MARKETINGSALES FOR TOURISMHOTELS.docx

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MARKETINGSALES FOR TOURISMHOTELS.docx

MARKETINGSALESFORTOURISMHOTELS

 

MARKETING&SALESFORTOURISM&HOTELS

1.0Introduction

ItistheintentionofthisreporttocreateatourismorhospitalityexperienceforNewSouthWales.Itisexpectedthatthisnewinternationalmarketwouldbedevelopedwitheffectivemarketingcampaign.NewSouthWalesisrecognizedastourismdestinationatthegloballevelandhasdiversitytourismresourcestoattractinternationaltourists(Peggetal,2012).Hence,itispossibletoperformresourceintegrationinthismarkettoprovideimpressivetourismorhospitalityexperienceforcustomersacrosstheworld(Priskin,2001).

NewSouthWalesislocatedintheeastcoastofAustralia(Simon&Hildebrand,2008).Ithasseveralsignificantgeographicaladvantages,suchasthepleasantclimate,convenienttransportation,andexcellentsightseeing.Inaddition,theculturaldiversityinNSWalsoprovidestheopportunitytomeettheneedofculturaltourism(Argent,2008).Sydney,whichisthestatecapitalofNewSouthWalesandlocatedinAustralia'ssouth-eastcoast,isakeyattractionfortourists.TheSydneyInternationalConvention,ExhibitionandEntertainmentPrecinctarealloutstandingplacesfortouriststogainuniquetourismexperience.

ThisreportfirstlyprovidestheoverviewofthedestinationNEWSOUTHWALES(DMO).Afterthat,thekeyexperiencecategoriesofthedestinationareanalyzedtounderstandthestrengthsandweaknesses,andidentifythemarketopportunityforthedestination.Thisisfollowedbytheanalysisofthetargetmarketandtheidentificationofstrategicopportunity.Basedonthese,anintegratedcommunicationmixisdiscussedandaspecificitemiscreatedtopromotethedestination.

3.0CustomerAnalysis

3.1MarketSegmentationandTargetMarketSelectionProcess

Thesegmentation,targetmarket,positioning(STP,AppendixH)strategysuggeststhatmarketsegmentation,targeting,andpositioningarethreeimportantstepstocreatemarketingstrategy(Jun,2011).Marketsegmentationistodividethewholemarketintodifferentcustomergroupsbasedontheirneeds,characters,orpurchasingbehaviour(Reid&Bojanic,2009).Animportantstepinmarketsegmentationistoidentifythebasesforsegmentation.Ingeneral,marketsegmentationcouldbeconductedaccordingtogeographicbasis,demographicbasis,culturalbasis,andsoon(Guoetal,2013).Thisreporttakesgeographic,demographic,psychographic,andbehaviouralfactorstosegmentthecurrentcustomersandpotentialcustomersofthedestination.Atpresent,thecurrentcustomerofthedestinationmainlyisfromNewZealand.Duetotheincreaseincompetitivepressureinthelocaltouristindustryandtheimpactoftheglobalfinancialcrisis,theattractivenessofthedestinationforcurrentcustomersisdecreasing.Withinthiscontext,theselectionofnewpotentialtargetcustomersiscrucialforthesustainabledevelopmentofthedestination.ConsumersfromChinaandAmericaarethemaintargetcustomersofthedestination.Targetconsumersarefurtherselectedfromthisgroupaccordingtodemographic,psychographic,andbehaviouralfactors.

3.2Justificationofthenewtargetmarketingchoice

TargetcustomersofthedestinationcouldbedescribedasappendixG.ThesegmentationofthenewtargetmarketisbasedontheresourcesandcapabilitiesofNewSouthWales.Chinahasseenaquickeconomicgrowthduringthepastfewdecades(Qin&Hsieh,2014).Underthisbackground,people’shouseholdincomesincreasesignificantlyalongwiththeeconomicgrowthandtheimprovementofincomelevel.AccordingtoappendixG,customerswithhighincomeandhigheducationaretargetcustomersofthedestination.Overthedecades,therapidgrowthofeconomyinChinapromotestheimprovementsofChinesepeople’sincomelevel.ThismeansthatChinesepeoplehashigherabilitiestoengageinleisureconsumption.Inthiscondition,thedemandoftourismisalsoincreasingaccordingly(Zhang,1989).Hence,consumersfromChinaarethepotentialtargetconsumersforNewSouthWalestourismindustry(GOHetal,2009).Inadditiontothis,Chinesepeoplewhoagedfrom30to49aremainlytargetcustomersofthedestination.Tosomeextent,thisconsumergroupoftenhasstableincomeandhigheducation.Inthiscontent,theypaymoreattentiontoleisureconsumption.Thus,ChinesepeoplewithhigherincomeandeducationareselectedasthepotentialtargetpotentialconsumersforthedestinationastheycanaffordthepriceandinterestinthelocalcultureinNewSouthWales.Basedonthisperspective,itcanbeconcludedthatChinaistargetmakeforthedestination.AccordingtoappendixG,Chinesepeoplelovetoadventure,andareinterestedinresortstayandinlocalculture.Thus,theyoftenwilltraveltodifferentdestinationsaroundtheworldinordertoobtainleisureandstimulatingtourismactivities.Therefore,ChinawillbetheidealtargetmarketforNewSouthWales.Moreimportantly,accordingtobehaviouralvariable,Chinesepeoplearenotsensitiveprice,pursuehighqualityserviceandoftenwillsearchinformationonlineorthroughagent(appendixG).Underthiscondition,ifChinesepeopleareprovidedidealtourismdestination,theyaremorelikelytoconducttourismconsumption.Therefore,ChinesepeoplearetheidealtargetconsumersforNewSouthWales.

