Lesson 6: PRICING IN TOURISM AND HOSPITALITY
be tempered relative to the product's price.
1. WHAT IS PRICE?
Price is the amount that the customer pays for the
products; the amount of money exchanged for something
of value. Price makes products available to the target
market and reflects the value of the product. It is the sum
of values which consumers exchange for the benefit of
having or using the product. It goes by several other names
such as rent, professional fee, room rates, tuition, fees etc.
Key Concepts Relevant to Pricing
There are few terms that need to be defined in order to
easily understand concepts in pricing. They are as follows:
1. Sales - total amount that a company gets based on
quantity sold multiplied with selling price.
2. Revenue - total income/ profit that the company keeps
after all the expenses have been paid for. Simply put: sales
minus expense equals revenue.
3. Fixed Costs - costs incurred due to the operations of the
business and do not fluctuate with volume of sales.
4. Profit Margins - level of income that is desired by the
company. This usually comes out in percentage form as the
amount of mark-up placed on top of the fixed and variable
cost of a product.
5. Variable Costs - costs that vary based on volume or
quantity. Bigger quantities of the same order will cost less
than smaller quantities of the same specifications. This
concept is commonly known as economies of scale.
6. Break-even Point - the point wherein total cost is equal
total revenue. A company incurs a loss if costs exceeds
revenue and generates an income when revenue exceeds
costs. It is important to know the break-even point
especially for a new product, so that it is clear to
management at what volume of sales is the company
starting to earn an income.
Key Factors Affecting Price
1. Costs. The setting of prices should incorporate a
calculation of how much it costs the organization to
produce the product or the service. Both variable and fixed
costs should be included in the price.
2. Organizational and Marketing Objectives. Companies
get into business for survival, profit maximization, high
rate of return of investment, brand equity growth and an
adequate share of the market. Some organizations such as
foundations and national parks may set low fees mainly
because they are not commercial in nature.
3. Other Marketing Mix Variables. Price is affected by the
interplay of the other variables in the marketing mix.
Higher prices should mean higher quality products and
services, elite distribution channels, and more
personalized promotions. For products priced in the lower
bracket, expectations on product and service quality,
distribution channels, and promotional strategies need to
4. Buyer Perceptions of Value and Price. Buyers have
different perceptions of product quality and value based
on branding and image. Price affects buyer perceptions.
The higher the price, the higher the buyer's expectations of
quality are.
5. Competition. Knowing what competition offers is an
important factor in the success of a business. In highly
price sensitive markets, companies try to win customers
by selling a lower price than that of customers.
6. Government Regulations and Taxes. Some
government regulations and taxes can either cause a
company to maintain its low prices or increase its prices.
There may be a government regulation or ordinance that
prohibits a company from increasing its prices. However,
taxes and other governmental fees may be charged by
some local governments and prices should be increased to
cover for such additional expenses.
7. Nature of the Market and Demand. Tourism caters to
a highly segmented marketplace. Pricing needs to address
the differences in the nature of such markets as well as the
differences in the demand of each market segment.
8. Pricing in Different Markets. Different markets have a
different levels of price sensitivity. Hence, a one price fits
all markets would not be recommended.
9. Price Elasticity of Demand. Price increases or
decreases normally have an effect on the level of sales of
the product.
If demand increases when price decreases, then the
product is elastic. If demand stays the same even if there is
a price cut, the product is inelastic. In the tourism industry,
as prices fall, demand increases; hence, products are
elastic. Consumer demand is highly sensitive to price
changes. Price elasticity may be affected by customer's
perception of product uniqueness, availability of
substitutes, and how consumers budget.
10. Other Environmental Factors. Other environmental
factors that may be beyond the company’s control can
affect pricing. These factors may include but not limited to
political instability, calamities, environmental issues, etc.
Price and Its Relationship to Marketing Objectives
Tourism establishments may have different reasons for
coming up with a marketing mix strategy. 
1. Survival. A company may be experiencing a deep crisis
that the most basic reason for its marketing efforts is
merely to survive. A crisis may be a recession, an economic
crisis, or stiff competition.
2. Current Profit Maximization. Some companies seek to
use marketing for short term financial gains. Gains such as
current profit maximization, improved cash flows and
swift return on investment are mostly for short-term
financial gains.
3. Market Share Leadership. Some companies build on
marketing strategies that will help company gain a huge
market share and become a market leader in its product
category. This objective seeks to enjoy low costs because of
high volume which will eventually lead to long-term gains.
4. Brand Equity Growth. Establishing a positive brand
image leads to high awareness and perception of quality.
5, Product-Quality Leadership. Some companies want
their brands to be associated with high quality. Marketing
strategies seek to make some brands known as the best
service providers in their category since consumers are
willing to pay more for good quality.
2. GENERAL PRICING APPROACHES
Aside from pricing strategies, there are general pricing
approaches that will help marketers in determining the
"right" price.
1. Cost-based Pricing. Cost-based pricing is an approach
that aims to cover costs and make a profit. When using
cost-based pricing, the fixed and variable costs are
computed and a mark-up is added. This kind of pricing
strategy, however, does not look into the price sensitivity
of its consumers nor the pricing scheme of its competitors.  include product bundling, volume discounts, discounts
2. Break-even Analysis and Target Profit Pricing. This
kind of pricing approach is when price is determined using
break-even price and projecting a target profit. 
3. Buyer-based Pricing (Value-based). Some companies
base their prices on the product's value as perceived by the
consumers. Perceived-value pricing uses the buyer's
perceptions of value and not the seller's cost as the key to
pricing. The question marketers seek an answer to is, "At
what price are buyers willing to buy my product?".  5. Volume Discounts
4. Competition-based pricing. This approach looks at
what price competitors are putting on their products and
services. Companies base them mainly against the price
pegged by their main competitors. Less attention is paid on
costs, margins, and demand.
3. PRICING STRATEGIES
Pricing strategies are ways by which tourism business
offer products and services at the "right" price. Some
considerations in coming up with the right price include
the stage in the product life cycle, market demand,
competition, and company objectives.
For new product pricing, strategies that can be employed
include prestige pricing, market skimming, and market
penetration pricing.  Defined discriminatory pricing as the segmentation of the
1. Prestige Pricing
Prestige pricing is used when the product or service is
positioned to be luxurious and elegant. Higher price
projects that the product is high-end and prestigious. This
strategy seeks to attract a certain type of clientele and
project a degree of exclusivity. By its high price, it seeks to
position itself as elite and hopes to target the Class A
market.  
