NAME EMAIL COUNTRY TEAM ROLE

OF
RESIDENCE
Christian K. clauenborg@elon.edu  Denmark Pricing strategy, grammar and
Lauenborg writing.
Laura Camilla lvargas03180@universidadean.edu.c Colombia Industry and competition analysis,
Vargas Navarro o marketing section, Pricing strategy,
1 design and structure.

Youngrong y.zhuang-19@student.lboro.ac.uk UK Operation Management.

Zhuang
Dongmin Hyun ehdals474747@naver.com  Thailand Industry and competition analysis,
market selection.
Alenezi, Sultan sultan.alenezi@spartans.ut.edu  USA Operation management
A_S_J
 Table of Content

1 Executive Summary.............................................................................................................4
2 SECTION I: MARKET ANALYSIS...................................................................................4
2.1 Description of the Company..........................................................................................4
2.2 Industry and Competition Analysis...............................................................................5
2.3 New Market Selection...................................................................................................7
2.3.1 Key Competitors.....................................................................................................7
2.4 CAGE..........................................................................................................................10
2.5 Potential Customer......................................................................................................11
3 SECTION II: MARKETING.............................................................................................11
3.1 Customer Segmentation..............................................................................................11
3.1.1 Target Market B2C...............................................................................................13
3.1.2 Target Market B2B...............................................................................................15
3.2 Promotion channel: Digital Marketing........................................................................17
3.2.1 Digital Marketing Strategies.................................................................................19
2
3.2.2 Objectives.............................................................................................................20
3.2.3 Tactics...................................................................................................................20
3.2.4 RACE....................................................................................................................21
3.3 Other strategy.........................................................................................................21
3.4 Message.......................................................................................................................22
3.5 Promotional Materials.................................................................................................23
4 Section III. Operations Management.................................................................................23
4.1 Entry Mode..................................................................................................................23
4.2 Pricing strategy............................................................................................................23
5 CONCLUSIONS................................................................................................................24
6 BIBLIOGRAPHY..............................................................................................................25

Table of Figures
Figure 1: States where americans most come to Colombia..................................................10
Figure 2: Age Segmentation (americans)..............................................................................12
Figure 3: Main Intermediares in the US................................................................................15
Figure 4: Main Intermediaries in Colombia..........................................................................16
Figure 5: The Social Networks most used by Americans.....................................................17
Figure 6: SOSTAC Tool.......................................................................................................20
Figure 7: "Progress and Transformation: The Decree of NOMAD"....................................21

Table of Graphics
Graphic 1: GACE Tool........................................................................................................10
Graphic 2: Reason for trip (americans). ..............................................................................11
Graphic 3: Travel Preference Segmentation.. .....................................................................12
Graphic 4: Seasonality of preference (americans)...............................................................12
Graphic 5: Reservation Means Preferences (americans) ....................................................13
Graphic 6: Search destination selection. (americans preferences).......................................16

Table of Tables
Table 1: Competitive Profile Matrix.......................................................................................5
Table 2: SWOT Analysis........................................................................................................5
Table 3: Segmentation Model B2B.......................................................................................15
Table 4: VRIO Analysis........................................................................................................22

3
 1 Executive Summary

NOMAD is a Colombian company whose purpose is to provide an authentic and

sustainable experience in terms of culture and nature in Colombia. It focuses on creating
moments where people coming from all over the world get to feel immersed in the culture
of the country and where they can have a positive impact on the community they visit.
It is a sustainable model in terms of economics and social factors because the idea is
that families such as farmers have intercultural and financial exchange and where tourists
will be involved and enjoy the experience.
The company offers a ´LA NOMADA´ experience which is rental of a campervan
where the customer can travel all around Colombia with freedom. Nomad will provide the
customers with guidance and advice on where to go depending on their interest and have a
list of host families where they can park, sleep and get access to water, toilets, and showers
with these families. It costs US$100/$400.000 colombian pesos in total for a day (24 hours)
rental. It includes an insurance that covers any damage to the car or thirds, basic amenities,
picnic table and 2 chairs and a screen projector
4 for movies.

In Section 1: We will make a short description of the company with the product it
offers and analysis of NOMAD’s competitive position with its advantages and
disadvantages; for that, we will use a SWOT analysis. In Market Analysis and Market
Success Criteria, we provide a PESTEL analysis, the promotional and pricing strategy of its
competitors, and finally, we have identified the proposed market and the main key factors
of success on it.
In section 2: We will give strategies to reach the potential market in the country we
chose, providing step by step the marketing mix. Finally, in section 3: We will mention the
best way in which the company can operate on its potential market.

