2. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Become familiar with the marketing mix and be able to formulate the best mix for a particular travel product Appreciate the importance of the relationship between the marketing concept and product planning and development Understand the vital relationship between pricing and marketing Know about distribution systems and how this marketing principle can best be applied to a variety of travel products Be able to do market segmentation to plan a marketing program for the business you are most interested in Demonstrate the linkage between tourism policy and tourism marketing Learning Objectives

3. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Marketing Mix The marketing mix is composed of every factor that influences the marketing effort 1.Timing 2.Brands 3.Packaging 4.Pricing 5.Channels of distribution 6.Product 7.Image 8.Advertising 9.Selling 10.Public relations 11.Service quality 12.Research

4. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Product Life Cycle

5. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Factors that Influence Price Policies 1. Product quality 2.Product distinctiveness 3.Extent of the competition 4.Method of distribution 5.Character of the market 6.Cost of the product and service 7.Cost of distribution 8.Margin of profit desired 9.Seasonality 10.Special promotional prices 11.Psychological considerations

6. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Price Skimming Skimming is appropriate when the product or service has the following characteristics: Price inelasticity No close substitutes High promotion elasticity Distinct market segments based on price

7. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Penetration Pricing High price elasticity Economies of scales An easy fit of the product into consumer purchasing patterns Penetration pricing is appropriate when the following factors are present:

8. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Selection of Channels of Distribution Channels of distribution are selected by: 1.Analyzing the product 2. Determining the nature and extent of the market 3.Analyzing the channels by sales 4.Determining the cooperation you can expect from the channel 5.Determining the assistance you will have to give to the channel 6.Determining the number outlets outlets to be used

9. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Promotion In order to sell the product it is necessary to: 1. Attract attention 2. Create interest 3. Create a desire 4. Get action

10. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Typical Bases for Market Segmentation Geographic Demographic Socio-economic Psychographic Behavior patterns Consumption patterns Consumer predispositions

11. 11th Edition - 2009 Chapter 19: Tourism Marketing Tourism: Principles, Practices, Philosophies Part Five: Essentials of Tourism Research and Marketing Typical Bases for Market Segmentation Typical bases for market segmentation. Source: W. Zikmund and M. D’Amico, Marketing, 3rd ed., copyright ©1984, New York: John Wiley & Sons, Inc.; adapted by permission of Prentice-Hall, Englewood Cliffs, N.J., from Philip Kotler, Principles of Marketing, copyright ©1980, p. 297. © John Wiley & Sons, Inc, 2009