20/09/2016

Challenges in developing a new tourism product

Author: Martina Lucić Čanak - Date: 20/09/2016

New_tourism_product_development

Developing a new tourism product means creating a value for everybody included in a process of product creation, implementation and at the end its consumption.

Today every destination, every hotel, or a tourist attraction is seeking for unique ways to attract certain types of customers. When thinking about a new products our mind has to go few steps further in order to put right things on the right place and finally get results. Those actions usually include not only having a general knowledge of your business, but a big significant have a knowledge about psychology, sociology, and above all communication.
Let’s start from the beginning, and follow those 7 steps next time when developing your new tourism product:

 

1. Consumer is the most important

Be completely aware that the consumer of your product or service is the most important part of a tourism system. I’m sure you are very well aware that the consumer is the reason tourism products and services exist.

 

2. Know your own values

Values are those that drive us through our personal or business life and according to them we know what is important for us. It is known that our values changes over time as we grow or as a person or as a business. When it was the last time when you have thought about your businesses’ or your own values?
Take some time, and give yourself several answers on questions: „What is important for me in my tourism business?  What motivates me in my tourism business?”.  Now write it all down. Usually the first things that come to your mind are the most valuable.

 

3. Know your consumer‘s values

During the next step you should dig a bit deeper into thinking about your consumer and his or hers values. Now you could ask yourself, how should I know what are the values of each and every consumer I have or would like to have. You can’t. But what you can do is to create your Buyer persona. Find the answers on questions – What is the background of your Buyer persona? What are his/hers demographic features? What type of communication prefers? What are her/his goals and challenges?, and at the end – How you can help? You might use researches, surveys, interviews with your target audience, and remember to talk with your sales team – they usually have useful information on leads they are interacting with the most.

 

values

 

4. Create your own excellent (not average) product

If you are a small business or you do not have a whole team who can participate in the process, do not be afraid as still you can start with small steps and develop it by time.
Would you rather have one high quality product for your targeted market, or ten average products? The energy you will put into developing one high quality product is not small, but if you do it properly you will benefit sooner than you think. Whatever your strategy might be when planning a new product development for inbound travelers you should consider the following:

•    Location – Are there attractions and facilities nearby which enhance the appeal of your product?
•     Price – Is the product competitively priced and does it allow for all levels of commission (retail travel agents, domestic and overseas wholesalers, inbound tourism operators)?
•    Accessibility – How do visitors get to your product? Is transport available?
•    Seasonality – Are you open to coincide with peak arrivals from your target market?
•    Hours of operation – Are they regular and compatible with transport times?
•    Time – How do you fit into an international itinerary? Do visitors need to stay overnight? Will they miss out on other attractions if they visit you?
•    Information Availability – For both tourists and your distribution partners;
•    Reservations – How easy is it for consumers to book your product?

 

5. Chase a specific market

Product development can boost your market position and create a competitive edge. So think about your strengths and concentrate on developing experiences that your specific market prefers. Your promotion strategy decisions must be based on a solid understanding of target markets and what is most likely to attract their attention.  Not every product is for every market.

 

Niche_market

 

6. Let your way of communication be your secret weapon

Do you remember at the beginning of this text when I said that you should include some psychology, sociology and communication knowledge when creating a tourism product?
Your goal should be to have an ability to engage with all people in the product creation process on the level at which they want to be engaged with and allow them to feel satisfied. Create your marketing message in a way to sell your persona your solution and at the end – put your marketing message into the action.

 

7. Actively seek customer feedback

Feedback tells you what you do well and what could be done better. Be wise and use this information to build and improve your product and business.

 

Have in mind that developing a new tourism product is a process. It needs a clear strategy from the very beginning and an active participation of everybody included in the process. Sometimes it will be necessary to test new ideas on a sample group first in order to determine a customer reaction or you might realize that you or/and your staff need some additional education. Understanding the whole picture sometimes it’s not easy as we thought it would be.  But we like to say – where there is a will, there is a way.

 

Do you want to have an excellent tourism product? Get in touch with us!

 

Photo credits: Dariusz Sankowski, Cristian Newman, Kalen Emsley