UNIT-1-PPT-MARKETING.pptx

Chapter 1: Introduction to Tourism Marketing Tourism and Hospitality Marketing WHAT IS MARKETING? Marketing for tourism covers several levels, from the tourism destination as the product itself, down to the specific tourism products and...

Chapter 1: Introduction to Tourism Marketing Tourism and Hospitality Marketing WHAT IS MARKETING? Marketing for tourism covers several levels, from the tourism destination as the product itself, down to the specific tourism products and services that a tourist These products include transportation (airline, cruise ship, bus, etc.), accommodation (hotels, inns, apartelles, bed and breakfast), food and beverage (restaurants, catering, bars), attractions (amusement parks, museums, zoos, marine  What is tourism actually selling then? Tourism is not a single product. It is a combination of products and services which results in a holistic experience for the traveller.  Lesson 1: TOURISM MARKETING PhilipKotler (2002) defines marketing as a social process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others. Kotler, Browens, and Makens (2010) define marketing as the art and science of finding, retaining, and growing profitable customers. The American Marketing Association (2013) approved a new definition: marketing is the activity, set of institutions, and processes for creating, communicating, delivering and exchanging offerings that have value for customers, clients, partners, and society at large.  Marketing – is a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.  What is Hospitality Marketing? Hospitality marketing is centered on considering the business regarding customer needs and satisfaction. Hospitality marketing looks at how different sectors of the hospitality industry(e.g. accommodations, food and drink, tourism, and travel) develop marketing strategies to promote their products or services, resulting in an increase in revenue. Why is Hospitality Marketing Important? Hospitality Industry mainly focuses on creating and maintaining positive customer experiences and relationships, marketing becomes important to ensure the industry’s success. To attract more customers to your hotel or travel business, you need to efficiently advertise on different digital channels and be where your niche audience is.  Hospitality Marketing Trends 1. Promote Safety in Marketing and Guest Communication One of the most significant hospitality trends in response to the COVID-19 pandemic is highlighting safety procedures, hygiene policies, and other decisions intended to protect customers. This could mean increased cleaning, relocation of tables and chairs to allow for social distancing, enforcement of mask- wearing in certain parts of your premises or by staff members, and expanded use of contactless payments and mobile apps. 2. Highlight Value and Offer Flexible Cancellations  Another important way hotels responded to COVID was by re-aligning and focusing on what makes their hospitality business unique. This could be location, customer reviews, the hotel or restaurant’s design, the bar’s theme, or the range of facilities.  Consider some of the things you can throw into your offering, to make it stand out from what rivals are selling.  It is also sensible to offer a generous cancellation policy, which allows customers to re-book with minimal hassle. The opportunity for short-notice cancellations gives travellers peace of mind and acts as an incentive to book in advance without the risk of losing money. 3. Use Virtual Reality Hospitality Technology  Virtual reality has been one of the recent biggest emerging hospitality technology and marketing trends, and the coronavirus pandemic has only heightened its uses.  For leisure customers, this can offer the opportunity to experience a landmark or tourist attraction or view the inside of a hotel. For event customers, it means the chance to explore wedding or event venues without needing to travel there to view them physically. This is especially valuable at a time when travel is restricted.. 4. Improve Customer Experience & Satisfaction With Chatbots Chatbots can improve the customer experience in several key ways and form a big part of many modern hospitality marketing strategies. Regardless of staff availability, these bots allow for rapid responses to customer questions and can support multiple languages. This technology can be used during the booking stage to offer support and encourage the completion of 5. Voice Search  Voice search is a voice control and recognition technology that primarily works with tablets, smartphones, and similar devices. This marketing trend could soon eliminate the need for Internet users to press buttons or type their search queries online.  Hotel guests can book a hotel room via smartphone by just speaking to the device. Through voice search, they can even control the room’s functions, such as lights, music, or heating. It is expected that more online marketers will start investing money into this new trend in the near future. 6. Customer Experience Marketing  In the competitive hospitality industry, customer experience is essential in gaining loyalty. Remember that providing excellent customer service doesn’t always result in direct profits. It is crucial to develop comprehensive customer experience marketing plans to meet the needs of your hotel or travel company.  You must compile analytics from online customer testimonials on review websites to generate healthy returns and a steady stream of returning clients. This will give you a wealth of information about your customers’ preferences, how your company can improve, and which factors will lead to future conversions. 7. Personalization Marketing Personalized marketing allows companies to deliver individualized content to target customers through automation technology and data collection. Personalization marketing aims to engage potential customers by communicating with them as individuals. Hotels and tour operators need to personalize their services for their guests and clients through targeted emails. For example, targeted emails can be sent to potential customers whenever the travel agency or hotel offers an upcoming discount. Personalization marketing is one of the most direct hospitality marketing strategies to establish a more personal relationship with your customers and encourage them to make a return visit. 