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The Future of Destination Marketing Why all Marketing is Social Marketing
The document discusses how destination marketing is shifting from traditional marketing approaches to social marketing approaches. It notes that customers now have more control over the information they access and share, and they turn to peer recommendations over company advertising. This shift requires destination marketers to understand their customers better by knowing where customers spend time online, what they are trying to achieve, and how to meaningfully connect with them through conversations and community building. All marketing is now social marketing as it is about building relationships and interactions more than pushing messages.
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The Future of Destination Marketing Why all Marketing is Social Marketing
- 1. THE FUTURE OF DESTINATION MARKETING Why all marketing is social marketing Anna Pollock DestiCorp Presentation to BIT Reiseliv Oslo, 2009 1
- 2. THE FUTURE OF DESTINATION MARKETING Why all marketing is e‐marketing Anna Pollock DestiCorp Presentation to BIT Reiseliv Oslo, 2009 2
- 3. My Purpose Today To help you survive the next decade From the Five Ps to Five Cs Why all marketing is social in nature The Importance of Content … Relationships: The Power of Community What to do now?
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- 5. If the Destination Management Company does not reduce the pain experienced by guest, supplier or host, it won’t survive! 5
- 6. Who’s Pain? Supplier Members Customers Guests Host Community
- 7. What pain exists for Guests? Risk Unique experience Planning their trip Online products are not representative The small, unique and unusual is particularly hard to find. This is what the high yielding tourist seeks! 7
- 8. What pain exists for the Supplier? Suppliers sell just one element Distribution costs are high (25‐40%) The product is perishable Difficult to unload distressed inventory. Distress leads to discounting. Discounting leads to paper thin margins At the same time, suppliers must deal with….. 8
- 9. Access Proliferation • Video games • Radio • Satellite Radio • Email • DVD • TiVo (Starhub PVR) • XBox LIVE • Ring Tones • Video On-Demand • Websites • TV • Newspapers • IM • Blogs • Podcasting • Search • Magazines • Cell Phone Source: Darwin Day Conference, Google
- 10. More New Channels 14,463,346 auctions www.ebay.com 21 Nov 2006 133,000,000 blogs 2 billion page views daily 2008 Almost 10,000,000 articles 78 million videos (10 languages) (200,000 publised/day) 33,347,000 profiles 1.8 million 139 million + residents members 10
- 11. What pain exists for the Host? Politicians want re‐ election They want people talking about them They want people believing they’ve made a contribution That’s why they like tangible things 11
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- 18. Human organizations are slow to change Evidence that the old model still being used Our organization structures Our language What we count What we value……. 18
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- 23. To Value Networks- Ecosystems
- 24. To Value Networks- Ecosystems Host Community Agents Providers GUEST Channels Destination Suppliers Partners
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- 27. Back to FamiliarGround! Marketing How Far We’ve Come!
- 28. Marketing: A Quick History 1930-1960s •ONE TO MANY •Products Pushed at Targets •Blitz campaigns through limited media •Print – newspapers and magazines •Radio & TV – broadcast channels •Call to action: the BROCHURE •Glorious days for advertising •Enormous reach and influence
- 29. Marketing: A Quick History 1960-1990 •ONE TO FEW •Beginning of individualism •From mass markets to market segments •Growing variety of media •Magazines and Cable TV – focused TV channels •Pushy
- 31. Marketing: A QuickHistory 1990-2000 •ONE TO ONE •Customer Relationship Marketing CRM •WEB SITES! •Plethora or Brochures to Plethora of Web Sites •Still PUSHING – Banner ads and phone calls
- 32. Marketing: A Quick History BUT DID ANYTHING REALLY CHANGE? Still Pushing Still interrupting Still Product Centric Still Transaction Oriented 1950-2000
- 33. the Millennium Bug didn’t strike but SHIFT HAPPENED!
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- 37. NGOs EMPLOYEES CUSTOMERS TRADE ORGS The new cacophony. INVESTORS MEDIA ANALYSTS MARKETERS GOVERNMENT 37
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- 40. With so many voices in the mix… People turn to peers for recommendations. They also do this when: Risk is higher More choices to review and filter They have less time to research
- 41. In fact, PEERS are the most credible source of company/product info 58% believe what “a person like me” says about an organization (up from 51% in 2007) LEAST CREDIBLE (IN THE US): corporate or product advertising (22% of ages 25‐34) SOURCE: 2008 Edelman Trust Barometer
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- 44. And trust drives preference. 88% of opinion elites choose to buy from companies they trust. 85% refuse to buy from companies they distrust.* The bottom line: Trust drives transactions. *SOURCE: 2008 Edelman Trust Barometer
- 45. SOURCES OF INFORMATIONUSED BY TOURISTS FROM VARIOUS COUNTRIES Source: Phocuswright
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- 48. PUSH to PULL
- 49. •Power to Search •Powerto Express & Publish •Power to Participate •Power to Choose •Power to Share
- 50. Power of Self Expression Anyone can now be: Author Journalist Film maker Reviewer Marketer Intermediary, or even a DMO or DMC ! 50
- 51. Power of Influence Consumers decide what’s valuable or important Amazon ratings E‐Bay ratings Trip Advisor ratings and reviews Content Tags People who bought this, also bought…….. So customers shape your brand, influence others, and…. 51
- 52. BECAUSE CLIENTS TALKand TALK INFLUENCES PURCHASE DECISIONS
- 53. There is onlyone metric!* Will your customers recommend your brand/product to their friends? Fred Reichfeld in Driving Good profits and True Growth
- 55. ALL MARKETING IS SOCIAL MARKETING MARKETING IS NOT A BATTLE IT’S A DANCE! AND THE CUSTOMER TAKES THE LEAD…
- 56. PUSH to PULL Product Customers Position Connections Price Conversations Promote Content Place Community
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- 58. CUSTOMERS 58
- 59. How well do you know your customers? Norwegians or International? Repeats or First‐timers? Single, couple or in a group? Weekend Escape or Annual Vacation? Touring (passing through) or Staying Put Activity or relaxation focused? Special interest? ?????????? How do you connect with them? 59
- 60. Do you KnowWhere They Are?
