Factors Influencing Tourism Development

This assignment requires a comprehensive review of existing literature on factors influencing tourism development. Students must analyze various aspects such as demographic trends, technological advancements, economic considerations, environmental impact, cultural influences, and government policies that shape the growth and sustainability of the tourism industry.

Marketing in travel and tourism
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Institution name

Marketing in travel and tourism
Contents
Task 1....................................................................................................................................................3
LO1 Understand the concepts and principles of the marketing in travel and tourism sector:.............3
P1.1 discuss the core concept of marketing for travel and tourism industry:.....................................3
P1.2 assess the impact of the marketing environment on individual travel and tourism businesses
within Thomas Cook group and tourist destinations concerning Morocco and Egypt.......................4
P1.3 discuss the factors affecting consumer motivation and demand in the travel and tourism sector
...........................................................................................................................................................5
P1.4 analyse the principles of market segmentation and its uses in marketing planning at Thomas
Cook group........................................................................................................................................6
Task 2: Understand the Role of Marketing as a Management tool in Travel and Tourism....................7
P2.1 Analyze the importance of strategic marketing planning for Thomas Cook..............................7
P2.2 discuss the relevance of marketing research and market information to managers in travel and
tourism sector concerning Thomas Cook Group..............................................................................11
P2.3 Assess the influence of marketing on society..........................................................................12
Task 3: To understand the role of marketing mix in the travel and tourism sector..............................13
P3.1 Discuss issues in the product, price and place elements of marketing mix..............................13
P3.2 Assess the importance of service sector mix elements to the travel sector..............................14
P3.3 Apply the concept of the total tourism product to an individual tourism business...................14
Task 4:.................................................................................................................................................15
P4.1 assess the integrated nature and role of the promotional mix:.................................................15
P4.2 Plan and justify an integrated promotional campaign for Thomas Cook summer 2016 holidays
.........................................................................................................................................................16
References...........................................................................................................................................17
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Task 1
LO1 Understand the concepts and principles of the marketing in travel and tourism sector:
P1.1 discuss the core concept of marketing for travel and tourism industry:
Various marketing theories are applied in the travel and tourism industry (Cornelissen, 2002).
According to American Marketing Association, marketing is itself a wide-ranging concept
that is consists of activities, institution, and range of methods for proper communication,
delivering, exchange offerings that tolerate worth for the customer, enterprise organization,
client and the society in common. It requires the understanding of several tenants that all
effort headed for products and service delivery in the community. Communally marketing
consists of those decisions made by the administration of manufacturer organizations that are
focussed to lecturing the buyers' choice (Ryan, 2004). In the field of marketing, it is
necessary to understanding all the alignment of market concept or theories that refer to the
managing marketing principles, attitudes. Less understanding of the marketing concepts
could affect the organization's totality. Customer orientation, cross-functional coordination,
and competitor orientation, etc. Are the concern of market direction. In recent days travel and
tourism industry experienced two distinct demands. These two demands are international
tourism demand and domestic tourism demand (Carabello, 2013). Travel and tourism
industry is also like the other industry, a whole market where the demand and supply chain is
maintained. In the early times, there was two form of tourism these are inbound and
outbound. Market orientation made up off a present, past as well as future information about
the customer, reaction according to the information and so on. Through customer and
competitor orientation organization stored all data or information of customer and competitor.
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Thomas Cook group increases its activities in Morocco and Egypt destination (Sutay, 2012).
Before starting up business in Morocco and Egypt by Thomas Cook group, all the necessity
of the customer should be arranged properly (Thomas B. Cook, Jr., 2014).
