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Chapter 7

Tourism
Marketing
Group 8: Nguyễn Thị Ngọc Anh
Nguyễn Hải Vân Anh
Lương Xuân Bách
Đào Thị Diệu Linh
Lê Ngọc Phương Linh
Table of contents

1. Definitions 2. Features of 3. Marketing


& Concepts tourism marketing planning
01 02 03

a. Definitions
b. Evolution of marketing
c. Selling & Marketing
d. Marketing as a business
philosophy
01
DEFINITIONS
According to Kotler:

“Marketing is the analysis, planning, implementation, and control of


carefully formulated programs designed to bring about voluntary
exchanges of values with target markets for the purpose of achieving
organizational objectives. It relies heavily on designing the organization's
offering in terms of the target market’s needs and desires, and on using
effective pricing, communication, and distribution to inform, motivate, and
service the markets".
Kotler suggests that several things should be taken note of
in this definition:

01 02 03

It is a managerial process Marketing can also be Marketing is not just taking


which involves analysis, identified as a social process random actions to achieve
planning, implementation which identifies, expends desired responses. On the
and control. and serves the material contrary, it manifests itself in
needs of a society. carefully formulated
programs.
04 05 06 07

Marketing attempts Marketing means Marketing depends on The purpose of


to bring about the selection of designing the marketing is to
voluntary exchanges target markets organization's product assist organizations
of values. rather than an or service in terms of in their survival and
attempt to serve the needs and desires growth by serving
every market. of the target markets their markets more
(consumers). effectively.
At the World Tourism Organization
According to the British
seminar, held in Ottawa in 1975, on
Institute of Marketing,
Testing Effectiveness of Promotional
marketing is defined as:
Campaigns in International Travel
Marketing, marketing was defined as :
"The management process "a management philosophy which, in light of
responsible for identifying, tourist demand, mattes It possible through
anticipating and satisfying research, forecasting, and selection to place
customer requirements tourism products on the market moat in line
profitably". with the organization's purpose for the greatest
benefit".
Tourism research is an
inherent part of tourism
marketing which
Marketing is a thought process
culminates in the
related to a situation which
identification and
matches and balances the
selection of target
needs of the tourists with the Three aspects
markets based on market
needs of the destination or the are suggested
in this
segmentation.
needs of the organization's
definition
designing and providing In order to have a proper
tourism related services. placement of tourism products
and services, the marketing
concepts of positioning and
product life cycle are of great
significance.
The effective management in marketing involves a
management decision process which is focused on the
customer decision process. All the concepts of marketing
are applied keeping in view the customer's needs, wants
and tastes.
EVOLUTION
OF
MARKETING
In 1960, Keith mentioned the growing recognition of consumer
orientation “ will have far-reaching implications for business,
achieving a virtual revolution in economic thinking”

In 20th century, the word marketing came into use linking with a
number of loosely related to factors for archiving a sale

According to Keith, consumer orientation started to be accept as


a business concepted
3 STAGES IN DEVELOPMENT OF MARKETING AND
MODERN BUSINESS
BY GILBERT AND BAILEY
Production era Marketing
stage era
- Consumer- oriented approach
- Standardize product
- Key factors in planning and
- Low price
designing of the product: Customers’
Sales era needs, wants, tastes and satisfaction
stage

- Improve sales technique


Effective means of selling
Knowledge about different markets
FACTORS LEADING TO EMERGENCE OF MARKETING ERA
BOOK: TOURIST- PRINCIPLES AND PRACTICES

01 02 03 04

The increases in The purchasing power of The increase in travel Economic and social
demand are at lower the consumers goes up creates the need for development lead to the
rate than the rises in and a need is felt to marketing research segmentation of mass
productivity develop methods market into target market
SELLING
&
MARKETING
V.S

Is Marketing the SAME as Selling?

Totally DIFFERENT
According
The difference between Selling & to Levitt:
Marketing

Selling Marketing
- The needs of the buyer.
- The needs of the seller. - Satisfying the needs of the
- The seller’s need to convert customer = the product & the
his product into cash. whole cluster of things
associated with creating,
delivering and finally
consuming it.
According to Kotler:

Difference The main task of the organization


Orientation
Sales - To stimulate the interests in potential
consumers in the organizations existing
products & services.

