social networks and online travel marketing

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online marketing strategy & use of social media & technology How destination stakeholders can utilize online tools for increasing their networks’ competitiveness & offer value to their customers? Themis Papadimopoulos, MBA Olympia 31/7/2012

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3rd Tourism Summer School @Olympia, Greece 2012, presentation about Online Tourism Marketing Thanx to Nicholas Christakis for his research.

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Page 1: Social Networks and Online Travel Marketing

online marketing strategy & use of

social media & technology

How destination stakeholders can utilize online tools  for

increasing their networks’ competitiveness

& offer value to their customers?

Themis Papadimopoulos, MBAOlympia 31/7/2012

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No1 = REALISE (online) NETWORKS(& connect them with information & destinations)

No2 = change the way you approach online

travel till today

No3= experience with real

online case studies

Our 3 Goals

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WHAT a (SOCIAL) NETWORK IS?

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social networks are online communities of

people who share information, common interests and activities.

Only that?Lets see Nicholas Christakis theory

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“Human populations are both highly

cooperative & highly organized.

Human interactions are not random but rather are structured in social networks.

Importantly, ties in these networks often

are dynamic, changing in response to

the behavior of one’s social partners”

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Networks = (LIVE) organisms with

a dynamic cooperation

We also find that, when networks are dynamic but are updated only infrequently,

cooperation again fails.

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However, when subjects can update their network connections frequently, we see a qualitatively different outcome:

Cooperation is maintained at a high level through network rewiring.

Subjects preferentially break links with defectors and form new links with cooperators, creating an incentive to cooperate and leading to substantial changes in network structure.

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Social networks display certain empirical regularities—

in settings as diverse as villages, schools & workplaces:

variation in the degree distribution (number of social ties),

transitivity (the likelihood that two of a person’s friends are in turn friends),

degree assortativity (the tendency of popular people to befriend other popular people),

reciprocity (the increased likelihood of an outbound tie to be reciprocated with an inbound tie from the same person),

& homophily (the tendency of similar people to form ties).

Question? Was Olympia a network?

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Olympia- 776 BC- 393 ADthe first network?

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So, are you OK (with networks)?

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Does networking come natural?

“Man is a political (social) animal”

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Physical human tendency for building communities

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What about online networks?

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We create online communities

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Information Age (2003)

Information

Technology

Pop Culture

Soft Power

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2012 • Everything is

connected• Communities

are networks • Networks

have to be approached as networks

• Eg. Prof. Gummesson spoke about network marketing

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So, don’t we live in the Network Age?

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Every network cooperatesand information is the main “topic” of a network

What are the tools of our networks?

What was the information – communication evolution?

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Troy Mycenae 1100 BC

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Marathon Athens 490 BC

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social media….

…is aptly expressed as: “a many-to-many

mediated communications model in which consumers can

interact with the medium, firms can provide content to the medium and, in the most radical departure from traditional marketing environments, consumers (people) can provide commercially oriented content to the medium” (Hoffman and Novak, 1996, pg. 1).

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When discussion is about information then..

SEARCH is the answer

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How people should behave?

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How business have to behave?

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Lets get connected to the travel industry

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Destination as networks

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Sources of information, use of social networks and channel selection are presented across the travel categories and decision stages.

It is clear that Internet information

search, travel booking and social

networking are pervasive factors. many have tried to map out the relations…

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Travel is social according to a forthcoming PhoCusWright (2010a), 80% of American travellers enjoy travel discussions regarding own experiences. From a travel marketing perspective, reviews and video/photos have a direct impact.

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Social traveller

A social traveler makes considerable use of social media (social content and social networking) for discovering, reading, searching and sharing all travel and tourism related information. The social traveller is recognized by increasingly sourcing content and input from social travel sites.

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online social networking

Many definitions of online social networking from various researchers and authors can be

concluded as “a platform that enables users to publicize personal information and to connect with others with similar interests” (Kasavana, Nusair and Teodosic, 2010, p.65).

