Travel and TourismA service Marketing Perspective By Priyaranjan 51
Tourism in India• Tourism is the largest service industry in India, with a contribution of 6.23% to the national GDP and 8.78% of the total employment in India.• India witnesses more than 5 million annual foreign tourist arrivals and 562 million domestic tourism visits.• The tourism industry in India generated about US$100 billion in 2008 and that is expected to increase to US$275.5 billion by 2018 at a 9.4% annual growth rate.
Marketing in tourism• As the production and consumption experiences are inseparable, it is impossible to sample a tourism service before purchase.• Marketing of tourism is based on – Trust – Relationship – Delivering value
Tourism as a service variableIntangible Inseparable Tourism service
Tourism as a serviceIntangibility• Service oriented industries like travel and tourism, strive towards converting the intangible product into an experience that customer will value and cherish.Variability• Offering the same quality of service each time a customer interacts with the service marketing brand( which helps in image building).
Tourism as a serviceInseparability• Tourism is a service in the true sense, because of its unique features.• Prospective customers have to travel to the destination to experience the place; and a trail or sampling or test drive is not possible before purchase.
The tourism marketing mix product price place variable Intangible Inseparable Tourism Physical promotion service evidence people process
Product and Place• Travel companies design tour packages covering a wide range of tourist attractions at different prices to attract diverse target segments
PromotionIncredible India campaign• Advertisements in BAFTA, Grammy, Oscarsand major European channels.Major components of promotion• Advertising• Public relations• Publicity• Word of mouth
Place• The world has become a global village.• In recent times the concept of place has transformed tremendously as bookings can be made from anywhere online.
People• People in the travel and tourism industry like travel agents, tourist guides, hotel and restaurant staff, transport personnel play an important role in brand building and customer satisfaction.
Process• Detailed and well documented procedures for addressing every situation and service context supported by infrastructure and IT systems provide consistent and good quality service.
Physical Evidence• Good customer experience is extremely important for generating repeat business and also business from new customer trough positive wor-of-mouth.
Conclusion• Scope of marketing in tourism• Lot of tourism places are not discovered by tourism companies, if marketed will add to the revenue.