Integrating business skills into ecotourism operations: Tourism Marketing June 2012 Kirsten Focken

Agenda Tourism Marketing Overview - Tourism system/destinations - Marketing Strategy Target Marketing / Segmentation Distribution Channels Branding Marketing Tools

Marketing Marketing is a activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. Tourism Marketing is a continuous, sequential process through which management in the hospitality and travel industry plans, researches, implements, controls, and evaluates activities designed to satisfy both customers’ needs and wants and their own organization’s objectives.

Destination Marketing Destination Marketing is the management process through which the National Tourist Organization and/or tourist enterprises identify their selected tourists, communicate with them to influence their wishes, needs, motivations, likes and dislikes, on local, regional, national and international levels, and to formulate and adapt their tourist products accordingly in view of achieving optimal tourist satisfaction thereby fulfilling their objectives.

Marketing How to put it together?

MarketingMarketing Needs, wants and demand ProductsMarkets Exchange, transaction, relationship Value, satisfaction, quality

What is Tourism Marketing Product Develop key attributes (e.g. nature, culture, people, adventure,...) Quality of Services (accomodation, restaurants, transport...) Place Sell directly to the identified target markets Through Intermediairies or other service providers

What is Tourism Marketing Promotion Develop tools to communicate the product to the target markets Price Competitive Pricing for packages, tours and single products (hotels, transportation, entrance...) People Develop capacity and knowledge

DESTINATION = SUPPLY SIDE FRONT LINE SECTOR BIO-PHYSICAL ENVIRONMENT GOVERNMENT COMMUNITY SUPPORT SERVICES SECTOR TOURIST GENERATING REGIONS = DEMAND SIDE International Tourists Domestic Tourists TRANSIT REGION The Tourism System DESTINATION

Destination - Markets Destinations Europe Attractions Hotels TransportAirlines Other: restaurants, Handicraft, souvenirs NTO Travelers Destinations Asia Attractions Hotels TransportAirlines Other: restaurants, Handicraft, souvenirs NTO Inbound TO Inbound TO Internet Travel Agencies Travel Agencies Internet Outbound TO Outbound TO

Why a Marketing Strategy Achieve the overall vision for tourism development: sustainable growth income generation Develop a long term consistent image of the destination/company on international travel markets Understanding strengths and weaknesses Focus investments and developments

Why a Marketing Strategy Assure that all stakeholders work in the same direction Assign responsibilities Develop Action plan – Roadmap Marketing strategy is about making choices  deciding doing the right things

Overview Marketing Strategy + Plan Tourism Market Arrivals, Origin, type of tourists… Tourism Product Assets, Attractions, Hotels… Trends / Competitive Position / SWOT Analysis Define overall guiding marketing strategy and strategic objectives ProductPrice Place / DistributionPromotion Public – Private - Jointly Primarily private sector activities Analysis Strategy Plan

Writing a Marketing Strategy + Plan

Example Laos

“ Tourism is like an iceberg. It is easy to describe the part that stands out from the water but very hard to be precise about exactly what lies beneath.”

Market Analysis Where is my product / service / destination situated? What type of visitors Regional, Domestic, Long haul, Short haul What is the perception of tourists What is the travel behavior Define the market potential and connect to other destinations Select business partner and other stakeholder Develop products across provinces, regions, countries etc.

Target Marketing

Why having Target markets ? Target the markets with the highest benfits Limited marketing budget Limited capacity to receive tourists Some people like your destination more than other Some people spend more money than other Some people stay longer than other No market is attracted if the destination tries to be all things to all people   You should be in control and decide who the future tourists are

Target Market Segments Group of people that are defined according to selected attributes Define groups on the basis of attributes: Where they come from Age, gender, etc What they like to do Identify what is important to your customers and rank these Define what is important to your destination Identify primary/secondary markets

Marketing Channels

Direct Marketing to consumers Advertisement campaigns (print or online) Printed material (brochure, ) Tourism trade shows for public Press + Media Internet: get listed on special websites (e.g. sustainable travel, adventure travel, UNESCO)

Business to Business Marketing Trade shows / Exhibitions Direct contact: letter, , visit Brochure, leaflet, quotations Trade Media (tourism publications) Associations (PATA etc) Internet: member of trade groups and networks

The Travel Industry Inbound Tour Operators Outbound Tour Operators - Specialized - Major Travel agency Memberorganization

What is a brand?

What is a Brand? Core essence / characteristics Holistic sum of all information about a product or group of products Set of values DNA – runs through all communication  Brands create value by generating demand and securing future earnings for the business NOT: Logo Slogan Campaign Brochure Design Product

Live the Brand  Perform attitudes and behaviors that are compatible with the brand promise Develop consistent communication to be memorized, classified and recognized by tourists, tourism trade and partners. The main elements:   Logo, colors, images and pictures   Key messages (core values, brand statement, slogan…) Adapt to target market

Marketing tools Press and media relations Ensures growing awareness Website / Internet Marketing Increase awareness and inform tourists Information centre Informs tourists where to go Publications / Brochures Contains key messages, words, images Flyer, Brochure Map Calendar of festivals Special interest (adventure, culture, biodiversity, …) Fairs + Exhibitions Create and strengthen awareness in the tourism businesses

Promotional Program Identify Target Audience Define Objectives for Promotion Evaluate options and budget Establish Marketing Mix = Marketing Tools Press Relations Advertise- ment Events Publications Information Centre Internet

Publications All publications should follow branding rules to assure a consistency. Before the design and production of a publication following key questions need to be addressed: What is the objective? Who is the target? What are their needs? What do they know? What is the link to the country, regional brand? Where are you finding the target? How will you distribute the information? What quantity is needed? What is the budget?

Basic Rules Publications   Be clear and simple   Use images and pictures   Define key messages   Test draft   Be creative   Be different   Be honest   Create CD version

Internet Strategy Efficient tools to convey your messages: No geographic border You can reach a (world)wide target You can show everybody who you are It is under your control Cost efficient Tools: Website Social Media SEO – Search Engine Optimization TSE - Travel Search Engines TSE - Travel Search Engines Networks, Connections to travel sites

Websites

Trade Shows

Why your participating Make your company and products known to international buyers Enhance your company’s image and reputation Generate new business, conclude business deals Maintain customer loyalty Reach a new target group Present innovative products Establish and maintain contacts with potential affiliates and sales representatives Analyze competition and current market Participate in trade events, e.g. ITB Congress Implement new market strategies Recognize new developments, market niches or trends Generate media exposure

ITB 2012

Conclusion Marketing is the social process by which individuals and organizations obtain what they need and want through creating and exchanging value with others. Kotler and Armstrong (2010).

Create Value

Analyze, plan and be consistent

Secure tourism development in a continuous and sustainable way

Thank you!