COURTYARD BY MARRIOTT: CREATING A

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COURTYARD BY MARRIOTT:
CREATING A SOCIAL MEDIA CAMPAIGN
FOR UNIQUE HOTEL MODEL (rev9-3-15)
Susan Powell Mantel and Jeff Hittler
Department of Marketing, Ball State University
In 2012, The Arc of Indiana, a statewide advocacy organization for people with disabilities,
began a more concerted focus on the monumental unemployment rate among its constituents.
Some four years later, its efforts will begin to see a return with the opening of a unique hotel
model offering both training and employment in the hospitality, food services, and health care
industries to people with disabilities. Through a number of key public/private partnerships, this
first-of-its-kind teaching hotel will open in late 2015 as a Courtyard by Marriott and become part
of the Horizon Convention Center in downtown Muncie, Indiana. Michelle Laird, director of
marketing for property manager General Hotels Corporation, is developing a social media
strategy for the new venue, located about 60 miles northeast of downtown Indianapolis. Her
challenge is incorporating the hotel’s brand with multiple partners and their goals into a strategy
that requires sensitivity in its implementation. Ms. Laird needs to finalize this strategy before the
hotel’s opening, with an ongoing campaign to take place thereafter. The task now is to prepare a
social media strategy that will generate awareness of all of the distinctive characteristics of the
hotel while still maintaining a unified voice for all of the entities. Ms. Laird summed it up this
way, “We need to present a unified package while maintaining the individual uniqueness of each
part.”
BACKGROUND
Origins and Partnerships
The Arc of Indiana was established as the state association of The Arc in 1956 by parents of
children with intellectual and developmental disabilities (I/DD). Its scope and reach expanded
over the years through enhanced support and growth, and is now recognized as the voice for
people with I/DD and their families in Indiana. In more recent years, the organization has taken
on the arduous task of focusing on the 82% national unemployment rate among people with
disabilities, thus providing the inspiration for a teaching hotel to provide training and
employment in the field of hospitality. The idea for the Muncie location was brought to the
attention of board members from a volunteer and former Muncie resident who was familiar with
the downtown area and its lack of a hotel since the closing of the Hotel Roberts in 2006,
ironically despite the presence of the Horizon Convention Center for almost 20 years. All signs
pointed to an opportunity for a host of potential stakeholders.
In order to move forward with the project, The Arc of Indiana realized that its structure needed to
change. As a 501(c)3 organization, The Arc of Indiana had to comply with the one-third support
test under the IRS. In addition, the board of directors wanted to operate the facility as a for-profit
corporation, so they established The Arc of Indiana Foundation as a supporting organization and
________________________________________________________________________
Copyright © 2015. No part of this work may be reproduced or used in any form or by any means
without the written permission of the Department of Marketing, Miller College of Business, Ball
State University, Muncie, Indiana.
Arc Innovations as a wholly owned for-profit subsidiary. According to Jill Vaught, director of
advancement for The Arc of Indiana Foundation, “We needed to actually own and operate the
hotel as a for-profit, tax-paying business entity, so there needed to be some changes in
organizational structure [in The Arc of Indiana] given that status.” Thus, The Arc of Indiana
Foundation and the Arc Development Group, LLC were created to fund and operate the hotel in
order to provide a needed venue in Muncie as well as training and employment opportunities for
a wide variety of people. The ultimate project was collaboration between a number of civic,
public, and private organizations (see Appendix A) encompassing both the for-profit and not-forprofit sectors to help create the concept for a teaching hotel that would be built on a vacant
downtown site and linked via a covered walkway to the nearby Horizon Convention Center.
The Muncie Downtown Development Partnership helped to put together a partnership whereby
the City of Muncie gave the land to The Arc of Indiana with the only stipulation being to build a
hotel on the site. “A lot came together very quickly to bring the idea to reality,” said Ms. Vaught.
As result, ongoing direct partners of the project include:
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•
•
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•
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Arc Innovations
Erskine Green Training Institute
General Hotels Corporation
Courtyard by Marriott
State of Indiana
City of Muncie
Muncie-Delaware County Economic Development Alliance
Horizon Convention Center
IU Health Ball Memorial Hospital
Thr3e Wise Men Brewing Company
All share the vision for the concept, yet bring their own distinct capabilities and resources to bear
on its implementation and goals for success.
