Tourism Promotion from the Perspective of a Media Channel

7th UNWTO Asia Pacific Executive Training Program: Tourism Branding & Communications

June 3rd-6th 2013

1. Introduction

– Role of media in tourism promotion

2. Media Choices

– Strengths by media type

3. Media Brands – choosing the right partner

– Audience delivery, environment, creativity,

accountability…

4. Measuring Effectiveness

5. Summary

Agenda

Introduction Advertising Challenges

• Destination advertising increasingly challenging…

– Growth in number of competing destination messages

– Proliferation of media vehicles and platforms

– Multiple new and sought-after source markets

– Difficult to measure ROI and re-invest accordingly

– Risk of wasteful and ineffective communication

Introduction Role of Media in Tourism Promotion

• Important to step back and focus on end-goals of destination advertising

Increasing brand awareness and appeal

Bringing brand message to life through relevant media

Forging strong, meaningful, lasting emotional connection with travellers

Targeting markets and consumers offering high growth potential

Accelerate the potential for conversion of interest to booking

through

1)

2)

3)

4)

Destination advertising is the message

Media is the amplifier of that message

Decision making on media platforms, channels, titles, sites

is of critical importance

Introduction Role of Media in Tourism Promotion

• Media planning not a simple task

Have to reach…

…with the right message

the right people

in large numbers

in a receptive mood

in an appropriate environment

at the right time

in the right location

on the right platform(s)

with the right frequency

preferably with the right media brand values

• No single medium can do this

– Important to understand the relative strengths of each

Media Choices For Destination Advertising

Media Choices Strengths of key media types

• Wide reach

Universal, daily medium

• Targeted

Via channel / content association

• High impact

Engage more senses: sight, sound, motion

• Convey core brand image

Mood, emotion, personality

• Big-brand status

Platform of choice for world’s leading brands

• Brand gravitas

From image of media owner and ad environment

• Share of voice

Competing head-to-head with main competitors

TELEVISION ONLINE

• Targeted reach

Geographic, by site, behavioural

• Interaction

With advertising, brand

• Click through

To destination web site

• Complement to TV

Same/similar creative

• Creative flexibility

In content and execution

• Accountability

Impressions, clicks, referrals

• Sustained presence

e.g. between bursts in other media

Media Choices Strengths of key media types

• Reach

Mass reach for national newspapers

• Targeted

Can be very niche

• Detailed and informative

Ads can convey more information

• Credible

Print lends legitimacy / no risk of spam or viruses

• Brand gravitas

Serious, credible: positive for business travel

• Tangibility

Ad has more lasting presence

PRINT OUTDOOR

• Mass reach

• Targeted

By location only

• Visibility

Good for awareness building

• Longevity

24x7 exposure

Frequency

Media Choices Strengths of key media types

SOCIAL MEDIA

• Direct engagement dialogue with travelers

• Tactical messaging e.g. seasonal promotions

• Target audience feedback

Real-time customer service

MOBILE / TABLET

• Targeted reach

• Anytime/anywhere reach

Out-of-home, prime/non-prime

• Interactivity

With advertised brand

• Modernity

Advertisers in tune with today’s tech

• Complement to TV / online

Similar creative

• Creative flexibility

In content, execution

• Click through

To destination web site, app

Media platforms are tools, not strategies.

Each platform to be used based on its…

— Specific role in communications mix

— Desired impact within greater comms strategy

Media Brands Choosing the right partner

Media Brand Choice Key Considerations

• After identifying appropriate media platform(s), need to determine

which media brands to use

Key Considerations

Audience Delivery:

Advertising Environment:

Creative Excellence:

Accountability:

Intangibles:

(besides cost!)

