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VISITOR BEHAVIOR AND DECISION-MAKING

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1 VISITOR BEHAVIOR AND DECISION-MAKING
DESTINATION MARKETING SESSION 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 VISITOR BEHAVIOR AND DECISION-MAKING Welcome to Digital Marketing Strategies Session 1: Course Overview and Direction This is Dale Fodness

2 ANNOUNCEMENT: Upcoming Events
Tuesday, May 9 Midterm Exam (all materials up through Monday’s session) Tuesday, May 9 Special Interest Tourism assignment (reports and presentation due to be submitted to MyCourses) by 23:59. Wednesday, May 10 Special Interest Tourism Presentations and Peer Evaluations Monday, May 15 Field Trip to Punkaharyu Hotelli 8am-5pm; travel by bus; lunch and coffee provided Tour property; meet with Saimi Hoyer; provide feedback on what we see (from the perspective of what we’ve studied)

3 VISITOR BEHAVIOR AND DECISION-MAKING
Animations used on this page SESSION 4 PREVIEW VISITOR BEHAVIOR AND DECISION-MAKING What motivates visitors to travel to destinations? How do visitors decide on a destination? How can destination visitors be segmented? DESTINATION MARKETING SESSION 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14

4 Why is this important for destination marketers?
To be aware of: The needs, purchase motives and decision process associated with choice of destination; The impact of the different effects of various promotional tactics; The possible perception of risk for destinations; The differences in purchase behaviour among market segments; and How destination managers can improve their chance of marketing success.

5 VISITOR BEHAVIOR AND DECISION-MAKING
Animations used on this page SESSION 4 PREVIEW VISITOR BEHAVIOR AND DECISION-MAKING What motivates visitors to travel to destinations? DESTINATION MARKETING SESSION 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14

6 Tourist needs, motives and desires/actions
Physiological Safety Belonging Esteem Self-actualization To know and understand Aesthetics Relaxation Security Love Achievement Be true to one’s self Knowledge Appreciation of beauty Escape; relaxation; relief of tension; sunlust; relaxation Health; recreation; keeping oneself active; exercise Family togetherness; enhancement of kinship relationships; companionship Convince oneself of one’s achievements; prestige; social recognition Exploration and evaluation of nature; self-discovery; satisfaction of inner desires Cultural education; wanderlust; interest in the unknown Environmental, scenery Need Motive Desire / Action

7 VISITOR BEHAVIOR AND DECISION-MAKING
Animations used on this page SESSION 4 PREVIEW VISITOR BEHAVIOR AND DECISION-MAKING What motivates visitors to travel to destinations? How do visitors decide on a destination? DESTINATION MARKETING SESSION 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14

8 Activities model of destination choice
B. Tourist socio-psychological factors Experiences Life-cycle stages Income Available time, etc. Motives C. Image of Destinations (activities as attributes) C. Image of destinations (activities as attributes) A. Marketing and external factors (information about destinations) D. Destination choice (based on a match between perceived activities offered and preferred activities) E. Destinations (offer and promote activities)

9 Travel purchase behavior (decision making) process
Need recognition Information search Alternative evaluation Purchase Consumption Post-purchase evaluation Commercial Interpersonal Personal Destination-dominated info Interpersonal and third-party info Internal sources Objective criteria Subjective criteria SERVQUAL Reliability: the ability to perform the promised service dependably and accurately Assurance: the knowledge and courtesy of employees and their ability to convey trust and confidence Tangibles: the appearance of physical facilities, equipment, personnel and communication materials Empathy: the provision of caring, individualized attention to customers Responsiveness: the willingness to help customers and to provide prompt service Perceived risks Expectations Performance

10 VISITOR BEHAVIOR AND DECISION-MAKING
Animations used on this page SESSION 4 PREVIEW VISITOR BEHAVIOR AND DECISION-MAKING What motivates visitors to travel to destinations? How do visitors decide on a destination? How can destination visitors be segmented? DESTINATION MARKETING SESSION 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14

11 Tourist Segmentation Rationale
From a destination marketing perspective we need: 1. to identify unique tourist market segments 2. to assess the stability and demand patterns of each segment 3. to evaluate the returns or profit contributions realized from each segment 4. to allocate resources to attracting each segment, in other words, making cost-benefit analysis in the tourism sector

