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ABSTRACT:
This article examines the use of price bundling as a marketing technique for recreation services. The use of conjoint analysis allows the researcher to determine consumers' part-worth utilities for various service attributes. This information can then be used to design a service bundle or package and determine the price to be charged. This approach to service design is applied to an actual case involving the visitor accommodations at a state department of parks. Consumers are segmented in order to enhance the analysis and provide management with more useful information. The limitations of the study and methodology are discussed along with strategic implications for park managers. Finally, suggestions are provided for future research in this area. Explores the use of price bundling - the practice of marketing two or more products and/or services in a single package for a special price - as a marketing technique for recreation services. Suggests that the use of conjoint analysis allows the researcher to determine consumers' part-worth utilities for various service attributes. Contends that this information can then be used to design a service bundle or package, and determine the price to be charged. Applies this approach to service design to an actual case involving the visitor accommodations at a state park. Categorizes the consumer according to size of cottage, maid service/no maid service, indoor pool/no indoor pool, and price. Discusses the limitations of the study and its methodology along with strategic implications for park managers. Provides suggestions for future research.
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