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HOST 1096 Destination Marketing Plan Assignment 4 Submitted by Ashleigh Hood, Olena Sergiienko, Hasitha Indraratne, Shayne Flood 1st April Destination Marketing Plan Dubai Have your Luxury Your Way.. Come To Dubai Mission Statement Our Mission is to offer unique opportunities for leisure travelers and Business travelers to Dubai and create long lasting partnerships and Business relationships with North America while offering a definite value for money experience for all travelers. Vision Statement: We will distinguish itself as a leader in North America to redefining tourism and will be recognized for the excellence of positioning Dubai a as Canadian business travelers’ destination of choice for unique meetings, conferences and leisure.. 2|Page Table of Contents 1. Corporate Connection ....................................................Error! Bookmark not defined. 2. Analysis and Forecasting ................................................................................................ 4 3. Product Positioning and Branding: ................................................................................. 6 i. The Socio Cultural Placement / ii. Target Market Demographics ........................................... 6 iii. Expendable Income of Target Market ................................................................................... 7 iv. Does the Target Market and the Product make sense? .......................................................... 8 v. Logo ...................................................................................................................................... 10 vi. Building Brand Image and Recognition............................................................................... 10 vii. Corporate Social Responsibility ......................................................................................... 11 viii. Simple Budget for Marketing Plan .................................................................................... 12 ix. Expectations for the return. Timelines. ................................................................................ 13 x. Plan for tracking marketing communications. ...................................................................... 14 5. Tactics an Action Plan ................................................................................................ 14 6. Communicating the plan ............................................................................................... 16 7. Advertising .................................................................................................................... 16 References ......................................................................................................................... 16 3|Page 2. Analysis and Forecasting Appendix 1 Strengths: * Exotic/unique experiences (hotels, attractions, activities) * Luxury experience includes relaxing beaches and invigorating sport and exploration opportunities * Political neutrality and impartiality * Safe environment Opportunities: * War in Egypt brings new tourists to Dubai, providing travellers a similar experience * Family tourism during Ramadan * Meetings and conferences for business * Luxury honeymoons * Transit hub to Australasia countries * Luxury adult playground similar to Vegas Weakness: * Cultural differences * Long distance, travel time * Expensive to get there * No collaboration with other regions (ex. Abu Dhabi) * Luxuries might appeal too small a segment SWOT Threats: * Strong competitors: within the region: Abu Dhabi, Qatar; outside of region: Singapore, Hong Kong * Terrorism and war could further negative image of Middle East, UAE * Oil running out within 20-30 years To cover most of weaknesses of Dubai as destination we can use our unique and luxury experiences, for example, even though Abu Dhabi has similar services, it will not be able to compare in luxury with Dubai. Also though luxury segment is relatively small segment it can be developed to a significant level. For this developing such diverse opportunities with different purposes of travelling there can be offered to our market. For covering threats Dubai’s strength may be used. For example, though there are strong competitors, none of them is able to offer such a variety of luxury services and experiences in one place. Besides the possibility of getting negative image due to wars in other parts of Middle East such strengths, as safety, political neutrality and impartiality 4|Page should be emphasize more while positioning the destination. Finally, though the fact of running out of oil is unavoidable, there is time to develop and promote Dubai to a one of the biggest tourist destinations that will be able to survive without support of oil industry. All things considered, it seems as though the opportunities and strengths most of weaknesses and threats can be covered. VS. 5|Page For our competitive analysis for Dubai as a tourist destination we have chosen Shanghai, because it has similar features, however is different. In order to improve the comparison we created a SWOT for Shanghai as well. SWOT for Shanghai Tourism Appendix 2 Strength Highly developed transportation system – easy access to other parts of China Cooperation with other destinations in China Comparably low pricing for food and accommodations Shopping Opportunities Weakness Low percentage of population fluent in English Extremely high level of air pollution Long distance, travel time Expensive to get there Overcrowded city Dirty and not safe streets Threats China/Shanghai gets main roles in the world’s economics, therefore will attract more business tourists Developing collaboration with other regions if China Shanghai becomes very multicultural city Strong competitors: Singapore, Hong Kong, Tokyo Information in the media about nonsafety and dirtiness of the city The global economic slowdown will act as a disincentive to international tourists From the SWOT chart for Shanghai we can see, that though Shanghai is a popular tourism destination with it’s own strengths; it cannot offer the same level of luxury experience as Dubai. Furthermore, most of people associate Asia and China in particular with dirty and not safe environment; while Dubai is known for being wealthy and safe city. However, the strongest part for Dubai is variety of attractions and opportunities for leisure. 