A Study on Internal Perspective of

Marketing Strategies Implemented

by KTDC

Project report
submitted in partial fulfilment of the requirements for
the award of the Degree of

Master of Business Administration

of the University of Kerala

Submitted by:

Belli P K

DEPARTMENT OF BUSINESS ADMINISTRATION

COLLEGE OF ENGINEERING TRIVANDRUM
July 2013
 DEPARTMENT OF BUSINESS ADMINISTRATION

College of Engineering Trivandrum

2013

CERTIFICATE

This is to certify that the report titled A Study on Internal Per-

spective of Marketing Strategies Implemented by KTDC
being submitted by Belli P K in partial fulfilment of the require-
ments for the award of the Degree of Master of Business Adminis-
tration, is a bonafide record of the project work done by Belli P K
at College of Engineering Trivandrum.

Dr. Chandramohan Dr. D Bijulal

Director Professor
 Declaration

I undersigned, hereby declare that the project titled A Study

on Internal Perspective of Marketing Strategies Implemented by KTDC
submitted in partial fulfilment for the award of Degree of Master of
Business Administration of the University of Kerala is a bonafide
record of work done by me under the guidance of Dr. D Bijulal, De-
partment of Business Administration, College of Engineering Trivan-
drum. This report has not previously formed the basis for the award
of any degree, diploma, or similar title of any other university.

Belli P K
 Acknowledgements

I wish to record my deep sense of gratitude and profound thanks to my

guide Dr D Bijulal, Professor, Department of Business Administration, College of
Engineering Trivandrum for his guidance and help through out the period of this
project work.

At this juncture I accord my deep sense of thanks and gratitude to Dr

Chandramohan, Director and HOD for his valuable direction enabling me to com-
plete this project.

I take this opportunity to express my sincere thanks to Mr Rajmohan G

S, Marketing manager, KTDC for giving me an opportunity to do the project in
their esteemed organisation.

I express my ultimate gratitude to God Almighty who has been an instru-

ment for enlightening me on academic venture.

Last but not the least I take this opportunity to thank my parents and
friends who helped me in making this endeavor a success.

Belli P K

i
Abstract
Marketing is often thought of only as promotion of products, especially
advertising and branding. However it has wider meaning which recognises that
it is customer centered. A review of the literature reveals that marketing strat-
egy is important for all company. Marketing strategy is a process that allows an
organisation to concenterate its resources on optimal opportunities with goal of
increasing sales and achieving suitable competitive advantage.The project work
is conducted in Kerala Tourism Development Corporation (KTDC) at Mascot
square, Trivandrum. KTDC uses a marketing strategy whose effectiveness is un-
certain. The primary objective of this study is to evaluate the marketing strategy
of KTDC from employees perspective. For the study a questionnaire was made
based on the variables like brand, market, messages, marketing channels, market-
ing tactics, marketing campaign, sales tools and website. From the study it is
found that KTDC uses a less effective marketing strategy which needs to be mod-
ified. The recommendations provided will give KTDC a framework for making
new marketing plan.

Keywords: marketing strategy, marketing strategy evaluation, management

perspective , KTDC marketing strategy.

ii
Contents

Page

List of Tables vii

List of Figures viii

1 Introduction 1
1.1 Background of the problem . . . . . . . . . . . . . . . . . . . . . . . 2
1.2 Industry profile . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
1.2.1 Tourism in India . . . . . . . . . . . . . . . . . . . . . . . . 3
1.2.2 Tourism in Kerala . . . . . . . . . . . . . . . . . . . . . . . . 5
1.3 Introduction to the company . . . . . . . . . . . . . . . . . . . . . . 7
1.3.1 Mission . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
1.3.2 Vision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
1.3.3 Key objectives . . . . . . . . . . . . . . . . . . . . . . . . . . 9
1.3.4 Brands and products . . . . . . . . . . . . . . . . . . . . . . 10
1.4 Research methodology . . . . . . . . . . . . . . . . . . . . . . . . . 12
1.4.1 Objectives of study . . . . . . . . . . . . . . . . . . . . . . . 14
1.4.2 Research design . . . . . . . . . . . . . . . . . . . . . . . . . 14
1.4.3 Sources of data . . . . . . . . . . . . . . . . . . . . . . . . . 14
1.4.4 Statistical analysis tools used . . . . . . . . . . . . . . . . . 15
1.4.5 Period of study . . . . . . . . . . . . . . . . . . . . . . . . . 15
1.4.6 Hypothesis . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
1.4.7 Scope of study . . . . . . . . . . . . . . . . . . . . . . . . . 16
1.4.8 Limitation of study . . . . . . . . . . . . . . . . . . . . . . . 17
1.5 Chapterisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

2 Literature review 18
2.1 Marketing mix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
2.2 Market segmentation . . . . . . . . . . . . . . . . . . . . . . . . . . 19

iii
 2.2.1 Geographical segmentation . . . . . . . . . . . . . . . . . . . 19
2.2.2 Demographic segmentation . . . . . . . . . . . . . . . . . . . 20
2.2.3 Psychographic segmentation . . . . . . . . . . . . . . . . . . 20
2.2.4 Behavioral segmentation . . . . . . . . . . . . . . . . . . . . 20
2.3 Relationship marketing . . . . . . . . . . . . . . . . . . . . . . . . . 21
2.4 Introduction to marketing strategy . . . . . . . . . . . . . . . . . . 21
2.5 Marketing strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
2.5.1 3 Cs of marketing strategy . . . . . . . . . . . . . . . . . . . 23
2.6 Strategic role of marketing . . . . . . . . . . . . . . . . . . . . . . . 23
2.7 Elements of marketing strategy . . . . . . . . . . . . . . . . . . . . 25
2.8 Types of marketing strategy . . . . . . . . . . . . . . . . . . . . . . 26
2.8.1 Position defense . . . . . . . . . . . . . . . . . . . . . . . . 26
2.8.2 Mobile defense . . . . . . . . . . . . . . . . . . . . . . . . . 26
2.8.3 Flank position . . . . . . . . . . . . . . . . . . . . . . . . . . 27
2.8.4 Counter offensive . . . . . . . . . . . . . . . . . . . . . . . . 27
2.8.5 Preemptive defense . . . . . . . . . . . . . . . . . . . . . . . 27
2.8.6 Contraction defense . . . . . . . . . . . . . . . . . . . . . . . 27
2.9 Marketing strategy formulation . . . . . . . . . . . . . . . . . . . . 28
2.10 Marketing strategy implementation . . . . . . . . . . . . . . . . . . 29
2.10.1 Management involvement in strategy implementation . . . . 29
2.10.2 8S framework of strategy implementation . . . . . . . . . . . 30
2.11 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31

3 Data Collection and Analysis 33

3.1 Percentage Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . 33
3.1.1 Gender wise classification . . . . . . . . . . . . . . . . . . . 34
3.1.2 Age wise classification . . . . . . . . . . . . . . . . . . . . . 35
3.1.3 Qualification wise classification . . . . . . . . . . . . . . . . 36
3.1.4 Experience wise classification . . . . . . . . . . . . . . . . . 37
3.1.5 Income wise classification . . . . . . . . . . . . . . . . . . . 38
3.1.6 About the clarity in communication . . . . . . . . . . . . . . 39
3.1.7 Usage of brand identity . . . . . . . . . . . . . . . . . . . . . 40
3.1.8 Awareness about profitable customers . . . . . . . . . . . . . 41
3.1.9 Awareness about customers changing buying behavior . . . . 42
3.1.10 Opinion on up-selling and cross selling . . . . . . . . . . . . 43
3.1.11 Key marketing messages that is consistently delivered in media 44
3.1.12 Experience customers have while interacting with employees 45

iv
 3.1.13 Targeting of messages to specific market segments . . . . . 46
3.1.14 Opinion on shifting marketing to new channels . . . . . . . . 47
3.1.15 Opinion on maximizing the value . . . . . . . . . . . . . . . 48
3.1.16 Opinion on marketing tactics . . . . . . . . . . . . . . . . . 49
3.1.17 Integration of social media into traditional marketing . . . . 50
3.1.18 Opinion on creativity used . . . . . . . . . . . . . . . . . . . 51
3.1.19 Clarity of marketing materials used . . . . . . . . . . . . . . 52
3.1.20 Resonance of offers . . . . . . . . . . . . . . . . . . . . . . . 53
3.1.21 Effectiveness of offers . . . . . . . . . . . . . . . . . . . . . . 54
3.1.22 Role of offers in the product value . . . . . . . . . . . . . . . 55
3.1.23 Sales brochure attributes . . . . . . . . . . . . . . . . . . . . 56
3.1.24 Integration of sales tools . . . . . . . . . . . . . . . . . . . . 57
3.1.25 About the need of new tools . . . . . . . . . . . . . . . . . . 58
3.1.26 About the capturing of customer and prospect data . . . . . 59
3.1.27 About the compiling of email address . . . . . . . . . . . . . 60
3.1.28 About the website . . . . . . . . . . . . . . . . . . . . . . . 61
3.1.29 SEO of website . . . . . . . . . . . . . . . . . . . . . . . . . 62
3.1.30 Focusing of marketing campaigns . . . . . . . . . . . . . . . 63
3.2 Chi Square test . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64
3.2.1 Test of independence . . . . . . . . . . . . . . . . . . . . . . 64
3.2.2 Test of Goodness of Fit . . . . . . . . . . . . . . . . . . . . . 67
3.3 Correlation Coefficient . . . . . . . . . . . . . . . . . . . . . . . . . 69
3.4 Weighted Average Method . . . . . . . . . . . . . . . . . . . . . . . 71

4 Findings and Suggestions 73

4.1 Findings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73
4.1.1 Demographic profile . . . . . . . . . . . . . . . . . . . . . . 73
4.1.2 Findings related to marketing strategies . . . . . . . . . . . 73
4.2 Suggestions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77

5 Conclusions 81

References 83

v
List of Tables

Table Page

1.1 Industry profile . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

3.1 Gender wise classification . . . . . . . . . . . . . . . . . . . . . . . 34

3.2 Age wise classification . . . . . . . . . . . . . . . . . . . . . . . . . 35
3.3 Qualification wise classification . . . . . . . . . . . . . . . . . . . . 36
3.4 Experience wise classification . . . . . . . . . . . . . . . . . . . . . 37
3.5 Income wise classification . . . . . . . . . . . . . . . . . . . . . . . . 38
3.6 About the clarity in communication . . . . . . . . . . . . . . . . . . 39
3.7 Usage of brand identity . . . . . . . . . . . . . . . . . . . . . . . . . 40
3.8 Awareness about profitable customers . . . . . . . . . . . . . . . . . 41
3.9 Awareness about customers changing buying behavior . . . . . . . . 42
3.10 Opinion on up-selling and cross selling . . . . . . . . . . . . . . . . 43
3.11 Key marketing messages that is consistently delivered in media . . . 44
3.12 Experience customers have while interacting with employees . . . . 45
3.13 Targeting of messages to specific market segments . . . . . . . . . . 46
3.14 Opinion on shifting marketing to new channels . . . . . . . . . . . . 47
3.15 Opinion on maximizing the value . . . . . . . . . . . . . . . . . . . 48
3.16 Opinion on marketing tactics . . . . . . . . . . . . . . . . . . . . . 49
3.17 Integration of social media into traditional marketing . . . . . . . . 50
3.18 Opinion on creativity used . . . . . . . . . . . . . . . . . . . . . . . 51
3.19 Clarity of marketing materials used . . . . . . . . . . . . . . . . . . 52
3.20 Resonance of offers . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
3.21 Effectiveness of offers . . . . . . . . . . . . . . . . . . . . . . . . . . 54
3.22 Role of offers in the product value . . . . . . . . . . . . . . . . . . . 55
3.23 Sales brochure attributes . . . . . . . . . . . . . . . . . . . . . . . . 56
3.24 Integration of sales tools . . . . . . . . . . . . . . . . . . . . . . . . 57
3.25 About the need of new tools . . . . . . . . . . . . . . . . . . . . . . 58
3.26 About the capturing of customer and prospect data . . . . . . . . . 59
3.27 About the compiling of email address . . . . . . . . . . . . . . . . . 60
3.28 About the website . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
3.29 SEO of website . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
3.30 Focusing of marketing campaigns . . . . . . . . . . . . . . . . . . . 63
3.31 Contingency Table . . . . . . . . . . . . . . . . . . . . . . . . . . . 64
3.32 Observation Table for Hypothesi 1 . . . . . . . . . . . . . . . . . . . 65
3.33 Analysis Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67

