Marriott International Marriott’s response to the COVID crisis, Study Guides, Projects, Research of Marketing Management

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Marriott International Marriott’s response to the COVID crisis as the travel and tourism industry struggles Table of Contents Introduction..............................................................................................................................2 Task-1: Marketing Theories and Strategies during the COVID Crisis..............................3 Marketing Response...............................................................................................................3 Importance of Marketing....................................................................................................3 Marketing Strategies...........................................................................................................3 Distribution of Resources toward Marketing Activities.....................................................4 SWOT Analysis......................................................................................................................4 Marketing Strategies...............................................................................................................6 Competitive Analysis.............................................................................................................8 Impact of Technology on Strategies.....................................................................................10 Critical Evaluation................................................................................................................11 Task-2: Managerial Implications during the COVID Crisis.............................................12 Task-3: Recommendations for Post-Pandemic Era............................................................15 Conclusion...............................................................................................................................16 References...............................................................................................................................17 2 Critique: Marriott's worldwide presence helped but also exposed the corporation to various pandemic impacts in different countries. Some places have significant travel restrictions, harming business (Thurstan et al. 2021). ● Diverse Portfolio: Marriott's hotel brands cater to diverse travellers. This diversification enables the corporation to promote staycations and local tourism to accommodate shifting customer tastes. Critique: Despite Marriott's varied portfolio, several businesses struggled because of their dependence on business travel and events, which were severely damaged by the epidemic. The crisis exposed this market segment reliance. Strengths  Global Branding  Diverse Portfolio Weaknesses  Business and International Travel Overuse  Fixed costs Opportunities  Virtual Engagement  Reservation Flexibility Threats  Travel Restrictions  Intense Competition Table 1: SWOT Analysis (Source: Self) Weaknesses ● Business and International Travel Overuse: Marriott was exposed when corporate and international travel stopped. Corporate travel dropped, hurting occupancy and income. Critique: The case study needs to cover Marriott's attempts to diversify its income sources or overreliance on certain areas, creating a vacuum in the strategy review. ● Fixed costs: Marriott and other hotels have substantial property upkeep and personnel salary expenditures. These charges impacted the company's finances during the pandemic due to lower occupancy rates. Critique: The case study discusses decreasing occupancy rates but not how Marriott handled its fixed expenditures throughout the crisis. Understanding the company's cost-cutting and modifications may have given a complete picture. Opportunities 5 ● Virtual Engagement: The epidemic spurred digital technology use. Marriott used digital marketing and virtual interaction to retain consumers and boost reservations. Critique: The case study briefly mentions Marriott's digital and social media presence but needs to provide instances of creative digital marketing efforts and their results. These tactics' efficacy should be examined more closely (Salem et al., 2022). ● Reservation Flexibility: Marriott may entice unsure travellers by offering flexible booking conditions. Critique: The case study does not examine how flexible rules affect client retention and acquisition. Customer input or booking patterns might have helped evaluate this potential. Threats ● Travel Restrictions: Travel restrictions, border closures, and unexpected COVID-19 breakouts threatened Marriott's worldwide business. Critique: The case study mentions travel limitations but needs to address how Marriott overcame them or adapted its processes to overcome shifting legislation. ● Intense Competition: The epidemic increased competition in the hotel business for fewer tourists. Critique: The case study needs to examine Marriott's crisis strategy. Evaluating the company's differentiating methods or promotional activities despite increased competition would have offered a more complete picture. Marriott International's COVID-19 SWOT analysis shows its strengths, weaknesses, opportunities, and threats. The case study needs more detail on the company's tactics and results. More data and a deeper look at Marriott's pandemic response would improve the score. However, COVID-19 shows the necessity of strategic planning and adaptation. Marketing Strategies According to (Rice et al. 2023), Marriott International, a renowned hotel corporation, suffered during the COVID-19 pandemic. Marriott used a variety of marketing methods to meet the demands of internal and external stakeholders in the quickly changing marketplace. Using the marketing mix, let's explore these techniques and their impact on stakeholders: Product/Service Strategy 6 Marriott changed their product approach to fulfil pandemic client demands. With foreign travel limitations, the corporation promoted local tourism and staycations. It offered appealing packages and promotions to entice customers to explore neighbouring places, showing its wide hotel range to suit various tastes and budgets. Marriott made cleanliness and safety part of its core service to reassure guests. Stakeholder Impact ● Customers/External Stakeholders: The product strategy change gave consumers safer travel alternatives during the epidemic, easing their worries. Marriott's dedication to customer safety