2. Market Skimming Pricing
Companies employ the market skimming pricing strategy
when the market is price insensitive. Consumers become
price insensitive when demand is high and supply is
low. Hence, products and services that have high demand
usually set higher prices to achieve higher profit margins.
This is an effective short-term policy since competition can
easily come in and provide more supply.
3. Market Penetration Pricing
Market penetration pricing is used when setting a low
initial price to penetrate the market quickly and to attract
many buyers for a large market share. Some start-up
companies use this strategy since they have lower
operating costs than bigger companies. It is an aggressive
way of attracting consumers to try your product because it
is cheaper than the existing products in the market.
However, quality should be at par with competition to
ensure repeat sales. 
Pricing that considers market behavior and demand
based on time of purchase, and discriminatory pricing. 
4. Product Bundling Pricing 
Product bundling is a strategy used to attract buyers to
purchase because of the reduced rate of the bundle
compared to the total cost of the items if purchased
individual. The sellers using product-bundle pricing
combine several of their products and offer the bundle at a
reduced price. 
Volume discounts are rates given to frequent or high-
volume users to attract them to purchase the products.
Some companies have a demand for a product in large
quantities through a single purchase or for a continuous
period of time throughout the year. 
6. Discounts Based on Time of Purchase
This strategy addresses the seasonality aspect of the
tourism product. A price reduction is given to buyers who
purchase services out of season when the demand is lower
or when purchased way ahead of time. Early bird
discounts and off-peak season discounts are examples of
this kind of strategy. 
7. Discriminatory Pricing
market and pricing differences based on price elasticity
characteristics of the segments. In this strategy, the
company sells a product or service at two or more prices,
although the difference in price is not based on differences
in cost but tries to maximize the amount that each
customer pays. This addresses the highly price-sensitive
market segment. 
Other pricing strategies, which may influence purchase,
include psychological pricing and promotional pricing.
8. Psychological Pricing  during peak periods.
Psychological aspects like prestige references prices,
round figures, and ignoring end figures are used in pricing.
This strategy plays on the psychology of the consumer. The
consumer defines the perceived value of the product.
9. Promotional Pricing
Promotional pricing offers discounts and short-term
incentives especially during the introductory stage of the
product or during special activities such as anniversaries
or festivals. It gives the guests a reason to avail the product
and promotes a positive of the property. This kind of
pricing, however, may backfire on the product since users
might just wait for another promotional offer for them to
buy again.
4. REVENUE MANAGEMENT
Revenue management is a systematic approach to
matching demand for services with an appropriate supply
in order to maximize revenues. With advancements in
technology, revenue management has become more
scientific and less gut feel-based. Most hospitality
establishments are able to juggle all bookings and rate
quotations in a way that maximum revenue potential is
achieved at any given night. It plans out the ideal business
mix and adjusts rates on an ongoing basis as reservations
materialize.
Revenue management is beneficial to the hotel and airline
industry in particular because of the following reasons:
1. Product is perishable; thus, it is better to sell the room/
seat at a low price than have it empty.
2. Capacity is fixed daily. In no way can rooms or seats be
increased at a specific day to meet demand.
3. Demand fluctuates and is uncertain depending on days
of the week and season of the year.
4. Different market segments have different lead times for
purchase. Conventions and conferences have longer
preparation time that can span from anywhere between
one year to three years, while a business traveler can book
even a week prior to travel.
5. Flexibility in pricing hotel rooms and airline seats. The
market accepts that hotel room and airline seat rates may
vary depending on purchase lead time and seasonality.
Yield management is a form of discriminatory pricing
wherein some of the market segments pay higher or lower
prices than other tourists for the same tourism products
and services in order to ensure optimal yield from the
available inventory. It aims to manage revenue by
controlling prices and capacity. Yield management
addresses the perishability of tourism products and
services. It entails a thorough knowledge of the different
market segments, demand, and booking patterns as well as
price sensitivity of each market segment. It enables
organizations to sell possibly vacant rooms at reduced
rates during off-peak but also maximizes its revenue
 
Market Recovery through Price
Some destinations that have lost market share through
different external and internal reasons may recover from
their loss through price combined with effective
promotions. Price can represent a significant incentive to
encourage visitors to offset their fears and to return.
Dealing with Price Changes
Know when to initiate a price cut or a price increase. When
does a company change its prices? Companies normally
adopt a strategy that works well with their company.
Companies need to be careful to employ price cuts because
doing so might lead to a price war where all the market
players are affected negatively. One major reason to cut
prices is when there is excess capacity or inventory.
Despite promotional efforts, product improvements and
better distribution systems, a company may resort to
lowering its prices in the hope that sales volume will
increase. Another reason for cutting price is to gain a
higher market share. Amidst stiff competition, companies
may choose to reduce its price or come up with a lower
market price than competitors with the intention of
gaining revenue through increase in volume. 
Lesson 7 - TOURISM PROMOTIONS
1. PROMOTIONS
Promotions has been defined as the coordination of
all seller-initiated efforts to set up channels of
information and persuasion to sell goods and services or
pr0mote an idea. All seek to inform, create awareness,
attempt to persuade, and reinforce buying behavior of
customers.
Various strategies are thought of and implemented by the
seller to ensure that the tourism product or service is
made known to its possible target market. These strategies
seek not just to inform people but more importantly to
persuade people to buy the product. The end goal of any
promotional activity is to close the sale. 
Advertising, direct marketing, personal selling, sales
promotion, public relations, and internet marketing are
known as the promotional mix.
2. ADVERTISING
Advertising is defined as any paid form of non-personal
communication about an organization, product, service, or
idea by an identified sponsor. It is mass communication
that is paid for. It can reach the largest number of
prospects very quickly. Advertising covers the various
messages consumers receive from television, radio,
newspapers, magazines, billboards, transit displays, and
even online. Online options include banner advertising,
skyscraper ads, pay per click, etc.
In the hospitality industry, advertising is viewed as a way
to create and maintain awareness of the company,
property, or destination. However, not all tourism
products and services would benefit from advertising. A
careful assessment of one's resources and objectives need
to be done before deciding on using advertising as a tool
for promotions. Big properties such as hotels, fast food
chains, and country destinations may benefit from a
carefully planned advertising strategy.
Objectives of Advertising
An advertising objective is a specific communication task
to be accomplished with a specific target audience during a
specific period of time. Advertising can be classified based
on its objectives: (1) to inform, (2) to persuade, and (3)
to remind.
