Sunday, October 28, 2007

Baby Boomers: It's All About Lifestyle Marketing

From Home Based Trade

by Mitchell J. Schlesinger

This is clearly the market segment that has drawn the most attention and focus from marketers over the past 20 years as they eagerly awaited the first baby boomers to start turning 50 ten years ago. And marketing to lifestyles (psychographics) takes precedence over traditional expectations based on their demographics.Defined as the segment of the population born primarily during the 10-year period after the end of World War II, baby boomers are a key target market for a wide spectrum of travel alternatives. In the core age range of 50-62, these consumers are at the height of their economic life stage in terms of income from employment (many with two-income families) and investments, PLUS the additional accumulation of wealth as a result of inheritances from parents.

From a demographic standpoint:
• We already know how old they are.
• At this stage of life, many are becoming “empty nesters” as children graduate college and start lives of their own living outside the home.
• More importantly is their economic value as a market segment. Ken Dychtwald, founder & CEO of “Age Wave LLC,” indicates that boomers earn roughly $2 trillion in annual income and represent 50% of all discretionary spending. His book “Age Wave” is valuable reading.
• Additionally, this segment, representing almost 30% of the total U.S. population:
• Control 70% of the wealth;
• Own 77% of all financial assets;
• Represent 80% of deposits in S&Ls;
• Own nearly 50% of all credit cards;
• Purchase 50% of all luxury cars.

But the key for baby boomers is that they focus on numerous lifestyle pursuits and do not think about “acting their age.” The impact of key psychographic factors attracts the boomers to a wide variety of travel experiences:
• They are drawn to purchasing “experiences” that provide enjoyment, having spent a lifetime accumulating “possessions.”
• They have much more time to travel because they are not constrained by young children or have already reached Empty Nester status.
• They are active, vital and want to fulfill the lure of a variety of different travel experiences. They are just as likely to purchase an exotic itinerary based vacation as they are an active sun/fun trip. And both in the same year!
• Service is critical to baby boomers. Based on the scope of their economic impact, they insist on service that is attentive to them personally and their expectations in purchasing a vacation.
• And value is equally important. This is a target market that should always be sold the components of the travel first. Your recommendation of the kind of trip that appeals to their psychographic needs should be focused on the overall value.

The baby boomer generation has changed the way marketers design a myriad of products and services and they are the core group who have redefined the “age perception.” And it is their outlook on their own age and vitality that makes them such good prospects.

A few things to remember to be successful in soliciting their business:
• Think active and not sedentary. Whatever products you promote, make sure that there are elements to the trip. For cruises, there must be active shore experiences and not just bus rides. A sun/fun resort trip should have water sports, golf/tennis, interesting walking trails. And exotic travel should include the allure of “exploring” and soft adventure.
• In terms of time away, most baby boomers are still working. For a good purchase response, 14 days should be the longest length, 10 or 11 days is even better.
• Appeal to their “lifestyle” affinity. For repeat clients, you should have this information stored in their profile. Whether it is wine tasting, cooking, scrapbooking, NASCAR, hiking/biking or eco interest, sending them information about a vacation opportunity that strikes a personal chord dramatically increases your chance for a sale and lets your clients know that you are thinking about THEM.
• Promoting lifestyle affinity travel is the perfect way to build groups. Clients involved in affinity activities have family and friends who participate, as well. And this can bring you new clients from across the country as “they tell two friends, and they tell two friends, and so on and so on....”
• Never send too many offers, as it detracts from their ability to focus. You can send two to three choices of completely different types of vacations for them to select. Just make sure that these trips will appeal to their interests and that you have included sufficient detail about each trip to convey the VALUE.

Baby boomers have markedly changed “traditional” lifestyle patterns. The more you know about these clients, the more successful you will be in capturing their business... today. And remember, they are tomorrow’s seniors and retirees. They are customers who are loyal to products and services they know and trust and to those whom they perceive know them.

