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Certificate
N.L.Rastogi
M.Sc coordinator
IHM LUCKNOW
Place:
LUCKNOW
Date:
12-01-
2015
ACKNOWLEDGEMENT
- PAWAN SHARI
DECLARATION
I Pawan shari student of M.Sc in Hospitality Administration (Sales n Marketing) session 20132015 at Institute of Hotel Management Catering & Nutrition Lucknow hereby declare that the
dissertation entitled A STUDY ON SALES PROMOTION ANALYSIS WITH REFERENCE TO
HOTEL CLARKS AVADH LUCKNOW has not been copied from any other dissertation work
and has not been submitted previously.
Date:
Pawan Shari
ABSTRACT
CHAPTERISATION
Description
CHAPTER#1:
1.1Introduction
1.2About the hotel
1.3Research objective
1.4Scope
1.5Limitations
CHAPTER#2:
2.1Review of literature
2.2About the industry
CHAPTER#3:
3.1 Research Design & Methodology
CHAPTER#4:
4.1Data Analysis & Interpretation
CHAPTER#5:
5.1Findings
CHAPTER#6:
6.1 Conclusion
6.2 Recommendation
CHAPTER#7:
7.1 Bibliography
7.2 Webliography
Page no.
ABSTRACT
CHAPTER 1
INTRODUCTION
1.1
The role of selling has become more complex because producers are more
technical, buyers are more sophisticated and the competition has become more
intense. This has necessitated the need for proper flow of communication from the
producer to the consumer either along with the product or well in advance of the
introduction of a product into the market. Successful marketing consists in offering the right
product at the right price at the right place and time with right promotion.
DEFINITION
Sales Promotion
Sales promotion refers to the short-term incentives to encourage sales of a product or service. It
consists of a diverse collection of incentive tools, mostly short-term, designed to stimulate
quicker and greater purchase of products or services by consumers.
Sales promotion tools vary in their specific objectives. They may be used to attract new
customers, to reward loyal customers and to increase the repurchase rates of occasional users.
Sales promotion usually targets brand switchers because non-users and users of other brands
do not always notice a promotion. Sales promotions are thus also seen as a tool for breaking
down loyalty to other products.
Sales promotions also let manufacturers adjust to short term changes in supply and demand
and differences in customer segments. They also let manufacturers to experiment by varying
prices. Sales promotions also lead to greater consumer awareness of prices.
To use sales promotion, a company must set objectives, select the right tools, develop the best
program and implement it and evaluate the results.
1.2
Company Profile
U P Hotels Limited
THE GROUP
example of the level of refinement they achieved). The fish was their
symbol for fertility and prosperity. When you stay at the Clarks
Avadh you will experience the Beauty, Peace and the Sheer Luxury
of the Avadhi Culture.
Falaknuma Restaurant/Bar
(Roof top Multi-Cuisine Restaurant)
Services
Travel Desk, Secretarial Services, Conference Facility, Health Club,
Bank, Shopping Arcade, 24 hour Coffee Shop, CCTV, Channel
Music, Car Rental, Beauty Parlour, Credit Card Facility, Connection
Conference Venues:
Venue
Theatre Style
U-Shaped
Aiwan-e-Avadh (1)
70
60
Aiwan-e-Avadh (II)
60
45
175
105
Mahtab
50
30
Anarkali
30
25
AftabManzil
60
50
Aiwan-e-Avadh (I&II)
1,500
Travel Assistance
Well Appointed Suites / Rooms
Centrally Air Conditioned
Phone , Color TV
24 Hours Room Service
Business Center with Internet facility
Gymnasium
Special Avadhi Cuisine
MARKETING DEPARTMENT
Marketing department undertakes all the matters regarding the sales, pricing and sales
promotion activities of the products. This department provides cash as well as credit sales. The
credit sales are allowed for a period of one month. The marketing manager takes all the
important decisions concerning the marketing of the products.
CHART
Marketing Manager
Assistant Manager
Sales representatives
Trainee
1.3
Objective:
1. The study on effectiveness of sales promotion and advertising activities with special
reference to HOTEL CLARKS AVADH LUCKNOW.
1.4
Scope of Study
1)
Time Factor: The researcher had only limited period of one month for study. The
elaborate topic could not be fully covered; hence a complete picture could not be
obtained.
2)
Experience: The researcher had limited experience in the field being a student.
3)
4)
Sample Survey: Since the information is being collected from a sample of population,
their view cannot be generalized on large population.
5) Non
Co-operation
of
some
Respondent
Some
CHAPTER 2
REVIEW LITERATURE
Marketing is a social and managerial process by which individuals and groups obtain what they
need and want, through creating, offering and exchanging products of value with others.
-
Philip Kotler.
