Tourism destination marketing is an effective marketing tool for increasing destination visitation and tourist spending that should be understood as a dynamic process wherein the act of advertising changes market structures, which in turn, lead to changes in advertising performance. As such, this study proposes a scenario-based system for advertising design which can be used to forecast the impact of changes in market structure. The system includes three main components: demand estimation, evaluation of destination advertising, and simulation of scenario-based market conditions. The proposed system estimates a demand function and the impact of advertising on traveler’s behaviors (e.g., expenditure, length of stay) which can then be used in simulation analysis to identify potential advertising strategies. Therefore, this system ultimately improves destination competitiveness by enabling DMOs to design significantly more effective marketing strategies.