2 SECTION I: MARKET ANALYSIS

2.1 Description of the Company.

For NOMAD, innovation in terms of sustainability is important. They are concerned
about the intercultural exchange and the development of the country that benefits both
cultures. The company’s goal is to make tourists enjoy their trip around Colombia and
experience what Columbia has to offer.
 NOMAD has multiple experiences like hikes, cultural walks around Medellín, visits
to farming communities, rafting, waterfalls and rivers trekking, and nightlife experiences.

2.2 Industry and Competition Analysis.

Colombian’s future involves fewer terrorists and more ecotourists. According to a
study by the Center for Inclusive Growth in association with Harvard’s Center for
International Development foreign tourism can help to create more inclusive growth.
Columbia's top five destinations account for 81.1% of total tourists spending in the country.
(Center for Inclusive Growth, 2020)

Tourism is vitally important to Colombia. It is the main generator of jobs and foreign
currency. The government has set up a strict code of good practice for tour operators, to
ensure that visitors can continue to enjoy Colombia’s precious wildlife for many years to
come. Wildlife tourism also benefits local communities through employment and
contributes much-needed funds to the conservation of the country’s unique ecosystems and
globally important habitats. (Blue Sky Wild Like, 2020)

The year 2017 denoted a great boom in tourism in Colombia considering the marking
resolution established by the Colombian government, which would reduce commercial and
cultural barriers. In the words of Felipe Jaramillo, President of ProColombia: “2017 is the
year of sustainable tourism, as declared by the World Tourism Organization, and this
coincides with the first year of the post-conflict period here in Colombia. This is an
opportunity that we must take for more tourists
5 to decide to visit our beautiful country”.

With a great variety of climates, nature, landscapes, and biodiversity, Colombia can provide
foreign tourists with great opportunities to enjoy a pleasant trip and cultural exchange.

In Colombia, there are many companies that offer ecotourism services with busses or
campervans to explore its biodiversity and get in contact with closer communities. One of
them, are:
Table 1: Competitive Profile Matrix.

Source: Own elaboration by Excel Microsoft.

On the CPM, the weaknesses and strengths are categorized according to impact. That is, if
the weakness is minor and not influential in the industry, it is categorized as '1'; However, if
it has little influence in the market, it obtains a ‘2’. Instead, the number 3 represents that the
company is doing good in that category but there is room for improvement and, lastly, if the
company obtains a rating of 4, it is because it is the best in that regard.
With respect to the key success factors and its weighting, it was established which factor
has the greatest impact within the industry and a score was also assigned to make the total
100%. The most important factor is sustainability (40%) because it is essential to generate
profitability with respect to the 3 items of corporate social responsibility (economic,
environmental and social factors) to obtain common benefits and the others have the same
weight where they are equally relevant within the ecotourism industry(20% each one).

As we can see, Chivitas has a competitive advantage compared to its rival companies
especially for its wide portfolio of allies and partners: both national and international
(NGO’s). Consequently, NOMAD is the second- best positioned company with respect to
other companies mentioned in the CPM. This means that it is necessary to carry out an
analysis within marketing strategies and look for which are the most promising allies to
achieve a better brand positioning.
Table 2: SWOT Analysis.

Source: Own elaboration by SWOT Analysis.

Regarding strengths, we can find that NOMAD has a sustainable and little-known
model with ‘LA NOMADA’ that integrates social, environmental, and economic aspects to
improve the development in Colombia. The only thing that it can enhance is partnerships,
certificates and marketing strategies (traditional and digital) to gain more market share.
About opportunities, we find that Colombia has 59 protected spaces, of which 21 are
enabled for ecotourism. ‘LA NOMADA’ could be a great plan for foreign and national
tourists that love to travel as backpackers and live pleasant experiences in the hand of
nature.

Ostelea, School of Management in Tourism, analyzed the scenario of ecotourism in

Colombia and what it showed is that this industry has had significant growth and manages
to position the country as one of the privileged destinations for this type of activity for
travelers.

“In Colombia, the activity is considered a strategy for conservation, education and local
economic development. The ecotourism offer is centered on four pillars: bird watching,
flora and fauna; activities related to hiking, mountaineering, and climbing; whale and
butterfly watching; and snorkeling, sun and beach diving, with cultural contact, ”reported
Pablo Díaz, Ostelea teacher and reporter. (La nota positiva, 2018)
 The Communitary Ecotourism Program was born as a government strategy with the
help of local, regional and national authorities to encourage the participation of
communities close to protected areas. In this way, alliances were generated to implement
ecotourism services that generate economic, social, and environmental benefits for local
populations which have represented approximately the 322% increase in tourists during the
last 16 years (La nota positiva, 2018). However, there is a concerning threat which is the
‘Coronavirus’. Waiting for the current global pandemic to be solved and the economy to
stabilize.

