Marketing 2

• Market -> assess needs and competition -> determine
• positioning & design strategy

.

• · Consumers: size, satisfaction, motivations,market areas
• · Marketing mix: products/services, pricing/place/distribution, promotion
• ·Competition
• ·Positioning
• ·Marketing Environments

• 80% information
• 20% intuition

• · Info critical to the changing market environments
• · Internal: customer records, financial data, operational data
• · External: newsletters, suppliers, customers, associations, magazines

• ·Problem solving process
• ·Science & art
• ·Used on a needs basis to solve specific problems

• ·Valid (relevant)
• · Reliable (accurate)
• ·Objective (non biased)

1.Identify and define problem

• 2.Investigate available resources
• a.Primary data – data collected for the 1st time
• b.Secondary data – data that already exists

• 3.Develop research plan
• a.Research objectives
• b.Determine info needed
• c.Research methods: primary, secondary, qualitative, quantitative

• 4.Collect data
• 5. Analyze data
• 6.Present research results

• Advantages:
• ·Specific & detailed

• Disadvantages
• ·Expensive & takes longer

• Research methods:
• ·Qualitative
• oFocused on obtaining lots of feedback & info
• oFocus groups, in depth interviews, observations

• ·Quantitative
• o Focused on finding info for specific questions
• o Surveys (phone or personal), personal interview,
• mechanical devices

• ·Client database
• · Financial records
• ·Inventory reports
• · Promotional records

• · Newspapers
• ·Newswires
• · Magazines
• · Associations
• · Trade journals
• -databases

• ·Who?
• ·How many?
• ·Sample size?
• ·How to survey them?
• · Probability or no?

• a segment of the population selected to represent the
• population as a whole

• · Question order, format, & wording
• ·Collect relevant data – wording
• · Make data comparable – formal & wording must be clear & consistent
• · Minimize bias – working
• · Motivate respondent – order & format (length, title, etc)

• · Lack of valid info
• · Out dates info
• · Sample is too small
• ·Researcher bias
• ·International issues

• · Utilize resources
• ·Implement method
• ·Timing issues
• · Data input

• ·Qualitative – look for comment themes & trends
• · Quantitative – analyze numbers for conclusions

• What is your plan?
• Who is the target market?
• What are their needs, motivations & purchase criteria?
• Who are competitors & what’s their position?
• Determine your position
• Design your strategy
• Establish objectives

a bundle or package of tangible and intangible components

• 1.Core products – basic need (excitement/atmosphere)
• a.experience

• 2.Tangible product – feature & benefits
• a. Quality of service
• b.Brand
• c.Safety
• d.Range of on-site attractions
• e.Sharing park with other people

• -Opening time
• -Weather
• -Ancillary services (catering & retailing)
• -Car parking
• -Services for visitors with special needs
• -Procedure for handling complaints

• -the process of combining related offerings into a single
• price
• Advantages:
• · Improve profitability
• · Allow joint marketing opportunities
• · Effective tool to tailor tourism products for specific target markets

a way to identify the life-cycle stage of a product or service, review int past and current position, and predict its future

Tour Company -> travel agent -> consumer

• · Premium pricing
• ·Value for money pricing
• · Undercut pricing

• ·Cost based methods
• ·Demand based methods
• ·Competition oriented pricing

• ·Prestige pricing
• ·Market skimming
• ·Penetration pricing

• · Promotional pricing
• ·Product bundling pricing
• ·Price spear and price points
• ·Discriminatory pricing
• ·Volume discounting

developing strategies to maximize opportunities for the sale of an organization’s perishable products

• ·Seasonal demand
• ·Tactical price-cutting and price wars
• -Low prices
• · Fixed capacity
• · Customer’s total purchases
• · Increased use of internet
• · Late booking

• · Acquiring info
• ·Promotion
• ·Contact
• ·Negotiation
• ·Physical distribution
• · Financing
• · Risk-taking

a channel where a company delivers its product to the consumer without intermediaries

a channel where a company distributes its products via intermediaries

• Service providers -> tour operators -> travel agents
• -> tourism specialties -> consumers

• Horizontal Conflict
• · Conflict between organizations at the same level
• (ex. 2 Tim Horton’s franchises)

• Vertical Conflict
• · Occurs at different levels of the same channel
• (ex. Argument between travel agents & airlines about commission)

• · Market coverage
• ·Costs
• · Positioning & image
• ·Motivation of intermediaries
• · Characteristics of tourism organizations

• ·Intensive
• ·Exclusive
• · Selective

• · Build awareness
• ·Create interest
• ·Provide info
• · Stimulate demand
• -Reinforce the brand

• ·Objective & task
• · Affordable
• · % Sales
• -Competitive-parity

• -Attention
• -Interest
• -Desire
• -Action

• · Meaningfu
• · Distinctive
• · Believable
• · Slice of life
• · Fantasy
• · Mood or image
• · Lifestyle
• · Musical
• · Testimonial evidence
• · Technical expertise

• · Cost per thousand (CPM)
• o Cost of message divided by # of ad views
• multiplied by 1000

• · Impression
• o One viewing of an advertising message

• · Reach
• o % of medium’s audience that is exposed to an
• advertiser’s message at least once during a specific time frame

• ·Frequency
• o # of times an audience has the opportunity to be
• exposed in a specific time frame
• o Takes 10-15 exposures to gain retention

• ·Accuracy & clarity
• · Disguised advertising technique
• · Price claims
• · Bait & switch
• · Guarantees

• · Sampling
• · Coupons
• · Gift certificates
• ·Premiums

• organizations that have similar target markets combine their
• resources to their mutual advantage

• -introduction
• -growth
• -maturity
• -decline

• sender
• encoding
• message
• decoding
• reciever

Noise/clutter

• cost
• compition
• legal and regulatory issues
• buyer perception