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Muslim Friendly Tourism:

Developing and Marketing MFT Products and Services

In the OIC Member Countries

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Mainstream and MFT focused travel booking websites/apps:

It is important

that all MFT services are highlighted with their MFT credentials on both

mainstream (e.g.

Booking.com, Trivago.com

etc.) and MFT specific travel booking

platforms (e.g.

Halalbooking.com, HalalTrip.com

, etc. There is an opportunity for

MFT online travel agencies to develop stronger awareness among consumers to

shift distribution habits in favor of MFT OTAs.

Traditional travel agencies:

Prominent traditional travel agencies serving major

Muslim travel source markets should be engaged for distribution of MFT products

and services.

HalalTravelWarehouse.com

,

LuxuryHalalTravel.com

and others

coming to market are digital travel agencies that would also be good platforms for

MFT product/ services distribution.

3.

MFT services pricing strategy prioritization

: Based on the analysis of the study’s

research findings, below are key ‘pricing’ strategy prioritization for MFT services:

Competitive pricing:

The consumer survey indicated that ‘cost’ is the most

important element in destination selection, therefore industry players need to

maintain competitive pricing and provide value. This means making a hotel/resort

fully ‘Muslim-friendly, i.e. Halal needs to maintain competitive pricing and not

expect to raise prices for lost revenue from non-Halal services (e.g. alcohol in some

markets such as Turkey.) In the case on Turkish beach resorts who have converted

to ‘Halal’ they have now shown sustained high occupancy and revenue growth

giving confidence that MFT focused products are competitively profitable

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.

There is an exception to competitive pricing in the case of upper income customers,

many of which are from GCC countries. For these customer segments, customers

are willing to pay more for a high end product and service. Another exception is

when demand exceeds supply as in the case of high seasons and especially within

certain products such as Turkish beach resorts.

Cautious premium pricing

: A paradox in the survey findings is that while

respondents seek ‘cost’ as the top travel destination decision criteria, 74% of survey

respondents indicated they are willing to pay more to receive products and services

tailored to their religious needs. Respondents suggested that suppliers may charge

5 to 10 percent higher prices for products and services that are highly tailored to

meet Muslim traveler needs. This response needs to be tested as the Study has not

evaluated cases of premium priced MFT products/ services. There seems to be an

opportunity for premium pricing, especially of value-added and premium products,

but this needs to be tested. Again this will be a function of supply/ demand. Hajj

and Umrah accommodation rates are highly premium priced compared to market

average but this also reflects the strong demand for the core Islamic Hajj/Umrah

travel segment.

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“Muslim-Friendly Beach Resorts: Opportunities and Trends.” Salaam Gateway/ DinarStandard. January 2016.