Quality Services and Experiences in Hospitality and Tourism

Liping A. Cai, Pooya Alaedini, Liping A. Cai, Pooya Alaedini

• Publisher: Emerald Publishing Limited
• Year: 2018
• Print ISBN: 9781787563841
• eBook ISBN: 9781787569652
• Topic: Negocios y empresa
• Subtopic: Negocios en general

This volume presents the latest perspectives and practices on quality services and experiences in hospitality and tourism. It offers conceptual discourse, empirical evidence, application of existing and emerging theories, and considers the implications of practical findings to extend beyond the academic realm of service quality, and examine the quality issues of both services provided and experiences encountered across a wide spectrum of tourism sectors. As such, it provides new intelligence and contributes to the study of new consumers, as well as organizations and destinations that serve and host them.  

The book continues the series' tradition of connecting scholarly works and real-world cases, with a unique mix of geographic representations. The majority of its chapters are drawn from the proceedings of the 2016 conference on Service Quality in Hospitality and Tourism: Experiencing Persian Heritage held in Isfahan, Iran. The regional focus of the conference is augmented in this book with contributions from elsewhere, resulting in a more diverse and global context for the treatment of quality services and experiences in hospitality and tourism.  

The volume will appeal to academic scholars and industry professionals interested in exploring new frontiers of knowledge on the subject. Organized in three parts with distinctive themes, the chapters are appropriate course readings, either collectively or selectively, for undergraduate and graduate students in educational programs focusing on global curricula.

PART I
DESTINATIONS IN IRAN, HONG KONG,
AND THE UNITED STATES

Chapter 1

TARGETING PURPOSE OF VISIT

Quality Experience as Demanded

Pooya Alaedini

University of Tehran, Iran

Dordaneh Davari

Purdue University, USA

Abstract

A simple strategic marketing framework is developed based on responsiveness to purposes of travel. It entails identifying purposes of visit associated with a specific destination for potential tourists, shaping tourism development policy decisions based on them, and attracting tourists by directly fulfilling their wishes. Its focus is on what a destination can already offer and is contributory to short- to medium-term tourism development. A structured recognition of purposes of visit is suggested − encompassing 16 categories across four focus areas. To demonstrate the approach, generic strategic action plans are provided for each category. The framework is further applied to Iran, a country associated with a range of attractions as well as certain restrictions.

Keywords: Strategic marketing; developing destination; customer satisfaction; responsiveness; purpose of visit; Iran

INTRODUCTION

Experiencing persistent expansion over the past half a century, tourism arguably comprises the only continuously growing industry in which a majority of countries are involved. As such, it has a set of significant global community impacts, including those associated with building understanding, friendship, and peace among nations (WTTC, 2007, 2015c, 2016). International tourist arrivals increased from 25 million to 1.186 billion between 1950 and 2015, while destination receipts rose from US$2 billion to $1.26 trillion in the same period (UNWTO, 2016; WTTC, 2015a). The industry survived the 2008–2009 global economic recession (UNWTO, 2012) and grew in 2016 – as measured by the volume of worldwide outbound travel – despite acts of terrorism and political turmoil in a number of important destinations (IPK International, 2017).

Notwithstanding aggregate growth figures for the industry, the success of individual destinations – countries as well as regions or cities – in attracting and retaining tourists hinges upon customer satisfaction that has an intimate connection with service quality. The digital revolution and shifting behaviors of tourists further require placing consumer perspectives at the heart of every decision. According to a travel tracking study conducted by Ipsos MediaCT (2014), Internet is the top source for travel planning, used by 74% of leisure tourists. Furthermore, tourists are routinely accessing information to get the best value for their money, as price along with star ratings and consumer reviews is the main criterion that influences consumer decisions (Deloitte, 2015, p. 9).

This chapter suggests that the highly competitive task of attracting, satisfying, and retaining tourists may be eased – especially for destinations not currently on top of the lists of potential tourists – by identifying what group of people to target and being responsive to their specific needs from the time trip decisions are in the making. First, various aspects of customer satisfaction, service quality, and marketing approaches in tourism are discussed to underscore the need for a strategic framework that enhances responsiveness to purposes of visit. It is argued that destination planners should go beyond typical strategic marketing processes and data analyses by considering more specific aspects of the potential markets – with the aim to learn who to approach from the outset and how to be more responsive to them. A synthesis of different purposes of visit invoked in the literature is then leveraged to develop such a strategic marketing framework. It has four focus areas: leisure, psychological, social, and special purposes, with each area divided into several categories. For the sake of demonstration, a set of generic strategic action plans are additionally suggested for every category. This simple market-oriented framework is further illustrated by applying it to the case of Iran, a country associated with certain restrictions as well as a wide range of attractions. A subset of the proposed categories is then selected for elaboration based on the case study’s strengths and weaknesses and its potential target audience. Finally, a number of strategic action plan examples are provided for the country in conjunction with these purposes of visit.

