Social marketing: building brand value and influence in the UK tourism industry to sustain brand consumption in the current economic recession

949 Words 4 Pages
Social marketing: building brand value and influence in the UK tourism industry to sustain brand consumption in the current economic recession

1.0 Chapter one: introduction

1.1 Background The current economic recession that began in June 2008 and intensified in 2009 had an effect of decreasing international tourism which was also augmented by outbreak of AH1N1 flu virus in 2009 which resulted into restriction of international travel. The tourism sector suffered economic downturn due to decrease in international tourism receipts hence decreased opportunities for sustained employment. Sustainability of the tourism industry depends on ability to exploit the economic recession challenges into a competitive advantage which will see the
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For instance, major airlines had to reduce routes, and number of flights to markets that they initially dominated in order to serve the decreased number of customers in their customer segments. Some of the hospitality and tourism based industries failed to pursue their innovative strategies and provision of premium services due to decreased returns on investment. The tourism industries have adopted strategies for sustaining market share that don’t conform to consumers perspectives on value, satisfaction and experience. The future of the tourism industry in the current economic recession lies in the organizations that have capability to innovate, build strong brand, improve customer value offering and build influence by engaging communities around its brands. Behavioral economists affirm that marketing gains value due to information cascading in social networks and social marketing. The power of information cascading arises from the capability of consumers forming generations of favorable brands which makes the consumers to follow decisions that influenced brand consumption of the people in their social class before them. Thus, the consumers don’t actually make decisions on their spending habits but depend on purchase decisions that were used by past consumers in their social networks. Tourism industry can create recession proof strategies by creating influence around its brands. Creation of brand influence provides

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