Brand Rejuvenation Campaign

Brand Rejuvenation Campaign

BrandRejuvenation Campaign


Asuccessful business venture has a long history and milestone to be atwhere they are today. For instance, the history of the Coca-ColaCompany dates back to centuries. The worldwide consumers Guinness hasbeen in the market notably more two hundred and fifty years ago.Other companies have been in operations for more than a century sincetheir inception and are still in business to date. The truth is thatthe companies have faced a lot of challenges and problems throughtime. The Economic downturn and war are some of the notable factorsthat have led to the destruction and collapse of major businessinnovations. The great economic depression of the 1930`s wassubsequently followed by the World War 2, and many businesses in theUnited States and the world in general failed and never recovered.How business like the Coca-Cola and the company behind Guinness didsurvives. How prepared were the organization to these externalities?Somehow, these great businesses must have had strategies that enabledthem to pull through these economic and trying moments. Barclays Bankwas able to navigate through the economic circumstances of 2007-2009without a bailout as it was the case with other banks and majorfinancial institutions. It is important to study this factor tounderstand how to use certain strategies to run a successful businessempire.


Forthe purpose of this paper, we will have to use the IntercontinentalHotel Group franchise, the Holiday Inn business chain. Holiday Innwas started in 1952 in Tennessee near a place called Memphis by anentrepreneur named Kemmons Wilson. It was mostly located along themajor highways as was a tradition by the then accommodation demand.Intercontinental Hotel Group later acquired the Holiday Inn chain inthe 1990’s. As usual, the business faced challenges in itsoperations, and the management had to address the challenges as theycame to remain in operation. The major challenges in the hotel andaccommodation industry are facing competition. A shift in consumertaste and lack of a strong consumer loyalty base makes the businessvigilant in its operations to sustain the current customers. Theneeds of the customers should be satisfied and the addition ofvarious benefits ought to be a priority for the business in theindustry less the business is destined to collapse. Holiday Innmanagement was cognizant of the fact and that is why they address theproblem by establishing a brand-rejuvenation campaign in the late1990`s. This was aimed at reestablishing the wavering brand name ofthe widely known and trusted Holiday Inn (Friedman,2002).

Toremain updated, the company estimated a huge budget of one billiondollars for the most important function. The budget set aside wouldbe used o renovate the hotel`s physical facilities and also ensurethat the consumer was aware of that fact. That came after therealization that competitors were edging them as the best roadsideaccommodation facilities from around the 1980`s. The service wasoutsourced from the advertising agent Fallon McElligott that wouldlater come to be referred to as Fallon Worldwide. The organizationwould be used to modernize the name of Holiday Inn and rebuilt thereputation and confidence that it held before. This is one of themarketing strategies that the company would employ to remain relevantin the market. An organization tends to enjoy success once itintroduces a new product in the market. The traditional productdevelopment life cycle is relevant because at the maturity stage,competition is huge and stiff, and reconsideration of the value ofthe product has to be done since the competitors are offering almostsimilar products and probably cheaper. To remain relevant, hugeinvestment of redesigning the business must be done as is the casewith the Holiday Inn.

Forthe brand rejuvenation process project that was incepted in 1997, itstarted with the super bowl and the tagline &quoton the way wasused&quot. A tagline could be as short as a single word letter, butit is always attached some very big meaning. For instance, the simpletagline used in the super bowl aimed at informing the consumers theongoing physical makeover of the Holiday Inn facilities to meet theirvaried needs. Between 1999 and 2002, there was a huge televisioncampaign named &quotmark&quot which is attributed to significantraising the brand name. After 2002, Holiday Inn abandoned thetelevision scene and focused their attention on a different platform.The print, airport display, and outdoor advertisement majored in whatcame to be referred to as the &quotwhat matters most&quot campaign.Television campaign resumed in 2004 where the children networkNickelodeon was used and a 2005 concept of “what matters most”was used to place various electronic television networks. The mostnotable success of the brand rejuvenation campaign was noted I mostlength during the &quotmark&quot campaign. The 2001, 9-11 terrorattack negatively affected Holiday Inn campaign due to a drop in thedemand for its services following the economic downturn. In spite ofthe difficulty faced by Holiday Inn, Intercontinental Hotel Grouplooked for a way to leverage the franchise due to its importance intheir investment portfolio (,n.d.).