Geography

Quantity and quality

Targeting vs. wastage

Content and ads

Ideas, quality, production, execution

Proof of delivery, effectiveness

Brand fit / values, relationship, partnership

Audience Delivery Size, profile and degree of wastage

Quality and Quantity

45% Profile

Index 150

42% Profile

Index 140

Media brand A Media brand B

Total Audience

Int’l Travellers

Targeting and Wastage

30% Weekly Reach 15% Weekly Reach

80%

Business

20%

72%

Leisure

28%

Incidence of int’l travel within total population is not high = risk of wastage

% Adults taken 1+ international trip

by air in past 12 months

Base: Adults 25-64 in HK, Mumbai, Delhi, Seoul, Bangkok, KL, Taipei, Jakarta, Manila, Singapore. Source: Ipsos AsiaBus, Sep 2009

Targeting & Wastage Defining the right target audience

• Media should be judged on their ability to reach the most relevant travel target audience

Personal / household income

Job status / title

Socio-economic class

Passport ownership

Psychographics

e.g. “I like to explore new cultures”

Directly Relevant Target Audiences

Surrogate Target Audiences

Recent travelers

Frequent travelers

Leisure / business travelers

Domestic, short / long-haul travel

Regions / countries flown to

Choice of media measurement currency can

help or hinder targeting

e.g. Two types of TV audience measurement:

— Traditional TV ratings

— Targeted media surveys

Display Unit

Base Unit

Transmission

Unit

Remote Meter

TV Audience Measurement Ratings via Peoplemeter Panels

Advantages Disadvantages

Continuous

Electronic

Detailed

Accepted

In-home only

TV only

Limited demographic info

Intrusive

TV Audience Measurement Targeted Media Surveys

Advantages Disadvantages

Any viewing, anywhere

Multimedia

Targeted

Rich demographic info

Minimal respondent burden

Recall-based

Non-continuous

Limited viewing info

Syndicated surveys of media consumption

among targeted populations

e.g. Top 20% income earners

Senior business people

Advertising Environment Choose the company you keep

Local/national media can struggle to provide the appropriate advertising

environment for campaigns targeting affluent consumers

High levels of clutter

Adjacent to locally focused, mass-market advertising, e.g. car dealerships, fast food

Juxtaposition of international destinations with predominantly local attractions

US Broadcast Network

National

1) Autos

2) Telephone - Wireless

3) Dept. Stores

4) Quick Service Restaurants

5) Trucks

6) Motion Pictures

7) Credit Card Services

8) Financial Investment Services

9) Computers

10) Beer

Top Ad Categories:

Source: Nielsen Ad*Views Jan-Dec 2012

Creative Excellence Media selection is only the start….

TV commercials

Program sponsorship

Segment sponsorship

Advertorials

Web sites

Micro-sites

Mobile sites

Apps

…What you do with it is equally important

…as is choosing the right media brand to work with

Short Form Commercial Film ‘Croativity’ produced by CNN TCP, with Croatian cellist and ambassador Ana Rucner

CROATIAN NATIONAL TOURIST BOARD (CNTB)

Sponsorship of CNN Business Traveller 30 min show on CNNI EMEA - 10sec billboard, 30sec TVC attached to the show; co-branded

promoTV/Online

Creative Excellence Leveraging Media

Creative Excellence Leveraging Media

Bespoke Web Sites / micro-sites

Smartphone apps

Media Brand Choice

Accountability

Media buying as much an art as a science

Destination advertising can seem like a leap of faith!

Much easier to pinpoint advertising cause and effect in other

product/service sectors

– Can track advertising to sales for FMCG, and usually for hotels and airlines

– Destination advertising is different

Difficult to isolate advertising as a single factor influencing destination selection

Trip may occur months or even years after first ad exposure

Intangibles are everything: image, mood, atmosphere, culture…

How to measure campaign effectiveness / ROI?

Measuring Effectiveness What to Measure?

How many people saw the campaign? (Reach, Impressions)

How often? (Average Frequency)

At what cost? (Cost per thousand)

Difference between campaign metrics…

…and advertising effectiveness

Was the campaign recalled?

Was the ad message understood?

Did the campaign improve the image of the destination?

Did it boost consideration for the destination?

Did it increase preference or 1st choice destination status?

