Achieving Genting Theme Park Objectives Through Marketing

Achieving Genting Theme Park Objectives Through Marketing Tourist attraction is a place of interest to visit that is very popular with tourists whether from local or foreign country. Normally, places of tourist attractions are brings organizations that operate their business in tourism industries tend to overprice their goods and services in order to gain profits. (Viewed 20th December 2009, However in Malaysia, with growing economies in the country, Malaysia rapidly become hotspot for amusement and also developments of theme park in tourism industries. In Malaysia, there are many tourist attractions available for local or foreign tourists to visit; one of the tourist attractions is Genting Theme Park. Genting Theme Park is one of the famous theme parts under Genting Malaysia Berhad which consists of Fist world indoor theme park, outdoor theme park and Water Park. 1.1 The role of Marketing in Helping Genting Theme Park in Achieve Its Objectives As a leading brand in theme park industry, Genting Theme Park can rarely satisfy everyone in a market. Therefore, Genting Theme Park then decides which segment presents the greatest opportunity in target markets. Its targets in kids and family markets visit to their theme park. In order to achieve theme park objectives to be the leading leisure, hospitality and entertainment organization in the world, which will responsive to the changing demands to customers and excel in providing quality services. As were seen the main objectives of an organization is to maximize the revenue and profits, and at the same time also to satisfy needs, wants and demands of customers. The role marketing plays in society is a societal process by which individual and groups obtain what they need and want through offering and freely exchanging products and services of value with each others and the role of marketing in helping Genting Theme park to achieve their objectives is plays an important part and eff orts of an organization in order to develop satisfying relationship with customers that benefit for the both parties, the organization and the customers. These efforts will lead marketing to serve an important role within organizations. However without a strong marketing effort, unlikely of an organization can survive in the tourism market. Normally what the public or costumers knows more about an organization services that provided is depends on their interactions with marketers. Therefore, it is important of Genting Theme park to do the research and development (RD) to meet the needs and wants of the costumers in the market because it has direct effect on sales and profitability for Genting Theme Park. (Viewed 20th December 2009 ) Doing the marketing research and development is very important in order to know what features to design into new services in the theme park, what prices should offer to customers and how much to spend on advertising or sales compare with other competitors. Therefore in marketing point of view, tourism industries commonly would use of four major mass communication tools which is advertising, sales promotions packages, events and experiences, and public relations and publicity for the various customers especially tourists that come from foreign country to knows more about the theme park information about the services, promotions packages and useful massage that provided to their value customers. For example, television advertisements is generally know as the most powerful advertising medium and directly reaches a broad spectrum of costumers. It can be an effective means of vividly demonstrating product and service attributes and persuasively explaining their corresponding consumer bene fits. 2. Social element of the macro environment that are currently impacting Theme Park industry Theme park industry performance could reflect by social issue, social issue either positive or negative is significant role whether difficultly or unhindered to achieve the vision of theme park industry in the future. 2.1 Migration Firstly, migration from one district to another was become an opportunity for theme park industry to hire local communities manage or operate the theme park facilities. In Malaysia, resident had shift their hometown in order to find job at capital city, such as Kuala Lumpur, the situation causing population of capital city increased, therefore as short distance of Genting from Kuala Lumpur become a perfect geography strength to attract local communities working at Genting Theme Park, cause people apply Genting job and employee shortage condition rare occurred. So Genting often had sufficient employee to serve customers especially during the festival such as Chinese New Year, Deepavali, and Christmas Day and so on. 2.2 Global Crisis Secondly, social issues such as global crisis would affect consumers visit to theme park, usually national government advice resident reduce go aboard to foreign and visitors may worry accidence occurred when outbreak global crisis. For example, in 2003, Iraq war and Severe Acute Respiratory Syndrome (SARS) breakout causing local visitor and foreigner choose stay away from crowded placed. Through genting has implemented various events to increased number of customers consume in theme park during the difficult period, however the result show that profit before tax of Genting was decreased to RM1, 131 million compare to previous year around RM1, 195 million. (genting, 2003) Consequently, the global crisis would bring negative impact on Genting unavoidable, Genting must expect global crisis may occur in the future and draw up few set of solution to solve these issues. 2.3 Natural Environment Issue Thirdly, natural environment issue may also affect policy on operating theme park industry indirectly. The nature environment issue such as global warming has became serious in recent years, that would brought various natural disasters around the world. Therefore society has awareness the environment pollution that threaten their life, society will concern about global warming and support companies going green. Hence theme park industry has engaged and practice various method to reduce global warming. For example, Genting theme park has installed water flow restrictor that function was reduce water consumption around 5% each month, the cost of material would reduced. In addition, Genting theme park also installation of energy devices and minimum boiler process to reduce heat and air pollution. Furthermore, Genting corporate has planning and development various conservation programmed in the future. These programmed could brought advantage on reduce resource waste and simultaneously o btain margin profit in Genting corporate. (Nre, 2009) 3.0 Economic element of the macro environment that are currently impacting Theme Park industry Theme park industry is currently being impact by the economic elements of the macro environment such as currency exchange rate and unemployment rate. 3.1 Exchange rate The exchange