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International And Domestic Business Tourist Tourism Essay

Paper Type: Free Essay Subject: Tourism
Wordcount: 3761 words Published: 1st Jan 2015

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Tourism industry is one of the booming industries in the world. It is observed that according to survey visitor information available in Sydney is not sufficient. To survive in competitive market it is necessary to provide best possible experience to the visitors with the intention of maximize profit and repeat business. (Destination NSW) Such experiences which they will remember for long time and which affect them psychologically. It is important to know needs of the tourists what attract, encourage them to travel to the destination. Once you know the necessity of the tourist you can prepare for effective target market strategy.

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Many organisations and tourism department are responsible to set the standard of the particular destination and convert it into a product. Lot of organisation play important role for development of Sydney. In Sydney, Tourism Sydney Council, National Tourism Alliance, Sustainable Tourism Co-operative Research Centre, Tourism Training Australia, Quality Tourism (Sydney Tourism Brand , 2012) contribute for rapid growth of the tourism. Tourism NSW with help of Tourism Australia influences lots of potential global tourists to NSW with skill education, promotion and publicity campaigns, and online services. Main intention is to grow consciousness about sustainable tourism product. The promotions are intended to invite tourists from every part of the world. Hence tourism promoting strategy sets idea for promotional activities of Medina grand Sydney which helps hotel for publicity and campaign of their products. (Tourism Australia, 2012)

Mature Markets: UK, USA, New Zealand, Japan

Emerging Markets: China, India, South Korea

Trade Development Markets: Singapore, Malaysia, Hong Kong,  Germany, Gulf Countries, Other Europe

Market Segmentation

On the basis of observation in the market Tourism Sydney has found two main areas of market segmentation:

1) Geographic Approach

2) Psychographic Approach

Geographic Approach

It is essential to realize geographical aspects to target specific market. The value of International and domestic tourists both are key target market for Medina Grand Sydney. Tourist comes for the purpose of business deals, vacation and adventure sport. Sydney is one of the major cities of Australia and well-known as historical place. Concerts and events are also major type of attractions. Number of adventurous sports help to attracts adventurous tourist. Sydney is popular destination among tourist same like Queensland and Melbourne and now we can called it as main tourism activities place in Australia. The diseases like bird flu and global terrorism affects the international tourist visiting to the Sydney. (Sydney City Information )

Total 26.8 million international and domestic tourists visited to Sydney every year. Number of international visitors increases because of attractive offer by airlines during on and off season and tie up of tourism Australia with international airlines. Most of the tourist comes to visit Sydney are local people from major cities of Australia. . The tourism Australia expected the tourist with different purpose will grow up to 40 million in 2030. The tourist who lives in Brisbane, Melbourne, Victoria and Perth which comes for small period of time consider as important target market. The international tourist who comes from UK, America, New Zealand, Japan and Asia mainly they are corporate traveller. Every year 7.9 per cent Chinese visitors estimate to grow in Australia and will be 783,000 till the end of 2019. (Research, 2012) Recently increase in number of tourists from India, China and South Korea which is emerging market for Australia.

Sources of International Business Tourist (Research, 2012)

This pie chart shows international travellers of different countries. We can see in pie chart that most corporate travellers come through Asia and New Zealand for business purpose. Asia is most growing international market. Around 18% Asian visitors come to Sydney in recent years which are comparatively very high if we match with last five years statistics. China and India are two main countries from where most of the visitors visited Sydney. By doing some research on target market and understanding their culture Tourism Australia can take competitive advantage of such market.

Psychographic Approach

Hotel Medina Grand Sydney is situated in one of most popular area of the Sydney. Most people choose Australia as their holiday destination for living in Sydney. It has prosperous ethnic groups, excellent infrastructure, superb consumer choices and solid local and international corporate activities. Sydney today claims as Australia’s most leading Central Business District and most national and multinational industries chose to have their head office in Sydney which attracts lots of business travellers. Sydney is perfect city for beach lovers, Bondi and Manly are the most famous beaches in Sydney. (Visitors Guide and Information ) Most attractive and uncrowned beaches are found on north and south of the Sydney. Hotel Medina gives beautiful view of the city. Because of hotel is situated in centre of the city its excellent opportunity for all the travellers for shopping with family and friends All kind of accommodation options are available at the Medina Grand Sydney hotel have been designed to create comfort and an atmosphere. Hotel is only 5 minutes away from Cockle bay, movie theatres at door, Entertainment Centre and China Town just 10 minutes walking distance (Attraction Around Sydney , 2012). Hotel has big conference hall. Hotel apartments provide the perfect venue for residential training courses. In relations of Psychographic above products are available which target domestic and international business travellers and holiday travellers including honeymooners and families.