Marketing includes all those activities having to do with effecting changes in the ownership and
possession of goods and services. It is that part of economics which deals with the creation of
time, place and possession utilities and that phase of business activity through which human
wants are satisfied, by the exchange of goods and services for some valuable consideration.
-
Marketing is the process of discovering and translating consumer wants into product and
service specifications and then in turn helping to make it possible for more and more of
consumers to enjoy more and more of these products and services.
Marketing consists of analyzing marketing opportunities, researching and selecting target
markets, designing marketing strategies, planning marketing programs and organizing,
implementing and controlling marketing effort.
Companies have to identify long and short term marketing opportunities and research the
selected market by measuring and forecasting attractiveness of the given market. Having
selected the market, the companies need to develop a differentiating and positioning strategy
for the target market. The marketing strategy must be transformed into marketing programs by
deciding on marketing expenditures and the marketing mix. The final step is organizing the
marketing resources and implementing and controlling the marketing plan.
Marketing Mix
Marketing mix is the set of marketing tools that a firm uses to pursue its marketing objectives in
the target market.
McCarthy has popularized a four factor classification of marketing tools known as the 4Ps of the
marketing mix. They are:
Product
Price
Place
Promotion
Product:
Product stands for the firms tangible offer to the market, including the product quality,
design, features, branding and packing. It deals with new product development, product life
cycle, product mix, product lines, branding and associated services to a product. From the
customers point of view, it helps in satisfying the customers needs and wants.
Price:
Price is the monetary value of the product. Price deals with selecting the pricing objectives,
setting the price, discounts, allowances, payment policies and credit terms. It is very important
to the customers as it decides the cost the customer has to pay to gain the product value.
Place:
This marketing tool stands for the various activities the company undertakes to make the
product accessible and available to the customer. It involves market size, channel selection and
management, storage and physical distribution with the ultimate purpose of efficiently supplying
the companys offer to the target market. To the customer, this marketing tool refers to
convenience.
Promotion:
Promotion stands for various activities the company undertakes to communicate and promote
its products to the target market. It involves communication programs i.e. direct marketing,
advertising, sales promotions, public relations and motivation of sales force. To the customer
this tool provides knowledge and information.
SALES PROMOTION
The specific objectives set for sales promotions will vary with the type of the target market.
For consumer promotions, objectives include encouraging purchasing of larger sized units,
building trial among non-users and attracting switchers away from the competitors brands. For
trade promotions, objectives may include; including retailers to carry new items and higher level
of inventory, encouraging off-seasonal buying, of-setting competitive promotions, building brand
loyalty of retailers and gaining entry into new retail outlets. The sales force promotions help in
encouraging support of a new product or model, encouraging more prospecting and stimulating
off-seasonal sales. But most importantly, sales promotion should be focused on consumer
relationship building.
Many tools can be used to accomplish sales promotion objectives. Descriptions of the main
promotional tools are as follows;
Samples:
Coupons:
Coupons are certificates that give buyers a saving when they purchase a specified
product. Coupons can be mailed, placed in advertisements or included with other
products.
Rebates:
Rebate is also known as cash refund offers. Rebates are offers to refund part of the
purchase price of a product to its customers who send a proof of purchase to the
manufacturer. These are like coupons except that the price reduction occurs after the
purchase and not at the point of sale.
Price Packs:
Cents-off deals or price packs offer consumers savings by way of reducing prices
that are marked by the producer directly on the package.
Premiums:
These are the goods offered either free or at a low cost as an incentive to buy a
product. Premiums may be in-pack or on-pack (outside the pack).
Prizes:
They are offers of chance to win something such as cash, trips or goods by luck or through
extra efforts. Contests of talent and sweepstakes or draws the most popular prize offering
promotions.
Tie-in Promotions:
Tie-in promotions involve two or more brands or companies that team up on coupons,
refunds or contests to increase their pulling powers.
Cross Promotions:
Cross promotions involve using one brand to advertise non-competing brand.
Advertising Specialties:
These are useful articles imprinted with an advertisers name, given as gifts to consumers.
Patronage Rewards:
They are cash or other awards for the regular use of companys products or services. They
are values (in cash otherwise) that are proportional to ones patronage of a certain vendor or
a group of vendors. They aim at building brand loyalty.
PoP Promotions:
Point of purchase (PoP) includes displays and demonstrations that take place at the point of
purchase or sale.
Discounts:
It is also known as price-off or off-invoice or off-list. Discounts price cut off the list price on a
particular quantity purchased during a stated time.
Allowances:
They are the amount offered in return for an agreement by the retailer to feature the
manufacturers products in some way; displays, advertising or otherwise.
Free Goods:
Free goods are the extra merchandise offered to middlemen who buy a specific amount of a
product Companies also offer push money and specialty advertising items to the middlemen.
Companies spend huge amount on promotions focused on industrial consumers. The major
business promotion tools are as follows;
Sales Contests.
