TOURISM MARKETING TOURISM MARKETING MANAGEMENTMANAGEMENT

AAn Overviewn Overview

INTRODUCTIONINTRODUCTION

In the middle ages people were tourists In the middle ages people were tourists because of their religion, whereas now because of their religion, whereas now they are tourists because tourism is they are tourists because tourism is their religion. their religion. Dr. Dr. Robert RuncieRobert Runcie

Marketing is merely a civilized form of Marketing is merely a civilized form of warfare in which most battles are won warfare in which most battles are won with words, ideas, and disciplined with words, ideas, and disciplined thinking.thinking.

A. W. EmeryA. W. Emery

Tourism TrendTourism Trend

Increase leisure time Increase leisure time Expansion of new middle classExpansion of new middle class More and better air transportationMore and better air transportation Improvement in communications Improvement in communications

technologytechnology Better marketing techniquesBetter marketing techniques Better educationBetter education Growing need and desire to travelGrowing need and desire to travel

Herman Khan (futurist)Herman Khan (futurist)

Future Tourists (Poon, Future Tourists (Poon, 1993)1993)

More experience-more More experience-more demandingdemanding

Detailed research Detailed research Risk takerRisk taker Independent touristsIndependent tourists Environmentally sensitiveEnvironmentally sensitive Go nativeGo native 3 S…… and/or culture/heritage3 S…… and/or culture/heritage Several holiday a year/short Several holiday a year/short

breaksbreaks Destination oriented Destination oriented

International Tourism Prospect

REGION Tourist Arrivals (million) Average Annual Growth

Rate (%)

World Market Share (%)

1995 2010 2020 1995 2020

Europe 338.4 1.006.4

1561.1 3.0 59.8 45.9

East Asia-Pacific

81.4 195.2 397.2 6.5 14.4 25.4

Americas 108.9 190.4 282.3 3.9 19.3 18.1

Africa 20.2 47.0 77.3 5.5 3.6 5.0

Middle East 12.4 35.9 68.5 7.1 2.2 4.4

South Asia 4.2 10.6 18.8 6.2 0.7 1.2

IntraregionalLong-Haul

464.1101.3

790.9215.5

1183.3

377.9

3.85.4

82.117.9

75.824.2

Sumber : WTO, 2003

DefinitionDefinition

““Marketing is a societal process by Marketing is a societal process by which individuals and groups obtain which individuals and groups obtain what they needs and wants through what they needs and wants through creating, offering, and freely creating, offering, and freely exchanging products and services of exchanging products and services of value with others”value with others”

““Marketing management is the process of Marketing management is the process of planning and executing the conception, planning and executing the conception, pricing, promotion, and distribution of ideas, pricing, promotion, and distribution of ideas, goods, services to create exchanges, that goods, services to create exchanges, that satisfy individual and organizational goals”. satisfy individual and organizational goals”.

(P. Kotler(P. Kotler))

Tourism MarketingTourism MarketingThe systematic and coordinated The systematic and coordinated adaptation of the policy of tourist adaptation of the policy of tourist enterprises as well as the tourist policy enterprises as well as the tourist policy of the state, on local, regional, national of the state, on local, regional, national and international levels, to achieve an and international levels, to achieve an optimal satisfaction of the needs of optimal satisfaction of the needs of certain determined groups of certain determined groups of consumers along with reaching an consumers along with reaching an appropriate profit”. appropriate profit”.

J. KrippendorfJ. Krippendorf

The management process through The management process through which the national tourist which the national tourist organizations and /or tourist organizations and /or tourist enterprises identify their selected enterprises identify their selected tourist, actual and potential, tourist, actual and potential, communicate with them to communicate with them to ascertain and influence their ascertain and influence their wishes, needs, motivations, like wishes, needs, motivations, like and dislikes, on local, regional, and dislikes, on local, regional, national and international levels, national and international levels, and to formulate and adapt their and to formulate and adapt their tourist products accordingly in tourist products accordingly in view of achieving optimal tourist view of achieving optimal tourist satisfaction thereby fulfilling their satisfaction thereby fulfilling their objectives. objectives. (AIEST)(AIEST)

Company Orientation Toward Company Orientation Toward the Marketplacethe Marketplace

1. Production Concept1. Production Concept Products that are widely Products that are widely

availableavailable Inexpensive Inexpensive

2. Product Concept2. Product Concept Products that offer the most Products that offer the most quality quality Continuously improvedContinuously improved

3. Selling Concept3. Selling Concept Aggressive selling and Aggressive selling and Promotional effortPromotional effort

4. Marketing Concept4. Marketing Concept Being more effective than Being more effective than competitors; in creating, competitors; in creating, delivering, delivering, and communicating and communicating customer customer value to its chosen value to its chosen target marketstarget markets

