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Marketing
is the social process and science of finding, retaining, and growing profitable customers by creating and exchanging value.
Physical Product
Tangible
Can be touched, seen, and tested before buying
Tourism Experience
Intangible
Customers buy memories and experiences rather than physical products
ex. vacation, island hopping, cultural tours
Intangible
Inseperable
Variability
Perishability
Seasonality
Substitutable
Tourism Experience
Intangible
Cannot be seen, tasted, or felt before purchase. Buyers rely entirely on tangible evidence and trust.
Inseparable
The provider and the customer must both be present. The customer is part of the product.
Variability
Quality depends heavily on who provides the service, and when/where it occurs.
Perishability
Cannot be stored. An unsold hotel room tonight cannot be sold tomorrow.
Seasonality
Demand fluctuates based on weather and visitor behavior peaks.
Substitutable
Global competition means one destination can easily be swapped for another.
Setting Objectives
Analyzing Opportunities
Researching and Selecting Target Markets
Designing Marketing Strategies
Planning Programmes
Organizing & Controlling
Marketing Management Engine
Setting Objectives
Establish organizational goals. Prioritize environmental scanning.
Analyzing Opportunities
nalyze internal and external environments. Study customer buying behavior. Identify opportunities for short- and long-term growth.
Researching and Selecting Target Markets
Measure market size, analyze market growth, forecast future demand
Designing Marketing Strategies
Develop the overall marketing strategy. Determine target markets. Allocate resources.
Planning Programmes
Develop the marketing mix. Decide on product features, packaging, branding, etc.
Organizing & Controlling
Carry out the marketing plan. Control and evaluate whether objectives are achieved.
Product
Price
Place
Promotion
People
Process
Physical Evidence
The Marketing Mix (7Ps)
Product
The goods or services offered to customers.
Price
Amount customers pays
Place
Where the product is distributed or sold
Promotion
Activities used to inform and persuade customers
People
Everyone involved in delivering the service
Process
Procedures that deliver the service
Physical Evidence
The tangible elements customers see
Integrated Marketing Communication (IMC)
A process that integrates all marketing communication tools to deliver a clear, consistent, and compelling message to the target audience.
Technological advances
Database marketing
Retail consolidation
Internet-based communication
Growth Drivers of IMC
S – Market Segmentation
Divide the market into smaller groups based on similar characteristics.
T – Market Targeting
Evaluate each segment and choose the most profitable market(s) to serve.
P – Market Positioning
Planting a unique selling proposition (USP) to occupy a distinct place in the minds of consumers.
Geographic
Demographic
Psychographic
Behavioral
Anatomy of a segment
Geographic
- Nations, states, regions, countries, cities, neighborhoods, barangays, towns.
Demographic
-Age, life cycle, gender, income, occupation, education, religion, race.
Psychographic
-Social class, lifestyle, personality.
Behavioral
-Special occasions, benefits sought, usage rate, user status, loyalty status, buyer readiness.
Undifferentiated (Mass) Marketing
The entire market is a single unit.
Focuses on common consumer needs with a single marketing mix.
Differentiated Marketing
Customizing strategy for individual target markets based on similar demographics or psychographics.
Concentrated Marketing
Focusing limited resources to gain a large share of one specific, small market segment.
Company resources
product/market homogeneity
competitor's strategy
Decision Factors
The Ascent: Unique Selling Proposition (USP)
The Summit: Top of Mind
Market Positioning
The Ascent: Unique Selling Proposition (USP)
Identifying exactly what makes the product or service different due to physical attributes, added services, personnel, location, or image.
The Summit: Top of Mind
The highest level of consumer recall. The brand occupies the premier spot in the consumer's mind, ultimately becoming synonymous with the generic product itself.
The Youth Market
Defining Trait: High participation and independent exploration.
Growth Drivers:
• Rise of low-cost budget airlines.
• Global internet culture & independent guidebooks.
Economic Factors:
• Increased travel budgets (parental help, savings).
• Higher education and short employment contracts (gap years/work-travel combos).
MICE (Meetings, Incentives, Conferences, Exhibitions)
Defining Trait: The lucrative corporate/event traveler.
Key Differentiators:
• Characterized by significantly high per-capita expenditure.
• Extended lengths of stay compared to standard leisure tourists.