The Tourism System 6th edition                                                             Chapter 8Kendall Hunt Publishin...
The Tourism System 6th edition                                                                 Chapter 8Kendall Hunt Publi...
The Tourism System 6th edition                                                                Chapter 8Kendall Hunt Publis...
The Tourism System 6th edition                                                                 Chapter 8Kendall Hunt Publi...
The Tourism System 6th edition                                                                   Chapter 8Kendall Hunt Pub...
The Tourism System 6th edition                                                           Chapter 8Kendall Hunt Publishing ...
The Tourism System 6th edition                                                              Chapter 8Kendall Hunt Publishi...
The Tourism System 6th edition                                                                       Chapter 8Kendall Hunt...
The Tourism System 6th edition                                                           Chapter 8Kendall Hunt Publishing ...
The Tourism System 6th edition                                                                Chapter 8Kendall Hunt Publis...
The Tourism System 6th edition                                                                Chapter 8Kendall Hunt Publis...
The Tourism System 6th edition                                                              Chapter 8Kendall Hunt Publishi...
The Tourism System 6th edition                                                                  Chapter 8Kendall Hunt Publ...
The Tourism System 6th edition                                                                 Chapter 8Kendall Hunt Publi...
The Tourism System 6th edition                                                           Chapter 8Kendall Hunt Publishing ...
The Tourism System 6th edition                                                             Chapter 8Kendall Hunt Publishin...
The Tourism System 6th edition                                                               Chapter 8Kendall Hunt Publish...
The Tourism System 6th edition                                                                 Chapter 8Kendall Hunt Publi...
The Tourism System 6th edition                                                            Chapter 8Kendall Hunt Publishing...
The Tourism System 6th edition                                                                   Chapter 8Kendall Hunt Pub...
The Tourism System 6th edition                                                                          Chapter 8Kendall H...
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Chapter 8 Tourism Promotion

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PowerPoint slides for The Tourism System 7th ed. by Robert C. Mill and Alastair M. Morrison, published by Kendall/Hunt, 2012.

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Chapter 8 Tourism Promotion

  1. 1. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Chapter 8 Tourism Promotion © 2013 Tourism Australia Copyright Contents  Reviews the process of promotion or how tourism organizations communicate with potential visitors.  Discusses the ways that organizations attempt to get their messages across to customers and to form images in peoples minds. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 1
  2. 2. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Purpose Having learned about the general principles of communications and promotion, students will be able to describe a program for implementing a promotion in a tourism destination or company. They will also be able to explain the roles of destination marketing organizations (DMOs) at all levels. © 2013 Tourism Australia Copyright Learning Objective 1: Promotional Effectiveness and Visitor Buying Process Stages Identify and describe which promotional methods are most effective during the various stages of the visitor’s buying process. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 2
  3. 3. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Goals and Types of Promotions  The ultimate goal of promotion is behavior modification.  Three types of promotions:  Informative promotions  Persuasive promotions  Reminder promotions © 2013 Tourism Australia Copyright Promotion and the Visitor’s Buying Process  Informative promotions are most effective at the earlier buying process stages (attention and comprehension).  Persuasive promotions work better at intermediate buying process stages (attitudes, intention, and purchase).  Reminder promotions are most effective after the first visit or use. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 3
  4. 4. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Learning Objective 2: Informative, Persuasive, and Reminder Promotions Distinguish between informative promotion, persuasive promotion, and reminder messages, and identify when the use of these techniques is most appropriate. © 2013 Tourism Australia Copyright Promotions and the Visitor’s Buying Process Informative Promotions Informative promotions: Communicate data or ideas about the key features of destinations and other tourism facilities or services. They are more important during the first (introduction) stage of the product life cycle (PLC) when a new destination or business is entering a market. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 4
