MARKETING MIX STRATEGIES AND ORGANIZATIONAL PERFORMANCE OF CLASSIFIED HOTELS IN THE WESTERN REGION OF KENYA
Abstract
The hotel industry in Western Kenya is a key economic pillar, contributing ~10% of GDP and providing significant employment. Despite this, occupancy rates dropped from 37% in 2018 to 19% in 2020, averaging 25.2% between 2020 and 2024, below the 30–40% break-even threshold, highlighting performance volatility and raising concerns over financial sustainability. While many studies have focused on tourist behavior and satisfaction, limited attention has been given to the hotel industry's role in tourism performance. The general objective of this study was to examine the influence of marketing mix strategies on the organizational performance of classified hotels in western region, Kenya. The specific objectives of the study were; examine the influence of place on the organizational performance, to analyse the influence of promotion on the organizational performance, to establish the influence of price on the organizational performance and to examine the influence of people on the organizational performance of classified hotels in western region, Kenya. The study was anchored on the marketing mix theory. This research adopted a positivist research paradigm. The study employed a descriptive research design. The study targeted a total of 353 respondents drawn from 49 classified hotels in the Western Region of Kenya, including 49 Hotel General Managers, 49 Marketing Managers, 49 Customer Relations Officers, 49 Front Office Managers, 49 Food and Beverage Supervisors, 10 Tourism Officers, and 98 Waitstaff. The study adopted Yamane’s sample size formula. Stratified random sampling was used in selecting 188 respondents. Data was collected using questionnaires. Both descriptive statistics (mean, frequency, percentages, and standard deviation) and inferential statistics (multiple linear regression and correlation analysis) were used for data analysis with the help of SPSS. The study findings indicated that marketing mix components explains 63.4% of the variability in organizational performance of classified hotels. Further, the study findings indicated that place, promotion, price and people have a positive and statistically significant effect on organizational performance of classified hotels in Western Kenya. Specifically, the regression results showed that place had a regression coefficient of β = 0.458 (p = 0.009), indicating a positive and significant effect on organizational performance. Promotion had a regression coefficient of β = 0.681 (p = 0.001), showing the strongest positive and significant influence on organizational performance. Price recorded a regression coefficient of β = 0.594 (p = 0.000), indicating that competitive pricing significantly improves hotel performance. Finally, people had a regression coefficient of β = 0.351 (p = 0.000), demonstrating that employee competence and service delivery significantly enhance hotel performance. The study recommends that classified hotels in the Western Region of Kenya should strengthen the implementation of marketing mix strategies by improving accessibility and strategic location of their facilities, enhancing promotional activities, adopting competitive and flexible pricing strategies, and investing in staff training and development.
JEL: M30 M31, M37, M38
Full Text:
PDFReferences
Admasu, D., Samanta, S., & Singh, S. (2022). The effect of marketing mix elements on the tourist's travelling decisions during covid: empirical evidence from Arba Minch, Ethiopia. Journal of Jilin University (Engineering and Technology Edition), 41(9), 161-181. Retrieved from https://scholar.google.com/citations?view_op=view_citation&hl=en&user=_FOCsZwAAAAJ&citation_for_view=_FOCsZwAAAAJ:zYLM7Y9cAGgC
Alastair, M. M. (2013). Marketing and managing tourism destinations. Routledge: Taylor Francis Group. Retrieved from https://www.routledge.com/Marketing-and-Managing-Tourism-Destinations/Morrison/p/book/9781032380698
Amadi, K. (2020). Effect of marketing mix on customer loyalty and satisfaction in food and beverage restaurants in Kenya. International Journal of Recent Research in Commerce Economics and Management (IJRRCEM), 7(1), 68-76. Retrieved from https://www.paperpublications.org/upload/book/EFFECT%20OF%20MARKETING%20MIX-1480.pdf
