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Mission and ObjectiveMarketing strategies for Phuket island to increase the touristsafter tsunami in year 2004 Promote Phuket tourism after the tsunami Develop Phuketsustainable tourism

2 Selected Marketing Strategy

Market Segmentation, Target, Position Approaches Marketing Mix (8 P’s)

Mission and Objective

Marketing strategies for Phuket island

to increase the touristsafter tsunami in year 2004

Promote Phuket

tourism after

the tsunami

Develop Phuketsustainable tourism growth

Increase number of current target markets and potential markets to 15%

Americans and Oceania's continuingly visit Thailand after the tsunami because they are cultural tourists and because of big sale

promotion

Table 1: Number of International Tourists arrival to Thailand

Year Number of Tourist (Million) Percentage of change (%)

Thailand Tourism Revenue

International Tourist Arrivals Domestic Tourist

That why the revenue from International tourism

2005 are lower than 2004.

Domestic trip increase from

2002 to 2005 although having crisis on December 2004

International arrivals strongly increase from 2003 to 2004,

After tsunami happened, the numbers of tourists immediately decrease

Malaysia 88,751 9.44 81,070 8.14 148,685 12.15 91,449 10.67 Myanmar 3,967 0.42 3,413 0.34 4,300 0.35 4,681 0.55 Philippines 9,613 1.02 10,749 1.08 11,810 0.97 12,417 1.45 Singapore 41,496 4.41 44,069 4.42 57,134 4.67 48,521 5.66 Vietnam 7,253 0.77 8,700 0.87 12,867 1.05 10,796 1.26 China 71,628 7.61 76,398 7.67 107,786 8.81 29,087 3.39 Hong Kong 25,429 2.70 37,869 3.80 74,088 6.06 16,299 1.90 Japan 96,345 10.24 107,362 10.78 111,389 9.11 98,071 11.44 Korea 75,506 8.03 94,612 9.50 102,299 8.36 52,732 6.15 Taiwan 57,720 6.14 46,640 4.68 60,311 4.93 20,374 2.38

Table 2: International Tourism Arrival to Thailand by East Asia Countries

Unit: Thousand Tourists

Number of Europe tourists to Thailand

279,625 298,260

328,959

273,115

2005 2004

2003 2002

0 100000

Bird flu epidemic also

stressed the unsecured image of

this region

Europe Tourists arrival to Thailand

Number of Tourists arrived to Phuket

2607375 2520651 3270459

1146851

2005 2004

2003 2002

2005, the growth is

-185.17%

Phuket Environmental Analysis

The beach is fully discovered better than before

The beach is white clean with crystal

clear water; new species of fish are found because of the big wave

Hotels and attractions are fully revived

Installed the regional tsunami warning system to guarantee Phuket’s safety

Samui Island

Phuket Competitors Analysis

Tarutao Island

Hua-Hin

Prachuap Khiri Khan Province (Hua-Hin and Cha-am)

Satun Province (Tarutao Island)

Surat Thani Province (Samui Island, Pha-ngan Island and Tao Island)Krabi Province (Lanta Island, Phi Phi Islands)

Phuket Competitors Analysis

-Bangkok Province-Chiang-Mai Province

Chiang-Mai

Phuket Competitors Analysis

Goa, India

Bali Island (Indonesia)

Indirect international Competitor

Phuket Competitors Analysis

Phuket Potential Markets Analysis

China Hong Kong Korea Australia U.S.A.

Potential Markets of Phuket Destination

Potential markets:

The United States and

Australia

Potential Asian countries:

China, Hong Kong and Korea

SWOT Analysis

Low cost of living

STRENGTHS

Phuket is one of the most beautiful

beaches in the world

Ample accommodation and infrastructure

ready to serve the tourists

Newly launched Suvarnabhumi International Airport that has the largest passenger terminal

in the world ready to serve the tourists

Many low-cost airlines fly to Thailand

New species of fish are found in the sea

Thai hospitality

Some local people cannot communicate in English

The political situation and the

disturbance in the three southern provinces make tourists think that traveling in Thailand is not safe.

SWOT Analysis

Tsunami warning system can assure the safety

of the tourists The nature and environment is fully recovered.

The growth of economics scale in neighboring

countries

SWOT Analysis

Most travelers lacked correct and precise information, so they were not assured about the

situation in Thai coastal attractions.

The Tsunami left behind the

impact in Thailand tourism

history Other new neighboring attractions i.e

Hong Kong Disneyland.

There are visitors who are still shocked or have lost the love ones

by the unexpected terrible damage.

SWOT Analysis

Economic crisis in some region

STP Analysis for Phuket Island

Singapore Japan Taiwan Germany Sweden U.K.

