The document discusses marketing strategies for the MarePineta hotel in Milano Marittima, Italy as it undergoes renovations to become a 5-star hotel. It provides a SWOT analysis identifying strengths like a large private beach but also weaknesses such as inflexible meal times. Opportunities include gaining more online visibility and hosting events. Threats include loss of reputation and a changing target clientele. Segmentation analysis finds the target market is high-class families and couples aged 30-70, both Italian and foreign. Positioning aims to maintain the hotel's reputation for excellent service and discretion.
Renovating a Historic Italian Hotel into a Luxury 5-Star Resort
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Federica Elena Ratti di DesioFederica Elena Ratti di DesioFederica Elena Ratti di DesioFederica Elena Ratti di Desio
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FedericaFedericaFedericaFederica SalaroliSalaroliSalaroliSalaroli
Veronica CortiVeronica CortiVeronica CortiVeronica Corti
2.
3.
4. MarePineta is the oldest hotel in Milano Marittima. It has 250 rooms, a private
beach,10 tennis fields, a huge garden and a 30 m swimming pool. It's a seasonal
hotel, opened from April to October. It has also two restaurants (one at the beach).
At the beginning of 2011, renovation works started at the MarePineta in order to
turn the four star hotel into a magnificent five star.
4 ****s 5 *****
The wide private beach and the Beach Restaurant have already been entirely
renovated, same for common areas such as the lobby, the bar, the restaurants and
lot of rooms, while the meeting room and the 165 guest rooms will enjoy a total
renovated look upon completion of the last phase of the project.
5. Services
Front desk 24 h Х
Housekeeping and meals 24 hours a day Х
Information for guests-concierge (min 3 languages) √
Room Features
Minimum room size and Restaurant √
Expensive and quality furnishing and
decorations √
Bed sheets minimum 400-count sheets and 6 pillows √
In-room video, a CD player or
stereo √
Hot-tub be in the room √
Hotel Amenities
The hotel itself should have more than one
restaurant at the location, and the restaurants are
expected to offer gourmet food √
Staff
The hotel should have a high ratio of
staff to guests √
Hotel Features
Valet parking √
Fitness center, health center or spa Х
Casino, lounge or nightclub Х
Private transportation Х
6. Marketing plan to renew the administration of the 4 star Hotel MarePineta after the
owner's change and the trasformation into a 5 star hotel.
For decades, the MarePineta Hotel has welcomed Italian and Foreigner celebrities
from the world of culture, industry and politics particularly attracted by the
relaxing wide green areas and the large beach the hotel boasts.
To keep unchanged the high level of satisfaction of the hotel's loyal guests they
decided to start major renovation works concerning the hotel and the surrounding
areas, in order to transform the four star hotel into a fantastic five star.
7. • The aim of the business idea is to improve services in order to keep the loyal guests
and attract new ones
• Italian hotels have to keep up with the times compared to the global competitors.
• Especially for those with an international clientele, they need some changes like :
open the hotel to external people
organize events
be more present on the web (improve the website and use of social media).
Offering a unique product to a specific target
8. Milano Marittima was born in 1907 and it’s always been the best and famous
location in the Adriatic Sea; it is a very touristic area due by big beaches,
entertainment, food, position (easy to reach).
The competition is very high (high density of hotels) most of them very similar in
their segment (3 & 4 stars).
Big competition !!!
MarePineta has definitely the potential to become a 5 stars hotel, but, as we
have seen, it needs some changes in order to spoil its big and rare space in a
better way and it has to provide more and better services.
5 star hotels: 5
4 star hotels: 33
3 star hotels: 29
2 star hotels: 4
B&B: 38
9.
10. Stenghts
•TANGIBLE: building size, outside spaces, huge private beach, 10 tennis field and
swimming pool, furniture, quality of food, baby – sitter and the entertainer
services.
•INTANGIBLE: excellent reputation, fidelized clientele, relationships between the
staff and the guests, personnel kindness and a strong organization established
year by year.
•DISTINCTIVE COMPETENCES: the renovation had the powerful of maintaining
the historical structure and at the same time adding a modern and innovative
design, not so common to see in our country.
11. Weaknesses
•No flexible time for breakfast (8 – 10), lunch (12 – 14), dinner (19.30 – 21.30).