Integrated marketingIntegrated marketing

5. Societal Marketing Concept5. Societal Marketing Concept Determine needs, wants and Determine needs, wants and interests of target marketsinterests of target markets Deliver satisfactions more Deliver satisfactions more effectively and efficiently than effectively and efficiently than competitorscompetitors

In a way that preserves or In a way that preserves or enhances the customer’s and enhances the customer’s and the the society society

6. Customer Concept 6. Customer Concept Individual customerIndividual customer One-to-one marketing and One-to-one marketing and value chainvalue chain

Customer share, loyalty Customer share, loyalty and and life time value life time value

Customer relationship Customer relationship marketingmarketing

Concept Starting Point

Focus Means Ends

The Selling Concept

Factory Products Selling and promoting

Profits through sales volume

The Marketing Concept

Target market

Customer needs

Integrated marketing

Profits through customer satisfaction

The Customer Concept

Individual customer

Customer needs and values

One-to-one marketing integration and value chain

Profitable growth through capturing customer share, loyalty, and lifetime value

Selling, Marketing and Customer Concept

Marketing focuses on the needs of the buyer. Selling focuses on the needs of the seller ………………

(Theodore Levitt) Marketing plants the seeds and selling harvests the crops.

(Four Season Hotels)

A sound marketing program can make selling superfluous. Or There will always, one can assume, be need for some selling. But the aim of marketing is to make selling superfluous. The aim of marketing is to know and understand the customer so well that the product or service fits him (or her) and sell itself. Ideally, marketing should result in a customer who is ready to buy.

(Drucker)

Holistic Marketing

Holistic Holistic ConceptConcept

Internal Marketing (Marketing Dept,

Senior Management, Other Depts.

Integrated Marketing (Products

and Services, Communications,

Channels)

Socially Responsible Marketing

(Ethics, Environment, Legal, Community)

Relationship Marketing

(Customer/ Channels, Partners)

SERVICE MARKETINGSERVICE MARKETINGCharacteristics of Service;Characteristics of Service;

IntangibilityIntangibility InseparabilityInseparability HeterogeneityHeterogeneity PerishabilityPerishability OwnershipOwnership

(D. Cowell)(D. Cowell)

Specific Differences of Specific Differences of Hospitality and Travel MarketingHospitality and Travel Marketing

11.. Shorter exposure to servicesShorter exposure to services

2. More emotional buying appeals2. More emotional buying appeals

3. Greater importance on 3. Greater importance on managing evidence;managing evidence;

(1) Physical evidence(1) Physical evidence

(2) Price(2) Price

(3) Communications(3) Communications

(4) Customers(4) Customers

4.4. Greater emphasis and Greater emphasis and imageryimagery

5. More variety and types of 5. More variety and types of distribution channelsdistribution channels

6. More dependence on 6. More dependence on complementary complementary organizationsorganizations

7. Easier copying of services7. Easier copying of services

8. More emphasis on off-peak 8. More emphasis on off-peak promotionpromotion

(Morrison) (Morrison)

Dimension of Service Marketing Company

CustomerEmployees

Internal Marketing

Interactive Marketing

External Marketing

Shift in Marketing Shift in Marketing ManagementManagement1.1. From marketing does the marketing From marketing does the marketing

to to everyoneeveryone does the marketing. does the marketing.

2.2. From organizing by product units to From organizing by product units to organizing by organizing by customer segments.customer segments.

3.3. From making everything to From making everything to buying buying more goods and services from more goods and services from outside.outside.

4.4. From using many suppliers to From using many suppliers to working with working with fewer suppliersfewer suppliers in a in a partnership. partnership.

5.5. From relying on old market positions to From relying on old market positions to uncovering uncovering new ones.new ones.

6.6. From emphasizing tangible assets to From emphasizing tangible assets to emphasizing emphasizing intangibleintangible assets. assets.

7.7. From building brands through advertising From building brands through advertising to building brands through performance to building brands through performance and and integrated communications.integrated communications.

8.8. From attracting customers through stores From attracting customers through stores and salespeople to making products and salespeople to making products available available online.online.

9.9. From selling to everyone to trying to be From selling to everyone to trying to be the best firm serving the best firm serving well defined targetwell defined target markets. markets.

10.10.From focusing on profitable From focusing on profitable transactions to focusing on transactions to focusing on customer lifetime value.customer lifetime value.

11.11.From a focus on gaining market From a focus on gaining market share to a focus on building share to a focus on building customer share. customer share.

12.12.From being local to being From being local to being “Glocal” “Glocal” – – both global and local.both global and local.

13.13.From focusing on the financial From focusing on the financial scorecard to focusing also on the scorecard to focusing also on the marketing scorecard.marketing scorecard.

14.14.From focusing on shareholders to From focusing on shareholders to focusing on focusing on stakeholders.stakeholders.