Capturing The World’s AttentionOnline/Off l ine Marketing Integration

Malaysia Tourism Scenario

Steady v i s i tor growth rate t hrough g lobal i s sues and cr i ses

5.5

7.9

10.2

12.7 13.2

10.5

15.7 16.417.4

20.922

23.624.6 24.7

0

5

10

15

20

25

30

'98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11

9/11

Bali Bombing

SARS/Iraq War

Tsunami

H1N1

MTA launch

JE

VMY 2007

351% growth from 1998 to 2011

Arrivals (mil)

Malays ia i s n inth most v i s i ted countr y in t he wor ld

8.612.3

17.3

24.2 25.821.3

29.732

36.3

46.149.6

53.456.5 58.3

0

10

20

30

40

50

60

70

'98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 11

Increas ing government investments and r i se in tour ist ar r iva ls brought in RM58.3 b i l l ion in tour ism revenue

578% growth from 1998 to 2011

Receipts (RM bil)

ASEAN cont inues to dominate wi t h >70% of tota l a r r iva ls

ASEAN, 76%

9%

4%3%

5% 3%

ASEAN

NORTH & EAST ASIA

WEST & SOUTH ASIA

OCEANIA

AMERICAS, EUROPE, SOUTH AFRICA

OTHERS

Malaysia Tourist Arrivals 2011

S ingapore cont r ibuted >50% of tota l a r r iva lsto Malays ia .

Rank Country 2011 Arrivals

1 Singapore 13,372,647

2 Indonesia 2,134,381

3 Thailand 1,442,048

4 China 1,250,536

5 Brunei 1,239,404

6 India 693,056

7 Australia 558,411

8 United Kingdom 403,940

9 Japan 386,974

10 Philippines 362,101

Malaysia Tourist Arrivals 2011: Top 10 Markets

Tourism Malaysia Marketing & Promotion

Mar ket ing Object ives

Increase foreign tourist arrivals

1

56.524.653.423.649.621.546.120.136.317.532.016.4

Receipts(RM bil)

Arrivals (mil)

58.324.7201020092008200720062005

Year

2011

Extend the average length of stay of

visitors to increase per capita expenditure

2

6.96.76.46.36.26.1

ALOS (nights)

2,2502,2562,2472,1962,0671,944

Per Capita(RM)

201020092008200720062005

Year

Stimulate the growth of domestic tourism

and encourage planned holiday culture

3

42.940.337.735.132.529.9

Total (mil)

201020092008200720062005

Year

NORTH ASIA & EAST ASIA

1

ASEAN2

SOUTH ASIA, WEST ASIA &

SOUTH AFRICA

3

EUROPE, AMERICAS &

OCEANIA

4

Internat iona l Mar ket ing Zones

ChinaTaiwanHong KongMacau

JapanSouth Korea

AustraliaNew Zealand

USACanadaArgentina

South Africa

EUROPE

AFRICA

EAST ASIA NORTH ASIA ASEAN

SOUTH ASIAWEST ASIA

OCEANIAAMERICAS

Saudi ArabiaUAEIranSyriaOmanKuwaitQatarEgyptYemenLebanon JordanBahrain

IndiaSri LankaPakistanBangladesh Nepal

SingaporeIndonesiaThailandBruneiPhilippinesVietnamCambodiaLaosMyanmar

Internat iona l Target Mar ketsPrimarySecondary

UKIrelandGermany Switzerland Netherlands FranceItalySwedenRussiaTurkeyBelgiumAustriaCzech Republic Poland Luxembourg SpainPortugal GreeceNorwayDenmarkFinlandCIS

Target Segments

Retiree / Senior CitizenYoung AdultsFamily with Young or Teenage Children

Luxury Traveller / EliteHoneymoonerYouth / Student

Special Interest Group – Sports,Golf, Eco-tourism, Diving, ReligiousExpat Health Tourist

Continue to promote Malaysia as a top tourism destination using the 'Malaysia Truly Asia' campaign

Adopt a destination-focused approach Develop dual-destination marketing strategy Enhance tactical promotions Dedicated efforts to convert day-trippers to overnight-

staying tourists Promote new packages and products

Internat iona l Mar ket ing St rateg ies

Encourage a planned holiday culture by developing and selling the ‘Cuti-Cuti 1Malaysia’ packages

Promote domestic tourism exhibitions and events alongside CC1M roadshows

Strengthen smart partnerships between local cultural programs and sports events with TV and radio stations

Upgrade information dissemination system

Domest ic Tour ism Promotion Strateg ies

Multiple campaigns approach where:• Each campaign addresses a specific objective• In-market situation determines the campaign weight

The campaign module consists 4 types of advertisements:1. Global Thematic2. In-market Thematic3. In-market Tactical4. Ad-hoc Advertising

Advert is ing Strateg ies

Advert is ing Strateg ies – Campaign Module

Global Thematic Campaign

1In-market

Tactical Campaign

3Ad-hoc

Campaign

4In-market Thematic Campaign

2

G l o b a l T h e m a t i c C a m p a i g n :To i n c r e a s e a w a r e n e s s a n d p r e fe r e n c e f o r M a l ay s i a .C o m m u n i ca t i o n f o c u s e s o n o v e r a l l b r a n d p r o p o s i t i o n .

I n - m a r ke t T h e m a t i c C a m p a i g n :D e d i c a te d m a r ke t - s p e c i f i c c a m p a i g n s b a s e d o n l o c a l m a r ke t s ’ n e e d s a n d i n s i g ht s .To c r e a t e i n t e r e st a n d d e s i r e t o v i s i t M a l ay s i a .

