zouni marketing strategy summer_schools 2012

Summer School s - Olympia, 2012

Marketing Strategy

Dr. Georgia Zouni Athens University of Economic & Business (AUEB) &

University of Kent, Adjunct Lecturer PhD, University of Piraeus


OLYMPIA Destination Marketing Strategy

http://en.agrotravel.gr/agro/Documents/Agrotravel/learnabout/Ileia/diadromes-arxaiaolympia/photo?image_scale=popup

Summer Schools - 2012

your expectations for today?

Summer School s - Olympia, 2012 I have something to

about Strategic Marketing!


Let the journey begin!


A story about going to the grand

pazar


1. Photo

Contest

2. Kids

Paintings

3. Facebook

setup


The Mission of the campaign

To increase awareness +

engagement of destination’s

target market

13


The Goals of the campaign

To get emails of our target market

To reach 6000 likes in Facebook page

To increase page penetration (reach)

14


The Process

Take a picture

Enter the contest

And the winner is…

Follow us at online to find your

photo


1

2

3


At ITB


On Site RESULTS Some thousands of ITB visitors pictures for social media content

Some thousands of individual emails for email marketing

A winner

Highlights page in ITB


27


28


Campaign Results

Up to now…

29


30

January-March 2012


31

ITB March 2012


32

April - May 2012

Olympic Flame Ceremony, Olympia


The Results of the campaign

Reached 6000 likes on Facebook page

Increased page penetration

from -100 to 18.000 person reached

from 8 talking about to 300

Database of 5000+ targeted emails

33


34


Ok with your story,

so I can do any campaign whenever I want?


HOW?

Summer Schools - 2012 ΠΑΝΕΠΙΣΤΗΜΙΟ ΠΕΙΡΑΙΩΣ

1 MORE S MUST BE ADDED

TO OUR 3S MODEL (SEA SUN SEX*)

Summer Schools - 2012 ΠΑΝΕΠΙΣΤΗΜΙΟ ΠΕΙΡΑΙΩΣ

STRATEGY


Some definition:

"the planning of a desirable future and the design and testing of suitable ways of bringing it about".


Eureka!!!!


Meet the Customer

Company Customer A D M

E, I STP 4P


The only way to meet the Customer

Step 1 Strategic Purpose

1. Mission and purpose

Step 2 Strategic Analysis

2. The external environment: PEST, Porter Analysis

3. The external environment: Market Analysis – Customer Behaviour

4. The internal environment: Capability – SWOT Analysis

Part 3 Strategic Choice

6. Strategic options

7. Segmentation, Targeting, Positioning

8. Strategic evaluation

Part 4 Strategic Implementation

9. Marketing Mix

10.Monitoring


Destination Strategy Process

1. Marketing research

2. Segmentation

3. Targeting

4. Positioning

5. Product

6. Price

7. Place

8. Promotion


Step 1. Marketing Research


What is it?

Γ. Ζούνη

http://www.youtube.com/watch?feature=player_embedded&v=DWBqNP0YIRQ


Marketing Research in Olympia

1. Marketing research

• A PhD thesis (2011)

• 2 Master theses with primary marketing research

• A new primary research (2009)

• A destination strategic plan (2010)

• An MBA thesis in online strategy (2012)


OLYMPIA 2009 Marketing Research

Main Findings

http://en.agrotravel.gr/agro/Documents/Agrotravel/learnabout/Ileia/diadromes-arxaiaolympia/photo?image_scale=popup


Nationality

Greeks British French Italian US Spanish German Other Australian


Gender

Women Men


Age

Age


Education

Basic College Student University Postgraduate Graduate Graduate


Monthly Income (in euros)

Below 1000 More than 5000

Income (euros)


Travel Information source

Travel Agencies’ Flyers

Internet

Advertisements in Media

Travel Magazines

Wom Recommendations

NTO Flyers

History

School

Part of Cruise

Info Kiosks

Summer Schools - 2012 Travel Party Composition

Travel Party Composition

Alone Couple Family With Friends As a group


Main Activities when Travel

Contact local Touring Fun Visit Sports Relax To know Other People Attractions new places


Booking Type

Other Alone via Travel via Friends/ Agency Relatives


Nearby Destinations visited when in Olympia

None Kaiafa Spa Ep.Apollo Katakolon Chlemoutsi Zacharo Other Temple Port Castle Beach