•No extra sneaks during the day
•Not enough attention to guest’s feedback
•Not enough social media involvement
12. Opportunites:
• Being innovative
• Gain more visibility (web and magazines)
• Opening to “external people”(as for restaurants, bar)
• Being more attractive from outsiders: organization of events like aperitif,
after dinner entertainment (music with pianobar, jazz concerts...)
• Making some promotions especially for low season (May, October)
13. Threats:
• Loss of good reputation of Milano Marittima (becoming the worse side of Ibiza,
no more chic location)
•The increase of prices of the location compared to the offer loosing
tourists
•The clientele changing: the new target (younger people which come just for
the entertainment of street bars and discos), no more family willing to spend so
much money for hotels and beaches.
The philosophy of the hotel has always been “you don't come to M. Marittima,
you come to MarePineta”. This concept has to keep in mind more then ever by
the management, because due to the world crisis and the environment changes
the risk of loosing clientele is getting higher and higher.
Mep's guests use to travel a lot. They know what there is around the world and
they expect an excellent level of services, especially from that kind of hotel at
those prices, otherwise they won’t come anymore.
14. As for the Swot analysis, for the internal point of view we talked about strenghts and
weaknesses, while for the oppurtunities and threats we can add something related to the
environmental analysis.
MACRO-ENVIRONMENT
•Political factors: Milano Marittima belongs to Cervia district (next little locality next to
Mima), which doesn't care about Milano Marittima. It doesn't do anything to improve the
situation. It's just focused on Cervia.
•Legal factors: there are problems with the burocracy. It takes so much time to get
permissions to make any kind of change in the construction industry; it's not allowed to
eat or make party at night at the beach, or just in particular occasions like 3 times in a
summer.
•Economic factors: the crisis of the last few years had a big influnce. In Milano Marittima
some restaurants and shops closed. Prices continue to increase and people are not more
tempted to go there as before.
15. •Social factors: especially in August there are too many people from different target.
Once, the main target was composed by rich families, which stayed for a month, rented
expensive apartments and bought big mansions. In the last 10 years, the target has
started to change, moving to younger people attracted from happy hours, street bar
playing music out loud from 6 pm till 2 am. The problem is that these people don't bring
money as families do; but families, on the other hands, are not willing to pay a lot to go
to a place, where they cannot relax and spend their holidays in a comfortable way.
•Technological: in this field, Italy in general has to develope. There aren't many public
wi-fi areas, it's not efficient to call a taxi (there should be the application), restaurants
should have the menu published on the websites (many restaurants don't even have a
really website)...
•Environmental: this a point of strenght. There are big beaches easy to reach, big pine
forest, lots of bikeways, the famous Cervia thermal baths, the riding stables.
Emilia Romagna, in particular Forlì-Cesena, has considered the best place to live in Italy
according to a survey published last year on Sole 24 ore.
16. MICRO-ENVIRONMENT
• Suppliers:
An important contemporary trend is the outsourcing.
Outsourcing some of these basic functions benefits the company, in giving
managers one less thing to worry about and knowing that the work is in expert
hands – one of the biggest and most important benefits that outsourcing has to
offer to modern businesses.
• Competitors: taking into consideration 3 variables:
1) share of market
2) share of mind
3) share of heart
It's not only important to be chosen but also to be appreciated. In the last 2 points
MarePineta can count on its known costumers.
• Intermediaries: a major trend is disintermediation and price transparency.
One of the most important thing is the focus on web.
• Public: it is fundamental to analyze the costumers' expectations and create a
value proposition also for external people.
17.
18. The clientele in Mep is very diversificated.
In terms of geographical areas there are people from all over the world (Italy, Russia,
Germany, England, France, Israel, Spain, Arabia...) with different habits, religion, tastes,
education. Groups, families and couples show a different behavior as for times, needs,
activities. Other important factors are: age, for example younger couples may prefer the
half board, while families and older people the full board; economic situation and the
occupation influence the lenght of stay (weekends vs few weeks). The motivation is also
very important. The typical clientele comes to Mep to relax and to receive any type of
comfort. They are willing to pay a lot but they expected a lot. Once, they used to stay
weeks, while nowadays long weekends are preferred. Since they travel and lots of them
are international, they know the world and they want to be satisfied in every kind of
request. If you make mistakes, you will loose them. They continue coming to Milano
Marittima, not for the location itself, but because of Mep and they want to “live” the hotel
in all its aspects.