Potential Markets

After analysing the above data and statistics specified in this paper about tourist market and segmentation, we can define about prospective target markets of Media grand Sydney.

International and Domestic Business Tourist

Consumers who are finding gorgeous places with advance level of service and sufficient comforts. This segment is proposed for tourists happy to pay quality prices for outstanding accommodations and service. Most present in main cities across the globe and located in historical areas. As we mention in the first section there are number of occupational deals happens in Sydney as city well-known for the centre of business activities in Australia. Therefore basically there are number of corporate people comes in the city. (Business Award 2012). Basically these business travellers seeks unique services and product with new trend of technology which offered by the Medina grand Sydney. As we know, being one of the best brands, Medina provides unique standard business services and product to the corporate travellers. This gives them chance of unique experience of accommodation as well as relaxing and peaceful environment from their busy work schedule. In adding to this, Medina grand has collaboration with reputed travel agencies which helps hotel to targeted business travellers. The report of Sydney Tourism reflects tourists from New Zealand, USA, Europe and Asia visiting to Sydney are improved by 26% recently. (Sydney Tourism News, 2011) Besides, most business people from New Zealand and Asia visit to business capital of Australia for the professional purpose.

Medina Grand Sydney can offer following services and products to their international and domestic business markets:

Resident Manager

24 hour reception

Resident Manager

Covered heated swimming pool

Mini bar


Undercover parking

Dry cleaning and laundry services


In-room Massage available through Reception

Dry cleaning and laundry services

Babysitting available

Pantry services

Cuisine Courier

Undercover parking

(Hotel Facilities )

Leisure Tourist

Currently, it’s cost-effective for Medina Grand to target the business tourists. This segment was affected by worse transactions in weak economy situations but indicates signs of recovery. Business travellers are generally at senior level management positions in their company. Even if they are not searching for the traditional feature of the city but they expect a suitable place. They are knowledgeable about the current market news and communicate minimum two languages. Maximum corporate travellers busy in hectic life and travel alone, so they need some peaceful atmosphere which they expect from Medina Grand Sydney. Medina Grand has also established superior offers such as SPA (Home Away From Home, 2012). These targets are senior citizen couples who expect a high class service; honeymooners and somebody celebrating a special event. Sydney is a one of the major city in Australia. Medina Grand hotel is situated in the centre of the city and you can call it heart of the city which is near from all the attractive places in Sydney. Medina grand hotel is close to Sydney Town Hall, Darling Harbour. Area of attraction also includes Opera House in Sydney and Chinese Garden of Friendship. Medina Grand Sydney deals quality accommodation in one of the most entertainment district, Darling Harbour. Travellers looking for the perfect luxury and advance facilities will definitely like this hotel. Some famous historical attractions such as Sydney Aquarium and Australian National Maritime Museum are situated at a walking distance from the hotel. Famous charming commercials of the city, such as IMAX Theatre and Star City Casino are at a stone’s throw away. Diverse types of native animals can be spotted at the adjacent Sydney. Great location to allow a nice short walk to Market Street where all the great shopping can be done, China Town, and not too far to walk to The Rocks and Circular Quay. (Best Attractions) The hotel basically tries to attract stylish tourist by providing them glamorous product and superior facilities. Hotel also concentrates on local tourist market segment who looking for interesting experience. Corporate travellers usually prefer luxury accommodation where they can appreciate speciality food with excellent value of service.

