Definitions and Concepts Travel and Tourism Definitions and Concepts
Definitions Travel Destination orientation Purposeful Direct Tourism Leisure pursuit “Seeing the sights” Historical/cultural significance
Tourism Cycle Leave home Use transportation to travel away Arrive or journey in a new place or space Acquire mementos and souvenirs Use transportation to travel back Arrive back home Use mementos to reconstruct trip
21st Century Tourism Old Style East-West flow One long vacation European destinations Natural environments Mass markets New Style North-South flow Many short breaks Latin and Asian destinations Artificial environments Specialty markets
Attraction Destinations PRIMARY Extended time Breadth of appeal Market orientation (Disney- amusement) Site orientation SECONDARY Short time; stopover Narrow focus Accessible to transport Roadside attractions
Facilities Lodging Food and beverage Support Industries (goods, services, activities) Proximity to transportation Hospitality programs
Souvenirs Integral part of economic structure of destination Serve as tangible symbols to commemorate travel experiences Act as ‘site markers’ of visitation Embody memories and recollections of travel
Function of souvenirs Pictorial images (photos, postcards, books) Pieces-of-the-rock (collected from nature) Markers (inscribed with location; t-shirt) Local products (food, crafts, art)
Tourism Impacts
Economic Development & Economic Impact Opportunity for growth to developing areas Invisible exports from consumer collection Increasing foreign exchange earnings Increasing income - visitor spending, business expenditures Increasing employment - direct/indirect
Societal and Cultural Impacts Meet new people with different customs Confrontation of new values, lifestyles, languages, wealth Hosts - residents of tourist site Guests - visitors to tourist site
Sustainable Tourism Improves quality of life for host community Provides high quality experience for visitor Sensitive to ecology and biology of region Strengthens community identity Compatible with local values Manages tourism development resources
Role of government and world organizations Policy development and planning Regulations Marketing and research, education World Tourism Organization Promotes positive economic and environmental development within tourism. 157 countries are members
Tourism Regulation Multilateral agreements - international air travel rights and goals Bilateral agreements - open skies, hotel classification Destination regulation - tours, food service, transportation, accommodations standards Tour operator regulations
Tourism Planning Destination lifecycle Background analysis - SWOT Market research and activity analysis Position statement against competition Goal and objective setting, strategy selection Plan development, implementation, monitoring and evaluation
Tourism Development Feasibility studies Site analysis - investors/lenders, market & physical characteristics Market analysis - questionnaires, focus groups, observations Economic analysis - expenses, revenues, cash flow, cost/benefit
Tourism Marketing: Criteria Measurable number of visitors Accessible through media or promotion Sufficient numbers to justify effort Unique characteristics Sustainability Competitive advantage
Segmentation – Why people travel to places Demographic and socioeconomic Geographic Purpose of trip Behavioral Psychographic Product-related Channel of distribution
Positioning Determine how tourists perceive position Evaluate whether to establish, change or reinforce that position Objective positioning - match site attributes with tourist needs Subjective positioning - correct misperceptions; repositioning
Positioning approaches Product features (Swiss Alps) Benefits, problem solution, needs (LaCosta’s full service spa) Special usage occasion (Honeymoon at a resort) Against a competitor (this resort over another) Product class (cruise vs resort vs hotel)
Marketing planning Situation analysis - economy, consumers, competition, trends, SWOT Goals- segments, position, objectives and strategies Marketing mix - integrated brand communication Implementation - tracking and modification Evaluation - effectiveness, accountability
Marketing mix - 8Ps Product - transport, lodging, souvenirs Price - lifecycle, competition Promotion - advertising, PR, sales, publicity Place - channel, intermediaries Packaging - all inclusive trips Programming - activities, events People - human resources Partnership - coop ads and packaging
Promotional objectives Initiate new travel behavior with information and incentives Change existing travel attitudes through persuasion Reinforcing desirable travel behavior with reminders
Promotional program development Select target market and market segments Set objectives based on consumer research and a results orientation Establish a task-objective based budget Determine a message to support product/service position Create message format and appeal
Promotion program continued 6. Select promotional mix elements that adhere to budget for entire market 7. Determine appropriate media to reach each target segment 8. Measure and evaluate promotional effectiveness
Brand image and brand equity Image created in traveler’s mind from promotional messages Brand equity created through experience with product or service Branding is relationship-oriented Brands must be managed to insure equity building process is successful