Measuring Effectiveness Main Approaches

• Country/City image surveys

Direct

Indirect

Other

• Bespoke Ad Effectiveness Surveys (Test & Control; Pre & Post)

• Ad Tracking Studies (longer-term, longitudinal)

• Econometric Modelling

Measuring Effectiveness Bespoke Effectiveness Surveys

Any ad recall (for sector)

Destination image (competitive set)

Prompted ad recall (visual prompt)

Ad comprehension (statements)

Ad perception (statements)

Country image perception

City/state/province awareness

Travel intention / consideration

Typical Survey Contents:

Average Campaign Performance (CNN EMEA) CAMPAIGNS INCLUDING SPONSORSHIP

TVC /Sponsorship Recall

Positive Interest in Ad*

50%

Effectiveness (uplift) in…

Source: CNN CARD System 2012 – BDRC Continental Research Model. Pre / Post Or Test / Control methodologies.

Exposure & Appreciation

among CNN viewers Averages across campaigns

Shifts between Test (Post) & Control (Pre)

Spontaneous

Brand

Awareness

+7%

Spontaneous

Ad Awareness

+25%

Purchase

Intent**

+110%

Prompted

Brand

Awareness

+11%

Prompted

Ad Awareness

+23%

Tagline

recognition***

+73%

Measuring Effectiveness Benchmarking

81%

Measuring Effectiveness Ad Effectiveness Surveys

Do’s

• Use a recognized technique

– Test & Control

– Pre & Post

• 3rd party research company

• Appropriate respondent criteria

• Sufficient sample for sub-group analysis

• Ask for statistical significance (% +/-)

• Show ad creative (all platforms)

• Consistent image attributes

• Benchmarking

• Keep it short, simple, balanced

• Act upon the findings

Don’t’s

• Try to conduct in-house

• Farm out to lowest-cost online panel

provider

• Cut corners (sample size/quality)

• Overload the respondents

• Ask leading or hypothetical questions

• Ignore the findings

TRAVEL AND TOURISM

February 2013

A Global Study of CNN Consumers’

Perceptions and Behavior in Travel

Measuring Effectiveness Country Image Surveys

Key factors: Safety, Price and Reputation

Knowledge and availability of info and diversity of activities in the Top 5

67% 60% 58% 55% 54% 53% 51%

47% 43% 43%

Security & Safety

Source: CNN Consumer Connect – Travel & Tourism 2012 Base: All respondents worldwide from English CNN websites - 3,023 Q: Which of the following are the most important factors when choosing your holiday destination - both in terms of the Country and the Accommodation for your vacation? Please select as many as apply.

Price Reputation Knowledge and availability of information

Diversity of things to do, amenities

Prior experience

Recommendations from friends and family

Environment, cleanliness

Offers unique and special experience

Ease of access

39% 35% 32% 26%

Reviews from other travelers

Quality of service

Recommendations from experts

Promotional offers

HOLIDAY DESTINATION DECISION MAKING FACTORS

27

DESTINATION PERCEPTION

28

One of the fastest growing tourism destinations

An established, welcoming destination

Tourism is helping to boost this

country’s economy

Has attractive business investment opportunities

Beautiful scenery/ natural environment

Rich in culture/ heritage

Safe to visit Good value for money

Environmentally friendly

Australia

Bangladesh

Bhutan

Cambodia

China

Fiji

Hong Kong

India

Indonesia

Japan

Macau

Malaysia

Maldives

Micronesia

Mongolia

Nepal

New Zealand

Papua New Guinea

Philippines

Singapore

South Korea

Sri Lanka

Taiwan

Thailand

Vietnam

Summary

Challenging times for tourism advertising and for media companies

– Competition, fragmentation

Destination advertising is the message; media is the messenger and amplifier of

that message

Decision making / emphasis should be as much on media selection and

implementation as on ad creative development

Media planning complex and each medium has own strengths

– Use in accordance with role / desired impact in comms strategy

Media brand choice no less critical

– Key considerations: audience delivery, ad environment, creative excellence,

accountability…..

Summary

Cannot evaluate ad effectiveness and media choices purely in quantifiable terms

Ultimately about creating a COMMUNICATIONS PARTNERSHIP that is…

HOWEVER

Multiplatform

In synch with

brand positioning

Able to build

relationships with audiences