UNIDA CHRISTIAN COLLEGES Unida St.

Anabu 1-F, Imus Cavite

CASE ANALYSIS:

Submitted in Partial Fulfillment of the Requirements in

PRICIPLES OF MARKETING

Presented to: Prof. Jason R. Sardido

Prepared by: Group I Arminda R. Matabang Regine Joy L. Engada Jolina A. Estrada Angelica Grace F. Diaz Abigail A. Buena
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I.

Case Background

Victoria Court is the name of a chain of drive-in hotels in Pasay, Caloocan, Pasig, Malabon, and Manila owned by the Victoria Court Group. It was first established in 1970 by Angelo King. The first motel, located in Pasay City, was called the Anito Lodge. By 1976, King had opened three more motels in Pasig and in Caloocan. During the 1980s, the rooms were improved by installing bath tubs and Jacuzzis. At the same time, the term drive-on hotel was substituted for motel. In 1986, Angelo King decided to retire and the sites were divided between his two sons, Archie and Wyden. The first Victoria Court was a thirty-eight room facility in Pasig. It also became Archie Kings testing ground for a drive in hotel with world class amenities and bigger rooms. Victoria Court in Pasig was performing so well that management decided to name the company the Victoria Court Group. Soon after, all sites that Archie King acquired was renamed Victoria Court. At around the same time, the company evolved a logo: the picture of a classy looking lady with a finger on her lips in a cautious and hushed pose; to the company, the logo stood for privacy, courtesy, prompt and efficient service, world class facilities, and state of the art housekeeping. By late 1980s, Victoria Group had nine drive-in hotels. It had also acquired in August 1986 a five-story apartment building in the Malate district. In 1988, Karl Velhagen joined the Victoria Group. Together with Archie King, they envisioned Victoria Court to be a place that provides quality, service, cleanliness, and value. In addition to this vision, Velhagen had developed strategies that aimed to reposition the company in the industry.

II.

Statement of the Problem

What marketing strategy should Victoria Court undertake to create a positive image as stigma on the public eye is attached on the drive- in hotel industry?

III.

Objectives of the Studies

1.

To change and improve the image of Victoria Court and remove the stigma attached to the drive in-hotel business.

2. 3. 4.

To set up plans to reposition the company in the industry. To strategize for product as well as peoples development. To site up for other key elements to be the industrys leader in the drive-in hotel business.

5.

Broaden market share by penetrating untapped market.

IV.

Case Analysis

4.1 SWOT Analysis STRENGTHS - Industrys leader.

- Companys Mission Statement.

WEAKNESSES
- Public stigma - Expensive compared to competitors - Some employees are doubtful about the proposition.

OPPORTUNITIES
- Competitors are not innovative. - Affiliation and accreditation by the Department of Tourism and Philippine Air Lines (PAL) - Broaden Market share by penetrating untapped market.

THREATS
- Giving away of discount cards which is a trade mark in the industry. - Lower price of the competitors - New entrants

- Organized
organizational structure

- Personal Value

Strength: Victoria Court is the industry leader in lodging facilities that can provide privacy, courtesy, prompt and efficient service, world class facilities, and state-of-the art housekeeping. They are also the leader in innovation and have an organized organizational structure to cater their customers every need. The implementers have a strong personal value that supports the Mission statement of the company.

Weaknesses: The fact that motel industry in the Philippines attached negative connotation of being the place they go for a particular reason, public stigma have attached in the drive in-

hotel industry, and employees being cynical about the proposition of repositioning and changing public perception will succeed, for them, a motel will always be a motel. And theyre pricing, being higher than their competitors.

Opportunities: Competitors not wanting to be innovative will ensure that Victoria Court will get the high ends of the market. Having affiliated and accredited by the Department of
Tourism and Philippine Air Lines, they can broaden their market share by penetrating untapped market such as businessmen and vacationers from locals and abroad.

Threats: - Giving away of discount cards which is a trade mark in the industry. - Lower price of the competitors - New entrants

Marketing Mix (4 Ps) Product Victoria Court is the industry leader in lodging facilities that can provide privacy, courtesy, prompt and efficient service, world class facilities, and state-of-the art housekeeping. La Corona Hotel (A three star hotel which is also owned by Victoria Group) Affiliated with the Best Western International worldwide Hotels. Price Victoria Court has an ideal rate for a first-class lodging services, though its competitor is lower in price, it ensures quality services and experience Place The company divided the areas covered into districts: North (Caloocan, Malabon and Pasig) and South District (Manila and Pasay) Promotion Advertising thru radio and print media. Their logo - the classy silhouette of a lady in a cautious hushed pose, which to them symbolizes Privacy, Courtesy, Prompt and Efficient Service, WorldClass Facilities, State-of-the-art Housekeeping - is readily recognized by all. Using hotel lingo in lieu of motel lingo and making their room boys appeared more professional by wearing Polo Barong to look neat.

