Need help with assignments?

Our qualified writers can create original, plagiarism-free papers in any format you choose (APA, MLA, Harvard, Chicago, etc.)

Order from us for quality, customized work in due time of your choice.

Click Here To Order Now

Abstract

This study has aimed to scrutinize the emergence and progress of the roles of online marketing for Heritage Visitor Attractions in Malta by coordinating with the national economy, local market trends, and ICT skills of the human resource by taking into account customers motivation to the new technology. With this objective, this study has aimed to formulate a better understanding of the online marketing of HVAC that would assist the operators and regulating authorities to systematize better policy towards a greater motivation for online marketing in Malta compared to the global standard.

List of abbreviations

• Archaeological Society Malta = ASM
• Cultural Heritage Advisory Committee = CHAC
• European Commission = EC
• European Travel Commission = ETC
• European Union = EU
• Fondazzjoni Patrimonju Malti = FPM
• General Agreement on Tariffs and Trade = GATT
• Heritage Malta = HE
• Heritage Visitor Attractions = HVAs
• Hewlett-Packard = HP
• Malta College of Arts, Science and Technology = MCAST
• Malta Communications Authority = MCA
• Malta Environment and Planning Authority = MEPH
• Malta Information Technology Agency = MITA
• Ministry for Tourism and Culture = MEPA
• National Heritage Advisory Committee = NHAC
• Ramblers Association Malta = FAM
• Return on Investment = ROI
• Superintendence of Cultural Heritage = SCH
• World Economic Forum = WEF
• World Trade Organization = WTO

Introduction

This dissertation will represent the implementation of online marketing in the tourism industry of Malta for its Heritage Visitor Attractions with a comprehensive analysis of the online marketing performance of the Maltase Information Technology enabled companies based on their current position as well as traditional practice in this sector. This dissertation with the online marketing of HVAs in Malta will be organized with six major chapters and concerned sub-chapters that would ultimately assist the research to attain its conclusion through an analysis of the background problem, search for literature review with appropriate research methodology along with result and findings.

Background of the problem

Hussein (2010) pointed out that to generate tourists motivation towards a heritage site; information is the powerful tool to deliver exact data to the customer regarding the unique, intangible, and complex tourism products where the customers are interdependent, isolated, and comes from the diverse location. The characteristics of tourism products are very complex and dependent on the time, place, and human factors where customers are not familiar with the reality and the service providers have huge gaps of communication and interaction with the service seekers (Farsari & Prastacos, 2004). In the present era of Information and Communication Technology, web-based free flow of information has provided greater than ever the opportunity to make up these gaps through the web presence of the service providers and also by online marketing as well as e-Commerce. With very marginal cost and fewer efforts than traditional marketing, online marketing has facilitated the tourism industry to provide exact information to the visitors and attract them to the heritage tourism that would assist in planning and booking for a visit towards any particular site from all over the world (Veverka 2012; and Argyropoulou, Dionyssopoulou & Miaoulis 2013).

The Movie Channel (2013) pointed out that Valletta, the capital of Malta has gained the twentieth position out of 962 HVA sites all over the globe for its World Heritage Sites ranked by UNESCO for its outstanding universal value to the global tourism industry. There are three iconic HVA sites in Malta such as the City of Valletta, Hal Saflieni Hypogeum, and Megalithic Temples of Malt, which drawn special attention by UNESCO and gained superior importance to the tourism industry of the country with superior tourist appeal globally due to listing them as a world heritage site. According to the Movie Channel (2013) Valletta, the capital of Malta is the second-highest demanded tourist spot for US visitors for its rare urban inhabited sites surrounded by the little peninsula and 320 monuments and perfection of its conservation of the historical attachment of the ancient era.

Foxell and Trafford (2010), Ortega (2002), and Poria (2001) added that the expansion of the global tourist industry has generated extra pressure on Malta to relocating itself in the horizon of cultural heritage linking with its ancient history of civilization. At the same time, the country has developed its higher extent of environmental awareness to protect Maltese islands and to safeguard the cultural heritages by preventing environmental degradation and implementing appropriate ecological management (Foxell & Trafford 2010). The real-life scenario illustrated although the governmental policy has aligned to invest for the environment, but faced tremendous obstacles from different interest groups due to their narrow business interest while NGOs and environmental activists are keeping continuous pressure for implementation of environmental projects to safeguard its heritage.