Wednesday, October 24, 2007

Mt. Rushmore, Grand Teton & Yellowstone Nat’l Park

Sunday July 22, to Sunday July 29, 2007
by Chan Panchal

Highlights: After landing at Rapid City, South Dakota Airport, we transferred to our Hotel Radisson. The next morning we visited Crazy Horse Memorial and Mt. Rushmore National Monument.
(Two nights in Radisson, Rapid City, South Dakota).

3rd Day: we visited the Western Cowboy town of Sheridan in Wyoming and Little Bighorn Battlefield National Monument in Billings, Montana.
(One night in Crowne Plaza Hotel, Billings, Montana).

4th Day: On our way to Yellowstone National Park we visited Buffalo Bill Historical Center in Cody, Wyoming; stopped at the Continental Divide; and arrived at Yellow Stone.
(Two nights in Old Faithful Snow Lodge, in the Yellowstone National park, Wyoming).

5th Day: We took a full circle guided tour of Yellowstone Park.

6th Day: On to Grand Teton National Park, took a Snake River Float/Raft tour, visited the town of Teton village and arrived at the town of Jackson.
(One night in the Virginian Hotel, Wyoming).

7th Day: We drove thru Oregon Trail, took a tour of the Mormon Tabernacle and arrived in the Salt Lake City, Utah
(One night in Hilton Hotel, Salt Lake City, Utah).

8th Day: We left for our journey back home, New Jersey.

Details:
Sunday July 22, 2007. From Newark, NJ, we flew on Northwest Airlines, at 6.20a.m, arrived Minneapolis at 8.15a.m.; departed 9.30a.m. and arrived in Rapid City at 10.30a.m. (We drove and parked our car in Newark long-term parking lot – 7 day, $15 per day). At Rapid City we were picked-up by Radisson Hotel and were able to check in at 12.30p.m. (Spent two nights in Radisson).

It was a very hot day i.e. actual temperature 104F. We did try to walk on the Main St., where all U.S. Presidents’ statues were located, however, we came back in a short time due to extreme heat. Had dinner at the Hotel restaurant called Enigma. 8p.m. Caravan had a welcome meeting in the hotel and we met Tom, our tour director.

Monday July 23, 2007. We had breakfast at 7a.m., left for Crazy Horse and MT. Rushmore at 8.30a.m. Our bus was very comfortable and because of hot weather, each passenger was given a bottle of water couple of times a day. We were 44 passengers including our tour director, Tom, and our driver, Charlie. It was an unusually hot morning and later that day the temp. went up to 105F. On our way to Crazy Horse, we passed by bare country farm and saw baby black bears and passed black forests. Spent 3 hours at the Crazy Horse area. First we watched a 15 min. movie and then visited the museum, gift shops and residence of Korczak Ziolkowski’s (the main sculptor) residence and took many pictures. Left at 12 noon and arrived at Mt. Rushmore at 12.30 p.m., stayed up-to 3p.m.

We took a tour of this great National Monument called Mt. Rushmore, with the sculptured faced of Presidents, Washington, Jefferson, Lincoln and Theodore Roosevelt.

Arrived through the black hills to Rapid City. Once again walked around town to look at the presidents’ statues and explore the downtown. Had dinner at the hotel restaurant.

Tuesday July 24, 2007. Weather was hot/sunny and clear. Once again, breakfast at 6.30 and left our hotel at 8a.m. on our way to Wyoming; 375 miles journey from Rapid City. On our way we passed one of the camps of motor cycles gathering. In the second week of August, 250,000 motor cycle riders will get to gather in Rapid City for 2 weeks. In a city with population of 60,000, during these two weeks, there will be an additional 500,000 people.

Note: Once again we passed black hills areas. Because US Gov't took thousands of acres of black hills areas, Native Americans are not happy and they are still not happy about it, even though the Gov't has put $300 millions in an escrow A/C. Even today, they have refused to accept this money.

