Croatia – destination for Americans

Company description THE CROATIAN NATIONAL TOURIST BOARD is a national tourist organization that was founded, in order to promote and create the identity and reputation of Croatian tourism. Our mission also includes the planning and implementation of common strategies and concepts for promotion, proposal of and carrying out of promotional activities which are of mutual interest to all the subjects in tourism in the country and abroad, and improvement of the complete tourist offering in Croatia.

Mission statement Mission is to promote Croatia to Americans as one of the top tourist destination. I chose to promote my country to Americans because they are the biggest spending nation and they are desirable customers as I will show that later on in marketing plan. Also majority of US population have never heard about my country. The fact that I am older than my country is one of the reasons why they haven’t heard anything about Croatia.

SWOT Analysis Strengths: Naturally beautiful landscape (sea, mountains, thousands of islands, unique cost, woods, etc.) Unique culture with excellent domestic food along with high quality wine Remaining of ancient cultures along with baroque and gothic buildings Cheaper prices than other countries (weaker currency 1 dollar = 5.10 kunas) Great infrastructure (new roads – highways connecting the inside with the cost side of the country) People have at least basic knowledge of English Closeness of Italy and Greece High quality service Tourism profit of 7 billion Euros in the year 2007 Mediterranean climate with hot dry summer

Weaknesses: Unknown country War consequences still present in some places Mine fields Not enough number of five star hotels Expensive toll

Opportunity: Growing economy Tourists are coming back Croatia offers everything that American tourist wants Get more money out of American tourists Large demand

Threats: More known countries take our potential tourists Fires (during summer) American tourist are worried to be welcomed

Strategic planning Demand analysis the needs and wants of American tourist: High quality product and service Experience history by “reliving” them in historical attractions like ancient, medieval, Roman castles, palaces, churches and other architectural accomplishment of past nations Diversity of culture – if the domestic culture becomes Americanized it is more likely for an American tourist that he will not visit that country (culture) Great food, great wine and fine dinning To get his money worth To learn about the domestic culture and its tradition Safety and ease of travel – small country (easy to get from one place to another) also closeness of Italy and Greece

Reasons why we should attract more American tourists (based on the poll of the finest hotels in Europe): 2 nd overall tourists Showing interest in trying local cuisine and learning language 3 rd most polite 3 rd most behaved Largest spenders and best tippers by far 13 millions American tourists spent $22.8 billion on goods and travel services in the year 2006 in Europe. 1 st worst dressed (tend to try the latest European fashion trends) Distance is not a problem for them (they are willing to travel because they want to have a new experience) Language is not a barrier Prefer southern European countries because of the slower and more relaxed way of living – less stressful 2 nd noisiest – only negative side based on the poll

Segment Analysis Last year, Gen X - the 60 million Americans from age 25 to 40 - spent an estimated $2,140 per capita on overall travel involving a hotel stay, vs. boomers' $2,016. The larger boomer population still dominates on a total dollar basis - about $157 billion last year, vs. $130 billion for Gen X. Vacation spending by Gen X has soared 66% per trip in the past five years, vs. 25% among boomers, ages 41 to 59. The generational change has significant implications for the travel industry. Compared with the 78 million boomers, Gen X are less brand loyal, less likely to call a travel agent and less likely to plan far in advance. They're more likely to book online and pay for eye-catching extras.

Supply analysis Positioning Mediterranean as it once was. Croatia will be positioned as the top tourist destination. Top destination where people come to have a dream vacation, experience the mix of cultures (from ancient to baroque), see the historical architecture in today’s time and to enjoy the fine quality domestic food and wine. Where everything is natural and untouched and where everything that was built in past time still stays in present. Main goal here is that Croatia sells itself. Customers want, need and look for that product (Croatia). It should become one of those “must do things before I die” – visit Croatia.