Arc Innovations: Among the legal and business activities that pulled the concept together was
the formation of a for-profit entity, Arc Innovations, which became the owner and franchisee in
securing the Courtyard by Marriott brand for the hotel and the hiring of General Hotels
Corporation in Indianapolis to manage the property. This relationship matches the typical
structure of a franchised hotel. Courtyard by Marriott is the franchisor – providing the overall
brand name, corporate identity, and some unified business functions (i.e., national reservation
system). General Hotels Corporation is the management company – providing the day-to-day
operation of the hotel (i.e., hiring local employees, building relationships with vendors and local
community). Arc Innovations is the franchisee – providing the investment and acquiring the
profit associated with the operation of the hotel.
Erskine Green Training Institute: In order to fulfill the teaching goal and turn the project into
a teaching hotel, The Arc of Indiana Foundation created the Erskine Green Training Institute for
people with disabilities. The Erskine Green Training Institute will operate a nearly 4,000-squareSocial Media Case Study
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foot facility with offices, classrooms, and other training-related space on the first floor of the
hotel to be used exclusively by the students.
Besides the hotel itself, the training institute is the most visible physical presence on the site. The
institute’s name is in honor of two familiar Indiana sports figures: Carl Erskine and Steve Green,
both of whom have been strong advocates of The Arc of Indiana.
Mr. Erskine played professional baseball for the former Brooklyn Dodgers while Mr. Green
played college basketball at Indiana University and later enjoyed a professional career with the
Utah Stars, the Spirits of St. Louis, and the Indiana Pacers. Eventually, both athletes returned
home to Indiana to pursue their business careers and became (along with their families) strong
advocates for The Arc of Indiana.
Both the Erskine and the Green families had a child born with Down syndrome. It was this tie
that led to their involvement with The Arc of Indiana. Through their tireless efforts, both
children achieved the education, training, and career success that serves as inspiration to other
families facing similar challenges. Their ongoing efforts on behalf of children with disabilities
(not only their own children, but those of others as well) has been instrumental in building
awareness and support for this important cause; hence, the establishment of the training institute
in their names.
The Erskine Green Training Institute’s program will begin in January 2016 with an initial class
of 20 students. First-year enrollment is being capped at 80, but when in full operation in future
years, as many as 200 students from across Indiana could pass through the institute. Courses of
9, 10, and 13 weeks in length in hospitality, food services, and health care will be offered along
with internship opportunities. Upon completion of the program, students will return to their
home communities and work with an employment provider to find a job in their selected field of
study. Classes will be offered a total of 41 weeks out of the year, with students living on-site at
the hotel during their program. In addition, some students will have the opportunity to apply for
staffing roles on the property in areas such as front desk, hostess, food preparation, and
housekeeping. Tuition is $9,000 to $12,000, with scholarships and other financial aid expected to
be available as the program grows.
General Hotels Corporation: Given that The Arc of Indiana has no experience running a
successful hotel, they hired a hotel management firm, General Hotels Corporation, to run the
day-to-day operation of the hotel. Jim Dora, Jr., president and chief executive officer of General
Hotels Corporation, praised the partnerships in a statement as part of the announcement.
“General Hotels Corporation is excited to be working with The Arc of Indiana on such a unique
hotel project that benefits so many, including The Arc, individuals with disabilities and the City
of Muncie,” he said. “The teaching hotel and training institute is a truly unique opportunity to
provide on-the-job service training for individuals with disabilities who can then take that skill
back to their community to achieve greater independence for themselves.”
Once General Hotels joined the project, its first role was to identify which franchise to select to
brand and position the new hotel. General Hotels Corporation is a privately held company
headquartered in Indianapolis and they were well suited for this role. The hotel management
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company operates 31 properties across the Midwest in the branded full- and select-service hotel
category as well as independent hotels. Among the notable brands it manages are Courtyard by
Marriott, Crowne Plaza, Holiday Inn, Holiday Inn Express, SpringHill Suites by Marriott,
Homewood Suites by Hilton, and Best Western. By conducting research and interviews across
the various national hotel brands, General Hotels and The Arc of Indiana selected Courtyard by
Marriott both because the brand fit the needs of the marketplace and because of Marriott’s
corporate mission to support persons with disabilities.
Courtyard by Marriott: The Courtyard line of Marriott hotels is in the Select Service sector
designed for goal-oriented travelers with a focus on upper-moderate tier lodging for business and
leisure travelers. The guest rooms provide both relaxation and flexibility to allow guests the
space to pursue a wide variety of uses. The amenities associated with the physical properties of
the hotel brand, from the varied and multi-functional guest spaces to the décor and other
appointments, allow for flexible implementation to take into account the local markets’ needs.
