1 

TOURISM MARKETING MKTG 4320 B DUBAI

 

1

L A N N D O N L I N D S A Y | P R I Y A N K A K A I N T H

2

  2 

TABLE OF CONTENTS I N T R O D U C T I O N

B A C K G R O U N D O F D U B A I

T O U R I S M M A R K E T I N G M I X A N A L Y S I S

A N A L Y S I S O F T H E P R O B L E M

R E C O M M E N D A T I O N

C O N C L U S I O N

A P P E N D I X A

A P P E N D I X B

R E F E R E N C E S

 

3 3 5 1 2 1 3 1 4 1 7 2 5 2 7

 

  3 

Located near the Persian Gulf, the city of Dubai has prosperity, opportunity, and international appeal. It

has been positioned as one of the top tourist destinations within the entire Middle East, and has generally positive

associations in the minds of consumers. Although Dubai has been marketed with a variety of tactics and

campaigns, not all attempts at developing the region into an effective tourist destination have been successful.

Maintaining this positioning as a world class tourism destination is critical to the continued prosperity of Dubai’s

economy. Global downturn has resulted in reduced GDP’s within the United Arab Emirates, and regional

instabilities threaten to undermine Dubai’s brand equity. Further, due to the decline of its oil reserves (its main

source of wealth) there is a need to reclaim the tourism allure within the city. This report is designed to familiarize

the reader with the historical background of Dubai, it’s past tourism marketing initiatives, and it’s shifting

strategic direction. Finally, specific recommendations and implementation strategies will be suggested, based on

factual research. These will also incorporate new technologies, such as Social and Digital Media platforms, that

Dubai does not currently engage with its target market. .

Geographic Location

Dubai’s geographic location is an important strategic feature. Due to its close location to other Middle

Eastern, Asian and European nations, it has been the United Arab Emirates’ (U.A.E.) financial and tourism center

for years. However, there are some drawbacks as the U.A.E. is a desert country. Summer temperatures in Dubai

often exceed over 50 degrees Celsius and make it very difficult to attract tourists during the peak travel period.

Such international tourists often come from environments with cooler climates. Finally, Dubai’s physical

relationship with other instable countries in the Middle East may make some travelers cautious of travelling to

this region.

Discovery of Oil

The 1960’s brought about radical shifts in the economic landscape of the United Arab Emirates. The

discovery of oil became a resource of significant importance in Abu Dhabi, and by 1962, it became the first

I N T R O D U C T I O N

B A C K G R O U N D O F D U B A I

  4 

emirate to export oil.i Overtime, wealth gained from exporting oil has been reinvested in the tourism sector and

has established Dubai’s growth.ii

Political Environment

The UAE is a federation of seven emirates: Abu Dhabi, Dubai, Sharjah, Ajman, Fujairah, Ras al-Khaimah

and Umm al-Qaiwain.iii The two largest emirates- Abu Dhabi and Dubai- provides over 80% of the income for the

entire U.A.E.

In 1989, the Dubai Tourism Board (now known as the Department of Tourism and Commerce Marketing)

was created, to properly manage the growing importance of tourism to the economic development of Dubaiiv. The

board oversees advertising campaigns for Dubai, and is in charge of branding the city. The DTCM is also in

charge of issuing any legislation relating to the tourism industry. Such legislation includes the classification of the

city’s travel accommodation, issuing travel permits for tourism operators, and licenses for events. A key initiative

of this department is the “Keep Discovering Dubai” campaign, launched in March 2011. The Place Marketing

strategy, partnered major stakeholders in the public and private sector including Emirates airline, Dubai hoteliers

and Destination Management Companies (DMCs). Over 2,400 travel trade and media representatives were invited

to experience the Emirates in less than two months, helping position Dubai as a first choice holiday and

conference destination.

Legislation for tourism planning and corporate strategy is strict and are often established to protect areas

of historical and cultural importance. In April 2011, it became mandatory for organizations that engage in tourism

promotion to enroll in an online training program. However, this is seen as a disadvantage when analyzed from

the perspective of tourist attraction. In August 2011, the Association of British Travel Agents (ABTA) urged

Dubai to behave “sensitively” and use discretion in response to visiting tourists breaking cultural laws during

Ramadan. These conservative cultural behaviours damage the perceived brand of Dubai, especially in the minds

of international travelers from Western nations, who prefer less restrictive environments. However, tourism

related legislation and its enforcement are expected to increase within the near future.

The main focus of new legislation efforts is the development of “Medical Tourism”. Many healthcare

operators have previously claimed that medical tourism was being constrained by a lack of specific legislation in

Dubai, particularly concerning legal contracts between patients and healthcare providers. Because of this, it is

  5 

expected that the government will introduce more specific legislation regarding medical tourism, introducing

official medical visit visas, enabling better monitoring, and protection of patients.

