PAPER

Marketing Strategy for Indonesian Tourism Destinations in the Pandemic Era

Compiled to meet UAS Marketing Management Course

Arranged by:

Muhammad Raditya Rahagi C1H019004

Amhar S Haidar C1H019023

INTERNATIONAL MANAGEMENT DEPARTMENT

UNIVERSITAS JENDERAL SOEDIRMAN
2021
 CHAPTER I
PRELIMINARY

1.1 Background

Since the beginning of 2020, the world has been shocked by the coronavirus outbreak that
originated in China. The corona virus or COVID-19 has caused panic in China and caused
thousands of casualties to the Chinese population. Several countries around the world are also
infected with this COVID-19 virus. One of the countries affected by this virus is Indonesia.
Covid-19 has become a global problem and has had an impact on international activities,
such as the economy and various other activities. One of the economic activities affected by
Covid-19 is the tourism sector

Indonesia is one country that has a lot of natural potential both on land and in the oceans.
Natural diversity, flora, fauna and human creations that have a sale value to be developed into
a business in the tourism sector. Indonesia as a maritime country has abundant marine
potential. The fertile land conditions make Indonesia the center of attention for human groups
to settle down and develop their respective businesses, while the potential for waters in the
form of oceans and beaches is one of the most popular tourist attractions for both domestic
and foreign tourists. This is because Indonesia is a tropical country that has clear sea water
which can be used as an activity in the tourism sector.

According to the Tourism Law No.9 of 1990, tourism is a trip made temporarily from one
place to another with the intention not to earn a living in the place visited but only to enjoy
the trip to achieve satisfaction. The existence of tourism has many benefits, including
recognizing the characteristics of a nation being visited, getting to know the culture, customs
and at the same time being able to enjoy the natural beauty of the country. Tourism is one of
the important things for a country, especially the local government where the tourist
attraction is located. The existence of tourism activities can increase the income from the
income of each tourist attraction. Indonesia as an archipelago has great potential in the
tourism sector. The development of the tourism sector can be done by utilizing the various
tourism potentials in Indonesia. Natural conditions in each region of Indonesia are different,
so its management must also be adjusted to the tourism potential in that area.
1.2 Formulation of the problem

1. How has the pandemic affected Indonesian tourism?

2. What are effective marketing strategies so that the tourism business can survive
during a pandemic?

1.3 Objective problem

1. This is to determine the impact of a pandemic on Indonesian tourism

2. To find out effective marketing strategies so that the tourism business remains
resilient during a pandemic
 CHAPTER II

DISCUSSION

2.1 Impact of the Pandemic on Indonesian Tourism

Since the implementation of social distancing policies or social restrictions or maintaining

distance to the PSBB (Large-Scale Social Restrictions) as an effort to prevent the spread of
Covid-19 in Indonesia. All activities are paralyzed, including economic activities. One of the
economic sectors affected by Covid-19 is the tourism sector. The tourism sector, which was
echoed as a major contributor to the country's foreign exchange in 2020, has collapsed due to
the impact of Covid-19.

According to the "World Travel And Tourism Council" the loss suffered by Indonesia
since January from the tourism industry is approximately 1.5 billion US dollars. The closure
of access for tourists from China is one of the biggest reasons. February is Chinese New Year
which is the peak season. Tourists from China who dominate the number of foreign tourists
in this peak season. The Corona virus also forced the closure of many hotels during this
pandemic, around hundreds of thousands of employees were also laid off and only got half
their salary because of this pandemic, which made the economy of the employees who were
sent home to decline, not to mention employees whose status is DW (DailyWorker) who have
lost all their income. Daily worker employees usually receive a salary ranging from 65,000-
125. 000 per day (depending on hotel policies and the minimum wage of the area where the
hotel is located) can be imagined from 2 months of not working how much income they miss.
Apart from hotels, there are also tourism support companies that have suffered other losses
such as the bus industry.

2.2. Tourism Business Marketing Strategy during a Pandemic

 Segmenting and Targeting

The COVID-19 pandemic provides insight that there are two major psychographic
market segments that we can pay attention to, namely people who are afraid to travel on
tours and people who are not at all afraid of the COVID-19 issue. So if the destination is
ready to reopen, this second segment is what we can target psychographically first.
According to research released by the US Travel Association, the demographic segment
of the psychographics who dare to travel is more dominated by the millennial generation
and Z. In contrast, the baby boomers or senior traveler generations prefer to wait for a
safe situation to be controlled. In terms of behavior segmentation, I a priori observe that
awareness of the COVID-19 issue will further increase the digital behavior of tourists to
avoid high-contact coupled with the CHS (Cleanliness, Health, Safety) protocol from
policy makers so that behavior before, during and after visiting will be dominated by this
digital behavior. In a situation that is not yet normal, accessibility is an important key in
targeting the market geographically, because even though there are market niches abroad
there are brave and able to visit, but if access has not been made easy by policy makers
both in generating areas and destination areas, then the choice is is targeting the local or
domestic market first as recovery capital. Safety) from policy makers so that behavior
before, during and after visiting will be dominated by this digital behavior. In a situation
that is not yet normal, accessibility is an important key in targeting the market
geographically, because even though there are market niches abroad there are brave and
able to visit, but if access has not been made easy by policy makers both in generating
areas and destination areas, then the choice is is targeting the local or domestic market
first as recovery capital. Safety) from policy makers so that behavior before, during and
after visiting will be dominated by this digital behavior. In a situation that is not yet
normal, accessibility is an important key in targeting the market geographically, because
even though there are market niches abroad there are brave and able to visit, but if access
has not been made easy by policy makers both in generating areas and destination areas,
then the choice is is targeting the local or domestic market first as recovery capital.If we
havecurrentmarketoverseasor foreign tourists, then onlinepost-hocdon't just eliminate it,
because in the future after this pandemic ends, this segment can be usrebound,
considering we have been able to serve it in the past. So in this case targeting the
domestic market at the beginning is a diversification strategymarketand as a means
toexercisein building future product quality that is even better.

