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Tourism Marketing for Cities and Towns. Using Branding and Events to Attract Tourists PDF

308 Pages·2006·1.138 MB·English
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Butterworth–Heinemann is an imprint of Elsevier 30 Corporate Drive, Suite 400, Burlington, MA 01803, USA Linacre House, Jordan Hill, Oxford OX2 8DP, UK Copyright © 2006, Elsevier Inc. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Permissions may be sought directly from Elsevier’s Science & Technology Rights Department in Oxford, UK: phone: (+44) 1865 843830, fax: (+44) 1865 853333, You may also complete your request on-line via the Elsevier homepage (http://elsevier.com), by selecting “Support & Contact” then “Copyright and Permission” and then “Obtaining Permissions.” Recognizing the importance of preserving what has been written, Elsevier prints its books on acid-free paper whenever possible. Library of Congress Cataloging-in-Publication Data Kolb, Bonita M. Tourism marketing for cities and towns / Bonita M. Kolb. p. cm. Includes bibliographical references and index. ISBN 0-7506-7945-X (pbk. : alk. paper) 1. City promotion. 2. Tourism—Marketing. I. Title. HT325.K65 2006 659.2’930776—dc22 2005022585 British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library. ISBN 13: 978-0-7506-7945-9 ISBN 10: 0-7506-7945-X For information on all Butterworth–Heinemann publications visit our Web site at www.books.elsevier.com Printed in the United States of America 06 07 08 09 10 10 9 8 7 6 5 4 3 2 1 Working together to grow libraries in developing countries www.elsevier.com | www.bookaid.org | www.sabre.org PREFACE Tourism Marketing for Cities and Townsteaches readers how to develop a city’s brand to attract tourists and their spending. The brand that is developed will use a city’s already existing tourist attractions, distinctive cultural features, natural beauty, and/or heritage. These unique features plus the available tourist services can then be packaged together and promoted to tourist segments, including day visitors, business travelers, and traditional tourists. To create this branded package the reader must learn how to analyze the urban tourist product, target the correct visitor group, research their needs, and then develop a promotion plan. Special emphasis will be given to designing a promotion plan using branded events and tourist packages targeted at specific tourist segments. What is unique in this book’s approach is that it encourages those study- ing or working in tourism to view tourism development as a community-based effort to encourage economic development. Partnering with other city organ- izations and tourism businesses in planning events will provide the tourism office with additional resources. Collaborating with public groups will help to ensure that the community feels involved rather then isolated from the tourism industry. This information will be of especial value to smaller cities and towns that do not have a developed tourist industry. Particular attention is given in the book to the concept of analyzing the city as a product. The city’s main features, tourism services, and image are all care- fully discussed because a thorough analysis of the city as a product is essen- tial to developing a successful marketing strategy. Numerous checklists are provided of ideas for features and services that can be incorporated into a branded image. In addition to targeting potential tourists, the book contains information on promoting the city as a tourist destination to tour companies and convention-planning businesses. xv xvi Preface This book is a combination of theory and practice. The theory is introduced first, but each chapter quickly focuses on how marketing can be implemented to develop tourism. In every chapter, numerous examples are presented of cities and towns that have successfully utilized branding and packaging to attract tourists. Of particular interest to teachers and practitioners is the inclu- sion of worksheets at the end of each chapter. The worksheet questions can be used immediately to put into practice student or practitioner ideas. When completed, the worksheets will form the basis for a strategic marketing plan. This book is intended for students enrolled in tourism and travel programs. Specific classes in which it could be adopted include those on urban tourism, tourism marketing, destination marketing, and general tourism and travel mar- keting. The book could also be helpful in urban studies programs. Because many cities and towns rely on cultural facilities to attract tourists, the book would also be of value in cultural or arts marketing classes. Practitioners in the fields of travel and tourism, city management, economic development, and destination marketing will find this book useful in implementing their job responsibilities. In addition, practitioners in arts marketing will find this book helpful in targeting tourists as part of their audience development strategy. The organization of the book follows the marketing process. The first chapter explains the history of tourism marketing and presents a broad overview of the subject. Chapter 2 discusses marketing theory and provides information on how to analyze the external environment for threats to the tourism industry and opportunities of which tourism marketers can take advantage. Chapter 3 goes into great detail on how to analyze the city by means of the concept of a