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Luxury
Experience
Technology
Strategic marketing
Professor Dimitrios Buhalis Bournemouth University
Head of Tourism and Hospitality
www.bournemouth.ac.uk/tourism
www.buhalis.com
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Tourism and the Business Environment –
Day 1
Professor
Dimitrios Buhalis
Bournemouth
University
TUI Travel PLC | Management Trainee
Programme presentation | 2008 | Page 2
TUI Travel PLC | Management Trainee Programme presentation | 2008 | Page 2
What is luxury ?
Defining luxury:
a state
of great comfort or elegance,
especially involving great expense.
jumeirah zabeel saray
jumeirah zabeel saray
What is luxury ?
What is luxury ?
Ballyfin: Ireland's historic luxury hotel
What is luxury ?
What is luxury ?
What is luxury ?
Off line the new luxury ?
Off line or online ?
What is luxury ?
Luxury....
is to give me
What I want
When I want it
In the format I want it
And leave me alone to enjoy with people I want
Ideally without having to tell you (many times...)
Luxury for me....
Super fast “free” WiFi
Nespresso machine in the room
Get the $£&# out of here
unless I call you and
then understand what I need
Don’t say normally… we don’t offer
and deliver in no time
EXPERIENCE COCREATION
The Virgin Upper class
Case study
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cipriani.jpg
Arrigo Cipriani of Cipriani Hotels and Harry's Bar
• Luxury = simplicity • But simplicity is very complex • Do you change table cloth between main
course and dessert? • €175,000 per year to change the tablecloth
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cipriani.jpg
Arrigo Cipriani of Cipriani Hotels and Harry's Bar Luxury is simplicity Made by a combination of details : the complexity of simplicity Luxury human beings
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cipriani.jpg
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TECHNOLOGY
FUTURE : NEW REALITIES
NEED INNOVATIVE STRATEGIES
Ready for the Internet
https://www.youtube.com/watch?v=AzWK-x5WlXk
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THE CONSUMER (E-TOURIST) IS THE CENTRAL ELEMENT OF THE EXPERIENCE
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SoCoMo Marketing
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The Service of NOW!
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Tourism and the Business Environment –
Day 1
• SOCIAL MEDIA
• Managing global reputation
• and branding online and offline
• The role of Social Media, Web 2.0 and User Generated Content in tourism
• The major channels – Facebook, Twitter, Blog, YouTube, Google+
• How social media can help you achieve ultimate goals for tourism marketing
• Understand the sources of competitiveness for tourism & hospitality organisations
• Manage global tourism reputation and branding online and offline
• Web 2.0 as a way to manage brands online for tourism
• Manage tourism hospitality brand across all channels
• Social networking for different stakeholders
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World City-to-City Connections
http://www.chrisharrison.net/projects/InternetMap/
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THE WEB AT THE SPEED OF
LIFE…
…74 MENTIONS IN FACEBOOK STATUS UPDATES EVERY
SECOND
…3 MILLION TWEETS DURING THE 3 HOUR CEREMONY
… SPEED OF TWITTER CONVERSATIONS PEAKED AT 250
TWEETS p/sec.
…SURPASSED THE WEBCHATTER AROUND EARTHQUAKE IN
JAPAN OR EGYPTIAN REVOLUTION
SOCIAL MEDIA MOVES FROM CREATING CONTENT
TOWARDS SHARING LIVE OPINIONS ABOUT REAL
WORLD EVENTS AND CHALLENGING GOVERNMENTS…
NEED
RECOGNITION
ATTENTION
COMPREHENSION
ACCEPTANCE
MEMORY
ENVIRONMENTAL
INFLUENCES
Culture
Social Class
Personal influences
Family
Situation
INDIVIDUAL
DIFFERENCES
Consumer
resources
Motivation and
involvement
Knowledge
Attitudes
Personality
Lifestyle
Demographics
EXPOSURE
STIMULI:
Marketer dominated
Non-marketer
dominated
RETENTION
INTERNAL
SEARCH
EXTERNAL
SEARCH
CONSUMPTION
INPUT INFORMATION
PROCESSING
DECISION
PROCESS
VARIABLES
INFLUENCING
DECISION
PROCESS
PURCHASE
POST-
CONSUMPTION
EVALUATION
DIVESTMENT
EXTERNAL
SEARCH
DISSATISFACTION SATISFACTION
PRE-PURCHASE
EVALUATION
OF ALTERNATIVES
Model adapted from Blackwell, R.D., Miniard, P.W., and Engel J.F. (2006)
HYPOTHETICAL RELATIONSHIPS
TO BE TESTED
PROPOSED NEW
CONSTRUCT
INFORMATION
SEARCH
INFORMATION
SEARCH
INFORMATION
EXCHANGE
ACCUMMU-
LATION
OF
KNOWLEDGE
REFLECT & SHARE
DREAM
SHARE
THE
EXPERIENCE
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Engagement [ Promotion? ]
Do consumers still believe marketing
communication? Is there ...still an audience??