- 61. Do you KnowWhere They Are? 1.4 billion prospects can now potentially be reached via the web.
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- 63. Do you know what your guests are trying to achieve when they “ask you to dance”? Decide where to go? Decide when to visit? Plan activities? Find a good deal? Learn about the destination? Read other visitors’ reviews and impressions? 63
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- 66. How are you Connecting with your visitors? Through a screen? Face to Face, Voice to Voice? There’s a technical answer…. 66
- 67. The 3‐Screen world TV Computer Monitor Handheld 67
- 68. How are you Connecting with your visitors Through a screen? Face to Face, Voice to Voice? There’s a human answer……. 68
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- 70. Features of a Good Conversation Two‐way dialogue Active Listening Let your partner hog the limelight Good Content makes for good conversations As trust builds….. So will more content be exchanged The conversation can be continued later… 70
- 71. Where do Good Conversations Occur? Homes Offices Restaurants, bars Dinner parties Travel agencies At the gym On the way to work 71
- 72. LOCATION OF ONLINE CONVERSATIONS
- 74. When do Good Conversations Occur? Where and when the partner wishes to initiate it….. They may knock on your front door They may come in through the back door They maybe “hanging out with friends” Remember It’s rude to shout & brag Don’t interrupt Success is to become the topic of conversation Don’t be shy – join in; be where your customers are; but don’t interrupt. 74
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- 78. It IS about becoming your customers’ Topic of Conversation 78
- 79. And You Do This By.. Listening Helping Supporting Being present Being alert Being creative 79
- 80. So, do You Need a Social Media Strategy? NO! You need to re‐think your entire role and your entire marketing strategy Ensure it reflects the realities of your marketplace Is active in the places your customers meet Acknowledges the new rules and realities Learn the power of CONTENT and COMMUNITY! 80
- 81. The Power of CONTENT In tourism, content is your currency. Conversations are fuelled by content Content Enables choices Reduces risk Stimulates emotions All content is digital All marketing is publishing DMOs are the ideal content brokers Close to the supplier, the setting, the place Closest to the customer’s experience Content comes in different forms and performs different functions 81
- 82. INSPIRE http://www.newzealand.com/travel/USA/ 82
- 83. ENGAGE http://www.classicbritain.no/ 83
- 84. ENABLE A SEARCH http://www.classicbritain.no/ 84
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- 86. Good Content is created by: The DMO Third Parties Suppliers Other travel companies Film and TV producers Users It doesn’t matter who created it so long as 86
- 87. Good Content is Relevant Reliable Comprehensive Compelling Consistent Portable Ubiquitous = Everywhere 87
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- 89. Content Has to Be Everywhere! Supplier Web Site & e‐newsletters Destination Portals Third‐party web sites and portals: Online agencies: Expedia, Travelocity, Hotels.com Other suppliers (tour, ferry , airline, train companies) Media: newspapers and magazines – on and offline Banner and classified advertisements Directories (Yellow pages) Travel Community Sites (Trip Advisor, Real Travel, WAYN) Social Media Sites (Facebook, MySpace) Kiosks Hotel, airline TV Mobile phone channels 89
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- 93. Your NEW role as DMO is to Enable Facilitate Support Encourage Seed And all in a digital world!! 93
- 94. In summary Rethink your entire marketing approach, from outbound monologue to full engagement Go DIGITAL, think DIGITAL Build trust by being found, providing value, and not interrupting consumers on their journey to find what they want Engage and support your Community in their conversations about your destination
- 95. CREDITS AND SOURCES: Thisslide deck is a “mash-up” – a blend of author’s observations, insights and learning. I have attempted to indicate sources either on the slides or below and and express gratitude to the generosity of those who have shared their insights on the web. Slides 1-2 Image of boat: http://www.flickr.com/photos/good_day/236094065/ Slide 9: http://www.slideshare.net/wah17/social-media-35304 Slide 10: More new channels Slides 14:17 – still searching Slide 25: David Armano – see slideshare Slide 25: David Armano – see slideshare Slide 28:34 Background: The Changing media Landscape: http://www.slideshare.net/Cscout/cscoutmarketing-innovation-presentation Slide 37, 40, 41, 43,44 - http://www.slideshare.net/Weave/trust-drives- transactions-why-marketing-must-go-social-presentation Slide 45: PhocusWright Slide 52, 54: http://www.slideshare.net/Weave/trust-drives-transactions-why- marketing-must-go-social-presentation Slide 78: http://www.slideshare.net/howardgr/greenstein-landsman-social- media-jungle-presentation Slide 89: http://www.slideshare.net/socialmediainfluence/social-media-comes- of-age-radar-ddb-uk-at-social-media-influence-conference
- 96. GOOD LUCK! Thank You Anna Pollock Anna.pollock@btconnect.com +44 01544 388 910