As we all know, Marriott International has successfully been at the forefront of the hospitality industry for an extended time. The marketing strategy of Marriot International has a bigger share in contributing to the success it has achieved over the years.
This case study focuses on the marketing strategy of Marriott International its target market, and advertising campaigns along with its digital presence. So, let us start by first understanding Marriott International as a company.
About Marriott International
Marriott International, Inc. is an American international hospitality company that operates a broad portfolio of hotels and related lodging facilities.
Founded by J. Willard Marriott, the company was established back in 1927 and is based in Bethesda, Maryland, USA.
Talking about its presence, Marriott International has established itself across 131 countries with 7,000+ properties that offer around 1.4 million guest rooms.
It is one of the most reputed organizations in the hospitality industry and has 30 brands diversified as per convenience and comfort.
Brand Portfolio of Marriott International
Marriott International is a public company, traded on the NASDAQ stock exchange in the United States.
Now that we have understood the company in brief, let us go through the customer profile of Marriott International by examining its target market.
What’s New with Marriott International
Check out some current news about Marriott International
- ‘Marriott’ the world’s largest hotel chain plans to add over 100 new hotels in India by 2025.
- Marriott International surpasses Q2 earnings and revenue estimates.
- Marriott Hotels debuts in Coorg with a resort and spa that features 108 well-appointed, elegantly furnished villas and cottages, offering views of landscapes and hectares of plantations.
Target Market of Marriott International
A Target Market refers to a group of individuals identified as being likely customers of a business. The target market usually includes customers who share similar demographic traits.
This is how Mariott International segments its target market:
|Target Market of Marriott International|
|Marriott Courtyard||Over-the-road travellers|
|Ritz-Carlton Hotels||Luxury travellers|
|Marriott Conference Centers||Corporates that conduct meetings|
|Marriott ExecuStay||Targeted at people needing month-long accommodations|
|Marriott Vacation Clubs||Travellers seeking to shop for timeshares|
The JW Marriot, created by Marriott International as a luxury brand, is meant to focus on customers who are seeking a quiet and opulent atmosphere during their accommodation.
Marriott International has successfully built up different target markets within its industry by specifically targeting the requirements of its customers.
Therefore their customers are mostly individualistic, sophisticated, and self-defined travellers who are willing to spend extra money on their accommodations as well as people travelling on a business trip.
Read the following buyer’s persona to understand the target customers of Marriott International:
- Luxurious, comfortable travel.
- Top-notch amenities, and personalized service.
- Convenient business trips.
- Quality relaxation and leisure.
- Loyalty rewards appreciation.
Interest & Hobbies
- Gourmet dining, fine wines.
- Golf or wellness interests.
- Art, culture, events.
- Networking at conferences.
- Family leisure travel.
- Balancing business and personal time.
- Consistent, reliable accommodations.
- Service and amenity standards.
- Privacy, and security concerns.
- Managing travel expenses.
Social Media Presence
Now, let us study more about the company by going through Marriott’s 4Ps of the marketing mix in the next section.
Marketing Mix of Marriott International
The marketing mix is commonly used to describe the set of techniques a company uses to get its message to the target market. Even more, a marketing mix can also be used to understand what a business is doing from a marketing perspective. It includes 4Ps that cover a company on the parameters of Product, Price, Place, and Promotion.
So this is how Marriott’s marketing mix pans out:
Product Strategy of Marriott International
Marriott is one of the foremost recognized luxury hotel chains. The unique product marketing strategy of Marriott International is centered around luxury travellers.
For Marriott, the core product in its marketing mix is within the sort of hospitality services. Their product strategy covers everything that goes into running the hotels. They have over 30 brands that include popular hotels like Ritz-Carlton, Sheraton, Renaissance, and many others.
The company has categorized its brands under the following tags: Luxury, Premium, Select, and Longer Stays. This helps customers to choose hotels based on their travel plans and convenience.
Marriott International strives to deliver exceptional guest experiences that are consistent across all of its branded hotels and resorts in all locations and on all channels. It also works extensively on launching new brands based on different themes that cater to new and existing customers.
Price Strategy of Marriott International
Marriott International is one of the few organizations that has been successful in maintaining pricing power despite significant competitive price discounting, volume shrinkage, and increased room supply.
