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Hyatt Regency Marketing Analysis and Strategies

Paper Type: Free Essay Subject: Marketing
Wordcount: 3151 words Published: 1st Jan 2015

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The Hyatt Regency is delegate of the five star brand .Hyatt Regency encompass the full selection of hotel types, with person properties offering a full range of skilled services and dining options customized to fulfill the needs of conference, business travelers or resort vacationers. Hyatt Regency enables all guests whether they are traveling to work, calm down or gather in festivity to feel creative and revived. Properties range in size from 200 to over 2000 rooms and are opportunely to be found in urban, suburban, airport, convention and resort destinations around the world. Hyatt Regency’s convention hotels feature abundant meeting and conference facilities proportionate to the number of bedrooms or to market demand. Convention hotel guests are often part of a premium group, meeting or conference. Business hotel guests are primarily individual business travelers. Resort hotels cater to couples seeking a absent yourself, families enjoying a vacation together and corporate group seeking a relaxed atmosphere in which to conduct business meetings The Hyatt Regency properties are prominent for their expedient and strategic locations within major cities throughout the country. Also synonymous with the brand are the high level of personal service guest service and the extensive range of comprehensive business facilities available in luxurious ways

Situation Analysis

The ‘Hyatt group is the ninth largest International Hotel chain

in the world, with over 320 wholly owned properties. This group is specialized in

occupying strategic, inner city locations and serving first and foremost commercial patrons. Hyatt Hotels Corporation operates several chains. The Hyatt Regency brand is the oldest brand in the company, with the Grand Hyatt and Park Hyatt brands being introduced in 1980.Of these properties, some are styled as “resort” properties, and may feature spas or other recreational facilities. The property has other following chain including Hyatt Place, designed as a restricted service offering embattled to the business traveler. An extended stay chain, Summerfield Suites, was acquired by Hyatt in 2005, and features 34 locations in the United States. Hyatt also launched a new brand, Andaz, in April 2007. The first hotel to bear this brand was The Great Eastern Hotel in London, with additional properties now open in San Diego, West Hollywood, and New York City (Andaz Wall Street & Andaz Fifth Avenue). Hyatt recently announced a large expansion of the Andaz brand, with properties expected to open in Austin, TX, Turks and Caicos, Amsterdam, China, and India.

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In addition to hotels, Hyatt also operates an upscale timeshare program through Hyatt Vacation Ownership, Inc. The program is known as Hyatt Vacation Club. It currently has over a dozen locations, some of which are located within or connected to Hyatt hotels.[15] Additionally, the group runs a chain of upscale retirement homes known as Classic Residence by Hyatt [16] and offers retail home décor and furnishings through Hyatt at Home, an online store featuring luxury product. The Hyatt Regency, is somewhat depressed, due to the economic downturn and restrictions being reliant on annually contracted clients from the travel

trade, automotive and IT sectors with guaranteed room nights per year. This area of business

accounts for 70% of the property’s revenue. The current market is made on corporate travel. This threat to the critical corporate sector could be considered as short to medium term, as indications of a return to business travel observed.


 The Company

The Hyatt Regency, is agent of the five star brand within the Elite

Business Hotels of the World’ group. All Hyatt Hotels are first-class properties, contribution

between 200 to 2000 exclusive rooms.


The Hyatt Regency is fanatical to providing its guests with the uppermost eminence of renovate and values. We seek to distribute on our promise of assessment and eminence above all else. We value our position in the community and will work to develop those associations and to respect and defend our background .At Hyatt, we’re committed to making a optimistic and long-lasting bang in every group of people in which we maneuver. We do this by representing a strong promise to preserving our natural environment through Hyatt Earth, by giving back to the local community through Hyatt Community, and with the volunteer services of our associates through Hyatt’s Family of Responsible and Caring Employees (F.O.R.C.E.).

Service Offering

Service: first-class facilities accompanied by accomplish extraordinary service, differentiated from Antagonism in line with the overall brand strategy has demonstrated to be a victorious move toward generating high levels of replicate business Hyatt Regency has a long-standing status for equipped excellence and expertise, ensuring that individual hotels achieve maximum competence and guest satisfaction. Detailed operational policies and standards are provided for each Hyatt sub-brand, allowing owners to leverage the experience and knowledge of the Hyatt network in driving performance and preference.

Rooms : Hyatt provides detailed policies and standards for each sub-brand to ensure smooth and efficient operation of the rooms division for individual properties.

Food and Beverage: Hyatt has a global reputation for award-winning restaurants, creative banqueting, and sophisticated kitchen and ordering systems.

