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Page 1: Source: Shutterstock, Inc. (Angela Waye). Source

Chapter 10Destination Integrated Marketing

Communications

Source: Shutterstock, Inc. (ollyy).

Source: Shutterstock, Inc. (Angela Waye).

Page 2: Source: Shutterstock, Inc. (Angela Waye). Source

Learning objectives: Chapter 10

• Describe the elements of the basic model of communications.

• Define integrated marketing communications and explain the benefits that DMOs derive by following this approach.

• Identify and elaborate upon each of the major components of integrated marketing communications.

• Explain the importance and roles of advertising in promoting a destination.

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Learning objectives: Chapter 10 (Continued)

• Describe how personal selling is essential for DMOs in securing business from specific market segments and identify the roles of personal selling in destination marketing.

• Review why public relations and publicity are required for a DMO to build and maintain relationships with its multiple publics.

• Identify DMOs’ internal and external publics.• Point out the roles played by sales promotion and

merchandising for DMOs.

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Learning objectives: Chapter 10 (Continued)

• Describe the different sales promotion and merchandising techniques.

• Identify the main digital marketing techniques and venues.

• Explain the concept of crowdsourcing and the different ways that this concept can be applied in destination integrated marketing communications.

• Elaborate on the relationship between movies and films and destination marketing and development.

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Learning objectives: Chapter 10 (Continued)

• Review the concept of theme and event years as a basis for DMO integrated marketing communications.

• Discuss the steps involved in the planning, implementation, and evaluation of an IMC campaign.

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Elements of the basic model of communications

• Sender: the sender of the communication to the intended receiver is the DMO or its vendors (e.g., advertising agency).

• Encoding: to make the DMO message in the communication appealing and to get the receiver’s attention, the DMO must design an arrangement of words, graphic images, sounds or music.

• Message: the basic idea that the DMO wants to communicate to the intended receiver.

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Elements of the basic model of communications (Continued)

• Medium: the specific channel in which the message is placed by the DMO or its vendors. This could be a website, a magazine, a TV program, etc.

• Receiver: the intended target of the DMO’s communication within a particular audience. This could be pleasure travelers, planners of business events, travel trade professionals, or others.

• Decoding: how the receiver interprets the message from the DMO. Each person may take a unique meaning from the message and how it has been encoded by the DMO.

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Elements of the basic model of communications (Continued)

• Feedback: the response given back by the receiver to the sender (a phone call, e-mail message, SMS, filling out a web-based form, through the mail, by visiting in person, etc.

• Noise 1: the receiver may not notice or pay attention to the DMO’s message. The message may not get through to the intended receiver.

• Noise 2: barriers to receiving the communication on the receiver’s side due mainly to distractions that cause the person not to see or pay attention to the message.

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Audience SideDMO Side

The Basic Model of Communications

Sender Message andMedium

Receiver

Encoding Decoding

Noise 2Noise 1

FeedbackCompetition Distractions and lack of interest

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Integrated marketing communications (IMC) definition

• Integrated marketing communications or IMC is the coordination and integration of all of a DMO’s external communications and promotions to increase their effectiveness and consistency. This is much superior to using each IMC component separately and independently.

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DigitalMarketing

PublicRelations

andPublicity

Sales

Integrated Marketing

Communications

Advertising

SalesPromotion

Merchandising

Integration of DMO Communication

Components

Source: Shutterstock, Inc. (Marafona)

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Benefits of IMC

• Greater consistency in communication messages: the major benefit from using IMC.

• Added impact since messages are repeated: if the same or a similar message is passed through multiple channels, there is a much greater probability the message will get to the receiver successfully.

• Reflects different customer buying stages: audiences have people spread across all the buying-process stages, it is better for the DMO to be simultaneously using all of the IMC components.

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Benefits of IMC (Continued)

• More effectively puts across positioning and branding: Using all of the IMC components in a consistent way more convincingly communicates the destination’s chosen positioning and branding approach.

• Better accommodates different consumer learning styles: when used together IMC components accommodate all different consumer learning styles.

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Benefits of IMC (Continued)

• Components complement and support each other: the weakness of one IMC component is compensated for by using other IMC components.

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Outstanding Quality of Communications from Switzerland Tourism

Source: http://www.myswitzerland.com/en/home.html

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Advertising

• The placement of persuasive messages by a DMO in any of the mass media to remind, inform or persuade potential pleasure travelers, business event planners, travel trade companies, and others to consider the destination for future travel.