P1.2 assess the impact of the marketing environment on individual travel and tourism
businesses within Thomas Cook group and tourist destinations concerning Morocco and
Egypt:
The marketing environment is a typical business term. It refers the forces and factors which
creates an impact on the ability of the business organizations to create and sustain good
relations with consumers. There is no business run or stand-alone, but business operates in a
forced marketing setting. These environment or the context categories into two those are
microenvironment t and macro environment. Marketing context and environment defined as
it is set of factors that have directly or indirectly shown its impact or effect in the activities of
the market. Microenvironment mentioned as internal factors that are tourism organization,
intercessors, clients, and rivals controlled at a particular stage of management. On the other
side macro environment means the democracy, political and social culture, tourism and last
factor is the technological factors of the particular destination. According to some experts,
market management must have attention on the micro and macro environment over tactical
analysis and arrangement to pledge their effect. Marketing environment can be treated as a
general platform for the contact between the traders and the customers. It includes all the
business related components as well as the external elements also. Macro environment, micro
environment and the marketing environment help to coordinate the relationship between the
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society and business. The tourism industry in Morocco is more advanced at its modified
level. Industry donates 8% of the GDP of the nation and gets more than 18million inbound
tourist yearly. Morocco has permanent political and economic condition and very few
agreements for free trading. Morocco shows a good relationship with EU. Tourism
Infrastructure of Morocco is very welly advanced with international standards. The domestic
tourism of Morocco also gain lots of trusts. Government helps to enable tourism policies, and
agreements. Egyptian tourism is also famous and developed in a globe. Due to unique
geographical features and old cultural heritage contribute to attracting the visitors. A perfect
market condition in Morocco and Egypt contributes to venture Thomas Cook group to make a
summer holiday plan 2018 for the desired tourist. The market environment takes lots of
investments, summer vacation planning methods and the possibility of the market drive for a
competitor business in the particular state (Shi et al., 2016).
P1.3 discuss the factors affecting consumer motivation and demand in the travel and tourism
sector:
The market is made up of various needs, requirements, different customer behaviour, etc. it is
very much necessary for the marketing management team or group to note down all the needs
of the customers, by doing all these management able to understand that what factors
influence them to behave like that. Fulfilment of customer demands helps to get the success
in a specific market environment. Customer behaviour entirely depends on the services and
the process of obtaining, and fulfilment of their needs, desire want. Different types of factors
like Cultural, social, psychological, personal factors are there. These factors create influence
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on the customer’s behaviour also. All these factors are the most vital in influencing the
behaviour of the consumers who take service from the tours and travels company. So the
Thomas Cook Group has to keep all these factors in mind before setting travel and tourism
plans of the company.
Decision making involves the concept, described with various models. Individual factors
have impact on the customer behaviour includes motivation, perception, learning ability, and
attitudes for the customers. Group factors like social status, opinion leadership, reference
group. Cultural groups etc. affect the behaviour. Different models are there to elaborate the
consumer behaviour in every industry (Fraj and Martinez, 2006). Those models are involved
with the intellectual motivation, social motivation, various functions build the customers
enjoy tourism and travel sector. The actual purpose of marketing is to satisfy the client,
principles of their money given precedence whereas at the similar period receiving revenues.
P1.4 analyse the principles of market segmentation and its uses in marketing planning at
Thomas Cook group:
In a particular market, some people set a plan to divide the market for better satisfaction of
the wished needs, wants of the customer. Market segmentation means the process of
categorizing a market by commonalities, similarities, relationships into the consistent groups
of customer. The prime motive of market segmentation is to allow an organization to pay
attention to the specific properties, to a particular section due to competitive benefits.
There is various form of segmentation such as geographical segmentation; that is involved
with the separation of the market by geographical regions and guiding resources to the
suitable geographic areas as per the consumer’s features. 2nd segment is psychographic
segmentation is a type of division where the attitudes, values, culture, an emotion of user
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used to divide the market. Demographic, where gender, education, social status, housing type
used to counter a particular part of the market. It is the most profitable market segment.
Various methods are utilized in the market segmentation qualitative and quantitative method.
For a tourism industry behaviours, motivation, needs are termed as tourist typology. Based on
that segmentation. Resources reallocate appropriately at the particular location. Tourist
typologies are used in the segmentation process of marketing. Moreover, the market
segmentation increases the chances to positioning the brands (Awan, 2014).
Task 2: Understand the Role of Marketing as a Management tool in Travel and Tourism
P2.1 Analyze the importance of strategic marketing planning for Thomas Cook
The environment of the business climate in a case of travel and tourism has been changed so
far. Right, know the industry is needed a specific strategic planning for running this kind of
business. As the market climate has been changed for the development of every other
industry as well as the travel and tourism sector, the business needs some applied planning
for growing this business towards the development(Law, 2009). When the strategic planning
gets changed on the purpose of business, there are some specific strategies which should be
applied in the field of travel and tourism sector. Strategic market planning acts as the
observer upon the organization as it takes care of all the strategic parts of the strategic
planning of the business so that the strategic procedure should be followed in a specific and
mannered way. The analysis at this period of strategic planning is much important because
the planning would move forward with the help of the following analysis. The analysis would
be moved on through the critical analysis of the strengths, weaknesses, opportunities, threats,
environment of the business. On the other hand there are some more definite discussions to
satisfy the strategic planning which is nothing but the deep observation upon the
organization, the analysis is should have to come in front of picture which will show the
overall review of the organization which are the observation upon the competitors of the
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organization, here Thomas Cook(Factors affecting global tourism, 2012). The organization,
Thomas Cook, would have to select a planning procedure which will show the factors of
strength, weakness, opportunities and threats on the organization as well. The business has to
get the best marketing strategies; these strategies will fix the internal as well as external
issues of Thomas Cook. By the help of this strategic planning procedure, the company would
be beneficial so that the development of the company would move to upwards in the industry.
