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Tour Operations Management and Planning

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Added on  2020/02/03

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This assignment requires a comprehensive analysis of the tour operations industry. Students need to examine current trends shaping the sector, identify key challenges faced by tour operators, and discuss successful strategies and best practices employed in tour management. The analysis should encompass various aspects of the industry, such as marketing, customer service, operational efficiency, and sustainability.

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The Tour Operations
Management

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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1................................................................................................................................................3
1.2................................................................................................................................................4
1.3................................................................................................................................................5
TASK 2............................................................................................................................................7
2.1................................................................................................................................................7
2.2................................................................................................................................................8
2.3................................................................................................................................................8
TASK 3...........................................................................................................................................9
3.1................................................................................................................................................9
.......................................................................................................................................................10
3.2..............................................................................................................................................11
3.3..............................................................................................................................................12
TASK 4..........................................................................................................................................13
4.1..............................................................................................................................................13
4.2..............................................................................................................................................14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16
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INTRODUCTION
The tour and travel sector has been gone through a numerous technological developments
and discoveries which has resulted in improvements and enhancements in the services and
qualities of the companies (Küsel and Ras, 2010). The technological advancements and the
globalisation and modernisation has played many crucial roles in the success and growth of the
tourism sector. The traditional concept of tourism has converted and has changed into modern
tourism, it has been broadly defined and segmented in many sub-sections such as hospitality,
leisure, adventure etc. A tour operator is one who organizes package by combining different
elements and factors of a tourism experience at a pre-determined price. The present scenario is
based on the study carried out on the TUI group which is a well known name in the sector of tour
operators. The below presented report analyses the different trends which are important for the
tour operator company in decision making process for production and selling purpose and also
the impacts of the trends and developments on the tour operations industry (Negi, 2004).
TASK 1
1.1
As a tour operator TUI, should give notice relating travel trends every day. Maybe the
company is welcoming more young travellers, British tourists, or foodies on the tours at the
moment. However, this will be proven beneficial to be prepared for the future travel trends.
Some of the trends experienced by the travel and tourism industry a previously unknown location
becomes a must-see destination or a certain type of trip becomes incredibly popular. While some
trends stick around from previous years, others seem to come from nowhere, reaching critical
mass in no time. The below mentioned are some of the trends of travel and tourism worth
knowing about, as well as how to adapt the tours or activities to take advantage of them:-
Travellers wanting to unplug.
A trend has emerged in which the travellers or the tourists wants to unplug and feel
completely relaxed and away from the work and want to be on a holiday and the shift from the
“always on” traveller has begun (Gow, 2005). A very high proportion travellers from UK has
switched off in 2013 which has increased more in the upcoming time, and will be in continuity
2016.
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However, this needs to be on a traveller’s own terms. Due to modernisation there hace
been many factors which are essential for te travellers such as Wi-Fi remains a key requirement
for many tourists, which creates a difficult balance to strike for hoteliers and destinations. Some
remote hotels use their lack of Wi-Fi as a selling point and this can be proven as a negative point
for the hoteliers. If someone really wants to have a digital detox, it's preferable to completely
remove all temptations, after all.
Crowd sourcing luxury hotels
Crowd sourcing has emerged as an option for financing he luxury hotel segment has been
increasingly turning away from the sources which has been used by the traditional construction
of hotels such as banks and investments. With a potentially long lead time on funding, individual
luxury hotels with unique features are finding that appealing directly to the people interested in
what they have to offer enables them to secure financing that might be denied by more traditional
routes. By the help of the concept of crowdfunding, the interested travellers and individuals will
be able to make their investments in different hotel concepts and also in the development of these
new properties (Bhatia, 2012).
Discovering untouched and unique places
Tourists are always in search of and looking for opportunities to explore the places and
destinations which are lesser-known, especially those that are untouched or unique.
Cross something off your bucket list
Create unforgettable memories
Push the boundaries of your comfort zone
Enjoy closer-to-home experiences
Discover untouched, unique places
Adventure tourism: It is essential for the cited business organization is that to conduct market
research so that they can know the latest trends in this sector. In the present time, adventure
tourism played a prominent role in the success for the company. Because there are large number
of young generation wants to go for such places where they can feel better. In this way they
require to make their tourism products according to the youth which can leads to increase their
sales and profitability. For example, there are various adventure tourism places such as cycling,
river rafting jungle safari which can help to attract large number of customers.

