Marketing in Travel & Tourism Sector Report

MARKETING IN
TRAVEL AND
TOURISM

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Core concepts of Marketing for travel and tourism sector....................................................1
1.2 Impact of marketing environment on individual travel and tourism businesses...................3
1.3 Factors affecting the motivation and demand of consumer..................................................5
1.4 Principles and importance of market segmentation in marketing planning..........................6
TASK 2............................................................................................................................................7
2.1 Importance of strategic marketing in travel and tourism business and tourist destination.. .7
2.2 Relevance of marketing research and market information to managers...............................9
2.3 Impact of marketing on society...........................................................................................10
TASK 3..........................................................................................................................................11
3.1 Issues in the product, price and place elements of marketing mix......................................11
3.2 Importance of service sector mix elements to the travel and tourism sector......................12
3.3 Concept of total tourism product........................................................................................14
4.1 Integrated nature and role of promotional mix...................................................................15
4.2 Planning and Justification of an integrated promotional campaign....................................17
CONCLUSION..............................................................................................................................18
REFERENCES..............................................................................................................................22

INTRODUCTION
Travel and tourism has become a leading sector in global context. The international
market share of this industry is major and cannot be neglected. People of present era love to
wander around in the world and that is the most beneficial element for the travelling
organisations and nations with attractive tourist destinations. It may however be recognised that
both these bodies are required to plan the strategies effectively. Further, every entity desires to
earn maximum profit to improve the economy and so does a country. In this order, marketing is
essential to increase the market sales (Hollensen, 2015). It is necessary to plan trenchant
activities of promoting and selling products and services. This action will help in drawing
attention of large customer figure that will consequently enhance the profitability. In addition to
this, these tasks involve advertising of the services. The complete procedure will be segregated in
comparatively smaller tasks which are readily attainable. The aim of undertaking this report is to
enable the understanding of the concepts, principles and roles of marketing. The skills that will
be developed from this report will assists in making appropriate use of promotional mix in travel
and tourism. In this assignment, the core concepts of the marking will be discussed. Further, the
significance of using marketing as a management tool will be discussed. In addition to this, the
role of the marketing mix and promotional mix in the travel and tourism sector will be assessed
and applied in this project.
The travel and tourism entity for which the above-mentioned tasks will be achieved is
Thomson. The company started in 1965 with the aim of making foreign travel accessible to all
(About Thomson, 2017). The tourist location selected for the present undertaking is Spain, which
is famous for its dynamic places and the thrilling adventures. Thus, emphasise on the
understanding of marketing and promotional strategies for Thomson, Spain will be carried out in
this report.
TASK 1
1.1 Core concepts of Marketing for travel and tourism sector.
Marketing is the most vital ingredient that is required to increase the sales of an
organisation. Consequent to this, it directly impacts upon the profitability of the firm. In context
to the travel and tourism sector, this tool keeps a special position. Many people travel to various
places each year for leisure and businesses, contributing to the industry. There are basically three
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type of tourisms demands with which any country is concerned namely, inbound, outbound and
domestic. five major component sectors of travel and tourism industry involves the following: Transport Sector: This sector governs transportation means in travelling. It impacts
marketing activities by concentrating on both the design of the products and the
management of the services. This aspect includes the airlines, shipping lines, railways,
bus/coach, etc. (Armstrong and et. al., 2015). In context to present case study, Thomson
majorly needs to focus on airlines marketing by addition of new services and increasing
fleet size to ensure a large range of consumers to avail the rides. Accommodation Sector: This component is the major source of income and thus, requires
effective strategies. It covers hotels, guest houses, farmhouses, marinas, etc. In context to
Thomson, things that are required to bring effectiveness in marketing strategies includes
demand management, product development according to market research, supply chain
administration, etc. Attraction Sector: This fragment is beneficial for a nation in increasing the GDP, it
involves the attractive tourist spots such as theme parks, amusement parks, Museums,
National galleries, adventures, etc. These are governed by the local authorities or
government of a country (Siguaw and Simpson, 2015). Thus, Spain is here required to
develop marketing plan by concentrating on the development of tourist’s destinations to
increase the economy of the country. Travel Organisers' Sector: This is the element that actually operates the tour and thus,
have good understanding of the needs and demands of varied people. Hence, Thomson
can take help from local tour organisers of Spain and investigate where to spend more or
less (Whalen and Boush, 2014). Besides this, the travel agents here have an opportunity
to increase the economy of the nation.
 Destination Organisation Sector: They includes the National tourist officers and
destination marketing organisations which look after this component of travel and
tourism industry. They can attain in the marketing planning by rendering good services to
the visitors (Hollensen, 2015.
All these elements directly or indirectly influence the marketing procedure. Thus, it is
required to focus all these components to achieve the desired outcomes. Further, the core
concepts of marketing also emphasise on following:
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 Market: According to this, the customers are interested to invest in the places that are
having the most attractive destinations to wander. Spain being first choice of the visitors,
Thomson group has made some effective holiday packages for this location. Further, a
brochure is also present on the official website that contain all the details of various
packages (Entezari, Karimi, and Kianfar, 2014). Also, one can book a holiday plan from
site too. Further, the attractive locations are enough for Spain to achieve a tag of
favourable market.
 Products: They should be according to the needs and demand of the customers to satisfy
them. Considering this, the organisation has planned the package for the people of
different age group, psychological groups, etc. For instance: For youngsters, attractive
adventures are included in the plan and Museum visits, art galleries are involved for
middle age group (Tamura and et. al., 2013). Also, visits to holy places for old aged
people. In context to Spain, a country that has famous cathedral churches, art galleries,
amusement parks, thrilling adventures such as bull race, village hike, sea caving,
horseback riding, rafting, etc. Thus, the range of product in Spain is recommendable.
For the selected organisation Thomson Group marketing will be done for three different
groups of people. They are divided on the basis of their age. It has been considered that interest
of people is highly dependant of age factor. Further, choice of people differs when they are
travelling alone or with family. Hence, considering this, the groups are youngsters, families and
old age.
Group Needs Destination Travel Hotel Transport
Teenagers Adventures,
beaches, etc.
Pyrenees
Mountains,
Montserrat
Monastery and
natural park
hiking,
Barcelona
Natural Park
10 days Marriott's
Marbella
Beach Resort
Ferry
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Family Amusement
parks, theme
parks, etc.
PortAventura,
Tibidabo
Amusement
Park,
Ferrai Land.,
Terra Mitica
7 days Thomson
Barcelona
Flights
Old-age Pilgrimages,
Churches,
National
Galleries,
Museums etc.
St. George
Church
Barcelona,
International
church of
Barcelona,
Artevistas
Gallery,
Galeria
Sabrina
Amrani
7 days Thomson
Barcelona
Flights
Holiday package for Teenagers:
Days Activity
Day 1 Departure from London from sea route on Tuesday at 17:00
Day 2 Reaching at Wednesday 18:00. Checked in to hotel.
Day 3 Biking in morning at 7:00 and then Mountain hiking.
Day 4 Visit to Barcelona natural park for horseback riding.
Day 5 Visit to beaches in Barcelona: Nova Icaria and evening in ferry dance
show.
Day 6 Visit to beaches in Barcelona: Barceloneta followed with hiking.
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