Destination Positioning, Branding And Image Management

R. Cleverdon and M Fabricius

6. Destination Positioning, Branding and Image

Management

Manila, 20 – 22 March 2006

World Tourism Organization


SESSION COVERAGE

•Destination positioning & branding: what are they & why are they important to destination strategy?

•Destination brand development & architecture

•Destination image – determinants & influences

•Strategic image management tools & techniques

•Role & importance of the media

•Dealing with crises

•Evaluating marketing effectiveness

DESTINATION POSITIONING, BRANDING & IMAGE DEVELOPMENT


DESTINATION POSITIONING•Unique position in relation to competitors, based on

•Differentiation of offering

•Cost of offering

•Specialized focus of offering

•Positioning should•Be consistent with market requirements

•Cost and value for money (high cost-low volume, low cost-high volume)

•Market trends and preferences (exploration, experiential, romanticism, relaxation)

•Convenience of purchase (ease of access, packaging, time limits, etc.)

•Demographic trends (family/individual, age groups, etc.)

•Be consistent with resources•Features and Resources

•Capability to deliver requirements



Generic strategy

Key strategy elements Resource and organizational requirements

Cost leadership

Investment in scale-efficient plant; design of products for ease of operation; control of overheads; R&D; avoidance of marginal customer accounts.

Access to capital; process engineering skills; frequent reports; tight cost control; structured organization and responsibilities; incentives relating to quantitative targets.

Differentiation Emphasis on branding and brand advertising, design, service and quality.

Marketing abilities; product engineering skills; creativity; capability in basic research; subjective rather than quantitative measurement and incentives; strong inter-functional co-ordination.

GENERIC POSITIONING STRATEGIES



DIFFERENTIATING THE DESTINATION

•Using Unique Selling Proposition(s) (USP)•Unique/exceptional when compared to competitors

•Unique/exceptional appeal in relation to market needs

•Could be a single factor or a combination of factors, e.g. broad based (time, cost and general experiences)

•Core, broad based proposition across market segments + focused propositions for particular market segments

•Signaling the destination position through destination branding

Assess current position

Select desired position

Strategy to achieve desired position

Implement strategy



THE BRAND: PERSONIFYING THE DESTINATION•Unique combination of product characteristics and added values, both tangible and non-tangible, which have taken on a relevant meaning that is inextricably linked to the destination, awareness of which may be conscious or intuitive•Not only a trademark (logo or icon), but an experience and image that signals a value system – e.g. airline from advertising to flying•Destination branding challenges

•Budget limitation – Sony ($300m p.a.) vs global destination advertising ($350m p.a.) – outsmart rather than outspend•Political interference, dynamics and changes•External environment•Product challenges – delivering the brand•Differentiation challenges – sustainable, believable and relevant

•Major potential value – Vodacom $700 m; Malibu rum GBP540m; Coca Cola $69 billion; David Beckham at Man United $100 000/week•Strong movement towards emotional , less tangible benefits – the hearts and minds



THE BENEFITS OF EFFECTIVE DESTINATION BRANDING

• Customer loyalty• Commercial value• Serves as base to co-ordinate private sector efforts• Sound base for establishing “seamlessness” between

communication tools• Serves as base for promotion of other products (Film

brands, agricultural product brands, etc.) • Irishness and Scottishness



BRAND WINNERS: RICH IN EMOTIONAL APPREAL, GREAT CONVERSATION VALUE AND HIGH ANTICIPATION

Potential Stars Celebrities

Losers Problem Places

Celebrity ValueLow High

Em

otio

nal p

ull

Low

Hig

h



BUILDING THE BRAND•5 Key Phases

•Market Investigation, analysis and strategic recommendations•Brand identity development•Brand launch and introduction – communicating the vision•Brand implementation•Monitoring, evaluation and review

•Requirements of a successful brand•Credible•Deliverable•Differentiating•Conveying powerful ideas•Enthusing for trade partners•Resonating with the consumer



BRAND BUILDING ELEMENTS AND BENFITS

6. What is the essential nature and character of the destination

5. What does the value mean for the typical repeat visitor

4. What key traits and characteristic s of the destination are communicated by the brand –

both head and heart?

3. What psychological rewards or emotional benefits do tourists receive by visiting this destination? How does the

tourist feel?

2. What benefits to the tourist results from this destination’s feature?

1. What are the tangible, verifiable, objective, measurable characteristics of this destination?

Brand Essence

Brand Personality

Emotional Benefits

Rational/physical benefits

Primary Attributes

Brand Values



BRAND ARCHITECTURE

•Blueprint to guide brand building, development and marketing

•Should reflect positioning, rational (head) and emotional (heart) benefits and personality

•Take cognizance of destination composition (national, regional, city and town) and facilitate synergy

•Identify suprabrands and sub-brand, based on geographical and product differentiations (e.g. Cape: South Africa, Cape Garden Route, Cape Wine, etc.)