The rationale for the Research

The World Economic Forum (2013) presented the global Travel & Tourism Report 2013 where WEF¹ranked Malta at the 24^th position with a score of 4.92 in this year for its tourism competitiveness where Switzerland at the top of ranking with a score 5.66. Maltas position in the tourism competitiveness index in 2011was at 26^th; thus, the country has progressed on a global scale. In the regional ranking of Europe, Malta placed at 17^th position for its tourism sector and 14^th position for a business environment and human resource including cultural heritage while the ICT infrastructure of the country ranked at 21^st position out of 140 countries.

Kanellopoulos, Panagopoulos & Psillakis (2004) and Pullicino (2002) pointed out the implication of the Information and Communication Technologies ICT in the Tourism Industry has re-engineered the traditional business practice in this sector by integrating internet, web services, dynamic database, e-Commerce, and data mining, warehousing, and multimedia communications. Heritage Visitor Attractions in Malta have quickly adopted ICT to deliver tourism information to the interested travelers in scheduling and booking their visit in Malta, which is an effectual infrastructure for online marketing and promotion. In Malta, the authorities of Heritage Visitor Attractions generally appoint online marketing agents to conduct market promotions and to generate sales while the online marketing agents conduct different unethical actions out of their contract. Rather than own marketing effort, appointing online marketing agents to illustrate that the HVAs of Malta have huge gaps and lacking to develop their ICT infrastructure for online marketing. Thus, to overcome this lacking and gaps it is essential to conduct a depth study with An assessment of the online marketing of Heritage Visitor Attractions in Malta.

Thus, the rationale for this study is to outline the implementation of online marketing or e-marketing in the business operation of HVAs, its challenges, prospect and developments, and outcomes of the online marketing program instead of traditional marketing and their correlation that would transform the Heritage Visitor Attractions of Malta to turn itself into an outstanding online marketing entry.

Research Question and Objectives

There is enormous research like Darmanin (2011), DAS (2013), and Ghio (2013) have already conducted with the implication of ICT in the business of Malta, especially different model and shape of e-marketing, its magnitude in the economy of Malta, but no research agenda yet has raised with the effectiveness of online marketing for Heritage Visitor Attractions in Malta. The Malta Information Technology Agency (MITA) is eager to consider the competence of the public and private sector to be proficient to automate their business online by using ICT infrastructure to generate a knowledge economy with the prospects to become the top fifth player for e-business in the European region (Darmanin 2011). MITA has announced the strategic plan of the government, the objective of the governmental policy is very enthusiastic and supportive to the citizen, and business communities to provide standard facilities of ICT that would ultimately progress the economic and business reality of the country at a European scale.

Grech (2004), Hoti et al. (2005), and Debattista (2011) evidenced that HVAs of Malta has aimed to respond vigorously to the ICT automation at their business where online marketing and e-Commerce integration has gained top priority, but such motivation has failed to quickly respond to the changing nature of business operation due to lack of appropriate framework and skill development. This research will aim to assess the use of online marketing in Maltas tourism industry to determine whether it affects the marketing of Maltas Heritage Tourist attractions. Therefore, the specific objectives of this research will be:

1. To define the terms Online Marketing and Heritage Visitor Attractions
2. To establish the relationship existing between online marketing and Heritage Visitor Attractions
3. To successfully examine the existing literature concerning Maltas experience with online marketing on its Heritage Visitor Attractions.
4. To identify the supply of heritage visitor attractions in Malta
5. To develop and conduct appropriate research methods to identify and explore the effectiveness of different online marketing websites and strategies adopted in Maltese Heritage Visitor Attractions.
6. To draw conclusions and recommendations about the potential of online marketing in Maltas Heritage Visitor Attractions.

The objectives of this research are established in a manner that supports the logical flow of the research. The literature of this will be instrumental in identifying the contemporary issues relating to online marketing of Heritage Visitors Attractions. This will assist in providing a clear guideline for this research by focusing on the influences, trends, and factors applying to online marketing of Heritage Visitors Attractions.

Relevant Literature Review

The Conceptual Framework of Online Marketing

To provide a better understanding of the conceptual framework of online marketing to the readers, this study considers defining different terms, significant features, and aspects strongly accorded with online marketing that would provide a broader perspective to the research project deals with and has presented as follows.

Defining Online marketing

Nowadays online marketing, web marketing, or digital marketing is a popular concept to the business communities to marketing products and services using the internet and other similar tools (Smith & Chaffey 2005; Meier & Stormer 2009; and Doherty, Chadwick & Hart 2003). However, Internet marketing and electronic marketing are different names of online marketing (Hussein 2010, p.27; Doherty, Chadwick & Hart 2003; and El-Gohary 2010). However, contemporary philosophy on this sector considered the Internet as a new channel of distribution since it has both positive and negative function in the business world to the target clients and increase sales revenue (Smith & Chaffey 2005, p.125; Hussein 2010, p.27; and El-Gohary 2010, p.2).

