event sales and marketing

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EventSalesandMarketingPart1.pdf

10/9/2020

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KAUFT King King Abdul-Aziz university university

FACULTY OF TOURISMFACULTY OF TOURISM

EVENT SALES AND MARKETING

EM 603 The Marketing Concept in Hospitality and

Event Management

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Learning Objectives By completion of this presentation You should be able to:

Provide a brief overview of the hospitality, Tourism and Event Industries.

Define marketing.

Understand core elements of marketing concept.

Present an overview of key marketing orientations.

Identify the three Es of event marketing.

Recommended Textbook:

Bowdin, G.A.J., Allen, J., O’Toole, W., Harris, R. and McDonnell, I. (2006) Events Management, 2nd ED., Butterworth-Heinemann, Great Britain.

Clarke and Chen (2007) International Hospitality Management: Concepts and Cases, 1st ED., Elsevier Ltd., USA.

Hayes , D.K. and Ninemeier , J.D.(2009) Human Resources Management in the Hospitality Industry, John Wiley & Sons, Inc., New Jersey.

Hoyle, L. H. (2002) Event Marketing: How to Successfully Promote Events, Festivals, Conventions, and Expositions, John Wiley & Sons, Inc., New York.

Kotler, P. and Armstrong, G. (2012) Principles of Marketing,, 14th ED., Pearson Prentice Hall, Boston.

Sian, L.T., Subramonian , H., Tung , L., San, W.H., Hui , K.H.K. and Kulampalil , T.T. (2009) Fundamentals of Hospitality and Tourism Management, Open University Malaysia (OUM).

Wagen, L.V. (2007) Human Resource Management for Events: Managing the event workforce, 1st

Ed., Butterworth-Heinemann, USA.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Brainstorming Group work ActivityBrainstorming Group work Activity

What Segments of Travel and Tourism Industry? ……….. ……….. ………..

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of Hospitality IndustryOverview of Hospitality Industry

The hospitality industry is one part of the larger travel and tourism industry that, in addition to hospitality, consists of: Transportation services organizations and Destination businesses.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of Hospitality IndustryOverview of Hospitality Industry

As recommended by the World Tourism Organization and adopted by the United Nations in 1991, the term tourism comprises “the activities of persons travelling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business, and other purposes”.

A successful experience in tourism combines:

A degree of novelty with a degree of familiarity.

Security of old habits with excitement of change.

A degree of risk with a degree of safety.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of Hospitality IndustryOverview of Hospitality Industry The destination is defined as: “where the tourist experience occurs and where the benefits and costs of tourism development are felt”.

It is influenced by factors such as:

Cost levels at the destination.

The quality of service at the destination.

Culture and history of the destination.

The physiography / climate of the destination.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of Hospitality IndustryOverview of Hospitality Industry Figure 1:Tourism Attractions

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Attractions

Cultural Geographical Events Recreation

Entertainment

Historical Sites Archaeological Sites Cuisine Monuments Industrial Sites Museums Ethnic Concerts Theatre Architecture

Landscape Seascape Parks Mountains Flora Fauna Coasts Islands

Mega event Community Festivals Religious Sports Trade shows Corporate

Sightseeing Golf Swimming Tennis Hiking Biking Winter Sport

Theme parks Amusement Casino Shopping Facilities Arts centre Sports complexes

Overview of Hospitality IndustryOverview of Hospitality Industry The for - profit and not - for - profit operations in the hospitality segment share a common goal:

“to provide lodging and/or accommodations including food services for people when they are away from their homes”.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of Hospitality IndustryOverview of Hospitality Industry

Hospitality is rooted in the relationships that develop between hosts and guests, a dynamic which has existed since the first human societies emerged. Many people think of hotels and restaurants when they think of the hospitality industry, but it comprises numerous types of organizations. According to the Oxford English Dictionary, hospitality means “the reception and entertainment of guests, visitors or strangers with liberality and good will.” Figure 2 identifies three segments of the travel and tourism industry.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of Hospitality IndustryOverview of Hospitality Industry

Figure 2: Overview of Hospitality Industry

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of Hospitality IndustryOverview of Hospitality Industry