Marriott International, a publicly traded company headquartered in Bethesda, MD, has stated
core values that match those of ARC of Indiana: “Our core values make us who we are. As we
change and grow, the beliefs that are most important to us stay the same – putting people first,
pursuing excellence, embracing change, acting with integrity and serving our world. Being part
of Marriott International means being part of a proud history and a thriving culture” (Core
Values, 2015).
State of Indiana: A grant of $5 million was provided by the State of Indiana through the Indiana
Economic Development Corporation. The benefits to the state will be a reduction of $5 million
in public assistance for every 200 individuals with disabilities that become employed over 4½
years.
City of Muncie: In addition to its leadership in the project led by Mayor Dennis Tyler, the city
donated the parcel of land as well as vacated a portion of South High Street for construction of
the hotel near the Horizon Convention Center. The city also provided the environmental studies
for the project, moved utilities, built the parking garage, and is establishing a quiet railroad zone
in the downtown area. The total investment by the City of Muncie is over $11 million.
Muncie-Delaware County Economic Development Alliance: A consortium of economic
development entities dedicated to the growth and prosperity of Muncie-Delaware County, the
alliance worked with the city and associated organizations to help bring the project to reality.
Horizon Convention Center: The convention center is a 47,000-square foot facility, part of
which is the former Federal Building, mixing old and new architectural design. Six new
conventions already have committed for 2016 with the availability of the adjacent 150-room
hotel, providing secured bookings for both venues. Both the convention center and hotel will
continue to collaborate on publicity and fund raising efforts.
IU Health Ball Memorial Hospital: Given its history as a teaching hospital, the Indiana
University Health Ball Memorial Hospital fully embraced the project’s vision and committed $3
million as well as other resources to the effort. Its partnership with the project allows for the
added focus on offering training in specific areas of the health care field, such as supply chain,
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patient transport, dietary, guest relations, and environmental service areas that also will be an
option of study in the program with potential internship and employment opportunities.
Thr3e Wise Men Brewing Company: Founded by Ball State University alumnus Scott Wise,
the parent company (A Pots and Pans Production, LLC) operates several restaurants in Central
Indiana, including the original Scotty’s Brewhouse in The Village near the BSU campus and
other cities and college towns throughout Indiana. A restaurant and pub in the hotel will feature
craft beer and food ranging from a full appetizer menu to both lunch and dinner options
specializing in salads, sandwiches, pizzas, and Calzones. The atmosphere is a young-adult
friendly pub with good food and entertainment focusing on music and community events. Mr.
Wise is a civic-minded businessman who is on the board of directors for the Indiana Restaurant
& Lodging Association, which endorses the program’s hospitality and food services study
components.
HOTEL VENUE
Physical Property
The $30 million site for the hotel will be branded as the Courtyard Muncie at the Horizon
Convention Center. It will be a six-story, 150-guest room facility with the guest rooms
occupying the second through sixth floors. As a distinctive feature of the décor, each guest room
will contain an original, handcrafted piece of artwork created by an Indiana artist with a
disability and sponsored by an individual or organization patron. The entire first floor of the
hotel will include the guest lobby, several small retail shops, Thr3e Wise Men Brewing
Company, and the Erskine Green Training Institute (see Appendix B). The hotel also will offer a
bistro/coffee shop, swimming pool, exercise room, business center, and meeting rooms for up to
40-60 people.
In addition to the walkway to the Horizon Convention Center, an adjacent three-story, 400-space
parking garage is being built to accommodate hotel guests and other visitors to the downtown
area. The Muncie Children’s Museum is situated between the convention center and hotel.
Within walking distance of the complex are a number of locally owned shops, eateries, pubs, and
coffee shops as well as a mass transit hub to reach other parts of the city, including the Ball State
University campus and a heavy retail presence of stores and restaurants on the north side.
Construction of the hotel is expected to be completed in October 2015 and following 8-10 weeks
of final finishes and staff training, the grand opening will take place in December 2015. The first
training class for students will begin in January 2016. When in full operation, the hotel and
associated retail offerings on the site will employ approximately 130 people, 20% of which will
be individuals with disabilities.
Target Markets
The target markets for the hotel are consumers and business/organizational customers that may
or may not be attending events at the convention center, but nevertheless traveling and in need of
overnight lodging with the desired amenities. Courtyard describes its target guests as “Proud
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Accomplishers: This self-reliant guest is purposeful in all aspects of life, valuing recognition for
their achievements and smart choices. They seek just the right options to support their ambitious
work ethic, and a casually cool vibe to kick back a little” (Courtyard, 2015).
