Make reservations for a new experience

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Make reservations for a new experience!
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• Experience economy
• Conceptual backgrounds
• Peter Kvistgaard
• CCG, Aalborg University

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Agenda

• Profound changes in peoples priorities
  (especially the Western world an overflow based
  economy)
• Experience economy in Denmark the search for
  common foothold and new tools
• Experience what might it be?
• Two opposing definitions of experiences (at
  least)
• The bringing together of the two opposing
  definitions
• Experience profiling a diagnostic and strategic
  tool

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Fundamental changes in consumption

• Consumers dont just want to buy products and
  services. They want to be stimulated through
  their senses
• Fundamental needs have been met long ago, and a
  much more individualised and selective type of
  consumption has seen the light of day

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Welcome to the Experience Economy(Die
Erlebnisgesellschaft)
External oriented motives of the production
society
Internal oriented motifs of the experience society
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Welcome to the Experience Economy(Die
Erlebnisgesellschaft)
External oriented motives of the production
society
Internal oriented motifs of the experience society
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Experiences defined

• Experiences have to be
• Engaging
• Entertaining
• Boundary breaking
• Value creating
• Educational
• Emotional appealing
• Memorable

The BMW Ultimate Driving Experience
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Experiences defined

• Websters Online Dictionary

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INFINITI more than a car!
We strive to make the experience of owning an
Infiniti just as extraordinary as driving one. We
vowed to make this a reality even before
developing our first automobile, because we
discovered that the happiest drivers are those
whose expectations are continually exceeded long
after leaving the dealership. Below, you'll
discover several components that create the Total
Ownership Experience aside from the Infiniti
vehicle you're driving, of course.
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Service branding ex.
Larger than life persona-lities! It is more fun
and disturbing to invite Robbie than Cindy
Craw-ford. Why? He might do crasy stuff!!! But we
dont know for sure!
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Harley-Davidson More than a motor cycle?
Harley-Davidson is more than a product. It is a
way of life. It is companion-ship. It is tattoos.
It is the experi-ences of the long and winding
roads.
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What is in a definition?

• Denmark
• Architecture, Performing arts, Books, Design,
  Edutainment, Events, Film/Video, Culture
  institutions, Toys/Attractions, Fashion, Music,
  Radio/TV, Commercials, Sport, Theater, Printed
  media, Tourism

• Norway
• Architecture, Design, Film/Photo, Arts,
  Literature, Market communication, Media,
  Meetings, Music, Meals, Performing arts,
  Tourism/travel, Experience based learning, Sport

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What is in a definition?

• Sweden
• Architecture, Design, Film/photo, Literature,
  Market communication, Media, Meetings, Music,
  Meals, Experience based learning, Performing
  arts, Tourism/travel

• UK
• Advertising, Architecture, The art and antiques
  market, Crafts, Design, Designerfashion, Film and
  video, Interactive leisure, Music, The performing
  arts, Publishing, Software, Software and computer
  games, Television and radio

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Six approaches to experiences in tourism
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Six approaches to experiences in tourism
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Experience economy in Denmark

• Experience economy was introduced officially in
  2003 with a Danish government report on Culture
  and Experience Economy
• Tourism research has been slow on picking up on
  the new (mega) trend often it has been claimed
  that is just the flavour of the day it will
  soon go away
• Municipalities and counties have waited to see if
  this really would soon go away
• Government agencies like VisitDenmark have acted
  indirectly on the new trend
• With the exception of a number of leading
  attractions, private business tourism operators
  have not taken the new emphasis on experiences
  seriously and today they are more confused than
  ever
• Indications of this can be found in the still
  faster growing number of conferences focusing on
  experience economy many focusing on a search
  for tools to use the potentials in the new economy

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Is this how the experience economy is seen??
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Approaches
Collectivistic view on audience (marketing,
economic)
Collectivistic view on experience
makers (sociological, social constructivist)
Individualistic view on experience
makers (psychological, phemenological)
Pine Gilmore (1999) and many more
Csikszentmihalyi (1990)
Schulze (1992)
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Experiences opposing approaches

• The economic rational definition, main arguments
  and points of view (Pine Gilmore 1999 Mossberg
  2001/2003 Danish Government 2003)
• Experience economy focusing on economy and
  marketing
• The producer is in focus with his objectives and
  means independent of consumer
• The producer designs and creates experiences that
  are sold to the consumers
• The objective is profit through designing and
  creating experiences
• People can be manipulated to having certain types
  of experiences through the use of certain and
  right kinds of stimuli

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Experiences opposing approaches

• The economic rational definition, main arguments
  and points of view (Pine Gilmore 1999 Mossberg
  2001/2003 Danish Government 2003)
• Output oriented creating and designing
  experiences to be sold
• Mode of success entry paying consumers that
  express satisfaction. Money is seen as an
  objective success criterion
• Mode of attention producers focus on the
  production and the consumption
• Vies on audience audience is mainly passive
  receivers of experiences
• Places controlled and controllable environments
  like attractions (amusement parks, museums etc.),
  restaurants, hotels and sports areanas

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Experiences opposing definitions

• The humanistic (social construtivist) definition,
  main arguments and points (Schulze 1992)
• Underlining the need for experiences as a basic
  human need
• The experiences as such are in focus with each
  person/the group. The experiences are dependent
  on the individual itself
• The individual creates its own experiences
  through reflection
• The individual constructs and deconstructs
  experiences and creates self staging and identity
• The objective is the experience itself and the
  feelings this experience gives. The experience is
  the rationale

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Experiences opposing definitions

• The humanistic (social construtivist) definition,
  main arguments and points (Schulze 1992)
• Mode of success Subjective criterion is used
  the feeling of an experience
• Each individual is in focus, and it cannot be
  manipulated into having any kind of experiences
  if it does not wish to
• Process oriented the creation of own
  experiences people are active creators
• Places everywhere in a forest, on the beach,
  in a town, in a swimming pool

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Flow conditions

• A challenging activity that requires skills
• The merging of action and awareness
• Clear goals and feedback
• Concentration on the task at hand
• The pradox of control
• The loss of self-consciousness
• The transformation of time

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An example Destination Rebild 2007
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Phenomenology

• Its main aim is the analysis and description of
  everyday life the life-world and its associated
  states of sonsciousness.
• It is claimed that people are not just formed by
  social forces but rather they create the social
  world themselves.
• Phenomenologists focus on the unique human
  character of social interaction.
• The world is not an object, but rather a living
  world in which people live and experience.
• Main critisisms
• Deals with trivial topics
• Is purely descriptive
• Has very little empirical application and
• Neglects the notion of social structure.
  (Dictionary of sociology 1988184)

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Approaches
Collectivistic view on audience (marketing,
economic)
Collectivistic view on experience
makers (sociological, social constructivist)
Individualistic view on experience
makers (psychological, phemenological)
Experience design
Experience facilitation
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The merger of definitions into one model?
Experience facilitation through Experience
Profiling
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Identification of core and supporting experiences
Actors
The destina-tion is the experienced
Common identifi- cation of Core
and Supporting experiences
The locals, the actors, and the tourists are the
experiencing
Locals
Tourists
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An experience profile as a diagnostic and
strategic tool
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Thank you for experiencing with you today!