While the future of destination marketing is poised for significant evolution, there are also a number of key areas that DMOs should capitalise on to keep track of the latest trends.
So said Stewart Smith, MD of MEA at Sojern – a travel marketing platform designed to boost growth and profitability for the travel industry – which recently conducted a ‘State of Destination Marketing 2024’ study where it gathered critical insights into the strategic decision-making of destination marketing teams.
The study’s findings were obtained from April to September 2023, through a globally distributed survey, as well as expert views and case studies. The study had been carried out with the insights provided by destination marketers from more than 300 DMOs, government departments, and chambers of commerce from across the world.
The importance of first-party data
In the study, 54% of all respondents stated that data provided the most value in marketing planning, and DMOs were having to adapt to tighter data privacy regulations and the increasing significance of first-party data in its strategies.
“The introduction of stringent privacy laws, like the General Data Protection Regulation, has had a significant impact on 37% of DMOs surveyed. Additionally, the likely phase-out of third-party cookies by Google in 2024 is a major consideration,” Smith told Tourism Update.
He added that the ability to accurately track user data was a primary concern for DMOs.
“The emphasis on collecting and utilising first-party data has intensified. DMOs are increasingly relying on direct channels, such as their websites and newsletter sign-up forms, to gather this valuable information. Partnering with a trusted travel marketing expert who offers high-quality data that can be seamlessly integrated and activated across channels and devices is also recommended to mitigate the effects of these data privacy changes.”
There is also a growing interest in exploring new mediums, such as voice technology, and establishing partnerships with similar organisations and tourism boards.
Furthermore, 60% of respondents believe that focusing on social media content is a viable approach to circumvent the challenges posed by stricter legislation. Platforms like Meta offer their own tracking technologies, which can assist DMOs in devising effective strategies within the confines of new privacy laws.
Environmental and social goals
Smith noted that the tourism industry was increasingly prioritising the long-term sustainability needs of destinations over short-term growth and volume, and when it comes to sustainability, DMOs are not only focusing on environmental impact but also on societal wellbeing.
“Many DMOs today are committed to demonstrating a positive impact through tourism for local residents, while marketers have become increasingly conscious of the importance of representation in marketing. Around 35% of respondents said that LGBTQ+- specific strategies (i.e. sexual orientation) were strongly prioritised, with similar importance (34%) placed on promoting social and economic diversity. Nearly half (42%) of DMOs strongly state that addressing gender equality (i.e. female equality) in their strategies is a priority.”
Smith further added that DMOs should adapt to challenges such as climate change, economic uncertainty, and social diversity by becoming purpose-driven.
“Capitalising on emerging trends ensures that DMOs are well positioned to succeed in the years to come. Focusing on sustainable tourism practices includes developing regenerative tourism activities, reducing environmental impact, and promoting social and economic sustainability. Making Diversity, Equity and Inclusion (DEI) a priority means representing and prioritising different groups of visitors in marketing activities. It’s crucial to reflect that destinations are welcoming to all.”
Advantages of collaborative marketing campaigns
Smith believes that co-op marketing, a collaborative approach where DMOs partner with local business stakeholders to promote travel destinations, should be a top priority for DMOs.
“78% of DMOs surveyed are actively investing in campaigns with industry partners. It presents a strategic way to maximise marketing efforts, especially in the context of a cost-of-living crisis. Co-op marketing involves DMOs collaborating with local tourism partners to collectively promote a region to potential customers. By pooling resources, these partnerships can extend their reach and impact, effectively targeting larger audiences more efficiently than individual efforts. This joint marketing effort is particularly vital in times of economic strain, where maximising reach and effectiveness while minimising costs is essential.”
What’s holding DMOs back?
DMOs are facing notable challenges in digital marketing efforts, primarily centred on content engagement and performance measurement.
“Firstly, the creation of highly engaging content stands as a primary concern. DMOs strive to craft compelling and captivating material that resonates with their target audiences. This challenge requires a deep understanding of audience preferences and trends as well as creativity and strategic planning.
“Secondly, there's the issue of effectively measuring success against key performance indicators (KPIs). DMOs need to accurately assess the impact and effectiveness of their marketing strategies, which involves navigating an array of metrics and data analysis tools. This is crucial for refining strategies and ensuring a good return on investment,” said Smith.
He concluded that DMOs were more concerned about the economic aspects of marketing across various formats and mediums.
“This includes considerations about budget allocations, cost-effectiveness, and adapting to changing market conditions and consumer behaviours. These economic realities often dictate the scope and approach of their marketing efforts. Sojern’s Economic Impact report, for example, helps showcase how DMO marketing campaigns are boosting visitation and tourism revenue, including data on flight and hotel trends, device usage, trip purpose etc.”