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3.34 2 goodness-of-fit test for observed counts in variable . . . . . . . . 68
3.35 Observation Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70
3.36 Attribute Response Table . . . . . . . . . . . . . . . . . . . . . . . 71
3.37 Weighted Average of Attributes . . . . . . . . . . . . . . . . . . . . 72

vii
List of Figures

Figure Page

3.1 Gender wise classification . . . . . . . . . . . . . . . . . . . . . . . 34

3.2 Age wise classification . . . . . . . . . . . . . . . . . . . . . . . . . 35
3.3 Qualification wise classification . . . . . . . . . . . . . . . . . . . . 36
3.4 Experience wise classification . . . . . . . . . . . . . . . . . . . . . 37
3.5 Income wise classification . . . . . . . . . . . . . . . . . . . . . . . . 38
3.6 About the clarity in communication . . . . . . . . . . . . . . . . . . 39
3.7 Usage of brand identity . . . . . . . . . . . . . . . . . . . . . . . . . 40
3.8 Awareness about profitable customers . . . . . . . . . . . . . . . . . 41
3.9 Awareness about customers changing buying behavior . . . . . . . . 42
3.10 Opinion on up-selling and cross selling . . . . . . . . . . . . . . . . 43
3.11 Key marketing messages . . . . . . . . . . . . . . . . . . . . . . . . 44
3.12 Experience customers have while interacting with employees . . . . 45
3.13 Targeting of messages to specific market segments . . . . . . . . . . 46
3.14 Opinion on shifting marketing to new channels . . . . . . . . . . . . 47
3.15 Opinion on maximizing the value . . . . . . . . . . . . . . . . . . . 48
3.16 Opinion on marketing tactics . . . . . . . . . . . . . . . . . . . . . 49
3.17 Integration of social media into traditional marketing . . . . . . . . 50
3.18 Opinion on creativity used . . . . . . . . . . . . . . . . . . . . . . . 51
3.19 Clarity of marketing materials used . . . . . . . . . . . . . . . . . . 52
3.20 Resonance of offers . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
3.21 Effectiveness of offers . . . . . . . . . . . . . . . . . . . . . . . . . . 54
3.22 Role of offers in the product value . . . . . . . . . . . . . . . . . . . 55
3.23 Sales brochure attributes . . . . . . . . . . . . . . . . . . . . . . . . 56
3.24 Integration of sales tools . . . . . . . . . . . . . . . . . . . . . . . . 57
3.25 About the need of new tools . . . . . . . . . . . . . . . . . . . . . . 58
3.26 About the capturing of customer and prospect data . . . . . . . . . 59
3.27 About the compiling of email address . . . . . . . . . . . . . . . . . 60
3.28 About the website . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
3.29 SEO of website . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
3.30 Focusing of marketing campaigns . . . . . . . . . . . . . . . . . . . 63
3.31 Chart of observed and expected values . . . . . . . . . . . . . . . . 66
3.32 Chart of contribution to chi-square value by category . . . . . . . . 69

viii
Chapter 1

Introduction

There are numerous definitions for marketing and what constitutes a mar-
keting strategy. Often marketing is thought of only as the promotion of products,
especially advertising and branding. However, marketing has a wider meaning
which recognizes that it is customer centered. A marketing strategy is the busi-
ness approach to promote its products and services expressed in broad terms. A
marketing strategy, in turn, forms the basis of the marketing plan. The marketing
plan contains the set of specific activities required to successfully implement a
marketing strategy.

Marketing strategies serve as the fundamental underpinning of marketing

plans designed to fill market needs and reach marketing objectives. Plans and ob-
jectives are generally tested for measurable results. Commonly, marketing strate-
gies are developed as multi-year plans, with a tactical plan detailing specific actions
to be accomplished in the current year. Marketing strategies are dynamic and in-
teractive. They are partially planned and partially unplanned.

Marketing strategy involves careful scanning of the internal and external

environments. Internal environmental factors include the marketing mix, plus
performance analysis and strategic constraints. External environmental factors
include customer analysis, competitor analysis, target market analysis, as well
as evaluation of any elements of the technological, economic, cultural or politi-
cal/legal environment likely to impact success.

Once a thorough environmental scan is complete, a strategic plan can be

constructed to identify business alternatives, establish challenging goals, deter-
mine the optimal marketing mix to attain these goals, and detail implementation.
A final step is to create a plan to monitor the progress and to set alternative plans
if a problem arises during the implementation of the plan.

1.1 Background of the problem

KTDC has been playing a key role in the development of infrastructure
facilities required by the rapidly growing tourist traffic into the State of Kerala
and has been the prime mover in the progressive development, promotion and
expansion of tourism in the State. Apart from developing the largest hotel chain
in Kerala, KTDC offers tourism related facilities like conducted tours, boating,
tourist reception centers, centralized/online reservations, conventional services,
customized tour packages etc. KTDC uses marketing campaigns, brochures, so-
cial media marketing etc to market its products. KTDC also gives training to
employees so that a standardized service is given for its customers. This is done
as a part of internal marketing. KTDC uses a marketing strategy which is dis-
tinctive from its competitors. But how far the marketing strategy is effective is
uncertain. This project evaluates the efficacy of marketing strategy of KTDC and
thereby suggesting a suitable marketing plan.

1.2 Industry profile

Tourism is considered as an agent of social change bridging gaps among
nations, regions and people and helping them to open up. It is a promoter of
development- material and spiritual both at macro and micro level. The World
Tourism Organization defines tourists as people traveling to and staying in places
outside their usual environment for not more than one consecutive year for leisure,
business and other purposes.

Table 1.1: Industry profile

Output per annum Increased 7 % per annum

Percentage in world market 6.5% share
Market Capitalization 6.23% of GDP

Tourism is important, and in some cases, vital for many countries. It was
recognized in the Manila Declaration on World Tourism of 1980 as an activity
essential to the life of nations because of its direct effects on the social, cultural,

2
educational, and economic sectors of national societies and on their international
relations. Tourism brings in large amounts of income in payment for goods and
services available, accounting for 30% of the worlds exports of services, and 6% of
overall exports of goods and services. It also creates opportunities for employment
in the service sector of the economy, associated with tourism. These service indus-
tries include transportation services, such as airlines, cruise ships, and taxicabs;
hospitality services, such as accommodations, including hotels and resorts; and
entertainment venues, such as amusement parks, casinos, shopping malls, music
venues, and theaters.

1.2.1 Tourism in India

India is the second-fastest growing tourism market in the world. Tourism
in India is the largest service industry contributing up to 6.23 per cent to the
National Gross Domestic Product (GDP) and providing 8.78 per cent of the total
employment opportunity in India. It is also the second largest sector in coun-
try providing employment opportunities for low skilled people. Indias travel and
tourism industry is one of the most profitable industries in the country. It is also
credited with contributing a substantial amount of foreign exchange to the exche-
quer. Indian is a land of vast tourism opportunities as it is comprised of different
cultures, traditions, festivals, and places of interest.

The country is one of the favorite tourist destinations around the world,
according to world travel and tourism Council (WTTC). Further, the Travel and
Tourism Competitiveness Report by World Economic Forum, has ranked India at
the sixth place in tourism and hospitality. India provides the facility to Tourists of
international origin to understand and experience cultural diversity of the country.
According to Indian official estimates the tourism in India has outperformed the
global tourism industry in accordance with the growth, volume of foreign tourists
& even the revenue.

India witnesses about more than 5 million annual foreign tourist arrivals
and 562 million domestic tourism visits. Indian Tourism Industry generated about
US$100 billion in 2008 which is expected to increase to US$275.5 billion by 2018
at a 9.4% annual growth rate. The Campaign of Incredible India is developed
by the Ministry of Tourism is used for the promotion of tourism in India.

3
Tourism products offered by India

1. Cruise tourism
2. Adventure tourism
3. Medical tourism
4. Wellness tourism
5. Golf tourism
6. Polo tourism
7. Meetings incentives conferences and exhibition
8. Film tourism
9. Eco tourism

Domestic media campaigns, international campaigns, national tourism awards,

international accolades, participation in travel fairs and exhibition, road shows,
food festivals, printing of brochures, outdoor publicity by advertising on taxis,
buses, trains, hoardings and billboards are some of the publicity and marketing
techniques adopted by Ministry of tourism, Government of India. Each state
further has its own publicity and marketing techniques. Eg: Kerala- Gods own
country campaign, Madhyapradesh- Hindusthan ki dil dekho campaign etc

Role of Ministry of Tourism

The Ministry of Tourism plays a crucial role in formulating national poli-

cies and programs as well as coordinating and supplementing the efforts of the
State/Union Territory Governments and private sector in improving the quality
of tourism Industry. As regards the domestic market, the Ministry aims to popu-
larize the culture and natural beauty of different regions, pilgrim sites and various
new tourism products.

The Ministry has a public sector undertaking namely the India Tourism
Development Corporation (ITDC) for carrying out its various functions, along
with the following autonomous institutions:-

1. Indian Institute of Tourism and Travel Management (IITTM)

2. National Institute of Water Sports (NIWS) has merged with IITTM

4
3. National Council for Hotel Management and Catering Technology (NCHMCT)
4. Institutes of Hotel Management (IHM)

The foreign direct investments (FDI) of Indian hotel and tourism industry
which contributes to the Indian economy inflows are US$ 2.1 billion from April
2000 to March 2010, according to the Department of Industrial Policy and Promo-
tion (DIPP).Indian Export earnings from international visitors and tourism goods
are expected to generate US$ 51.4 billion (nominal terms) by 2019. Furthermore,
the sector which accounted for 6.4% of total employment in 2009 is estimated to
rise to 7.2% of total employment by 2019.

Tourism industry in India holds tremendous potential for Indias economy

which eventually provide impetus to other industries, create millions of new jobs
and generate enough wealth to help pay off the international debt. This is the
main reason that today it is included that Tourism is amongst the Core Sectors
of the Indian Economy.

Indian Tourism Industry has got a major boost because of the booming IT
and outsourcing industry with increased number of business trips made by foreign-
ers to India, who will often add a weekend break or longer holiday to their trip.
They spend more time here in India than almost any other country worldwide.

1.2.2 Tourism in Kerala

Kerala state is considered as one of the ten paradises in the world. In more
ways than one, Kerala takes the credit for being the first state in India to compre-
hend the significance and importance of positioning and branding in the sphere of
tourism. From being a non entity in the mid 1980s, Kerala today has evolved into
an Indian tourisms superbrand and the countrys most premium holiday destina-
tion. Keralas worldwide success represents the triumph of vision, professionalism
and public private partnerships in the volatile and turbulent world of tourism.

Brief history

Kerala initiated tourism development programmes by establishing an in-

ternational beach resort at Kovalam in 1976 with the patronage of the central
government. Realizing the economic potentials, Government of Kerala declared

5
tourism as an industry in 1986. Within a short span of two and half decades, Ker-
ala succeeded in establishing its tourism brand in the international market. The
first tourism policy of the state was announced in 1995 underlining the importance
of Public Private Partnership.

Tourism has come a long way since then, capturing new markets with its
innovative products and marketing strategies. From hardly 50000 foreign tourist
arrivals and 0.13 billion rupees as foreign exchange in 1986, it has reached a status
of 0.6 million foreign tourist arrivals and 37.97 billion rupees as foreign exchange
in 2010. Total employment generated from tourism is estimated as 1.2 million.

Tourism development organisations

The flagship of tourism industry in Kerala is Department of tourism, Gov-

ernment of Kerala. Kerala Tourism Development corporation (KTDC), Bekal Re-
sorts Development Corporation (BRDC), Tourists Resorts Kerala Ltd (TRKL),
District Tourism Promotion Council (DTPC), Kerala Institute of Travel and
Tourism Management Studies (KITTS), Kerala Institute of Hospitality Manage-
ment Studies (KIHMS), Thenmala EcoTourism Development Agency and a host
of Government Departments such as forest and wildlife, irrigation, museum, zoo
and archaeology are other important state sponsored institutions which play key
role in Tourism sector of Kerala. Besides there are numerous agencies working in
the semigovernment and private sectors for the promotion of Kerala Tourism.

Role of KTDC in tourism development

KTDC plays a prominent role in tourism sector of Kerala. Kerala had been
an unknown destination till 1980s. The aggressive marketing of KTDC laid foun-
dation for growth of tourism industry and transformed Kerala into one of niche
holiday destination. The tag line Kerala Gods own country used in its promotions
became a global super brand. Gods own country is perhaps the most powerful
positioning statement for an Indian destination.

Kerala started aggressive print campaign in the late 1980s. The turning
point however happened when National geographic Traveller, after expensive re-
search spanning two years, brought out a special issue on the 50 destinations of a

6
lifetime the only destination that featured from India was Kerala. The first ever
television commercial done by tourism board in India, captured the magic of Ker-
ala and differentiated it from other states. Kerala also became the first tourism
board in India to venture advertising on internet.

Tourist season of Kerala starts from September to May. Kerala is famous for
beaches, backwaters, mountain ranges, wildlife sanctuaries, hill stations, ayurveda,
culture, art forms, festivals etc. Kerala has also launched shopping festivals, the
first biennale in India, International coir fest etc as an innovative method to get
more publicity. State promotes ecologically sustained tourism, which focuses on
the local culture, wilderness adventures, volunteering and personal growth of the
local population. Efforts are taken to minimize the adverse effects of traditional
tourism on the natural environment, and enhance the cultural integrity of local
people.

Kerala has set an example for other Indian states by pursuing a visionary
approach in tourism; by pushing doors open rather than waiting for the doors to
open, by being truly authentic in the experience it offers, by building relationships
worldwide and by thinking globally and acting locally.

1.3 Introduction to the company

KTDC Hotels and Resorts Limited (KTDC) was incorporated on 29
December 1965 as a private limited company with its registered corporate office
situated at Mascot square, Trivandrum. The initial name of the company was Ker-
ala Tourist and Handicrafts Corporation Private Limited. It was then changed as
Kerala Tourism Development Corporation Limited from 15 July 1970 and later as
KTDC Hotels and Resorts Limited from 07 October 2010 and now it is KTDC.
KTDC has been playing a key role in the development of infrastructure facilities
required by the rapidly growing tourist traffic into the State of Kerala and has
been the prime mover in the progressive development, promotion and expansion
of tourism in the State. Apart from developing the largest hotel chain in Kerala,
KTDC offers tourism related facilities like conducted tours, boating, tourist re-
ception centers, centralized/online reservations, conventional services, customized
tour packages etc.

