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The The ImportanceImportance of Marketing in of Marketing in

the the tourismtourism sectorsector

New New challengeschallenges forfor a a growinggrowing market market

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OverviewOverview– The industry of tourism and hospitality is one of the most

important of the world economy.– It is estimated that the tourism industry holds about 10% of

workforce worldwide, reaching 18% in Europe.– The World Tourism Organization projects that by 2020 a

doubling of the volume of arrivals in Italy than in 2000, rising from 800 million to over 1,600 million.

– Calculations and estimates of aggregate economic significance of tourism, show a weight ratio of the sector's total of up to 14% in 2000, while forecasts for 2010 see the weight of the sector to rise to 15% abundant. Are recent reports about China, for an increasing liberalization of exit permits in the country for the purpose of tourism. At the same time, China is growing strongly as the country of arrival of tourist flows,and in 2005 accompanied the Italy in this respect.

– Are about 1 billion "movements" of people in the world, that form the tourism sector.

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./../.– Cannot escape the importance of such matters for the

impact that will in the coming years, in quantitative and qualitative analysis of tourist flows. E 'expected strong competition between the destination of these flows, among which is the Italy of course.

– And to be able to confront and overcome these challenges, our country can no longer rely solely on a highly fragmented and individualized. "The possibility of growth and further consolidation of the tourism industry is tied to the creation of networks (whether promotional infrastructure, reception, receptivity) capable of achieving high integration, and look in the eyes of customers with a "brand" clearly detectable, which might connote and characterize specific territorial reality.

– We believe that the Italian government has done well to restore the Ministry of Tourism, for these reasons.

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ThereforeTherefore the "the "TourismTourism Marketing"Marketing"

• The tourism marketing is the application of the principles and techniques of marketing to the general field of tourism. The marketing is a natural complement to the marketing and tourism can be defined as a systematic strategy, built on the needs and expectations of the market, to optimize the use by local authorities, the factors and elements that contribute to the enhancement of attractions and tourist services , or offered by a given territory.

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The The italianitalian touristtourist market in market in numbersnumbers

• direct turnover of the tourism sector in Italy: about 90 billion euros (10 per cent of GDP);

• total sales (direct and indirect) of the tourism sector in Italy: about 160 billion euros (14 per cent of GDP);

• employed in the tourism sector in Italy: about 2,500,000; • global flows in terms of number of visitors in two areas, a couple

(Europe) and emerging (East Asia) (2009 versus 2015 projections): – Europe from 3.1 million to 5.4 million visitors ; – Eastern Asia: from 900 thousand to 1.8 million.

• worldwide market share of tourism in terms of revenue (% values), Italy: in 1985 it was 7.4 in 2008 fell to 5.7 ;

• budget of the Ministry of Environment and Territory: about one billion euros ;

• budget of the Ministry for Cultural Heritage: around two billion euros;

• Budget of the new Ministry of Tourism: data not available• operators of tourism in Italy: about 120,000, of which 33,000 hotels

and 88,000 non-hotel outlets and the Italian receptivity amounts in all to about two million people, plus about 1 million rooms;

• tour operators in Italy: about 150, with a turnover of about 6 billion

euros

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InfoInfo fromfrom market market researchresearch::

– Through market research, we study the characteristics of both the demand and supply, in order to have a sound information base through which to set a more scientific, and with less risk, the tourism marketing activities.

– Through market research will investigate and measure the tourist consumption.

– For example, today we know that:

• 55% of Italians go on holiday every year; • 15% usually buy a package tour, with at least 7 days; • to travel proportionately more young people are between 20 and 30

years, although over 55 account for 55% of tourists, travelers also are strong residents in the North West, the property of medium to high income, university graduates or graduates;

• holiday packages sold in Italy, including residential and hotel reservations, totaled more than 6 million, with a turnover of over 5 billion euros.