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Sports tourism: This is another trend which can be used by the cited business organization. There
are variety of sports such as football, cricket, and other sports which having large number of
viewers. There are various sports event are conducting each and every year such as Olympics,
football world cups etc. which can be used by the TUI group as the opportunity and make their
products accordingly.
Environmental tourism: This is one of the growing trend in the tour and travel industry. There
are large number of visitor who like such visit which is a good opportunity for the company. In
the context of given case study, they required that to make their tourism products and identify
those places which can help to attract such visitors in an appropriate manner.
1.2
The travel and tourism industry is getting affected by the daily changing trends and
factors for instance, booking on the internet, teletext and phoning call centre's to book their
holidays and also growth and expansion in UK regional airports and more people travelling alone
on holiday for example, visiting relatives (Xiao and Smith, 2007). The below is the explanation
of these trends and factors :-
Greater flexibility of booking –internet, teletext, call centres.
` The key areas such as internet, teletext and call centres are changing people’s everyday
lives and TUI should also consider the development of their own mobile offerings and to alter
the holiday offerings to different types of groups of travellers and families. By making the use of
the internet, teletext and through call centres bookings can be made possible in your own time
24hours a day, this is a more easier and quicker means of accessing the tours and travel packages
, and also a lot cheaper than if you was to book in a travel agents. As more and more people are
using the internet rather than going into travel agents in which travel agents will be losing money
and this would affect the travel and tourism industry in the future and they most probably won’t
be a lot of travel agents around (Papatheodorou, 2006).
Growth and expansion of regional airports
As little airports start off with very low prices, the growth of regional airports in the UK
has increased. For instance, to land the aircraft and for it to be parked up on the tarmac, and with
low prices airlines are more likely to use these such as easy jet as its a low cost airline this helps
the airport expand as more and more people would choose to fly from there. In Manchester
airport per day around 850 planes land and take-off which are probably mostly charter flights
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which take-off on a certain day at a certain time every day or week. this will affect the travel
industry as more and more people are taking flights as there a more airports for example if there
was not an airport in Manchester fewer people would travel as they don’t want to travel far to
regional airports. With the expansion of airports more planes can land as there’s more space so
that gives us more opportunities and gives people better services as the airports have grown.
In today's world large number or people go and visit places as per their own interest. sports,
adventure and environment tourism are the most attainable tourism because number of people
attract towards these tourism. Tourism agencies are provide services as per the interest of the
customers the provide sports tourism to those who are very much attracted towards them they
provide sports tickets and promote games just to make more profit because it is also beneficial
for the country. And they provide adventure trip for the youth who love to do adventures things
and increase their profit by this and companies profit is beneficial for country also. Some
organisation provide environment tourism just to make awareness among people about the
environment the people who are interested towards the environment are attracted and the
agencies provide best environmental view for them just to create interest by this the number of
customers are attracted towards the organisation and it will help to increase the profit level of the
industry.
1.3
The following are the types of packages which the TUI group needs to develop for
offering the services to the travellers:-
Independent tour: This concept is a package which is prepared for an individual. A
tourists is free and independent in this type of tour package to select any particulars for
the journey. TUI will put the components of the Tour together, working directly with the
vendors airlines, hotels, cruise lines, transport operators and others. The vendors usually
quote a net figure to the travel agency and allow him to mark up the price, so that it can
cover his time and expenses. In independent tour, the suppliers quote the rack rate for
individual reservation. Thus, an independent tour may be a package of transportation and
ground arrangements specifically tailored to the individual’s preferences and not
advertised in a tour brochure (Obenour, Patterson, Pedersen and Pearson, 2006).