The strategic planning will remove the issues of competitors and will help to set the direction
of business. New planning always helps to carry new issues so that the applied strategies
would have to be placed in the market and the business will look towards the improvement
through this factor. On the other hand, it also fixes the issues around management, the
framework of business, the procedure provides some new planning and set new visions and
missions for the organization(Faria, 2008). Leadership management of the company gets the
new review as well as directions through which the company, Thomas Cook can utilize the
experience in further problems in future. Thomas Cook is the organization which is carries
forwarded towards the travel and tourism sector in the business industry. Since 1841, the
group of Thomas Cook has been initiated so that it is to make sure the company is reputed
and handled many issues in its experience of business. It has provided quality services to their
consumers since its inception. This is one of those reasons which are the cause of a huge
reputation of the business of Thomas Cook(Tigre Moura, Gnoth and Deans, 2014). As it is
known that Thomas Cook is a UK based company and it has expanded itself through
worldwide and it has many sectors or branches of travel and tourism around the world. To
assess strategically upon the company, it is needed a SWOT analysis to sort out the points of
strength, weakness, threats and opportunities of the company, Thomas Cook. The overview
of these factors would help to sort out those issues which are preventing the company for
further development. The factors are described at the below of the text.
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Strengths
First of all, the company, Thomas Cook has a sophisticated history as it has been established
in the year of 1841. The services it is providing since its birth, the company has gained a huge
amount of reputation in the market of the business of travel and tourism. Other than this there
is another vital point which is the company has got a lot of employees which are
approximately more than thirty thousand so that the company gets a huge customer service
facility through the help of their employees in the field of work(Africa - Conference on
Developing Tourism Policies, 2015). After that, it is much important to mention that the
company has been merged with some organizations which are My Travel as well as Kuoni.
This is the reason why the company gets a huge financial field in its business. A huge range
of stakeholders, economic services, and facilities, bonding with other travel agencies have
helped to reach the company at the peak of its development and prosperity. Thomas Cook has
invented many procedures which attract the customers in different places of their
market(Nunkoo and Smith, 2013). The management of the company is used to know the
geographical areas of the places where the company has put its business engagements so that
the company has gained the knowledge how it will make business in different areas. On the
other hand, it is most important that the company of Thomas Cook has never deprived its
consumers by their customer services. The reputation of the company is always at the peak of
its success.
Weaknesses
The environment of the market or the industry of travel and tourism sector is not much stable.
The unstable market of business always create an insecure environment for the companies,
and here it is not much different from that(Claveria, Monte and Torra, 2014). The companies
in this sector of business always face difficult competition. In a case of the company of
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Marketing in travel and tourism
Thomas Cook, it is initiated in the year of 1841, so that it has got its time to grow up and now
it has come to its growth stage and gets stable at the maturity stage. This is the cause of
getting too many competitions in the market, and the company of Thomas Cook has got so
many competitions in the market of travel and tourism. On the other hand, it is to be also
mentioned that the company has a huge financial range of business and it is the reason of
having so much trouble in the business of economic strategies and the company faces losses
at several times.
Opportunities
In a case of opportunities in the businesses of today, they are much reformed from the aspect
of technology. At the sector of travel and tourism, the technology has put a large impact. By
the help of advancement of technology, the facility of online booking has been initiated
which helps all the tourists around the world who are fond of traveling(tourism and
experience, 2016). On the other hand, it is a truth that the engagement in touring and
traveling, today has become an interesting entertainment so that one of the hugest company
will be in gain at this period. As the company has been expanding through the whole world
and it has a large expansion of stakeholders, the company of Thomas Cook can hold the
investment costs and make a beneficial turnover for the company.
