Prospects And Problems Of E-Marketing In The Hospitality Industry (Case Study Of Residential Hotel Abuja)

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Prospects And Problems Of E-Marketing In The Hospitality Industry (Case Study Of Residential Hotel Abuja)


Abstract


This study investigated the prospects and problems of e-marketing in the hospitality industry, using Residential hotel, Abuja as case study. Due to the nature of data needed, quantitative research was employed in this research and results were analyzed using statistical procedures. The study made use of questionnaire in collecting data for analysis. The study showed that the impact of e-marketing on business in general will minimize the marketing costs by transforming from traditional/offline marketing to a mix of offline and online marketing with a focus on the online marketing, and the cost per unique users will decrease. The study recommended that we should avoid creating multiple pages of weak content just to generate search traffic. Instead, focus on a consumer-centric approach that will build your word of mouth marketing, and use a multi-attribution report to see how many assisted conversions are a result of organic site visitors.


Table Of Contents


Preliminary Page(s)

  • Title
  • Declaration
  • Approval
  • Dedication
  • Acknowledgement
  • Abstract
  • Table of Content

Chapter One

Introduction

  • 1.1 Background of the study
  • 1.2 Statement of the problem
  • 1.3 Objectives of the study
  • 1.4 Research Questions
  • 1.5 Significance of the study
  • 1.6 Scope of the study
  • 1.7 Limitation of the study

Chapter Two

Literature Review

  • 2.1 Overview of E-Marketing
  • 2.2 Small Business and Online Marketing
  • 2.3 Social Networking Sites attributes and relationship cultivation
  • 2.4 Conceptual framework review

Chapter Three

Research Methodology

  • 3.1 Introduction
  • 3.2 Research Design
  • 3.3 Target Population
  • 3.5 Data Collection Techniques
  • 3.6 Validity and Reliability Tests
  • 3.7 Data analyses

Chapter Four

Research Findings And Discussion

  • 4.1 Introduction
  • 4.2 Demographic characteristics of respondents
  • 4.3 Most Used mode of Communication
  • 4.4 Motivation to Travel
  • 4.5 Activities undertaken by visitors
  • 4.6 Impacts of Human Activities in Parks and Museums
  • 4.7 Immorality in Parks
  • 4.8 Hypothesis Test on motivation to travel by locals in Abuja
  • 4.9 Discussion

Chapter Five

Summary, Conclusions And Recommendations

  • 5.1 Introduction
  • 5.2 Summary
  • 5.3 Conclusion
  • 5.4 Recommendations
  • 5.5 Further Research
  • References

Chapter One


Introduction

1.1 Background of the study

According to the definition provided by the American Marketing Association (2008), marketing refers to “an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. In essence, marketing is a consumer-oriented philosophy or way of doing business; companies that are consumer oriented will put consumers’ needs and wants on their top priority. From this perspective, the ultimate goal of marketing is therefore to create and retain profitable customers by satisfying their demands. It is worth noting that the goal of retaining profitable customers is particularly challenging in Asia including Hong Kong. This is because people in this region tend to be more group oriented and the word-of-mouth effects are especially strong. E-Marketing
Hospitality marketing is unique because it deals with the tangible product, like a bed in the hotel or food in the restaurant, but it also deals with the intangible aspects of the hospitality and tourism industry. It is about the experience in a trip and social status it brings eating in a fine-dining restaurant. Hospitality marketing is very critical in the success of any hospitality and tourism product, organization and tourist destination. Proper marketing effort promotes a product or service that fills the needs and wants of the consumers and at the same time, bring profits to the organization or country that features it.

E-marketing is any marketing done online via websites or other online tools and resources. E-Marketing can include paid services while other methods are virtually free. A wide variety of eMarketing methods are at your disposal, including: direct email, SMS/text messaging, blogs, webpages, banners, videos, images, ads, social media, search engines, and much, much more.


1.2 Statement of the problem

It has been emphasized that the immense contribution of internet towards the development of the hospitality industry and the country as a whole is enormous and that organizations from all over the world now depend almost on the use of internet (ICT) to manage and market their services. Therefore those who have not as yet adopted ICT in their operations to take a critical look at it.

