An Analysis Of Marketing Management Business Essay

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As Marketing Consultant to the Keighley and Worth Valley Railway Preservation Society I am going to develop and produce a structured Marketing Plan for 2009-2010. My marketing plan will be based on SOSTAC (Situation, Objectives, Strategy, Tactics, Action & Control) along with 4M's (Money, Men, Machinery & Measurement).

The Keighley & Worth Valley Railway is a heritage and tourist railway established in 1867 by local mill owners. Though the line was closed in 1962, but with the help of locals it was reopened in 1968 for public service under the management of a Preservation Society formed locally which owns and operates the line. Beside tourist attraction, it also provides rail services on almost 200 days per year for 150,000 local passengers. The railway line runs from Keighley to Oxenhope which is a five mile journey through Ingrow, Damems, Oakworth and Haworth stations. Haworth Station is the only railway station in the United Kingdom still illuminated by gas lamps; so it is also well visited by the tourists. The few woolen mills that still stood besides the line are reminder of Britain's industrial heritage. It offers services all year round seven days a week during the summer period and weekends and all of the Christmas weeks during the winter.

The KWVR Preservation Society maintains detail website to provide up to date information. Its brochures are available at its own stations and also at most railway stations in the North of England. It publicizes events and news about the railway in the local & regional press. But recently the tourists' number is decreasing, especially for the past six months because of the economic recession.

The SWOT analysis of the Keighley & Worth Valley Railway heritage tourism is given below -


It is now established as country's premier 'heritage' and tourist railways

It provides year round tourist services and transport services

Well informed and up to date website

Good relationship with local & regional press and thus having well coverage over news & events.

Strong local support as it is managed under locally formed Preservation Society.


There is not enough public education and awareness about the historic value of the Keighley & Worth Valley Railway and other places near along the railway

Lack of interest in historic site restoration near the railway line and stations.

Lack of more aggressive and integrated marketing effort at the state level

Unstructured tour packages hindering the heritage tourism


There are important historic places along the five mile railway line which can be utilized to increase the heritage value of this railway and attract more visitors.


Economic recession will discourage people to spend in tourism.

Tourism industry is getting more competitive as other tourism service providers are implementing aggressive strategy to get customers.

Based on the BCG matrix The Keighley & Worth Valley Railway heritage tourism falls into the ‘Dog' segment as it has low market share along with low market growth rate.

The Keighley & Worth Valley Railway focuses on regional market which means it targets a very niche market and the falling of tourists number also indicates its low market growth. To overcome from this situation the railway tourism have to target the national market to broaden its target market and implement effective marketing mix with aggressive promotion & restructuring the product. It also have reconsider its brand position and develop & implement a branding strategy to increase the brand awareness of the The Keighley & Worth Valley Railway.


To be effective objectives should be SMART, which means -






The objectives of the marketing plan are given below -

Increase the visitors' numbers 20% within 1 year.

Increase return on investment by 5% within 1 year.

Increase awareness in local market by 90% and national market by 40% within 2 years.

Increase market share in tourism industry of Britain by 2% to 5% within 2 years.


To make the heritage railway successful it is important to develop an effective marketing plan. At first decision has to be made about target market and positioning. These are explained below -

Target market: The target market of the heritage railway tourism is based on differentiated segmentation which include following characteristics - family traveler who wants relief from the city life, like short holiday (weekend), interest in different life style, have above average house hold income and concern about heritage.


The marketing plan will be based on 4P's (product, price, place & promotion) of marketing mix. The marketing mix strategy is described below -


These places can be used to offer some attractive tour packages for the visitors; it may require modifying some the places to make the tour more enjoyable. The new tour packages are described bellow -

Package name: Steaming to the Past

Description: This will be a one day tour which includes a five mile journey by stream trains. The package will include tours to the Museum of Rail Travel at the Ingrow station, the Oakworth station which was used in the ‘The Railway Children' film, the Brontë Parsonage Museum at Haworth station, and finally the last stoppage at Oxenhope station. In the return trip a tour of the Woollen mills will also be provided.