TOURISM HISTORY

Tourism in Dubai is a newly constructed industry relative to its competitive counterparts however; its

growth has escalated from its beginnings. Up until the 1950s, visitors arriving in this seemingly vast desert

expanse were required to rest at their hosts or colleagues accommodation, due to the lack of hospitality

infrastructure.v Within a decade, and coinciding with the discovery of oil, an international airport was established

providing a haven for travelers. In 1966, supporting hospitality establishments (i.e. small hotels) arose, thriving

off the growing economy. Recognizing the potential of tourism, key regulatory institutions were formed in the

mid-1980s, and catalyzed the development of the Dubai tourism cluster. Such included the formation of Emirates

Airlines, reliant on Dubai’s airport as its main transportation hub.vi In addition, the Department of Tourism and

Commerce Marketing concentrated on international promotions and positioning Dubai as a commercial hub and

resort destination. Private investment by hotel management company Jumeirah Group, catalyzed the growth of the

tourism cluster, generating 3.4 million annual tourists by the end of 2000.

At the dawn of the millennium, Dubai’s tourism cluster experienced exponential growth stimulated by

and emphasis in real estate projects investment. The Burj-Al-Arab, opened in 1999, was the first seven star hotel

in the world.vii The Palm Island Projects are designed to attract foreign private investment from the affluent, by

establishing the image of Dubai as a growing tourist destination. Because of the effectiveness of these projects,

investments from this market have increased substantially. A timeline summary of Dubai’s evolutionary

development can be seen in (Appendix A, Exhibit 1).

SEGMENTATION

An in-depth analysis of the specific target segments reveals that the tourism body mainly emphasizes

upon visitors, including business visitors, in-bound tourists, travelers, and locals.

Inbound Arrivals per Region

In 2010, 7.8 million tourists visited Dubai, with the UK, Saudi Arabia, and India dominating the

Emirate’s tourism market. Saudi Arabia is currently the fourth largest source market (as Dubai has two very

T O U R I S M M A R K E T I N G M I X A N A L Y S I S

  6 

active tourism promotion offices in Saudi Arabia), but is likely to become at least the second largest source

market by 2015, outperforming India and Iran.iii The UK remains the number one source market, but growth in

arrivals from Britain will be slower as economic conditions in Europe remain shaky during the forecast period.

Furthermore, India remains an important source market, and growth from this market will be strong in light of the

rapid economic growth in the country. Overall, Dubai will see faster growth in arrivals from Asia and the Middle

East, which will prove more solid than Europe in the period to 2015 (Appendix A, Exhibit 2).

i. Leisure Tourists

There were more than 5.5 million leisure tourists in Dubai in 2010iv, according to Euromonitor

International estimates. Leisure arrivals to Dubai are driven by the myriad tourist attractions available in the

Emirate. These range from pristine beaches to theme parks, museums, and outstanding real estate developments,

like the Burj Dubai. Dubai is also a shopper’s heaven, with a number of shopping malls where all the major

fashion, electronics and other brands are to be found. The latest addition to Dubai’s shopping malls, the Dubai

Mall, is the largest mall in the world. The Dubai Shopping Festival and Dubai Summer Surprises are two key

shopping events that take place every year, during which shoppers can enjoy discounts and promotional offers.

ii. Business Visitors:

Business visitors to Dubai account for about 25 per cent of total arrivals, according to Euromonitor

International estimates.iii These are driven by trade events and conferences taking place in the Emirates throughout

the year and promoted by The Dubai Convention Bureau. Dubai is also a key business hub and home to a number

of international companies’ regional headquarters, such as Tiffany and Co and American Life Insurance

Company, and it ranked 46th most business friendly destination in the World Bank-IFC list in 2008.

iii. Domestic tourism

Growth in the number of domestic tourism trips was slower in 2010 than in 2009, as residents of the UAE

were more reluctant to travel abroad in 2009, owing to the poor economic climate.iii However, in 2010, outbound

tourism started to pick up strength thus there was slower growth in domestic tourism. The number of trips taken to

Dubai in 2010 was 1.6 million compared to 1.4 million trips taken to the capital Abu Dhabi. Dubai is predicted to

see growth of 14% over the forecast periodiii, but Abu Dhabi will outpace all Emirates in terms of domestic

tourism growth, thanks to the developments taking place there. The main reason for visiting Dubai remains for

  7 

leisure purposes, including events such as the Dubai Shopping Festival, and visiting its lavish hotels and

infrastructure, which is far more developed than in all other Emirates, although Abu Dhabi is catching up quickly

(Appendix A, Exhibit 3).

iv. Expatriate Segment

International arrivals to Dubai have increased rapidly, with visits from Europe to Dubai rising by 205%

between 1999 and 2009, according to DTCM dataviii. For inbound tourism, expatriates have contributed by

attracting friends and families visiting them in Dubai. The main source markets are the UK, India, Iran, and Saudi

Arabia, with the first three being key expatriate markets for Dubai. The presence of so many expatriates from

different nationalities in Dubai has changed the overall feel of the city, making it cosmopolitan and hence to some

extent the “London of the Middle East”. Expatriates living elsewhere in the UAE also take weekend breaks in

Dubai to enjoy its various attractions, while businessmen visiting conferences generally stay in Dubai for a few

days. Local Emiratis are also important to the country’s tourism industry, as these are high spenders. However,

while international arrivals suffered, domestic tourism remained strong, with a large number of residents choosing

to stay in the UAE during the difficult summer of 2009.