The travel and tourism industry can be divided into three segments: 1. Transportation services, 2. Hospitality, and 3. Destination businesses.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of Hospitality IndustryOverview of Hospitality Industry Figure 3: Providers of Hospitality and Tourism Services

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of Hospitality IndustryOverview of Hospitality Industry Lodging organizations within the hospitality segment include: hotels, conference centers, destination resorts, camp and park ground facilities, and inns.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of Hospitality IndustryOverview of Hospitality Industry Figure 4: Organization Chart of a Large Hotel

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of Hospitality IndustryOverview of Hospitality Industry The foodservices segment can be divided into two general components.: 1- For - profit operations / Commercial include: hotels, restaurants, caterers, and retail operations such as grocery stores and service stations that provide prepackaged sandwiches, beverages, snacks, and other items.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of Hospitality IndustryOverview of Hospitality Industry

2- The other component, not- for - profit operations / Institutional, includes food services offered by educational facilities, healthcare institutions, the military, business/industry organizations, religious and charitable groups, correctional facilities, and transportation companies.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of Hospitality IndustryOverview of Hospitality Industry

Other hospitality segments include organizations such as: Events, private clubs, sports and recreational foodservice operations, cruise ships, vending businesses, and amusement and theme parks.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of EventsOverview of Events Importance of Events in our Lives:

Today, events are central to our culture as perhaps never before.

Governments now support and promote events as part of their strategies for economic development, nation building and destination marketing.

Corporations and businesses embrace events as key elements in their marketing strategies and image promotion.

Events spill out of our newspapers and television screens, occupy much of our time and enrich our lives.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of EventsOverview of Events Events are phenomena that occur in a certain place at a certain time.

Each event has a beginning and an ending.

Events or festivals are carried out by a local community, and they have a premeditated plan.

Events and festival have not always been organized in order to gain financial benefit.

The main classifications of events are generally business, sporting and cultural.

It is important to attempt to define ‘event’ and ‘event product’.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of EventsOverview of Events An event is generally a complex social endeavor characterized by sophisticated planning with a fixed deadline, often involving numerous stakeholders. An event product is the whole package of goods and services. This is primarily the event program but it also includes merchandise, food, service, the environment, transport, queues etc. it is “a unique blend of activities, which are the tools for achieving the overall event aims and satisfying customer needs”.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of EventsOverview of Events A special event is a ‘unique moment in time celebrated with ceremony and ritual to satisfy specific needs”. While this definition clearly satisfies most events falling in the category of cultural events, it is not entirely satisfactory for many large- scale, commercial or corporate events such as product launches and other business events which are not necessarily celebratory.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Overview of EventsOverview of Events Events can be divided in four main categories:

1. Local / community Events These events are not seeking for international or even national publicity. These kinds of events may be organized by a school, sport club or local shop.

2. Major Events These events are able to raise interest in media and also produce recognizable economic benefits.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Overview of EventsOverview of Events 3. Hallmark Events

These events have gained worldwide interest and attract globally to the extent that people affiliate the event with a certain country or city.

4. Mega Events They have a major effect on economics, tourism, employment rate and politics.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Identification of MarketingIdentification of Marketing Today’s successful companies have one thing in common – they are strongly customer focused and heavily committed to marketing. These companies share a passion for understanding and satisfying customer needs in well-defined target markets. They motivate everyone in the organization to help build lasting customer relationships based on creating value.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Identification of MarketingIdentification of Marketing Customer relationships and value are especially important today. As the nation’s economy has recovered following the worst downturn since the Great Depression, more frugal consumers are spending more carefully and reassessing their relationships with brands. In turn, it’s more important than ever to build strong customer relationships based on real and enduring value.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Identification of MarketingIdentification of Marketing

In today’s businesses, everybody wants to achieve high profit level. In order to achieve high profit levels, we must firstly need to have customers. Customers bring in sales and through repeat purchase from these customers only we can have long term profits. Marketing basically helps businesses to achieve this. Marketing helps to identify potential customers, creating a product service that will motivate purchase and satisfy customers’ needs.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Identification of MarketingIdentification of Marketing

