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Why are networks and industry relationships important to TWC? What other strategies could an eco-tourism business of this size use to source ideas and incorporate into its new product development strategy?

Tasmanian Walking Company: Balancing luxury and adventure in a sustainable experience Gemma Lewis, PhD University of Tasmania, Australia the organic skincare range supplied by LITYA (Litya, 2016). Before introducing this new activity, TWC had to adapt certain treatments to ensure they maintained ocus on sustainable resaurce usage. Their outecor bathing pavilian, for example, was only passible through the installation of additional rainwater tanks. li, during ummer, rainwater is scarce, TWC cease offering this spa treatment. In 2014, the new owners of TWC achieved their vision of adding a third product to the eca-tourism operation: the Wineglass Bay Sail Walk. This land-and-water tourism experience guides customers in smail groups around Maria Island, Freycinet Peninsula and Schouten Island. During the day, guests walk among the coastal wilderness and, af a night, enjoy three-course dinners aboard the companys luxury yacht, Lady Lugenie In October 2017, the company will launch a fourth eco-tourism product targeted to the true adventure seeker, the Three Capes Lodge Walk, in Tasmanias rugged south. This experience will offer customers a second long-distance and challenging bushwalk experience, similar to that offered by the Cradle Mountain Overland Track. Managing customer expectations and creating value Ensuring their guests have realistic expectations and are prepared for walking in the alpine or coastal wilderness can be challenging for TWC. On the TWC website potential customers can click on a page titled, Which walk is right for me?, rhere For over 25 years, the Tasmanian Walking Company (TWC) has been marketing they match up their interests and fitness levels with the three different walks curently multi-day guided walks; enabling people of all backgrounds and fitness levels on offe. A detailed itinerary for eech walk is also available online, so that consumers to experience some of the worlds mast iconic mountain and coastal scenery. can leam about what to expect on each day of their multi-day walk experience The founder, Ken Latona, was a pioneer in establishing accommodation-based walks At their company headquarters, TWCs small marketing and sales team are in Australia. Using his architeciural expertise, he won the right to design and develop responsible for managing the companys customer database and implementing the Cradie Mountain huts on Tasmanias world famous Overland Track. To this day, their pre and post-walk communications stretegies, Part of this pracess is gaining these remain the only private accommodation offering along the track. The Cradle insight into customer needs and identifying opportunities for new target markets Mountain Huts Walk has been enhanced and improved since its beginning some or new products. The sal es team are also respons ble for interacting with customers, 30 years ago. The most challenging and, at six days, the longest of TCs and managing the online reservations and booking system. experiences, the walk takes guests into the heert o Tasmanias World Heritage- listed Cradle Mountain-Lake St Clair National Park. Once consumers decide on their walking experience, TWC use pre-wal communications and direct marketing to generate the sale and ensure theirTWCs domestic customer profile comprises of mostly mature (45-65 customers have all the necessary preparatory information. After their iritial years of age) consumers living in urban areas and who are seeking a luxury, enquiry, customers are personally emailed an itinerary, a gear list and a link to adventure- and nature-based experience. They tend to be retired professicnals frequently asked questions (FAQs). TWC have also produced short videos (which e.g.doctors, lawyers)- in other words individuals with a high disposable income are emailed to customers or made available online) in which their guides explain and villingness to pay for a guided nature walk, rether than undertaking the the importance of certain equipment, such as proper hiking boots, thermal dothing experience independently and gaiters. In most cases, guests will have four to five real-ime conversations In addition to targeting high-income consumers in the Australian states of with TWC prior to arriving far their walk. This approach enables TWC to fully Victoria, New South Wales and Queensland, TWC target overseas tourists, and have understand the customers needs and, in turn, customers can ask questions and successfully raised their profile (via international trade shows) in the United States, volunteer feedback. TWCs small marketing team pride themselves on their ability the United Kingdom and Jepan. Interestingly, although Chinese tourists rank to provide this one-to-one interaction and personal service. Ihey understand that Australian beaches, the Ausalian wildife and Australian food and wine as their multi-day walks are out of the comfort zone for many of their custcmers; hence, top three attractions (Tourism Australia, 2015), they are not currently a target they place signicant emphasis on ensuring guests arrive in Tasmania feeling happy market for TWC possibly because they are less interested in consuming these and excited, rather than nervous and anxious experiences while undertaking a multi-day adventure walk. en customers arrive at the companys headquarters to commence their After many years offering just the one walking experience, TWC added to their waking experience, they are personally greeted by the guides and, over coffee, go product portfolio in 1999 when they launched the four-day Bay of Fires lodge Walk. through a ands on induction process and final brefing,All guests are required to This looking for a beach-walk experience rather than bushwalking (Tasmanian Walking the walking experience. During these formalities, TWC guides are also getting to Co, 2016). More recently, TWC have built an ecologically sustainable day spa at know the guests and establishing a positive dynamic among the group, which is the award-inning Bay of Fires Lodge, where guests can enjoy treatments usingnever more than 10 pecple. k allaws the company to tap into a new market segment consurners brng appropriate walking gear, which is checked by guides prior to departing foTWWC guides are suaject to intense training to ensure they deliver service and hospitality. They are the companys most important asset. Their actions, date is time-consuming for a small business and presents additional challenges knowledge of flora, fauna, history and geology, and their engaging personalities, all i add significant value to their relatar ships with αι tomers and between the guests offer des mean that the majority of custome crcated content in which T C s themselves. TWC staff are profiled on the TWC website and social media so that tagged, is positive. However, like all businesses, TWC must manage the risk of customers can begin to establish a personal relationship with the guides/company negative word of mouth spreading via this mecium. They do so via their post-walk as they do their research. high levels of Keeping the companys online community and social media presente terms of user controlled content. The high-quality and personal experience on communications with customers; in addition, guides are instructed to report any issues with the company in their fellow-up reports. Personal selling and marketing communications Not surprisingly, guided multi-day walks that combine sustainable adventure trave Understanding custamer needs, both now and in the future, is a vital element and contem porary luxuries are not a procuct every tourist can afford-for example o marketing success end their new product development strategy. Even a TWC walk currently rctails for approximately $3000 per person. TWC purposely when customers demand new features, such as day spa treatments, within the void targeting mass markets with their product, as maintaining small groups and guided-walk experience, TWC are able to deliver. Callaboration at an industry a feeling of exdlusivity adds value to the consumer experience. Fach walk is priced evel assists TWC to generate ideas from extemal sources, and stay on top of as a package, inclusive of transport to and from the destination, accommodation, market trends. The company are founding members of Great Walks Australia all mea s and a personal guide. Customers are expected to provide all of their own and Great Welks of Tasmania. Both networks comprise only guided walks that walking equipment, and can pay extra for spa treatments during the Bay of Fires pitomise quality and best practice in the industry. Great Waks of Australia, far Current and future customer needs example, has just nine walks in their collection, two of which are TWC products through attending travel and tourism trade shows, such as the Australian (Great Walks of Austrelia, 2016). Similarly, Great Walks of Tasmania currendly has Tourism Exchange (ATE), TWC are slowly building up their profile in international and oly sik members. As a member of these networks, TWC obtain new ideas for overseas markets.ATE connects Australian tourism businesses with wholesalers and additional services they can add to their product, and benefit from referral activity retailers from around the world, via a mix of scheduled one-on-one appointments between businesses. and broader networking events (ATE, 2016). TWC participete in this event on an Althogh other members of these networks offer similar wa king experiences, annual basis. In preparation for their attendance at the ATE, TWCs personal selling TWC do not view them strictly as competitors. Instead, by encouraging customers and salcs promotion activities commence approximately two months prior, as they o exerience other walks eround Australia, TWC and their fellow network identify-nline the wholesalers and retailers they would like to meet with at members are adding to demand for the sector as a whole. Once customers have the actual event. ATE organisers then match up TWCs preferences with those had their first guided-walking experience, they tend to want to exaerience a second wholesalers and retailers that have opted to speak to them. Upon receiving the n new location. For example, it a customer has visited Tasmania and schedule, TWCs Director of Sales and Marketing prepares herself for a busy four cormpleted a Maria Island walk (a product offered by another walking company). days of 15-minute meetings with approximately 100 inbound tour operators andi nterest and desire to complete a different guided walk on their next trip wholesalers, such as Flight Centre Global, where she explains the TWC product and is enhanced by the high-quality experience they have already had. TWC invest heavily in managing relationships with their customers so they will return and at new features are available for the coming tourist season.in terms of markering to the demestic market, TWC work clasely with public experience another product in the TWC portflio, or experience the same wak relations specialists to attract the right type of joumalists and media personalities again in a few years ime. They do so by keeping in touch with their customer base to participate in their guided walks, After immersing themselves in the experience, a e-ewsetters and social media, and offer return customers a discounted price journalists produce stories about the TWC offering, which are published in both their next TWC walk. print magazines and online travel blogs. Importantly, TWC can then share these aging the produc: life cycle (PLC) is another important aspect of TWCs stories, visual imagery and testimonials via their own website and social mecia. kg strategy. The Cradle Mountain Huts Walk is the most mature of their In addition to utilising testimonials by others, TWC encourage their customers to share their own experiences (post-walk) via social media and, in particular, photos they have taken. This type of prumotion is a key part of TWCs advertising strategy, and helps to engage new and future customers in an anline community. When TWC upload their own imagery and posts, they avoid using hard sales tactics and can subtly share content that is engaging and educational. TWC also ensure that any of their company blog and social media posts are relevant according to the season, so that followers get an accurate idea of what to expect if they were to experience a certain walk at that time of the year. For example, in winter, TWC will upload and share images of walkers going through snow and complement this with comments such as Rug up and get waiking or With the frst autumn snows falling in the mountains, its time to start making your winter plans. TWC also share high-quality educational videos on their Facebook page so potential customers can learn about native Tasmanian wildlife.products; however, TWC prevert sales from going into decline by continually (also known as the Green Army), to remove weeds from wildife sanctuaries or improving-among other things-the sustainable accommodation, food and wine to clean up rubbish from natural areas, such as Forester Beach (along the Bay on offer.The worldwide reputation of Cradle Mountain also helps TWC maintain f Fires Lodge Walk). Furthermore, when the company require new materials demand for this procuct. In addition, TWC maintain their exclusive rights to being such as staff uniforms, they conduct extensive research to ensure they purchase the only privete-accommodation provider along the Overand Track fall other from businesses who share the same values as TWC. Dealing with like minded walkers have tents and public huts as their only accommodation option). This gives companies is another important component of TWCs sustainable marketing the company a significant advantage in terms of access;, even when the weather is strategy, and helps to validate the message that they ughoid their environmental poor, TWC can still offer their customers a comfortable winter-walking experience. and social responsibilities. Other products in the TWC range are at different stages of the PLC. The Bay of Fires Lodge Walk and Wineglass Bay Sail Walk, for example, are arguably in Where to next? the growth phase, while the upcoming Three Capes Walk is still in the product Like any other small eco-lourism business, TWC are subject to the same challenges development phase. Having a range of walks at different stages in the PLC helps of seasonality, external market trends and competition. Yet, their dear focus an ensure that TWC maintain their profits well into the future. Furthermore, renting providing high-quality adventure experiences within the natural environment has the Bay of Fires Lodge out to otter businesses curing the off season for walking, provided them with a source of competitive advantage, which the owners are such as to photographers to run photography workshops, provides another revenue plnning to grow in ycars to come. Maintaining their points of difference recuires streem for the business. Social and envonmental sustainability Despite changing ownership over the years, TWCs core values have remained a triple-bottom-line approach to pratecing and enhancing nature and making a profit. Similarly, TWC must attract passionate and authentic staff to deliver their high-quality experience and uphold their company values. Having recently won Gold in the ecotourism category at the Qartas Australian Tourism Awards, TWCs future looks very bright.the same. The flat-structured company is built an the notion of environmental sustainability and social responsibility. Their tag-line ts in our nature has a dual meaning. First, the walks are based in Tasmania, which is the companys natural and physical environment. Second, and more importantly, every staff member employed by TWC is deeply passionate about environmentally sustainable dventure travel, and upholds these values in the luxury experience and knowledge they provide. Nature and environmental responsibility are very much integral to the organisation and underpin TWCs marketing strategy Sustainability is also a key element of the TWC brand. Right frorn the beginning the company have used environmentally sustainable practices and materials to build their guest accommodation, which is a periect example of providing madest luxury experiences in the natural environment. All builcings are solar powered; rainwater is colected in tanks and then recycled; heating uses renewable gas and food and living supplies are brought in and al litter taken away. These actions have assisted the ccmpany to gain Advanced Ecotourism certification, and win numerous awards at a national and state level. The company also follow best practice track guidelines on all of their walks, which ensure customers and guides follow designated trails, remove all waste and recycle wherever possible. Given their location in a World Heritage-listed national park, the Cradle Mountain huts are subject to the highest levels of envirormental scrutiny. However, TWC embrace these standards and, through their susta nable marketing, ensure they leave the natural environment in a better condition than when they arrived Through their sustainable marketing initiatives, TWC are focused not only on enhancing the natural environment for future customes to enjoy, but also on giving back to the community. The company, for example, buy a most all of thein produce and supplies locally. They make a point of using local cafés to source packed lunches for their customers as they travel to the starting point of their walk. This helps to support the local econcmies and business community in remote Tasmanian towns such as Derby and Sheffield, and provides regular and significant food orders that keep locals employed. In addition, TWstaff regularly volunteer to work with environmental oranistions, such as Conservation Volunteers Australia

