Destination marketing yac


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Sessione #3 of YAC course on Responsible Tourism Management

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Destination marketing yac

  1. 1. online course in responsible tourism development<br />Destination marketing<br />Stefano Andreotti<br />
  2. 2. Agenda<br />What is destination marketing?<br />Why destination marketing?<br />How to do destination marketing?<br />2<br />
  3. 3. What is destination marketing?<br />3<br />
  4. 4. What is destination marketing?<br />4<br />Destination Marketing is a crucial activity for making the destination competitive on the tourism market.<br />Destination Marketing has two main goals: <br /><ul><li>Improve the attractiveness of the destination;
  5. 5. Position the destination or the tourism products on the market place;</li></li></ul><li>Destination Marketing, whatfor?<br />Promote and sell tourismproductsrelatedtotouristsmotivations<br />“Organize a combinationofresources/products/servicesabletoprovide a realvalueforselected target ofdemands,motivate tobuy and satisfy the customersexpectations.<br />James Makens et al., Marketing for Hospitality and Tourism<br />Notonly promotion!<br />
  6. 6. Destination marketing vs. mass products marketing<br />6<br />Destination marketing differs because:<br />In the tourismsector - diffrentlyfromotherssectors, in which the distributionchannelsdeliver the productsto the consumers - the consumersmoveto the destinations;<br />The tourism product is made up by different components (resources) managed by different stakeholders;<br />Decisions do not belong to one person/manager;<br />The image of the destinations can be influenced by external factors that can not be managed;<br />Vs.<br />
  7. 7. What influences competitivity<br />7<br />
  8. 8. Why destination marketing?<br />8<br />DEMAND<br />OFFER<br />
  9. 9. Why destination marketing?<br />9<br />
  10. 10. How has the market change?<br />10<br />The long tailtheory and the productspecialization<br /><ul><li>Tourismproductdemandhasmovedtowardsnicheproductsabletosatisfyspecificexpectationsof a limitednumberof people</li></li></ul><li>Why destination marketing?<br />11<br />The success of a destination depends highly on the level of efficiency of the destination marketing strategy and its activities aimed at:<br /><ul><li> Understand the activities and processes for connetting buyers (tourists) and sellers (local tourism offer);
  11. 11. Respond to the demand needs positioning the destination on the market;
  12. 12. Coordinate the activities and the offers of the destination, working for distribution;
  13. 13. Assume a meta level position in relation to: tourism product, brand, price, segmentation, promotion and distribution.</li></li></ul><li>Why destination marketing?<br />12<br />Normally the implementation of a destination marketing strategy is competence of a Destination Management Organization<br />The task of this organization are:<br /><ul><li> Creation of tourism products;
  14. 14. Definition of a pricing strategy of the destination (positioning)
  15. 15. Implementation of promotion and marketing strategies;
  16. 16. Favor the distribution, through different channels (tour operator, online destination portals, exhibitions etc.), of the tourism products;</li></li></ul><li>New Approach to destination marketing<br />13<br />
  17. 17. How to do destination marketing?<br />Product<br />It is the first and foremost key for a successful destination marketing strategy: people go to a destination because “they want to do something there”;<br />It is therefore important for destinations to move from a logic of “destination” to a on of “motivation”<br />14<br />
  18. 18. How to do destination marketing?<br />Personalization<br />Nowadaysis the customerthatlloks and findwhathewants, we can onlytrytoinfluencetheirchoice;<br />Tourists are becoming more independent and consciousaboutwhattheywantto do and wheretheywantto go: the tourismproductbecomesoneof the mostinfluencingfactorwhendecidingwhereto go/whatto do;<br />Itisnecessarytounderstand the expectations, the needs and wantsoftoursits in ordertobeabletorespondadequatelytothem;<br />The destinationitselfloosesitsimportance and whatbecomesdeterminant are the tourismproductsthat the destination can offer.<br />15<br />
  19. 19. How to do destination marketing?<br />Price<br />The price of a tourismproductshouldbedecidedtakinginto account quality and fariness; in factwhat people look formostof the timeis a productwithgoodqualityforanaccessible price; <br />Quality, in thissenseshould take intoconsiderationnotonlyitsfunctionalcomponentsbutalsoitsemotionalsones;<br />The pricing policy shouldconsider the followingindicators:<br />Maximizationof the profit;<br />Competitor’s pricing policy;<br />Market segmentation;<br />16<br />
  20. 20. How to do destination marketing?<br />Distribution<br />Accessibilityisanother key factorfor success becausebeing the market so competitive ifproducts are readilyavailableforpurchasemakesiteasiertowin the competition;<br />Multi channel distribution strategy: tour operators, travel agencies, on line distribution;<br />The distribution strategy needs to take into consideration the selected targets and markets;<br />17<br />
  21. 21. How to do destination marketing?<br />Position<br />Identify the competitive context in which the destination is located;<br />Identify which are the destinations that directly compete with ours;<br />Identify which are the motivations and the needs and wants that tourist look for before arriving at the destinations (expectations);<br />Identify motivations,, needs and wants for tourist chosing a competitor destination;<br />Identify strengths and weaknesses of the offer, opportunities and threats for developing further the destination offer;<br />Develop a new positioning starting from the opportunities individuated;<br />18<br />
  22. 22. How to do destination marketing?<br />Promotion<br />Promotion can be very expensive both in terms of time and money; it is therefore important to selects channels and tools that are more appropriate for promoting the offer;<br />Some criteria for choosing the most suitable toots for promotion:<br />Audience: number of people that can be reached by that mean of communication;<br />Opportunity to see: the chance that a person interested in our product see the message <br />19<br />
  23. 23. Media strategy<br />20<br /><ul><li>Media strategy refers to the identification and planning of the different media that will be used for promoting the product; the criteria used for determining the strategy should be:
  24. 24. Target groups;
  25. 25. Budget;
  26. 26. Goal of the promotion campaign (ex: brand awareness or sell?
  27. 27. Timing;</li></li></ul><li>How to do destination marketing?<br />Partnership<br />Nowadaysis necessary to move from competition to coopetition;<br />Bundling: it means to promote different products in unique offer so to present a varied range of coherent opportunities to the customer enhancing the chances of him buying them and enriching its consuming experience while maximizing profit;<br />21<br />
  28. 28. How to do destination marketing?<br />People<br />Nowadays we talk of word of mouse vs. word of mouth; still people are the main protagonist of the holiday experience and are those that most certainly can convince someone to follow their step;<br />Therefore it is important to ENGAGE with customers and potential customer in order to favor the word of mouse;<br />A positive comment on the destination said by a visitors is definitely more effective than one said by a DMO;<br />Be careful, people can also criticize… it is necessary to learn how to face criticism and how to respond to it.<br />22<br />
  29. 29. How to do destination marketing?<br />Planning<br />Develop a strategic marketing plan(every 3 years) in whichidentifygoals and targetsfor the next operative period;<br />In ordertobeeffective the strategic marketing planshouldbefollowedbyanoperative marketing planidentifying the detailed operative stepstobedoneforreaching the determinedgoals<br />Monitorresults and adapt the operative strategywhenitshowstobeineffective; <br />23<br />
  30. 30. Steps to successful destination marketing<br />24<br />
  31. 31. Thank you very much!<br />Stefano Andreotti<br />mail:<br />skype: standreotti<br />25<br />