KTDC, the states premier destination developer, owns over 60 properties

7
ranging from luxury hotels to budget hotels and motels, Yatri Nivases and restau-
rants, KTDC aptly qualifies as the official host to Gods own Country. The pre-
mium properties of this largest hotel chain in the state are located in the most
picturesque theme destinations of Kerala. KTDC also offers Ayurveda centres, cul-
tural entertainment and the best of Keralas cuisine at all its major establishments.

KTDC offers comprehensive holiday package Exclusive Escapades offers hol-

iday packages that are set in the premium properties of KTDC. As a pioneering
tourism development corporation, KTDC has also introduced innovative concepts
like insured holiday and rail holidays, which provide a complete Kerala package.

Kerala Tourism Development Corporation (KTDC) is the most successful

public sector undertaking The KTDC group of hotels has already stamped the
power in term of quality, marketing and hospitality. Even at the time of recession,
Kerala though showed a dim effect in the Kerala tourism field but where far ahead
when compared to other state, KTDC too showed the growth and from then on
there was no look back. KTDC, the largest hotel chain which includes a range
of luxury and economy resorts, hotels, and motels located in the heart of some of
Keralas most acclaimed destinations.

The company aims to be the major player in development of tourism in-

frastructure in the state. It provides elegant accommodation and better quality
services in KTDC hotels and restaurants. It tries to achieve high levels of produc-
tivity of employees by better training, motivation and HRD techniques. It also
promotes ecofriendly and sustainable tourism and also tourism products. The
company primarily focuses on building up capacities to handle increasing flow of
tourists into Kerala in a planned manner.

The brands and products of the company include heritage hotels, premium
hotels, Tamarind easy hotels, motels, restaurants, central reservation centre, shop-
ping complex and water sports. Beer parlors are on lease basis. KTDC has 3
regional offices north Calicut, central Kochi and south Trivandrum.

1.3.1 Mission
To provide leadership and play a catalytic role in the development of tourism
infrastructure in the State and to achieve excellence in strategic business opera-

8
tions through professionalism, efficiency, value for money and customer satisfac-
tion.

1.3.2 Vision
To make KTDC the official host to Gods own country, the best service
provider in the hospitality industry with basic infrastructure and state-of-the-art
facilities, focusing on environment conservation and preservation, adding impetus
to local supplies and human resources and thereby positioning as a Premier PSU
in the hospitality sector in Kerala.

1.3.3 Key objectives

1) To be a major player in the development of tourism infrastructure in the
State.

2) To treat the tourists as our Guests (Adhidhi Devo Bhava) and ensure
customer delight by providing value for money.

3) To provide elegant accommodation and better quality services in KTDC

Hotels and Restaurants.

4) To function as an efficient corporate house with improved productivity

levels and profit margins.

5) Achieve high levels of productivity of its employees by way of better

training, motivation and HRD techniques.

6) To empower the host population through responsible tourism.

7) To promote and market our products at National and International level

and thereby making Kerala as a premier Global tourism destination.

8) To promote sustainable and eco-friendly tourism in the state based on

the carrying capacity of the destinations.

9) To conserve, preserve the art, culture and heritage of the State.

9
 10) To promote new innovative tourism products, lesser-known destinations.

11) To provide transport, entertainment, shopping, convention and recre-

ational services.

12) To render consultancy and managerial services in the hospitality indus-

try.

13) To undertake pioneering efforts for destination development.

14) To play an active role in association with the State Tourism Depart-
ment/Directorate in conceptualizing and execution of tourism projects, publicity,
promotion and training.

1.3.4 Brands and products

Heritage Hotels
1. Lake Palace, Thekkady.
2. Bolgatty Palace, Kochi.

Premium Hotels
1. Mascot Hotel, Thiruvanathapuram.
2. Hotel Samudra, Kovalam.
3. Waterscapes, Kumarakom.
4. Aranya Nivas, Thekkady.
5. Tea County, Munnar.
6. Bolgatty Island Resort, Kochi.
7. Marina House, Kochi.

Budget Hotels
1. Hotel Chaithram,Thiruvananthapuram.
2. Periyar House, Thekkady.
3. Garden House, Malampuzha.
4. Nandanam, Guruvayoor.
5. Mangalya, Guruvayoor.
7. Pepper Grove, Sulthan Bathery.

10
8.Golden Peak, Ponmudi

Tamarind Easy Hotels

1. Tamarind Easy Hotel, Neyyardam.
2. Tamarind Easy Hotel, Kollam.
3. Tamarind Easy Hotel, Changanasery.
4. Tamarind Easy Hotel, Alappuzha.
5 Tamarind Easy Hotel, Peermade.
6. Tamarind Easy Hotel, Thrissur.
7. Tamarind Easy Hotel, Guruvayoor.
8. Tamarind Easy Hotel, Mannarkadu.
9 . Tamarind Easy Hotel, Nilambur.
10. Tamarind Easy Hotel, Kondotty.
11. Tamarind Easy Hotel, Thirunelly.
12. Tamarind Easy Hotel, Kannur.
13. Tamarind Easy Hotel, Parasinikkadavu

Motels
1. Motel Araam, Kottarakkara.
2. Motel Araam, Palaruvi.
3. Motel Araam, Punalur.
4. Motel Araam, Kayamkulam.
5. Motel Araam, Alappuzha.
6. Motel Araam, Vaikom.
7. Motel Araam, Athirappally.
8. Motel Araam, Erumayur.
9. Motel Araam, Vadakara.
10. Motel Araam, Kuttipuram.
11. Motel Araam, Kannur.

Restaurants
1. KTDC Restaurant, Veli, Thiruvananthapuram.
2. KTDC Restaurant, Museum, Thiruvananthapuram.
3. Anantha Restaurant, New Delhi.

Others
1. Central Reservation Centre,Thiruvananthapuram.

11
2. Tourist Reception Centre,Thiruvananthapuram.
3. Tourist reception Centre, Ernakulam.
5. Shopping Complex, Shanmugam Road, Ernakulam.
6. Watersports, Veli.

Others on lease basis

Budget Hotel
1. Malabar Mansion, Kozhikode.

Restaurant & Beer Parlours

1. Karamana, Thiruvananthapuram.
2. Peyad, Thiruvananthapuram.
3. Statue, Thiruvananthapuram.
4. Balaramapuram.
5. Kazhakuttam.
6. Varkala.
7. Attingal.
8. Harippad.
9. Karukachal
10. Muvattupuzha.
11. Kanjikode, Palakkad.
12. Kozhinjampara, Palakkad.
13. Ramanattukara.
14. Changaramkulam.
15. Koyilandy.
16. Payyannur.
17. Kanhangad, Kazarcode.
18. Kannur.

1.4 Research methodology

While conducting a research there are two ways of approaching the same.
They are

1) Qualitative research method

12
 2) Quantitative research method.

Quantitative research method

Quantitative research method emphasizes quantification in the collection

and analysis of the information. The aim is to gather numerical evidence where
conclusions can be drawn from or they can be used to test hypotheses. In order to
get reliable results it is necessary to study relatively large sample group and use
a computer to analyze the collected information. The information is derived from
questionnaire surveys, secondary sources and from observation involving counts.

Qualitative research method

Qualitative research method on the contrary does not involve numerical

data but emphasizes words rather than numbers. This method uses only a small
sample group; the primary information is gathered from a small number of people.
The information gathered cannot usually be presented in numerical form. This
research method is used when a full understanding of the sample group is required.
The information is derived from observation, informal and in-depth interviewing
and participant observation.

A description of research plan for the present study is discussed as under:

A study on internal perspective of marketing strategies implemented by KTDC
was conducted at KTDC situated in Trivandrum and the study covers the mar-
keting department which has a major role in designing and executing marketing
strategies. The means of collecting data is through secondary and primary data
collection methods.

Primary data was collected from the organisation through personnel visit,
questionnaire, interviews and discussions with important executives and staff mem-
bers of various departments. The variables used in the questionnaire includes
brand, market, messages, marketing channels, marketing tactics, creative ap-
proches, offers, sales tools and website.This helped to give an overall view of mar-
keting activities carried out in KTDC. The secondary data have been obtained
from company website, brochures etc.The brief history of KTDc, its functions,
products offered and strategic intent of company was obtained from company
website.

13
1.4.1 Objectives of study
KTDC uses a marketing strategy to differentiate it from its competitors,
but how far it is effective is uncertain. The objective of the study are . . .

1. To evaluate the marketing strategy of KTDC

2. To find out the marketing policy adopted by KTDC

3. To examine the marketing policy related to promotional activities of KTDC

4. To find out the threat involved in marketing policy of KTDC

5. To suggest suitable marketing policy

1.4.2 Research design

A research design is a master plan, which specifies various methods and pro-
cedure for collecting and analysing the needed information. Descriptive research
design is followed.
Sample size : 50
Sampling method: Simple random sampling
Sampling unit: Managers and officers of various departments in KTDC
Nature of data: Primary & secondary data
Place of study: KTDC hotels & resorts Ltd, Trivandrum

1.4.3 Sources of data

The sources of data include primary and secondary.

Primary data

The primary data was collected by means of a survey. Questionnaires were

prepared and given to executives and staffs of various departments. The ques-
tionnaire contains 25 questions which covers various aspects of marketing strategy
like brand, market, messages, marketing channels, marketing tactics, creative ap-
proaches, offers, sales tools, data and website. The response of the sample was
recorded on a grade scale of strongly agree, agree, neutral, disagree and strongly
disagree for each question. The filled up information was later analyzed to obtain
the interpretations and the findings.

14
Secondary data

The data was collected from websites, journals, reference books, company
records and brochures.

1.4.4 Statistical analysis tools used

The various statistical tools used for the analysis and interpretation of the
data are

1) Percentage analysis

2) Chi square test

3) Correlation analysis

4) Weighted average method.

1.4.5 Period of study

The study was conducted over a period of one month from 11 March 2013
to 11 April 2013.

1.4.6 Hypothesis
Hypothesis 1
H0: There is no significant difference between the efficiency of marketing
channels and marketing strategies of KTDC

H1: There is significant difference between the efficiency of marketing chan-

nels and marketing strategies of KTDC

Hypothesis 2
H0: There is no significant difference between gender and opinion about
marketing strategies of KTDC

15
 H1: There is significant difference between gender and opinion about mar-
keting strategies of KTDC

Hypothesis 3
H0: There is no significant difference between marketing tools and market-
ing strategies adopted by KTDC

H1: There is significant difference between marketing tools and marketing

strategies adopted by KTDC

Hypothesis 4
H0: There is no association between the opinion about integrating social
media into traditional marketing tactics like direct mail and advertising

H1: There is association between the opinion about integrating social me-
dia into traditional marketing tactics like direct mail and advertising

Hypothesis 5
H0: There is no association between the opinion that sales tools are inte-
grated with brand and marketing campaigns

H1: There is association between the opinion that sales tools are integrated
with brand and marketing campaigns

1.4.7 Scope of study

In every company, the preparation of a marketing plan is vital for moni-
toring and tracking of the companys marketing strategies for a certain product or
service. The marketing plan helps to monitor the progress of marketing strategy
that is being implemented. Analysis of marketing strategy helps to find out ma-
jor competitors, which would enable the firm to offer its appropriately designed
marketing mix and thereby achieving firms objective. A well defined marketing
strategy can clearly describe which market segments to serve and which to ex-
clude, what product to serve and what not to serve. So the marketing strategy
have vital role in the success of an organisation.

16
 KTDC has a significant role in the growth of Kerala tourism industry by
formulating effective marketing strategies. This study will evaluate the marketing
strategies implemented in KTDC, to find out the various marketing policies used
by them, to know its effectiveness and to suggest suitable policy for the company.

1.4.8 Limitation of study

1.The time frame given for the study is limited.

2.The study is based on qualitative analysis and hence results may be bi-
ased.

3.Detailed information about the company was not be provided, in order

to keep secrecy of company policies

1.5 Chapterisation
Chapter 1 discuss about the background of problem, industry profile, com-
pany profile, research objectives, research methodology, scope and limitation of
study. Chapter 2 gives in depth information about the literature reviewed for the
study. In Chapter 2 the topics discussed include marketing, marketing mix, mar-
keting segmentation, relationship marketing, marketing strategy, strategic role of
marketing, elements of marketing strategy, types of marketing strategy, marketing
strategy formulation and marketing strategy implementation. Chapter 3 presents
the data collection and analysis. The statistical tools used include Chi square,
Percentage analysis, Correlation coefficient and Weighted average method. Chap-
ter 4 presents the findings and suggestions of the study. Chapter 5 gives a brief
conclusion of the project.

17
Chapter 2

Literature review

Marketing is often thought to be only selling and advertising. However,

marketing consists of many other functions that can be seen far more important
than just the exchange of goods (Kotler, 1997).

The American Marketing Association defines marketing as follows: Market-

ing is the activity, set of institutions, and processes for creating, communicating,
delivering and exchanging offerings that have value for customers, clients, partners
and society at large.

Today, more than ever, marketing has put emphasis on satisfying the cus-
tomer needs. The customer tends to make decisions on buying a product or a
service based on their perception of the value and satisfaction that the product or
service delivers. From the companys point of view the goal of marketing is to first
build and then manage profitable customer relationships. In order to achieve this
it is not enough only to first market the product and then sell it but make sure
that the product being sold will meet the standards and be enough to fulfill the
customers expectations. Therefore the company must be aware and understand
their customers; their needs, wants and demands. That is why many companies
put a lot of effort and money into making different kinds of customer surveys ana-
lyzing their customers behavior and learning about the different way of delivering
the superior customer value and satisfaction(Kotler, 1997)
2.1 Marketing mix
The marketing mix is one of the major concepts in modern marketing and
is often brought up in general discussions of marketing. Marketing mix is a set
of marketing tools that a company uses to pursue its marketing objectives in the
target market. When a company is making decisions on marketing they generally
fall into four controllable categories known as the 4 Ps: product, price, place and
promotion(Kotler, 1997).