  5. 5. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Promotions and the Visitor’s Buying Process Persuasive Promotions Persuasive promotions: Aim at getting visitors to select particular destination or company or brand over those of competitors, and to actually make a booking or purchase. They are more likely to be used during the growth and maturity stages of the PLC. © 2013 Tourism Australia Copyright Promotions and the Visitor’s Buying Process Reminder Promotions Reminder promotions: Jog visitors’ memories and help keep the tourism destination or organization in the public eye. Are more useful in the growth and maturity stages of the PLC. Also, reminder promotions are more effective after the first visit to the destination or first use of the organization’s services. Reminder promotions help stimulate repeat visits or purchases. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 5
  6. 6. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Learning Objective 3: Elements of the Communication Process List and describe the main elements in the communication process. © 2013 Tourism Australia Copyright The Communications Process  SENDER (Destination/Organization)  TARGET MARKET (Audience)  Promotional objectives  Promotional budget  Message idea  Message format  Promotional mix elements  Promotional media © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 6
  7. 7. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion The Communications Process  TARGET MARKET (Receivers) 1. Response  Control  Evaluation © 2013 Tourism Australia Copyright Learning Objective 4: Promotional Mix Elements List and describe the elements of the promotional mix. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 7
  8. 8. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Elements of the Promotional Mix  Advertising  Personal selling  Sales promotion  Merchandising  Public relations and publicity plus:  Internet marketing (or sometimes called digital marketing) © 2013 Tourism Australia Copyright Elements of the Promotional Mix Integrated Marketing Communications Internet Public Marketing - Advertising Relations and Social Media – Publicity Mobile (ICT) Sales Sales Merchandising Promotion © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 8
  9. 9. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Learning Objective 5: Implementing a Promotional Program Identify and explain the procedures involved in implementing a promotional program. © 2013 Tourism Australia Copyright Procedures in Implementing a Promotional Program 1. Select the target market 2. Develop promotional objectives 3. Establish the promotional budget 4. Determine the message idea 5. Select the message format 6. Select promotional mix elements 7. Select promotional media 8. Measure and evaluate promotional effectiveness © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 9
  10. 10. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion 1. Select the Target Market  Use secondary and primary research to pinpoint and determine the target market’s characteristics (e.g., demographics and geographic origins).  The target market must be accessible through one or more promotional mix elements or specific type of media.  The target market must include people with similar characteristics who are the best prospects for future business. © 2013 Tourism Australia Copyright 1. Select the Target Market Online and Traditional Visitors (consumer Travel Trade promotions) Intermediaries (trade promotions) Promotional Target Groups Media and Press Local Community © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 10
  11. 11. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion 2. Develop Promotional Objectives  Objectives must be target-market specific, stated as a desired result or outcome, measurable, realistically attainable, and have a deadline for achievement.  Consider target market’s buying process stage and awareness of destination or organization. © 2013 Tourism Australia Copyright 3. Establish the Promotional Budget  Budget is based on promotional objectives using objective-and-task budget method, which is a zero- based approach.  But must consider what the organization has available to spend (affordable budgeting method).  Cooperative promotions (partnerships) should be considered to expand budget amounts. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 11
  12. 12. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion 4. Determine the Message Idea  Pinpoint target market’s perceptions (images), needs, wants, motives, and expectations.  Determine what to communicate in the message (message idea).  Support the positioning approach for the destination or organization.  Pre-test message idea or ideas. © 2013 Tourism Australia Copyright 5. Select the Message Format  Analogy, association, symbolism  Comparisons  Fear  Honest-twist  Slice of life  Testimonials  Trick photography or exaggerated situations © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 12
  13. 13. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion 6. Select Promotional Mix Elements  Advertising: Any paid form of non-personal presentation of ideas, goods, or services by an identified sponsor.  Personal selling: Oral conversations, either by telephone or fact to face, between salespeople and prospective customers. © 2013 Tourism Australia Copyright 6. Select Promotional Mix Elements  Sales promotion: Approaches other than personal selling, advertising, and public relations and publicity where customers are given short-term inducement to make an immediate purchase or booking, or to communicate with potential visitors or travel trade intermediaries. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 13