Amara, D. F., & Negm, E. M. (2022). Seaport marketing strategies and its impact on customer satisfaction. Journal of Business and Retail Management Research (JBRMR, 17(1), 61-69. Retrieved from https://jbrmr.com/cdn/article_file/2022-10-31-16-50-15-PM.pdf
Antoni, Yuliviona, R., Kamela, I., & Irwan, M. (2020). The effect of marketing mix on tourist decision in Mandeh island west Sumatra, Indonesia. Menara Ekonomi, 6(1), 111. Retrieved from https://jurnal.umsb.ac.id/index.php/menaraekonomi/article/view/1834
Barkah, Listiana, E., & Pebrianti, W. (2020). Measuring the domestic and foreign tourists' satisfaction towards the tourism marketing mix in the Equator city. Tanjungpura International Journal on Dynamis Economic, Social Sciences and Agribusiness, 1(1), 49-65. Retrieved from https://jurnal.untan.ac.id/index.php/TIJDESSA/article/download/41494/pdf
Bennett, A. R. (2017b). The five Ps: A Buyer's perspective of the marketing mix. Marketing Intelligence and Planning, 15(3), 151-156. Retrieved from https://www.semanticscholar.org/paper/The-five-Vs-%E2%80%90-a-buyer%E2%80%99s-perspective-of-the-mix-Bennett/4a3f2374daa00c276afa9076bd9b4fb92c9c1b84
Borden, N. H. (1965). The Concept of the Marketing Mix. In G. Schwartz, Science in Marketing (pp. 386-397). New York: John Wiley & Sons. Retrieved from https://www.guillaumenicaise.com/wp-content/uploads/2013/10/Borden-1984_The-concept-of-marketing-mix.pdf
Chaudhary, M. (2015). Tourism marketing. Oxford: Oxford Publications. Retrieved from https://www.biblio.com/book/tourism-marketing-manjula-chaudhary/d/1470991820
Coban, S. (2021). The effects of the image of destination on tourist satisfaction and loyalty: The case of Cappadocia. European Journal of Social Sciences, 29(2), 222-232. Retrieved from https://www.researchgate.net/publication/267265793_The_Effects_of_the_Image_of_Destination_on_Tourist_Satisfaction_and_Loyalty_The_Case_of_Cappadocia
Culliton, J. W. (1948). The Management of Marketing Costs. Boston: Harvard University. Retrieved from https://books.google.ro/books/about/The_Management_of_Marketing_Costs.html?id=DRy3AAAAIAAJ&redir_esc=y
Deloitte Development. (2019). Medical Tourism: Update and implications. UK: Deloitte LLC. Retrieved from https://www.globalwellnesssummit.com/wp-content/uploads/Industry-Research/Americas/2009-deloitte-medical-tourism-implications.pdf
Fattah, A., & Al-Azzam, M. (2016). A study of the impact of marketing mix for attracting medical tourism in Jordan. International Journal of Marketing Studies, 8(1), 139-149. https://doi.org/10.5539/ijms.v8n1p139
Gil-Cordero, E., Ledesma-Chaves, P., & Sungho. (2023). Luxury tourism and purchase intention factors: a mixed approach applied to luxury goods. Humanities and Social Sciences Communications, 10(472), 1-20. Retrieved from https://www.nature.com/articles/s41599-023-01981-8
Govender, J. P., & Tushya, L. (2016). The influence of green marketing on consumer purchase behavior. Environmental Economics, 7(2), 77-85. https://doi.org/10.21511/ee.07(2).2016.8
Gunarekha, B. S., & Binoy, T. A. (2019). Tourism marketing mix and tourist satisfaction-a study. Journal of Emerging Technologies and Innovative Research (JETIR), 6(6), 886-893. Retrieved from https://www.jetir.org/papers/JETIR1906I07.pdf
Hariani, D., Hammadi, F., Tinggi, S., & Bogor, P. (2021). The relationship between marketing mix and Jbound visitors decision making. Journal Inovasi Penilitian, 2(7), 2019-2028. Retrieved from https://garuda.kemdiktisaintek.go.id/documents/detail/2518487
Hasan, M., & Islam, M. F. (2020). The effect of marketing mix (7Ps’) on tourists’ satisfaction: A study on Cumilla. The Cost and Management, 48(2), 30-40. Retrieved from https://www.researchgate.net/publication/342365209_The_Effect_of_Marketing_Mix_7Ps'_on_Tourists'_Satisfaction_A_Study_on_Cumilla
Henri, H. L., Hakim, L., & Batoro, J. (2017). Ecotourism development strategy of Pelawan forest in Central Bangka, Bangka Belitung. Journal of Indonesian Tourism and Development Studies, 5(3), 145-154. Retrieved from https://doi.org/10.21776/ub.jitode.2017.005.03.02
Huang, H., Chang, Y., Yeh, C., & Liao, C. (2014). Hospitality Management. International Journal of Contemporary Sciences, 26(7), 1065-1082.