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How online users behave in Travel?

1. Before their arrival

2. During their stay

3. After their departure

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1. search behaviour before the decision of visiting a destination (e.g.

visit intention, planning, online image of the destination, information that destination stakeholders produce, how much information influence the decision, sources of information, infomediary role and importance, purchase behaviour, information dissemination, communication, online purchasing, infostructure)

• destination online services assessment (how easy and secure it is to find the right packaging and buy online, dynamic packaging, offers, security of transaction, correct pricing)

Before

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During

2. Satisfaction (did the user receive online satisfaction before his booking/ arrival at the destination? websites quality, contact personnel response, LBS, website functionality, usability)

• Congruence between image conception and perception (does the online image of the destination meet the expectations of the traveller during his stay at the destination based on his perception during the information search stage? (does he interact with the locals, do online offers influence him to consume more, what is he expecting from the locals)

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AFTER

3. And finally- is the consumer –USER- a co-creator of value for the destination or if he is not, what the destination stakeholders should do in order to become?

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What is also obvious is that…

You need to have an offline stimulous in

order to search online

Meaning?

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London Olympiad on google- 29/7

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Ok with that…

Lets now examine the user perspective!

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Tourism experience at a destination

The variables that are used in order to measure the tourism experience at a destination (Medlik & Middleton, 1973; Burkart & Medlik, 1981; Buhalis, 2000). are:

• Tourist behaviour at the destination (travel patterns, tourist behaviour at the destination, revisit intentions)

• Destination Services quality assessment (for Attractions, Accommodation, Catering, Transportation and Shopping)

• Overall Satisfaction• Behavioural Intentions• Demographic Profile of the respondents

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Online travel behaviour…

Is really something BIG to deal with

That happens because the role of every stakeholder is so complicated, so it is very difficult to map the process, channels, users, etc

Of course we can try!!!!! why?

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No1 = REALISE (online) NETWORKS

COMPLETEDand had a short intro to online travel marketing.

Lets get to that better and discover destinations and their

online presence!!!

Goals

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2nd goal..

CHANGE THE WAY YOU APPROACH ONLINE TRAVEL TILL TODAY

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PLANNING• No travel

philosophy.. • No defined

goals• No coherent

quality – necessary content

• No interconnectivity

• Where is the customer?

IMPLEMENTATION

• No completed goals

• No real time information

• No updates• No participation-

user engagement

=Not so good for travel sites

What are the common destination websites mistakes?

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Marketing = value for (our) customer

A definition of destination marketing is how can we give more value to our (potential) guest as a destination & make him DECIDE to come

So online destination marketing is how can we give more value to our (potential) guest as a destination ONLINE & make him DECIDE to come (?)

(& if is planned & long term= sustainable(?)

But today no1. information source is online, so?

Is online mkt= offline mkt??? NO So let’s define them!!!

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The travel environment offline online

A direct approach to travel

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The Tourism phenomenon

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Destination(?)

Home

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what a destination is

All tourists get

somewhere to do

something(Medlik & Middleton

1973)

Place

Destinations are amalgams of

tourist products, offering

experience to the customers

(Murphy et al.2000, p. 44).

Experience

Theories that have

recognized travelers

(customers) as stakeholders are very few (except Buhalis

2000 και Kotler et al.1993).

Travelers

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Planned ACTIONS

that attract travelers by

creating experiences

(?)

DESTINATION

MARKETING

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=

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Destination attraction elements

activities

attractions

accommodationYO

UWhatever destination decides…

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Eg. destination BİTLİS NEMRUT CRATER LAKE

activities

attractions

accommodation

YOU

Whatever destination decides…

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BİTLİS NEMRUT CRATER LAKE Destination marketing

activities

attractions

accommodation

Whatever destination decides…

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Marketing??? Where is our happy customer?