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./../.• TOURISM from Eastern Europe IN ITALY: approximately

500 thousand were for example the Russians that in 2008 they chose Italy for their holidays, and the growth in 2006 is 8%, (+ 20% from 2004); were 400 million €uro Russians spent by tourists in 2006, of which 125 in souvenirs, the Russians are the third most visitors' spendaccioni "after Japanese and Americans, is the fifth position in the ranking of preferred destinations for holiday Russian tourists (only a few years ago, our country occupies the 10th place).

• ITALIANS ON HOLIDAY IN THE WORLD: 400 Italian tourists in Mexico in 2007 and 500 thousand in the Indian Ocean; 1 million in Egypt, of which 70% in Egypt (200 presences in July, 300 in August), in a volume d 'business around 3.5 billion dollars a year, about 200 thousand in Cuba

• THE BUSINESS OF BEACHES: Annually, in our country amounts to some 200 million euros, and the bathing facilities are about 500.

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A few A few numbersnumbers ......– Increases the turnover of the summer tourism (average expenditure per

person including travel, accommodation, catering and entertainment). This year we will spend an average of 1035 euros that will lead to a turnover amounted to 23.9 billion euros compared to 19.6 billion euros in 2007 (+11.5%).

– MOST REGIONS "Popular" - Sicily has been the queen of 2008. With 12.2% of preferences in the choice of destination of the Italians. The island distance Tuscany in second place with 8, 8%. Puglia and Emilia-Romagna with 8, 5%, Sardinia with 7.5%, Calabria with 7.2% and the Trentino Alto Adige and Campania by 5.3%.

– WHERE IN VACATION - Germany, Country organizer of World Football 2006, has increased significantly and the flow of tourists (even fans!) In Italy between June and in July 2008 (and the World Cup were ended by a long time ...).

– An examination of more general types, chosen by the Italians on holiday abroad, we are witnessing a general decline of the great capitals of Europe (28.9% vs. 37.7% in 2005) and tropical seas (24.8% compared to 34.2% in 2005).

– France has shown a drop in bookings for the current year; và said that for some destinations the particular time of the various weather decks (Easter, May 1st weather were "bad") has significantly affected the choices of the tourists "of 'last hours, "a type of tourist that given the ongoing economic crisis, it was developed during 2008 and 2009 and that will be the subject of a search party.

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TerritorialTerritorial MarketingMarketing– Territorial Marketing is a complement of broad and general marketing

of tourism. – This framework aims to provide professional and technical bases

necessary to move effectively in the modern tourist market, dominated by the question, in which the success and survival of the flow from its ability to understand and conquer the consumer to understand the needs and satisfy them better, but better than the competition.

– Turistical Marketing is therefore interested in those involved in the marketing and those who want to engage in the management of tourism enterprises (marketing of product and service), whose management, the organization which processes and enhancement of staff should be more precisely marked and inspired by the concepts and needs of marketing in general.

– All this while taking into account the peculiarities of the product and the tourist, as well as its influence on marketing activities such as tourism system.

– On the one hand we have the tourist public at large (area), with its organs, its tasks and its problems in marketing, in the other hand we have the private tourism organization, which faces duties and marketing issues relating particularly distribution and payment of tourist services.

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The new The new trendstrends in in tourismtourism• “Sunflower Tourism”• Weekends and short trips• Cruises• Arts, Culture and Religious paths• Resorts• “Green Tourism”• Wine & Food Tourism• Areas and marine parks• Camping• Last minute• Spas, Beauty Farm & Wellness

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""SunflowerSunflower" " toursimtoursim

• In case of prolonged or sudden bad weather in some regions of northern Italy, has seen the trend of an increase in short vacation (1-4 days). In search of sunny places.

• Significant example is the increase in transit at airports of Olbia and Cagliari, for example, only in the weekends thanks to low cost flights (up 50% and 130%) and the particular economic conditions that the structures (finally ...) are "outside season”.

• This trend has increased even for destinations up to 3h flight from Italy (+ 40% towards the Balearic Islands, + 30% towards the Isles of Greece, 25% to Morocco and Tunisia).

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WeekendsWeekends and short and short tripstrips

• The economic downturn has weighed on the course choices of holiday, less availability of money to be allocated to leisure activities and culture has meant that people allocate their resources differently.