On our way we passed a Spearfish theater with a capacity of 6,000, largest in the state of South Dakota. We also passed and took pictures of Buffalo ditch, where Native Americans will dig a ditch and once a wild buffalo fell in it, they will then finish it off. This will be very useful in every way during the winter season.

Also passed 1st Devil’s Tower. Theodore Roosevelt, although never setting an eye on the Devils Tower, recognized it as a scientific wonder and proclaimed this magnificently columned natural structure America’s first national monument in 1906.

After that we stopped in the town of Gillette around 10a.m. for a coffee break. We continued driving in Wyoming. The speed limit in this part of the land is 75pmh. We arrived in the town of Sheridan around 12noon and had a buffet lunch at the Holiday Inn.

After lunch we continue driving and entered the state of Montana, “Big Sky Country”. Visited Little Bighorn Battlefield National Monument in the Crow Nation. Watched a short movie of the battle, where in 1876, in the valley of Little Big Horn, combined Sioux and Northern Cheyenne forces led by Sitting Bull and Crazy Horse overwhelmed Custer and his Calvary. At this time the real temperature was 106F. We arrived in Billings at 5.30p.m. The town Billings is very Industrialized and famous for computer software, potato and sugar beans.

This evening we had dinner at a Mexican restaurant.

Wednesday July 25, 2007. Weather was little cooler this morning. Breakfast at 6.30 and in bus at 8a.m. This morning we started our journey toward Wyoming to the town of Cody through the wide-open spaces of Montana.

In Cody we visited the world famous Buffalo Bill Historical Center known for its Wild West exhibits. Saw the Plains Indian Museum and the Whitney Gallery of Western Art, with paintings and sculptures by revered artists such as Frederic Remington and Charles Russell. In Cody also visited one of the oldest hotels, Hotel Irma, famous for old style rooms, menu and very unique cherry wood bar.

Left Cody around 1.15p.m. and crossed the Continental Divide and entered Yellowstone Park for a two night stay in the Old Faithful Snow Lodge. Checked in hotel at 5p.m. and at 6.10 p.m. we went to see the most beautiful thing in the park i.e. Old Faithful Geyser where every 90 minutes the Old Faithful Geyser shoots thousands of gallons of steaming water into air, sometime up-to 100 feet. Also walked in surrounding areas (mainly on the built-in platform/promenade) to observe various types of geysers.

We also visited one of the most beautiful and oldest hotels in the park i.e. Old Faithful Inn.

Thursday July 26, 2007: This morning was one of the most beautiful and comfortable mornings (60F when we started our day and expected to go to 75F). Breakfast at 7a.m. and left at 8.30a.m. for a full day complete tour of Yellowstone Park.

Yellowstone Park was established in 1872 and became the first national park in the world. Now over 90 countries all over the world have national parks. This 2.2 millions acre park contains almost 300 Geysers and over 10,000 hot springs, fumaroles and mud pots. In addition, many varieties of animals are found such as; black bears, moose, elk and bison. The coldest temperature recorded (in 1933) was -66F and hottest was 99F. There are two major attractions in the Yellowstone Park, the upper and lower loops. On the upper loop, one will see Norris Geyser Basin and visit Mammoth Hot Springs. Walk on the raised platforms above the unique terraced pools. Mammoth Hot Springs is one of the best areas in the park for close-up viewing of elk or gibbon. On the lower level loop, one will see Old Faithful Geyser where every 90 minutes the old faithful geyser shoots thousands of gallons of steaming water into the air.

Later stopped at the fall of the river Gibbons. Around 10.30a.m. we arrived at the famous Mammoth Hot Springs and took a tour. Then arrived at the Mammoth Head Quarter and stayed for lunch until 1p.m. The next stop was Grand Canyon, where we marveled at the rushing waters of Yellowstone falls, twice the height of Niagara Falls i.e. approx. 325feet.