CURRENT BRAND AND POSITIONING

Drawing upon a narrative of significant transformation from vast desert expanse to oasis of opulence,

Dubai heavily relies on its historic discovery of oil to craft its narrative. Its tourist gaze is constructed by

polysemic symbols of wealth.

Its current campaign ‘Definitely Dubai’ uses exaggerated symbols of a modern environment featuring its

grandeur of hotels, shopping malls, conventions, and meetings. These are contrasted by symbols of its historic

heritage and include its underdeveloped desert landscape.iii Such positioning highlights Dubai’s vast

transformation and suggests the diverse urban and rural environments that co-exist. The opposing contrast also

highlights the eternal struggle between Western progressiveness and Eastern conservativeness. An infantilized

environment that far exceeds the imaginative expectations of its tourists is produced wherein rational perceptions

of adult reality are relinquished to a dream realm of possibilities.

  8 

Dubai’s positioning incorporates various leisure-oriented activities and attractions for tourists, but is also

strongly highlights the region’s business hub. Many of its leisure tourism activities are centered on deserts and

sea, with attractive opportunities for adventurers (Appendix A, Exhibit 4). Dubai is also seeking to provide fun

for the entire family, with family-oriented events like the Dubai Summer Surprises and promotions attracting

parents and their children to the city. Competitive touristic differentiation occurs through offering cultural

undertones of Arabian luxury through its lavish hotels, designed to reflect the city’s Arabian character. Heavily

reliant upon branding of the “City as a Spectacle”, emphasis is placed on festival and spectacle events to uphold

its image. Dubai has become renowned as a major shopping destination, thanks initially to its tax-free

environment. The Dubai Shopping Festival has become a haven for shopping enthusiasts in quest of world-

renowned brands. In addition, its core elements (Appendix A, Exhibit 5) boast prominent restaurants (over 800

in total), illustrious hotels (over 50,000 rooms), annual global events (concerts, sporting events, laser and

fireworks shows etc.), and an airport serving as an intercontinental transport hub (i.e. Emirates Airlines, Holidays

and Arabian Adventures). Continuous development of momentous landmarks, for example Ski Dubai, Burj

Khalifa and The Dubai Mall, ensures the nation remains the pinnacle of architectural endowers (Appendix A,

Exhibit 6). As a touristic destination, its brand associations can be summarized as Business Friendly, Arabian

Luxury, Desert & Sea Adventures, Fun for the Whole Family, and a Shopper’s Paradise.

STRATEGIC POSITION

Dubai is among the key leisure destinations in the region, and certainly one of the most luxurious

destinations, if not the most. While some of the regional competition is also strongly leisure-oriented, like Muscat

and Beirut, there are some key differences between the types of leisure found in these destinations. For instance,

while Dubai is an entertainment and shopping city, Muscat is a much more traditional Arabian city, while Beirut

is a party city.v As a business destination, Dubai is seeing strong competition from Doha and Abu Dhabi, where

many conferences and events are taking place, and business is booming with strong economic growth as well

(Appendix A, Exhibit 7).

Critical evaluation of the strength of its strategic touristic position can be better conducted through the

use of Porter’s Diamond Model that analyzes the Factor Conditions, Demand Conditions, Related Industries,

  9 

and Competitive Structure within the nation’s tourism industry to determine its level of competitiveness

(Appendix A, Exhibit 8).

i. Factor Conditions

Dubai's ideal proximity between Asia and Europe has helped attract en route transit passengers seeking an

ideal resting point between their targeted destinations. Blessed with entrancing coastlines and tropical climates

entailing minimal rainfall, it provides the ideal escape for international tourists seeking refuge from bleak winter

months. However, harsh desert climate has labeled the nation uninhabitable for tourists during the summer period.

In addition, Dubai’s tourism industry benefits from its excellent physical infrastructure, and abundance of

immigrant labor. The physical infrastructure, in particular the fast growing airport, has provided Dubai’s tourism

industry with the tools to leverage its geographic location; 130 airlines operate out of Dubai International Airport,

flying to 220 destinations in 6 continents.viii As a result of continued investments in Dubai’s airport, the UAE has

consistently ranked in the top 5 of the GCR for airport infrastructure and is the 15th busiest airport in the world by

passenger traffic. There have also been strong investments to aggressively improve the local transportation

infrastructure through new roads and a metro system.

