FAIRFIELD INN & SUITES 2012 MARKETING PLAN 2012 FAIRFIELD INN & SUITES POSITIONING CORE MESSAGE TARGET Facing Intense Competitive Pressure: Hampton and HIX lead the moderate tier segment on Product, Service, and Value, while FIS is in the middle of the pack. Strengthening product to improve performance: With launch of enhanced Gen 4 product, FIS has opportunity to drive distribution, increase awareness and improve consumer preference. Travel with Confidence – FIS provides everything you need and the respect and courtesy you deserve. NORTH AMERICA OVERVIEW “Fueling Productive Stays” “The Resourceful Achiever” – Frequent business travelers (FBTs) who strive to live efficiently and lead productive lives on the road. They overcome travel inconveniences to consistently deliver a job well done. DISTRIBUTION North America: BUDGET North America: 670+ Pipeline: 130+ $10.0M placeholder 2 2012 FAIRFIELD INN & SUITES CORE MESSAGE TARGET Intense Competitive Pressure: In the moderate tier, FIS distribution is in 5th position trailing more than 1000 units behind Hampton, HIX and Comfort Inn and 120 units behind La Quinta; putting FIS at a disadvantage in awareness and marketing spend. Hampton, HIX and Comfort outspend FIS by 4-5X in marketing /advertising. Hampton and HIX lead the segment on product, service and value while FIS is in the middle of the pack. Aging Product Pulling Down Performance: Aging FIS hotels (Gen 1 &2) represent over 30% of the FIS brand and negatively impact overall performance. Strengthening product to improve performance: Launch of new Gen 4 (Perspectives) product design expected to drive distribution, increase awareness, shift business mix and improve brand preference. “Fueling Productive Stays” Key Proof Points: Design & Ample work space– Modern and refreshing decor. Comfortable workspace that allows the hotel to become an extension of the work place. Value- Provide free WiFi/Internet and complimentary breakfast. Courteous efficient staff/service – Understand the needs of business travelers and there to assist when needed. Primary: “The Resourceful Achiever” –FBTs who strive to live simply and lead productive lives on the road. They overcome travel inconveniences to consistently deliver a job well done. Demographics 75% male 69% married 43years old is mean age $122k mean HH income 80% college+ educated 87% Caucasian 64% are Suburbanites Psychographics Lead productive lives on the road and at home, however, they also seek overall balance in life. When on business travel tend to be more work focused. Less apt to focus on play. 31% say they will always live simply no matter their income vs. 23% for CY. Travel by air (mostly coach) and dine at casual restaurants. Less adventurous than other FBTs and not swayed by fads. Secondary Target: PT: Freebird Couples (Even mix of males and females, ages 55-74, married, no children in the KEY COMPETITORS household.) Hampton: maintains strong, consistent performance despite their size (1800+ hotels, 1000+ owners) HIX: IHG re-branding efforts of HI/HIX make HIX an even bigger threat to FIS. Comfort Inn/Suites: distribution leader in moderate tier, continuing prune and plant strategy and introduced consultative QA which might be contributing to improved preference. 3 La Quinta: leads FIS in distribution(805 vs. 666 FIS), preference and awareness. NORTH AMERICA KEY DRIVERS OBJECTIVES STRATEGIES Solidify FIS position in the moderate tier by driving B/T consideration and bookings Elevate perceptions of the brand. Drive consideration among profitable personal travel target, Freebird Couples Refine and grow segment marketing efforts to drive small group business 2012 FAIRFIELD INN & SUITES Continue to build an emotional connection with business travelers by expanding “Let’s Get it Done” campaign into new media channels. Continue targeting Marriott Rewards members by leveraging high impact MR channels. Continue to leverage CFRST small business marketing efforts. “Act Big” through innovative PR and marketing programs that demonstrate how FIS is evolving: Showcase the brand’s rich heritage and future outlook via evolution to the new Gen 4 design and décor. Develop a 25th Anniversary celebration. Develop program highlighting halo properties in order to generate buzz and lift perception of the total portfolio. METRICS Continue College Tours program leveraging PR, social media, property level activation and sweepstakes. Continue to leverage portfolio leisure segment marketing efforts. Develop and refine partnerships with amateur sports, weddings, and F&B programs. Statistically significant lifts in break-through, branding and in key message communication, likeability and consideration via Dynamic Logic. Bookings/Revenue Incremental revenue Measure lift in consideration and perception via brand tracker Media impressions. Unique Monthly Visitors Customer engagement (measures TBD) via social media and other channels NORTH AMERICA MACRO BUSINESS OBJECTIVE: Solidify Fairfield’s position within the moderate tier by increasing intent to recommend from 39% to 45% by 2015 Statistically significant lifts in awareness and consideration. Media impressions. Unique Monthly Visitors Sweepstakes entries Customer engagement (measures TBD) via social media Measure lift in consideration and trip share via brand tracker 4 Incremental room nights and 2012 FAIRFIELD INN & SUITES PROGRAM/ACTIVITY Ecommerce Mobile M.com Paid Search Performance Display Public Relations Mobile – create consumer validated mobile experiences and advertising campaigns to differentiate FIS within the larger portfolio mobile initiative. Test performance mobile display. M.com – Add video tour to FI.com. Paid Search – Drive B/T and L/T bookings. Expand mobile PPC presence. Activate/test new paid opportunities, where possible. Performance Display – test acquisition campaigns focused on inmarket travelers; leverage site-wide retargeting campaigns Develop multi-city tour featuring build out of Gen 4 (Perspectives) design/décor. Communicate rich heritage of the brand and the evolution to new “Perspectives” design. Develop 25th Anniversary celebration activation with consumer and MI associate facing elements. Highlight halo properties with property level activations/events. Form story around a FIS “Collection” of signature properties with distinctive design reflecting local color. Continue College Tours program leveraging PR, social media, property level activation and sweepstakes. METRICS Mobile – bookings/revenue and engagement M.com - site bookings/revenue and engagement Paid Search – bookings/revenue Performance Display – bookings/revenue Media impressions. Unique Monthly Visitors Customer engagement (measures TBD) via social media and other channels Sponsorships Develop new FIS partnership for Amateur sports (i.e. US Youth Soccer) Statistically significant lifts in awareness and consideration. Incremental revenue Promotions Continue Marriott Rewards Bonus Points Promotion. Leverage promotional opportunities with AmEx OPEN/small business program Incremental weekday revenue Develop renovation tools reflecting Perspectives design. Update collateral on Brandworks to reflect new tagline and messaging. Support development of marketing elements for tool similar to CY Mad About Market Share to drive RevPAR index improvement. Incremental revenue Brandworks utilization Usage of “Mad About Market Share Tool.” Field Marketing/ Sales Support NORTH AMERICA CHANNEL/ ACCOUNTABILITY 5 2012 FAIRFIELD INN & SUITES Digital, Print & Social Media PROGRAM/ACTIVITY Develop additional creative to support a more fully integrated campaign. Consider adding print and OOH to the “Let’s Get it Done” campaign. Fully leverage Facebook presence to support all program efforts. Continue to leverage CFRST segment marketing efforts (Small Business, Leisure). Leverage Marriott Rewards Connect application for social media and mobile Leverage Marriott Rewards Insiders and explore developing Brand Loyalist community and/or FIS affinity group off of the Insiders community METRICS Statistically significant lifts in break-through, branding and in key message communication, likeability and consideration via Dynamic Logic. Customer engagement (measures TBD) via social media and other channels NORTH AMERICA CHANNEL/ ACCOUNTABILITY 6