Asian Journal of Economics, Business and Accounting

This study investigates how small-town hotels implement marketing strategies and manage service quality in secondary, transit-oriented destinations. Although previous research has extensively covered hospitality in major tourist hubs, limited attention has been given to the unique operational challenges of rural transit municipalities. To address this gap, the study evaluates the implementation of the 7Ps marketing mix and identifies the service gap between guest expectations and actual hotel performance in Maramag, Bukidnon. Employing a descriptive research design, this research analyzes survey data from hotel guests and interviews with managers across five registered hotels. The study measures performance and importance using a validated four-point Likert scale. The findings show that hotels excel in "People" and "Price" but struggle significantly with "Physical Evidence" and "Promotion." Guests highly value reliable Wi-Fi and digital engagement, yet the hotels suffer from aging facilities and outdated marketing methods. The staff's exceptional service currently masks these underlying infrastructural and technological deficits. These findings contribute to rural tourism management by demonstrating that small hotels need context-specific marketing strategies rather than copying big-city models. The study underscores the importance of targeted facility upgrades, digital transformation, and staff retention. By providing a practical blueprint, this research offers a framework for secondary municipalities to improve competitiveness while preserving their local hospitality strengths.