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Boundary S&M Plan 2010
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CONTENTSCONTENTSCONTENTSCONTENTS
OPERATIONS PLANOPERATIONS PLANOPERATIONS PLANOPERATIONS PLANHotel OperationsUnique Selling Points (USP)Information Technology
INDUSTRY AND MARKETPLACEINDUSTRY AND MARKETPLACEINDUSTRY AND MARKETPLACEINDUSTRY AND MARKETPLACE ANALYSISANALYSISANALYSISANALYSISEconomy & Business EnvironmentThe Hotel Industry and The London Hotel MarketplaceThe Direct Competitors
Trends In the IndustryMarket segmentsOur Target Customers
SWOT ANALYSISSWOT ANALYSISSWOT ANALYSISSWOT ANALYSIS
MARKETING STRATEGYMARKETING STRATEGYMARKETING STRATEGYMARKETING STRATEGY
PRICING STRATEGYPRICING STRATEGYPRICING STRATEGYPRICING STRATEGY
Tariff ratesSeasons showing discounted rates and special rates
DISTRIBUTION STRATEGYDISTRIBUTION STRATEGYDISTRIBUTION STRATEGYDISTRIBUTION STRATEGYMarketing partnersDirectory inclusionInternet Marketing
MARKETING PLANMARKETING PLANMARKETING PLANMARKETING PLAN
London Calendar of EventsSales and Initiative PlanMedia Plan
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OPERATIONS PLANOPERATIONS PLANOPERATIONS PLANOPERATIONS PLAN
Hotel OperationsHotel OperationsHotel OperationsHotel Operations
The hotel offers a complete product with services and products synonymous to large hotel chains thus bringing the hotel to the future level of expectation ofthe discerning international traveller.
The hotel has 17 keys, with 5 suites including and is positioned as a quality modern hotel.
The hotel offers:
-
Boundary Restaurant with 137 covers- Boundary Bar with 24 covers- Albion with 80 covers- 1 Private Dining Room
- seating 20-30 boardroom style located in Boundary Restaurant- 24 Hour Room Service- 24 Hour Valet offering 1 hour pressing and refreshing service, same day laundry and dry-cleaning- 24 Hour Concierge- Business Services including laptop hire, video conferencing
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Unique Selling PointsUnique Selling PointsUnique Selling PointsUnique Selling Points
The question always remains as to why a guest should choose your hotel over another. What stands any hotel apart from the next are the unique sellingpoints of the hotel which when looked at together create an experience unique to that property. We believe that our unique selling points are:
1. Location of the hotel on the boundary of the City of London, Shoreditch and Hoxton2. Roof garden3. Complete product4. Intricate design with featured bedrooms and a design ethos throughout5. Complimentary wireless connectivity and low cost telephone rates6. Updated technology with flat screen televisions7.
Wet areas within the bathroom incorporating rain showers8. Meeting Rooms with natural daylight
9. Team & attitude: style & professionalism10. Green technology11. Room size12. Brand Conran13. Restaurant selection
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Guest TechnologyGuest TechnologyGuest TechnologyGuest Technology
We are pleased to offer additional technology to the guests.
Wireless and High Speed Internet AccessIn each guest bedroom there will be high speed internet access through the CAT5 cable and also through wireless connectivity.
Wireless connectivity is also available throughout the ground and lower ground floor with several high speed internet ports in the lounge, restaurant andmeeting rooms.
Guest Bedroom AV Equipment
We are able to provide the complete av package for each guest bedroom. 32 flat screen televisions in all rooms and i-Pod docking stations on demand.
We propose extending the i-pod docking stations so that one is available in every room.
Public Area AV EquipmentA sound system able to generate music, offer presentation capability and direct music selection in the public areas. This provides the capability to play thesame music in each area or different sounds in all areas.
In the meeting rooms all audio visual equipment necessary for the conference market of today is available.
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Quality ControlQuality ControlQuality ControlQuality Control
In order to control the quality and consistency of the services we provide it is proposed that we use the following quality control measures:
1. Telephone RecordingsUsing recording techniques on key internal telephones to check and monitor all calls being made to the rooms team.