Informative advertising is used when introducing a new
product or to build up primary demand for the product.
Companies employ aggressive tools to ensure that a new
product creates excitement and demand within its target
market.
Persuasive advertising is used when competition is stiff.  consider in choosing a celebrity endorser:
Companies rely on persuasive advertising to be able to
keep its market share.
Reminder advertising is very important for products that
have reached the maturity stage. Products attempt to
maintain market position even if they are already top of
mind.
According to Shoemaker et al. (2207), the ideal hospitality
advertisement should accomplish five things:
1. Tangibilize the service element so that the reader can
mentally grasp what is offered.
2. Promise a benefit that can be delivered and/or provide
solutions to problems.
3. Differentiate the property from that of the
competition.
4. Have positive effects on employees who must execute
the promises.
5. Capitalize on word of mouth.
Types of Advertising Execution
For advertising to achieve its objectives of differentiation,
tangibilizing the product, and having positive effects on
employees and customers, Kotler et al. (2010) present
different execution styles, as follows:
1. Slice of Life –shows how people use the products in
a normal setting.
2. Lifestyle – shows how product fits with one’s way of life.
3. Fantasy – creates a “wonder” world around the product
or its use.
4. Mood or image – builds positive images or moods
around the product such as beauty, love, fun, and serenity.  market.
5. Musical – uses simple but catchy music effectively
through product jingles or songs. 
6. Personality – creates a character that represents the
product such as Jollibee, the friendly Bee.
7. Technical Expertise – reveals the company’s expertise
with the product or service. 
8. Scientific Evidence – presents research or scientific
evidence that the brand is better than competing brands. 
9. Testimonial Evidence – features a highly credible
person such as a celebrity endorsing the product. 
The Use of Celebrity Endorsers
Celebrity endorsement plays an important role in helping
products become more tangible and create differentiation.
The use of celebrity endorsers becomes a preferred
strategy for promoting a product or service because the
celebrity lends his credibility to the product, helps attract
attention, provides a persuasive message, and targets the
audience based on the celebrity's demographic profile. Roll
(2010) elucidates the following three main aspects to
1. Attractiveness of the celebrity to create a positive
impact on the product.
2. Credibility of the celebrity expressed through
expertise and trustworthiness, and
3. Meaning transfer between brand and celebrity which
refers to the compatibility of brand and celebrity in
terms of identity, personality, market positioning and
lifestyle.
3. DIRECT MARKETING
With the moving away of marketing from advertising to
the integrated marketing communications approach, direct
marketing (DM) has gained prominence and acceptance. In
the field of tourism marketing, which focuses on niche
markets. the direct marketing approach is widely used.
Direct marketing is an interactive system of marketing
that uses one or more advertising media to affect a
measurable response. It seeks to establish continuing
relationships between a company and its regular
customers. Offers are sent to a customer database of
people who are most
able, willing and ready to buy the product. 
Advantages of Direct Marketing
Direct Marketing is an ideal promotional tool for products
and services that want to capture a niche market.
1. Precision Targeting.  Having a good database can help
pin point prospects based on prospect's lifestyles,
demographics, purchasing patterns, etc. The direct mail
campaign can be very precise in specifying its target
2. Personalized Messages. A person's name is the
sweetest word in the world. Prospective customers will
definitely read through material when their name is on it.
Addressing specific customers personally will capture
their attention than generic and random messages.
3. Privacy. The company's offer is not visible to
competitors since it is personalized. The competition will
not be able to monitor what the offer is. Hence, they will
not be able to match it.
4. Faster Sales. Direct marketing can yield to faster sales
since it is targeted to actual users of the product.
5. Variety of Packaging Options. A variety of packaging
options are available for direct mail campaigns limited
only by the marketer's creativity and budget.
6. Less Competition (from other media content). A letter
or package that is opened by the prospect will have less
competition from other media content compared to
billboards, TV commercials, and the like. The receiver
would take more time reading through your content
because it is personalized and unique.
7. Immediate Results. A response form or action is
normally solicited from the prospective customer; hence,
results can be immediate.
8. Measurability. The company knows the number of
direct mailers issued; hence, it will be easy to determine
response rates.  to ensure that there is a steady flow of new customers
Elements of a Direct Marketing Campaign
There are three important elements that should be taken
into consideration when planning a direct marketing
campaign. These are: (1) the list, (2) the message, and (3)
the offer.
The list contains all the names and contact information of
your target market. The list should be accurate,
updated, and narrowed down based on the
characteristics of the market who you think would most
likely be interested in your product offering. This list may
also be referred to your database.
The message is important to
be customized and personalized. Marketers estimate that
prospective customers have very limited attention spans
and it will only take a few seconds for them to make a
judgement on whether to continue reading your message
or for them to proceed to doing other things. It takes a lot
of skill to make the message simple and interesting so as to
make it easy for the prospect to learn more about the
product and the offer.
The offer should be interesting and worthy for the
prospective customer to consider making a purchase. It
should move the prospective client into action. Making the
offer not available to other clients and available for a
limited time only, will help make the offer more appealing.  prioritize based on past and future business engagements.
Measures of Success
One of the advantages of direct marketing as a promotional
tool is measurability. A properly executed direct marketing
campaign can be measured in several ways, namely:
1. The number of inquiries generated;
2. The ratio of conversions or purchases realized
from inquiries generated; and
3. Its communication impacts.
4. PERSONAL SELLING
Sales representatives are the company's link to customers.
The salesperson represents the business to its customers.
Whatever the impression and the image the salesperson
has is the image that the clients form in their minds about
the company he represents. Personal selling can be
defined as the person-to-person communication between a
salesperson and a prospective customer in which the
needs are met in exchange for money or resources.
Sales representatives are an integral part of the success of
the tourism and hospitality industry. Kotler et al. (2010)
outline the primary task sales professionals perform for
their companies as follows:
1. Prospecting. The sales professional is tasked to look
into potential customers or "prospects." A good and active
database should be maintained as well as networking skills
coming into the business. 
2. Targeting. Sales professionals need to determine how
to prioritize limited time and resources to tap customers
from their list of prospects. 
3. Communicating. A constant stream of communication
should flow from customer to client and vice versa. Sales
personnel need to find ways and means to keep in touch
with clients. This can be done through giving information
about new products and services or generating new
business from clients. 
4. Selling. Sales personnel are trained to do product
presentations, negotiations, overcoming objections, and
closing the sale. This is the core of what the salesperson
does for the company.
