The Destination-Market Matrix:

Abstract

This paper proposes a new qualitative strategic market portfolio analysis model for the tourism industry that depicts the complex inter-relationship between a destination and the many markets it serves. The Destination-Market Matrix (DMM) is a descriptive 2 x 2 matrix that depicts six key market factors in a conceptually simple, yet highly descriptive manner. Portfolio analysis is a powerful strategic marketing tool, but no current portfolio analysis model specifically addresses the unique needs of the tourism industry. Existing models adopt a product specific focus which, for a number of reasons discussed in this paper, have little utility in real life tourism marketing situations. TourismAEs needs instead are best suited by adopting a market focus. By analyzing the contents of the matrix, called a NEST analysis, powerful insights can be gained into the current health of a destination area and its future strategic marketing needs.