3. Product Positioning and Branding: i. The Socio Cultural Placement / ii. Target Market Demographics 6|Page Who? 1. Luxury Traveller Demographic: retired, couples, no dependents, high amount of disposable income, physically able (long travel times) Psychographic: adventurous, young at heart 2. Business Traveller Demographic: male, high level of education, mid-level employee, no dependents; therefore more disposable income, late 20’s mid 30’s Psychographic: lifestyle: pre-family, forward thinking, open-minded, noncommitted (able to travel whenever and wherever), ahead of the curve thinkers, looking for new up and coming opportunities, heavy usage (compared to the other two target groups) 3. Family Travellers Demographic: high earning, children toddlers to late teens, parents mid 30’s to mid 40’s Psychographic: open minded, fun, adventurous, patient (long travel times) iii. Expendable Income of Target Market Appendix 3: Per capita personal disposable income relative to Canada 7|Page The chart below chart displays the expandable income of Canadians. Though Ontario is in a declining stage it tends to be having a moderate level and it doesn’t show a drastic drop comparing to some of the other provinces. The expandable levels of the Ontarians are in a higher stage in comparison to the other Provinces and this would look like we have a chance to position Dubai to this market. But the question would be the competition we would have from other detonations that Ontarians would conveniently travel to. We would seriously have to consider about a specific question “Does this destination Dubai make sense in our Market” iv. Does the Target Market and the Product make sense? Appendix 4: Travel by Canadians to foreign countries, top 15 countries visited (2010) 8|Page According to the above chart it clearly gives us some valuable facts on the trends of the Canadian’s preferred travel destinations. Our destination would be a total new experience for the Canadian market and it will be an entrance level product. There it is a big question mark if it will be a success I or not. 9|Page Dubai as product in the Boston Consulting Group (BCG Model) Appendix 5 Star High Question Mark United Kingdom Dominican Republic Dubai Thailand Tokyo United States Mexico Cuba Switzerland Jamaica Low Cash Cow High Dog Low v. Logo vi. Building Brand Image and Recognition Dubai is already well known brand all over the world. Usually people associate it with luxury and expansive tourist destination in Middle East. However, there is still a need to build stronger associations to Dubai. Our goal is to take this idea further and sell Dubai as a “dream-like” oasis. We are going to position Dubai as a destination that is offering everything, with emphasize on Tallest, Largest, and Greatest. Positive association with the destination experience and its people will increase the brand image of Dubai as well, for example, businesses that work in the oil industry might go there just to learn more about their culture in order to build their connections with strongest 10 | P a g e representatives of this industry. From the table below we can see that Dubai keep growing as destination for meetings and conferences. Business Tourism Statistics Appendix 6: Year Number of International Association Meetings held in Dubai ICCA Ranking 2009 25 68th 2010 31 51th 2011 34 60th We are aiming to make Dubai #1 destination for business meetings and conferences by 2020. vii. Corporate Social Responsibility “Corporate Social Responsibility (CSR) is defined as the voluntary activities undertaken by a company to operate in an economic, social and environmentally sustainable manner” (Corporate Social Responsibility, 2013). CSR is still a marketing action; it is not charity just for charity. That is why a campaign needs to be chosen thoroughly. Since Dubai is positioned as a luxury and 11 | P a g e unique destination CSR should reflects the same values and characteristics. According to Dubai.ae web-site, the concept of CSR in Dubai and the UAE has always been present from the earliest Islamic times, with people and organizations practicing Islamic values, donating through philanthropy. In recent years, there have been worldwide initiatives to invest responsibly and focus on investing profits into community life and saving the environment. Also lack of fresh water is one of the biggest upcoming problems in the world, especially in such country as UAE, where desert is located. It is already a big problem in Dubai and fresh water is very expansive there; this way we believe that part of the profits should be invested into developing technologies of producing fresh water. viii. Simple Budget for Marketing Plan Our marketing budget will be based on a B2B entity that has decided to combine several inbound and outbound marketing strategies in order to reach its customers. Inbound marketing strategies include the company’s website, blog, online PPC (pay-perclick) advertising campaigns and any and all marketing strategies geared towards driving online search traffic to the company’s site. The following budget summarizes the company’s expenditures on its marketing strategies for its first quarter. The company has itemized its expenditures by month and by marketing strategy. A total is provided in the last column for the company’s entire first quarter. For instance, the company spent $500.00 in January, February and March on content writers for its blog. The total for the quarter is therefore $1,500.00. 