5. Servicing. Salesperson should not remain as order
takers. Instead, they should shift to becoming customer
consultants - helping clients solve problems and rendering
technical/ expert assistance.
6. Information Gathering. Sales representative assist the
company in gathering intelligence information such as
what competition is doing or what the company's need are.
They also suggest innovations based on market demands.
7. Allocating. When there are product shortages or over-
bookings, sales people assist in deciding which clients to
 
Selecting Sales Strategies
1. Prevent erosion of key accounts. Key accounts are your
clients that sustain your company. These accounts should
be managed well, given the proper attention and further
cultivated for more frequent consumption and upselling.
Salespersons should be trained how these accounts can be
kept and prevented from switching to competitors.
2. Grow key accounts. Growing key accounts means
adding more companies into this key segment of the
market. Cultivate secondary or marginal accounts with
high potential to become key accounts.  arriving at a mutually beneficial exchange of value
3. Grow selected marginal accounts. Marginal accounts
can provide the company with much needed extra sales
and revenue when demand from key accounts is low.
Choose marginal accounts that can be cultivated to provide
additional consumption.  actual product or service, or simply a lack of interest in the
4. Eliminate selected marginal accounts. Some marginal
accounts may not be yielding any revenue for the company
even after several attempts to make it grow. Know when to
drop accounts so that time and resources allotted for said
accounts can be channeled to other accounts.
5. Retain selected marginal accounts with lower-cost
sales support. Maintain marginal accounts that take less
time and resources to service. That way, these accounts
can produce marginal sales without much effort and
budget provided.
6. Obtain new business from selected
prospects. Business development should always be
prioritized. New business from existing accounts as well as
promising prospects can be beneficial to the growth of the
company.
Steps of the Sales Process
1. Prospecting and Qualifying Prospects. The sales
process begins with identifying prospective customers
using a variety of sources. Prospects start out as leads;
these may come from people who have been referred by
your current clients, clients of your competitors, new
users, databases, and inquiries. These leads are then
qualified to determine whether investing time and
resources in acquiring the customer will be profitable.
2. Pre-approach. The pre-approach phase is the stage
wherein the salesperson seeks to understand the business
opportunities that the prospects can provide the company.
It is the stage where the salesperson makes himself
familiar with the business of the company and what the
company's needs are in order to ensure that there is a fit
between what the company needs and what the
salesperson is selling.
3. Approach. The approach is when the salesperson starts
to communicate with the prospect. Professionalism and
strong social skills are very important in establishing
rapport especially for the initial meeting. The salesperson
should also observe proper etiquette, protocols, and
cultural sensitivity all throughout the engagement.
4. Presentation and Demonstration. Knowing the
prospect's needs and how to address his problems, and
having been given valuable official time to listen to the
product offer, now is the time to deliver an impressive
product presentation. The product presentation should be
customized to the prospect and should include features,
benefits, and advantages of availing the products and
services.
5. Negotiation and Overcoming Objections. This is a very
challenging phase in the sales process. This involves
between the seller and the buyer. Negotiation is the
process of resolving differences what the buyer wants and
what the seller wants to give in exchange for what the
buyer can pay for. Objections come in different forms, it
may be because of the price or rate of your product, the
product. There are different ways to respond to objections.
You may choose to deal with it directly or compensate for
the objection by offering other benefits that would be
important to the client too. 
6. Closing the Sale. Officially closing the sale is done
through a signed contract. Unfortunately, a lot of
salesperson are too afraid to ask for the sales; hence, they
go back to their offices uncertain if they have closed the
sale. 
7. Follow-up/ Maintenance. Once the sale has been made
and the service has been delivered, the salesperson keeps
the relationship going by doing follow-up activities such as
a phone call or personal visit to ensure that the product
and service quality was provided. Customer satisfaction
often results in repeat business and positive word of
mouth. In case of customer dissatisfaction, the follow-up
call will enable feedback and may be an avenue to address
and respond to concerns and complaints.
5. PUBLIC RELATIONS
Public Relations (PR) is the process of creating a positive
image and customer preference through third party
endorsement. This can be done using various activities all
aimed to generate a positive image through what others
say about one's establishment. 
PR banks on the idea that if a credible person – not related
to your business – says something good about your
product or service, consumers may be more certain that it
is really good. Communicating to the company's public
includes both its internal and external audience. The
internal audience includes employees and investors.
Employees should maintain a positive outlook for the
company that they work for. They should be the primary
believers of the benefits of the company's products and
must show excitement toward it as well as the company
they represent.
Major Public Relations Activities
Major PR activities that the establishment can pursue
include the following:
1. Press / Media Relations – the use of third-party
endorsement through mass media channels to generate
publicity and awareness for huge audiences.
2. Product Publicity – involves efforts to introduce o Public Relations Tools and Audiences
publicize specific products, special events, new
developments within the business. Public relations can be used to address various audiences
such as employees, guests, community groups, other
3. Corporate Communications – covers internal and stakeholders, and special audiences. A variety of public
external communications promotes understanding of the relations tools can be effective in addressing specific
organization. audiences. 
4. Lobbying - involves dealing with legislators and
government officials who may pass bills that have an
impact – whether positive or negative – on one’s business.
5. Counselling – involves advising management about
public issues and company positions and image.     
Contributions of Public Relations to Marketing
The contributions of public relations cannot be
downplayed. They can help marketing in the following
ways:
1. Assist in the launch of new product.
2. Assist in repositioning a mature product.
3. Build up interest in a product category.
4. Influence specific target groups.
5. Defend products that have encountered public
problems.
Public Relations Process
In planning PR Strategy, the following steps are
recommended.
1. Understanding the firm's mission, culture, and target
market. A thorough understanding of the firm's mission
and culture will help one come up with an effective PR
plan. This can be achieved through research.
2. Setting of objectives. Marketing objectives need to be
established prior to the creation of a PR plan. These
objectives can either be to build awareness for the new
product, build credibility for the brand, stimulate the sales
force, and channel intermediaries or lower promotion
costs.
3. Defining the target market. Identify a specific target
market and get to know the behavior of this specific
segment of the market. Understand how this market
communicates and what major factors can influence its
purchase behavior. Important Points to Remember

4. Designing the PR message. Create a strategy by which
your PR campaign will be designed and what
communication channels would be effective to achieve
your objectives and attract your target market.
5. Implementing the PR plan. This means putting the plan
into action. Constant monitoring and review will assist you
in properly implementing the PR plan.