At the same time, Hussein (2010, p.27) stated that online marketing is the process to transfer of products and services from sellers to customers that incorporate one or more electronic method or media; moreover, Smith & Chaffey (2005, p.125) addressed that online marketing includes internet advertising with sponsorship, websites, e-mail marketing, and brand promotions through the Internet and mobile phones. Besides, Hussein (2010, p.27) and Doherty, Chadwick & Hart (2003) argued that online marketing has already integrated all attributes of traditional marketing, such as strategy, product design, marketing mix, distribution, marketing communications, pricing, buyer behavior and so on. As a result, the business organizations all over the world have tried to incorporate Information Technology at the regular business operating system to achieve tremendous success with lower efforts and short deadline (Smith & Chaffey 2005, p.125; Hussein 2010, p.30; Meier & Stormer 2009; and Doherty, Chadwick & Hart 2003).

Features of Online Marketing

Hussein (2010, p.30), Lakhotia (2013), and Meier & Stormer (2009) stated that concurrent literature concentrates on the impact of internet in the marketing and many other related issues, such as functions, theoretical basics and policy, buyer behaviors and the industry perspective. However, it is an effective tool to promote a brand and develop a communication system; however, the following table discusses the features of online marketing.

Table 1: Features of online marketing. Source: Self-generated.

Different ways of Online Marketing

• Website: Speedy and elegant website is the first step of introduction of successful online marketing system for which the tourism organizations and other companies design the effective website to promote the company with other services, such as, provide information about the company and destination, and give online booking facilities;
• E-mail: It is one of the most popular ways for the HVA and traders to communicate with potential customers by sending regular newsletters, message, price quote, extra package, and so on; however, recent studies identified that the marketers are showing reluctance to use it because they can assess the effectiveness of the services;
• Search Engine: Every moment thousands of people connect to the search engines, such as Google, Yahoo, MSN, and many others to get information. Therefore, search engine optimization (SEO) is an effective way of promotion;
• PPC Advertising and Affiliate Marketing: These two methods are effective tools to the marketers for ticket selling and advertising;

Social Media as the most influential Tool for Online Marketing

Most of the marketers of tourism agencies, hotels, and other business organizations conduct online marketing through social networking sites to gain competitive advantages over the competitors of the trade zone (Toolkit 2011; and Evans & McKee 2011). According to Smits and Mogos (2012), social-media device is one of the most admired methods by which businesses can operate successfully and so the use of such mediums are gradually getting more famous for regular-works of numerous businesses, which varies from new or SMC-businesses to giant MNCs; regardless of the widespread use, people are less aware of its impact. The advantages of the second generation of the World Wide Web for networked-businesses comprise lesser expenses, more rapid product-development, and modernization (Brookins 2013; Smits & Mogos 2012; Brown 2010; Engel, Blackwell & Kollat 1995; and Brussee & Hekman 2010).

Moreover, numerous prototypes are built up for assessing and calculating the business-impact of the second generation of the World Wide Web; however, promising-technologies achieve recognition for facilitating collaboration amid firms at trade-networks, while the appliance marketplace continues to prosper (Evans & McKee 2011; Sandilands 2013; Saroj 2012; Shinder 2010; Stelzner 2011; and Toolkit 2011). Smits & Mogos (2012) also noted that there are certain features of corporate capacities, which are affected by Web 2, influencing business-performance; for example, social media has the competence to augment communication and teamwork in corporations, encouraging rapid globalization of corporations, as well as operations; it works by organizing discussions, attaining more individuals quicker, harmonizing schemes and responsibilities, and assessing communication-streams. However, the HVAs of Malta have joined social networking sites to communicate and share information and they take the advantages of social media considering different advantages like the low cost of online marketing.

Maltas EU Engagement and ICT Progress

Martino (2011) pointed out that Maltas engagement in the European Union has dramatically strengthened its geopolitical and economical relevance providing strong accord with the European knowledge society that generated a new phase of ICT integration in the regular life of Maltese people and turned into an integral part of EU Digital Agenda Strategy -2020 with remarkable growth. The EC has organized an advisory group named ISTAG that aimed to provide ICT related advisory service to shape research and development to the academia and business of the member states where Malta has strong representation and keeping a vigorous role for strategic agenda and budgetary allocation to progress ICT (Magnússon 2011).