Clearly, sales promotions play an important role in the total promotion mix. To use it well, the
marketer must define the sales promotion objectives, select the best tools, design the sales
promotion program, pretest and implement the program and evaluate its results.
2.2
What is Hospitality?
Hitherto, attempts to define commercial hospitality have tended
to focus on the clustering and defining of groups of industrial
activity (see for example Jones 1996). As Brotherton and Wood
(2000) point out, this approach that has dominated the thinking
of most academics and practitioners is one that takes a narrow,
commercial, economic and industrial perspective which leads to
definitions that are highly circular and have limited utility.
In recent years, however, the debate has been stimulated by the
work of Lashley & Morrison (2000) who, in an edited work,
present a range of different views of hospitality from the
philosophical to the commercial, and include several interesting
perspectives such as humour, the role of media and postmodernism. Perhaps the most significant contribution of this
work is the exploration of the concept of hospitality in the three
domains of the social, the private and the commercial
environments. This led to a vigorous debate (Slattery 2002,
Brotherton 2002, Slattery 2003, Brotherton 2003, Jones 2004b)
with Slattery (2002) challenging what he characterises as the
three-domain approach, and claiming that it excludes important
aspects of the industry to the extent that it is portrayed as the
poor relation when compared with hospitality in the social and
private domains. Indeed, Slattery (2002) is clear in his view that;
Hospitality 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.
CHAPTER 3
RESEARCH DESIGN & METHODOLOGY
Meaning of Methodology:Methodology means methods of conducting research and the logic behind the methods.
The methodology is the theory of how research should be undertaken. It is the tools and
techniques used to obtain and analyze data.
Meaning of research methodology:Research methodology means the method adopted in studying the problem. It helps in
explaining the tools and techniques used in studying the problem under study. It is necessary
that the researcher should know which tool is used and for what purpose. Research
methodology is a way to systematically show the research problem. The research methodology
not only talk about the research methods but also consider the logic behind the method we sue
in the context of our research study and explain why we are using others so that the research
results are capable of being evaluated either by the researcher himself or by others.
Research Design
Research design is the framework or blueprint for collecting information needed in the best
possible way. The correct design will save resources and also tests the validity and the reliability
of the research.
DESCRIPTIVE RESEARCH
In this study descriptive type of research is adopted. This type of research includes
surveys and fact-finding enquiries of different kinds. These major purpose of descriptive
research is description of the state of affairs as it exists as present. The main characteristic of
this method is that the researcher has no control over the variables; he can only report what has
happened or what is happening.
Methods of Data Collection:The search for answers to research questions calls for collection of data. Data are facts,
figures and other relevant materials, past, and present, serving as bases for study and analysis.
Primary Data:
Primary data is collected with the help of interview techniques, question naire
and consumer survey methods. Interview is an effective, informal verbal and non verbal
conversation, initiated for specific purpose and focused on certain planned content
areas. Questionnaire is a systematic compilation of questions that are submitted to a
sampling of population from which information is desired. Consumer surveys are
conducted to learn what consumers think of promotion how many took advantage of it
and how the promotion affected subsequent brand-choice behavior.
Secondary Data:
Secondary data sources include:
a) Annual financial report of the firm
b) Magazines:. Business Today.
Data Representation:
Tools of Analysis include:
a) Tables
b) Graphs
d) Pie Diagrams
e) Charts
SAMPLING TECHNIQUES
The sampling method adopted is the non-probability sampling method. In non-probability
sampling method the convenience sampling method is used here.
Population Size:-
Sample Size: It is the number of items that has been selected from a population to make the study.
Sample size of 50 samples was considered for this study
Area of the study: - The study has been conducted only on the Hotel Clarks Avadh Lucknow.
SAMPLING METHODS
The sampling method adopted is the non-probability sampling method. In non-probability
sampling method the convenience sampling method is used here. In convenience sampling
method the researcher can collect the samples as per his or her convenience. This is usually
adopted when the population is unknown and the area of study is very wide.
Percentage Analysis
Number of Respondents
Percentage of Respondent =
x 100
Total Respondent
CHAPTER 4
DATA ANALYSIS & INTERPRETATION
Data analysis refers to collection of organize information usually analysis the result of
experience, observation or experiment, or a set of premises. This may consist of number, words
or images, particular as measurement or observation of set of variables.
Interpretation is a communication. It is telling a story. It is vital part of how people
experience the places there is it. The good interpretation will leave your visitors felling
connected, inspired and alive with curiosity.
4.1EFFECT OF MEDIA
Table 4.1
Sl. No
Media
No. Of Respondents
Perce
ntage
Visual
20
40
15
30
Audio
02
04
Displays
02
04
Banners
01
02
Brochures
10
20
INTERPRETATION
Result shows that visual media and print media influence customers mostly
and brouchers also attract the customers. About 40% were influenced by visual
media, 30% by print media, and 20% by brouchers. Audio media 4%, displays
4% and banners attracted 2%.
