Category: Strategy planning & execution

Strategy planning and implementation methods

StrategyStrategy planning & execution

Competitive strategy development

This article is written by Robert Pratten, CEO at Conducttr, founder of Transmedia Storyteller Ltd. and blogger

Plans implemented without a rigorous challenge to the rationale and assumptions behind them run the risk of falling apart. Failure can be costly.

Considering a market entry strategy, for example, a business might make assumptions about how the incumbent will react only to find it is better prepared to fend off new entrants: the incumbent is quicker to discount and bundle its products and it exercises its influence to stall the new entrant’s distribution. Shouldn’t this reaction have been anticipated?

Now imagine using Competitive Strategy Development (CSD): the business creates two teams – one the new entrant and one the incumbent – and they challenge each other over a series of turns. No complicated and expensive market simulation is needed, just the intelligence of the opposing teams and a way to represent the market.

Maybe the exercise is about capturing the airwaves, capturing hearts and minds or capturing shelf space. Whenever battleground, CSD can be easily adapted to develop plans with better critical thinking and commercial resilience. At the end of the strategy session the teams will share their experience of competing against each other: not only the technical approaches but also the mindset, the feelings, the expectations.

It’s always about the people

Earlier this week we demonstrated our Black Swan strategy development suite (so called because of its intention to get teams thinking about the unknowable unknowns) using a scenario based around the arctic circle and the competition for natural resources there. The combination of old school physical cards and counters with technology serves several purposes:

  • Faster to implement
  • Greater immersion
  • Faster review
  • Detailed post-exercise decision analysis.

Placing teams in different rooms or in different parts of the world, they are unable to see the definitive moves made by their opponent and instead must experience their competitor’s tactics as they would in real life – via social media and public news media.

As the exercise unfolds, our storytelling technology generates simulated social media posts and TV reports while all the time allowing the exercise director to interject with her own “live” unscripted simu-tweets and TV reports.

As each adversary makes a move, we used our Android mobile app and NFC-encoded cards to quickly codify the decisions. Scanned cards reduce the time needed to document developments and ensure consistency and contemporaneous data (which is captured on an exercise timeline).

Conclusion

Plans developed in a vacuum usually wither and die at first breath. Far better then to have competing teams develop real implementable market strategies in an adversarial exercise. This approach will ensure more thoughtful, resilient and defendable approaches for the real world.

This article has been reposted with permission from http://www.tstoryteller.com/competitive-strategy-development

Marketing 3.0StrategyStrategy planning & executionTourism marketing

7 Components of a Great Integrated Marketing Program

What is integrated marketing & why does it matter?

Integrated Marketing is a strategy that reinforces your company’s ultimate message and is consistent across all communication platforms. It is important because consumers are present online as well as offline. In the tourism industry, in order to be competitive, you need to be where the traveler is and create relevant content that travelers trust. Unifying all channels of communication is key to having an effective marketing plan.

Here are 7 key components of a great marketing program:

+ Brand Analysis – Prior to implementing a campaign, it is necessary to carry out a brand analysis containing actionable recommendations to improve your look and focus your message. Our in-house design team can also help you update or refresh your current brand and logo.

+ Marketing Strategy – After a thorough analysis, an integrated marketing strategy is developed and will serve as a roadmap for the implementation of the integrated marketing program, which is tailored to the needs of a specific consumer. The strategy will integrate current and targeted use of all channels: social media, search engine optimization, blogging, content, public relations and trade relations.

+ Website and Content Development – Once a consumer finds your website, the goal is to make it so captivating that they want to stay on the site, engage in your content and share it with others. Developing a content calendar and assigning content generation responsibilities will help you decide the type of content to post, where you will post it and how frequently. Finally, try to engage your team, so that everyone participates in the content generation process.

+ Social Media Strategy and Blogging – Social media gives you a place to talk to your consumers before they travel, while they’re on their trip and after they have returned. Social media strategy encompasses social networks, blogs, micro-blogging sites and third party sites. You should determine the best channels to use for your target markets, and what content to post.