What is Marketing? Marketing, more than any other business function, deals with customers. Although we will soon explore more-detailed definitions of marketing, perhaps the simplest definition is this one: “Marketing is managing profitable customer relationships”. The twofold goal of marketing is to attract new customers by promising superior value and keep and grow current customers by delivering satisfaction.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Identification of MarketingIdentification of Marketing For example, Walmart has become the world’s largest retailer—and the world’s largest company—by delivering on its promise, “Save money. Live better.” McDonald’s fulfills its “i’m lovin’ it” motto by being “our customers’ favorite place and way to eat” the world over, giving it a market share greater than that of its nearest three competitors combined.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Identification of MarketingIdentification of Marketing Sound marketing is critical to the success of every organization. Large for-profit firms, such as Procter & Gamble, Google, Target, Toyota, and Marriott use marketing. But so do not-for-profit organizations, such as colleges, hospitals, museums, symphony orchestras, and even worship houses. You already know a lot about marketing—it’s all around you. At home, at school, where you work, and where you play, you see marketing in almost everything you do.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

The Marketing ConceptThe Marketing Concept Many people think of marketing as only selling and advertising. We are bombarded every day with TV commercials, catalogs, sales calls, and e-mail pitches. However, selling and advertising are only the tip of the marketing iceberg. Selling and advertising are only part of a larger “marketing mix” – a set of marketing tools that work together to satisfy customer needs and build customer relationships.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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The Marketing ConceptThe Marketing Concept Today, marketing must be understood not in the old sense of making a sale –“telling and selling” – but in the new sense of satisfying customer needs. If the marketer: Understands consumer needs; Develops products that provide superior customer value and prices; Distributes and promotes them effectively,

These products will sell easily. In fact, according to management guru Peter Drucker, “The aim of marketing is to make selling unnecessary.”

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing DefinedMarketing Defined There are hundreds of definitions of marketing available in the literature. Early definitions of marketing focused on the exchange or transaction process, which can generate first-time buyers. Now more academics suggest that customer satisfaction is the key to successful marketing, which is closely linked with the development of relationship marketing. The following three definitions of marketing probably are widely accepted by both academics and industry management:

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Marketing DefinedMarketing Defined

1) “Marketing is a social and managerial process through which

individuals and organizations satisfy their needs and objectives via the

exchange process” (Kotler, 2003).

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing DefinedMarketing Defined

2) “Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably” (Chartered Institute of Marketing, UK).

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Marketing DefinedMarketing Defined

3) “Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives” (American Marketing Association).

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing DefinedMarketing Defined Broadly defined, marketing is a social and managerial process by which individuals and organizations obtain what they need and want through creating and exchanging value with others. In a narrower business context, marketing involves building profitable, value-laden exchange relationships with customers. Hence, we define marketing as:

“the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return” (Kotler and

Armstrong, 2012).

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Importance of MarketingImportance of Marketing Marketing is a philosophy needed by all managers.

Marketing is a long-term strategy whereby companies generate new customers and maintain existing customers through its marketing mix (product, price, place, promotion) and at the same time keeping customers satisfied.

In short, the following are some importances of marketing:

Develop new customers.

Maintain existing customers.

Keeping customers satisfied.

Maintain customer loyalty.

Save cost (cost of retaining existing customers is only 20% of the cost of generating new customers.

Assist marketers in making better decisions.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Elements of Core Marketing ConceptElements of Core Marketing Concept Figure 5 shows the elements of core marketing concept.

Figure 5: The Elements Of Core Marketing Concept

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Elements of Core Marketing ConceptElements of Core Marketing Concept

A) Customer Needs, Wants, and Demands: Needs: The most basic concept underlying marketing is that of human needs. They include basic physical needs for food, clothing, warmth, and safety; social needs for belonging and affection; and individual needs for knowledge and self expression. Marketers did not create these needs; they are a basic part of the human makeup.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Elements of Core Marketing ConceptElements of Core Marketing Concept

A) Customer Needs, Wants, and Demands: Wants: Wants are the form human needs take as they are shaped by culture and individual personality. An American needs food but wants a Big Mac, french fries, and a soft drink. Wants are shaped by one’s society and are described in terms of objects that will satisfy those needs. soft drink.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Elements of Core Marketing ConceptElements of Core Marketing Concept

A) Customer Needs, Wants, and Demands: Demands: When backed by buying power, wants become demands. Given their wants and resources, people demand products with benefits that add up to the most value and satisfaction. In marketing, customer retention is more important than customer attraction.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Elements of Core Marketing ConceptElements of Core Marketing Concept B) Market Offerings—Products, Services, and Experiences:

Products: Consumers’ needs and wants are fulfilled through market offerings—some combination of products, services, information, or experiences offered to a market to satisfy a need or a want.

