Competition
Miami is one of the leading tourists’ destinations in the United States. Its beautiful beaches attract not only the domestic tourists but also international travelers who come to the country for leisure. According to Reid and Bojanic (82), Miami is home to some of the world’s finest hotels and restaurants. This is a clear demonstration of the nature of competition that my business is going to face. The hospitality industry in this country has been expanding due to the increasing number of tourists coming to the region. Large multinationals such as the Hiltons and Sheratons are very dominant. Customers trust them because of their consistency in delivering quality services over the past several years. Penetrating this market with the current level of competition requires a special understanding of the market.
The large multinationals are attractive to the rich clients who want unique experiences whenever they visit the beach. There are a number of other hotels which target other segments of the market. As Nykiel (41) says, a traveler can easily find a hotel of choice when visiting Miami in Florida, from a single star to five stars. Experiences that these firms have in the market also offer them a competitive edge over new firms that are getting into the market for the first time. Some of these hotels have been successfully operating in this region for over fifty years. They know the pattern of visitors throughout the year. They also understand their unique needs and how to meet these needs in the most superior ways. It is expected that these firms know how to respond to threats of new entrants and that is why they have remained successful.
Market Share Predicted
It is predicted that this hotel will increase its market share by 275% within the next one year. A number of factors exist that support why this prediction may be achieved within the stipulated timeframe. The first factor is the size of the firm. This is a small hotel that has a relatively small market share. It is, therefore, expected that any small increase in the number of clients will constitute a huge percentage increase in the market share.
The second factor is the strategy that the firm will use in this highly competitive market. The management has identified a specific market niche that other firms have not capitalized on over the years. Based on the survey conducted, it was noted that some youths come to the beach not only to enjoy its beauty, but also engage in sporting activities such as the beach football and cycling. This hotel intends to capitalize on this group of tourists. The management of the hotel will partner with the relevant authorities within Miami to make these services available for the clients of this hotel. Attracting this market segment will be very important because of the referral effect. When they are offered the services that meet their expectations, they are always quick to refer their friends to this firm. This viral marketing strategy will help the firm attract more customers.
Finally, the marketing campaigns put in place will also help in achieving the set target. The firm intends to use social media marketing to reach out to the target audience. Facebook, Twitter, and YouTube will be very instrumental in this campaign. These strategies will help this firm to achieve the predicted market share
Works Cited
Nykiel, Ronald. Marketing in the Hospitality Industry. New York: Prentice Hall PTR, 2012. Print.
Reid, Robert, and David Bojanic. Hospitality Marketing Management. Hoboken: John Wiley & Sons, 2010. Print.