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www.serec.ch TERRITORIAL MARKETING When territories become products Seminar Jan III Sobieski Trail Building Rzeszów City (Poland), 13.09.2014 Presented by: François Parvex, SEREC Sport, culture, gardens Precision Country One comes to succeed One stays for pleasure

Territorial marketing / marketing of places: When territories become products SEREC 2014

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In a globalised world territories are more and more in competition between themselves. In order to maintain or improve their competitiveness they have to market themselves as complex products, which satisfy a large variety of users: population, entreprises, tourists, investors and even wild plants and animals.

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Territorial Marketing

• Competitive positioning of a territory aimed at attracting, welcoming and retain users, which will generate added value (qualitative, quantitative)

• Marketing Model applied to a territory

Literature :Philipp Kotler, Marketing of PlacesBenoit Meyronin, Le marketing territorial, enjeux et pratiquesVincent Gollain, Réussir sa démarche de marketing territorial , Méthode, techniques et bonnes pratiques

Source: www.newmediaandmarketing.com

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Marketing Model

• People: – identifiy one or more target groups (segmentation),– identify their needs,

• Design a Marketing Mix (4P): – Product: define then create a product, service, idea– Promotion: design and implement its promotion,– Place: organize its distribution and sale– Price: fix its price according to market conditions

• organize and guarantee after sale service• create a brand

Objective: mutually satisfying exchange between organizations and people

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Why Territorial Marketing

• To generate added value (economic, social, ecological)

• To increase economic vitality and democratic dynamism

• To link land planning, economy and quality of life (master plans adapted to demand and needs of users, to territorial characteristics)

• To include promotion (market) into the development process

• Because it’s fashionable

• Because it’s a simple model

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Approach

1. Territorial diagnostic– statistics, market studies, permanent territorial observation, territorial

benchmark, task force (opinion leaders), external users

2. Evaluation - analysis– SWOT for each customers' segment

3. Strategic planning– segmentation– conception: Marketing mix / Business Model Canvas / Causal Model– description: Business Plan / Project Document

4. Implementation• organization• Project Cycle Management

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Resource: Territory

• By human beings organized geographic space, in order to fulfill (or not) a diversity of activities

• Convergence of realities:– historic– socio-economic– institutional– geographic

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Resource: Users

Tourists

Companies

Fauna and flora

Population

Investors

Public entities

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Resource: Knowledge

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Researcher Marta Gołąbek

Printed Media

Electronic Media

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Resource: Perceptions

Everybody is right !

Everybody is wrong !

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Ressource: Images to merge

Percieved image

Promoted imageTerritorial Brand(s)Reality

Literature :Staci M. Zavattaro, Place Branding through Phases of the Image: Balancing Image and SubstanceRobert Govers, Place Branding: Glocal, Virtual and Physical Identities, Constructed, Imagined and Experienced 

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Identify customers’ segments

• Segmentation: process through which potential customers with similar needs and characteristics are grouped together so that a tourism organization can apply marketing strategies for the selected market segment efficientlyExamples: families, Best Agers, DINKs, hikers, cyclists, bikers, camping carists, schools, gastronomes, ornithologists, …

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Identify population’s needs

Maslow’s hierarchy of needs (1954)

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Identify population’s needs

space

Existence

Relationships

Growth

ERG Theory

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Identify tourists needs

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Rupture

ResourcingReunion

Existence

Relationships

Growth

ERG Theory

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Identify firms’ needs

space

Accessibility

ProximityVariety

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Identify fauna and flora’s needs

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Diversity

FunctionalitiesNetworks

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Elaborate your Value Proposals

• Value proposals include products and services, which deliver value to a specific customers’ segment. This set of products and services motivates a customer to chose between an organization or another. A value proposal can for instance create an unique competitive position while proposing completely new products or services, or which have very innovating characteristics. One can also offer an added value while offering customers a supplementary service in comparison to its competitors. Example : “nature and culture” holidays for small budgets

• Promotion builds on Value proposals

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Action levers

1. Alliances and networks

2. Brands

3. Marketing of personalities

4. Labels(brand + certification + control)

5. Sportainment

6. Communication

7. Clusters

8. Culture

9. Architecture and lighthouse monuments (staging)

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Model 1: Marketing Mix

19 Source: www.newmediaandmarketing.com

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Model 2: Business Model Canvas

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Model 3: Causal Model

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Content of a Business Plan

• Executive summary• Project’s, firm’s or territory’s presentation• Products / Services• Market and tendencies• Competition’s analysis• Marketing (4P + …) and sale• Localization / Production /

Administration• Organization / Management• Risks assessment• Finances

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Last but not least

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CourageInspiration

Will.Neil Armstrong, NASA

•Ambition•Trust•Work

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The End

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SEREC François Parvex

[email protected]