Threats
It is said already that the company has got a much unstable business in the market so that the
financial aspect of the company runs in poverty. There is so much fluctuation in the monitor
section of this business; the policies of the financial aspects get changed frequently to
develop the changes further. Always there are competitions with the agencies of tour and
travel which offers their services at a very low cost. This becomes a threat which can be the
cause of fall of the company. On the other hand, as the company runs in a profile of low
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profit, it can be the cause of risk for the company(Claveria, Monte and Torra, 2014). The
company of Thomas Cook should have to put their differential eyes on this aspect of the
threat so that the company can prevent the threats before it becomes harmful for the
company.
P2.2 discuss the relevance of marketing research and market information to managers in
travel and tourism sector concerning Thomas Cook Group
The most crucial task for the Thomas Cook Group is to provide the correct and important
service at the right situation to the customers. To formulate business strategies, identify
difficulties and opportunities in the present market, determine customer wants and needs,
facilitate good introduction of the new services- marketing information and marketing
research is very important for the manager of the Thomas Cook Groups. In the industry of
tour and travel sector, there is so much importance of having a differential marketing
research, as well as that information which can be got from the research of marketing, are too
useful to utilize in the industry of the business of travel and tourism. The basic ingredient of
market research is to evaluate the relation between the consumers and the employees who
work for the organization(Biggs, 2010). By the help of market research, variant factors can
be found out which will help in the cases of different factors which can prevent the
organization to reach the peak of success. A huge range of stakeholders, economic services,
and facilities, bonding with other travel agencies have helped to reach the company at the
peak of its development and prosperity. Thomas Cook has invented many procedures which
attract the customers in different places of their market. Marketing information and research
help the manager of the tourism company to make effective decisions for the organization
and to improve business strategies for selling excellent packaged trips to the tourists. The
companies in this sector of business always face difficult competition. In a case of the
company of Thomas Cook, it is initiated in the year of 1841, so that it has got its time to grow
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up and now it has come to its growth stage and gets stable at the maturity stage (Herget, Petrů
and Abrhám, 2015). The company needs to put a huge observation upon this segment of work
where it can be told that the company would make the differential diagnosis on the market
research factors which should have to be beneficial for the company. Thomas Cook has to
make an initiation upon the sector of management who will differentiate the factors of other
companies. From these kinds of information, the company of Thomas Cook can evaluate
their strategies towards the development and the competition with other rival companies. As
the company can get the information of other companies, it will be able to analysis its factors
of marketing strategies. When the company of Thomas Cook can be able to implement all the
marketing strategies, it can get a huge turnover upon the business of tourism and travel
industry.
P2.3 Assess the influence of marketing on society
As there are variant impacts of the business upon the society, the company of Thomas Cook
is needed to care about that by the mean of consumer services. The government takes a lot of
care upon the consumers as they do not get deprived of the services of the company. The
organization of travel and tourism should also have to care about the services towards the
customers as it is much needed to satisfy the customers of the company(Imran, Alam and
Beaumont, 2014). The reputation of the company deals with the provided services of the
company. As it is the question of impact upon the society, it should have to be clarified that
the company needs to follow several rules and regulations which are followed by the
government. Some legal issues are also there through which the company is needed to go
through. Marketing practices let the company reach the targets legalized by the organization
as well government. The company is needed to put a differential eye upon the marketing also
with a lot of investment on this factor and the rules and regulations along with the legislation
should have to be maintained.
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Task 3: To understand the role of marketing mix in the travel and tourism sector
P3.1 Discuss issues in the product, price and place elements of marketing mix
The marketing mix is something which differentiates something which is more relevant to
some specific factors of product mixing, price planning and places the business. Here are
some basic objectives to meet; first thing which comes in front of the factors is product mix.
The product mix is something which meets the needs of customers. The product mix is
involved with the services towards the customers, branding the service, quality services, and
the whole thing in a box, it helps the company to present the package of service to the
customers(Hunter-Jones, 2016). Then there comes the element which is involved with the
strategies of pricing. Pricing strategy is the cause of benefit of the company; here the
company should have to fix the pricing in a differentiated manner so that it can be profitable
for Thomas Cook. If the company does bid rigging which is a form of cheating to the
customers or tourists, the consumers may be angry with this reputed company and they may
not depend on this organization in future. Finally, the strategy of placing or distributing the
service comes. The management of the company needs to know where the customers need
this kind of service and by this way, the company of Thomas Cook can place their services.
The different issues within the marketing mix are:
1. Every consumers of this tourist group expect a good behaviour and hospitality that
they should be provided by the company. If they don’t get their wished hospitality,
they may be disappointed to the organization.