+ Creative Campaigns – With all pieces of your marketing foundation in place, it is convenient implement a series of creative campaigns and sweepstakes designed to draw visitors to both your site and social media platforms while synchronizing your marketing message and brand value for maximum effectiveness.

+ PR/Media Outreach Strategy – In this point you should employ simple but effective monitoring tools and indicators to allow you to identify influencers in your market. Then you can “listen” to the conversations taking place online, join ongoing conversations, build trust, and demonstrate expertise. You should also develop a database of contacts and design effective outreach campaigns to reach local and international media, relevant bloggers, guidebooks and sales intermediaries

+ Trade Distribution Strategy – If you work with business to business sales, you should try to take your relationships online by developing a dynamic database that tracks all communication with trade partners; from the initial email/call, to in-person meetings at trade shows, and shares on social media sites by each partner.

A great example of an Integrated Marketing project is the Namibia Online Campaign. The goal of this campaign was to ensure the necessary tools and capacity to combine online marketing activities with their current overall marketing strategy.

This article is re-posted with permission from www.solimarinternational.com/resources-page/blog/itemlist/tag/Integrated%20Marketing%20Program

Culture changeMarketing 3.0StrategyStrategy planning & execution

The Tipping Point’s theory for expanding destinations 3.0 (IV)

Beyond the key ideas of the Tipping point’s theory exposed in the previous articles, there are some case studies that showcase how this theory comes into practice in the real world.

The diffusion model is an academic model of looking at how a contagious idea or innovation moves through a population. For instance, when the hybrid seed was launched to the market, the group of farmers who started trying it at first were the Innovators. The slightly larger group who were convinced by them were “the early adopters”. They were the opinion leaders in the community, a group of respected and thoughtful people who watched and analyzed what those Innovators were doing and eventually decided to follow. After them came the Early Majority and the Late Majority, the deliberate and the skeptical mass, who would never try anything until the most respected ones had tried it first. Finally there came the Laggards, the most conservative of all, who see no urgent reason to change. Plotting that progression on a graph, it forms a perfect epidemic curve –starting slowly, tipping just as the Early Adopters start using the seed, then rising sharply as the Majority catches on.

But many times the contagious spread of a new idea is actually quite tricky. There is a substantial difference between the people who originate trends and ideas, and the people in the Majority group who eventually adopt them. These two groups may be next to each other on the word-of-mouth continuum. But they don’t communicate particularly well. The first two groups –the Innovators and Early Adopters- are visionaries. They want revolutionary change, something that sets them apart qualitatively from their competitors. They are the people who buy brand-new technology, before it’s been perfected or even proved, or before the price has gone down. They usually have small companies and are just starting out, willing to take enormous risks.

The Early Majority, instead, are big companies. They have to worry about any change fitting into their complex business structure. If the goal of visionaries is to make a quantum leap forward, the goal of pragmatists is to make a incremental improvement, some measurable and predictable progress. The word risk is negative in their vocabulary.

Innovations don’t just slide effortlessly from one group to the next. There is a huge gap between them. Actually, all kinds of high-tech products fail, never making it beyond the Early Adopters, because the companies that make them are not always able to scale them to the mainstream market, just because it’s not appealing enough to the Early Majority.

Connectors, Mavens and Salesmen are those who make it possible for innovations to bridge over the gap between both groups. They translate ideas and information from the highly specialized world of the innovators into a mainstream language that everybody can understand. What they do is to highlight the aspects that most matter to the audience, exemplifying through storytelling how the idea could change their lives, dropping the unnecessary information and technical details that could only lead to confusion.

The Innovators fit a different personality type. They feel different. If you ask people what worries them the most, the trendsetters pick up on bigger-picture things, whereas the mainstream people think about being overweight, or how well they are doing at work. They are passionate activists to some extent.

Conclusion

When trying to use the Tipping Point theory to craft a strategy to create some kind of social epidemics, like engaging and gaining stakeholder support to the destination business model, is that efforts have to be concentrated in three groups of people: Connectors, Mavens, and Salesmen, so long as they are responsible for starting word-of-mouth epidemics.