ASEAN East Asia North Asia

Europe/Americas/Oceania South Asia West Asia

I n - m a r ke t Ta c t i c a l C a m p a i g n :To s t i m u l a te b o o k i n g a c t i o n a n d d r i v e c o n s u m e r s t o t r a v e l a g e n t s a n d /o r i n t e r n e t s i t e s .I n c l u d e s c o - o p c a m p a i g n s w i t h s t r a t e g i c p a r t n e r s s u c h a s M a l ay s i a A i r l i n e s a n d A i r A s i a .

Travel packages

A d - h o c C a m p a i g nTo c a p i t a l i s e o n o p p o r t u n i t i e s t h a t m ay a r i s e o r c r i s i s m a n a g e m e n t d u e t o u n fo r e s e e n c i r c u m st a n c e s .I n c l u d e s s p o n s o r s h i p s a n d e v e n t m a r ke t i n g .

Japan Recovery Programme post Tsunami

21

World Travel Trends

Source: ITB World Travel Trends Report 2011/2012

Asians spend the most per trip, ahead of Americans and followed by

the Europeans.

Americans take the longest trips while Asians take the shortest trips.

Implication: Opportunity to drive luxury segment among Asians

Implication: Encourage more frequent trips as opposed to longer stays among

Asians

More trips, higher average spending per trip but average shorter trips

Due to economic situations, crises and catastrophes in destinations around the world, Europeans and Americans are taking shorter and cheaper short-haul trips or even

‘staycations’ i.e. ‘holidaying’ at home.

Source: ITB World Travel Trends Report 2011/2012

Europeans and Americans take more and cheaper short-haul trips or ‘staycations’

Apart from China and India, Indonesia,

Vietnam and Philippineshould be watched as major

outbound markets.

Low-cost airlines open up markets with more and more new routes. Intra-Asian air travel became the largest

regional market in the world.

Implication: Prioritise marketing effort to focus on attracting short-haul tourists

from Asia region.

Asia’s sophisticated urban life creates demand for more

specialised products – heritage & culture, ‘edutainment’

theme parks, soft adventure, luxury holidays and sports

tourism.

Source: ITB World Travel Trends Report 2011/2012 24

Asian travel soars with the rise of well-off middle classes

Online bookings now account for nearly half of travel bookings.

Consumers are using online media extensively for travel planning and information gathering. After their trips they heavily use social media and other online platform to communicate their experiences.

Source: ITB World Travel Trends Report 2011/2012

Rise and rise of the Internet!

The phenomenal growth of the tourism industry online, has intensified the battle for the consumers’

time and attention.

Asia has the highest number of Internet users…

…driven by big populations in certain Asian countries which are also the major outbound markets

835,525,280 Facebook users worldwide!

30

Tourism Malaysia e-Marketing

E-Mar ket ing adopted by Tour ism Malays ia

Online BannersSearch Engine Facebook Campaign

1 2 4

Ad Network

3

Drive to website: www.tourismmalaysia.gov.my

Presence in Search Engines to consistently drive high click-throughs to the Tourism Malaysia website.

Drove excellent brand awareness and huge traffic to the TM website.

Search

Blanket coverage across all major markets through leading regional portals to achieve high levels of awareness.

Buying into high traffic lifestyle and social portals such as Yahoo and Facebook, as well as high affinity travel portals such as Trip Advisor and Yahoo Travel.

Onl ine B anners

Audience were targeted on the basis of their online behaviours, custom channel and context.

Users who have already engaged with the brand (Tourism Malaysia) previously at some point were also targeted.

Execution: Optimised the campaign on

regular basis by shifting budgets to the best performing geos and placements.

Use an interesting mix of international and local sites to further campaign reach.

Utilise rich media banners for better visibility and impact. Supported by standard banners to maintain cost efficiency.

Ad Net work

Facebook Campaign Launched in June 2011 to promote 6 event-based campaigns:

1. Colours of 1Malaysia2. 1Malaysia Malaysia Mega Sale / Malaysia Year End Sale3. Cuti-Cuti 1Malaysia4. 1Malaysia Contemporary Art Tourism contest5. 1Malaysia Green and Clean Campaign6. Fabulous Food 1Malaysia

Have garnered 495,628 fans so far

Moving Forward

Soc ia l Creat iv i ty i s t he fut ure

Moving from reach and awareness to more engagement.

Design social marketing campaigns that allow 3Ps – Play, Participate, Pass On.

Build a credible online infrastructure to facilitate travellers in travel planning and booking, as well as a platform to share their experiences before, during and after a trip.

PHILIPPINES• In 2011 Philippines launched new

campaign “It’s more fun in the Philippines” and went heavy on social media.

• Authority said this campaign is “everybody's campaign” and the images used in the ads were shot by regular Filipinos, depicting variations of the “It’s more fun in the Philippines” slogan.

• Campaign went international when its TV ads debut in CNN on 30 April 2012.

38

Phi l ippines Soc ia l Media B oost“ I t ’s more fun in t he Ph i l ippines” news coverage on CNN

Internat iona l tour ism i s forecasted to grow as much as 70% in t he next 10 years to h i t 1 .6 b i l l ion ar r iva ls by 2020

36 mil l ionsi n t o u r i s t a r r i v a l s

RM168 bi l l ioni n t o u r i s t r e c e i p t s

Tour ism Malays ia a ims to att ract 36 mi l l ion tour ists by 2020 wi t h an annual revenue of RM168 b i l l ion

(46% increase from 2011) (200% increase from 2011)

Indicates the need to attract high-yield tourists

Target growth rate is below forecasted category growth (70%)

Thank you