Business Model Deconstruction: Trip a Deal

RUNNING HEAD: Business Model Deconstruction
Assignment 1
BUSINESS MODEL DECONSTRUCTION: Trip a Deal

1
Executive summary
The assignment is about the analysis of the Business Model Canvas of an online travel agent
‘Trip a Deal’ which offers variety of tour packages at reasonable and unbelievable rates to the
customers. There are nine components of a business canvas model which will be identified and
analyzed with reference to Trip a Deal so as to find an impact of the components of business
canvas model on the online retailer. The risks and success factors will be analyzed for the
company. It is recommended at the end that the company should focus more on its Customer
Relationship management strategies and should focus on developing better relationship with
local travel agents to expand its operations in the market.

2
Table of Contents
Executive summary.....................................................................................................................................1
Introduction.................................................................................................................................................3
Business Model...........................................................................................................................................3
A. Building Blocks.................................................................................................................................3
1) Customer Segments.....................................................................................................................3
2) Key Partners.................................................................................................................................4
3) Value proposition........................................................................................................................4
4) Key activities................................................................................................................................4
5) Channels......................................................................................................................................4
6) Revenue Streams.........................................................................................................................5
7) Cost Structure..............................................................................................................................5
8) Key resources...............................................................................................................................5
9) Customer Relationships...............................................................................................................5
B. Interrelationships............................................................................................................................6
C. Critical Success Factors....................................................................................................................6
D. Downside Risks................................................................................................................................6
E. Business Model changes..................................................................................................................7
Conclusion...................................................................................................................................................8
Recommendations.......................................................................................................................................8
References...................................................................................................................................................9
Appendix 1.................................................................................................................................................10
Business Canvas Model of Trip A Deal...................................................................................................10

3
Introduction
Trip a Deal is an online travel agent which aims at providing new and innovative experiences to
the customers at reasonable prices. The company believes in providing services to all. It means
that it provides services for every age group, budget, interest and purpose. The company was
founded in 2011 by Norm Black and Richard Johnston who belonged to Byron Bay and ran a
shop over there. They both had interest in travelling and so, they established a business of their
interest and now it has more than 90 employees working for the company. The company is
young and connects with around 30000 travelers in a year. It is also voted as the Best Online
Travel Agency by The Australian Federation of Travel Agents in the year 2017 (Trip A Deal,
2018).
Business Model
Trip a Deal works for the travel lovers. The team of travel experts of the company do all the
research and analysis on the basis of the demands of the customers. They book the holidays
online and also on call if someone is not comfortable in buying online holidays. The company is
all available to answers the queries of the clients. The company provides customized trips and
right from booking flights, it provides facility to book hotel, plans vacation, book a table in a
café or restaurant and provide travel insurance (Trip A Deal, 2018).
A. Building Blocks
There are 9 building blocks of any business Canvas Model (Teece, 2010). These building blocks
have been identified and explained with reference to the business of Trip a Deal. (Refer
Appendix 1: Business Model canvas of Trip a Deal).
1) Customer Segments
According to the company’s website, the company is aiming at targeting every age and income
class. It aims at catering people with different interest about holidays/vacations/tours. The
company offers educational tours, romantic gateways, adventurous trips or spiritual tours. The