2.2 Market segmentation

In marketing it is almost impossible to succeed by handling all the con-
sumers as a big one size fits for all mass. Market segmentation recognizes that
people differ in many ways like in their needs, attitudes and lifestyles. Through
market segmentation companies divide their market into smaller segments. All of
the segments have specific needs and by dividing the market those needs can be
met more efficiently with products and services that match their unique needs.

Choosing the right target market is essential and often not that easy. When
defining a target market for a product there should be three separate levels. The
first level consists of consumers that are willing to buy and who also have the best
premises to buy. The second level consists of consumers who have the premises to
buy but not necessarily the desire. The third level consists of consumers who are
not able to buy but who should be monitored in case there is a change in their
buying readiness (Kotler, 1997).

There are many ways to segment a market. Different segmentation variables

are used, both alone and together, in order to classify consumers into different
segments. Kotler defines four major variables that are generally used in marketing;
geographic, demographic, psychographic and behavioral variables.

2.2.1 Geographical segmentation

Geographical segmentation divides the market into different geographical
units such as cities, regions, countries or climate and population density. By this
way when a company is deciding which units to operate and market, they can pay

19
attention to geographical differences in needs and wants. For example a major
clothing store chain can pay attention to their selection in stores in northern areas
where it is colder and the need for warmer clothes is greater than in areas located
more south(Kotler, 1997)

2.2.2 Demographic segmentation

Demographic segmentation consists of dividing the market into groups
based on variables such as age, gender, family size, income, occupation, educa-
tion, religion, race and nationality. Demographic factors are the most popular
bases for segmenting customer groups. This is partly because customer wants are
closely linked to variables such as income and age. Also, for practical reasons,
there is often much more data available to help with the demographic segmenta-
tion process (Kotler, 1997).

2.2.3 Psychographic segmentation

Psychographic segmentation divides the market into different groups based
on social class, lifestyle or personality characteristics. People can be in the same
geographical segment meaning that they may for example live in the same city;
they can even be of same age. But one may be a student and another a worker.
This affects their lifestyles greatly and therefore also has an effect on the buying
behaviors of the people (Kotler, 1997).

2.2.4 Behavioral segmentation

Behavioral segmentation divides buyers into groups based on their knowl-
edge, attitudes, uses and responses to a product. Behavioral segmentation has the
advantage of using variables that are closely related to the product itself. When a
company knows when and why customers are buying their products, they can link
their marketing to that. For example some holidays like on Valentines Day or at
Christmas people tend to buy certain things related to the occasion; many compa-
nies prepare special offers and advertisements for those holiday occasions.(Kotler,
1997)

20
2.3 Relationship marketing
Relationship marketing is a form of marketing that emphasizes customer
retention and satisfaction. It switches the focus from the recruitment of new
customer to the retention and recovery of existing ones. Relationship marketing
differs from other forms of marketing in that it recognizes the long-term value of
customer relationships and extends communication. The world of marketing today
is more customer-centered. As companies must compete in a more competitive
marketplace they have to know their customers? needs and wants in order to get
new customers, then keep and grow them by delivering greater value for them
(Piercy and Nigel, 2000)
When planning g a relationship marketing strategy one must take into
account that not all customers want a relationship with the company. That is
why it must be carefully considered which types of customers are usually more
likely to repeat their visit in a hotel or a restaurant. Some customers are aware
of the wide choice of competitor products and services and do not want to limit
their options and tie themselves only to one company but prefer to switch their
custom accordingly. Other customers are not interested in any type of relationship
with any company; they simply look at the best quality, value and convenience
available at the time of purchase (Davis, 2007).

2.4 Introduction to marketing strategy

Marketing strategy includes all basic and long-term activities in the field of
marketing. It deals with the analysis of the strategic initial situation of a company,
the formulation, evaluation and selection of market-oriented strategies. Therefore
it contributes to the goals of the company and its marketing objectives.

Strategic planning is a process of developing and maintaining a link between

the organizations goals and capabilities and its changing marketing opportunities.
The marketing strategy is shaped by the overall business goals meaning that it
broadly explains what actions are required to achieve the goals and objectives.
The marketing strategy can be thought of as a game plan that outlines, often in
a list form factors such as the target market, positioning, distribution channels,
price, advertising and possible research and development.

21
2.5 Marketing strategy
According to (Kotler, 1997) The marketing strategy is the way in which the
marketing function organises its activities to achieve a profitable growth in sales
at a marketing mix level.
A marketing strategy may be defined as a plan (usually long term) to achieve the
organisations objectives as follows...
a) By specifying what resources should be allocated to marketing.

b) By specifying how these resources should be used to take advantage of

opportunities which are expected to arise in the future.

A marketing strategy would consist of the following:

a. Identifying markets and customers needs in those markets.

b. Planning products which will satisfy the needs of these markets.

c. Organising marketing resources , so as to match products with customers

in the most efficient and effective way possible, ie, so as to maximise customer sat-
isfaction and the organisations profits or sales revenue (or whatever its objectives
are at the same time).

Choosing the right target market is essential and often not that easy. When
defining a target market for a product there should be three separate levels. The
first level consists of consumers that are willing to buy and who also have the best
premises to buy. The second level consists of consumers who have the premises to
buy but not necessarily the desire. The third level consists of consumers who are
not able to buy but who should be monitored in case there is a change in their
buying readiness (Kotler, 1997).

Positioning is the act of designing the companys offering so that the services
and products are based on some core idea or benefit. Its meaning is to create a
competitive angle toward the competitors so the positioning of a product can be
based for example on the best or quickest service, accessibility or affordability.
This way the product occupies a clear, distinctive and desirable place relative to
competing products in the minds of the target customers.

22
 Marketing strategy is mainly indicated by the marketing objectives, cus-
tomer and competitive perspectives and product/market momentum ( i.e. ex-
trapolation of past performance to the future). This forms the basis of marketing
strategy. Marketing strategy is developed at the business unit level (Kotler, 1997).

2.5.1 3 Cs of marketing strategy

Within a given environment, marketing strategy deals essentially with the
interplay of three forces known as the strategic 3 Cs namely the Customer, the
Competition and the Corporation (Davis, 2007).

A good marketing strategy should be characterized by

a) clear market definition
b) a good match between corporate strengths and the needs of the market
c) superior performance, relative to the competition, in the key success factors of
the business.

Marketing strategy, in terms of these key constituents, must be defined as

an endeavour by a corporation to differentiate itself positively from its competitors,
using its relative corporate strengths to better satisfy customer needs in a given
environmental setting.
Based on the interplay of the strategic three Cs, formation of marketing strategy
requires the following 3 decisions:
1. Where to compete. (definition of the market). One or various segments.

2. How to compete, that is, it requires a means for competing .

3. When to compete, that is, it requires timing of market entry (Lambin

and Jean-Jacques, 2000).

2.6 Strategic role of marketing

In its strategic role, marketing focuses on a business intentions in a market
and the means and timing of realizing those intentions. The strategic role of mar-

23
keting is quite different from marketing management which deals with developing,
implementing and directing programs to achieve designated intentions. To clearly
differentiate between marketing management and marketing in its new role , a
term strategic marketing. has been coined to represent the latter (Gale et al.,
1980).

Strategic marketing is seen as a process consisting of: analyzing environ-

mental, market competitive and business factors affecting the corporation and its
business units, identifying market opportunities and threats and forecasting future
trends in business areas of interest for the enterprise , and participating in setting
objectives and formulating corporate and business unit strategies. It also includes
selecting market target strategies for the product markets in each business unit,
establishing marketing objectives as well as developing , implementing and man-
aging the marketing program positioning strategies in order to meet market target
needs. (Gale et al., 1980)

Strategic marketing means looking at the whole of a companys portfolio of

products and markets, and managing the portfolio to achieve the companys overall
goals (Jain and Girish, 1993) Although definitions for the term vary, (Hamper and
Baugh, 1990) define marketing strategy as a consistent, appropriate and feasible
set of principles through which a particular company hopes to achieve its longrun
customer and profit objectives in a particular competitive environment.

The primary purpose of a marketing strategy is to effectively allocate and

coordinate marketing resources and activities to accomplish the firms objectives
within a specific product market. Therefore decisions about the scope of a mar-
keting strategy involve specifying the target market segment(s) to be pursued and
the product line to be offered. Then, firms seek a competitive advantage and syn-
ergy, planning a well integrated program of marketing mix elements (Boyd et al.,
1998).

Marketing strategy creates pathways to a desirable future. The output from

such marketing strategy analysis and choice (or strategic marketing decision ) is
a marketing strategy statement.

The strategic analysis of marketing makes reference to the future situation

of products and markets,(Prahalad et al., 2004), that is to say that it tries to guide

24
the company by the correct path and where the company should be in the future.
It is also important to define clearly what should be interpreted for product and
for markets and this is important because marketing strategies are open to inter-
pretations (Piercy and Nigel, 2000). Traditional definitions can be broken by new
variables that contribute to redefine markets and products. These variables can
be technology, Internet, changing consumers attitudes, social changes, etc..

The term marketing strategy reflects the companys best opinion as to how
it can most profitably apply its skills and resources to the marketplace. It is in-
evitable broad in scope. Marketing strategies are the means by which a company
achieves its marketing objectives and are usually concerned with the 4 ps. (Mc-
donald, 1999).

2.7 Elements of marketing strategy

A marketing strategy is made of several interrelated elements. The first
and most important is market selection which is directly related to choosing the
markets to be served(Brown and Sommers, 1982). Product planning includes the
specific products the company sells, the makeup of the product line, and the de-
sign of individual offerings in the line. Another element is the distribution system:
the wholesale and retail channels through which the product moves to the people
who ultimately buy it and use it. The overall communications strategy, employs
advertising to tell potential customers about the product trough radio, television,
direct mail, and public print and personal selling to deploy a sales force to call
on potential customers, urge them to buy, and take orders. Finally , pricing, is
an important element of any marketing program and is one of the most directed
marketing elements in the creation of value for shareholders (Doyle, 2000). The
company must set the product prices that different classes of customers will pay
and determine the margins or commissions to compensate agents, wholesalers ,
and retailers for moving to product to ultimate users.

The External, market orientation must be kept in mind since the compa-
nies are guided to the market in a regular way. Reliable data in the strategic
analysis has bigger possibilities of success and bigger chances of optimizing their
results.(Aaker, 2004)
Other issues to take into consideration and which influence in marketing

25
strategies are: the understanding of growth markets and Market Share, managing
international realities, implicating empirical research, utilization of methodological
developments, for example, portfolio models, experience curves, scenario analysis,
market structure analysis and technological forecasting; and finally getting into
interdisciplinary developments, including marketing, organizational behaviour, fi-
nance and accounting, economics, strategy. (Aaker, 2004)

2.8 Types of marketing strategy

(Sahaf, 1993) has mentioned six strategies that can help a leader attain the
objective of market share protection. They are

2.8.1 Position defense

In this strategy a leader attempts to protect its existing market share
through fortification wherein the leader erects barriers around him to stop com-
petitors. The barrier can be in the form of a firms distinctive skills capabilities
and marketing assets that not only have greater significance for the customers but
also are difficult for the competitors to copy.

2.8.2 Mobile defense

This involves constantly shifting resources and developing new strategies
and tactics. A mobile defense is intended to create a moving target that is hard to
successfully attack, while simultaneously, equipping the defender with a flexible
response mechanism should an attack occur. In business this would entail intro-
ducing new products, introducing replacement products, modifying existing prod-
ucts, changing market segments, changing target markets, repositioning products,
or changing promotional focus. This defense requires a very flexible organization
with strong marketing, entrepreneurial, product development, and marketing re-
search skills.

26
2.8.3 Flank position
This involves the redeployment of your resources to deter a flanking attack.
You protect against potential loss of market share in a segment, by strengthen-
ing your competitive position in this segment with new products and other tactics.

2.8.4 Counter offensive

Counter offensive defense refers to the response of a market leader to a
real attack by a competitor. In fact, these defensive calls for a leader to respond
to a competitors head on attack by identifying the attackers weakness and then
launch a counter attack. Generally a leader actively responds to any move of his
competitors. An effective counterattack is to invade the attackers main territory
so that it will have to pull back some troops to defend the territory. Generally
counteroffensive defense works when the attacker has become vulnerable as a re-
sult of the over stretching of resources.

2.8.5 Preemptive defense

A preemptive defense strategy demands to attack potential aggressor before
he starts his offence. By pursuing preemptive defense strategy a firm intends to
convey let it be known how it will retaliate. Thus such a strategy aims to create a
threat which will prevent any potential challenger from attacking in the first place.
In business the preemptive defense can involve an actual attack on the competition
or merely signalling an intention to fight on a particular front and a willingness to
commit the necessary resources to defend against aggression. Product or brand
proliferation is a form of preemptive defense.

2.8.6 Contraction defense

A contraction defense, or strategic withdrawal, requires giving up unten-
able ground to reduce over stretching on the core business which can be defended
against attack. In fact, such a strategy calls for a withdrawal from the most vul-
nerable segments and redirect resources to those that are more defendable.

