Digital Marketing Report: Analysis of Cape Town, South Africa

This report presents a digital marketing analysis of Cape Town, South Africa, aiming to attract Australian visitors. It begins with an external environment analysis, examining political, economic, social, technological, environmental, and legal factors. The micro-environment analysis delves into market, competitor, and country analysis, comparing Cape Town with Johannesburg, Durban, and Pretoria. The report highlights Cape Town's competitive advantages, including its natural beauty and technological advancements. It also identifies a target marketing persona – a young, tech-savvy female traveler from Australia. The report provides a comprehensive overview of Cape Town's digital marketing potential, leveraging the city's strengths to create a successful campaign. The report also includes supporting data like tourist arrival statistics.

Running head: DIGITAL MARKETING
Digital Marketing
Name of the Student
Name of the University
Author note

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Introduction
The report throws light on the overall analysis of Cape Town which is situated at
South Africa. Proper external analysis is required to be conducted which will be providing a
brief overview on the environment of Cape Town for promoting it and creating a huge impact
on the travelers. On the other hand, the micro-environment analysis is required to be
conducted in which the market analysis, company analysis along with competitor analysis
and analysis of the city are required to be identified which will be helpful in analyzing the
competitive advantage. Lastly, the target customers are required to be identified which will
be beneficial in analyzing the digital marketing aspects which will be beneficial for the
success of the firm.
External Environment Analysis
Political Factors-The political aspects of Cape Town in South Africaare not stable
and due to the instability of the entire economy; therefore, the respective problems often slow
down the economic development along with progress. However, there is corruption in the
business scenario and it affects the overall growth of the economy in a negative manner
(Sajid, 2016). However, the winning the support along with confidence of general public
along with investors in light of the different political challenges becomes one of the most
aspects which will improve the political instability to a great extent. However, in Australia
the political environment is stable and the efficient and transparent legal framework will be
beneficial for growth of the country (Ryan, 2016).
Economic Factors- The economic aspects of South Africaare stable as SA is 34th
largest economy in the entire world in terms of nominal GDP. Moreover, the economy is
weak and slow, however as of June 2018, the GDP of the country stands out at 371 billion-

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dollar USD (McDonald & Wilson, 2016). The travel and tourism industry of South Africa
directly contributed towards ZAR 102 billion to South African GDP in 2012 and it helps in
supporting 10.3% of the jobs in the entire country. It is similar in case of Australia wherein
the economy is strong and diverse natural resources attract high level of foreign investment
which will be the other positive aspect of the country (Lovelock & Patterson, 2015).
Social Factors-The economic inequality is one of the major social issues which affect
the overall growth of South Africa in numerous manners. Moreover, the digital trends in
Cape Town has been strong as more than 99% of the individuals uses the smart phones and
tablets and they are technologically advanced (Kotler et al., 2015). In Australia, it is similar
as most of the individuals are educated and there is utilization of the smartphones and tablets
which has increased the internet subscribers in the market.
Technological Factors-In the past two decades, there has been rapid adoption of the
game changer technology wherein the digitization of the different products and services in
SA is disrupting the travel and tourism sector, banking along with retail aspects along with
the other industries as well. There has been huge expenditure on the research and
development activities in the different sectors (Kotler & Armstrong, 2015). In Australia, it is
the similar situation wherein there is advancement in marketing technology in tourism sector
which helps them in becoming more advanced in their operations.
Environmental Factors-In South Africa, the environmental condition is stable and it
is one of the diverse countries in the entire world. There are various places such as mountains
and beaches which attracts the tourists in the market (Kauškale & Geipele, 2017). In
Australia, about 5% of Australia is national parks which provides excellent places which
inhabit them and it will be beneficial for the overall success of the country.

