Raya Matar - 150677596 - Destination Branding, Tourists Intentions, and Travel Motivations

MSc Marketing 2015-2016 WHAT MOTIVATES YOUNG ADULTS TO VISIT AN UNPOPULAR DESTINATION? STUDENT NAME: Raya Matar STUDENT ID: 150677596 SUPERVISOR: Dr. Dimitrios Dousios Date of submission: 1 st of September 2016

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ABSTRACT Destination branding has increased enormously during the past few years, as every individual, especially young adults, seek for a getaway during their holidays. Current literature focuses on how to brand a destination, promising a memorable and unique experience. However, there was less emphasis on branding unpopular destinations and examining what influences and motivates young adults to visit a certain destination. Hence, this research aimed to further improve this area of study through studying whether digital destination branding, WOM, and eWOM can influence and motivate young adults to visit an unpopular or unknown destination. Accordingly, in order to proceed with the study, semi- structured interviews were conducted with young adults, through a qualitative study, aiming to understand their motivations towards choosing a perfect holiday destination. The findings supported the importance of social media and websites, WOM, and eWOM in influencing young adults' intentions and motivations towards a certain place, even if it is not popular. This research contributes by adding to existing literature, while providing implications to marketers and future research areas regarding destination branding. 4

TABLE OF CONTENTS CHAPTER 1- INTRODUCTION ................................................................................................. 7 1.1 Background .......................................................................................................................... 7 1.2 Research Problem and Objective ......................................................................................... 7 1.3 Research Questions .............................................................................................................. 8 1.4 Thesis Structure ................................................................................................................... 8 CHAPTER 2- LITERATURE REVIEW ..................................................................................... 9 2.1 Destination Branding ........................................................................................................... 9 2.2 Advantages of Destination Branding ................................................................................. 10 2.3 Digital Destination Branding ............................................................................................. 11 2.4 Why are Some Destinations Popular? ................................................................................ 13 2.5 Word of Mouth, Electronic Word of Mouth, Experiences and Emotions ......................... 14 2.6 Elaboration Likelihood Model, Theory of Reasoned Action and Information Adoption Model……………………… ......................................................................................................... 16 2.7 Challenges of Destination Branding and Unpopular Destinations .................................. 19 CHAPTER 3- METHODOLOGY .............................................................................................. 21 3.1 Research Philosophy .......................................................................................................... 21 3.2 Research Approach ............................................................................................................ 22 3.3 Research Design ................................................................................................................. 22 3.4 Sampling…………………………………………………………………………… ........ 24 3.5 Reliability and Forms of Biases ......................................................................................... 25 3.6 Strategy for Data Analysis ................................................................................................. 25 3.7 Ethical Considerations ....................................................................................................... 27 CHAPTER 4- ANALYSIS AND DISCUSSION ....................................................................... 28 4.1 Overview of the Sample ..................................................................................................... 28 4.2 Main Themes ..................................................................................................................... 30 4.2.1 Digital Destination Branding .............................................................................. 40 4.2.2 WOM .................................................................................................................. 41 4.2.3 eWOM ................................................................................................................. 42 4.2.4 Popular vs. Unpopular Destinations ................................................................... 44 4.2.5 Intentions Towards a Touristic Place .................................................................. 46 4.3 Discussion……………………………………………………………………… .............. 46 4.3.1 Summary of Findings .......................................................................................... 48 4.3.2 Discussion ........................................................................................................... 49 CHAPTER 5- CONCLUSION .................................................................................................... 54 5.1 Managerial Implications .................................................................................................... 54 5.2 Limitations………………………………………………………………… .................... 55 5.2 Future Research ................................................................................................................. 55 REFERENCES ............................................................................................................................. 57 5

CHAPTER 1: INTRODUCTION 1.1 Background Travel is the best education that enriches an individual's personality, getting to know different cultures and languages. Nowadays, almost everyone seeks to discover new places. Hence, there are many sources to get information about a certain destination such as travel agencies, the country using marketing strategies to brand itself, social media platforms, or even people who have been to a certain place, can provide information online or offline about a country or city. 1.2 Research Problem and Objective Destination branding is considered a new area of study where researchers appear to focus mostly on how marketers can brand a destination and differentiate it from other places through developing memorable experiences. However, it seems that there is a lack in research about whether branding an unknown destination through social media and websites, WOM, and eWOM can influence young adults' intentions and motivations to travel to a frequently unvisited place. This gap will be informed through the following research according to current literature. Accordingly, the objective of this research is to explore influences of destination branding, namely Social Media and Websites, WOM, and eWOM, on young adults. 7