Hotel Medina Grand can deliver following facilities:

Deluxe Rooms and honeymoon suites

Hot water pools

Multi-cuisine Restaurants

Health spa


Gymnasium centre


New Market and Strategic Approach

Research study shows that it is possible for Tourism Australia to attract new target potential market. They can attract more number of leisure and business travellers from Asia. (Basically concentrate on India, China and South Korea). According to studies it is analyse that new target market should be beneficial for tourism Australia. (Marketing in Asia , 2012)From last two years more number of tourist coming from China. Tourist from China saw surprising development in Sydney, with rapid increase of visitors. However Sydney saw additional tourists from Korea and India by two per cent. Hence Medina Grand has chance to examine and attention Asian target market. Because of language difference, cultural differences between the countries, time consuming travel it’s very hard to find profit. Tourism Australia already spend heaps of money on marketing the destination in new target market and collaborate with travel agents to attract more travellers. To take over on this new market Medina Grand changes their policies and strategies for this market for e.g. presenting Chinese cuisine, multicultural cuisine in fine dining restaurants which open more choices for Asian customer. The most of the Asian Tourist make their booking through tour operator and most of the people book the air ticket through internet. Link up with more and more tour operators and arranging regional events for tour operator in every area must beneficial for Tourism Australia. Advertisement through social networking sites like Facebook and twitter also helpful for positive marketing of the destination and hotel.

Target Market Process

Making concern of above data, Medina Grand implements its own target market procedure. It supports them to recognise the customer activities and their needs and demand.

Medina Grand Sydney Target Market Process

The hotel Medina grand is in mid-maturity stage of product life cycle. To develop method of sustainability is essential at this phase to survive in competitive environment. Hence Medina Grand gives attention on retaining its competitive environment. Hotel sells unique product like health spa centre which is open all days of the week to target corporate and holiday travellers.

Promotional Strategies

Promotion: The hotel Medina Grand provides exotic facilities to attract high class traveller. They advertise themselves in world travel magazine, traveller guide, yellow pages, star hotel magazines which helps to build brand image of the hotel. Medina Grand also publicise their property through online medium and social networking sites. They have linked up with hotel website to promote themselves. Hotel also has review system for their hotel so that the traveller search online for booking and get to know the actual quality of standard through experiences of other travellers. Also local newspapers, TV channels, radio stations plays important role to invite domestic tourist. This type of marketing affects consumer behaviour and help in growth strategy of the hotel.

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Delivery Strategy

Hotel Medina grant has excellent online reservation system. Hotel has tie up with many international airlines that already declared in previous description of this paper. To sum up they also have collaboration with tour operators, they have special training programme for tour operator. In that programme they first offer free facilities of hotel to the operator and at the same time they teach them about uniqueness of the destination and hotel by giving attractive offers and knowing them key points about destinations and events. Free holiday vouchers are provided for selling particular amount of rooms, commission is also delivered on every room. Marketing department always in touch with distributor by conferencing and mailing to know about new trends in market and current condition in the market. Marketing department has annually meeting with distributors in every regional area to maintain relationship with the distributors.G:DocumentsPIHMSTourism assignmentdistribution.jpgSupply Structure in Sydney

Consumer Profiles:

Worldwide corporate Travellers

Age – Most of corporate travellers visiting to Sydney are aged among 28 to 50 years, while some travellers are among 50 to 65 years.

Average visitors stay -Avg. stay per guest is 3 nights.

Ethnicity- European, New Zealander, Asian, American

Annual Income per year- Around $40,000 – $50,000

Necessities- Presentation hall and Board meeting rooms, Wi-Fi services

Participation- Majority of tourists selects to lunch and dinner at speciality restaurants. Some tourist visit to night club, surfing, whale watching, shopping

Local corporate Travellers

Age- Most of the corporate traveller’s age among 30 to 50 years, while some are among 50-63 years.

Average visitor’s stay- Avg. shay per guest is 2.5 nights.

Origin – Business cities in Australia.

Annual income per year: – Around $40,000 – $45,000

Participation- Around 50% of traveller lunch and dinner in dine dining restaurant. Some tourist visit to cinema, visiting families, networks and waterparks, etc.

High Class Stylish Travellers

Age- 25 – 35 years.

Sexual category: – 60% of male and 40% of female visitors.

Category: – higher class charters, head of departments, managers, air crew.

Average visitors stay: – 4-5 days

Purpose of travel: Presentation, Seminars, Business meeting, Conference and events

Yearly Income: – More than $50,000

Participation: – Massage parlour, casino, wine testing and visiting famous places.