12 Tourist Segmentation Bases 1
I. Segmentation by Purpose: (a) Recreational purposes (leisure) (i) Holiday (ii) Health and Sports (iii) Religion VFR, Study Holiday purposes include sunlust and wanderlust (b) Business purposes (i) Company Business (ii) Convention (iii) Sales trips (iv) Incentive trips

13 Tourist Segmentation 2 Psychographic Segmentation: uses psychological variables. A limited number of traits which are important for tourists: venturesomeness, hedonism, dogmatism, intellectualism. These traits influence tourist activity or the purchasing characteristics of tourists. A commonly used model segments tourism markets based on their venturesomeness: (a) Allocentric: highly venturesome; make own travel arrangements, visit remote and unfamiliar destinations, learn local culture, and rarely repeat visit to the same place. (b) Mid-centric: liking to explore but with comfort; uses travel distributors, but make own package, travel reasonably far but to known destinations, balance novelty with home comforts. (c) Psychocentric: disliking unfamiliarity and risks; use organized inclusive tours (package tours), travel often to familiar destinations culturally similar to home, board in mass accommodation or, often repeat visit.

14 Tourist Segmentation 3 3. Interactional Segmentation: to segment tourists with respect to the effect on the tourism destination. (a) Explorer: small in numbers, virtually no consumption of tourism products, negligible economic impact (b) Elite: relatively small number, price-inelastic demand for very high quality products, may cause investment to follow into destinations. (c) Hosted or second homers: constant travel demand, but boarded by hosts or in own accommodation, hence low consumption product, but cause increase in general local expenditure (d) Individual: numerous, wide ranging travel, demand maybe price-elastic, significant demand for domestic tourism products (e) Mass-or charter: very numerous, sectors of the travel industry wholly dependent on them, major impact and costs at destination, may cause significant investment in destination by generator owned business.

15 Tourist Segmentation 4 Other variations between types of tourists:
1. Length of stay: from a week to 30 days 2. Overall & seasonal demand stability: (a) VFR and luxury recreational tourism is the least sensitive to demand variation (b) Leisure Travel is constrained by school vacations, work entitlements, climatic conditions (c) Business Travel is influenced by the long term stability of demand affected by economic cycle in Tourist Generating Regions. 3. Repeat visiting & Marketing Costs: (a) The psycho-centric tourists and second home owners are most likely to repeat a visit to a destination. Because they are willing to visit familiar destinations (b) Cruise passengers exhibit high repeat purchasing (because of strong brand loyalty) (c) Repeat visiting decreases tourism marketing costs.

16 Tourist Segmentation Psychographic Segmentation Case Study Instead of defining people based on age, income, gender, family status or education level – all of which is valuable information – psychographics look deeper at people's personal beliefs, social values and view of the world

17 What’s your traveler type?
Take the EQ quiz

18 Exercise: Apply psychographic segmentation to Punkaharyu Hotelli based on their online presence
Get together with your Special Interest Tourism project team Based on what you see at the Punkaharyu Hotelli online presence (website, Facebook, etc.), identify which 2 types of traveler would be most interested and tell why For each of your two selected traveler types, post to MyCourses: Brief description of traveler type selected List social values List travel values Identify 3 specific activities from the Punkaharju Hotelli website that would be attractive to this traveler type Identify 2 specific activities from the Punkaharju website that would definitely not be attractive to this traveler type All traveller types* Authentic experiencer Cultural explorer Cultural history buff Personal history explorer Free spirit Gentle explorer No hassle traveller Rejuvenator Virtual traveler *

19 VISITOR BEHAVIOR AND DECISION-MAKING
Animations used on this page SESSION 4 PREVIEW VISITOR BEHAVIOR AND DECISION-MAKING What motivates visitors to travel to destinations? How do visitors decide on a destination? How can destination visitors be segmented? DESTINATION MARKETING SESSION 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14

20 Review for Midterm From their assigned chapter, each team will identify 7 key terms (along with definitions) – as well as one possible essay question related to their chapter (no answer required). Post to MyCourses. Team Chapter Assigned 1 9 2 8 3 6 4 5 17 7

21 VISITOR BEHAVIOR AND DECISION-MAKING
DESTINATION MARKETING SESSION 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 VISITOR BEHAVIOR AND DECISION-MAKING Welcome to Digital Marketing Strategies Session 1: Course Overview and Direction This is Dale Fodness


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