The Effect of Music Festival Tourism on the Image and Community of Budapest - Gergö Jeles

Bachelor Degree Programme "Innovation and Management in Tourism"
University of Applied Sciences Salzburg
THE EFFECT OF MUSIC FESTIVAL TOURISM ON THE IMAGE AND
COMMUNITY OF BUDAPEST
BACHELOR THESIS 1 SUBMITTED TO THE UOAS SALZBURG
IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE DEGREE OF
"BACHELOR OF ARTS IN BUSINESS"
Author: Gergö Jeles
Student number: 1210430067
Date: 20.05.2016
Supervisor: Mag. Gerfried Fleckl

UoAS Salzburg, Bachelor Programme IMT | Gergö Jeles
I. Table of contents
The Effect of Music Festival Tourism on the Image and Community of Budapest........ 1
Bachelor Thesis 1 submitted to the UoAS Salzburg in Partial Fulfilment of the
Requirements for the Degree of "Bachelor of Arts in Business"........................ 1
I. Table of contents....................................................................................... I
II. List of abbreviations.................................................................................III
III. List of illustrations ................................................................................... IV
IV. List of tables ............................................................................................ V
V. Abstract ................................................................................................ VII
1. Introduction............................................................................................. 1
2. Festival tourism........................................................................................ 3
2.1 Festival Characteristics ...................................................................... 4
2.2 Festival tourism funds in Hungary ....................................................... 5
3. Tourist destination image formation ............................................................ 7
3.1 The impact of events and festivals on the city image ............................. 8
3.2 The positive and negative effects of festivals on a destination ................10
4. Music festival tourists’ motivators ..............................................................15
5. Festival Attendees and their loyalty............................................................20
6. Key stakeholders of festivals .....................................................................22
6.1 The festival host organization ............................................................23
6.2 The host community.........................................................................23
6.3 Sponsors ........................................................................................24
6.4 Media.............................................................................................24
6.5 Co-workers .....................................................................................25
6.6 Participants and audience .................................................................25
7. The city of Budapest ................................................................................26
8. Sziget ....................................................................................................27
8.1 Facts about Sziget in 2015 ................................................................28
8.2 Facts about Sziget in 2014 ................................................................29
9. CAFe Budapest Contemporary Arts festival..................................................30
9.1 Facts about café Budapest Contemporary Arts Festival..........................30
10. Conclusion..............................................................................................32
The Effect of Music Festival Tourism on the Image and the Community of Budapest .33
Bachelor Thesis 2 submitted to the UoAS Salzburg in Partial Fulfilment of the
Requirements for the Degree of "Bachelor of Arts in Business".......................33
Part II: Bachelor Thesis 2 .................................................................................34
11. The Empirical Research ............................................................................35
12. Starting Position and Objectives ................................................................39
12.1 Hypotheses.....................................................................................39
13. Research Strategy ...................................................................................42
13.1 Quantitative Research ......................................................................42

13.2 Strengths of Using Quantitative Methods.............................................44
13.3 Weaknesses of Using Quantitative Methods .........................................44
14. Research methodology .............................................................................46
14.1 Data Collection - Online research .......................................................46
14.1.1 Sample generation from an online community...................................... 47
14.1.2 Choosing the samples ....................................................................... 48
14.2 Validity and Reliability ......................................................................49
15. Questionnaire Design ...............................................................................50
16. Presentation of Findings and Data Analysis..................................................51
16.1 Demographic findings.......................................................................51
16.2 Questions about Budapest.................................................................55
16.3 Questions about Sziget Festival .........................................................58
16.4 Questions about Café Budapest Festival ..............................................65
17. Interpretation of Hypotheses.....................................................................72
17.1 Research question 1.........................................................................72
18. Conclusion..............................................................................................77
18.1 Implications of the study...................................................................77
18.2 Limitations and recommendations for further research ..........................78
VI. List of references.....................................................................................80
VII. Appendix ................................................................................................90

II. List of abbreviations
WTO World Trade Organization
UNWTO United Nations World Tourism Organization
CAFe Budapest Contemporary Arts Festival
Sziget Budapest Sziget Festival
PR Public Relations
HUF Hungarian Forint

III. List of illustrations
Fig. 1: The main characteristics of a festival............................................................................................................4
Fig. 2: Needs, motives and benefits offered by events ........................................................................................18
Fig. 3: The relationship of stakeholders to events................................................................................................22
Fig. 4: Sziget logo.......................................................................................................................................................27
Fig. 5: Hajogyari Island .............................................................................................................................................27
Fig. 6: CAFe Budapest Contemporary Arts Festival logo...................................................................................30
Fig. 7: Empirical Procedure......................................................................................................................................36
Fig. 8: Types of Hypothesis......................................................................................................................................40

IV. List of tables
Tab. 1: The impacts of events..................................................................................................................................13
Tab. 2: Approaches to event impact assessment ..................................................................................................14
Tab. 3: Decision making process (manifestation visitors) - PIECE ..................................................................19
Tab. 4: Age of participants .......................................................................................................................................52
Tab. 5: Gender of participants.................................................................................................................................52
Tab. 6: Nationality of the perticipants....................................................................................................................53
Tab. 7: Highest completed level of education of the participants......................................................................53
Tab. 8: Current marital status of the participants .................................................................................................54
Tab. 9: Description of the participants area where they live in ..........................................................................54
Tab. 10: Description of the primarily area of employment of the participants ...............................................55
Tab. 11: Responses regarding visiting Budapest ...................................................................................................56
Tab. 12: Most common information that came to the respondents’ mind ......................................................56
Tab. 13: Respondents´ general perception about Budapest................................................................................57
Tab. 14: Respondents´ main purpose to travel to Budapest...............................................................................57
Tab. 15: Responses regarding visiting Sziget Festival ..........................................................................................58
Tab. 16: The number of visits among the respondents who have been to Sziget Festival ............................59
Tab. 17: The number of respondents who went alone or in company to Sziget Festival..............................59
Tab. 18: Most frequently mentioned visit purpose among respondents, who have visited Sziget Festival.60
Tab. 19: Responses regarding the visitors´ quality of services, hygiene and security satisfaction of Sziget
Festival................................................................................................................................................................60
Tab. 20: Positive responses regarding the Sziget Festival´s ability to affect the image of Budapest............61
Tab. 21: Negative responses regarding the Sziget Festival´s ability to affect the image of Budapest ..........62
Tab. 22: Respondents´ general evaluation of Sziget Festival ..............................................................................63
Tab. 23: Responses regarding the Sziget Festival´s ability to boost the image of Budapest..........................64
Tab. 24: Responses regarding the Sziget Festival could best represent the image of Budapest considering
other Hungarian festivals.................................................................................................................................65
Tab. 25: Respondents suggestions regarding the Sziget Festival´s improvement to boost the city image of
Budapest.............................................................................................................................................................65
Tab. 26: Responses regarding visiting Budapest Cafe Festival ...........................................................................66
Tab. 27: The number of visits among the respondents who have been to Budapest Cafe Festival.............66
Tab. 28: The number of respondents who went alone or in company to Budapest Café Festival...............67

Tab. 29: Most frequently mentioned visit purpose among respondents, who have visited Budapest Café
Festival................................................................................................................................................................67
Tab. 30: Responses regarding the visitors´ quality of services, hygiene and security satisfaction of
Budapest Café Festival.....................................................................................................................................68
Tab. 31: Positive responses regarding the Budapest Cafe Festival´s ability to affect the image of Budapest
.............................................................................................................................................................................69
Tab. 32: Respondents´ general evaluation of Budapest Cafe Festival...............................................................69
Tab. 33: Responses regarding the Budapest Cafe Festival´s ability to boost the image of Budapest...........70
Tab. 34: Responses regarding the Budapest Cafe Festival could best represent the image of Budapest
considering other Hungarian festivals ...........................................................................................................71
Tab. 35: Respondents suggestions regarding the Budapest Cafe Festival´s improvement to boost the city
image of Budapest ............................................................................................................................................71
Tab. 36: Comparison between the average perceptions of those people who visited Sziget Festival, and
those who did not.............................................................................................................................................72
Tab. 37: Comparison between the average perceptions of those local Budapest residents who visited
Sziget Festival, and those who did not..........................................................................................................73
Tab. 38: Comparison between the average perceptions of those people who visited Budapest Cafe
Festival, and those who did not......................................................................................................................74
Tab. 39: Comparison between the average perceptions of those local Budapest residents who visited
Budapest Cafe Festival, and those who did not...........................................................................................74
Tab. 40: The main target audience of Budapest with...........................................................................................75