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Escorted tour: This type of tour package can also be known as Conducted Tour. A tour
escort is provided from the starting point back to the point of return to accompany the
tour members. On behalf of main tour operator this types of tour is generally arranged by
ground operators. Some tours will have both a local escort and a professional escort
sharing the responsibilities involved throughout the entire journey. In many cases tour
operators use the services of a different escort/tour leader according to nature of each
destination visited. Receiving tour members at the airport, assist them through custom
clearance and other formalities and then perform the same duties at the time of their
departure are the principal duties of tour escorts. The tour escort is also responsible for
providing other facilities during their stay at a particular destination. Due to step by step
guiding and escorting, these tours are also referred as ‘Hosted Tours’. Professionally,
escorted tours are planned/organized for the first-time travellers (Benckendorff and
Moscardo, 2010).
Business tours: The nature of business tour is significantly different in many ways from
that of other tour packages i.e. holiday. However, the pleasure element can not be
separated from the business tours. Because business persons travel for a variety of
reasons destinations are not chosen by them but predetermined and more often attractions
are added to make business tours more effective and attractive. Conference Package and
Special Events Package are the two forms of business tours have received a special
attention from the tour operators. Organization of business tours has become a profitable
venture for many tour operators. Venues for business meetings/conferences,
accommodation, transportation, secretarial services, conference equipments, local
sightseeing and other facilities are the wide range of activities. More recently, incentive
tours, and special interest tours have appeared in the shape of incentive travel at the tour
operation market. The incentive tours, one of the largest and growing segment, offered by
a business organization to its employees and their spouses as reward for some special
endeavour or as a spur to achievement. These packages have been found to have greater
motivating power than cash reward and other incentives given 10 the employees. Special
interest tour is another form of tour package, which is also gaining weight in the tour
operator industry (Rego, Gamboa, Glover, and Osterman, 2011). These tours are

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designed and arranged for those interested in eco tourism, farm tourism, ethnic studies,
safaris, skiing, beaches, adventures, deserts, cultural events, and pilgrimage etc.
Travel and tourism sector is one of the attractive industry which can increase the competition
level in the United Kingdom market which can leads to reducing the market share and
profitability of the cited company. In order to maintain their sales revenue, they required to
make their products attractive which can help to fulfil their customer needs. For this TUI
group can conduct market research so that they can know their changing needs of its
customer. The most important thing is that they are required to use customization for their
customers. For example, they can offer them a package which can satisfy their needs in an
effective manner. Apart from that they can also use such pricing strategies which can provide
competitive advantage in the market.
TASK 2
2.1
When we are operating a tour operating company it is important that we are develop a
tour development stages. In this stage we identifying are tour destination, target market, tour
package, communicating with our dealer etc. there are following stages for developing a tour
package:
Research: In the tour developing stage research of the destination and market is most
important think. In the destination research first we identifying potential tourists, their budget,
their destination, accommodation and other services. Target market is another important think
where we try to meet the need of the customers, and also try to approach similar destination.
Planning: This is played a vital role in the tour development. If the planning is effective
so that tour development will successful. In this stage TUI can planned all things relating to a
tour. For example we negotiate our vendors and hotels in advance and make a contract with
them. Because in peak time services can not available. At the time of tour development it is
important for TUI that they have substitute plan if the current plan may failed (Xiao, 2006).
Make a budget: Financial planning is also important for any tour operating company. In this
stage there are two things which is too important first is costing of the package tour of the
company. In this stage we make a tour package considering all cost which are involving in a tour
package. Cost involving in a tour package are travelling cost, accommodation cost, food cost,
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research cost, advertising cost etc. There are various financial risks are involved in a tour
package like exchange risk, credit risk and other risks. For making a risk free tour package for
tour operator company they considered all risks and make ideal tour package for the customers.
Marketing of a tour package: Marketing of a tour package is also an important task for
the company (Bethapudi, 2013). The manager of TUI making their all marketing strategies
should be focused on target customers. In the marketing strategies the tour product is played a
vital role. Tour product or package should be designed according to the customer requirements.
In a package tour or product the services which is essential should be effective and attractive.
Services like hotels, transportation and destination should be attractive. In the marketing
strategies which is used for advertising truism booklets of the company should be attractive and
try to make all information regarding a tour package.
Tour Boucher planning process:
Stages Description Time scale
Resea
rch
This is the first stage which is related with the conducting
market research for the proposed tourism package development.