On over way to the hotel we passed Fountain Point Pots and Yellowstone Lake. (This lake is the largest in North America 7723 Sq feet). Continued driving and we experienced a “traffic gridlock” created by bisons. During their evening “going home” time, many bisons decided to cross the highway we were driving on. And as per the rule of respecting the animals in Yellowstone National Park, we had to wait, wait and wait for these bisons to cross the highway. Total delay was for about an hour. Then we stopped and took pictures at the Continental Divide/Isa Lake. This line divides our country between East and West.

Arrived at the hotel at 5p.m.and because it was raining, we did some souvenir shopping. After dinner once again before we were tp leave the park the next morning, we stopped at the famous Old Faithful Inn to enjoy the history/beauty of the magnificent structure.

Friday July 27, 2007: Weather was clear and comfortable. Breakfast at 6a.m. and left hotel at 8a.m. We are on our way to Jackson/Grand Teton National Park. On our way to the Teton National Park we observed the jagged soaring Teton Ranges with eight peaks over 12,000 feet. Scenes from the western classic film “Shane” were filmed here.

Stopped at the Colter Visit Center and near-by scenic stop and, took some pictures of Grand Teton Mountains. Next stop was Jenny Lake to take our float trip in the river Snake.

Because weather was clear and calm, we were able to take the float trip in the river Snake. This float ride in a rubber raft for two hours was one of the most beautiful unforgettable memories of our trip. We enjoyed a picnic lunch in raft, while we were floating in the river Snake. We also saw some wildlife as we floated through the park like; waterfowl, beaver, osprey and eagles (including eagles nest). We also took many pictures of Teton Ranges (mountains) and beautiful river including the horse-buggy transfer barge (the one they used to use it in our golden days) crossing the river.

Then, we arrived in the town of Jackson. We had plenty of time to walk around the beautiful downtown. Enjoyed the art galleries and western shops. Walked around the town square and took pictures of the Antler Arch (constructed on all four sides of the park). Also visited the Million Dollar Cowboy Bar, where, the bar stools was made from horse saddles. Arrived in hotel The Virginian (for one night stay) around 5.15p.m. and left at 6.15p.m. for a real western cowboy style dinner and entertainment at the place called Chuck wagon. It was real treat in terms of how the dinner was served to 700 people within 15 minutes. There was a live old Hi Ho type country programs given by Bob Murphy’s two sons and their group. It was really entertaining evening. Returned to our hotel around 10.30p.m.

Saturday July 28, 2007: This morning was clear with temperature being 65F and expected to go up-to 90F. We had a 6.30a.m. breakfast and left the hotel at 8a.m. on our way south through the Bridger-Teton National Forest. Entered Idaho and crossed the route of the original “Oregon Trail”.

Stopped in the town of Thayne (rest stop) and had hot/fresh/doughnut. Passed a town of Aftan and saw (took a picture) the widest Antler Arch – covering the entire street. Next stop was town of Logan and we had lunch. Stopped at beautiful Bear Lake for pictures. Continued via Logan Canyon to Salt Lake City, Utah, the state capital.

State of Utah: Total population is 2.3 million. The average age in the state is 26 years. This is one of the fasted growing states in USA. Between 1990 and 2000 Utah population grew by 29%. Highest recorded temperature was 117F and the lowest was -69F.

Later we arrived at the Temple Square and visited its beautiful gardens and fountains. Took a tour of the Mormon Tabernacle, home to the Mormon tabernacle Choir. Arrived at Hilton at 5.p.m. (for one night stay). Had farewell dinner at the Hilton at 6.p.m. and after dinner took a stroll in the downtown of Salt Lake City including a short shuttle/Trolley ride. Returned to hotel at 9.30.

Sunday July 29, 2007: Said good-by to our newly made friends and the Salt Lake City and took a 10.a.m. flight to come home. Took shuttle bus to the air port (provided by Hilton by charging $8 PP). After one transfer at Cleveland, Ohio, arrived Newark around 7.p.m., picked-up our car from the long term parking lot and arrived home around 8.30p.m.