12 | P a g e Appendix 7 Marketing Budget January February March First Quarter Marketing Expenditures Website $750.00 $500.00 $0.00 $1,250.00 Blog $500.00 $500.00 $500.00 $1,500.00 Website call tracking $750.00 $750.00 $750.00 $2,250.00 Online PPC campaigns $5,000.00 $0.00 $5,000.00 $10,000.00 Print and magazine advertisements $2,500.00 $0.00 $2,500.00 $5,000.00 Trade shows, exhibits and conferences $15,000.00 $0.00 $15,000.00 $30,000.00 Catalogs and brochures $500.00 $500.00 $750.00 $1,750.00 Sales negotiation training $2,000.00 $0.00 $2,000.00 $4,000.00 ix. Expectations for the return. Timelines. In the short-term, we do not expect there to be a very high return on our investment. This city is still newly developing itself to the overseas travellers market so a return investment would be more of a long-term goal rather than notable in the short-term marketing plan. However, we expect that in 10 years with successful marketing and promotion campaign Dubai will become #1 destination for business tourism. One point to make however, is it is just that an investment. Therefore, promoting Dubai in a different light to travellers in Canada who may have never considered this a destination for them will pay off in the long-term. 13 | P a g e x. Plan for tracking marketing communications. One way to track how effective our marketing communications is by using social media. There is a product on the market for purchase at the moment called “Hashtracking” and is made for Twitter. The cost can range between $30 and $400 per month depending on how many hashtags you would like to track. With this product you can see who, what and where is #Dubai or #tourismdubai or #thenameofourcompany is being tweeted, as well as in what light. The software also compiles charts and graphs showing the hastags throughout different periods of the year. There are many similar products out there for this purpose. Appendix 8 Another way to track our marketing efforts would be to create custom landing pages for your offline ads. For example, having an ad in En Route magazine strictly dedicated to the Luxury traveller, when they scan the QR code it will direct them directly to your website page designed for that ad. You can track how effect this is by using Google Analytics, how many people come to the page using this method etc. 5. Tactics an Action Plan 2005, 84% of the population of metropolitan Dubai was foreign-born, about half of them from India 14 | P a g e Keeping this statistic in mind, we need to be careful how we advertise Dubai. People need to understand that as cosmopolitan as the city is, there is still a high Muslim population and travellers need to respect their culture. For example, if advertising the resort life and beach life in Dubai you wouldn’t want to use a scantly clad woman strutting her stuff all over the beach (like how you might for Cancun). Could use a “classy” woman dressed in a luxurious white sundress. Putting emphasis on the scenery and the luxuriousness rather than emphasis on the sex appeal Another cultural nuance to consider is the cultural/religious holidays practiced in Dubai. Ramadan for example will be taking place this year July 9th to August 7th. This will be a slow time for the city as many residents will be fasting and therefore not be out spending money. This could be a great time to encourage family travellers to go, the city will be less crowded therefore easier for parents to navigate with children. Another take on Ramadan is for people to come and experience this tradition. There are Ramadan tents set up around the city with lavish buffets consisting of traditional food, music, sheesha, dancing. A chance for North Americans to experience this Holy Month at its finest There is a dress code in effect in Dubai for tourist to avoid disrespecting and offending locals. Tourists sometimes stray from the dresscode, however when marketing it is important to give subtle clues or hints that will make tourist aware of this difference. Don’t want to push the idea too much or it may cause people to be uneasy about travelling there Photographing Muslim women in Dubai is considered very offensive Canadians travelling to Dubai will need to tourist visa Especially important for women doing business in Dubai, woman are not to extend their hand to an Emeriti or Arab man unless he extends his hand to you Visa and Passport regulations for Canadians: must possess passport that will be valid for more than 6 months past the date of expected departure. Must possess a visa for the United Arab Emirates, must be obtained prior to arrival (30day visa cost 165, 90day visa 330) 15 | P a g e 6. Communicating the plan 7. Advertising 16 | P a g e References Business Tourism Statistics » Dubai Convention Bureau. (n.d.). Dubai Convention Bureau. Retrieved April 1, 2013, from http://www.dcb.ae Dubai - Wikipedia, the free encyclopedia. (n.d.). Wikipedia, the free encyclopedia. Retrieved April 1, 2013, from http://en.wikipedia.org/wiki/Dubai#Culture ExpatWoman Guide to Dubai Etiquette. (n.d.). Dubai guide. Retrieved March 31, 2013, fromwww.expatwoman.com Guest nights. (n.d.). Dubai for tourism. Retrieved March 31, 2013, from www.dubaitourism.ae Ontario Budget 1997 financial highlights. Ministry of Finance / Ministère des Finances. Retrieved April 1, 2013, from http://www.fin.gov.on.ca Plane. (n.d.). Shanghai - Wikitravel. Main Page - Wikitravel. Retrieved April 1, 2013, from http://wikitravel.org/en/Shanghai Ramadan Tents in Dubai. (2012, July 17).Dubai night planner. Retrieved March 30, 2013, from www.dubainightplanner.com/NewsDetails.aspx?NID=114&t=RamadanTents-in-Dubai Review of personal disposable income. (n.d.). Statistics Canada: Canada's national statistical agency / Statistique Canada : Organisme statistique national du Canada. Retrieved April 1, 2013, from http://www.statcan.gc.ca Shanghai Information. Shanghai Tourism. Shanghai holidays. (n.d.). Shanghai Information. Shanghai Tourism. Shanghai holidays. Retrieved April 1, 2013, from http://www.shanghaieguide.com/Bottom of Form top of Form UAE Embassy in Ottawa . (2013, January 10). Visas. Retrieved April 1, 2013, from http://www.uae-embassy.ae/Embassies/ca/Content/2117 United Arab Emirates. (2012, December 13). United Arab Emirates - Exercise a high degree of caution. Retrieved March 13, 2013, from travel.gc.ca/destinations/united-arabemirates 17 | P a g e