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2018 | Buch

Travel Marketing, Tourism Economics and the Airline Product

An Introduction to Theory and Practice

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This book provides a comprehensive introduction to travel marketing, tourism economics and the airline product. At the same time, it provides an overview on the political, socio-economic, environmental and technological impacts of tourism and its related sectors.This publication covers both theory and practice in an engaging style, that will spark the readers’ curiosity. Yet, it presents tourism and airline issues in a concise, yet accessible manner. This will allow prospective tourism practitioners to critically analyze future situations, and to make appropriate decisions in their workplace environments. Moreover, the book prepares undergraduate students and aspiring managers alike with a thorough exposure to the latest industry developments.

“Dr. Camilleri provides tourism students and practitioners with a clear and comprehensive picture of the main institutions, operations and activities of the travel industry.”
Philip Kotler, S.C. Johnson & Son Distinguished Professor of International Marketing, Kellogg School of Management, Northwestern University, Evanston/Chicago, IL, USA

“This book is the first of its kind to provide an insightful and well-structured application of travel and tourism marketing and economics to the airline industry. Student readers will find this systematic approach invaluable when placing aviation within the wider tourism context, drawing upon the disciplines of economics and marketing.”
Brian King, Professor of Tourism and Associate Dean, School of Hotel and Tourism Management, The Hong Kong Polytechnic University, Hong Kong

“The remarkable growth in international tourism over the last century has been directly influenced by technological, and operational innovations in the airline sector which continue to define the nature, scale and direction of tourist flows and consequential tourism development. Key factors in this relationship between tourism and the airline sector are marketing and economics, both of which are fundamental to the success of tourism in general and airlines in particular, not least given the increasing significance of low-cost airline operations. Hence, uniquely drawing together these three themes, this book provides a valuable introduction to the marketing and economics of tourism with a specific focus on airline operations, and should be considered essential reading for future managers in the tourism sector.”
Richard Sharpley, Professor of Tourism, School of Management, University of Central Lancashire, UK

“The book's unique positioning in terms of the importance of and the relationships between tourism marketing, tourism economics and airline product will create a distinct niche for the book in the travel literature.”
C. Michael Hall, Professor of Tourism, Department of Management, Marketing and Entrepreneurship, University of Canterbury, Christchurch, New Zealand

“A very unique textbook that offers integrated lessons on marketing, economics, and airline services. College students of travel and tourism in many parts of the world will benefit from the author's thoughtful writing style of simplicity and clarity.”
Liping A. Cai, Professor and Director, Purdue Tourism & Hospitality Research Center, Purdue University, West Lafayette, IN, USA

“An interesting volume that provides a good coverage of airline transportation matters not always well considered in tourism books. Traditional strategic and operational issues, as well as the most recent developments and emerging trends are dealt with in a concise yet clear and rational way. Summaries, questions and topics for discussion in each chapter make it a useful basis for both taught courses or self-education.”
Rodolfo Baggio, Professor of Tourism and Social Dynamics, Bocconi University, Milan, Italy

“This is a very useful introductory book that summarises a wealth of knowledge in an accessible format. It explains the relation between marketing and economics, and applies it to the business of airline management as well as the tourism industry overall.”
Xavier Font, Professor of Sustainability Marketing, School of Hospitality and Tourism Management, University of Surrey, UK and Visiting Professor, Hospitality Academy, NHTV Breda, Netherlands

“This book addresses the key principles of tourism marketing, economics and the airline industry. It covers a wide range of theory at the same time as offering real-life case studies, and offers readers a comprehensive understanding of how these important industries work, and the underpinning challenges that will shape their future. It is suitable for undergraduate students as well as travel professionals, and I would highly recommend it.”
Clare Weeden, Principal Lecturer in Tourism and Marketing at the School of Sport and Service Management, University of Brighton, UK

“In the current environment a grasp of the basics of marketing to diverse consumers is very important. Customers are possessed of sophisticated knowledge driven by innovations in business as well from highly developed technological advances. This text will inform and update students and those planning a career in travel and tourism. Mark Camilleri has produced an accessible book, which identifies ways to accumulate and use new knowledge to be at the vanguard of marketing, which is both essential and timely.”
Peter Wiltshier, Senior Lecturer & Programme Leader for Travel & Tourism, College of Business, Law and Social Sciences, University of Derby, UK

“This contemporary text provides an authoritative read on the dynamics, interactions and complexities of the modern travel and tourism industries with a necessary, and much welcomed, mixture of theory and practice suitable for undergraduate, graduate and professional markets.”
Alan Fyall, Orange County Endowed Professor of Tourism Marketing, University of Central Florida, FL, USA