Dubai’s attractiveness to low-skilled foreign workers is particularly critical for a service sector like

tourism due to its expansive infrastructure development. At the same time, the lack of higher skilled workers has

resulted in shortage of managerial skills needed for the service-orientated sectors within this industry. The strong,

high paying financial industry in Dubai also creates competition for high skilled local talent. Dubai’s tourism

industry benefits from the state’s strong balance sheet, and its powerful financial sector. The companies in the

tourism industry are able to leverage these sources to finance their investments.

ii. Demand Conditions

Dubai’s demand has showed consistent growth from 4.3 million tourists in 2004 to 6.3 million tourists in

2008.iii The recent economic crisis however has caused a contraction in tourist demand primarily among European

and American tourists (declined from 2.8 million to 2.4 million visitors).iii In contrast, demand from neighboring

Arab countries increased during the same period from 1.5 to 1.7 million (Appendix A, Exhibit 9). As stated

previously in the factor conditions, Dubai does not have as many endowments of cultural heritage sites as

  10 

Morocco, Jordan, Oman, or Egypt and thus tourism has grown largely as a result of investment in infrastructure

(Bingeli et al, 2010). Instead, Dubai’s lavish shopping and high-end hotel industries largely drove demand from

high-income tourist segments. As with Singapore, Dubai has built a base investment of airports, ports, and

shopping infrastructure that is sufficient to drive future demand without the need to constantly build

megaprojects. Another important driver to Dubai’s demand was the tourism resulting from its foreign transit

passengers. Thus, when the economic crisis hit, these foreign tourists experienced contractions in their

discretionary income and consequently reduced their spending on leisure activities and travel.

Dubai’s relatively liberal policies, as demonstrated by having the highest alcohol consumption per capita

in the region, compared to its neighbors has attracted visitors from its more conservative Arab neighbors. It would

take other GCC states significant time to replicate Dubai’s liberal policies without causing political turmoil,

giving Dubai a sustainable advantage in this segment of tourism.

iii. Related and Supporting Industries

Dubai’s strategic location and forward-looking progressive policies has fostered the development of four

segments that were most influential in the development of its tourism industry: the transportation, retail, real

estate, and finance sectors. In the transportation sector, the airline industry was paramount in raising tourism.vi

Dubai’s airline industry started with the development of the Dubai International Airport in 1965. Since then the

airport has developed to be the busiest airport within the Middle East with over 4 million passengers handled in

March 2010 (Fuchs, 2011). In 2010, Al Maktoum International Airport was opened and will become the world’s

largest airport hence the airline industry will continue to be a strong driver for Dubai’s tourism industry. vi

Beyond airline transportation, Dubai has also built ports hosting cruise ships and was recently awarded as

the Middle East’s leading cruise port in 2010. Dubai has built more retail space than any other Gulf-Cooperative

Council (GCC) country and has more global retailer presence than any other global city with the exception of

London (CB Richard Ellis, 2010). These retail centers or malls have also built extravagant facilities that include

an indoor black diamond ski slope, aquariums, and indoor skydiving.vii The real estate sector has been the primary

driver for the development of hotels, with help from the finance sector for capital investment in these projects.

Jumeirah Group played an important role in developing the Burj al Arab, which serves as an important landmark

  11 

for Dubai. With over 52,000 roomsiii, Dubai is ranked as the fifth largest number of available rooms in the world’s

cities (Appendix A, Exhibit 10).

iv. Context and Strategic Rivalry

Dubai’s openness to foreign investment, secular policies, and diversification away from oil has led to an

environment that is conducive to the development of its tourism industry. The Government promotes open

competition in most sectors despite operating large state-owned companies that compete directly in each sector in

the tourism industry. For example, despite having its own national carrier, Emirates, Dubai’s open skies policy

promotes open competition between airlines and ensures that there is sufficient competition in the logistics sector.

Qatar and Abu Dhabi also appear as competitors through operating Qatar Airlines and Etihad respectively.

The DTCM is the leading body responsible for marketing the tourism industry globallyviii. So far, the

DTCM has led the international efforts to promote Dubai’s tourism sector. However, little has been done by the

DTCM to promote broad based collaboration between the players within the tourism industry. Amongst the

efforts that the DTCM engages in for domestic tourism promotion were the Dubai Shopping Festival in 1996, the

Summer Surprises in 2001, the Keep Discovering Dubai campaign in 2009, and more recently the Definitely

Dubai campaign in 2010. The earlier campaigns did little to demonstrate the need for collaboration amongst the

industry players due to consistent demand, but its subsequent contraction during the world economic crisis has

increased the necessity for greater co-operations among key players (Ketels, 2009).