“During times of crisis, tourism has to live up to its responsibility as an integral part of the
wider society. The sector must put people and their wellbeing first… Tourists also have a
responsibility to inform themselves before they travel in order to limit the threat of
transmission, and they should follow the recommendations of the WHO and their own
national health authorities.

Tourism is vulnerable to the effects of public health emergencies and is already being
affected by this outbreak. However, it is too early to fully estimate the impacts this
outbreak will have.

UNWTO as the specialized UN agency for tourism will continue supporting WHO, the lead
UN agency for the management of this outbreak by advising and providing tourism specific
guidance.” (ETN, 2020)

Similarly, we can evidence the situation in Colombia

7 as follows:

“Colombia announced that from March 16, all land, air and sea borders will remain shut
until May 30. This includes its border with Venezuela where thousands of migrants and
refugees cross daily. Colombia will also halt domestic flights from March 25.”
(ALJAZEERA, 2020)

According to (El Tiempo, 2020) between March 7 and 15, hotel occupancy in
Colombia was 49.8%, which implies a 6.6 percentage point drop, a figure that has not been
observed since 2002. Likewise, the income of hotel establishments decreased by 11.4%.
These figures translate into losses of 140,000 million pesos due to cancellations, both of
accommodation reservations and reservations.

Gustavo Gustavo Adolfo Toro, executive president of Cotelco, affirms that once the
environmental emergency is overcome "we will present to the Government a package of
measures that will help in this reactivation" and they will be working with the national and
regional authorities so that the tourist and hotel industry returns to grow, generate
employment and income as well "as I had been doing before the start of this crisis," says
Toro.
2.3 New Market Selection.
2.3.1 Key Competitors.

In section 1.2 ‘Industry and Competition Analysis’ we did a CPM where we

explained the key success factor of the main NOMAD competition and the differential
value from it. In the following section, we are going to talk about the pricing strategies and
promotion channels from those competitors.

2.3.1.1Awaken Travel.

Is a virtual travel agency that offers tourist packages to discover the biodiversity that
Colombia offers. (Awake Travel, 2020)

1. Alliances, Hosts and Partners.

-UNWTO, booking.com, El Tiempo, Lonely planet, Superintendency of Industry and

Commerce and +150 hosts.

2. Services Offer.

Visit traditional tourist sites in Colombia such as nature reserves, desert, snowy mountains,
coffee park, islands, etc.

3. Pricing.
8
Their travel packages range from a walking tour of the historic center of Cali for 30 min at
a cost of $ 40,000 to a circuit in Colombia: Bogotá, Los Llanos, Eje Cafetero, Medellín and
the Pacific Coast that lasts 17 days for $ 8,145,000. Everything is subject to dynamic rates
and some services.

4. Promotion Channels.

Awaken Travel has a simple website: https://awake.travel/es/home

However, they have a broad positioning in social media: Instagram and Facebook:
@awake.travel. Their email: info@awaken.travel and whatsapp: +57 322 3655135.

Although Awaken hasn’t a broad website, their target it’s mainly concentrated on social
media.

2.3.1.2 Impulse Travel.

It’s a tourist operator that offers tour packages for different departments of Colombia and trips
in 4x4 trucks and campervans.
1.Memberships and Awards.

Award Colombia Online, Colombian Association of responsible tourism, Best cities global
forum, tourradar, lonely planet, Tripadvisor 2017 winner and greater bogotá convention.

2.Services offers.

-Going rafting with ex-FARC members through an initiative to reconnect them with
society.

-Visiting a former no-go neighborhood with ex-gang members that became tour guides.

-Meeting inspiring community projects to understand Colombia's peace process right in the
heart of the capital city.

-Tasting your way through Bogotá and meeting the people who preserve local culture
through grandma’s best recipes. (IMPULSE,2020)
3. Pricing.

Their travel packages range from a Cartagena Street Food Tour 2.5hours at a cost of
USD$38 to Whale Watching in Chocó that lasts 4 days, 3 nights for USD$849. Everything
is subject to dynamic rates and some services.

About Transport range, the first one: Private9roundtype, from transport to Villa de Leyva
with length 12 hours costs USD$45 to Bogotá Sighs-Hopping (4 hours length) for USD$15.
About Airport transfer, Cartagena airport pick-up and drop-off from USD$7 until USD$12
in Bogotá. By last, between cities, the range prices are from USD$29 (Transport Cartagena
to Barranquilla) and USD$55 (Cartagena to Santa Marta/Minca).

4. Promotion Channels.

-Website: https://impulsetravel.co/tour-operator/en/

-Promotion video: https://youtu.be/VD5gFLVRT38

-Instagram: @Impulse_travel Facebook: Impulse Travel

-Phone numbers: Colombia: +57 317 3009194 US: 1 (800) 710-0961

-Address: Cll 65 #16-09 Chapinero, Bogotá, Colombia/137 W 25th Street, Fl 11. New
York, NY, 10001

Also, they have social media accounts such as Twitter and Pinterest. And, they have a
broad positioning in Colombian and US market.

