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Promotion and

Marketing of Tourism
and Agritourism
Products

Therdchai (Ted) Choibamroong, Ph.D.


Associate Professor
Foundation Dean and PhD. Program Director
Graduate School of Tourism Management (GSTM)
National Institute of Development Administration
(NIDA), Thailand

Doctor of Philosophy (Ph.D) in Tourism Planning and Management),


University of Queensland, Australia, 2002.
Master of Social Science (M.SOC.SC) (DISTINCTION)
in Tourism Policy and Management, University of Birmingham,
United Kingdom, 1997.
Certificate in Korean Language and Culture, Yonsei University,
Seoul, South Korea, 1995
Bachelor of Arts (BA.) in English,
Thammasat University, Thailand, 1994.

Co-Writer
of the Book Titled; Tourism Destination Governance: Practice, Theory
and Issues (LONDON: CABI) ISBN: 1845937945
Therdchai (Ted) Choibamroong (2011), Chapter 14 - A Stakeholder Approach for
Sustainable Community-based Rural Tourism (CBRT) Development in Thailand, Tourism
Destination Governance: Practice, Theory and Issues, Editors: Eric Laws, Jerry Agrusa and
Harold Richins , London: CABI.

Tourism Expert
in Domestic Tourism Development and Management, United Nations
World Tourism Organization (UNWTO)

Tourism and Hospitality Expert


in Sustainable Tourism Development and Management, Asian Productivity
Organization (APO), Tokyo, Japan

PROJECT DIRECTOR
ASEAN Tourism Databank via Tourism Stakeholder Networks
The Association of South East Asia Nations (ASEAN), Ministry of Commence, Ministry of
Tourism and Sports and the Thailand Research Fund (TRF), The Royal Thai Government

What are we going to share


together within 45 minutes ?
The framework for agri/ tourism
development and management
The possible agri products

Trends in tourism and agritourism


development
Processes of Agritourism Marketing
Agritourism Marketing Strategies

Tourism Products/
Tourism Resources/
Tourism Supply
Management

Tourism Stakeholder/
Mechanism/Network
Management

Tourism Marketing/
Tourism Demand
Management

High Quality/
Sustainable
Tourism
Development

Tourism Service
Quality
Management

Tourism is like an Iceberg.


Development and
Management

Tourism

Mechanisms

Everything

Multidisciplinary

Destinations

Service
Restaurant
Natural
Resources

People

Agro Products

Supporting/
Agro Product
Development

Safety

Activity

Transportation

Hotel/Homestay

What can be considered the


agritourism products ?

1. Rice cultivation

2. Cutting flowers

3. Horticulture

4. Vegetables

5. Herbs

6. Animal Farming

Ostrich Farms
Horse Farms

Buffalo Farms

7. Agri-Product Festivals

8. Agri Communities-Home Stay

9. Agro Research Centers

10 Private AgriFarms

Elephant
riding in
the farms

Learning how to produce wine and taste wine

10 Agricultural Landscape

Intangible Agritourism Products

If you dont know where


you are going, you will not
know when you get there!

Tourism and
Hospitality
Industry

Experience
Industry/
Experience
Economy

Peace Industry

Trends in Tourism Development

From
demand-based to supply-based

Tourism must be like this in the future.


5E
Entertainment
Excitement
Education
Expertise
Experience

5S
Security
Safety
Sanitation
Service
Satisfaction

7 Trends that will transform global


tourism and hospitality, impacting
rural/ agro tourism in Asia

Growth in tourist numbers

Climate Change

Resource shortages
Staying at home
Time versus money
Nostalgia

Cultures

1. Growth in Tourist Numbers


WTO predicts 1.5 billion

airline trips will be made by


the year 2020.
265 Million Chinese couples
aged between 40 and 64
with no dependent children
keen to travel abroad.
Middle class in BRIC
countries are more to
travel.

Tourist Behavior Trends ?


Can rural/agro tourism
supply the demands ?

New emerging markets will demand


more and more.

What they demand is


VALUE =

money value and emotional/ spiritual value

Implications to Agro-Rural Tourism in Asia


We have to revise the concept of rural/agro tourism if it is for only the niche
market or small scale tourism.
Quantity will not be of interest but Quality of visitors.
Attractions will face serve environmental damage and therefore careful
selection of agro/rural tourism destinations must be done.
Rural/agro tourism products need to be well designed for the elderly and
other niche target markets with worth not only money value but emotional
value.

2. Climate Changes
Some destinations would be
under water while some will
be too hot to visit.
Ski resort would vanish.

Implications to Agro-Rural Tourism in Asia


Sealed climate-proof holiday domes will be more in demand.
Indoor areas offering the same benefits of the outdoors will
Be preferred.
Constructions need to fit rural environment.
Tourism activities need to rethink if they are environmentally
Friendly or not.

Should we supply these demands in rural settings?

3. Resource shortages
Expensive fuel for aero planes.
Long-haul flight will become an

expensive luxury enjoyed by


the rich.
Hotel will come under pressure
to reduce their carbon
footprints and conserve vial
resources such as water.