Marketing Mix (4 Ps) Product For future product, I recommend something that will entertain the customer like sports clubs. It includes golf, tennis, etc., so if the customer needs some relaxation or rest, they can use it as leisure time.

Price For the price, it depends to the customer if they want to use the sports facilities. If so, they will pay another amount for it which cost is Php 150 per hour. In this price they can play all the particular sports that they want.

Promotion Promote the services they offer thru TV ads to see all the facilities of the hotel so that other people will see how beautiful the hotel is and because of that, they will be attracted to go there and experience the services that Victoria Court is offering.

Place Built a drive-in hotel which is nearer to the airport and ship lines so that vacationers can stay there for a day or an hour.

PEST ANALYSIS Political Accredited and affiliated by Department of Tourism

Economical They are making their employees competitive by conducting seminars. If they will be fixed in a certain company, they can easily find for a new one because of their experiences and learning. Social The fact that motel industry in the Philippines attached negative connotation of being the place they go for a particular reason, public stigma have attached in the drive in-hotel industry. Technological Victoria Court is renovating their rooms every three years. Automobiles were used as room and because of its hugeness; the couples can bring their child with them.

ANSOFF PRODUCT-MARKET GROWTH MATRIX

Market Penetration

Product Development

Victoria Court has advertised their Acquiring Hotel La Corona and entering company through radio and print ads to the hotel industry since it was owned the public. They also repositioned their by Victoria Court Group. products to cater the A and B market who could afford high rates. They have target the distribution of zero discount cards.

Market Development Being accredited and affiliated to the Department of Tourism and Philippine Air Lines, they could establish more drive-in hotels along the airports and even in nearby ship lines that would acquire more tourists customers.

Diversification

Victoria Court Group should site up for other key elements to be the industrys leader in the drive-in hotel business and it would also help if the management would be going to broaden market share by penetrating untapped market.

Bargaining Power of Buyer Victoria Court should conduct a research about the other qualities of services that the customer desire to experience so that they will be able to meet the expectations of their markets.

Bargaining Power of Supplier The bargaining power of supplier is high because of many buyers

Threats of New Entrants Because of the efficient ways of Victoria Court in providing quality service, cleanliness, and value to the customer, the competitors imitate their strategies to bring in more customers over them.

Threats of Substitutes Competitors are copying the strategies of Victoria Court and if they successfully imitate all the ways that were being implemented by Victoria Court, they might lower their price so that they have the power to carry in more customers.

Intensity of Rivalry - The intensity of rivalry become more intense due to the things that competitor see in Victoria Court.

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Alternative Courses of Action (ACA)

Reeducate or reorient ate especially the rank and file management (Mission)

employees with

Room boys wear will wear Polo Barong to make them appeared more professional and look neat. Got rid of kinky themed rooms Control in giving away of discount cards. Used hotel lingo in lieu of motel lingo

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Maintenance, improvement, and innovation Rooms were renovated every 3 years. Bought 2 old model automobiles to be used as bed Improved Food and Beverage Carried premium alcoholic drinks (Offered wine) Targeted A & B Market Focused on attracting married couples through thematic rooms. (Saunas & Jacuzzi)

Recommendation A drive-in lodge and at the same time experience a theme or a fantasy is attractive. This would give a real good and unique value proposition. A shift to a wholesome drive-in lodge could redeem their reputation and publics perception. Attracting married couples to a night of fantasy and adventure could be achieved by providing more facilities reinforcing family oriented activities or intimate activities. They can create a Victoria Court recreational Center, each site offering a different theme and capable facilitators to care for kids while the couples enjoys their time together. A Jungle Safari theme or a virtual adventure world will surely capture the kids enthusiasm as well as the young at heart. They can also offer a shopping center, a romantic restaurant, a gym and other sports facilities inside Victoria Court. This makes Victoria Court a truly wholesome drive-in adventure lodge, attracting married couples and families to make their fantasies come true.

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