Human Resources: We strive to be the employer of choice for the thousands of associates who make a difference in the lives of our guests every day.

Technology :Our IT team works to provide long-term technology solutions that are efficient and cost effective while supporting the needs of the business.


SWOT Summary

The following things to see the internal strength and weaknesses of our organization and the opportunities and threats facing the company in our external environment. We must come forward to improve our lines of weakness.

Organizational strengths must be set in order to make the most of the peripheral opportunities as

they occur, and emergency plans should be formulated in such a order that helps us deal with threats presented by the external environment




•Strategy: well illicit and differentiated approach used

•Structure: well organized, decentralized construction.

•Skills: assorted choice of service skills within organization and employees.

•Style: hard-hitting, participative environment.

•Staff:  highly valued enthusiastic and talented personnel that are aggravated and extremely proficient. A well

competent team who are proud of their hotel and respect the brand values are part of the organization

•Shared Values: understandable and well communicated and organized

•Brand Strength:  All brand values ,beliefs and norms well represented bring into existence of brand loyalty between all the guest of the organization

•Reputation: a strong status is build up in the external and internal competitive market


•Strategy: All the strategies should be well communicated between internal and external market

•Systems: recognized systems result from the feature angled work and circumstances.

Interdepartmental interaction could be enhanced

•Staff: constant training is very essential among the internal staff. Each internal employee should be well informed and educated of the new and upcoming policies

•Facilities: certain rooms require restoration and upgrade technical

Apparatus, such as high Internet admission and laptop links with intense WIFI connectivity


•Market: Returning growth rate.

•Competitors: As per now there is no much competitor for Hyatt Regency in five star hotel properties

•Suppliers: well-built and long term relationship is build up with suppliers

•Guest Reliance: replicate corporate business based on personal service and excellence


•Market Entry: It is very likely that the competitive and global brand can come up with the similar product and service line

•Substitutes: Numerous comparable services and standards can be emerged and offered in low rates

•Economy: coming back to the same level of performance and offer value standards due to recession may take bit more time

Historical Results

Marketing mix allows you to combine all the marketing tools in order to sell your product Chris Murray – Portfolio (2006) – Hardback – 290 pages

Marketing activity in previous years has produced positive results. The areas that have

Produced the best results have been:

•Product: high-quality facilities and services accompanied by consummate personal service,

differentiated from competition, in line with the overall brand strategy has proven to be

a successful approach generating high levels of repeat business

•Price: pricing strategy has been consistent with the differentiation objective, to provide

added value for a reasonable rate as opposed to discounting and devaluing our

products and services.

•Place: service information is provided to the guest via personal selling, direct

marketing, advertising and the Internet. Delivery channels include travel agents and

international reservations systems.

•Promotion Hyatt’s Central Reservation System is an important contributor to the performance of our hotels system wide. The system reserved 17.9million room-nights in 2009, representing approximately $3.6 billion in room’s department revenue. Reservation centers are located globally in the all the major places like United States, Australia, India, UAE, Germany, Japan and China and are provides 24/7 access services to the prospective guests. High quality performance is delivered to meet the market need and build up relation with the distribution channels. These include traditional travel agencies (e.g., American Express, Carlson Wagonlit), online travel agencies (e.g., Expedia, Travelocity, Orbitz and multiple regional agencies, etc.), opaque agencies (e.g., Priceline, Hotwire) and multiple user-generated sites that link back to Hyatt.com (e.g., Trip Advisor).Hyatt® also has extensive marketing partnerships with all global and regional airlines.

Our marketing strategy’s objective is to communicate the unique set of services that we offer to discern hotel guests. We attempt to direct the focus of our guests to the issues of quality and value for the money as opposed to simply the bottom line costs associated with their stay.

Our marketing strategy will allow us to communicate our brand values, develop close working

relationships with our customers and suppliers and to identify the needs of our guests in an

effective manner. Continued differentiation and growth are two goals we have set for

ourselves. Growth will take place by targeting new areas of business within both local and

national communities.

Strategy Pyramids

Our marketing strategy is to focus customers’ attention on the high quality of the services we

offer. Within this strategy are three main points aimed at different market segments.

We will provide:

•The Best Business facilities

• Personalized Services

• Luxurious Amenities

Marketing Strategies

. Brand Marketing

Hyatt’s Regency marketing strategy is well designed to shelter and maintain brand value and responsiveness while formulating the specific business requirements of hotel operations.

Hyatt® is focused on targeting the distinct guest segments that each of our brand delivers and supporting the needs of the hotels thorough daily analysis and application of data and analytical techniques.

There is a well organized, harmonized and incorporated communication strategy for the Hyatt master brand and each of the sub-brands across every distribution channel.

