Marketing in hospitality

Marketing in hospitality


Unit 8:

Marketing in Hospitality
Unit code:

QCF level:

Credit value:

  • Aim

This unit enables learners to understand the concepts of marketing, the role of the marketing mix, the marketing cycle, and gain skills in using the promotional mix.

  • Unit abstract

This unit introduces learners to the key concepts and functions of marketing as they apply to services industries, including hospitality, travel, tourism, sports, leisure and recreation. The unit will give learners knowledge and understanding of the key factors affecting marketing environments, and investigate the role of marketing in different sectors of relevant service industries.

The unit focuses initially on the concepts of marketing, moving on to the functional and operational aspects of marketing as the unit progresses. Learners will investigate marketing in the context of one of today’s competitive service industries.

  • Learning outcomes

On successful completion of this unit a learner will:

1    Understand the concepts of marketing in a services industry context

2    Understand the role of the marketing mix

  • Be able to use the promotional mix

  • Understand the marketing cycle in a services industry environment.



Unit content

  • Understand the concepts of marketing in a services industry context

Core concepts: definition of marketing, customer needs, wants and demands, product and services markets, value, customer satisfaction/retention, quality, cost/benefits, efficiency/effectiveness, profitability, the growth of consumerism, strategic/tactical marketing, reasons for growth, marketing as a business philosophy, relationship marketing, changing emphasis of marketing

Marketing environment: micro environment of the company; stakeholders eg suppliers, intermediaries, owners, financiers, customers, competitors, local residents, pressure groups; macro environment demographics eg economy, society, ecology, technology, politics, legal, culture; strengths, weaknesses, opportunities and threats (SWOT) analysis; political, economic, social, technical (PEST) analysis; Porter’s competitive forces

Consumer markets: central role of the customer, customer culture, models and types of behaviour, consumer orientation (internal and external), competitor orientation, decision process, value chain, value and satisfaction, long-term relationships

Market segmentation: principles of segmentation, targeting and positioning, segmentation bases eg geographic, demographic, behavioural, lifecycle stage, income, gender

Ethics and social responsibility: sustainability, social audit, public relations, legal and regulatory considerations, public policy, third world issues, trends eg green issues, environmentalism, pressure groups

Services industry context: contexts eg hospitality, travel, tourism, sports, leisure, recreational industries, public, private, voluntary (not-for-profit) sectors

  • Understand the role of the marketing mix

Marketing mix elements: nature and characteristics of products and/or services, service quality, people, partnerships, programming, packaging

Products/services: characteristics, features/benefits, product strategy/mix, lifecycle, development processes, test-marketing (simulated and controlled), concept development and testing, unique selling points (USPs), branding

Place: distribution channels, customer convenience and availability, physical distribution and logistics, niche marketing, vertical/horizontal integration, impact of technology, franchising, ethical issues

Pricing: strategies eg skimming, penetration, product mix, price adjustments, competitor analysis, policy eg cost-plus, break-even, value-based, competition-based, variable, price setting considerations; factors affecting pricing decisions eg demand elasticity, competition, ethics



  • Be able to use the promotional mix

Promotional mix: role eg public relations, sponsorship, personal selling, advertising and sales promotions, branding, effective communications, communication channels, online marketing, promotional-mix decisions, budgetary considerations, monitoring and evaluating promotions

Advertising: objectives, methods, reach, frequency, impact, creating copy, costs and budgeting

Campaign: format, objectives, target market, evaluation

Sales promotion: aims and objectives, reasons for growth, methods, tools, limitations, branding and merchandising, evaluationHND Assignment Help

  • Understand the marketing cycle in a services industry environment

Research and information: relevance, new and existing products, services and markets; market information systems, defining the market, measuring current demand, the marketing research process, forecasting and demand measurement, positioning of products and services, quality as an influence on customer perceptions

Data collection and analysis: needs, wants, location, focus group, primary research eg questionnaires, surveys, interviews, samples; secondary research eg internal records, statistics, published information, government publications, industry journals, qualitative/quantitative data, analysis, evaluation

Communications: range of media eg television, newspapers, magazines, radio, billboards, and posters; suitability for specific products, services and markets

Marketing plan: implementation, timescales, costs, evaluation eg objectives, revisions, and outcomes


Learning outcomes and assessment criteria

Learning outcomes

Assessment criteria for pass

On successful completion of

The learner can:

this unit a learner will:

LO1 Understand the concepts of


discuss concepts of marketing for a relevant services

marketing in a services

industry context


assess the impact of the marketing environment on the

evaluate the relevance of consumer markets in the

discuss the rationale for developing different market

LO2 Understand the role of the


assess the importance of components of the marketing

marketing mix
mix to the industry

analyse pricing strategies and policies in relation to the

LO3 Be able to use the


evaluate the role of the promotional mix

promotional mix


plan an advertising campaign for a services industry

analyse the role that sales promotion and public
relations play in promotional efforts

LO4 Understand the marketing


discuss the relevance of market research to services

cycle in a services industry
industry operations



undertake market research for an appropriate product
or service

analyse the suitability of different media for marketing
an appropriate product or service

evaluate the implementation of the marketing plan for
an appropriate product or service




This unit can be linked to other units, depending on the style of delivery and learning, including:

This unit also links to the following Management NVQ units:

  • B1: Develop and implement operational plans for your area of responsibility

  • B2: Map the environment in which your organisation operates

  • B3: Develop a strategic business plan for your organisation

  • B8: Ensure compliance with legal, regulatory, ethical and social requirements

  • C1: Encourage innovation in your team

  • C2: Encourage innovation in your area of responsibility

  • C3: Encourage innovation in your organisation

  • E1: Manage a budget

  • E2: Manage finance for your area of responsibility

  • F1: Manage a project

  • F3: Manage business processes

  • F4: Develop and implement marketing plans for your area of responsibility

  • F9: Build your organisation’s understanding of its market and customers

  • F12: Improve organisational performance.

Essential requirements

Learners must share a common understanding and definition of marketing and know the relevant technical terminology.

Case studies will enable learners to make comparisons of marketing opportunities and practices in different types of business, and this will support learning outcomes 2, 3 and 4. Study of moral and ethical issues and examination of different marketing trends in the relevant industry will encourage debate and the exchange of ideas. This will develop learners’ understanding of marketing decision making.