We then have to prepare a message that sticks, which can actually be a story, no matter how short we make it. The learning outcomes of the storytelling technique from previous articles and Whitepapers are essential to understand how the human psychology works in order to create emotional connections with our target audience and move them to take action in the direction we want.

We finally have to understand the power of context, that regardless of our thinking about ourselves as autonomous and inner-directed, we are actually strongly influenced by our social and physical environment, and so all the environment factors matter when preparing for the tipping point to happen.

It’s particularly interesting to take into account the rule of 150 when choosing the target audience, so long as it can be split into blocks in accordance with this parameter, to ensure its receptivity to the message. Working thoughtfully on these points we can shape the course of social epidemics. In the end, Tipping Points are no more than a reaffirmation of the potential for change and the power of intelligent action.

If you are interested in further insights about this topic, I strongly recommend you to read Malcolm Gladwell’s “The Tipping Point”, where you will also find many case studies that illustrate all the concepts and theories among other interesting content.

Culture changeStrategyStrategy planning & execution

The Tipping Point’s theory for expanding destinations 3.0 (III)

Following with the second article presenting the Tipping point theory, where the “Stickiness factor” was explained, this third article explains the third key success factors to reach a Tipping point: the power of context.

The power of context

Social epidemics are very sensitive to the environment and the circumstances of the times in which they occur. The key idea of the power of context is that people are more than just sensitive to changes in context. And the kinds of contextual changes capable of tipping an epidemic are very different than we might ordinarily suspect.

For instance, Wilson and Kelling argued that crime is an inevitable result of disorder. If a window is broken and left unrepaired, people walking by will think that no one cares. Soon, more windows are likely to be broken, and the sense of anarchy spreads out from the building to the whole street, and further to the rest of the district, sending a message that anything goes.

The Tipping Point in this epidemic it’s something physical like graffiti. The motivation to engage in a certain kind of behavior is not necessarily coming from a certain kind of person but also from a feature of the environment. The essence of the Power of context is that our inner states are the result of our outer circumstances.

Thinking about “How much influence does immediate environment have on the way people behave?”, Philip Zimbardo –from Stanford University- concluded that there are certain times, places and conditions when our inherent predispositions can be swept away, and that there are circumstances where you can take normal people from good schools and happy families and good neighborhoods and powerfully affect their behavior just by changing the immediate details of their situation.

What this study suggests is that the convictions of our heart and our thoughts are eventually less important in guiding our actions than the immediate context of our behavior. Environmental Tipping Points are things that can be changed: we can fix broken windows and clean up graffiti and change the signals that first invite to vandalism or other kind of undesirable behavior.

Judith Harris has convincingly argued that peer influence and community influence are more important than family influence in determining how children behave. Their behavior is powerfully shaped by the environment out of their family, and the features of their immediate social and physical world –the streets they walk down, the people they encounter –play a huge role in shaping who they are and how they act.

More specifically, hereby we analyze the critical role that groups play in social epidemics. Psychologists say that when people are asked to make decisions in a group, they come to very different resolutions than when they are asked the same by themselves. When we’re part of a group, we’re all susceptible to peer pressure and social norms and other kinds of influence that play a critical role in sweeping us up in the beginnings of an epidemic.

The spread of any new and contagious idea also has a lot to do with the skillful use of group power. It’s easier to remember and appreciate something if you discuss it for two hours with your friends. Then it becomes a social experience and an object of conversation. On the other hand, peer pressure is much more powerful than a concept of a boss. People want to live up to what is expected from them. When each person has a group-acknowledged responsibility for particular tasks and facts, greater efficiency is inevitable.

The rule of 150 is an interesting example of the strange and incredible ways in which context affects the course of social epidemics. There is a concept in cognitive psychology called the channel capacity, referring to the amount of space in our brain for specific kinds of information. We have a channel capacity for feelings, and there is also what could be called social channel capacity. So what does correlate with brain size? According British anthropologist Robin Dunbar social group size is what correlates with the size of our brain. If you look at any species of primate the larger their neocortex is, the larger the average size of the groups they live with.

