The document discusses various topics related to tourism marketing including definitions of marketing, differences between selling and marketing, features of tourism marketing, marketing organizations and managers, marketing planning, market segmentation, major variables used in segmentation, tourism markets (international and domestic), and data on international tourism arrivals and India's domestic market. It provides an overview of key concepts in tourism marketing management.

1. Tourism Marketing
TS 6
Block 1
By: Niyam R. Shrestha
3/29/2013 MTM IGNOU

2. Introduction
What is Marketing
• Managerial Process
• Social Process
• Carefully Formulated Programme
• Exchange of Value
• Selection of targeted markets
• Need and Desires of the Targeted market
• Assist organisations
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3. Introduction contd..
Selling and Marketing
• Selling Focuses need of seller
• Marketing focuses need of buyer
Features of Tourism Marketing
• Tourism is Service product where instead of
selling physical goods and intangible
experience is sold
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4. Marketing Organisations and Managers
• Marketing organisations are designed keeping in
view the various marketing functions which may
include a marketing director with managers at
different levels and for different activities.
– Marketing research unit
– Marketing planning unit
– Advertising and promotion unit
– Public relation unit
– Product development unit
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5. Marketing Organisations and Managers contd…
• The main task to be performed by marketing
managers at different level
– Planning and control tasks
– Executive tasks
– Coordinating tasks
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6. Marketing Organisations and Managers contd…
• The personal qualities of Marketing Manager
• Very energetic, active, competitive and aggressive by nature
• Creative in terms of seeking new opportunities and use them for
benefit of organisation
• Good communicator, presenter and advocate
• Skill and confidence to analyse , appreciate and interpret the
data in relation to marketing
• Quality of judgment for taking marketing decisions and
evaluating risks, good administrator and strategist
• Develop a marketing orientation along with sensitivity towards
consumer needs and attitudes.
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7. Marketing Planning
• Purpose of Marketing Plan:
– Providing a well laid down policy and clear
directions for the marketing operation
– Coordination of resources
– Finding out the strength and weakness
– Identifying market segments
– Target setting
– Assess the controls, areas of diversification,
competitors strengths and weakness
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8. Marketing Planning …contd..
Issues of marketing plan:
• Defining the marketing objectives and goals
• Situation analysis-background, forecast, opportunities and
threats and strengths and weaknesses
• Marketing strategy-the target market, marketing mix and level
of marketing budget
• The timeframe
• Monitoring and control-sales analysis, market share and
expenses, checking customer attitudes toward the products
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9. Market Segmentation
• “Process whereby producer organize their
knowledge of customer groups an select for
particular attention, whose need and wants they
are best able to supply with their products.”-
Victor TC Middleton
• Identify similar wants homogeneous
characteristics and need
• Purpose:
– Segment the market generating tourists
– Identify the prospective tourists according to life
styles, socio-economic status, attitudes about travel..
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10. Market Segmentation: Approaches
• Cost effective marketing
• Identical needs of the target groups are satisfied
• To understand what is wanted and who is going
to buy it
• Actionable Segmentation
– Past Visitor
– Prospective visitors
• Matching followings
• Geographics, Demographics, Psychographics and Travel habits
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11. Market Segmentation: Approaches….contd..
• The segments should be:
• Discrete-Separate identity of the sub-group must be
established by using any criteria like income, purpose, interest
etc.
• Measurable-The characteristics that distinguish the sub-
groups should be measurable though the available data
• Viable-the projected earnings to be achieved should be more
that the costs of designing the market mix
• Appropriate-Showing the inseparability of the tourism
product which should contribute to the overall image in the market
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12. Major Variables
• Geographic Segmentation
– The America, the UK, Europe, Middle East, Far East,
Australasia
• Demographic Segmentation
– Divided according to age, sex, family size, fimily life cycle,
income occupation, education, religion, race, and nationality
• Psychographic Segmentation
– Customers are divided according to: Social status, life styles,
personality characteristics (upper class, middle class & lower
class, risk taker, adventurous)
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13. Major Variables…contd..
• Behavioral Segmentation
– Segmented on the basis of their knowledge, attitude,
use or response to tourism product
• Occasions-business, seminar, holiday or visiting friends and
relatives
• Benefits-consumer look for in the product, kinds of people
who look for each benefit and major brand that each
benefit
– Core benefit segments
• Quality buyer-more concerned by the product image
• A service buyer-chooses a product which provide best
service
• Economy Buyer-low cost product
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14. Major Variables…contd..
• Price Segmentation
– High spenders and are prepared to pay high prices-budget
tourists
– Low priced vacation segmentation
– Moderately price vacation segmentation
• Other determinants
– Distance traveled-long haul, mid haul or short haul
– Duration of trip
– Time of travel-summer, winter
– Organization of trip-whole tour but independently, only
flight ticket, limited period package-luxury or economy
– Travel Motives-culture tours, wild life, beach tours,
adventures tours-health, sports, relaxation, sun-tan,
refreshing, flirt and romance..
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15. Tourism Markets:
International and Domestics
• International tourist-foreign passport
– Leisure, recreation, health, study, holiday, religion
and sport
– Business, family, mission or meeting
– Not regarded as tourist-employment, to be
resident and excursionists
• Excursionist-stay less than 24 hrs, ship cruise, do
not spend night accommodation.
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16. World tourism market
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17. Market for India
nationality wise foreign tourist arrival in India 2008-2010
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18. International tourism arrivals
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19. Domestic Market in India
Domestic Tourist Visits (In Million)
Years Number of Domestic Tourist Visits (in Million) % Change
2001 236.5 7.5
2002 269.6 14.0
2003 309.0 14.6
2004 366.2 18.5
2005 391.5 7.0
2006 462.3 18.0
2007 526.4 13.9
2008 563.0 7.0
2009 668.8 18.8
2010 740.2 10.7
Source: Retrieved from
http://dtxtq4w60xqpw.cloudfront.net/sites/all/files/pdf/rs_india_domestic.
pdf
3/29/2013 @N.R Shrestha