V. Abstract
Tourism is an important sector that contributes to the economic-growth of Hungary.
Though, Hungary has great possibilities in tourism, it is focused only on a couple of
places in the country at this time, particularly in the capital, Budapest. Tourism has
around 10% share in Hungary´s GDP production, the greater part of it is generated in
the capital. Furthermore, few places are truly known by foreign tourists and that is why
it is hard to attract tourists to visit other destinations. The aim of the paper is to ana-
lyse the Hungarian festival tourism.
Additionally, tourism produces social advantages for the host community in a way of
small and medium-sized enterprises development, creation of workplaces, improved in-
frastructures. This paper concentrates on the festival tourism sector and its effects on
the economy, environment, politics and the socio-cultural being of the host community.
Moreover, the affecting part of music festival tourism on the destination image for-
mation. This thesis proves that festival tourism induces destination image, but it can be
in a positive and negative way, as well. In the recent years, the number of cities that are
organizing festivals in order to attract visitors is increasing. Some festivals are even
fully financed by the government, in order to shape the image of the city. The main ob-
jective of the paper is to offer a practical study of the positive and negative impacts of
music festivals in terms of political, economical and environmental. To achieve this goal
Sziget festival and Budapest Contemporary Arts Festival will be utilized as case studies
in the case of Budapest as a destination.
The outcomes of the study show the fact that event tourism can be utilized by host
groups as a tool for destination improvement and branding, it can likewise convey nega-
tive effects to the group if not appropriately planned and organized. A general conclu-
sion is that events influence host groups mostly by building a destination image and by
community commitment. The research also gives an answer for in what extent does
these music festivals affect the general perceptions that the visitors and non-visitors
have about Budapest.
Keywords: Budapest, Budapest festival tourism, destination image, brand image

UoAS Salzburg, Bachelor Programme IMT | Gergö Jeles 1
1. Introduction
A music festival is a sort of art or cultural festival that frequently has a theme accord-
ing to a certain music genre. Generally, as there are different music classifications,
there are diverse sorts of music festivals, for example, classical, jazz, opera, pop or
folk. Various music festivals are held in different countries, all over the world consist-
ently. “Unlike concerts, where individuals are generally drawn to hear and view a live
performance of a specific artist, music festivals often involve a myriad of talent and
may or may not follow a particular genre” (Bowen, 2005, p. 155). Festivals are consid-
ered as tools in marketing and destination image creation. They are vital subject on
the base assortment of tourism research. (Gartner and Holecek, 1983; Getz and Fris-
by, 1988; Uysal and Gitelson 1994). Ray (2003) showed that, the festivals have serious
effect on the advancement of cultural tourism to the host groups. The festival coordi-
nators are currently utilizing the historical and cultural themes to build up the yearly
occasions, to pull in guests and to make cultural image in the host communities by
holding celebrations. Local society has a crucial role with their way of life and person-
ality in development of tourism through celebrations. Correspondingly, researchers
(Hall, 2001; Raj, 2003; Inkei, 2005) claimed that, events and festivals assume indis-
pensable part on social personality of local society, and have a major potential to pro-
duce cultural profundity and prosperity when they take into account out-of-region
grants, or sponsorships (Getz, 1997).
The main objective of the thesis is to offer a comprehensive and practical study of the
impacts of music festivals and events upon a city´s image. To achieve this goal, Sziget
Festival and the Budapest Cafe Budapest Contemporary Arts Festival have been se-
lected as case studies. In 2015, Sziget won the prize of one of the best major festivals
in Europe by the European Festival Awards (Sziget, 2015). With the analysis of these
festivals, the effects on the image of Budapest will be evaluated.
These events will be analysed regarding their efficiency as a tool to attract and pro-
mote tourism in the destination, and their effect on inbound tourism of the country by
conducting a comprehensive analysis of case studies and personal interviews.
Events and festivals have an important role in a city´s life. There were many changes
in the last decades of world economy. One of the most important of them is the in-
creasing competition (Chikán, 2006). More and more cities organise festivals in every
year, which creates an increasing competition between them. There has been a mas-
sive improvement in the festival industry, that the literature explains with the in-
creasing amount of people who are looking for active holidays, for instance not for re-
laxation but for new experiences, mostly cultural experiences (Getz, 2012).

The tourism industry of Budapest is making profit out of national and international
tourists who are visiting the music festivals. International tourists are extremely im-
portant because they may return later to explore the other parts of the country as
well. However, these music festivals´ target groups differ from each other, therefore
presumably they have different consumer behaviour.
The research aims at providing an innovative theoretical and practical overview on
the relationship between festivals and events on one hand and the city image on the
other. The main objective of the research is to find out in which ways the festivals and
events influence the city image of Budapest and in particular how music festival tour-
ism affects the image of Budapest. This study will provide useful information by add-
ing to the existing literature for both academics and practitioners.
The thesis intends to highlight the role of music festival tourism in the case of Buda-
pest, by providing a case study for two music festivals with different target groups. It
will also try to increase the knowledge about these festivals’ different target groups
and their visitors’ consumer behaviour. Moreover, it will analyse their perception
about the city by shaped by the events they visited. Furthermore, it intends to provide
useful information about the tourists´ opinion about the city from the point of view of
the Destination Management Organization.

2. Festival tourism
In order to make the further analysis understandable, the terms and the different
kinds of festival tourism will be discussed. Financial supports by the government are
crucial in the festival business. The following paragraphs will give a short view on
these subsidizations that happened in the last years.
Hungarian Festival Association (2009) defines festival as:
Festival is an event, whose aim is to provide joint entertaining or leisure-time
experience of high quality for the audience, focusing on one or more topics, be-
ing organized regularly at one or more scenes, with cultural, art, gastronomi-
cal, sport or other programs.
Similarly, to the international trends, the festivals are getting more prominent in
Hungary. The events and festivals that emphasis on one theme are common in Hun-
gary, and their success is presented in the increasing number of visitors. The different
events like art, gastronomic sport and music festivals are organized on almost each
day of the year. Music festival is important at national and international level, as well
since numerous young people visit the Sziget Festival every year (Lele, 2008).
Today´s festival tourism is deeply influenced by the traditions of festivals visits
formed in the last two decades. It is challenging not to be mixed up in the rundown of
festivals, since one is following the other, particularly in the summer season. Festivals
can be categorized based on different variables. By the term, we can recognize one-day
celebrations, celebrations of a few-days, one-week or even a few month celebrations.
According to attraction zone, it can be local, regional, national and international can
be recognized. Tourism specialists say that the events that can be reached by a travel
of minimum 60 kms and at least one-night stay are crucial from touristic perspective.
Another key point is the frequency of the festivals. There are two kinds of events, the
single and the periodical (Getz, 1991). Periodical events have significant brand-
development impacts, and the thesis will concentrate on these type of festivals.

2.1 Festival Characteristics
This chapter describes the different characteristics that a festival has. The following
terms need to be clarified in order to have a proper understanding considering the
following parts of the thesis. This list is based on a research that Getz constructed in
his Festivals, Special Events and Tourism book.
Fig. 1: The main characteristics of a festival
Source: Getz (1991, p. 326)
Getz describes twelve different festival characteristics. The first one is the festival
spirit that stands for the different values that the event reflect. Satisfaction of basic
needs is also an important factor. These needs can be physical, interpersonal, social
and psychological needs. Every festival has to be unique if they want to be sustainably
successful. This means that they need to have diverse programs and they ought to
have a distinctive image, promotions, location and an appropriate variety of food and
beverages. In the end, the visitor should gather an experience from the event that is
Festival
Characteristics
Festival spirit
Satisfaction
of basic
needs
Uniqueness
Authenticity
Tradition
Flexibility
Hospitality
Tangibility
Theming
Symbolism
Affordability
Convenience

outside the normal ones. Authenticity is a crucial factor of each events. In order to
make an event authentic, the participation of hosts, staff, performers and suppliers.
Traditions are important and it connects to the authenticity, as well. These are closely
associated with the community’s habits and traditions. Events needs to be flexible.
They are normally organized with minimal infrastructure. In the changing markets,
they need to be adaptable, therefore they need to prove an umbrella with different
variety of activities. Hospitality stands for the motivation of host community to partic-
ipate on an event. The paper will discuss the different effects that a host community
has to face with during an event. The tangibility aspect of a festival stands for the
experience that a visitor can have during the connection with a festival’s location and
host community. Theming makes the festival really unique. It can be physical mani-
festation of features such as tradition, authenticity and festival spirit. Symbolism is
when the parts of a production can relate to cultural values, political or economic ob-
jects. Affordability is another factor that is crucial for both the organizers and the vis-
itors. This means that the event can provide affordable leisure activities, social and
cultural experiences. Last but not least, the convenience, what is about the access to
leisure and social opportunities and activities (Getz, 1991 p.326)
The next section will describe the different financial activities that happened in the
last years in the festival industry in Hungary. This part of the thesis will highlight
the importance of this tourism activity, with the data that is collected about the vari-
ous financial funds by the government.
2.2 Festival tourism funds in Hungary
Festival tourism got high priority in the Cultural Tourism Strategy of the Ministry of
Education and Culture, as well. The strategy concentrates on the vital social occasions
(Cultural Capital of Europe, Hungarian Town of Culture and other important exhibi-
tions and international seasons), and at the same time numerous festivals were sup-
ported by the Ministry of Municipalities in the setting of National Cultural Fund. The
affirmation of celebrations is reflected by the way that the ministries concerned sup-
ported the occasions with billions of Forints (40 occasions got HUF 300 million in
2007, while 45 occasions got HUF 400 million in 2008 (Mányai, 2009). Additioanally,
smaller events had the chance to get HUF 800 million through regional projects in
2008. In 2009, the public project fund was HUF 700 million, from which 63 festivals
could get support. HUF 100 million was accessible for gastronomic events with cul-
tural goals. Festival tourism is additionally incorporated into the complemented tour-
istic investments of the New Hungary Development Plan: the celebration venue in
Tokaj got a financial support of more than HUF 2 billion (Mányai, 2009).