Dunbar’s argument is that brains evolve, they get bigger, in order to handle the complexities of larger social groups. If you belong to a group of five people, then you have to keep track of ten separate relationships: your relationships with the four others in your circle and the six other two-way relationships between the others. That’s what it takes to know everyone in the social circle.

Humans socialize in the largest groups of all primates because we are the only animals with brains large enough to handle the complexities of that social arrangement. Keeping things under 150 has proved to be the most efficient and effective way to manage a group of people. When the group gets larger than that, people become strangers to one another. They’re knit together, which is very important if you want to be effective and successful at community life. If you get too large, you don’t have enough things in common, and then you start to become strangers to one another and that close-knit fellowship starts to get lost. Above the 150 Tipping Point, there begin to be structural impediments to the ability of the group to agree and act with one voice.

If you are interested in further insights about this topic, I strongly recommend you to read Malcolm Gladwell’s “The Tipping Point”, where you will also find many case studies that illustrate all the concepts and theories among other interesting content.

Culture changeStrategyStrategy planning & execution

The Tipping Point’s theory for expanding destinations 3.0 (II)

Following with the first article where the Tipping point theory was introduced, and the first point “The law of the few” was explained, this second article explains the second key success factor to reach a Tipping point: the stickiness factor.

The stickiness factor

Whereas the law of the few focuses on the nature of the messenger, the stickiness factor puts the focus on the content of the message and its capacity to become compelling, practical and personal. Only then it becomes memorable. As I explained in the Whitepaper “Marketing destinations through storytelling”, where the secret of successful stories was revealed, crafting a compelling story is an art, attainable only for especially talented individuals. This applies to the messages too, to make them stick.

To figure out how to create sticky messages, we should further deep into the storytelling technique. First of all, why do we like stories? We like them because they provide answers to our lives and a mechanism to shape our identity by connecting with the story characters. We connect emotionally with the story characters as long as they have similar challenges and values, and thus we regard them as a representation of ourselves. Stories not only help us building our identity but also work like social glue, as they help us in connecting with others and building relationships. Stories are the most effective way to create an emotional connection between brands and consumers.

Further, humans process information more efficiently when this is delivered through a story, and therefore this information is more likely to be remembered in the form of a story.

Stories can change our way of thinking and influence our feelings. They can drive an organizational culture change by opening people’s minds and building capacity of mutual understanding to enhance cooperation. They also have the power to make people envision a better future and how to overcome all the obstacles. Stories are pull strategy, as they allow people to decide by themselves, which is a key success factor of effective influence.

The art of persuasion consists on uniting ideas with emotions, and emotions are best conveyed through the form of a compelling story. Arousing the audience’s emotions spurs energy in them and moves them to take action. This is the power of storytelling.

Compelling stories are those that not only move people to share and take action but also engage the audience in a way that they are willing to follow up with the story with more chapters. Such kinds of stories are like the marketing diamond all marketers dream of, because they not only boost conversions, but also virality and customer loyalty.

To sum it up, as Aristoteles said, compelling stories need to have ethical appeal, emotional appeal and logical appeal to connect with the mind, heart and human spirit of the audience. Beyond the story itself, skilled storytellers have the ability to connect with the audience and convey the emotions embedded in the story. How the message is delivered is as much important as the content of the message itself. By telling the story with passion, enthusiasm and expression, the audience is more likely to get engaged. Besides, great storytellers have the ability to turn “me” into a “we”, by telling stories that shine the light on a concern that both the teller and the audience share. This connection creates empathy and opens people’s hearts, hence appealing to their human spirit and enhancing commitment in taking action.

There is no magic formula to reach the Tipping point to trigger the social epidemic, but there are many factors, strategies and tactics that increase the chances to make it happen, according to those who have studied the marketing contents that go viral. The main key success factors are:

Promise of practical value inspires people to share knowledge that may be useful to others. Either it is a matter of generosity or a matter of a will to be perceived as smart and helpful, inherent practical value works as a social currency that fosters relationships among people. For some people, it makes them feel like insiders having privileged information.

