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The Voice

New emphasis in tourism spending - Tourist Board employs new strategy to deal with cut in advertising budget
published: Wednesday | August 11, 2004

By Monique Hepburn, Staff Reporter

THE JAMAICA Tourist Board (JTB) has changed its strategy in order to cope with its massively reduced advertising budget.

Following a US$2 million cut in its US$9 million advertising budget for this financial year, the state tourism promotions agency has adopted a sales strategy that relies heavily on collaboration between tour operators and travel agents.

"Due to budgetary constraints, we have less of a focus on advertising," said David Shields, the JTB's Deputy Director of Marketing. "We have changed our sales strategy to include closer collaboration with our tour operators and travel agent partners."

EFFECTIVE STRATEGY

According to Mr. Shields, this strategy has been proved effective. He said, "we are working directly with tour operators and their retail partners as well as doing co-op advertising with them."

So far, the strategy seems to be working. Figures provided by the JTB indicate that arrivals from the United States market stood at 535,000, an increase of eight per cent, Canada shows a 13 per cent growth, 58,539, Europe is up 115,839 or 15 per cent and Japan has 29-per cent or 2079 accounts. The Caribbean accounts for seven per cent, which is 21,879. Cruise ship arrivals figures stood at 619,214 an increase of 17.9 per cent.

COMPETITIVE CHALLENGES

The deputy marketing manager mentioned that for the future, there would need to be a greater effort to sustain the current growth trend that is being experienced as Jamaica as a destination is facing greater competitive challenges.

"Without us being able to continue to build and support the brand, we are faced with competitive challenges in the marketplace both in terms of new and emerging destinations," he said. "Other destinations are placing more resources behind the building of their brand."

Mr. Shields said that even prior to the budget cuts, several popular travel web sites including Expedia, which were previously unutilised by the JTB, were being used to attract tourists. He noted that these efforts will prove even more critical as a decision has been taken to halt JTB advertisements in the U.S. until after the Presidential Elections due to the expense affixed to ads at this time.

"We have suspended advertising in America until the election is over but we are still maintaining an aggressive marketing stance," Mr. Shields said.

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