Dubai is facing intense competition from its neighbors, as Abu Dhabi and Qatar are replicating Dubai’s

formula for success in driving demand for tourism through investment in infrastructure and events. Abu Dhabi

hosts a Formula One Grand Prix and is building the largest museum complex in the world. Qatar became

prominent after winning the 2022 Soccer World Cup bid and is also building its hotel capacityiv. As both Abu

Dhabi and Qatar are financing development with oil revenue surplus, it will be difficult for Dubai to keep up in

the race to build mega projects. Dubai openness to foreigners and its positioning as a hub for the Middle-East is

unique in the region, which could enable it to serve transit tourists as Singapore has done for Malaysia, Thailand,

Vietman, and Indonesia. The countries with a more rich cultural heritage such as Egypt, Oman, and Morocco are

facing civil unrest in 2011 and will unlikely be able to invest in infrastructure and attract foreign tourists. It is not

yet clear how the Middle East uprising will impact Dubai’s perception as a safe destination in the region. Dubai’s

  12 

liberal policies and wealth should isolate it from the region’s instability, but the tourist gaze, could still suffer.

In order for Dubai to strengthen its position as a world-class tourist destination, the actual problem must

be clearly stated, for feasible recommendations to be made. Currently, Dubai is seen to be a “fake” or unnatural

city. These “Staged Authentic” perceptions although preferred by many international tourists are viewed

negatively by potential domestic tourists. Such domestic tourists represent a significant untapped market and

Dubai’s negative brand perceptions destroy the heritage and the culture of the region. Too much emphasis on

Western commercialization destroys Dubai’s historic and natural authenticity that can be used to create an

advantageous strategic position. Dubai faces a difficult balancing act, interest in Staged Authenticity by certain

tourist segments, views investments in buildings and towers, as well as substantial real estate development,

favourably while locals and certain international segments deem it inauthentic. However, these aspects of the

property can be utilized as strengths, and are not inherently fatal. Therefore, a reposition of the current strategy

would help Dubai to take advantage of its assets, and to tackle and overcome the threats to its tourism

developments.

Swot Analysis (Appendix B, Exhibit 1)

Segmentation Changes

In order for Dubai to expand their potential as a world-class tourist destination, it is recommended they

focus on markets that they have thus far ignored. While marketing to Westerners has been a successful tactic,

ignoring other sources of tourists has led to negative brand perceptions about Dubai; many feel that Dubai has

become overly commercialized and Westernized. However, targeting Middle Eastern and Asian economies would

introduce a new class of lucrative tourist consumers. They would appeal to its authentic historic heritage and a

region that is in tune with its Middle Eastern traditions. Domestic tourism in Dubai is an area that has not been

tapped into extensively; the GDP for the UAE is increasing by 3% per year, indicating that travel within the UAE

is made more feasible by higher personal incomes.

The expatriate tourist segment also cannot be ignored. An increasing proportion of Dubai’s population

A N A L Y S I S O F T H E P R O B L E M

R E C O M M E N D A T I O N S

  13 

is citizens who are expatriates, coming from locations such as Asia, India, and Pakistan. These expatriates pose a

significant opportunity to increase inbound domestic tourism, as their presence in Dubai attracts family, friends,

and relatives to the city. Such seek a rich learning experience by being exposed to a new authentic culture that

differs from their cultural backgrounds. Hence, urban developments plans to Dubai should also be dedicated to

heritage conservation. Cultural symbols such as traditional marketplace souks, Bedouin lifestyles, and pearl

diving highlight the features that defined the nation before the discovery of oil. Emphasis on Dubai’s historic

background will also assist in diversifying from its commercialized gaze and provide greater options for those

tourists seeking specialty touristic packages (individualized mass tourism). It allows Dubai to differentiate itself

from competing world brand cities that relies on the gaze of luxury commercialization. The traditional Arabic

culture is unique to the region and differs from the ancient civilization promoted by Egypt. Although, it is quite

similar to other Arab nations (i.e. Oman, Iraq, Kuwait), many face political and civil unrest and are unable or

unwilling to expand its cultural tourism sector. Furthermore, providing newer tourist gaze will reposition Dubai

on the S-curve, from the Stagnation phase to that of Discovery and Development. Dubai already has abundant

resource of historic artifacts however minimal Marketing Promotion in such has not raised the level of awareness

to reach the critical mass and tipping point to (within this specialized segment) gain high levels of tourism

revenue. Hence, a cultural gaze will enable Dubai to remain fresh and appealing while also working seamlessly

with its current offerings.

