Multichannel Digital Marketing Optimization through Big Data Analysis in the Tourism Industry
Hidayata,1*, I Made Indra Pb, Nova Christian Mamuayac, Darwin Damanikd, Farida Akbarinae
aUniversitas Nurtanio Bandung,bTrisakti School of Insurance, STMA Trisakti,cUniversitas Negeri Manado,dUniversitas Simalungun,
ePoliteknik Negeri Malang, Indonesia
*corresponding author
ARTICLE INFO ABSTRACT
Article history:
Received 31 Ags 2022 Revised 6 Sept 2022 Accepted 13 Sept 2022
In today's information-saturated environment, the travel and tourism industry is increasingly dependent on technology to attract new customers. Therefore, what kinds of digital marketing techniques must be put into action in the tourism business to draw in customers and establish a digital brand name? In this section, the author will address research on how to maximize the effectiveness of multichannel marketing in the tourism industry by making use of big data. This investigation takes a qualitative approach and makes use of descriptive research tools. According to the findings, in contrast to the websites of other industries, such as the manufacturing and logistics industries, where customers want to get answers to their questions as quickly as possible and then leave the web page, tourism websites find it more profitable to keep the attention of customers on their websites for longer periods to increase their visibility. As a result, organizations involved in tourism employ multichannel marketing with the assistance of big data to plan marketing campaigns, provide assistance in making the appropriate decisions, create innovations, and personalize customers.
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Keywords:
Multichannel Marketing, Digital Marketing, Big Data, Social-Media, Tourism
I. Introduction
Tourism is one of Indonesia's largest foreign exchange-earning sectors. In 2019, the Indonesian tourism sector is targeted to receive 20 million foreign tourist visits, and the targeted number of foreign tourist visits has increased compared to the 2018 target of 17 million visits [1]. Entering the second semester of 2019, the target for foreign tourists visiting has changed from 20 million visits to 18 million visits [2]. The increase in targets from 2018 to 2019 indicates that the government believes tourism in Indonesia has a great opportunity to develop.
Based on The Travel & Tourism Competitiveness Report launched by the World Economic Forum (WEF) in 2019, Indonesian tourism ranks 40th out of 140 countries in the world and 12th out of 22 countries in Asia Pacific [3]. The placement of the order is reviewed from the 14 components of the assessment. In this assessment, Indonesian tourism has the lowest score on tourist service infrastructure with a score of 3.1 out of a full score of 7. The best score for Indonesian tourism is in the price competitiveness sector with an acquisition of 6. 2 of 7 [1].
The ranking achieved by Indonesia in the report shows that Indonesian tourism has high competitiveness against other countries' tourism. The high potential for culture and local wisdom that Indonesia has in the field of tourism is a form of tourism potential in the future [4]. In addition, tourism development cannot be separated from the intervention of local governments which have a role in advancing tourism in their region [5].
Tourism, like technology, is a global force that has helped increase the amount of information created in recent years. That is, tourism is not an industry that is completely separate from the digitalization that society has experienced in recent decades [6] . It is one of the best examples of this trend. This is because tourism services require a lot of information for their activities. This,
together with other factors such as the number of international tourists, changing tourist habits, and the emergence of more flexible and collaborative tourism resources, have created the perfect environment for the emergence of Big Data (BD) in this sector [7].
The scenario above shows why there is Big Data (BD) in the tourism industry. If the data is properly extracted, organized, and analyzed, it can be used to make decisions in business and tourism destination management. The concept of smart tourism [8], is based on ICT infrastructure and services (social media, sensors, mobile devices), which determine the ability to create knowledge and, by extension, the competitiveness of destinations [9].
In summary, in a global, digital, and more competitive context than ever before, the application of Big Data analytical techniques is justified as a tool for responding to the new needs of tourists, allowing them to offer better travel experiences [10], creation of contextual offers, creation with products and services and provide value in real-time [11]. Currently, the next step for the tourism sector to take is to capitalize on its privileged position in terms of the quantity and quality of available data, to continue to be a pioneering sector in the use of ICT tools and applications.
Despite the recognition of the opportunities offered by Big Data, research on how tourist destinations can leverage the large volumes of data generated by tourists for value creation is scarce and requires further analysis [12].