• Destination advertising plays three major roles for DMOs:

q Informingq Persuadingq Reminding

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Importance of advertising

• For some DMOs advertising occupies a significant share of the total budget for marketing and promotion.

• Advertising can be instrumental in building destination awareness in the early stages of the destination life cycle.

• It can also be crucial in more mature destinations that are facing intense competition.

• In the intermediate stages, advertising may not be as important as other IMC components.

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Sales (personal selling)

• Sales or personal selling involves communications between DMO sales staff and prospective customers (prospects).These communications can be face-to-face, by telephone or SMS, by e-mail or an instant messaging program, or through other web-enabled services.

• Personal selling or sales is very important for certain DMOs, especially those that have a strong focus on attracting business events.

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Roles of personal selling

• Promoting to travel trade, associations, corporation, and other groups.

• Providing detailed and up-to-date information to event planners and travel trade.

• Maintaining a personal relationship with key clients.• Identifying decision makers, decision processes,

and qualified buyers.• Gathering information on competitors.

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Activity Measures

• Number of bids• Trade shows

attended/exhibited• Sales missions• Familiarization tours• Number of sales calls• Number of client site

inspections• Client events• Sponsorships• Number of accounts

with activity

Performance Measures

• Leads• Bookings (hotel

events/citywide and convention center events)

• Lost opportunities• Cancellations• Number of leads per

trade show attended/exhibited

• By-year production• Post-event measures

(total attendance; room night pick-up)

• Tentatives

Productivity Measures

• Personnel productivity metrics (number of leads per sales manager; number of bookings per sales manager; number of booked rooms per sales manager

• Repeat business ratios• Cost productivity

metrics• Lead conversion ratios• Convention

booking/room supply ratio

• Demand ratios for total room nights sold

Measures of DMO Convention Sales

Source: Destination Marketing Association International. 2011. Standard DMO Performance Reporting, pages 7-12.

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Public relations and publicity

• All the programs and activities that a DMO initiates or participates in with the purpose of maintaining or improving its relationship with other organizations and individuals.

• Publicity is a PR technique involving non-paid communications of information about the destination of the DMO.

• Internal public relations includes communications with local tourism sector stakeholders, community residents and non tourism sector stakeholders.

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BoardMembers

Members

Staffandstaffmembers’families

Unions

Tourismsectorstakeholders

Otherstakeholders

Localmedia

Customersandpotentialcustomers

Tourismsectorcompanies

Media(external)

OtherDMOs

Governmentagencies

Tourismeducationalinstitutions

InternalPublics ExternalPublics

DMO’s Internal and External Publics

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Roles of public relations and publicity

• Maintaining a positive public presence: the DMO definitely wants to ensure that the destination has a positive image externally, and within the destination as well.

• Enhancing effectiveness of other IMC components: getting publicity enhances and extends the effects of other IMC components.

• Handling negative publicity: a destination can receive negative publicity for a number of reasons including natural disasters, civil unrest, acts of terrorism, outbreaks of serious illnesses, etc.

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Sales promotion and merchandising

• Sales promotion: approaches used by DMOs to give short-term inducements for people to visit and special communication methods and techniques not included in other promotional components.

• Merchandising: retail merchandising materials and point-of-purchase advertising done by DMOs in places such as visitor information centers, transportation terminals, attractions, and accommodations.

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Roles of sales promotion and merchandising

• Getting people to come to the destination for the first time.

• Increasing off-peak demand.• Increasing demand in periods that coincide with

major events, vacations, or special occasions.• Encouraging travel trade intermediaries to make a

special effort to sell the destination.• Helping sales staff get business from prospects.• Facilitating travel trade intermediary marketing.

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SpecialCommunication

Methods

SpecialtyAdvertising

Sampling

TravelShowsandExhibitions

MerchandisingMaterials

EducationalSeminars

Audio-VisualMaterials

SpecialOffers

Coupons

Price-Offs/”Sales”

Contests,Sweepstakes,

Games

TravelTradeInducements

RecognitionPrograms

ContinuityPrograms

Sales Promotion and Merchandising

Techniques

Source: VisitBritain, 2011

Sweepstakes examplefrom Britain

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Travel shows and exhibitions

• ITB Berlin, Germany• World Travel Market, London, England• The Motivation Show, Chicago, USA• Salon Mondial du Tourisme, Paris, France• BIT, Milan, Italy• FITUR, Madrid, Spain• Arabian Travel Market, Dubai• MITT, Moscow, Russia• Rendez-vous Canada• China International Travel Market, China

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Canadian Tourism Commission’s ‘Rendez-vous Canada’

Source: Canadian Tourism Commission, 2012

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Digital marketing

• The use of digital-format information and communication technologies to liaise with various audiences, to provide destination information, and to promote the destination.