Tourism Products: Attractions

Currently, tourism attractions within Dubai focus on appealing to Western sensibilities. These

attractions do not allow Dubai to take advantage of its rich cultural history, and creates feelings of inauthenticity

surrounding the Dubai brand. It is recommended that Dubai embrace this culture, and focus on creating authentic

attractions for tourists. This would not only differentiate the Dubai brand (as the Dubai environment cannot be

authentically duplicated anywhere else), but it would sure that local citizens are not dissatisfied with the portrayal

of the city, thereby increasing Dubai’s potential for inbound domestic travel. Under this approach, both internal

and external stakeholders would be satisfied.

Tourism products such as “eco”-tours, highlighting the natural phenomenon of the region, would greatly

attribute real authentic value to Dubai. Eco-tours would offer another advantage; they would combat the brand

  14 

perception that Dubai is simply a sterile, uninteresting desert, by linking the natural beauty and ecological

significance of the region to the brand image of the city. Further, the historical and cultural environment (the

history of civilization in Dubai) should be highlighted; this could be accomplished by selling “historical getaway

packages”, where discounts would be given to travelers who choose to be stay in a predetermined series of hotels

or accommodations, each located within the vicinity of a cultural landmark, or social area of significance. This

would remove the challenges many international travelers experience when trying to locate cultural landmarks in

Dubai, while linking the culture of the city to feelings of leisure and relaxing in the minds of consumers. Local

cuisine can be emphasized, and hotels can even be run in accordance to traditional practices. For example,

creating local Dewaniya spaces in restaurants for tourist guests, which are spaces that traditionally existed in

Bedouin tents for families to congregate and discuss events of the day. This is differentiated from traditional

Western restaurants as guests often sit on soft benches or floor cushions conversing over snacks (such as dates)

while consuming cardamom teas and Arabica coffee served by specialty clad waiters called Gahwaji.

Transportation as a Product

The cruise market has been growing at a rapid pace; this growth is likely to continue, which indicates

that cruising in the region can be taken advantage of in a strategic, sustainable fashion. A number of large cruise

lines have added the Middle East to their portfolio of destinations; due to its desirable geographic location. Dubai

is central in the Middle East route, which makes cruising the area an attractive idea to visitors. By expanding

cruising infrastructures within the region, such as port-of-call welcome centers and attractions along the coast,

Dubai can take advantage of the expenditures from cruising tourists who do not plan to stay for extended periods

within the city. In 2010, a new cruise ship terminal opened at Port Rashid, with a capacity up to four ships at a

time. Tourists willing to cruise continue to rise; this opportunity is lucrative for the city, as well as being an

attraction of significant enjoyment (and therefore contributive to positive brand equity for Dubai) for travelers.

Marketing Promotions

The Dubai brand is in clear need of revitalization. In order to bring the new developments to its

audience, Social Media and Digital Media should both be employed as tactics to promote Dubai’s newly

implemented recommendations.

  15 

Social and Digital Media Strategy: “Discover Dubai”

In order to position Dubai as an authentic cultural getaway, Social Media platforms should be set up, in

order to reveal authentic cultural, natural, and historical aspects of Dubai to target consumers. This will set the

stage for the newly implemented eco-tours and cultural getaways, and ensure that these products are met with

high demand. In order to fully engage these consumers, virtual tours can be set up online, on the DTCM’s

website. Digital media users can virtually stroll through a downtown market (known as a souk), explore

geological points of interest, and participate in cultural ceremonies and customs, all by interacting with realistic

video simulations. This strategy should convince the consumer to visit the real location, and strengthen the brand

equity that is currently lacking. In order to connect the website with the market, and to develop a sense of

community, Social Media should be used extensively. Facebook campaigns would encourage members to vote on

which tour should be “featured” for the month; the most popular tour, as chosen by the community, would be

narrated by notable historians, adding authenticity and legitimacy to the destination. Twitter campaigns would

keep followers up-to-date with events in Dubai that have a larger mass appeal. Many of these events would be

“cultural spectacles”, with traditional musical performances, dances, and ceremonies being a part of the Dubai

destination experience.

The digital media simulations can be assessed using polysemic structural analysis, where Dubai can be

segmented into different narratives for different consumers; there can be virtualized and animated storylines,

explaining Dubai’s transformation, development, economic growth, ancient history, and unique cultural

perspective through the dissemination of literary expositions. The “genre” of these tours would promote themes

such as leisure, festival, and spectacle. Finally, the symbols of Dubai would capture the essence of the cultural

and environmental image for the city, including motives such as traditional market imagery, scenic rock and cave

formations, and ancient infrastructures.