Among the consumers will likely be parents and other guests of students at Ball State University.
The highest concentration of local hotels are located just north of campus and include such
brands as Hampton Inn and Suites, Fairfield Inn, Days Inn, Baymont Inn and Suites, Comfort Inn
and Suites, and Holiday Inn Express. These properties tend to sellout for large events such as
BSU’s Homecoming Weekend and generally see strong bookings for other sports and
entertainment activities in the area that draw overnight guests.
SOCIAL MEDIA FOCUS
Current Trends
By 2019, social media marketing is expected to make up almost one-fourth of organizations’
marketing budgets. The reason is in the numbers. More than 1.4 billion Internet users accessed
social media sites in 2012, and with the growing popularity of social networks via mobile
devices, usage is anticipated to only increase. While Facebook is the leader among social
media networks, other sites have seen rapid growth. Instagram, Twitter, and Snapchat are just a
few of the sites that are drawing more users each month in the global market (Leading social
networks, 2015).
One of the challenges organizations face in developing effective social media strategies is
choosing a network that is relevant to their target markets. Even when such a choice is
determined, the organization may find that what was relevant one day may not be relevant in
six months – or sooner. Another challenge for organizations is the monitoring and management
of a social media campaign. Some, particularly smaller organizations, have found it can be a
daunting task, often requiring internal resources that either don’t exist or begin stretching
existing ones beyond their means. Consequently, entering into a social media campaign
requires considerably more research and planning than simply signing up on the most popular
sites and waiting for results. In order to be successful in social media marketing today,
organizations not only have to be online with the applicable sites, but must continually engage
users, monitor audience, create fresh content, and analyze data and competitors.
Courtyard Applications
The distinctiveness of a teaching hotel and training institute for people with disabilities creates
enormous social media opportunities. Of course, with opportunity comes potential risk,
particularly when dealing with all the varying elements associated with the project. As Jill
Vaught of The Arc of Indiana Foundation pointed out, “while there’s an obvious business aspect
to this venture as far as making a profit, it is not more important than the students. They are why
we are doing this.” To that end, Ms. Vaught noted that consistent messaging and a focus on the
mission in establishing the teaching hotel is paramount, including suitable language in both tone
and delivery when discussing the students. “We take a people-first approach to all of our
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communication,” said Ms. Vaught, who will have final sign-off on all communication initiated
about the hotel as it relates directly to the Erskine Green Training Institute and its work.
Likewise, Michelle Laird of General Hotels Corporation places high importance in how
messages are conveyed and responses determined. She noted that General Hotels Corporation is
no stranger to social media campaigns for its properties, but admits the intricacies of the project
in Muncie make it a bit more challenging. “We want messaging to focus on why people would
want to stay at the hotel,” said Ms. Laird. “But it’s much more than just that.” Ms. Laird will be
working closely with Ms. Vaught to design and deliver the appropriate messages when
communicating about the hotel’s many and varied stakeholders. The two collaborated on the
launch of an initial Facebook page for the hotel (https://www.facebook.com/
CourtyardMuncieAtHorizonConventionCenter) in July that highlights the project’s progress and
provides an informative overview video about the scope and mission of the venture. Activity on
Twitter began around April with postings by General Hotels Corporation and Horizon
Convention Center. This pre-opening type of communication can be somewhat limited in focus,
but will expand as the project moves closer to completion and into next year when operations
both in the hotel and training institute begin regular day-to-day activities. At that time, messages
can be much more varied and engaging with audiences.
Another component, both online and in actual guest interactions at the hotel, is building an
environment of comfort and respect. Ms. Vaught admitted that some aspects of it are still
unknown. She said that while some groups representing religious and organizations for
individuals with disabilities will be strong advocates, others may be more cautious. “We have to
be as transparent as possible about what we’re doing here and why,” said Ms. Vaught. “But we’ll
also offer some guidance on etiquette for those that are unsure.” Laura Koenker, general manager
for the hotel, said she is not worried about acceptance by guests. “We believe guests will
embrace it as we have,” she said. Advance bookings for the hotel have already begun, according
to Amy Logan, director of sales. “We have at least six convention center groups already
committed in 2016,” she said.
MARKETING BUDGET
The cost of designing and implementing a social media strategy can vary by organization and its
capabilities for doing the work itself or having to outsource it. Those organizations without the
internal resources will find outsourcing can come with a hefty price tag. For example, launching
a new presence on Twitter and outsourcing all content creation and customer interaction can
range from $1,000 to $7,500 per month. Similarly, launching a Facebook page with all content
creation and customer interaction being outsourced will be in the $2,500 to $9,000 range per
month. Creation of a comprehensive social media strategy with outsourcing of all content
creation for a minimum of two channels will range from $3,000 to $20,000 per month (How
Much, 2015).
