BRANDING AS A STRATEGIC TOOL TO REPOSITION A DESTINATION: A SURVEY OF KEY TOURISM STAKEHOLDERS IN ZIMBABWE

Transcription

1 BRANDING AS A STRATEGIC TOOL TO REPOSITION A DESTINATION: A SURVEY OF KEY TOURISM STAKEHOLDERS IN ZIMBABWE By JORAM NDLOVU Submitted in partial fulfilment of the requirements for the degree of PhD Tourism Management in the DEPARTMENT OF TOURISM MANAGEMENT FACULTY OF ECONOMIC AND MANAGEMENT SCIENCES UNIVERSITY OF PRETORIA STUDY LEADER: PROF. E.T.HEATH 30 April 2009 University of Pretoria

2 ABSTRACT The main purpose of this study was to develop a destination branding and positioning framework, with particular reference to the Zimbabwean experience. The theoretical underpinnings and concepts used in this study were destination marketing, destination branding and positioning, image and destination competitiveness. To provide a strategic context to the study, branding as a key element of destination marketing was clarified; the strategic role of branding /re-branding in the positioning/repositioning of a destination was outlined; international trends and best practices in branding and positioning were evaluated; and the destination marketing situation in Zimbabwe, with particular emphasis on the status of branding and positioning, was determined. To determine key stakeholder attitudes, experiences and expectations regarding the branding and positioning of Zimbabwe as a tourism destination, a stakeholder survey was carried out during 2006 and Stakeholder groups included in the survey were key industry representative bodies, national tourism authorities, publicity associations, tour operators and airlines flying into Zimbabwe. The study concludes that the concept of branding has varied interpretations in destination marketing. While branding can be used as a strategic tool to reposition a destination, the study notes that there are a number of non-tourism factors which can erode brand equity rendering a destination brand obsolete. It observes that unless and until these non-tourism factors are addressed the destination brand may not perform optimally. Any destination that needs to rebrand has to deal with the image issues before any meaningful re-branding activities can take place. The consistent use of well focused promotional and public diplomacy strategies as well as proactive crisis management should be used to pull the destination from its negative equity. ii

3 A key outcome of the study is a strategic framework for branding and positioning a destination in crisis. It sets out guidelines for the stakeholders on how to implement the branding process. In addition, the framework adds value to destination marketing since it can be applied as a frame of reference in understanding the complexities of destination branding. While the framework has been developed in a Zimbabwean context, it can be applied to other destinations which have a need to brand or re-brand. An integrated marketing and communication strategy is recommended since branding alone may not yield positive results under a crisis situation. At the same time the destination needs to address political and economic issues, design strategies that can bring together all the stakeholders, while encouraging alliances and joint ventures among tourism operators. The study contributes to the existing body of knowledge regarding destination marketing, particularly destination branding. Key Words Destination branding, positioning, destination marketing, market segmentation, competitiveness, brand communication, brand identity, image, brand equity. iii

4 DECLARATION This thesis is the property of the University of Pretoria. The literal rights of the author must be observed. Quoting or paraphrasing of this study must be done with the written consent of the author. Publication or any written work which contains copied passages or closely related information from this thesis would constitute the infringement of copyrights as outlined in the Copyrights Act. I therefore declare that this doctoral thesis, which is submitted to the University of Pretoria, is a result of my own effort and has not been submitted to any other University by me for degree purposes. iv

5 DEDICATION While PhD studies are an individual effort, this could not have been achieved was it not for the unconditional support and love of my wife Belinda and my two boys Mqalisi and Mbusi. v

6 ACKNOWLEDGEMENT I would like to pass my gratitude, appreciation and contribution of the following people and corporate bodies for their contributions towards the completion of this thesis. Professor E.T. Heath, my study leader, for his patience, assistance, constant support, guidance and encouragement during the course of the study. My sincere thanks to Professor E. P. Whittle for the language editing, Doctor J. Kangira and Mr E. Nyakunu for proof reading my thesis. I am grateful to my friends for their advice; they were always supportive, welcoming and encouraging. I would like to thank the following organisations for their valuable contributions in the study: Zimbabwe Tourism Authority Zimbabwe Council for Tourism Hospitality Association of Zimbabwe Civil Aviation of Zimbabwe All the other organisations which participated directly or indirectly All the people who participated in their individual capacity I would like to thank the University of Pretoria for awarding me a bursary, which enabled me to work through the thesis. Finally, I would like to extend my sincere gratitude to my relatives, for their moral support through out my studies. I would like to thank Ms Lucy Mukanya who helped me with the data analysis and the lecturers at the Midlands State University in the Department of Tourism and Hospitality Management in Zimbabwe for volunteering to participate in the pilot survey. The opinions, conclusions and recommendations of this study are solemnly the writer s views and must not be taken to represent the views of the University of Pretoria. vi