Services: Market offerings are not limited to physical products. They also include services— activities or benefits offered for sale that are essentially intangible and do not result in the ownership of anything.

Experiences: More broadly, market offerings also include other entities, such as persons, places, organizations, information, and ideas.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Elements of Core Marketing ConceptElements of Core Marketing Concept C) Customer Value and Satisfaction:

Consumers usually face a broad array of products and services that might satisfy a given need.

How do they choose among these many market offerings?

Customers form expectations about the value and satisfaction that various market offerings will deliver and buy accordingly.

Satisfied customers buy again and tell others about their good experiences.

Dissatisfied customers often switch to competitors and disparage the product to others.

Customer value and customer satisfaction are key building blocks for developing and managing customer relationships.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Elements of Core Marketing ConceptElements of Core Marketing Concept D) Exchanges and Relationships: Marketing occurs when people decide to satisfy needs and wants through exchange relationships. Exchange is the act of obtaining a desired object from someone by offering something in return. The marketer tries to bring about a response to some market offering. Marketing consists of actions taken to build and maintain desirable exchange relationships with target audiences involving a product, service, idea, or other object. Beyond simply attracting new customers and creating transactions, companies want to retain customers and grow their businesses. Marketers want to build strong relationships by consistently delivering superior customer value.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Elements of Core Marketing ConceptElements of Core Marketing Concept E) Markets: A market is the set of actual and potential buyers of a product or service. These buyers share a particular need or want that can be satisfied through exchange relationships. Markets are the customers and there are current and potential customers. When customers needs, wants and demand change, the market will also change. When the market changes, companies will need to modify its products to meet the market’ s needs.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Elements of Core Marketing ConceptElements of Core Marketing Concept E) Markets: Marketing means managing markets to bring about profitable customer relationships. However, creating these relationships takes work. Sellers must search for buyers, identify their needs, design good market offerings, set prices for them, promote them, and store and deliver them. Activities such as consumer research, product development, communication, distribution, pricing, and service are core marketing activities.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Marketing Activities for a Successful EventMarketing Activities for a Successful Event

The marketing activities that an event marketing manager may undertake to produce a successful festival or event: Analyze the needs of the target market to establish the design of the event experience and the way in which it will be delivered. Predict how many people will attend the event and the times that different groups or market segments will attend. Research any competitive events that could satisfy similar needs, to devise a unique selling proposition.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing Activities for a Successful EventMarketing Activities for a Successful Event

The marketing activities also include:

Estimate the price or value that visitors are willing to exchange to attend an event – for example, ticket price or donation.

Decide on marketing communication, including the media mix and messages that will reach the audiences of the event.

Consider how the choice and design of venue(s) and the methods of ticket distribution fit with the needs of attendees.

Establish the degree of success of the event in achieving its marketing objectives.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Marketing Management OrientationsMarketing Management Orientations Marketing is about serving customers, fulfilling the needs of society and achieving the goals of the organization.

Through customer satisfaction, marketing creates the customer loyalty necessary to reach an organization’s objectives.

In the past century, the approach to marketing has gone through different stages.

Marketing management wants to design strategies that will build profitable relationships with target consumers.

But what philosophy should guide these marketing strategies?

