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Volume II | Issue no. 4

Engagement and Effectiveness In Tourism Marketing

New media models focus on engaging travel consumers

Unlike old, mass media led strategies, the new engagement model emphasizes effectiveness of marketing communications rather than efficiency. The goal is to really connect with consumers. The media choices leverage their attentiveness, receptivity to ideas, conversations and buzz potential – and help deliver on an authentic brand experience. This is a significant change in communications philosophy – one that diverts media resources to deeper, richer exchanges with smaller audiences.

Today we’re creating more content for fewer people, and spending less to deliver each piece. This is what some insiders are calling ‘narrowcasting.’ Instead of dedicating the bulk of marketing spend to mass media channels such as network television and large circulation print vehicles, we’re diverting increasing dollars by investing in the brand experience, creating our own channels and focusing on tactical executions in a variety of media. The destination itself, its website, blog, Facebook page, Twitter feed, and YouTube channel are all owned media that allow marketers to engage the consumer in appropriate and desirable formats – when and where the audience seeks information. This relationship building approach can deliver a richer brand experience, and fosters consumer advocacy and word-of-mouth recommendations that carry great weight and credibility. Instead of being the center of the marketing communications effort, mass media’s role is now to grow and maintain momentum created by engaging customers.

Media influences on travel purchase decisions

Consumer preferences for travel destinations have always been influenced by media, word of mouth and recommendations from travelers and booking agents. Broadcast media’s influence is shrinking as channels diverge to serve ever smaller segments of the market. In the last 15 years, the Internet has become the foremost influence on the consumer’s decision and purchase process, and continues to grow every year.

How big is the Internet’s influence? According to a June 2007 report titled, “Frames of Reference: Online Video Advertising, Content and Consumer Behavior” (from Online Publishers Association and OTX) the Internet influenced 48-57% of purchase decisions at varying stages of consideration, compared to 20-26% influenced by word-of-mouth and just 18-29% for all other media (radio, magazines, newspapers and television) combined. The market has responded. According to The Yankee Group, television advertising revenue declined 21.2% and 12% in 2008 and 2009, respectively. Meanwhile, internet advertising grew 8.3% in 2009 alone.

Besides influencing purchase decisions, the Internet, websites, blogs, feeds and channels in social networks provide media options that didn’t exist 20 years ago. These are prime examples of owned media: “properties” that destinations and resorts create, manage and use to promote themselves for maximum visibility and deeper connections with customers.

Media Impact Graphic

Delivering communications when and where appropriate

The diagram above illustrates the hierarchy of effectiveness and impact of marketing communications and media’s ability to influence the audience’s purchase decision. For impact and higher return on the marketing investment, communications need to be relevant and believable, from trusted and plausible sources. Owned or ‘earned’ media vehicles such as websites, blogs and reviews are more appropriate for these direct and honest communications than paid media.

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Comments


Christopher Butler June 2, 2010 5:54 PM

Mark,

Great article. Just wanted to let you know that I quoted your point about "narrowcasting" in the comments thread for the article I published yesterday about measurement. I'd just read this when I received that comment and it was the perfect response.

Also, I like the hierarchy of media effectiveness diagram. It does a great job conveying a lot of information in a very simple way, but especially in that it shows how proportionately few "actual experiences" are leveraged in marketing--they occupy the tip of the pyramid (the smallest space), but they have the most impact. Very true.

Chris
Mark Shipley June 2, 2010 9:31 PM

Chris,

Thanks for the kudos. And thanks for the quote. Only wish I was the author. Alan Beberwyck, our chief wordsmith, crafted this month's Wanderlust Report. (I am far from the only person who adds value here at Wanderlust) I did send him in search of the concept of owned -> earned -> paid media, partly because I was swamped with client work - and partly so I'm not the only one here thinking in these terms. He did a spectacular job capturing the essence of what I wanted to communicate without groaning that I dropped this rock on his desk. (thanks again, Alan, for stepping up)

As for the Hierarchy chart, I saw something similar in a presentation given by Tim Williams recently. Not sure where he got it. We've been practicing the concepts behind it for nearly a decade but had never seen it communicated so simply. We adapted it for the Travel & Leisure industry and posted it here. Happy you found it as concise and as informative as we did.
Christopher Butler June 3, 2010 8:50 AM

Mark,

Thanks for letting me know. I apologize for assuming! Alan, great article!

Chris
Alan Beberwyck June 3, 2010 9:42 AM

Chris/Mark: Thanks for the kind words. I can't take all the credit for the ideas behind the article, but I'm happy that our newsletter can open a discussion on such an important issue for the travel marketing industry.
Claus Westh June 8, 2010 7:19 AM

Great article. Have shared it widely around my network. I am going to use the charts in my lectures (quoted off course)

Keep it up!

Thanks/Claus
John Slaughter June 16, 2010 5:58 PM

Great article, going to be sharing it quite a bit. I totally agree with the information. We see the value of creating destination & theme based content/websites to drive visitors. This actually is what our new marketing platform does (as well as the SEO & social media etc.)
Thanks for sharing!
John SGT Slaughter.


