BRAND MANAGEMENT& COMMUNICATIONApplying the concepts of multi‐channel brandequity management onto the tourism industry by Alexander Lebedev
Brand management & communicationContents: 1. Short overview of the concept. 2. Generalization of the concept. 3. Implication for the tourism industry. 4. Conclusion.
1. Multi‐channel brand equity mgntGoal – maximize short-term sales and long-run brandequity with the help of different communication techniquesand channels.1. Channels and communications have direct and indirect effects on brand equity;2. Brand resonance model helps to interpret these effects: • Awareness, • Attitudes, • Attachment, • Activity. } • Associations, 5A’s
1. Multi‐channel brand equity mgnt3. Marketers must “mix and match” channel and communication options so that they collectively maximize efficiency and effectiveness.4. A channel or communications strategy is considered to be well integrated when the target market is fully covered, each consumer has channel or communication options to his liking, and the channels and communications work together in a cost-effective fashion so that they individually are effective and, at the same time, synergistic, that is, “the whole is great than the sum of the parts.”
2. Generalization of the concept• Independent from the industry businesses have to understand how communication channels work together.• Important is to follow emerging communication channels and stay well informed.• Conflict between producer of service and retailer- who has to pay for communication design?• Consumers today are also brand-builders.
3. Implications for tourism industryBrand resonance model can be successfully implied in thetourism industry as well. There are the same brandelements: • Awareness, • Associations, • Attitudes, • Attachment, • Activity.However some adjustments have to be undertaken.
3. Implications for tourism industryAwareness:In tourism it is not of less importance for a brand to beknown and recognized.• How often and easy, under which circumstances consumers think about our brand?E.g. If you think about luxury beach holiday, the first thingthat comes to your mind are probably Maldives. This brandenjoys very high brand awareness.
3. Implications for tourism industryAwareness:Peculiarities in tourism:• Tourism products are not everyday products, people do not purchase tourism services that often. Therefore creating awareness is much more difficult. Communication has to be done all year round, intensified before top seasons and conducted during low seasons in order to stimulate demand. Customers have to always be aware of your brand.
3. Implications for tourism industryAssociations:Tourism deals with expectations and trust which is buildbetween service provider and traveler.It is more and more difficult to control all communicationchannels your brand in involved into. A lot of thesechannels are created by customer himself (reviewplatforms, forums, blogs, social networks etc).Not only tourism brand has to perform well in order to havepositive associations but it also has to manage its picture inthe consumer’s minds, to use right images and emotions.
3. Implications for tourism industryAssociations:Peculiarities in tourism:• Once trust is abused tourism brand can lose that particular customer forever because of the wider time periods between purchases in comparison to retail industry. There is less chance to be granted the second opportunity to make a good impression. E.g. In Kaprun there are almost no Austrian tourists, only Russians, Slovenes, Slovaks, Czechs etc. Reason – very bad associations.
3. Implications for tourism industryAttitudes:What really matters is how positive customer attitudestowards the brand are.Brand has to deliver consistent quality, be credible (thisrefers us to the previous point – associations and trust),and outstand all other brands in particular niche, besuperior.
3. Implications for tourism industryAttitudes:Peculiarities in tourism:• It is easier in tourism industry to identify customer attitudes towards brand as in retail industry. Tourism businesses usually contact with their customers over a longer period of time and can observe customers, ask them questions (questionnaires) and follow their opinions on numerous online evaluation platforms.• And if you know the attitudes of your customers you can capitalize on that and improve perception of the brand.
3. Implications for tourism industryAttachment:A next level of consumer attitude when he becomes loyal tothe brand. This is when consumers love the brand andrecommend it frequently to their acquaintances.Attachment creates feeling of fellowship and sometimes thenecessity to spread a positive word about the brand(evaluation platforms, personal messages to managers,twitter, facebook, blog posts).
3. Implications for tourism industryAttachment:Peculiarities in tourism:• Attachment in tourism is build over years. Here you can’t just make consumer a part of your money making machine like for example Apple does (iTunes, Apple TV, Apple Store etc). In tourism the consumer can always go somewhere else and will probably get the same service quality. So in tourism communication and cherishing the relationship with the consumer is crucial for winning loyal customers that will stay with the brand for many years.
3. Implications for tourism industryActivity:How active is our consumer in his daily live regarding ourbrand. Does he think about us? Does he want to be with usin the future?It is nothing else then the question of “how often” and “howmuch” do they purchase. When customers decide to staywith brand in their usual life and contribute their time to thatparticular brand – be active for it.
3. Implications for tourism industryActivity:Peculiarities in tourism:• A great example here would be Visitbritain.com and their communication strategy (“Spend less, invest smarter”). They try to make their visitors active and participate in all kind of online as well as offline activities connected to the brand VisitBritain. Users upload their pictures, take part in numerous sweepstakes, promote Britain all over the world via Internet. It doesn’t cost much for the brand but hell it is effective. Users are promoted to brand ambassadors and are even more active, try even harder to be the respected member of VisitBritain community.
4. Conclusion• Some brands in tourism understand the importance of brand communication and utilization of different channels. In most cases these are big brands (like Austrian NTO, Visitbritain, 100% pure New Zealand). Small companies and family run hotels in most cases do not realize the necessity of brand communication and rely mostly on the existing loyal consumer base. But in the future they will be left behind because brand communication should not be underestimated and they should invest time in it, which other tourism companies are successfully doing for building a thorough brand with the help diverse channels and communication techniques.