M&S2, Answers Chapter 2

MARKETING& SALESHOSPITALIT Y MARKETING & SALES FOR THE HOSPITALITY INDUSTRY ELLEN VAN KOOTEN Chapter 2 | Answers | Questions about the chapter 2

Marketing & Sales for the Hospitality Industry | Part 2Chapter 2 | Answers | Questions about the chapter 1A. Explain in your own words what the owner of a restaurant should bear in mind when developing the marketing tool of product (range, the products/services that are sold to the guests). Multiple answers possible, at the discretion of the teacher. 1B. List six important points. Multiple answers possible, at the discretion of the teacher. For example: 1. the needs of his target group; 2. the business formula; 3. seasonal influences; 4. the product range of suppliers; 5. product relationships; 6. the gross margin of a product; 7. the function of the product in the range; 8. his competitors; 9. legislation. 2. Of the six marketing tools that an entrepreneur can use, three play a key role. Which three marketing tools are these? Of the six marketing tools that an entrepreneur in the hospitality industry has at his disposal, three play a pivotal role. Together these are called the hospitality mix. The hospitality mix consists of the marketing tools: product, presentation and personality. It is with these three tools that the entrepreneur in the hospitality industry can, in the eyes of the guest, stand out most from the competition. 3. Why is product differentiation important with regard to the competition? A hospitality entrepreneur must stand out from the competition. If he succeeds, guests will want to pay more for his product or service. The entrepreneur thus achieves purchase preference. A visit to his business is worth more to the guest, because the business formula is better at meeting his needs. The competition strategy of product differentiation responds to this. 4. How can a restaurant stand out from the crowd in the choice of products that it sells? Which phases are there in the product life cycle? A product goes through the following phases during its life: i. the introduction phase (communication about unique features of a new product) ii. the growth/maturity phase (able to earn the maximum profit [high sales; low costs]) iii. the saturation phase (tinker with the product and come up with product differentiation) iv. the decline phase (ales drop and there is no market interest in the product) 5. How can a brasserie that is the growth phase of the product life cycle prolong this phase? Word of mouth can be very important in this phase. The entrepreneur will use a lot of advertising (and thus incur high advertising costs) to try to retain his market share. 6. What is another term for the sales analysis of the range? a. Sales frequency b. Menu engineering c. Gross margin 7. What is a runner? a. A product with a lower gross margin than average, but a higher sales frequency. b. A product with a higher gross margin than average, but a lower sales frequency. c. A product with a higher gross margin than average and a higher sales frequency.Version 1 | 15-10-2018 | [email protected]

Marketing & Sales for the Hospitality Industry | Part 2 8. If business specialise in one particular product, such as a steak restaurant or chicken restaurant, what is this called? a. Production relationships b. Distribution relationships c. Product relationships 9. What should an entrepreneur take into account if he wants the business to meet expectation of its guests? For example: i. The consumer expects something different from what the entrepreneur/manager thinks he expects. ii. An entrepreneur in the hospitality industry is right about what the guest wants, but does not manage to achieve it. iii. The business promises more than it can achieve. iv. If the business offers too much service, it cannot make a profit.Version 1 | 15-10-2018 | [email protected]