Republic of Georgia

1. TGM Project
Tourism Workshop 1
Value added chain & Marketing Mix

2. Agenda
 Presentation of participants
 Goals of the workshop
 TGM Project
 Value added chain
– Introduction
– 2 Groupworks
 Marketing Mix
– Groupwork
 Organisation of the follow up

3. Goals
Training
– Tourism market
Design
– Value added chain hiking tourism
– Marketing mix hiking tourism
Planning
– implementation
Other expectations ?

4.  To organize and improve the efficiency of the
tourism value added chain of Georgia in the
field of hiking and related activities like biking,
starting from the pilot region of
Borjomi-Vardzia-Bakuriani.
 Trails
 Guides
 Market
TGM Project
T
G M

5. BUYERS
Value Added Chain 1
« The Tourists Pipeline »
CUSTOMERS
RAW
MATERIALS
SALEDISTRIBUTIONTRANSFORMATION
SUPPLIERS
Institutions

6. Value Added Chain 2
Tour Operators
abroad
Tour Operators
Tbilisi
Local
Consolidators
Money
Services
Service
Providers
Tourists

7. Value Added Chain 3
TOURIST
TOUR OPERATORS/WEB
COUNTRY AGENTS
SUB AGENTS
SERVICE PROVIDERS
• lodging
• food
• entertainment
• guiding
• administrative matters
• health
• rescue
• …
Professionalside
Touristsside

8. Value Added Chain 4 – Ex. Pamirs
Inter-Assist 2003
Proposed Detailed Value Added Chain
TOURISTS
TOUROPERATORSABROAD
AGENTSDUSHANBE
AGENTSKHOROG
INFORMATION
CENTER
DUSHANBE
INFORMATION
CENTER
KHOROG
VILLAGE
ORGANIZATIONS
SERVICEPROVIDERS
ACTED
MURGAB
ECOTOURISM
COOPERATIVE
GBAO’S ASSOCIATION
OF
SERVICE PROVIDERS
AUTHORITIES,
ADMINISTRATION
INFRASTRUCTURES
POTENTIALS
MSDSP
INTERNATIONAL
CONSULTANTS
INTER-ASSIST DONORS
NETWORK
DISTRICT
COMMISSIONS

9. Value Added Chain 5 – Draft BVB
Money flows
INTERNETWEB2.0
COMMUNITIES
Service flows
TOURISTS
TOUROPERATORSABROAD
TOUROPERATORSTBILISI
LOCALCONSOLIDATORS
GUIDES
AUTHORITIES,
ADMINISTRATION
INFRASTRUCTURES
TERRITORY
AGENCIESABROAD
DONORSFDDM
PARTNERS
OTHER PROJECTS
HOSTSAGROINDSTRY
TOURISTINFORMATIONCENTRES
PARTNERS

10. Value Added Chain 6 - Incoming
Local consolidator
ELCANA
Accueil paysan
Pan Parks Acomodation
Hosting Networks
Others
Other Service Providers
FoodBDP-Borjomi Project
Guides
Borjomi National Park
Tourism Information Offices
Tourism Department
Tour operators Tbilissi Tour operators abroad
Tourists
CENN Bakuriani

11. Value Added Chain 7
 Groupwork 1 – MIX groups
– List actual groups of actors of the Georgian
tourism Value Added Chain on colour papers
– Draw the actual Value Added Chain for the BVB
Destination - How do your tourists come to BVB ?
– Which companies and institutions are helping
them ?
– Is something missing ? – Write it on colour paper
– How could the situation
be improved ? –
Complete the chain
– Restitution
Your tools

12. Value Added Chain 8
Groupwork 2 - MAX groups
– Identify for each group of actors the
services proposed and needs
– Is something missing or redondant ? –
Write on colour papers
– How could the situation be improved ?
– Restitution
MY
INSTITUTION BUYERSSUPPLIERS

13. Marketing Mix 1
The « Tourists Pump »
PRODUCTS
PRICE
PLACE
PROMOTION

14. Marketing Mix 2
Starting from what you have and will have
 Natural resources, culture and buildings
 Trails network
 Guides network
 Hosts network
 Value added chains
– Tourism
– Agroindustry
– Handicrafts
– …

15. Marketing Mix 3
Define your target tourists and priorities
 Georgians
– Adults, families
– Schools, students
 Foreigners
– Expatriates
– Incoming tourists
 Communities of practice
– Hikers
– Birdwatchers
– …
International visitors statistics 2005
1. Azerbaijan (153’467)
2. Turkey (109’796)
3. Armenia (97’078)
4. Russia (90’075)
5. USA (12’928)
6. Ukraine (12’376)
7. Greece (7076)
8. UK (6677)
9. Israel (6310)
10. Iran (5033)
11. France (3975)
12. Netherlands (3089)
13. Italy (2721)

16. Marketing Mix 4
Define products and services you will offer
 Tours for groups and individuals
– Standard
– On demand
 Activities
– Food and lodging
– Hiking (guides)
– Entertainment
– Visits
– Shopping
 Information offices
Who offers what ?

17. Marketing Mix 5
Determine the prices
Calculation forms
– From individual service provider
– To global product
Conditions of success
– Cover at least the costs
– Correspond to what the market is ready to
pay

18. Marketing Mix 6
Define how you’ll bring the people to the products
(Place)
Sales network
– Tour Operators locally, in Tbilissi and abroad
– Local consolidators
– Hosts
– Guides
Logistics
– Transport companies
– Trails

19. Marketing Mix 7
Define how will you promote your products
 Tour proposals (detailed descriptions)
 Leaflets / pamphlets / flyers
 Homepages
– Own
– Others
 PR : Articles, videos
– Media
– Guidebooks, « Paper 2.0 » like Lonely Planet, …
– Books
– Web 2.0 communities
 Department of Resorts and Tourism
– Fairs and workshops
– Journalists trips
– Tour Operators trips

20. Internet web 2.0 communities
 http://earth.google.com
 www.wikipedia.com
 www.flickr.com (pictures)
 www.myspace.com, www.dailymotion.com
(videos)
 www.tripadvisor.com, www.world66.com,
www.virtualtraveller.com, www.venere.com
 …
The only limit is your imagination !

21. Interesting web services
 www.accueil-paysan.com
 Google Alerts
 Communication for free
– Telephone, conferences, chat : www.skype.com,
Microsoft Live Messenger, Yahoo, Google, …
– Discussion groups : http://groups.google.com,
Microsoft Messenger live
– Blogs : www.blogger.com, …
– …