A STRATEGIC MARKETING APPROACH BASED ON PURPOSE OF VISIT

Tourism constitutes a diverse set of goods and services whose production requires strong linkages among a wide range of businesses and stakeholders. It is an outward-oriented and highly competitive industry that sells its products by “importing” tourists. Increasing competition is indeed turning tourism into a buyer’s market grounded on the satisfaction of customers (Evans, Campbell, & Stonehouse, 2011). Against this background, the success of destinations and businesses is arguably contingent upon a comprehensive understanding of the potential market, adopting a strong strategic marketing approach, and ultimately satisfying customers − likely entailing a shift from a sales outlook to a holistic marketing philosophy (Kotler & Keller, 2012, p. 122). Effective creation of a new niche market further requires the satisfaction of unmet needs/desires of some segment of consumers (Lynn, 2011).

There is no single definition for customer satisfaction. Mill (2002) suggests that customers are satisfied when service providers deliver better services than expected (as perceived by the customers). Similarly, Kotler and Keller (2012, pp. 10 and 128) define satisfaction based on customer assessment of performance. The concept of service quality is likewise about meeting or exceeding customer expectations (Evans, 2014, p. 6; Furr & Petrick, 1995, p. 58; Sower, 2011, p. 6). As satisfaction requires high-quality services, the growth and sustainability of any destination are intimately connected to its service quality improvements. At the same time, brands significantly impact the assessment of and satisfaction with products and services. Customers feel positive about brands and exhibit loyalty to the established ones, which is a serious strategic challenge for new entrants to the market (Kotler & Keller, 2012, p. 128). The same applies to the tourism industry. Destinations that rank low in terms of tourism development, but still have a great deal to offer, must work harder and be more strategic to attract and satisfy tourists.

Typical strategic marketing is carried out based on market segmentation. It entails describing and exploring the potential market − achievable through common sense or multidimensional data-driven activities (Dolnicar, 2008) − which allow for the identification of the most promising strategies to gain competitive advantage. It consists of subdividing the market into subgroups with homogenous characteristics (Mill, 2002; Najmi, Sharbatoghlie, & Jafarieh, 2010). In tourism, these may be tangible and monetary, for example, expenditure, as well as intangible such as beauty, time, atmosphere, or specific cultural outlooks. Market segmentation is often augmented by SWOT analysis − probing strengths and weaknesses along with opportunities and threats − as well as analyses of economic shifts, new trends in the tourism markets, past travel patterns, or specific cultural trends (Dolnicar, 2008; Lynn, 2011).

Such approaches can further benefit from a deeper investigation of the potential market. For example, Brand USA (2016) − the destination marketing organization for the United States − has focused on a set of factors to determine its target markets: international travel expenditures, international departures, gross national product and its growth trends, unemployment, civil liberty, population, ease of doing business, and income distribution, as well as special circumstances such as visa requirements, political factors, and economic stability. Action plans arising from such analyses may sensibly include waiving or streamlining visa procedures, opening direct flights, encouraging tourism-related businesses to use the target countries’ languages, etc. (Kozak, 2002; Reisinger, 2009, pp. 389–393). A well-known case is the increasing number of Chinese tourists at destinations across the world, which has prompted destination authorities and business actors to encourage the use of Mandarin by guides, brochures, and websites, as well as accepting Chinese Union Pay credit cards, easing visa procedures for Chinese nationals, and increasing the number of direct flights from/to China (Brand USA, 2014; Shankman & Ali, 2013). Yet, the nationality focus is prone to criticism for being less than useful as the primary targeting criteria against the background of globalization and cultural integration (Dann, 1993; Reisinger & Turner, 2011, p. 164).

To complement the aforementioned approaches, this chapter suggests that primacy be attached to potential tourists’ purposes of visit to a specific destination − with the view to ultimately formulate action plans that directly relate to fulfilling their wishes, that are not beyond the capacity or willingness of the destination, and that can be realized in a timely manner. In other words, for a destination to provide potential tourists with high-quality services and meet their expectations, their purposes of visit should be investigated as main criteria. An easy way is to probe what the purposes of visit to the destination have been, together with whether its assets, services, infrastructure, regulations, and cultural environment are currently or potentially sufficient. A strategic focus on being responsive to purposes of visit can then be adopted that allows for the formulation of a set of initiatives aimed at meeting target customers’ expectations and satisfying their needs.

Responsiveness to Purposes of Visit

Purpose of visit is not a new concept. A variety of purposes of visit have been cited in the literature in connection with discussions on market orientation and customer satisfaction. A general categorization of purposes of visit is likely to at least include leisure and business. In 2014, more than half of all international trips (53%) were for leisure purposes, while 14% were associated with business and professional purposes and 27% were made to visit friends and relatives as well as for health or religious purposes (Statistia, 2016). Mason’s (2003) list of purposes of visit includes relaxation, pleasure and entertainment, self-fulfillment, wish fulfillment, shopping, social interaction, business, educational opportunity, holiday, health, and transit. Furthermore, assuring human contact, opening eyes to new horizons and perspectives, providing pleasure, expanding business opportunities, and easing diplomatic relations were discussed in the WTTC’s (2007) “Global Travel and Tourism Summit” in 2007 in connection with purposes of visit. A number of sources treat this subject in terms of motivation, which allows for an understanding of the “whys” and “wherefores” (Brown, 2005). Crompton (1979) defines nine travel motivation factors for pleasure vacationers: escape from a perceived mundane environment, exploration and evaluation of self, relaxation, prestige, regression, enhancement of kinship relationships, facilitation of social interaction, novelty, and education. Mayo and Jarvis (1981) suggest four categories of motivations, namely, physical, cultural, interpersonal, and status and prestige motivations. Finally, Swarbrooke and Horner (2004, pp. 53–62) classify motivation factors into psychological, emotional, and personal, as well as factors related to personal development, status, and culture.

