Digital Marketing Plan for a Start up Tourism Enterprise

This document provides a digital marketing plan for a start up tourism enterprise. It includes strategies, opportunities, and action plans for effective digital marketing. The document also explores the situation analysis, internal and external environment, and digital metrics evaluation.

Running head: MARKETING
Marketing
Name of the Student:
Name of the University:
Author Note:

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Table of Contents
Task 3 B: Digital Marketing Plan for a Start up Tourism Enterprise..............................................2
Executive Summary.........................................................................................................................2
Opportunity:.....................................................................................................................................2
Strategy:...........................................................................................................................................3
Action:.............................................................................................................................................3
Introduction:....................................................................................................................................4
Situation Analysis:...........................................................................................................................4
Internal Environment:......................................................................................................................6
External Environment:.....................................................................................................................7
PEST Analysis:................................................................................................................................7
Digital Marketing Strategies:...........................................................................................................8
I. Revenue Model Strategy:.........................................................................................................8
II. Target Market Strategy:...........................................................................................................9
III. Positioning Strategy:..............................................................................................................9
IV. Social Media Strategy:...........................................................................................................9
VI. Digital Marketing Mix 7 Ps:................................................................................................10
Digital Metrics Evaluation (E- Servqual)......................................................................................11
Conclusion and Recommendations................................................................................................11

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References:....................................................................................................................................13

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Task 3 B: Digital Marketing Plan for a Start up Tourism Enterprise
Executive Summary
Opportunity:
Digital marketing encompass all the marketing efforts that makes use of electronic device
or internet. Digital marketing contributes in leveraging the digital channels that includes social
media, search engines, websites and email for connecting with the prospective and the current
customers (Ryan, 2016). In regard to the digital marketing capabilities, the governance of digital
marketing would include consideration of the right tools for identification of the problem,
balancing the competing needs of the shareholders and assessing the benefit and cost in
determining the value. The key issues that need to be managed in digital or the multichannel
SWOT is to ensure its integration with the offline world. In the next planning period, digital
marketing will contribute towards the following (Tiago and Veríssimo 2014):
 Ensure reaching customers and raising the awareness on the site
 Ensure achieving interaction
 Conversion of selling offline as well as online
 Engaging in the long term relationship building with the clients
 Effectively dealing with the governance issues that impact the capability of
delivering resources.

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Strategy:
In the long term, the digital marketing will contribute to increased website traffic, better
brand awareness and boosts in lead generation (Chaffey & Smith, 2013 ). The new and existing
targeting approaches for boosting acquisition and targeting includes defining the unique selling
point that differentiates it from the competitors, knowing the target audience and their reactions
and knowing the competitors. The value proposition of the brand can be enhanced through
search engine optimization (SEO) and doubling down on the social media. The estimated budget
for implementing the strategic digital initiatives is $27,000 annually.
Action:
The digital transformation plan for improving the people, metrics and tools includes
(Hess et al. 2016)
 Securing complete support from the senior management
 Setting ambitious goals
 Ensure the allocation of Funds
However, the optimizations necessary for improving the effectiveness and efficiency are as follows(5):
 Through automation of repetitive tasks
 Creation and boosting the content through distribution
 Ranking the objectives of the business based on the perceived reward and the available
resources

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Introduction:
The report aims at providing an insight into digital marketing plan of a start tourism
enterprise in Australia. The company chosen here is Bound Round that represented a travel
business, servicing the consumers of Australia (boundround.com, 2019). Bound round allows
kids in making a choice. In other words, Bound Round acts as the trip advisor to the children
thereby keeping them entertained on the app by putting across an opportunity of checking the
next destination. However, for the older people they contribute in providing an aid for family trip
planning through checking the reviews. This app does not apply any charges and is a must for the
kids and the family. The report focuses on the situation analysis, internal environment and the
external environment of the firm. The report also provides an insight into digital marketing
strategies with a focus on the revenue model strategy, target market strategy, position strategy,
digital marketing mix (7Ps) and the social media strategy. The report even puts forward an
evaluation of digital metrics and ends with a recommendation and conclusion.
Situation Analysis:
Situation Analysis refers to the collection of the methods that managers uses for analyzing
the internal and external environment of the organization in order to understand the capabilities,
business environment and the customers (Proctor, 2014). SWOT analysis which is defined by the
strength, weakness, opportunities and threats of the organization.
Strength:
 The new and updated app remains aligned with the curriculum so that it acts as the
perfect tool for convincing the teachers in letting the children travel even beyond the
school holidays

