Abstract:
The Pakistan hotel industry like other countries’ hotel industry has been suffering for the last few years from low revenue and profitability issues. Recession’s contribution behind this decline of hotel industry in Pakistan is being studied. Date collected proved that a large percentage of customers have reduced their stays or visits to hotels during the last few years because of their deteriorating financial conditions. The study of the marketing strategies being applied by the top hotels of Islamabad and Rawalpindi to survive during recession are studied. The weaknesses or issues in the present applied marketing strategies are being identified following with some suggestions and recommendations. Besides, the possibility of another factor namely Terrorism, contributing along recession in the decline of Pakistan hotel industry, is also being studied. The study shows that although recession has disturbed the revenue earning of the hotel industry but this is not the only big cause behind the present decline. Terrorism, in the Pakistani scenario, is affecting the hotel industry even more adversely than recession. Thus, making smart choices about marketing strategies to survive the recession is not the only important step that the hoteliers have to take. Hoteliers have to ensure the safety of their hotels and its awareness to the customers as well to re-attract them.