Total Satisfaction from Olympia

Not at all Little bit Enough Very Totally Satisfied Satisfied Satisfied Satisfied Satisfied


The New Cultural Heritage Traveler

Prefer leisure travel that is educational

Spend more money on cultural and heritage activities

Want to engage with locals; “do” something

Will travel farther to get the experience

On-line important for:

Trip planning

Community engagement

Consumer content generation


The Tourist Area Life Cycle


TILC Market Symptoms


http://ec.europa.eu/europeaid/evaluation/methodology/tools/too_swo_how_en.htm

Resource Audit Best Practices

Resource Audit Best Practices

PEST Competitor Analysis Market Analysis

PEST Competitor Analysis Market Analysis


Destination SWOT


Vision, Mission

Strategic Choice


The Vision

to help Olympia get the position it deserves in people’s mind as a

tourism destination


Objectives

Increase Overnight stay

Increasing non package tourists’ stay

Increase tourist expenditure at destination


Market Segmentation, Targeting, and Positioning

Strategic Choice


Steps in Market Segmentation, Targeting, and Positioning

1. Identify segmentation variables and segment the market 2. Develop profiles of resulting segments

Market Segmentation

3. Evaluate attractiveness of each segment 4. Select the target segment(s)

Market Targeting

5. Identify possible

positioning concepts for each target

segment

6. Select, develop, and communicate

the chosen positioning

concept

Market Positioning


dividing a total market, such as all tourists, into

manageable sub-groups (Middleton, 2001)


Geographic

Demographic Age, gender, family size and life cycle, or income

Psychographic Social class, lifestyle, or personality

Behavioral Occasions, benefits, uses, or responses

Nations, states, regions or cities

Segmentation Criteria


French & Germans 29-49

Family Travels High Income and

Education

1st Target Market 2-3. segmentation- targeting 1st Target market


Italian Friends and new couples

19-29 Graduates

1000-3000 euros

Special niche target market


Non Stayers Greek,

German, Italian, Women

19-29 & 40-49 Of all Education & Income

Levels

Major Target Market


Five Patterns of Targeting Strategies

Single-segment concentration

Product specialization

M1 M2 M3

P1

P2

P3

Selective specialization M1 M2 M3

P1

P2

P3

M1 M2 M3

Full market coverage

P1

P2

P3

Market specialization M1 M2 M3

P1

P2

P3

P1

P2

P3

M1 M2 M3

P = Product M = Market


S African Business Travel Targeting


French & Germans 29-49

Family Travels High Income and

Education

1st Target Market 2-3. segmentation- targeting 1st Target market


Positioning & Branding

Positioning establishing an image for a product or

service in relation to others in the marketplace

Branding technique that enables organizations to

gain competitive advantage by offering a product that has features not available in offerings of competitors

Summer Schools - 2012 83

Positioning Strategies

Positioning by specific product attributes

Positioning by benefits

Positioning for user category

Positioning for usage occasion

Positioning against another competitors

Positioning against another product class


Evaluating Market Segments

Segment Size and Growth

Analyze sales, growth rates and expected profitability

for various segments.

Segment Structural Attractiveness Consider effects of: Competitors, Availability of Substitute Products and, the Power of Buyers & Suppliers.

Company Objectives and Resources Company skills & resources relative to the segment(s). Look for Competitive Advantages.


S Africa Positioning


Positioning Strategy

This market views Olympia as a

Known

Historic and

Well established and visited

Destination

.

«Unique Experiences for the family»


Marketing Mix

or 4P’s


PRODUCT


Growth Strategies Options Ansoff Growth matrix


Market-Penetration Strategy

Why ? To dominate market

How ? To increase usage or get new customers; reduce price; expand distribution or increase promotional activities

When ? When market is growing

What to look out for ? Competitive reaction; cost of conversion

Example: Airlines used reduced fares & promotion various family travel packages to penetrate market


Market-Penetration Strategy

Queensland World Campaign

http://www.youtube.com/watch?v=SI-rsong4xs





Market-Development Strategy

Why ? To venture into new markets

How ? Sell existing products in new markets; modify product; use different distribution; use different advertising/sales strategy

When ? Present market is saturated

What to look out for ? Competitive reaction; understand new buyers; adaptability

Example: Hong Kong and China Gas (Towngas) is to invest HK$2 billion in the transmission of natural gas in China, in a continued bid to expand away from its base in Hong Kong. (Source: SCMP; June 29, 2001)