1.3 Research Questions According to the purpose of the research mentioned previously, the following research questions are examined: 1. Can digital destination branding influence young adults' (18-29) intentions and motivations to visit an unpopular destination? 2. Can WOM influence young adults' (18-29) intentions and motivations to visit an unpopular destination? 3. Can eWOM affect young adults' (18-29) intentions and motivations to visit an unpopular destination? 1.4 Thesis Structure This research is discussed in 5 chapters. Chapter 1, the introduction, provides a background, stating the research problem, purpose, and research questions. Chapter 2 investigates the current literature on destination branding, emphasizing on advantages of destination branding, digital destination branding, reasons for popular destinations, WOM, eWOM, emotions and experiences, linking back to some theories, while outlining the challenges of destination branding and unpopular destinations. Chapter 3 discusses the methodology, underlining the research philosophy, approach, design, sampling, reliability and forms of biases, and strategy for data analysis. Chapter 4 analyses the findings and discusses the key results achieved. Finally, Chapter 5, conclusion, outlines managerial implications, limitations, and provides recommendations for future research regarding the subject. 8

2.2 Advantages of Destination Branding Many marketing campaigns were established to brand a destination since place branding has many benefits. These campaigns helped in transforming places into brands which led to an increase in investments and enduring social and cultural benefits (Hankinson, 2007). Hence, a city that is able to market itself and communicate effectively leads to social and economic improvements. Therefore, it is for the city's advantage to attract the attention of as many people as possible. Moreover, destination branding communicates the verbal and visual expressions of a destination brand providing value to the place (Northover, 2010). As well, branding a destination leads to increase in sales (visits) and brand credibility (Bîja & Balaş, 2014). On one hand, the aforementioned are measured as some benefits for the place branded. On the other hand, destination branding provides advantages as well to travelers that are motivated to find a new getaway. According to Clarke (2000), there are other advantages for destination branding. First, branding a destination efficiently helps in reducing the choices of destinations a consumer has, diminishing the extensive information search and simplifying the purchase decision process that is considered to be complex. Second, branding can be used to decrease intangibility, meaning that the consumer will become more familiar with the place to be visited through the symbolic connotations and physical characteristics. Third, consistency can be achieved over time through branding, especially in an unpredictable touristic sector, promising consumers that their expectations will be met. Fourth, branding can also help in diminishing the risk of making a poor holiday choice, and avoid the economic losses. Furthermore, branding plays an important role in ensuring satisfaction to tourists through segmentation, clarifying if the destination fits a particular segment or not. In addition, place branding helps in showing consumers the cultural features of the place, understanding 10

the people living in this place, and learning the value created about the place through experience (Campelo, Aitken, Thyne & Gnoth, 2014). 2.3 Digital Destination Branding Searching for information is important for choosing a touristic destination. The internet became an important tool for tourism purposes (Xiang & Gretzel, 2010). Visitors coming back to the same place or even new visitors may not require additional information from external intermediaries such as travel agencies. Accordingly, this is due to easier online bookings and price transparency that increased the demand for travel products, increasing consumers' purchase online because of the reduction of costs (Jacobsen & Munar, 2012). Therefore, the digital age made it easier for tourists to find all the information related to their desired destination brand. Accordingly, Chaffey and Smith (2008) stated: digital marketing "is getting closer to customers and understanding them better, adding value to products, widening distribution channels and boosting sales through running e-marketing campaigns using digital media channels" (p. 13). Digital technologies are used by travelers to research, discover, interact, plan, reserve, and finally share their holiday experiences online through many channels such as blogs, websites and social media platforms (Oliveira & Panyik, 2015). Thus, it was argued that media is considered an important aspect in changing perceptions about a city and providing a good or bad reputation (Northover, 2010). Accordingly, consumers post positive or negative information about a brand or product and share it with other consumers online (Horniks & Hendriks, 2015). For instance, people can send their holiday pictures nowadays through their mobile phones or even use social media such as Facebook and Instagram to share their trip pictures on their profiles (Xiang & Gretzel, 2010) or tweet about their opinion regarding a branded destination (Horniks & Hendriks, 2015). Social media are defined as "internet based applications" that convey content generated 11