Digital Agenda Scoreboard (2013) mentioned that although at present Malta has a low share in the European ultra-fast broadband connectivity, it has generated uppermost capabilities to the Next Generation Access; according to the data of 2012, 99.95% of residences of Malta connected with fixed broadband internet facilities. The country has already attained facilities to provide minimum 30 Mbps download speed to the 99.9% of residences at the next level which 53.8% in the other EU nations, with 49.9% DSL connectivity and 47% broadband cable connectivity, the operators of Malta enjoy higher market share than other EU nations. It has accounted in January 2013 that about population 23.6% of Maltese is enjoying fixed broadband facilities, which is 3.8% higher than the European average although the shared high-speed connections of 30 Mbps were remarkably lower than other European counties, at the same time it also progressed for third-generation mobile connectivity, but the absence of the fourth generation.

Internet Uses in Malta

Digital Agenda Scoreboard (2013) and Pisani (2011) explored that according to the population data of 2011, 66% of the Maltase citizens were the regular user of the Internet, which was 70% in the European average in the same year, and the country is going ahead faster than others are. It has also assessed that 29% of the population has never familiar with the Internet, such disadvantageous population in Europe were 22% in that year; thus, Malta has a long way that it has to overcome within a short period. However, at present there is a 52% population, who use the internet every, from 86% of users are frequently connected irregular basis. The most recent data on mobile use illustrated that 40% of the citizens of Malta access the internet from their mobile phone while in the European region average 36% of mobile users connect to the internet from their mobile device, here Malta has progressed 4% above the European average. Among the commercial concerns of Malta, 40% of them are fully ICT integrated and provided internet facilities to their employees and this rate is 8% below the European average, which is 48%; besides that, it has also illustrated that 60% of Maltese uses internet only for communication purpose just to sending and receiving voice and data. From the rest, 52% of people are using the Internet to reading newspapers and downloading music, and 43% of people are searching academic and business scopes, posing messages in social networks including instant messaging and this rate is 7% higher than the EU average.

Present Position of e-Commerce in Malta

The Times of Malta (2013) reported that MCA and Fsadni & Associates have jointly surveyed with the ICT integration by 700 business enterprises of Malta from seven different business sectors like retail, financial service, manufacturing, communication, construction; community, and tourism to identify the present state of e-Commerce application in the Maltase society. That study identified that in 2012, there were only 14% of commercial entrepreneurs of Malta used e-Commerce as their main marketing and sales channel, but dramatically decreased by 1% in 2013 due to lack of different logistic support including the high cost of recruiting ICT professionals. At the same time, there is a remarkable boost segment of phone sales as the main sales channel, which was 12% in 2012 and 18% in the current year though store visit sales remained almost the same in both years, for instance, 65% and 64% in 2012 and 2013 respectively. Rather than boosting e-Commerce and online marketing, the decline indicates that the ICT application has not well fitted with the product attributes or the marketers were not capable of developing their product fit for customers easy access, hosting problem, dilemmas of integrating credit card and third-party payment system for online transaction and lack of programmers.

Among the respondents, 67% of participants were not clear about the role of MCA as a regularity authority of e-Commerce in Malta, although 69% of the businesses have their static website for the last three years, they failed to develop them into dynamic website capable to conduct online marketing and sales. It also indicated that 80% of the entrepreneurs have a computer and an internet connection, but dont have e-commerce facilities, if there is any technical support from the state agencies it would be possible for a large segment of business to automate their online e-Commerce. In Malta significant progress of partial e-Commerce has marked for online advertising and marketing, huge companies have no e-commerce sites are integrated, but they are using social media such as Facebook and Twitter to boost traditional sales and get a tremendous return for their sales increase in the hospitality, real state and tourism sector.

The Digital Agenda Scoreboard (2013) surveyed the customers of Malta for their familiarity with e-commerce and pointed out that 44% of Maltese in 2011 have purchased some necessary items at least one time online, which is 70% in the Scandinavian countries and remarkably lower than the UE average. On the other hand, it has illustrated that among a total 44% of Maltese online purchases, 38% of people prefer to purchase from the non-national companies of European Union while only 7% purchases commenced from the domestic Maltese sellers, on the contrary, customers of the other EU states commence 41% purchase from the local sellers (DAS 2013).

