In: Operations Management
The questions have been answered as bullet points which later can be elaborated as per your wish.
1. Motel 6 targets the behavioral type of market segments where the customers look on value for money as their main priority.
2. They are trying to consider the demographical market segment as their target market segment where they try to reach and cover people with mid-level income who come to the city or that region for an official trip or so.
3. Yes, the approach of targeting on a specific group by Motel 6 is considerably better than the other motels of same kind or category. This is because,
· They do not have to spend more on procuring luxury items
· They do not have to spend more on operating costs.
· Cheaper motels have more floating customers
· The employees would be kept busy so as their enthusiasm.
· Better reviews would be given by the customers since their expectations would be low for the cheap price.
4. The below are the best digital trends they can follow in order to improve their business,
· They can always advertise on the Metasearch Engines.
· They could create more profiles on social media and always can interact with their best customers through live sessions and videos.
· Run Ads everywhere on the social media.
· E-mail marketing is another traditional method they could follow.
· Influencer marketing could be given a try which involves the endorsements and also product placement from the better influencers.
· They could train their employees to work on regular blogging on their own website.
5. The following are the best alternatives which I would consider for Motel 6,
o Demographical market segment: They could consider renovating only a part of their premises with luxuries & other advanced facilities which can be used to attract some upper class business executives who prefer alternatives from the most expensive and always full 5 star hotels.
o Transactional marketing such as offering discounts on first time stay and loyalty offers for regular customers can be offered to pull more business into their concern.
Thanks & Good Luck!!!
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