consumers to read reviews about a certain destination (Xiang & Gretzel, 2010). Moreover, hotel booking websites such as "booking.com" became a basic requirement for managers who are interested in selling their rooms online and compete through websites in order to succeed, having an opportunity to post all the facilities it provides for its clients. As well, websites are used to facilitate the booking of the air ticket online (Inversini & Masiero, 2014). Hence, an effective website prompts the aspiration for travelers to acquire more and visit the destination and not only shares information about it (Litvin, Goldsmith & Pan, 2008). As a result, even though digital destination branding is time consuming, it can help in increasing sales and exposure through images; encouraging the destination's reliability by its strong online presence, having quick access to travelers' feedback and building a durable business-client relationship (Bîja & Balaş, 2014). Therefore, digital place branding can be an important aspect of a country or city's reputation, increasing the number of visitors per year, and even encouraging travelers to add it on their bucket list. 2.4 Why Are Some Destinations Popular? People aim to choose a popular destination for tourism, which is a well-known place visited by a lot of travelers, depending on different factors. Food tourism became an important tourism attraction, since food lovers will have the opportunity to try new types of food during food festivals where the local specialty is revealed. Thus, the country tries to improve the image of local food and share their culture through food festivals to succeed in destination marketing (Lee & Arcodia, 2011). Another destination might be popular because of its low costs. Place branding helps in lowering costs through changing the behavior of tourists and finding an affordable holiday destination (Oliveira & Panyik, 2015). Moreover, strong and positive images towards a destination motivates people to visit it (Cai, 2002), being a popular destination characterized by developing a unique and clear image 13

in the minds of visitors, as well as by building consistent and reliable messages through all digital media networks (Oliveira & Panyik, 2015). Hence, having consistent brand elements (such as brand name, logos, URL's and slogans) will help in developing a brand image, creating a brand identity for the destination online, where consumers will be able to retrieve the country or city from their memory or recognize it through pictures and videos online (Cai, 2002). Brand identity is generated when a place has characteristics that distinguish it from alternative destinations (Ruzzier & De Chernatony, 2013). Accordingly, destinations are known to be of great value and popular when a celebrity visits the destination and posts pictures about their holiday or when a celebrity encourages people through advertisements to visit the city, influencing the image of the destination because of the exceptional attention given to this celebrity, since he/she is perceived to be superior to others (Glover, 2009). Furthermore, a destination that creates a memorable and unforgettable experience is considered well-known if it is consistent with its positioning such as "What Happens in Vegas Stays in Vegas" which was used to brand Las Vegas and is still a popular destination to visit. Another reason to classify a destination as popular is when a place is known for being touristic since they offer distinctive and unique attractions (Hudson & Ritchie, 2009) such as the London Eye or Big Ben in London or the Eiffel Tower in Paris that everyone is curious to visit. 2.5 Word of Mouth, Electronic Word of Mouth, Experiences and Emotions Word of mouth (WOM) is considered an important information source in the decision- making process of a traveler. It is defined as the process of sharing information and opinions that affect the buyer's decision towards a brand or product through face to face communication and recommendations (Litvin, Goldsmith & Pan, 2008). A tourist selects a destination based on what he/she grasps about a place from a friend, family member, or even 14