It is essential for the cited business organization is to analyses
their external and internal environmental which can help to
overcome the proposed risk which is associated with the tour
package. Apart from that they also required that to identify the
changing needs of the customers so that they can design their
products accordingly. For example, there are various customers
which required customization in the tour package which can
help to increase sales and profitability of the business unit.
3 Months
Negoti
ations
This is next stage in the tour and travel development where the
cited company is required to negotiate with different parties and
suppliers which played a prominent role in the travel and
tourism industry. These suppliers such as air line companies,
lodging business units, transport agencies, car and vehicle
operators and others. The manager of the business entity has an
option to negotiate with the air transporters so that they can
1 Month
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make their plan and save the price which is related terms and
conditions.
Costin
g of
tour
packa
ge
The concept of “tour cost” is the focal to understanding the tour
management which can help to analysing the monetary value of
a tour package. The manager of the cited business organization
is to make their proposed budget by using various tools and
techniques which can help to make their tour successful.
1.5 months
Broch
ures
design
ing
Marketing having a great significant for each and every business
organization. In the context of the given case study, TUI group
required that to use marketing tools is its tour brochure which
provide the comprehensive information which can help to
motivate its potential customers. It present the product and
provide the idea of total tourism product. The brochures helps to
create the expectation of quality, value for money, product and
service image, and firm status. It also contains the variety of
information such as transport mode, destination details, travel
time frame, duration of tour, types of accommodation etc. For
example, TUI group can make their brochures in an appropriate
manner which can help to attract large number of customers so
that they can attain their desired goals and objectives.
15 days
Opera
tion
and
Execu
tion
This is the final stage of the tour planning process where the
business unit is required to implement their tour development
plan and execute by using various tools and techniques in an
effective manner. For example, they can make marketing
strategies for their proposed tourism products which can help to
provide competitive advantage.
2 Months

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2.2
Different methods of contract for individual components of a holiday package:
There are two types of components are involved in the contracting. First is the contract
between tour operator and the vendor. A vendor is a service provider for the company. There are
two types of contracts which is used in tour package design (Jaafar and Maideen, 2012).
Fixed contracts: A contract which is commonly used in the tour package. In this contract
the vendor is charged accordance with the volume of the customers. The reason for this kind of
contract that is vendors try to cover up off-seasonal sale and wants to increase their revenues.
There is some risk involved in it. Because the tour company have to pay the amount according to
the contract but sometimes if customers is not that much company may faces loss. In the fixed
contract package tour highly discounted and company try to make high number of customer.
Advance booking facilities can provided to the customer.
Sale only contracts: In tour operation sale of the products is depends of the session. In
UK truism peak time is in summer. So that in winter there is off-season. n this kind contract are
made for off-seasonal time for the company. According to this contract the company have no
concern over the volume of customer. Theses kind of contract are made according to the
potential customer needs (Crick, 2011). Theses kind of contracts are competitively high. These
types of contracts are made for target customers.
Second is the contract between the company and the customers. There are following
contracts which is commonly used in tour operating company. In this contract the company
should be disclosed of all information regarding the tour package. It involves the destination with
descriptions, price, payment condition, health and safety issues, food, duration of the tour (Day
and Night), transportation information, terms and condition regarding the tours, facilities
provided to the customer like special services for senior citizens and also repayment conditions if
the tour will be cancelled.
Supplier group contract: This contract is refers to already decided requirements by the
customers or visitors to the company. According to the requirements have to provide all
facilities and services to visitors in the systematic manner. TUI hotel's supplier and
customers between make a contract according to that contra suppliers are responsible for
full fill requirements of customers and provide them better facilities and services to them
if they will not get that much satisfaction towards their services and facilities so visitors
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are legally able to sue against suppliers. In the other hand, according to this contract
suppliers are liable to provide better and have to full fill visitors requirements in the
systematic manner.
Client group contract: Client group contract is refers to sometimes company is not able to
provide services those are wants by the visitors because some facilities and services are
already sold to other visitors. This kind of agreements are help to provide better services
and advanced booking services to all visitors in which visitors have right to book services
and facilities by the company. TUI Hotel through provide various services like room,
cabins, places and so more all these are sometimes booked by the visitors so company is
not legally able to break contract for other visitors.