Ikinci, Y., & Eraqi, M. I. (2006). From destination image to destination branding: An emerging area of research. Review of Tourism Research, 1(2), 1-4. Retrieved from https://ertr.tamu.edu/files/2012/09/138_c-1-2-1.pdf
Ismail, M., & Hilal, M. (2019). The effects of services marketing mix elements on brand equity and customer response of tourist hotels in the east coast of Sri Lanka. International Journal of Innovative Technology and Exploring Engineering (IJITEE), 8(11), 249-259. https://doi.org/10.35940/ijitee.K1039.09811S219
Johnston, R. (2018). What is known about the effects of medical tourism in destination and departure countries? A scoping review. Int J Equity Health, 9(1), 17-24. https://doi.org/10.1186/1475-9276-9-24
Jumadi, Kartini, D. Y., Indiastuti, R., & Hasan, M. (2017). External Marketing, people, government policy and T-Serqual toward customer satisfaction in Indonesia tourism industry. International Journal of Management, Accounting and Economics, 4(1), 4355. Retrieved from https://www.researchgate.net/publication/316188935_External_Marketing_Government_Policy_and_T-Serqual_toward_Customer_Satisfaction_in_Indonesia_Tourism_Industry
Kadhim, F. A., & Mahir, A. (2016). Effects of marketing mix on customer satisfaction: an empirical study on tourism industry in Malaysia. International Journal of Applied Research, 2(2), 357-360.
Kalulu, R., Callixte, K., Tushabe, E., & Niyinderera, P. (2020). Rwanda’s innovative marketing strategies and influence on tourism development: Case of northern tourist destinations in Rwanda. Journal of Research Innovation and Implications in Education, 4(2), 70-83. Retrieved from https://jriiejournal.com/wp-content/uploads/2020/04/JRIIE-4-2-009.pdf
Kamau, F., Waweru, F. K., Lewa, P., & Misiko, A. J. (2015). The effects of the marketing mix on choice of tourist accommodation by domestic tourists. International Journal of Novel Research in Marketing Management and Economics, 2(2), 25-34. Retrieved from https://www.noveltyjournals.com/upload/paper/The%20Effects%20of%20the%20Marketing%20Mix-218.pdf
Karim, R., Latip, N. A., Marzuki, A., Haider, S., Nelofar, M., & Muhammad, F. (2013). The impact of 4Ps marketing mix in tourism development in the mountain areas: A case study. International Journal of Economics and Business Administration, 9(2), 231245. Retrieved from https://ijeba.com/journal/700
Karsono, L. D., & Salma, L. F. (2023). The impact of 9P’s of marketing mix strategy towards the decision to purchase halal tourism services. Journal of Islamic Economics Lariba, 9(1), 1-18. Retrieved from https://doi.org/10.20885/jielariba.vol9.iss1.art1
Kasirye, F. (2022). The impact of 4P's of marketing on student's purchase decisions in University mini-marts in Malaysia. International Islamic University Malaysia, Retrieved from https://doi.org/10.21203/rs.3.rs-1899410/v1
Kenya Economic Report. (2009). Building a globally competitive economy. Nairobi: The Kenya Institute for Public Policy Research and Analysis. Retrieved from https://books.google.ro/books/about/Kenya_Economic_Report_2009.html?id=BnnkSAAACAAJ&redir_esc=y
Kotler, P., Ang, S. H., Leong, S. M., & Tan, C. T. (2019). Marketing Management: An Asian perspective. 2nd. Prentice Hall. Retrieved from https://ink.library.smu.edu.sg/lkcsb_research/137/
Marita, N. N. (2017). Effect of marketing strategies on tourist choice of Maasai mara national reserve, Kenya. Thesis submission, Moi University. Eldoret.
