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JejuThe Acorn House
TOCExecutive SummaryKey FindingsMarketCompetitonResearchSWOTTarget Market ProfileCreative The PlanBudget SummaryEvaluation
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ExecutiveAcorn House creative firm has completed a detailed advertis-
ing plan for our client, Jeju Tourism Organization of South Ko-rea. Our comprehensive strategy came to fruition only after our
team’s in-depth study of Jeju Island and the many external and internal fac-tors affecting travel and tourism. We meticulously gathered research, dis-tributing mass surveys and conducting one-on-one interviews, which provided us with the most accurate knowledge to execute this campaign.
Our primary focus and overall objective is to increase awareness and spark interest of Jeju Island in the American tourism market, specifically among couples, through advertising. Through our research, we have deduced that couples planning a honeymoon, destination wedding or anniversa-ry trip comprise the demographic most interested in exploring the “hid-den jewel” of Asia, Jeju Island. We have set up our creative strategy to tar-get this demographic which we believe will be most profitable for Jeju Island.
With the allotted budget of $5 million, we have carefully created ads and select-ed media that we are positive will reach our target market and encourage them to visit the beautiful island. If implemented, this advertising plan will increase American tourism to Jeju Island by twenty-five percent over the course of one year.
Jeju has abundant natural beauty similar to popular vacation destinations frequented by American couples such as Hawaii, Mexico, Caribbean islands, Bora Bora and Tahiti. Our advertising plan will position Jeju Island as an ex-clusive and unique alternative to these islands and encourage our target mar-ket to visit. Competitors will all be “green with envy” when couples begin choosing to vacation on Jeju Island as it becomes the premier island getaway.
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Key Findings10% of the foreign tourists brought 25.7% income out of the total tour-ism income.
A 2008 study showed that when the economy faces hardship, wealthier Americans do not reduce their bud-get for vacations. Households earning more than $100,000 annually have been the majority of those acquir-ing hotel rooms and booking flights throughout the recession. Travel abroad has not been negatively affect-ed because those most likely to travel outside of the United States have not be deterred to do so (Sharp, 2008).
Foreign spends moreMobile Wi-Fi has been installed on all major roads and tourist areas on Jeju Island. Soon, coverage will reach 95% of the region’s tourist at-tractions, and there are plans to ex-pand the amount of Wi-Fi hotspots from 900 to 1,500 by the end of 2011.
Many Americans who rely heav-ily on internet communication will appreciate this added conve-nience and will consider it a posi-tive aspect of vacationing on Jeju Island (“Mobile wif-fi to boost tour-ism on s.korea’s jeju island,” 2011).
Island-wide Wi-fiTSARegulations now include more de-tailed personal screenings and stricter guidelines for what can be brought onto an airplane and what identifi-cation is permissible (Elliott, 2010).
MexicoThis competitor has had an in-creased amount of violence, and United States officials are encourag-ing tourists to cease travel to cer-tain areas and take precautions when vacationing (Yancey, 2011).
International SafetyNaval BaseThe South Korean Navy began con-struction in January 2011 on a $970 million base on Jeju Island. When finished in 2014, the base will be home to 20 warships, includ-ing submarines, which according to the navy will protect South Ko-rea’s export-driven economy. It will also allow South Korea to respond quickly to any threats or disputes that may occur. (Sang-Hun, 2011).Although unpopular among lo-cals, American tourists may see this as an added safety precaution.
4% 4%90.3% 1.1%United States
0.3%2.8%
Domestic Tourists
Foreign Tourists total of 9.7%
China Japan SE Asia
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0.3%In 2009, the total number of tourists that visited Jeju was 6,523,938 show-ing a 12.1% increase compared to 2008 (Annual report on jeju tourism, 2009).
The majority of foreign tourists came from other Asian countries, while the United States made up only 23,712 of the tourist visits in 2009. This is a mere 0.3% of the overall visitor percentage.
Currently the United States holds a very small percentage of the foreign tourism to Jeju Island. This is primarily due to lack of awareness in the American market.