Marketing - To determine the NEEDS & WANTS


of target markets.
- To satisfy them through the design,
communication, pricing, and delivery
of appropriate and competitively
viable products and services.
The Sales and Marketing Concepts compared

FOCUS MEANS END

SALES Selling/ Profits through


Products
CONCEPT Promotion sales volume

FOCUS MEANS END

MARKETING Customer Integrated Profits through


CONCEPTS needs Marketing customer satisfaction
In tourism:

Product orientation approach:

● To pursue efficiency in Marketing orientation approach:


production and distribution. ● Tourists needs and wants etc. are
● Emphasizes on the available taken care of.
services of products.
● Not take into account the « putting yourself in the tourist
consumers’ needs or attitudes shoes»
etc.
Marketing as a
business
philosophy
Marketing:
► a business philosophy: the consumer and his/her
needs are in the forefront of all the activities.
A consumer-oriented market philosophy :
● brings the organization: a good image in the market
+ a reputed market standing.
● has to go deep into the minds of the decision
makers and employees of the organization.
TASKS: Marketing as a
● Identifying the needs of tourists. business
philosophy
● Analyzing the market opportunities
through market segmentation.

● Translating the needs of the tourists into


products through product planning and
design.

● Making the product available to the


customers (tourists) through distribution.

● Informing and motivating tourists


through promotions ( advertising &
selling).
Marketing has a developmental
role.

Marketing
specializations
02
Features of
Tourism
Marketing
Tourism marketing is
different:
Tourism is a service product
An intangible experience is sold
instead of physical goods
ASPECTS OF THE TOURISM PRODUCT

Impossible to be evaluated or Tourist buys, feels and is


The tourism product
demonstrated in advance involved in the product
cannot be stored

The tourist buys the The tourism product Some intermediaries


experience and does not is a combination of are involved.
own the product several services
The demand in
tourism is
highly elastic
and seasonal
in nature
Special characteristics of
tourism marketing

Marketing is Successful
a philosophy marketing
The consumers’ needs, the A special organization
marketplace and the structure which integrates
company’s assets and the principles of consumer
resources determine the orientation is required
decision-making process
Innovative methods of thinking
and planning is required
New ideas are generated to take advantage of opportunities or to
improve existing methods of marketing
Problems faced by
tourism industry

● Its own lack of efforts in the area (few


market research
→ short-term outlook)
● The presence of too many
intermediaries effects quality controls
→ consumer dissatisfaction
The approach adopted by the organizations is to deal
through intermediaries rather than approaching the
market on their own
Increasing
competition Issues for the use
of marketing
More consumer
The criticism of its
satisfaction is the key
application
to success A challenge for
tourism marketing

Consumer
protection laws and
eco-friendly
destinations

→ Understanding of consumerism, social responsibility and


ethics is important
03
Marketing Planning
- A structured
guide for carrying out
marketing operations-
The purposes of making marketing plan

01 02 03

Providing a well laid Coordinating the Identifying the


down policy & clear resources of the strengths &
directions organization weaknesses
through the SWOT
analysis
The purposes of making marketing plan

04 05 06

Identifying the Pointing out the controls,


different market Setting targets areas of diversification,
segments competitors’ strengths &
weaknesses
How many steps to make a marketing plan?

Step 5
Step 4
Step 2 Step 3 Monitoring &
Step 1 Following a
Analyzing controlling
Making a timeframe
Definding strategy
STEP 1: Definding

Marketing Marketing
Objectives goals

Along with an executive


summary
STEP 2: Analyzing

Background Forecast Opportunities

Threats Strengths Weaknesses


STEP 3: Making a strategy

Target The levels of


markets marketing
expenditure

Marketing Marketing
mix budget
Action program keeping in view a timeframe

STEP 4
STEP 5: Monitoring & controlling

Sales Marketing Marketing Customer


analysis share expenses attitudes
According to Kotler:
A marketing audit:
- Comprehensive
- Systematic
- independent
- periodic examination
=>> of an organization’s marketing
environment, objectives, strategies and
activities
=>> determining problem areas and
opportunities
=>> recommending the plan of action to
improve the organization’s marketing
performance.
Thanks for
listening!
Do you have any questions?

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