http://www.bized.ac.

uk

Marketing in the Travel and Tourism Industry

BTEC Travel and Tourism

Copyright 2005 Biz/ed

http://www.bized.ac.uk

Definition
Marketing is about anticipating and identifying the wants and needs of a target market of consumers, then satisfying those needs in order to make a profit Firstly, travel and tourism organisations must understand their customers demands. This is the anticipating and identifying part of the definition
Copyright 2005 Biz/ed

http://www.bized.ac.uk

Marketing Research
Anticipating and identifying demands depends on effective marketing research Research into the existing and potential market We will look into this in detail in the Activity
Copyright 2005 Biz/ed

http://www.bized.ac.uk

Marketing Research
Classifying customers according to socio-economic status, lifestyle, family circumstances, gender and so on May involve primary research surveys, observation, questionnaires And/or secondary research statistics and records, quantitative and qualitative

Copyright 2005 Biz/ed

http://www.bized.ac.uk

Classifying Customers
A target market consists of a whole group of potential customers, drawn from the whole population Its better to define the target market as a collection of segments Each segment will have different characteristics Each segments needs and wants must be satisfied
Copyright 2005 Biz/ed

http://www.bized.ac.uk

Market Segmentation
In the domestic tourism market the following segments may be involved: VFR (look for a definition of this term during the Activity) General business tourism Holidays and breaks pre-family Long holidays Activity holidays Group holidays
Copyright 2005 Biz/ed

http://www.bized.ac.uk

Marketing Mix
The way in which current and potential customers demands are satisfied depends on the marketing mix of the organisations products and services: Traditionally 4 elements of the mix Product, Price, Promotion and Place In the modern travel and tourism industry its usual to look at 6

Copyright 2005 Biz/ed

http://www.bized.ac.uk

Elements of the Marketing Mix

Product or service Quality Value Lifecycle Perishability Differentiation Niche
Copyright 2005 Biz/ed

http://www.bized.ac.uk

Elements of the Marketing Mix

Price Seasonality Strategies Competitor analysis Loss leadership Skimming

Copyright 2005 Biz/ed

http://www.bized.ac.uk

Elements of the Marketing Mix

Promotion Advertising Endorsements Sponsorship Methods use of different media, brochures/leaflets, public relations, sales promotion, press releases To gain attention/interest/desire/action
Copyright 2005 Biz/ed

http://www.bized.ac.uk

Elements of the Marketing Mix

Place Channels of distribution Getting tourism services to customers Retail services such as travel agents Direct marketing through targeted mail outs Electronic methods, such as using the Internet The growth of technology
Copyright 2005 Biz/ed

http://www.bized.ac.uk

Elements of the Marketing Mix

People Employees Management Culture of organisation Attitude to customer service

Copyright 2005 Biz/ed

http://www.bized.ac.uk

Elements of the Marketing Mix

Planning Mission statements Deciding on objectives What are we trying to achieve? profit, cut the competition, boost share of market, enter new markets and so on
Copyright 2005 Biz/ed