Specific topics related to the dreams, aspirations and challenges of specific audience segments, inspiring them and spurring discussion among their community. These may encompass warnings, inspirational stories, advise, special deals and opportunities.

Inspiring strong emotions of laugher, amusement, anger, surprise, inspiring solidarity or uniting people for a common cause are powerful drivers of virality.

According to a survey carried out by The New York Times, the top motivators for sharing were:

  • 75% said that sharing helped them better understand news they were interested in
  • 85% said that the comments they got from sharing provided them more thought
  • 94% considered how helpful a link would be to another user
  • 68% shared as an advertisement for themselves, to give others a sense of who they are
  • 73% said it helped them find people with common interests

Based on these factors and other considerations, there are three strategy recommendations:

Design your content to provoke an emotional reaction. Arousing a sense of amusement, surprise, anger, solidarity or affection is likely to foster sharing among the audience.

Create content that provides real value. As aforementioned, stories may address some of the audience’s needs, challenges or aspirations, providing know how and inspiration for their personal lives.

Embed features that facilitate virality. Incorporating interactive features in the content is likely to foster more engagement, and this leads to virality.

Finally, there are some common mistakes you should avoid if you want to boost engagement and virality: being offensive, asking for likes, talking about yourself and being too obscure.

You may find further information on this topic in the Whitepaper “Marketing destinations through storytelling”, freely downloadable in www.envisioningtourism.com

Marketing 3.0StrategyStrategy planning & executionTourism marketing

Brand Planning Should be the CEO’s Baby

This article is written by Bill Baker, Chief Strategist at Total Destination Marketing, author, speaker, and blogger at “Small City Branding around the world”.

At the conclusion of a presentation on place branding, I was approached by the CEO of a mid-west Chamber of Commerce who lamented that their brand planning had resulted in a bland and uncompetitive outcome. To my surprise, the CEO went on to take the blame himself by saying, “I made the mistake of delegating the project to our marketing manager and not taking responsibility to drive the process myself.” I’m sure that he hasn’t made the admission within his community or to his Board, but it’s commendable that he recognized this as being a major factor in the brand’s mediocre result.

The president, executive director, or CEO of the organization leading the effort on behalf of the community must be actively engaged in every aspect of the brand planning and development, and breathe vitality into the assignment. We have found that the only way for the brand to take off is having a leader who “gets it” and has the passion, authority, skills and vision to make it work. If he or she takes a passive role, the brand will almost certainly fail.

Understandably, there may be many legitimate distractions that consume the CEO’s time. However, the brand is at the heart of every activity directed toward the way the place will present itself for years to come, so it is worth every minute that he or she can devote to it. While the CEO may want to delegate aspects of the day-to-day management of the process to others, he must remain intimately involved in crafting and managing the strategy.

This article is re-posted with permission from http://citybranding.typepad.com/city-branding/page/2/

Culture changeStrategyStrategy planning & execution

The Tipping Point’s theory for expanding destinations 3.0 (I)

As it has been explained in previous articles as well as in the Whitepapers, the success of destinations 3.0 is based on growing and expanding a network of varied stakeholders who contribute in different ways to the destination’s business model development, as innovators, content creators, brand ambassadors, etc.

Creating and developing such a network is probably the most daunting of all the challenges in the destination 3.0 journey. Malcolm Gladwell’s Tipping Point explains a theory on how social epidemics and trends work, through the power of influence of three types of characters: Mavens, Connectors, and Salesmen, disregarding the support of the technological means. This theory may serve as a basis for understanding how this stakeholder network development can be achieved, so long as it is possible to craft a strategy to make it happen.

The theory states that social epidemics take place following three common characteristics: contagiousness, little facts causing big effects, and the existence of a turning point in the expansion of the epidemics, also called “the tipping point”. Besides, it identifies three key rules in spreading social epidemics or trends: the law of the few, the stickiness factor, and the power of context.

“The law of the few” says that a group of people with exceptional skills are the ones who create the trend and spread it throughout their community; “the stickiness factor” says that there are some ways to make a message compelling and contagious to create an outstanding impact; and “the power of context” explains how the environment turns to be a key factor to determine human behavior. These three rules can provide us with guidance on how to reach a tipping point in spreading social epidemics.

