Discuss the major characteristics and difficulties associated with the marketing of tourism products and services.
Characteristics
1. Seasonality
Seasonality: Peaks and troughs in demand
Most leisure tourism markets that demand fluctuates greatly seasons of the year
Northern Europe and northern USA
Peak: summer months of June to September
Trough: winter months of December to March
Many tourism businesses dealing with holiday markets fluctuate from peaks of 90 to 100% capacity utilisation for sixteen weeks in a year, to troughs of 30% or less for twenty weeks in the year. Seasonal closure of many leisure tourism businesses is still common.
These demand variations are all the more acute because of the factor of perishability and it is always a major preoccupation of marketing managers to generate as much demand to fill the troughs as market conditions permit.
For Brighton hoteliers in England August is off-season because this is the month when conferences are at their least popular; it is the month when most families with children are on vacation and the traditional holiday period when government and business leaders get away. On the other hand the Edinburgh Festival is in full swing, so for Edinburgh’s hoteliers August is high season.
For railways and metro systems serving the needs of commuters, for airlines providing day trips for businessmen, the middle of the day represents a trough when the equipment is not being fully utilised.
Hoteliers and transporters alike use price as a marketing tool in developing off-peak traffic. Hotel accommodation is used by the majority of people taking short break holidays but in order to attract this additional business hotels must be prepared to introduce flexible pricing and create a special reason for going, such as a special interest weekend, hobby or activity breaks, romantic weekends or a break tied to a special event.
For example, firework displays, theatre outings, shopping trips (both pre-Christmas and during the January sales), race meetings, factory visits all offer potential for developing business in the off-season.
1. Seasonality
Seasonality: Peaks and troughs in demand
Most leisure tourism markets that demand fluctuates greatly seasons of the year
Northern Europe and northern USA
Peak: summer months of June to September
Trough: winter months of December to March
Many tourism businesses dealing with holiday markets fluctuate from peaks of 90 to 100% capacity utilisation for sixteen weeks in a year, to troughs of 30% or less for twenty weeks in the year. Seasonal closure of many leisure tourism businesses is still common.
These demand variations are all the more acute because of the factor of perishability and it is always a major preoccupation of marketing managers to generate as much demand to fill the troughs as market conditions permit.
For Brighton hoteliers in England August is off-season because this is the month when conferences are at their least popular; it is the month when most families with children are on vacation and the traditional holiday period when government and business leaders get away. On the other hand the Edinburgh Festival is in full swing, so for Edinburgh’s hoteliers August is high season.
For railways and metro systems serving the needs of commuters, for airlines providing day trips for businessmen, the middle of the day represents a trough when the equipment is not being fully utilised.
Hoteliers and transporters alike use price as a marketing tool in developing off-peak traffic. Hotel accommodation is used by the majority of people taking short break holidays but in order to attract this additional business hotels must be prepared to introduce flexible pricing and create a special reason for going, such as a special interest weekend, hobby or activity breaks, romantic weekends or a break tied to a special event.
For example, firework displays, theatre outings, shopping trips (both pre-Christmas and during the January sales), race meetings, factory visits all offer potential for developing business in the off-season.