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Procedia - Social and Behavioral Sciences 130 (2014) 28 36

INCOMaR 2013

Assessing the Situational Analysis of Heritage Tourism Industry in

Melaka
Zerafinas binti Abu Hassan, Mohd Abdul Kadir bin Jailani, Faizah Abd. Rahim*
Arshad Ayub Graduate School, Universiti Teknologi MARA, 40450, Shah Alam, Selangor, Malaysia

Abstract
Conservationists propose a stringent approach in protecting heritage site from possible adverse effects such as damage, pollution,
and social issues. Yet, promoters of tourism eagerly want to sell out this highly potential locality for what it worth. Thus, this
paper has set the objectives to look into i) the current heritage tourism trend in Melaka World Heritage City, ii) to evaluate the
current marketing strategies that has been used, and iii) to measure the tourist perception for the heritage tourism in case study of
tourism Melaka. Adopting several key marketing tools such as PESTEL, SWOT/TOWS, this research finding is essential in
providing sustainable approach to benefit both stakeholders; the conservationists and promoters of heritage tourism. On top of
that, to measure the successfulness of current strategies, perception of tourists on Melaka heritage tourism is analyzed using the
mean test. Overall results from these tests provide a glimpse of ideas, both from service providers and tourists point of views.
2014
2014 The

The Authors.
Authors. Published
Published by
by Elsevier
Elsevier Ltd.
Ltd.Open access under CC BY-NC-ND license.
Selection and
Selection
and peer-review
peer-review under
under responsibility
responsibilityof
ofthe
theOrganizing
OrganizingCommittee
CommitteeofofINCOMaR
INCOMaR2013.
2013.
Keywords: conservation, situational analysis, heritage, culture, tourism, Melaka

1. Introduction
Palmer in Sorensen and Carman (2009) states that heritage tourism enables people to conceive imagine and
authenticates their national imagination. Visits to heritage places may encourage visitors including locals to take
pride in their nations history. Orbasli (2000) quotes that heritage provokes a sense of being part of and belonging to
place and community in the individuals.
________
* Corresponding author. Tel.: +6012-5250203
E-mail address: faizah171@salam.uitm.edu.my

1877-0428 2014 The Authors. Published by Elsevier Ltd. Open access under CC BY-NC-ND license.
Selection and peer-review under responsibility of the Organizing Committee of INCOMaR 2013.
doi:10.1016/j.sbspro.2014.04.004

Zerafinas binti Abu Hassan et al. / Procedia - Social and Behavioral Sciences 130 (2014) 28 36

Promoters and conservationists are always tipping their toes when the issue of sustainability marketing for
heritage tourism is in discussion. On one hand, promoters job is to market the venue as a highly compelling site to
visit, but in the other hand, conservationists are afraid of the adverse effects brought by excessive tourism activities
to the heritage site. On the same note, there is no doubt that the commercialization of heritage can generate revenue
to help conserve heritage resources, but for this to happen there have to be measures to facilitate this transfer of
funds. Too often, income from publicly owned heritage simply disappears into general budgets, rather than being
reinvested in the heritage resources themselves (Swarbrooke, 2002). In the case of Melaka, a unique local
competitiveness creates a strong foundation for heritage tourism in the state to flourish. Tourism Melaka has been
tapping this advantage and put this industry as a main propeller for Melaka GDP growth. With the inscription of
Banda Hilir as World Heritage Site (WHS) by UNESCO, Melaka will face dilemma of chicken and egg in
choosing either commercialization or conservation of heritage (tangible and intangible) in Melaka.
Thus, to understand and formulate solution for this problem, this study is focused to find answers based on the
following objectives:
1. To identify the external factors that influence marketing strategies for heritage tourism in Melaka
2. To study the internal strengths and weaknesses that contribute towards building marketing strategy as
a key functional area in Melaka Tourism
3. To analyze sustainable approach for Melaka heritage tourism industry
2. Research Design and Methodology
People are tending to visit attractive places and have an intention to experience others cultures, to understand
the lifestyle, and discover the uniqueness of other country. Despite the emerging of the tourism market around the
world, it has given impact directly or indirectly to the heritage both to tangible and intangible heritage product. It
has been identified there is a gap between commercialization and conservation of both products based on the journal
that has been written previously. The academic construct summarizes the whole analyses process. The analyses
commence from SWOT analysis, followed by the PESTEL analysis to understand the situational factors, internal
and external analysis. The components of the marketing plan were explained by using 7ps marketing Mix. As part of
research objective 3, questionnaires are used to study people (tourists) perception towards heritage tourism.
Due to the nature of this research is more consultative in nature; the conclusive research design was adopted
throughout this study. The research is confined to a case study. Primary and secondary data were gathered and
analyzed by using strategic marketing tools. The usage of strategic marketing tools over the primary and secondary
data will established a data that can be used to analyze the connection between commercialization with conservation
towards sustainable marketing of heritage tourism.
3.

