To perform successfully, a catering service must be market-oriented and should apply the marketing concept, which is derived from the assumption that a product should be capable of meeting the needs of consumers, foremost, through its quality. To fully meet the needs and wants of costumers on the one hand, and to accomplish its business goals on the other hand, a catering business needs to combine the elements of the marketing mix in order to be as successful as possible in selling its product on the market.
Guest satisfaction must be ensured.
“Marketing is not only much broader than selling; it is not a specialized activity at all. It encompasses the entire business. It is the whole business seen from the point of view of the final result, that is, from the customer’s point of view. Concern and responsibility for marketing must therefore permeate all areas of the enterprise.” – Peter Drucker
Food is an indispensable part of the human needs and wants that is always present in every circumstance.
It is a usual unison that people have in an event which covers a large number of people dining and feasting meaning a reason for the essence of catering services. Catering services is one of the most dynamic business groups in the food and beverage industry. By industry definition, catering is the planned service of food and beverages – in contrast to restaurants, where food and beverages are generally served on demand. The opportunity for catering services to provide planned food and beverages is far greater than it is for restaurants. While restaurants are business units that serve the general public within their operating facilities, catering services, for the most part, can be provided in any venue, public or private.
Unlimited types of settings, both indoors and out, are used for catering functions. The number of people who can be served at a catering function range from one to many, many more – often totalling in the thousands. For a service organization such as catering to acquire customers, it is important that marketing strategies be deployed to improve its own ability to compete with other catering services gain a competitive advantage and thus retain a greater number of customers. Marketing is an important aspect of every catering operation.
As customer demands increase for catering-related services, corresponding marketing efforts must be developed. Catering business can live and die by the strength of their marketing efforts, particularly in areas with high levels of competition. An effective marketing plan can lead to the growth of your customer base, larger catering jobs, and increased profits. As consumers grow increasingly, the role of advertising and publicity become the primary vehicles for information about food and service.
Definition of Terms
Marketing. It is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging oﬀerings that have value for customers, clients, partners, and society at large.
Strategy. It is the direction and scope of an organization over the long-term: which achieves advantage for the organization through its configuration of resources within a challenging environment, to meet the needs of markets and to fulfil stakeholder expectations.
Catering. The activity of providing food and beverage for events.
Marketing Mix. A planned mix of the controllable elements of a product’s marketing plan commonly termed as 4Ps: product, price, place, and promotion.
Product. Represents a set of tangible and intangible elements used to satisfy the needs and wants of consumers.
Promotion. The publicization of a product to increase sales or public awareness
Price. A value that will purchase a finite quantity of a product or service.
Product Distribution. It is the process of making a product or service available for use or consumption by a consumer.
Scope and Delimitation of the Study
This study is conducted specifically on eleven (11) Catering Services in the locality of Bataan. Specifically the eleven (11) catering services are as follows:
1. Tony and Ann Catering Services – located in Balanga City
2. Mommy-Tah’s Catering – located in Orion
3. Petrius Resto and Bar Catering – located in Balanga City
4. Goldiluz Catering – located in Balanga City
5. Ysiad’s Catering – located in Balanga City
6. Cora’s Catering – located in Orion
7. Junifred Catering Service and Accessories- located in Orani
8. Cj’s Catering Services – located in Dinalupihan 9. Mattro Catering Services- located in Hermosa
10. Gourmet Catering and Flower Shop- located in Orani 11. Know- Well Catering Services- located in Abucay
The eleven (11) Catering Services were subjected to survey questionnaire. One catering services at a time. Furthermore, this study was limited to finding only the effectiveness of the marketing strategies used by the different catering services.
Statement of the Problem
The main purpose of this study was to find out the effectiveness of marketing strategies used by different catering services in the locality of Bataan. Specifically, the study sought to answer the following questions. 1. Is there a significant relationship between the location of the business and its marketing strategies? 2. Is there a significant relationship between the number of years of the business and its marketing strategies?
Significance of the Study
A study such as this enabled the different catering services in the locale to see if their marketing strategies were effective to increase their income. Furthermore, this is also important to all the catering services for this will help them in the promotion of their services using different marketing strategies. With the use of various marketing strategies, catering services may lead to higher income.
Moreover, the useful and relevant information acquired from this study may help future researchers in the same field of study. This study will further help the catering services to develop more effective marketing strategies.
According to Scanlon (2007), the marketing mix includes the marketing strategy elements and may be conducted either as an alternative to the marketing cycle or as a continuing activity in the market process. The marketing mix incorporates the four basic elements into the overall strategy of marketing a product or service. The four basic elements consist of:
• a product (product)
• the price of the product (price)
• the promotion of the product, and (promotion)
• the distribution of the product. (place)
The product. This is the primary element of the marketing mix, with the other elements adjusting to it depending on the given situation. The product represents a set of tangible and intangible elements used to satisfy the needs and wants of consumers. The product has all the attributes of a service, and it is designated for the market. What is a service, and which are the attributes of a product as a service? A service represents the result of the interaction of three basic elements: the user (guest), equipment (facility), and the service staff (staff). This result should meet the needs of guests (for example, wedding reception). The process of building a service brand is vital to the product as a service. Becoming distinctive in the marketplace and building a brand helps to gain the trust of guests.
Product price. The pricing should be based on three key elements:
• service demand,
• costs incurred in creating services, and
• comparing and adjusting prices to those of rivals on the market.
Some potential customers are more sensitive to prices than others. For some, price is the single variable on which they base their decision to buy (or not to buy) a product, while others care nothing for the price, as long as it guarantees the quality of services provided. Hence, businesses need to be elastic in pricing. They must carefully monitor the reactions of customers to prices and, accordingly, adjust or change prices depending upon demand. Costs clearly influence the price of a product, and they determine the bottom price below which a business will begin to loss money. Prices should not, however, be overly cost-oriented, and they should not be increased to cover costs. Instead, they should be based on demand and adjusted to changes on the market. Rivals also play an important role in pricing. A business will often be compelled to change its pricing policy as a result of changes in the prices of rivals. Considering how fierce competition is today, it must be analyzed and monitored.
This means that prices, once fixed, cannot be allowed to remain unchanged, but rather, their adjustment to change should be taken as a sign of their flexibility. Product promotion. To promote a product, the business communicates with the market of demand. The market of demand comprises potential customers, various business organisations and organisations belonging to non-economic branches, and media. In promoting a product, a variety of promotional methods are used to present the product to potential customers and attract their attention. Considering the growing number of promotional methods available today in promoting a product, businesses choose to use a combination of promotional elements.