Implications to Agro-Rural Tourism in Asia


Agro/rural tourism should run more environmentally
Friendly activities. Do the local people have enough
Knowledge on this (natural resource management) ?
In rural and agro tourism operation, how can we
enhance the capacity of the local people to take care
of the environment?

How can we educate the tourists?

4. Staying at home
If flying from one places to another

becomes too expensive, too-timeconsuming or to stressful, people will stay


at home.
Travel and tourism will be close to home.
Holiday in virtual worlds on the internet.
Transform homes and gardens into
miniature resorts and entertainment
complex.
Business teleconferencing will become
popular.

Implications to Agro-Rural Tourism in Asia


Agro-rural tourism people need to be able to think
How to turn simple things to be tourism products and
Able to make them interesting and magnetic enough
to attract visitors to come to the destinations.
In promoting the destinations, online marketing will be
more important, how can related agri tourism stakeholders
do it well?

5. Time versus money


The Time-Rich and the Money

Poor will enjoy low cost journey.


The Time-Poor and the MoneyRich will enjoy instant luxury and
relaxation.
We will see backpacker and low
cost airlines sitting alongside
private jets.

Implications to Agro-Rural Tourism in Asia

Agro and rural tourism destinations need to identify


right target market and need to be able to fit the target
Market with the tourism products they have.

Market segmentation or fragmentation ?

Globalization makes the world the


same and high-tech.

6. Nostalgia
Globalization makes all things

the same.
Old things will come back.
All businesses offer
opportunities to go back into
the past will dramatically grow.

Anyone who knows the


differences will have a
great chance to be the
winner in the tourism
industry.

CULTURES
Beyond brand to

identity

Implications to Agro-Rural Tourism in Asia


Agro and rural tourism destinations need to identify
possible tourism products.

Both tangible and intangible ?


Product Differentiation/ Identity ?
Value Adding (Money/Emotion)?

WISDOM /CULTURE
For Tourism
Competitiveness

South Korea

Why Korean foods are so popular recently?

Building crazy-for-Korean cultures


via drama series !

Movie Export

141% Up since 2004

Nami Island

Dae Jung Geum Theme park

In recent years, the Thais


visited SK for more than 10
thousand

The survey shows that Chinese and Taiwanese tourists


visited SK because they are crazy for S-Korean
drama series !
Scene in Full House

Scene in Winter Love Song

Super Stars

H-Technology
Cosmetics

Foods

Car

Korean Language School

Herbs

Surgery
Tae Kwon Do School

This shows that in promoting any kind


of tourism, we cannot do it directly , we
have to have more techniques. Easily
speaking , we have to find the way to
win hearts of the possible visitors.

TOUR I SM

Changing Tourist Behaviors


Past-Present

Market
Profile

Male
Working
High Income

Only Relaxations

Attitude/
Behaviors

Future

Female
Family
Baby Boomers

Buy-Sell online

Hi-Tech
Medias

Low Cost
Airline

Health Concern
Price-based
decision

Online for
Tourism Info.

5E Entertainment
Education Environment
Excellent Service, EMarketing

Give-Take Concept

Tourist/Traveler/Customer/Client
Segmentation

Fragmentation

Segmentation/Fragmentation
By gender
Male
Female
GLBT: Gay Lesbian,
Bi-sexual, Trans-sexual

Segmentation/Fragmentation
By Age

Young
Middle
Young senior
GEN X / Y / Z

Segmentation/Fragmentation
By Family Status
-

Single
Married
Married with Child
Married without Child
DINKs: Double Income with No Kids
LAT : Living Apart Together

This has been proved that the


tourists are now very fragmented.
Therefore, the success in tourism
marketing lies upon the capacity in
grasping and satisfying all small niche
markets.

Many say that the psychological war for tourism


customers in tomorrows destination marketplace will
be fought not over price, accommodations,
infrastructure, transportation and facilities
but over spirits, hearts and minds.

From Hi-Tech

To Hi-Touch

(Tourism Products)
(What to sell)

(Emotional Power)
(What to sense)

Marketing 1.0 = Products/ Marketing 2.0 = Customers / Marketing 3.0 = Spirit of Customers

Effective Tourism Marketing


Communications

Insight
Inspiration
Innovation

Marketing is about anticipating and


identifying the wants and needs of a
target market of consumers, then
satisfying those needs in order to
make a profit as well as satisfaction.

First, the tourism marketer

needs to understand his/her


own products (both tangible
and intangibles at the rural
setting).

This process is called Tourism


Product Analysis (6As, Tourism
System)

The method to be used is


doing a SWOT analysis.

Second, do the marketing analysis.


In this process, undertaking a marketing
research can help you.

