Far Eastern University

Institute of Tourism and Hotel Management

Sequioa
Hotel
Prepared by:
Urbano, Glixelle
Bringues, May Ann
Reynoso, Kristel Zyra
Ong, Jan Daniel
Larcena, Althea
Lopez, Charmaine May

I.

Executive Summary
Sequoia Hotel in Quezon City, Philippines is a place for business and enjoyment

that serves an accommodation that lookout for a warm personalized service, reliable
conference services, and a relaxed to stay.

Far Eastern University

Institute of Tourism and Hotel Management

Sequoias properties are very well for their convenient and strategic locations
because its spot offers a range of dining and entertainment options and as well as
bars, pubs, malls and clubs and other leisure activities that can do near in the
location area.
Sequoia facilities are designed with a comfortable each is filled with practical
services. There are 5 types of accommodation in sequoia that the customers will
surely be relaxed and Fine dine restaurant that serves a tasty dishes.
Differentiating the type of service offered between Sequioa and its other
competitors. One of the 3 star hotel that Sequoia hotel is Luxent Hotel which
happens that theyre the same service but Luxent Hotel is more better that the
Sequoia. This will provide the Sequioa with an opportunity to influence its core
competencies as regards servicing the business traveler in a luxurious environment.

II.

Current Marketing Situation analysis

A. Industry Study
The hospitality industry is a major service sector in the world economy. The

industry encompasses an extensive variety of service industries that include service,

tourism and hotels. Hospitality industry is a multibillion dollar industry that depends on

Far Eastern University

Institute of Tourism and Hotel Management
the availability of leisure time and disposable income. A hospitality unit such as a
restaurant, hotel, or an amusement park consists of multiple groups such as facility
maintenance

and

direct

operations

(servers, housekeepers,

porters,

kitchen

workers, bartenders, management, marketing, and human resources etc.). A hotel is an

establishment that renders lodging in lieu of payment. Facilities provided may range
from a basic bed and storage for clothing, to luxury features like en-suite bathrooms.
Larger hotels may provide additional guest facilities such as a swimming pool, business
center, childcare, conference facilities and social function services. Facilities provided
may range from a basic bed and storage for clothing, to luxury features like en-suite
bathrooms. Larger hotels may provide additional guest facilities such as a swimming
pool, business center, childcare, conference facilities and social function services. Hotel
industry in the Philippines is a trend nowadays because in our country we have lots of
tourist sites to visit and many hotels are coming soon to rise.

Figure 1
Tourism Industry Performance

Far Eastern University

Institute of Tourism and Hotel Management

Table 1
Sequioas Profit/Loss Statement

Service Income
Increase/Decrease (%)
Cost of Service
Increase/Decrease (%)
Net Profit after Income Tax
Increase/Decrease (%)

2012
13,032,111
9,170,175
1,001,333

B. Current Product/Brand Situation

2013
22,989,521
76%
15,140,068
65%
877,839
25%

2014
71,300,605
210%
54,737,505
262%
1,672,946
91%

Far Eastern University

Institute of Tourism and Hotel Management
Brief History of the Product/Brand
Relevant Market
Primary Market: Business Tourists
These are the guests who stay or visit the hotel because of business purposes
like meeting and conference / seminar. The principal motivator to attend a business
event is the business activity itself rather that the desire to travel for pleasure.
These are the two aspects to the selection process of a business event:

Event organizers (decision-makers of holding the event) are predominantly

motivated by the suitability of the venue, a strong local host association and the

range of venues, accommodation and transport facilities in the city; and

Delegates (attendees to the event) are primarily influenced by the content of
the business program as well as the networking opportunities, location and
accessibility of the venue (Deery et al, 2005, pp33, 51).

