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Executive Summary

This report evaluates the differences between marketing of products and services. It uses the example of Denmark Dinosaur World to analyze how the four characteristics of elements make it challenging to market the wildlife park. From the exposition, it is seen that the four characteristics namely; intangibility, perishability, heterogeneity, and inseparability present diverse challenges to marketing services compared to products. The bottom-line is that marketing services requires creativity to captivate and communicate with the target customer. The second section of the report segments the market for the Denmark Dinosaur World into geographic, demographic, behavioral, and psychographic attributes. The target customers for the wildlife park are then identified as millennial youths and young adults with families and a disposable income from Australia and New Zealand. These target audience’s exhibit repeat purchase behavior especially during holidays and weekends. The identification of these audiences is backed by their proximity to the park which makes it a perfect getaway for families that love nature. The last section of the report presents an advertisement and an analysis of the AIDA model where the advert is noted to tick all the four stages.

Table of Contents

1.0          Executive Summary  2

2.0          Introduction   4

3.0          Differences between Service and Product Marketing  4

4.0          Segmentation of Tourism Market in South-West Region of Western Australia (WA)  6

5.0          Billboard ad for Denmark Dinosaur World           8

6.0          Conclusion   10

Reference List  11

Marketing and Advertising Case Study for Denmark Dinosaur World

• Introduction

Marketing is an essential activity that not only increases the visibility of a product/ service but also helps a company attract new customers while retaining current ones. To enhance the effectiveness of the marketing campaigns, an organization has to differentiate the characteristics of products from services. In addition, it is essential to segment the market to facilitate targeting and positioning of the product or services (Deepak & Jeyakumar, 2019). Likewise, models such as AIDA have to be used efficiently to reach the target markets. It is upon this understanding that this paper uses the case of Denmark Dinosaur World to discuss differences between marketing a physical product versus a service. The second part segments the market and recommends the best segment for Denmark Dinosaur World while the last section drafts a billboard ad and explains the AIDA model.

• Differences between Service and Product Marketing

Intangibility is the most defining characteristic of a service that differentiates it from a product. Unlike a product which can be tasted, touched, and seen before making the ultimate decision to purchase, services cannot be investigated to ascertain their authenticity and ability to fulfil a particular need (Koti, 2017). This is a challenge service marketing at Denmark Dinosaur World since it is hard for the customers to see, touch, or taste the experience beforehand. This presents a challenge in attracting customers without giving them an experience of what to expect. In such cases, there is need for the marketer to instil confidence in the target and current consumers, while also consistently reassuring them of the benefits they will get from using visiting the wildlife park. There is need for the marketers to present tangible proof of the quality of services to expect. This can be done by having a functional website to showcase the park. Given the intangibility of services, it is hard for customers to switch brands thus less risk of losing loyal customers to rivals. Additionally, because of the intangibility of the service, the service quality is a key differentiating factors that attracts customers. It is important to have a friendly and polite staff that contribute towards a strong value proposition.

Inseparability is the second differentiating characteristic between products and services. Inseparability refers to the impossibility of disconnecting a service from the service provider. Because of this attribute, production of a service, and its consumption have to occur simultaneously (Deepak & Jeyakumar, 2019). This makes it impossible to either store or consume a service at a later date. Considering this characteristic that is unique to services, marketers have to highlight the level of professionalism possessed by the staff. Businesses such as Denmark Dinosaur World can achieve higher quality services by training their employees to offer standard services that retain customers.

Perishability is the third differentiator between services and products. The element of being perishable refers to the inability of a service to be saved, resold, stored, or returned once it is rendered to customers. Given that services are short lived and likely to become obsolete if not used, it is challenging to market them compared to the products. Demand for services can be difficult to foresee and plan for since it is varied by business cycle, season, and time of day. In the case of the Denmark Dinosaur World, it was difficult to foresee a drop in demand before the Covid-19 pandemic (Mochan, 2020). This occurrence made it hard to predict demand and avail the resources required to supply the services required by customers. In such a case, the marketing activities should be time bound. For instance, the customers should be made aware of the importance of visiting the wildlife park within a certain period to get the best services.

The fourth differentiating characteristic between serves and products is variability. This characteristic is also referred to as heterogeneity. It describes the uniqueness of offering services compared to products. For instance, whereas products such as mobile phones can be standardized and produced in mass, it is impossible for firms such as Denmark Dinosaur World to ensure homogenous production of their services (Koti, 2017). The services are modified to suit the specific needs of each customer. At times, the experiences of the customers are varied depending on their expectations. To address this issue, Denmark Dinosaur World has to ensure that it provides quality products regardless of the situation. This way, it will set itself apart from its rivals and stand out as being consistent in satisfying its customer’s needs. In addition, the organization can opt to customize its services to suit the specific needs of each customer.