• Digital marketing has quickly become one of the most important DMO communication components.

• Nowadays many DMOs use digital as the platform from which to build all other IMC components.

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DigitalMarketing

Websites

E-Mail

SocialNetworkSites

TravelerReviewSites

Blogging

MobilePhones

OtherICTs

Digital Marketing Techniques and Venues

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Websites

• Usersessions• Uniqueusers• Pageviews• Averagesessionlength

• Searchenginereferrals

• Searchengineplacement

• Sign-upstomaterialsandregistrations

E-Mail

• E-mailsdelivered

• Openede-mails

• Clicksanduniqueclicks

• Forwardede-mails

• Unsubscribes• Conversionrates

SocialNetworks

• Facebook(‘likes,’pageviews,uniquepageviews,activeusers,conversions,etc.)

• Twitter(followers,retweets,‘mentions,’conversions)

• YouTube(channelviews,videoviews,subscribers,etc.)

MobilePhones

• Messagesdelivered

• Conversions• Downloadsofmobileelectronictouristguides,METGs

• ActivitylevelsfromMETGs

Performance Measures for Digital

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Viral marketing

• Viral marketing means the original message is spread even further by other people via social media channels.

• The Philippines Department of Tourism’s, “It’s more fun in the Philippines” advertising campaign is a good example.

• People added their own interpretations to this Internet “meme” and DOT provided a template to assist the spread of new ideas, http://itsmorefuninthephilippines.com/.

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Crowdsourcing

• The definition of crowdsourcing is to outsource a task to a group (crowd) of people; in this case, to individuals outside of the DMO.

• For example, the DMO invites local people to upload written materials and photos of their favorite places, experiences, and activities in the destination (e.g., ‘There’s nothing like Australia’).

• Another way is to invite tourists to submit photos and stories of their trips to the destination and then to award prizes for the best ones.

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‘There’s nothing like Australia’ Campaign

Great crowdsourcing example from Tourism AustraliaSource: Tourism Australia, 2012

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Theme year and event marketing

• Several national DMOs have adopted a strategy of consistently having theme years to heighten the interest of tourists in visiting their countries.

• The Gathering 2013 (Tourism Ireland) and Homecoming 2014 (VisitScotland) are two examples of theme years.

• Normally the theme year incorporates one or more major festivals and events that help to build the excitement and appeal of the theme.

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Advertising and Sales Promotions for China World Expo Tourism Year

Source: Beijing Sunny Communications and CNTA, 2009

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Homecoming Scotland 2014

“In 2014 Scotland welcomes the world to join in the exciting Year of Homecoming. In addition to the Commonwealth Games and Ryder Cup, there's our year-long programme of events and activities to showcase all that's great about Scotland; mouth-watering food & drink events, lots to get you active in our great outdoors plus spectacular arts, cultural and ancestral heritage to explore. Whenever you come and wherever you visit, you’ll be very welcome so join us and be part of Homecoming Scotland 2014!” (Source: http://www.visitscotland.com/see-do/homecoming-scotland-2014/)

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Movie and film development

• People like to visit the places where famous movies and films were shot.

• Some destinations have recognized this phenomenon and use movies and films as part of their promotions.

• Other destinations have gone even further and put tourism development and marketing together with film development and marketing, knowing the synergies that can occur between the two.

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Planning integrated marketing communications

• Set IMC campaign objectives• Estimate a tentative IMC campaign budget • Consider partnership model and potential partners• Determine mix of IMC components • Design and test IMC campaign • Prepare final IMC campaign• Develop a final IMC budget • Launch, maintain and monitor IMC campaign • Measure and evaluate results of IMC campaign

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Summary

• The basic model of communications highlights some of the difficulties and challenges for DMOs in getting their messages across to the intended audiences.

• IMC is the coordination and integration of all of a DMO’s external communications and promotions to increase their effectiveness and consistency.