TOURISM AND

HOSPITALTY
MARKETING
 CHAPTER 1
GROUP 1
“INTRODUCTION TO TOURISM
AND HOSPITALITY MARKETING”
This chapter provides an introduction to tourism and
hospitality marketing. It covers the following
objectives:
1. Defining tourism marketing and its functions.
2. Differentiating tourism products from consumer
products.
3. Explaining marketing as a management process.
4. Discussing the evolution of marketing and the
integrated marketing approach.
 INTRODUCTION
The chapter highlights how marketing has evolved from
trade to production to sales orientation, with a focus on
customer relationships and building connections. Tourism
is emphasized as a significant industry for job creation and
economic growth. The rise of new destinations and the
continuous growth of tourism are discussed, and the
importance of marketing efforts in the travel and hospitality
industry is underscored. The chapter also presents examples
from the Philippines, discussing the impact of the Covid-19
pandemic on tourism and the country's efforts to adapt.
 Furthermore, the chapter explores the
various levels of tourism marketing, from
the overall destination to specific products
and services that contribute to the tourist
experience. It explains that tourism doesn't
sell a single product, but rather a
combination of products and services that
create a comprehensive travel experience
for the traveler.
The examples are:
 Accommodation Marketing: A hotel using targeted online
advertisements to promote its luxurious suites and amenities
to business travelers who value comfort and convenience.
 Restaurant Marketing: A restaurant launching a social
media campaign to showcase its new menu items,
highlighting the use of locally sourced ingredients and unique
culinary offerings.
 Event Venue Promotion: An event venue hosting a bridal
fair to attract engaged couples and demonstrate its
capabilities for hosting weddings and receptions.
Customer Relationship Management: A resort
implementing a loyalty program that offers returning
guests exclusive discounts, room upgrades, and
personalized experiences to encourage repeat visits.

Online Reviews and Reputation Management: A bed

and breakfast closely monitoring online reviews and
actively responding to guest feedback to maintain a
positive online reputation and address any concerns.
 UNIQUE CHARACTERISTICS OF THE TOURISM INDUSTRY
 The tourism industry exhibits distinct characteristics that pose
challenges for marketing. These attributes include intangibility,
inseparability, variability, perishability, seasonality, and
substitutability. These factors influence consumer experiences
and product dynamics. Tourism products cannot be physically
tested prior to purchase and are dependent on visual cues and
reviews. They are inseparable from the consumer's presence
and are subject to variations in experience. Tourism products
are perishable, meaning unsold items can't be stored. Seasonal
shifts impact demand, and competition makes products easily
substitutable.
The industry's high involvement nature requires detailed
decision-making. Marketing is crucial to overcome
challenges and enhance customer satisfaction.

 Marketing is essential to address these unique

characteristics and make tourism products competitive
in a commercialized marketplace. For high involvement
products like those in tourism, marketing helps
consumers understand features, assure quality, reduce
doubts, and manage risks associated with the purchase.
 Intangible: Tourism products cannot be experienced through the
senses before purchase. Consumers rely on photos, reviews, and
promises to make decisions.
 Inseparable: The consumer and the tourism product must be in the
same place, as the experience cannot be separated from the
destination or service.
 Variable: Thetourism experience can vary based on factors like
timing, company, and service quality, making standardization
important.
 Perishable: Tourism products, like hotel rooms and airline seats,
are highly perishable, as unsold inventory can't be carried over to
another day.
Seasonal: Seasonality affects demand for tourism
products due to behavioral patterns, impacting
profitability and rates.
Substitutable: Intensifying competition means one
tourism destination or service can easily be replaced
by another, making loyalty a challenge.
High Involvement: Decision-making for tourism
products involves thorough consideration due to
factors like expense, complexity, and the
unrepeatable nature of experiences.
Tourism products are considered high involvement due to their
expensive, complex, and unrepeatable nature. High
involvement products require extensive thought and research
before purchase, often involving comparisons of brands,
suppliers, and features. Travel products, home appliances, and
real estate fall into this category.

Complexity in tourism products can stem from the variety of

services and jargon used to describe them, making them
challenging to purchase. This complexity is also found in
technical products like electronic gadgets and computers.
The unrepeatable nature of travel, often considered a
"once-in-a-lifetime" purchase, leads consumers to
carefully scrutinize their options. Special events like
weddings and debuts share this characteristic.