2. Mystery AuditsUsing family and friends to start monthly audits will be done within the first 6 months and then quarterly audits thereafter where all areas of thehotel will be tested and monitored.
3.
Product Knowledge TestsBoth departmental and hotel tests will be used weekly to ensure all staff are current with the services and offers of the hotel as well as ensuring allstandards are being met.
4. Monthly Departmental Incentive SchemesDepartmental incentive schemes are a vital part of maintaining staff awareness and by using feedback from guests we will be able to targetperformance issues monthly.
5. Guest AudittingSend a post departure e-mail to every guest seeking opportunity for learning and developing the service and facility.
6. Guest HistoryEnsuring that we create and maintain an efficient and detailed guest history to ensure pro-active service.
7. ResponseStylish & professional response to idiosyncrasies, whims & preferences.
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Chart : GDP Forecasts for EuroZone 2009
FranceThe global financial crisis has dragged France into a recession that will have a protracted impact on its economy. GDP, which had been growing relativelyrobustly for several years, lost its dynamism in the course of 2008 and collapsed in the fourth quarter of that year and in the first quarter of 2009 (falling by-1.4% in both periods). In the second quarter of 2009 it picked up again by a strong +0.3%. The French banking system has been resilient, mainly due tothe predominance of retail banking and relatively sound balance sheets in the corporate sector and the financial sector. Still, the confidence crisis in thebanking sector has entailed a tightening of liquidity and lending conditions. Moreover, the free fall in world trade has taken its toll on the French economy.
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GermanyDue to its large export-oriented manufacturing sector and its specialisation in investment goods, Germany was more exposed to the global trade shocktriggered by the financial crisis than most other economies. As a result, the contraction of real GDP in the second half of 2008 and the first quarter of 2009was among the sharpest of all industrialised countries, fuelled by an unprecedented slump in exports and investment activity. However, thanks to a reboundin exports and a remarkably resilient labour market helped by short-time work measures the German economy bounced back earlier than expected,with positive quarterly real GDP growth returning already in the second quarter of 2009.
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The severity of the current situation and an indication of the long recovery ahead is evident in chart 2 below:
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None of the UK operators consulted expect to see room rate growth this year and nearly half expect a decline of between 2% and 10%while a further 40% expect rates to fall by 10%. In 2010 a third still expect to see further declines, although around another third anticipate
growth. In terms of occupancies three quarters expect a fall in 2009 and over half a 5% decline. For 2010 the respondents are more hopeful;although a quarter still expect flat occupancy and a quarter further declines, many foresee modest growth of up to 2.5%.
Despite gloomy forecasts based on City job cuts and corporate belt-tightening, Londons hotel bust has not been as spectacular as thepreceding boom. So what is helping London and will it continue into 2010? 90% of the respondents thought that the favourable exchangerate has helped London by attracting more visitors from abroad. More than half of our survey respondents thought that discounted leisurepackages contributed to Londons relative resilience. Previously thought by many to be an expensive option, London hotels have temptedtravellers away from the provinces with discounted leisure deals, often encompassing theatre or sporting events. This seems to be the idealtime to see the bright lights of the capital, but it remains to be seen for how long London hotels will be able to continue such heavydiscounting.
ChartChartChartChart 2222: London Hotel: London Hotel: London Hotel: London Hotel Performance 2002Performance 2002Performance 2002Performance 2002 2010201020102010 Hotel Best & Worst TimesHotel Best & Worst TimesHotel Best & Worst TimesHotel Best & Worst Times
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DirectDirectDirectDirect CompetitorsCompetitorsCompetitorsCompetitorsDirect competitors were chosen due to:
Location Size of the property Products offered Room Types and Rates
Green shading indicates our peer set.