It takes a lifetime to build a good reputation and a minute to loose it.
Clientele feedback is one of the most important aspect because it helps to understand the
relationship between consumer expectations and perceived product performance.
19. Segmentation: Niche Market
•High class level
•30 – 70 years old
•Families and couples
•Italians 60%
•Foreigners 40%
•Benefit segmentation:
- Sophisticated tastes
- Cutting-edges Design
- Art sensitive ( library-piano)
The market – coverage strategy adopted by the hotel is the “concentrated marketing”,
made up by one or few segments. In this case Mep concentrates on the high – priced hotel
room market and on the high quality services.
22. Targeting:
High class, rich people, chic ones, intellectual, sensitive to art and design and focused on
details. Most of the clientele is composed by families and couples from 30 years. There
aren't snob people who want to show what they have (willing to pay, cars...), also because
this hotel is not so visible, on the contrary it gives the possibility to live in a discreet way.
This is the reason why some celebrities, singers and politician use to stay at Mep.
The new management wants to keep this kind of clientele.
Positioning:
The goal is to make clients perceive the same(or even higher) that you (firm) have in
mind.
The new management knows the target and wants to remain in the same position as
before. It's important to communicate and deliver the position to a carefully selected
target. They look for a specific type of clientele as for the perception of the hotel.
Everybody feels at home, come back every year and pays lot of money. The new
management is continue to offer and improve best services in order to keep the historical
value and reputation of Marepineta and bring it to a 5 stars hotel.
23.
24. PRODUCT:
Hotel Rooms:
Before the renovation they were all the same, just divided in
3 categories based on the size and on the sea view.
Nowadays, the new owners added two types of suites and
different rooms regarding to the size of wardrobe, bath...
Hotel Services:
An hotel also have to provide many other services ex:
library, movie – room, children – room (videogames),
computer - room and SPA with beauty services (body + hair),
which is not ready yet.
The increase of services is fundamental to become a 5 stars
hotel (food 24 h, transportation to and from airport,
bicycles...)
25. PLACE:
It's becoming a sort of threat because the target in
Milano Marittima has changed. That's why the hotel has
to focus on itself. The way to continue on the
philosophy that people go to MarePineta and not to
Milano Marittima is to provide more and more
excellent services, being update compared to the
global market and always anticipate the guests' needs
and desires.
26. PRICING:
Since the price has a big influence on the demand and
consequently on the profitability, it requires attention.
Increasing prices as many competitors did, would be dangerous
until the new management improves services in an excellent
way. They’re not ready yet.
That's why prices have not been increased, while the hotel is
going on with the renovation year by year, offering better and
better services.
Average price standard DBL : 300 euro (breakfast included)
27. PROMOTION:
The hotel needs to be more visible and known, especially on
internet. The website has to be modified, the presence on FB is
not enough and it is not present on twitter and Instagram.
The old management used to communicate with the well known
costumers still through written letters, that is a plus, but needs
to be combined with e-mails. The new management has to
reinforce the marketing department, develope in a better way
public relations, which were held just by conversations. This
kind of communication from one side makes people feel at home
and part of a big family, but on the other side, it's not enough in
this era. Nowadays, it's impossible to use just word-of-mouth
promotion.
.
28. The hotel needs novelty.
Push low season ( April – May - October ): this could be translated in organizing
events, taking into consideration what the territory offers, especially from the
gastronomic point of view, or in the field of culture like visiting cities nearby,
organizing some art galleries or congress.
Sales promotions are also very important but the old management wasn't so good
at it, cause it has always acted in a very traditional way. They just organized some
important tennis match, which actually were very attractive and brought lot of
people.
The hotel has also to be present in some key website or niche ones, like Splendia
which is just used from a specific clientele.
29. The goal in the long term is to become an icon, a brand,
something known from everybody.
Just to pick an example, hotel Costes in Paris is a brand
by definition. It has its own music (3 cd), it's own
fragrance, its towels..., everything for sale.
Becoming a brand it's easier for hotel chain, like
Starwood, Hilton...but sometimes can be possible also
for a single hotel if it has the right potential, strong
values and the same philosophy shared by everyone.