  14. 14. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion 6. Select Promotional Mix Elements  Merchandising: Materials used in-house to stimulate sales including brochures in display racks, signs, posters, photographs, displays, tent cards, and other point-of-sale promotional items.. © 2013 Tourism Australia Copyright 6. Select Promotional Mix Elements  Public relations and publicity: All the activities that maintain or enhance relationships with other organizations and individuals. Publicity is one public relations technique that involves non-paid communication of information about a destination’s or organization’s services. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 14
  15. 15. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion 6. Select Promotional Mix Elements  Internet marketing: Using the web, social network services (SNSs), e-mail, etc. to communicate with potential visitors. © 2013 Tourism Australia Copyright 7. Select Promotional Media  Cost per contact  Cost per inquiry (CPI)  Cost per thousand (CPM)  Geographic selectivity  Life span  Market selectivity  Noise level © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 15
  16. 16. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion 7. Select Promotional Media  Pass-along rate  Reach  Source credibility  Timing flexibility  Total cost  Visual quality © 2013 Tourism Australia Copyright 8. Measure and Evaluate Promotional Effectiveness  Measure changes in awareness levels or perceptions, responses or conversion rates.  Advertising tracking studies  Cost-comparison method  Concept testing  Conversion studies  Inquiry and lead tracking  Pre-testing and post-testing  Travel or trade show audits © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 16
  17. 17. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Learning Objective 6: Roles and Activities of National Tourist Offices Describe the roles and activities of national tourist offices (NTOs) related to promotion. © 2013 Tourism Australia Copyright National Tourist Offices  An NTO is the organization officially responsible for the marketing and development of tourism for a country.  Examples include the Canadian Tourism Commission, China National Tourism Administration, Embratur, Singapore Tourism Board, South African Tourism, Tourism Australia, Tourism Ireland, and Tourism New Zealand, and VisitBritain. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 17
  18. 18. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Roles of National Tourist Offices FOCUS ON INBOUND INTERNATIONAL TOURISM PROMOTION  Image creation and enhancement  Literature distribution and fulfillment  Marketing research and database development  Package and tour development  Partnership development  Consumer marketing and promotion  Travel trade marketing and promotion © 2013 Tourism Australia Copyright Learning Objective 7: Promotional Programs of State, Provincial, Territorial, Regional, and Local Tourist Offices Describe the promotional programs operated by agencies at the state, provincial, territorial, regional, and local levels. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 18
  19. 19. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion State, Provincial, Territorial Tourism Organizations  An STO/PTO/TTO is the organization officially responsible for the marketing and development of tourism for a state, province, or territory.  Examples include Tourism British Columbia, Tourism New South Wales, Anhui Provincial Tourism Administration (China), Free State Tourism Authority (South Africa), Visit Florida, etc. © 2013 Tourism Australia Copyright Regional Tourism Organizations Multi-country level:  Caribbean Tourism Organization, European Travel Commission, Pacific Asia Travel Association, and Scandinavia Tourist Boards Within-country level:  Yarra Valley Regional Tourism Association (Australia), Tourism Partnership of Niagara (Canada), Christchurch Canterbury (NZ), and Travel South USA © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 19
  20. 20. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion Local Tourism Organizations  U.S. has developed a network of convention and visitor bureaus (CVBs) at the county and city levels, many funded through room taxes.  Traditional CVB role to attract MICE (meetings, incentives, conventions, and exhibitions). Recently, CVBs placing more emphasis on group and individual travelers.  In other countries, LTOs tend to receive more direct government funding (e.g., London Tourist Board/Visit London, England). © 2013 Tourism Australia Copyright State, Provincial, Territorial, Regional, and Local Programs FOCUS MAINLY ON DOMESTIC TRAVEL PROMOTION 1. Image creation and enhancement 2. Literature distribution/fulfillment 3. Marketing research and database development 4. Package and tour development 5. Partnership development 6. Consumer marketing and promotion 7. Travel trade marketing and promotion © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 20
  21. 21. The Tourism System 6th edition Chapter 8Kendall Hunt Publishing Company Tourism Promotion THE TOURISM SYSTEM Chapter 8 Chapter SummaryHighlights Chapter Summary Highlights  Three types of promotion are informative, persuasive, and reminder.  The effectiveness of these three types varies by the visitor’s buying process stage and the stage in the product life cycle (PLC).  The promotional mix elements are advertising, personal selling, sales promotion, merchandising, and public relations and publicity. Internet marketing now adds further impact to these five traditional promotional elements.  National tourist offices focus mainly on inbound tourism.  State, provincial, territorial, regional, and local tourist offices focus mainly on domestic tourism. © 2013 Tourism Australia CopyrightRobert C Mill and Alastair M Morrison © 2013 21

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