Influence of strategic tourism marketing practices on tour operator firms’ performance in Nairobi City County, Kenya

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Date
2024-11
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Kenyatta University
Abstract
The study purposed to establish the Influence of Strategic Tourism Marketing Practices (STMPs) on tour operator firms’ performance in Nairobi City County. Specific objectives of the study were: To establish the influence of strategic tourism product practices on tour operator performance; To assess the effect of strategic tourism pricing practices on tour operator performance; To determine the effect of strategic tourism place practices on tour operator performance; To establish the impact of strategic tourism promotion practices on tour operator performance; and To examine the moderating effect of ICT on the relationship between STMPs and tour operator performance. This study was conducted in Nairobi County.. A mixed methods research design was adopted. 256 KATO Full Members that are located in Nairobi City County constituted the target population for this study. Stratified random sampling was used to sample the unit of analysis while purposive sampling was applied to sample the unit of observation. The primary data collection instruments were questionnaires and interviews. The findings on the influence of STMPs on Tour Operator Performance revealed that, to a large extend wildlife was the most sought tourism product at 89.3% followed by beach & marine at 71.0%. Strategic Tourism Product Practices had a positive influence on Tour Operator Performance though not statistically significant(𝛽 =0.032,𝑡 (129)= 0.335,𝑝 = 0.738> 0.05). To a large extent Tour Operators used transportation cost as a strategic pricing practice (81.7%) followed by accommodation cost (69.5%). Strategic Tourism Pricing Practices had a positive influence on Tour Operator Performance though not statistically significant(𝛽 =0.029,𝑡 (129)=0.398,𝑝 = 0.390> 0.05). To a large extent, Tour Operators used accommodation and other facilities at the attraction as a strategic place practice (74.0%) followed by security to and at the attraction (71.8%). Strategic Tourism Place Practices statistically had a significant and positive influence on Tour Operator Performance(𝛽 =0.161,𝑡 (129)=2.349,𝑝 = 0.02< 0.05). To a large extent Tour Operators used recommendations as a strategic promotional practice (67.2%) followed by advertising (45.0%). Strategic Tourism Promotion Practices had a statistically significant positive influence on Tour Operator Performance(𝛽 =0.170,𝑡 (129)=2.013,𝑝 = 0.046<0.05). The findings also showed that to a large extent Tour Operators used E-Mail as an ICT practice (84.0%) followed by E-Payment (61.8%). There was a statistically significant positive moderating effect of ICT practices on the relationship between STMPs and Tour Operator Performance (𝛽 = 0.355,𝑡 (129)= 3.070,𝑝=0.003 < .05). In conclusion, STMPs can enhance tour operators’ revenue and customer growth. Tour Operators could apply strategic product and pricing practices for their revenue and customer growth, but only to a certain extent. On the other hand, Tour Operators use of Strategic Tourism Place and Strategic Tourism Promotion Practices appears worthwhile. The same applies on the use of ICT practices to facilitate the application of STMPs. The study recommends that Tour Operators desiring to increase their numbers in terms of revenues and customers should consider additional strategic practices that would bring more synergy to Strategic Tourism Place Practices and Strategic Tourism Promotion Practices. The study also recommends Tour Operators to embrace ICT practices and minimize overdependence on product and price practices.
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A thesis submitted for the award of the degree of doctor of philosophy (tourism management) in the school of business, economics, and tourism, Kenyatta University, November, 2024 Supervisors: Shem wambugu maingi, (phd) Vincent Maranga
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