27
2.9 Marketing strategy formulation
A company should not only know own company but also the behavior of
the competitors potential and the capacity to add and remove it in products,
segments, markets, distribution channels, etc. From my point of view one of the
clearest indicators that a company thinks, and it acts with mentality of strategic
marketing it is the level of depth that makes of its competitors.(Alexander, 1985)

(Bantel, 1997) suggests that particular product/market strategies are ef-

fective at achieving particular performance goals to the exclusion of others. The
synergies between strategy types and implementation capabilities exist and should
be exploited.Creating marketing synergy means that you have a marketing plan
where each element of your plan complements another. The total effect achieved
is greater than the sum of the individual effects. Synergy creates greater power
and energizes companys marketing efforts.

According to (Hrebiniak, 2006)) formulating a consistent strategy is a diffi-

cult task for any Management team and making that strategy work (implementing
it throughout the Organization) is even more difficult. he also pointed out that
managers know more about developing a strategy than they do about executing
it. One of the basic problems he quote is that managers are trained to plan, not
execute plans. Another problem is that some top level managers believe strategy
implementation is below them, something best left to lower level managers.

According to (Noble, 1999), a myriad of factors can potentially affect the

process by which strategic plans are turned into organizational action. Unlike
strategy formulation, strategy implementation is often seen as something of a
craft, rather than a science, and its research history has previously been described
as fragmented and eclectic. Leadership, and specifically strategic leadership, is
widely described as one of the key drivers of effective strategy implementation.
However, a lack of leadership, and specifically strategic leadership by the top
management of the organisation, has been identified as one of the major barriers
to effective strategy implementation. Strategic leadership is defined as the lead-
ers ability to anticipate, envision, and maintain flexibility and to empower others
to create strategic change as necessary. Strategic leadership is multi functional,
involves managing through others, and helps organisations cope with change that
seems to be increasing exponentially in todays globalised business environment.

28
2.10 Marketing strategy implementation
Great strategies are worth nothing if they cannot be implemented . Strat-
egy implementation is important but difficult because implementation activities
take a longer time frame than formulation, involves more people and greater task
complexity, and has a need for sequential and simultaneous thinking on part of
implementation managers. Strategy formulation and implementation are comple-
mentary and logically distinguishable areas of strategic management and part of
the overall process of planning executing and adapting.

Good implementation naturally starts with good strategic input: the soup
is only as good as the ingredients.Whether a strategy itself is consistent and fit-
ting or not is a key question for successful strategy implementation, but even a
consistent strategy cannot be all things to all people. Strategy programs need
to be expanded to focus on the implementation process. More attention should
be given to breaking down lofty statements into practical, actionable, measurable
activities. The language and methods used to implement need to be simplified,
and consistently deployed. Success in implementation is critical to validating the
investment in strategy in the first place. (Allio, 2005)

2.10.1 Management involvement in strategy implementa-

tion
(Heracleous, 2000) also finds that if middle management do not think the
strategy is the right one, or do not feel that they have the requisite skills to imple-
ment it, then they are likely to sabotage its implementation. He refers to groups
within the organization who will inevitably disagree with the strategy. These
groups may sabotage strategy implementation by deliberate actions or inactions,
if implementing the strategy may reduce their power and influence. Thus, Herba-
ceous also sees the perceived ability and perceived consistency between personal
goals and the strategic change goals as the decisive soft factor.

(Waldersee and Sheather, 1996) believe that the approach of matching strat-
egy and managers style ignores the causal role of the organizational context or the

29
interaction of personality and context on implementation actions. It is widely
accepted that different strategies need to be implemented in different ways. Their
study demonstrates, at least in a laboratory setting, that strategy plays a signifi-
cant role in shaping managers intentions. Managers can alter their behaviours to
suit different strategy situation.

(Kim and Mauborgne, 1991) point out that subsidiary top managers want
an open process, that is consistent and fair, and that allows for their input to be
heard. In the presence of a so called due (or open) process, subsidiary managers
are motivated to implement global strategies. They feel a strong sense of organi-
zational commitment, trust in head office management, and social harmony with
their head office counterparts. In the absence of such a due and fair process, the
effect may be the opposite from the intended one.

(Chimhanzi, 2005) suggests that cross unit working relationships have a key
role to play in the successful implementation of marketing decisions. Implementa-
tion effectiveness is affected negatively by conflict and positively by communica-
tion and specifically, interpersonal, not written. In turn, these interdepartmental
dynamics are affected by senior management support, joint reward systems, and
informal integration.

Firms devoting attention to the alignment of marketing and human re-

sources are able to realize significantly greater successes in their strategy imple-
mentation. Specifically, these findings imply that marketing managers should
seek to improve the relationship with their HR colleagues by emphasizing two of
the process based dimensions: joint reward systems and written communication.
(Chimhanzi, 2005)

2.10.2 8S framework of strategy implementation

(Higgins, 2005) sets up an 8s framework of strategy implementation, includ-
ing strategy and purposes structure, resources, shared values, style, staff, systems
and processes, and strategic performance. The 8s of strategy execution is an ap-
proach that enables senior management to enact, monitor, and assess the cross
functional execution of strategies. The 8s of strategy execution are a revision of
the original McKinsey 7s model. Higgins has deleted skills from the McKinsey

30
framework and he has added resources in their place. He also added strategic
performance in order to help focus the strategy execution process. As always, if
there isnt a good match or alignment among these factors, performance in strategy
implementation will suffer.

According to (Jain, 2009): System approach can be defined as, A set of

objects together with the relationships among them and their attributes. System
approach emphasis on the interrelations and interconnections among the com-
ponents of a marketing system in which product, services, money, equipment,
information etc, flow from marketers to customer. These flows largely determine
the survival and growth of a firm. Therefore the focus of system approach is on the
analysis of the marketing flows and communication from markers to the customers.

2.11 Summary
From this chapter we get a brief idea about all topics discussed in the same.
Marketing is important wing of any company. marketing mix help to design an
effective product. Market segmentation help to identify the target customers. Re-
lationship marketing mainly focus on building relationship between company and
customers. For all entities mentioned here needs an effective marketing strategy.

Marketing strategy is a process that can allow an organization to concen-

trate its resources on the optimal opportunities with the goals of increasing sales
and achieving a sustainable competitive advantage. Marketing strategy includes
all basic and longterm activities in the field of marketing that deal with the anal-
ysis of the strategic initial situation of a company and the formulation, evaluation
and selection of market oriented strategies and therefore contributes to the goals
of the company and its marketing objectives.

A good marketing strategy also defines the reason why it is unique or com-
pelling to buyers. It should explain what is the benefit the consumer gets by
purchasing the companys product. It should explain why the customer would
want to buy that particular product from the company and not go to some com-
petitor instead.

Marketing strategy creates pathways to a desirable future. The output from

31
such marketing strategy analysis and choice (or strategic marketing decision) is a
marketing strategy statement. There are several elements of marketing strategy
which is crucial for its formulation, implementation and evaluation. Even though
there are different types of marketing strategy, choosing the best one is vital for
the company.

32
Chapter 3

Data Collection and Analysis

This chapter presents the data collection and analysis.The methodology de-
scribed in Chapter 1 provided the baseline for data gathering. The presentation of
data is systematically linked to the format of self developed questionnaire attached
in the appendix. Descriptive and inferential statistics such as frequencies, tables,
percentage and correlation tests were used in the data analysis and summaries.
Relationships between variables were identified using frequencies, Chi square and
correlation.

The tools used for statistical analysis are

1) Percentage analysis
2) Chi square test
3) Correlation coefficient
4) Weighted average method

3.1 Percentage Analysis

Percentage analysis is the method to represent raw streams of data as a
percentage (a part in 100 - percent) for better understanding of collected data.
 Table 3.1: Gender wise classification

Gender No of respondents Percentage

Male 36 72%
Female 14 28%

Figure 3.1: Gender wise classification

3.1.1 Gender wise classification

Analysis

It can be seen from the table. 3.1 as well as from the figure. 3.1 that out of
50 respondents 72% are male and 28% are females.

Inference

Out of 50 respondents 72% are male. Majority of the respondents of the

study are males.

34
3.1.2 Age wise classification

Table 3.2: Age wise classification

age No of respondents Percentage

20-30 4 8%
31-40 28 56%
41& above 18 36%

Figure 3.2: Age wise classification

Analysis

It can be seen from the Table 3.2 as well as from the above Fig. 3.2 that
out of 50 respondents 8% of the respondents have the age between 20 and30 and
56% of them were aged between 31 and 40. Remaining 36% have age more than
41.

Inference

56% of the respondents have age between 31 and 40. Majority of the re-
spondents are in the age group of 31 and 40.

35
3.1.3 Qualification wise classification

Table 3.3: Qualification wise classification

Qualification No of respondents Percentage

Plus two 2 4%
Degree 30 60%
Technical 6 12%
PG 12 24%

Figure 3.3: Qualification wise classification

Analysis

It can be analyzed from the Table 3.3 out of 50 respondents 4% of the

respondents have the qualification of plus two and 60% of them are graduates.
12% of them were technically qualified and remaining 24% are post graduates.

Inference

Majority of the respondents are graduates.

36
3.1.4 Experience wise classification

Table 3.4: Experience wise classification

Experience No of respondents Percentage

Below 1 year 1 2%
1-5 years 11 22%
6-10 years 16 32%
Above 10 years 22 44%

Figure 3.4: Experience wise classification

Analysis

It can be analyzed from the Table 3.4 that 2% of the respondents have an
experience of below 1 year in the organization. 22% of them have an experience
between 1 to 5 years and 32% of them have an experience of 6 to 10 years. 44%
of the employees have an experience of more than 10 years.

Inference

44% of the employees have an experience of more than 10 years. This

indicates that majority of the KTDC executives are more experienced.

37
3.1.5 Income wise classification

Table 3.5: Income wise classification

Income No of respondents Percentage

5000-10000 2 4%
10001-20000 18 36%
20001-30000 17 34%
Above 30000 13 26%

Figure 3.5: Income wise classification

Analysis

It can be seen from the Table 3.5 as well as from the above Fig. 3.5 that
out of 50 respondents 4% of the respondents have an income between 5000 and
10000 and 36% of them have an income between 10001 and 20000. 34% earns
between 20001 and 30000 it can be seen that 26% of them earn more than 30001
as their income.

Inference

Majority of the respondents have an income between 10001 and 20000.

38
3.1.6 About the clarity in communication

Table 3.6: About the clarity in communication

Response No of respondents Percentage

Strongly agree 12 24
Agree 18 36
Neutral 2 4
Disagree 14 28
Strongly disagree 4 8

Figure 3.6: About the clarity in communication

Analysis

As from the Table 3.6 it can be seen that 24% of the respondents strongly
agree that their brand clearly communicates what they are about and conveys the
highest value which they deliver. 36% of them agree with the same. Here only
4% of the respondents became neutral. 28% of the respondents disagree and 8%
of the respondents strongly disagree with the same. According to them the brand
does not clearly communicates what they are about and conveys the highest value
they deliver.

Inference

36% of the respondents agree that their brand clearly communicates what
they are about and conveys the highest values they deliver. This indicates that
the brand used by KTDC conveys the intended message.

39
3.1.7 Usage of brand identity

Table 3.7: Usage of brand identity

Response No of respondents Percentage

Strongly agree 10 20
Agree 27 54
Neutral 2 4
Disagree 9 18
Strongly disagree 2 4

Figure 3.7: Usage of brand identity

Analysis

As from the Table 3.7 it can be seen that 20% of the respondents strongly
agree that their brand identity is being used in all media. 54% of the respondents
agree with it. Here only 4% of the respondents became neutral. 18% of the
respondents disagree and 8% of the respondents strongly disagree that their brand
identity is not being used in all media.

Inference

54% of the respondents agree that their brand identity is being popularly
used in all media. This indicates that brand messages used are consistently deliv-
ered in all media and thereby creating a popular brand identity.

40
3.1.8 Awareness about profitable customers

Table 3.8: Awareness about profitable customers

Response No of respondents Percentage

Strongly agree 24 48
Agree 12 24
Neutral 1 2
Disagree 8 16
Strongly disagree 5 10

Figure 3.8: Awareness about profitable customers

Analysis

From the Table 3.8 it is seen that 48% of the executives and managers
strongly agreed to the statement that they know their most profitable customers
and they are targeting prospects that look like their best customers. 24% also
accords to the same. While 16% disagreed to the statement and 10% strongly
disagrees to the same.

Inference

KTDC is fully aware about its most profitable customers and they are
targeting such customers and prospects. This shows that KTDC is aware about
its profitable customers and by targeting such customers, KTDC is increasing its
profit.

41
3.1.9 Awareness about customers changing buying behav-
ior

Table 3.9: Awareness about customers changing buying behavior

Response No of respondents Percentage

Strongly agree 6 12
Agree 21 42
Neutral 7 14
Disagree 8 16
Strongly disagree 8 16

Figure 3.9: Awareness about customers changing buying behavior

Analysis

42% agreed to the statement that they are aware about customers changing
buying behavior. 12% strongly agrees to it, 16% disagrees to the statement and
another 16% strongly disagree to the same.

Inference

Majority of the staffs know that customers have changed the way they
find, buy or use KTDCs services and KTDC has adjusted the marketing plan
accordingly. This shows that KTDC changes its marketing plan based on customer
buying behavior.

42
3.1.10 Opinion on up-selling and cross selling

Table 3.10: Opinion on up-selling and cross selling

Response No of respondents Percentage

Strongly agree 5 10
Agree 31 62
Neutral 3 6
Disagree 7 14
Strongly disagree 4 8

Figure 3.10: Opinion on up-selling and cross selling

Analysis

From the Table 3.10 it is seen that 62% of the staffs agreed to the state-
ment that they are actively up-selling and cross selling services to their current
customers. 14% disagrees to it while 10% strongly agrees to the statement. 8%
strongly disagrees to it.

