., 2011).
This technology trend extends into the online travel agent with 114 million people researching
travel online. Of those, approximately 94 million will actually book their reservations. .
Additionally, consumers enlist the use of mobile devices, such as the I Pad, to enhance their
resources.
Sociocultural Trends. In today’s market, there is an increased awareness of global
conservation. This especially expands into the travel industry. More consumers seek locations
that provide authentic travel experiences. “Sixty-one percent of Americans believe their
experience is better when their destination preserves its unique natural, historic, and cultural
sites” (Mullis, B. T., Spring 2012). It is for this reason the At Home Inn has developed green
initiatives developed to maintain the condition of the pristine beaches, decrease energy
consumption, and recycling of waste products. One initiative at the B & B is capturing natural
rainfall, which is later used to feed the foliage inside the lobby and accommodation areas.
SWOT Analysis
Strengths:
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Unmatched personal service for each guest.
Highly trained staff, with training emphasis on customer service.
Brand new facility with modern amenities.
Personal attention begins with airport arrival and continues until departure.
Adult couples only, encouraging romance and intimacy.
Facility max capacity is eight couples at one time. Promotes privacy or intimate social
interaction, depending upon the guest’s preferences.
Flexible guest services and requests.
Weaknesses:
Potential language barriers with multiple international guests.
Staff member specialized training restricts ability for cross-functional participation.
Requires additional staff to meet all the special needs of the guests.
To assure top notch cuisine will require a specialty chef with worldwide culinary
experience.
Opportunities:
Supreme location on one of the world’s most pristine beaches.
Local population is small, adding to the welcome, homey feeling.
Location of island is convenient for European and Asian travelers.
A customer expectation of greater customer service for money spent is surpassed.
Tourism is largest commodity on the island, which assures locals will embrace the guests
and make them feel at home.
Good availability of local specialized shops in the area for guests to find unique treasures.
Threats:
Island location could make travel difficult for North and South American tourists.
Continued economic uncertainty limits travel discretionary budgets.
Threat of piracy from the nearby Horn of Africa, especially with current notoriety of
several incidents.
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Competing resorts with greater financial backing could have the ability to lure potential
guests away.
Developing Competitive Advantages. The At Home Inn offers a rare slice of tropical
island magic and exclusive 500 square feet Villas, which are located on a pristine beach with
service tailored to suit guests’ needs and preferred lifestyles. There are only 8 guest Villas that
are exquisitely designed to celebrate nature and offer an authentic “at home” ambience. The
result is a specially destination that touches the lives of its guests and inspiring them long after
they have left. The passion and belief in the Inn of the owner cascades down to all employees of
the Inn. It is through this enthusiasm the B & B edges out the competition, as each guest is
appreciated for his unique desires and distinctive sophistication. Unlike direct competitors,
guests will not be treated in a cookie cutter fashion, where the expectation is for them to conform
to the accommodations. Instead, the Inn will coincide with the guest’s expectations.
Developing a Strategic Focus. The strategic focus of the marketing plan is to promote
the inimitableness of the Inn in the company’s ability to provide unmatched customer service,
local atmosphere, and uncompromised personalization. Because the B & B is like no other, the
marketing strategy will be one of niche marketing, especially focused on the narrow target
market defined earlier.
Marketing Goals and Objectives
Marketing Goal A:
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To create a differentiated experience capitalizing on personal service, intimate
atmosphere, at a unique location on one of the most beautiful islands in the world.
Objective A1: Jennifer to create ad to be marketing websites such as Facebook, Orbitz,
and Expedia. Ad to be complete within one month.
Objective A2: Jena to create a print ad to be run in travel magazines, such as Get Lost,
Island, and Travel & Leisure. Ad ready to go to print within 6 weeks.
Marketing Goal B:
Introduce guest to the undiscovered paradise offered on the luxurious islands.
Objective B1: Bob to promote at events where target market is most likely to be
gathered, such as general aviation air shows in the U.S., Europe and Mid-East. These events are
held annually, and Bob will use printed brochures and informative flash drives to be handed out
to any interested party.
Objective B2: Bob to hire sales staff to be located in internationally in prime global
target market areas to attend more localized events where the upper class would converge, such
as Polo events and Top Marques Monaco, for example. Staff to be hired within 3 months.
Marketing Goal C:
To create an environment of pampered luxury that surpasses the standard fare for all
other inclusive resorts.
Objective C1: Jennifer to hire a decorator to assess if there are any additional finishing
touches to be complete before grand opening. Decorator to be hired immediately.
Objective C2: Marketing group to conduct personal surveys of potential guests to gauge
the degree of their knowledge of standard resorts versus the over-the-top services provided at the
Inn.
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Marketing Strategy
Primary (and Secondary) Target Market
Primary target market: 1) mid-thirty to more mature couples with grown or no
children, 2) upper income couples with larger amounts of discretionary income, 3) couples
accustom to – and expect – exquisite service and luxury, 4) couples looking for an intimate
setting rather than a large party atmosphere, and 5) couples associated with the upper status
populace.
Secondary target market: 1) younger newlywed couples looking for intimate and
private accommodations, 2) couples in an income level below $75,000 that have saved for the
trip-of-a-lifetime, 3) new couples looking for travel to a secluded and exotic location to explore
the newness of their companionship.