The law of the few

Understanding why some ideas or messages turn viral and others don’t starts by understanding how people are connected to each other, and findings show that there are different types of people, who connect in different ways and bring different types of value to their community.

Connectors are individuals with an extraordinary knack of making friends and acquaintances. This type of people is important not only for the number of people they know, but also for the many kinds of people they know. They are gifted with an instinct that helps them relate to the people they meet. Therefore, when looking for a job, new information, or new ideas, acquaintances turn to be more useful than friends, because these acquaintances are more likely to live in a different social or professional environment than yours, hence more likely to know many things that neither you nor your friends know.

The closer you are to a Connector, the more powerful, wealthier or the more opportunities you are likely to get. The closer an idea or a product comes to a Connector, the more chances to succeed it has as well.

The Maven, instead, is someone who accumulates knowledge. In recent years, economists have been studying Mavens, so long as if marketplaces depend on information, the people with the most information are among the most important to research on. They are who keep the marketplace honest. They are not just information collectors, once they figure out how to get that deal, they want to tell you about it too, initiating discussions with consumers and responding to requests, becoming helpers in the marketplace. Mavens are teachers, but also students. They are information brokers who share knowledge and create the message to be spread out by Connectors.

Finally, the Salesmen are those especially skilled to persuade the community members on to their way of thinking, to adhere to the new idea or trend and join the social epidemic. What sets them apart from average people is the number and the quality of the answers they have to the objections commonly raised to what they preach.  These persuasive skills relate more to the non-verbal than to the verbal communication, and consist of the ability to express emotions and to be emotionally contagious. People with this ability are also called “senders”.

The rest of the Tipping Point theory is to be explained split in three upcoming articles.

Marketing 3.0StrategyStrategy planning & executionTourism marketing

Creating a Baseline to Measure Your New Marketing Results

Tourism marketing is an exciting activity. We also know that marketing can be a stressful activity, especially when asked to prove the worth of marketing activities or to justify the budget & spending by the CEO. More so, someone anonymous has famously said, “You cannot manage what you cannot measure”. So do not worry; we’ve got you covered.

In the simplest definition, marketing is concerned with conveying the value of a product or a service offered by a firm through a variety of activities to a potential customer. This in turn, generates a demand, ending in a sale for that product or service. In a nutshell, marketing triggers demand, and demand triggers sales. Marketing, just like other business activities should be planned, and a planning cycle usually follows these following four stages:

Esquema marketing

The first stage is concerned with the current situation, and the second stage is concerned with the desired positioning for the firm or its products. The strategy emerges out of the gap between the first two stages and informs a strategic direction. The third stage, “How do we get there?”, simplifies the strategy into attainable goals, and sets objectives and targets to measure marketing activities to reach the desired positioning. The fourth stage, “Are we getting there?”, measures the marketing activities in relation to the goals and analyzes if the planned activities are helping accomplish the strategic vision. This analysis helps create the new “current situation”, and the planning cycle repeats itself.

It is crucial to continuously pursue marketing activities in this planning framework as it helps a firm to be innovative and remain competitive in the marketplace. The importance of planning for marketing is indisputable. However, it is equally crucial that the baseline created to measure your new marketing results is suitable for your firm or it’s offerings due to the uniqueness of each entity. The three steps to measuring your success are: a) Define success: KPIs, b) Track your performance, and c) Measure your performance against the KPIs. They are discussed more in detail below:

  1. Define success: the key performance indicators

Since the marketing strategy and activities will vary from business to business, it is essential for a business to define what “success” means to them in practical terms and how it will be measured. This means, that a firm should design key performance indicators and set relevant targets for each. A key performance indicator (KPI) evaluates success of a particular activity. Therefore, depending upon your Marketing initiatives, key performance indicators should be designed tailored to your needs.

