Marketing Management - Suria Klcc

1.0 Introduction

Suria KLCC is one of the world tallest and well-known buildings in world. Suria KLCC remains its position as leading retail centre in the country. It is owned by company named KLCC Property Holdings Berhad (KLCCP). In every by year, revenue recognition of KLCCP is increasing by rental income, car park operation, building and facilities management fees, hotel operations, and interest and dividend income. Meanwhile, all these are customers of KLCCP. In order to gain more visitors, KLCCP has the marketing plan to satisfy a customer's needs and wants. (KLCCP, 2008)

2.0 Element of Marketing Mix

Marketing mix is a combination of marketing tools that satisfy a want and need in order to retain and attract more customers. In other words, the used of marketing mix is to understand what or how to make a good marketing work to achieve the business objective or marketing strategy. A market is controlled by variables of marketing mix which also called 4P's of marketing. The element of 4P's of marketing can be categories as follow:

* Price

* Place

* Product

* Promotion

(Source:http://marketing.about.com/od/marketingplanandstrategy/a/marketingmix.htm)

Since KLCC is a one of main tourist attraction in Malaysia, therefore KLCC also need a marketing mix to further understand how to achieve their marketing strategies and plan in order to increase sales and retain or get more customers. In addition, it has becomes a very popular tourist attraction worldwide.

2.1. Price

Pricing must be very competitive to create sales revenue or earn profit for the organization. Moreover, other marketing mix such as a product feature, promotion and channel decision are affected and supported by pricing as well as all are costs involved. Methods are directly related to these few factors such as fixed and variable costs, competition, company objective, proposed positioning strategies and target group and customers that have strong spending ability. (Source: http://www.learnmarketing.net/Price.htm)

As we know, Suria KLCC is targeted for high-end and selling luxury brand. In other words, Suria KLCC is always given "5 stars" image shopping mall to tourists. Thus, KLCCP has used one of pricing strategies which is premium pricing. It is use the product that setting of higher price than other product and to reflect exclusiveness or quality of the product from other product. In Suria KLCC, the rental fees, the car park rate and the luxury products are offer higher price than other shopping mall. So, it represents a concept of pricing which is the higher price the higher value or quality, the price increase mean the value also up level.

2.2 Place

Suria KLCC is a Golden Triangle of Kuala Lumpur and is a strategic location where it is located at the centre city of Malaysia and it is surrounded by Petronas Twin Tower, KL Tower, hotels, office building, Scenic Park and dancing fountains. It is a very convenience place to attract more tourists to access Suria KLCC. In Kuala Lumpur, there is good transport facilities provided such as Putra Light Rail Transit (LRT), busses and taxi. Tourists can easily to access Suria KLCC from different locations such as Kuala Lumpur International Airport (KLIA), KL Central via Putra LRT. An LRT station connects directly to the Suria KLCC on the concourse level. Other than that, the other reason of tourists to visit Suria KLCC might because the parking lot is big enough for tourist or Malaysian, to visit the Petronas Art Gallery and the function of Suria KLCC. Next, channel distribution is also one of the main factors as well. PIKOM had organized the PIKOM PC fair at least once a year at Kuala Lumpur Conversation Centre. It is passing the product through few channel distribution to the end users that's why the visitors can get the cheaper prices from the fair and gain advantages at the same time.

(Source: http://www.klcc.com.my/KLCCWeb/klccp.nsf/F76B777F465FA6E748256D9E00267526/5A7BB0AC7F3DFC14482570C8003488A7?OpenDocument)

2.3 Product

According to Elliott et al (2008), he stated that "product can be tangible and intangible goods as it can be a goods, services, experiences, events, person, idea, activity, etc in an exchange." Product can be offering a goods and services in order to satisfy a needs and wants. Suria KLCC is a famous shopping landmark in Malaysia and it has 6 levels of retail outlets with personalized theme which creates distinctive characters in different levels. Isetan, Parkson Grand, Signatures food court in level 2 and Tanjong Golden Village are the main tenants in Suria KLCC. There are more than 300 specialty stores which offer an array of goods and service to the shopper. The end result would be from a perfect combination of fashion, entertainment, local and international food and arts. Most of the international brands direct import their goods to the specific stores. Other that than, the world class Dewan Filkarmonik Petronas , Kuala Lumpur Convention Centre and Aquaria are nearby Suria KLCC as well. (Source: http://www.suriaklcc.com.my/index.php?module=AboutSuria)

Besides that, the parking bay is considered one of Suria KLCC's products. It is because of it providing ample parking spaces for tourists and locals which generate good income. According to the research, Suria KLCC consists of 4 levels of basement parking which have more than 5,000 parking bays available for the visitors. (Source: http://www.klcc.com.my/KLCCWeb/klccp.nsf/F76B777F465FA6E748256D9E00267526/5A7BB0AC7F3DFC14482570C8003488A7?OpenDocument)

2.4 Promotion

According to Neil H.Borden (1965), promotion is a business's tool available for marketing communication which is called "promotion mix". It consists of combination methods of advertising, sales promotion, public relations, sponsorship, trade fairs and exhibitions and direct mail. All these method are used to attract more and more visitors to visit Suria KLCC in order to increase the sales of retailers. In Suria KLCC, most of the brands are import from other country, therefore promotions are made according to season depending from which country the brand is from, and old season stock has to clear due to season changing. In addition, as of December 2009, the Malaysia Year End Sales (M-YES) was celebrating in Suria KLCC which is called "180 Minutes of Shopping Madness". This event was encouraging shoppers stay