Chart 4.1
45
40
35
30
25
20
15
10
5
0
PERCENTAGE
Visual
Audio
Table 4.2
SL.
ATTRIBUTES
NO. OF RESPONDENTS
PERCENTAGE
Excellent
25
50
Good
15
30
Satisfactory
08
16
Poor
02
04
NO
INTERPRETATION
About 50% of customers respondent dealer demonstration was excellent while 30%
demanded that the result was good.
Chart 4.2
Poor
Satisfactory
Good
Excellent
10
20
30
40
50
Table 4.3
60
SL.NO
ATTRIBUTES
NO.OF RESPONDENTS
PERCENTAGE
YES
30
60
NO
20
40
INTERPRETATION
About 60% of customers commanded as advertising message was conveyed
successfully while 40% were against motion.
Chart 4.3
YES
NO
Table 4.4
SL.NO
ATTRIBUTES
NO.OF RESPONDENTS
PERCENTA
GE
Excellent
30
60
Good
15
30
Satisfactory
03
06
poor
02
04
INTERPRETATION
60% of customer were delighted and 30% customer were satisfied with present sales
promotion events of the hotel .
Chart 4.4
PERCENTAGE
Excellent
Good
Satisfactory
Poor
Table 4.5
SL.NO
ATTRIBUTES
NO.OF RSPONDENTS
PERCENTAGE
YES
20
40
NO
30
60
INTERPRETATION
About 40% felt need for change in advertising and sales promotion activities.
Chart4.5
PERCNTAGE
YES
NO
Table 4.6
DEALER
SL.NO
NO.OF RESPONDENTS
RELATIONSHIP
PERCENTAG
E
CORDIAL
25
50
VERY FRIENDLY
15
30
HOSTILE
06
12
POOR
04
08
INTERPRETATION
50% respondents have cordial relationship with their dealers.
Chart 4.6
PRECENTAGE
Cordial
Very friendly
Hostile
Poor
SL.N
ATTRIBUTES
NO.OF
PERCENTAGE
RESPONDENTS
Highly satisfied
10
20
Satisfied
20
40
Moderate
14
28
Dissatisfied
06
12
Highly Dissatisfied
INTERPRETATION
40% of customers tells that they satisfied with price,20% are highly satisfied with price,
28% are moderate with price and 12% are dissatisfied with price of product.
Chart 4.7
40
35
30
25
20
15
10
5
0
4.8. How far you were satisfied from the packages provided by AGMARCK advertising
agency ?
Table 4.9
RATING
PERCENTAGE
EXCELLENT
30
GOOD
40
SATISFIED
20
POOR
10
Chart 4.8
50
40
30
20
10
0
1
Table 4.9
RATING
PERCENTAGE
20
2-5 TIMES
60
MORE THAN 5
20
Chart 4.9
70
60
50
40
30
20
10
0
1
Table 4.11
RESERVATION METHODS
FREQUENCY
PERCENTAGE
18
36
TELEPHONE
05
10
TOUR OPERATORS
12
24
WEB PORTALS
15
30
1
0
10
15
20
25
30
35
40
Table 4.12
HOTEL NAME
FREQUENCY
VIVANTA BY TAJ
18
PERCENTAGE
36
PICCADILY
05
10
GEMINI CONTINENTAL
15
30
CLARKS AVADH
12
24
INTERPRETATION :The Clarke Awadh Hotel found their packages ranking after
Vivanta by taj and Gemini continental.
Chart 4.12
40
FREQUENCY
35
30
25
20
15
10
5
0
1
CHAPTER 5
FINDINGS
5.1 FINDINGS
1. Visual media and Print media influence customers mostly and brouchers also attract the
customers
CHAPTER 6
RECOMENDATIONS & CONCLUSION
6.1 SUGGESTIONS
6.2 CONCLUSION
BIBLIOGRAPHY
BOOKS
1. Marketing Management
AUTHORS
September 2001.
2. Principles of Marketing
3. Marketing
4. Research Methodology
Edition, 1990.
WEBLIOGRAPHY
1.)
2.)
3.)
4.)
www.clarksavadh.com
www.drjaybadiyani.net/content/commerce/c32content.html
https://www.scribd.com
http://www.foodsci.purdue.edu/outreach/vap/materials/marketing.pdf
CHAPTER 7
APPENDIX
QUESTIONAIRE
Visual
Print
Audio
Displays
Banners
Brochures
Q2.DEALER DEMONSTRATION
Excellent
Good
Satisfactory
Poor
ATTRIBUTES
Excellent
Good
Satisfactory
Poor
ATTRIBUTES
YES
NO
SATISFIED
POOR