Case Study: Tourism Iceland's Digital Approach
Iceland, a Nordic island nation, is home to a mere 340,000 residents, nestled remotely in the North Atlantic. Despite its location, which is distant from several major international tourist markets, tourism contributes to 10% of Iceland's GDP, making it the nation's leading revenue-generating sector. Distinctly from traditional export sectors where goods are produced and then exported, tourism lures its consumers to the shores of Iceland. The allure is the country itself – its unique landscapes, rich folklore, the Northern Lights, and the vibrant Reykjavik culture.
In 2005, Tourism Iceland launched an innovative campaign to rebrand the nation's image globally. The campaign underscored Iceland's geothermal wonders, the magic of its midnight sun, its rich Viking history, and the modern arts and music scene. The pivot of this promotional venture was their website, aiming to offer global explorers a comprehensive guide to this ethereal destination.
The cornerstone of this website was its extensive database that encompassed both local and international tourism operators that catered to Iceland. This inclusive strategy enabled even the quaintest countryside inn or the most specialized glacier tour guide to establish an online footprint, tapping into a broader audience base that extends beyond the Atlantic. The dynamic design of the platform allowed these businesses to update their offerings, ensuring that the provided data remains current. Moreover, to uplift and standardize the quality of services, Tourism Iceland introduced a quality assessment mechanism. As part of this initiative, an entity's eco-friendliness and sustainable practices were also evaluated.
To encapsulate the essence of Iceland, the site integrated features highlighting its renowned personalities and iconic landmarks. A segment that garnered significant traffic was an intimate conversation with Björk, Iceland's globally recognized music sensation. Another captivating element was an immersive virtual tour of spots featured in international hit TV series and movies filmed against Iceland's surreal landscapes. Recognizing the trend of self-planned journeys, the platform later incorporated a feature to aid self-planners. Detailed itineraries showcasing the best routes to drive, depending on seasons, complete with distance, estimated travel time, and scenic stops, were added.
An innovative addition was the "Iceland Itinerary Builder." This tool allowed potential tourists to curate and save places they're keen on visiting. The itinerary builder displayed optimized paths, public transport alternatives, nearby stay options, and unique local experiences. Registered users had the flexibility to revisit, modify, or print their itineraries. The website also integrated a "Voyager Diaries" section where travelers could share their Iceland experiences, offering a genuine narrative for potential tourists.
Winning multiple international accolades for its digital innovation, the real success of the website was mirrored in the surge in tourists. Between 2005 and 2010, tourism spending in Iceland observed a yearly growth of 7.5%. Notably, visits from North America experienced an annual growth of 15% from 2006 to 2010, whereas North American overseas travel growth hovered around 5% during the same period.
One of the groundbreaking features of the website was its ability to curate experiences based not just on locations but also on the nature of the activities. Studies reflected that 78% of tourist satisfaction stemmed from the activities undertaken. Engagements that allow interaction, like joining a local family for an Icelandic feast or participating in folklore storytelling, were particularly cherished. Visitors reveled in such immersive experiences, carrying back tales to share with their kin. Most visitors, drawn from far-off lands, preferred intimate groups, valuing the exclusivity of the Icelandic experience.
While Iceland's tourism model, driven by its geographical and cultural uniqueness, might seem distinctive, the underpinning principles hold universal value. A compelling brand narrative, experiences that differentiate, and a holistic digital interface are quintessential for any destination's global appeal.
