Tourism Products PDF

Definition Attra Intramuro A tourism product is a concept that is made up of ctions s many components, such as tourist attractions, provision of means of transport, lodging, and its Accom Manil...

Definition Attra Intramuro A tourism product is a concept that is made up of ctions s many components, such as tourist attractions, provision of means of transport, lodging, and its Accom Manila associated facilities and sources of entertainment modati Hotel (Morton, 2018). on According to the United Nations World Tourism Acces Major Organization (UNWTO) (n.d.), a tourism product is sibilit transport a combination of tangible and intangible y ations elements such as natural, cultural and man-made like Light resources, attractions, facilities, services, and Rail activities around a specific center of interest, Transit which represents the core of the destination (LRT), marketing mix and creates an overall visitor Metro experience including emotional aspects for the Rail potential customer. Transit (MRT), Components Philippin These components may be provided by one e company or a group of companies in the tourism National industry. It also involves the tourist enjoying these Railways products from the time they step out of their (PNR), houses until the time they get back home (Badilla, Grab, 2015). jeepneys, buses These are the components of tourism products (Haneef, 2017): Amen Automat ities ed teller Attractions – These are in varying forms and machine types, ranging from natural to man-made, (ATM), but it is important to ensure that the convenie attractions remain constantly updated nce with the amenities of the destinations. stores Accommodation – This refer to any Activi Historical settlement or a convenient arrangement ties tour in where the tourists can stay. Intramuros, Accessibility – This encompasses roads, museum railway, airports, and various transport tours facilities. Amenities – These are structures and facilities that need to be built for the comfort and convenience of tourists during their trips. Characteristics Activities – These are the leisures and Unlike consumer products that can be availed off amusements done by the tourists. the shelf, tourism and hospitality products have Five Example: City/ Municipality unique characteristics that make their marketing (5) A’s Manila and promotions quite challenging (Badilla, 2015).  product/service, businesses must be These are the unique characteristics of tourism knowledgeable about the different types of and hospitality products (Badilla, 2015): tourists. These are the different types of tourists according to different models (Badilla, 2015): Intangible – Tourism products cannot be Plog’s Tourist Motivation Model touched, smelled, tasted, felt, nor heard prior to purchase. They cannot be Allocentrics – They prefer what is new, subjected to prior scrutiny. One cannot unstructured, exotic, or unusual in terms examine nor test them before purchase, of trips or destination choices. unlike consumer products that can be Psychocentrics – They are those who prefer sampled. the structured and familiar destinations or Inseparable – When tourists avail of activities. Midcentrics – They portray both products and services, they have to characteristics of allocentrics and personally go where the products are. psychocentrics depending on the situation or Since what is being sold is the experience, season. the product and the consumer have to be Cohen’s Model in the same place. Variable – Tourism experience is likely to be Organized mass tourist – This type of tourist different depending on when the product is buys all-inclusive packages and ensures availed, who one is with, and how the service that everything goes as planned. providers deliver the service at the time of Individual mass tourist – This is more consumption. Perishable – Tourism product autonomous than the organized mass is one of the most highly perishable products. tourist preferring to travel independently but still chooses popular destinations and Perishability, as used in this context, refers to activities. not being able to forward inventory to the The explorer – This type seeks new areas but next day. would sometimes opt for the comfort of Seasonal – Seasonality does not only refer to familiar accommodations. seasons of the year or the weather The drifter – This type is known as the "free conditions; it also refers to the behavioral spirit" who avoids any kind of traditional patterns of the travel market. The tourist establishments. seasonality of the tourism product hinders it from maximizing its profits all year Stewart’s Model of Holidaytaking round. Bubble travelers – They have low affluence Substitutable – With new destinations and low travel experience, and observe emerging and competing in the global foreign culture from a bubble, which give marketplace, one destination can be easily them the confidence to travel. substituted for another. This also applies to Idealized-experienced seekers – They have hotels and restaurants. more affluence and a base of overseas travel experience that give them more THE MARKET AND CONSUMER BEHAVIOR confidence. A market is a set of actual and potential buyers of Wide-horizon travelers – They have more a product. These buyers share a particular need or affluence, greater confidence, and more travel want that can be satisfied through exchange experience. They are ready for more relationships (Badilla, 2015). individually oriented travel to a wider range of destinations. Total immersers – They do not THE TOURIST MARKET AND COMPETITORS seek to merely observe but to be exposed fully to another culture, language, food, In order to market a tourism and hospitality heritage, and lifestyle.  