Fairmont Hotels and Resorts
The Fairmont hotels and resorts are a collection of hotels that associate with unrivaled properties and experiences that are reflected by their unique locations and memorable services. This chain of hotels began in 1907 after the establishment of Fairmont San Francisco (Fairmont, 2014). Since then, they have grown and developed internationally. It is owned by shareholders with the highest, the Qatari Diar Real Estate Investment, holding a 40 % stake. Some of the celebrated Fairmont portfolios are; The Norfolk hotel Fairmont in Nairobi, Fairmont Le Chateau in Quebec City, the Savoy in London, Fairmont Peace Hotel in Shanghai, and Fairmont hotel at Makkah Clock Royal Tower, to mention but a few.
The iconic properties form a basis for the integration of the Fairmont development within the social fabric of communities. Additionally, the numerous historic events that have taken place within Fairmont hotel premises have contributed to its popularity and recognition both locally and internationally. For instance, many weddings that have taken place in the London Savoy highlight social life. Another significant element that has helped the Fairmont hotels and Resorts to develop is that the leadership always aim at international growth of the Fairmont brand. The CEO, Jennifer Fox, in an interview, asserted that she was impelled to join the leadership of the company given “they always talk about international growth” (Leaders magazine, 2013). Some of the rival hotel companies include; Starwood Hotels & Resorts Worldwide Inc., Four Seasons Holdings Inc. and Wyndham Worldwide Corporation (Hoovers, 2014).
Marketing Challenge
The Fairmont hotels and resorts face some marketing challenges, which include; firstly, changes in customer behaviors influenced by the aftermath of economic recession. As Mark Sergot, the vice president, Global sales for Fairmont Raffles Hotels point out, the recession altered customer’s behaviors as they try to accept their financial realities (hsmai, 2013). As such, most of the customers re-oriented their relationship with the hotel and focused on expense control coupled with value creation and return on investment concerns. Secondly, the relevancy of their sales approach is rigid. Given the changes in behavior of customers there is a need to embrace dynamism in order to remain relevant. However, the sales approach by the hotel’s salespersons may be of less value currently. Finally, there has been an explosion in international travels, from countries with different cultures. It is a challenge to determine the type of service required for the varied customers around the globe. This is essential, in the basic communications and delivery of various foods and beverage. The varying requirements from one person to another present a handle, which addressed well can ensure appreciable experiences and subsequently, trigger return visits.
Marketing Opportunity
Every challenge carries with it an equal measure of a beneficial opportunity. The challenge of customers’ behavioral change due to the recession can be converted into an opportunity by evolving the sales approach used in order to suit the exact needs of specified customers. In this way, it will be possible for the company to attract more customers regardless of their dynamic behavior. Additionally, the company can be able make a significant impact locally, which is stepping stone towards succeeding in the international market. Essentially, changing the sales approach to add value makes it possible to have a wide range of return customers who form a constant revenue source, and pose as marketing ambassadors for the hotel (Phillip, 2009). It is recommended that Fairmont should engage in research throughout their target market in order to comprehend the varied needs of the different customers. This is a significant way of ensuring that the customers become satisfied with the services provided, and in turn makes repeated visits or even recommend the hotel to their friends.
Potential Marketing Strategies
The company has over the years engaged the local communities by establishing initiatives that directly impact on the community within the surroundings of their premises. Some of these noble initiatives include training and education in hotel management and service provision. This helps the company secure their professional personnel who are elemental in steering the company in the future. It has also initiated agricultural activities in rural areas such as the Mt Kenya safari club in Kenya, where they involve the local women. Although this approach helps the company to integrate into the social fabric of the society and help in marketing locally, the company should put additional effort in quality research on the trends of customer changes.
The initiatives are elemental in the growth of the society, but have little impact on the market compared to use of qualitative research to guide the marketing approaches to be adopted. In essence, however, how much the company engages the community without proper marketing, all the efforts go to the drain without any significant impact on the sales of the company. Indeed, it is highly probable that the community in the surroundings of the hotel has never made a point of acquiring the services from the hotel. In summary, the primary objective that the company leadership should seek to pursue is supposed to be a dynamic approach in the sales department.
References
Fairmont. (2014, February 11). The Birth Of the Brand. Retrieved from Fairmon Hotels and Resorts Website : http://www.fairmont.com/about-us/ourhistory/
hsmai. (2013, November 12). Interview with Mark Sergot, Vice President, Global Sales, Fairmont Raffles Hotel International. Retrieved from HSMAI.org: http://www.hsmai.org/knowledge/summary.cfm?ItemNumber=7141
Leaders magazine;. (2013, March 3). Hospitality. Retrieved from The Leaders Magazine: http://www.leadersmag.com/issues/2013.1_Jan/Hospitality/LEADERS-Jennifer-Fox-Fairmont-Hotels-and-Resorts.html
Phillip, K. (2009). Marketing Management. Toronto: Pearson Canada.
