Seaports in the New Economy: using services marketing strategies to increase cargo throughput in a hypercompetitive environment

Managing a seaport in the New Economy is becoming more complex and challenging due to the many changes in the macroenvironment which are creating hypercompetition. Three approaches used by seaport management in attempts to overcome these challenges are examined – value-adding, co-opetition, and the use of technology to gain cost efficiencies. This paper argues, however, that these approaches are insufficient by themselves in a hypercompetitive environment. In particular, this paper highlights the benefits of seaports undertaking a services-based approach to marketing and of being market-oriented. In addition, a number of services marketing strategies are recommended using the expanded marketing mix as a foundation. To facilitate discussion of the services marketing strategies, the findings of a recent census of Australian seaports investigating their marketing strategies and activities are explained.