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Legal Factors- In South Africa, there is a mixture of mixed and hybrid legal system
and the main concerns include the non-tariff barriers along with there are different export and
import restrictions which can affect the overall growth of the country. On the other hand, in
Australia, there is inclusion of Australian consumer law which will be beneficial for the
success of the company (Kauškale & Geipele, 2017). Moreover, there is inclusion of data
protection and privacy related laws which affects the overall growth of the tourism in
Australian economy.
Micro Environmental Analysis
Market Analysis
As per the market analysis, the major competitor of Cape Town city is Johannesburg
as the population is less and the scenic beauty is appreciable in comparison to Cape town.
The parks and gardens in Johannesburg are maintained by Johannesburg city parks and zoo
(Johansson, 2017). Moreover, Johannesburg is one of the green cities and it is one of the
young and sprawling cities and the availability of the public transportation is effective.
Competitor Analysis
The three major competitors of Cape Town along with the background of the countries are
stated as follows:
Particulars Cape Town Johannesburg Durban Pretoria
Cost of
Living
The cost of
living in Cape
Town is way
too expensive
The cost of living
is expensive;
however, it is less
than Cape Town
In Durban, the
cost of living is
low and it will
be beneficial for
In Pretoria, the
cost of living is
high and it costs
$7.88

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in nature and
in comparison,
to the other
competitors
which can
affect the
tourism related
activities for
the middle-
class
individuals
and a three course
meal costs R500
which is 9%
cheaper than
Cape Town
the young
college students
to visit the area
and spend time.
The basic dinner
costing is R338
which is way
cheaper than
Cape Town
R104.11 and it
will be suitable
for the different
family members
along with other
members
Convenience The major
convenience or
the strong
aspect is
related to the
transportation
as there are
various public
transport
which are
cheap and
cheerful
The transportation
is one of the
major aspects
which can be
helpful for
attracting more
tourists and it will
be cheaper in
nature
Moreover, the
convenience is
the most
appropriate
aspect which has
been seen in
case of Durban
is that the
country has
various number
of public
transportations
which helps the
tourists to travel
In Pretoria, there
are convenience
which is related
to the different
kinds of aspects
such as
transportation
and plenty of
entertainment
theatres which
will be beneficial
for attracting
tourists

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at an affordable
rate
Metro
Attractions
The different
kinds of
attractions are
inclusive of the
different
islands as well
as other
markets
wherein the
shopping is
provided with
the most
appropriate
preference
It is one of the
largest cities in
SA and it is the
wealthiest
province in South
Africa. It was
founded on gold
rush and it is the
financial and
entertainment
epicentre of the
country (Fill &
Turnbull, 2016).
The nightlife
along with the
weather,
beaches along
with heady
cultural mix to
the famous
curries, Durban
is scorching
which will be
beneficial for
the tourists to
visit the place
and improve the
experience of
the tourists
(Fahy & Jobber,
2015).
There are
different
international
embassies,
monuments
along with
museums, the
respective city is
sports mad with
plenty
entertainment in
the theatres along
with proper night
life (De Mooij,
2018).
Competitive Advantage
Johannesburg-The respective city is famous in comparison to the other competitors
present in the market as it is famous for the catchy lyrics that embody the post-apartheid

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township culture of the city (Chaffey & Ellis-Chadwick, 2019). The city is known as the city
of gold because it is the major beginnings as the gold mining town and it is known to be
fondly to local people by the shortening the name to Joburg or now it is known as Jozi.
Durban- It is located in the east coast of South Africa and Durban is famous for being
the busiest port in the overall country. The city is famous for the different centres of tourism
of tourism as because of the subtropical climate of the city along with the extensive beaches
which are present in the city and it is not available in the other cities as well (Bowie et al.,
2016).
Pretoria-It is defined as the Jacaranda City as there are more than 50000 Jacaranda
trees and it features number of cultural along with natural attractions along with significant
old buildings as well as museums which will be the most competitive advantage of the
country in comparison to the other competitor countries (Baker, 2016).
Country Analysis
Background Information of Cape Town
Cape Town is one of the oldest cities in South Africa which is colloquially named the
Mother City. It is the port city on the southwest coast of SA and it is one of the most
important cities in South Africa. The major attractions of Cape Town include the mountains,
the original Capetonians, colonial ping pong as well as art and design presented in the
country are the different attractions of the country in comparison to the other competitors
present in the other cities present in SA (Atwal & Williams, 2017). Moreover, the natural
wonders of the country is inclusive of the flat topped mountains is the headline act and there
are inclusion of natural landscapes with the extensive boundaries of the different parks.