In the literature, purposes of visit and motivation factors have been mostly cited in statistical or analytical reports as facts and figures that inform decisionmakers and businesses only indirectly. They should arguably be used to help shape policy decisions more directly in terms of strategy. Specifically, tourism development actors in different countries should consider consumer perspectives in their business decisions through the first step of exploring the market as they are defining their target audiences. In this way, they will be able to know whom to approach from the outset and determine how to best do so. Those audiences ought to be selected for targeting who may be satisfied as the destination’s comparative and competitive advantages are leveraged. Yet, this market-oriented approach should not be reduced to a static framework, since competitive advantages can be developed through an iterative process toward higher levels of satisfaction for a larger number of audience groups over time. Furthermore, purposes of visit for different groups of tourists should be categorized with a view that each requires its own action plans when targeted. In short, it is suggested that a destination’s strategic marketing approach aiming for the satisfaction of tourists should be based on responsiveness to their travel purposes and lend itself to the formulation of specific strategic action plans.

To demonstrate the proposed approach, a wide range of tourist categories based on purpose of visit have been extracted from the literature, the highlights of which were discussed above. They are divided here into four strategic focus groups based on their convergence in terms of potential action plans − four categories for each focus group, totaling 16 categories altogether. Each category is further accompanied by a set of strategic action plans provided for the sake of demonstration. The categories under “leisure purposes” mainly require action plans related to enjoyment. Those listed under “psychological purposes” call for action plans of rather intangible outcomes, such as enhanced self-esteem. Action plans for the group under “social purposes” revolve around networking. Other tourist categories, which entail more diverse action plans, are listed under “special purposes.” The action plans are offered here in a generic sense and as examples, while a thorough strategic marketing plan exercise must lead to a set of action plans with significantly more detail and scope.

Tourist categories classified under leisure purposes include those who travel for the enjoyment of culture, history, and nature; pleasure and entertainment; enjoying holidays; or having a good time shopping. The first group should be provided with opportunities to learn about the cultural, historical, and natural attributes at the destination, with special attention given to conservation. These may include a variety of offers for different tastes and different levels of knowledge. Tourists seeking pleasure and entertainment ought to be provided with plenty of entertainment milieus as well as the freedom to enjoy them – in a tight competition with well-known destinations. Targeting should most likely go well beyond those with deep pockets, considering that tourists seeking pleasure and entertainment probably constitute the destination’s main marketing channels for the future. For those whose leisure purpose is to enjoy holidays, the destination should match its leisure events to their varied tastes and expectations, be cognizant and respectful of their culture, and provide flexible offers that fit their holidays. Those whose leisure purpose is to have a good time shopping require diverse and price-competitive shopping venues and products. Local touches are not to be neglected when offering global brands.

Psychological purposes are associated with potential tourists who seek to escape from everyday life, to expand their horizons and gain new perspectives, to fulfill wishes, or to relax. For those wishing to escape from everyday life, the destination can improve on its uniqueness, focus strategically on providing valid and comprehensive as well as attractive information, and take advantage of wellness concepts. For those interested to expand their horizons and gain new perspectives, some unrivaled aspects of the destination can be identified with a view to develop products and services accordingly. The destination may further offer learning opportunities for diverse tastes, at different levels of knowledge requirement, and in different languages. Concerning the third category whose psychological purpose is wish fulfillment, the destination ought to be positioned within the reach of potential tourists. Major attention is given to ensuring memorable tourism experiences by, among other things, offering a range of products that will help tourists hold on to their memories. As for the fourth category, in the first place, potential tourists must be provided with comprehensive and valid information that explains how relaxation is going to be an integral part of the trip. This is to be augmented with a variety of products that ensure relaxation during the trip, including those related to well-being and healing.

The third major strategic focus area, tourists with social purposes, similarly includes four categories. The first is social interaction. The destination can facilitate simple as well as novel means of interaction between tourists and locals (and among tourists with similar interests) by leveraging its assets (e.g., traditional food, dress, or local dance). The second is prestige. The destination must adopt an action plan to offer services and products − exclusive or otherwise − to which different groups of people attach prestige. These m...

Table of contents

• Cover
• Title Page
• Introduction
• Part I Destinations in Iran, Hong Kong, and the United States
• Part II Tourists at the Core
• Part III Hotels, Conferences, and Big Data
• References
• Index