Experiential Tourism- a new horizon for tourism products
Experiences matter in every market. People remember the experiences that they have with any product more than they remember the product itself.
For example, why does PUMA spend millions to endorse Usain Bolt? Not just to encourage buyers to make a one-off purchase. They want to make their customers feel like they’re the ‘greatest runners in the world’, which creates a much deeper, longer-lasting impression, which then builds attachment and brand loyalty.
Tourism works in exactly the same way.
The Progression of economics dictates that the greater the differentiation the more you can charge. A common example is how much more a glass of Lassi costs once it is being ordered in a five star restaurant.
It is still just a glass of Lassi but its value is so much more than the same glass of Lassi from a bottle at home.
There are 3 different levels of experience-led businesses:
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Demand generators – the attractions, activities and events that act as a primary motivator for tourists to visit a destination (e.g. Royal experience in Jaipur).
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Supporting experiences – the attractions, activities and events that are not the main motivator for visiting, but contribute to the overall appeal of a destination and encourage visitors to stay longer and spend more.
- Hidden gems – the local secrets that have the potential to add value to a visitors experience (e.g. local produce, artisans, musicians, local characters)
Experiential tourism is about providing ways for visitors to become more deeply immersed in the product and engaged in an emotional way. The focus is on feelings, sensations, stories and connections rather than simply products.
We can do this through bringing to life our heritage, culture, history and unique character. But there are different types of tourism experiences that can be developed within a destination and we need to be very clear which are right. There are a very few companies in India that are working towards achieving this business idea, whereas it has already picked up in the more developed countries.
Anyone looking for execution support for the same please feel free to post the same on to the platform.
Niraj