Caravan Tour: We enjoyed Caravan tour’s services and their 55 years of experience under the same family management, with tours of superb quality and excellent value. Two things we liked the most: the first was the fact that Caravan includes all activities listed in their itinerary and the second, Caravan does not sell any “optional tours” which can add a great deal of money to your tour.



C/P/Mt.Rushmore-7-2007

Friday, October 19, 2007

10 tips to make more money!

10 Ways for Travel Agents to Increase Revenue and
Competitive Advantage

By Carl Bennink, Ph.D.



This month, I am republishing one of the most popular issues of this newsletter. The majority of current subscribers have never seen it and the advice is as relevant today as it was two years ago.


I’ve learned over the years that one good idea at just the right time can really make a lot of difference and, hopefully, one or more of these will strike you in the same way.

Where did this collection of ideas come from?

They actually came from my discussions with travel agents facing challenges just like yours.

I’ve talked with a lot of travel agents about many different kinds of marketing issues. So, here are some of the problems, solutions, and helpful tips that have come out of those discussions.

1. Get an email address from every prospect and client that you can. Yes, email has its pluses and minuses but, today, it must be a part of your marketing program. Two good reasons:

a) You need to communicate with people in the channels that they use and, like it or not, email is one of those important channels.

b) Email is a lower-cost medium that enables you to communicate more often and in more creative ways to cultivate relationships with prospects and clients.

Action: Start religiously collecting email addresses from all prospects and clients. For those already in your database, update as many records as you can to include email addresses.

2. Build a website. Same principles as email. You have to meet people where they are and where they are is online – especially when it comes to travel.

A website also enables you to use relationship marketing strategies that would otherwise be too difficult or too costly to implement.

Action: If you don’t have a website, plan on developing one. However, when you do, be sure to ...

3. Use your website to support your overall marketing and CRM strategy.

Your strategy is not the same as an online agency like Expedia, Travelocity, etc. so don’t try to be like them. Use your website for things like pre-selling, collecting contact information, enhancing your post-booking service levels, cultivating loyalty, etc.

Action: Whether you currently have a website or are building one for the first time, make sure the design and content of your site supports implementation of your marketing plan.

If you don’t have a marketing plan to drive the development of your website, then that would be the first thing to develop. Otherwise, you could end up wasting a lot of time and money and wondering why your website isn’t paying off for you.

4. Get the gold out of your database. Most travel agents I talk with want to increase their sales and profits. While obtaining new clients is certainly an important way of achieving that objective, one of the most overlooked opportunities for generating more business is a database of existing prospects and clients.

Your CRM/database system should be more than a place to keep names, addresses and phone numbers. You should also be able to use your database to identify prospects and clients:

● with specific travel interests so that you can more effectively target promotions.

● according to where they are in the travel buying cycle so that your communications are timely.

● who are most deserving of your time and attention.

Action: Commit to doing more analysis of what is already in your database. Identify MVC’s (Most Valuable Clients) and MGC’s (Most Growable Clients). Develop planned sequences of regular communications with both groups to strengthen your relationships.

You can also classify everyone according to the “time since last cruise, vacation, etc.” How does the time interval compare to the average among your clients? For those who have traveled with you frequently, how does the time interval compare to their average? Is it time to call them? Will your contact come as a pleasant surprise or do you have a record of “keeping in touch”? (see next tip)

If you are not able to take the simple steps I just suggested, then your most important action item is to do something about your CRM/database so that you can.

5. Never stop communicating with prospects and clients (unless they want you to). Most of us understand that, to have healthy relationships in any other area of life, we need to communicate. Why is it that so many travel agents don’t apply this principle to their business?

