glennallen marketing

Slide1: 

Glennallen Community Workshop: Marketing

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Market Cycle While the growth in the number of tourism related businesses in Alaska is impressive, the supply of many such operations has likely grown more rapidly than demand.

Recommended Approach: 

Recommended Approach Traditional tourism approach Strategic tourism approach

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Market Realities Non-Cruise segment possesses limited marketing dollars (it is more cruise-dependent than many realize) Cruise industry acts as an important catalyst (similar to theme parks, casinos) Cruise industry becoming increasingly competitive Minimal “visitor taxing” mechanisms limit marketing revenue generation capabilities Many non-cruise businesses offer the greatest potential for enhancing economic growth in rural areas in those areas that possess the intrinsic characteristics of viable tourism destinations

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Market Trend Implications There is a significant need for cruise ships not to suffer as potential supply-demand adjustments affect the international industry Growth in non-cruise sectors will become increasingly important in filling potential cruise-related voids and creating reasons for visitors to return

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Decide which benefits you can provide. In addition to identifying the ideal customer, it is also important to understand travel trends and the needs of your particular customer. Customer identification

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Assess your product and match with desired needs. Once you have identified visitor needs, decide how your product can fill those needs. Conduct a thorough assessment of the products and services you will offer. Product Identification

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Once you have assessed your products and the desired benefits of potential customers, some product modification may be required. If your product does not deliver the desired benefits, how can you change it to fit visitor needs? Should you make changes to when you offer your product, your place of business, hospitality practices of your personnel? Product Revision

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You need to be able to tell potential visitors how you can fulfill and even exceed their needs. Your advertising should tell an interesting story and help the customer visualize the potential needs you will be able to meet and the benefits (they want) that you will be able to provide. Communications

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All of the communications your customer receives before, during and after the visit are important aspects of delivering the product and include hospitality and personal contact with the visitor. You should constantly review the messages you are sending your visitors. Communication Review

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Follow-up is another necessary step in your marketing strategy. You need to make sure your customer is getting what he or she thinks is important. Follow-up and begin again

General Motors Case Study: 

 ”Media Planning is taking on additional strategic importance as marketers seek to increase the long odds that a potential customer – busy with life and bored by most ads – will pay attention to a sales pitch, particularly when many products are aimed at narrow demographic groups rather than mass audiences.” Source: New York Times; July 26, 2000 General Motors Case Study

Obvious Question: 

Obvious Question If those with seemingly unlimited marketing resources are finding they can no longer effectively motivate broad markets, what are the chances that those with limited resources will be successful if they are attempting to compete with broad market strategies? Source: Nichols Gilstrap, Inc.

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Newspaper travel section 28% Internet Web site 21% Travel show on television or cable 21% Motor Club Magazine, such as AAA 18% Consumer lifestyle magazines 17% Source: TIA Travel Poll – June 2000 Travel Media Usage

Regarding Technology: 

It is important we recognize the difference between critical issues and strategic tools. Source: Nichols Gilstrap, Inc. Regarding Technology

Magnificent Seven: 

Magnificent Seven Treat the Internet as a Tool, Not a Mission Make the Web a Dynamic Part of an Effective Mix Design Your Site with the Ultimate Customer in Mind “Build it and they will Come” Approaches Don’t work Remember Customer Retention is More Profitable than Acquisition Guarantee a Safe Environment Embrace and Manage Change Source: Nichols Gilstrap, Inc.

Increasing Role of Internet in Montana Tourism: 

Increasing Role of Internet in Montana Tourism # Inquiries Source: Travel Montana (Montana hosts 45-percent more individual user sessions per month than Alaska)

Montana Example: 

Montana Example Reach Your Peak (406)587-1708 Recreation and Adventure Guide Reach Your Peak offers year round guide/instruction service of rock, waterfall, mountaineering and back country ski tours….    Contact Information:    Directions: Recreation and Adventure Opportunities

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California Tourism Source: Effectiveness of the 1999 California Tourism Fulfillment Campaign, April 2000 Learning About DMO Through Internet

Importance of Repeat Business: 

Importance of Repeat Business “A five-percent increase in good customer retention can increase profitability by twenty-five to eighty-five percent.” Source: Harvard Business Journal

Technical Assistance: 

Technical Assistance Our office offers technical assistance as you start or expand your business. Please feel free to contact us anytime. Phone: 907 465-2012 Email: GoNorth@dced.state.ak.us Website: http://www.dced.state.ak.us/tourism/