7 ABBREVIATIONS AZTA BOAZ CAMPFIRE CASS CNN CRS CSO CTB DMO DTB HAZ HOA ICT IMF ITOZA MDGs MICE NCF NEDPP NGO NPWAZ NTO POSA Association of Zimbabwe Travel Agents Boat Owners Association of Zimbabwe Communal Areas Management Programme For Indigenous Resources Centre for Applied Social Sciences Cable News Network Computer Reservation System Central Statistics Office Ceylon Tourism Board Destination Marketing Organisation Destination Tourism Board Hospitality Association of Zimbabwe Heart Of Africa Information Communication Technology International Monetary Fund Inbound Tour Operators of Zimbabwe Association Millennium Development Goals Meetings, Incentives, Conferences and Events National Consultative Forum National Economic Development Priority Programme Non Governmental Organisation National Parks and Wildlife Authority of Zimbabwe National Tourist Office Public Order and Security Act vii

8 RETOSA SADC SPSS SWOT TAG TALC UK UN WTO ZANU PF ZAPU PF ZATSO ZCT ZIPHGA ZNCC ZTA ZTDC Regional Tourism Organization of Southern Africa Southern African Development Community Statistical Package for Social Sciences Strengths, Weaknesses, Opportunities and Threats Tourism Action Group Tourism Area Life Cycle United Kingdom United Nations World Tourism Organization Zimbabwe African National Union Patriotic Front Zimbabwe African People s Union Patriotic Front Zimbabwe Association of Tour and Safari Operators Zimbabwe Council for Tourism Zimbabwe Professional Hunters and Guides Association Zimbabwe National Chamber of Commerce Zimbabwe Tourism Authority Zimbabwe Tourist Development Corporation viii

9 TABLE OF CONTENTS ABSTRACT ii DECLARATION... iv DEDICATION v ACKNOWLEDGEMENT. vi ABBREVIATIONS vii TABLE OF CONTENTS.. ix LIST OF TABLES. xviii LIST OF FIGURES xx CHAPTER 1: INTRODUCTION TO THE STUDY INTRODUCTION BACKGROUND AND ORIENTATION OF THE RESEARCH THEME THE PROBLEM AND ITS SETTING STATEMENT OF THE PROBLEM SIGNIFICANCE AND CONTRIBUTION OF THE STUDY OBJECTIVES OF THE STUDY RESEARCH QUESTIONS THE RESEARCH STRUCTURE METHODOLOGY LIMITATIONS DELIMITATIONS DEFINITION OF TERMS SUMMARY CHAPTER 2: DESTINATION BRANDING AS A KEY COMPETITIVE POSITIONING STRATEGY IN DESTINATION MARKETING INTRODUCTION ECONOMIC IMPACTS OF TOURISM IN A DESTINATION THE SIGNIFICANCE AND ROLE OF DESTINATION MARKETING Destination marketing organisations The role of intermediaries in destination marketing Support systems for destination marketing ix

10 2.3.4 Characteristics of tourism destinations Destination marketing Market segmentation as an element of destination marketing Target marketing Developing a marketing-mix strategy for a destination Marketing and communication for a destination Crisis and its impact on tourism marketing ORIGINS AND KEY FEATURES OF BRANDING Branding as a key strategic function Key features and characteristics of a brand Definitions and orientation of destination branding Alternate definitions of brands Benefits of destination branding Dimensions of branding Mind-share branding Emotional branding Viral branding The cultural branding Nation branding Public diplomacy as an element of destination branding SYNTHESIZING THE NATURE OF BRANDING IN DESTINATION MARKETING Destination branding as a marketing task Tools for destination branding SUMMARY 72 CHAPTER 3: THE DESTINATION BRANDING PROCESS AND COMPETITIVE POSITIONING INTRODUCTION THE DESTINATION-BRANDING PROCESS The phases in building a destination-brand Destination-brand equity Destination-brand identity Destination-brand personality 86 x