Mayaka, M., & Prasad, H. (2012). Tourism in Kenya: An analysis of strategic issues and challenges. Tourism Management Perspectives, 1, 48-56. Retrieved from https://doi.org/10.1016/j.tmp.2011.12.008
McCarthy, E. J. (1964). Basic Marketing. Homewood, IL. Retrieved from https://books.google.ro/books/about/Basic_Marketing.html?id=8muCHAAACAAJ&redir_esc=y
Mehta, V. (2021). A study of service marketing mix, service quality and brand reputation intention to use the hotel services: A case study of 5-star hotel in Bangkok. A master’s thesis. Bangkok University. Retrieved from http://dspace.bu.ac.th/bitstream/123456789/5469/1/vivek_meht.pdf
Ministry of Tourism and Wildlife. (2020). New Tourism Strategy for Kenya 2021-2025. Nairobi: Republic of Kenya.
Muala, A., & Qurneh, M. (2012). Assessing the relationship between marketing mix and loyalty through tourist’s satisfaction in Jordan curative tourism. American Academic & Scholarly Research Journal, 4(2), 1-14. Retrieved from https://www.naturalspublishing.com/files/published/98215j42pp8u4h.pdf
Mucai, P. G., Mbaeh, E. G., & Noor, I. H. (2013). Extended marketing mix and customer’s satisfaction in classified non-star hotels in Meru municipality, Kenya. International Review of Management and Business Research, 2(3), 691-696. Retrieved from https://www.irmbrjournal.com/papers/1379413070.pdf
Mutinda, R., & Mayaka, M. (2012). Application of destination choice model: Factors influencing domestic tourists’ destination choice among residents of Nairobi, Kenya. Tourism Management, 33(6), 1593-1597. Retrieved from https://www.researchgate.net/publication/275649754_Application_of_destination_choice_model_Factors_influencing_domestic_tourists_destination_choice_among_residents_of_Nairobi_Kenya
Nigatu, T. F. (2016). Potentiality assessment for ecotourism development in Dida Hara conservation site of Borena National Park, Ethiopia. International Journal of Tourism & Hospitality Reviews, 2(1), 45-59. Retrieved from https://scispace.com/pdf/potentiality-assessment-for-ecotourism-development-in-dida-571wh6xp4z.pdf
Nouri, B. A., & Soltani, M. (2015). Evaluating the effect of tourism marketing mix on buying holiday homes in Cyprus. International Journal of Business Administration, 6(5), 6374. Retrieved from https://ideas.repec.org/a/jfr/ijba11/v6y2015i5p63-74.html
Palmer, A. (2004). Introduction to marketing: Theory and practice. Oxford University Press. Retrieved from https://books.google.ro/books/about/Introduction_to_Marketing.html?id=I6mhQgAACAAJ&redir_esc=y
Permatasari, M. (2019). The influence of marketing mix on guest purchase decisions at Gumilang Regency Bandung Hotel. Advances in Economics, Business and Management Research, 111, 225-232. Retrieved from https://www.atlantis-press.com/proceedings/icoborot-18/125929490
Petmee, P., Khowjoy, K., & Phakamach, V. (2020). A study on consumer-based marketing management: Interesting research on marketing mix strategies in Thai businesses. International Journal of Business and Management Invention (IJBMI), 11(12), 25-30.