Inhaltsverzeichnis

Frontmatter

An Introduction to Travel Marketing

Frontmatter
Chapter 1. The Tourism Industry: An Overview
Abstract
This chapter introduces its readers to the concept of tourism. It sheds light on the rationale for tourism, as it explains the tourists’ inherent motivations to travel. It also describes different aspects that together make up the tourism industry. Tourists travel to destinations that are accessible to them. They require accommodation if they are visiting a place for more than 24 h. Leisure and business travellers may also visit attractions, and engage themselves in recreational activities. Hence, the tourist destinations should have the right amenities and facilities. In this light, this chapter clarifies how destinations may offer different products to satisfy a wide array of tourists. Tourism products can include; urban (or city) tourism, seaside tourism, rural tourism, ecotourism, wine tourism, culinary tourism, health tourism, medical tourism, religious tourism, cultural (or heritage) tourism, sports tourism, educational tourism, business tourism (including meetings, incentives, conferences and events), among others. In conclusion, this chapter lists major points of interest in North America to clarify how diverse destinations may be appealing to different tourists, for many reasons.
Mark Anthony Camilleri
Chapter 2. Understanding Customer Needs and Wants
Abstract
Business ought to understand their customers’ needs and wants, if they want to remain successful in a competitive market place. Therefore, this chapter introduces its readers to market research as tourism businesses continuously require information on their customers. In this light, a well laid-out plan will help them sharpen their research objectives. Once a research problem has been defined, an appropriate methodology could be chosen to gather exploratory or descriptive data. Very often, the tourism businesses may outsource the market research function to specialised agencies. The successful research organisation which has been entrusted with the market research will collect the data, analyse it and interpret its findings. Afterwards, the research agency will be in a position to report its conclusions, research limitations and implications of study. The research report will only add value to the commissioning business if the marketing managers would take heed of its key recommendations.
Mark Anthony Camilleri
Chapter 3. The Marketing Environment
Abstract
The tourism marketing environment consists of internal and external forces which could impact the organisations’ performance. To be successful, companies must adapt to ongoing trends and developments in their macro and micro environments. When organisations scan their marketing environment they will be in a position to deal with any possible threats from the market and to capitalise on any available opportunities. Therefore, this chapter explains the external environmental factors, including; political, economic, social and technological influences. It also considers the internal environmental factors, including; capital structures, resources, capabilities and marketing intermediaries; as it identifies competitive forces from differentiated or low-cost service providers.
Mark Anthony Camilleri
Chapter 4. Market Segmentation, Targeting and Positioning
Abstract
Businesses may not be in a position to satisfy all of their customers, every time. It may prove difficult to meet the exact requirements of each individual customer. People do not have identical preferences, so rarely does one product completely satisfy everyone. Many companies may usually adopt a strategy that is known as target marketing. This strategy involves dividing the market into segments and developing products or services to these segments. A target marketing strategy is focused on the customers’ needs and wants. Hence, a prerequisite for the development of this customer-centric strategy is the specification of the target markets that the companies will attempt to serve. The marketing managers who may consider using target marketing will usually break the market down into groups and to target the most profitable segments. They may adapt their marketing mix elements, including; products, prices, channels, and promotional tactics to suit the requirements of individual consumers. In sum, this chapter explains the three stages of target marketing, including; market segmentation (ii) market targeting and (iii) market positioning.
Mark Anthony Camilleri
Chapter 5. Integrated Marketing Communications
Abstract
Promotion is one of the four major elements of the marketing mix. Therefore, an integrated marketing communications (IMC) strategy consisting of a combination of promotional tools could be an essential element of the businesses’ overall marketing strategy. Different promotional tools could foster an increased awareness of a company’s products or services, inform people about features and benefits, and move them to make a purchase. In this light, this chapter examines these promotional tools, individually. It suggests that effective IMC plans promote the companies’ products and services, by sending clear, consistent and complementary messages that are ultimately intended to turn prospects into customers. In conclusion, it posits that the marketing managers must consider the 6Ms (including the market, the mission, the message, the media, money and measurement) when they are preparing an IMC plan.
Mark Anthony Camilleri
Chapter 6. Tourism Distribution Channels
Abstract
The distribution channels link the customers with the businesses. For many years, the tourism businesses may have distributed their products and services through intermediaries. However, the latest advances in technology have brought significant changes in this regard. More individuals and corporate customers are increasingly benefiting of ubiquitous technologies, including digital media. The development of mobile devices and their applications, are offering a wide range of possibilities to the travel industry. Consumers are using smart phones and tablets to purchase tourism products. These issues have inevitably changed the structure of the tourism industry; in terms of control and value for money to consumers. In this light, this chapter describes the traditional and contemporary travel distribution channels as it raises awareness of the potential of new distribution technologies. Afterwards, there is a discussion on the role of digital media in the distribution chain as tourism businesses are increasingly selling directly to customers through the internet via websites and travel search engines. In conclusion, this chapter anticipates what the future holds for the distribution of travel and tourism products.
Mark Anthony Camilleri
Chapter 7. Strategic Planning and the Marketing Effectiveness Audit
Abstract
The central role of marketing stems from identifying processes which create value to customers. Therefore, the marketing strategies and plans should be based on relevant frameworks which create and capture value to customers and to the businesses, themselves. The strategic planning involves a thorough analysis of the businesses’ internal strengths and weaknesses, and an evaluation of opportunities and threats in the market place. The scanning of the marketing environment leads management to choose particular customers and product strategies. Therefore, strategic planners have to assess their resources, competences and capabilities, as they should determine where their company stands relative to other competitors. They are expected to evaluate strategic options and to consider alternative courses of action, including market penetration, market development, product development and diversification. This chapter outlines the different stages of strategic planning. In conclusion, it underlines the importance of conducting ongoing effectiveness audits that should analyse marketing and operational aspects.
Mark Anthony Camilleri

