STHM 1311 Ch. 7 Notes

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Tourism & Hospitality Management
STHM 1311
Dr.Wes Roehl

Chapter 7 Notes Tourism Marketing: Marketing is a management philanthropy, which in light of tourist  demand makes it possible through research, forecasting, and selection to place tourism  products in the market most in line with the organization’s purpose for the greatest  benefit. Plans. Researches. Implements. Controls. Evaluates. Customer’s needs and wants.  Organization’s objectives. 1. Tourism is an experience. a. Property of Experiences i. Not compromised of physical matter and do not occupy a physical  space ii. Abstract b. Experiential Marketing i. Traditional Marketing 1. Features 2. Benefits ii. Experiential Marketing 1. Sensory 2. Affective 3. Cognitive experiences 4. Actions 5. Relations 2. Tourism Marketing is Challenging a. Intangible experience, perishable inventory, simultaneous production and  consumption, potential for high variability in quality (e.g., the 4  characteristics of services b. A mixture of several services and some facilities and products c. The organizations that market tourism destination usually have little  control over the quality and quantity of services provided d. The guest’s satisfaction is a function of the staff providing the service e. The role of travel trade intermediaries f. Tourism demand is highly elastic, seasonal in nature, and is influenced by  subjective factors as well as more objective factors g. The intangible nature of tourism services 3. The PRICE of Marketing (process) a. P – Planning b. R – Research c. I – Implementation d. C – Control e. E – Evaluation 4. Marketing Segmentation a. The process through which people with similar needs, wants, and  characteristics are grouped together so that a tourism organization can use  greater precision in serving and communicating with there people. i. Decide how to group all potential visitors 1. Market segments ii. Select specific groups from market segments to pursue 1. Target markets [that we can satisfy] b. Assumptions in Mkt. Segmentation i. Not all visitors are alike ii. Visitors within a specific segment have similar and identifiable  characteristic iii. A trip appeals to some segments more than others iv. Products/services can be developed to serve specific segments c. Criteria for Viable Mkt. Segment i. Measurable 1. Data to say current/future tourists belong to which segment ii. Accessible 1. Need to be possible to get message to a segment iii. Substantial 1. Enough people in the segment to buy the product 2. Will we break even with this segment? iv. Defensible v. Durable vi. Competitive vii. Homogeneous viii. Compatible d. Mkt. Segmentation Bases i. Demographic and socio­economic 1. Age 2. Education 3. Gender 4. Income 5. family size and composition 6. family life cycle stage 7. social class 8. type of residents/home ownership status 9. Second home ownership 10. Race or ethnic group 11. Occupation ii. Geographic 1. County 2. Region 3. Market area 4. Urban/suburban/rural 5. City size 6. Population density 7. Zip or postal code 8. Neighborhood 9. Where they grew up iii. Purpose of trip 1. Regular business travel 2. Business travel related to meetings 3. Conventions/congresses 4. Incentive travel 5. VFR 6. Close to home leisure trips 7. Touring vacation 8. City trip 9. Outdoors vacation 10. Resort vacation 11. Cruise trip 12. Th
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