5 Stages of Travel
Multiple stages of tourist experience
What is the role of technology in the different stages?
• 1 Dreaming: Engage and inspire Social Media - Travel blogs, travel review sites
• 2 Planning: Search and compare Websites and Social Media, provide information
• 3 Booking: Decide and book Booking platforms, engage consumers
• 4 On-Site Experience: Co-create unique experiences Online & offline, mobile services, LBS
• 5 Sharing: Share, review and engage Social Media – engage consumers Facebook, Twitter, Foursquare, TripAdvisor
Technology is omnipresent and accompanies the individual in all stages, i.e. pre-travel, during and post-travel stages
Before trip Preparation
BT DECISION 3
MAJOR PURCHASE
DEPARTURE FROM HOME
ARRIVAL AT DESTINATION
DEPARTURE FROM DESTINATION
During trip Experience
BACK AT HOME
After trip Feedback sharing
Inspiration & dream Open for ideas
EXPERIENCES COMMUNICATED
Core decisions
En-route decisions
Secondary decisions
OTHER PURCHASES
BT DECISION 1
BT DECISION 2
BT DECISION n
Experiences &
feedback sharing
Travel stimuli: Hedonic / utilitarian
Conscious / subconscious
DT DECISION 1
DT DECISION 2
DT DECISION n
PROCESS TRIGGERED
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The Service of NOW!
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http://www.youtube.com/watch?v=pqHWAE8GDEk
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The Service of NOW!
http://www.facebook.com/album.php?aid=249528&id=273795515772
THE CONSUMER (E-TOURIST) IS THE CENTRAL ELEMENT OF THE EXPERIENCE
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Tourism and the Business Environment –
Day 1
• SOCIAL MEDIA STRATEGIES • Major channels – Facebook, Twitter, Blog, YouTube, Google+ /
• SEO on Google / Complementary to Web Site
• CONSUMERS : inspire / inform / convert / serve / manage / handle / listen / advocate
• PRODUCT DEVELOPMENT : listen / observe / develop / test /
• CONTEXT : Understand environment / contribute to conversations / locality / key players
• PROMOTION : brand awareness / engagement / dynamic conversation / time limited promotions
• ENGAGEMENT: Awareness / User Generated Content /Advocacy / different cultures-languages
• SERVICE : Before / during / after / dynamic conversations /hash tags/ Complain handling /real
time
• REPUTATION MANAGEMENT : Listen/ defend / influence/ tripadvisor / brand integrity
• REAL TIME : public conversation / listening to trends / real time response / following the news
• CRISIS MANAGEMENT dynamic information / stakeholders as sensors / managing sentiment
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Engagement [ Promotion? ]
Do consumers still believe marketing
communication? Is there ...still an audience??
5 Stages of Travel
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Engagement [ Promotion? ]
Do consumers still believe marketing
communication? Is there ...still an audience??
5 Stages of Travel
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Tourism and the Business Environment –
Day 1
http://youtu.be/9Q1lL_MVmJg
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Tourism and the Business Environment –
Day 1
• Online reputation
• managing reviews and
• tripadvisor reports • Identify online reviews
• Create mock answers for reviews
• Identify processes for answering reviews
• Using reviews to improve online brand and reputation
• Case Studies
http://youtu.be/9Q1lL_MVmJg
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A T
U
N
O
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Stay in touch with Dimitrios Professor Buhalis Dimitrios WWW.BUHALIS.COM
Head of Department Tourism and Hospitality
Director, eTourism Lab
International Centre for Tourism and Hospitality Research (ICTHR)
School of Tourism, Bournemouth University, Poole,BH12 5BB, UK
Tel: +44 1202 961517
Email: [email protected] http://www.bournemouth.ac.uk/etourismlab/
http://www.bournemouth.ac.uk/tourism/ Dimitrios Web: http://www.buhalis.com Dimitrios Blog: http://buhalis.blogspot.com/ Twitter: http://twitter.com/buhalis Facebook: https://www.facebook.com/ProfessorDimitriosBuhalis
YouTube: http://www.youtube.com/buhalid
Academia http://bournemouth.academia.edu/DimitriosBuhalis
Instagram http://www.instagram.com/d.buhalis