Meeting and incentive group contract: This kind of contract refers to agency or company
and visitors between already mention all detail and information about their services and
facilities those are provide to the customers or visitors so in the meeting provide all kind
of informations to all visitors if they are not working according to the meeting so they
legally able to sue case against company. TUI hotel in before made the contract conduct
meeting between visitors and company's employees. In this contact employees are liable
to work according to the provide information and rules for visitors and should try to
provide better satisfaction to them.
2.3
Selling price of a package holiday:
As we know that pricing of the product is too important for any company. It should be
realistic and incurred all cost and profit margins. There are various cost involved in a package
tour like transportation cost (Flight charges and Cab charges), accommodation (Hotel rent and
Food), cost of side scene and other cost. These cost can be fixed and variable in nature.
Transportation cost: In a holiday package there are various cost involved in it.
Transpiration cost is one of them. There are various type of transportation cost involved like
flight/bus/train fare, cab charges from hotel to side scene etc. (Knowles, Teixeira, and Egan,
2003).
Accommodation cost: Another cost involved in a holiday package is accommodation
charges. In accommodation involves cost like hotel rent, phone bills, food and meals charges etc.
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Cost of side Scene: Cost of side scene is another part of holiday package. Here the cost of side
scene means the charges of particular destination in terms of tickets and all.
There is a holiday package for Liverpool city in UK for 2 days and 3 nights. The tourist are
belongs to Delhi.
Pounds.
Particulars Cost Per Person Cost Per family (4 members)
Flight Charges
(British Airways)
450/- 1750/-
Accommodation
(Exl. Food)
120/- 210/-
Food and Meals 100/- 360/-
Transportation by cab 30/- 80/-
Transportation by bus 15/- 55/-
Total 715/- 2455/-
Note: Discount is available for advance bookings.
TASK 3
3.1
Online and offline are the two methods which can be used by the tour operators for
conveying the message and information through brochure. The below presented is the planning
of the decisions which are related with the brochure of TUI group which will be inquired deeply
into. Low cost and high reach are the two basic advantages that are been offered from the
distribution of brochure for tourism package (Choo, Choo, AndKang, 2016). Designing of
brochure for the current package requires a proper planning, research, implementing and
organizing process. The planning decisions for the design of the brochure for the current project
have been mentioned below:
Recognition of planning issue
As a tour operator TUI group can face many problems like format, target segment,
objectives of brochure and timescale which are to be considered for designing a brochure.

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Structure of the brochure
TUI can be pre-decided the format and match the structure of the brochure with target
segment identified by the tour operators a brochure should be made attractive and to make it so
and also to increase its visibility it is important.
Target market and budget.
For instance depending on specific niche segment like wedding tour or mass market the
target market for TUI group will be identified (Korstanje, 2013). Hence budget is to be
considered as the major factor and so the spending power of the consumer will also be identified
by the target segment of the company.
Timescale and the stages involved in the brochure design
The brochure should also contain the appropriate timing while planning decision of the
brochure and also the relevant stages for designing the brochure will be involved in the planning
decision.
London Tate Gallery
An acclaimed branch of the Tate Gallery has been
would have it, the London Tate Gallery-
established at the end of the 19th century
TUI
GROUP
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Albert Dock
The superbly restored Albert Dock, the first in Britain to be built using
only bricks and iron, is an impressive five-story high block surrounding the
Harbor basin where cotton, tobacco and sugar were once unloaded.
3.2
The below mentioned are the opportunities for the consumers to check the alternatives for
of changing the concept of traditional brochure for TUI group. For bringing improvements in the
the quality of brochure and attract a large number of consumer many alternatives for traditional
method are provided (Gomezelj and Gomezelj, 2016). For conveying the information the
traditional brochure can be proved as an important medium but then also the concept of
traditional brochure can be considered as an important medium for conveying the messages and
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information to the consumers. The development of new technologies in the present age enables
the tour operator adopt other mediums. E-brochure can be taken as an efficient method for
designing brochure and conveying information to the customers.