2.3.1.3 Maway Campervan.

It’s a campervan that allows you to rent a campervan and to plan your own trip.
1.Plans and Pricing.

In their campervans you can sleep, transport and cook, since they have capacity for 4
people, with 2 double beds, dining room, kitchen, refrigerator, and bathroom. (Maway
Campervans,2020)

2.Promotion Channels.

Instagram: @Maway_Campervans and Facebook: Maway Campervans

Whtasapp: +57 319 210 6738

It has a very simple website and hasn’t positioning.

2.3.1.4 Chivita Van.

1. Alliances.

At Chivitas, they give back to Colombia’s most vulnerable communities and ecosystems.
They work with a large community of NGO´s and charity organizations around the country.

2.Services, plan, and pricing.

Their “Chivitas” are Camper Vans or 4X4 vehicles modified and fully equipped for self-
sustainable traveling purposes. When you rent a Chivita, you design your own experience
and can “get off the beaten track”. You will10
see wildlife, natural jewels, small towns, and
participate in many adventures as you get to know Colombian people. It costs $260.000
colombian pesos.

3.Promotion channels.

It Has not social media and positioning. However, they offer a campervan with low price.

2.4 CAGE.
Graphic 1: GACE Tool.
 Source: Own elaboration by Microsoft Excel.

We find that the US market is the most promising for this type of product such as
'LA NOMADA', which is being developed by the company NOMAD. In terms of culture,
although they are not similar, they have more affinity, in terms of trade barriers, the USA
has many treaties with Colombia that allow a cultural exchange. In terms of population
(329,256,480)(International Monetary Fund,2018) and purchasing power per capita, it is
high, obtaining 62,152(Index Mundi,2018) which also means that in terms of preferences
and tastes, there are more backpackers interested in ecotourism and Colombian ethnic
biodiversity. Spain follows another promising market; However, it has a wide geographic
distance and a purchasing power per capita of 40,289 less than the United States.

Mexico has restrictions on currency and, like Argentina, with low purchasing power.
Mexico with 20 616 (International Monetary Fund,2018) and Argentina with 21 528
(International Monetary Fund,2018) consecutively. And finally, Brazil is a country that has
differential and aggregate competencies that allow it to offer the same services as it is the
country with the most biodiversity and, therefore, it is in the last position.

2.5 Potential Customer.

Figure 1: States where americans most come to Colombia.

“The United States is one of the countries

11 most attracted by Colombia’s tourism;
roughly two-thirds of our customers are
American. Through the support of
ProColombia, we would like to venture into
other markets with high potential for nature
tourism, such as India and France,” says
Luis Eduardo Urueña, Manakin’s manager.
(Blue Sky Wild Like, 2017)

Another reason to further segment the market is Americans' favorite type of travel because
most of the first thing they want to do is get out of their comfort zone and enjoy new places.
When they go abroad, all they want to do is relax on the beach and then explore art and
cultures (traditions and customs of the countries they go to for more interaction), therefore,
our new product ('LA NOMADA ') can satisfy any type of interest related to the
aforementioned.

One of Colombia’s great advantages as a tourist destination is the fact that international
travelers can find everything in a single country: the Pacific, the Caribbean, forest
biosphere reserves, interaction with different cultures and World Heritage Sites. (Des
Georges, 2020)

The number of international travelers in the protected areas of Colombia’s National Parks
increased by more than a third in 2016, going from just over 96,000 visitors in 2015 to
more than 130,000 this year. (Blue Sky Wild Like, 2017)
 3 SECTION II: MARKETING
3.1 Customer Segmentation.
According to Procolombia, US Americans use approximately 60% of their cell phones and
40% of their computers. Facebook is the most used social network. 72% of Americans
prefer to pay for experiences and not things, in addition, these experimental trips are taking
more and more strength, now they are not only looking to see the different tourist
destinations, but they are also interested in culture and community. Continue looking for
sun and beach destinations and that is why the Caribbean is the most promising tourist
destination. Also, americans’ food preferences are junk food or typical colombian food.
(ProColombia,2015)
Graphic 2: Reason for trip (americans).

12
Source: (ProColombia,2015)

Destination selection is made two to three months in advance and more than half travel for
vacations and leisure; followed by 33% who travel to visit friends or family. On average,
travelers from the United States spend approximately 17 nights in the host country.

Graphic 3: Travel Preference Segmentation. .