6. Evaluating PR results. Evaluating the results of the PR
campaign can come in the form of: (a) exposures of the
brand; (b) awareness, comprehension/ attitude changes
within the target market; or (c) sales and profit
contribution.   product. There is no shortcut to success.
1. Effective public relations begins with top
management. The PR head manages how the product or
service will be regarded by the public but it is the top
management who leads in creating good public relations.
The owner or the general manager should be at the
forefront of communicating positive information to various
audiences. The employees take their cue from how the
leader creates a positive impression.
2. No amount of PR can overcome a flawed
product. Public relations can create a positive image of any
product but no amount of PR can overcome a bad product.
There is still no substitute for coming up with a good
  
Public Relations Opportunities
PR opportunities can be created based on a strategic plan
of action. Based on the company's resources and
objectives, the PR messages and activities may be built
around any of the following:
1. The Owner/ Operator. If the owner or operator has
potential "star" appeal, or has already built a positive
reputation, building PR messages around him may be the
best option. Celebrities who come up with their own
businesses become instant celebrity endorses.
2. The Location. One's location can also be used to position
the product positively. A well-received business location
can help bring awareness to one's product or service. A
unique location can become a pull factor to ensure that
potential customers will take notice of your brand.  unsold.
3. The Product/ Service. The product or service itself can
be an opportunity to create good public relations. It can be
used as the trademark of a business. A good product
creates positive word of mouth and that in itself is the
beginning of good public relations.
6. SALES PROMOTIONS
Sales promotions is a direct inducement that offers an
extra value or incentive for the product to the sales force,
distributors or the ultimate consumer with the primary
objective of creating an immediate sale. (Belch and Belch,
2007) It consists of short-term incentives to encourage the
purchase or sale of a product or service. (Kotler, 2010) It
involves a variety of techniques that serves to accelerate
purchase of products and services. 
The growth of sales promotions was mainly due to the
changes in the marketing environment. Belch and Belch
(2007) identified the following factors:
1. Growing power of retailers.
2. Declining brand loyalty.
3. Increased promotional sensitivity
4. Brand proliferation
5. Fragmentation of the consumer market
6. Short term focus of the consumer market
7. Increased accountability
8. Competition
9. Clutter
Kotler et al. (2010) spell out some factors to consider in
setting up a sales promotional plan:
1. Objectives of the campaign
2. Type of market to be tapped
3. Competition
4. Cost and effectiveness of each tool
Sales Promotional Tools
1. Samples are offers of a trial amount of a product. Some
samples are free, others charge a small amount to offset its
cost while inducing product trial. Sampling can also be
made to influential decision makers such as company
executives and sales people in the belief that trial will
improve knowledge, which will eventually lead to a sale.
2. Coupons are certificates that offer buyers savings when
they purchase specific products. It is used to stimulates
sales of a mature product as well as promote trial of a new
product. This tool should be used carefully to avoid a price
or coupon war which detracts consumers from the
intrinsic value of the product or service.
3. Packages involves putting together a set of
complementing products to come up with one bundle at a
special price. If the products are sold separately, the total
cost will be more expensive. This helps in increasing per
capita revenue and selling products that may otherwise be
4. Premiums are goods offered either for free or at low
cost to provide incentive for consumers to buy a product.
Some establishments create novelty items that can be
brought home as a symbol of the product brought, such as
a mug that goes free with coffee.
5. Patronage Rewards are bonuses in the form of cash or
items of value that can be redeemed for regular purchases
made. These kinds of programs create more frequency of
purchase, positive word of mouth, and possibly larger
purchases.
6. Point of purchase promotion includes displays and
promotions that take place at the point of sale. Some hotels
display brochures of their other branches at the lobby or
front desk. Some souvenir items are positioned near the
cashier for easy, random, and impulse purchases.
7. Contests and Games give consumers a chance to win
something such as trip or cash upon purchase of products
and services. Raffle entries are given to consumers based
on total amount of consumption which are then raffled off
for a prize such as an overnight stay in a hotel, a resort, etc.
Sales Promotions Process
The sales promotion program is the part of the bigger
promotional plan (which in turn is part of the bigger
marketing plan). The following is the sales promotion
process.
 Deciding whether a sales promotion is necessary.
 Setting of objectives for the sales promotions.
 Selecting which promotional tools to use.
 Developing the sales promotional program,
considering the following:
  a. Size of the program based on type of incentive. The
size of the program is determined by the type of incentive
to be offered and the magnitude by which program will be
implemented. 
  b. Target Market of the program. Determining the target
market of the sales promotion covers the decision to offer
the program to anyone or to a select marker that has
remained untapped for the business.
  c. Distribution method to be used. The marketer then
decides on what distribution method to use. Will the
coupons or flyers be mailed, handed out to passersby or
should an advertisement to be used? There are cost
implications per distribution method.
  d. Duration of the program. Deciding on how long the
program will run is a crucial element of sales promotion.
Its primary objective is to induce immediate sales; hence, if
the period is too short, prospects may not have enough
time to decide to purchase. If the period is too long, the
deal may lose some of its "immediate" effect.
5.  Implementing the program. A careful implementation
and monitoring of the plan will determine the success or
failure of the plan. Make sure that everyone in the team is
ready to implement and maximize the added promotional
push. 
6.  Evaluating the program. Since the sales promotion runs
for a specific period of time, evaluating its impact based on
added volume of sales would be easy. The use of coupons,
cards, and other notices of the sales promotion can help
determine response rate.
Preparing the Promotional Plan
Below are the recommended steps marketers need to take
in coming up with a concrete, efficient and well-planned
promotional campaign.
1. Decide on what promotional tools to use.
 Advertising
 Direct Marketing
 Sales Promotions
 Public Relations
 Personal Selling
 Internet Marketing
2. Decide on which media channels to use.
 Television
 Radio
 Internet
 Telephone
 Newspapers
 Magazines
 Newsletters
 Brochures
3. Identify when the promotional tool will be released
and in which channel. (Timing the Media Release)
Audience size and interests vary at different periods of the
year. Budgets are increased when projecting an increase in
interest. Kotler et al. (2002) discussed that timing
decisions should take three factors into consideration: (1)
audience turnover, (2) behavior frequency, and (3)
forgetting rate.
Audience turnover is the rate at which the target audience
changes between two periods. If turnover is great,
continues advertising is recommended.
Behavior frequency is the number of times during the
year that the target makes the decision to purchase. The
more frequent this is, the more advertising should be done. 