In contrast to low involvement products, which are

inexpensive, simple, and familiar, high involvement
products like tourism services require more time for
deliberation, thorough examination of alternatives, and
higher expectations for satisfaction.
 TABLE 1.1 HIGH INVOLVEMENT PRODUCTS VS
LOW INVOLVEMENT PRODUCTS

HIGH INVOLVEMENT LOW INVOLVEMENT

EXPENSIVE INEXPENSIVE
COMPLEX SIMPLE
UNREPEATABLE FAMILIAR
The examples are:
• Intangible: In the hospitality industry, hotels and resorts
face the challenge of promoting intangible features like the
ambiance, comfort, and overall experience of staying at their
property. They rely on photos, virtual tours, and guest reviews
to showcase what guests can expect.
• Inseparable: Restaurants and cafes demonstrate the
inseparability of the tourism product. Guests must physically
visit the establishment to enjoy the dining experience. A chef's
presentation of a meal cannot be separated from the diner's
presence.
Variable: A hotel's quality of service can vary from one
stay to another. For instance, the efficiency of check-in, the
responsiveness of staff, and the overall atmosphere can differ
based on different factors, creating variability in the guest
experience.
Perishable: Hotel rooms that go unoccupied for a night
cannot be sold again on that day, resulting in lost revenue.
Effective revenue management strategies, like adjusting rates
based on demand, help hotels optimize occupancy and
revenue.
 Seasonal: Resorts located in beach destinations might experience
higher demand during the summer months. Hospitality management
teams prepare for such seasonality by offering special promotions
during the off-peak periods to attract visitors.
 Substitutable: In a highly competitive hospitality market, guests can
easily choose one hotel over another based on factors like location,
amenities, and guest reviews. This makes it essential for hotels to
identify their unique selling points and competitive advantages.
 High Involvement: When planning a wedding at a hotel, for example,
the couple will carefully consider various factors such as venue,
catering, and guest experience. The hotel's marketing efforts need to
address these concerns and provide information to assist the decision-
making process.
 TOURISM MARKETING DEFINED
The concept of tourism marketing has evolved beyond advertising
and selling to encompass a range of strategic activities. It's not just
the responsibility of marketing officers but involves every
employee. Customer satisfaction is central, as repeat business
depends on initial positive experiences. Philip Kotler defines
marketing as creating value for customers and building strong
relationships. Marketing tourism is challenging because it deals
with wants, not just needs. Finding, retaining, and growing
profitable customers involves strategies like customer-centered
and relationship marketing.
 The goal is to establish loyal customers who bring repeat
visits and referrals. The American Marketing Association
defines marketing as creating, communicating, delivering,
and exchanging valuable offerings. Tourism and hospitality
marketing are distinct due to unique characteristics like
intangibility and seasonality. It involves designing,
promoting, and distributing destinations, products, and
services to meet the needs of prospective tourists.
The example are:
 Personalized Guest Experiences: In hospitality, marketing involves tailoring
experiences to individual guests. For example, a luxury hotel might use guest preferences
gathered during a previous stay to offer a personalized welcome package with the guest's
favorite amenities and services upon their return.
 Online Reputation Management: Online reviews and ratings greatly impact hospitality
businesses. Effective marketing involves actively managing online reputation by
responding to guest reviews, both positive and negative, to show that the establishment
values feedback and is committed to improving guest experiences.
 Seasonal Promotions: Due to the seasonality of tourism, hotels and resorts often run
special promotions to attract guests during off-peak times. For instance, a beachside
resort might offer discounted rates and additional perks during the rainy season to
encourage bookings.
 Food and Beverage Marketing: Restaurants within hotels can use marketing to highlight
unique culinary offerings. They might host themed dining events, showcase signature dishes
on social media, or collaborate with local food festivals to attract both guests and local diners.
 loyalty Programs: Many hotels have loyalty programs that reward repeat customers with
exclusive benefits, such as room upgrades, discounts, or free amenities. These programs
encourage guest retention and repeat visits.
 Event Marketing: Hotels often host events like weddings, conferences, and parties. Effective
marketing involves showcasing the venue's capabilities, offering package deals, and providing
excellent event planning services to attract event organizers.
 Sustainability Initiatives: Today's travelers are increasingly conscious of sustainability.
Hospitality businesses can market their eco-friendly practices, such as energy-efficient
facilities, waste reduction efforts, and sourcing local and organic products.
 Collaborations with Local Attractions: Hotels can partner with local attractions, such as
museums, amusement parks, or cultural sites, to offer package deals that include both
accommodation and entrance to nearby attractions. This benefits both the hotel and the local
attraction.
 MARKETING AS MANAGEMENT PROCESS
The topic "Marketing as a Management Process" discusses how the
marketing orientation of an organization in the tourism industry should
encompass the entire company due to the simultaneous provision and
consumption of tourism products and services. The marketing
management process includes the following key processes:
1. Marketing Information System: This process utilizes technology to
gather updated information about customers, competitors, and the
organization's capabilities, enhancing decision-making.
2. Marketing Planning: Involves analyzing the marketing environment,
setting objectives, evaluating milestones, and creating marketing
strategies to align company resources with the target market position.
3. Planning Tactical Campaigns: Focuses on executing practical and
tactical campaigns that support the comprehensive marketing strategy.
4. Marketing Operations: Involves implementing planned strategic
and tactical campaigns by coordinating with stakeholders, adjusting
the marketing mix as needed, and ensuring planned activities are
carried out.
5. Monitoring and Control: Encompasses ongoing evaluation of
sales data and financial performance, handling customer feedback and
complaints, and staying informed about competitor actions. This
process-oriented approach ensures effective marketing management in
the tourism industry.
The example are:
1. Marketing Information System: In a hotel, the marketing team uses
technology to gather data on customer preferences, booking patterns, and
feedback. This information helps the hotel tailor its services to meet guest
expectations and make informed decisions about pricing, packages, and
promotions.
2. Marketing Planning: A luxury resort might analyze the market
environment to identify opportunities for expansion. They could set
objectives to attract high-end clientele and evaluate milestones such as the
number of bookings from their target audience. Strategies could include
offering exclusive experiences or partnering with luxury brands to
enhance their market positioning.
3. Planning Tactical Campaigns: A boutique hotel might plan a tactical
campaign during the holiday season, offering special packages that include spa
treatments and gourmet dinners. This campaign supports their overall marketing
strategy of providing unique and personalized experiences to their guests.
4. Marketing Operations: A chain of budget hotels ensures that their consistent
service quality is maintained across all locations. They implement their
marketing campaigns by training staff to provide standardized services, adjusting
pricing to match local demand, and maintaining a uniform brand image.
5. Monitoring and Control: A hotel group tracks their financial performance by
comparing revenue from various marketing initiatives against associated costs.
They gather feedback from guest surveys, addressing any issues promptly.
Additionally, they keep an eye on competitors' actions, allowing them to adjust
their strategies as needed.
 CORE MARKETING FUNCTIONS
These functions collectively contribute to effective marketing,
facilitating the understanding of customer needs, development of
offerings, and successful sales strategies. The core functions of
marketing, encompassing various aspects of business operations:
1. Marketing Information Management: Gathering customer
information to enhance service and decision-making.
2. Financing: Planning to ensure resources are available for business
maintenance and improvement.
3. Pricing: Determining the value and cost of products/services at a
level customers are willing to pay.
4. Promotion: Creating strategies for introducing and selling
products through various promotional techniques.
5. Product/Service Management: Designing, developing,
improving, and acquiring offerings to meet customer needs.

