2. Agenda
Introduction
PESTLE
Target Market Analysis
Market Entry
Competitive Analysis
Service Plan
Distribution
Advertising and Promotion Strategy
SWOT
Conclusion
3. Introduction
! Base Camp International Hostels is your “home
away from home” in Costa Rica, Nicaragua,
Ghana, Ecuador, Peru and Nepal (Basecamp
Hostels, paragraph 1)
! Base Camp offers volunteer programs, hostel
experiences, and internships internationally
5. PESTLE Analysis
! A country overview including a PESTLE Analysis for
Peru can be viewed separately here
6.
7. Target Market Profile
! Basecamp’s target market profile uses
demographic, psychographic, and geographic
profiles to maximize the effectiveness of our
marketing plan to our intended audience
Primary Secondary
Age 18 - 25 40 – 60
Gender Male / Female Male / Female
Location North America North America
Lifestyle Students seeking Retired or “mid-
valuable life-crisis” adults
international who need a
experience positive change
8. Target Market Analysis
! Basecamp allows anyone over the age of 16 to
volunteer
! Two distinct groups of international volunteers
! Students who need the international experience / value
! Adults who are looking for a change in their life
! Geographically, volunteers can now come from
anywhere due to globalization
! North American volunteers are prominent because of
access to programs such as Basecamp
9. Market Entry
! Basecamp international uses alliances for their
global market entry strategy.
! Basecamp collaborates with a network of other
companies in order to achieve their given projects/
objectives.
! Comparative advantages with companies that
operate Inside Peru allow Basecamp for offer lower
hostel costs per night than a standard price
comparable for a hostel in Canada or the U.S.
(Because of this Hostel.com has some of the lowest
hostel prices internationally)
! A diversification strategy in Basecamp has allowed
them to open volunteering programs in multiple
countries throughout the world.
10. Global Competitive Analysis
! Global Volunteer Network
! “The Global Volunteer Network (GVN) offers volunteer
opportunities abroad in 25 community projects
throughout the world” (Its your choice, paragraph 1)
! This global competitor has programs ranging from
teaching, healthcare, construction, and animal rescue
located all over the world
! Target Market = young travelers, volunteer workers
! Global Volunteer network uses their website to advertise
volunteering programs, deliver information to applicants
and consumers who want to volunteer.
! “Founded in December 2000 by Colin Salisbury, its
Founder and Executive Director, after spending time
volunteering in Ghana, West Africa”(Who are the Global,
Paragraph 2)
11. In-country Competitive
Analysis
! Developing World Connections
! “Developing World Connections provides International
Volunteer Experiences to people of all ages and
backgrounds” (Who we are, paragraph 1)
! Target Market = young travelers, volunteer workers
! Developing World connections uses their website as well
as websites advertising on other non profit organization’s
websites to advertise volunteer programs internationally.
! Also a global competitor, this company operates in Peru
doing the hands-on work of building educational and
community facilities in both rural Peru and in poor outskirts
of Lima
! Smaller volunteering company only supplying 13
volunteering destinations internationally.
12. Indirect Competition
! www.Hostel.com
! “Hostels.com is the ultimate resource for backpacking
and hostelling.” (About Hotstel.com, Paragraph 1)
! Target Market = young travelers, and backpacking
travelers.
! Hostel.com uses online advertising for customer
awareness of their hostel programs.
! “Hostels.com features the most comprehensive selection
of hostels on the internet with almost 35,733 hostels
listed.” (About Hotstel.com, Paragraph 2)
! Indirect Competition aimed towards attracting consumers
to backpack/travel rather than volunteer internationally
! Hostel.com offers more than 35,000 hostel locations
internationally for very low prices.
14. Service Plan
! Highlighted key aspects of service mode,
process, pricing
! Challenges of marketing a service abroad
! Comparison to competitive analysis
(Prices, Table 6)
15. Service Plan
• “Program fees covers all in country expenses and costs
including accommodation, meals, language training,
activities during orientation week and cultural training.
“ (Prices, Paragraph 1)
• Prior to setting up volunteer work, the process that
volunteer abroad undertakes includes, visiting with the
organization to fully understand the work being done,
and conduct a placement assessment.