The contribution of the hospitality industry to the overall growth of the economy of Nigeria cannot be overemphasized. For the hospitality industry to succeed, the need for efficient and responsive hotel subsector which incorporates modern trend of business and customer service cannot be ignored. The efficiency and smart services provided attributable to e-business present a bigger opportunity to firms, industry and the country as a whole necessitating the availability of knowledge through research.

Scepticism about e-marketing has always been a barrier to reaping the benefits inherent in its adoption especially in the developing countries where information and communication technology (ICT) is yet to see its best days.
To many businesses, the use of its existing structures, systems and methods help managers and operators remain in their comfort zone without many challenges. E-business however presents a more contrasting option and its adoption brings more benefits and provides global competitiveness for modern business.


1.3 Objectives of the study

The main objective of the study is to examine the prospects and problems of e-marketing in the hospitality industry.

The specific objectives of the study are to find out the following:

  1. To determine the mode used in e-marketing of the organizations product and its effects.
  2. To understand the target group with different brands.
  3. To establish and choose appropriate channel of e-marketing.
  4. To establish appropriate link and network with clients.

1.4 Research Questions

The following research questions were stated to guide this study:

  1. What is the mode used in e-marketing of the organizations product and its effects?
  2. What are the target group with different brands?
  3. What is the appropriate channel of e-marketing?
  4. What is the establish appropriate link and network with clients?

1.5 Significance of the study

The significance of this study can be seen in the fact that the outcome can be applied in the development of national policy framework as a guide for e-marketing (i.e. e-business) adoption. The study will improve our understanding of the following issues as they apply in the Nigerian situation.

  1. It shows the relevance of e-business in hospitality for a developing country like Nigeria.
  2. It reveals the benefits derived from adopting e-marketing
  3. It addresses the challenges that prevent firms from taking advantage of e-business.
  4. It provides the basis of future research into the adoption of e-business in other sectors of the Nigeria economy.

1.6 Scope of the study

The study concerns about prospects and problems of e-marketing in the hospitality industry using Residential Hotel, Abuja. The study will focus on the concept of e-marketing, hotel industry e-marketing as well as benefits of e-marketing and services to customer services.


1.7 Limitation of the study

a) Financial constraint:

Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).

b) Time constraint:

The researcher will simultaneously engage in this study with other academic work. This consequently will cut down on the time devoted for the research work.


1.8 Organization of the study

This research was structured into five chapters. Chapter one is the introduction covering background of the study. Chapter two is the review of related literature while research methodology was presented in chapter three. In the forth chapter, the data collected were presented, analyzed and interpreted. The work is summarized, concluded and recommendations made in chapter five.


Chapter Five


Summary, Conclusions And Recommendations

5.1 Introduction

This chapter contains summary of the study findings, conclusions drawn, and recommendations arising from the study.


5.2 Summary

E-marketing is the way you communicate and send your product or service message to your customers through the online channels, and the main e-marketing channels are social media: “anything that relates to the two way of communications,” video advertising, contents marketing, digital direct marketing, and mobile advertising.
The main tasks that digital marketers deal with on a daily basis are choosing the best channels to promote their client’s business, to utilize these channels to get the best of to gain the highest reach, to coordinate between publishers or suppliers of online services and the client. And also to generate e-marketing plans and then launch the digital campaign based on these plans.

A E-marketing Plan starts with a meeting between the client and the media team to discuss the client’s business, the product/service, and the client objective out of this upcoming marketing plan, which is referred to by marketers as “the briefing.” After listening to the client’s needs, the team conducts internal research through utilizing the save data they have, which is “the records” or the database (which might be provided by the client) in order for the marketing team to analyze the data to identify what problem the client has and where the gaps are in his current marketing plan.

During a briefing meeting, the client will typically mention that his product is high quality, has a good performance and competitive price, but it is not being purchased. Therefore, the marketing team does their analysis on the data and the current marketing plan, which the client has by using SWAT analysis, root causes analysis.