Secondary Market: Incentive Tourists

Those few lucky individuals, who get a holiday package as a reward from his
company, for good work or achieving target, set by the company. They draw inspiration
from such tours to work harder, improve work relations and focus on team bonding.
Market Positioning vs. Product Positioning
Sequoia Hotel serves primarily for business purposes. However, because of
its location which offers various dining and entertainment options such as
restaurants that specialize in everything from international dishes to regional
delicacies, as well as popular comedy bars, pubs, malls and clubs, it gives the
tourists a perception that Sequoia Hotel is for tourists who stay for a night or two in
the hotel or what they call backpackers. Usually, they are of young age and they

Far Eastern University

Institute of Tourism and Hotel Management
travel with minimum luggage and on a limited budget. They generally have no
specific travel schedules and tend to travel independently.
Past and Current Marketing Strategies
Marketing is the activity, set of institutions, and processes for creating,
communicating, delivering and exchanging offers that have value for customers, clients,
partners and society at large. (Middleton et al. 2009: 21) In Sequoia Hotel they use
different marketing strategies in order for the hotel to be promoted well and for the
guests to choose their hotel among any other hotels in the city. The following are the
marketing strategies that they use in order for them to achieve their goals and
objectives:
a) Through their official website (http://www.sequoiahotel.net) their website is
always updated and its features high definition pictures of the different rooms and
facilities that they offer. The website showcased the hotel excellently.
b) Through their popular restaurants Ombu a restaurant that offers modern
Filipino cuisine. From this, they are creating a wider range of customers which
can also be considered as a great marketing strategy
c) Promotions & Packages in their website, you can see different promos &
packages that they offer, people becomes more interested whenever they are
provided discounted rates.
d) Since Sequoia Hotel is a 3-star hotel that caters to middle upperclassmen, they
offer lower rates that any other hotels which increases their occupancy rate.
e) Through their 24-hour online reservation, people can now avail their rooms
easily.
f) From phone inquiries In every hotel, there is a marketing department
(marketing team) responsible for selling their rooms and increasing their rate of
occupancy.

Far Eastern University

Institute of Tourism and Hotel Management
And most especially through the best kind of marketing Word of Mouth through
customer loyalty; from referrals & from online reviews of their past guests.

C. Competitive Situation
Table 2
Sequoias Competitive Analysis

Products/ Services
Great
Eastern
Hotel

Well appointed
guest rooms
Wifi ready lobby
and coffee shop
Banquet &
meeting
facilities
Indoor
swimming pool
Fitness and
health facilities
Airport
Transportation
and Car Rental
Services
Covered
Parking Lots
Business
Centre

Promotions
-

Discount for
long staying
guests
Website of
Great
Eastern
Hotel

Place
Quezon
City
& Makati
City

Price
Superior Room
- Single,
Double &
Twin
(P 1,500)
Deluxe Room
- Double
(P 1,800)
- Twin
(P 1,900)
Suite
- Double &
Twin
(P 2,600)
Deluxe Double
- Deluxe
floors
(P 2,000)
- Suite floors
(P 2,200)
Deluxe Twin
- Deluxe
floors
(P 2,300)
- Suite floors
(P 2,500)

Far Eastern University

Institute of Tourism and Hotel Management

Imperial
Palace
Suites

Camelot
Hotel

Roof top/Indoor
swimming pool
Meeting &
banquet rooms
Internet
services
Ironing Services
Car rental and a
porter service
Spa facilities
Souvenirs/Gift
Shop
Fitness Centre
Currency
exchange
127 guest
rooms
Function rooms
Cable TV
Hot and cold
water supply
Mini bar
Laundry service
Ample parking
space and valet
parking

Website of
Imperial
Palace
Suite

They have
promos like
the Cool
Summer
Deals

Website of
Camelot
hotel

Celebration/
Mobile bar
packages

Quezon
City

Junior Suite
Deluxe
- Deluxe
floors
(P 3,000)
- Suite floors
(P 3,200)
Junior Suite Twin
- Deluxe
floors
(P 3,200)
- Suite floors
(P 3,500)
Presidential Suite
(P 7,600)
Premier Studio
(P3,700)
Twin room
(P5, 200)

Quezon
City

Price range (per

night) : P1,308 P1,916

Far Eastern University

Institute of Tourism and Hotel Management
-

Gift shop
Currency
Strength
exchange
Perfect -Location
Restaurants
Business Hub
within the hotel
Service / Highly customer
oriented
Accessibility
Room Amenities
Doesnt rely heavily on tourism
Opportunities
Attract Family Tourism
They can host events

III.