Atarget market refers to the primary customers of focus for theproduct the organization is offering. Organization needs tounderstand the persons who are likely to consume the products theyare producing. This is a very relevant aspect of marketing and manyorganizations spent a considerable amount of resources in studyingthe characteristics, composition and also the distribution of thetarget market. Identifying a target market also help in making amajor decision on the distribution of the product so as to reduce thecost of offering and delivering the products to the consumer. Duringthe brand rejuvenation campaign, Holiday Inn identified target marketwas strongly based on customer loyalty and that it cut acrosscultural barriers. Many customers are on record to prefer Holiday Inndue to the memories it aroused in the mind of the customers back inthese days. This is according to a study by various leading journalsin the United States including Atlanta journal-constitution. The useof the 1997 super bowl spot featuring an extremely female high schoolgirl was aimed at providing a shock to encourage the young people andthe youth (Handlechner,2008).

Everytarget market has its preference and characteristics and identifyingthem would enable an organization to conduct an appropriateadvertising technique. The brand rejuvenation campaign message thatwas directed toward the age 25 to 54 businesspersons and all theiraudience that by then accounted forever 70% of Holiday Inn clients.In all of the above efforts by Holiday Inn campaign, the aim is toattract customers and identify a suitable market. A target market, asearlier said can be a useful decision-making tool because it helpsfocus the efforts on specific areas. Having the right information isthe starting point of identifying a target market. The needs of thetarget market must first be identified by the organization. Afteridentifying the needs, the aspects of the product offered should bedesigned in such a way that they fulfill the needs of thesecustomers. Holiday Inn primary service is to provide accommodation tothe various travelers (Chernev&amp Kotler, 2014).

Itis not a coincidence that majority of the physical location I along amajor highway. Intercontinental Hotel Group is aiming at being thebest in the industry and, hence, use this huge amount of resources toensure that its franchise, Holiday Inn is the best. Customers are themost important aspect in any business setting and as such Holiday Innunderstood the fact and in some occasion had to withdraw somestrategies that in the opinion of viewers were not favorable. This isa caution to other organizations to be careful on the advertisementsthey pose to the consumers and potential consumers because some ofthem could be a source of failure. Through careful planning andStrategies, advertisements, and other promotion campaigns, it isexpected that the target market will receive this informationpositively and possibly expected to lead to potential customers. Thetarget market is an important marketing function, and its carefulstudy need to be established so that an organization can make rightdecisions concerning the kind of service to offer to the customers(Burkard,2011).


Thereare many forms of business structure operating in the world. Perfectcompetition is an ideal structure that does not exist in the world.However, it is characterized by free entry and exists in the marketand involves the sale of identical products. Monopoly is the othermarket structure that involves a single supplier of goods or servicesand it, therefore, means that these forms of business structure donot attract any form of competition at all. In a monopoly, the priceis determined by the producers and the consumers are said to beprice, takers. An equilibrium price is determined by the economicforces of demand and supply. Monopolistic competition is the othermarket structure. This form includes few companies offering the sameproduct, but the products are differentiated by few aspects includingcolor, size, and smell. The last form of business structure is theoligopoly structure. Here, few companies, which are the supplies ofthe product, collude to determine the price and supply of goods andservices in the market. Some have these arrangements documented in aformal contract and are referred to as cartels. Oil producing nationsare the famous in these and have formed a worldwide cartel known asOPEC (Riggs,2007).

Accordingto the nature of the business that Holiday Inn engage in, it is nodoubt that it belongs to the monopolistic competition. Entry to firmsin the market is never regulated by any known laws. Therefore, itmeans that Holiday Inn services are faced with hundreds ofcompetitors offering the same. Needless to mention them all, it isfirst significant to acknowledge that Intercontinental Hotel Group isaware of the issue of competition and have set strategies to overseeit effect. Marketing is the general functions that help keep offcompetitors from taking customers of their products. Promotion,product design and customer loyalty programs are some of the stagesin product development where competition issues can be addressed.Designing a product that fulfills the needs of the customers orservices that meet the customer expectation helps keep off thecompetition. Promotion enhances customer loyalty and in the processreduce customer to shift loyalty. The controlling shift in loyalty ina monopolistic competition is delicate, and price does not play a bigrole. Differentiating the services offered and assuring the customerof the value of their money is the leading issue in this case.Customers would like to ensure that the amount they pay match thequality of service received(Rangan,2006).