 Positioning
 Positioningis a strategy to win mindshare by building UniqueSellingProposition
(USPs) so that destinations are perceived differently compared to competitors. Now,
during this pandemic the positioning can be strengthened by adding or inserting CHS
elements as augmented experience. The insertion of CHS elements is more about the
quality and consistency of its implementation, because if you just apply CHS, all
destinations will also apply it all, but the key word here is quality. and consistency. So
build a positioning with a unique product wrapped in quality and consistency of CHS
services which will later be applied to all elements of the marketing mix. Meanwhile, why
do I use the insertion of CHS elements as augmentedexperience,

 Branding

The definition of destination branding is how a destination manages image and

reputation or commonly referred to as reputation management by fulfilling promises
(trust) to customers, so that all offerings no longer only have quality in terms of
functional value, but more than that, emotional value which will eventually become.
brand value. So branding is not just a logo, slogan, tagline or other visual element, but
also about the promise of a destination that must be fulfilled which will eventually
become an image and reputation as a bleasset block.Given this pandemic, the definition
ofdestination brandingit will look more down to earth becausemarketwill tend to choose a
destination not just becauseits functional benefits, but more toemotional benefits, that
isimageand the reputation of the destination especially in terms of managing its CHS. So
in terms ofbrandingIn this case, the destination must be able to guarantee the CHS along
withofferingothers consistently both in marketing communication tactics and in terms of
service delivery orservicedelivery-his. The trick is to prepare and implement the CHS
protocol strictly, don't miss it, because you missed it just onceimageand the reputation to
build will be difficult to achieve.

 Selling

We think there are several things that can be done about currentmarketthis is by
doingcrosssellingonline either directly or indirectly. Directly, the sales mediumon
linegeared towards getting sales frompointofpurchaseasmerchandiseetc. Indirectly,
destinations can build web-based portals or hubs or apps that can be used by tourism
business actors to sell their productson line. For example, DMO Helinki is campaigning
Virtual Helinski to encourage the sales strategy of tourism business actors to be
fastrecovery during this pandemic. Next if period new normalimplemented by policy
makers, then strategypre-salesandbookingonlinethe domestic target market can be done
sorecovery processcan be done more quickly.

 Marketing Mix

Marketing mixtourism destinations are tactics in implementing and creating marketing

strategies so that they can be achieved effectively. So this marketing mix tactic must be
aligned and relevant with the reference strategy for segmenting & targeting, positioning,
branding and selling. The marketing mix that I use is a marketing mix with a
customercentric approach consisting of 4Cs, namely customersolution, customercost,
communication and convenience. In terms of customersolution, destinations can make
slight changes to their business models, namely by offering solutions to current markets
or new targeted markets that are not yet able to travel, such as offering point-of-purchase
items and offering virtual experiences such as virtual experiences, virtual tours, virtual
events, virtual classes,

Furthermore, because the sales target has been degraded, in terms of custom fees,
what destinations and tourism businesses can do is to provide discounts on the point of
purchase that were offered and not set too high a margin in each offering, because the
most important thing is cash flow. In terms of communication, with this pandemic, the
demand for marketing communication increasingly confirms that communication is
carried out with an online or digital approach, because it has been proven to be low
budget and high impact.

In this case, in addition to messages that are selling (persuading), messages in the
form of informing need to be conveyed, namely messages that show that the destination is
under control from COVID-19 and also shows that the destination has prepared a product
that is equipped with standard protocols. CHS is disciplined and consistent. For example,
Singapore is campaigning for its destination using the golden standard protocol. Messages
 that are remainding also need to be done by destinations, such as reminding the customer
about the experience that has been obtained when visiting a destination,

CHAPTER III
CLOSING

3.1 Conclusion

Based on the above discussion, it can be concluded that the Covid-19 pandemic has a
very strong influence on the Indonesian tourism industry. It's like the World said Travel And
Tourism Council, that since January the Indonesian tourism industry has suffered a loss of
approximately US $ 1.5 billion.
Therefore, an effective strategy is needed for the Indonesian tourism industry so that it
can survive during a pandemic. In a way :
1. Segmenting and Targeting
2. Positioningis a strategy to win mindshare by building Unique Selling Propositions
(USPs) so that destinations are perceived differently compared to competitors.
3. Destination brandingis how a destination manages image and reputation or commonly
called reputation management by fulfilling promises (trust) to customers, so that all
offerings no longer only have quality in terms of functional value, but more than that,
emotional value which will eventually become brand value.
4. To docrosssellingonline either directly or indirectly
5. Marketing mixis a tactic in implementing and creating a marketing strategy so that it
can be achieved effectively. Which must be aligned and relevant with the reference
strategy for segmenting & targeting, positioning, branding and selling.
 REFERENCES

Fabriza. R. (2020). The Great Impact of Corona on the Tourism Industry. In UNISBANK.
Hidayah, N. (2020). Tourism Marketing Strategy during the COVID-19 & New-Normal
Pandemic.
Rumeon, S. (2020). Overview of the Impact of the COVID-19 Pandemic on the Indonesian
Maritime Tourism Sector. State Islamic Institute (IAIN) Sorong.

https://eprints.uny.ac.id/18319/3/BAB%20I_10405241037.pdf