Prihatin, E., & Syahnur, M. H. (2020). Marketing mix practice theory on tourism decision making in Makassar city. Journal of Humanities and Social Science (IOSR-JHSS), 25(7), 38-42. Retrieved from https://www.semanticscholar.org/paper/Marketing-Mix-Practice-Theory-on-Tourism-Decision-Prihatin-Syahnur/94e75535c29d2a9ff921d13bc751820e8a0356f8
Pushpanathan, A., Silva, S., & Dhananjani, S. (2020). Green marketing mix and customer purchase intention: evidnce form tourist hotel. Journal of Marketing, 5(2), 22-34. Retrieved from https://www.seu.ac.lk/seusljm/publication/volume5/2/JM5_13.pdf
Puspitarini, C. R., & Anggraini, I. (2019). Trickle-down economics: an economic development study of Mount Bromo in Ngadisari village, Sukapura district, Probolinggo Regency, East Java. Journal of Indonesian Tourism and Development Studies, 7(3), 131-139. https://doi.org/10.21776/ub.jitode.2019.007.03.01
Putra, Q. E., Tariga, Z. H., Sitepu, R., & Singh, S. K. (2020). The Impact of Marketing Mix on the Consumer Purchase Decision in the Surabaya - Indonesia. SHS Web of Conferences, 76(38), 1-8. Retrieved from https://doi.org/10.1051/shsconf/20207601038
Rad, H. S., & Akbari, Z. (2018). The role of brand and advertising in marketing mix: A review of marketing mix). Interdisciplinary journal of contemporary research in business, 6(7), 114-127.
Rajju, M. (2019). Marketing of hospitality and tourism. Delhi: Mangalam publications.
Relifra, R., & Wardi, Y. (2021). The effect of tourism service marketing mix, destination image and tourist motivation on tourist satisfaction tourism in Bukit Khayangan tourism object Sungai Penuh city, Jambi province. Advances in Economics, Business and Management Research, 222(3), 159-169. https://doi.org/10.2991/aebmr.k.220702.024
Rusmiati, N. N., & Sastri, A. M. (2020). The influence of marketing mix on tourists’ decision to stay at hotels in Denpasar. WARDS, 2(3), 1-11. Retrieved from https://eudl.eu/pdf/10.4108/eai.21-12-2020.2305842
Sadeh, E., Asgari, F., Mousavi, L., & Sadeh, S. (2021). Factors affecting tourist satisfaction and its consequences. Journal Basic. Appl. Sci. Res, 2(2), 1557-1560. Retrieved from https://www.academia.edu/126133145/Factors_Affecting_Tourist_Satisfaction_and_Its_Consequences
Saunders, M., Lewis, P. & Thornhill, A. (2012). Research Methods for Business Students. 6th edition, Pearson Education Limited. Retrieved from https://www.researchgate.net/publication/240218229_Research_Methods_for_Business_Students
Satit, R. P., Tat, H. H., Rasli, A., & Chin, T. A. (2022). The relationship between marketing mix and customer decision-making over travel agents: An empirical study. International Journal of Academic Research in Business and Social Sciences, 2(6), 522-527. Retrieved from https://www.researchgate.net/publication/265251058_The_Relationship_Between_Marketing_Mix_And_Customer_Decision-Making_Over_Travel_Agents_An_Empirical_Study
Satit, R. P., Tat, H. H., Rasli, A., & Chin, T. A. (2022). The relationship between marketing mix and customer decision-making over travel agents: An empirical study. International Journal of Academic Research in Business and Social Sciences, 2(6), 522-530. Retrieved from https://www.researchgate.net/publication/265251058_The_Relationship_Between_Marketing_Mix_And_Customer_Decision-Making_Over_Travel_Agents_An_Empirical_Study
Shahijan, M. K., Rezaei, S., & Ami, M. (2018). Cruisers’ experience, service convenience, values satisfaction and revisit intention. International Journal of Quality & Reliability Management, 35(10), 2304-2327. https://doi.org/10.1108/IJQRM-07-2017-0135
Soonsan, N., & Makka, P. (2017). Marketing mix approaches in behavioural intention to souvenir-purchase: A comparative study. Silpakorn University Journal of Social Sciences, Humanities, and Arts, 17(2), 175-202. Retrieved from https://www.thaiscience.info/journals/Article/SUIJ/10986846.pdf
Spasojevic, M., & Susic, V. (2011). Development perspectives of new destinations in medical tourism. International journal of Business, Management and Social sciences, 2(3), 913.