• Part of Basecamps service plan includes online live
support to assist anyone visiting the website. This helps
increase consumer engagement with the services that
Basecamp provides.
• Comparing pricing, service mode, and process to other
international competitors, hostel.com offers much lower
prices on non-volunteer programs.
• International media availability makes advertising online
for basecamp programs access a wider range of
customers/ volenteers.
• Basecamp fees have on average more expenses
included in price than other hostel international
volunteer programs.
16. Drivers of Globalization
1 Environmental – international volunteers are
generally well received in each country
2 Market – international volunteering is prominent
and on the rise as global issues come to light
3 Cost – labour and operation costs are
comparatively lower in 3rd world /
underdeveloped countries
4 Competitive – other hostels are present in Peru
17. Distribution Considerations
! Channel Relationships
! Need to maintain relationships with partners in Peru
! Allows distribution throughout channels to move effectively
! Integrated Distribution
! Physical distribution can be aligned globally to save costs
! Grey Market Alternatives
! No alternatives for hostels
! Hostels are already considered part of the “Grey Market”; not
being a completely fundamental hotel
18. Advertising and Promotion
Strategy
Where? Peru / Worldwide
When? Over 2012
To increase
brand awareness
Why? amongst our
determined
target market
To our primary
and secondary
Who? markets (see
Target Market
Profile)
19. Advertising and Promotion
Strategy Considerations
! Positioning Differences
! Our two target market profiles can be advertised to
and reached through very different mediums due to
the difference in age
! Media Availability
! Advertising in Peru will be difficult
! Low on the Technological Rate Index, few
technology-based mediums available
22. SWOT Analysis
Strengths
Weaknesses
• Peru’s index for business
freedom of 72 makes it ideal for • Rule of law and levels of
Base Camp to do programs. corruption undermine prospects
• Popular destination for for long term economic
vulunteers and travelers looking development.
for a jungle like experience • Not safest country to volunteer/
• 8.8% growth of GDP last year travel in
with population of 28.9 million • 35% of population lives below
• Low conservations 4 week poverty line (Background,
volunteer program costs Paragraph 1)
compared to competitors.
Opportunities Threats
• Chance to increase market • Foreign ownership in the
share for traveling and hostel financial sector is also growing.
industry. • Rule of Law is not strongly
• Online presence makes Upheld
advertising available to a wider • High levels of government
international audience corruption
• Growth in international travel,
and volunteer programs
increase potential number of
travelers and volunteer
applicants.
23. Conclusion
! Weak PESTLE Analysis
! Keeping key considerations in mind can ensure
success of Basecamp’s implementation in Peru
! Be aware of cultural differences when trying to
glocalize
! Go for it.
24. References
! About Hostels.com.(March 19, 2012).Hostels.com. Retrieved from
http://www.hostels.com/credits.html
! Who we are.(March 20, 2012).Developing World Connections. Retrieved from
http://developingworldconnections.org/index.php/aboutus
! Who are the Global Volunteer Network?.(March 21, 2012). Global Volunteer Network.
Retrieved From. http://www.globalvolunteernetwork.org/about/
! It’s Your Choice.(March 21, 2012).Global Volunteer Network.Retrieved From
http://www.globalvolunteernetwork.org/programs/
! !Prices. (March 21, 2012). BaseCamps International. Retrived From
http://www.basecampvolunteerabroad.ca/sites/bc-volunteer-abroad/index1.cfm?
pagename=Prices&category=23&page=81
! !Base Camp Hostels.(March 21, 2012).Base Camp International Centers. Retrieved
fromhttp://www.basecamphostels.com/sites/bc-hostels/index1.cfm?
pagename=BaseCamp%20Hostels&category=109&page=520
! !Quick Facts.(March 21, 2012) . Peru Economy. Retrieved From
http://www.heritage.org/index/country/peru?query=peru:+index+of+economic+freedom
! !Regulatory Efficiency.(March 21, 2012). Peru Economy. Retrieved From
http://www.heritage.org/index/country/peru?query=peru:+index+of+economic+freedom
! Background. (March 21, 2012).Peru Economy. Retrieved From
http://www.heritage.org/index/country/peru?query=peru:+index+of+economic+freedom