Total Tourist Breakdown
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16 Luxury Five Star hotels37 Economical Tourist hotels38 Recreation Pensions
23 Resorts and Condominiums12 Hostel or Camping sites21 Motels
10 Markets12 Camping sites12 Cruise and Yachting experiences08 Casinos
27 First-class golf courses38 Arts/history Museums25 Tourist Horse-riding Tracks07 Large Duty-free Shops
03 Natural Therapy Spas
National Parks
Waterfalls
Caves
Forests
Mountains
Beaches
AmmenitiesTours
Green/EcoClam Gathering
SubmarineLighthouse
National GardensNational Stadium
International Convention Center
Market
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Market· Destination weddings have grown in popu-larity increasing 20% from 2008- 2010.
· Approximately 1 in 4 couples married in 2010 considered their wedding a destination wedding.(“The knot unveils,” 2011)
· In 2009, destination weddings accounted for $16 billion of annual spending. Couples typically use 14 percent of the wedding bud-get on the honeymoon and on average spend three times what a U.S. adult would spend on a vacation.(Sardone, 2009)
· 12% of couples getting married in 2009 had a destination wedding.(Bridal Association of America, 2009)
Love Industry Trends
of annual spending.
“In 2009, destination weddings
accounted for $16 billion
· The average wedding cost is up 11.37% from 2005 to 2009.(Bridal Association of America, 2009)
· In 2009, couples spent an average of $4,000 on their honeymoon.
· Most popular engagement month is De-cember 16% of couples get engaged during this month.(“The knot unveils,” 2011)
Competition
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CompetitionThe locations most intensely compet-ing with Jeju Island for American tour-ism are concentrated in areas that are in close proximity to the continental United States or which have a reputa-tion as exclusive, romantic and tropical.
The top five direct competitors to Jeju Island are (in order of ranking) Hawaii, Caribbean Islands, Mexico, and the South Pacific Islands of Tahiti and Bora Bora. These locations are the top honey-moon destinations for Americans. Each of these areas offers a level of familiarity and popularity with American tourists that Jeju has not yet achieved, but with the help of advertising can easily obtain.
*For comparison, the Hyatt Regency on Jeju Island was used as a base rate to compare with other Hyatt Regency Hotels (or similar value/luxury) in the competing regions.
The other guys...
Safe/Low Crime Rate
English Friendly
Distinguished Native Culture
Close Proximity to the US
Multiple Islands
Exclusive
Many Resort Options
Natural Beauty
Unified Culture
Budget Accomodating
Hawaii
Caribbean
Mexico
Tahiti and Bora Bora
Jeju
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HawaiiHawaii is the leading competition for Jeju Island in terms of popular-ity with both destination weddings and honeymoons for Americans.
According to the American Society of Travel Agents, “Survey respon-dents ranked Hawaii as their favorite honeymoon destination because of its beautiful tropical setting, the fact that it offers multiple islands getaways each unique in their own right, and its proximity and affordability for U.S. honeymooners” (Rundquist, 2011).
CaribbeanThe Caribbean Islands boast a large variety of islands very close to the United States.
The Caribbean Travel Organization says that more than 23 million tourists visited the Caribbean countries last year and confirmed that some territo-ries of this area reached unprecedented figures in the so-called leisure industry.
According to the 2010 report, the Bahamas and Jamaica were among the most visited countries in 2010.
Mexico, always a popular destination for honeymooners and couples, is close in proximity and relatively cheaper than many out-of-country beach locations.
According to the ASTA, “Travel agents polled mentioned its wide va-riety of all-inclusive resorts and ho-tels designed to meet every budget, as well as the fact that it is ideally lo-cated for most U.S. honeymooners.”
These Pacific Island getaways are ex-tremely popular among honeymoon-ers who are looking for that “unforget-table,” extremely exclusive vacation.
The demographic of people who are willing to travel to Tahiti and Bora Bora would most likely be those also willing to go to Jeju Island because of the simi-lar amenities and the comparable price.
It would be very beneficial if Jeju Island can position itself in the same category as these islands.