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 Bound Round, the boutique tourism and the marketing consultancy have a strong focus
on the digital content and the video production.
 Ensures effective search and in booking the perfect holiday. The firm not only has online
incredible deals but has complete travel agency service.
Weakness:
 It might be the case that sometimes the market data might be out of date
 There might be problems of cash flow
 Creating and managing content for the brand in the own channel along with amplification
of the distribution partners might face difficult.
Opportunities:
In targeted family travel market for Bound Round experiences a significant growth. This
segment is expected to boom due to the interest of the consumers in spending some quality time
with the family while travelling together (boundround.com, 2019). The findings for the family
travel indicate major opportunity for travel industry. Thus, the family travel market possesses the
following characteristics that act as the opportunity for the firm.
 The family travel market accounted for about $140bn
 Close to 93 percent of the family plans to travel in the coming two years
 Families travelling take close to 3.5 domestic and 1.25 international trips on an average
with a year.
 The family travel account for close to 33 percent of the booked leisure trips.
Threats:
 Presence of competitors

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 Downturn within the economy implies lesser spending of the people which would imply
a direct impact on the travel business.
 Depending on the retirement segment will generate lesser profits as they undertake only
one leisure trip in a year.
 Close to 51 percent of the baby boomers plans for travelling across Australia while 43
percent hopes in travelling both internationally and domestically.
Internal Environment:
Resources and Capabilities:
The resources and capabilities represent the potential sources that determine the competitive
advantage of the firm. Resources are divided into tangible and the intangible assets of the firm
while the capabilities are dynamic and operational (Greco, Cricelli & Grimaldi, 2013). The
tangible resources represent the physical or the financial assets of Bound Round and are
increasingly complex. The tangible resources on one hand represent the assets that are mostly
non physical and do not find a mention on the balance sheet of the firm. The intangible resources
include HRM policies, firm’s policies, managerial and employee skills, relational and social
capital and the organizational culture of Bound Round. Capabilities on the other hand represent
the bundles of accumulated knowledge and skills (Ritala et al. 2013). Thus, the operational
capabilities represent routines that will enable Bound Round in performing activities on on-going
basis using similar techniques.
External Environment:
Suppliers: Bound Round is Startup Company that focuses on the niche travel and specializes
in the segments that media brands and mass market travel finds it difficult to enter (Giaoutzi

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2017). It provides service to the individuals on behalf of suppliers dealing with car rentals,
airlines, activities, hotels, cruise lines, travel insurance, railways and the package tours. .
Customers: They primarily target the kids and also include Australia customers belonging
to the family travel and the retirement market.
Competitors: Some of the competitors include:
 Townske: They provide a Instagramesque platform of guidance for uncovering the
hidden secrets of a destination as well as venue for bringing the local knowledge to the
visitors that were previously only known to the local people.
 TravelEggs: They provide the self guided tours that syncs with the map thereby giving
specific directions in following a crafted path derived from the local knowledge.
PEST Analysis:
Political: Australia is the member of Commonwealth Nations and maintains a closer
association with United States. The country has a stable and safe political environment that
provides a boost to the start up tourism enterprise.
Economic: Australia represented the thirteenth largest economy across the world that experience a
growth of 2.4 per cent in the year 2017 that was much below the expectations. However, the expected
growth of the firm was close to three percent in the year 2018. This in a way implied a growth in
disposable income thereby giving a boost to the tourism sector.
Social: Australia represents the best country of the world in terms of education, wealth,
health and the quality of the life. Besides, its small population close to 22.9 million including the
retirees and the middle aged people who provide a boost to the tourism sector.

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Technology: Australia is a technologically advanced country of the world that adopts newer
technology at faster rate. The enormous growth of the technology over the years had provided a
boost to the to the tourism sector.
Technological: Australia is one of the most technologically advanced countries in the world.
It is well-known for adopting new technologies at a faster rate than many other developed
countries. The country has witnessed an enormous growth in technology over the years
Digital Marketing Strategies:
I. Revenue Model Strategy:
This strategy focuses on the revenue generated from the ‘Cost per Click’. Here the
advertisers are charged not only based on the number of times their ad remains displayed but on
the number of times they get clicked (El Sawy & Pereira, 2013). They represent textual ads
similar to the sponsored links within the search engine through third party sites known as the
Google Adsense Network. Thus, for most of the websites, Adsense helps in generating revenue
of $5-10 for an approximate view of 1000 pages.
Advantages: Generating money from advertisements represents the easiest and simplest
ways that acts as the source of the revenue.
Disadvantages: For generating money it is required for attracting the substantial number
of users. Most people find this to be annoying that can lead through lower click rates and lower
revenue.
II. Target Market Strategy:

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This strategy allows the marketers in undertaking an analysis of the market segment for
choosing their target audience or segments who consider applying for the service put forward by
Bound Round. The goal of targeting strategy remains in identifying a combination of the
potential customers representing the strongest potential for profit (Dodson, 2016). Bound Round
chooses middle aged and older demography for their disposable income or they target younger
demography for building a long term loyalty.
III. Positioning Strategy:
This defines location of the market in relation to the offerings. In fact, it represents the means
of presenting the desired impression towards customer base (Armstrong et al. 2014). The key to
the positioning of Bound Hound remains in not undertaking a fight with the competitor but
identifying the unchallenged identity of the market. In this case, this is done by ensuring the best
value of the service.
IV. Social Media Strategy:
Social media represents one of the most powerful marketing tools. It has been found that
close to 90 percent of the marketers admitted the importance of social media to the business and
close to 89 percent of the marketers agreed that the social media initiatives generates enhanced
exposure. The benefits include (Killian & McManus, 2015)
 Increase in the traffic and exposure
 Ensures developing loyal customers
 Improves the search ranking and ensures generating leads
 Leads to the establishment of thought leadership

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 Leads to increase in Sales.
VI. Digital Marketing Mix 7 Ps:
Product: An authentic experience and a high quality tour
Place: Availability of the service through a mobile friendly app so that they can easily accept
bookings.
Price: The Bound Round app can be installs the app for free and avail the travel plans and
packages at a fixed cost.
Promotion: Makes use of the advertising techniques and the marketing campaigns for promoting
the business
People: Bound Round invests in the right employees that will help in attracting more people
Process: The app ensures that the tour stick to the schedule and provides the customers with the
experience promised.
Physical Evidence: It involves giving the customer a physical evidence for what they paid for
by providing them with the necessary experience related to feel, sight and experience related to
the tours.
Digital Metrics Evaluation (E- Servqual)
The quality of service is a key aspect in marketing of digital services as the production and
consumption of services takes place during the same time that involves both customers and
producers. Besides, the intangible nature of the service marketing theories puts forward an
appropriate background. It is therefore vital for measuring the experience of customer service. E-

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Servqual represents a measure for scaling the e-Service quality for digital service (Collier &
Bienstock, 2015).
In this case, it resulted in a perceived quality of the service quality which implied that Bound
Round successfully served the purpose of the customers. However, the evaluation is based on the
subjective comparison of the customers regarding what they expected and what they actually
received (Ahmad & Abawajy, 2014). It is found that the level of satisfaction is reached is the
service is perceived as per the expectations of the customers.
Conclusion and Recommendations
On a concluding note, it can be said that the digital marketing plan depends on a specific
strategies that includes revenue model strategy, position strategy, social media strategy and the
target market strategy. The report shows how Bound Hound makes use of the digital marketing e
tool for promoting the services. The report also puts forward an evaluation of the performance
metrics and the measurement techniques.
The recommendations for improving digital marketing strategy are as follows:
 It is recommended to focus more on conversion than on leads
 For an effective digital marketing strategy it is necessary to set the stage for the long term
value
 It is necessary for designing the customer service in a manner that would ensures
repetition of the customer service tactics through repetition of brand consciousness.

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References:
Ryan, D. (2016). Understanding digital marketing: marketing strategies for engaging the digital
generation. Kogan Page Publishers.
Tiago, M.T.P.M.B. and Veríssimo, J.M.C., 2014. Digital marketing and social media: Why
bother?. Business Horizons, 57(6), pp.703-708.
Chaffey, D., & Smith, P. R. (2013). eMarketing eXcellence: Planning and optimizing your
digital marketing. Routledge.
Hess, T., Matt, C., Benlian, A., & Wiesböck, F. (2016). Options for Formulating a Digital
Transformation Strategy. MIS Quarterly Executive, 15(2).
boundround.com. (2019). Retrieved from https://www.boundround.com/
Proctor, T. (2014). Strategic marketing: an introduction. Routledge.
boundround.com. (2019). Retrieved from https://www.boundround.com/work-with-us/family-
travel-market/
Greco, M., Cricelli, L., & Grimaldi, M. (2013). A strategic management framework of tangible
and intangible assets. European Management Journal, 31(1), 55-66.
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El Sawy, O. A., & Pereira, F. (2013). Digital business models: review and synthesis. In Business
modelling in the dynamic digital space (pp. 13-20). Springer, Berlin, Heidelberg.

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