To design a KPI, one should ask two questions: what is our strategic or operational objective by pursuing this activity, and how do we know that we are meeting that objective. For example: If the operational objective of a business is to reach 25-30 year old market for sales to a theatre dinner via Facebook ad, the KPIs will be “The number of 25-30 year old consumers reached via Facebook ad”, and “the number of tickets sold to consumers in the age category of 25-30”.

  1. Track your performance

Upon defining success, one should ensure that proper metrics are in place to track your performance overtime. Once again, the metrics will vary activity by activity, and they will need to be customized in accordance to your KPIs. For example, your sales system can generate a report on the 25-30 year old market to see how you performed and Facebook metrics can inform how vast your reach was. Another example is an excel spreadsheet to track your social media reach. See example below:

Quadre sobre marketing

However, depending on the KPIs, new tools and methods of data collection will be required to track your performance.

  1. Measure your performance against the KPIs

Once you input the data into the tracking system, you can compare it against your KPIs to see the progress and/or if the marketing efforts have materialized. This step is the moment of truth as it informs the new “current situation”, and takes you back to the stage 1 of the continuous planning cycle. This step allows you to understand which activities worked and which ones did not, you can uncover trends & patterns, see if the strategy you set out to achieve is feasible and working, or if the firm needs to rethink the targets or the key performance indicators. The results from the analysis inform new choices for the firm, which are vital for maintaining competitiveness in the market.

In summary, a firm needs to define “success”, design KPIs, track their performance as needed, and measure it to see the impact of the marketing efforts.

This blog post is from http://www.solimarinternational.com/resources-page/blog/itemlist/tag/Marketing%20Training

Marketing 3.0StrategyStrategy planning & executionSustainabilityTourism trends

The Evolution of Destination Management

In the 1950s, before affordable jetliners helped to launch the modern-day tourism explosion, the world experienced 25 million international tourism arrivals a year. Today, as the world population has grown significantly and people, on the whole, have more disposable income, that number has jumped over 1 billion. Before the advent of the Internet, destinations tended to focus mainly on promotion to maximize visitation. In an era when trip choices were more limited, promotion was often all that was needed to capture the visitor dollar. Now, however, travel options have increased exponentially, and the impact of technology has dramatically altered the provision of visitor information, both prior to and after arriving at a destination.

Tourism destinations have begun to appreciate the need to better manage the whole visitor experience as they realize that success can translate into repeat visits, longer stays, increased spending and positive word of mouth. The Internet has brought much more information to the traveler’s fingertips, making destination management even more important. Destinations must be better organized and promote themselves more effectively and more often to stay ahead of the curve.

According to the United Nations World Tourism Organization (UNWTO), the role of governance in tourism is undergoing a shift from a traditional public sector model that promotes government policy to a more corporate model that emphasizes efficiency, return on investments, the role of the market, and partnership between public and private sectors. Regarding the last of these, there has been a greater emphasis on public/private partnerships in recent years as destinations learn that both parties must be equally involved.

In response, destination management organizations (DMOs) have begun to form comprised of both public and private sector stakeholders. DMOs are often the only true advocates for a holistic tourism industry in a place, and in this role, they ensure the mitigation of tourism’s negative impacts to the environment and local communities as well as the sharing of opportunities for a vibrant exchange of people. In fact, a DMO may best serve to facilitate dialogue among the private sector, public sector, and other stakeholders that may otherwise never collaborate or understand how their decisions reverberate down a destination’s long tourism value chain.

So what have we as tourism development professionals learned in the past 50 years? How have we evolved into better destination managers? Better organization, equal inclusion of the private and public sectors, and building local capacity all contribute to making tourism more sustainable. Here are some basic lessons we’ve learned:

Communication counts. Residents need to understand why the historic site or natural landscape they see every day represents a potentially important economic benefit for them. Managers need to understand locals’ needs and concerns. Tourists need to learn the significance of what they see, why and how they can help preserve it. It is best when locals help with this interpretation, as the process increases their ownership of the story. And finally, the rest of the world needs to understand the value of the place. No better messengers exist than those enthusiastic home comers with travel stories to tell.

Planning counts. Without planning and public education, the incentive to protect can easily degenerate into mere exploitation. There is a need to see the whole picture from the beginning and focus on long-term goals throughout the process.