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing Management OrientationsMarketing Management Orientations

There are five alternative concepts under which organizations design and carry out their marketing strategies:

(1) The production, (2) Product, (3) Selling, (4) Marketing, and (5) Societal marketing concepts.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Marketing Management OrientationsMarketing Management Orientations (1) The production concept: The production concept holds that consumers will favor products that are available and highly affordable. Therefore, management should focus on improving production and distribution efficiency. This concept is one of the oldest orientations that guides sellers. The production concept is still a useful philosophy in some situations. For example, computer maker Lenovo dominates the highly competitive, price- sensitive Chinese PC market through low labor costs, high production efficiency, and mass distribution.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing Management OrientationsMarketing Management Orientations

(1) The production concept: However, although useful in some situations, the production concept can lead to marketing myopia. Companies adopting this orientation run a major risk of focusing too narrowly on their own operations and losing sight of the real objective—satisfying customer needs and building customer relationships.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

10/9/2020

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Marketing Management OrientationsMarketing Management Orientations

(2) The Product Concept:

The product concept holds that consumers will favor products that offer the most in quality, performance, and innovative features.

Under this concept, marketing strategy focuses on making continuous product improvements.

Product quality and improvement are important parts of most marketing strategies.

However, focusing only on the company’s products can also lead to marketing myopia.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing Management OrientationsMarketing Management Orientations

(2) The Product Concept:

For example, some manufacturers believe that if they can “build a better mousetrap, the world will beat a path to their doors.”

But they are often rudely shocked.

Buyers may be looking for a better solution to a mouse problem but not necessarily for a better mousetrap.

The better solution might be a chemical spray, an exterminating service, a house cat, or something else that works even better than a mousetrap.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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Marketing Management OrientationsMarketing Management Orientations (3) The Selling Concept: Many companies follow the selling concept, which holds that consumers will not buy enough of the firm’s products unless it undertakes a large- scale selling and promotion effort. The selling concept is typically practiced with unsought goods— those that buyers do not normally think of buying, such as insurance or blood donations.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing Management OrientationsMarketing Management Orientations (3) The Selling Concept: These industries must be good at tracking down prospects and selling them on a product’s benefits. Such aggressive selling, however, carries high risks. It focuses on creating sales transactions rather than on building long-term, profitable customer relationships. The aim often is to sell what the company makes rather than making what the market wants.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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Marketing Management OrientationsMarketing Management Orientations (4) The Marketing Concept:

The marketing concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do.

Under the marketing concept, customer focus and value are the paths to sales and profits. Instead of a product-centered “make and sell” philosophy, the marketing concept is a customer-centered “sense and respond” philosophy.

The job is not to find the right customers for your product but to find the right products for your customers.

Figure 5 contrasts the selling concept and the marketing concept.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing Management OrientationsMarketing Management Orientations (4) The Marketing Concept:

Figure 5:Selling and Marketing Concepts Contrasted

The selling concept takes an inside-out perspective. It starts with the factory, focuses on the company’s existing products, and calls for heavy selling and promotion to obtain profitable sales. The aim is to sell what the company makes rather than making what the customer wants.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Starting

point Focus Means Ends

The selling concept

The marketing concept

Selling Factory Existing and Profits through products promoting sales volume

Profits through Market Customer Integrated customer needs marketing satisfaction

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Marketing Management OrientationsMarketing Management Orientations

(4) The Marketing Concept:

In contrast, the marketing concept takes an outside-in perspective.

As Herb Kelleher, the founder of Southwest Airlines puts it, “We don’t have a marketing department; we have a customer department.”

The marketing concept starts with a well- defined market, focuses on customer needs, and integrates all the marketing activities that affect customers.

In turn, it yields profits by creating lasting relationships with the right customers based on customer value and satisfaction.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing Management OrientationsMarketing Management Orientations

(5) The Societal Marketing Concept:

The societal marketing concept holds that marketing strategy should deliver value to customers in a way that maintains or improves both the consumer’s and society’s well-being.

It calls for sustainable marketing, socially and environmentally responsible marketing that meets the present needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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Marketing Management OrientationsMarketing Management Orientations (5) The Societal Marketing Concept:

As an organization serves the needs of its customers, it must also addresses the environmental, health, social and work- related problems that may arise when producing or marketing its products.

For example, many organizations want to contribute to a better natural environment and now we are seeing many hotels beginning to use the Green Hotel concept to attract eco-friendly customers.

The societal marketing concept ensures that organization’ s actions will benefit consumers and society in the long run.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Marketing Management OrientationsMarketing Management Orientations

Hospitality companies may have mixed marketing orientations in certain foreign market.