As stated by the Travel and Tourism Competitiveness Index (TTCI), European na-
tions are major ones among the most competitive countries considering the touristic
aspects. 139 countries were listed in 2011 on the touristic competitiveness rank. Hun-
gary was the 38th in 2011 (Turizmus Panoráma Bulletin, 2011).
In 2004 when Hungary joined the European Union, the number of foreign tourists
visiting Hungary was expanding gradually. About 34 million individuals went to
Hungary in 2004, which increased to nearly 41 million by 2009. The number of indi-
viduals going for festivals has expanded significantly. At present, there are 3,000 do-
mestic festivals listed. Now, around 33% of the Hungarian population is "festival fan".
The most famous ones are the gastronomic and pop music celebrations. A large por-
tion of the Hungarian individuals (9 out of 10) know no less than one Hungarian cele-
bration. As much as 68.5% of the Hungarians arranged going to celebrations in the
Year of Festivals. Aggregate of 65.1% of the Hungarians partook in no less than one
celebration between January 2007 and March 2010.
This part of the paper highlighted the fact that, festival tourism is an important way
to promote the destination in Hungary. The Ministry of Education and Culture, there-
fore give funds to these event coordinators, in order to boost the tourism in the area.
These events are quite important for the host communities, as well due to job crea-
tion. This kind if advantage is discussed in a more accurate and detailed way. The
next chapter discusses the image formation that a destination can have.

3. Tourist destination image formation
The previous sections of the paper have already discussed why festival tourism is im-
portant in Hungary, and how does it attract the tourists to visit the country. Festival
tourism has a crucial role in the destination image formation. The following chapters
will discuss how a destination image is created. Moreover, it will highlight the fact
that the consumers play an important role in how the image is perceived. In the fol-
lowing part, where the impact of events on the destination image will be discussed,
the paper will give a more detailed overview of how these events are taking part in
the image formation.
The perceived image that the tourists have about a certain destination plays a crucial
the in their selection process. The image that the tourists have about a tourist desti-
nation is ultimately influencing the final choice or behavioural intention (Chen and
Tsai, 2007), therefore it needs to be observed and analysed in order to fully under-
stand their demands and needs. Lawson and Baud Bovy explains the destination im-
age as, the expression of all objective knowledge, impressions, prejudices, imagina-
tions, and emotions that an individual or group about a particular location might
have. (Lawson and Baud Bovy, 1977). Other writers describe the image as a summary
of all beliefs, ideas and impressions that people ally with a destination (Crompton,
1979; Kotler, Haider and Rein, 1994).
Valls (1992) created a definition from the consumer´s point of view, defining the coun-
try´s image as a sum of consumer perceptions. Bigne, Sanchez and Sanchez (2001)
describe destination image as the personal interpretation of reality by the tourist. As
a consequence, the image that the tourists have about a particular destination is pre-
dominantly subjective, because it is based on perceptions that every tourist have
about the destinations where they have been before or heard of (San Martín and Ro-
driguez, 2008).
In any case, the most recent guidance for Tourism Marketing acknowledged that the
improvement of the image of a tourist destination depends on the purchaser's ration-
ality and emotionality, and the consequence of the blend of the two primary elements
(Moutinho, 1987, Gartner, 1993; Baloglu and Brinberg, 1997; Walmsley and Young,
1998; Baloglu and McCleary, 1999a, 1999b; Dobni and Zinkhan, 1990; Lin, Duarte,
Kerstetter and Hou, 2007) The first one is the perceptual and cognitive when there is
a priority of the significance and value given to every characteristics of tourist desti-
nations. To put it another way, the destination image is assessed by the characteris-
tics of its resources and attractions (Stabler, 1995) which inspire tourists to visit that
destination (Alhemoud and Armstrong, 1996, Schneider and Sönmez, 1999; Gallarza,
Saura and Garcia, 2002; Beerli and Martin, 2004; Govers and Go, 2005). The second is
the affective element, which means that, alluding to sentiments and feelings raised by

tourist destinations (Keller, 1993; Rial et al., 2000; Rial Garcia and Varela, 2008).
This emotional part is firmly influenced by the inspirations of tourists (Beerli and
Martin, 2004).
It is also substantial to mention that the cognitive component of the image considera-
bly affects the affective component (Holdbrook, 1978, Russell and Pratt, 1980; Anand,
Holbrook and Stephens, 1988, Stern and Krakover, 1993, Lin et al. 2007; Ryan and
Cave, 2007). This socio-demographic attributes of tourists likewise largely affect the
cognitive and affective assessment of the whole image (Beerli & Martín, 2004).
Along these lines, the general image of the destination is a blend of cognitive and af-
fective elements (Mazursky and Jacoby, 1986, Stern and Krakover, 1993), though the
real experience of having been traveling at a tourist destination significantly affects
the destination image from a psychological and sentimental perspective (Beerli and
Martín, 2004).
3.1 The impact of events and festivals on the city image
Urban communities have long used mega events, for example world fairs, expos, sport
occasions as a method to improve their economy, infrastructure and to develop their
image (Getz, 1991). Recent studies of city marketing and tourism have showed the
growing number of events (Law, 1993; Robertson and Guerrier, 1998; Waitt, 1999,
2003; Schuster, 2001). This trend can be connected to a general growth in competition
between cities for the essential stakeholders, like customers, investors and policy
makers. As an effect of the raising number of integration of the global economy, more
and more places are taking part in this competitive environment. Meanwhile, the in-
frastructure and services are becoming more and more similar. Cities, consequently
need to discover better approaches to differentiate themselves from their rivals. As
Paddison (1993) points out, city marketing is frequently used to support infrastruc-
tural developments. For instance, signature buildings are often included in the cities´
strategies in order to build up an image or brand, and also to have a competitive ad-
vantage, frequently for a great financial expense. Paddison (1993) also underlines the
relative inflexibility of such infrastructure based procedures. The high price to create
such landmarks is nevertheless among the most significant reasons why occasions
turned into an undeniably important aspect of inter-urban competition in these years.
Occasions are adding flexibility to fixed structures, and also adds to the image value
of a landmark. Hall´s research also highlights that, festivals and events have an effect
on the image “hallmark events may be regarded as the image makers of modern tour-
ism” (Hall, 1992, p. 155).

Events might also inspire people to visit a place more than once, and by organizing
distinctive occasions, a city might profile itself in various diverse potential markets.
Urban communities, therefore rival fiercely for the honour of facilitating occasions, for
instance the Olympic Games, the World Cup Final or a World Expo (Hall, 1992). Ur-
ban areas have ended up as stages for a consistent stream of occasions, which lead in
the long run to the "festivalisation" of the city and “festival marketplaces” (Harvey,
1991). With the development of the “symbolic economy” (Lash and Urry, 1994; Zukin,
1995) and the “experience economy” (Pine and Gilmore, 1999), society has gotten to be
increasingly significant as a method for consuming the city (Ritzer, 1999). In such an
atmosphere, cultural occasions in particular have risen as a method for improving the
picture of urban areas, adding life to city boulevards and giving the local society a
pride in their home city.
This improvement of community pride and destination picture following an occasion
has been alluded to as the “halo effect” (Hall, 1992), the “showcase effect” (Fredline
and Faulkner, 1998) and the ‘feel- good effect’ (Allen et al., 2002). Zukin (1995, p. 268)
argues that:
Culture is a euphemism for the city’s new representation as a creative force
in the emerging service economy ... [and that] ...culture is the sum of a city’s
amenities that enable it to compete for investment and jobs, its ‘comparative
advantage’ (Zukin, 1995, p. 268).
Zukin´s perspective of “culture” as covering every services of a city shows the fact that
the concept of “culture has extended to take not just “traditional”, “high” culture at-
tractions for instance museums, theatres or concert venues, but also encompasses the
elements of “popular” culture, like pop music and fashion (Appadurai, 1990). High
culture and popular culture have turned to significant sources for the images which
are used to strengthen the “brand image” of cities (Kearns and Philo, 1993).
Expanding rivalry between urban areas in a congested field of images is one of the
main considerations empowering cities to accept such branding strategies, or even
“hard branding” (Evans, 2003; Meurs and Verheijen, 2003) that tries to change fixed
cultural capital into competitive advantage through the arranging of cultural occa-
sions or the construction of cultural landmarks. As Hannigan (2003) proposes, an ef-
fective brand ought to be an immediately recognizable and it should have a point of
identification for consumers in a swarmed commercial place.
Marketing management requests an attentive analysis of the brand image that is
broadcasted in the market. The image will have an effect on the consumer´s choice.
Brand management frequently relies on a medium-long term strategy, that bases on
the objective of the brand (Moutinho, 1987; García, 2002; Rial, & García Varela,
2008).