Findings

To answer Objective 1, research has used PESTEL and SWOT analysis in indentifying the strength, weakness,
opportunities & threat and also the external factors has provide information on identifying the external factors that
influence the marketing strategies. Results indicated that Melaka has been a preferred tourist location in heritage
tourism sector resulted from the political stability. Having UNESCO World Heritage status, gives Melaka extra
boost to its award winning strengths. Cultural diversity, multiculturalism and ample accommodation make Melaka
city is a good choice to visit. More development opportunities have been offered which may bring more economic
stability in the state that creates more opportunities for local people. It can be said that from the findings, the local
people in Melaka has gain advantage result of the growth of tourism. Therefore, the used of both methods of
analysis has help to answer Objective 1 which is to understand the current industry trend for heritage tourism in
Melaka.
For Objective 2, several notable findings were found including, but not limited to, the booming interest in
heritage and cultural tourisms has helped the tourism agency to develop more products in order to promote the
interest among the local and also international tourist. Since been crowned as one of the heritage cities, the tourism
industry has contributes more in the state revenue yearly. Besides offering the heritage and historical monuments,

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Zerafinas binti Abu Hassan et al. / Procedia - Social and Behavioral Sciences 130 (2014) 28 36

Melaka tourism is also offering several tourism products that may be able to attract foreign and local tourist to come
and visit Melaka. A reasonable price as regards to accommodation, goods and services has attracted international
and local tourist where there is no issue of overpricing due to governance control on the price of goods and services.
The authenticity of the pre-war buildings, heritage sites and monuments that has significant historical background
intrigues these tourists. The uniqueness of local commodity has attracted them to experience both tangible and
intangible cultural product. More advance promotion has been done by Tourism of Melaka by using electronic and
social media approach and still implementing the traditional way of promotions. Friendly and have an ability to
speak in multi-language has become the main point when talking about people in Melaka which is full with custom
and demeanor has giving the tourist living experience in the society. Therefore, the used of 7ps Marketing mix to
see how the variable takes place in its marketing strategies are useful to answer objective 2 to study the internal
strengths and weaknesses that contributes towards building marketing strategy as a key functional area in Melaka
Tourism.
Table 3.1:SWOT/ TOWS matrix analysis

SWOT/TOWS MATRIX

OPPORTUNITY
1. Malacca
International
Airport i.e budget carriers
2. Malaysia My Second Home
programmed
3. New premium outlets
4. Medical tourism
Education tourism
THREAT
1. Environmental degradation
2. Damage on the heritage
building
3. Emergence of new tourism
attraction in other country
such as Bangkok from
Thailand, and Bali from
Indonesia.

STRENGTH
1. World Heritage Tours
2. Cultural diversity
3. Multiculturalism
4. Transportation
i.e
accessibility
5. Accommodation
6. Entertainment places
7. Multilanguage

WEAKNESS
1. Lack of parking areas
2. Walkway
unavailability
good

S-O
1.

2.

Develop comprehensive tour

package airport to airport (S1,
S4, S5, S6, O1)
Develop collaborated tourism
with
healthcare
products
providers (S1, S2, S3, O3, O4)

S-T
1.

2.

Develop separate heritage

zone for commercialization
and gazette area (S1, S2, T1,
T2)
Develop comprehensive and
interesting education products
for heritage tourism (S2, S3,
S6, S7. T3)

W-O
1.

W-T
1.

Develop
efficient
public transportation
services (W1, W2, O1,
O3)

Build
walkway
around existing main
road for easy excess
(W1, W2, T1, T2)

Objective 3 was more focused on quantifying both frequency and mean analyses on tourists perceptions
towards heritage tourism in Melaka. In answering this objective, findings and analyses are based on set of
questionnaires answered by 150 sample size at several locations within core zone of heritage site.

