Marketing and its Application to a Tourism Organisation

This document discusses the role of marketing in a tourism organization like TUI and its interrelation with other functional departments. It explores the value and importance of marketing in the context of TUI and the significance of effective interrelationships. The document also compares the marketing mix of different organizations and provides an analysis of the marketing plan of TUI.

MARKETING AND ITS
APPLICATION TO A
TOURISM ORGANISATION

TABLE OF CONTENTS
PART 1............................................................................................................................................1
Title..............................................................................................................................................1
Introduction..................................................................................................................................1
Role and responsibilities of the marketing function and ways in which they relate to TUI........1
Ways in which marketing influences and interrelates with other functional departments of TUI
.....................................................................................................................................................2
Analysis of value and importance of the marketing role in the context of TUI..........................2
Significance of effective interrelationships between the marketing function and the different
functional departments of TUI.....................................................................................................3
PART 2............................................................................................................................................3
Compare the way in which different organizations apply the marketing mix to marketing
planning.......................................................................................................................................3
Marketing plan of TUI Company................................................................................................6
CONCLUSION................................................................................................................................8
REREFENCES................................................................................................................................9

PART 1
Title
The role of marketing and how it interrelates with other functional areas of TUI
Introduction
Marketing is a kind of action or a part of business that focuses upon promotion and
selling of business products or services including advertisement and market research. Marketing
of a product or service is done with the help of a defined marketing process. Marketing process
can be defined as a series of step that allows an organization to allow customer problem, analyse
current and existing market opportunities that can be used by them. Proper and appropriate
marketing process helps an organization to reach their desired audience in a proper manner
(Rangaswami and et. al., 2020). marketing today has increased travel and tourism industry
business and has helped organization in this sector to reach their customers globally and make
their services available in a much easy and appropriate manner. marketing in tourism industry as
set some trends that has helped organizations to enhance their business. Some of the most
common marketing trends are: increased use of virtual reality in this industry. Marketing has also
helped organizations of this industry to easily operate their operations easily.
Role and responsibilities of the marketing function and ways in which they relate to TUI
Marketing functions can be defined as roles of business organization that helps an
organization to identify their potential products and services for the market and then promote
them as well. These functions are mostly common in organizations like sales, promotions,
product plan, marketing research, customer service and many more. Main key roles and
responsibilities of marketing functions are: market research, product development, finance,
promotion, selling, communication, distribution and many more.
Marketing functions play a vital and a crucial role within organizations as it helps
companies to carry out their business operations in a smooth manner (Fleming and Coulter,
2017). these roles and responsibilities of marketing functions helps an organization to promote
their growth in a much effective and appropriate manner. these roles and responsibilities of
marketing directly link to wider organizational context of TUI. Roles and responsibility like
promotion and selling helps them to carry out their business operations such as selling products
and services offered by TUI to their customers. Promotion also help TUI to promote all kinds of
services and products that are effed by them to all kinds of customers present globally. Financial
1

role and responsibility of marketing functions helps TUI to manage financial expenditure of their
product promotion and marketing in such a manner that it helps in enhancing overall profitability
and revenue generation of organization.
Ways in which marketing influences and interrelates with other functional departments of TUI
There is a strong relationship between marketing functions and other organizational
function of TUI. Marketing functions majorly work as backup for other organizational functions
especially operational departmental functions of an organization. TUI need to plan and
implement marketing plan and for this they require support of finance department of the
organization, sales department, human resource department and some times production
department of an organization. If TUI provides any kind of discount or offer then they require to
communicate it to finance department of an organization (Shuradze, Bogodistov and Wagner,
2018). This helps in explaining that all the functional departments and marketing functions of an
organization and together they help in increasing overall profitability of an organization. This
profitability can only be achieved if marketing functions and functional department of an
organizations are interlinked to each other. Marketing functions majorly helps TUI in increasing
their overall sales and profitability by actively making all the TUI functional departments
participate together. For example: finance department of TUI provides appropriate budget to
marketing department so that they can plan and implement marketing plan in an appropriate
manner. HR department of TUI focuses upon generation of policies and procedures according to
market trend, target customers and overall sales of the organization.
Analysis of value and importance of the marketing role in the context of TUI
Marketing is extremely important for organization especially in Travel and Tourism
industry. Marketing plays a vital and important tole in TUI as well as it is one of the main reason
because of which TUI can reach their target customers, enhance their customer base and provide
excellent products and services to their target market customers. it is valuable and important for
TUI in many ways such as:
It helps TUI in keeping a pace with changing trends and preference of their customers. it acts as
a primary thing because it helps in identifying needs and importance of their customers so that
they can bring changes within their services and introduce new services to their customers
(Roach and et. al., 2018).
2