We aim to keep hold of maximize potential revenue of our existing customers and expand the number of new clients through a distinctive marketing approach motorized by information and analytics. primitive, quantitative strategic analytics and prognostic modeling identify the most profitable customers, enabling Hyatt Regency to influence partiality in all facets of marketing. The quality driven model is basically being used to develop the value and standards of our most loyal guests, our Gold card holders , and within 2 years, it will be activated throughout the organization

Coordinated – Marketing

Hyatt Regency coordinated marketing initiative benefits a sub-set of hotels and resorts, as well as beneficial to regional programs. Cost portion is based on the balanced share of actualized room revenue for trailing 12 months of participating hotels in the targeted business segment

Field Marketing

The Corporate Marketing management assigns a personal hotel marketing manager to each hotel to help them market their individual property. The marketing manager then utilizes the property’s business requirements, issues and profit objectives and helps in the development of the brand and promotional marketing programs.

Direct Marketing

Our direct marketing will be handled by our PR agency. We will buy select targeted list of

corporate companies and send them information about Riverview Hotel. We know that we are

no experts in direct marketing so it will be important that our PR agency handles every aspect

of direct marketing for us.





The above figure shows the sales forces of Hyatt Regency and its rice of profit ratios In 2006, Hyatt® created a revenue organization combining Sales, Catering Services, Revenue Management and Marketing for all of North America. This consolidation included Full- and Select-Service brands and enabled us to respond to market conditions, enhance our support of these functions in each of our properties and increase Hyatt’s brand demand.

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As Hyatt expands our brand portfolio, our chain sales efforts include the Worldwide Sales Force (WWSF), focused on selling multiple brands to approximately 1,800 highly valued customers. In 2005, Hyatt established a separate National Sales Force (NSF) focused on prospective customers with whom Hyatt believes significant business could be developed over time. Hyatt’s exclusive sales automation application (Envision) allows our WWSF and NSF to have a seamless, direct connection to functionality, including researching availability and booking business at all properties. With the addition of Hyatt Place and Hyatt Summerfield Suites, the dedicated Business and Leisure Travel Sales Force within our WWSF now focuses on corporate, wholesale and leisure accounts.


A recent independent survey of key account customers conducted by Maritz Research identified Hyatt as the “Best Hotel Brand” based on relationships with our WWSF and NSF for contract coordination. This same survey indicated that these key accounts signed more multi-meeting contracts with Hyatt than with our competitors in the past 12 months, thereby demonstrating strong brand loyalty.


Through our group-oriented business expertise and worldwide reputation for convention hotels, Hyatt is a premier operator of conference hotels in primary and secondary cities around the globe. Benefiting from Hyatt’s powerful NSF, these large, full-service conference hotels capitalize on advance-booking cycles and associated substantial catering revenue. Professional meeting planners continually rate Hyatt among their most preferred hotel partner. Planner Rewards, Hyatt’s specialized loyalty program for meeting planners, is a vital strategy for building and leveraging relationships with key customers across the network.


Hyatt’s properties and preopening sales offices are supported by a network of salespeople in key markets around the world. Our sales professionals represent all Hyatt destinations and focus on all relevant market segments. These include corporate accounts, M.I.C.E. accounts, key wholesalers, travel agencies and luxury travel specialists. Additional support is provided to our hotels with dedicated resources managing programs such as Virtuoso and American Express Fine Hotels & Resorts.

The network includes offices in New York, Chicago, Los Angeles, San Francisco, Washington D.C., Mexico City, London, Mainz, Sydney, Melbourne, Riyadh, Tokyo, Hong Kong, Singapore, Beijing, Shanghai, Pune, Bangalore, New Delhi and Mumbai, as well as additional coverage throughout Continental Europe. Each office is responsible for ongoing support of the Hyatt portfolio. Additionally, each office coordinates the presentation of Hyatt and Hyatt’s sub-brands at important industry events and shows such as ITB, World Travel Market and Asia Luxury Travel Market. Hotels also have the opportunity to participate in annual Hyatt fairs and sales calls coordinated by each worldwide sales office. These events provide the hotels with face-to-face access to Hyatt’s best existing and potential clients.


Hyatt® uses a state-of-the-art revenue management system to provide centralized direction for pricing, distribution strategy and staff development. Revenue management, however, is more than a computer system. It is an integrated set of business processes that bring together people and technology, with the goal of understanding the market, anticipating consumer behavior and responding quickly to maximize revenue opportunities.

There are five regional directors of revenue management who support the revenue managers and revenue maximization process. The regional directors are aligned primarily by product type, including large convention, resorts and business.


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