Safrica Strategy for 2011-2013


Product-Development Strategy

Why ? To satisfy buyer’s need

How ? New or improved product; innovate or augment product

When ? Customer has a need or a problem

What to look out for ? Market size/volume

competitor reaction

effect on existing products

resources to deliver new products

Examples: Acer; Soundblaster 1,2,3


Product-Development Strategy

Google Hotel Finder http://www.youtube.com/watch?v=7K2ZDot6

cdw

Draw and Travel http://www.theydrawandtravel.com/

http://www.youtube.com/watch?v=7K2ZDot6cdw

http://www.youtube.com/watch?v=7K2ZDot6cdw


Floating Hotel in Sweden


Sand Hotel in United Kingdom


Jungle Hotel in Mexico


Ice Hotel in Canada


Underwater Hotel in Fiji


Cave Hotel in Turkey


Diversification Strategy

Why ? Growth opportunities outside current business

How ? New products for new markets

When ? Distinctive competencies available

What to look out for ? High risks, resources required, need to understand new markets, fit with distinctive competencies

Examples:

In July 1997, DBS Land diversified into Healthcare by acquiring a stake in Parkway Holdings, a leading healthcare provider in Asia and in 1999, DBS Land bought into Vista Healthcare


Urban Spoon iPhone App


… so what to do with PRODUCT in

Olympia?


Olympia’s site should be in French and German, apart from English Presence in French and German magazines, Social media, Fairs.

Nationality


Gender

Activities for both sexes


Age

Different packages and activities for young people (youth festival, online-mobile applications ect) and for families (funfair, kids room and menu ect)


Education

The visitor of this market is demanding High educational level and needs Accurate, instant and customized information


Quality assurance, ISO, value, information Promote the activities and events to spend their money! (via internet before trip and via flyers at shops or mobile apps )

Monthly Income


Social media, forums, e-wom in Germany, France

Targeted publicity in selected travel magazines

Travel Information source


http://www.olympialand.gr/


http://www.flickriver.com/photos/cathpain/tags/pentathlon/

Pentathlon Revival




http://tourismsummerschool.org


PRICING


Definition:

The amount of money charged for a product.

Most flexible element of marketing mix

Gets us into the most trouble!

Price


Factors to Consider when Setting Prices


Pricing Strategies


General Pricing Approaches

Cost-Based Pricing

Value-Based Pricing

Competition-Based Pricing


Break-Even Point for a Hypothetical


Customer

Value

Price

Cost

Product

Value-based Pricing


Customer

Competition

Price

Cost

Value

Competition-Based Pricing


Most common pricing techniques include:

benchmarking with competitors

historical factors (i.e. always been free).


Pricing Strategies for New Products

Prestige pricing

setting prices high to position a product at the upper or luxury end of the market

Market skimming

setting high prices at the launch stage and progressively lowering them as the product becomes better established

Penetration pricing

pricing at a lower level to get maximum sales and market share

used when an organization is trying to get maximum distribution for the product or service in the initial stages

129

Price in the product life cycle

Premium Pricing

Skimming

Discount Pricing

Cost plus Pricing

Time

Price

Penetration


Other Popular Pricing Strategies

All-in pricing or all-inclusive pricing

charging consumers a single price for the various products or services on offer

– Example: Club Med

Add-ons

involves charging a low basic entrance fee and recouping profits through add-ons which require that customers pay for each individual attraction

– Example: Calgary Stampede


1euro

Acropolis Museum for the 1st year of operation

Psychological Pricing


How much should a museum visit cost?

• Full price (for anyone who truly doesn’t care about price, and cultural tourists)

• A discounted price (for repeat visitors who care enough to seek out a discount)

• Free (for everyone else: first-time local visitors, anyone who’s not visited their local museum in a long while, kids on school trips, museum members, college students, military families, etc.)


Pricing Questions

- What strategy to make visitors come back?

- Keeping audiences: what comes after a visit, what makes visitors come back?

- How does the museum respond to different audiences?