Inference

Majority of the staffs agrees to the statement which shows that the sales
tools and marketing plan adopted are very well supporting the sales activity.
KTDC has got active sales agents who enhances the up-selling and cross selling
activity.

43
3.1.11 Key marketing messages that is consistently deliv-
ered in media

Table 3.11: Key marketing messages that is consistently delivered in media

Response No of respondents Percentage

Strongly agree 7 14
Agree 21 42
Neutral 10 20
Disagree 7 14
Strongly disagree 5 10

Figure 3.11: Key marketing messages

Analysis

From the Table 3.11 it is seen that 42% of staffs agreed to the statement
that they have key marketing messages that they are consistently delivering in all
media. 14% strongly agrees to the statement and an equal number disagrees to it.
10% strongly disagrees to the statement. 20% remained neutral to the statement.

Inference

KTDC have key marketing messages that they are consistently delivering
in all media. This ensures wider reach and visibility to the brand, offers, services
etc

44
3.1.12 Experience customers have while interacting with
employees

Table 3.12: Experience customers have while interacting with employees

Response No of respondents Percentage

Strongly agree 17 34
Agree 15 30
Neutral 2 4
Disagree 10 20
Strongly disagree 6 12

Figure 3.12: Experience customers have while interacting with employees

Analysis

Table 3.12 shows that 34% of the employees strongly agreed to the state-
ment that the messages delivered in all media matches the experience customers
have when they interact with KTDCs staff. 30% agreed to it while an equal
number disagreed to the same. Only 12% strongly disagreed to the statement.

Inference

The experience customers have while interacting with the employees matches
with the key messages that is being delivered in all media. The staffs of KTDC
are well trained and customer friendly. Training given to employees by KTDC
ensures that a standardized service is given to all customers.

45
3.1.13 Targeting of messages to specific market segments

Table 3.13: Targeting of messages to specific market segments

Response No of respondents Percentage

Strongly agree 12 24
Agree 18 36
Neutral 4 8
Disagree 10 20
Strongly disagree 6 12

Figure 3.13: Targeting of messages to specific market segments

Analysis

From the Table 3.13 it is seen that 36% of the employees agreed to the
statement that they are tailoring messages to specific market segments when they
have an opportunity to do so. 24% strongly agreed to it, while 20% disagreed
to the statement. 12% strongly disagreed to the statement while 8% remained
neutral about the same.

Inference

Majority of the employees agreed to the statement that they are tailoring
messages to specific to market segments when they have an opportunity to do so.
This means marketing tactics used are flexible.

46
3.1.14 Opinion on shifting marketing to new channels

Table 3.14: Opinion on shifting marketing to new channels

Response No of respondents Percentage

Strongly agree 18 36
Agree 22 44
Neutral 1 2
Disagree 8 16
Strongly disagree 1 2

Figure 3.14: Opinion on shifting marketing to new channels

Analysis

As from the Table 3.14 it can be seen that 36% of the respondents strongly
agree that it is time to shift some or more of their marketing to new channels
such as social media and mobile marketing. 44% of them agree with the same.
Here only 2% of the respondents became neutral. 16% of the respondents disagree
with this and it 2% of the respondents strongly disagree that it is time to shift
some or more of their marketing to new channels such as social media and mobile
marketing.

Inference

36% of the respondents agree that it is time to shift some or more of their
marketing to new channels such as social media and mobile marketing. This shows
that KTDC has realized the importance of new marketing channels and they are
in phase to shift to some of their marketing to new channels.

47
3.1.15 Opinion on maximizing the value

Table 3.15: Opinion on maximizing the value

Response No of respondents Percentage

Strongly agree 5 10
Agree 29 58
Neutral 2 4
Disagree 9 18
Strongly disagree 5 10

Figure 3.15: Opinion on maximizing the value

Analysis

As from the Table 3.15 it can be seen that 10% of the respondents strongly
agree that they are maximizing the value of the proprietary channels they control,
such as newsletters, invoices, product packaging and inserts, vehicles and build-
ings. 58% of them agree with the same. Here only 4% of the respondents became
neutral. 18% of the respondents disagree and 10% of the respondents strongly
disagree with this.

Inference

58% of the respondents agree that they are maximizing the value of the
proprietary channels they control, such as newsletters, invoices, product packaging
and inserts, vehicles and buildings. KTDC has got several marketing tools and
they are utilizing it effectively.

48
3.1.16 Opinion on marketing tactics

Table 3.16: Opinion on marketing tactics

Response No of respondents Percentage

Strongly agree 18 36
Agree 20 40
Neutral 1 2
Disagree 9 18
Strongly disagree 2 4

Figure 3.16: Opinion on marketing tactics

Analysis

It can be seen from the Table 3.16, that 36% of the respondents strongly
agree that the marketing tactics are generating the best results- leads, conversions
or sales at the lowest cost.40% of them agree with the same. Here only 2% of
the respondents became neutral. 18% of the respondents disagree and 4% of the
respondents strongly disagree with this.

Inference

36% of the respondents agree that the marketing tactics are generating the
best results- leads, conversions or sales at the lowest cost. This indicates that the
marketing tactics used is very effective.

49
3.1.17 Integration of social media into traditional market-
ing

Table 3.17: Integration of social media into traditional marketing

Response No of respondents Percentage

Strongly agree 21 42
Agree 20 40
Neutral 1 2
Disagree 4 8
Strongly disagree 4 8

Figure 3.17: Integration of social media into traditional marketing

Analysis

From the Table 3.17 it can be seen that 42% of the respondents strongly
agree that they are integrating social media into traditional marketing tactics like
direct mail and advertising. 40% of them agree with the same. Here only 2% of
the respondents became neutral. 8% of the respondents disagree and 8% of the
respondents strongly disagree with this.

Inference

42% of the respondents agree that they are integrating social media into
traditional marketing tactics like direct mail and advertising. This shows that
KTDC understands the importance of social media in marketing its products and
they are integrating the same into traditional marketing tactics like direct mail
and advertising.

50
3.1.18 Opinion on creativity used

Table 3.18: Opinion on creativity used

Response No of respondents Percentage

Strongly agree 13 26
Agree 27 54
Neutral 1 2
Disagree 8 16
Strongly disagree 1 2

Figure 3.18: Opinion on creativity used

Analysis

From the above it can be seen that 26% of the respondents strongly agree
that their creative is attention getting and it stands out in a crowded market place.
54% of them agree with the same. Only 2% of the respondents became neutral.
16% of the respondents disagree and 2% of the respondents strongly disagree with
this.

Inference

54% of the respondents agree that their creative is attention getting and it
stands out in a crowded market place. The creative designs or features used in ads,
brochure etc are attention getting and it is unique which makes it to differentiate
from its competitors.

51
3.1.19 Clarity of marketing materials used

Table 3.19: Clarity of marketing materials used

Response No of respondents Percentage

Strongly agree 15 30
Agree 17 34
Neutral 5 10
Disagree 9 18
Strongly disagree 4 8

Figure 3.19: Clarity of marketing materials used

Analysis

As from the above it can be seen that 30% of the respondents strongly agree
that their call to action is loud and clear and their prospects know exactly what
to do next after reviewing their marketing materials. 36% of them agree with
the same. Here 10% of the respondents became neutral. 18% of the respondents
disagree and 8% of the respondents strongly disagree with this.

Inference

36% of the respondents agree that their call to action is loud and clear.
Their prospects know exactly what to do next after reviewing their marketing
materials. This indicates that messages conveyed in marketing material are ap-
propriate and very clear.

52
3.1.20 Resonance of offers

Table 3.20: Resonance of offers

Response No of respondents Percentage

Strongly agree 25 50
Agree 20 40
Neutral 0 0
Disagree 4 8
Strongly disagree 1 2

Figure 3.20: Resonance of offers

Analysis

As from the above it can be seen that 50% of the respondents strongly agree
that their offer is resonating with prospects and more and more people saying yes.
40% of them agree with the same. Here none of the respondents became neutral.
8% of the respondents disagree and 2% of the respondents strongly disagree with
this.

Inference

50% of the respondents strongly agree that their offer is resonating with
prospects and more and more people are saying yes. The offers are made based
on the customer buying behavior and they are effective.

53
3.1.21 Effectiveness of offers

Table 3.21: Effectiveness of offers

Response No of respondents Percentage

Strongly agree 8 16
Agree 32 64
Neutral 1 2
Disagree 8 16
Strongly disagree 1 2

Figure 3.21: Effectiveness of offers

Analysis

As from the above it can be seen that 16% of the respondents strongly agree
that their offers showcase their products, 64% of them agree with this. Here only
2% of the respondents became neutral. 16% of the respondents disagree that their
offers showcase their products and remaining 2% exhibit a strong disagreement
regarding this.

Inference

64% of the respondents agree that their offers showcase their products. The
brochures, ads and other marketing materials used showcases different products of
KTDC. These are consistently delivered in all media which ensures that marketing
messages delivered are same.

54
3.1.22 Role of offers in the product value

Table 3.22: Role of offers in the product value

Response No of respondents Percentage

Strongly agree 8 16
Agree 28 56
Neutral 2 4
Disagree 7 14
Strongly disagree 5 10

Figure 3.22: Role of offers in the product value

Analysis

As from the above it can be seen that 16% of the respondents strongly agree
that their offer delivers real value to the prospect. 56% of them agree with this.
Here only 4% of the respondents became neutral. 14% of the respondents disagree
and 10% of the respondents strongly disagree that their offer delivers real value
to the prospect.

Inference

56% of the respondents agree that their offer delivers real value to the
prospect. The offers made are based on the buying behavior of customer and they
are effective.

55
3.1.23 Sales brochure attributes

Table 3.23: Sales brochure attributes

Response No of respondents Percentage

Strongly agree 13 26
Agree 29 58
Neutral 2 4
Disagree 3 6
Strongly disagree 3 6

Figure 3.23: Sales brochure attributes

Analysis

It can be seen from the above that 26% of the respondents strongly agree
that their sales brochures displays and sales demonstration tools are accurate,
complete and up to date. 58% of them agree with this. Here only 4% of the
respondents became neutral. 6% disagrees to the statement and an equal number
strongly disagree to the same

Inference

58% of the respondents agree that their sales brochures displays and sales
demonstration tools are accurate, complete and up to date.

56
3.1.24 Integration of sales tools

Table 3.24: Integration of sales tools

Response No of respondents Percentage

Strongly agree 19 38
Agree 12 24
Neutral 8 16
Disagree 7 14
Strongly disagree 4 8

Figure 3.24: Integration of sales tools

Analysis

As from the above it can be seen that 38% of the respondents strongly agree
that their sales tools are integrated with their brand and marketing campaigns.24%
of them agree with the same. Here 16% of the respondents became neutral. 14%
of the respondents disagree and 8% of the respondents strongly disagree with this.

Inference

38% of the respondents strongly agree that their sales tools are integrated
with their brand and their marketing campaigns. This indicates that marketing
strategy is made by inter connecting marketing elements.

57
3.1.25 About the need of new tools

Table 3.25: About the need of new tools

Response No of respondents Percentage

Strongly agree 10 20
Agree 25 50
Neutral 2 4
Disagree 10 20
Strongly disagree 3 6

Figure 3.25: About the need of new tools

Analysis

As from the above it can be seen that 20% of the respondents strongly agree
that they need new tools to educate prospects about their industry or products.
50% of them agree with the same. Here only 4% of the respondents became
neutral. 20% of the respondents disagree and 6% of the respondents strongly
disagree with this.

Inference

50% of the respondents agree that they need new tools to educate prospects
about their industry or products. New tools can be used to increase brand visibility
and also to increase awareness about the products among customers.

58
3.1.26 About the capturing of customer and prospect data

Table 3.26: About the capturing of customer and prospect data

Response No of respondents Percentage

Strongly agree 9 18
Agree 18 36
Neutral 4 8
Disagree 12 24
Strongly disagree 7 14

Figure 3.26: About the capturing of customer and prospect data

Analysis

As from the above it can be seen that 18% of the respondents strongly agree
that they are capturing customer and prospect data to build a robust marketing
database. 36% of them agree with the same. Here 8% of the respondents became
neutral. 24% of the respondents disagree and 14% of the respondents strongly
disagree with this.

Inference

36% of the respondents agree that they are capturing customer and prospect
data to build a robust marketing database. This indicates that KTDC uses rela-
tionship marketing to retain customers.

59
3.1.27 About the compiling of email address

Table 3.27: About the compiling of email address

Response No of respondents Percentage

Strongly agree 13 26
Agree 30 60
Neutral 3 6
Disagree 2 4
Strongly disagree 2 4

Figure 3.27: About the compiling of email address

Analysis

As from the above it can be seen that 26% of the respondents strongly agree
that they are compiling email address for an ongoing sales dialogue. 60% of them
agree with the same. Here 6% of the respondents became neutral. 4% strongly
disagreed to it and an equal number disagreed to the same.

Inference

60% of the respondents agree that they are compiling email address for an
ongoing sales dialogue. This indicates that KTDC is using relationship marketing
to retain customers.

60
3.1.28 About the website

Table 3.28: About the website

Response No of respondents Percentage

Strongly agree 17 34
Agree 18 36
Neutral 1 2
Disagree 10 20
Strongly disagree 4 8

Figure 3.28: About the website

Analysis

As from the above it can be seen that 34% of the respondents strongly agree
that their website is build around the needs and interest of its visitors. 36% of
them agree with the same. Here only 2% of the respondents became neutral. 20%
of the respondents disagree and 8% of the respondents strongly disagree with this.

