Counteracting Overtourism Using Demarketing Tools: A Logit Analysis Based on Existing Literature

Abstract

Over the past few decades, demarketing has come up as an unorthodox but potentially strong approach that can be used to counter the negative effects of oversaturation in tourism destinations. This study investigates the difference that demarketing strategies can make on mitigation efforts towards overtourism in destinations across the globe by conducting a meta-analysis of the previous literature examining various case studies on the topic. This study approaches demarketing efforts against overtourism through the lens of the 4Ps of marketing: price, place, product, and promotion. The results of the logit model designate price as the only significant predictor in the mitigation of overtourism through demarketing, with the other three falling short. The findings are enhanced through various other predictors from the literature as well as government effectiveness in the destinations. Moreover, the driving forces such as environmental concerns and community satisfaction have proven to be significant factors as well.

Pre-Emptively Managing Overtourism by Promoting Rural Tourism in Low-Density Areas: Lessons from Madeira

“…While the number of tourists per km2 has been multiplied by a factor of 1.6 at the regional level, Funchal experienced an increase of just 40%, with some areas such as Calheta experiencing a noticeable increase. Regardless of the indicator used to determine excess visitors levels, such as the carrying capacity, local resident dissatisfaction or tourist satisfaction and environmental degradation, Madeira cannot be considered as a classic example of an overcrowded area, as mentioned before, at least from a journalistic and visual perspectives, but for a few exceptions [17]. However, a recent study commissioned by the Office of the Ombudsman [67] indicated that Funchal, the main capital city, has been affected by the impacts of tourism in terms of the local lodgment format, housing prices and housing affordability in relation to the local population's income levels.…”

“…The evidence available suggests that residents welcome tourism if they can benefit directly or indirectly from it [6,16]. If politicians are well aware and conscious of this situation, they can implement measures to redirect and disperse tourists to less-known attractions based on the development of "new tourist routes" in the rural periphery to ensure the right densities of tourists both in the core and peripheral areas ( [17], p. 1). In theory, this approach can generate higher levels of fairness and justice and degrowth (in the existing core areas) in a socially sustainable way [20].…”

“…At the micro level, Peeters et al [9] and Postma and Schmuecker [53] proposed compensation for residents financed by tourist taxes, and small projects compatible with higher shares of local employment and community engagement to reduce local conflicts. Demarketing was discussed by Gülşen et al ( [17], p. 1). The authors argued that destinations should adopt a "proactive strategy for preventing large-scale issues that may arise due to overtourism and disorder" by redirecting marketing efforts to alternative areas.…”

Public recreation and landscape protection - with environment hand in hand…

“…Some leaflets in the research did not contain the most famous sites at all. They are the result of a recent trend in which the regions are trying to do so-called demarketing (see Hall & Wood 2021, Gulsen et al 2021, Drugova, Kim & Jakus 2021 in order to avoid overtourism in these localities.…”

The influence of tourist information materials on the emergence of overtourism

“…Some leaflets in the research did not contain the most famous sites at all. They are the result of a recent trend in which the regions are trying to do so-called demarketing (see Hall & Wood 2021, Gulsen et al 2021, Drugova, Kim & Jakus 2021 in order to avoid overtourism in these localities.…”