The processes start as follows;


1. classifying customers according to socio-economic
status, lifestyle, psychology, gender and so on
(Tourists Market Segmentation)

VFR (Visiting friends and relatives)


General business tourists
Holidays and breaks pre-family
Long holidays tourists
Activity holidays tourists
Group holidays tourists
Backpackers
Students/educators

2. Selecting major and minor


target markets (after
benchmarking/comparing
with other destinations)
consisting of selected
groups of potential
customers, drawn from the
whole population. (Try to

select ones who are not


targeted by other
destinations)

Third, do destination (product)


and market positioning.

The objective of positioning is to create a


distinctive products/destinations in the
minds of potential customers.

A destination position should


relate to images of a destination
in the selected customers mind.

Positioning needs to satisfy


tourists needs and wants and
the destination (product) itself.

Positioning should be
a single-minded concept .

Example of Destination and Market Positioning


Strength and
difference of
destination

Target market that


the destination
selects

MAMA FARM: The best organic mangoes


in the Philippines best for health lovers.

Fourth, pay attention the tourism marketing factors and


think about what to do to fit the destination/ product
and selected target market.

1.
2.
3.
4.
5.
6.
7.
8.
9.

Product
Price
Promotion
Place
People
Planning
Partnership
Participation
Physical evidence

1. Product or service

(How to develop the


product to fit the product and market positioning ?)

Quality
Value (money and emotional value)
Differentiation

2. Price

(How to set price for the product to fit


the selected target market?)

Seasonality (Peak and Green/low season)


Competitor analysis
Skimming (Set it expensive after newly
launched and make it low later)

3. Promotion

(How to promote the product to attract


the selected target market?)

Advertising
Methods use of

different media,
brochures/leaflets, public
relations, sales
promotion, press releases
To gain
attention/interest/desire/
action

4. Place (How to make products to be close


for access by the selected target market?)

Channels of distribution
Getting tourism services to

customers
Retail services such as travel
agents
Electronic methods, such as
the Internet
The growth of technology

5. People

(How to train/develop our people to


sell the products and serve the selected customers
the best?)

Employees (can be a

brand of the
destination)
Management
Culture of organisation
Attitude to customer
service

6. Planning

(Draft a plan to sell the products


more effectively to the selected target markets?)

Vision statements
Mission statements
Deciding on objectives
What are we trying to

achieve? profit, cut the


competition, boost share
of market, enter new
markets and so on

7. Participation
To market the product, allow other
stakeholders to join activities for
marketing purposes.

8. Partnership
To allocate money to do marketing
activities with other stakeholders.

9. Physical evidence
To pay attention to decorations,
architectures of shops or destinations to
make products different from others.

Selected
Tourism Marketing Strategies

CRM: Customer Relationship Management

ccc

(newsletters/ membership)

CEM: Customer Experiential Management

CESR: Corporate Environmental Social


Responsibility

(To pay back to society)

Competitive Promotional Marketing Strategy

Strategic Alliance Strategy


(Marketing Co-operation)
(Production and Operation Co-operation)
(Research and Development Co-operation)
(Procurement Co-operation)
(Strategic Resources Co-operation)

Competitive Promotional Marketing Strategy

Social Marketing Strategy


(Show good will to society to create the better image to tourists)

Competitive Promotional Marketing Strategy

Quick Response Strategy


(provide quick information once requested)

Product Strategy

Competitive Differentiation Strategy


(differentiate your products with high quality service and product)

Product Strategy

Customer Orientation Strategy


We serve whatever
you want!!! (but based on
The capacity and ability
of the service providers
and it must not harm
the environment)

Product Strategy

Product Diversification Strategy


(provide more variety of products to fit all behaviors of tourists)

Product Strategy

Product Integration Strategy


(At one place, the tourists can get all products: air ticket, accommodation,
food,
show
ticket,
tour
package
)
Room 2,500++

Only 1 price

+
Travel 1,999

@ 2,999

nett

Pricing Strategy

Competitive Pricing Strategy


(give a discounted price/ souvenirs to customers)

Example of Promotional Tools

Brochure

Traveling Billboard

Traveling Websites and


online community

Movie/Drama Series/ Pop Culture

Traveling Guidebooks

Traveling Magazines

Traveling VCD, VDO, Clips

Strap line/Tagline/ Traveling Slogan

Therdchai (Ted) Choibamroong


Associate Professor
Foundation Dean and PhD. Program Director
Graduate School of Tourism Management (GSTM)
National Institute of Development Administration (NIDA), Thailand
Doctor of Philosophy (Ph.D) in Tourism Planning and Management,
University of Queensland, Australia, 2002.
Master of Social Science (M.SOC.SC) (DISTINCTION)
in Tourism Policy and Management, University of Birmingham,
United Kingdom, 1997.
Certificate in Korean Language and Culture, Yonsei University,
Seoul, South Korea, 1995
Bachelor of Arts (BA.) in English,
Thammasat University, Thailand, 1994.
Address: National Institute of Development Administration
118 Serithai Road, Klongchan, Bangkapi, Bangkok, 10240, Thailand
E-mail : tedchoibamroong@hotmail.com

Thank you very much

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