Bauerle (1983) considers brand image as a mental representation, while Costa (1987)
characterizes it as a mental representation in the collective memory of a stereotype or
an arrangement of properties that can affect and change buyer conduct. Both writers
(Bauerle, 1983; Costa, 1987) present the idea of brand image as a mental representa-
tion. Keller (1993) characterizes brand image more concisely as an arrangement of
observation about a brand, i.e., the associations that the consumers have in their
memories about a certain brand.
Brand image is characterized by an intense subjective part and is in this manner hard
to work with. Along these lines, a standout among the most critical points for brand
management is the presence of Public Relations (PR) which, as Avenarius (1993)
states, turns into a tool empowering associations to work strategically with brand im-
age to build up the coveted corporate image when utilized with consistent and coher-
ent communication. In particular, Hunt and Grunig (1994) characterize the system of
PR as the procedure of managing communication between an association and its open
market.
Alluding to the procedure required by PR, Marken (1994) brings up that such connec-
tions make it feasible to secure the image and notoriety of associations. In this way
image and notoriety get to be basic components for business accomplishment and are
not abstract, and reputation is the arrangement of values that stakeholders link to an
organization depending on their observation and translation of its brand image.
This part of the thesis discussed how an event impacts a destination´s image. Moreo-
ver, the importance of brand image and its affect on the consumer´s choice was also
mentioned. The next part of the thesis highlights the positive and negative effects of
festivals on a destination.
3.2 The positive and negative effects of festivals on a destina-
tion
A lot of studies relating to art festivals affirm the effect of music festivals, this incor-
porates more intense place promotion, city image improvement, tourism improve-
ment, and financial development. The cultural effect of events is firmly identified with
commercial tourism and is attached to the local economy and venue advancement.
(Grodach & Loukaitou-Sideris, 2007; Richard & Wilson, 2004).
Arts festivals are connected to the spots they are held in. Edinburgh Festival, Cannes
Festival and the Salzburger Festspiele, include the name of the city in the festival
name. Prentice and Andersen (2008, p. 22) state that festival tourists may have more
sophisticated images of festivals if this involves place. This connection with an area
can perfect the image of the city.

Music festivals likewise add to the advancement of tourism. Felsenstein and Flesicher
(2003) contend that festivals are utilized as a way to help tourism escalate across the
world (2003, p. 385). As an after effect of a more intense image and more visitors, the
host urban communities and groups of festivals appreciate monetary advantages that
spread to different sectors, as well. Waterman (1998, p. 262) confirms that “cultural
facets of festivals cannot be divorced from commercial interests of tourism, regional
and local economy and place promotions”. Festivals have a number of impacts on the
host city such as, economic, cultural, social, environmental and so on. These have pos-
itive and negative effects on the host cities, as well. The positive stream of revenue
into a destination ought not be the main variable considered while deciding the clear
accomplishment of an occasion. The negative social effects of an occasion can do in-
credible damage to the eventual fate of an event and its host area, and ecological ef-
fects might bring the unexpected passing of an inadequately managed event or festi-
val. There are numerous other positive effects that might counter negative financial
effects. An event that scatter the seasonality of tourism in an area additionally evenly
spread the stream of money into a destination, expanding the open doors for full-time
employment. The presentation of more full-time occupations into a region creates
numerous positive and negative stream on impacts in that area. Hence, these impacts
are measured through the utilization of what are termed multipliers. To determine
the success of a festival both sides need to be considered, however more effort tend to
be put on positive effects. “It is reported that festivals contribute to the local regenera-
tion and prosperity of the destination. This is because it generates new employment
opportunities” (Prentice and Andersen, 2003; Smith, 2004). It also boosts the im-
provement of the infrastructure. Bachleitner and Zins (1992) stated that festival tour-
ism contributes to locals learning, increases the community pride, identity, and also
raise the opening of small and medium sized family enterprises. Furthermore, cultur-
al festivals help to establish multicultural and intercultural communication between
the hosts and the guests (Sdrali and Chazapi, 2007). Falassi (1987, p. 2) defines cul-
tural festival as:
A periodically recurrent, social occasion in which, through a multiplicity of
forms and series of coordinated events, participate directly or indirectly and
to various degree, all members of a whole community, united by ethnic, lin-
guistic, religious, historical bonds, and sharing a world view.
Festivals and events are considered now as promoting tools for destinations. They are
a strong contributor to the society. They also support, build and affect the city image,
generate employment for artists and host community and gain the cultural diversity.
The consequence of an event may be ostensible before the occasion begins, during the
occasion or after it. The impact may be felt by different sectors like stakeholders
counting members, regional business and the local society. An event will influence
individuals in diverse ways, therefore there may be prejudice in the distribution of

effects and advantages. Positive effects are the consequence of prosperous events. It is
the obligation of the occasion´s coordinators or supervisors to attempt to keep positive
effects and not the negative ones.
It is essential to consider whole outcomes to accomplish a positive effect of the occa-
sion. The host group ought not overlook that the events are potentially spend money
on diverse sectors such as, food and beverages, lodging, transportation and other facil-
ities.
In any case, the 'triple primary concern' of social, monetary and natural objectives
ought not be underrated, because government policies usually recognize them. For
example, social and cultural advantages have an indispensable influence in the esti-
mation of an event´s general effect. Underneath the table, the main effects of the oc-
casions are examined from both positive and negative viewpoints (Allen, O ́Toole, Ha-
ris & Mcdonnel 2011, p. 60).
IMPACTS OF
EVENTS
POSITIVE IMPACTS NEGATIVE IMPACTS
Social and cultur-
al impacts
Shared experience Community alienation
Revitalization of tradition Manipulation of community
Building of community pride Negative community image
Validation of community group Bad behaviour
Increased community participa-
tion
Substance abuse
Introduction of new and chal-
lenging ideas
Social dislocation
Expansion of cultural perspec-
tives
Loss of amenities
Political International prestige Risk of event failure
Improved profile Misallocation of funds
Promotion of investment Lack of accountability
Social cohesion Propaganda
Development of administrative
skills
Loss of community owner-
ship and control
Environmental Showcasing the environment Environmental damage

Tab. 1: The impacts of events
Source: Adapted from Allen et al. 2010, p 61.
Getz (1994) proposes that there are five distinctive methodologies that can be utilized
for Event Impact Assessment. Table 2 demonstrates these different methodologies,
their objectives and regularly utilized measures for their evaluation. The way to any
of these strategies is to acquire exact information and data whereupon to assess the
events monetary effect.
Provision of model for best prac-
ticing
Pollution
Increases environmental
awareness
Destruction of heritage
Infrastructural legacy Noise disturbance
Improved transport and com-
munication
Traffic congestion
Urban transformation and re-
newal
Tourism and eco-
nomic
Destination promotion and in-
creased tourist visits
Community resistance in
tourism
Extended length of stay Loss of authenticity
Job creation Damage of reputation
Business opportunities Exploitation
Increased tax revenue Opportunity costs

APPROACHES GOALS COMMONLY USED MEASURES
Break-Even or
Profit/Loss
- Short term assessment
of financial efficiency or
solvency
- Measure direct costs and revenues
to organizers Determine surplus
or deficit (profit or loss)
Return on Invest-
ment
- Show the benefits of
grants or scholarship
- Calculate ROI for pri-
vate investors or owners
- Determine the relationship be-
tween grants/scholarship and lev-
els of visitation or economic bene-
fits Use standard ROI accounting
practices
Economic Scale
- Determine the economic
scale of one or more
events from the destina-
tion perspective
- Measure total attendance and ex-
penditure of event consumers,
plus organizers’ expenditures
Economic Impact
- Determine the macroe-
conomic benefits to the
destination area
- Estimate direct and indirect in-
come and employment benefits
- Often uses multipliers or econo-
metric models
Costs and Benefits
- Evaluate the costs and
benefits from the per-
spective of the host
community and envi-
ronment
- Determine the net work
value of the event
- Compare tangible and intangible
costs and benefits short and long-
term
- Assess opportunity costs of in-
vestments
- Examine the distribution of im-
pacts
- Judge the net worth and accepta-
bility of the event(s)
Tab. 2: Approaches to event impact assessment
Source: Getz 1994
Numerous event coordinators and provincial and local tourism associations analyse or
wish to analyse the economic impact or macroeconomic advantages of their events or
festivals upon the destination, through evaluating the direct and secondary ad-
vantages of facilitating their festivals at the destination district. This methodology
frequently utilizes either business or customer surveys and also multiplier or econo-
metric models.
After the description of the positive and negative effects that can have a music festi-
val, moreover the different approaches that can be utilized by event conductors, the
next chapter describes the various motivator factors that can boost the music festival
tourists´ intention to visit an event.

