Strategic Planning Principle: Demand Optimization

Demand Optimization is the second of the four strategic planning principles and focuses on quality visits. Learn more here!

What is Demand Optimization? 

This principle focuses on creating a balanced visitor economy by aligning volume and value to maximize economic impact and visitor distribution.

Watch this video explanation of Demand Optimization

What is a quality visit?

A Quality Visit contributes more value than cost to your tourism economy. A quality visit will be different for each destination. Each destination much understand which types of visit will make the most positive impact on their community. Below are a few examples of what a quality visit might look like. In each scenario, these visits bring in more dollars from outside the community and help the destination in an area of need. 

  1. An overnight or multi-day trip, contributing extended tax revenue and spending for local benefit
  2. Occurs during low demand periods
  3. Follows high engagement with your recommendations of how, when, and where to visit
  4. Supports locally owned businesses, keeping profits within the community
  5. Is shared with friends on social media, creating ambassadors for your destination*
  6. Provides reasons to return*

* These characteristics are not directly measured in ZDOS® 

How do I identify a quality visit? 

Begin by analyzing hotel lodging needs based on occupancy rates. Understanding what a quality visit is for your destination - what are your need periods that would add value from a visit. These types of visits make a greater impact than a day trip visit during a high season. By creating briefs and tailored campaigns, you can effectively target your audience and refine your marketing strategies for different visitor segments to increase these quality visits.

How do quality visits impact my community? 

Another aspect of demand optimization involves assessing the feasibility of destination amenities such as sports complexes, conventions, or business and industry developments. Collaborating with accommodation partners to align strategies can further enhance the visitor and resident experience.

How does Zartico help me in Demand Optimization? 

To implement these strategies effectively, integrating modules like lodging core and STR modules for data analysis, along with movement and situational awareness modules, is essential. Leveraging tools provided by Zartico for ad hoc analysis and dynamic visualizations can offer valuable insights to drive quality visits and identify optimal periods for enhancing product offerings to boost demand.

From a geographic perspective, destinations can focus on developing vibrant regional areas to attract both visitors and residents. By analyzing visitor movement patterns and identifying opportunities for expansion, destinations can improve visitor experiences and drive demand growth. Understanding visitor preferences and behaviors is key to implementing successful strategies that drive sustained growth and ensure a thriving visitor economy.

Watch a demo of how to use your ZDOS® to optimize the demand in your destination

Want to learn more about Strategic Planning Principles? 

Read Strategic Planning Principles: Your Continuous Planning Tool

Read Strategic Planning Principles: Destination Leadership

Read Strategic Planning Principles: Marketing Strategy

Read Strategic Planning Principles: Impact Reporting