Utilizing the power of prominent social media platforms is a wonderful approach to increase communication and accomplish branding objectives in the modern period when the economy is shifting towards being information-based. This is especially true in the digital era [13].
Internet-based channels give businesses a new way to develop a tailored image of their brand and gain a comprehensive perspective of their customers, both of which are important initial steps toward making their company more approachable and visible to potential clients. The most recent trend in corporate marketing is a shift away from traditional marketing tools and toward social media methods, which make items or services more useful [14]. A multi-channel marketing strategy is vital for obtaining a feel for the industry, driving traffic, and figuring out what the next trend will be. Examples of multi-channel marketing strategies include retargeting campaigns and targeted advertising [15].
Many studies have taken an interest in advertising on social media platforms since it is regarded as an effective route toward client purchase intention and brand loyalty. The usage of advertising on social media was determined to be one of seven recurring themes in an analysis that Knoll carried out on empirical research involving fifty-one different studies [16]. According to [17]., promotion and advertising activities are one of the most prominent topics and trends in academic circles, which indicates the need for additional research [17]. The tourism industry is undergoing a digital transition, which is opening up many new opportunities for the development of more effective multichannel digital marketing strategies. These opportunities are made possible by the proliferation of mobile apps, websites, and social media platforms.
II. Methods
The author employs a qualitative research method, which is a research method based on postpositivism used to research natural object conditions, where the researcher acts as a key instrument, for data collection techniques carried out by a combination of observation, interviews, and documentation, where the results of the data obtained tend to be qualitative data, for inductive data analysis, and where the results of this qualitative research can be potentiated. [18]. This study employs a qualitative methodology to describe the optimization of multichannel digital marketing in the tourism industry via big data analysis. Secondary data sources consist of policy documents, previous study outcomes, reports, exposures, and other pertinent secondary sources. This study is more of a desk-based character since it examines problems to be dissected more completely through descriptive analysis.
III. Result and Discussion A. Multichannel marketing
To keep up with the ever-changing nature of the social media landscape and match customer expectations, the new digital ecosystem needs to be updated frequently. Businesses that want to
take advantage of social media branding are always on the lookout for better audience-targeting strategies. Building a comprehensive user persona can be challenging, but it is necessary for developing a successful multi-channel marketing strategy [19]. By tracking a company's traffic to see what channels its customers frequently switch between, market participants can reclaim lost ground and revive their operations. Gaining new followers and influencing the friends of new followers are the two main effects of using social media platforms, making them an essential business tool for increasing sales potential and brand communication [20].
Monitoring the customer journey has become more challenging than ever, making it difficult for businesses to implement the best multichannel marketing strategy. A growing number of tourists are looking for tailor-made social media marketing initiatives in the tourism sector [21]. Customers are more interested in methods of engaging with the brands they support beyond just making a purchase. Developing a robust and strategic plan that is more tailored to the individual is essential to this procedure. Effective personalization requires updates to tailored advertising in light of consumers' increasing use of digital media [22].
People's frequency of use of digital services has increased as a result of COVID-19, which has led to an increase in their expectations for tailored experiences. A number of factors, as outlined by [23], make it possible to enhance customer experience management and provide a better overall service to customers. These factors include the degree to which customers are innovative, the amount of experience they have using the internet, and the amount of experience they have using various channels. This indicates that the tourist sector is constantly coming up with new ideas, such as the usage of mobile applications and virtual reality, which make tourism services easier to use and increase the consumer experience as an alternative to brand building. Some examples of these innovative ideas include The personalization of advertising on social media as the default way for customers to connect with companies which will alter digital marketing. This personalization will occur in the context of social media. The standard, one-size-fits-all approach to advertising is being phased out in favor of more personalized marketing strategies that not only satisfy but also go above and beyond what customers require and anticipate. The number of customers who convert and create leads rises in tandem with the increasing sophistication of targeted advertising. Because of this, conventional advertising strategies that aim to appeal to everyone will have less success [24].