The concept of on-line designed brochure has much wider reach as compared to the
physical brochure so it will be profitable for TUI group to design the brochure in the above
mentioned. E-brochure method will be proven as an another benefit as it is cost effective. E-
brochure will be much less as compared to the physical brochure in the terms of expenses
incurred in the process of designing and developing. For TUI group an another effective
alternative will be to use the visual medium of brochure since they have greater impact and can
attract a large number of people toward the tour operator offerings (Moutinho, Caber, Silva and
Albayrak, 2015).
The visual medium can be an another option for TUI group which can provide the
important information and the visual beauty of the tourism destination in an appropriate manner
and the message can be conveyed by the use of the visual brochure by the tourism industry. The
sale of the tourism packages as designed by the tourism industry will also be increased. Video
brochure designed can also be utilized for promotion purpose by the utilization of social media
tools like Facebook and social sharing tool like You Tube. After analysing the several aspects of
E-brochure it has can be recommended that TUI group must design an integrated brochure in
which e-brochure, video brochure and online marketing campaigning are effectively designed
and linked with each other. Integration of all these tools for conveying information to the
consumer will help in promoting wide research along with efficient implementation.
Visual media: Visual media refers to communicate through visual methods and
techniques. There is not using voice to transfer informations one persons to another
persons. There is all informations are draw and in the written form that can only read and
looked up. Visual media is the systematic method transfer information in the written form
in which including drawing, charts, pictures, graphics and animations. All these are help
to provide information in the special way and customers are easy to understand in which
using many techniques to prepare these media items. Visual media are based ion new and
innovative ideas those are develop in the persons mind and they imposed on the paper
with their message. In the other hand, visual media is relating to the written and draw

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form of information and message without using voice its based on the creative and
innovative ideas those are help to transfer and communicate with person to person.
Social media: social media is the form of to communicate with each other in the simple
and effective manner. In which including many application and software by these each to
transfers information and build a effective relationships with each others. Social media is
the attractive form to attract each other to communicate and to know each others. This
media is the help to develop a healthy and friendly environment in the country. This
media through easy to transfer informations, pictures, music and so more one person to
another like Facebook and Twitter both are the social media software there are all persons
are attract with each other and know to them and easy to provide information. In the other
hand, social media is the attractive form to build a effective relationship with persons its
less time consuming and easy to using. Through this persons are easy to understand and
know new things and innovative things so they can improve their knowledge.
3.3
For the selling of the tour packages that are designed by the tour operators, brochure has
proved to be an effective medium in the past as well as in the present times. There has been a lots
of changes observed in the system of designing and developing the brochure as the time has
moved itself towards the developments and modernity (Otamendi and Ansola, 2011). Now-a-
days the designing of the brochure had highly become technology oriented. The present scenario
is focused on the selling of holiday package of TUI group and can be done by online marketing,
direct sales, telephonic sales, and call centre etc. The TUI group will be getting a large number of
customers through on line marketing and data can be provided with the help of the online source
only and also direct sale method can be employed for the online sales of the brochure which will
be proven profitable for the tour operators. E-mail marketing tools can be used for the purpose of
employing suitable method for selling the holiday package and brochure to targeted customer
segment. Thus, after reviewing the several methods involved in distribution of brochure in order
to sell holiday packages it is vital to make use of both online method and direct method (Lin, He
and Vlachos, 2015).
Online sales: The role of distribution channels played a significant role. In the context of TUI
group they required that make provide their tourism products on their online platform. It is one
of the cost effective way which can help to increase firm revenue.
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Retail travel agents: This is another best channel of distribution which can be used by the cited
business organisation. There are large number of small and medium travel agents which can help
tom sale firm's products in an effective manner, because they have more reach to their potential
customers.
TASK 4
4.1
Strategic decision based on strategies in tour package:
Strategic decision is are played a vital role in the tour package. An effective and
appropriate strategic decision make a successful tour package for the customers. For strategic
decision there are various strategies for tour package:
Segmentation, positioning and targeting: This is an important strategy for the company.
In the segmentation the company can segment in area of interest, age, profession, religion.