HotelHotelHotelHotel StyleStyleStyleStyle LocationLocationLocationLocation RoomsRoomsRoomsRoomsRackRackRackRack
RatesRatesRatesRatesRestaurantRestaurantRestaurantRestaurant LoungeLoungeLoungeLounge BarBarBarBar SpaSpaSpaSpa GymGymGymGym
PrivatePrivatePrivatePrivateDiningDiningDiningDining&&&& MaxMaxMaxMax
ParkingParkingParkingParkingRoomRoomRoomRoom
ProductsProductsProductsProductsRepresentationRepresentationRepresentationRepresentation
BoundaryQualityModernBoutique
Shoreditch 17140to400
BoundaryAlbionRooftop
No Yes No No1 x30pax
No REN Design Hotels
The Halkin5 starTownhouse Belgravia 41
295
to1200
Nahm Yes Yes No Yes
1 x
30pax
Valet
Como
ownBrand
Small Leading
Hotels of theWorld
Haymarket5 Star Haymarket
501
Townhouse
245to2250
RefuelOscarBrasserieMaxKempsBrumus
Yes Yes
A beautytreatment
roomAn 18m
pool
Yes 3+ Valet Miller
HarrisDesign Hotels
TheKnightsbridge
4 Startownhouse
Knightsbridge 44150to450
No Yes Honesty No No No ValetMillerHarris
Travel Click(GDS codeonly)
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Hoxton Boutique Hoxton 20559 to
179
Hoxton
Grill
Yes Yes No No3 x
28pax
Own
Andaz5 Star
City 361205to380
1901GeorgeCatch
No Yes Yes Yes12 x363pax
ValetHyattInternational
Crowne Plaza 4 Star Shoreditch
150
to210 Globe Yes Yes No No No Intercontinental
ShoreditchHouse
Shoreditch 22 Yes Yes Yes Yes Soho House
Threadneedles Boutique City 70280to490
Yes Yes The EtonCollection
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TrenTrenTrenTrends in the Industryds in the Industryds in the Industryds in the Industry
The Changing Needs of theThe Changing Needs of theThe Changing Needs of theThe Changing Needs of the Business TravellersBusiness TravellersBusiness TravellersBusiness TravellersA survey carried out at last years Business Travel Show in London showed that the needs of the business traveller changes alongside our lifestyle needs whenchoosing a hotel.
What do they need?
The survey questioned 1000 business travellers and found:- When it comes to choosing a hotel, a good old-fashioned concierge, who knows the best hot spots in town, was key for 52% of business travellers,
who said theyd like a concierge who could get a table at any restaurant at the drop of a hat.- Technology is high on the agenda. An overwhelming 75% of respondents said online booking and e-tickets was the most significant development
in business travel in the last three years, while 46% travel with a Blackberry to access emails at all times, and 28% require high-speed internetaccess from their hotel. Another popular gadget is the iPod, carried by 15% of respondents.
How do we meet those needs?
a. On-line reservations through our website and Design Hotelsb. All Receptionists will be trained in the knowledge and procedures of Concierge with product testing done on a monthly basisc. Wireless and high speed internet installed in all areas of the hoteld. All rooms equipped with flat screen televisions, surround sound system and i-pod docking stations on requeste.
Up-to-date conferencing equipment
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The Lifestyle HotelThe Lifestyle HotelThe Lifestyle HotelThe Lifestyle HotelThe Lifestyle hotel has become the buzz word this year as guests look more and more for the comfort and surroundings of their own home environment
whilst travelling.
What do they need?Luxury hotels across the board are setting a trend, to adjust to the increasing needs of the ever demanding customer, to provide a fully equipped, completeproduct. Travellers are looking for hotels with restaurants, bars, gyms, spas and the opportunity to purchase anything that might take their fancy duringtheir stay. The hotel shopping experience is a relatively new but potentially lucrative enterprise.
How do we meet those needs?a. Provide the customer with the complete product and experience by offering facilities such as restaurant, bar, 24 hour room serviceb. Offer high quality bedding and linen to enhance the sleep experiencec. Offer high quality products and amenities throughout the hotel.d. Give the opportunity to the traveller to purchase some of the amenities experienced during their stay through various means, personal bar, at
reception or via the website and catalogues
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Market SegmentsMarket SegmentsMarket SegmentsMarket Segments
Local Corporates We will build on our transient business by looking at the local corporate market, businesses in the immediate area as well as slightly further towards
the city, targeting top management. These companies will also be good contenders for meetings, special events and food and beverage.