Proposed Strategies

Product Strategy

Medina Grand is one of the finest 4 star hotels in Sydney; functioning in a saturated market, they cannot imagine to rise their income by growing the number of guests. Additionally, the treats of the market are out of control and presently restricted by the professional target choice. Hence, Medina Grand must attention on growing expenses per night and per person by developed outstanding services and preserving its occupancy rate despite the tough struggle and great choice of substitute product. To maintain standard of the hotel have facilities like family rooms, special premier studio room, cribs available, climate control and mini bar as matched to the competitors. (Medina Grand hotel, 2012) The prices of the hotel are always competitive and special discount for group booking and repeat business. Hotel provides pick and drop facility from airport, car facility for nearby attractions which is good advantage for guests of Medina grand hotel. The hotel is situated in main area of Sydney and marketing of such facility certainly attract more number of tourist in their hotel. Multi-cuisine restaurant of the hotel is open in all days of week which offers excellent opportunity for tourist visiting the destination from different countries. Therefore they can relax themselves before settle down in the hotel room. The corporate travellers who came for business deals can discuss their business deals in restaurant without taking the visitors to their rooms. Thus, it will be convenient for guest if hotel restaurant is open for all night during all days of the week.

Market Positioning Strategy

Currently, Medina Grand is positioned as one of the luxuries hotel situated in impressive area of Sydney. Number of increasing competitor in market, comparable positioning wants Medina Grand to redefine themself in front of targeted consumer. They can do it in couple of ways. Mainly Medina Grand could attract more number of leisure travellers. In addition Medina Grand could select business travellers but who are looking for luxury. Luxury positioning must be profitable. But for luxury positioning guest will expect superior quality. This is way they will spend more. In conclusion we can say Medina Grand must be most appropriate property for international corporate tourists. When travellers from new region and different culture grow rapidly it’s difficult to apply old strategy and policies to understand their needs. Prepare for new plans is better idea to take advantage of such competitive market. Research shows Asian market is future potential market. Thus Medina Grand know requirement of Asian corporate sector and holiday market to maintain sustainability of the industry.

Marketing Mix Strategy

The four P’s of marketing mix to attract travellers from Asian country because they are least affect by economic slowdown, Medina Grand Sydney has to make special marketing strategy which is mentioned below:

Product: They are changing their policies and strategy to concentration on new target market and new ethnic group. Hotel will have to improve certain modifications to their foods and amenities by seeing needs of Asian Travellers. For e.g. Presenting Chinese and Indian cuisine in the speciality restaurant. To satisfy need of satisfaction Medina Grand can start improvement in their accommodation. It’s important for corporate traveller to sleep well to maintain busy schedule of next day. Medina Grand can renovate their bed with advance comfort facilities. Hotel can improve fitness services features by adding new machinery and equipment in fitness centre. Tie up with local corporate companies by giving discount help to increase revenue of the company. So the non-staying guest can use the facilities, thus will raise IHS business. Medina grand has to develop the facilities of fun. Train the staff by taking care of cultural values of country of origin of the guest. This kind of service they will remember for long time and help in repeat business. For example, Medina grand appointing employee from Asia so that Asian travellers can feel the hotel as home away from home.

Advertising: – Tourism Australia is currently in a situation to increase its advertising activities. The Medina Grand have to part in Press Release. Descent articles in popular newspapers which follows by corporate people. Invite press people on special events in the hotel. Participate in social awareness events. Publicise some admired magazines help to build the image of the hotel particularly when its person who reads are corporate people.


Market strategy:

Domestic and international corporate travellers are our principle target market. Also need to growth our attention on countries like USA, UK, New Zealand, India, and China etc. which are our main source of income. Its better ignore the countries which are very challenging to make target so that can get more time to concentrate on main target market.

Marketing mix strategy:

Medina Grand have to advertise powerfully local travel journals in China and India. 56 % of International Corporate tourists to Australia reached at Sydney International Airport with 40% of them coming from Asian nations. t. Asia market has the potential to provide good profits for the business.

Price: Medina Grand has higher room rates compare to other star properties in the market. According to strategy, increase in room rate can affect the business of the Medina Grand. By providing extra facilities hotel can increase the rate.

Place: It is important to advertise the hotel Medina grand on websites of airlines and tour operators. Application of search engine promotion policy is also significant, as most of internet sites visits arise through search engines. Hotel online bookings must be improved by application of this strategy.


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