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Moreover, the people and culture of the country is diverse and it is the city of determined
pioneers.
Current Positioning of Cape Town
Cape Town has positioned themselves as one of the most established cities in South
Africa in comparison to the other competitors. Cape Town is one of the multicultural cities
with technological advancements that make the tourism aspects more effective in nature
(Armstrong et al., 2015). The South African tourism has been one of the most technologically
advanced aspects wherein there is inclusion of the different social media channels to connect
with the different tourists and it increased their presence throughout the entire world as well.
Reputation or Brand Image of Cape Town
Cape Town is one of the most technologically advanced countries that helped in
promoting the ecotourism aspects among the different tourists present in the market. From the
table below, it can be identified that brand image is strongest in comparison to the other
competitor countries and it attracts various customers of different age groups (Armstrong et
al., 2015). In the era of digital technological advancements, Cape Town is one such cities in
South Africa which offers such wide range of technological advancements to the tourists
which help them in understanding the tourist spots along with the packages of the tour to the
respective city within a limited time.
Foreign traveler arrivals (2000-2015)
Year Foreign arrivals
(in thousands)
Yea
r
Foreign Arrivals
(in thousands)
2000 6 001 000 2008 9 729 000

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2001 5 908 000 2009 10 098 000
2002 6 550 000 2010 11 575 000
2003 6 640 000 2011 12 496 000
2004 6 815 000 2012 13 796 000
2005 7 518 000 2013 15 155 000
2006 8 509 000 2014 15 092 000
2007 9 208 000 2015 15 052 000
Table 1: Tourist Attractions at Cape Town
(Source: Armstrong et al., 2015)
Target Marketing Persona for Cape Town
Youth
Demographic
 Age Range- 18-26 Gender- Female Name- Mary Winslet Marital Status- Single

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 Job Type- Studying in College
Geographic
 Place of Stay- Australia Culture and Lifestyle- Tech Savvy and she loves travelling and exploring new places
with the help of identifying the different aspects about the same from social media
websites Psychographic Hobbies- Travelling and exploring new destinations Lifestyle Characteristics- Simple and wants to explore the places in pocket friendly
budget Products/Services- The Cape Town tourism provides various packages for the
different groups of people. As Mary has the passion to travel the world, Cape Town
offers the different kinds of pocket friendly options which is suitable
Behavior
 Behaviors Relevant to Products and Services- Cape Town is technologically
advanced and it helps in attracting the youth who likes to explore the nightlife of Cape
Town Digital Behaviors- There is inclusion of online social media behaviors such as official
website along with ticket booking facility availability are the two major factors
 Customers Supposed to do with marketing- The customers can spread word of mouth
promotion which will be helpful in improving the overall effectiveness

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Business Professional
Demographic
 Age Range- 27-50 years and above Gender- Male Name- Tim Jonas Marital Status- Married Job Type- Working in Private Multi National Firm
Geographic
 Place of Stay- Australia Culture and Lifestyle- Prefers to travel around the world and he travels for attending
business meetings. He has low of knowledge on the digital content importance Psychographic Hobbies- Surfing on digital marketing aspects and travelling to new places Lifestyle Characteristics- Moderate and spend huge money on travelling

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 Products/Services- The different products as well as services inclusive of social
media marketing techniques can help him in gaining knowledge on the places to visit
as well as the different attractions of Cape Town
Behavior
 Behaviors Relevant to Products and Services- The technologically advanced country
with high internet usage can be helpful for attracting such business personnel Digital Behaviors- Through proper official website along with digital channels such
as Twitter and mailing them personally
 Customers Supposed to do with marketing- There can be increase in the promotions
among the customers and it can increase the popularity of the place as well
Family
Demographic
 Age Range- More than 35 years with kids Gender- Parents and kids Name- Mr. Williams and Family Marital Status- Married