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CVB's The New Reality

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CVB's The New Reality

  1. 1. The New CVB Reality IACVB Convention, Vancouver, 2002 The World of Tourism Anna Pollock
  2. 2. <ul><li>Good News: </li></ul><ul><ul><li>Destinations are the Dell’s, CISCO’s, Schwab’s of the travel and tourism sector </li></ul></ul><ul><ul><li>You could be the key species of the tourism ecosystem </li></ul></ul><ul><li>Bad News: </li></ul><ul><ul><li>Most of you don’t know it yet! </li></ul></ul>Good News and Bad News
  3. 3. Why should DMO’s take the lead? <ul><li>Own the destination “brand” </li></ul><ul><li>Are recognised as the official, impartial, neutral source of information </li></ul><ul><li>Could offer a broad spectrum of content </li></ul><ul><li>Enjoy a uniquely close relationship with providers </li></ul><ul><li>Often also have a Quality Assurance function </li></ul><ul><li>Can provide the consumer with “comfort” and support. </li></ul>
  4. 4. What’s Holding DMO’s Back? <ul><li>Lack of resources </li></ul><ul><li>Lack of skill sets required </li></ul><ul><ul><li>Sales </li></ul></ul><ul><ul><li>Technology </li></ul></ul><ul><li>Can’t move fast enough </li></ul><ul><li>Risk averse culture </li></ul><ul><li>Role is ambiguous – may be conflicting with their own “members” or constituents </li></ul><ul><li>DMO’s serve four sets of customer…. </li></ul>
  5. 5. DMO Visitor Provider Host Partner
  6. 6. <ul><li>People Power – what does customer-centricity really mean? </li></ul><ul><li>It’s now a fuzzy, intangible world of experiences – how do you respond? </li></ul><ul><li>The rules have all changed – new business models are essential </li></ul>External Dynamics
  7. 7. <ul><ul><li>Information access – everywhere and “always on” makes everyone a competitor,creates commodities </li></ul></ul><ul><ul><li>Networking – “communities of interest”, relying on each other for reliable information </li></ul></ul><ul><ul><li>Personalisation – one web site is not enough </li></ul></ul><ul><ul><li>Markets are conversations – how well are you listening? </li></ul></ul><ul><ul><li>The new buzz word is co-creation </li></ul></ul><ul><ul><li>Activism and concern – transparency, values, ethics </li></ul></ul>People Power
  8. 8. <ul><ul><li>People in networked markets have figured out that they get far better information and support from one another than from vendors. So much for corporate rhetoric about “adding value” to commoditized products. </li></ul></ul><ul><ul><li>Companies that don’t realise their markets are now networked person-to-person, getting smarter as a result and are deeply joined in conversation are missing an opportunity. </li></ul></ul>Cluetrain Manifesto www.cluetrain.com
  9. 9. <ul><li>From: a traditional obsession with the product </li></ul><ul><ul><ul><li>Positioning, pricing, promoting, pushing </li></ul></ul></ul><ul><ul><ul><li>From paper to web </li></ul></ul></ul><ul><ul><ul><li>One-way communication </li></ul></ul></ul><ul><ul><ul><li>Segmentation </li></ul></ul></ul><ul><li>To: an infrastructure that enables customers to pull towards them what they want, when they want and where they want it </li></ul>Marketing: When Push Comes to Pull
  10. 10. <ul><ul><li>Access to relevant content </li></ul></ul><ul><ul><ul><li>throughout their cycle: dream, plan, search, book, experience, reflect, recommend, return. </li></ul></ul></ul><ul><ul><ul><li>Appropriate to their task: browsing, searching, retrieving, comparing, buying, changing their mind, bragging, complaining – hopefully not….(!) </li></ul></ul></ul><ul><ul><ul><li>Appropriate to the device being used: web, mobile, kiosk, TV, print, PDA, phone, off-line </li></ul></ul></ul>What do Consumers Need?
  11. 11. dream plan book experience reflect share return Customer’s Intent Cycle of Need reject
  12. 12. <ul><li>People Power – what does customer-centricity really mean? </li></ul><ul><li>It’s now a fuzzy, intangible world of experiences – how do you respond? </li></ul><ul><li>The rules have all changed – new business models are essential </li></ul>External Dynamics
  13. 13. Our Guest’s Experience Physical Mental Emotional Spiritual Fulfil Enable/enrich Mould / propagate FANTASY EXPERIENCE MEMORY RETURN RECOMMEND
  14. 14. <ul><li>Destinations – the keepers of the magic, the dream weavers </li></ul><ul><li>Destinations – guardians of the “brand” </li></ul><ul><li>You are the Stage Managers and Story Tellers </li></ul><ul><li>Your purpose – to distill, present and maintain the essence or soul of a place </li></ul><ul><li>Your task – to enable your guests to engage and, in so doing, enlarge or enrich themselves </li></ul><ul><li>Let me tell you a story…… </li></ul>Who are You, Really?
  15. 15. Let Me Tell You a Story
  16. 16. <ul><li>People Power – what does customer-centricity really mean? </li></ul><ul><li>It’s now a fuzzy, intangible world of experiences – how do you respond? </li></ul><ul><li>The rules have all changed – new business models are essential </li></ul>External Dynamics
  17. 17. Where’s the Wealth Coming From? 20 th Century 21 st Century company Entrepreneur, CEO efficiencies Competition Collaborative community Customer centric team Experiences Collaboration Hard assets Relationship capital engine hero focus driver value
  18. 18. New Wealth Generators <ul><li>Collaborative Communities </li></ul><ul><li>Business Webs </li></ul><ul><li>Destination Webs </li></ul>
  19. 19. New Wealth Generators A Destination Web © is an electronically inter-connected community of autonomous but interdependent, travel-related enterprises that collaborate in order to provide value to visitors, profit for providers and partners and benefits to the host community. DestiCorp
  20. 20. Destination Web Host Community Host Community Suppliers Agents DMO Partners GUEST
  21. 21. Features <ul><li>Participants focus on their core competence </li></ul><ul><ul><li>Do what you do best, outsource the rest! </li></ul></ul><ul><li>All participants are wired together </li></ul><ul><li>All content is digitised </li></ul><ul><li>Customers pull towards them the content they need to complete a task </li></ul><ul><li>Participants collaborate to provide value around a specific event </li></ul>
  22. 22. Implications, Strengths & Roles <ul><li>DMO’s continue to be the guardians of the brand. </li></ul><ul><li>Customers are the unifying force. DMO’s need to re-organise around guests’ needs at every stage in their purchase/ experience cycle </li></ul><ul><li>This means a greater focus on softer, intangible aspects of customer satisfaction – delivering on the brand promise –while…… </li></ul>
  23. 23. Implications, Strengths & Roles <ul><li>Creating or outsourcing powerful, flexible electronic infrastructures and processes that enable all participants to work collaboratively. </li></ul><ul><li>New role: CVB as “process orchestrator”, the choreographer engaged in a dance with the customer </li></ul>
  24. 24. DestiCorp <ul><li>A “thinking” consultancy working with leaders to: </li></ul><ul><li>Venture out the box </li></ul><ul><li>Make sense of the world </li></ul><ul><li>Ignite innovation </li></ul><ul><li>Dare to be bold and </li></ul><ul><li>Know they are not alone…… </li></ul><ul><ul><ul><ul><ul><li>www.desticorp.com </li></ul></ul></ul></ul></ul>

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