4.0Strategicopportunity

ThissectionidentifiesthestrategicopportunityforNewSouthWalesandoutlinesthenewexperienceideaforthedestination.

4.1StrategicOpportunity

WiersemaandBantel(2000)suggestthatthecapabilityoftoanticipateopportunityandrespondtointernalandexternalchangesisacrucialwaytoensurecompetitiveness.Inthecurrentbusinessenvironmentoftourismindustry,externalenvironmentchangesquicklyandconstantly.Asaconsequence,thecapabilitytoanticipateopportunityandrespondtoexternalchangesisimportantforthedevelopmentofNewSouthWales.Itissuggestedthatchangescouldbeplannedandcreated(Lewin,1947).Lewin(1947)describetheprocessofplannedchangeasunfreezing,changing,andrefreezing.Inthechangeprocess,theidentificationofstrategicopportunityisanimportantstage.ThestrategicopportunityforNewSouthWalesistheemergenceandfastdevelopmentofculturaltourismandFestival&Eventtourisminrecentyears.Inrecentyears,touristsstarttotaketourismasanopportunitytoacquireknowledgeandparticipateinlargeeventsthatheldinthecitiestheyvisit(Kimetal,2010;Ahmad,2013).

4.2NewExperienceIdea

TomeettheneedofculturaltourismandFestival&Eventtourism,thenewexperienceideaiscreatedforNewSouthWales:

ØShapetheattractivenessofNewSouthWalesbyholdingeventsatSydneyInternationalConvention,ExhibitionandEntertainmentPrecinct

ØUsetheculturaldiversityandalternativelifestylestoattractinternationaltourists

ØAttracttouristwhopursuefashionbyholdingfashionshowsinshoppingmalls

Asitmentionsabove,peoplewithhighincomeandhigheducationfromChinaarethetargetpotentialconsumersforNewSouthWales.Theyareinterestedinlocalcultureandfocusonexperience.Therefore,thedemandsofthisgroupoftargetpotentialconsumerscouldbemetbyholdinglargeeventsandprovidingculturaltourismexperience.Moreover,Chinesepeoplelovetoadventure,andareinterestedinresortstay.ithasbeenidentifiedthatChinesepeoplewhopursueadventureandareinterestedinresortstaynarethetargetpotentialconsumersforthedestinationfromChina.Finally,Chinesepeoplearenotsensitivepriceandpursuehighqualityservice.Therefore,theywouldconducttourismconsumptionformeetingthedemandofhighqualityservice.Generallyspeaking,ChinaisidealtargetmarketforNewSouthWales

4.3Discussion

Thestrategy,actionplan,andthenewexperienceideaworktogethertodifferentiateNewSouthWalesfromotherdestinationsbymakinggooduseoftheuniqueresourcesandcapabilitiesofthedestination;theyhelptoformthecompetitiveadvantagesofthedestination.Porter(1985)suggeststhatcompetitiveadvantageoccurswhenanewattributeorcombinationofattributesisdevelopedtooutperformcompetitors.ThenewexperienceideahasincludedtheuniqueresourcesandcapabilitiesofNewSouthWales,suchasshoppingmalls,culturalresourcetomeettheneedsoftargetpotentialconsumers.Currently,Chinesepeoplearetargetcustomers,therefore,NewSouthWalesshouldprovidetheuniqueresourcesandculturaltourismexperienceandimproveitsattractioninordertoattractmoretargetcustomersfromChina.

5.0Integratedcommunicationmix

Csikósováetal(2014)definesIntegratedmarketingcommunication(IMC)as‘anapproachtobrandcommunicationswherethedifferentmodesworktogethertocreateaseamlessexperienceforthecustomer’.ThecurrentcommunicationitemforNewSouthWalesfocusesgreatlyontheuseoftraditionalmedia.Thekeystrengthofthecurrentcommunicationitemisthequickinformationcommunicationinvisualformats.However,thereareseveralweaknessesinthecurrentcommunicationitem,suchasthelimitationofnationalboundariesincommunicationandlowaccessabilitytotargetconsumerscomparedwithVictoria.

6.0Newcommunicationitem

Tomakeupfortheweaknessesofthecurrentcommunicationitem,itisrecommendedthatphotosaboutthelife,events,buildings,andsightseeingshouldbepostedonsocialnetworkingsitessuchasYoutubeandFacebooktoapproachtheidentifiedtargetpotentialconsumersofthedestination.TheAIDAprinciplestandsforAttention(A),Interest(I),Desire(D),andAction(A).Asitmentionsabove,thenewtargetconsumersofNewSouthWalesfocuseitheroncultureandexperienceorfashion.P

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