Tahiti and Bora BoraMexico
“It would be very beneficial if Jeju Island can position itself
in the same category as Tahiti and Bora Bora...”“ ”
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0
1,000
2,000
3,000
4,000
5,000
CancunMauiJejuAnguillaTahiti
NY LA
$USD
4,2023,706
2,806
762
3,7203,504 3,860
2,860
916
5,554
*Flights are based on US round-trip �ights to destinations according to Expedia.com for the week of June 15, 2012 - June 22, 2012.
Research
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PrimaryTotal Respondants: 219Gender Breakdown: Female (67%) / Male (33%)Top Age Respondants: 18-24 (51%), 25-35 (27%)
ObjectivesThrough the use of mass surveys, our firm collected valu-able information from a wide variety of individuals. We collected over 200 anonymous, in depth responses. We then applied this data to help find the target market that would be most beneficial to the client. This important information established the direction of the campaign.
MethodologyThe survey questions were categorized into three groups: ID Taker, ID Vacation and ID Advertising. For ID Taker, we selected questions that could identify basic information and approximate consumer profile. Questions in the ID Vaca-tion category identify thoughts and feelings about vacation, travel, and overall individual preferences. Criteria questions were developed as a way to identify persons that would likely be unable to travel abroad, such as for monetary restrictions.
Survey83% of respondents would rather use a rental car than a taxi
74% said they were able to take a vacation lasting longer than 4 days
65% of the respondents currently have passport
56% of respondents stated beaches were the most desired form of vacation.
53% preferred populated locations while 47% would rather visit isolated spots
In order of importance on vacations: 1. Scenery & Nature 2. Cuisine 3. Museums & Historical Sightseeing 4. Social Interaction with Locals 5. Shopping
Select Findings
The most popular way to gather general travel ideas and information is through the Internet by 62%
Social Media is the most common and preferred use of the Internet
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Total Respondants: 7
ObjectivesIn order to get more specific insight about our target au-dience and how best to reach them, we also conducted seven in-depth interviews. Through these interviews we hoped to test our creative ideas as well as gather ben-eficial information on the direction of the campaign.
MethodologyIn-depth interviews were conducted on seven individuals of varying demographics that fit into our target audience. A col-lection of questions deemed most pertinent and useful were compiled by the agency beforehand. The interviews were then recorded and transcribed for optimal data processing.
In-depth Interviews
Select FindingsAll respondents have known multiple people to honeymoon in Hawaii, Mexico, Caribbean, Bahamas, Tahiti and/or Bora Bora.
Respondents believed the minimum time frame for a honeymoon is one week.
The Internet is the most popular choice for information gathering and planning.
Majority of respondents were not familiar with Jeju when asked if they would consider traveling there.
Responses were spilt in opinion over whether they considered destination weddings and honeymoons abroad affordable.
The most common responses for why one would want to travel abroad included the words “new,” “different,” “unique,” “exotic” and “culture.”
Participants in the study were asked reasons they would not want to travel abroad. The responses were similar, citing; work, extra planning, higher expenses expensive, longer flights and safety concerns.
When asked how much they be-lieved a honeymoon abroad would cost, responses ranged from $4,000 to $8,000, with the exception of one individual who responded with $15,000.
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StatisticsNew York, Miami, and San Francisco show high index numbers for travel abroad, each surpassing an index score of 150 in multiple categories. These would be likely candidates for more focused regional marketing.
Statistics based off of Simmons Research. (Insight, Simmons Research Database, 2011).
Men are 30% more likely to travel internationally than women.
Asian Americans travel the most of the racial demographics with index numbers between 160-303 for 1-4 trips in the past 3 years.
The demographic which traveled least were African Americans —index num-bers consistently shown to be sub 100 down to 36 for 3 trips in the past 3 years.
Not surprisingly, international travel and household income parallel in positive growth.
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S ODistance: The time it takes to travel to Jeju island is signifi-cantly longer than other similar islands where Americans hon-eymoon. For those uncomfortable with flying long distances, this may be considered a major drawback.
Naval Base: Although Jeju is actively publicizing the Naval base, protests among locals may cause negative International attention and create a concern among travelers of turmoil or tension on the island.
