Salem is a destination for about 800,000 people each year. This city has a deep history, which goes back into the 17th century and is famous for its legendary witch trials. Most people know Salem from this perspective and associate it with a historical and cultural heritage.
In addition to its historical events, Salem has much more to offer. In particular, the newly restored Peabody Essex Museum, the House of Seven Gables, an engaging seaport past, etc. are remarkable and unique places to visit. However, most tourists come during the Halloween events and stay away for the rest of the year.
Nonetheless, Salem is also internationally a known city. It should only be promoted including its true values and real heritage. Its image should be enriched and revived in order to get more consumers over the whole year.
The following consumer audit will determine potential target markets for Salem, and emphasize on particular one, which should be addressed during the next campaign. One particular target audience, which had been neglected over the years by most marketers will turn out to be the most attractive to choose. Its expenditure and consumption behavior will be studied and the decision process discussed.
The product itself, its positioning, distribution, and post purchase factors will be emphasized and brought into an association with the selected target audience.
Finally, a summary of recommendation will finish this paper.
Table of Contents
Executive Summary
I. Market Segmentation
A. External influences
B. Internal influences
C. Situational influences
D. Decision process influences
II. Product Position
A. Internal influences
B. Decision process influences
III. Pricing
A. External influences
B. Internal influences
C. Situational influences
D. Decision process factors
IV. Distribution Strategy
A. External influences
B. Internal influences
C. Situational influences
D. Decision process factors
V. Promotion Strategy
A. External factors
B. Internal Factors
C. Situational influences
D. Decision process influences
VI. Product
A. External influences
B. Internal influences
C. Situational influences
D. Decision process influences
VII. Customer Satisfaction and Commitment
Summary of Recommendations
Target Market and Research Objectives
This consumer behavior audit aims to identify and analyze potential target markets for the city of Salem, Massachusetts. By evaluating internal and external consumer influences, the paper seeks to determine a specific, neglected target segment—the "Gray Power of Thinkers & Experiencers"—to address in future marketing campaigns, with the goal of increasing year-round tourism beyond the seasonal Halloween focus.
- Analysis of market segmentation based on demographic and lifestyle factors.
- Evaluation of product positioning, pricing, and distribution strategies for the identified target audience.
- Investigation into consumer decision-making processes and the influence of subcultures.
- Development of a promotional strategy tailored to the values and media habits of the mature consumer segment.
- Assessment of customer satisfaction drivers and strategies for fostering brand loyalty.
Excerpt from the Audit
Determining the target market:
Based on the facts I feel that there are several market segments that Salem as the destination would appeal to. However, I think the strongest one is, and I call it the “The Gray Power of Thinkers & Experiencers” target market, on which I will focus in the rest of the audit.
This segment consists of people who are age 55 or older, are aiming at retirement or are already retired, have time and money and are still in energy to do things. They are interested in history, culture, arts, and architecture. However, they also love to spend time with their grandchildren and like to take them on vacation and long-weekend trips. Their own children are professionals, hard-working individuals, which have not enough time for longer trips. Salem is offering both, fun for kids (witch museums, etc.), and fun for seniors (history, culture, convenience, etc.).
Summary of Chapters
I. Market Segmentation: This chapter identifies potential visitor groups for Salem, highlighting the growing significance of the mature demographic and various subcultures like Wiccan communities and Harry Potter fans.
II. Product Position: This section explores how Salem is perceived by consumers and defines an ideal product version that emphasizes the city's historical, cultural, and intellectual diversity.
III. Pricing: This chapter examines the financial behaviors of the target market, suggesting that while price is a factor, quality and value-added packages are more influential for mature consumers.
IV. Distribution Strategy: This section analyzes how the target audience accesses travel information, noting the high level of digital proficiency among mature consumers and the need for a consolidated, user-friendly booking presence.
V. Promotion Strategy: This chapter focuses on effective communication methods, emphasizing that marketing should avoid stereotypes and instead appeal to the active, family-oriented lifestyle of the target segment.
VI. Product: This chapter confirms that Salem’s historical assets are well-suited to the target audience, provided the city's image is repositioned away from being a single-event destination.
VII. Customer Satisfaction and Commitment: The final analytical section identifies quality and convenience as the primary drivers of satisfaction and loyalty for the chosen target segment.
Keywords
Consumer Behavior, Salem, Market Segmentation, Gray Power, Mature Consumers, Tourism Marketing, Product Positioning, Pricing Strategy, Distribution Channels, Promotion, Customer Satisfaction, Brand Loyalty, Household Life Cycle, Decision Making, Historical Heritage.
Frequently Asked Questions
What is the primary focus of this consumer behavior audit?
The audit investigates Salem, Massachusetts, as a travel destination to identify more effective ways to attract tourists throughout the year, rather than relying primarily on the seasonal Halloween period.
Which target audience does the author propose for Salem?
The author identifies a key target market they call "The Gray Power of Thinkers & Experiencers," consisting of individuals aged 55 and older who value history, culture, and architecture, and who are likely to travel with their grandchildren.
What is the core objective of the proposed marketing strategy?
The objective is to reposition Salem's image from a "witch city" to a comprehensive cultural and historical destination that offers high-quality experiences for both seniors and their families.
Which scientific framework does the author apply?
The author applies consumer behavior theory, specifically analyzing external and internal influences, household life cycle stages, and decision-making processes as outlined in marketing literature.
How is the distribution of the "product" (Salem) analyzed?
The analysis focuses on the transition toward online research and booking, challenging the stereotype that older consumers do not use the internet and suggesting that a more streamlined digital presence is essential.
What are the essential characteristics of the proposed target market?
They are characterized as being financially stable, interested in history and the arts, physically and mentally active, and highly motivated by travel opportunities that allow for multi-generational engagement with their families.
Why does the author suggest avoiding stereotypical portrayals of older individuals in advertisements?
The author notes that this demographic does not perceive themselves as "old" and prefers imagery that reflects energy, happiness, and an active lifestyle, often picturing themselves as being years younger than they are.
What role do "whole packages" play in the author's pricing recommendations?
Packages that include hotel, parking, and attraction tickets are recommended as a strategy to provide a perception of a "good deal" and to reduce post-purchase dissonance, making the city more accessible and appealing.
- Quote paper
- Vita Bataitis (Author), 2005, Consumer Behavior Audit - Salem, MA (USA), Munich, GRIN Verlag, https://www.grin.com/document/49099