Modification required: The Woollen mills have to be restored so that visitors can get the real picture of Britain's textile industry. Some demonstration about the mill operation will be shown to the visitors.

Package name: Dream Heritage

Description: This will be two day long tour which will include all the tours of the ‘Steaming to the Past' package but it will be more comprehensive. Additionally it will include tours to the Damems station and one night stay in Haworth village. As the Haworth station is illuminated by gas lamps so this will be perfect place to provide the experience of 60's-70's Britain's Heritage. Visitors will be kept in newly built small village near the station including saloon, barber shop, souvenir shop etc which will be replication of 60's - 70's village. There will be no electric light only gas lams will be used like the station. Visitors will be given complimentary dinner which will be also like the 60's - 70's style. A complete experience of the heritage will be given to the tourists.

Modification Required: This package will need some major modification in Haworth village. A small village needs to be created for this purpose. This village will be a replication of the 60's - 70's village, which will remind the tourists about the heritage of Britain and also give a chance to live the heritage. This village will include a motel, a saloon, a barber shop, a souvenir shop etc.

Package name: Royal Heritage

Description: This package will be same as ‘Dream Heritage' package but with a Royal twist. In this package tourists will be given a rare opportunity to have cream tea on board the famous Old Gentleman's Saloon. On the return journey visitors will be taken by vintage dining steam train; where the decoration of the train and also the presentation of the food will be just like 60's - 70's style. A tour to the locations where ‘The Railway Children' was filmed will also be a part of the return journey. Recreations of famous scenes from the film will make the tour more interesting and enjoyable for the tourists.

Modification Required: Designing the dining train like the old days is an important modification required for the package. The locations where ‘The Railway Children' was filmed need to be restored like the way it was presented in the film so that visitors can easily recognize the place from the film.


The price is the amount a customer pays for the product/service which is determined by a number of factors including market share, competition, material costs, product identity and the customer's perceived value of the product/service. Price has become more important factor because of the economic reasons; visitors will continue searching for ways of cutting travel costs by decreasing both the distance and duration of trips and taking more day trips or weekend getaways.

As a tourist service provider the value based pricing will be the right strategy to follow. When customers purchase a service they weight the perceived benefits of the service against the perceived cost. At this recession time the prices of the packages have to be lowered enough so that it becomes more valuable for the guests, but also caution must be maintained as price also indicates quality especially for the first time buyer. The price slabs of the above mentioned three packages will be -

Steaming to the Past (Regular)- Low

Dream Heritage (Premium)- Medium

Royal Heritage (Gold)- High

The price of the each package will be set in such a way so that the value remains higher than the cost to the tourists. To increase the value following steps would be taken -

Reducing uncertainty: Fixed rate price for all three packages will help to avoid unpleasant surprises for our customers.

Managing the perception of value: Not all customers have the knowledge to assess the value of the service because value is subjective. So with effective communication customers will be taught about the value they will receive.

When purchasing a service the costs for a customer are - money, time, physical effort, psychological and sensory burdens. To reduce these costs following steps would be taken -

Train employees so that time required to complete the tour is efficient and effective.

Minimize unwanted psychological costs by eliminating or redesigning unpleasant procedures, educating visitors what to expect and train the employees to be more friendly and helpful.

Eliminate unwanted physical costs in search process by providing well designed and informed website, brochure and telephone help.

Decrease unpleasant sensory costs by providing pleasant sights, sounds, smells and feel through the classic 60's - 70's replicated environment.

Reduce the monetary cost through incentives.

Place & Time:

The tourism service will be provided during the holidays and weekends and visitors will be able to purchase different packages through online, selling booths placed in major railway stations in England or from tourism agents.