Inference

36% of the respondents agree that their website is build around the needs
and interest of its visitors. KTDC has build its website in such a way that required
informations are easily accessible for the visitors.

61
3.1.29 SEO of website

Table 3.29: SEO of website

Response No of respondents Percentage

Strongly agree 13 26
Agree 15 30
Neutral 4 8
Disagree 13 26
Strongly disagree 5 10

Figure 3.29: SEO of website

Analysis

30% of the employees agreed that the KTDCs site is fully optimized for
search engines. 26% strongly agreed to the statement and an equal number dis-
agreed to the same. 10% strongly disagreed to it and 8% remained neutral.

Inference

Majority of the employees agrees that KTDCs site is fully optimized for
search engines. This shows that KTDC has given importance for internet market-
ing.

62
3.1.30 Focusing of marketing campaigns

Table 3.30: Focusing of marketing campaigns

Response No of respondents Percentage

Strongly agree 11 22
Agree 19 38
Neutral 2 4
Disagree 10 20
Strongly disagree 8 16

Figure 3.30: Focusing of marketing campaigns

Analysis

As from the above it can be seen that 22% of the respondents strongly agree
that they are understand the factors buyer consider when selecting their product
or service and they are focusing their marketing campaigns on those factors. 38%
of them agree with this. Here only 4% of the respondents became neutral. 20% of
the respondents disagree and 16% of the respondents strongly disagree with this.

Inference

38% of the respondents agree that they are understand the factors buyer
consider when selecting their product or service and they are focusing their mar-
keting campaigns on those factors. This shows that KTDC caters to the needs of
customers.

63
3.2 Chi Square test
The Chi-Square distribution is merely the distribution of the sum of the
squares of a set of normally distributed random variables. Its value stems from
the fact that the sum of random variables from any distribution can be closely
approximated by a normal distribution as the sum includes a greater and greater
number of samples. Thus the test is widely applicable for all distributions.

The chi- square test is one of the simplest and most widely used non-
parametric test in statistical work. The symbol is the Greek letter Chi. The chi
square test was first used by Karl Pearson in the year 1990. The quantity of 2
describes the magnitude of the discrepancy between theory and observation. It is
defined where O refers to the observed frequencies and E refers to the expected
frequencies.

3.2.1 Test of independence

With the help of chi-square test we can find out whether two or more at-
tributes are associated or not. In order to test whether or not the attributes are
associated, we take the null hypothesis that there is no association in the attributes
under study or, in other words , the attributes are independent.

Table 3.31: Contingency Table

Response SA A N D SD Total
Strongly agree 4 5 1 2 0 12
Agree 15.42 26 2 6.58 2 52
Neutral 4.5 4 0 1.5 3 13
Disagree 0 5 2 6 1 14
Strongly Disagree 2 2 1 2.16 1.84 9
Total 25.92 42 6 18.24 7.84 100

In the Table 3.31

SA= Strongly Agree
A= Agree
N= Neutral
D= Disagree
SD= Strongly Disagree

64
 The response given vertically in the Table 3.31 refers to that of marketing
channel and response given horizontally in the Table 3.31 refers to that of mar-
keting strategies.

Hypothesis 1

Ho: There is no significant difference between efficiency of marketing chan-

nel and marketing strategies.

H1: There is significant difference between efficiency of marketing channel

and marketing strategies

Table 3.32: Observation Table for Hypothesi 1

OBSERVED EXPECTED (O-E) (O E)2 CHI-CONTRIBUTION

4 3.11 0.89 0.7921 0.254695
5 5.04 -0.04 0.0016 0.000317
1 0.72 0.28 0.0784 0.108889
2 2.188 -0.188 0.035344 0.016154
0 0.94 -0.94 0.8836 0.94
15.42 13.478 1.942 3.771364 0.279816
26 21.84 4.16 17.3056 0.792381
2 3.12 -1.12 1.2544 0.402051
6.58 9.48 -2.9 8.41 0.887131
2 4.076 -2.076 4.309776 1.057354
4.5 3.36 1.14 1.2996 0.386786
4 5.46 -1.46 2.1316 0.390403
0 0.78 -0.78 0.6084 0.78
1.5 2.37 -0.87 0.7569 0.319367
3 1.02 1.98 3.9204 3.843529
0 3.62 -3.62 13.1044 3.62
5 5.88 -0.88 0.7744 0.131701
2 0.84 1.16 1.3456 1.601905
6 2.55 3.45 11.9025 4.667647
1 1.09 -0.09 0.0081 0.007431
2 2.33 -0.33 0.1089 0.046738
2 3.78 -1.78 3.1684 0.838201
1 0.54 0.46 0.2116 0.391852
2.16 1.61 0.55 0.3025 0.187888
1.84 0.705 1.135 1.288225 1.82727
23.77951

65
 Calculated Chi- Square value from the table 3.32 is 23.77951

Degree of freedom = (r-1) (c-1) = (5-1) (5-1) = 16

Table value of Chi square for 4 degree of freedom at 5% level of significance

= 24.996

Inference

When tested at 5% level of significance it is found that the table value

is higher than the calculated value. So null hypothesis is accepted. Hence it is
concluded that there is no significant difference between efficiency of marketing
channel and marketing strategies.

Figure 3.31: Chart of observed and expected values

Hypothesis 2

Ho: There is no significant difference between gender and opinion about

marketing strategy.

H1: There is significant difference between gender and opinion about mar-
keting strategy.

Observed and expected value for testing the current hypothesis can be re-
ferred from Table 3.33

66
 Table 3.33: Analysis Table

Observed Expected (O-E) (O E)2 Chi-contribution

16.4 18.66 -2.26 5.1076 0.273719
29 30.24 -1.24 1.5376 0.050847
4 4.32 -0.32 0.1024 0.023704
16.76 13.132 3.628 13.162384 1.002314
5.84 5.64 0.2 0.04 0.007092
9.52 7.25 2.27 5.1529 0.710745
13 11.76 1.24 1.5376 0.130748
2 1.68 0.32 0.1024 0.060952
1.48 5.1 -3.62 13.1044 2.56949
2 2.192 -0.192 0.036864 4.829611
9.659222

Chi- Square value calculated from the Table 3.33 is 9.659222

Degree of freedom =(r-1) (c-1) =(2-1) (5-1) = 4

Table value 2 for 4 degree of freedom at 5% level of significance = 9.488

Inference

When tested at 5% level of significance it is found that the table value is

less than the calculated value. So null hypothesis is rejected. Hence it is concluded
that there is significant difference between gender and opinion about marketing
strategy.

3.2.2 Test of Goodness of Fit

Chi- Square test enables us to see how well the assumed theoretical distri-
bution fits to the observed data. When some theoretical distribution fitted to the
given data, we are always interested in knowing as to how well this distribution
fit with the observed data. The Chi- Square test can give answer to this. If the
calculated value of Chi- Square is less than the table value at a certain level of sig-
nificance, the fit is considered to be a good one which means that the divergence
between the observed and expected frequencies is attributable to fluctuation of
sampling. But if the calculated value of 2 is greater than its table value, the fit
is not considered to be good one.

67
Hypothesis 3

H0: There is goodness-of-fit between the opinion about integration of social

Media into traditional marketing tactics like direct mail and advertisement.

H1: There is no goodness-of-fit between the opinion about integration of

social Media into traditional marketing tactics like direct mail and advertisement.

Refer Figure 3.31 for this hypothesis testing.

Table 3.34: 2 goodness-of-fit test for observed counts in variable

Category Observed Test proportion Expected -contribution

1 21 0.2 10 12.1
2 20 0.2 10 10
3 1 0.2 10 8.1
4 7 0.2 10 0.9
5 1 0.2 10 8.1
N=50 39.2

Degree of freedom = (n-1) = (5-1) = 4

Chi-Square value obtained from the Table 3.34 is 39.2

p- value 0.000

Table value 2 for 4 degree of freedom at 5% level of significance = 9.488

Inference

When tested at 5% level of significance it is found that the table value is

less than the calculated value. So null hypothesis is rejected.

Hence it is concluded that there is no goodness-of-fit between the opinion

about integration of rural Media into traditional marketing tactics like direct mail
and advertisement

68
 Figure 3.32: Chart of contribution to chi-square value by category

3.3 Correlation Coefficient

In statistics, dependence refers to any statistical relationship between two
random variables or two sets of data. Correlation refers to any of a broad class of
statistical relationships involving dependence.

The most familiar measure of dependence between two quantities is the

Pearson product-moment correlation coefficient, or Pearsons correlation coeffi-
cient, commonly called simply the correlation coefficient. It is obtained by
dividing the covariance of the two variables by the product of their standard de-
viations.

Correlation coefficient is an algebraic method of measuring correlation. Un-

der this method, we measure correlation by finding a value known as the coefficient
of correlation using an appropriate formula. Correlation coefficient is a numerical
value. It shows the degree or the extent of correlation between two variables.

Hypothesis 4

Ho: There is no association between opinion about sales tools are integrated
with brand and marketing strategies

H1: There is association between opinion about sales tools are integrated
with brand and marketing strategies

69
 Refer Table 3.35 for this hypothesis testing.

In the Table 3.35

x= Sales tools

y= Marketing Strategies.

Table 3.35: Observation Table

Response x y xy x2 y2
Strongly agree 19 25.92 492.48 361 671.8464
Agree 12 42 504 144 1764
Neutral 8 6 48 64 36
Disagree 7 18.24 127.68 49 332.6976
Strongly Disagree 4 7.84 31.36 16 61.4656
Total 50 100 1203.52 634 2866.01

Inference

It can be seen that the calculated coefficient of correlation is 0.597438687.

Hence we accept the null hypothesis. There is no association between opinion
about sales tools are integrated with brand and marketing strategies.

70
3.4 Weighted Average Method
Weighted average is an average in which each quantity to be averaged is
assigned a weight. These weightings determine the relative importance of each
quantity on the average. Weightings are the equivalent of having that many like
items with the same value involved in the average.

In this study we have taken four factors whose prime importance have to
be understood. The factors considered are communication, marketing channel,
search engine and marketing campaign. By using weighted average method the
ranking of factors is done.

Table 3.36: Attribute Response Table

Sl.No Attributes x1 x2 x3 x4 Total

1 Strongly agree 24 10 20 38 92
2 Agree 36 58 30 24 148
3 Neutral 4 4 16 16 40
4 Disagree 28 18 26 14 86
5 Strongly Disagree 8 10 8 8 34
Total 100 100 100 100 400

In the Table 3.36

x1 = Communication,

x2 = Marketing channel,

x3 = Search engine,

x4 = Marketing campaign.

Formula for weighted average method is

Weighted average = Wx/W

W = Number of respondents

x = Rating given by the respondents.

71
 Based on the formula Table 3.37 is tabulated.

Table 3.37: Weighted Average of Attributes

x W x1 Wx1 x2 Wx2 x3 Wx3 x4 Wx4

1 5 24 120 10 50 20 100 38 190
2 4 36 144 58 232 30 120 24 96
3 3 4 12 4 16 16 48 16 48
4 2 28 56 18 36 26 52 14 28
5 1 8 8 10 10 8 8 8 8
Total 100 340 100 344 100 328 100 370

Inference

From the table 3.37, it is found that combined weighted average of attributes
i.e, communication, marketing channel, search engine and marketing campaign
are 3.4, 3.44, 3.28 and 3.7 respectively. Hence marketing campaign is ranked 1st,
marketing channel is ranked 2nd , communication ranked 3rd, and search engine
ranked 4th. This analysis shows that marketing campaign is the pivotal entity of
marketing strategies.

72
Chapter 4

Findings and Suggestions

This chapter presents the findings and suggestions. The major findings
derived from data analysis and interpretation are presented here. The suggestions
discussed here will provide a framework for KTDC to develop a new marketing
plan.

4.1 Findings
On analysis, the following trends and profiles were noted.

4.1.1 Demographic profile

72% of the respondents are males.

60% of the respondents are graduates.

56% of the respondents are aged between 31 and 40.

44% of the respondents have more than 10 years of experience.

36% of the respondents earn between 10001 and 20000.

4.1.2 Findings related to marketing strategies

36% of the respondents agree that their brand clearly communicates what
they are and conveys the highest value they deliver. This indicates that the
brand used by KTDC conveys the intended message.
 54% of the respondents agree that KTDCs brand identity is being popularly
used in all media. The major medias used by KTDC are Travel magazines,
brochures, television commercials, internet (social media, websites, other
travel forums) etc

KTDC is fully aware about its most profitable customers and they are target-
ing such customers and prospects. This shows that KTDC is aware about its
profitable customers and by targeting such customers, KTDC is increasing
its profit.

42% of the respondents agree that the customers changed the way find, buy,
or use KTDCs product or service and they have adjusted their marketing
plan accordingly. The Internet has changed everything. Population with
Internet access use it to decide where to travel, where to live, where to work
or where to establish a business. Hence KTDC considers internet as their
major marketing priority.

62% of the respondents agree that they are actively up selling and cross sell-
ing products and services to their current customers. eg:- The tourists vis-
iting Kovalam gets brochure about Thenmala Eco Tourism, Bolgatti Palace
and other tourists attraction in Kerala. Here there is active cross selling of
products.

42% of the respondents agree that they have three to five key marketing
messages that they are consistently delivered in all media. KTDC mainly
showcases the location, facilities provided and other related items. These
are consistently delivered in all media.

