Evaluation of Tourism Strategy

Study the market, its structure, identify attitudes and behaviours of consumers, this is the first step of marketing. Among the range of behaviours and characteristics of potential buyers, it is necessary to identify homogeneous groups or segments of customers, assess their importance and possible development.

Market segmentation as a term came up to describe the concept that all customers are not alike. Because in hospitality industry marketing money and resources are limited, it has to concentrate on specific groups of people, or target market, to avoid waste in time, money and quality. As a result, it’s ensuring the highest returns. [1 pp19] The reasons why segmentation is so important for hospitality industry are – more successful use of marketing money, clearer perceptive of the needs and wants of special customer groups, more effective developing of service, greater correctness in selecting promotional vehicles and techniques. [1 pp173]

In conclusion, positioning is a strategic way of selling products geared towards the desires of wanting, needing, owning and obtaining something great. Positioning is how a company presents and differentiates itself, and its product, from competition in order to gain and keep prospective buyers. So it is safe to say that positioning is a strategic way in winning the hearts and minds of consumers for their confidence, and their

They have a very clear strategy for the pursuit of their goal and vision. The market segmentation as well as the identification of target markets is the important element of each marketing strategy at which they are the basis for determining any particular of the marketing mix, which is product, pricing, place and promotion. Market segmentation reveals the company's market segment opportunities. The company has to evaluate the various segments and decide how many and which segments it can serve the best. In evaluating different market segments, a company must consider of three factors, that is, segment size and growth, segment structural attractiveness and also company’s objectives and resources. (Armstrong & Kotler, 2005)

In this chapter, of Management of Tourist Destinations, we will learn the importance of evaluating important factors, which have the most impact by satisfying the visitors and strengthening relationships, to gain maximum benefit through tourism.

As the economy develops, the individualized and diversified demand of tourists is growing. Tourism consumers in different regions, their needs and desires are vastly different, and also change with the change of environmental factors. Travel agencies highlight the characteristics of market positioning, emphasizing the differences, and establish

Tourism plays a vital role in economic development in most countries around the world. The industry has not only direct economic impact, but also significant indirect and influential impacts. There is agreement among experts that the travel and tourism sector is the fastest growing of global economy. According to the latest UNWTO World Tourism Barometer, international tourism receipts surpass US$ 1 trillion in 2011, growing about 3.8%up from 2010 (WTO, 2012).

According to Kotler (2000), “positioning is the act of designing the company’s offering and brand image to occupy a distinctive place in the target market’s mind”. In today’s highly competitive global marketplace, a product will not thrive or survive without a clear competitive distinction (Kotler, 2000). The same goes for tourism destinations, which is why it is crucial to position a destination efficiently and effectively in comparison to competitors.

What is Market Segmentation? According to Investopedia (n.d), market segmentation is a term used in marketing that refers to the aggregating of a potential buyer into groups, or segments, that share common needs and would respond similarly to a particular action in marketing. By utilizing market segmentation it enables Victoria’s Secret to target different categories of consumers who recognize the full value of certain products and services differently from one another. Furthermore, market segmentation is an extension of market research for the purposes of identifying targeted groups of consumers in order to tailor products and branding in a way that it is attractive to that group. There are three general criteria used to identify different market segments: homogeneity, distinction and reaction (Investopedia, n.d).

Market segmentation is a process of segregating the market into different smaller groups. A market comprises of large number of heterogeneous customer base with distinct tastes and preferences. A marketer needs to classify and segment people into smaller homogeneous groups basis similar characteristics, tastes, preferences, likes, etc. so that they will respond in a similar fashion to a particular product launched for that segment. Thus, market segmentation can be defined as, “the sub-dividing of a market into homogeneous subsets of customers from the

Another aspect of impact of tourism on a country’s economy is that it facilitates the expansion of the market of goods and services. Foreigners come to a country willing to spend money on different goods and services, thus increasing the amounts of sales. This is a great chance for producers and service providers to receive larger profits. This concerns not only hoteliers, tour operators, and souvenir shops owners. Public transportation, retail stores of different kind, restaurants, and cafes benefit from international tourism. Obviously, if these industries are in demand, businesses will be expanding. On the one hand, it means that more money is paid to the budget. On the other hand, profits generated by the owners are spent inside the country, affecting almost all the fields of the

Tourism is one of the most exciting and progressive industries in the world. Tourism today is a leisure activity of the masses. People travel to international destinations to break the regular monotony of life. They are mainly attracted by either the scenic beauty of its nature or by fascinating leisure, sports and adventure activities offered by the destination. However, every destination has some internal strengths and weaknesses that either enhance its capacity to attract foreign visitors or diminish it. Similarly the external environment can create various opportunities or exposed to threats as well.

The tourism Industry is considered as one of the fastest developing sectors for the economy worldwide. One of the main reasons of this is the growing numbers of tourist visitation. Tourist undertakes tour in a place outside their usual environment. It is generally said that tourism as a development based industry; it has to protect and support the tourist that is visiting any particular destination. Tourist usually visits in a place with good impressions. One of the factors to influence their impressions is their assurance regarding the safety and security of the place.

Market segmentation is an approach used by a company to select their target market and provide data for a marketing plan. “Market segmentation consist of a two-step process; naming broad product markets and segmenting these broad products-markets in order to select target markets and develop suitable marketing mixes” (Perreault, Cannon, & McCarthy, 2014, p.97). There are 4 categories pertaining to market segmentation; behavioral, geographic, demographic, and behavioral.

The Travel and Tourism industry is still one of the largest single businesses in world commerce and its importance is widely recognized. The tourism industry is now one of the largest sectors earning foreign exchange. In the face of many benefits, many countries have started assigning due weight age to the tourism industry in their national development agenda. Tourism is an industry that operates on a massively broad scale: it embraces activities ranging from the smallest sea-side hotel; to air-lines, multi-national hotel chains and major international tour operators. Originally, non-traditional industries such as tourism emerged as a solution to strike a balance between ecology and industry