Weakness
New in the industry
Lack of Promotion
Lack of Recreational Facilities

Threats
More hotels being built
Other Growing locations

SWOT Analysis

Sequoia Hotel is situated in Quezon City's Lifestyle District, along Timog Avenue.
Its location offers various dining and entertainment options such as restaurants that
specialize in everything from international dishes to regional delicacies, as well as
popular comedy bars, pubs, malls, and clubs. Sequoia Hotel is place for business and
pleasure, it has a reliable conference facilities and a perfect place to relax for busy
business men. Sequoia Hotel staffs provide warm, genuine care for clients, offer
services, answer questions and they ensure customer satisfaction. Sequoia Hotel is
located in the city, it is easy to access and find. There is lots of mode of transportation
that you can use to go to the hotel. All rooms air-conditioned, they have free wireless
Internet connection, and hot and cold shower with bath amenities, ironing facilities, and
a hair dryer. Each accommodation also has cable TV, a coffee/tea maker, and work
desk. On lean season hotel are not in demand but Sequoia Hotel doesnt rely on tourist
they also expect business events, conference, and such.

Far Eastern University

Institute of Tourism and Hotel Management
Sequoia Hotel is newly built; it is operating for 2 years. Sequoia Hotel is new to
the industry so promotion is minimal, though their website is complete with details there
are no new updates and promotions on their Facebook page. Sequoia Hotel lacks
some recreational facilities like swimming pool and gym.
With the amenities, shops and establishments they can attract families that want
to relax and bond. Sequoia Hotel is clean and spacious. It is really business-friendly
hotel for everyone.
There are lots of competitor threats since hotel industry is on the rise. Quezon
City is known as a prominent business area, but there are lots of growing locations with
hotels that can be a threat to Sequoia Hotel.

IV.

Goals and Objectives

Short term Objective

Expand the product of services through a steady and month to month increase of

new customers
Expanding increase in sales while achieving a status quo state or decrease in

marketing expenses
Expand the quality of service and facilities

Medium Objectives

Increasing of a new facilities

Additional package for the next 3-5 years
Expanding of workers

Long term Objectives

A twice digit growth rates for each year

Reduce the variable costs through efficiency grow
Reach profitability in the future

Far Eastern University

Institute of Tourism and Hotel Management
V.

Marketing Mix Strategies and Programs

A. Market Targeting
Family
Business or Corporate people
Groups (Barkadas, Tourists)
Employed
Other: Event Coordinators
B. Product Development
Offer well-appointed rooms, fine dining and exceptional service for the
target consumer
Provide extra facilities such as swimming pools and entertainment lounge
Make promotions through flyers, commercials and advertising ads
C. Pricing Program
Make room promos and packages for consumers
D. Sales and Distribution
Be visible on large internet-based hotel distributors
Market the hotel through social media sites to be recognize
E. Marketing Communication Programs
1. Advertising Program
Plan promotional campaigns
Improve the look and feel of the website to attract the consumers
2. Sales Promotion Program (Consumer and Trade)
Develop pricing strategies for products and services for the target
customers
Use brand identification
3. Public Relations Program
Maximize the use of advertising, social media, and other marketing
strategies to reach the consumers.

VI.

Investment Plans
Estimated Cost

Commercials

10,000,000

Freebies
Flyers
Total Expense

3,000
2,000
10,005,000

Far Eastern University

Institute of Tourism and Hotel Management

2012
13,032,111

2013
22,989,521

2014
71,300,605

2015
94,042,573

2016
123,176,820

Cost of
Service

9,170,175

15,140,068

54,737,505

71,916,579

94,700,244

Gross Profit

3,861,935

7,849,453

16,563,100

22,125,994

28,476,576

Operating
Expense

2,860,602

6,595,397

13,434,285

18,203,778

23,490,619

Revenue

Borrowing
Cost

738,892

Advertising
and Promotion
Expenses
Net Profit BIT 1,001,334

10,005,000

1,254,056

2,389,923

6,082,784

4,985,967

Provision BIT

300,400

376,217

716,977

6,637,798

8,542,973

Net Income

700,933

877,839

1,672,946

15,488,196

19,993,603

VII.

Estimates of Profitability

VIII.

Evaluation of Results

Conclusion

Strategy 1
Strategy 2
Strategy 3

Activities

Budget

Time Frame

Trade Conventions
Caravan
Bazaar

600,000
500,000
300,000

January to June
February to August
September to December

Far Eastern University

Institute of Tourism and Hotel Management

Table 3
Evaluation Performance
Jan
Trade
Conventions
Caravan
Bazaar

Feb

Mar

Apr May

Jun

Jul

Aug

Sept

Oct Nov

Dec