increased confidence and loyalty. ● Employee stakeholders: Safety and hygiene comforted employees. Marriott's commitment to safety boosted morale and confidence. Price Strategy Marriott's crisis pricing was more flexible. The firm allows cancellations and reschedules without fees. Given travel plan uncertainty, this method sought to lessen client financial risks and encourage reservations (Nicola et al. 2020). Stakeholder Impact ● Customers/External Stakeholders: Customers might alter their plans without extra fees because of the flexible pricing policy. Marriott's customer-centric strategy increased reservations and guest loyalty. ● Owners and Franchisees: The case study does not say, but the company's variable pricing model undoubtedly requires franchisee and owner collaboration. Such policies need transparent communication and coordination with these parties. Promotion Strategy Marriott increased its social media presence amid the crisis. Targeted web ads, email marketing, and compelling content kept clients and attracted new ones. It promoted recurring business through loyalty program incentives and promotions. Stakeholder Impact: ● Customers/External Stakeholders: Marriott's internet presence informed consumers of upgrades, safety measures, and discounts. Engaging content and tailored offers increased consumer loyalty. 7 Marriott International's COVID-19 response showed its adaptability and competitiveness. Marriott remained competitive in the travel and hotel business via product diversification, flexible booking procedures, digital marketing, partnerships, and safety. These tactics helped Marriott meet changing consumer and stakeholder demands, setting it apart from rivals and preparing it for a stronger comeback. Impact of Technology on Strategies Technology shaped Marriott International's COVID-19 initiatives. Digital marketing, communication, and globalisation helped the organisation overcome pandemic obstacles. Digital marketing: Technology transformed Marriott's crisis marketing. Digital marketing replaced conventional marketing due to travel limitations. Social media, email marketing, and targeted internet ads were used to retain and recruit clients. Despite physical limits, Marriott promoted its brand with compelling content, virtual tours, and targeted offers. Communication: Technology helped Marriott communicate with stakeholders throughout the crisis. The organisation quickly and openly shared vital information through digital channels. Customers, staff, and partners received timely hotel closure, safety, and travel updates. Marriott's transparent and secure communication-built brand trust. Internationalisation: Marriott's rampant internationalisation relied on technology. The firm focused on local tourism and staycations due to border closures and travel limitations. The company's website and mobile app let users easily browse and book nearby hotels. Marriott engaged clients worldwide with a simple online booking experience (Alotaibi and Khan, 2022). Technology also aided international connections. Marriott may partner with airlines, travel agents, and other companies worldwide to provide special pricing and vacation packages. Marriott used virtual communication to collaborate with overseas partners on marketing campaigns and promotions. Technology transformed Marriott International's COVID-19 tactics. Digital marketing helps the organisation interact with consumers and react to changing conditions. Effective communication tools-built stakeholder trust and ensured information openness. Virtual partnerships and worldwide expansion helped Marriott internationalise. These technical advances helped Marriott survive the crisis and secure its position as a digital hospitality leader. 10 11 Critical Evaluation Marriott International's COVID-19 response showed adaptation and resilience. These metrics measure these tactics' success: Customer Retention: Marriott's initiatives succeed if they maintain and recruit consumers, client happiness, repeat bookings, and new client acquisition rates reflect marketing success. Income and Occupancy: Revenue and occupancy rates throughout the crisis would reveal the measures' financial effect. The measures worked if revenue and occupancy levels recovered or stabilised (Kwok et al. 2022). Online Brand Awareness: Online engagement measures, including website traffic, social media interactions, and email campaign click-through rates, would show Marriott's brand presence and digital engagement. Safety Compliance: Guest comments and questionnaires concerning Marriott's safety and cleaning measures help gauge its performance. Collaboration Effect: Evaluating relationships with airlines, travel agents, and other partners would reveal their success in recruiting clients and reservations. Employee Satisfaction: Feedback and turnover rates show how the methods affect morale and retention. Marriott could have controlled its marketing if its efforts failed: Review Strategy Alignment: Marriott might have adjusted its marketing efforts to meet consumer demands during the crisis. Identifying gaps and adapting boosted effectiveness. Agile Decision-Making: Marriott might have changed methods based on real-time data and consumer feedback if they needed to be fixed. Improved Personalisation: Marriott could have improved customer engagement and conversion rates by personalising marketing messages and offers for certain customer categories. Optimising cost: To maximise impact with limited resources during the crisis, managing marketing expenditures and channels to concentrate on the most successful ones was crucial. Constant Contact: Marriott built confidence and managed expectations by communicating openly with internal and external stakeholders. Technology Adoption: Innovative marketing and virtual experiences would have helped Marriott stand out in a congested market and attract customers. 