4. Music festival tourists’ motivators
In the last decades’ festival and event tourism became one of the quickest developing
areas of the world leisure industry (Getz, 1991; Nicholson & Pearce, 2001), therefore
more and more researchers analyse these sectors of the tourism. Furthermore, besides
the regular topics such as economic impact, marketing strategies of mega-events, and
festival management (Getz, 1999; Gnoth & Anwar, 2000; Raltson & Hamilton, 1992;
Ritchie, 1984), there are more researches focusing on the motivations of the visitors.
It became a fact that, motivations or the “internal factor that arouses, directs, and
integrates a person’s behaviour” (Iso-Ahola 1980, cited in Crompton & McKay, 1997,
p. 425), leads to better planning and marketing of festivals and events, and better
segmentation of participants.
Crompton and McKay (1997) were the first who described why the analysis of the mo-
tivations for festivals are so crucial. According to them, studying festival and event
motivation factors is important for understanding the visitors´ decision making pro-
cesses. Moreover, it is a helpful tool in the service creation process. The association
between tourists´ socio-psychological necessities and festival participation motivation
has given a good starting point for the studies in the topic (Crompton, 2003).
Getz (1991, p. 85) connected Maslow's frequently utilized hierarchy of human needs to
tourists´ travel motivators, and the benefits that an event or festival can provide
them. In this manner, Getz proposed that guests' needs and travel inspirations might
be satisfied by taking part in festivals and occasions. In other words, going to festivals
and events is a compelling approach to fulfil one's social-psychological requirements.
Maslow´s Hierarchy of Needs involves five level of needs in hierarchical order. These
needs are physiological, safety and security, social, self-esteem and self-actualization.
Maslow said that customers want to fulfil their lower level needs at first, then they
seek to satisfy their upper level needs. The model acknowledged that there is some
cover between the levels, since there is no need that it is ever completely fulfilled. As
one climbs up on the need hierarchy, one moves far from fundamental biogenic needs
to more psychogenic needs. In this procedure, the individual develops "psychologically
and comes to develop more wants and to seek a greater variety of ways to satisfy par-
ticular motives” (Loudon and Della Bitta 1993, p. 334). Maslow's Hierarchy of Needs
gives a helpful system to observe the motivations in general, despite the fact that it
has had restricted achievement in foreseeing particular behaviour (Loudon and Della
Bitta 1993).
From the tourism point of view, for instance, in spite of the fact that an individual
might be working at an upper level in Maslow's Hierarchy, travel choices have regu-
larly been observed to be controlled by safety necessities which mirror the significance
of a lower level need. This model additionally gives a helpful means for segmenting

the market, but as a consequence of the nature of motives, it is hard to test this model
empirically. Once an extraordinary event coordinator has a comprehension of what
motivates a group of customers to visit events and festivals, or actually what blocks
others from going to, it is feasible for the coordinator to alter the events´ special offers
and to guarantee the maximum fulfilment of the target segments´ demands. However,
it is infrequent that organizers consider the thought motives of non-buyers or non-
participants but doing as such can upgrade the comprehension of buyer or participant
intentions (Ross 1994).
Another way clarify travel motivation is the harmony between "push" and "pull" fac-
tors (Crompton 1979). Push factors, for example, relaxation, escape, want for sociali-
zation, and respect, are inside of people and provoke them to travel. Pull factors, are
those that are controlled or impacted by the destination itself. Inspiration to travel
can be seen as a blend of both push and pull factors. Understanding the motivation of
the visitors in connection with events and festivals is crucial in order to incredibly
improve the uniqueness of the events and to create better services for the target audi-
ence.
A large part of the visitors during the destination scanning process attempt to charac-
terize important criteria on which to base their choices. Such criteria incorporate the
way of the event itself, the venue, different attractions in the range, ticket cost, and so
on. Moreover, to what degree the occasions will address their necessities. Both the
internal and external pull factors are taking an important role in the decision making
process.
Bowdin et al. (2006, p.194) lists the external social factors as the influence of family
and home, the reference groups, the authors of an opinion or leaders in giving opinion,
the culture and the external demand. The influence of family and home takes a role in
the decision making process in a way that, there is a need for family togetherness. It
is claimed as a strong motivator. Those groups that have an effect on the behaviour of
the individuals are the so-called reference groups. These can be the family, colleagues
or neighbours. These are the primary reference group. The so-called secondary refer-
ence group, are those who only rarely get into contact with the individuals who are
intended to go for an event. The third main external factor are the authors of an opin-
ion or those who are leaders in giving an opinion. These individuals inside of any
groups, whose perspectives with respect to the experience of occasions or relaxation
exercises are looked for and generally acknowledged. These pioneers in giving opin-
ions are frequently the celebrities of the media, theatre or the sport games.
Culture incorporates information, convictions, art, ethics, laws, traditions and differ-
ent capabilities and habits that one individual from the general public receives. Ex-

ternal demand, which incorporates a reference group or different sources might be the
reason of a prolonged decision making process.
An entire scope of inward impacts additionally influences buyers' choices about at-
tending the occasions. These impacts incorporate observations about how to choose
and handle data, learning and memory, thought processes, identity attributes and
states of mind of customers.
An empirical study on the motivation processes in going to events arisen in the 1990's.
Three theories have been summarized by the authors of Awelsen and Arcodia, Bowdin
et al. (2006, p.195). First is the hierarchy of satisfying needs what was mentioned al-
ready in the previous sections before. This theory is based upon Maslow’s hierarchy of
needs starting from psychological to self-realization needs. These need to be fulfilled.
The push and pull motives, where the push factor stands for the attractive aspects of
an event, while the pull factor pulls away the individual from a certain event. Last
but not least the internal motives for leisure activities. This happens when the person
is looking for change in everyday life.
Bowdin et al. (2006, p.196) differentiates two specific values that correspond in the
decision making process. On one hand, the functional values, for example, impression
of the price–quality ratio of a specific occasion, and the difficulty of access, can rule
the decision making process. On the other hand, the emotional values can be powerful
(plausible impacts of the celebration experience on the state of mind. Other values
that suit the essence of future visitors of an event might be the suitable transporta-
tion, the music quality or the accommodation.
Visitors start to contrast what they anticipated from occasions with what they en-
countered after the participation on an event. This is their post-going assessment of
the experience (Bowdin et al. 2006, p.197). Customer desires emerge from a combina-
tion of marketing communications, which is arranged by coordinators of the occasion,
telling friends and family members, contrasting related knowledge with comparative
occasion, and the image of the festival trademark. Information of the proportion be-
tween the satisfaction of festival attendees, their view about the quality of services
are extremely important for showcasing experts who wish to assemble a market for
loyal visitors.
There are mainly three reasons why it is important to put some effort in understand-
ing the festival visitors’ motives. Primarily, it is vital to plan visitor-targeted offers
that relates to the advertising announcement that says that individuals do not pur-
chase items or services, however purchase the advantages that benefits their needs.
Following the components of the occasion program must be intended to fulfil diverse
necessities, it is imperative to recognize the requirements of various sort of guests.
Recognizable proof of their needs is an essential for effective improvement of the pro-

PHYSICAL NEEDS MOTIVATE PEOPLE
TO SEEK:
- Exercise
- Food and beverage
- Relaxation and escape
- Safety and comfort
- Earning and living
- Sexual gratification
- Sport and recreation for fitness
- Relaxing with entertainment
- Escape within a special atmosphere
- Conducting business
- Eating and drinking in a safe, pleasant envi-
ronment
- Some events are sexually oriented
- Learning through exhibitions, interpretation,
conferences
- Appreciation of the arts
- Discovery of the unfamiliar (foods, crafts,
costumes, traditions)
- Opportunities to participate in unusual expe-
riences (highly targeted events catering to
special interests)
THE NEED FOR UNDERSTANDING
AESTHETIC APPRECIATION GROWTH
AND SELF-FULFILMENT
Motivates people to seek:
- New experiences and learning
- Appreciation of beauty
- Fantasy
- Fulfilling experiences (what are your dreams
and ambitions?
BELONGING, LOVE, THE ESTEEM OF
OTHERS
Motivates people to seek:
- Togetherness with family and/or
friends
- Links to cultural, ethnic or racial roots
- Expressions of group identity
- Opportunities for achievement and
recognition,
- Status and prestige
- Quality time for family and friends
- Places to mix and meet people
- Tangible access to traditions and other cul-
tures
- Celebration of community and group identi-
ty, symbolism, rituals
- Competitions and rewards
- Being part of a prestigious event (as VIP or
volunteer)
gramming components, services, and marketing. When these necessities are not com-
prehended, different components of the outcome are prone to be introduced in a non-
ideal manner. Another purpose behind wanting a superior comprehension of guests
thought processes lies in the close relationship between motives and fulfilment rating,
while a third reason is to facilitate effective advertising activities (Crompton and
McKay 1997, p.426).
Fig. 2: Needs, motives and benefits offered by events
Source: Adapted from Getz (2005, p.331)

Figure 2 shows three essential classes of requirements, particular motivational pro-
cesses emerging from each of the necessities that can create visits to manifestations,
and the appropriate advantages given by the cultural manifestations. Mixes of these
essential advantages will pull in guests to any sort of occasion in any environment.
Visitors of a festival or an event are intending to meet one of them, or all of the needs
related to their visits in the event. Along these lines, motivational study identified
that the event must incorporate the reasons why individuals contribute in the occa-
sion and the essential benefits that the guest will gain at the occasion. A choice to go
to an occasion is motivated by a craving for escape and the yearning for the journey of
new encounters identified with interpersonal needs, and individual needs of the per-
son.
Motives can be gathered into two classifications, to be specific: inner inspirations
emerging from individual needs, including search and escape, and outside intentions
that emerge from the impact of others. These two classes together give clarifications
why numerous individuals go to occasions without a communicated enthusiasm for
the subject or program of the appearance or the occasion. The third classification
comprises of motifs profoundly identified with the occasion, which is converted into
the idea of target-benefit advertising.
There are numerous barriers to interest; some individual has time, cash and social
impact barriers. Others identified with the occasion itself such as area, access and
cost. Regardless of the possibility that a consumer goes to an occasion, there might be
legitimate reasons why that experience never happens. Understanding the consumer
decision-making process for occasions and celebrations is supported by the accompa-
nying PIECE acronym:
Problem recognition Difference between someone’s existing state and their de-
sired state relative to leisure consumption
Information search Internal or external search; limited or extensive search
processes of leisure (including event) solutions
Evaluation and selection Evaluation and selection of leisure alternatives
Choosing Choosing whether to attend an event and which optional
purchases to make at the event of a festival
Evaluate experience Evaluation of the post-event experience
Tab. 3: Decision making process (manifestation visitors) - PIECE
Source: Adapted from Bowdin et al. 2006 p193.