For the most part, General Hotels Corporation manages its social media presence in-house. Ms.
Laird oversees that function and splits her time on it between the firm’s 31 properties. She
indicated the costs generally follow the industry’s standards. According to Vizergy, a basic rule
for digital marketing budgets, including all components of Internet and mobile engagement with
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customers, is to allocate the same percentage to digital from overall marketing as the percentage
of overall room revenue that originated from digital sources (Lanz, 2014). As with any new
product launch that has no sales history, looking at comparable products – in this case Midwest
hotels with 150 guest rooms outside of major urban areas – would provide the variables for
consideration. The caution is that marketing budgets implementing social media strategies should
not be considered open ended, but rather calculated as a percentage of expected return in sales
revenue from the specific effort. This makes the effort a measurable objective that can be viewed
against other marketing initiatives for overall effectiveness.
CHALLENGES GOING FORWARD
With sensitivity to the hotel’s students/employees with disabilities as well as hotel guests and the
project’s partners, Ms. Laird has the following specific goals to address in developing and
implementing a social media strategy:
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Increasing brand awareness
Encouraging customer engagement
Supporting Courtyard by Marriott brand positioning
Defining the project’s uniqueness relative to Arc Innovations and the Erskine Green
Training Institute for people with disabilities
Clearly communicating about the partners and their respective involvement
Targeting transient travel (business and leisure) and groups, including corporate,
association, and SMERF (social, military, education, religious, and fraternal)
Identifying appropriate social channels and establishing channel objectives
As Ms. Laird and her colleagues and staff prepare for the hotel’s grand opening, the urgency for
a well-planned campaign has become paramount.
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REFERENCES
About Us. Horizon Convention Center (2015). Retrieved from
http://www.horizonconvention.com/main/about-us/
Core Values & Heritage. About Marriott. Marriott (2015). Retrieved from
http://www.marriott.com/culture-and-values/core-values.mi
Courtyard by Marriott Development Brochure, U.S. and Canada. Marriott (2015). Retrieved
from https://c03ccb602f304983f5866d2431fd9b6a841c5261996358a6ce31.ssl.cf2.rackcdn.com/content/uploads/CourtyardBrochure-Final.pdf
How Much Does Social Media Marketing Cost? The Content Factory (2015). Retrieved from
http://www.contentfac.com/how-much-does-social-media-marketing-cost/
Koenker, Laura. Phone interview on July 24, 2015.
Laird, Michelle. Phone interview on July 24, 2015.
Lanz, L., Pete, L., & Bagley, E. S. The Digital Direction: Hotel Marketing Budgets and a Digital
101 for Hotels – Part 1 (February 24, 2014). Hotel Online. Retrieved from http://www.hotelonline.com/press_releases/release/the-digital-direction-hotel-marketing-budgets-and-a-digital101-for-hotels
Leading social networks worldwide. Statista (2015). Retrieved from
http://www.statista.com/statistics/272014/global-social-networks-ranked-by-number-of-users/
Logan, Amy. Personal interview on June 25, 2015.
Logan, Amy. Phone interview on July 24, 2015.
Nannen, Leslie. Personal interview on June 25, 2015.
Newsroom. General Hotels Corporation (2015). Retrieved from
http://genhotels.com/index.php/newsroom
The Arc of Indiana (2015). Retrieved from http://www.arcind.org
Vaught, Jill. Personal interview on June 25, 2015.
Vaught, Jill. Personal interview on July 20, 2015.
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Appendix A
Relationship of Public / Private Partnerships
The Arc of Indiana
The Arc Development Group, LLC
The Arc of Indiana Foundation
Erskine Green Training Institute
-­‐ Courtyard by Marriott (hospitality)
-­‐ Thr3e Wise Men Brewing Company
(food services)
-­‐ IU Health Ball Memorial Hospital
(health care)
State of Indiana
Indiana Economic Development Corp.
City of Muncie
Muncie Downtown Development Partnership
Horizon Convention Center
Arc Innovations (hotel owner)
-­‐ General Hotels Corporation (hotel
operator)
-­‐ Marriott (hotel brand)
-­‐
Courtyard (Select Service brand
of Marriott)
-­‐ Thr3e Wise Men Brewing Company
(restaurant/pub)
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Appendix B
First Floor Map of Courtyard Muncie at Horizon Convention Center
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