The Keighley & Worth Valley Railway is not the only thing that attracts visitors. Along the five mile rail journey there are other places which can be utilized to attract more visitors. These locations are -

The Ingrow station: The Museum of Rail Travel is established here. It has some of the finest Victorian carriages operated by Vintage Carriages Trust. So this is definitely a place to visit.[2]

The Damems station: It is the smallest station of England. It has recently been featured in the BBC TV production Born and Bred.[3]

The Oakworth station: This station was used in the film ‘The Railway Children' (1970). Because of the film the station gained more popularity and visited by many tourists.[4]

The Haworth station: The Haworth village is the home of Brontë family - famous for writing books. There is a Brontë Parsonage Museum in this village.[5] Also this station is among the few stations in England which are still illuminated by gas lamps. This is a very interesting place to visit.

The Oxenhope station: This is the last station of the Keighley & Worth Valley Railway. It houses an exhibition shed which is used to store some of the locomotives that are not currently used. Also there is the railway 'Beer Store' in Oxenhope.[6]

Woollen mills: Close to the railway line there are few woolen mills that still exist as a reminder of the Britain's industrial heritage.

    Promotion/Communication: A creative promotion / Communication strategy must be developed for the Keighley & Worth Valley Railway. Previously the railway tourism had regional communication strategy, but to increase the awareness and market share a national communication strategy will be developed. The new communication strategy is discussed in Task 3.


Action stage breaks down the detail level of the tactics. The following points must be considered in this stage -

    Attention to detail: Creating the blue print of the tourism service, finding out the potential fail points, define standards for front-stage activities, specify physical evidence, identify principal customer actions, line of interaction, front-stage actions by customer-contact personnel, line of visibility, backstage actions by customer contact personnel, support processes involving other service personnel etc.


Deciding on time management and people management. Prioritize the work and assign people & set time frame on the particular work. This can be managed by using Gantt Chart for weekly and monthly activities.

    Contingency plan:Developing contingency plan for the potential fail points in the blue print like - providing extra service to retain visitors if service failure occurs.


Control means monitoring the performance and comparing the performance with the objectives. Any short fall must be identified quickly and rational steps must be taken to reduce the gap between the desired and actual performance. Some of the controlling measurements are -

    Cost/benefit analysis

    Customer satisfaction

    Market Share

    Mind share

    Brand perception [7]

Task 2

The Keighley & Worth Valley Railway brand's evaluation, based on brand awareness factor, is given below -

Brand Elements:

Brand elements is a the most important aspect of a brand because these are visually or verbally distinct information that identifies and differentiates a product or service. Well designed brand elements can help a company to get competitive edge over its competitors. The basic brand elements of the Keighley & Worth Valley Railway are-

    Name: The Keighley & Worth Valley Railway


    Slogan: 'The Railway Children' line

The Keighley & Worth Valley Railway's brand elements are not strong enough to create an iconic identity and also fails to differentiate the tourism service provided by it. The name is based on the local area and previous heritage, so it is acceptable. The logo does not reflect the tourism service of the Railway. The slogan of the railway, which is based on the film 'The Railway Children', has narrowed the scope of the tourism service. Though the film has made the Railway famous but there are many other attractions beside the film. So focusing only on the film is not good for the tourism service.

Brand Image:

Brand image is the key to brand equity, so it is important to identify the The Keighley & Worth Valley Railway's image which is reflected by the brand associations held in consumer memory. By using associative network memory model the Railway's brand image is given below -

It is evident from the above model that there are not enough associations held in consumer memory, as a result the brand awareness of the tourists about the railway tourism is insignificant.


Positioning means finding the proper place in the mind of the consumers so that they think about the service in the desired way. There is no proper positioning strategy for the Keighley & Worth Valley Railway. It focuses heavily on the 'The Railway Children' film which indicates that The Keighley & Worth Valley Railway wants to take place on the consumers mind as a remembrance of the film. Though the Railway is most famous for its role in the 1970 film version of Edith Nesbit's story ‘The Railway Children', but focusing this as positioning strategy is a bad idea. As the story and the film gets old, so will be the memory of the Railway. There are many other things based on which it can properly position itself as heritage railway tourism.