For instance, a large country may be in different stages of the marketing orientation evolution.

For example, in many areas in China, the hospitality industry is still in the production orientation stage.

But in the big cities, such as Beijing or Shanghai, multinational companies need to use marketing orientation or societal orientation to reach the more sophisticated customers.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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Marketing Management OrientationsMarketing Management Orientations

Hospitality companies may have mixed marketing orientations in certain foreign market.

For instance, a large country may be in different stages of the marketing orientation evolution.

For example, in many areas in China, the hospitality industry is still in the production orientation stage.

But in the big cities, such as Beijing or Shanghai, multinational companies need to use marketing orientation or societal orientation to reach the more sophisticated customers.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

The Three Es of Event MarketingThe Three Es of Event Marketing

Most of creative geniuses of event organization shared a commonality of purpose, namely, the three Es of event marketing that are critical to your event:

Entertainment,

Excitement, and

Enterprise.

Whether you are marketing a complete convention or a standalone awards banquet, all three of these elements are critical to the continuing success of any event.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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The Three Es of Event MarketingThe Three Es of Event Marketing

Entertainment:

Entertainment for example, is available everywhere in our society.

Years ago, people had to make a special effort to leave their homes to attend the theater or a sporting event to enjoy entertainment.

They are now saturated with convenient home entertainment options on television, CDs and DVDs, computers, and videos.

Key to your marketing success is the need to provide entertainment that will once again compel your audience to leave home to experience something they will not find there, because what you are offering is different, unique, and designed just for them.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

The Three Es of Event MarketingThe Three Es of Event Marketing Excitement :

Excitement may seem intangible, but it is real. It is key to making an event memorable.

Excitement may be generated by entertainment that “blows the doors off the place”: the great band, the dazzling magician, the fabulous party staged in the lobby of a resort hotel.

But entertainment may have nothing to do with the excitement promised by an event marketer.

Excitement can be part of a tribute to an industry leader, a new corporate logo introduced at a sales conference, or a celebration of an association’s anniversary.

The point is that it should always be considered as part of an effective marketing plan.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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The Three Es of Event MarketingThe Three Es of Event Marketing

Excitement:

For example, the greatest excitement for an attendee may be the eye-opening revelations of that special educational program that advances knowledge and career opportunities and changes lives forever.

Or it may be the impact of that keynote speaker whose motivational message will become a lasting asset, and treasured memory, for the listener.

The lesson? In whatever you market, incorporate excitement as part of the promise.

And then make sure it is delivered.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

The Three Es of Event MarketingThe Three Es of Event Marketing Enterprise:

Enterprise is defined as a “readiness to take risks or try something untried; energy and initiative.”

If there is any characteristic that defines the pioneers in event marketing, it is that.

They knew the imagination and conscience of the publics that they sought to attract.

They understood the natural inclination of people to experience something new, to be among the first to be able to describe those experiences to their friends, and to become part of the inner sanctum of the new enterprise. They wanted to “blow the doors off the place”.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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Individual Assignment #1Individual Assignment #1

Title: Marketing Concept

Points to be covered:

1) List and criticize three different marketing definitions and explain their key issues then discuss how they are more than just “telling and selling.”

2) What makes an effective brand slogan or motto? and why it is so important in marketing?

3) List three different slogans or mottos for three different hospitality organizations and explain their meanings and their foundation story.

4) What are the five different marketing management orientations? Which orientation do you believe Apple follows when marketing products such as the iPhone and iPad?

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

Individual Assignment #1Individual Assignment #1

Instruction for the assignment: Type of attached file: word document file attached through course messages on the BlackBoard. Name of word file: Assignment 1 Deadline: Saturday, 17/10/2020 Grades assigned: 10 Marks. You should have a cover page for your assignment involving the following information: Course Name and its Code; Assignment Title; Student Full Name; Student ID No.; Submitted to whom, Date of Submission. A list of References used should be added by the end of Assignment.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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THANK YOU

Thank you for being with me today and please feel free to ask any questions.

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King Abdul Aziz University – Faculty of Tourism Event Sales and Marketing - Master in Event Management The Marketing Concept in Hospitality and Event Management

Assoc. Prof. Dr. Reda Gadelrab September, 2020

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