•Brand architecture reflected in destination trademarks (logos, insignia), marketing collateral, advertising concepts, etc.



Degree of Separation MostLeast

Branded House

Master Brand Sub brands

Endorsed Brands

House of Brands

BMW Mercedes

VW: Jetta, Golf, etc.

Strong or token

Endorsements

SAB, Unilever, etc.



Colours:•Red: Earth, desert, centre, outback

•Blue: Sky, sea, cool, endless

•Green: Bush, rainforest, environment, clean

•Yellow: Warm, nights, life, energy, sun youth, friendly

Brand Values Brand Personality

Youthful, energetic, optimistic, stylish, unpretentious, genuine, open, fund

YouthfulStylish Vibrant DiverseAdventurous

BRAND AUSTRALIA (ATC, 1997): Logo yellow kangaroo against red sun over background of green and blue sea



EVOLVING BRAND AUSTRALIA POST-OLYMPICS: “AUSTRALIA: IN A DIFFERENT LIGHT”


•Rejuvenating the brand to fit with futuristic image

•Olympics etc. put Australia on map as youthful, energetic, “can do”

•To remain fresh and vibrant and relevant : future focus on light, colours

•Re-enforce energy, but more mature and futuristic

•See brand clips


Area Positioning Rational Benefit Emotional benefits Personality

Britain Traditional heritage and the uncon-ventional

Heritage, landscape, arts and culture, people

I feel stimulated by the enriching, often paradoxical experience of Britain. At ease among the open friendly culture

Great/solid yet accessible. Cold in appearance yet friendly. Traditional yet innovative

London Pageantry and pop

Diverse culture, arts, glamour pageantry, nightlife, music, cosmopolitan, fashion

I feel liberated by the vibrancy of London. Stimulated by the wealth of heritage and culture

Open-minded. Casual, Unorthodox. Vibrant. Creative

Scotland Fire and Stone

Rugged, unspoilt, wilderness, dramatic scenery, romantic history, heritage/folklore, warm & feisty people

I feel in awe of the elements in Scotland. Embraced and rejuvenated by the warmth of the people

Independent. Warm. Mysterious. Rugged. Feisty

Whales Nature and legend

Natural, dramatic beauty, poetry and song, legend and mystery

I feel inspired by the lyrical beauty of Whales. Uplifted by the spirituality of the environment

Honest. Welcoming. Romantic. Down to Earth. Passion

England Lush, green discovery

Afternoon teas, quaint pubs, cathedrals, rivers, canals, lakes

I feel fulfilled by experiencing the quaint culture. Relaxed by the harmonious countryside. Soothed by the outdoors

Conservative. Pleasant. Refined. Hearty. Humorous. Approachable

BRAND ARCHITECTURE: BRITAIN (BTA, 1997)



INTERNALIZING THE BRAND

•For the brand to be authentic and deliver on its promise the local community and stakeholders should believe in it and live it

•Best brand champions are our citizens – could also be worst enemies if they don’t subscribe to brand essence

•Strategy required to communicate and advocate the brand internally

•Practical ways of instilling the brand values within the community

•Capacitate and enable leadership figures to live the brand and infuse the population

•See “Alive with Possibilities” video clip



UNDERSTANDING TOURISM DESTINATIONS•What is a tourist destination?

* one product – but also many

* many stakeholders with different goals

* both physical & socio-cultural aspects

* mental concept for potential visitors

* subject to a wide range of influences

* subject to historical, real & fictitious events

* evaluated subjectively for value-for-money

* no two destinations the same!!



INFLUENCES ON DESTINATION’S IMAGE

• Education

• Personal contacts

• Media

• Advertising

• Brochures & website

• Own experience



STRATEGIC IMAGE MANAGEMENTOngoing process of:

* researching a place’s image

* segmenting & targeting its image & audiences

* positioning the place’s benefits to support existing or changed image

* communicating those benefits to the target audiences

(Kotler, Haider & Rein, 1993)



STRATEGIC IMAGE MANAGEMENT

Ongoing process because images change over time and in response to events, media coverage etc

Consider:

Iraq: good to bad

South Africa: bad to good



ASSESSING PLACE IMAGE

Two-part process:

* select target segments

* measure the image held by those segments

Three approaches to measuring image:

* familiarity-favourability scales

* semantic differential

* evaluative maps



FAMILIARITY-FAVOURABILITY SCALES

Familiarity – awareness

Scale of responses:

Never heard of it > Heard of it > Know a little about it >

Know a fair amount about it > Know it very well



FAMILIARITY-FAVOURABILITY SCALES Favourability – positive/negative perception

Scale of responses:

Very unfavourable > Somewhat unfavourable > Indifferent > Somewhat favourable > Very favourable

Helps define what image issues a destination needs to address and to which target segments



SEMANTIC DIFFERENTIAL Tests respondents’ perceptions on a set of relevant dimensions for a particular theme eg factors in choosing a holiday destination

* weather

* cost

* natural features

* cultural interest

* shopping

* friendliness of host people

Each factor measured on a five-point bipolar scale from positive to negative extremes i.e. very poor to very good



EVALUATIVE MAPSInventory of target segments’ visual impressions of a place

Words that represent opposites placed at either end of the scale

Respondents asked to indicate where between the two extremes the place fits

Cold>>>>>>>>>>>>>>>>>>>>>>>>>>>Friendly

Natural>>>>>>>>>>>>>>>>>>>>>>>>>Artificial

Simple>>>>>>>>>>>>>>>>>>>>>>>>>Sophisticated



GUIDELINES FOR DESIGNING PLACE IMAGE

To be effective, an image must be:

* valid

* believable

* simple & used consistently

* appealing

* distinctive



TOOLS TO COMMUNICATE AN IMAGE

Slogans, themes, positions

Visual symbols: diverse, humorous, denying, consistent

Events & deeds



IMAGE SITUATIONS

Positive – focus on amplifying & delivering image to target groups

Weak – places that are small, lack attractions or do not promote

Negative – requiring fundamental change prior to image redevelopment



IMAGE SITUATIONS

Mixed – strategy to emphasise selected aspects & rectify others

Contradictory – different groups with opposing images, stress positive points to groups with negative perceptions

Overly attractive – withdraw publicity, planning restrictions



PREVAILING DESTINATION IMAGE THEMES

Warm welcome – smiling, positive body poses

Diversity – beach +, different segments Amazing Thailand, Incredible India




Unspoilt– pristine natural and/or socio-cultural aspects eg

100% Pure New Zealand

DESTINATION POSITIONING, BRANDING & IMAGE

DEVELOPMENT



ESCAPE, SIMPLICITY – often combined eg Ireland – “live a

different life”;

or focused on self-pampering – “happiness” eg Dubai




Old & New, Traditional & Modern – variety

Culture – Malaysia: Truly Asia




Safety post 9/11 – “new”, “international”, “safe”, “welcome”



ROLE OF FOREIGN MEDIA

Consumer is exposed to:

* Newspaper travel supplements

* Magazines dedicated to one aspect or another of travel & tourism

* Television travel programmes

* Guide books

* Independent websites



ROLE OF FOREIGN MEDIA * Consumer is exposed to:

* Newspaper travel supplements

* Magazines dedicated to one aspect or another of travel & tourism

* Television travel programmes

* Guide books

* Independent websites

POTENTIAL FRIENDS FOR DESTINATION BUT MANY HAVE MINIMAL COMMITMENT THEIR PRIMARY MOTIVE BEING TO GENERATE SUBSCRIPTION OR ADVERTISING REVENUE



CRISIS MANAGEMENT 1. Never underestimate the possible harm a crisis can do

2. Never discount the scale & influence of the media

3. Be prepared – have a crisis plan, and update it regularly

4. Set up a Communications Centre as the source of information during the crisis

5. Act fast, then issue regular updates



CRISIS MANAGEMENT 6. Do NOT impose a news blackout

7. Train your spokespeople

8. Put the crisis in context

9. Ensure follow-up coverage is positive

10. Do not lie! Trust is the key component of destination: foreign media relationship



EVALUATING MARKETING EFFECTIVENESS

Big challenge for tourism marketers seeking to justify budgets

Difficulty of separating out impacts of paid advertising etc from other influences

Tools:

* coupon response rates

* website hit rates

* tracking surveys



EVALUATING MARKETING EFFECTIVENESS

Australian State of Victoria uses:

* Pre-testing through focus groups

* visitor surveys

* omnibus surveys weighted to whole population

* tourist accommodation surveys

* research among regional, national & international markets



KEEP UP-TO-DATE

Tourism market place constantly changing in response to the many influences & determinants of tourism

Vital for tourism marketer to keep abreast of all relevant developments and to understand implications for the tourism product/service

Trade magazines, regional organisations, tourism news websites, etc.



Thank you!

THE COMPETITIVE CONTEXT

Business

Destination Positioning, Branding And Image Management