In terms of pricing, Marriott International’s price varies with different hotels, customers, and locations. The prime motive of the company is to deliver a top-notch experience that exceeds customer satisfaction for the price they pay.
It has largely succeeded because the different hotel brands have been able to maintain differentiated value propositions in terms of their brand promise and brand appeal.
Place Strategy of Marriott International
Marriott International is well-known and is one of the biggest hotel chain companies in the world regarding the number of hotels they manage and operate both in different parts of the world and in the United States.
Choosing the ideal place and distribution strategy has played a vital role for Marriott in its journey over the years. Since its foundation, it has established itself in more than 131 countries and the placements of its hotels are mainly centered in and around major cities and towns of a country.
Presence of Marriott International
Promotion Strategy of Mariott International
Marriott International has been in the hospitality industry for almost a decade now and the name “Marriott” speaks for itself. It is one of the positive beneficiaries of “word of mouth” promotion.
Apart from that, Marriott primarily focuses on promoting itself and its brands through digital marketing strategy of Marriot International.
- It has a very well-designed website that showcases all of its brands in a detailed manner which entices users to book the room immediately.
- It has also worked on Generated Content strategy and also has been collaborating with various influencers.
- It also has a customer loyalty program called Bonvoy, which provides its customers with a variety of benefits.
Now that we have an understanding of the marketing mix of the hospitality giant, let us go through the marketing strategy of Marriott International in the coming section.
Marketing Strategy of Marriott International
In recent years, the marketing strategy of Marriott International has revolved from offline to online. It has shifted its focus to market itself more digitally than using the traditional marketing approach.
As rightly put by Arne Sorensen, President of Marriott International, on his blog, “What social media is allowing us to do is not draw attention to ourselves, but to see our guests in their own spotlight”.
So let us understand the marketing strategy of Marriott International and the campaigns it has implemented to provide an overall better customer connection and service.
Marriott International’s M Live
Marriott International’s M Live has been shaping the future of the hospitality industry with its communities in Marriott Hotels.
M Live is a platform, wherein the M Live team tracks a variety of topics that are popular worldwide and organizes its content around these topics. Furthermore, It also targets people on an individual level.
For example, recently a traveler tweeted a question about hotels in Nashville, USA, and received relevant suggestions from M Live. Not only did the M Live team suggest hotels, but it also gave out relevant content regarding how Nashville’s nightlife enhances the traveling experience even better.
Marriott International’s M Live Studios
Marketing & Advertising Campaigns of Marriott International
The marketing campaign of Marriott revolves around showcasing the comfort, care, and richness of Marriott’s luxurious hotel chain. The advertisements focus on the hotel chain’s luxurious room and hospitality services, as well as a relaxed atmosphere.
With memorable marketing campaigns that have drawn people’s attention towards the company, This marketing strategy of Marriot International has so far succeeded in impacting its viewers positively and thus resulting in constant customer engagement growth.
Marriott International has launched a campaign named “Golden Rule”, a category branding campaign that features four of its brands — Courtyard by Marriott, Fairfield Inn & Suites, Four Points by Sheraton, and SpringHill Suites — together for the primary time.
The idea behind the Golden Rule campaign is to showcase Marriott’s collective strength that stems from its “classic select” brands, which together comprise a third of its 30-brand portfolio. It showcases a connection between the four brands and how the service is rooted in human connections.
Marriott has made several commercials for this campaign which included 60-second and 30-second commercials. This campaign launched back in 2017 and is one of the most well-appreciated campaigns for Marriott.
Bonvoy – It is Marriott International’s worldwide campaign that promotes its travel program with the tagline “Rewards Reimagined”.
Bonvoy is a new loyalty program that gives its customers a variety of benefits, such as one-time bonuses and discounts. It also allows customers to earn points that can be further redeemed. It also provides members access to a lot of sporting and entertainment events as well.
It has released Bonvoy App on both Android and iOS to enhance the experience of loyal customers.
The “Here” Anthem
Marriot recently launched a campaign that builds on Marriott Bonvoy’s global tagline “Where Can We Take You”, They also added “Here” as an expression for revealing the authentic, moments that are loved and missed by travellers. The breathtaking ad film was shot across Malaysia, Indonesia, Japan, and New Zealand. The ad film is authentic and fast-paced – celebrates the power of travel.