Product Strategy
The product strategy of the At Home Inn is to feature personalized one-on-one attention
to each guest, unlike the generic and commercial attention received at competing resorts. The B
& B offers a unique getaway for the elite jet-setting population looking for lavishness and
magnificence. The Inn offers the latest in modern facilities while still maintaining the natural
beauty of the island itself. Each guest bungalow is just steps away from the pristine private
beach. Original construction of the resort was regulated to safeguard the environment and
protect the island’s unique flora and fauna. The resorts offers additional spa services above the
personalized local guide available to take each guest to any desired native location. This
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includes excursion to deep sea fishing, or if desired, shopping and dining in the local, non-
commercial locals.
Pricing Strategy
Pricing at the resort will be a step above pricing at comparative resorts. This pricing
strategy establishes the image of exclusivity and top-notch service, the main marketing strategy
of the B & B. Currently, direct competitors charge on average $600 per person. It would be the
strategy of this B & B to set ourselves above the competitor by charging $775 per person during
the peak seasonal period of May to November. This pricing would be discounted $125 per
person during the hotter and more humid months of December through April. This discount
upholds the exclusivity element while still alluring potential guests to book during the more
humid months. Profit margins associated with this pricing strategy would generate be
approximately 5%. As the number of investors is limited to the owners, this margin is more than
acceptable. Profit margin is not the number one goal of the owners for the B & B, but rather to
enjoy living their dreams on island living.
Distribution / Supply Chain Strategy
The location of the B & B is such that it is in the best interest to assure as many of the
supply chain activities are within the boundaries of the islands. Therefore, as mentioned earlier,
many partnerships have been formed with local merchants to support the activities of the Inn.
This not only includes merchants, but local shops and restaurants. These partnerships
communicate to the natives the mission of the Inn and the need for our guests to feel as though
they are not visiting the island, but rather gaining the experience of living there themselves. In
addition, local natives are recruited to offer guests experiences outside of the normal more
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commercial offerings of the competitors. This includes activities such as all-day catamaran sails
with an island native to areas off the beaten path of normal excursions.
Integrated Marketing Communication (Promotion) Strategy
During the initial opening of the B & B, promotional activities would be focused on
attracting customers to book their vacations at our facility. Such activities would include
offering discounts to the first 50 guests. Included discounts would be stay 6 nights, get 1
additional night free. Word of mouth within the elite circles will be imperative for the success of
the company. Therefore, offering such a deep discount is frontline for testimonial promotions.
Guests that refer other guests would be offered credits toward their next stay, encouraging not
only word-of-mouth advertising, but repeat business as well. The credits offered would be
substantial enough to encourage repeat guests to use them. For additional enticement, returning
guests would also receive a discount of $50 per person on their return visit. As the B & B gains
notoriety, price discounts will be adjusted to increase profit margins to the desired level.
Sales promotional activities would include the development of an interactive website
with the inclusion of alluring photos of the facility and simple ad lines publicizing the market
high points of personalization and local guides. The marketing strategy also includes targeting
social media site advertising, where a click of the link takes the interested consumer to a
commercial touting the attractiveness of the exclusive getaway. (Reference commercial
submitted in week 5.) Finally, a print ad will be produced to indulge the senses of potential
consumers. These print ads will run in such exclusive magazines as Travel and Get Away.
Marketing Implementation
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Structural Issues
Since the At Home Inn is a newly formed company, structural issues are focused on new
beginnings rather than changes. The internal marketing activities described in earlier sections
are believed to be the most beneficial. With the emphasis on employee empowerment and input,
internal buy-in should be at a maximum. As well, the inclusion of the emphasis to each and
every employee the need for personal service and how that service ties into the marketing and
overarching mission falls in line with planned training. Because this is a small company,
changes in reporting relationships and hierarchal relationships would not be needed since the
owner is the top supporter of all decision making. Semi-weekly meetings will be held with all
employees asking for feedback and procedure improvement suggestions.
Evaluation and Control
Formal and Informal Controls
Initially, success of the B & B marketing strategy will be measured by the number of
guests booked within the first three months of implementation. As subsequent time elapses,
marketing measurements will by the number of referred guests as well as the number of guest
indicating they booked because of either the print ads, social media, or website. Once the
customer base has been established, success will be measured through profit margins. As the
number of discounted guests will decrease, profit margins will increase. Expenditures, both
domestically and otherwise, will be continually monitored to assure that costs stay within the
planned budgetary considerations. Finally, the company will survey guests to make sure
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AT HOME INN -- SEYCHELLES 19
promises made through marketing efforts meet customer expectations. If the number of
bookings decreases, the company will become more aggressive with seeking guest feedback for
methods of improvement.
References
Mullis, B. T., (Spring, 2012). Trends in sustainable travel and tourism. Greenmoney Journal.
Retrieved May 1, 2012 from
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http://www.greenmoneyjournal.com/article.mpl?newsletterid=48&articleid=677
Rauch, R., (December, 2011). Top 10 hospitality industry trends for 2012. Hotelmarketing.com.
Retrieved May 1, 2012 from
http://hotelmarketing.com/index.php/content/article/
top_10_hospitality_industry_trends_for_2012
U.S. Department of State. (January 20, 2012). Background notes: Seychelles. Retrieved May 1,
2012 from http://www.state.gov/r/pa/ei/bgn/6268.htm
World Travel & Tourism Council. (April, 2012). Travel and tourism: Trends and economic
impact. Retrieved May 1, 2012 from
http://www.wttc.org/site_media/uploads/downloads/MonthlyUpdate_April_2012.pdf