2. Present situation shows that the customers or the tourists prefer ethical organizations.
Ethics of a company itself is concerned as the selling component in the market.
Thus the marketing mix helps to evaluate the factors come in front of the
organization.
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P3.2 Assess the importance of service sector mix elements to the travel sector
This section of mixing strategy is involved with the factors which are related to the customers
as well. There are seven Ps which can differentiate the program of mixing service sector
elements; the seven Ps are respectively product, place, pricing, promotion, people, process
and finally physical evidence(Chen, 2013). The strategies should have to go through this
kind of process where the people who are customers can experience good services by their
needs. After that, it should be evaluated that the company is run by the preferences of the
customers. Finally, it is located that the ultimate needs of customers are valued in the
business of travel and tourism sector.
P3.3 Apply the concept of the total tourism product to an individual tourism business
The business of tourism provides a lavish kind of service, especially in a case of the company
of Thomas Cook. The company enhances their services for the customers. Here are several
other destinations where the company helps the customers to travel. The company provides a
lot of facilities which are incorporated by the terms and legislations. Variant factors are there
which should have to be analyzed in this function of work(Travel and Tourism Under
Pandemic Conditions, 2010). In the field of marketing, it is necessary to understanding all
the alignment of market concept or theories that refer to the managing marketing principles,
attitudes. Less understanding of the marketing concepts could affect the organization's
totality. Thomas Cook has many distribution procedures by the mean of different brands,
websites, third party agents. The portfolio of the product of the company is so broad that it
can fix its target customers as well as the target market to make the company beneficial.
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Task 4:
P4.1 assess the integrated nature and role of the promotional mix:
Promotional mix is an essential part of an organization in the competitive market.
Promotional mix is the combination of various tools, tactics, along with that an instrument of
communication in offering company, the products, and multiplicity of facilities to the
customers. Promotional mix delivers variety of methods to the organization to promote the
products in the market to gain more profit. The fact is a rich promotional mix regulates the
market mix for this reason company able to attract or retain their customer. Mix promotion
consists of five elements. First one is advertising which is included the presentation of
sponsors, promotion of the ideas, goods, services to the customers via various channels like
print media, the internet, websites, social media. Promotion of the products or services in a
various way with the help of printing, Google, or any particular website in the market.
Second is personal selling that consists of encouragement of the possible customer by the use
of verbal demonstration or presentation. Personal selling is accomplished via sales
representative, sales meeting, incentive campaign and providing samples within another
customer. Here the sales executives also play a vital role. Sales staffs should be educated,
good communicator for better promotion approach. The third element is sales promotion,
which is circulated by the use of media or non-media marketing channels for increased the
necessity, demands, and advancement of the particular product. It also helps to increase the
availability of the product. Availability of the products helps to earn profit from the market.
The fourth elements of the promotional mix are public relations while the product delivery or
services are accelerated via distributing information in the media for public usages. Those
media are newspaper, reports, magazines, periodicals, speeches, seminars, etc. advertising of
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Marketing in travel and tourism
the product through all these promotional apps attract more customer. Not only that product
specification helped to gather detailed knowledge about the product. The fifth component of a
promotional mix is direct marketing. It allows the organization to communicate or counter the
customers directly. Direct communication to the clients occur through mobile messaging,
emails, direct mails, websites, and letters and door to door knock. Sales staffs are appointed
for a door to door promotion of that particular product. Proper training given to the officers
by the organization. The promotional mix used to meet the marketing objectives of an
organization. There is few real set by a group to gain the profit and to serve all the needy
customer by their products. To make a brand loyalty, and awareness promotional mix is very
much essential for an organization. Enhancement of a particular product is another function
of promotional mix. Improvement of customer services also depends on the promotional mix.
Promotional mix shows its application in both product and services in the market. The
importance of promotional mix indeed experienced by an organization at the time of
competing with the rival organization (Altomonte and Pennings, 2008).
P4.2 Plan and justify an integrated promotional campaign for Thomas Cook summer 2016
holidays
The arrangement of the integrated campaign of promotion should have to be organized in a
structural manner. First, the company needs to select a target audience who will visit
Morocco and Egypt to get a first time experience. The visitors can book their places by online
booking system. The audiences would be informed about the tour by social media or personal
contacts. The whole arrangement should get an overview throughout the procedure. Thus the
integrated promotional campaign will get the result whether it is successful or failed at once.
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