Management counts. Just letting tourism happen likely leads to trouble, especially when visitation soars. Dispersing tourists and timing their access can mitigate crowding. Encouraging tourists to stay overnight instead of making quick day trips can increase local economic benefits. High-quality tourism rather than high-volume tourism conserves rather than exploits.

Individuals count. Behind institutional reports and government memos hides a key reality: individuals make huge differences. Success or failure easily depends on a dedicated local person working tirelessly to inspire others, organize them, and keep the process moving.

Communities count. People who live in gateways hold the key to create a “virtuous circle,” whereby tourism’s contribution to the economy generates incentives to conserve the resources that keep tourists coming. It may be necessary to have some kind of forum, such as a sustainable tourism stewardship council. Top-down schemes imposed from the outside don’t work well, if at all. Locals must own part of the process.

It is uplifting to watch destinations and industry practitioners begin to understand how best to harness the power of tourism and use it for better, not worse.

This blog post is from  www.solimarinternational.com/resources-page/blog/itemlist/tag/Destination%20Management?start=10

Environmental sustainabilityStrategyStrategy planning & executionSustainabilityThird sector and social sustainability

Destination Management Planning Initiative for the Colonial City of Santo Domingo, Dominican Republic

Tourism contributes significantly to the inflow of people and to the infrastructure development at cultural heritages. It is both a duty and an act of self-interest for the tourism industry to be invested in the conservation of these heritage sites. This cannot be handled by an external force; rather, the local stakeholders need to embrace the concept of sustainable tourism management using a “destination approach”.

Local destination management organizations (DMO) are usually in the best position to advocate holistic tourism development. They work to facilitate communication between different types of stakeholders, as well as to present commercial and community demands to policy-makers. For cultural heritage sites, without economic investment it can be difficult to maintain conservation of the site from internal and external pressures. For that same reason, destination management cannot effectively be carried out without the involvement of the local community. To do so, consultants are usually hired, by carrying out a Destination Management Plan. In their work, they focus their efforts on the following goals:

  1. Enhanced understanding of the operational structure and understanding of the potential of a DMO by local managers and other stakeholders.
  2. Active use by local asset managers and guides of the tools for development and implementation of a Sustainable Tourism Strategy.
  3. Increased knowledge of local managers on structuring tourism management using a “destination” approach.
  4. Integration of all the parties involved in the planning, development and management of sustainable tourism, using a destination approach for the conservation and empowerment of local communities.
  5. Implementation of the proposed governance structure for the DMO, achieving interagency agreements and work commitments.
  6. Design and implementation of mechanisms for the operation of the proposed governance structure.
  7. Development of an Action Plan as a basis for the strategic implementation of the Sustainable Tourism Strategy and Strategy for the Development of a DMO.

These goals will be achieved in part by hosting some workshops in order to:

  • Conduct a thorough analysis of the current situation based on an analytical framework for sustainable tourism;
  • Create a shared, strategic vision, mission, and priorities for a DMO for the Colonial City; and
  • Develop a comprehensive strategy for the management of sustainable tourism that unites all Colonial City stakeholders around a common vision.

To achieve the Colonial City’s conservation, economic and social objectives there first needs to be a shared vision. The Colonial City, the place where native, European and African cultures had their first encounter and left their combined marks, has suffered from natural disasters and most importantly, human impact. Land conversion, the development of underground transport, visitation facilities and tourism itself are taking a toll on the old city.

A successful strategy is one that was developed by the people who will be implementing it. Upon completion of the analysis of the current situation and after achieving consensus on the vision for the Colonial City and the DMO, the Sustainable Tourism Strategy and Strategy for the Development of a DMO will be drafted. The strategies will emphasize the promotion and protection of cultural assets in the destination management practices, as they are crucial in attracting higher-spending tourist segments and maximizing tourist contribution.

The destination management planning development and implementation aims to minimize the possible negative impacts of tourism, improve economic and social development, and preserve cultural heritage sites so that they can share their tales for many more years to come.

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