core, supporting, and augmented product. How to analyze all of the information from the environmental analysis and the product analy- sis for strategic marketing opportunities is covered in Chapter 4. Chapter 5 examines how to segment potential tourists into groups based on external and internal characteristics, while Chapter 6 examines the motivation of tourists in choosing destinations. To attract tourists it is important to understand their needs, so Chapter 7 covers the topic of tourism research. Chapters 8 and 9 describe ideas on how to package and brand the city as a tourist product. Tourism promotion via advertising, public relations, sales incentives, direct marketing, and websites is covered in Chapters 10 and 11. Chapter 12 describes how to promote to tour companies and convention-planning busi- nesses using personal selling, trade shows, and familiarization tours. In addi- tion the chapter covers budgeting and ideas for collaborative efforts with neighboring cities and the state tourism office. 1 CHAPTER Tourism to Cities and Towns CHAPTER OBJECTIVES • Examine the history and current status of urban tourism. • Establish the connection between tourism and economic development. • Explain the application of marketing concepts to tourism promotion. • Introduce the purchase process and its connection with targeting visitor groups. • Present the relationship between branding and promotion. TOURISM MARKETING DEFINED Although marketing is a new field of academic study as compared to such fields as chemistry and philosophy, marketing is not a new human activity. After all, people have always produced surplus goods or services that they wanted to barter or sell. To do so they first needed to find someone willing to make the exchange. The practice of marketing simply takes this basic human behavior and plans its strategic implementation. 1 2 Tourism Marketing for Cities and Towns Tourism is also a new field of academic study, but it too is an activity with a long history. After all, people traveling to visit other places is not a recent phenomenon. As early as the religious pilgrimages of the Middle Ages, seeing the sites was always a part of the reason for undertaking a trip. The marketing of tourism is simply applying the appropriate marketing con- cepts to planning a strategy to attract visitors to a destination, whether resort, city, region, or country. While there are many definitions of marketing, the definition used by the American Marketing Association on their website, www.marketingpower.com, perhaps defines marketing best: “the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational goals.” The definition describes marketing as an exchange that satisfies both the individual (the visitor) and the organization (in this case, the city and its cit- izens). Unfortunately marketing is sometimes misunderstood as only selling; with the city convincing the tourist to visit even if they really don’t want to come. While selling is an important part of promotion, there would be no long- term gain for a city to focus only on convincing people to visit without first making sure the city offers the experiences they desire. Even if a city used high-pressure sales techniques to convince tourists to visit, this would be a shortsighted strategy because tourism success relies on repeat visitors. A tourist swayed by a sales pitch that paints an unrealistic picture of what the city has to offer would most likely be unhappy with the experience and not visit again. The definition states that the marketing exchange should also meet the needs of both the city and those who live there. The city has a mission to provide for the needs of its citizens, including maintaining the infrastructure, providing for public safety, and encouraging economic development. There- fore developing the city as a tourist destination should be undertaken only if the economic benefits improve the quality of life for the city’s citizens. The economic benefits tourism can provide include increasing tax revenue so that more money is available for infrastructure maintenance, attracting visitors who may someday relocate to the city, and providing for economic development through attracting new businesses. Therefore marketing cities is providing a product that meets the needs of visitors while improving the quality of life for the city’s citizens—the primary mission of the city. Tourism to Cities and Towns 3 What’s in a Slogan? Topeka by Any Other Name . . . The City of Topeka decided they needed a new marketing campaign to attract tourists, so they assembled a committee of 11 citizens to provide ideas on an appropriate brand image. The group decided to focus on Topeka’s railroad heritage and the importance of freedom, themes that were to be incorporated into a logo and slogan. To involve the community in the process of developing the campaign, the group then requested ideas for slogans from local residents. Good suggestions were received, such as “Topeka, a great place to grow” and “Topeka, the beat of the heartland.” Sorry to say, not everyone had such a positive view; or else they just had a sense of humor. Other sugges- tions included “Topeka, not as bad as you think” and “Topeka, you won’t get a lot of unwanted relatives visiting you.” It is not anticipated that the last two will be used! (Topeka Capital-Journal, 2004) Questions to Answer • Do we have a slogan we can use in promoting our city? • If we do, when was our slogan last