It is also important for TUI as it helps the organization in participating in development of
economy with the help of various functions and sub- functions of marketing, as with the help of
these functions growth of business can be obtained easily which will further helps the
organization to participating in enhancing overall economy of the country.
Significance of effective interrelationships between the marketing function and the different
functional departments of TUI
It is important for travel and tourism industry organizations like TUI to have an effective
inter-relationship between the marketing function and the different functional departments. As it
is already known that sales of products and services of TUI or organizations of this industry is
completely dependent upon their customers. Marketing functions helps TUI to plan and
implement their marketing plan and strategies appropriately. Not only this, marketing functions
also helps functional departments to understand issues that TUI can face in terns of
implementation of marketing plan such as financial or budget issues and many more. Therefore,
it becomes significantly important for TUI to have effective interrelationships between the
marketing function and the different functional departments
PART 2
Compare the way in which different organizations apply the marketing mix to marketing
planning.
Marketing mix is based on the important technique or method for developing the
marketing plan. It may include all different element that are important for TUI for providing the
better quality of product as well as service (Alford and Jones, 2020). TUI is mainly considered
the set of marketing platform that performed the operation together, in order to generate the
better marketing response.
Comparison between marketing mix of TUI and Thomas Cook
Marketing Mix TUI Thomas cook
Product It is one of important
component of marketing mix
whereas maintaining high
quality of services. It provide
the best quality of service such
as destination weddings,
Thomas cook is based on the
travel company that organise
travel and tours. It is to be
considered the single-stop
destination for all issue or
problem. Moreover, it is
3

family groups, and family
hotels, beach hotels (Buhalis
and Sinarta, 2019).
providing the better service
such as beach hotels, city
hotels and other luxury
cruises.
Price TUI use the pricing strategy to
set up the effective price level.
It allows for maintaining the
competitive advantage. TUI
offer service within $100, $99.
In order to gain market share
(Chatzigeorgiou and Christou,
2020).
By end of financial year 2015,
As estimated the revenue of
Thomas cook. The overall net
income 19-million pounds
(Chatzigeorgiou and Christou,
2020).
Place TUI open the shop in different
local areas. It would sell its
item on the social media
platform. It has established the
business in different countries
such as UK.
Thomas cook has spreading its
presence in the international
areas. It may include different
global countries. Moreover, it
offer tours to destinations such
as United states, Italy, turkey
and Spain (Buhalis and
Sinarta, 2019).
Promotion TUI use the various media
channel to promote the
product as well as service.
Generally, it may use social
media platform such as
Facebook and twitter.
Potential customer also
following the different
webpages.
Thomas Cook has been
adopted the marketing policy
to maintain and also increased
the brand awareness in the
international market.
Furthermore, It has been used
the different distribution
channels such as social media,
Facebook, YouTube and other
travel blogs (Buhalis and
Sinarta, 2019).
4

People In TUI, there are various staff
member working with sales
team. It plays important role
for providing the customer
service to customers. There
are 12000 employee working
in the organization (Buhalis
and Sinarta, 2019).
In recently, Thomas cook is
being a service brand and also
focused on the potential
consumers. There are
approximately 5000
employees across the global
world (Chatzigeorgiou and
Christou, 2020).
Process TUI can perform the online
delivery process which help
for establishing the interaction
with existing consumer.
Moreover, It involves in
researching market
opportunities to understand
the client requirements.
Thomas cook is mainly used
the customer acquisition by
increasing lead generation
through marketing,
advertisement (Buhalis and
Sinarta, 2019). The
organization always take care
of documentation through
currency exchange, processes.
Physical evidence There are total 500 physical
store open in different areas.
In order to established the
business in global
marketplace. Nowadays, it
also focused on the online
website that give user-friendly
and allows client to view
product quality image taken
into different angles
(Chatzigeorgiou and Christou,
2020).
There are more than 320000
hotel exits in the India and
other countries. Furthermore,
Thomas cook has launched the
mobile application to provide
the better travel and tourism
services (Chatzigeorgiou and
Christou, 2020).
It is important for considering
the physical presence of
brand. Also offering the better
touch point of organization.
Table: 1
5

Marketing plan of TUI Company.
Executive Summary
The report is mainly focused on the evaluation of marketing environment or culture of
TUI. It is based on the travel and tourism organization that is considered as market leader in the
organization (Camilleri, 2019). In this way, it can be analysed the internal environment, value
chain and entire financial performance of organization. In some situation, TUI face some of issue
or problem due to poor communication between the brand recognition and different department.
Company overview
TUI is basically considered the British German multinational travel as well as tourism
company. It is the largest leisure and travel enterprise in global world, an own travel agencies,
retail stores and other hotels. The organization was founded in 1968. In order to establish the
business position in marketplace. In additional, TUI has acquired 25-30% of shares in 1997. TUI
has increased 100% by 1999 (Chatzigeorgiou and Christou, 2020). Moreover, it has performed
the various logistics activities, always concentrated in the shipping areas. TUI also concerned
about the optimise current tourism enterprise with expansion in other countries such as Russia,
Michael and India.
Market situation analysis
 Internal analysis: It is an essential part of TUI to analyse the current situation analysis of
organization. It can be defined as identifying the internal factor that effect on
organizational functionality (Chatzigeorgiou and Christou, 2020). It may involves the
financial analysis, weakness, strength and opportunities. This analysis will help for TUI
to make improvement planning. In order to find out the any faults and gained competitive
advantage.
Financial Performance:
Value chain analysis
6

