Ways in Which MSMEs within the Tourism Sector Can Improve Their Business

Are you a micro, small and medium enterprise carrying out tourism-related activities? Do you wish to improve your products and services to access a broader market locally and also globally?

Below are a few ways you could emerge the best out of many other similar enterprises:

1. Understand your initiative

The muscle you had to begin and follow through actively with an idea or mission is the pure definition of your initiative. Nurturing the idea and executing it to an extent of measurable success is your count of achievement. Always remember an initiative represents an enterprise’s readiness to embark on a new venture. Generally speaking, the motivation for an initiative arises from a desire to accomplish something that would benefit the enterprise, such as improving productivity, reducing costs or increasing market share.

2. Identify the gap

Within your target market, ensure you find out what is missing. Also, consider who will consume the product or service should you decide to supply it. Eventually, confirm that your proposed consumer needs match the product or service you intend to supply. As soon as you have identified the gap establish when and how to fill it. Studying the market could be the most crucial starting point towards achieving your objective.

3. Market research

This is the process of gathering information about consumers’ needs and preferences. This helps you to gain knowledge of the market trends and clients expectations. The information you acquire through the research is a powerful resource. It will enable you to make appropriate decisions in your business like pricing, packaging, labelling etc. For instance, if it is supplying an alternative or minimally explored service/product; determine the method in which you will make the consumers most prefer your products and/or services. Do your research well to ensure you adequately understand the demands of the business or market you are venturing into.

4. Sustainable Product Innovation

Have you taken time to determine whether your product adequately meets the need of the consumer? Are they satisfied after consuming it? Do you have a unique selling point setting you apart from other suppliers? Develop your product in such a way that it retains the aesthetic appeal of superiority beyond all other products of its kind to targeted consumers. This will ensure that your products command a high demand within the market. The experience consumers have with your products or services should remain incomparable to any other.

5. Branding

This is one of the most critical aspects of a business. It is the process of creating a robust and positive perception of your enterprise, its products or services in the customer’s mind. This can be done by combining elements such as logo, design, mission statement, and a consistent theme throughout all marketing communications. An effective brand strategy gives you a significant edge in increasingly competitive markets. Ensure you understand your brand’s life cycle all the way from inception to maturity.

Challenge: For whatever tourism product or service you offer, picture it displayed on a supermarket shelf alongside other similar ones and evaluate by yourself. If you were the buyer, would you pick your product or would another be more appealing?

6. Sustainable marketing and communication

Create awareness about the existence of your products and services. Describe them to your consumers and let them know what stands out about them. If you can, employ an individual with expert skills in marketing to help in promoting the visibility of your products within the market. It is an era of digital transformation and as a matter of fact, technology is driving the business world; make use of social media platforms as channels for your product promotion and marketing. These platforms include Facebook, Twitter, LinkedIn, Instagram, etc. You could also pay for sponsored Ads on YouTube.

7. Linkage to global initiatives

Are you focused or positioned to achieve any of the 17 sustainable development goals? What global change issue does your enterprise promote or address? The common global issues revolve around poverty alleviation, gender equality, climate change adaptation and mitigation, environment management and natural resource conservation among others. For example, if you are within the tourism industry, do you promote sustainable tourism or ecotourism? Your enterprise should ultimately serve as an agent achieving global milestones.

Big Question: How then can an MSME achieve all the above-provided ways of improving their operations?

• Do not work alone: Partner with other enterprises as well as local organizations within the tourism industry for learning exchanges and sharing of experiences.
• Sign up as members of any legit tourism associations to acquire technical support and training.
• Never stop doing research; seek information through the internet as well as printed data and reports, first-hand information resulting from interviews with people around you is equally essential. Knowledge will greatly benefit the growth of your enterprise.
• Enrol for engagement with global agencies for SME improvement such as International Trade Centre (ITC), She Trades (For women-owned businesses), among others
• Collaborate with relevant organizations operating in similar areas as yours.
• Maintain your vision of improving the enterprise and achieving its set objectives

Look out for our next piece on a similar exciting topic. You can read more about Ecotourism Kenya on www.ecotourismkenya.org

Thank you!

Compiled By:

The Research and Advocacy Team

programs@ecotourismkenya.org

«Information for Capacity Building»