Source:
(ProColombia,2015)
“Lone” travelers are constantly growing, in 2014 the trend was 58%. The main item of
expenditure for tourists was transportation, followed by shopping. (ProColombia, 2015)

Graphic 4: Seasonality of preference (americans)

13

Source: (ProColombia, 2015)

Graph 4 shows that the months where there is more dynamics in the arrival of tourists
residing in the United States are June, July, August and December.

Graphic 5: Reservation Means Preferences (americans)

 Source: (ProColombia,2015)

Moreover, the graph above shows how people book their travel methods through different
channels. This graph shows it suggests that the majority use online commercial services
through travel agencies, airlines, and counter travel agencies. That means, if we can make a
partnership with companies that work within these categories, it helps to increase our
potential customers.
3.1.1 Target Market B2C.
NOMAD has two options to identification their target market and positioning their product
´LA NOMADA´. The following table shows the market share according to the preference
of reserves:
Figure 2: Age Segmentation (americans)

14

Source: (Procolombia,2015)

The majority concentration according to Expedia Media Solution that polled 1.001 U.S.
travelers who booked a trip online in the last year on their behavior and preferences.
Results show that Generation Y travelers (ages 25 to 34) travel the most, 35 days each year,
but were followed closely by Generation Z travelers (ages 18 to 23), who travel 29 days
each year. Generation X travels the least, the result of work and family commitments.
Therefore, our main target customers are Generation Y and Z travelers because these
groups most like to travel. Moreover, Wendy Olson Killion, global senior director at
Expedia Media Solutions said “Generation Z is more influenced by social media than Baby
Boomers, we also uncovered surprising nuances and distinct habits within each generation,
including the insight that millennials are most likely to be influenced by advertising”. They
are also heavily influenced by social media during the trip inspiration and planning phases,
with nearly 90 percent saying their decisions are influenced by social media. (Sheivachman,
2017)
3.1.1.1 Profile Prototype.
1. Personality: She likes to have new experiences such as traveling in other countries and
exploring the wildlife.
2.Name: Kate Johnson
3.Age:25
4.Gender: Female
5.Education: college or after graduate university
6.Occupation: Student
7.Location: US
8.Goal: She wants to experience new things.
9.Motivation: Want to see the beautiful nature; want to make a new relationship with
foreigners.
3.1.2 Target Market B2B.
Another way in which NOMAD can offer its product is under the B2B model in both the
United States and Colombia, according to the data shown in Table 3. It is a profitable and
economic strategy as well. An alliance can be established, or a contract can be made
directly as a supplier-client in which you can reward a percentage for sale from each tour
operator; that is, a commission or what is called affiliate marketing. Below are the main
cities in both countries where you can get the main companies / agencies that work both
nationally and internationally and a suggestion of strategies to manage with them.
Table 3: Segmentation Model B2B.

15

Source:
Own
elaboration by
Microsoft Word.
Figure 3: Main
Intermediares in the
US.
 16

Source:
(ProColombia,2015)

Also, there is another company in the US. USA Called NOMAD, located in Santa Barbara,
California, which could help improve the position in this country because it has the same
business model, they offer motorhome services and the target market is the same. You
could make an alliance with them that consists of offering business services to American
people who want to travel to Colombia and in the same way, NOMAD in Colombia could
make people who want to travel to the United States, all by offering the same advertising
business model (voice to voice, viral marketing). In addition, since the benefits would be
mutual, it could be agreed (monetary remuneration) which will be through affiliate
marketing (cheaper) or joint venture (so that it is an international idea and they can enjoy
lasting relationships).
Contact: www.nomadgoods.com/ IG: @nomad

Figure 4: Main Intermediaries in Colombia.

 Source: website of each one.

1. [ CITATION Str20 \l 9226 ]

2. [ CITATION Arv20 \l 9226 ]
3. [ CITATION The20 \l 9226 ]
Those enterprises are the main ecotourism operators in Colombia that promotes the
colombian traditions of a sustainable way: economic, communities and environmental.
These are certified and have a lot of awards which means that could be a good strategy to
get more national recognition and broad scope market and practices.
3.2 Promotion channel: Digital Marketing.
Nomad has multiple types of forms through online promotion for its consumers. We will
provide information about our products through social media because now everyone uses
social media and search engines like Facebook, Twitter, Youtube, SEO / SEM and others.
And, with traditional marketing as a word-of-mouth effect through affiliate marketing / join
venture / referral marketing.
17
Graphic 6: Search destination selection. (americans preferences)

Source: (ProColombia,2015)
These platforms require less work and time compared to commercials on TV. In today’s
everyday life, these channels keep growing and it is more important to know about them
since technology these days are more enhanced and advanced. YouTube and Facebook are
the most popular social media used by Americans. The picture below shows that 73% of
adult Americans use YouTube and 69 percent of Americans use Facebook. we don’t use all
social media when we promote our company and product because our company is a still
new company so not enough money to do Ads. in all social media.
Figure 5: The Social Networks most used by Americans