6. Distribution: Ensuring optimal delivery of products and services

to customers.

7. Selling: A critical aspect of marketing success, including

following up on sales, closing deals, and encouraging repeat
purchases.
The example are:
1. Marketing Information Management: - A hotel uses guest
feedback surveys and online reviews to gather insights about customer
preferences, allowing them to tailor amenities, services, and
experiences to meet guest needs.
2. Financing: - A newly opened restaurant plans its budget to ensure it
has sufficient funds for operational expenses, staff training, and
ongoing improvements in facilities and menu offerings.
3. Pricing: - A luxury resort sets room rates based on factors like
location, amenities, and exclusivity to ensure that the perceived value
matches what guests are willing to pay.
4. Promotion: - A spa resort designs a promotional campaign for its new
wellness package, utilizing social media, email newsletters, and partnerships
with travel influencers to attract potential customers.
5. Product/Service Management: - A cruise line continuously updates its
onboard entertainment options, dining experiences, and shore excursions based
on passenger feedback and evolving travel trends.
6. Distribution: - A hotel partners with online travel agencies (OTAs) and global
distribution systems (GDS) to ensure that its rooms are available for booking
across a wide range of platforms.
7. Selling: - A conference center not only sells event space but also provides
support services like audiovisual equipment, catering, and event planning to
ensure successful meetings for clients.
 THE MARKETING MIX

The concept of the marketing mix, which involves carefully

considering consumers' needs and wants to develop a product
or service that satisfies those needs. The marketing mix
consists of four key elements:
1.Product/Service: What the company offers to fulfill
consumers' wants or needs.