As a result of the significant amount of time that people spend online today, there is plenty of touchpoints, some of which are found on various social media sites. Because of this, firms have a tough time finding ways to coordinate the many aspects of their marketing activity across different platforms. In addition to this, as customers have become more educated, the winds of change have shifted the baseline from companies that are not environmentally friendly to companies that take a more sustainable approach to enhance their brands. This shift has occurred as a direct result of consumers becoming more knowledgeable [25]. Tourism businesses that construct their operational strategies on environmental, social, and governance principles have a greater chance of securing repeat customers among their clientele. Businesses perform at their highest levels when they adopt an all-encompassing and long-term strategy that amplifies the positive effects of their goods and services on a wide range of stakeholders, including their workers, clients, vendors, and communities. Everyone, from tourists to those who make a living in the tourism industry to those who invest in the sector, is getting excited about this trend [26]. To offer tailored marketing campaigns that are focused on sustainability, which will become a new source of competitive advantage, businesses need to decarbonize their advertising and reduce their environmental imprint.
This multichannel marketing strategy has several benefits for businesses, including:
a. Practical & Efficient. You can reach audiences from various channels. This way your product can be seen by many people in a short time.
b. Broad Reach. Every type of business, whether it is engaged in selling products or services, certainly has the same vision and mission, namely to reach as many consumers as possible.
And in the digital era like today, it makes it easier for businesses to reach consumers, given the existence of advanced technology and the internet. Both of these factors can be maximized to reach consumers broadly. Easier and also practical.
c. Flexible. Because it is operated online, digital marketing is certainly very flexible and can be managed anywhere and anytime according to individual needs. From what has been explained above, it is very clear that marketing strategies, especially for multi-channel, do offer a lot of
advantages and benefits for businesses. So, it's no wonder that this one marketing strategy is indeed widely applied today.
d. Increasing Sales Figures. When more and more consumers can be reached, it will certainly have an impact on increasing sales figures. So ofcourse this will have a positive effect on the company or business itself.
B. Optimizing Multichannel Marketing by using Big Data in the Tourism Sector.
The World Economic Forum forecasts that by the year 2025, digitization will generate large amounts of foreign cash for the country in the travel, tourism, and aviation industries. The advancement of technology encourages innovation and expansion, which enables enterprises in the tourism industry to replace traditional tourism with an approach that is more human-centered and personalized. The use of technology, such as the explosion of social media, provides resources and experiences that modify vacation habits all the way through. In this way, travel agencies can keep up with the competition.
Some people who use the internet are eager to share their personal travel stories with strangers or with persons who are not in their immediate social circle. Because of this, customers should factor social media into their decision-making processes because it can alter consumers' perceptions and impact their choice of travel locations [27]. Therefore, it is clear that by collecting data and analyzing it, businesses in the travel and tourism industry can spot behavioral trends, allowing them to craft more comprehensive and targeted marketing campaigns [28].
Without a question, social media and tourist marketing present a tremendous opportunity for the tourism sector to expand and improve both its current and future activities and trends. Social media analytics provides brands with information that may be used to boost customer interaction, acquire a competitive advantage, and conduct better tourism-related business. One of the primary worries regarding the prevalence of social media platforms relates closely to cultural norms [29]. It would appear that local culture is the barrier that social media is least successful at breaking down when compared to other international barriers. People not only run the risk of losing their native identity and adopting a cross-cultural identity, but they also run the risk of coming across posts that are in opposition to the cultural values that they hold. Nevertheless, one thing is certain: social media is here to stay. Businesses that are able to adapt to change, regardless of how difficult the change may be, will be the most competitive [30].
To attract customers, it is necessary to understand their preferences. Therefore, tourism businesses require Big Data (BD) support. The goals of Big Data and digital marketing are closely intertwined. Big Data works to improve traffic by targeting the proper individuals based on social media data analysis; this also aids tourism marketing. Similarly, the objective of digital marketing is to boost revenue and the number of customers through the use of precise and effective plans and techniques. To achieve the objective, a deeper analysis of the tactic is required. Not all businesses and agencies, however, have integrated Big Data into digital marketing. Please note that the relationship between the two is extremely beneficial to the operation of the business.
a. Helps Design Better Marketing Campaigns. One of the uses of Big data in targeting customer needs and developing informative content is to collect information about customer behavior by utilizing cookie files. Cookie files are a collection of information about customer activities when carrying out their activities on the internet. In this case, marketing can also be carried out effectively because there is no need to guess in determining customer desires, and can increase productivity. Tools for analysis are also important to note because they can ensure providing valuable data and actionable insights.
