Business Toolkit for Travel & Tourism

Travel & Tourism
Business Toolkit

INTRODUCTION
Travel and tourism refers to those activities when a person go to one place to another for
fun, business purpose or others. It can be the movement of people between distant geographical
locations from habitual environment for not more than one consecutive year (Budeanu and et. al.,
2016). It help in make contribution in the development of economy of the nation and help in
generating revenue or employment. Thomas Cook is a British global travel company which was
founded in 1841 and headquartered in London, England, UK. This firm offer various products
such as package holidays, cruise lines, hotels & resorts etc. and provide travel agencies service to
its clients. This report will discussed about the principles of revenue management, managing
budgets and maintain statistical & financial records, HR life cycle and Human resource strategy.
Further will defined about legislation and ethics in travel and tourism sector.
TASK 1
P1. The rationale and principles of revenue management
The rationale and principles of revenue management for travel and tourism sector are as
following:
Overbooking- Thomas cook is British travel and tourisms sector organisation and from a
long time, it provide better services and products to its customers and show its loyalty towards
them by providing quality services to them. The website of this firm is frequently followed by
the consumers cause of overbooking because they do booking in advance. This help the company
in generating more profit and increasing customer base by offering good and better quality
services in future.
Pricing- The company also offer services at reasonable price by designing good pricing
strategy. The company provide good quality services so customers are ready to pay high prices
for taking the services of it. It help in gaining advantages of profit and help in managing revenue.
If the price are high and quality of those services and products are low which are providing by
the organisation then it will not attract more customers.
Market segmentation- For generating huge profit from customers, the management
department of Thomas Cook require to set its targeted consumers. If there are several customer,

it means that the organisation offer number of services according to the customers (Chang,
Backman and Chih Huang, 2014). Segmentation help in making the work profile easy because
with the help of the administration division of the organization can identified the demands of its
targeted consumers and offer employments according to the needs and demands of them. Due to
it, employees of the firm also aware about the customer demands and they create tour packages
and other products and services according to them. It help in generating more profit margins and
management the revenue of the firm.
Historical demand and booking patterns- Now these days people prefer modern tools
and techniques which are useful and beneficial for Thomas Cook for make improvement in its
economic condition in terms of profit (DeLacy and et. al., 2014). By using online facilities such
as online tickets booking, relevant inflammation through applications and discount rates or
others are helpful in attracting number of customers. For example, if the firm provide offer and
discount on its tour packages in off seasons then customers also attract with them and help in
enhancing profitability of the company.
P2. Investigate how a specific sector of the travel and tourism industry applies revenue
management tools
There are different revenue management tools and they are as following:
Channel manager- In Thomas Cook, the channel manager of the company analyse and
monitor all the activities and operations affiliated to the impressions in the business
(Wattanacharoensil, 2014). It help in maintaining all inventory and prices of all the reservations
portals and manage them with the help of single channel manager. It help in online arrangement
with the harmonious aggregation of transmission for attracting consumers and set standards for
other rivals.
Rate shopper- To know the price rate of competitors, Thomas Cook does rate shopper
and design their pricing strategics according to that so that it can attract number of customers.
With the help of this tool, the manger create pricing strategy according to its competitors and
retain in the market for long period of time (Rogerson, 2015). They help the travel and tourism
sector by monitoring the actual price of the services which provided to the clients. This tool not
only help in increasing revenue but also help in increasing sales and earning lot of profit.
Booking engine- It is the software application which can be used by the organisations to
secure online international reservations. It play an important role in travel and tourism sector