18

Nomad has a YouTube, Facebook, and Instagram account but they must pay more attention
to social media because their YouTube account has only 3 videos. Their Facebook and
Instagram only use local language so international customers are not able to understand
their feed. Our no.1 potential customer is the USA so when Nomad uploads their posts on
social media, they would have to make 2 versions consisting of English and local language.
In the case of YouTube, we see it important that they promote their channel with more
frequent updates and videos. It should also provide some subtitles in English so that
international viewers would be able to understand the content and be more intrigued. We
also think that Nomad lacks a promotional video that shows Nomad as a company and its
products. This would be possible through a promotional video which we created our own
example which we will have a link to further down in the report. The idea of a promo video
can not only help Nomad portray their values and products, but it can also help portray the
Colombian culture and the experiences that come when choosing Nomad. Social media
marketing helps brands connect with their target audiences and market their offerings. It is
a good method for the brand to show off their cultures, recruit new employees, engage with
customers, and show off products in a new light. Another key factor that social media
provides is the tool of analytics. A tool for this is Customer relationship management
(CRM) which involves systematic tracking of consumer's preferences and behaviors over
time in order to tailor individualized value propositions. CRM allows the company to get
up close and personal with its customers and it is a process that is customer oriented.

In conclusion, we would strongly recommend Nomad to spend more time on their social
network and their online channels. According to Digital Doughnut writes that having a
good social media strategy can help increase brand recognition, where 91% of marketers
claimed that only spending a few hours weekly on social marketing, led to greater brand
visibility and heightened user experience. Therefore, if you have a good social media
channel, it can increase the customer’s audience and if Nomad are able to make their social
media channels understandable in other languages it can attract a broader customer market.
We suggest that Nomad implement multichannel marketing to their social media, which
consists of maintaining a single consistent message in all their channels which will improve
the user experience. This will hopefully help Nomad be more tentative to where their client
is and help seek out other targets. By reinforcing their brand Nomad can personalize the
user experience and be able to get feedback to structure their content on their customers
which will provide an increase in products sold. 
3.2.1 Digital Marketing Strategies.
1. Content Marketing:
Key characteristics for identifying the market segment were mentioned in the target
market section. Taking this into account, for its selection, the most convenient strategy
would be product specialization when trying to position ´LA NÓMADA´; In other words,
for the two main markets (Z / Y generation), a single product is packaged to which
differential characteristics can be attributed (according to the client's wishes).
19
Once the channels of preference have been chosen or where the product will be shown; The
implementation of this strategy continues: it is based on granting profitable value through
the design, creation and distribution of relevant content. Where it is also established how
often it will be published (it is suggested to make a calendar of 2 to 3 publications / update
of daily states). Inbound marketing.
2. Web Positioning:
It is an important strategy to maximize the number of organic visits to the website through
search engines. The idea is to use landing pages and the onpage method: it works to
optimize URLs, use of internal links, loading speed, usability, adaptation of the website to
mobile de vices and keywords. Although, the SEM method could also be used (it is
usually more costly and in the short term) with the help of PPC practices where you also
pay to show an ad on platforms that are part of the industry. For these strategies you can
use tools like Google Keyword Planner and Bing Keyword Research.
After one month, the cost per click should be studied; that is, what is paid when someone
clicks on an ad (leads) and the conversion rate (the percentage of people who click on the
ad and then buy something). If you invest in remarketing advertising, the conversion rate is
likely to be higher.
3.E-commerce: implementation of online payments on multi-channel marketing.
4. Video Marketing: To offer products such as ´LA NÓMADA´ it is important to use
audiovisual media and a design consistent with brand identification. If you want a
trustworthy provider for this type of services, it can be: https://www.hubspot.es/
5. Bots: The implementation of bots improves the unanimous and interdependent
communication of the channels to be used and the prospect database. Also, it is an effective
tool to obtain information about the preference of those prospects and improve
personalization of the same. There are several free and inexpensive tools to do it.
6.Affiliate Marketing: Pay travel agencies and tour operators in both the united states and
colombia a commission or percentage for sales made.
To apply the strategies previously mentioned, there is one way to look if the online
performance is well-functioning and, take measurements to get better its effectiveness:
3.2.2 Objectives.
Make projections of sales volumes (taking in account the actual situation “Covid-19”, in the
coming months for a year and a half, will have sell with slow and prolonged growth from at
least 20-30% of the total national market share) and cost reductions (that’s what digital
marketing strategies are for).
5’s method: Marketing automatization or tactics:
1.Sell: Attract visits and prospects and educate with quality content.
2.Serve: convert on leads and meet needs custom ways.
3.Sizzle: Nurturing process by open and closing personal communication and loyalty
through strategies that generate redituable value.
4.Speak: Number of customer attracting.
5.Save: Quantify objectives and reduce costs.20
3.2.3 Tactics.
1.Attract: By search engines, affiliate programs with commission (10-15% sale finish),
public relations with allies, merchandising (when purchasing a product to reinforce the
brand through shirts, pens during the trip), email marketing ( own database), buzz
marketing (conversion of ambassadors, tutorials about the communities, traditions, history
and colombian environment; widgets, partnerships, co-branding), interactive advertising:
CPL (Cost per Lead): pay only when a new customer/user action for registering a form and
CPA (Cost per acquisition).
2.Hold back: multichannel service; customer service, and process optimization by creating
a blog within the page where customers can write their reviews and communicate
efficiently with other customers and even the company itself, providing 24/7 support.
CRM and tracing (supply chain management); email marketing: cross sales and
personalization.
3.Measurement and optimization (control):
Key Performance Indicator.
conversion rate measured as number of forms