After evaluating the brand on the basis of brand awareness it can be said that currently the Keighley & Worth Valley Railway is lacking brand awareness among the potential customers. Now to increase the brand awareness of the Railway it requires giving the Railway an identity by linking brand elements to the proper service category and associated usage situation. From strategic stand point it is important to have high levels of brand awareness under variety of conditions and circumstances. Brand awareness can be characterized according to depth and breadth. The depth indicates the possibility of a brand element coming to mind and the ease with which it does so. The breadth is the range of purchase and usage situations in which the brand elements comes to mind. To increase the brand awareness of the Keighley & Worth Valley Railway the following six points must be considered -

    Re-designing the Brand Elements

    Create positive associations

    Re-Position service in the marketplace

    Increase Brand Performance

    Create Brand Imagery

    Creative Communication

1. Re-designing the Brand Elements: From the evaluation it was found that the brand elements of the Keighley & Worth Valley Railway is lacking. The ‘logo' and ‘slogan' of the brand is very weak and does not reflect the tourism services it provides. So it is important to redesign the brand elements. The redesign of the brand elements should be -

    Memorable - Easily Recognized & Recalled

    Meaningful - Descriptive & Persuasive

    Likable - Fun & Interesting, Rich Visual and Verbal imagery, Aesthetically pleasing

    Transferable - Within and across product categories, across geographic boundaries and cultures

    Adaptable and - Flexible & Updateable

    Protectable - Legally & Competitively[8]

2. Create positive associations:At present the Keighley & Worth Valley Railway has low number of associations. Brand awareness largely depends on the strong brand associations which reflect the characteristic of the service. Brand association can be created by - direct experience, information communicated about the brand, word of mouth, inference from the brand itself, identification of the brand with some particular person, place or event etc. Some important association can be - Heritage resources, Sense of place, Authenticity, Adventure, People & Lifestyle & Rail Museum etc.

3. Re-Position service in the marketplace: The re-positioning of the brand will require setting the frame of reference which means defining the target market and nature of competition. Proper positioning requires establishment of two things which are -

    Points-of-Parity -

Necessary to be legitimate & credible.

Competitive to negate competitors' Points-of-Difference.

Points-of-Difference - strong, favorable and unique brand association.[9]

4. Increase Brand Performance: The service itself is the heart of the brand equity and it is what consumer experience with a brand, what they hear about a brand from others and what the firm can tell about the brand in their communications. So it is very important that the service must at least match the customers' expectations. This will create strong association which will increase the brand awareness. To increase the brand awareness the following points needed to be considered-

    Primary ingredients and supplementary features

    Service effectiveness, efficiency and empathy

    Style & design


5. Create Brand Imagery: It is the extrinsic properties of the service including the ways in which the brand attempts to meet customers' psychological or social needs. It is how people think about the brand abstractly. These intangible aspects of the brand can categorized in following ways -

    User profile: Family, adventurer etc.

    Purchase & usage situation: Websites, booths etc and holidays, weekends etc.

    Personality and values: Old-fashioned.

History & experiences:

Britain's industrial heritage[11]

6. Creative Communication: Integrated marketing communication is very important for increasing brand awareness. Creative communication creates brand awareness by linking strong, favorable and unique association. There are six steps that required to occur for communication successful in persuasion, they are -

    Exposure- Seeing or hearing the communication

    Attention- Noticing the communication

    Yielding- Responding favorably

    Intentions- Planning to act in the desired manner

    Behavior- Actually acting in the desired manner[12]

These are the six steps that are needed to be considered for increasing the brand awareness of the railway both locally and nationally.