5. Festival Attendees and their loyalty
The previous section of the thesis discussed the different motivators that can effect
the visitors´ consumer behaviour. The importance of Maslow´s Hierarchy of Needs
was also mentioned, that is a key element in the case of motivation description. This
chapter will highlight the difference between first-time visitors and repeat visitors´
consumer behaviour, travel motivation, perceived value and their destination percep-
tion. Furthermore, it will clarify the significance of loyalty towards the festivals from
the visitors.
Resident festivals are progressively used to advance tourism and further improve the
local economy (Felsenstein and Fleischer, 2003). Since, there are diverse sorts of visi-
tors who go to festivals, past studies highlighted the distinction and significance of
local community and guests who do not live locally because of their different behav-
iour (Bagelym and Mokhtarian, 2002; Felsenstein and Fleischer, 2003; Formica and
Uysal, 1996; Liang, Illum, and Cole, 2008). For instance, visitors who are local inhab-
itants are found to have distinctive spending behavior contrasted with non-local peo-
ple (Felsenstein and Fleischer, 2003). In addition, studies showed distance as a com-
pelling element for traveling inspiration, behavioural intention, and the sort of activi-
ties individuals join in (Lentnek, Harwitz, and Narula, 1981; Liang, Illum, and Cole,
2008).
festival visitors can be gathered into two classes: first-time visitors and repeat visitors
(Lau and McKercher, 2004; McKercher and Wong, 2004). First-time visitors are those
participants who have found the event and are encountering it for the first time, while
repeat visitors have already gained commonality and fulfilment with the experience
(Lau and McKercher, 2004). Both first-time and repeat visitors have an essential part
in the success and sustainability of the event. It has been found that these two groups
contrast significantly socio-demographics, behavioural attributes, destination percep-
tion, perceived value, and travel motivations. While first-time visitors have been
found to spend a major amount of money during the festival, repeat-visitors have been
found to stay longer and spend more – a demonstration of their reliability. Subse-
quently, this segment of repeat-visitors embodies an appealing and financially im-
portant market segment for events (Kruger, Saayman, and Ellis, 2010).
Loyalty, just like in other sectors, is important in the festival tourism, as well. Hospi-
tality marketing managers have focused their concentration on customer loyalty and
applied strategies to the tourism setting in light of the fact that loyal customers are
known as less price-sensitive, require less promotions, and pull in new clients through
positive word-of-mouth storytelling (Jacoby and Chestnut, 1978; Oliver, 1999; Opper-
man, 2000; Petrick, 2004).

Various studies have discovered loyalty among visitors to be a valuable marker for
getting to general tourism experience, and that tourism loyalty is illustrative of future
traveller behavioural; the majority of this is affected by tourism experiences, and can
offer administrators some assistance with developing proper promoting techniques
(Lee and Hsu, 2013; Lee, Yoon, and Lee, 2007; Um, Chon, and Ro, 2006). Chen and
Chen (2010) claims that experience quality can be made by expanding a tourist´s in-
terest and involvement, along these lines prompting a view of worth and fulfilment;
the majority of this adds to visitors´ loyalty. A late study by Son and Lee (2011) dis-
tinguished three festival quality variables: general features, comfort amenities, and
socialization.
While each of the three festival quality variables were found to have an immediate
and positive effect on future aims of suggestion and revisit, the general features factor
was found to have the best effect on re-visit goal, and incorporated the accompanying
festival quality characteristics: assorted qualities of activities, entertainment sound
system, promotion and information, festival environment, entertainment stages, ac-
cessibility, wellbeing and security, and food and beverages.
This discovery is alike to that of a past study by Cole and Illum (2006), which likewise
proposed direct relationship between festival quality and revisit to behaviour inten-
tion. Loyalty is a multifaceted substance and has been seen as a three dimensional
idea including behavioural, attitudinal, and composite (Backman and Crompton,
1991; Bowen and Chen, 2001). The behavioural viewpoint measures loyalty as the
static result of a dynamic procedure. It concentrates fundamentally on behavioural
results and can be surveyed through repeat buying intentions, purchasing behaviour,
(for example, frequency, intensity, proportion), and verbal suggestions (Baloglu, 2002;
Opperman, 2000). The attitudinal methodology conceptualizes loyalty as attitudes
that are considered as an element of a mental procedure (Jacoby and Chestnut, 1978).
The attitudinal point of view measures loyalty as an affection toward a brand through
markers, for example, trust, enthusiastic connection, and responsibility (Baloglu,
2002; Bowen and Shoemaker, 2003; Morgan and Hunt, 1994).
Composite loyalty suggests that neither the behavioural nor the attitudinal dedication
approach alone portrays loyalty completely. Rather it recommends that loyalty ought
to be all the while considered from a behavioural and an attitudinal point of view. In
particular, a genuine loyal client must both buy the brand and have an inspirational
attitude towards the brand in the meantime (Backman and Crompton, 1991; Bowen
and Chen, 2001; Dick and Basu, 1994; Petrick, 2004). Along these lines, this study
measured loyalty from a coordinated point of view by including both the behavioural
and the attitudinal angles.

6. Key stakeholders of festivals
Because of the quick development of the festival business, distinctive stakeholders
have gotten to be interested and pulled in, and therefore included themselves by
demonstrating their support for the industry. Government and corporate sector are
presently taking part of this profoundly professionalized industry. It is not enough
anymore, if the needs of the audience are satisfied, but it is also important to meet
other criteria, for example government goals and regulations, sponsor demands, local
community expectations and media requisites. Some key stakeholders in the festival
industry are the host organization, local community, sponsors, media, participants
and colleagues.
Fig. 3: The relationship of stakeholders to events
Source: Adapted from Allen et al. 2011 p.127
The diagram above shows the relationship between these different stakeholders and
Event
Festival host
organization
Host
community,
residents
Sponsors
Media
Co-workers,
Volunteers
Performers,
SuppliersLocal
government
Regional
NGOs
University,
schools
Local
business
Community
champions
State/Federal
agencies
Visitors
Participation/support

the festival industry itself, furthermore delineates their functions and benefits. The
festival industry unites these stakeholders and without these partners, the event in-
dustry could not be set up neither would it be able to work. The following subchapters
describes all of these stakeholders and their roles in an event organizing procedure.
6.1 The festival host organization
These are associations whose obligations incorporate arranging or facilitating events
for different reasons. While the vast majority of the celebrations are organized by gov-
ernmental and non-profit, community-based associations, other expanding types of
events being composed by revenue driven associations, financial improvement and
tourism agencies, and destination and facility managers. Governmental agencies and
volunteers predominantly create events, like sport and leisure events that are based
on services and their objectives are cultural, economical and environmental. These
occasions are generally a community developmental instrument, free or affordable but
targeted at the most extensive conceivable people and in some cases at particular
market segments. Regardless of generating income and attracting guests are being
the main focus of these occasions, the local community´s demands and effects are
likewise essential (Getz 1997, p.42).
These sectors regularly attempt to work with the public event sector that gives oppor-
tunity for cooperate sponsorships and facilitating. There are additionally entrepre-
neurs included in the corporate sector whose goal is organizing or selling the events.
They can cover wide assortment of occasions, for instance sports, concerts, confer-
ences, exhibitions etc. for the audience, and in most cases the media work with these
entrepreneurs or teams in forming these events (Allen et al. 2011, p.127).
6.2 The host community
Residents or tourism destinations inclined to brand themselves by giving some type of
main tourism product for which they will be recognized. Therefore, they organize
some specific type of event, which has been labelled as impermanent attractions
(Cooper, Fletcher, Fyall, Gilbert and Wanhill 2008, p.313)
Climate change is one significant issue that is presently influencing the facilitation of
events and hence, there the protection of the environment and the importance of sus-
tainability is increasing. Another issue is globalization. This factor has made it prob-
lematic to for local societies to keep up their uniqueness and characteristic. For ex-
ample, local festivals and events now consider the international goods and stream-
lined television production as major rivals because of the increased desires that it
caused among the audience. Another issue is technology, which has affected much on
how the audience informed about events, and also on the development and presenta-
tion of events. During the time spent arranging the occasions nowadays, software

programmes has an important role in decreasing the planning procedure, furthermore
event managers are able to work on various events simultaneously (Allen et al 2011,
p.129).
Considering these factors, and how they affect the organization or the host communi-
ty, the event manager has to pay attention on benefits of the local community. Pro-
gramming ought to be extensive and the event should give back something tangible to
the group (Getz 1997, p.47).
6.3 Sponsors
Sponsors in the festival industry can be individuals or companies who offer support
financially or in terms of services to events and organizers in order to have specified
benefits. They could likewise be considered as people or organizations giving financial
supports to events unless there are no responsibilities tied to the support. Most of the
time, sponsorships are for short-term but they establish a long term partnership,
which his important for both the sponsor and organizer, as well. These partnerships
tend to be created when both sides work to have benefits that separately could not be
achieved. Long-term partnerships are important in order to know each other´s goals
and interests (Getz 1997, p.44).
In recent times, the number of sponsors that are interested in events is increasing.
Formerly, numerous business people or extensive organizations have seen sponsoring
an event as a PR tool, but in recent times it is viewed as a promotional tool in the
marketing mix, a method for expanding brand awareness and to increase sales. Event
managers, in order to secure the sponsorship for any events, they must offer remark-
able and tangible benefits to sponsors. They also need to know what the sponsors
want from the event, and what can the events offer them. Sometimes the sponsors
needs can differ from the event organizers´ goals. For instance, it can happen that the
media coverage has a higher priority for the sponsors than the number of audience.
Event managers need to consider that sponsors´ goal is to increase sales, moreover to
establish a better customer relationship. In order to reach these objects, sponsors of-
ten use events. For this reason, event management ought to consider sponsors as
business partners in the project (Allen et al. 2011, p. 132).
6.4 Media
There has been a significant development in the media sector in the recent years, con-
sidering the Internet, as an improved distribution system. Due to this fact, the con-
sumption for media products is increasing. The worldwide networking of media organ-
izations and the immediate transmission of data have made reality from the global
village concept. For example, the Beijing Olympics amusement pulled in the biggest
worldwide audience ever which added up to 70 percent of the world´s population, in

