Lecture for the Subject Tourism Marketing for the College of International Travel and Hospitality Management of the Lyceum of the Philippines Cavite for the Second Semester of Academic Year 2015-2016.

1.
Marketing Strategies
(updated June 2015)

2. Unit topics
• Developing the marketing environment
• Competitive marketing strategies
• New product development
• Customer satisfaction and related
strategies
• Interactive and relationship marketing

3. http://72gpf1za5iq428ekh3r7qjc1.wpengine.netdna-cdn.com/wp-content/uploads/
2015/05/image456.png

4. 4
THE MARKETING ENVIRONMENT

5. Competitive strategies are the method by
which you achieve a competitive advantage
in the market. There are typically three types
of competitive strategies that can be
implemented. A mixture of two or more of these
strategies is also possible depending on your
business' objectives and current market position.
1.cost leadership
2.differentiation
3.focus strategy.

6. 6
Cost leadership
The aim of this strategy is to be a low-cost producer
relative to your competitors and is particularly useful
in markets where price is a deciding factor.
Cost leadership is often achieved by carefully
selecting suppliers and production techniques to
minimise production, distribution and marketing
costs.
However you need to be aware of any serious loss in
quality that may render low cost ineffective.

7. 7
Differentiation
A differentiation strategy seeks to develop a
competitive advantage through supplying and
marketing a product that is in some way
different to what the competition is doing.
If developed successfully this strategy can
potentially reduce price sensitivity and
improve brand loyalty from customers.

8. 88
Focus strategy
This strategy recognises that marketing to a
homogenous customer group may not be that
effective a strategy for the product the business
is selling.
Instead the business focuses its marketing efforts
on a different selected market segments. That
is, identify the needs, wants and interests of the
particular market segments and customise
marketing techniques to reflect those
characteristics.

9. 9
Activity
In a 1/4 sheet of yellow paper
Pick one competitive Strategy. Choose a tourism
destination or attraction in the Philippines or the
world that show this strategy point out the
salient features.
30 minutes

10. 10
New Product Development
Product development, whether it be the development of new
products or refreshment of existing products is the
cornerstone for the success of a tourism business.
Without appropriate products or services that are relevant to
visitor demand a business cannot survive.
Product development should be based on the findings of the
‘Planning’ process of business development, in particular the
situation analysis and strategic planning phases.
The planning process identifies the market potential and goals
for business development and growth, while the product
development phase is the implementation of specific actions
for the business.

11. 11
A product development plan can be developed
as a guide for the successful management of
the product development and implementation
process.
A product development plan looks at the
marketing mix including product, price, place,
promotion and packaging.
The type of product development will depend
on the stage of development of the business.

12. 12
The Passages to Innovation Program developed by the
Canadian Tourism Commission identifies the four quadrants of
product development:
Q1 – Existing Customers / Existing Products: a low risk
strategy that aims to refresh existing products for the current
market segments;
Q2 – New Customers / Existing Products: a medium risk
strategy that looks at repositioning existing products with a
new market segment;
Q3 – New Customers / New Products: a very high risk category
that all new businesses start in. Extensive research and a
unique selling point is required;
Q4 – Existing Customers / New Product: a high risk strategy
that presents new products to existing customers that are
stilled aligned with the markets needs.

13. 13
Customer Satisfaction and Related Strategies
Source: https://notendur.hi.is/stefanva/Skrar/Tourist%20Satisfaction_%20A%20view%20from%20a
%20mixed%20internatinal%20guided%20package%20tour.pdf

14. 14
customer relationship
• Create touch points across various
phases of the customer experience.
If customers have recently
purchased a product or service, be
sure to follow up and give them an
opportunity to provide feedback on
the experience.
• Reward loyalty. A little goes a long
way.

15. 15
customer relationship
• Keep in touch. By regularly reminding
customers “you’re there if they should
have any needs,” you’re likely to be the
first one they think of when a need
arises.
• Consistently deliver top-notch quality
and service.
• Stay educated. Be aware of what your
competition is doing, what the market is
doing, and new trends in your industry
15

16. 16
•A good relationship is give and take. In order to go
that extra mile, consider holding a monthly or
quarterly giveaway to treat customers and give
thanks for their business.
•Be courteous. Treat employees and customers with
the utmost respect and courtesy. They deserve it
and are often your biggest cheerleaders.
•Listen. If asked, customers will be vocal about
their needs. Do more listening than talking and do
your best to offer them what they need.
customer relationship

17. 17
customer relationship
• Be engaged. In a study by the American Society for
Quality, 68 percent of lost customers are turned away
because of an attitude of indifference on the part of a
service provider.
• Establish sound processes for addressing customer issues.
Take care of issues as quickly and effectively as possible.
If a solution will take longer than anticipated, provide
frequent updates so customers know the status of the
situation.
171717

18. 18
Interactive Marketing
18
http://www.marketing-schools.org/types-of-marketing/interactive-marketing.html
Interactive marketing relies on customers
expressing their preferences so that
marketers can produce more relevant
marketing messages. Unlike the outbound
marketing of the past, interactive marketing
creates a two way dialogue between a
business and its customers

19. 19
Relationship Marketing
http://www.businessdictionary.com/definition/relationship-marketing.html
Marketing activities that are aimed at developing and
managing trusting and long-term relationships with larger
customers.
In relationship marketing, customer profile, buying
patterns, and history of contacts are maintained in a
sales database, and an account executive is assigned to
one or more major customers to fulfill their needs and
maintain the relationship.

20. 20

21. 21
Traditional Marketing focuses on single transactions with
customers, relationship marketing is oriented toward
continuous customer contact.
Relationship marketing continuous to involve and
integrate customers, suppliers, and other stakeholders
into a firms developmental and marketing activities
(McKenna 1992) resulting in interactive relationships.

22. Marketing environment
http://www.marketingteacher.com/marketing-environment/
Marketing strategy
http://www.infoentrepreneurs.org/en/guides/create-your-marketing-strategy/
Competitive marketing strategies
http://toolkit.smallbiz.nsw.gov.au/part/3/12/60
new product development
http://www.sustainabletourismonline.com/business-operations/product-development
Customer satisfaction
https://notendur.hi.is/stefanva/Skrar/Tourist%20Satisfaction_%20A%20view%20from%20a%20mixed
%20internatinal%20guided%20package%20tour.pdf
http://www.polarismr.com/POV/bid/55147/Ten-Simple-Strategies-for-Customer-Satisfaction-and-Loyalty
Related Strategies : http://www.polarismr.com/POV/bid/55147/Ten-Simple-Strategies-for-Customer-
Satisfaction-and-Loyalty
Relationship Marketing
https://books.google.com.ph/books?id=EKNoKQ1L4CoC&pg=PA464&lpg=PA464&dq=interactive+relationship
+marketing
+definition&source=bl&ots=hJug0UEqik&sig=kmG0kZsN_jTn_3dw_ADfwQOvZCI&hl=en&sa=X&ved=0CGcQ6AE
wC2oVChMIv9Ga0sb7xgIVyxmOCh3E7Qq8#v=onepage&q&f=false
References