Zerafinas binti Abu Hassan et al. / Procedia - Social and Behavioral Sciences 130 (2014) 28 36
Table 3. 2: Demographic profile of respondents (N=150)

Description
Country of Origin
Malaysia
Taiwan
Singapore
Thailand
Australia
Philippines
China
India
United Kingdom
Japan
New Zealand
Age
d 20
21 30
31 40
41 50
t 51
Gender
Male
Female
Marital Status
Single
Married
Divorced
Education
Primary
Secondary
Bachelor Degree
Master Degree
Doctorate
Occupation
Management
Entrepreneur
Professional
Clerical
Student

Frequency

Percentage

60
17
16
13
10
9
9
7
4
3
2

40.0
11.3
10.7
8.7
6.7
6.0
6.0
4.7
2.7
2.0
1.3

1
72
64
8
5

0.7
48.0
42.7
5.3
3.3

85
65

56.7
43.3

73
73
4

48.7
48.7
2.7

5
23
101
16
5

3.3
15.3
67.3
10.7
3.3

54
10
76
6
4

36.0
6.7
50.7
4.0
2.7

Mean analyses (using 4-interval as measurement) showed high degree of awareness, appreciation, and they
played an active role in preserving the local heritage. The perception levels may be varies, but high values of mean
indicating good response amongst sample group on issues of heritage tourism. Based on the analysis that had been
done, it indicates that Melaka has scored high marks which prove the exclusivity of Melaka as preferred tourist
location in heritage tourism sector. Its a well known brand couple with UNESCO status give extra boost to its
award winning strength.

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Table 3.3: Melaka as Tourists Attraction

Description
Source of Information
Friend and relative
Magazine
Travel agency
Tourism fair
Website
Frequency of Visit
First time
2 4 times
5 times and more
Reason for Visit
Business
Heritage and culture
Holiday and relaxation
Recommended by friends
Visiting relative and friends
Perception on Cleanliness
Excellent
Good
Average
Bad
Very poor
Willingness to Visit Again
Yes definitely
Maybe
Never
Recommendation for Others to Come
Yes definitely
Maybe
Never
Overall Satisfaction
Excellent
Good
Average

Frequency

Percentage

61
23
9
17
40

40.7
15.3
6.0
11.3
26.7

44
71
35

29.3
47.3
23.3

16
27
76
10
21

10.7
18.0
50.7
6.7
14.0

66
62
17
2
3

44.0
41.3
11.3
1.3
2.0

129
20
1

86.0
13.3
0.7

135
14
1

90.0
9.3
0.7

72
68
10

48.0
45.3
6.7

Table 3.4: Summary of Mean on Tourists Perception towards Heritage Tourism in Melaka

Perception
I am respectful of locals custom and traditions
I see visitors get excited about local cultural heritage
I feel good about the way we are caring for cultural heritage
I believe in preservation of ones cultural heritage
I believe reduce looting and vandalism of cultural historic and religious
sites is important
I believe in maintaining a distinctive main street architecture
I believe international tourist try being very respectable in preserving
of ones cultural heritage
My holiday experience is better when I have learned as much as possible
about my destinations cultural heritage
My holiday experience is better when Im doing something authentic

Mean
3.56
3.55
3.35
3.36
3.38
3.41
3.29
3.39
3.42

Zerafinas binti Abu Hassan et al. / Procedia - Social and Behavioral Sciences 130 (2014) 28 36

4.

Conclusion

The state of Melaka has been on high ride from tourists receipt, which contributes around 46.59% of state
gross domestic product (GDP) in 2011 (Tourism Melaka Report, 2013). With not much natural resources to harness
economically, state government rely heavily on tourism industry as one of catalyze for local development. The
nature of development at a tourist destination is shape by the demand for tourism in the country.
It is shape by, inter alia, tourism opportunities, which a mix of attractions, and for a destination to be
successful, it is important to deliver a quality product and experience. In this regards, careful planning and
management, based on sustainable principles, are necessary for tourism development.
Some economic activities
depend on tourism for their survival, e.g. tourist accommodation, travel agencies, and long-distance passenger
transport. Other activities such as restaurants and bars, car rental services, entertainment and attraction services also
tend to rely strongly on tourism. The dependency of certain activities or enterprises on tourism may also depend on
their location. Thus the supply of tourism activities comprises diverse economic activities, and when presented as a
sector, it is very heterogeneous, encompassing different activities, some of which are directly dependent on tourism
and others only partly. The multiplier effects of state tourism are higher post-UNESCO inscription in term of
investment of new hotels and retail outlets, job creations, as well as infrastructure development. However, over
dependent on tourism sector may create adverse effects especially on heritage site, in term of degeneration of
building, damages to heritage area, overcrowding, and pollution.
Huibin, Marzuki, & Razak (2012) also support this finding, that cultural heritage tourism is the biggest
attraction for international tourists, which in turn is a major source of foreign income exchange. For example, during
tourism development in many cultural heritage sites, when rapid economic growth and great social development
have been gained, some social pressure and environmental problems follow (Huibin, Marzuki, & Razak, 2012).
As defined in literature review, Endresen (1999) asserts that sustainable tourism is plagued by the challenge of
operationalization of applying the concepts to specific situations. In practice, sustainable tourism is often
operationalized by listing several criteria, such as tourism involving minimal environmental impact, enhanced local
benefits and participation, and education of visitors. This research found strong operationalization efforts between
state tourism agency for commercialization, and Jabatan Warisan Negara for conservation.
This finding also concurs with comprehensive schematic model offered by Belz (2006) which touches key
elements of sustainable marketing as following:
x Socio-ecology issues which have strong preservation of local multiculturalism against aggressive marketing
efforts took by Tourism Melaka, as depicted in findings from Objective 1 using PESTEL and SWOT analyses.
x Consumer behavior where there is a high degree of awareness, support, and participation by local and
international visitors in preserving local heritage, as summarized in mean test results.
x Sustainability marketing mix research has mapped out 7Ps used by Tourism Melaka to promote its heritage
tourism, and at the same time educating stakeholders on the importance of conserving and appreciating local
culture and heritage.
5.