other words that means 4.7 billion viewers. The social media has additionally added
to the advancements of events. The organizers are now able to communicate with the
audience through these platforms. They also use it on their websites in order to in-
form the people, enable them to leave feedbacks, express their opinion, and even in-
volve them into the programming procedure. For instance, they can vote for specific
band for a music festival. Social media sites, like Facebook, Twitter, YouTube, Flickr
and LinkedIn changed the communication between the organizers and the audience,
and made the whole procedure more interactive (Allen et al. 2011, 133.).
6.5 Co-workers
Co-workers are also key elements of the event industry, which includes managers,
marketers, consultants, stage managers, crew, etc. Anybody that is participating in
the group that is hosting an is called co-workers. All team members need to work to-
gether in order to make the event successful since each of them is in charge of the
event´s success or failure. Goldblatt (1997, p.129) defined the role and obligation of
the occasion manager along these lines:
The most effective event managers are not merely managers; rather they are
dynamic leaders whose ability to motivate, inspire others and achieve their
goals are admired by their followers. The difference between management
and leadership is perhaps best characterized by this simple but effective defi-
nition: managers control problems, whereas leaders motivate others to find
ways to achieve goals
Experiences among the individuals while attending an event can differ from each oth-
er. There are numerous possibilities to correct these failures, but an excellent team-
work and management is always indispensable for a great event (Allen et al. 2011,
p.134).
6.6 Participants and audience
At last, these are the stakeholders that the whole event is organized for. The event´s
success or failure, mainly depend on them. Managers need to study the spectators´
demands, or what are their comfort, and safety needs. The occasion ought to be a life-
time experience for the visitors. To achieve this goal, it has to be uniquely organized.
Hammerling (1997) represents the criteria by which audience evaluate an occasion
consequently. Their primary attention is on the content, area, and set-up of the occa-
sion itself. The programme content, food and beverages, comfort, the ways to get in
and out of the event the keys to their satisfaction. An appropriate analysis of the
characteristics of the spectators, can help the managers in the organizing procedure to
make it suitable for the audience (Allen et al. 2011, 135.).

7. The city of Budapest
Budapest is the capital of Hungary. Budapest is an attractive tourist destination with
its UNESCO world heritage sites, such as Heroe´s Square and the Buda Castle. The
museums and the national galleries exhibits contemporary and classical arts. The
historical baths, such as the Szechenyi bath and the modern spas are all empowers
the body. In these years Budapest formed a more hedonistic image, as well that made
the city as a destination for many urban travellers. Many of them associates the city
with the ruin pubs in deserted buildings, managed by young creative entrepreneurs.
Szimpla became an important spot on every tourists travelling schedule. As an effect
of the ruin pub phenomenon, a new trend has emerged, the bistro revolution that re-
defines the concept of eating out. Wine bars also give a wide variety of wines from all
over the country (Cultural Budapest, 2015)
Summer is top celebration season and a huge number of tourists come for the exten-
sive variety of music celebrations that are on offer in Hungary. Sziget is one of the
biggest and most well-known music celebrations in Europe and the uniqueness of the
event is in its location, since it is situated on an island on the river of Danube. It al-
lows the visitors not only to enjoy the festival but to explore the attractions of the city,
as well. Budapest Spring Festival and the Jewish Summer Festival bring the best of
global classical and jazz music to Budapest. Festivals are not only for music however;
they speak to every one of the faculties (Cultural Budapest, 2015)
The next two chapters will describe those two music festivals the so-called Sziget and
the Budapest Contemporary Arts festival that are located in Budapest. These two will
be utilized as case studies, in order to analyse the economic advantages of these
events. The study mainly considers the financial expenses, nationality and transpor-
tation that the visitors used in order to get to the events. The following chapters
moreover, give a description about the festivals location, average price, main program
variety and the different music genres that the festivals offer.

8. Sziget
Fig. 4: Sziget logo
Source: Sziget festival (2015)
Sziget Festival is one of the greatest multicultural occasions of Europe, beginning in
1993 when a group of students, after the collapse of communism formed the festival.
Right now it is the 23rd release. The name of the festival originates from the word
island, what is called sziget in Hungarian. The festival takes place on the Obuda-
sziget. The former name of it is called Hajogyari sziget. In the past, a shipyard was
operating there.
Fig. 5: Hajogyari Island
Source: http://szigetfestival.com/explore/best_photos_of_2015
From 1996 till 2001 the festival was sponsored by Pepsi, therefore the name of it was
Pepsi Sziget. The current name is used since 2002, and the celebration pulls in right
around 400 000 fans from more than 70 nations to an excellent island in the heart of
Budapest, giving a complete celebration occasion involvement with constant gather-
ing, extraordinary live shows, a broadly global group and all the touristic highlights
the city brings to the table. Sziget is the Island of Freedom that could likewise be
viewed as an autonomous state. It's numerous celebrations in one, a week long relent-
less occasion with approx. 50 program venues and around 200 projects every day. Per-
forming groups range from the greatest names of the global pop/shake scene to stars

of world and electronic music, yet audience will likewise discover metal, classical,
jazz, soul, elective and even traditional tunes. Sziget is not just about music, as it of-
fers a few other social projects, similar to theatre, bazaar, or presentations. It likewise
has a shoreline area where fans can really appreciate the advantages of Danube. The
weekly capacity is 415000. The festival passes are available from 189 EUR. The or-
ganizer of the event is the Sziget Cultural Management. (Sziget Festival, 2015)
8.1 Facts about Sziget in 2015
During the festival 330 people have been surveyed. 279 is foreigner and 51 people
were local. The average age in the case of international visitors is 26, and 30 among
the national ones. In both groups the number of people who has higher education level
is above 50%. 73% among the internationals and 53% among Hungarians. The survey
has been filled out by French, Dutch, English, German and Italian visitors.
For the question that what kind of positive experience/ imagination they had about
Budapest, when they decided to visit the city, most people highlighted the spas, pano-
rama and low prices. Among the Hungarian visitors, the mostly answered was the
panorama of Budapest, moreover the spas and the gastronomy.
82% of the of the international guests are interested in the attractions of Budapest
and not only in the festival. The same is true for more than half of the Hungarian vis-
itors, too.
Most of the internationals came by car, and budget airlines to Budapest, and they
spend around 7 days at the location. Most of the Hungarians came by car, and they
spent 5 nights on average. 37% of the locals are from Budapest.
20% of the people had Budapest card, but those who had not. They even have not
heard about it. 10% of the visitors owned the card in the Hungarian group, but 60%
had heard about it.
Most of the foreigners and locals know the city and a great amount have heard about
it by friends, family members and from the Internet.
Both group have spent 400-500 Euros on average during their stay, that is according
to them is not beyond the amount that they wanted to spend. Both the national and
international have spent most of it on for and entertainment.
More than 90% were satisfied with their decision that they visited Budapest. For
around 70% of the people expectations were exceeded about the Destination of Buda-
pest. 85% would recommend the city to their friends and colleagues, and they would
visit the city again (Sziget Kulturalis Menedzser Iroda Kft., 2015)

8.2 Facts about Sziget in 2014
The following survey has been made in 2015. Due to time limitation the facts about
the festival in 2015 are not that profound, therefore the research will analyse the
2014 festival´s data, as well.
The average Sziget visitor is 24 years old, on the festival in terms of age groups the
20-22 years old are in majority. The number of male visitors are in a higher rate
among the international guests. In the case of the national ones, it is the other way
around. The average ago of men is higher in both cases. Dutch and French people are
the youngest and Belgian and German people are the oldest on average. 53% of the
international visitors are studying, 27% have active income. In case of Hungarians,
61% percent are students, in some cases beside working and 35% have full-time job.
85% of the foreigners and 72% of the national guests have money that they manage
independently. The internationals have 1130€ and the nationals have 354€ per month
on average. The internationals on a common night spend around 45€. On the Sziget
the average daily spending is 49€. The Hungarian participants spend around 20€ per
night. The average expense on the festival is 16€ on a daily basis. The highest parts in
the expenditures are the food and drinks. This is 60% of the whole expenses. The
greater proportion of both the national and international visitors prefer Rock music,
that follows the different Electronic music styles. Divided for age groups, the older
generations (23-24 and 26-30 years old) listen to rock music and in the case of Hun-
garians, the youngest group listen to Rock music on a higher average. This group has
a great portion among the Electronic music fan base, too (Sziget Kulturalis Menedzser
Iroda Kft., 2014)