8. Artificial Intelligence (AI) Artificial intelligence can streamline processes and provide valuable insights. Most online hotel room seekers tend to use aggregator websites to book their accommodation, while some may land on a hotel’s homepage but leave without booking. You can provide personalized service and develop a robust system by using artificial intelligence chatbots on your website. Thanks to AI technology, your guests can place their room service requests through AI-enabled website, which will save hotel staff time. 9. Influencer Marketing  Influencer marketing is a digital version of traditional word-of-mouth to increase hotel brand awareness and generate direct bookings. Using this strategy, you can reach a much larger audience and attract more customers to your hotel or travel business through credibility and trust-building among consumers.  For example, your influencer marketing campaign can specifically target young people increasingly choosing Airbnb services over conventional hotels. You can engage your potential customers with authentic content that doesn’t sound brand- oriented. 10. User-Generated Content  User-generated content is created and shared by online end-users.  It can come in different forms, such as testimonials, comments, forums, blog posts, and social publications, to name but a few. When a prospective customer looks for your brand’s content online, he or she will normally read the customer reviews about your company on other websites or social media platforms.  This strategy will also help you get more room bookings. One effective way is to encourage your guests to share their experiences on social media. To do this, you can run contests, create brand hashtags, or create photo opportunities. 11. Augmented Reality  This tool works by altering one’s perception of their physical surroundings through the use of computer technology. Augmented reality allows hospitality businesses to change the way their clients perceive the environment they are in.  Hotels, for example, can sell rooms online by enhancing their features through AR. There are hundreds of ways you can entertain your guests through augmented environments, such as allowing the guests to see virtual depictions of their favourite celebrities in the hotel. You can also use this tool to send virtual keys to your guests through their smartphones. 12. Video Marketing Travel industries and hotels can use video marketing to engage their target audience, from YouTube videos, Instagram, or Snapchat, to going Live on Facebook. For example, you can use video marketing to capture the relaxing moments guests can enjoy in your hotel’s facilities. Remember that your videos or photos must be high quality to attract customers. 13. Remarketing Remarketing is a way of re-engaging people who have spent time browsing pages on your website without booking a room. You can use this tool to reconnect with those who have visited your site and offer them a discount to encourage them to return. For example, you can set up this strategy through Google Analytics by user demographics or interests. Filtering these searches to collect the information you need about the people who visit your website. UNDERSTANDING THE MARKET PLACE AND CUSTOMERS Five ( 5) core marketing concepts. 1. Needs, Wants and Demands 2. Products/ Market Offerings 3. Value, Satisfaction and Quality 4. Exchange, transactions and Relationships 5. Markets  1. Needs, Wants and Demands Needs - are states of felt deprivation, personal necessities that motivate behavior, and things that people cannot live without like food , clothing, warmth, safety and shelter. Wants are the form taken by human needs as they may differ from person to person. Demands comes into the picture when supported by purchasing  2. Products/ Market Offerings Consumer’s needs and wants are satisfied through market offerings. Market offerings -are some combination, a mixture of a blend of physical products, services, information, ideas or experiences offered to a market to satisfy a need or  2 types of products. 1. Tangible products – are called goods. 2. Intangible products – are known as services.  3. Value, Satisfaction and Quality Customer Value – is the difference between the value of buying , owning, and using of product, and the cost of the product. Customer Satisfaction- refers to the difference between the buyer’s expectations and the perceived performance of the product.  4. Exchange, Transactions and Relationships Exchange-  is the act of obtaining a desired object by offering something in return. It is said to be the core concept of marketing. Transaction-  exchange or trade of values between two parties , measures the number of exchanges that takes place. 5. Market – refers to the set of actual and potential buyers of a product who have a common need or want that can be satisfied through an exchange.  c. DESIGNING CUSTOMER 1. Selecting Customers to Serve – This means dividing the market into segments of customers and selecting which segments will it go after. 2. Choosing a Value Proposition- is the set of benefits or values it promises to deliver to consumers to satisfy their needs.  Marketing Management Principles 1.Production Concept. This concept holds that given a wide array of products in the market, consumers will prefer to buy products that are widely available and affordable. 2. Product Concept. This concept holds that the consumers favor products that offer the best quality, performance, and innovative features. 3. Selling Concept. This concept holds that consumers will not by enough of the company’s products unless the company undertakes an extensive and large- scale selling and promotional effort. 4. Marketing Concept. this concept Holds the achieving the goals of an organization depends on knowing the needs and wants of the target and delivering the desired satisfaction more effectively and efficiently than others, 5. Social Marketing Concept. This concept Holds that organizations must not only study and satisfy the customer’s needs and wants but also deliver superior value.