Tourism Industry in Malta

Noordam and Smid (2002) stated that the tourism sector is one of the three main economic sectors on Malta; however, WTTC (2013) provided concurrent data on this industry, which demonstrates that the direct contribution of the tourism sector to national GDP was about ¬937.20 million and total contribution of the tourism sector to national GDP was more than ¬1776.3 million in 2012. According to the report of WTTC (2013, p.5), the direct contribution of the tourism sector to national GDP was about 13.90% while total contribution was near 26.40% in 2012; at the same time, this organization estimated that direct contribution will increase by 2.10% to 3% within next ten years and total contribution will boost by 1.50% to 2.60% from 2013 to 2023. Therefore, the policymakers of this country have already focused on the tourism industry and intended to reach the goal, for instance, the government aims to increase direct contribution (industries that deal directly with tourists) up to ¬ 1,289.70 million and total contribution up to ¬2,341.70 million by 2013 (WTTC 2013, p.5). However, the following figure shows the total contribution of the tourism segment to the national GDP of Malta-

At the same time, WTTC (2013, p.5) reported that the tourism industry has a large impact on the employment segment, for instance, it directly created 25500 jobs (15.10% of total employment) and a total of 45500 jobs (27.20% of total employment) in 2012. Furthermore, the direct contribution of this industry to employment will increase by 1.90% to 31000 jobs within the next ten years and total contribution will enhance by 1.40% to 53000 jobs from 2013 to 2023 (WTTC 2013, p.5). However, the following figure demonstrates the total contribution to GDP and employment in 2012-

WTTC (2013, p.5) reported that foreign visitors are the main attraction to the tourism organizations since foreigners contribute to generating 82.4% of the total earnings whereas local visitors contribute to generating 82.4% of the total earnings; however, visitor exports are expected to rise by 2.70% in 2013.

According to Hassan & Bashir (2012), at present, tourism is one of the most significant sectors of the economy of Malta because it has a crucial function in output growth, employment market, and foreign exchange generation; however, the following figure demonstrates data related with incoming tourists and income from tourism-

Heritage Visitor Attractions in Malta

SCH (2011) pointed out that the heritage sites of Malta have been planned and managed by a series of consultations with CHAC, NHAC, SCH, and MEPH under the department of planning with direct regulation and licensing of MEPA who formulated different Heritage visitor attractions in Malta with the cooperation of international agencies. Heritage Malta (2007) added that in Malta the HVAs like HE, Din l-Art Helwa, ASM, FPM, St. Johns Co-Cathedral Foundation, RAM and Wirt G’awdex are authorized to for development, promotion, and operations of the heritage sites according to the Cultural Heritage Act-2005 and the HVAs are continuously keeping their effort to promote newer heritage products. The Malta Tourism Authority (2011) and Debattista (2011) mentioned that UNESCO has declared three heritage sites like the City of Valletta, Megalithic Temples, and &al Saflieni Hypogeum as world heritage sites that provided more attraction of the global tourism industry, HVAs like Heritage Malta also promoted more heritage sites from it glorious 7000 years history and forwarded for UNESCO reorganization.

Significance of Online Marketing in the Tourism Industry

Hussein (2010, p.127) addressed the general issues of online marketing, importance, challenges, and problems of Internet use by Heritage Visitor Attractions and other related organizations to assess the impact of digital marketing in the tourism industry all over the world. However, Hussein (2010, p.127) further pointed out the view of OConnor who acknowledged Information as of the lifeblood of tourism since it motivates the visitors and customers; most significantly, a quick exchange of information plays a crucial role to reduce the gap between visitors travel expectations and actual experiences. Therefore, the online marketing tools became popular to the HVAs and a significant way of promoting and distributing tourism services along with providing accurate information on time; at the same time, visitors use these tools for planning and booking a trip online (Hussein 2010, p.128; Smith & Chaffey 2005, p.125; OConner & OKeefe 1997; and Steinrücken 2010, p.35). In this situation, the travelers get update, inclusive, and relevant travel information; on the other hand, the travel organizations get ideas about the competitors in the national and international market (Hussein 2010, p.128; and Steinrücken 2010, p.35).

However, some issues influence the organizations to integrate ICT to develop the tourism industry, such as

• Demand Creation: Buhalis and Law (2008, p.609) stated that online marketing introduces new trends and transforms customer behavior i

  Need help with assignments?

  Our qualified writers can create original, plagiarism-free papers in any format you choose (APA, MLA, Harvard, Chicago, etc.)

  Order from us for quality, customized work in due time of your choice.

  Click Here To Order Now

  ---