Forgetting rate is the rate at which a message is forgotten
or behavior change become non-evident. The higher the
forgetting rate, the more advertising should be applied.
4. Evaluate the media results. 
Measuring the results of media messages is a difficult task
especially since there are many variables that have to be
taken into consideration. Evaluation research and tracking
of media messages are important for media planning. This
will help identify strengths and weaknesses of the
communication plan and adjust how implementation can
further gain positive results. 
There is a variety of ways to test whether communication
campaigns are effective. These include recall, recognition,
and sales effect. Media research firms have scientific ways
of testing whether campaigns are effective or not. 
Lesson 8: DISTRIBUTION CHANNELS IN THE TOURISM
AND HOSPITALITY INDUSTRY
1. DISTRIBUTION SYSTEMS
A distribution system is the "place" aspect of a company's
marketing mix. It provides an adequate framework for
making a company's products or services available to the
consumer. It is a set of different organizations,
independent or not, that are involved in the process of
making products and services available for use or
consumption. Distribution systems are often used to move
the customer to the product. A combination of different
distribution channels makes up the distribution system. It
provides a steady flow of products to customers. An
effective distribution system makes the difference between
a market share leader and a company struggling for
survival. It is viewed as the company's circulatory system.
Distribution channels are a set of independent
organizations involved in the process of making a product
or service available to the consumer or business user.
Distribution channels move goods from producers to
consumers or move consumers to where tourism products
and services are. It overcomes the major time, place, and
possession gaps that separate goods and services from
those who would use them.
Factors that Increased Its Importance
Focus on an effective distribution system has been affected
by several factors. These factors have actually led to the
increased importance of selecting channel members and
coming up with an effective distribution system. These
factors include the following:
1. Competition. There is a growth of both local and
international competitors. Tourism products and
destinations cannot just wait for people to come, they
should be able to invite them to come.
2. Globalization. With globalization and the growth of
foreign partnerships, systematic distribution networks
need to be developed to enhance competitiveness in the
global arena.
3. Electronic Distribution Techniques. The growth of
technology has given rise to international reservation
systems which give consumers better access to travel
products and services.
4. Perishability of the Product. The concern on tourism
product's perishability may be addressed by easier access
to its purchase through the availability of distribution
channels.
Distribution Channels and Its Functions
A distribution channel is a delivery arrangement used by a
supplier, carrier, or destination marketing organization.
Direct distribution channels are those the company uses
on its own without the assistance of independent
intermediaries. An indirect distribution channel, on the
other hand, uses the assistance of independent
intermediaries to distribute its products.
1. Information. Distribution channels are exposed to
information about what the market needs and wants. They
can gather marketing research and intelligence
information about the marketing environment.
2. Promotions. Distribution channels help in developing
and spreading persuasive communications about a
company's current offer.
3. Contact. Distribution channels are the company's link to
finding and communicating with prospective and current
buyers.
4. Matching. Distribution channels know what the
products can do and what the buyer needs; hence, they can
shape and fit the offer to these needs.
5. Negotiation. Distribution channels represent the
company to the consumer during negotiation. Hence, they
are equipped to settle on pricing and other terms for
purchase and acquisition of products and services.
6. Physical Distribution. Distribution channels handle the
physical transport of goods and services to its consumers.
7. Financing. Capital outlay of distribution channels
should cover for the costs involved in the actual
distribution of the products. Channel work entails
resources to pursue its effectively.
8. Risk-taking. The distribution function comes with
financial risks such as the inability to sell inventory at full
margin, losses, pilferage, etc. Assuming such risks is part of
the distribution channel's functions.
The Role of the Internet
With past pace of technological developments, the Internet
is changing the landscape on how tourism products and
services are distributed. The Internet is becoming a highly
effective tool for hospitality and travel companies. More
companies are now trying out the advantages that the
Internet affords its users. Some of the advantages of using
the online platform for distributing travel products and
services are:
1. Reservations, purchases and payments can be made
online.
2. Companies are not subjecting to office hours; can be
accessed 24/7.
3. It is able to access a wider market who are money rich
but time poor. They are the ones who have access to
technology and are tech-savvy.
4. It is able to cut the queuing process or waiting time. No
more waiting in line for one's number to be called in
airline reservations offices or being put on hold for
minutes for a tele sales agent to attend to you.
5. It saves on labor costs. Online reservations are
facilitated and processed through a company's website
instead of using a hired reservation agent.
6. Product comparisons and evaluation of alternative can
be facilitated using the Internet. As such, decision-making
time can be reduced.
2. MARKETING INTERMEDIARIES
Marketing intermediaries are types of indirect
distributions channels which are independent
organizations that help distribute products and services.
1. Travel Agents
These are the most widely used marketing intermediary in
the tourism industry. Travel agents offer a wide array of
products and services from transportation to
accommodations and tour packages. Travel agents four
distinct functions:
a. distribution and sales network
b. reservation and ticketing;
c. information provision and travel counselling; and
d. design of individual itineraries;

2. Tour Operators/Wholesalers
These are organizations that offer packaged vacation tours
to the general public targeting the leisure market. The tour
package includes transportation and accommodation as
well as meals, ground transportation, entertainment, and
activities. Some tourist markets find such products too stiff
and inflexible.
3. Travel Specialists
Travel specialists are organizations that focus on one or
more functions of the distribution system. Examples of
such tour specialists are educational tour specialists who
focus on schools, colleges, and universities in servicing
educational field trips.
4. Hotel Sales Representatives
Hotel sales representatives sell hotel room, function
rooms, and other services in a particular market area.
Hotels have found it more efficient to hire local hotel sales
representative in profitable key cities instead of sending its
hotels sales executives to do personal selling in the area.
Hotel sales representatives can carry different non-
competing hotel brands simultaneously. They are paid a
straight commission.
5. Government Tourist Associations
National, regional, and local tourism agencies or offices are
an excellent way to bring information to the market and
gain bookings. They usually market their locality to
tourists and carry with them the different establishments,
properties, and attractions within their territory.
6. Consortia
A consortium is a group of hospitality organizations that is
allied for mutual benefit of the members. It allows a
property to be independent in ownership and
management while gaining advantages of group marketing.
7. Reservation Systems
Reservation systems are entities that provide central
reservation system for hotels. They provide the system for
small chains by providing overseas reservation service
through a local number. Reservation companies earn
revenue by charging for each reservation they book.
8. Global Distribution Systems (GDS)
Global distribution systems such as Amadeus and Galileo
are computerized reservation systems that serve as
product catalog for travel agents and other distributors.