If people are coming to you because of your ticket writing abilities, then maybe you don’t have to worry about communication all that much. However, if you want to relate to people as a “Trusted Travel Advisor” with special knowledge and expertise, then communication is a critical success factor.

Action: Set up a system for communicating regularly and effectively with prospects and clients.

6. Make sure your regular communications are interesting, relevant, and personal. So much of what gets sent out to prospects and clients is worthless. It’s like the stuff that appears in my mailbox every day from real estate agents, car dealers, and credit card companies – it doesn’t relate to anything I’m interested in, it’s promoting something I’m not looking to buy at the moment, and it all looks the same.

Action: Review every communications piece you have and ask yourself; “If I were a prospect or client receiving this, what would I do with it”? Be honest.

Awhile back, I received a mailing from a local travel agency. Underneath a clipart logo, the cover letter began:

Dear Friends and World Travelers,

We take great pleasure in enclosing a list of (Name of luxury cruise line withheld to avoid embarrassing them) voyages offering savings up to 50%!!!

Enclosed was an inventory list of cruises for that year.

And, this mailing was supposedly targeted toward luxury travelers who were “our valued clients”.

Not only was I not a client but the greeting didn’t make me feel too valued either.

Enough said. That leads to a related tip ...

6. Know your customers (prospects and clients). This should be a “no brainer”. However, I can tell you that, in general (maybe not in your case) lack of customer knowledge is what sabotages the marketing efforts of most travel agents. And, I’ve noticed this for years.

Everything we do in marketing should be done with the customer perspective in mind. But, it’s pretty hard to do that if you don’t know what their perspective is.

Action: Conduct an honest evaluation of how much you really know about those you are trying to market to. What are their values, plans, preferences, etc. How do they think? Why do they do business with you? What do they think you could do better? How could you help them improve their life using your special knowledge and expertise? What needs and desires could you connect to in your communications?

All of us can improve our customer knowledge. The best time to start doing it is now. The payoff will come quickly.

7. Engage the imagination and values of your customers. When you are communicating with prospects and clients about travel opportunities, what “hot buttons” and motives do you try to connect to? So much of what passes for marketing communications in travel seems to assume that the most important hot button in travel is price.

Why should that be? We sell some of the most exciting products in the world . The travel products and destinations you offer are not necessary for survival – they meet needs at a higher level. Your products, knowledge, and expertise help people thrive – get the most out of life, create memories, enrich their experience, refresh and renew their mind, body, and spirit, etc.

How great is that?

Yet, when I look at most travel marketing pieces, I find that they fail to connect with people at a deep enough level. Good grief, even Home Depot connects with my imagination more than some travel pieces I see.

Action: Don’t just tell people what you have for sale – tell them how it will improve their life. Don’t just tell people what you do – tell them how you can improve their life. Don’t just tell people about certain travel opportunities – tell them how specific opportunities relate to their values and plans.

Of course, its hard to do all that if you don’t know what their values, plans, and life are about (see tip #6).

8. Get out of the office. Many travel agents are more wedded to their offices (till death do us part) than to their spouses. There is something about an office –especially a brick and mortar storefront that just compels us to be there.

Yet, is that what your clients want? Is there a (maybe large) segment of your customers that would appreciate “house calls”. By offering to meet people wherever it is most convenient for them, you could set yourself apart from your competitors and take another step in cementing your relationships with prospects and clients.

Action: Find out which prospects and clients would appreciate your calling on them at home, in their office or place of business, etc. Always offer this option to those who meet your “Most desirable client” profile. Then, get out there!

9. Identify the greatest opportunity you have to “WOW” your client. Opportunities to differentiate ourselves from the competition are often right in front of our noses. However, we get too comfortable with our routines and processes to notice them.

Action: Examine your whole process of interacting with prospects and clients and ask yourself if there is some way you could go "above and beyond” to make your client experience exceptional.

10. Get expert help with your marketing efforts. This could be especially valuable if your marketing is not working as well as you think it should