• Thanks also to the rapid connections made by the railways and the competitive prices (just think of the Milan-Rome: high speed has in fact given anti-economical to travel by car has increased and travelers of the weekend which can for example visit some cities of art in a single day), we have seen a great increase in short and very short trips (2009: +50% in the 2nd quarter 2007).

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CruisesCruises• The most updated data is provided by the Port of

Genoa and indicates that in 2008 the traffic of passengers was 547,905 passengers, an increase of 13% on the previous year, with about 40,000 passengers home port more than in 2007 (+12 %). In the field of ferry traffic was 2,552,997 passengers, an increase of 0.7% over 2007, while commercial traffic has decreased by 1, 9% to 2,968,862 metric length.

• In 2008 the “Stazioni Marittime” (the company that operates the Port of Genoa) recorded a net profit of over 1.2 million euros on a turnover of approximately EUR 25 million (+9%).

• Marittime stations in 2009 expected to decline by 4% of passengers on ferries and 10% of commercial traffic, while traffic for the cruise is expected to increase by 12%.

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ArtsArts, Culture and , Culture and ReligiousReligious pathspaths• RELIGIOUS TOURISM: there are 3000 structures in Italy

(shelters religious), 56 convents, average cost: 30 Euro monastery, 25 Euro house reception; prevalent users: persons 40-70 years;

• "Material Culture": the key to success for the culture in Italy is also in the ability to produce an effective diversification, crossing the rich historical, artistic and monumental traditions with crafts, food and wine and folk territory. "Culture" in a very broad sense, to complement the traditional approach to "protection" with the "enhancement" of local cultural identity.

• "Not enough visits to museums .... "We need to breathe to the tourist in Italy is that the atmosphere and emotions of the place, offering a unique experience that the reasons to come back.“

• An operation to be carried out and communicate first of all within the territories themselves, ie involving people in processes of gradual rediscovery of its own traditions.

• Refer to pages 22 and 23 of this document for an example in the field of art.

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ResortsResorts• In Italy are tourist accommodation facilities open to the public,

management unit, set up and equipped at the closed space for the stop and stay of tourists mostly without their mobile accommodation units in fixed or mobile.

• The holiday village, also known tourist village is a tourist after all a new concept.

• It differs from the other tourist facilities for the famous “all-inclusive” formula.

• Ideal for those who wish to have in a single structure all the comfort. • Is characterized by the presence of the cheer leaders who stay in the

village itself, offering themed shows or alternative activities such as sports such as tennis, hiking, theater, cabaret etc..

• Many resorts have a focus for families, offering their assistance and activities for children and are still intended to grow. It is estimated a growth of the sector between 4 and 9% for the year 2009, thanks to the above and desirable introductions by the Government, initiatives such as the reduced rate of VAT which if adopted, would be only the fall in prices charged to tourists.

• A study on the sector is under preparation.

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““Green Green TourismTourism””• It’s in the growing phenomenon of rural houses.• According to estimates by Agriturist in the last ten years the number of structures

increased by 81%. In 2007 the increase was 6.7% over the previous year. • There are about 20,000 structures, mainly located in the center-north. Recently,

however, the highest rates of growth were recorded in the South, which for some time is trying to reduce the gap with the rest of Italy. Almost half of the farm in addition to housing, it also offers catering. Three out of ten hold tastings, six out of ten offer recreational, cultural, sporting or entertainment venues. Among the favorite destinations, the first place belongs to Tuscany with 18.5% of tourists, followed by Sicily (9.7%) and Sydney (7.8%). The upward trend was also confirmed in spent Easter holidays. As against the decline in bookings over the other tourist areas, is caused by bad weather that the economic situation. E 'as it emerged from a survey conducted by Green Tourism, the italian association CIA, who saw an influx of less than 500 thousand tourists, nature lovers many of them foreigners (Germans in the lead). This is mainly due to prices that, unlike other places, have remained stable. Only 1 percent of the companies has, in fact, the adjusted prices than last year. Figures confirmed by Agriturist with over 90% of beds occupied. The most "popular" have confirmed Tuscany, Sicily, Lombardy, Sardinia and Calabria.