Task 3

Marketing Communication is one of the marketing mixes which uses marketing communication tools to achieve the marketing objective. Market communication has shifted from mass marketing to one to one marketing. Market fragmentation has resulted in media fragmentation where more focused media is used to match targeting strategies. The target marketing requires uses of a larger and richer mix of communication channels. In the consumer mind message from different media and different promotional approaches become part of a single message about the company. So it is very important to integrate all the communication mix. So for the The Keighley & Worth Valley Railway the marketing communication plan will be based on integrated marketing communications strategy which integrates and coordinates the all communications channels to deliver a clear, consistence and compelling message about the organization and its service.

Communication Mix:

The integrated communication suggests that the company must blend the communication tools carefully into a coordination communication mix. There are four major communication tools suitable for tourism service - Advertising, Sales promotion, Public relation, Direct marketing. Strategy for each tool are given below -


Advertising is the most used and a very important tool in marketing communication mix. The development advertising program is disused below -

Advertising Objective: Advertising objective can be classified by primary purpose- inform (build primary demand), persuade (build selective demand) or remind (keep consumers thinking about the product).[13]

For the railway tourism the persuasive advertising should be followed. The objectives are- build brand preference, encourage switching to this brand and change customers perception of the service. This type of advertising persuade customer to purchase now.

Creating Advertising Message: At present the media is cluttered with advertisement. To stand out from the clutter the message needs to be creative and catchy. Advertisement will be successful only if it can gain attention.[14]

And to do so Keighley & Worth Valley Railway can use catchy jingle or slogan in advertising.

Advertising Message strategy: An effective message focuses on customer benefit. Message should be plain, straight forward and outline the benefits. The message should be meaningful, point out benefits to make the service desirable and also should be believable.[15]

The railway tourism should follow the above strategy to make the advertising effective. Its advertisement message should present the heritage train service, vintage coaches, beautiful country side and other heritage resources to make the tourism service more desirable to the tourists.

Message Execution: To turn the bug idea into an actual ad execution to capture target market's attention and interest the company must implement best style, tone and words for executing the message. There are different execution style like - Slice of life (shows typical people using the product in a normal set), Life style (a product fits with a particular life style), Fantasy (create fantasy around the product), Mood or image (build mood or image around the product), Musical (singing about the product), Personality symbol (creates a character that represents the product) etc.[16]

The railway tourism service should use the ‘Mood or image' style for message execution where image like - beauty, adventure, serenity, heritage, vintage will be created around the tourism service.

Advertising Media Selection: When selecting the media it is important to decide on the reach, frequency and impact. Previously the Keighley & Worth Valley Railway used regional media for publishing news and events but it lacked aggressive advertisement. To be successful and increase the number of the tourists the railway tourism must do aggressive advertisement not only regionally bur also nationally. The media selection for the railway tourism service should include - National newspapers, TV, Radio, Magazines (Heritage Railway Magazine - Britain's premier steam railway news magazine) and internet (tourism websites). The frequency should be increased during holidays.

Sales Promotion:

Sales promotions includes short term incentives to encourage sales, it offers reasons to buy now.

Objective: The main objective of the sales promotion is to help building long term market share, reinforce product positioning and increase brand equity.

Tools: The Keighley & Worth Valley Railway tourism service should use the following sales promotion tools -

ü Price deals: Reducing the price of a service package like - offering the premium tour package at regular price.

ü Coupons: Coupon can be provided through online, newspapers and magazines. Coupons will give buyers a saving when purchasing tour package like - 20% off on regular, 15% off on premium and 10% off on gold package.

ü Sweepstakes/Games: Promotional events to win something. Like - in every tour package there will be arrangements for sweepstakes/games where tourists will win a copy of the ‘The railway children' film, books written by Brontë family, a chance to drive the steam trains, various steam trains model etc.

Direct Marketing:

It consists of direct connections with carefully target individual consumers. Direct marketing will be secondary communication tools where advertising and sales promotion will be the primary communication tools. In direct marketing the railway tourism will provide latest news, events information, coupons, package offers through e-mails to potential customers.