Competition: The competition is strong. Some of the islands popular with American tourists are much closer and offer similar experiences. Jeju must advertise in a way that presents the island as a better choice for vacationing.
Oil: Prices of oil have changed the way people travel abroad. Fluctua-tion of these prices could cause even more instability among long-term plans. High oil prices will signifi-cantly impact low-income earners.
English: English is widely spoken among Jeju residents. Travelers often experience anxiety or timid-ness about traveling abroad if there is a language barrier, however there should be no concern for that with Jeju Island.
Amenities: There are plenty of hotel and resort accommodations on the island all conveniently located and with plenty of transportation options. There is a wide variety of luxury and economically priced hotels.
Business: Since the island offers a convention center as well as WI-FI, this is an added benefit to business travelers who can bring significant revenue.
Outreach: National events have brought positive attention to Jeju Island on an international scale. continued and increased positive in-ternational publicity will only create more awareness of the island.
Exclusivity: Jeju is widely unknown. This presents an opportunity to pro-vide a unique experience to individu-als that travel to the island.
Low Cost: The cost of traveling and staying in Jeju island is competitive and sometimes cost less than similar resort-style vacation packages.
Travel Regulation: Regulation by governmental agencies such as TSA have impacted how people travel and whether they want to fly. For example, full body scanners have raised concerns and uncomfortable-ness in citizens.
SWOT Analysis
Weaknesses
Threats
Strengths
Opportunities
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TargetPrimary Market
Travel AgentsWedding Planners
Sub Primary 1Honeymooners
Sub Primary 2Destination Weddings
Couples 24-32 years oldMiddle to Upper Middle ClassCollege graduatesSuburban/Urban residency
Couples 30-38 years oldUpper Middle to Upper Class ($100,000+ annual income)College graduatesSuburban/ Urban residency
Secondary Market
Explanation of target market profile: Target market was decided upon due to the growth of destination wed-dings and unique honeymoons abroad. Age range was chosen based on the average age of marriage and average age of the brides and grooms who have destination weddings. Income and education level was also considered due to the cost of a destination wedding or honeymoon abroad.
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theCase StudyAge:Education:
Occupation:Personality:
VALS Category:
Meet Rachel27University of GeorgiaInterior DesignerModernInnovator
Bio: Rachel enjoys traveling for work and pleasure and has been out of the country four times on both family vacations and with friends. She has an adventurous attitude and in her free time she likes taking their dog on hikes and being outdoors.
Age:Education:
Occupation:Personality:
VALS Category:
31Vanderbilt UniversityFinancial Analyst TraditionalAchiever
Bio: Hoyt is interested in having activities other than sunbathing on the beach when considering possible wedding locations. He enjoys golf, hiking, biking and eating local cui-sine when on vacation. Most of his news comes from the internet.
Meet Hoyt
Personality Profile
Combined Household Income: $115,000/year Select MagazinesElle, Vogue, Architectural Digest, Real Simple, Martha Stewart, DwellingGolfer’s Digest, Sports Illustrated, Time and National Geographic.
They are recently engaged living in an upsacale Boston apartment. Both are excited to have a unique experience for their destination wedding and honey-moon. Rachel knows that she wants close friends and family for her wedding and she has considered Hawaii and Tahiti as possible locations.
She and Hoyt have decided that they want to stay for their honeymoon the same place they wed, so they are looking at locations where they will have plenty of activities to occupy them for the 7-10 days they plan to stay.
Creative
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The Plan
$Promotional
· Trade Promotions Cost: $300,100
Direct Marketing · Segmented Direct Mail · Email/Newsletter opt-insCost: $444,700
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The PlanIncrease the number of American tourists visiting Jeju Island by 25% at the end of the November 2012-November 2013 campaign.
Increase awareness and create inter-est of Jeju Island in the American market by 50% at the end of the November 2012-November 2013 campaign.
Marketing Objectives
Advertising Objectives
$5 million for nationwide year long campaign with $250,000 contingency.
Budget
Flighting pattern starting in Novem-ber 2012 and running through March 2013.
During the off months of March 2013 through November 2013 the cam-paign will focus only on online and social media.