The Kakamega County Tourism Act. (2014, September 8). Kenya gazette supplement: Kakamega county Acts, 2014. Nairobi, Kenya: Republic of Kenya.
Tielung, M. V., & Untu, V. N. (2021). Marketing mix effect on customer satisfaction on the tourism in Tomohon city. International Journal of Research, 19(1), 25-36. https://doi.org/10.29121/granthaalayah.v9.i1.2021.2870
Tulel, P. C., Ombaka, B., & Kariuki, A. (2020). The effects of destination marketing on tourism performance in West Pokot County. Africa Journal of Technical & Vocational Education & Training, 5(1), 96-108.
Utami, F., Arisondha, E., & Wahyudi, T. (2021). The effect of price, promotion, and location to the interest of tourist to revisit Banten Lama, Indonesia. Shaping a Better Future Through Sustainable Technology. Indonesia: SCITEPRESS – Science and Technology Publications, Lda. Retrieved from https://www.scitepress.org/Papers/2020/103557/103557.pdf
Wachira, L. W. (2019). Marketing mix and growth of selected hotels in Nyeri county, Kenya. Thesis submitted to Dedan Kimathi University of Technology. Nyeri, Kenya. Retrieved from https://repository.dkut.ac.ke:8080/xmlui/bitstream/handle/123456789/4606/Lucy%20Wangui.pdf?sequence=1&isAllowed=y
World Travel and Tourism Council (2022). Cities economic impact report, 2022. London: World Travel and Tourism Council.
Yeo, G. T., Thai, V., & Roh, S. Y. (2015). An analysis of port service quality and customer satisfaction: The case of Korean container ports. The Asian Journal of Shipping and Logistics, 31(4), 437-447. https://doi.org/10.1016/j.ajsl.2016.01.002
DOI: http://dx.doi.org/10.46827/ejmms.v11i1.2192
Refbacks
- There are currently no refbacks.
Copyright (c) 2026 Yvone Tunai Lumumba, Fozia Nurwin, Margaret Atieno
This work is licensed under a Creative Commons Attribution 4.0 International License.
The research works published in this journal are free to be accessed. They can be shared (copied and redistributed in any medium or format) and\or adapted (remixed, transformed, and built upon the material for any purpose, commercially and\or not commercially) under the following terms: attribution (appropriate credit must be given indicating original authors, research work name and publication name mentioning if changes were made) and without adding additional restrictions (without restricting others from doing anything the actual license permits). Authors retain the full copyright of their published research works and cannot revoke these freedoms as long as the license terms are followed.
Copyright © 2017-2026. European Journal of Management and Marketing Studies (ISSN 2501 - 9988) is a registered trademark of Open Access Publishing Group. All rights reserved.
This journal is a serial publication uniquely identified by an International Standard Serial Number (ISSN) serial number certificate issued by Romanian National Library. All the research works are uniquely identified by a CrossRef DOI digital object identifier supplied by indexing and repository platforms. All the research works published on this journal are meeting the Open Access Publishing requirements and standards formulated by Budapest Open Access Initiative (2002), the Bethesda Statement on Open Access Publishing (2003) and Berlin Declaration on Open Access to Knowledge in the Sciences and Humanities (2003) and can be freely accessed, shared, modified, distributed and used in educational, commercial and non-commercial purposes under a Creative Commons Attribution 4.0 International License. Copyrights of the published research works are retained by authors.