business’ bottom line. Actionable – The Aside from classifying the market according to the company has enough resources and abovementioned types, the market can be commitment to enable effective penetration identified using market segmentation. of the identified segment to ensure effective positioning. The following are the variables of market segmentation (Badilla, 2015): Tourism and hospitality is a highly competitive Geographic – This divides the market into industry. Businesses must identify who their different geographic units such as nations, competitors are in order to succeed. states, regions, countries, cities, These are the different types of competitors neighborhoods, barangays, towns, etc. (PowerNoodle, n.d): Demographic – This refers to the Direct competitor – This type of competition segmentation of the market based on is observed when businesses in the same variables such as age, life cycle, gender, sector that offer the same products income, occupation, education, religion, compete with each other. (Example: and race. Coca-Cola and Pepsi) Psychographic – This divides the consumers Indirect competitor – This type of based on different psychographic profiles competition offers a different product but such as social class, lifestyle, and with the same goal and consumer personality characteristics. resources. (Example: Hotel industry vs. Behavioral – This divides groups based on AirBnB. While travelers previously reached their knowledge, attitude, and use of to hotels for their temporary lodging at a response to a product or service. moderate to high price, AirBnB came into the scene, offering home shares that are Businesses should check these six (6) not only less expensive but are unique, characteristics of a segment to have a successful homey, better reflect the local community, segmentation (Badilla, 2015): and offer more than just a typical bed-and-bath combination.) Identifiable – The people who comprise the Replacement/potential competitor – This segment can be located and identified type of competition offers a different such that targeting them would be easy. product and has a different goal but uses Cohesive – The consumers should be part of the same consumer resources. (Example: a whole specific qualities that are common to When Grab and Uber came into the all. Measurable – The marketer should be transportation scene, they threatened the able to estimate the size and potential taxi and limousine industries. However, spending of the members of the market their shared customer base still has segment. alternatives such as taking public Accessible – The member of the segment transportation or walking.) should be accessed by marketing efforts and promotional activities to be TOURISM CONSUMER BEHAVIOR conducted. If they are difficult to reach, Different factors can influence a consumer to buy efforts to reach out to the specific a certain product or service. In marketing, it is segment might be useless. important to understand these factors in order to Substantial – Segments should be large in come up with the right marketing strategies. order to be substantial. If the segment is small, it should have a high spending These are the factors that influence consumer capability to make a significant impact on the behavior (Badilla, 2015):  seek information and moves into the Motivations – These are inner drives that information stage wherein they search for make people take a specific plan of action information about the goods/service they to satisfy their needs. want. Culture – It is the collective mental 3. Evaluation of alternatives – With the programming of the human mind that information in hand, the consumer distinguishes one group from another. proceeds to alternative evaluation, during Age and gender – Age refers to the number which the information is used to evaluate of years a person has been living. Likes and brands in the choice set. Consumers preferences of consumers are normally generally evaluate the alternatives based dependent on their ages. Gender also on the attributes of the product, the influences consumer behavior. Social class – degree of importance, belief in the brand, satisfaction, and the like to choose This is one’s position within the society and is correctly. determined by factors such as income, 4. Purchase decision – After the alternatives wealth, education, occupation, family have been evaluated, consumers decide prestige, and value of home or neighborhood. on whether to purchase the product or Lifestyle – This is a person’s pattern of living, service. as expressed in one’s activities, interests, and 5. Post-purchase evaluation – The consumer opinions. Life cycle – This refers to the takes action based on satisfaction or stages an individual goes through their dissatisfaction. In this stage, the consumer lifetime. determines if they are satisfied or dissatisfied Reference groups – These are sets of people with the purchasing outcome. who have a direct or indirect influence on other people’s attitudes or behavior. Personality and self-concept – Personality refers to distinguishing characteristics that lead to relatively consistent and enduring responses to the environment. Self-concept refers to the consumer’s personal mental picture. The buyer decision process (customer buying process) helps marketers to identify how consumers complete the journey from knowing about a product to making the purchase decision. Understanding the customer’s buying process is essential for marketing and sales (iEduNote, 2017). The Buyer-Decision Making Process 1. Need/Problem recognition – During need or problem recognition, the consumer recognizes a problem or need that could be satisfied by a product or service in the market. It is the first stage of the buyer decision process. 2. Information search – Once the need is recognized, the consumer is aroused to