These agencies are linked to the reservation system
through a terminal. They are able to see product inventory
and make reservations using the terminal located in their
own offices which is connected to the GDS.
9. Concierges
The hotel front office staff are usually the most frequently
asked hotel employees about the nearest restaurants,
shopping malls or attractions. As such, the concierges, bell
staff, and front desk clerks should be ready with good
recommendations.
Channel Conflict
Conflict may arise between channel members when one
member of the distribution system perceives another to be
engaged in behavior that may hinder the other member
from achieving their goals. These conflicts may either be
horizontal or vertical. Horizontal conflict arises within the
same level of distribution channel while vertical conflict
ensues between members at different levels of the same
distribution channel.
Selecting Channel Members
Not because all distribution channels are available means
you need to use all of them. Carefully selecting the type of
intermediaries, you will need for your business will
increase your efficiency and reduce possible conflicts that
may arise. Here are the steps to follow in selecting channel
members:
1. Knowing the needs of your customers.
2. Attracting channel members.
3. Studying economic feasibility.
4. Maintaining control.
3. BUSINESS LOCATION AND ITS IMPORTANCE
One of the most important aspects of distribution is its
location. Business whose customers come to them, must be
conveniently located and accessible. However, there is no
formula for choosing a location. It is dependent on several
factors that only the establishment can identify and
evaluate. Some companies prefer those that are along the
main highways while others find that their company is
successful if it is close enough - but not within - the
business district. The location decision of a company
cannot be separated from its marketing strategy.
Four general steps in choosing a location and these are as
follows:
1. Understanding the marketing strategy and target market
of the company.
2. Analyze the regional location and select geographic
market areas.
3. Select an area within the chosen geographic region
taking into consideration the demographic and psycho
graphic characteristics of the market in the area,
competition, and growth potential.
4. Choose an individual site that is compatible with the
business.
4. FRANCHISING
Franchising is a method of doing business by which a
franchisee is granted the right to engage in offering, selling
or distributing goods or services under a marketing format
which is designed by the franchiser. A franchisee
agreement is an authorization granted to someone to sell
or distribute a company's goods and services in a certain
area, or a business established or operated under such
authorization.
A franchisee is an organization or person that purchases a
brand name to distribute a product or service. A franchiser
is the parent company of a franchising distribution
network. The franchiser lends its name, brand, and
reputation to the franchisee. In addition to name affiliation,
franchise agreements should provide franchisees with the
traditional support, financial support, safeguards for the
business, auditing, reservation system, and sales support.
A franchiser provides a management handbook of its
standard operating procedure so that franchisees no
longer need to reinvent the wheel. Because the business
model and the operational aspects of running the business
have been tested through time, the likelihood of success is
higher than another start-up business. However,
capitalization is quite high due to franchisee fees and
income is shared with the franchiser in the form of
royalties and other incidental fees such as marketing fees
and reservation fees.
5. STRATEGIC ALLIANCES
Strategic alliance is another form of geographic
distribution channel. It is an arrangement between two
companies that have decided to share resources to
undertake a specific, mutually beneficial project. A
strategic alliance is less involved and less permanent than
a joint venture, in which two companies typically pool
resources to create a separate business entity. In a
strategic alliance, each company maintain its autonomy
while gaining a new opportunity.
Franchisers need to screen prospective franchisees to
determine that the franchisee has the relevant experience,
financial capability, and motivational drive to succeed in
the business.
A strategic alliance could help a company develop a more
effective process, expand into a new market or develop an
advantage over a competitor, among other possibilities.
This kind of distribution channel is when a hotel,
restaurant or resort partners with a telephone company,
credit card company or other relevant companies and
share customers and aim for objectives that will benefit
both companies.
6. DELIVERY SYSTEMS
Restaurants have another distribution system uniquely
available to this tourism sector. The delivery system is an
easy way for consumers to have food conveniently brought
to where they are. Fixed delivery numbers of most
restaurants are also an added factor, as consumers
remember it more easily. With the development of efficient
software, customer's telephone numbers and addresses
are already recorded. The telephone agent just needs to
verify and take the orders.
For restaurants with fewer branches, a delivery company
offers delivery services in a consolidated manner. Quick
Delivery enables restaurants without its own delivery
facility to have access to this distribution system. With the
advancements in technology, more distribution system will
be available.
Delivery system expands the way the products are
availed and increases cost per cover for restaurants.
Lesson 9: DIGITAL MARKETING
1. Social Media
Social media is a participatory online media where news,
phones, videos, and podcasts are made public via social
media websites through submission. Social media is a
great way to influence a crowd by listening to what they
say online, then adjusting and improving what one offers.
When one engages his market in conversation, he is able to
measure their pulse, open them up to listen to them, and in
time, able to influence them. By one's absence in the social
media, the ability to influence one's market is decreased. In
marketing tourism products and services, social media is
an important tool. It helps make products more tangible
through the experiences shared by others. Conversations
that happen in social media employ electronic word of
mouth which is very useful in tourism promotions.
Top 10 Most Visited Websites in the Philippines
1. Facebook
2. Google.com
3. Google.com.ph
4. YouTube
5. Yahoo
6. BlogSpot
7. Wikipedia
8. Twitter
9. Olx
10. WordPress
Social Media Content
1. Blogging. Blogging is one of the easiest ways to enter
social media. Everyone has the right to create and maintain
a blog regardless of your motivation. Blogs create a free
exchange of ideas so you learn from what others think and
share your own thoughts through comment box. Personal
blogs are those maintained by individuals who want to
express themselves online. These are not funded nor
sponsored by anyone. Corporate blogs are those sponsored
by specific companies with the objective of promoting its
products and services.
2. Microblogs. Microblogs bring social networking to its
most essential elements - a post, a comment, and am
indication of relationships.
3. Photo sharing. Photos convey more than words can.
Photos are very useful in sharing places visited, food eaten,
and people one has been with. It has been said that
Filipinos nowadays take pictures of the food they eat first
than the traditional custom of saying grace before meals.
Also, travel and food photos can easily be uploaded to
one's FB account and shared with friends simultaneously.
4. Video Sharing. Videos are even more effective than
photos. With movement and audio, the experience
becomes richer. There comes a greater appreciation of
what is being shared. When people travel, a camera that
can take good photos and videos is a must-have.
5. Location-based Social Network. Also known as social
mobile network, this is where people can share their
location with friends. This application allows you to
"check-in" to inform friends of your current location and
also check on a list of venues that are nearby.