It is to be considered the tool or platform for TUI, examine the internal activities of
organization. It help for judging the relative value to different enterprise activities. This type of
value chain model will be improved the organizational activities (Buhalis and Sinarta, 2019). In
order to add more value in the final product by making an effective improvement. TUI Company
has been increasing the selling approach and resolve issue in proper manner.
External environment analysis
 Political: TUI is based on the travel and tourism organization that mainly focused on the
business expansion. It always consider the legislation which directly impact on the
business performance and efficiency. The government has announced that there will be
investing approximately £120 million (Chatzigeorgiou and Christou, 2020).
 Economic: The economic current situation of nation that has been assumed. It is to be
considered the favourable for tourism industry as nation has recovered in the recession
periods (Chatzigeorgiou and Christou, 2020).
 Social: The product as well as service is taken by different segments of people. It can be
categorised into different ways. It has been observed that segment of client which
acquiring the more information about travel packaging. The trends, culture and demand
of consumers are changing towards tourism industry (Hay, 2019).
 Technological: TUI uses different modern technology that will support for establishing
interaction with consumers. It is mainly used the official website, application that help for
providing the better quality travel information.
 Legal: TUI is the firm that generally regulates the functionality of enterprises. In order to
provide the better guideline to other policies. In this way, it can easily maintain and
control the business operation (Buhalis and Sinarta, 2019).
 Environmental: TUI has adopted all environmental regulation to maintain the entire
condition. in order to reduce the change the pollution rate in proper manner.
Segmentation, targeting and positioning
It is the process of categorising the market into different segments on the basis of
characteristics. TUI can be segmented such as geographical, demographical as well as
behavioural.
 Targeting: TUI is basically targeting the people who always going for vacation in other
countries. It involves family members and friends whereas they are spending time
7

together. In this way, TUI always targeting the potential consumers. On the other hand, it
is process for selecting the segment which become more profitable.
 Positioning: It is based on the technique or method for maintaining the overall business
position in global marketplace. It help for TUI to portray the brand image in targeted
consumers (Buhalis and Sinarta, 2019). It always tried to position itself as premium
brand. In order to analyse the current brand position in marketplace. In some situation,
TUL need to change the strategies by using pricing strategy.
Monitoring and controlling
TUI can be monitored and controlled the business operation on regular basis. it should be
done by matching the desirable result or outcome of business (Buhalis and Sinarta, 2019).
Manager will perform the different action while using different tool to monitor the business
operation and function. In this way, it become easier for handling any complex situation during
business processes.
CONCLUSION
From above discussion, it concluded that marketing is consider the major concept and
strategies which necessary for across the global world. In order to achieve the success in
marketing. It has summarised about the marketing mix which consists of different elements and
implementation of marketing plan. This type of Marketing mix has performed the significant role
within organization. In order to use as important technique or method for developing the
marketing plan. It has estimated the overall budget which highly significant for business.
Furthermore, it also describing the role and responsibilities of marketing function in the
organization. It can be performed the significant role to achieve the desirable result or outcome.
However, it also established the relationship with different department and marketing team
where they can perform the business activities.
8

REREFENCES
Books and Journals
Alford, P. and Jones, R., 2020. The lone digital tourism entrepreneur: Knowledge acquisition and
collaborative transfer. Tourism Management. 81. p.104139.
Buhalis, D. and Sinarta, Y., 2019. Real-time co-creation and nowness service: lessons from
tourism and hospitality. Journal of Travel & Tourism Marketing. 36(5). pp.563-582.
Camilleri, M.A. ed., 2019. Tourism planning and destination marketing. Bingley: Emerald
Publishing.
Chatzigeorgiou, C. and Christou, E., 2020. Adoption of social media as distribution channels in
tourism marketing: A qualitative analysis of consumers’ experiences. Journal of
Tourism, Heritage & Services Marketing. 6(1). pp.25-32.
Fleming, E. and Coulter, H., 2017. Agricultural Export Marketing in the South Pacific: the future
role of marketing authorities. Canberra, ACT: National Centre for Development
Studies, Research School of Pacific Studies, The Australian National University.
Hay, B., 2019. The future of national tourism organisations marketing functions–there is no
future?. Journal of Tourism Futures.
Rangaswami, A., and et. al., 2020. The role of marketing in digital business platforms. Journal of
Interactive Marketing.
Roach, D., and et. al., 2018. Enhancing innovativeness: the role of dynamic marketing
capabilities. Canadian Journal of Administrative Sciences/Revue Canadienne des
Sciences de l'Administration. 35(4). pp.563-576.
Shuradze, G., Bogodistov, Y. and Wagner, H.T., 2018. The role of marketing-enabled data
analytics capability and organisational agility for innovation: empirical evidence from
german firms. International Journal of Innovation Management, 22(04), p.1850037.
9