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3.04 UNDERSTAND DESTINATION MARKETING STRATEGIES Essential Questions of 3.04 How do marketing and selling impact the success of the hospitality and tourism industry? What techniques positively impact the selling of hospitality and tourism destinations? Marketing Mix Hospitality and Tourism Notebook Vocabulary Define from textbook , provide the term and summarize, in your own words, the definition for the term advertising amenities brand loyalty Branding demographics destination mix geographics Interactive marketing niche marketing personal selling positioning amenities product service mix Psychographics destination mix publicity sales promotion service marketing standing room only target market unique selling proposition Hospitality Services - (pp. 289-290, 356, 384-388, 393-395) Market Segmentation in Hospitality and Tourism Market segmentation recognizes that people differ in their tastes, needs, attitudes, lifestyles, family size and composition, etc. . . . It is a deliberate policy of maximizing market demand by directing marketing efforts at significant sub-groups of customers or consumers. Demographic Psychographic Geographic 42 year-old woman Demographic Marathon runner Psychographic Grandparents with 10 grandchildren Demographic North Carolina Mountains Geographic Newly married couple Demographic Prefers adventurous vacations Psychographic Earns $100,000+ a year Demographic Received a Masters Degree from UNC Demographic Cayman Islands Geographic Enjoys day trips Psychographic Cold climate Geographic Questions What type of market segmentation is a tour company using when it focuses on developing Alaskan tours and cruises? A tour wholesaler is developing a guided bus tour for 55- to 70-year-old couples with an income between $60,000 - $100,000. How is the tour wholesaler segmenting the target market? Types of Advertising Media Print Advertising Promotional Brochures Direct Mail Magazine Newspaper Selective audiences at low cost Social Media Twitter, Facebook, etc. Texting Internet Banner Pay per click Interactive Radio Television Advertising Media Throwing all of your media dollars into one medium is highly dangerous. It is recommended to start with a budget for the calendar year and try and stretch those dollars out as long as you can. Include tracking results as best you can. The more you know about what works best the better you can adjust your media mix. The goal of promotion is to create product demand. Online Marketing Blogger/Tumbler Email Facebook Instagram LinkedIn Twitter Google Creative Ads Select a local tourist destination and compose three types of advertising media for it Rubric is on Classroom Central Online Marketing Case Study Product Bundling Product Bundling/Packages in Hospitality in Tourism All-Inclusive Incentive or Tours Escorted Tours Convention/Meeting Transportation Accommodation and Meal Affinity Group or Tours Event Family Vacation Packages with Programming for Special Interests Weekend, Local Attraction or Entertainment Mini-Vacation, Holiday Dynamic Holiday Bundling Unique selling proposition (USP). Simulates interest in the tour product What is the foundation of a unique selling proposition for a hospitality and tourism business? Differentiation Standardization Customization You are a Travel Agent Who are you selling your product to: End users Marketers Producers Wholesalers You are a Travel Agent: What is an important aspect of selling that you as a travel agent will perform? Obtaining testimonials Explaining product benefits Encouraging word-of-mouth promotion Focusing on competitors’ weaknesses You are a Travel Agent: What do you need to do to help clients make decisions about which travel products to buy Focus on the price of a product Describe the safety factors of a product Create a positive image of a product Explain the tangible features of a product You are a Travel Agent: A client wants to book a cruise. What is the most appropriate action for the you to take? Determine the client’s needs and preferences You are a Travel Agent: Which of the following questions should you ask to determine your customers' needs in order to book them on the appropriate cruise? "Why do you want to take a cruise?" "Where are you interested in going on your cruise?" "Do you like to spend a lot of money on vacation?“ "Why do you want to go on a cruise during this the time of year?" You are a Travel Agent: How are you positioning the cruise when it you on the cruise’s physical characteristics? Attributes You are a Travel Agent: What type of marketing involves a 5-day Fan Cruise? Niche Marketing You are a Travel Agent: What type of service might you recommend to clients who want to tour an area during their extended cruise stop at their own at a leisurely pace? Car rental Motorcoach High-speed train You are a Travel Agent: “Mr. Thompson, there are only two ocean view suites left so you may want to book your trip as soon as possible.” What type of sales close is the travel agent using? Standing Room Only Rubric is on Classroom Central You work as the marketing manager at a new resort .The resort is fully booked during the winter and fall; however reservations decrease substantially during the spring and summer. Develop four vacation packages that would help to increase spring and summer bookings. What features would be included in these packages? Would other businesses in the area be involved? Who would be your target markets? How would you market each package using publicity, personal sales, sales promotion and advertising?