Social Networking Sites (SNS) Ethics
In doing social media marketing, please consider the
following ethical considerations:
1. Do not randomly contact people to build up a list of
followers/ friends, then suddenly bombard them with
posts about yourself or your products.
2. Make sure the content is original. If not, please
acknowledge sources. Better to post original pictures than
get photos from the Internet and make them look as if it’s
your own.
3. Tone down on the use of expletives and negative words.
Mobile Phone and SNS Growth
The rise of the mobile phone helped SNS grow
exponentially. Television used to be the most viewed
screen until it was recently overtaken by the computer
screen (from desktop computers to the handier laptops).
However, with mobile penetration higher in most
countries, mobile phone has become the most valuable
channel of information.
Instant access to the internet whenever and wherever
means that people are tweeting, updating, uploading,
reviewing, and commenting on their daily experiences as
they happen. Because of its immediacy, tourism marketers
must be on their toes. Uploads become viral in a manner of
minutes. Negative word of mouth can spread online as
unpleasant experiences happen. Hence, marketers need to
be online too, in order to engage its customers where they
are.
Location contributes largely to the success of any business.
GPS-enabled smartphones have apps which can help you
track the nearest restaurant or which of your friends are
nearby for an impromptu face-to-face get-together.
Online videos through YouTube have helped tourism
products become tangible in the eyes of their customers.
Viewing experiences of others who have visited
destinations help give the prospective customers more
motivation to visit the destination featured in the video.
2. THE INTERNET AND THE WORLD WIDE WEB
The Internet is a catch-all word used to describe a massive
network of computer systems, linking users in practically
every country in the world. Internet penetration has
grown by leaps and bounds that it has become useful and
instrumental in spreading communication and marketing.
The world wide web is essentially a graphic overlay on top
of the other Internet services providing a multimedia
interface that enables users to access a vast pool of
interlinked documents. The Internet began simply as a way
to distribute information. The second generation of
Internet marketing has ushered in new ways of marketing,
direct selling, and database marketing. As technology
improved, almost all major brands have an Internet
strategy in the emerging environment of electronic
distribution.
Limitations of the Internet
The web has been developed to a great extent in recent
years. However, marketers still need to be aware that it
has its limitations.
1. Digital Divide.
2. Information overload.
3. Speed.
4. Security.
5. Credibility of information.
6. Intellectual property and copyright issues.
7. Trustworthiness.
Advantages of Using the Internet
Through the Internet as a medium still has its limitations,
it also has distinct advantages that help business increase
their sales. Here are some advantages:
1. Global market reach.
 2. 24/7 nature.
3. Multimedia nature.
4. Lower costs.
5. Interactivity.
Marketing on the Internet
With so much information uploaded in the Internet every
day, searching for the right information becomes more and
more difficult. Attracting potential customers becomes a
challenging task with most of your competitors also have
online presence. Using the web for distribution and
promotion of hospitality products can be done using any or
all of these strategies.
1. Through their chain or consortium. Most major hotel
and restaurant chains maintain a website for both
promotional and booking purposes.
2. By setting up their own site. Independent tourism
operators can set up their own websites that feature their
products, services, and rates that potential customers can
access at their convenience.
3. By listing themselves on one of the mega-travel
websites. These are virtual malls that combine travel
products from different sources and competing suppliers.
Potential customers are able to compare and search for
alternatives using one site.
Company Websites
It is not enough to have a good website. The website needs
to be marketed to lead potential customers to visit the site.
Establishments can be listed either organically or through
paid placement. Organic search refers to free listing based
on keywords found in the website. Technology can now
trace activity within the website and actual bookings
generated from online marketing efforts making internet
marketing's return on investment measurable.
Characteristics of a Good Hospitality Website Design
1. Useful and relevant content.
2. Ease of navigation.
3. Artistic design that complements content.
4. Functional characteristics.
Travel Websites
A travel website is a consolidator of different travel
products. It brings together a varied range of travel
products so that potential customers can go to just one
site. The customers can compare rates, features, and
facilities of different establishments. It also contains
comments made by customers who have availed of the
product. These sites are growing fast mainly because of
customer's preference in using a travel website is also
growing. It assists and guides customers in the evaluation
of alternatives and facilitates purchases online.
Group Buying Sites (Groupons)
Online Selling or e-commerce have become a cost-effective
intermediary for different types of products, including
tourism products. Recent studies revealed how consumers
adopt to new technologies in the delivery of goods and
services such as enterprise resource planning and online
shopping. Surfing the net for cheap airfares and/or hotels
have become tedious due to the proliferation of a huge
amount of information in specific company websites.
Group buying sites have grown in the recent years
primarily to help put together great deals in one website.
Deal aggregators or group buying sites, collectively known
as groupons, facilitate discount seeking, bargain hunting,
and new product discoveries. There is a wide range of
products and services available in these sites which
include restaurant meals, spa/massage/facial treatments,
hotel rooms, tour packages inclusive of airfare, hotel
accommodations, meals, etc. These sites have grown in
number.
Online Auctions
Another form of e-commerce is the online auction. Online
auctions have the ability to flexibly set prices based on the
dynamic concurrence of supply and demand subject to
specific market and competitive conditions. Group buying
auctions have proliferated because of its reported success.
3. EFFECTIVE DIGITAL MARKETING CAMPAIGNS
The basics of online marketing through creating a solid
strategy, search engine optimization and search engine
marketing, website analytics, email marketing, social
media marketing, online PR, affiliate marketing and online
display advertising are still effective tools. Coming up with
a blending of which channels may work best in tapping the
target market for your particular product is the goal of an
effective digital marketing campaign. Social Media, as
well as all other digital media campaigns, are a
complementary extension of all your other marketing
tools. If digital marketing is used correctly, it can
enhance your business presence both online and offline.
The creation of e-mail changed the direct mail campaigns.
The birth of search disrupted classified ads. The birth of
social media changed public relations. Social media help
develop relationships with your customers. It is essential
to stay involved long after your campaign has ended
because in social, one can simply sustain the relationship
of the brand with one's customers the same way we
sustain relationships with friends who may have gone
abroad.
The future of digital marketing is promising.
 It is a game changer. The rules of the game have
changed in the advent of the digital era.
 It is a great equalizer. Small companies can have a
huge online presence as a multi-million-peso
company.
 It transcends time and space. Businesses now can
reach more people in less time and distance.

At this day and age, if your business is not in the Internet -

you might be out of business sooner than later.