How will hotels embrace and utilize co-creation and experiential marketing in the future?
酒店营销作业代写 Hotel industry is not immune to this change, in fact ever since the introduction of companies like Airbnb, hotel industry is facing
With changing consumer preferences about almost everything, companies in every industry need to reimagine the way they approach their customers. The technology has change the lifestyle of people and the new lifestyle made many marketing practices irrelevant. Companies now need to evolve their business processes to offer not just a product or service that fulfills the needs of their customers, but an experience.
Hotel industry is not immune to this change, in fact ever since the introduction of companies like Airbnb, hotel industry is facing really tough competition. To counter this growing challenge, hotels now need to use experiential marketing to attract and retain their customers. They must also focus on using co-creation with it to make sure that their customers feel engaged and entertained.
In this regard, the study is going to explore a few dimensions of how hotels in the future can benefit from experiential marketing and co-creation. For this study, a fictitious hotel is “Hotel Luxury” will be made a case to apply the theory and strategy on to. 酒店营销作业代写
Impact of co-creation on hotel industry
Although, hotel industry is all about intercommunication with the customers thus it creates a very conducive environment for co-creation. However, only a few companies till now have opted to implement this strategy. By working with consumers, hotel industry can help create a unique experience for their customers, which would get them positive reviews on social media. According to Chu & Kim (2011), even in the age of social media word of mouth still is the best way to get more customers.
People trust people instead of businesses or marketing tactics. 酒店营销作业代写
Therefore Peppers & Rogers (2016) argued that the best marketing tactic for any company to follow is to focus on providing a unique and pleasant experience to their customers, which Chathoth, Ungson, Harrington & Chan (2016) believe can only be created in the hotel industry with co-creation. According to Oyner and Korelina (2016) in Russia, only international hotels are focusing on value co-creation to engage their customers.
The authors identified that by providing customize experience, co-production. And service innovation hotels in Russia are trying to engage their customers to make their experience with them pleasant. Oyner and Korelina (2016) did identify that co-creation is still in its nascent stage in Russia, which is why co-creation along with customization is used often by international hotels.
Ngugi, Johnsen & Erdélyi, (2010) in their study also confirmed that co-creation in the contemporary business environment is the best strategy for any hotel – small or large – to adopt. Hotel Luxury being a high-end hotel chain with presence in over 25 countries should focus on value co-creation as a tool to bring more business and increase its overall revenue.
Since, value co-creation is still a new trend in the hotel industry, thus Hotel Luxury can enjoy an early mover advantage, which will help it strengthen its brand image while generating positive word of mouth. If the hotel manages to engage its customers effectively, then it can easily expect at least 50% increase in its revenue within six months. 酒店营销作业代写
What value experiential marketing can bring?
According to Smilansky (2017), the technological revolution has changed the way hotels used to utilize experiential marketing. It has now reached to a completely new level, which warrants hotels to be more sophistication in their efforts and more creative in their approach. Hotels are now focusing on creating a unique experience for their guest that is not only innovative but also creates a positive word of mouth, garners media attention and improves brand image.
Hotels are focusing more on understanding their consumers want in the wake of changing business trends and are making efforts to capture their imagination. According to Maghnati, Ling & Nasermoadeli (2012), experiential marketing is used with value co-creation can increase the revenue of any company.
Alkilani, Ling & Abzakh (2012) mentioned that since experiential marketing is all about engaging customers directly and giving them a unique and memorable experience about brand, thus it is important for brands to create activities that produce similar impact on all consumers regardless of their gender, race, or education. Hotel Luxury can create a unique engagement experience to its customers via artificial intelligence.
An AI based virtual assistant should be provided to each guest. Who will answer every query related to hotel and simultaneously update the hotel management about the guest’s expectations and choices. The use of AI will not only benefit Hotel Luxury in providing an amazing experience to their guest, but will also get them press coverage on international scale. The AI based virtual assistant should be able to answer all the queries of the guests while doing all the ordering for the guests. The only effort the guest would be required to put in was to give command to the virtual assistant verbally.
Discussion and Analysis 酒店营销作业代写
There’s no doubt that effective utilization of experiential marketing along with co-creation can help engage guests and provide them a unique experience. According to Smilansky (2017), experiential marketing is about providing a holistic experience that includes senses, feelings, emotions, lifestyle, and cognition. Shaw, Bailey & Williams (2011) in their study mentioned that experience has become one of the most important indicators of a hotel’s success.
It helps in creating a positive word of mouth, which Bill Xu & Chan (2010) mentioned would help hotels build a competitive advantage. Providing a unique experience Cetin & Dincer (2014) argued is the best way for the hotel industry to stay relevant and profitable in the contemporary business environment. Co-creation as per Bowie, Buttle, Brookes & Mariussen (2016) is another main factor that goes hand in hand with experiential marketing, as this strategy enables hotels to keep their customers engaged.
Cabiddu, Lui & Piccoli (2013) in their study said that engaging guests in any activity helps in creating lasting memories.
Moreover, guests also tend to share their pleasant memories about any hotel among their social circle, which will certainly bring more business for hotels. However, Pham & Huang (2015) believe that creating an effective experiential marketing strategy that positively influence guests is very challenging and there’s a gap in the research which would require further investigation of how hotels can benefit from experiential marketing in the future. 酒店营销作业代写
Every company’s experiential marketing strategy should be governed by their own internal strategy. Moreover, hotels need to build an experiential marketing strategy using all the resources available at their disposal at first, before moving on to invest in service innovation and other similar guest engagement activities.
Hotels as per the contemporary environment need to devise a co-creation and experiential marketing strategy in such a way that would allow guests to come up with ideas for innovative services. This Alkilani, Ling & Abzakh (2012) believe is not only going to keep customers engage, but if their ideas do get implemented they will propagate it. Moreover, since guests will be creating such activities that interest them, then there’s a huge possibility that it will keep all other guests engaged.
From the above discussion, it can be concluded that there’s a huge scope of co-creation and experiential marketing in the future for hotel industry. Hotels can leverage from the already developed technologies available at their disposal to create strategies that will engage their customers.
Moreover, not only technology but also emotional touch points should also be considered while making any strategy. Engaging a guest is really important to create a perfect memorable experience, but it is emotions that will make the guest recall the hotel every time s/he will narrate the story to anyone. However, if a hotel’s communication policy is unified then all these factors will benefit the company more, as any word of mouth will be similar to the brand’s marketing communication, which will increase the brand recall.
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