2. Introduction to tourism marketing
Chapter 1
Introduction to tourism marketing

3. Tourism in the experience economy
From service economy to experience economy
Tourism experience – core value of service delivery in tourism
Tourism system: demand, travel, destination, marketing
Destination mix: FAITH

4. Concepts related to customer experience
Customer expectation
Customer perception
Customer satisfaction
Customer value

5. The evolution of marketing concepts
Production orientation
Sales orientation
Marketing orientation
Personal marketing orientation

6. Production orientation
Dominated business operation approaches until mid 1950s
Concerned with product supply issues
Supply shortage comparing to mass demand
Common belief: supply creates its own demand

7. Sales orientation Mid 1950s to early 1970s
More business efforts on sales promotion strategies and advertisements
Still lack of attention to customers’ needs

8. Marketing orientation
Starting from early 1970s
Competitive business environment
Unprecedented attention to consumer needs and wants
Customer centred and market-driven business practices

9. Personal marketing orientation
Propelled by technology
Tailor marketing programs to the individual
Mass customisation
Customer relationship management (CRM)
Database marketing

10. What is marketing?
Definitions of marketing
Marketing mix

11. Definitions of marketing (1)
Philip Kotler (2003): a societal process by which individuals and groups obtain what they need and want through creating, offering, and freely exchanging products and services of value with others

12. Definitions of marketing (2)
American Marketing Association (AMA) (1995): the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods, and services to create exchanges that satisfy individual and organisational goals.

13. Definitions of marketing (3)
AMA (2004): an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.

14. Marketing mix Four Ps: Product, price, place, and promotion
Four Cs: customer solution, customer cost, convenience, and communication
Seven Ps: Product, price, place, promotion, people, process, and physical evidence

15. Characteristics of tourism services
Characteristics of services
Special features of travel and tourism

16. Characteristics of services
Intangibility
Inseparability
Variability
Perishability

17. Special features of travel and tourism
Seasonality
Unclear ownership
Interdependence
Sensitivity to crises
Fixed capacity
Shorter exposure to services
More emotional buying appeals

18. Special features of travel and tourism
Greater emphasis on stature and imagery
More variety and types of distribution channels
Easier copying of services
Difficulty of differentiating tourism, travel and hospitality services

19. The importance of tourism marketing
World economic development
Consumer movement patterns
Limited destination information before trip
Multiple service segments in tourism
Marketing – everybody’s responsibility

20. Destination marketing organisations
National tourism organisations (NTOs)/ national tourism administrations NTAs)
International tourism organisations
Inter- and intra-organisational collaboration

21. NTOs/NTAs
Responsible for many aspects of a nation’s tourism development
Destination marketing as a major or sole function
Branch offices in major source markets

22. International tourism organisations
World Tourism Organisation (UNWTO)
World Travel and Tourism Council (WTTC)
Pacific Asia Travel Association (PATA)

23. Inter- and intra-organisational collaboration
International marketing collaboration: E.g., UNWTO Silk Road Project
Inter-organisational collaborations within a destination
Departmental collaboration and cooperation within a tourism company

24. Summary Nature of tourism in the experience economy
Customer experience related concepts
Evolution of marketing concepts
Definitions of marketing
Characteristics of tourism services
Importance of tourism marketing
Destination marketing organisations