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BİTLİS NEMRUT CRATER LAKE Destination marketing

activities

attractions

accommodation

Whatever destination decides…X

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BİTLİS NEMRUT CRATER LAKE Destination marketing

customer

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Destination marketing no1 goal is customer satisfaction

activities

attractions

accommodation

Whatever destination decides…

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Offline ACTIONS

that attract (before) and satisfy (after) the travelers

So… Offline DESTINATION MARKETING

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Offline ACTIONS

that attract (before) & satisfy (after) the

travelers& WANT TO visit AGAIN = REPEAT

VISIT = THE MO$T tangible GOAL!!!

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Offline mkt conclusions • Every destination has its own id, characteristics,

procedure can not be same.. • We have to decide that we want to do it right • We need a plan and targets. • And follow it- execute it correct. • The first thing we need is…

KNOWLEDGE < RESEARCH (knowledge in strategy is always the sustainable competitive advantage,

right?)

LETS GO TO ONLINE destination marketing…• How do we know that travel websites complete

their targets? Which are our targets?

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ONLINE DESTINATION MARKETING

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is a bit more complicated…we have more & new parameters

here!

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The questions are many

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Formulas are more…

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Information is much more!!

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Online Life cycles are enormous

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Travelers are more than ever!!!

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USER share Online awards!!

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What does this mean?

• What has changed?• Simply that the power NOW is the

hands of the customer- user and NOT traditional destination stakeholders

It is USER GENERATED

AND WHAT ALL THESE HAVE IN COMMON???

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THE USER!! Who now is a prod-uSer!

So what the destination should do for that?

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ONLINEACTIONS

that attract USERS/

POTENTIAL travelers

ONLINE DESTINATION MARKETING

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Why is this change?

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Technology is everywhere!!

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Mobile devices that affect two things!

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Time & money

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in marketing PLANNING terms…

it is not just about PROMOTION

you have to involve it to PRODUCTPRICE

DISTRIBUTION.

= IT CHANGES EVERYTHING….

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Technology & information revolution

1. Time has changed everything INSTANT2. Information is mobile and everywhere3. Systems integration BOOKINGS, SEARCH

4. Transactions also mobile I WANT IT NOW5. Social media is like a telephone line today..6. Social media is not technology… its

distribution= more than necessary!!!

= personalization of services & constant enviroment CHANGE

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So today the travelers are our new stakeholders !!

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A sustainable and competitive destination?

Sustainability = long term planning Competitiveness = technology

adoption (not only in communication)

KNOW the network!!!

KNOW the user/ customerKNOWING THE PRESENT IS LIKE KNOWING THE

FUTURE

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Ok with that?

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ENOUGH with theory

Any SOCIAL practical advice, Mr.?

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Social… Philosophy

First define the online GOAL!!!!

1. Social media is social, you have to offer through them

2. Be real & as instant as you can be3. Assist users as you would like some

help 4. You need TIME- 2-3 months to see

results 5. Be adoptive with planning,

everything changes and needs update online

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Content… is the King!First define the online GOAL!!!!

1. Create unique photos, videos and adopt a timeline to upload

2. Relate your content with destination USP’s

3. Relate your content with your dates / events

4. Make offers, ask for feedback, not customers

5. Interact with the users as much as you can!

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Social Prerequisites 1. Define the …

2. Be patient with results3. It’s a learning experience, just like

bicycle4. Investing money doesn’t mean that you

bring money, you have to learn WHERE to invest it

5. You have to know that you need a PLAN first and follow up with the implementation

6. It doesn’t need a lot, you need to be fully focused on the CUSTOMER = marketing!

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Your… social outcome

1. Define first your preferred outcome* 2. Its like having a new telephone line 3. You have to play and learn with

YOUR product, try and fail, there is no other way (The more you play, the more you learn!)

*Update your goals as you learn

Lets see some goals and online efforts!!