MARKET SEGMENTATION Table 7: The Main Market of Phuket Destination

Unit: Thousand Tourists

Source: Thailand Tourism Authority

Although 2005, the level strongly decrease of tourists to Phuket, but it is still importance role for Phuket getting

profit from hospitality and travel industry

STP Analysis for Phuket Island

Look for the best service quality

with reasonable prices

People can afford this kind of service and they are willing to pay for it

Newly married couples seek for a romantic place for them to enjoy and memorize their

once in a lifetime experience

Older married couples are most satisfied with financial position and money saved

From upper-middle class

Age from 35 years old

Older married couples

POSITION

APPROACHES

The Island for honeymooners

One of the beautiful beaches in the world for

premium customers with reasonable price

Island for family relaxation (various activities offered

for example scuba diving, sightseeing, etc)

STP Analysis for Phuket Island

Accommodation

Luxury hotels and spa

Hotels below 4 stars

Home stay and

bungalow

30 USD – 250 USD

Convenient transportation system for inbound and outbound tourists.

Prices are varied depending on modes of transport and destinations

Marketing Mix (8 P’s)

Marketing Mix (8 P’s)

Place

Getting to Phuket

from abroad

By Air: there are several direct flights between Phuket

and international destinations, e.g Kuala Lumpur, Hong

Kong, Penang, Singapore, and Sydney

Transportation to and from the airport: the tourism can

go by bus, by car, by rail, by ferry

Getting around Phuket Car rental service, Motorcycle

taxi, Songthaeo and Tuk-Tuk

Getting to nearby provinces By bus, Taxi & vans, By air

ads and business directory

Personal Selling Travel agency representatives will come and recommend the

tour packages or accommodations for interested tourists

Public Relation

Sales Promotion

Direct Marketing

The most effective means of promotion to sweep away the

bad image about Phuket after the tsunami

Regularly conducted by private sectors to stimulate the tourism in Phuket especially in low season The government gives the support by doing the public relation to assure the

safeness in travelling in Phuket

Provide fully informative websites about Phuket tourism where the tourists can interact with Phuket’s tourism agents

and accommodations as well

Marketing Mix (8 P’s)

According to the segmentation, packages are created to satisfy the target customers

Programming Program are also developed and combined

to reach customers’ expectation.

Partnership Cooperation with all parties both domestic and international to join too overcome obstacles

and strengthens Phuket tourism

People amount of slick advertising and catchy promotions can People, the service providers play the pivotal role No

compensate for below-average service

Key Success Factors

Safeness Well installed and operated tsunami warning system

24 hours tourist-police availableReliable weather forecast report

ACTIVITIES

PLANS

Implementation Plan

Revive traditional tourism products

and develop new tourism products

Formulate legislation to protect

and maintain Phuket’s natural

Strictly enforce the rule and regulation

Provide a wide rage

of accommodation

and transportation

Maintain good infrastructure

for tourists’ easy access

Promote new tourist attractions

to its target markets

Eco- tourism at National parks

Price set according to target markets i.e family customers, honeymooners, MICE group and other

segments of tourists

Clean the road regularly and repaint signate Trim and decorate trees along the road

Promotion channel can be Phuket local tourism

office or the Thailand tourism authority

Create and up-to-date, accurate and adequate

database of tourism in formation to aid tourists

Create good relationship

with international press

Develop and modernize information technologies to

be used by local staff and tourists

Execute tourism-marketing

promotion , using a wide variety

of operations in order to draw

market targets

Giving special discounts to tourists

during low season Advertising Phuket attractions in travel

magazine.

Annual organize Phuket Travel Exhibition and Festivals

Implementation Plan ACTIVITIES

Phuket Honeymoon Sweet: Free pick-up, day city tour, Welcome drink, free dinner

Half-voucher for two.

Improve human resources

management system and

continuous human resources

development

English training Tsunami warning system training

Marketing Budget

The marketing budget for Phuket Province will be allocated

marketing budget will be allocated depending on the

Province has to ensure that work plans are implemented

and budgetary spending carried out on schedule.

Implementation Plan

Evaluation

Procedures

Control Procedures Implementation Plan

The business and market development reports

summarized monthly and year-to-date performance and are repaired bimonthly and issued to Tourism Phuket’s Board of Directors

Monthly initiative review meetings

Business and market

development reports

Include the review by management

of performance in reaching intended targets, budget considerations, and

arising opportunities

Using techniques like surveys, questionnaires to collect quantitative data for further development and analysis.The measurement will be done quarterly to make sure that the marketing plan reaches the goals or it should

be revised in order to read its goals