Target Audience25-35 year old young professional in-dividuals planning for honeymoons and destination weddings
Marketing Objectives
Advertising
· Print Ads · Billboards · Internet Ads · Search AnalyticsCost: $4,002,200
Social Media
· Microsite · Facebook · Twitter · Youtube · PinterestCost: $0
$
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Advertising
ObjectivesUse Jeju Island’s lack of awareness in the American market to promote a positive, unique experience that promotes exclusivity.
Strategyand
BudgetPrint AdvertisingBridal & Travel MagazinesUse modern and youthful magazines (Destination Weddings, The Knot, Travel + Leisure) for print ads to tar-get the hip, young market that would be most likely to chose Jeju for their destination wedding/honeymoon location. Cost: $504,000
OutdoorBillboards located in populous, met-ropolitan areas with high traffic of young professionals.Cost: $400,100
Internet AdvertisingBannerSponsored SitesConcentrate on websites used for making wedding and/or travel ar-rangements (The Knot, Expedia, Travelocity)Cost: $2,388,600
Search AnalyticsGoogle PromotionKeywords such as “destination wed-ding locations”, “unique honeymoon locations”, “best romantic getaways”, etc.Cost: $709,500
StrategyUse humor and imagery to contrast Jeju’s top competitors as cliche while highlighting the fresh and unique qualities that Jeju has to offer.
TacticsPersonify stereotypes associated with key competitors. This includes common characters, items, and situ-ations tourists often encounter while vacationing at these locations. These will be displayed in a negative, but humorous, light, suggesting that the competitors are “Green with Envy.”
These images will be directly con-trasted to images from Jeju Island that display the positive and unique aspects of the island.
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Integrated MarketingTrade Promotions
Posters, pamphlets, brochures, “Sad Hula Girl” figurines
Given to third party promoters such as travel agents and wedding plan-
ners
Cost: $300,100
PromotionalSegmented Direct Mail
Mailing lists made up of those who have registered with various wedding vendors
Example “postcard” execution time permitting
Email/Newsletter opt-insInformational emails and/or newslet-ters about Jeju travel sent to those requesting them via microsite.
Cost: $447,700
Direct Marketing
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Social MediaWhen trying to connect with the Ameri-
can market, social media is one of the most important outlets to use. Because our target market is comprised of mainly
young, technologically savvy individuals, social media is even more relevant. While Jeju currently has a Facebook page and a Twitter account, it is necessary to create ad-ditional pages for people who reside in the United States.
The Jeju America Facebook page and Twitter account will provide information in an efficient way and at the most convenient times for individuals interested in trav-eling to Jeju. These social media pages will also di-rect users to a Jeju America microsite. The web ad-dresses for the social media and microsites will be featured prominently within traditional advertising.
In addition to Facebook and Twitter, this campaign will focus on increasing Jeju Island curiosity and prevelance on websites such as Pinterest. This website allows users to “pin” pictures of people, places, products, ideas and opin-ions on items that interest them, while connecting a web address to the picture. The site is very popular with women in our target age group, especially those planning weddings. Through a combination of guerilla marketing and social media advertising, individuals working with this campaign will pin pictures of Jeju that direct to the Jeju America mi-crosite, ensuring that it stays viral on the Pinterest website.
A Youtube channel will also be affiliated with the Jeju America sites and accounts. The channel will serve as a vid-eo travel guide for the island and feature videos of popular attractions, activities, hotels, landmarks and dining spots.
Advertising
Social Media
Promotional
Direct Marketing
Contingency
$5,000,000
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$4,002,200$0
$300,100$447,700$250,000
Total Cost:
Total Budget$5,000,000
SummaryBudget
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The Breakdown
Evaluation
(statistical research regarding reach & frequency)
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EvaluationAwareness · Website hits · Opt-in mail information · “Likes” & “Followers” on Facebook & Twitter
Action · Airplane flight statistics from the U.S. to Jeju · End of campaign year tourism numbers for Jeju compared to numbers of the past three years.
Surveys on Microsite (How did you get here? Was this site helpful?)
