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Strategy in Tourism

Strategy in Tourism

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Strategy in Tourism

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  1. Strategy in Tourism

  2. Introduction • Objectives of the Subject:

  3. Why this subject?

  4. Tourism markets more complex that believed • Assume markets discrete with little overlap • Assume easy to identify pattern • But • Study of movements of 1200 tourists identified over 1000 different movement patterns • Large overlap between so called special interest tourists • No single special interest tourist

  5. Simply categories not always valid • Simple categorization does not reflect full spectrum of tourism • Factors influence movements: • First time vs...... repeat • Main destination vs...... stopover • Distance decay from home • Market access in destination • Time • Spatial considerations

  6. Figure 1a Figure 1b Figure 1 Cultural Nature-based Tourist A Tourist C Tourist B Shoppers

  7. Equation that equals 25

  8. Useful On-line sources Chacko H (1997) Positioning a Tourism Destination To Gain a Competitive Edge. Davies R (2003) Branding Asian Tourist Destinations. Starkov M. & Price J (2006) Budgeting for a Robust Internet Marketing Strategy in 2007. Starkov J (2003) Brand Erosion, or How Not to Market Your Hotel on the Web; Critical Online Distribution Issues Revisited a Year Later. Yeoh E. & Chan K.L. (2000) Positioning Sabah as an International Tourist Destination. Anon (2007) A Vision for Cape Town – Blain C., Levy S & B Ritchie (2005) Destination branding: Insights and practices from Destination Management Organizations. Journal of Travel Research 43: 328 – 338. BSI (2004) The BrandScience Guide for Destination Research. Brand Science Inc. IACVB. Cheung E (2006) Canadians Make World’s Best Friends. - Hall D (1999) Destination branding, niche marketing and national image projection in Central and Eastern Europe. Journal of Vacation Marketing 5(3): 227 – 237. Harkinson G (2005) Destination Brand Images: A business tourism perspective. Journal of Services Marketing 19(1): 24 - 32 Kotler P & G Armstrong (1996) Principles f Marketing – International Edition (7th Ed). Prentice-Hall International. Sydney Kotler P (1999) Kotler on Marketing. Free Press. London. McKercher B (1998) The Business of Nature Bases Tourism. Hospitality Press. Melbourne. Morgan N., Pritchard A & R Piggott (2003) Destination Branding and the Role of Stakeholders: The case of New Zealand. Journal of Vacation Marketing 9(3): 285 – 299. Morse, J., King J & J Bartlett (2005) Walking to the future… together: A shared vision for tourism in Kakadu National Park - Pike S (2004) Destination Marketing Organizations . Elsevier. Sydney. Ritchie J. R. B & R Ritchie (1998) The Branding of Tourism Destinations: Past Achievements and Future Challenges - UNESCO (2007) UNESCO – World Heritage Center - UNWTO – various tourism statistics

  9. What is tourism?What are the differences between tourism and leisure?

  10. Objectives

  11. Tourism, recreation and leisure have many similarities: • share the same facilities, • compete for the same consumer dollars • discretionary activities. But – also have some key differences Tourism is an extreme form of recreation.

  12. Tourism • How is Tourism similar to and different from leisure and/or recreation?

  13. Similarities Tourism requires time - usually large blocks of time Involves activity Social State of mind and a state of being share the same facilities compete for the same consumer dollar Produce common social and psychological outcomes Similar motivations for participation. Differences More commitment and greater involvement Involves greater skill levels Longer lead time Business travel? Regimentation? Social Acceptability?

  14. Why Tourism takes more • Time • Money • Effort • Intellectual input • Risk (emotional and financial)

  15. Tourism is less: • Frequent • Familiar Socially tourism is: • Less rule bound • A break from everyday life

  16. Exercise 1Product Development Issues Why do few leisure activities work as tourism products?

  17. Not an Attraction Attraction

  18. Main Difference between Tourism and Leisure/recreation • Tourism requires MORE: • time • effort • expense • commitment • pre planning • As a result, tourists expectations are GREATER, and the type of service or facilities they demand must be BETTER then they can find at home.

  19. More Better, Different or Unique What does that Mean Higher Expectations Product

  20. Tourism Demand Generators: the Role of Attractions

  21. 5 As • Attractions • Accommodation • Access • Activities • Amenities

  22. Keys • Attractions (includes activities) • Access and • (plus government)

  23. Goals and Objectives: • understand the role that demand generators / attractions play in the development, positioning and marketing of tourism products, organisations and destinations • Describe and define the various types of attractions • understand ways of developing demand generators

  24. Introduction • Number 1 Rule of Tourism: • destinations must have a central focus that generates demand • No demand generators – no tourism

  25. Demand generators: • give the customer a reason to buy a product • form central theme of the tourism experience • ed to be quality, experiential character, unique, exciting, one of a kind experiences that appeal to the target market

  26. Attractions • Definition (Pearce 1991, p. 46) • "a named site with a specific human or natural feature which is the focus of visitor and management attention." • This definition excludes features like vistas • Lew (1987) broader definition: • all those elements of a "non home" place that draw discretionary travellers away from their homes.

  27. Types • Natural • Cultural • Built

  28. The Role Attractions Play in Drawing Visitors • Attractions drive people to travel • Both the quality and quantity of attractions affect travel decisions. • At primary destinations - have to have sufficient breadth and depth of appeal to encourage visitors to stay for many days.

  29. Play 3 roles in tourism • an intrinsic part of the trip, in which the demand for the attraction is established before the trip commences. • major motivator for a trip or for selecting a destination • optional, discretionary activity engaged in at a destination.

  30. Hierarchy • Most important shape the image of a destination and in influencing visitors to come to a region • The more powerful the attraction, the greater its ability to pull visitors from great distances. • Lesser attractions complete the tourist experience

  31. degree of obligation involved in visiting attractions • more dominant - the greater the sense of obligation to visit. • less dominant - purchase decision becomes increasingly discretionary • least dominant - low involvement purchases

  32. International Appeal Few / Unique Primary Secondary Tertiary Many / Common Local Appeal

  33. Primary Attractions • give the traveller a reason to visit an area • often help create or frame the image of that region. • stronger and more unique the attraction the greater the likelihood of developing a sustainable competitive advantage for the destination region. • Goal of tourism development is to create primary attractions

  34. Primary Attractions Amenities Activities Secondary Attractions Primary Attraction Transportation Travel Trade Tertiary attractions Accommodation

  35. Secondary Attractions • have regional appeal. • will travel shorter distances to see them, • or if they are already in the region will make a specific trip to visit the attraction.

  36. Destination Area Visitation

  37. Tertiary Attractions • limited appeal. • not travel long distances • may not even go out of their way to visit the attraction • but if easily accessible, they will see it.

  38. Destination Area Visitation (by convenience)

  39. Attractions Systems(Leiper 1990) • A system that connects the tourist and attraction through markers • Markers (3 types) • Generating • Transit • Contiguous (in-destination) Tourist Attraction (nuclei)

  40. Tourist • If no tourists visit, then it is not a tourist attraction

  41. Attractions (nuclei) • Attraction • Hierarchy • Individual site / place • Clustered (i.e. precinct) • Concentrated or dispersed • Surrounds also important

  42. Markers • items of information about a phenomenon that is a potential nuclear element in a tourist attraction • More than just marketing • Role • Catalyst • Push or Pull

  43. Factors to consider • Pre-departure awareness vs....... in-destination awareness • limited amount of time = setting priorities about which attractions to visit • Time availability • Distance to travel • Substitutability (market access) • Profile in marketing literature

  44. % visitors

  45. Generating vs..... in vs..... no awareness