Recommendation

Based on findings of four objectives from this research, several recommendations can be made to intensify the
sustainability marketing strategies for Melaka Heritage tourism.
5.1 Develop comprehensive management plan of heritage site
Tourism Melaka should work closely with relevant agency on conservation such as Jabatan Warisan Negara to
plan strategic (long term) in selecting areas available for commercialization, and others for gazette. This selective
approach can be used to refurbish and reconstruct dilapidating heritage site and return it to its former glory. Once
ready, the gazette status can be lift up to allow suitable activities being done to promote it as tourist attraction. On
the mean time, other heritage site that already worn out will be imposed the gazette status, and refurbishment can
take place. This is to ensure that heritage site can be restored and maintained, but at the same time being used to
generate sustainable income.
Cultural show is considered as intangible heritage that covered under UNESCO classifications. Multicultural

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background of Melaka people can be promoted further to increase awareness about multiethnic origin that has been
assimilated more than 500 years, such as Baba Nyonya, and Chetti. Exposition of this unique culture can further
enhance heritage activities and experience to be offered to local and international tourists alike.
5.2 Improve road access to tourist area
Although the area is protected for full development, relevant agencies can re-route traffic flow so the congestion
can ease up, and core zone is accessible by pedestrians. Currently, local feeder busses and traffic flow share the
same road crossing core zone, causing massive congestion especially during holiday season. By limiting access of
local traffic, and re-route the flow, core zone can be easily access by foot, and this can reduce further the pollution
as well. Trishaw however is useful to commute people from point to point within core zone, thus improving the
accessibility as well as increasing demand for local trishaw.
Current development of walkways along Melaka River is highly commendable, and should be extended around
Core Zone to encourage more people to walk from site to site rather than driving their own vehicle. This two-prong
approach is proven to be effective to increase participation of tourists in each heritage site along the walkways, and
at the same time reduce traffic congestion tremendously.
5.3 Develop collaborated tourism products with healthcare providers
Melaka Tourism can also tap on the increase demand for medical tourism in Melaka, by collaborating with local
healthcare providers for promotional products relevant to heritage tourism, such as Historic Trail activities and
cultural shows. One of the factors towards the popularity of the medical tourism in Malaysia is the government
initiative to support the medical tourism. The Malaysia's Ministry of Health operates the Malaysia Healthcare Travel
Council, dedicated to improving and promoting health care within Malaysia for foreigners. The Ministry of Health's
website includes an English-language guide for foreigners who are considering health tourism in the country. Online
resources include a guide to hospitals offering medical care, with contact information, capacity statistics and a
summary of specialties.
5.4 Develop comprehensive and interesting education products for heritage tourism
Tourism Melaka can develop education package for heritage tourism in order to increase awareness and
responsibility to maintain and help the local government preserving local historical area and culture. Overflow of
tourist may contribute to the degrading of heritage site as mentioned on research findings by Ap & Crompton (1998)
on environmental effect of tourism.
Thus, to improve responsibility and increase degree of participation by tourists, education program can be
included in the heritage tourism package. Educating visitors is important to ensure sustainable marketing efforts
done by Tourism Melaka would be more holistic and inclusive. Based on findings on tourists response towards
heritage activities and experience, education background prove to be significant with high acceptance level.
Education shall not be limited to incoming tourist only, but also must be developed through holistic approach such
as from school level. This is to ensure the acceptance and awareness on the importance of maintaining and
respecting heritage products can be sustain in a longer period transverse generations.
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