It has also released various ad campaigns globally highlighting the benefits that Bonvoy membership offers. In India, it partnered with Mumbai Indians as loyalty partners and thus promoted Bonvoy during Indian Premier League (IPL) 2020.
These were the popular campaigns of Marriott International that it has incorporated to promote itself and maintain its presence in the minds of the customers and were an integral part of the marketing strategy of Marriott International.
Top 5 Competitors of Marriott International
These companies compete with Marriott in terms of brand recognition, quality of hotels, and customer service. They also offer a variety of different brands to appeal to different types of travelers. Hence the Marketing strategy of Marriott International needs to be well-strategized to beat this competition.
Here is a brief overview of each of these competitors:
- Hilton Worldwide Hotel: Hilton Worldwide is the largest hotel chain in the world, with over 6,800 hotels in 118 countries. It is known for its high-quality hotels and its loyal customer base.
- Hyatt Hotels Corporation hotel: Hyatt Hotels Corporation is a luxury hotel chain with over 700 hotels in 60 countries. It is known for its innovative guest experiences and its commitment to sustainability.
- Accor Hotel: Accor is a French hotel company with over 5,000 hotels in 110 countries. It is known for its diverse portfolio of brands, which includes luxury hotels, midscale hotels, and economy hotels.
- InterContinental Hotels Group (IHG): InterContinental Hotels Group (IHG) is a British hotel company with over 5,700 hotels in 100 countries. It is known for its global reach and its portfolio of award-winning brands, such as InterContinental, Crowne Plaza, and Holiday Inn.
- Wyndham Hotels & Resorts hotel: Wyndham Hotels & Resorts is an American hotel company with over 9,000 hotels in 80 countries. It is known for its value-oriented brands, such as Days Inn, Ramada, and Super 8.
Before Concluding let us talk about the campaigns that did not work well for Marriott International.
Marriott Failed Campaign
Marriott bonvoy rebranding
What was the issue?
In February 2019, Marriott International announced that it would be rebranding its loyalty program from Marriott Rewards, The Ritz-Carlton Rewards, and Starwood Preferred Guest (SPG) to Marriott Bonvoy. The new name and logo were intended to simplify the program and make it more appealing to consumers.
The rebranding was met with mixed reviews. Some people found the new name to be too generic, while others simply didn’t like the new logo. The rebranding also caused some confusion among Marriott’s existing customers.
In addition to the name and logo, Marriott also made some changes to the benefits of the loyalty program. These changes were also met with some criticism.
Overall, the Marriott Bonvoy rebranding was not a complete success. However, Marriott has since made some changes to the program in order to address some of the concerns that were raised.
What backlash did the brand face?
The name “Bonvoy” was not well-received by some people. It was criticized for being too generic and for not being memorable.
The logo was also met with mixed reviews. Some people found it to be too busy and difficult to read.
The rebranding caused some confusion among Marriott’s existing customers. They were not sure what the new name and logo meant, and they were concerned that they would lose their points or status.
What did the brand do in this situation?
Marriott issued a statement apologizing for any confusion or inconvenience that the rebranding may have caused. The statement said that the company was committed to making the new program the best it could be and that it was listening to the feedback of its members.
Marriott simplified the name and logo of the program in response to criticism. The new name, “Marriott Bonvoy,” was chosen because it was thought to be more memorable and to reflect the company’s commitment to connecting people through travel. The new logo was also simplified and made more modern.
Marriott made it easier for members to earn elite status and free nights in response to criticism that the new requirements were too difficult to achieve. The company increased the number of points that members could earn for stays and activities, and it also made it easier to transfer points between programs.
Marriott launched a marketing campaign to promote the new program and to address the concerns that had been raised. The campaign featured testimonials from satisfied members, and it highlighted the benefits of the new program.
With this, our case study comes to an end, Let us summarize our understanding of the marketing strategy of Marriott International.
Marriott International may be one of the most famous hotels around the world which is constantly in the news because of its new hotel development deals. Needless to say, Marriott International’s network is also top-notch with more than 7,000 properties across more than 100 countries and territories.
However, for the past three years, Marriott International has also been at the forefront of online travel marketing. From its extensive global network to its proprietary technology platform, The marketing strategy of Marriott International has worked well in integrating digital marketing. This brought up a well-curated marketing strategy of Marriott International to turn the brand into a preferred choice for individuals looking for luxury travel.
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