Duringthe brand rejuvenation campaign, Holiday Inn had a most strikingadvertising strategy at the national level. However, othercompetitors as well had their notable advertisement likewise. AsHoliday Inn enjoyed massive advertisement campaign on the televisionscene, Accor Economy Lodging’s Motel 6, was busy on the radio andhad enjoyed massive promotion of their services. They utilized thevoice of the renowned national radio personality Tom Bodett using hiswell-known tagline “We’ll leave the light on for you” thecompetitor later joined the television platform. Holiday Inn use ofthe “stay smart” tagline but Holiday Inn Express is some of thenotable advertising strategies used to keep the name of the hotelrelevant to customers. &quotThere you go&quot campaign was used byCendant`s Day`s Inn. Holiday Inn later used nickelodeons campaignaiming at attracting customers from the influence of children totheir children, and it played a major role in keeping the brandrelevant and performing well in a sea full of competition (Ramaswamy&amp Namakumari, 2013).


Marketingstrategies are all the plans made regarding marketing functions. Theyinclude product promotion, design, and advertising. However, it isproper to note that market strategy is a long-term management planand need to be well devised to achieve the market goals andobjectives. Customer positioning and loyalty is a long term process.For Holiday Inn, there was a need to revive the brand that had been adarling of many lodgers and travelers approximately two decades ago. To revive the brand, it would be a difficult task given that manypeople had witnessed the rise and fall and could not imagine it backto the market. Holiday Inn brand rejuvenation campaign involvedrenovations of the facilities, and it is only about a third of thefacilities that had been renovated during the campaign. That posed achallenge to the success of the campaign given the expectation of thecustomers. During the super bowl campaign, the campaign used JohnSweetwood transsexual Bob Johnson. It was an &quota wake-up call toconsumers across America&quot. Unfortunately, the campaign attractedhuge attention that was negative. To save the damage, the organizerswere forced to pull down the advertisement since all it did wasattracting negative reaction (Porter,2014).

Negativityin the marketing strategy is detrimental than positivity since peopleare naturally attracted to critics than to compliments. The campaignsuccess was realized in the &quotmark&quot campaign that run in thetelevision between 1999 and 2002 and t focused on specific perksavailable for business and leisure travelers. After the television,the print, television, and outdoor advertisement campaign alsoresulted in notable success by attracting attention. Airportadvertisement also provided a great opportunity for the promotion ofthe product. These strategies reestablished the name of the brand aswas in those days. The airport adverts provided a chance to attractpotential travelers to the hotel facilities. The campaign was asuccess despite the 9-11 attacks on the world business center by theterrorist that reduced demand for the accommodation. However, HolidayInn managed to go against the odd and reestablished its long lostglory b becoming a significant player in the industry. TheIntercontinental Hotel Group also placed the Holiday Inn conglomeratehigh in its investment portfolio and was ready to leverage the firmdue to its central significance (Jones,2008).


Thebrand rejuvenation campaign, a Holiday Inn initiative, was aimed atreestablishing the name of the hotel to where it had once belonged.Started in the 1950`s, the business enjoyed considerable success andwas the desired accommodation destination for many travelers in theUnited States. Later it was acquired by the Intercontinental HotelGroup, and this coincided with the initiative period. FallonWorldwide was contracted to aid in the implementation of the onebillion dollar initiative that included renovation of Holiday Innfacilities. With different commercials in the television asdiscussed, the campaign achieved a considerable fate and the name ofHoliday Inn brand was back in the mind of customers despite the manychallenges. Some strategies proved futile and were brought down whileothers achieved a significant result. Intercontinental Hotel Groupsnow cherish Holiday Inn and consume huge resources to safeguard itsbrand.


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