MANAGEMT 7104 Marketing Management

Analysis of the current position of the Hotel Lindrum Melbourne

Hotel Lindrum has combined features of its heritage in present-day operations. The company consists of the unique 59 room boutique hotel that combines the recent design with the personalized service and the contemporary facilities (Hotel Lindrum, 2017). The hotel officially established on 12^th July 1999. In Melbourne, this luxury hotel brought the new concept of the boutique hotels. The mission of the company is to deliver the delight services to the customer. The hotel believes in maintaining the heritage of the company with them. The company wants to deliver the best experience to the customer so that their customers can recall the hotel because of the memorable experiences. The company wants to be a preferable hotel that provides the luxurious accommodation to the customers. The central location of the hotel and the romantic boutique of the hotel make this hotel a leading 5-star hotel (Hotel Lindrum, 2017).

The market growth of the hotel Lindrum is clear after seeing the strong relationship and partnership between the Melbourne and the Sydney hotel. In Sydney, recommended Luxury boutique hotels consist of the sister hotels such as “The Sebel Pier One” or “Harbour Rocks Hotel”. The luxury hotel industry is growing in the current market because of its delight customer service across the world. The requirement of the travelers for the luxury hotels can easily be fulfilled across the world (Hotel Lindrum, 2017). The market category of the hotel Lindrum includes the location of the hotel. This hotel is within walking distance to best class theatres and the restaurants along with the Melbourne cricket ground. The hotel consists of the fully furnished boardroom along with the seating capacity for up to 10 delegates. The hotel has built a strong brand value in the eyes of the domestic as well as international guests (MGallery by Sofitel, 2017).

There are some of the factors that can influence the decisions of the Hotel Lindrum; these factors include political factors, economic factors, social factors and the technological factors. Political factors include the impact on the working of the hotel due to less number of tourists in the Melbourne. The hotel facility is available mostly for the international tourist, the new regulatory bodies and the government policies can affect the tourist visit. War or conflict among the two countries may also reduce the tourist visit. The economic factors include tax, inflation, exchange and other factors. Hotel Lindrum might face the problem of the exchange rate which might affect the budget of the customers. Social factors include the change in the behavior and attitude of the customers towards the visit to Australia. Technology factors include the adoption of the innovation and update technology for which the company needs to spend the huge amount (Shabanova, Ismagilova, Salimov, and Akhmadeev, 2015).

The main competitors of the hotel Lindrum include Ovolo Laneways. The strength of the Ovolo laneways it is quite affordable for the tourists as the prices of this hotel are less as compared to the Hotel Lindrum. The rating of this hotel is approximately 4.6 as per the customer reviews; on the other hand, the rating of the Hotel Lindrum is 4.2. The weakness of the company is that the company doesn’t maintain the heritage values of the Australia because the headquarters of the hotel is in Hong Kong. The performance of both the hotel in the Melbourne is clashing with each other. The base of the hotel is Hong Kong still the hotel operations are expanded in Australia. Talking about the 2 main competitors positioning as compared to the hotel Lindrum, Ovolo laneways positioning is between the medium quality services with the low prices.  The Lyall hotel provides the moderate services at the high prices. The Hotel Lindrum provides high-quality services with the high prices.

Market segmentation is the process dividing the market of the potential customers into the segments, groups based on the different characteristics (Wilkinson, 2013). Bellow given is the segmentation table that indicated towards the segmentation of the Hotel Lindrum.

Market segmentation table

Buyer behavior is the systematic approach customer follows while entering into the purchase process and while making the buying decision. The customer who visits the hotel plays a role in deciding which hotel is going to be best for his/her. Initiator, influencer, decider, buyer, and user these are the five roles played by the buyer. For making the appropriate decision the buyer the buyer recognize the need then search for the best hotel who fulfills the need then the buyer evaluates the alternative sources after that the buyer book the hotel and then the buyer compares the products with the expectations (Solomon, Russell-Bennett, and Previte, 2013). Decision types of the buyer may vary from buyer to buyer, the decision related to the hotel selection can be- behavior, complex, dissonance, habitual.

The SWOT analysis helps the company in understanding the lacking point so that company can change the weakness with the strength of the company (Hollensen, 2015).

The current marketing strategies of the company include the strategy related to the product, price, place, promotion. The product of the hotel consists of the luxury boutique, romantic rooms for couples. The price of the rooms of the hotel is quite high as it is a 5 star rated hotel. The hotel Lindrum is situated at the central place which attracts the customers towards it. The hotel can make the use of the online advertisement that attracts the international customer towards the hotel.

References

Hollensen, S., 2015. Marketing management: A relationship approach. Pearson Education.

Hotel Lindrum, 2017, Hotel Lindrum History – Melbourne Luxury Hotels, viewed on 27^th September 2017 https://www.hotellindrum.com.au/discover/history/

Hotel Lindrum, 2017, Hotel Lindrum Melbourne MGallery by Sofitel, viewed on 27^th September 2017 https://www.hotellindrum.com.au/

Hotel Lindrum, 2017, Partner Hotels – Sydney Accommodation, viewed on 27^th September 2017 https://www.hotellindrum.com.au/discover/partner-hotels/

MGallery by Sofitel, 2017, Hotel Lindrum Melbourne - MGallery by Sofitel, viewed on 27^th September 2017 https://www.sofitel.com/gb/hotel-8757-hotel-lindrum-melbourne-mgallery-by-sofitel/index.shtml

Shabanova, L.B., Ismagilova, G.N., Salimov, L.N. and Akhmadeev, M.G., 2015. PEST-Analysis and SWOT-Analysis as the most important tools to strengthen the competitive advantages of commercial enterprises. Mediterranean Journal of Social Sciences, 6(3), p.705.

Solomon, M.R., Russell-Bennett, R. and Previte, J., 2013. Consumer behaviour: Buying, having, being. Pearson Australia.

Wilkinson, F. ed., 2013. The dynamics of labour market segmentation. Elsevier.