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AMB336

RESEARCH REPORT

Lily Della-Vedova N9586601


Word Count; 1498
Tutorial Time; 5pm – 6pm
Tutor; Mr Gilbert Cruz-Carreon
Lily Della-Vedova, n9586601

Table of Contents
1. Executive Summary. ............................................................................................. 3
2. Analysis. ................................................................................................................. 4
3. Evaluation and Recommendations. ................................................................... 7
4. References. ............................................................................................................ 9

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1. Executive Summary.
The purpose of this document is to assess and evaluate the impact that Internet
Technologies have on International markets (Malaysia), identifying the critical digital
marketing concepts and developing and formulating international marketing
recommendations based on the findings. The main findings of this report consisted
of discoveries from Virtual and Augmented Reality theory’s and the effects these
marketing tools already have on the Malaysian culture. To enhance the customer
experience that Frazer Island tours can offer. Some key recommendations with
proper evaluation have been offered.

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2. Analysis.
Malaysia is located in Southeast Asia and it is known for its rainforests, beaches and
very multicultural influence. The capital of the country is Kuala Lumpur and it is home
to busy shopping districts such as Bukit Bintang. As of September 2016, Malaysia’s
population was sitting at 30.8 million and their GDP was $815.6 billion (The Heritage
Foundation, 2017). Malaysia is an emerging Asian economy aspiring to move
towards a technology-driven and high-tech production-based pattern of development
and thus replicate the experience of the newly industrializing economies of Asia (Lai
& Yap, 2004). For Frazer Island Tours to capture this market, it is crucial that they
use a cohesive internet technology approach.

In 2016, Malaysia was Australia’s seventh largest inbound market for visitor arrivals,
eighth largest market for total visitor spend and 10th for visitor nights (Tourism
Australia, 2016). In Tourism Australia’s market profile of Malaysia, it states that their
total spend here in Australia is 1.2 billion dollars and is expected to rise by the year
2020 to 2 – 2.5 billion dollars. Among the Malaysian market, Australia performs
strongest with respect to natural beauty and aquatic and coastal experiences. Both
types of experiences have a strong level of appeal and association with Australia
(Tourism Australia, 2016). It seems that visiting Australia and the beautiful scenery is
in high demand for Malaysians.

Opportunities from utilizing internet technologies to international markets present the


increased access to consumer demand, access to more international markets, rapid
internationalisation. With Malaysians highest interest in Australia being the natural
beauty and the coastal experiences, it proves to be the perfect international market
for a company such as Frazer Island Tours.

An article by Oracle explains that brands are defined by the experiences they deliver,
customers are naturally self-interested, and a company’s internal workings and
challenges are of little concern to them when assessing its products and services. All
that matters is whether a brand is able to meet their needs as and when called upon
to do so. (Oracle, 2016).

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Virtual reality is an artificial environment that is created with software and presented
to the user in such a way that the user suspends belief and accepts it as a real
environment (Rouse, Virtual Reality , 2015). Frazer island tours can utilise this tool in
the way that Malaysian’s will be able to experience a “Virtual Reality” tour of the
natural beauty and aquatic and coastal experiences that they love so much about
Australia.
Virtual Reality supports the tourist’s decision making process and information search
by being able to use their senses in making their decision. By being able to utilise
Virtual Reality the tourists are able to experience Frazer Island Tours in an artificial
environment without being in Australia.

Malaysia is no stranger when it comes to Virtual Reality. An article by Marcus Lee


explains how an education provider in Malaysia, Giochitech, provides Virtual Reality
courses and then goes on to explain how there are many industries that employ the
use of Virtual Reality that don’t involve games (Lee, 2016). Another article by
Sharmila Nair, talks about how there are big plans for Malaysia to get their very own
Virtual Reality theme park. The destination will be the third of its kind in the world
unless a competitor beats them to the punch (Nair, 2016). Seems like Malaysia is not
afraid of this new technology and they are embracing it from all angles that they can.

Augmented reality is the integration of digital information with the user's environment
in real time. Unlike virtual reality, which creates a totally artificial environment,
augmented reality uses the existing environment and overlays new information on
top of it (Rouse, Augmented Reality (AR), 2016). With the brand new IPhone
releasing their all new Augmented Reality feature, it really is a game changer. An
article by Black Morgan explains that one of the new features for the iPhone 8 is its
augmented reality capability, which has the potential to revolutionize marketing
(Morgan, 2017). Frazer Island Tours can take this idea and really work it to their
advantage in an all new playing field for International Marketing. Although
Augmented Reality has passed the hype stage, the technology is just on the verge of
being implemented in a meaningful way in the tourism industry (Han, Jung, &
Gibson, 2014).