Differentiation Dubrovnik Republic was the first state to recognize the independence of the United States of America. White House in Washington is built of marble from the island of Brač. - this is how we get American tourist’s trust and attention. Everything you wish for is in one place and is cheaper than other destinations. In Croatia you will find hidden treasures of untouched nature; three thousand years of history waiting to be discovered; you will make your vacation an adventure full of passion; you will discover the beauty of the authentic Mediterranean with one of the cleanest seas, Adriatic sea; warm climate; Croatian hospitality; you will taste food and wine who’s taste you will never forget; high quality of service and accommodation will make your holiday unforgettable! In one word, you will have memories for a lifetime! National Geographic Adventure proclaimed Croatia top destination in the world for Looney Planet – Croatia number 1 travel destination in 2005.

Objectives for 2008 Increase the number of American tourists by 45-50% Increase profit for 15-20% Increase American tourist’s spending by 30% Retain them (preferably for longer period of years) Expand customers to Canada (in the future)

E-marketing strategy Product (offer) Offers will be made by tourist agencies, hotels or other tourist organization while CNTB would take fee for hosting their offers on the website. Strategy is to have two types of offers: First – airplane ticket and hotel reservation – where they sell natural beauty of the country, historical sites and food while giving them options to choose their own activities (if they even want to have any). Second – airplane ticket and hotel reservation plus activities – here our primary offer are endless activities like adventure racing, canoeing, climbing, cycling, diving, flying, health tourism, horseback riding, kayaking, naturism, nautics, rafting, skiing, speleology, sport fishing, wellness, camping...

Price Airplane tickets – company Lufthansa flies from US to Germany and then Croatia Airlines takes their customers to Croatia. They are both very reliable and known companies (Lufthansa – high quality service and product). Price of round trip (JFK to ZAG) for 2 adults is from $940 to $1000 plus tax (in July and August 2008). Hotel (in high season) price (in €): 5-star – 300 to star – 150 to star – 55 to star – 40 to 55 All the prices are for one night and one room for two persons. First offer would be in range between $2000 and $3500. Second offer would be in range between $2300 and $4000. All of this is in the most expensive period (beginning around mid July and ending at the end of August). Rest of the season is cheaper up to 40%.

Distribution - Make changes

CRM Their job is to keep tourists satisfied, making them to come back while advertising Croatia. Just with visiting Croatia tourists will want to come back. Although there is possibility of bad service and charging high prices (to foreign tourists). That will make our customers go away and never come back again also they will tell other potential customers not to come.

Did you know? Slavoljub Penkala invented a mechanical pencil - a pen in 1906 Tie or cravat was patented in Croatia, warn by Croatian soldiers in the European Thirty Year War ( ) Nikola Tesla, scientist and inventor, born in Croatia 1856 Rudjer Boskovic, philosopher and scientist, also born in Croatia 1711 Andija Mohorovicic, seismologist, discovered the Moho discontinuity named after him Marko (Marco) Polo, explorer, born in Croatia Faust Vrancic invented the parachute and successfully tested it Ivan Lupis- Vukic invented the torpedo David Schwartz invented a zeppelin but it was constructed in St. Petersburg Dalmatian dog is from Croatia, named after Dalmatia (southern part of Croatia)

Did you know? (continued) - That Croatians have their own alphabet or set of letters. It is called "Glagolitic" and emerged in the 9th century and was in daily use (along with the Latin alphabet) up to the 18th century. - That Dubrovnik has the oldest Insurance Act in Europe, dating from the year 1395, three centuries the senior to that of Lloyd's, which was adopted at the beginning of the 17th century. - That the oldest communal theatre in Europe was built in Hvar in the year That the city of Zadar is home to the world's first Sea Organ that creates its music only by the action of the wind and waves. - That Zlatni rat, a beach in Bol on the island of Brač, changes its shape depending on the prevailing wind. - That on Mljet you can see a rare natural phenomenon – an island within an island. There is a small island, namely, situated in the big lake (Veliko jezero) on the island of Mljet.

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