11 3.2.5 Destination-brand architecture Strategic brand management The external customer brand perspective The internal brand perspective Other branding models Destination branding on the website Benefits of a destination website brand strategy in Tourism The role of Government in destination branding Stakeholder power in destination branding The role of the media in destination branding CHALLENGES IN DESTINATION BRANDING RE-BRANDING A DESTINATION POSITIONING AS AN ELEMENT OF DESTINATION BRANDING The definition of positioning Internal destination positioning Benefits of positioning a destination Positioning strategies The positioning process Effective positioning Market positioning Psychological positioning Steps in positioning a destination Positioning a destination by using points of parity and points of difference Updating the position of a destination over time Crafting an umbrella position for the destination Destination competitiveness as a positioning tool REPOSITIONING STRATEGIES FOR A DESTINATION Steps in repositioning a destination Sustaining a competitive position for a destination IMAGE AS AN ELEMENT OF DESTINATION BRANDING AND POSITIONING Developing a destination-brand image The influence of image on a destination brand and on positioning xi

12 3.7.3 Factors that impact on the image of a destination Attractiveness of a destination as an attribute of image The relationship between destination brand image and personality Perceived risk and its impact on the image of a destination PROPOSED FLOW CHART REGARDING DESTINATION BRANDING AND POSITIONING Destination branding committee Destination planning and analysis Destination brand image analysis Brand development process Brand-positioning process Brand implementation Brand management and evaluation SUMMARY. 140 CHAPTER 4: APPROACHES TO DESTINATION BRANDING AND POSITIONING IN VARIOUS COUNTRIES INTRODUCTION APPROACHES TO DESTINATION BRANDING IN SEVERAL SELECTED COUNTRIES Denmark Issues emerging from the case study of Denmark United States of America Strategies for marketing the USA during 9/11 crisis Major issues emerged from the case study Israel Tourism crisis during the 2000 era The management of the crisis in Israel Major issues emerged from the case study of Israel Sri-Lanka Marketing Sri-Lankan Tourism during a period of crisis Major issues that emerged from the crisis situation Nigeria Re-branding Nigeria as the Heart of Africa xii

13 4.2.6 Fiji The impact of the coups in 1987 and 2000 on Tourism in Fiji Tourism marketing in Fiji after the coups A FRAMEWORK FOR DESTINATION BRANDING DESTINATION BRANDING AND DIPLOMACY CAMPAIGNS Scotland Britain Spain Costa Rica Central America La Reunion South Africa Analysis of strategies for destination branding campaigns Lessons learnt from the branding approaches SUMMARY CHAPTER 5: A SITUATIONAL ANALYSIS OF ZIMBABWE REGARDING DESTINATION BRANDING AND POSITIONING INTRODUCTION AN OVERVIEW OF ZIMBABWE AS A TOURIST DESTINATION THE STRUCTURE OF THE TOURISM INDUSTRY IN ZIMBABWE The public sector The Zimbabwe Tourism Authority (ZTA) Registration and grading of tourism establishments The Private Sector Functions of Zimbabwe Council for Tourism (ZCT) BACKGROUND OF TOURISM MARKETING IN ZIMBABWE DESTINATION BRANDING IN ZIMBABWE AN EVALUATION OF DESTINATION BRANDING IN ZIMBABWE Assessment of the current markets and focusing on the future markets Auditing and analysing the appeal of the destination to the target market Development of strategic objectives and marketing-mix Creating an organisation to implement tourism objectives Implementing and evaluating tourism marketing strategies xiii