b. Helping the Right Decision Making. The main goal in doing business is to be able to bring in customers and be able to increase company profits at the same time. By using Big Data in digital marketing, it can help you make pricing decisions as detailed as possible. Because in the business-to-business (B2) sector, there are transaction activities that are different from before and after making transactions. For example, when a customer has bought your product, a question will arise, 'can they be able to buy this product every month?' Another advantage is that it allows you to save time and get more accurate insights and less chance of errors.
c. Opening New Business Innovations in the Future. Several years from now, all companies will compete with each other to implement Big Data in their marketing activities. With assistance in
analyzing data accurately and precisely, these datasets will provide new and valuable insights about customers. So that the information obtained can be an evaluation and also innovation in products that can be created. With the help of digital marketers too, they will find out how often customers buy a product and find out the payment method.
d. Optimizing Business Performance in a Personalized Way. The most important thing in marketing is consistently engaging customers. Digital marketing activities are not easy, because the activities are widely spread so that many customers can see your business campaign activities. If you apply Big Data, then marketers will be assisted in choosing the right person or what is called customer personalization. Personalize the activities of sending your business product offers to the intended person, either via message or email marketing. For example, when a customer opens a tourist site page, analysis of data will occur. This analytics data will record all traces of the customer's browsing. The more they open and search, the more you can show relevant content based on their browsing history.
Without big data, a company is blind and deaf because it cannot hear consumer wishes and see future trends in the tourism industry. Marketing is one of the important factors that can use big data analytics for the needs of preparing a company's marketing strategy. If you are engaged in marketing, big data can provide 3 important pieces of information in the form of customer data, financial data, and operational data. Each of these data is obtained from different sources and stored in different formats.
In the future, Big Data will become an integral tool in business and an essential component of digital marketing. Analyzing the data that has been collected becomes useful data for making the right decision. With Big Data, travel companies bring brands closer and become the choice for them in meeting their needs. This is an increase in starting to learn Big Data in helping multichannel marketing activities.
After using Big Data to assist multichannel marketing activities, optimization requires a strategy. Then what are the strategies that need to be done, the authors describe as follows:
a. Understand the target audience. To carry out a multichannel marketing campaign, you need a deeper view of the target audience. You must gather enough insight into your audience through market research to create an in-depth buyer persona. These personas will outline which channels your audience prefers to use, and which ads they're likely to prefer, and include relevant demographic information.
b. Build a multichannel chat platform. Building a multichannel chat platform can integrate everything more effectively and efficiently. This makes it easier for you to create a single campaign which can then be replicated across multiple channels. This method can reach the target audience through the right offers and also from the right channels. Marketing analytics will also help you evaluate the channels leading to consumer purchases. Not only does this drive marketing attribution, but it also helps you gather relevant customer behavior information across channels.
c. Create a consistent customer experience across all channels. Customer experience is one of the strongest competitive differentiators. The quality of the customer experience is important, as is consistency. That's because your customers will experience the customer experience from your brand as a whole whether interaction in-store, online, by telephone, or a combination of these.
If you treat each channel as a distinct entity, you run the risk of driving customers away from the business.
d. Create Consistent Messages. Consumers are more likely to remember your brand if the message you convey is consistent. However, that doesn't mean you have to bombard subscribers with repeated messages from channel to channel. Instead, you must build a consistent brand image and an attitude that remains consistent across channels. Additionally, creating a strategy that brings together campaigns from multiple channels creates opportunities for more impactful messaging.
IV. Conclusion
Because clients have become more accustomed to receiving better service in this digital era, tourism businesses are finding it increasingly difficult to stay up with the most recent developments
in hospitality marketing. The guest experience is now less linear and more fragmented as a result of the digitization of travelers. Despite this, travel companies may now reach their clients directly through social media and different touchpoints, which makes social media management a crucial component of the entire online journey of a customer. Emerging technologies, such as mobile social media, are making it possible for sectors to better satisfy the needs of the market by providing seamless and personalized consumer experiences through highly targeted advertisements.
Even relatively obscure firms that make use of data-driven processes like social media analytics, for example, have a good chance of developing long-term development drivers. Hospitality companies that put an emphasis on the lifetime value of their customers can utilize tailored social media advertising in conjunction with multichannel digital marketing to boost their income, improve customer retention, and build brand awareness. Using Big Data in designing marketing campaigns, helping to make the right decisions, making innovations, and personalizing consumers, will help in terms of optimizing multichannel digital marketing.
References