    Public Relation: It is used to build good relation with the company's various publics by obtaining favorable publicity. The Keighley & Worth Valley Railway can provide free tour service to orphans or disable peoples to obtaining favorable publicity. Also publishing news and events in both regional & national newspapers.

Target Market:

Marketing communication starts with a clear target audience. For the Keighley & Worth Valley Railway the target market characteristics are

    Like Family traveling

    Wants short relief from city life

    Interest in different lifestyles and cultures

    Like unique and compelling experiences

    Have higher than average household income

    Are well educated and informed on a range of subjects

    Concern about heritage

Communication objectives:

The objectives behind the marketing communication are -

    Increase the visitors' numbers 20% within 1 year.

    Increase return on investment by 5% within 1 year.

    Increase awareness in local market by 90% and national market by 40% within 2 years.

    Increase market share in tourism industry of Britain by 2% to 5% within 2 years.

    Retain 80% customers within 2 years

    Communicate the benefits of a product or service

Message Designing:

The message that will be communicated should be able to get attention, hold interest, arouse desire and obtain action. The message is designed by deciding on the following aspects -

    Message Content: The message content is tree types - rational, emotional and moral appeals.

In case of the Keighley & Worth Valley Railway the message content should be based on emotional appeals, where it will focus on the vintage steam train travel, beautiful country side, historic place and heritage living styles.

    Message Structure: There are three message structures- draw conclusion or leave it to the audience, present the strongest arguments first or last and one or two sided argument.

For the railway tourism the conclusion should be left for the audience and the strongest arguments should be presented at last so that the conclusion taking by the audience remains favorable.

Message Format:

The message format for the railway tourism should have eye catching picture and headlines, distinctive formats and color.


There are two types of communication channels - personal and non-personal.

Personal Communication Channels:

Where two or more people communicates directly with each other. Most of the personal communications are not directly controlled by the company. They are - consumer advocates, tourism guides, tourism review experts or neighbor, friends, family members, which is known as word of mouth influence.[17]

Non-Personal Communication Channels:

Where media that carry message without personal contact which includes major media, atmospheres and events. Non personal communication affects buyers directly. Media choosing strategy will be discussed in communication mix segment.[18]

Communication Budget:

One of the difficult marketing decisions is how much to spend on marketing communication. There are some methods based on which the budget can be set -

· Affordable Method: Budget is set based on affordability of the company.

· Percentage of Sales Method: Budget is a certain percentage of current forecasted sales.

· Competitive-parity Method: Budget is set to match competitors' outlays.

Objective and Task Method:

Budget is set by defining the task needed to be performed to achieve the objective and the estimated cost of performing the task.[19]

The Keighley & Worth Valley Railway should implement the objective and task method in deciding the communication budget. Though it is a complex method but it will define the relationship between money spent and promotion results.

Measuring the communication mix:

There are many tools with which the communication mix can be measured and proper adjustment can be made to achieve the desired goals. Some the tools are -

    Incremental sales revenue resulting from a campaign;

    Ratio of cost to revenue;

    Cost per sale generated;

    Changes in value of sales generated;

    Cost of new customer acquisition;

    Cost of customer retention.[20]

With above mentioned marketing communication plan the Keighley & Worth Valley Railway will be able to establish its brand as a heritage railway tourism in national market and also will be able to attract more tourists regionally and nationally.

References & Bibliography

Keller, K. L. (2008). Strategic brand management: building, measuring and managing brand equity (12th ed.). Prentice-Hall of India.

Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.

Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.

Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.

Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India

Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.

Marketing Management June 2010 Final © NCC Education 2010










[10], 11 & 12 Keller, K. L. (2008). Strategic brand management: building, measuring and managing brand equity (12th ed.). Prentice-Hall of India.



[13] Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.

[14] & 15 Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.


[16] Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.

[17] & 18 Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.


[19] Kotler, P., & Armstrong, A. (2006). Principles of Marketing (11th ed.). Prentice-Hall of India.