International Corporate We will also look to build on our international corporate market; business from Europe, US and the Rest of the World will be targeted for primarily
transient business. Again these will be top management within these companies
Travel Agents These cover a multitude of areas, as they book on behalf of leisure clients, businesses, fashion, music and entertainment travellers. The key to our
success will be to drive room nights through high standards and services, flexibility, value added and relationship maintenance. We will look toapply to Amex Centurion and Signature to drive high end leisure business.
Individuals Guests booking directly with the hotel and not through an agency. We will maintain a relationship with regulars. New business will be found
through strong PR channels and the marketing of successful packages and local events.
Local Companies & Residents Again we will maintain a close relationship with the local companies & residents.
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Target CustomersTarget CustomersTarget CustomersTarget Customers
Our Targeted Customers will include:
Clients from new media, film, fashion, music and entertainment, who are looking for a quiet tucked away, discreet place to go. High end individuals both leisure and corporate, including targeting the Travel Agents and PAs that book on their behalves. The regular guests. European and UK transient business. Local residents, for accommodation as well as special functions and food & beverage.
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MARKETING STATEGYMARKETING STATEGYMARKETING STATEGYMARKETING STATEGY
A higher profile for the hotel, both online and offline needs to be achieved by effectively using global marketing/sales resources. These, combined withvaluable local sales and marketing efforts will create a solid platform for improved performance in 2010.
The main strategies of the marketing are: Bring awareness to the re-defined brand Improve overall visibility and awareness on the marketplace Increase previous guest loyalty and satisfaction Improve overall trading performance.
All of these will be achieved through effective marketing channels. We will bring awareness and improve overall visibility by effectively communicating withthe marketplace in the form of mail shots, postcards and other visual materials.
This will continue to ensure all markets are reached and the exposure of the hotel is maintained.
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PRICING STRATEGY AND PLAN OVERVIEWPRICING STRATEGY AND PLAN OVERVIEWPRICING STRATEGY AND PLAN OVERVIEWPRICING STRATEGY AND PLAN OVERVIEW
The main objective of 2010 is to exceed the budgeted average rate and occupancy for 2009 and develop a year on year growth from this throughout
2010.
This will be achieved through establishing an aggressive selling strategy through sales, marketing and reservations. Rate positioning in combination withconstantly monitoring of market share and the hotels drive to maximise RevPAR.
TariffTariffTariffTariff RateRateRateRate
The highest paying customer to achieve 60% of the business.
Objectives are to achieve this through ensuring that rates are aggressive in this segment through peak demand periods such as London Fashion Week,World Travel Market and other city wide special event periods.
This will be achieved and maintained through: Identification of peak days and yield management to essentially optimise on the number of rooms sold at tariff rate Research of previous high end business Maintaining a high online presence to drive tariff rate bookings through our own website Sales trips and joining the appropriate Design Roadshows and workshops to exploit untapped wealthy markets. Applications to American Express Centurion Fine Hotels and US programmes such as Signature
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Corporate RateCorporate RateCorporate RateCorporate Ratessss
Guests staying for business purposes should make up about 30% of the business.
This will be achieved and maintained through: establishing new accounts at the appropriate agreed tactical rates targeting local corporate accounts, contracting through Design booking system, maintaining a high online presence to drive corporate bookings through our own website Sales Trips and joining the appropriate Design Roadshows and workshops to exploit untapped corporate markets.
SpSpSpSpecialecialecialecial and Packaged Ratesand Packaged Ratesand Packaged Ratesand Packaged Rates
Promotional rates will be considered to satisfy the demand price equilibrium. This segment is predominantly leisure weekend/low period business and willaccount for approximately 10% of the business.