Using “augmented reality”, the tourist’s interactive digital experience does not have to end once they

arrive on location. Mobile digital technology can bridge the gap between the modern world and the historical

world. Making use of Dubai’s extensive Information Technology networks and cellular networks, consumers can

enhance their real life tours by using their Smartphones. For example, downloading a phone app can enable digital

technology to automatically guide tourists through historical or cultural points of interest, by sending them

messages with information, important historical dates and events about to a point of interest, biographies of

  16 

important people, and other recommended destinations. Users can then take pictures of their experiences and

share it friends and families on Social Media sites (i.e. Twitter or Facebook) to attract the appeal of other potential

tourists. This augmented reality would adapt the visitor’s gaze to exactly the perspective that tourism marketers

want them to see; it would give tourism boards a great deal of control while the tourist is interacting with the

product.

Dubai is clearly a city with a unique cultural, economic, political, and ecological set of circumstances,

all which, when combined together, pose an opportunity for an engaging tourism experience. However, certain

features of the past initiatives, like poor brand activation and segmentation issues, have threatened this lucrative

economical opportunity for the city. By following the above recommendations, and creating an activation strategy

that develops and enhances the brand by focusing on the authenticity and genuine inherent nature of the city.

Tourists can benefit from an engaging, fulfilling experience with the product, while Dubai can profit from its

strengthened brand image.

C O N C L U S I O N

  17 

APPENDICIES

  18 

EXHIBIT 1 : T IMELINE OF DEVELOPMENT OF DUBAI’ S TOURISM SECTOR

EXHIBIT 2 : DUBAI ARRIVALS BY COUNTRY 2010/2015

A P P E N D I X A

  19 

EXHIBIT 3 : DUBAI DOMESTIC TOURISM TRIPS 2010/2015

  20 

EXHIBIT 4 : DUBAI’ S ATTRACTIONS

ACTIVITY

DESCRIPTION

EAT ING OUT

• As a cosmopolitan and international city, Dubai is home to many restaurants serving cuisine from around the world.

• At the high end of the market there are some top Japanese restaurants, like Zuma and Okku, and French cuisine restaurants, like la Petite Maison, Café Chic and Reflets par Pierre Gagnaire.

• Most restaurants are located in hotels and are generally expensive. Value-for-money restaurants are available but the quality is generally subpar

SHOPPING

• Shopping is the leading leisure activity in Dubai, with the shopping mall culture being well entrenched among Emiratis and Expatriates.

• There are some 70 shopping malls and centres across the Emirate, with Dubai Mall the leader, followed by Mall of the Emirates, Deira City Center, BurJuman and Ibn Battuta Mall.

• Shopping festivals are also major events attracting inbound and domestic tourists to Dubai every year

ART AND CULTURE

• Arts and culture related activities are just emerging in Dubai, with Abu Dhabi and Sharjah holding the lion‟s share of this market in the UAE.

• Art Dubai and Bastakiya Art Fair are the most important arts-related events in Dubai.

• There are also many art galleries, with more opening each year. The arrival of London’s Christies is a highlight in this context.

  21 

SAND AND BEACH

• Outdoor activities in Dubai are very popular, especially beach-going, as the weather is suitable for more than six months a year.

• Desert safaris and camping in the desert, dune bashing and similar activities are also popular.

• Arabian nights are organised in the desert as well, to provide a taste of tradition and a glimpse of the nomad‟s life in the desert in the past.

ANNUAL LE ISURE

EVENT

• The leading leisure event in Dubai is the Shopping Festival, which, as an annual event has become a major tourist attraction. More than 3 million visitors visited the festival in 2010.

• In a similar move, the Dubai Summer Surprises was launched in 1998 to promote Dubai as a year-round tourism destination. The event takes place during 10 weeks in the summer, with a different theme for each week.

• This event has a more family-oriented approach, as it aims to attract children with their parents during their summer holidays. Dubai Summer Surprises attracted 1.9 million tourists in 2010.

• Art Dubai is a rising star in the events scene, drawing 20,000 visitors in 2011.

• It is set to become an increasingly international event in the future.

TRADE EVENTS

• Dubai is a popular location for trade events and exhibitions, although competition from Abu Dhabi and Qatar is mounting.

• Cityscape, Gitex and the Arabian Travel Market are among the most important annual trade events taking place in Dubai. There are many other events throughout the year, including the Arab Oil and Gas Show, Private Label Middle East, and Paper Middle East.