Next, the marketers start targeting the suitable audience for this product.The process of knowing the suitable audience for that product is determined by knowing the customers behavior, demographics, and psychographic of the customers.

After collecting all of this data about the client, business, the market, and the targeted audience, the marketers start launching their marketing plan implementation by investing in the correct way and on the appropriate channels.
KPIs are set before the launching of any campaign and the marketers continue to monitor the outcomes and indicators of the campaign throughout its duration. Based on those figures they transfer the budget to the highly responded channels and that’s how media marketers optimize the marketing campaign.

Based on this interview, I am convinced that by using the technology of the digital media, we can target the right customer for our product. In other words we can predict those who are willing to buy our product based on various statistics and insights from the customer such aswhat they are eating, their age, gender, income, and even last places they visited. For example, knowing that a customer opened an advertisement on a website for 20 seconds will indicate that he was curious about that product. The next time he visits the website, marketers can change that ads into something that will attract the same “future customer” such as a discount, an offer, or even a prize. This is called retargeting; a very smart approach to e-marketing.

The main challenges that are facing this sector of marketing in the region in particular is the client himself because of the lack of awareness and knowledge of the benefits of e-marketing, which is better than spending a lot of money on offline or traditional marketing. As Mr. Taha mentioned, “the cost of unique users online is less than 0.01 JOD, unlike the offline costs per user which is up to 100 JOD sometimes”

The disadvantage of e-marketing is that we have to track the channel contents, such as the website or online portals contents to ensure brand safety. We don’t want the client’s ads beside a breaking news story about ISIS human rights abuses or content that utilizes racist remarks. With offline marketing, such issues are not likely to happen.
At the end, it is about the product or the service that the client is providing for the market. To build a good brand image in the mind of customers is critical, because based on studies, the mind of a normal person absorbs 3 main brands, so client should build a good brand to compete with in the market and this product must be engineered well, be up-to-date, and needed by the customers.


5.3 Conclusion

The impact of e-marketing on business in general will minimize the marketing costs by transforming from traditional/offline marketing to a mix of offline and online marketing with a focus on the online marketing, and the cost per unique users will decrease. For example, the 10,000 JOD investments on an offline advertisement will attract less than 6,000 users, but with the same amount of money online, at least 100,000 users will be attracted and consequently may be interested in your product.

Online marketing also will increase your product and awareness of your business because in Jordan and worldwide the online marketing channels are the highest reach.

Promoting your business online eventually will lead to an increase in product sales because you do the right targeting. If you placed your ads in a newspaper, you don’t know who will read your ads, or if you placed an outdoor sign in The University street-Amman, you don’t know who will see your ads. With e-marketing you do 100% true targeting, so your product will be profitable and you will reach more people.

Brands can now be direct sellers, content producers, bloggers, tweeters and even friends without having to rely on media to deliver those messages. Consumers can seek out those brands, connect with them through social networks, tweet about them, and instantaneously let all their friends know what they think about them or what they plan to buy.


5.4 Recommendations

E-marketing is the twenty-first century palette for communications, branding, and advertising campaigns, a tool with virtually infinite possibilities, uses, and outcomes. However, we both know that marketing an organization or business online is not without its various limitations and difficulties. For one reason or another, you may need help with your online strategies for marketing in this regards organisations are being advised to not rely heavily on rankings as a barometer of progress, and similarly, avoid creating multiple pages of weak content just to generate search traffic. Instead, focus on a consumer-centric approach that will build your word of mouth marketing, and use a multi-attribution report to see how many assisted conversions are a result of organic site visitors.

Every marketer faces different challenges. Although they typically share similar goals, some teams are stuck on hiring top talent, while others are having trouble finding the right technology for their needs.

Whatever the case may be, there’s always at least one area that one can stand to improve. In other words, there’s always room to optimize the various components of your strategy and turn e-marketing into an even more effective revenue generator.


5.5 Further Research

Further research on the same topic can enrich knowledge on the motives of e-marketing in the hospitality industry. This could be done by deploying and arriving with concrete solutions in order to provide more insight on those challenges.


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