What to consider when reviewing or developing new products

All products should be reviewed to ensure market alignment prior to releasing rates and product information for the next season. As a minimum it is worth considering the following:

• Market suitability: Does the product suit the markets that I am targeting? Look at the characteristics and product choices of the customer from this market and is there a match?
  
• Product tailoring: Do I need to make product changes or enhancements to suit certain markets? Small changes to tailor your products can have significantly positive impacts.
  
• Unique selling points: Do you still have a point of difference from your competitors? Review your Unique Selling Points.
  
• Product feedback: What feedback have you received on your products, review your customer’s feedback including websites such as Tripadvisor? Have any of your customers or trade partners provided suggestions for new products or changes? What would your customers like to see?
  
• Product pricing: Is the product competitively priced and does it allow  for all levels of commission? Is the  product profitable?
  
• Location: Are there attractions and facilities nearby which enhance the appeal of your product? Are you promoting the destination as well as your products?
  
• Accessibility: Is your product accessible enough, could you provide better transport links?
  
• Seasonality: Are you open to coincide with peak arrivals from your target market?
  
• Hours of operation: Are they regular and compatible with transport times and do they meet the needs of your markets.
  
• Time: How do you fit into an international itinerary? Consider providing suggested itineraries to demonstrate this?

Have you considered bundling your product?

It is often difficult to attract international visitors to an area outside established destinations as they may have limited time and knowledge of the area. By working cooperatively with your region to promote the destination as a whole, there is a better chance that visitors will take the time to visit.

Work in cooperation with local operators and create a bundle that will make your product more enticing. Bundling refers to aligning and marketing complementary products together to form compelling and unique experiences for the customer. It helps to improve visitation through regions and increase tourist revenue through multiple suppliers offering complementary products, or via single suppliers providing services that complement their core offering. It also assists by offering a stronger commissionable proposition for distribution partners.

Trade shows are the perfect platform to work as a region and showcase to buyers how they can bundle products, or present a pre-bundled product offering. For example if you were a bed and breakfast operator in a wine region, you could work with other operators such as wineries, restaurants, attractions and tours to provide a combined product that could offer the ultimate food and wine holiday experience.

What to consider when bundling products

• Target: Whom do you want to target? What markets/customers?
  
• Inclusions: Based on your customer profiles what package inclusions would appeal to them and at what price. For example a ‘Romantic Package’ for an accommodation provider could include dinner at an exclusive restaurant, or a picnic basket option, a personalised tour or spa treatment.
  
• Time elements: Be careful not to ‘over package’ and remember that some customers enjoy flexibility in their travel choices.
  
• Partnerships: What specific product partners will you need? What agreements will you put in place? Ensure these are mutually agreed and confirmed by legal agreements.
  
• Agreed terms of operation: Work out the logistics with your product partners and include these in the agreement. For example: What period will the product be available, how will you price your product ensuring you allow distribution system commissions, how will the bookings be handled, what booking lead times does each component need, create a specific tour code, ensure all reservations and operations staff are cross trained on each product, ensure all legal and insurance compliances are met.
  
• Branding: Think creatively when naming your bundled product, the name must appeal to the  target market.
  
• Promotions: When your product partners agree on all elements of marketing the bundled product, including what promotional mediums you will use, promotional copy and PR activities, develop a communications strategy to customers and trade partners, what sales activity will be undertaken, what is the marketing budget and how you will jointly review the return on your investment.  These details should also be included in  your agreement.