Consequently, emotional responses are created towards a destination from experiences of joy, pleasure, satisfaction, or sadness, shared among consumers through WOM and eWOM (Litvin, Goldsmith & Pan, 2008). Hence, WOM can be used by travelers either online (eWOM) or face to face (WOM) to share their experiences and emotions towards a destination and create an image in the mind of other travelers that motivates and triggers the possibility of a decision to be taken. 2.6 Elaboration Likelihood Model, Theory of Reasoned Action and Information Adoption Model Linking destination branding and the research questions addressed to some theories, Elaboration Likelihood Model (ELM), Theory of Reasoned Action (TRA) and Information Adoption Model (IAM) will be discussed. To start with, ELM is known as a persuasive dual processing model which forms and changes attitudes through two routes, the central route process or the peripheral route process. The former demands high effort of thinking and research, being cognitive, as it involves high motivation and the ability to change attitudes, related to the characteristics a destination has to offer. On the other hand, the peripheral route is also known as the emotional route, which is affective, forming attitudes towards a product (Petty & Cacioppo, 1986), including peripheral symbols such as music, images, attractive sources, and celebrity endorsement. Hence, the brand image of a destination can be either cognitive (beliefs or knowledge about a destination brand) or affective (feelings or emotions towards a destination brand) (Hosany, Ekinci & Uysal, 2006). This depends on whether the individual searches extensively for information about a destination or gets affected emotionally through images, videos or even prior experiences posted online. Consequently, ELM can be linked through the peripheral route to the research questions related to digital destination branding where images online, as well as WOM and emotions of others, might affect young adults' intentions towards an unpopular destination. 16

Another theory that can be linked to place branding is the theory of reasoned action (TRA) shown in figure 1 below. According to Fishbein and Ajzen (1975), TRA is the opinion an individual has towards an outcome, which are his/her attitudes, as well as the beliefs others hold towards a certain behavior, referred to as subjective norms, that motivate people through pictures, WOM, or eWOM, to conform with the views of others, intending to perform a behavior. Hence, this attitude will predict a behavioral intention. Furthermore, prior experience will intend for a behavior to take place. Thus, attitude toward visiting a destination and subjective norms determine the intention to travel to a certain destination (Reza Jalilvand & Samiei, 2012). However, not all intentions lead to behavior (Sheppard, Hartwick & Warshaw, 1988), due to many factors that will be discussed, such as lack of time, money, or political instability. Lastly, IAM (figure 2) is defined as the quality, credibility, and usefulness of information that leads to information adoption which means acquiring information (Sussman & Siegal, 2003). For instance, eWOM should be of good quality (reliable websites) and credible sources (family, friends, or celebrities) in order to be useful and adopted by many online users. Linking back to the research question, IAM can be related to acquiring sincere eWOM and WOM that can influence young adults' intentions towards choosing a certain unpopular destination. Accordingly, IAM can be integrated in both ELM and TRA. As 17 Figure 1:

2.7 Challenges of Destination Branding and Unpopular Destinations Branding a destination pinpoints some challenges. Some online websites try to change the tourists' perception about a country or city. However, this is considered complex and time consuming (Oliveira & Panyik, 2015), since marketers cannot really control, communicate and create a destination's brand identity (Skinner, 2008) due to technological advances such as social media and eWOM. Another challenge is that an individual cannot test and try the destination before making a choice like most products, which makes it harder for marketers to brand a destination since it is intangible and expensive, leading to a difficult purchase decision-making (Cai, 2002). Moreover, lack of money to fund for destination branding and marketing campaigns, such as Portugal which faced an economic and financial breakdown, is considered also a challenge (Oliveira & Panyik, 2015). Furthermore, people have negative perceptions about certain destinations (Skinner, 2008) for example because of political instability in a certain place discussed on the news, neglecting the special areas in this destination, or because of visual information and stereotypes in movies that influence visit intentions and destination image (Tasci, 2009), resulting in believing that the destination is not popular for tourism purposes. Also, a destination can be unpopular due to ineffective branding such as São Tomé and Príncipe. São Tomé and Príncipe, also known as "paradise on earth", is a small island in Africa by the South Atlantic Ocean, which was colonized by Portugal, thus still speaking Portuguese until now. It is an exquisite, exotic island overflowing with vegetation. It is considered a summer hot spot, especially for beach lovers, as it provides many activities such as boat trips, fishing, scuba diving, and whale watching. São Tomé and Príncipe's beaches are far from crowded since it is an unpopular or even unknown destination for many. It is a calm and safe place to spend a vacation in, since people are known to be friendly (“Sao tome e principe”, 19

2016). Many other destinations are unique and beautiful as well, but they are still not popular due to the factors previously mentioned, not being able to reach a huge mass on social media. 20