The objectives are to:
Encourage added value selling rather than rate reductions through packages Increase client parameters through targeted rate promotions and focus on the appropriate leisure markets Maximise opportunities through GDS and websites Manipulate the yield during peak and trough periods Pro-actively react to trough periods promoting special offers when required Launch weekend packages
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Peak and Trough Periods in LondonPeak and Trough Periods in LondonPeak and Trough Periods in LondonPeak and Trough Periods in London
We represent these through High, Medium and Low months as Follows:
MonthMonthMonthMonth 2020202010101010 OccupancyOccupancyOccupancyOccupancyPredictPredictPredictPredictionsionsionsions
PeriodPeriodPeriodPeriod
January 62.2 LowFebruary 72.5 MediumMarch 75.9 High
April 73.1 MediumMay 74.2 HighJune 79.8 HighJuly 75 High
August 65 LowSeptember 87 HighOctober 88 HighNovember 88 HighDecember 60 Medium
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DISTRIBUTION STRATEGY PLANDISTRIBUTION STRATEGY PLANDISTRIBUTION STRATEGY PLANDISTRIBUTION STRATEGY PLAN
MMMMarketing Partners/channelsarketing Partners/channelsarketing Partners/channelsarketing Partners/channels
Boundarys distribution and Marketing channels will include:
Inclusion and launch of the hotel in The Design Hotels yearbook 2010. This features a piece on the designers / owners of Boundary. Internet distribution channels. These will include the constant development of Boundarys own website to demonstrate the look and feel of the
hotel.
Directory InclusionsDirectory InclusionsDirectory InclusionsDirectory Inclusions
At present we are included in the following directories for 2010:
Design Hotels Yearbook 2010 Directions Spring/Summer 2010 and Fall/Winter 2010. Design Hotels bi-annual magazine distributed to their entire database as well as hotel
bedrooms for guests to peruse. Private Spaces through Design
We should target the following directories to be included in for 2010 and beyond: Limecard Very high end Private Members club, directory, website and networking opportunities Corniche Travel Magazine London Fashion Week (February & September) American Express
Internet MarketingInternet MarketingInternet MarketingInternet Marketing
Research shows that in 2005 internet bookings accounted for around 20% of all UK hotel bookings.
We must ensure that we have a comprehensive website that attracts the consumer to book directly. This may be achieved through:
Effective site navigation and comprehensive page layout Key words throughout the site Ensure rates are available through all online booking channels Develop pages to target specific markets segments Offer lowest price guarantee and privacy statement Ensure a booking field is on the homepage and throughout the site at all times Ensure the site is adequately visual throughout.
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Other Internet Marketing to Include:
ProgrammeProgrammeProgrammeProgramme DescriptionDescriptionDescriptionDescription Market SegmentMarket SegmentMarket SegmentMarket Segment Why we chose these partnersWhy we chose these partnersWhy we chose these partnersWhy we chose these partnersBoundary.co.uk Hotel Website All Promote and drive business through our
own channel is cost effective and gives thecustomer a real feel of the complete hotel
Designhotels.com Design Hotels website All They are representing us on a globalscale
Kiwi Collection High End Recommendationwebsite, only luxury hotels
All Representation in the relevantmarketplace
i-escape.com High End Recommendation
website, only luxury hotels
Primarily Leisure Travellers Representation in the relevant
marketplaceTabletTravel Intelligence
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B d S&M Pl 2010
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SalesSalesSalesSales and Inand Inand Inand Initiativeitiativeitiativeitiative PlanPlanPlanPlan
This shows all sales, marketing and some PR activity (majority of this is incorporated in the Media Plan) taking place pre-opening and throughout 2110.
Direct Marketing Campaigns, Sales Trips, some events, and initiatives are listed here.
This calendar will be maintained and updated throughout the course of the year to show new ideas initiatives and promotions.