14 5.7 THE SWOT MATRIX OF DESTINATION BRANDING IN ZIMBABWE MATTERS THAT COULD AFFECT FUTURE DESTINATION BRANDING AND POSITIONING IN ZIMBABWE Policies and political matters in the destination Policies Visa regime Politics The economic environment The social environment The technological environment The ecological environment General conditions in Zimbabwe Resource allocation, amenities and activities LESSONS LEARNT FROM THE ZIMBABWEAN SITUATION SUMMARY CHAPTER 6: THE EMPIRICAL RESEARCH PROCESS REGARDING BRANDING AND POSITIONING OF ZIMBABWE AS A TOURIST DESTINATION INTRODUCTION THE RESEARCH METHODS AND DESIGN Developing a research strategy The sampling design Developing a sampling plan Selecting a sampling method The population sample frame Data collection methods Research survey In-depth interview guide The questionnaire The layout of the questionnaire DATA COLLECTION PROCEDURE DATA PROCESSING AND ANALYSIS The chi-square Chi-square test for independence xiv

15 6.4.3 Correlation analysis RELIABILITY AND VALIDITY OF THE SURVEY INSTRUMENTS Validity of the instruments Reliability of the instruments SUMMARY CHAPTER 7: FINDINGS OF THE SURVEY REGARDING ZIMBABWE S BRANDING AND POSITIONING INTRODUCTION GENERAL INFORMATION ON THE RESPONDENTS Type of organisation Type of private sector stakeholders Number of years for which the organisations have been operating AWARENESS OF DESTINATION BRANDING Destination (country) that is the best example of branding Key features of destination branding RESPONSES REGARDING ZIMBABWE AS A TOURIST DESTINATION Adequacy of marketing resources Negative comments regarding Zimbabwe as a tourist destination STAKEHOLDERS ATTITUDES TOWARDS ZIMBABWE S BRANDING AND COMPETITIVE POSITIONING Stakeholders attitudes towards the Zimbabwean brand Selling points of the Zimbabwean tourism brand Impressions about the Zimbabwe s tourism brand Positioning and benchmarking Zimbabwe Most commonly used methods to communicate branding and positioning CHALLENGES IN RESPECT OF BRANDING IN ZIMBABWE The use of a logo as a key element in Zimbabwe s branding in future The most appropriate strategy that could be used to reposition Zimbabwe as a tourist destination Key matters to be addressed in Zimbabwe s branding Review of Zimbabwe s destination-brand status Development of a conceptual framework for destination branding xv

16 and positioning SUMMARY CHAPTER 8: T0WARDS A FRAMEWORK FOR DESTINATION BRANDING AND REPOSITIONING INTRODUCTION AN OVERVIEW OF CARDINAL FACTORS IN DESTINATION BRANDING AND REPOSITIONING DEVELOPING A DESTINATION-BRANDING AND POSITIONING FRAMEWORK Market analysis Brand development Brand positioning Brand implementation and evaluation Developing-destination brand equity Destination-brand identity Brand communication Brand monitoring and evaluation THE IMPORTANCE OF THE DESTINATION BRANDING AND POSITIONING FRAMEWORK COMPARISON BETWEEN THE PROPOSED FRAMEWORK AND THE EXISTING BRANDING AND POSITIONING MODELS Market analysis The competitor analysis The importance of image Brand equity Functionality and integration DISCUSSION SUMMARY. 321 CHAPTER 9: CONCLUSIONS AND RECOMMENDATIONS INTRODUCTION REVISITING THE OBJECTIVES OF THE STUDY AN EVALUATION OF THE RESEARCH CONCLUSIONS xvi

17 9.3.1 The importance of branding and positioning in destination marketing Implications of branding and positioning in destination marketing Factors to be considered in destination branding and positioning Challenges of destination branding and positioning in Zimbabwe A PROPOSED FRAMEWORK FOR STRATEGIC DESTINATION BRANDING AND POSITIONING Market analysis Destination brand development Destination brand positioning Brand implementation, monitoring and evaluation RECOMMENDATIONS ISSUES THAT REQUIRE FURTHER RESEARCH CONCLUDING REMARKS REFERENCES APPENDICES Appendix 1: Covering letter and questionnaires Appendix 2: Summary of hypotheses Appendix 3: Inferential statistics xvii