Segmentation according to the age. Company categorised age into three different groups like
younger (Age between 18 to 28 years), mature (Age between 29 to 42 years), senior citizen (Age
between 18 to 28 years). Like that we can segment according to the need of the customers. After
the completion of segmentation the company requires to positioned their product package
according to their customers need.
Pricing Strategies: Product pricing is played a vital role in the tour package. Product price
must be accurate and competitive. At the time of pricing the total cost of the product, profit
margin and the factors affecting pricing also considered by the company. When the company
make fixed contracts with their vendors then they can go for a big discount for their customers. If
a company wants to take competitive advantage over their competitors than they can make price
is low as compare to their competitors (Küsel and Ras, 2010).
Creative promotion strategies: For tour package creative promotion is played a vital role.
There are various strategies for promoting the company product. In today's internet era website
advertising is an effective promotion technique. It a cost effective way for promoting the
company product. Anther way for promoting the product to conduct and participating in the trade
shows of truism industry so that a company can reach to customers. Social media is another way
for promoting the product of the company. Social media like Facebook, Twitter, Instagram, You-
tube are the platform where a company can promote there products. Another way for promoting
a product and company name is called sponsorship. Where the company are promote en events.
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A company can sponsor a national or sports event so that it can create new customers (Negi,
2004).
Strategic decisions TUI group Thomas Cook
Volume This is played a significant role for the
travel business organisation. In the
case of TUI group, they focused on the
increase revenue of the its business
through provide customization product
to their niche target market.
On the other hand, Thomas
Cook is focused on the sales
volume of the business. For
this they try to increase sales
which can help to provide
competitive advantage.
Pricing strategy It is essential for every company is to
make their pricing strategies effective
which can help to provide competitive
advantage in the market. In the context
of TUI group, they focused on the
Niche customers so they can use
premium pricing strategies which can
help to increase revenue for the
company.
Thomas Cook is provide
discount pricing strategies
which main aim is to increase
sales volume of the company.
4.2
For handling the day to day business activities relating to the designing and the sale of the
tour packages the concept of Tactical decision is related to the decisions which are taken by the
tour operators. For ensuring smooth business functioning by the tour operators tactical decisions
are to be considered very much significant. Conciliation with the service providers, organizing
accommodation and maintain tie up with several stakeholders who would be a part of entire
value chain in offering services to the customers regarding travel package as needed by them are
some of the tactical decisions which are to be taken by the tour operators for roper functioning of
their business.
Another tactical decision that can be proven significant for the TUI group is regarding the
tie up with several service providers. Personal and corporate selling tools is of very much
importance and should be adopted by the tour operators in order to make these types of

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decisions. The tie up would be done depending upon the suitability of the customer catered and
the pricing aspect and this will surely be a tactical decision for the tour operators after
conducting the meeting with the various service providers (Gow, 2005).
Consideration of consumer experience can also be considered as a yet another tactical
decision making by the tour operators in which tools and methods are utilized by the tour
operators for the purpose of understanding the consumer experience regarding the tour package
developed by them. Data will be collected by the tour operators for understanding the
satisfaction level of the consumer with the present tour packages. There will be a help for the
tour operator to identify the problem associated with the tour packages and also solve them.
Depending on the types of the problems identified, remedial actions will be undertaken to
prevent the consumer from encountering such issues in future and it will also help to generate
high level of consumer satisfaction from the planned tour packages (Bhatia, 2012).
It is essential for the business organisation is to design and make appropriate business and
marketing strategies which can help to attain their long term goals and objectives in an effective
manner and provide competitive advantage in the market. Travel and tourism industry is one of
the complex sector which needs required effective tactical decision making. There are various
department which is related with the HR, finance, production, marketing etc. Apart from that
there are various strategies which required that to design and implement. For example, the
marketing department of the ASAD is required to conduct market research so that they can
identify the changing need of the customers. So that they can design their product accordingly.
This is the part of the tactical decision of the business unit make by the departmental managers.
CONCLUSION
From the above carried out analysis it can be inferred that there are many stages involved
in developing the various types of packages and also estimate the timescales involved in the
same. Further the evaluation of the different methods of contracting for individual components of
a package holiday is done and also the pricing stage of the research and the selling price of a
package is also analysed.
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