John Clifford June 18, 2010 1:02 PM

Mark, great article and some very interesting points to consider. It is interesting to note how the technologies that we all seem to fall in love with and expect huge benefits from seem to complicate our lives in unexpected ways. The evolution will continue to force marketers to think more like publishers and content providers and less and less like strategic brand managers.
Rene Husken June 22, 2010 1:45 PM

Interesting article. I agree that DMO's must be client oriented in their marketing and give a central place to theme based content/websites to drive visitors. Unique content gives a good ranking in searchengines (SEO). I'm absolutely NOT sure what the effectiviness of Social Media could be at the end. I'm participating in some platforms as Facebook, LinkedIn, Twitter etc. My statistics see very few visitors coming to my websites through these channels. Twitter a hype??? Who knows?

Rene Husken
Mark Shipley June 23, 2010 11:32 AM

Claus - Thanks for the good words and by all means, share the charts.

John S - Thanks for the comments and thanks for connecting. It's great to speak with like minds in the industry.

John C - technology does have a double edge sword. I remember when the fax machine first, followed soon after by Fedex sped up the world, and at the same time, reduced the amount of thinking time we all have. And yes, marketers will have to have substance behind their efforts. In the old days, you could get away with making it look good. Today, that is all but a thing of the past.

René - Social media is an enigma and major time suck in its current form. While there are certainly examples of success, I suspect the overall effort being exerted presently is far greater than the ROI. But, there has most certainly been a major shift in the way consumers of just about any category are viewing marketing. Engagement, whether its by poking their minds (the old way) or by interacting (the new way) is the present rule of the day.
Robert Rippee June 23, 2010 1:44 PM

Recently we launched a 2.0 version of a blog for a private island development project in the Caribbean, tcsportingclub.com/blog . The 1.0 version was a highly successful engagement based strategy that communicated real, authentic content to a highly private group of wealthy owners. The results were astounding from an analytics, viral and lead generation perspective. The 2.0 version leveraged the insights gained from the analytics, quantitative and qualitative data to drive even deeper engagement to this group. Unfortunately most brands today really miss this point, conventional marketing strategies don't work unless you are prepared to drive massive numbers of impressions, which most hotels & resorts lack the resources to effectively sustain. As a result case studies like this have much more validity to a sustainable and effective hotel or resort marketing strategy.
Robert Baracz June 23, 2010 1:45 PM

Really appreciated the article. Having lead marketing and sales teams at some of the major attractions in Southern California, I have experienced first-hand the power of the trifecta of word-of-mouth/experience/relationship.
Toby Nash June 23, 2010 1:47 PM

I agree. Having a strong relationship with a customer, and knowledge of the quality products always gives brings me a word of mouth recommendation, and another valuable and grateful customer.
Gregg Marzano June 24, 2010 4:16 PM

Best explanation of what is happening around us as it relates to marketing I have read. I love the "owned media" phrase. Great Job
Mary AnnGrisham July 6, 2010 12:22 PM

Excellent article, and explanation of the shifting landscape of tourism marketing. I love the terms "owned", "earned" and "paid" media. Spot on. The "owned" and "earned" media capabilities level the playing field and allow smaller DMOs/CVBs/properties to compete with their larger counterparts. Keep up the good work.

Alan Martin July 21, 2010 4:31 PM

Word-of-Mouth is massively important in travel decisions but I would also argue that you need both efficiency and effectiveness in your communications to achieve your business objectives.
Tim Davies July 23, 2010 7:41 AM

There is so much competition now in Tourism that the right message has to hit the largest possible target audience as quickly, efficiently and accurately as possible. Word of mouth is immensely powerful but one needs the reassurance of other sources of marketing communications to establish the credibility of a business in travel/tourism.
Rhonda Green September 9, 2010 12:38 PM

I'm finding the traditional ways of advertising in travel magazines and trade journals very costly and largely ineffective, although brochures are still doing a bit for us, but am concentrating most of my marketing efforts on search engine optimization and other web aspects. By far the greatest proprtion of our guests find us on the internet. I'm also getting the impression that publishers of magazines and trade journals are getting a bit desperate for advertisers, judging from the numbers of telephone calls and emails I'm getting asking me advertise in various media, some of them very persistent even after I say I'm not interested.

Jason Stratford September 9, 2010 2:22 PM

Yes I agree that for us bumping up our internet presence has been more succesful than traditional print advertsing/marketing. Especially in the Vancouver market where it is one of the most expensive places in the countries to advertise in print with the Sun/Province and the amount of people that read the paper now is lower so it doesnt give you the same return. For us as we specialise in travel to Australia & New Zealand we believe that instead of saturating potential clients with deals and advertising and endless emails, tat if they want to find a specialist then they will look for one online.
Rhonda Green September 10, 2010 10:43 AM

Yes, and as pointed out by one book on inbound marketing I read recently, conventional marketing tends to interrupt people from other things they are trying to do, whereas internet marketing provides information they are actively seeking and thus likely to pay it more attention
  
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