total number of visits

-Business Contribution.
-Services contribution from online channel: Measurement of the volume of support or
customer service services that occur in the online channel as a percentage and of service
costs compared to other channels.
-Customer Migration: Percent of customers that use online services respect to the total of
customers.
-Marketing Results: CPA= total costs acquisition promotionals/total of sales (new
customers)
3.2.4 RACE.
It’s a method that helps to management and increase the commercial value that
companies obtains of digital marketing.
1.Reach: create branding.
2.Action/Interact: Relate the audience with the brand online.
3. Convert: marketing objectives.
4. Engage: build long relationships.
By last, NOMAD could implement a SOSTAC method to plan, measure and control all the
objectives and strategies to get a total integration of the company with digital marketing
process.
21
Figure 6: SOSTAC Tool.

Source:
Google Images.
 3.3 Other strategy.
We see a clear advantage and opportunity if Nomad chose to base their pricing strategy
with Yield Management, meaning that prices will vary according to demand. You usually
see this principle used for hotels and plane tickets, but we could also see a great value for
nomad using it for the La Nomada. Logically, the sooner you make a booking, the better
prices you will get. This will also make it easier for Nomad to keep control of their
inventory and resources and be able to schedule the best possible deal for the customer.
This also means that the customer most likely is going to struggle to find any good deals at
the last minute, however if its off-season and demand is low there should be a base price
that will help Nomad not lose any money. Other factors also play a role in determining the
prices of the vehicles such as the age of the vehicle, the brand, the equipment and the rental
period. Prices are usually decreasing the longer it is rented for. Furthermore, the season is
where the prices might fluctuate. Apart from the availability, there should be higher rates at
certain times of the year (school holidays, long weekends where there is more likely to be
more customers, and the demand is higher. On the contrary, when traveling in the low
season customers will be able to rent for lower prices. Another thing that will help
determine prices is to offer two or three insurance options. Comprehensive insurance can
completely reduce deductible and liabilities but would also be the more expensive offer.
Another solution would be to offer intermediate insurances, with which the customer pays a
little less, but would still have to leave a deposit for the van. Additionally, could Nomad
offer an “all inclusive” insurance, where this offer includes comprehensive insurance and
would also include extra equipment and special tours.
Google Display Network, AdRoll, Retargeter22or certain social networks, such as Facebook
and Instagram, stand out among the most demanded platforms for remarketing. Its great
reach, a very high ROI and its advanced segmentation help to understand the preference of
advertisers for these services, especially by Alphabet's search engine, which reaches 9 out
of 10 existing users on the internet, with more than one trillion impressions per month,
according to Think With Google. [CITATION Thb19 \l 9226 ]
3.4 Message.
Figure 7: "Progress and Transformation: The Decree of NOMAD"
 Source: Own elaboration by Canvas.

To convince people to choose Nomad’s services, we could base this on the VRIO
analysis. The VRIO is an initialism for the four-question framework asked about a resource
or capability to determine its competitive potential. If you can answer “Yes” to all these
questions you have a sustainable competitive advantage. And as we can see, NOMAD can
have quite a competitive advantage over the competition mentioned in section 1: analysis of
the industry and competition (CPM) if it manages to create profitable value with key allies
that are equally sustainable and care about technical support. in immediate customer
service.
Table 4: VRIO Analysis

Source: Own elaboration by Microsoft Excel.