• Segmentation of Tourism Market in South-West Region of Western Australia (WA)

Segmentation is the process of dividing consumers into groups to facilitate targeting. Tourists visiting Denmark Dinosaur World can be segmented based on demographic, psychographic, geographic, and behavioral grouping. Geographical market segmentation considers the place of origin of the tourists visiting the wildlife park. This approach to segmentation will enable the business owner to familiarize with the local culture of the clients and thus, customize the value proposition to suit their specific needs. In the case of the wildlife park, the target customers are mostly the citizens of WA and New Zealand (Denmark Dinosaur World, 2020). However, the business also attracts international clients from Europe and USA who frequent the town. The second group of segmentation factors demographic dynamics such as ethnicity, occupation, income, gender, age, marital status, religion, and marital status. The demographic for target customers at the wildlife park include households and single parents with a minimum annual total income of $70,000.

The suitable age groups range from 7-18 year olds accompanying adults. Millennial youths age 18 – 28 years. Young adults aged 29-35 years, adults, and senior citizens. The tourist site accommodates all ethnicities, gender, and people from all religions. The third approach to segmenting the consumers visiting Denmark Dinosaur World is psychographic. This approach considers the psychological factors behind the customers visit to the park. It is widely observed that wildlife parks attract nature lovers. These are customers interested in experiencing the therapeutic connection with nature while reminiscing over the history of mythical animals such as the dinosaur (Cho, Bonn & Brymer, 2017; Dino, 2017).  The customers can further be segmented based on their behavior. In general, most businesses love customers with repeat purchase intentions. In the case of Denmark Dinosaur World, the most attractive customer segment is composed of people who frequent tourist attraction sites as a form of leisure. Their behavior is further defined by a liking for social media and showcasing of their lifestyle to friends and family.

Considering these factors, Denmark Dinosaur world should target customers based on behavior. It should identify customers who frequent the park and introduce programs that encourage repeat purchases of the service. In addition, the business should relate more with nature lovers who prefer posting their visits to the wildlife park. Given the proximity of the local tourists, it is important that the marketing is focused on attracting local tourists from Australia, and New Zealand. These customers have easier access to the park and could be a source of regular income. Another factors to consider is the age grouping of the customers. According to Dolnicar (2019) youthful millennial, and young adults have more disposable income. They are a suitable segment to target because they value experiences more than the older generations. These recommendations are informed by the positioning of Denmark Dinosaur World against its rivals. The positioning of the business is summarized in the positioning map in figure 1 below. The positioning map consider quality and pricing of the services at Denmark Dinosaur World versus its local and international rivals.

Figure 1: Positioning Map (Denmark Dinosaur World, 2020)

• Billboard ad for Denmark Dinosaur World

Figure 1: Advertisement Poster (Dino, 2017)

AIDA model details four stages of an advertisement, namely; attention, interest, desire, and action. The model describes the cognitive stages taken by a customer while going through the purchasing experience for a service or product. A look at the advert evidences its ability to attract attention, stimulate interest, trigger desire, and ignite action. Backed by this analysis, the advertisement ticks all the stages of the AIDA model (Fatima & Khan, 2017). The objective of the advertisement is to reignite the interest of current and potential consumers in visiting the Denmark Dinosaur Park. The advertisement is aimed at communicating and reminding the customers that there are wild experiences for them at the wildlife park. The picture is particularly selected to engage the customer and show them the experience they should expect. The poster communicates about the visit to the Rex dinosaur which is a rare and extinct creature that is only represented in films. The intended target audiences is general public, but mostly to the families with children.

• Conclusion

This report identifies the four characteristics that differentiate products from services therefore making it elusive to market and target customers. These characteristics include heterogeneity, inseparability, intangibility, and perishability. These factors make it difficult to market services. To counter these challenges, Denmark Dinosaur World requires a creative approach to marketing that targets viable customer segments. The paper segments customers based on geographic, demographic, behavioral, and psychographic dynamics where the best segment to target include youthful families with disposable income and a preference for repeat visits to wildlife parks. The positioning map evidences the positioning of the wildlife park against rivals. This positioning informs the message on the advert welcoming families to the wildlife park. The advertisement is designed in line with the AIDA model thus it satisfies all the four stages of the model.