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No2 = change the way you approach

online travel till today

COMPLETED (I hope)

No3= experience real case studies

Goals

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Why?

in order you to be able to

connect - relateinformation with your goals

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Online strategy for destinations

Case study: Ancient Olympia

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2 questions

1. how internet is related with destinations online strategy?

That is OK, we saw it before

2. what a destination can do in the online environment?

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Hereby are the five categories that destinations are promoted online- classified by their online goal.

Α) destinations with basic online presence (many paradigms) Β) destinations with an online management services (DMO) (e.g. Genoa, Italy) Γ) destinations with an online consumer centric approach (mobile, user friendly, applications (e.g. Holland) Δ) destinations that create online campaigns (e.g. Australia)Ε) destinations that are used from companies as a part of their online promotion strategy (e.g. Adidas)

We studied some other case studies

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Online strategy destination matrix

online strategy website/ tools

basic online presence

Online campaign

companies online promotion strategy

online consumer centric approach

Online DMO management e-services

Mobile ΜΚΤ presence

SEO-SEM

Email mkt

Online sponsorships

Social media

Groups/ events

Display advertising

GeoTagging/ Location

Smartphone apps

Content/ Blogging

TOOLS

GOALS

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ποιοι πρέπει πώς πρέπει δράσεις να προσεγγιστούν να προσεγγιστούν

Destination marketing strategy

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Olympia strategy targets

• Increase of duration of stay at the destination

• Increase of individual visitors

• Increase of average spending

Olympia target marketsFrench and Germans

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Olympia target markets’ Online behaviour

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The main goal of the Olympia online strategy

The target of a digital strategy is Olympia to increase its awareness as a classical destination.

Olympia should also try to position itself as one of the top destination and connect its image with Olympism and Olympic Values, Olympic Games and all the communities that exist around the world. This would bring increase of average stay and more visitors, especially during the global events that take place there (Olympic Flame Ceremony etc).

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1st stage: creation of a central website that offers information

•  A creation of a portal and a mobile version (for smartphones) that will bring user closer to Olympia experience: the essence of Olympian athlete and the Olympic winner of the past.

• Next step are the event that will take place in the destination and connect potential customer with the accommodation in the destination.

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2nd stage: related activities creation

Content and time should be proper for what is Olympia related with: Olympic Games and Olympic values. Olympic Flame Ceremony, Olympic Truce is an event that every 4 years attracts the global media. There should be activities related to education, health, food and Olympic Games lifestyle. Some more themes could be peace, philosophy and sports.

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3rd stage: community building

Ancient Olympia fans are around the world. There are thousands of people that admire its ancient values. The destination has to spot them online and engage them.

This could be done with stories that are related with what Olympia represents: history, values, sports, culture, health, game, peace.

The main target of the website is to be the reference point of the destination online. There should be information about the Ilia region, activities, transport, facebook plugin and page, videos etc.

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Online strategy destination matrix

online strategy website/ tools

basic online presence

Online campaign

companies online promotion strategy

online consumer centric approach

Online DMO management e-services

Mobile ΜΚΤ presence

SEO-SEM

Email mkt

Online sponsorships

Social media

Groups/ events

Display advertising

GeoTagging/ Location

Smartphone apps

Content/ Blogging

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phase 1

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Everybody wants a free FB pic!!!

Even Richard Quest does!!

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phase 2

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March – May 2012

Everybody is on FBFB is fair

Users give you power

Pages have more

NOW

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today

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… the Internet combines many of the features of existing media with new capabilities of interactivity and addressability; thus, it transforms not only the way individuals conduct their business with each other, but also the very essence of what it means to be a human being in society (Barwise et al., 2006).

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A. Today information and

Networks are everywhere (&

everything)it is natural

human behaviour

B. destinations are complex

networks indeed

C. try to connect online

your GOAL with the overall natural

network behaviour

… conclusions?

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Hope I didn’t confuse you…

…Much!!!! Thank you!!