reviewed? • If a new slogan is needed, how can we involve the community in its development? HISTORY OF URBAN TOURISM The activities of cities and towns have always been of interest to both visitors and those who stayed at home. Postcards of city scenes produced in the late 19th century were designed to show Main Street bustling with markets, parades, and festivals. In fact, when Main Street developed, one of the most important criteria in planning the layout of a building’s site was to maximize the traveling public’s exposure to each business (Francaviglia, 1996). The marketing of places in the United States can be traced back to the selling of the western frontier to American citizens. Once the railroads had connected the populated east with the sparsely populated west, efforts were initiated to motivate people to travel. The “See America First” movement, an early example of such an effort, was started to encourage U.S. citizens to use the new cross-continental railroads to visit the west. To meet the needs of the new tourists, entrepreneurs first built luxury hotels in places such as 4 Tourism Marketing for Cities and Towns California’s Yosemite Valley that duplicated the luxurious ambience of eastern resorts. While enjoying the natural splendors was the first inducement to tourism, it was only a short time later that experiencing the excitement of the new cities, particularly San Francisco, became the reason to travel west. Early promotional messages contrasted the adventure of exploring the cities of the United States with visiting the old civilizations of Europe. A good example of this approach was used by the See America First movement, with the slogan “See Europe if you will, but See America first” (Shaffer, 2001). The construction of the transcontinental railroads also led people to settle permanently in the vast geographic region between the two coasts. These fledg- ling towns located in the United States heartland marketed to easterners to encourage them also to move west. Many cities were successful in attracting visitors by marketing the advantages of their new town in comparison with other, older, established cities. For example, the city of Wichita, Kansas, grew from 50 people in 1870 to 40,000 in 1888. This growth was the result of a col- laborative effort between the local newspaper, businesspeople, and civic organ- izations that positioned Wichita as a new, and better, Chicago (Ward, 1998). Growth in Urban Tourism The recent growth of the tourism industry results from three social changes: development of the transportation infrastructure, increased disposable income, and improved access to communication technology. The development of the transportation infrastructure allowed tourists to easily visit locations that were once considered remote. In addition, more people now have sufficient dispos- able income to use for travel, the cost of which has meanwhile decreased due to competition between companies in the tourism industry. Access to improved communications technology has also sparked a growth in tourism. People now have an increased awareness of different countries and cultures. This awareness can in part be credited to the vast amount of global information provided by the Internet. This knowledge of other people and cul- tures, combined with convenient transportation systems and the necessary income to fund the trip, means more people are motivated to travel to new destinations, including cities. These three social changes—transportation systems, increased disposable income, and communications technology—have increased the number of people traveling and also the frequency of travel. This overall increase in tourism provides an opportunity for even a small city or town to develop as a tourist destination. However, for this to happen, cities and towns need to understand marketing strategy. Attracting tourists will occur only if the city or town has a desirable product that is properly branded and promoted. Tourism to Cities and Towns 5 Everyone’s Heard of Vancouver BC, But What about Vancouver, WA? What happens when everyone has heard the name of your city but thinks it’s someplace else? When Hilton Hotels decided to open a $73.1 million hotel and conference center in Vancouver, Washington, just across the border from Portland, Oregon, they realized they had a problem. To sell the Hilton as a conference destination, they would have to sell the city as a location. Fortunately, since the hotel is the key to revitalization of downtown Vancouver, business leaders were happy to help in develop- ing promotional materials that would portray a new, vibrant image for their city. A year before the hotel was even opened the city had already pro- duced a brochure with a short history of Vancouver and a map of local businesses. The Hilton used this promotional material to help attract conferences. The hotel and the community are working together because each has an interest in ensuring that both the hotel has customers and the city has visitors (Nelson, 2004). Questions to Answer • Is the name of our city distinctive in any way? • Does it have any positive or negative associations? • Is the name of our city similar to that of a better-known city? • How can our name be incorporated into a slogan that can be promoted to tourists? TOURISM AND ECONOMIC DEVELOPMENT The idea of using tourism to encourage economic development is now new. The City Beautiful movement, which was influential at the beginning