Positioning: Carving a Niche in the Hospitality Industry



Positioning in the context of hospitality sales negotiations refers to how a hotel or service provider strategically places its product or service in the minds of potential clients or customers. The ultimate goal is to create a unique impression that distinguishes your offerings from competitors, focusing on unique selling propositions (USPs) and catering to specific customer needs and wants.


Case Example: Biltmore Hotel


Consider the Biltmore Hotel in Miami. The historic hotel faced stiff competition from modern luxury hotels. To carve its niche, it positioned itself as an iconic property offering a blend of history, luxury, and unique architectural beauty. This positioning played to the advantages of the Biltmore, as it offered a distinctly different experience that appealed to a specific segment of luxury clientele: those who value history, architectural beauty, and the uniqueness of their hotel experience.


Case Example: Meliá Varadero


At the other end of the spectrum, let's look at Meliá Varadero in Cuba. This resort, part of the Spanish Meliá Hotels International chain, faces competition from numerous other resorts in Varadero. To differentiate itself, Meliá Varadero emphasizes its unique location – on a narrow peninsula, with water views from nearly every room – along with its renowned customer service and wide array of amenities. By positioning itself in this way, Meliá Varadero appeals to those customers who prioritize location and service quality in their vacation experience.


In both examples, the properties recognized their strengths and unique elements, then positioned themselves accordingly in the market to attract their target customers. The key takeaway is that effective positioning requires a clear understanding of the property's unique attributes and a keen insight into what the target customer values. With these elements in hand, a property can carve out its own niche and stand out even in a crowded market.

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