Money, Get Away

Is price everything?

It's something that's intriguing me more and more. I read today that only 5% of the population makes buying decisions based on price. I find it hard to believe, though I am well aware of all the marketing theory which suggests that it may well be right. Price-conscious times we may live in, but has price really become the determining factor over all? This may well be the first in a short series on this theme. Once intrigued, I start to dig.

Let's take as a starting-point the all-inclusive hotel. Is the decision to book an AI anything more than just a price decision? I don't pose the question in respect of the more luxurious all-inclusives, and there are even one or two of those knocking around here. I raise it in respect of the mainstream AIs, those that tend to suffer from reputations of less than wonderful service, less than wonderful (if plentiful) drink and less than wonderful (if also - usually - plentiful) food.

Some while ago, I drew attention to prices for self-catering and for all-inclusive in Puerto Alcúdia. The same tour operator, the same two weeks in high season. The price for one adult was something in the region of 250 pounds greater for the all-inclusive. You might say, well that's not buying on price as it's more expensive. Except of course that the consumer makes the calculation. Would I spend 250 pounds or more if I went self-catering? And the chances are he would.

So, having made the calculation and the booking, the holidaymaker lacks any real incentive to spend more. He has made his decision on the size of his pocket, nothing else. And yet, the reality of what he gets for this calculation can undermine this price-only decision. There was the couple from the Hotel Jupiter in Alcúdia the other day. Finally, they had broken away from the confines of the hotel. Finally, they had had enough of the food they were being served. So, they went and found a bar to have a breakfast. This is hardly a unique case.

Then there is the bar in Can Picafort, near to the Clumba Mar. The bar has sports TV, karaoke and other entertainment. Yet the hotel also has its TV set-up, unremarkable so I am told. Rather than go to the bar to watch the match, and watch on good screens with a bar atmosphere, the clientele prefer to stay in the hotel. Why? Simple. Price. The price they've already paid for their beer. And on a wider theme, the bar-owner made a telling comment. People don't leave the hotel as they're afraid they might miss something to which they're entitled. For which they've paid. For which they've paid the price. Then there was that story from The Smugglers in Puerto Alcúdia. About the AI punters from the Piscis who would sit at the bar terrace and have pints passed to them through the railings. Price. They'd already paid, but they still fancied getting away from the hotel even if they not prepared to pay the extra price.

There is a report today about the "think-tank" convened by the British Consulate, about which I will talk tomorrow probably. It, as ever, refers to the drive for greater quality in tourism as one aspect of its "thinking". I dislike this "quality" tag, as I have said before. Moreover, one wonders just who they are kidding. Price, price, price. And quality can apparently go hang.


QUIZ
Chain - "Caravan of Love" was Isley-Jasper-Isley originally, therefore The Isley Brothers and the connection was ... brothers. So, how do you get from The Isley Brothers to The Beach Boys? Yesterday's title - Captain Beefheart. Today's title - who?

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