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Answer #1

TWC is into high-value niche product space and relies on a personalized one-to-one relationship management with its customers. Networks and Industry Relationships are important to TWC for the following reasons:

1) They help TWC learn best practices and incorporate them into their business operations

2) They help generate new product development ideas by learning for each other's successes and customer experiences

3) Help generate referral business as customers with common interests like to experience multiple sites

4) Last but not the least, it helps grow the overall industry demand and market by creating and growing a community of people with similar interests and increasing their curiosity and awareness of the eco-tourism products, facilities and experiences.

The other strategies that an eco-tourism business of this size can undertake to generate new product development ideas are:

1) Use services of modern technologies like automatic bots which traverse relevant internet sites collecting key inputs on feedback and demands of people that they may be expressing on various social sites, forums, etc. Analytic algorithms can read this collected data and provide key insights for new product development.

2) Tie up with Corporates for their experiential learning programs which are gaining lots of traction these days. In fact TWC can partner with various high-end corporate trainers to develop customized experiential learning programs based on the facilities and experience available.

3) Considering these sites and experiences are greatly at peace with Nature, it would be interesting to tie up with some spiritual communities, gurus or networks like Yoga, Buddhism or Chinese traditional concepts which promote similar harmony with nature for personal enrichment.

4) TWC could also explore with event managers or specifically celebrity wedding planners to see if they can create concepts around eco-friendly destination weddings.

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