34% of the respondents strongly agree that their marketing messages match
the experience customers have when they interact with their staff. The
training given to the employees ensures that they deliver a standardized
service to all customers.

36% of the respondents agree that they are tailoring messages to specific
segments when they have the opportunity to do so. This means marketing
tactics used are flexible. KTDC has got different products and each caters
to a specific market segment. eg: Premium Hotels for upper class customers,
Tamarind Easy Hotels for middle class customers etc.

74
 36% of the respondents agree that it is time to shift some or more of their
marketing to new channels such as social media and mobile marketing. Pop-
ulation which has access to internet use the same for almost all activities.
Whether it be a job, a place to travel or anything, they rely on internet.
Social media has now become a platform for discussing and sharing the
travel experience. So it became necessary to shift some of marketing to new
channels such as social media and mobile marketing.

58% of the respondents agree that they are maximizing the value of the pro-
prietary channels they control, such as newsletters, invoices, product pack-
aging and inserts, vehicles and buildings. KTDC has got several marketing
tools and they are utilizing it effectively.

36% of the respondents agree that the marketing tactics are generating the
best results- leads, conversions or sales at the lowest cost. This indicates
that the marketing tactics used is very effective.

42% of the respondents agree that they are integrating social media into
traditional marketing tactics like direct mail and advertising. This shows
that KTDC understands the importance of social media in marketing its
products and they are integrating the same into traditional marketing tactics
like direct mail and advertising.

54% of the respondents agree that their creative is attention getting and it
stands out in a crowded market place. The creative designs or features used
in ads, brochure etc are attention getting and it is unique which makes it to
differentiate from its competitors. Products are also designed in such a way
that it is attention getting. eg: Rain tourism ads, Eco Tourism ads etc

36% of the respondents agree that their call to action is loud and clear.
Their prospects know exactly what to do next after reviewing their market-
ing materials. This indicates that messages conveyed in marketing material
are appropriate and very clear. eg: KTDC Hotel Tariff brochure contains
major tourist sites in Kerala, KTDC hotels near to the same, tariff, facil-
ities provided in hotels, contact numbers, addresses, road map etc... The
marketing materials contains all necessary information at a glance.

50% of the respondents strongly agree that KTDCs offer is resonating with
prospects and more and more people saying yes. KTDCs offers are tailored

75
 according to the market segment. The offers are made based on the customer
buying behavior and they are effective.

64% of the respondents agree that their offers showcase their products. The
brochures, ads and other marketing materials used showcases different prod-
ucts of KTDC. These are consistently delivered in all media which ensures
that marketing messages delivered are same.

56% of the respondents agree that their offer delivers real value to the prod-
uct. KTDC hotels gives more value to the customers. The amenities, facili-
ties etc provided are worth the money spend by each customer. In order to
cater to all market segments, KTDC hotels are designed accordingly. Eg:-
Premium Hotels, Tamarind Easy Hotels, Budget Hotels etc.

58% of the respondents agree that their sales brochures displays and sales
demonstration tools are accurate, complete and up to date. This shows that
KTDC updates its sales displays and sales demonstration tools frequently,
thereby making them matching with the market needs.

Majority of the of the respondents strongly agree that their sales tools are
integrated with their brand and their marketing campaigns. This indicates
that marketing strategy is made by inter connecting marketing elements.

50% of the respondents agree that they need new tools to educate prospects
about their industry or products. New tools can be used to increase brand
visibility and also to increase awareness about the products among cus-
tomers.

60% of the respondents agree that they are compiling email address for an
ongoing sales dialogue. This is a part of strategy used by KTDC to retain
customers. Customer acquisition is more costly than customer retention.
By using emails, new products and offers are send to the customers. This is
done to get the attention of customers for an ongoing sales dialogue which
may create a repeat customer in future.

36% of the respondents agree that their website is build around the needs
and interest of its visitors. KTDC has build its website in such a way that
required informations are easily accessible for the visitors.

30% of the respondents agree that their site is fully optimized for search
engines. Search engine optimization helps the website to be listed in first

76
 page of search engines. This shows that KTDC has given importance for
internet marketing.

38% of the respondents agree that they are understand the factors buyer
consider when selecting their product or service and they are focusing their
marketing campaigns on those factors. Tourists want to have a great expe-
rience once they visit the place, so when they look in to the ads, they want
to have similar experiences which the people portrayed in the ad had. Eg:-
In Rain tourism ad, a couple enjoying the rain in house boat was shown. So
naturally when a potential customer look at the same, he wants to have a
similar experience and that is the purpose of his visit.

Marketing channels used are in accordance with the marketing strategies

implemented. Marketing channels used include print media, television, mar-
keting campaigns etc. The main goal of marketing strategy is to increase
the profit. By using the marketing channels effectively the goal is achieved.

Social media is integrated with traditional marketing tactics like direct mail
and advertising. Social media has now become a platform for sharing travel
experience and hence Social media is integrated with traditional marketing
tactics like direct mail and advertising.

There is significant difference between gender and opinion about market-

ing strategies. Majority of the respondents are males, so in this study we
have got opinion about marketing strategies mainly from a male employee
perspective.

Out of the marketing tools used marketing campaign is the pivotal entity.
Marketing campaign has always been a important tool to market Kerala
Tourism activities. Marketing campaign helped to increase the awareness
about Kerala Tourism among potential and existing customers.

4.2 Suggestions
From the above findings following suggestions are put forward.
To improve the internal marketing
Based on the discussions in Sections 3.1.8, 3.1.9 and 3.1.12,

Company should have staff meetings to keep the employees up dated on

the hotels marketing objectives and upcoming marketing actions. Give clear

77
 instructions and authorization so that the employees are aware of their duties
and what they are allowed to do in different customer related situations.

Lower to middle-level front-line officials of Central and States Tourism De-

partments including those posted in tourist offices are usually in regular
contact with the tourists may be given accessibility-specific training.

To improve the customer retention practices

Based on the discussions in Sections 3.1.20, 3.1.26 and 3.1.27 .

In order to take into account the seasonality in customer flows, market seg-
mentation should be done more effectively. More effort should be put into
taking care of the regular customers.Partner with the expert players in the
tourism industry as a whole to gain from their experience.

Develop a loyal customer program: Gather and maintain a list of items or

other bonuses that the loyal customer can receive; discount on the room
rate, better room type, chocolates/ other items delivered to the room before
arrival.

By contacting the customer for example by email and thanking for the feed-
back and promising to take it into account of their feedback makes the
customer feel more in contact with the hotel. Responding to the feedback
also gives an image of the hotel that it wants to be involved.

To improve the effective utilization of marketing channels

Based on the discussions in Sections 3.1.14, 3.1.30, 3.1.24 and 3.1.23.

Plan and develop different kinds of marketing campaigns and offers. Create
and develop new campaigns on monthly bases. They can be derived for
example from the different seasons or holidays. They can be directed to
specific customer group. Market these campaigns on the companys web
pages. Create and develop new campaigns on monthly bases.

Descriptive brochures and images about tourism activities, which relate to

its special qualities and is tailored to target markets, should be prepared for
use in destination marketing vehicles.

Optimize the marketing materials for mobile as 20% of all web traffic comes
from mobile.

78
 Visitor information kiosks can offer the information visitors need 24 hours a
day/7 days a week. Besides having kiosks at the rest areas, they should be
placed strategically throughout the county so that they can cross-promote
activities, events, attractions and amenities. The more visitors see there is
to do in the county, the longer they will stay and the more money they will
spend. Every site should cross-sell to other sites, attractions and amenities.
Kiosks come in all shapes and sizes - they should be designed to fit the
character of the town or location. Maintain and stock them regularly. Keep
the information up-to-date.

Promote activities, not just scenic vistas and ambiance. When people see
others doing fun activities in a great setting, it is easy for them to imagine
themselves there too. Promote people over places.

Promote experiences over locations. Location is always second to the ac-

tivity, people are looking for things to do first, then they will consider the
general location second. Visitors do not really care about boundaries - it
does not matter if they are in a specific region, county, district, city or town.

Promote the EXPERIENCE.Brands are perceptions, and the perception is

based on what people expect to experience. Base the brand on activities
that is what people are looking for. Great photography that shows people
having a great time helps your potential visitors imagine themselves doing
the same thing.

To improve the Internet marketing

Based on the Sections 3.1.17, 3.1.27 and 3.1.28.

Internet has a pivotal role in getting more customers; hence the full potential
of Internet should be used. The following suggestions will help for the same.
a) Customers have a mindset to book or check in hotels that first come in
the google search and map results. Hence dominate google local search and
map results.
b) Social media should be used to give relevant updates. Communicate with
social media audience via relevant and engaging content.
c) Email marketing continues to be an effective tool for staying top of mind
with customers which leads to better retention. Email campaigns are also
helpful. Also include a link to company website in the email signatures.

79
d) Be active in relevant travel & hotel communities.
e )Create videos and distribute online, also add the same to own website.
f) Conduct online contests, give discounts and exclusive packages to winners.

80
Chapter 5

Conclusions

In this project the effectiveness of marketing elements such as brand, mar-

keting messages, marketing channels, marketing tactics, creative approaches, of-
fers, sales tools, data and website had been studied from the view point of em-
ployees. From the study it is understood that the organisation needs to improve
its marketing channels and marketing tactics. This project strongly recommends
that the organisation should improve its internal marketing, innovative customer
retention practices, Internet marketing and use of marketing channels. Results of
analyses in this project report show that any organization in travel and tourism
industry should update its facilities. It should take steps forward to gain new cus-
tomer groups. It should also adopt a new approach to keep the customers satisfied
and to retain them.
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Appendix
Questionnaire
Title: A study on internal perspective of marketing strategies im-
plemented by KTDC

Personal details
Gender:  Male  Female

Age: 20-30 31-40 41 and above

Qualification: Plus Two Degree Technical PG

Experience: Less than 1 year 1-5 years 6-10 years  Above 10

Years

Income: 5000-10000 10001-20000 20001-30000 Above 30000

1.The brands used by KTDC clearly communicates what they are about
and convey the highest value they deliver

Strongly agree Agree Neutral Disagree  Strongly disagree

2.The brand identity is being popularly used in all media

Strongly agree Agree Neutral Disagree  Strongly disagree

3.KTDC know its most profitable customers and they are targeting prospects
that look like their best customer

Strongly agree Agree Neutral Disagree  Strongly disagree

4.Customers changed the way they find, buy, or use KTDCs product or
service and KTDC have adjusted its marketing plan accordingly

Strongly agree Agree Neutral Disagree  Strongly disagree

 5.KTDC is actively up-selling and cross-selling products and services to
their current customers

Strongly agree Agree Neutral Disagree  Strongly disagree

6.KTDC have three to five key marketing messages that theyre consistently
delivering in all media

Strongly agree Agree Neutral Disagree  Strongly disagree

7.These messages match the experience customers have when they interact
with KTDCs staff

Strongly agree Agree Neutral Disagree  Strongly disagree

8.KTDC is tailoring messages to specific market segments when they have

the opportunity to do so

Strongly agree Agree Neutral Disagree  Strongly disagree

9.It is time to shift some or more of KTDCs marketing to new channels

such as social media and mobile marketing

Strongly agree Agree Neutral Disagree  Strongly disagree

10.KTDC is maximizing the value of the proprietary channels they control,

such as newsletters, invoices, product packaging and inserts, vehicles, and build-
ings

Strongly agree Agree Neutral Disagree  Strongly disagree

11.Marketing tactics are generating the best results leads, conversions, or

sales at the lowest cost

Strongly agree Agree Neutral Disagree  Strongly disagree

II
 12.KTDC is integrating social media into traditional marketing tactics like
direct mail and advertising

Strongly agree Agree Neutral Disagree  Strongly disagree

13.KTDCs creative is attention-getting. It stands out in a crowded mar-

ketplace

Strongly agree Agree Neutral Disagree  Strongly disagree

14.KTDCs call to action is loud and clear. KTDCs prospect know exactly
what to do next after reviewing our marketing materials

Strongly agree Agree Neutral Disagree  Strongly disagree

15.KTDCs offer is resonating with prospects. More and more people are
saying yes

Strongly agree Agree Neutral Disagree  Strongly disagree

16.KTDCs offers showcase their product

Strongly agree Agree Neutral Disagree  Strongly disagree

17.KTDC offer delivers real value to the prospect

Strongly agree Agree Neutral Disagree  Strongly disagree

18.KTDCs sales brochures, displays, and sales demonstration tools are ac-
curate, complete, and up to date

Strongly agree Agree Neutral Disagree  Strongly disagree

19.Sales tools are integrated with KTDCs brand and their marketing cam-
paigns

Strongly agree Agree Neutral Disagree  Strongly disagree

III
 20.New tools are required to educate prospects about our industry or prod-
uct

Strongly agree Agree Neutral Disagree  Strongly disagree

21.KTDC is capturing customer and prospect data to build a robust mar-

keting database

Strongly agree Agree Neutral Disagree  Strongly disagree

22.KTDC is compiling email addresses for an ongoing sales dialogue

Strongly agree Agree Neutral Disagree  Strongly disagree

23.KTDCs website is built around the needs and interests of their visitors

Strongly agree Agree Neutral Disagree  Strongly disagree

24.KTDCs site is fully optimized for search engines

Strongly agree Agree Neutral Disagree  Strongly disagree

25.KTDC understand the factors buyers consider when selecting their prod-
uct or service and they are focusing their marketing campaigns on those factors

Strongly agree Agree Neutral Disagree  Strongly disagree

IV