9. CAFe Budapest Contemporary Arts festival
Fig. 6: CAFe Budapest Contemporary Arts Festival logo
Source: http://cafebudapestfest.hu
Between 2–18 October, the CAFe Budapest Contemporary Arts Festival offers excep-
tional, not-to-be-missed types of stimulation. With very nearly 110 occasions at 40
venues, the brilliant project incorporates creations in traditional and popular music,
jazz and world music, musical drama, theatre and contemporary bazaar, alongside
nights of writing and visual craftsmanship shows. Beside the best Hungarian enter-
tainers, this exceptional celebration additionally includes universal stars, co-
preparations and debuts. Composed on the 24th event, Hungary's most critical cele-
bration of the contemporary expressions is acknowledged in a collaboration between
Müpa Budapest, the Budapest Festival and Tourism Center, and Hungarian Tourism
Inc. The rundown of normal venues such as, Müpa Budapest, Liszt Academy, Buda-
pest Music Center, Trafó, Millenáris, and Bálna Budapest are supplemented by the
Castle Garden Bazaar, and there will likewise be visual craftsmanship exhibitions
and small scale shows at endless outdoors areas. It adds to the colourfulness of the
system that Art Market Budapest, the contemporary workmanship reasonable, will
again be a related occasion, and is held amid the season of café (CAFe Budapest Fes-
tival, 2015).
9.1 Facts about café Budapest Contemporary Arts Festival
During the festivals, 70 surveys were filled out in different locations. 28% of them
were attracted by the night life of Budapest. 24 % by the touristic sights of Budapest,
22% of the spas, only 16% of the programs of Café Budapest Festival and 2 % were on
a business trip. 48% have chosen the other reason option. For the question of who do
they travel with 34% claimed that with friends, 30% alone, 12% with family, 6% with
their partner and 8% chose the other option. In the case of transportation 34% came
by airline, 16% by bus, 6% by train, 4% by car, 2% by boat and 32% chose the other.
For the question of where did they learn about the festival was mainly the answer
was by friends or from the Internet. 44% from friends and acquaintance, 30% from the
Internet, 24% from outdoor ads such as, poster, city light etc. 14% from press, like
newspapers and magazines. 6% by personal information at Budapestinfo Point, ac-

commodation, travel agency, travel exhibition, etc. 4% by electronic media like radio
and television. 10% chose the other option. In the case of accommodation, there were 7
options. 46% chose stay for free at a friend, relatives or in a second home. 20% the
other paid accommodation like student hostel and Airbnb. 10% of the 4-5 star hotels.
4% of the 1-3 star hotels and 4% the hostels. Nobody chose the boarding houses or the
camping sites.
More than half of the people are from Budapest and 30% are international guests. The
average age is 32. The youngest one is 19 and the oldest is 65 years old. 60% of the
people are women. Most of the visitors 75% visited the festival for the first time. For
the questions that, how satisfied they were about the organization of the festival on a
1 to 5 scale, were the 5 means fully satisfied, and 1 means they were not satisfied.
34% choose 4, 38% choose 5. Nobody chose 1 or 2. Only 4% of the surveyed people
owned Budapest Card, therefore only 6 people answered the question, whether they
are satisfied with the services of the card or not. 2 of them were not satisfied.
48% of the people claimed that they visited Budapest because of other reason, where
was noted that they are inhabitants of the city (BFTK Café, 2015)

10. Conclusion
Taking everything into account, it can be seen from the study that festival tourism is
a segment that has many possibilities in building up a tourism destination. The thesis
has given a theoretical knowledge into the subject of music festival tourism consider-
ing the positive and negative effects of the phenomenon. It has additionally demon-
strated that the facilitating of events can affect on the host group socio-socially, natu-
rally, monetarily and politically. This kind of tourism is utilized several times by des-
tinations in order to increase their awareness nationally and internationally. The
events that are being organized in a place can affect the viewpoint of the tourists
about a certain place. Guests may take travel choices in view of their impression of
the destination. Though, it is essential to note that keeping in mind the end goal to
improve decision in music festival tourism, the advance of a destination must be
caught on.
It can likewise be seen from the research that event facilitating has had an enormous
accomplishment by various coordinators in spite of the fact that the eventual outcome
effects are not always as imagined by the organizers because of numerous compo-
nents. Besides, there must be more collaboration among the coordinators, associations
and interest groups included in the facilitating of events in the host community so
that there could be more duty, commitment and concentration towards the objectives,
targets of these festivals and the goals of the general population for which the occa-
sions are planned.
The main objective of the second part of the thesis will be to offer comprehensive and
practical study of the impacts of these music festivals upon the city´s image of Buda-
pest. To achieve this goal, Sziget Festival and the Budapest Cafe Budapest Contem-
porary Arts Festival will be utilized case studies, that were already mentioned in the
last chapters of the first thesis. With the analysis of these festivals, the effects on the
image of Budapest will be evaluated, moreover effect on inbound tourism of the coun-
try by conducting a comprehensive analysis of these case studies and personal inter-
views.

Bachelor Degree Programme "Innovation and Management in Tourism"
University of Applied Sciences Salzburg
THE EFFECT OF MUSIC FESTIVAL TOURISM ON THE IMAGE AND
THE COMMUNITY OF BUDAPEST
BACHELOR THESIS 2 SUBMITTED TO THE UOAS SALZBURG
IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE DEGREE OF
"BACHELOR OF ARTS IN BUSINESS"
Author: Gergö Jeles
Student number: 1210430067
Date: 20.05.2016
Supervisor: Mag. Gerfried Fleckl

Part II: Bachelor Thesis 2

11. The Empirical Research
In order for the creator of this research study to convey the goals expressed in Bache-
lor thesis part 1 (BA1), empirical research is important in order to create crossing be-
tween theory and practical aspects of the study. This part includes genuine discover-
ies from the predefined study area of how does music festival tourism effect the image
of Budapest.
Section one of this study included theoretical study (secondary research), which cov-
ered data about acknowledgment of music festival tourism in Budapest, considering
the Sziget and Budapest Café festivals. Along these lines, this empirical research is
based upon the primary part (BA1), which serves as a foundation of the second part,
which is the empirical research.
In the first part of the author´s research, an extensive literature review on the tourist
destination image formation was conducted, considering the impact of events and fes-
tivals on the city image and the positive and negative effects of festivals on the desti-
nation of Budapest. After that, that the author provided a detailed insight of the mu-
sic festival tourists motivators, moreover the key stakeholders of the festivals such as,
the festival host organization, the host community, sponsors, media, co-workers, and
the target group, in other words the audience and participants. Furthermore, the the-
sis provided key facts about the Sziget festival from 2015 and 2014. The author exten-
sively detailed a clear background on the festival characteristics and the the different
festival tourism funds in Hungary, that also highlights the importance of these events
for the destination.
Kasi (2009, pp32-33) wrote that research is an approach to examine and gather in-
formation focused on current facts, or interpreting accessible information in order to
discover or do an amendment to details, arguments and pertinences.
At this point of the data processing, the information accumulated from the broad lit-
erature review might accordingly be utilized as the establishment for this empirical
study. Accordingly, the earlier literature review will be contrasted with the discover-
ies from the empirical part to reach a reasonable determination. To give a fine and
clear view of this study, the conclusion will be founded on the genuine discoveries and
the theoretical work. To give an outline of the substance of the empirical research, the
exact technique, which this study will take after, is demonstrated in Fig. 7.

Fig. 7: Empirical Procedure
Source: Berger, 2010, p. 106
In view of the theoretical discoveries of the primary part of the study, the writer is
going to characterize hypotheses in order to find answers for the research question. In
light of these hypotheses the research methodology, which incorporates the research
design and the research strategy, will be recognized. Therefore, it must be chosen
which information accumulation strategy should be utilized, followed by the meaning
of content analysis, which is vital for the presentation of the outcomes. With every-
thing taken into account the entire procedure is planning to find out what are the per-
ceived image of the local and international tourists about Budapest and how their
perceived image if affected by the music festival tourism of Budapest.
As Gratton and Jones (2004, p8) claim, there are two distinctive sorts of research:
Primary and Secondary. In which, primary research alludes to the study that has
been brought out through gathering of preliminary data indicated to a specific zone as
per study being completed by utilization of instruments like questionnaires or inter-
views. In addition, the creators noticed that secondary research includes a study in
which no initial data compilation was performed however the study utilizes the in-
formation accessible for instance census data. The writers further separated theoreti-
cal and empirical studies taking note of that: Theoretical research makes utilization
of promptly accessible discoveries to produce new thoughts by investigation of availa-
ble written belief and clarifications. Empirical study affirms growing new ideas by
collecting information, whereby empirical alludes to something built up where one
perceives or measures instead of reasoning through theories.
In order to clarify the intention of the empirical study section, it is important for the
writer of this study to draw a system expounding the entire research step-by-step.
Accordingly, as of right now, it is critical to give a clarification of the structure that is
embraced to fulfil the principle targets of this study. This empirical study is isolated
into seven diverse parts and their individual to convey the fundamental objectives.
Starting position and objectives
Research methodology
Data collection and evaluation
Presentation of results

The Effect of Music Festival Tourism on the Image and Community of Budapest - Gergö Jeles

The Effect of Music Festival Tourism on the Image and Community of Budapest - Gergö Jeles

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