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Wine & Food Wine & Food TourismTourism

• 2 billion business: wine tourism• There are 112 roads of the wine in Italy for a length of 10

thousand kilometers, visited each year by 4 million visitors. The business tourism is estimated at 2 billion euros, but there is the possibility of doubling the turnover over the next 5 years.

• These are significant numbers but reflect only a fraction of the partial yield potential of Wine & Food Tourism in Italy, a country that boasts a budget of single base in the world with a substantial heritage of offering products and territories. Nevertheless, there are still few roads of wine, from the Law 268/99, have reached an appreciable level of operation.

• Eataly - Slow Food and food fairs in the sector in a trend of double digit growth, not only for events held in Italy, but also for the successful kermesse travelers. A clear sign that this area of collecting, and it deserves further apart.

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AreasAreas and marine and marine parksparks• The macroscopic regulatory fragmentation is such that the user must

distinguish between the state marine protected areas, those of national parks land perimeter, at sea, submerged parks, international parks, nature reserves full - as Montecristo - the regional marine protected areas , the "oasis blue" and so on.

• A variety of institutions, particularly institutions and rules, often contradictory, making compliance with the rules very complicated.

• Is recent signing of the Protocol for the boating sustainable, sponsored by the Ministry of Environment, Ucina and the major environmental organizations that have laid the groundwork for a first homogenization of reform and regulations.

• It’s a potentially strong growth figures are expected and interesting even though the Ministry of Tourism is planning a rationalization of sites and regulations in place.

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LastLast minuteminute• The Real Time Market

The tourist market has been mapped on a stock market trend. The proposals of the tour operators and airlines will update daily and increasingly are adapted to sudden changes in the direction of the application. Travel agencies print the contracts, airline tickets for example, directly related to the real market through websites and call centers, and are able to instantly verify the reactions demand / supply and manage the information.

• This essentially means that a large slice of tourists can, by themselves through the use of the Internet or through the travel agencies specialized use of special conditions always advantageous although not booked well in advance, as would be of use.

• It must be said that we saw also a sort of "self" of the offers proposed by the agency because, thanks to blogs, controls on travel services offered by the structures are increasingly determined by information users, and therefore that is the mouth.

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CampingCamping• Tourism in campers and camping is for the Italian tourism industry a major slice

of the market are 800 thousand people each year move in campers and tents for tourism with over 230 thousand in motor movement, creating a lead on territory of more than 700 million euros.

• According to data Assocamp (Italy) covering the period 2007-2008, were 14,500 vehicles sold each year for a turnover of approximately EUR 750 million. According to a recent survey by ACNielsen, are 3.3 million Italians who have experienced a holiday in the camper but more than 11 million workers say they want to live an experience of traveling aboard a mobile home or tent, and between these 1.7 million express the intention to leave in the camper in the next 3 years.

• Today in picking campsites and recreational vehicle are mainly families, couples without children, groups of friends and retirees. The social-economic profile of the tourists en plein air is the medium-high. Looking at future trends, however, you find that the campers of tomorrow will be the youngest: the average age is, in fact, between 25 and 34 years, a difference of some 25-44 years ago. The study shows that 89% of this type of practice usually tourists shopping in the territory during their outings in the camper van, showing appreciation of the local products, such as food and craft production. Among the goals, the Italy remains in first place even for foreigners, with 83% of choice, remains high on the preferences, artistic and cultural visits, trekking paths and Enogastronomic are the activities that attract more supporters of the camping style.

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SpasSpas, Beauty , Beauty FarmFarm & & WellnessWellness• Today there are more and more people choose to spend a stay in spas or beauty

farm for treating or preventing diseases in a natural way otherwise destined for pharmacological treatment or simply to relax.

• The Beauty Farm and the SPA ( "Salus per aquam," or the health of the water) are in fact places where to find the psycho-physical well-being away from the frenetic rhythms of everyday life and help to improve health care through natural basic water and sludge treatment.