12 experiences effectively. Adopting digital technologies enables companies to expand their reach to a broader demographic and enhance customer convenience (Ozdemir, 2020). Collaboration and Partnerships Managerial Implication: The strategic partnerships established by Marriott with airlines and travel agencies exemplify the advantageous outcomes of such collaborations. It is advisable for managers to actively consider forming alliances with businesses that possess complementary attributes to broaden their market presence and provide customers with enhanced value-added offerings. Marketing Theory: The "Co-Marketing" strategy emphasises establishing partnerships with other companies to enhance marketing endeavours and expand the scope of target audiences. Collaborative efforts facilitate the sharing of resources, enhance the visibility of brands, and foster the development of mutually advantageous marketing campaigns (Landau, 2020). Data-Driven Decision Making Managerial Implication: Data-driven decision-making is essential for marketing success. Data analytics solutions may help managers get insights, track performance measures, and discover areas for improvement. Marketing Theory: The notion of "Marketing Analytics" emphasizes utilising data to quantify the efficacy of marketing efforts, optimise campaigns, and improve customer experiences. Data analysis empowers managers to make well-informed decisions and effectively allocate resources (Paraskevas and Guix, 2023). Sustainable Marketing Practices Managerial Implication: The significance of sustainability and responsible marketing practices is increasing among consumers. In order to cater to the preferences of environmentally-conscious consumers, managers must incorporate sustainable initiatives into their marketing strategies. Marketing Theory: The "Sustainable Marketing" theory advocates for adopting environmentally and socially responsible practices within marketing endeavours. The integration of sustainability principles within marketing strategies not only serves to align with the ethical values held by customers but also serves as a means to enhance brand reputation and foster long-term organisational success. 15 Crisis Communication Managerial Implication: The COVID-19 pandemic has underscored the importance of proficient crisis communication. Managers must establish comprehensive communication strategies that effectively and transparently address potential crises and empathise with stakeholders (Shin and Kang, 2020). Marketing Theory: The theory of Crisis Communication Management highlights the significance of proactive and transparent communication in the context of crises. Implementing effective crisis communication strategies is pivotal in managing organisational reputation, fostering stakeholder trust, and mitigating the adverse consequences of unfavourable occurrences. In summary, the marketing strategies employed by Marriott International amidst the COVID- 19 pandemic present significant managerial implications for both the company itself and the broader industry. Adopting agility, customer-centricity, digital transformation, and sustainable practices will enable companies to succeed in a dynamic and evolving business landscape. Furthermore, cultivating trust, utilising data-driven insights, and establishing strategic partnerships will augment the efficacy and durability of marketing efforts. Managers can enhance their crisis management strategies and fortify their brands in the long run by integrating established marketing theories and concepts into their decision-making processes. Task-3: Recommendations for the Post-Pandemic Era Adopt Agile Marketing: Marriott should maintain agile marketing techniques post-pandemic due to the management implications of agility and flexibility. Staying aware of market developments and client preferences and quickly adapting plans to meet shifting demands is essential. For real-time information, Marriott should invest in data analytics and market research. Agile decision-making may be promoted via cross-functional meetings and teamwork (Milwood and Crick, 2021). Customer Focus: Marriott should prioritise customer requirements and expectations based on customer-centric marketing. Safety, cleanliness, and personalisation will undoubtedly be top priorities for post-pandemic tourists. Marriott may do this by adapting marketing messaging to various consumer categories, giving tailored offers based on customer preferences, and building loyalty programs that reward loyal customers. Consumer-centricity may be improved via surveys and consumer feedback channels. 16 Communicate Trust and Safety: Marriott should be upfront about safety and sanitary practices to preserve trust-based marketing. It should be accessible on their website, mobile app, and other marketing platforms. After the epidemic, consumers will want reassurance regarding safety, and Marriott can stand out by proving its dedication to guest well-being and open communication (Harchandani and Shome, 2023). Accelerate Digital Transformation: Based on digital marketing transformation, Marriott should expedite its digital transformation. Investing in user-friendly mobile applications, easy online booking experiences, and integrated customer interaction platforms is necessary. Augmented reality (AR) for virtual tours and chatbots for individualised customer care may improve the digital experience. Marriott should enhance their website for mobile devices to capitalise on mobile reservations. Develop Partnerships: In the post-pandemic environment, Marriott should form strategic relationships. Collaborations with airlines, travel agencies, local attractions, and other hospitality providers may generate value-added packages and attract clients. Marriott should seek partnerships that match its brand values and enhance its products. Key performance indicators (KPIs) may also improve cooperation efforts. Marketing Analytics: In the post-pandemic environment, Marriott should continue using marketing analytics. By expanding its data analytics capabilities, Marriott can better understand consumer behaviour, preferences, and booking trends. These analytics allow Marriott to improve its marketing efforts, distribute resources more effectively, and spot travel and hotel sector trends. Promote Sustainable and Responsible Tourism: Marriott should encourage sustainability and responsible tourism. Environmentally minded shoppers may be drawn to businesses that reduce plastic waste, use energy efficiently, and support local communities. Marriott could promote its sustainability initiatives on its website and in marketing campaigns to attract eco- conscious customers (Kim et al. 2021). Prepare for Crisis Communication: Given the significance of crisis communication management, Marriott should plan for future crises. This requires a solid crisis communication strategy, personnel training, and crisis spokespersons. Marriott can avoid brand harm and keep consumer confidence by responding to crises quickly. 17 573. https://www.emerald.com/insight/content/doi/10.1108/WHATT-06-2020-0042/ full/html Liu, J., 2022, December. 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