• These events attract regional and international businesses and businessmen mostly during the high season from November to May

  22 

EXHIBIT 5 : DUBAI’ S TOURISM INDUSTRY MAP

  23 

EXHIBIT 6 : DUBAI’ S LANDMARKS

EXHIBIT 7 : S TRATEGIC POSIT IONING

  24 

EXHIBIT 8 : PORTER’S D IAMOND MODEL FOR DUBAI TOURISM INDUSTRY

CONTEXT FOR STRATEGY AND RIVALRY 

 + Government DTCM catalyzes cluster development and undertakes combined 

markeFng acFviFes + PoliFcal and social stablility 

+ Fully open to foreign compeFFon ‐ Government‐owned airlines (Emirates Airlines and Flydubai), hotels (Jumerirah Group), and malls (Emaar Malls) have 

dominant market share  

DEMAND CONDITIONS  

+ Dubai's liberal social policies atrract regional visitors 

+ Majority of visitors are young married males who have significant discreFonary 

income  ‐ 71% of tourists are non‐Arabs, making cluster subject to internaFonal recessions 

 ‐ Significantly homogenous visitor basse comes for high‐end hotels and shopping 

  

FACTOR CONDITIONS  

+ Favourable locaFon at intersecFon of Europe, Asia and Africa 

+ Sub tropical climate and caostline + Abundance of immigrant labour 

+ Excellent infrastructure of roads, airports, marina, and metro 

‐ Limited natural resources (Oil)   

RELATED AND SUPPORTING INDUSTRIES 

 + Over 5,200 hotel rooms, on par with Hong Kong (major tourisFc desFnaFon) + Large number of sporFng events and industry conferences a^ract tourists 

+ Large, high‐end shopping malls a^ract internaFonal brands 

‐ No diversificaFon away from shopping  ‐ Overcapacity of hotels resulted in 

significant drops during financial crisis 

  25 

EXHIBIT 9 : NUMBER OF V IS ITORS (MILL IONS)

EXHIBIT 10 : REASON FOR V IS IT ING AND ACCOMMODATION CHOICE

  26 

STRENGTHS

1). Advanced Tourism Infrastructure

Dubai has one of the most advanced tourism

infrastructures in the region, including high-end

hotels and travel accommodation, and air

transportation infrastructure.

2). Leisure and Business Hub

Dubai is primarily a leisure tourism destination but is

also an important business hub, with a number of

trade conferences and events taking place there each

year.

WEAKNESSES

1). Seasonality

Despite efforts to make Dubai a year-round

destination, the summer heat makes it difficult to

maintain high occupancy and attract tourists between

mid-May and October.

2). Lacking Budget Infrastructure

Dubai is still very much perceived as a luxury

destination, where hotel and other accommodation is

expensive, and the city still lacks budget hotels.

3). Cultural dissonance

Dubai is not seen as a truly authentic tourism product,

due to the inherent conflictions present in the

different aspects that tourists engage with.

OPPORTUNIT IES

1). Eastern Markets

Some of the biggest companies have been targeting

the Middle East and other Eastern regions, such as

Asia, in recent years, and Dubai can potentially

generate significant traffic from these regions.

2). Intra-Regional Traffic

Focusing on travel within the region remains

important at a time when the world economy remains

shaky while Middle Eastern economies are

performing better.

THREATS

1). Regional Instability

Political protests and uprisings are causing more

turmoil in an already troubled region. This is likely to

affect traffic and may scare tourists away from the

Middle East.

2). Rising “Stars”

Regional rising stars threaten to steal market share

from Dubai; these include the UAE’s capital Abu

Dhabi, and Qatar.

A P P E N D I X A

A P P E N D I X B : S W O T A N A L Y S I S

  27 

 

 

                                                             i United Arab Emirates. (n.d.). U.S. Department of State. Retrieved December 2, 2012, from http://www.state.gov/r/pa/ei/bgn/5444.htm ii “The World’s 15 Biggest Oil Producers." CNBC. Web. 04 May 2011. http://www.cnbc.com/id/41887743/The_World_s_15_Biggest_Oil_Producers. iii United Arab Emirates: Country Profile. (n.d.). Euromonitor. Retrieved December 2, 2012, from www.portal.euromonitor.com.ezproxy.library.yorku.ca/Portal/Pages/Search/SearchResultsList.aspx iv Government of Dubai press release: http://pr.dubaitourism.ae/2011/02/28/dubai%E2%80%99s-hotel-establishments-serve- 8684387-million-tourists-in-2010/ v Xpatulator 2008 Survey: http://www.articlesbase.com/international-business-articles/expatriate-pay-dubai-most-expensiveplace- in-world-for-restaurants-meals-out-and-hotels-367735.html. vi Travel Weekly. "Dubai Starts Campaigns to Change Trade and Consumer Perceptions."Business Source Premier. EBSCO, 26 Jan. 2012. Web. 1 Dec. 2012. vii Ryan, Chris, and Ivan Ninov. "Dimensions of Destination Images—The Relationship Between Specific Sites and Overall Perceptions of Place: The Example of Dubai Creek and “Greater Dubai”." Business Source Premier. EBSCO, Oct. 2011. Web. 1 Dec. 2012. viii "Travel and Tourism in the United Arab Emirates." GMID. N.p., 28 May 2012. Web. 1 Dec. 2012. <http://www.portal.euromonitor.com.ezproxy.library.yorku.ca/Portal/Pages/Search/SearchResultsList.aspx>. 

R E F E R E N C E S