- How to communicate the experience in house: from security, shop, restaurant, finance to top management

- Investing in services to get more money from the visitors

- Sponsors that are not funding exhibitions but invest in creative experiences

- The sponsor’s experience of how to partner with a museum

http://www.museumstrategyblog.com/museum_strategies/marketing/


Place


Tourism and the Structure of the Tourism Industry

Overseas tourists

Local residents

Intermediaries •Travel agencies •Tour operators (wholesalers / retailers)

Service industries associated with tourism

(privately operated and international tourism industry organizations)

Core tourism industries •Accommodation industry •Catering industry •Transport industry

Service industries associated with tourism

(government institutions)


Connections Between Tourists and Product Suppliers of Different Categories in the Tourism

Government institutions

Travel agencies, tour operators, tourists

Privately operated institutions

Tourism service suppliers

Transport Industry

•Air routes •Water routes (ferries and cruise liners) •Rail routes •Land routes (tourist coaches/car hire)

Accommodation

•Hotels/guesthouses •Villas/holiday villages •Holiday apartments •Camping grounds/campervan parks •Motor inns •Youth hostels

Man-made Tourist

Attractions •Historic memorials •Activity centres •Theme parks •Seaside and canals •Ancient ruins •Religious buildings •Historic buildings

•Travel guide services •Travel insurance and financial services •Travel publications •Travel training and education •Retail shops and restaurants

•World Tourism Organization •Local tourism institutions and statutory groups •Government departments •Travel visa institutions •Travel course and training institutes


Types of Intermediaries Intermediaries are chiefly divided into the two

categories: travel agencies and tour operators (wholesalers and

retailers). Travel agencies

• Wholesalers • Retailers • Inbound travel agencies / outbound travel agencies

Tour operators (wholesalers/retailers)

• Inbound tour group operators / outbound tour group operators • Corporate client travel services • Sightseeing tour companies


Tourism service retail channels commonly found

Three Types of Retail Channels

Unilateral Bilateral Multilateral

Service supplier

Customer

Service supplier

Travel wholesaler

Customer

Travel retailer

Service supplier

Customer

Travel retailer


Designing the Distribution System

Three distribution strategies

Intensive

Exclusive

Selective



Intensive

strategy in which an organization maximizes the exposure of its travel services by distributing through all available outlets or intermediaries

Exclusive

strategy in which an organization deliberately restricts the number of channels that it uses to distribute its product or service to its customers; an effective method for marketing prestige products

Selective

strategy between intensive and exclusive distribution, in which a company uses more than one but less than all of the possible distribution channels



Factors to Consider

Market coverage

Costs

Positioning and image

Motivation of intermediaries

Characteristics of the organization


The Role and Function of Travel Agencies The function of travel agencies includes the following 3 aspects: 1. Providing one-stop travel products 2. It is the most important retail channel for travel products 3. Facilitating customers’ tourism activities and promoting the development of the tourism industry


Foursquare as Distribution Channel

Foursquare aims to encourage people to explore their neighborhoods and then reward people for doing so. They do this by combining friend-finder and social city guide elements with game mechanics — users earn points, Mayorships and unlock badges for trying new places and revisiting old favorites.

As a museum or gallery, you can use foursquare to engage your increasingly mobile visitors with foursquare “Specials,” which are discounts and prizes you can offer your loyal visitors when they check in on foursquare at your museum or gallery. Don’t forget to show extra love to your venue’s Mayor! Additionally, if you offer foursquare Specials to your visitors, you will be able to track how your museum is performing over time thanks to a robust set of venue analytics for free.


Ancient Olympia after becomeolympian

Olympia has a unique internet strategy, supported by the local Hotel Union, creating a new targeted brand.

Olympia is being promoted by social media with becomeolympian in facebook, twitter and flickr

Visitors of www.visitgreece.gr will discover that Olympia offers one of the best experiences Greece can give.

ResultOlympia now is SOME STEPS CLOSER

TO BECOME A DESTINATION a destination.

A project planned, led and promoted by detour (www.detour.gr)

http://www.visitgreece.gr/






Impact of becomeolympian campaign

REAL


http://www.facebook.com/video/video.php?v=161389313880807

http://www.facebook.com/video/video.php?v=161389313880807


your expectations for today? So, what do you admit

Georgia?

Summer School s - Olympia, 2012 I have something to

about Strategic Marketing!


Meet the Customer

Company Customer A D M

E, I STP 4P Social Media

it


ποιοι πρέπει πώς πρέπει δράσεις

να προσεγγιστούν να προσεγγιστούν

Company Analysis Develop

ment IT Customer

The only way to reach the Customer


Thank you!!!


Email: [email protected]


IF YOU WANT TO READ MORE OF WHAT WE ARE THINKING…

www.slideshare.net/GeorgiaZouni

www.academia.com/georgiazouni