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Whilst Augmented Reality and Virtual Reality present exciting new experiences with
many positives presented. They can also prove to have some challenges. Not only is
it expensive to implement these two ideas, it is also not completely accessible by
everyone, to be able to use Virtual Reality, goggles and gloves are needed for the
experience and Augmented Reality becomes expensive in downloading and
updating software regularly let alone having the devices that can support all of the
software.

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3. Evaluation and Recommendations.


The following recommendations have been identified to address what strategy might
be most appropriate to assist the firm in their international marketing activities of their
product.

To enhance the customer experience that Frazer Island tours can offer, the use of
modern technology is becoming a necessity of many destinations to stay competitive
and attractive to the modern tourist. A new form of technology that is being used
increasingly in the public space is Virtual and Augmented Reality (AR) (Han, Jung, &
Gibson, 2014).
For the Malaysian Market, it is recommended that Frazer Island Tours creates a
Virtual Reality Software where the Malaysian customer market can download and
experience a Virtual tour of the Frazer Island. This can take form of a sneak peak
preview or they can have the opportunity to purchase the full tour, showcasing the
natural beauty and aquatic and coastal experiences they the market loves about
Australia. This can then increase their chances of visiting Australia and visiting
Frazer Island Tours. When they have purchased the Virtual Reality Tour program,
another idea could be for them to receive a special discount code for them to use in
their real-life tour when they visit Australia.

The History of Augmented Reality proves that this technology can service several
different industries, but there’s no doubt that Augmented Reality’s presence in
marketing is a game changer (Peters & Karmarkar, 2010). A direct marketing system
that uses Augmented Reality would prove progressive for Frazer Island Tours. This
idea comes in the form of an IPhone application that is downloadable through the
Apple App Store. This applications provides and Augmented Reality experience
showcasing some of the best things you can find on a Frazer Island tour, whether
that be Turtles in the sand, an beautiful Eagle flying high in the sky, some wild
Dingo’s, the list goes on. This application works simply through the IPhone cameras
and places these objects into the consumer’s surroundings for them to really
familiarise themselves with the experience.
For Frazer Island Tours to expand their market internationally to Malaysia, it is
suggested that they follow the above recommendations to assist the success of their

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business. With Malaysia already using the Virtual and Augmented Reality
technologies, the above strategies will go hand in hand with what the consumers
already know.

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4. References.
Han, D.-I., Jung, T., & Gibson, A. (2014, January 09). Dublin AR: Implementing Augmented
Reality in Tourism. Retrieved from Springer Link:
https://link.springer.com/chapter/10.1007/978-3-319-03973-2_37
Lai, M.-C., & Yap, S.-F. (2004, December). Technology Development In Malaysia And The
Newly Industrialising Economies: A Comparative Analysis. Retrieved from Asia-Pacific
Development Journal: http://www.unescap.org/sites/default/files/apdj11-2-4-lai-
yap.pdf
Lee, M. (2016, May 18). Virtual Reality Education In Malaysia. Retrieved from Rojak Daily:
http://www.rojakdaily.com/entertainment/article/598/virtual-reality-education-in-
malaysia
Morgan, B. (2017, September 11). iPhone 8 Augmented Reality Feature To Revolutionize
Customer Experience. Retrieved from Forbes:
https://www.forbes.com/sites/blakemorgan/2017/09/11/iphone-8-augmented-
reality-feature-to-revolutionize-customer-experience/#346432e76a6c
Nair, S. (2016, October 17). Malaysia to have its first VR theme park. Retrieved from The
Star Online: http://www.thestar.com.my/tech/tech-news/2016/10/17/enter-vr/
Oracle. (2016). Can Virtual Experiences Replace Reality? Retrieved from Oracle:
https://www.oracle.com/webfolder/s/delivery_production/docs/FY16h1/doc35/CXR
esearchVirtualExperiences.pdf
Peters, R., & Karmarkar, A. (2010). Augmented Reality and the Future of Marketing.
Retrieved from Augment: http://www.augment.com/blog/wp-
content/uploads/2016/10/Augmented-Reality-and-the-Future-of-Marketing.pdf
Rouse, M. (2015, May). Virtual Reality . Retrieved from WhatIs.com:
http://whatis.techtarget.com/definition/virtual-reality
Rouse, M. (2016, February). Augmented Reality (AR). Retrieved from WhatIs.com:
http://whatis.techtarget.com/definition/augmented-reality-AR
The Heritage Foundation. (2017). Malaysia. Retrieved from 2017 Index of Economic
Freedom: http://www.heritage.org/index/country/malaysia
Tourism Australia. (2016, December). Consumer Profile Malaysia. Retrieved from Tourism
Australia:
http://www.tourism.australia.com/content/dam/assets/document/1/6/x/t/r/20033
91.pdf
Tourism Australia. (2016, December). Malaysia Market Profile. Retrieved from Tourism
Australia:
http://www.tourism.australia.com/content/dam/assets/document/1/6/x/g/2/20028
98.pdf