MonthMonthMonthMonth DateDateDateDate EventEventEventEvent InitiativeInitiativeInitiativeInitiative GeographicallyGeographicallyGeographicallyGeographically Market SegmentsMarket SegmentsMarket SegmentsMarket Segments
JanuaryJanuaryJanuaryJanuary TBC Design Hotels Escape Worldwide Travel Agents
FebruaryFebruaryFebruaryFebruary 14th Valentines Mail shot promotion London & UK Individuals
MarchMarchMarchMarch 4th9th East Festival Make contact & be involved London & UK Individuals
AprilAprilApril April 3rd 5th Easter Weekend Promote location London & UK Individuals
20th25th London BurlesqueFestival
Be involved with Bordello &Amber
London & Europe Individuals
MayMayMayMay
JuneJuneJuneJune
JulyJulyJulyJuly
AugustAugustAugust August 3rd7th Great British BeerFestival
Be involved with Meantime London & UK Individuals
SeptemberSeptemberSeptemberSeptember
OctoberOctoberOctoberOctober 14th17th Frieze Art Fair Be involved with local artgalleries
London Individuals
NovemberNovemberNovemberNovember
DecemberDecemberDecemberDecember
2nd-5th East London DesignShow
Be involved, selfrepresentation & Design
London & Europe Individuals
25th &31st
Christmas & New Year Mail shot promotion London, UK & Europe Individuals
Complete
In Progress
To Start
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Media PlanMedia PlanMedia PlanMedia Plan
xx are the Boundary PR companies who plan to work with a wide range of media including consumer, newspaper & supplements, contract publications,
trade, regional, online, radio and TV.There are many different angles that they will use to gain editorial for Boundary including:Hotel reviews & featuresDestination reviewsDesign featuresFashion shootsSpa & Fitness FeaturesPersonal profiles/Q&AsCompetition/promotions
Celebrity shoots (where relevant)Travel News ItemsF&B Reviews
Press Releases Specific press releases would be composed through the year to highlight consumer packages for Valentines Day, Fathers Day, Mothers Day,
Christmas, Half Term & School Holidays etc. and mailed to all relevant publications in time for themed issues Press releases will be composed for the trade & business press announcing Boundarys participation in trade events and shows.
Images Working with a photographer that specialises in hotel images, it is our intention to produce first images of the mock-up room and then the entire
hotel once open. A library of images showing all aspects of the hotels design and its key personnel has been compiled and kept on xx network to service the press
upon request
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Travel EditorsOnce the hotel is open, there will be many media that will wish to stay to review Boundary. xx will manage these requests in order of priority of publicationand around the paying guests, staggering them where possible.
Fashion ShootsIt is anticipated that we will receive many requests for locations for fashion shoots, interviews and filming. These can been a great way to show the hotelsinterior to a targeted audience as well as earn the hotel a good fee and will be managed by xx and the team here at the hotel.
EventsMany publications host events during the year and xx would aim to place some of these where relevant in Boundary. In addition, most fashion and beautybrands host press events to launch new seasons collections or products through out the year.
Press TripsWe intend to invite all relevant international travel editors to stay and review Boundary. This would be subject to availability at the hotel and would only beoffered where editorial is confirmed. In addition, we will extend this invitation to other key editors from the same publications that travel to London to cometo stay at Boundary at a preferred rate. This would include Fashion Editors who will be travelling to London Fashion Week. This would spread the wordamongst the publication world that Boundary is the place to stay in London and position it such with the lifestyle traveller.
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International Media Relations
xx will work on all International press including all target markets.
It is the recommendation that we target 5-10 key titles in these markets to give Boundary some presence editorially but stress that this would not be anintensive campaign. The following titles are a few examples of the publications that are proposed to be targeted.
USAUSAUSAUSA CanCanCanCanadaadaadaada FranceFranceFranceFrance ItalyItalyItalyItaly Australia/NZAustralia/NZAustralia/NZ Australia/NZ SpainSpainSpainSpain
Conde Nast TravellerInfinity Travel
ConceptsElle
Corriere DellaSerra
Vogue Clara
Travel & LeisureCarlson WagonlitMadison Travel
Femme Actuelle Io DonnaVogue Entertaining &
TravelElle Spain
GQ Aero Travel Ltd Le Magazine deLOptimum
La Republica Vogue Living Prono
VogueErin Meadows
Worldwide TravelMarie Claire Della Republica Cosmopolitan La Pais
In Style Fettes Travel Paris Match Vanity Fair GQ Man
New York MagazineForbes TravelInternational
Vogue France CNTraveller Harpers Bazaar Marie Claire
New York Times HRG North America Vogue Hommes Grazia New Woman CosmopolitanFinancial Times K.Benn Travel Inc W France Elle Nylon GQ Spain
Wall Street Journal Travel Choice WWD Marie Claire La Moda en Espana
WWDUniglobe Enterprise
Travel IncLe Monde Amica Vida Estetica
Time Out New York Le Figaro Elle Decor Casa & Estilo
Town & Country Amica Decor Vida Estetica