Tourism Economics

Frontmatter
Chapter 8. Tourism Supply and Demand
Abstract
The demand for tourism products may be affected by the marketing mix elements, including the nature of the product or service, its distribution, its promotional strategies and its price. Price is the only element in the marketing mix which actually produces revenue. However, the setting of a price is not an easy task, as there are a number of pricing strategies which any travel business may apply, including; prestige pricing, penetration pricing; cost-based pricing; differential pricing and uniform pricing. Moreover, there are a number of factors which will influence what type of pricing strategy could be employed. Such factors include; corporate objectives; the marketing objectives, and the organisations’ cost levels, among other matters. This chapter explains the various approaches which may be utilised when setting prices. Ultimately, the customers themselves will decide whether the product that is being supplied to them will meet or exceed their expectations.
Mark Anthony Camilleri
Chapter 9. Pricing and Revenue Management
Abstract
Modern revenue managers understand, anticipate, and react to market demand to maximise their businesses’ revenues. They often do so by analysing, forecasting, and optimising their fixed, perishable inventory, and time-variable supply, through dynamic prices. Hence, the objective of pricing and revenue management is to stimulate demand from different customers to earn the maximum revenue from them. The essence of this discipline is to understand the customers’ perceptions of value and to accurately align the right products to each customer segment. Therefore, this chapter suggests that revenue management systems combine data mining and operational research with strategy. Essentially, this involves maximising revenue from a combination of high-yield and price-sensitive customers; as these systems are intended to reduce seat spoilage and to increase load factors; thereby filling excess capacity. Moreover, these systems also manage overbookings, and are intended to minimise denied boarding.
Mark Anthony Camilleri

The Airline Product

Frontmatter
Chapter 10. The Airline Business
Abstract
The airline product consists of tangible and intangible elements. It is important to remember that passengers are purchasing more than the airline product; they are also acquiring its benefits, including their customer experience, which they associate with it. Hence, the process of product development and market research should be ongoing, if an airline is to keep itself up-to-date with the latest developments in the market place. The airline marketers should know what constitutes a high standard of customer service, particularly toward high-yield, profitable customers. Nonetheless, there are different kinds of customers, including; short-haul, long-haul, leisure and business passengers, who may hold different expectations from their airline. They may have certain needs and wants which could be higher on their list of priorities. In conclusion, this chapter suggests that customer-centric airlines could follow a total quality mantra, where every process is continuously improved for the benefit of customers. Such a total quality management approach implies that all members of staff are responsible to improve their airlines’ service quality.
Mark Anthony Camilleri
Chapter 11. Airline Schedules Planning and Route Development
Abstract
The airline’s scheduling process is intended to provide a plan on the operating patterns of the companies’ aircraft and their resources, to meet the anticipated demand. The schedules’ plans are usually based on one season only. However, they should be integrated into a long-term corporate plans, as the latter plan specify the fleets’ and other operational requirements. The main reason behind the short-term nature of the schedules plan is the unpredictable economic environment in which airlines operate. For this reason, this chapter provides an introduction to the schedules planning process, as it describes its conflicting objectives, including; customer satisfaction, productivity of human resources, high aircraft utilisation, high load factors, high frequency, maximisation of connections and consistent timing. It deliberates on scheduling constraints, including: slot problems; night curfews; industry regulations; pool agreements and peak surcharges; maintenance requirements, standby arrangements and general operational requirements; as it specifies about slot allocations, frequencies and resources, among other issues. Afterwards, this contribution also deals with the major routing patterns which are often considered during the scheduling process.
Mark Anthony Camilleri
Chapter 12. Aircraft Operating Costs and Profitability
Abstract
The airlines’ marketing policies are influenced by costs and expenses which could influence their levels of service, and their ability to be profitable. Their direct and indirect operating costs are affected by sector length; utilisation of aircraft, fleet size and labour costs, among other issues. Moreover, the aircraft design characteristics, such as aircraft size, aircraft speed, age of the aircraft, crew complement could also affect the airlines’ cost structure. Furthermore, the airlines may have overheads, including; sales costs, administration, accounts, general management and employment costs, among others. Therefore, this chapter provides a detailed overview of airline operating costs and explains how to analyse their profitability. Initially, it introduces its readers to the airlines’ direct and indirect costs, as well as overheads. Afterwards, it deals with cost comparison parameters and metrics.
Mark Anthony Camilleri
Backmatter
Metadaten
Titel
Travel Marketing, Tourism Economics and the Airline Product
verfasst von
Mark Anthony Camilleri
Copyright-Jahr
2018
Electronic ISBN
978-3-319-49849-2
Print ISBN
978-3-319-49848-5
DOI
https://doi.org/10.1007/978-3-319-49849-2