Positioning, a term popularized by Al Ries and Jack Trout, refers to the strategic process of establishing a brand’s unique place in the market. It’s about shaping perceptions to differentiate your hotel from the competition, ensuring that your target audience sees your property as the preferred choice.
NB: This is an article from Demand Calendar
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Ries and Trout’s ideas, which revolutionized the marketing field, emphasize that effective positioning is not just about what you offer but how guests perceive you among all the choices in the marketplace.
In the hotel industry, positioning is crucial because it directly influences the types of guests you attract and how much they are willing to pay. A well-positioned hotel doesn’t just compete on price – it competes on value, attracting guests willing to pay a premium for a distinctive experience that meets their needs and desires.
We aim to delve into three critical aspects of positioning that can help hotels establish a strong foothold in their local markets. By defining a unique value proposition, understanding and targeting the ideal guest profile, and creating a consistent brand experience across all touchpoints, hotels can differentiate themselves from the competition and attract guests who value paying more for what they offer. These strategies, rooted in the timeless principles of Al Ries and Jack Trout, are essential for any hotel aiming to thrive in a competitive landscape.
1. Defining a Unique Value Proposition (UVP)
At the heart of any successful positioning strategy lies the Unique Value Proposition (UVP). This concept is how a hotel distinguishes itself in a crowded marketplace. A UVP is more than just a slogan or a catchy phrase; it’s a clear and compelling statement communicating precisely what makes your hotel different. It answers the critical question: “Why should guests choose your hotel over others?”
Al Ries and Jack Trout famously asserted that “perception is reality,” meaning that the audience ultimately defines its position in the market. In the hotel industry, this means that your UVP must not only be unique but also resonate with the perceptions and expectations of your target guests. By owning a distinct position in their minds, your hotel can create a robust and favorable image that makes it the preferred choice.
Application in the Hotel Industry
To identify and define a compelling UVP, hotels must first understand what they do best. The hotel must honestly assess the property’s strengths and what it can offer that others cannot. Whether it’s the luxury of your accommodations, the prime location, exceptional service, or a unique experience like wellness retreats or historical significance, your UVP should highlight the aspect that sets your hotel apart.
For example, a hotel in a historical building might position itself around the charm and stories of the past, offering guests a unique opportunity to step back in time. Alternatively, a modern, tech-savvy hotel might emphasize its cutting-edge amenities and seamless digital experience as its UVP, appealing to business travelers and younger, tech-oriented guests. Another example could be a wellness resort focusing on health and rejuvenation, attracting guests who prioritize wellness during their travels.
These examples show that a well-defined UVP not only differentiates a hotel but also attracts guests who are explicitly looking for the unique value the hotel offers.
