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C ONSUMER T RENDS AND B EHAVIOUR. Introduction Definition Why do people travel When do they purchase their travels Who makes the decision Tourism performances.

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Presentation on theme: "C ONSUMER T RENDS AND B EHAVIOUR. Introduction Definition Why do people travel When do they purchase their travels Who makes the decision Tourism performances."— Presentation transcript:

1 C ONSUMER T RENDS AND B EHAVIOUR

2 Introduction Definition Why do people travel When do they purchase their travels Who makes the decision Tourism performances during 2008 Changes in consumer behaviours Impact of current environment & opportunities Ideas and Solutions Sources

3 The subject of consumer behaviour is key to the underpinning of all marketing activity which is carried out to develop, promote and sell tourism products. (‘Consumer behaviour in tourism’, John Swarbrooke) optimize the effectiveness and efficiency of marketing activities to understand behaviour patterns who to target at a particular time with a particular product

4 Consumer behaviour Those activities directly involved in obtaining, consuming and disposing of products and services including the decision processes that precedes and follows these actions. (‘Consumer behaviour in tourism’ by John Swarbrooke, Edition 2) Consumer trends General direction in which the consumers are incline to or tends to move towards. (in this case towards tourism products and services)

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6 Need to relax and recharge themselves Have a break from the routine of everyday life To indulge a particular interest Gain new and diverse experiences (in social and cultural insights and for personal development)

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8 Long-term purchases Bookings are made months before travel to find the exact product or to arrange the desired itinerary Tourists wish to take more unusual/exotic holidays Have definite views on accommodation establishment Short term purchases Bookings are made at last- minute/few days before departure Advantage of last-minute discounting Excitement (unclear about destination until last minute) Late unforeseen opportunities to take time off work Tourists that are less concerned about where they go or which hotel they are staying

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10 - women are key decision makers in 70% of travel plans - 4 out of 5 women say a vacation where they stay at least 50 miles from home is a “must have” According to survey: - Women enjoy vacation planning. They view it as a pleasure. Consider it an outlet for expressing their creativity. 3 stages: 1. Dreaming 2. Planning 3. Purchase - On average, a woman spends a total of 6 months to generate vacation travel ideas, to research destinations and other travel details, and to make the decision to book a trip - Women absorb travel information from all medias: magazines and internet have the greatest influence (Source: Meredith Corporation Travel Marketing Group)

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12 Change of Tourism trends during 2008 from January August 2008: Best performances: - Middle East (+11%) - Africa (+5%) - the Americas (+4%) ; favourable performance of most Central and Southern American destinations Poor performance in Europe which suffered a stagnation in arrivals Last 6 months 2008: - Europe (-3%) - Asia (-3%) still posted positive results although with a significant slowdown: - Americas (+1%), - Africa (+4%) - Middle East (+5%)

13 despite general deceleration, in 2008 several destinations around the world showed very positive results in all world regions: - Honduras - Nicaragua - Panama - Uruguay - Macao (China) - Indonesia - India - Egypt - Lebanon - Jordan - Morocco - Turkey - The Republic of Korea (Source: World Tourism Organisation)

14 C HANGES IN C ONSUMER BEHAVIOURS

15 changes in consumers destination choices due to instabilities of the world financial crisis world crisis leads to changes in consumers spending habits less money spendings and increasing focus on their discretionary income taking hoilday breaks for shorter periods of time Australian consumers travel overseas rather than domestically (number of outbound trips increased by 5% per person per year) overseas travels are believed to be more educational, exciting and adventurous

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17 Impact of current environment on business travels: Business meetings move away from exotic locations to more modest/less expensive destinations Bad impact on employees, travelplanners, hoteliers and other travel suppliers who form their business models on this types of trips (Bjorn Hanson, New York University) Impact of current environment on business travels: Business meetings move away from exotic locations to more modest/less expensive destinations Bad impact on employees, travelplanners, hoteliers and other travel suppliers who form their business models on this types of trips (Bjorn Hanson, New York University)

18 Political issues increasing growth and power of non-western economies; like: China, India and Korea are more attractive and accessible destinations than Australia tighter security and tougher border controls caused by terrorism, regional conflicts, health risks and pandemics

19 Economic issues increasing fuel prices are making road transport more expensive and causing airlines to add fuel surcharges The cheaper airfares are expected to have a greater influence on travel Demand with consumers expected to switch some road trips to travel by plane. Cheaper international airfares are luring potential domestic travellers to consider overseas trips, like Thailand, Bali, Vietnam and Hawaii Increasing backpacking tourism

20 Technological issues New internet technologies, like on-line travel agents, can make it easier for consumers to research and book travel without leaving home. New travel destination: space travelling with Virgin Galactic

21 Environmental issues Climate change is one of the biggest issues affecting tourism trends and travel behaviour. The issues relating to carbon emissions and the negative environmental impact from aircraft could well see a modest swing back to people choosing to travel more locally. - Growing concern of green issues through media increase awareness of consumers and thus increases tendency towards ecotourism Eco-destinations: wildlife safaris in East Africa rainforests Outback trips in Australia Trekking holidays in mountains of Europe

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23 More environmental friendly tours to protect environment (fastest growing market) More ecotourism tours as trend is increasing More value for money packages shorter tours to fit the tight budget and time Smaller tours with less people to make journey tour by car/coach more enjoyable and comfortable Tailor made tours Make product more tangible by letting consumers know the exact costs of their holiday More focusing on consumer demands to meet their needs in creation of new products Organise information around consumer decision- making rather than industry structure

24 S OURCES Consumer behaviour in tourism’, John Swarbrooke Meredith Corporation Travel Marketing Group World Tourism Organisation women_travel.htm onitor/Global_Market_Monitor_interim_report.pdf understand.pdf ID=82


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