2. Price: The value assigned to the product or service,

including both cost and desired profit.
3. Place: How the product or service reaches
consumers.

4. Promotion: The strategy to inform customers

about the product or service and encourage
purchases.
 A well-executed marketing mix allows successful
product or service delivery to consumers.
Additionally, the passage mentions the expanded
marketing mix in tourism, which includes additional
elements such as People, Packaging, and
Programming. This comprehensive approach to
marketing is influenced by technological
advancements and has led to the emergence of
integrated marketing communications.
FIGURE 1.1 THE TOURISM MARKETING MIX

PRODUCT

MARKETIN
PLACE G MIX
PRICE

PROMOTION
The example are:
1. Product/Service:
- A hotel introduces a new "wellness package" that
includes yoga classes, spa treatments, and healthy
dining options to cater to health-conscious travelers.
2. Price:
- A budget hotel strategically sets its room rates lower
than its competitors to attract price-sensitive travelers
while still maintaining a reasonable profit margin.
3. Place:
- A resort partners with a local tour operator to offer
guests convenient access to guided tours of nearby
attractions, making it easier for them to explore the
destination.
4. Promotion:
- A restaurant uses social media platforms and local
food bloggers to create buzz about its seasonal menu
launch, enticing food enthusiasts to try the new
offerings.
INTEGRATED MARKETING COMMUNICATION APPROACH

The Integrated Marketing Communications (IMC)

approach, which emerged due to the need for businesses
to enhance their promotional efforts beyond traditional
advertising methods. IMC involves using all forms of
promotion to achieve optimal communication impact
while maintaining a consistent image tied to products or
services.
Factors contributing to the growth of IMC are outlined:

Changes in consumer behavior due to technology, including

increased Internet use and the shift to smartphones.
Shift in advertising agency compensation to incentive-based
models, driving the need for more effective marketing
strategies.
Influence of big retailers on marketing and promotions,
impacting product choices and pricing.
Database marketing's growth, aided by technology, leading
to improved customer tracking and direct marketing.
The passage highlights that the IMC approach
optimizes resources and results, offering
opportunities for tourism marketers to promote
destinations, products, and services creatively
and effectively. Combining traditional and
digital strategies under the IMC approach
allows for reaching target markets strategically
and achieving company objectives within
budget constraints.
 Marketing Approach
Use of Integrated
Reach Target Market

Figure 1.2 Use of

Achieve Company
Integrated Marketing Objective
Approach
Within Available
Budget
The example are:
 Social Media and Website Integration: - A luxury resort
integrates its social media platforms with its website,
promoting special packages and experiences across both
channels. This ensures consistent messaging and engages
potential guests with appealing visuals and interactive content.
 Email Campaign with Personalization: - A boutique hotel
sends personalized email campaigns to its previous guests,
recommending similar room types or offering loyalty
discounts. By using guest data from their previous stays, the
hotel tailors its promotions effectively.
Event Collaboration and Promotion: - A restaurant
collaborates with a local wine shop to host a wine-pairing
dinner. Both establishments promote the event on their
websites, social media, and in-store, leveraging their
combined audiences and maximizing event attendance.
Influencer Collaborations: - A newly opened café
partners with a popular food influencer to create engaging
social media content and videos showcasing their menu
offerings. This approach increases awareness among the
influencer's followers.
 Consistent Branding Across Channels: - A hotel chain maintains
consistent branding across its website, social media profiles, and
physical brochures. This consistency in design and messaging
reinforces their brand image and improves recognition.
 Mobile App Integration: - A hotel chain develops a mobile app that
allows guests to book rooms, access concierge services, and receive
personalized promotions. The app combines various services to
enhance the guest experience and increase engagement. These
examples demonstrate how hospitality establishments can effectively
utilize the Integrated Marketing Communications approach by
combining multiple promotional tools and channels to create a
cohesive and engaging customer experience.
 THAT WOULD BE ALL
THANK YOU FOR LISTENING
ALILIN, SAMANTHA FAITH
BENSI, AIHRA

GROUP 1
CAÑO, RONNIE JR.
CATIPAY, DAPHNE P.
DELA CERNA, JELLY
DUMAYAO, LEONA MAY I.
GAVIOLA, MARIAN
LOGRONIO, LOVELLA
ROSALES, DENESSE KATE L.
TANEO, KATHLEEN BINGLE