• Italy is fortunate, from this point of view, being a territory rich in spas whose waters, therapeutic mud and caves - are scattered in almost all regions - have a history.

• In different regions of Italy offer many hotels in all the seasons and the services sector has experienced in the last decade, an exponential growth, crossing an application and an offer unprecedented.

• Latest figures say at least 50,000 Italians every year staying in a beauty farm and are about twice those receiving the services of the spa.

• Companies are about 30 thousand, 56 thousand employees, the spa 2500. • For the welfare industry, in 2007 the Italians have spent about 16 billion €uro

between baths, Beauty Farm and Spa.

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AnAn exampleexample of of TouristTourist Marketing Marketing ((productproduct mktgmktg))

– Cultural events as marketing tools for tourism: the case of Rovereto.– Rovereto is a City of culture, and as such can be a more attractive location for a mountain that

has a rigid bi-season summer / winter. – creation of the brand– establishment of a strong coordination between the public body and the central or regional

players. – “Trentino region” was positioning as "the ideal mountain" (just like was able to Sardinia to

position itself as the "ideal sea", and Tuscany as the "perfect campaign"). – positioning of Rovereto City second the idea of marketing through the existing cultural events, to

improve with new events. Action: Creation of brand ROVERETO FESTIVAL. Working on the quality of events has formed an adequate flow of communication.

– Action: launch of the calendar of events "Incanti and memories." – identification of the reference market orientation and towns such as Verona, Vicenza, Padua,

Mantua, Brescia, places in which to focus a communications specialist (focusing on a mature cultural tourist, hunting for new locations).

– Launch of the Museum of Contemporary Art of Trento and Rovereto (MART). The Society of “Marketing Territoriale del Trentino” deals with MART promote nationally and internationally, managing the communication, the image and the exact role of communication and the development of tourism in the area. Action: the "Towards the MART."

– Today, the Trentino is also perceived internationally as a high vocation environment (more than 50% of the province consists of forests, which further contributes to the success of the tourist area).

– The choice of Trentino region was not to develop industrially, but raising the quality of tourist offer by being competitive through the exploitation of the territory, in the international market.

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AnotherAnother possiblepossible strategystrategy: (: (ifif MuhammadMuhammad doesdoes notnot go go toto the the mountainsmountains ...)...)

• In order to create a virtuous circle tour - and always to remain in the field of art and culture (incidentally, the field of cultural tourism that is now in Italy about 25% of total business - and it is a significant development in the segment -- ), a winner has been that of "traveling museum".

• There was a considerable success with a particular action: thanks to the Fondazione Banco di Sicilia, formerly keeper of the Museum Ignazio Mormino in Palermo, which has the largest collection of pottery, paintings, coins, etc.. of Sicily, a sort of "mobile museum", he have been chosen the most representative works of this museum and has been exhibited in various locations in Italy and abroad.

• The aim was not only informative about “Museo Mormino” but also to raise awareness through art the beauties of Sicily.

• Then were given the opportunity to disclose in a manner not only the works of this museum (hardly a resident of Sydney for example is known of this museum but it is also difficult to propose appropriate promotional and is known practically only by the compliance work) but also the whole of Sicily, distributing propaganda materials and proposing in agreement with a prestigious Tour Operator, conditions of travel and accommodation particularly advantageous.

• The success suggests that this action marketing albeit more complex, can be replicated in other areas.

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So So whatwhat wewe can do can do forfor youyou??

• We are Senior Consultants at the Department for Development and Competitiveness of Tourism in the Italian Ministry of Tourism.

• We have the experience to to help you in promoting your product, be it a service or a facility in Italy and abroad.

• We also disclosure of your material, not only through the "usual" channels, but by investigating the possible variants of distribution with new methodologies in co-partnership and putting the focus on new marketing techniques.

• We study the Marketing Plan, in agreement with you will follow the correct application.

• …

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OurOur sourcessources::• www.federalberghi.it• ISTAT• Turismo e Finanza• CISET• ISNART• UCINA• www.wttc.org• www.unesco.org

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OurOur contact contact detailsdetails