of the 20th century, maintained that physical improvements to a city’s infrastructure would in turn help to improve social relations among its citizens. Of course the recommended improvement projects, such as civic centers, parks, and street improvements, cost money that taxpayers were not always willing to spend. Therefore those involved with the movement reminded local citizens, particularly those with businesses, that not only would the improvements make the city a more pleasant place in which to live, they would also attract tourists. The movement’s supporters argued that these visitors would then 6 Tourism Marketing for Cities and Towns spend money that would increase business revenue and therefore indirectly benefit all citizens (Cocks, 2001). The same argument is still being made today. While cities welcome the money spent by visitors, tourism is not the total answer to improving the economic health of economically troubled cities and towns. However, it can be one part of the solution to increase business revenue and provide employment opportunities. Developing a tourism industry can also change the image of the city, and this new more positive image can be the catalyst for other positive economic changes, such as attracting new residents and new businesses. Economic Health of Cities and Tourism Development Cities can be described as being in one of three stages of economic health: economically strong, in decline, or in transition. An economically healthy city will have expanding business and industry sectors that induce new residents to move to the city because of employment opportunities. Such a city probably will already have an established tourism industry because its positive image attracts tourists. In fact local residents might even complain about the nega- tive effects caused by the many tourists visiting the city. Warhol in Slovakia? Although Andy Warhol’s parents were both born in Medzilaborce in eastern Slovakia, he never even visited the city. However Medzilaborce decided there was enough connection to brand itself as “Warhol City.” How was this strategy implemented? Tourism officials had nine houses and four bus stops in the town center decorated in Warhol’s signature pop style. Photos of the houses and bus stops were then used on the city’s promotional materials, including giant billboards. Surprisingly, in a place that was never even on the tourist map, the Warhol Family Museum of Modern Art now welcomes 10,000 visitors a year (Reid, 2004). Questions to Answer • Was anyone famous, or infamous, ever born or ever live in our city or the surrounding geographic area? • If not, have such a person’s relatives been born or lived here? • If so, how can we use their association with our city in promoting our image to potential tourists? Tourism to Cities and Towns 7 However, there are two reasons that even economically strong cities must still think about promoting their image. First, if their tourism strategy is suc- cessful, it may be copied by a competing city that offers similar attractions with less crowding. Second, even if the city has no fear of competition, a change in the public’s opinion of the city or a desire for a new experience can cause a decline in tourist numbers. For these reasons, even cities that are suc- cessful tourist destinations must remember that marketing is an ongoing effort. On the other end of the spectrum are cities that have lost businesses and industry and are in economic decline. This decline may be because the indus- tries have become outdated or because businesses have moved elsewhere, taking with them jobs and tax revenue. The result is an out-migration of the city’s residents, who must look for new opportunities in other cities. Many of the citizens still living in the city will suffer from a high level of unemploy- ment and as a result need a variety of social services. Unfortunately the city is less prepared to meet these needs because of the loss of tax revenue. To find the funds to help unemployed citizens, cities often must neglect maintaining the city’s physical infrastructure. This neglect results in a further decline in the city’s image. This type of economically depressed city may find it too difficult to attract tourists because of the neglected infrastructure and the city’s negative image. If the city does put its resources and energy into developing a tourism market, it can result in developing a tourist enclave surrounded by an economically depressed community whose residents feel shut out from any benefits tourism might bring. The Importance of Saying It and Meaning It “I Love New York” and “Virginia Is for Lovers” both have instant asso- ciations in people’s minds because the slogans have both been in use for more than 25 years. One of the secrets to successful branding is to ensure that the slogan and logo are remembered, by using it frequently over a long enough period of time. In addition, what the slogan says about the city must actually be true. Whether the new Dallas slogan of “Live Large, Think Big” or San Francisco’s “Only in San Francisco” is successful remains to be seen. However, it may be Columbia, South Carolina’s new slogan of “Where Friendliness Flows” that will last the longest. Why? Because the city is having hotel workers, waiters, and taxi drivers take “friendliness” training so that the slogan will be more than just words (DePasquale, 2004). (continued)

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