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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
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
11th Edition - 2009 Chapter 19: Tourism Marketing
Tourism: Principles, Practices, Philosophies
Part Five: Essentials of Tourism Research and Marketing
Product Life Cycle
11th Edition - 2009 Chapter 19: Tourism Marketing
Tourism: Principles, Practices, Philosophies
Part Five: Essentials of Tourism Research and Marketing
Factors that InfluencePrice 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
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
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:
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
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
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
11th Edition - 2009 Chapter 19: Tourism Marketing
Tourism: Principles, Practices, Philosophies
Part Five: Essentials of Tourism Research and Marketing
Typical Bases forMarket 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