Feedback via Facebook and Twitter
Hits on the website. Determine rate of increase and adjust internet weight accordingly as the campaign progresses.
Quantitative research
Qualitative research(analyze and refine campaign through out set year based on effectiveness and impact)
Revised Questionnaire1. How old are you?
2. Are you male or female? (circle)Male Female
3. Do you have a passport? (circle)Yes No
4. What is your family’s household income? 5. Are you single, married, divorced, wid-owed, or in a serious relationship? Single Married Divorced Serious Relationship
6. Do your vacations typically last longer than five days?Yes No
7. Would you rather vacation in a more isolated or populous area?isolated populous
8. What vacation setting would you prefer? Beach, Mountainous, Forest, Desert, Metro-politanBeach Mountainous Forest Des-ert Metropolitan
9. Rank your top 3 favorite Internet sites.(1 = favorite Internet site, 2=slightly less favorite, 3=third favorite) ___ News ___ Sports ___ Entertainment ___ Finances, Stocks ___ Automobile ___ Games ___ Business/Trade
10. Do you have children, if so how many?1 2 3-4 5+
11. Rank what interests you the most on a vacation from 1-5. (1 = most interested, 5 = least interested) shopping, site-seeing, geography/scenery/nature, events/festivities/activities ___ Shopping ___ Museums, Historical Landmarks ___ Scenery, Nature ___ Events, Festivities ___ Cuisine ___ Social Interaction
12. Do you consider yourself more spontane-ous or structured?Spontaneous Structured
13. How often would you describe you use of social media? Hourly Daily Weekly Rarely I do not use social media
14. Do you consider your values to be more progressive or traditional?
Progressive Traditional
15. What are your favorite types of maga-zines? ___ News ___ Sports ___ Entertainment ___ Fashion ___ Wedding ___ Home & Garden ___ Hobby ___ Automobile ___ Business/Trade
16. What social interaction do you com-monly prefer? Phone Call Texting Email
17. Describe vacation in one word. (Please list 1 word that you consider is representative of vacation.)In-depth Interview Questions
Word AssociationDirections: Have interviewee say the first thing that comes to mind immediately after the lead-word is stated. Write down the re-sponses for each word from each category.
Old photograph, Picture Frame, Flower, Post Card, Airplane
Exclusive, Romance, Luxury, Affordable, Unique, Planning
Asian, Hawaii, Mexico, Caribbean
Travel, Honeymoon, Vacation
SurveyAsk how informed they are about destina-tion weddings, honeymoons, jeju island etc...?
Ask participants to rate these questions on a scale of 1-10:
How desirable is a destination wedding?Do you think a destination wedding is af-fordable?Do you think a honeymoon abroad is afford-able?Would you travel to Jeju Island in the future?
List 3 reasons you would like to/can go overseas.
List 3 reasons you would not like to/cannot go overseas.
How much do you think a honeymoon abroad costs?
How many people do you know that have had a destination wedding and/or a honey-moon in Hawaii/Caribbean/Mexico/Tahiti/Bora Bora
InterviewTalk about honeymoon experiences. Dream honeymoon/destination/wedding/anniver-sary.
Talk about perceptions of other people’s hon-eymoons. (This will help us in proving that others have already “been there, done that”)
Ask how much they think a destination wed-ding would cost in total. Per person attend-ing.
How important is a large wedding to you? Destination weddings have limited atten-dance, what are your thoughts?
How long do they plan on being on a honey-moon?
What is more important on a vacation? Amenities or Activities?
Would any non-traditional activities be of interest on a honeymoon? scuba-diving, hik-ing, helicopter ride, etc...
How would they find/plan their honey-moon? Magazines? Friends/Family? Inter-net?
How likely do you think you will travel/plan for a destination wedding? Your friends?
Create a 4 step “honeymoon-for-dummies” guide that outlines the process of finding/planning a honeymoon.
Survey/Interview Questions
ReferencesAnnual report on jeju tourism (2009)
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Jeju island an island of sky and sea. (2011). Jeju Tourism Organization.Mobile wif-fi to boost tourism on s.korea's jeju island. (2011, April 26). Asia Pulse
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