Introduction to Tourism Marketing (Session 01) 2024 PDF

Introduction to Tourism Marketing By: Thaksala Weerasekara Module: Event, Tourism and Hospitality Marketing 11 July 2024 (Session 01)...

Introduction to Tourism Marketing By: Thaksala Weerasekara Module: Event, Tourism and Hospitality Marketing 11 July 2024 (Session 01) th http://www.free-powerpoint-templates-design.com Today’s Contents 1. Marketing Definition 2. The Marketing Process 3. Understanding Customers 4. Market Offerings 5. Customer Value Driven Marketing Strategy WHAT IS MARKETING? Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably. 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. (Approved 2017). https://www.youtube.com/watch?v=6a9yU87MwLI WHAT IS MARKETING? “The science and art of exploring, creating and delivering value to satisfy the needs of a target market at a profit. Marketing identifies unfulfilled needs and desires. It defines, measures and quantifies the size of the identified market and the profit potential. It pinpoints which segments the company is capable of serving best and it designs and promotes the appropriate products “The aim and services.”is to know and of marketing understand the customer so well the Peter Drucker product or service fits him and sells itself.” WHY MARKETING IS IMPORTANT?  THE MARKETING PROCESS In the first four steps, companies work to understand consumers, create customer value, and build strong customer relationships. In the final step, companies gain the rewards of creating superior customer value. By creating value for customers, they in turn capture value from UNDERSTANDING CUSTOMER NEEDS AND MARKET PLACE As a first step, marketers need to understand customer needs and wants and the marketplace within which they operate. The five-core customer and marketplace concepts are: (1)Needs, wants, and demands (2)Marketing offerings (tangible products, services, and experiences) (3)Value and satisfaction (4)Exchanges and relationships (5)Markets.  1. CUSTOMER NEEDS, WANTS & DEMANDS The most basic concept underlying marketing is that of human needs. A human need is a state of felt deprivation. Included are the basic physical needs for food, clothing, warmth, and safety, as well as social needs for belonging, affection, fun, and relaxation. There are esteem needs for prestige, recognition, and fame, and individual needs for knowledge and self-expression. These needs were not invented by marketers, but they are part of the human makeup.  CUSTOMER NEEDS, WANTS & DEMANDS Cont. Human wants are the form human needs take as they are shaped by culture and individual personality. Wants are how people communicate their needs. Wants are described in terms of objectives that will satisfy needs. As a society evolves, the wants of its members expand. As people are exposed to more objectives that arouse their interest and desire, producers try to provide more want-satisfying products and services.  CUSTOMER NEEDS, WANTS & DEMANDS Cont.. People have almost unlimited wants, but limited resources. They choose products that produce the most satisfaction for their money. When backed by buying power, wants become demands. Outstanding marketing organizations go to great lengths to learn about and understand their customer’s needs, wants, and demands. They conduct customer research.  2. MARKET OFFERINGS Consumer needs and wants are fulfilled through a market offering: a product that is some combination of tangible, services, information, or experiential product components. We often associate the word product with a tangible product or one that has physical properties (e.g., the hotel room or the steak we receive in a restaurant). https://www.youtube.com/watch?v=y_j2nhAJQtY In the hospitality industry, the intangible products, including customer service and experiences, are more 3. CUSTOMER VALUE AND SATISFACTION Customer value is the difference between the benefits that the customer gains from owning and/or using a product and the costs of obtaining the product. Costs can be both monetary and non-monetary. One of the biggest nonmonetary costs for hospitality customers is time. Customer expectations are based on past buying experiences, the opinions of friends, and market information. If we meet customer expectations, they are satisfied. Marketers must be careful to set the right level of expectations. If they set expectations too low, they may satisfy those who buy but fail to attract new customers. If they raise expectations too high, buyers will be disappointed. 4. EXCHANGES AND RELATIONSHIPS Marketing occurs when people decide to satisfy needs and wants through exchange. Exchange is the act of obtaining a desired object from someone by offering something in return. Marketing consists of actions taken to build and maintain desirable exchange relationships with target markets. Beyond simply attracting new customers and creating transactions, the goal is to retain customers and grow their business with the company. Marketers want to build strong relationships by consistently delivering superior customer value.  5. MARKETS The concept of transactions leads to the concept of a market. A market is a set of actual and potential buyers of a product. These buyers share a particular need or want that can be satisfied through exchange relationships. Marketing means managing markets to bring about profitable customer relationships. However, creating these relationships takes work. Sellers must search for buyers, identify their needs, design good market offerings, set prices for them, promote them, and deliver them. DESIGNING CUSTOMER VALUE DRIVEN MARKETING STRATEGY Once it fully understands consumers and the marketplace, marketing management can design a customer-driven marketing strategy. We define marketing management as the art and science of choosing target markets and building profitable relationships with them. The marketing manager’s aim is to find, attract, keep, and grow target customers by creating, delivering, and communicating superior customer value. To design a winning marketing strategy, the marketing manager must answer two important questions: What customers will we serve (what’s our target market) and how can we serve these customers best (what’s our value proposition)? SELECTING CUSTOMERS TO SERVE The company must first decide who it will serve. It does this by dividing the market into segments of customers (market segmentation) and selecting which segments it will go after (target marketing). Some people think of marketing management as finding as many customers as possible and increasing demand. But marketing managers know that they cannot serve all customers in every way. By trying to serve all customers, they may not serve any customer well. Instead, the company wants to select only customers that it can serve well and profitably. CHOOSING A VALUE PROPOSITION The company must also decide how it will serve targeted customers—how it will differentiate and position itself in the marketplace. A company’s value proposition is the set of benefits or values it promises to deliver to consumers to satisfy their needs. Companies must design strong value propositions that give them the greatest advantage in their target markets. Classroom Activity – 10 minutes Identifying the Value Proposition of Heritance Kandalama Hotel https://www.youtube.com/watch?v=7Z3rFtoCbnA Heritance Kandalama - a hotel like no other (youtube.com) Q&A Thank you Is there any question, You can contact Email: [email protected]