18 LIST OF TABLES Table: 1.1 Tourist arrivals in Zimbabwe from its major source markets in 2004 and Table: 2.1 Key potential impacts on national destination marketing.. 49 Table: 2.2 Key challenges and concerns in International destination marketing Table: 2.3 Alternative definitions of brands Table: 2.4 Levels of public diplomacy Table: 3.1 The five phases in destination branding Table: 3.2 The brand building matrix Table: 3.3 The brand architecture of Britain Table: 3.4 An analysis of other destination-branding frameworks and approaches Table: 3.5 Generic positioning strategies Table: 3.6 Summary of product portfolios Table: 3.7 Typology of image-formation agents. 126 Table: 3.8 Summary of destination analysis Table: 4.1 Destination brand development Table: 4.2 Destination branding development Table: 4.3 Major issues that emerged from the case study Table: 4.4 Major issues that emerged from the case study Table: 5.1 Analysis of tourist arrivals in Zimbabwe and its competitors Table: 5.2 SADC country budgets Table: 5.3 (a) Results of the SWOT analysis of destination branding in Zimbabwe Table: 5.3 (b) The SWOT analysis of destination branding in Zimbabwe continued Table: 6.1 Methods of probability and non-probability sampling Table: 6.2 The sample distribution of tourism business Table: 7.1 Types of organisations included in the survey Table: 7.2 Destination (country) that is the best example of destination branding Table: 7.3 Respondents selection of key features of destination branding. 261 Table: 7.4 Matters that are responsible for pleasant and unpleasant experiences in a destination xviii

19 Table: 7.5 Key factors that differentiate Zimbabwe from competing destinations Table: 7.6 Adequacy of resources allocated for the marketing of Zimbabwe as a tourist destination Table: 7.7 Extent of agreement with negative media comments regarding Zimbabwe as a tourist destination Table: 7.8 The application of destination branding in Zimbabwe 268 Table: 7.9 Key elements that are emphasized in the Zimbabwean tourism brand 269 Table: 7.10 The selling points of Zimbabwean brand identity. 271 Table: 7.11 Statements about Zimbabwe s tourism brand. 273 Table: 7.12 Comparing Zimbabwe with and benchmarking it against South Africa, Zambia and Mozambique Table: 7.13 The most commonly used methods to communicate branding and positioning in Zimbabwe Table: 7.14 Opinions expressed on the most appropriate strategy for repositioning Zimbabwe as a tourist destination Table: 7.15 Key branding future considerations. 282 Table: 7.16 Opinions on the regularity of a performance review of the Zimbabwe s tourism brand xix

20 LIST OF FIGURES Figure: 1.1 The Research framework for the study Figure: 2.1 Income generation and sharing in the tourism Industry Figure: 2.2 The role of the destination marketing organizations (DMOs) Figure: 2.3 The tourism system Figure: 2.4 Product and service brands Figure: 2.5 An array of brands of leading destinations Figure: 2.6 South Africa s umbrella logo Figure: 2.7 South Africa s array of logos Figure: 3.1 Branding key links Figure: 3.2 The brand equity model Figure: 3.3 The customer-based brand-equity pyramid Figure: 3.4 The brand-identity system Figure: 3.5 The destination-brand pyramid Figure: 3.6 The destination-brand management process Figure: 3.7 Steps in developing a website strategy Figure: 3.8 Developing a strategy for marketing the repositioning of a destination Figure: 3.9 The creation and sustenance of a competitive position Figure: 3.10 Marketing partnership-based system in travel and tourism Figure: 3.11 Factors that impact on the image of a destination Figure: 3.12 Destination image and destination branding Figure: 3.13 Proposed destination branding and positioning flow chart Figure: 4.1 Development of a destination brand in Denmark Figure: 4.2 Destination-brand development Figure: 4.3 Destination brand funnel Figure: 4.4 Destination-branding and public diplomacy campaign model Figure: 5.1 Map of Zimbabwe Figure: 5.2 Structure of the tourism industry in Zimbabwe Figure: 5.3 The organisational structure of ZTA Figure: 6.1 The sampling plan xx

21 Figure: 7.1 General information on the respondents. 255 Figure: 7.2 Years that the organizations have been operating in the tourism industry Figure: 7.3 Constructs and the development of a framework for destination branding and positioning. 288 Figure: 8.1 Relationships between the constructs in the destination branding and positioning framework Figure: 9.1 Summary of the strategic destination branding and positioning framework xxi