rate affects the oversea tourists coming to their country. In U.K, their British pound exchange rate cost higher than other countries, which makes the tourists unable to afford the expenses to a tour in U.K. A lower British pound exchange rate makes the tourists able to afford the expenses for park experience. A reasonable exchange rate among both countries like U.K and Malaysia, Euro countries and Malaysia will effect on the buying power of the tourists, so the tourist will pay a visit to the park. The currency exchange rates policy either limited by government or followed the global economy trend will positively or negatively affects the tourists attendance. (viewed 20th december2009, ) 3.2 Unemployment rate The unemployment rate is one of the major factors that are influencing the theme park industrys attendance. Unemployment rate in local and oversea will bring different effects to the theme parks attendance, either fewer tourists with more local visitors or vice versa. (http://www.anderson.ucla.edu/documents/areas/ctr/ccp/ThemeParkAttendance%28bw%29.pdf) The revenue the people earn will spend part of it with families going to theme park for leisure time to enjoy during the weekend. If the unemployment rate getting higher in the countries, those people normally will not spending their money in the theme park and they will aim for the theme park promotion period for cheaper ticket. 4.0 Customer element of the micro environment that are currently impacting Genting Theme Park Customer is the person, company,orother entity which buys goods and services produced by another person, company, or other entity. So, customers are playing a very important role in market. Genting Highland Theme Park the first mission is to be responsive to the changing demands of our customers and excel in providing quality products and services. (viewed 2009/12/05 http://www.gentingmalaysia.com/annualreports/2008/rwb2008_missioncontents.pdf) 4.1 The Age and Stage In The Life Cycle The age and stage in the life cycle concept will impact upon the Genting Theme Park. They come from different group status, such as children, youngsters, adult and elderly customers. This is because consumers are from different group of age stage they will impact Genting to build or create new games to service the consumers when traveling at Genting Threme Park. Genting Theme Park will serve their customers with different age with different game either in indoor or outdoor. Such as the customers from children and teenager the indoor games such as Malaysias first 4D Motion Master Theater to give the education movie for them. Because adult customers they will aspire stimulate entertainment and new creative game, Genting Theme Park will build the game in outdoor such as Flying Coaster is the first in Asia. Family life cycle from customers also will impact to Genting Theme Park. In the end of the year holiday season parent will bring their children go to travel therefore family relations hip between parent and children when travel at Genting Theme Park. (Philip Kotler and Kelvin Lane Keller, 2009) 4.2 Consumer Consumption Concept The consumers consumption concept changed impacting the Genting Theme Park. Nowadays each customers had basic education and they consider consumption concept not only focus on buying products, that they know their rights and also consist service consumption, therefore customers would spend more money consume on services in entertainment. As service entertainment industry corporate, Genting provide Theme Park either indoor or outdoor to satisfied demand of customers. Customers can enjoy these exciting game simultaneously that improved family relationship between parents and children. Customers consider ticket price of Genting Theme Park was worth to consume, they could going and playing these entertainment facilities with a whole day. But how when the consumers think that what Genting Theme Park provide is not worthy? 5.0 Competitor Element of the Micro Environment That Are Currently Impacting Genting Theme Park Competitor means a business that provides similar products or services. The presence of competitors in an industry drives down the price of goods and services because consumers have more alternatives from which to choose if the price of a particular good or service is too high. For Genting Theme Park, it also facing different competitor since they joined in this industry. 5.1 Threat of intense segment rivalry In a business field, the competitiveness between corporate will become very strong if it already contains numerous, strong competitor. In Malaysia, Genting Theme park is not only the one numerous and strong theme park, there still have many different theme park that have the competitiveness to compete with Genting. The competition like frequent price wars, advertising battles and promotion battle between Genting Theme Park and other themes park, all these lead Genting have to constantly compare its marketing strategies, products, prices and promotion with other competitors. Otherwise, this will make it expensive to compete. This happen more frequently especially in the holiday period. 5.2 Threats of High Entrants and Low Exits In a business field, competitiveness is high when the entry barriers are higher than exit barriers. Firm enter during good times but find it hard to leave during bad time. As the result, this will leads to chronic overcapacity and depressed earnings for all. In this last 10 years, the new entry of other theme park in Malaysia is more than the exit entry. Many firms join and stay in this industry as long as they can get profit from this industry but if they cannot, as long as they keep continued presence, this will cause dampens profit for everyone. In directly, this lead Genting Theme Park has to dealing with even more competitors in order to keep survived in this business field. 5.3 Threat of Substitute Products A segment is unattractive when there are actual or potential substitutes of the product. If technology advances or competition increases in these substitute industries, prices and profits in the segment are likely to fall. For example, electronic games and theme park is categorized in the entertainment field. Nowadays, the introduced of electronic games like play station, PSP, and computer games becomes a common and necessary amusement tool by the world. People will visit Genting theme park because to have fun, and so that same with playing electronic games-all is about fun. With the introduced of the electronic games, this success attracted the major target of customer of Genting Theme Park, like teenagers. Virtually, this creates a competition between of electronic game business field and Genting Themes Park which in the same business field entertainment. 6.0 Conclusion Marketers do not make decision about target market and marketing mix variables in a vacuum. Research and study should be applied in order to further understanding the market. This will help marketer in making the business plan and business decision