Wilderness Newfoundland Adventures
Case Study #28
Presented to: Professor Linda Blakney
Presented by: Sparkle Smile Marketing
Wing Yu Cheung
Marketing II: MKT 2302-070
Table of Contents
1. Executive Summary
2. Situation Analysis
4. Core Problem
6. Evaluative Criteria
7. Analysis of Alternatives
8. Decision and Justification
1. Executive Summary
Wilderness Newfoundland Adventures' high quality adventure tourism product presents a unique business opportunity. The demand for adventure tourism is growing throughout the world. The location of the operation in a pristine environment with strong natural attractions of whales and icebergs, as well as other wildlife gives us an advantage of other outfitters. The total market of adventure tourism products is growing and projected to grow into the next century. Because of our limited resources and the strength of international competitors, our recommendation is to enter into the market of the United Kingdom as the focus for our marketing strategy. The recommended strategy allows us to exploit our environmental advantage and limit the possibility of excessive demand. The market for adventure tourism is estimated at 787,000 Britons. Our conservative goal of reaching 0.35% of this market will result in 2754 new customers. This combined with a strong local market will result in approximately $286,450 in revenues in the first year. These numbers are less than current capacity projections of 3600 customers served in a season. International customers would also be more likely to take extended visits in the region, offering incentive to other local industry members to enter into agreements with us to present a package of services to international travel wholesalers. This maximizes our resources and product offerings. We estimate revenues from year one will be increased by approximately 573%, generating needed capital to expand capacity and increase marketing activities in year two to sustain our continued viability and growth. The recommended strategy has three strategic imperatives. 1) The hiring of a dedicated sales/marketing person. 2) Meeting with and developing local tourism package with other industry members. 3) Creating a relationship with travel wholesalers in the United Kingdom.
2. Situation Analysis
External Environmental Analysis
Baby Boomers are an opportunity for market growth. They as a group have large disposable incomes and are looking for new experiences. The North American market is an opportunity for market growth. The market for adventure and ecotourism numbers 30-40 million Americans and 1.3 million Canadians. International Markets are an opportunity for market growth. Statistics from the United Kingdom alone reveal 787,000 potential customers. Competitive
The market for adventure tourism in North America is growing; but is underserved. Quality outfitters are underrepresented in North America in general and in Newfoundland in particular. Those already serving the marketplace have an advantage competitively including knowledge and experience in the sector. Market Factors/Customers
Life Styles: There is a growing shift in focus of tourists from the traditional leisure focused vacations to specific activity or activity focused vacations. Adventure and Ecotourism activities are a growing trend. Adventure tourism is divided into two segments: Soft Adventure and Hard Adventure. Soft Adventure is defined as providing unique outdoors experiences with limited risk, physical exertion and skill. All ages and fitness levels can participate. Hard Adventure is defined as providing unique outdoors experiences with excitement and risk, which demands physical exertion, a level of skill and often requires specific...
Bibliography: Demographics for Canada. Retrieved from the world wide web on February 6, 2005. http://www.statcan.ca.
MultiMediaPros: Radio Commercials. Retrieved from the world wide web on February 9, 2005 http://multimediapros/radio_commercials.htm
Clear Channel International, Outdoor advertising. Retrieved from the world wide web on February 16, 2005
Macleans Magazine Advertising. Retrieved from the world wide web on February 9, 2005
Wilderness Newfoundland Adventures. Retrieved from the world wide web on January 26, 2005
Bristol Group. (2005). Newfoundland and Labrador 2005 Travel Guide. Newfoundland and Labrador Ministry of Tourism, Culture and Recreation.
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