3.5 Promotional Materials. 23

We have created a video of a potential promotion video for Nomad and its “LA
NOMADA”. Our idea with the video is to showcase the experiences and freedom there
comes with renting the van and exploring the beautiful nature Colombia has to offer. This
video is only an idea for how it could look for Nomad, but today with social media and the
increasing interest for multimedia design, we think a video would help sell the idea of
buying the product. Promo videos often feel real when you are able to see the character’s
facial expressions, body language and if possible hear their voice and how they talk about
their thoughts, this will humanize Nomad as a brand that people can connect with. Research
shows that consumers are 85% more likely to purchase a product after watching a video of
that product. A promo video also helps the company to give a detailed product description
and show off what it has to offer. Through video, customers get to see all the unique
features a product has and can visualize themself with the product. Having a multi-channel
marketing approach is important today to convince more consumers to purchase the
product. We believe that a promotional video is just one of many marketing channels that
Nomad can pursue to engage consumers in a memorable way. We also believe that because
promotional videos allow you to get up close and personal, you can show the customers
something that your competitors maybe are not as transparent about.
Link for promotion video: https://www.youtube.com/watch?v=IdvUNstOshg
 4 Section III. Operations Management
4.1 Entry Mode.

Alliance strategy because our main target customers is Generation Y and Z and
these groups heavily influenced by social media during the trip inspiration and planning
phases, with nearly 90 percent saying their decisions are influenced by social media.
Therefore, we have to make a digital marketing strategies (see section 2.2) and a
partnership with traveling websites (see section 2.1) because when our potential customers
make a decision, they always research information in the Internet platform such as Google,
blog and traveling website review. That is why we have to make a partnership with a
Traveling website. Moreover, if we provide discount promotion such as a package with the
Airplane, we can attract the customers because our target customers are Y and Z
generation, that means they consider their budget.

4.2 Pricing strategy.

There are few pricing strategies that can be used by NOMAD. For example, markup pricing
can be used at the time of peak season such as summer when the tourist activities are at its
peak. The pricing can be USD$500 for a 5 days trip. weather option that can be used as a
markdown pricing in which the company decreases the prices at the time of low sales and
off season. This pricing strategy can be used in the time of winter and when there are few
tourists coming in and Company can stay competitive, still making little profit margin. It
can be USD$350 for a 5 days tour. Moreover, the company can give packages to the
newlyweds couples, families, students, and24businessmen who come on business tours.
Company can also use the seasonal pricing, last minute pricing, and discounts for the
special occasions so that it can attract maximum number of guests.

NOMAD would need to re-evaluate the prices that it charges to find the best balance
between: (1) get enough revenues and have a considerable profit margin (20-50-100%).
(2)give an affordable price to the market (even if the dollar is more expensive) because the
market share can be reduced if the correct strategies are not implemented to gain a
competitive advantage over the competition. Also, keep in mind that the strategies and
processes mentioned in section 2 are quite inexpensive, even free. It would only be
necessary (in case of deciding to be so) an SEO administrator, who would oversee
positioning the product / service organically, easily, and broadly generating greater
liquidity.

However, if you want to do it independently, there are many pages to do it: [ CITATION Tor17
\l 9226 ]

-Sistrix: From € 99 per month for national campaigns or € 100 per module (x6) for
international campaigns.

-Search Console: Free

-Analytics: Free.
According to [ CITATION Thb19 \l 9226 ], since Alphabet also owns YouTube, its advertisers
have an opportunity to retarge both on YouTube and on the most famous search engine on
the market, Google, which accumulates an estimated market share of 92% or close to 80%,
according to several studies. Consequently, Google Display Network appears as a very
attractive option for B2B and B2C companies in all sectors.

But what is the cost of Google Remarketing? This point is of great importance. The higher
the investment, the lower the ROI, right? If a pay-per-click ad on your SERPs (search
results) has an average cost of $ 2-3, a remarketing ad is more affordable: between $ 0.25
and $ 0.60. These prices apply to clicks: the advertiser only pays when users click on the
retargeting ad.

-Facebook: [ CITATION Fac20 \l 9226 ]

-Facebook campaigns: Duration: 12 months. Payment: unique when hiring. Price:

$3.276.000 [ CITATION 13020 \l 9226 ]

-Cost per click on facebook from $ 4,200 day (exchange rate)

5 CONCLUSIONS
Updates that NOMAD should consider:
1. Firstly, Nomad company must translate its Facebook page and make more videos on
their Youtube channel. 25
2. One of the problems we faced when researching about NOMAD was the difficulty
of finding information. This difficulty is due to there being several companies
whose name is also NOMAD and shows up first in Google’s search algorithm. Even
adding nomad travel to the search engine, NOMAD does not appear until the 4th
page of Google Search. NOMAD must either add something more to their name or
gain online traction in order to show up within the first 2 pages.
3. Nomad companies should keep posting pictures and videos of their activities on the
website such as customer pictures, activities video, and others.
4. We recommend NOMAD should consider sponsoring an event or festival because it
helps to increase the company's awareness.
5. When special days such as Christmas and Valentine's Day come, making
promotions accordingly helps increase customers.
 6 BIBLIOGRAPHY
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