Tour Operation Management

This document discusses the current trends and developments in the tour operator industry and their impact on the travel and tourism sector. It covers topics such as the stages and timescales involved in developing holidays, different methods of contracting in holiday plans, calculation of selling price, evaluation of planning decisions for brochure design, suitability of alternatives to traditional brochures, different methods of distribution to sell a holiday, evaluation of strategic decisions made by tour operators, and comparison of tactical decisions in different situations.

Tour Operation
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................2
1.1 Current and recent trends and developments on tour operator industry................................2
Covered in Leaflet........................................................................................................................2
M1. About LCB Tour Operator...................................................................................................2
Covered in Leaflet........................................................................................................................2
TASK 2............................................................................................................................................2
2.1 Assess the stages and timescales involved in developing holidays.......................................2
Covered in PPT............................................................................................................................2
2.2 Different methods of contracting in holiday plan..................................................................2
Covered in PPT............................................................................................................................2
2.3 Calculation of selling price holiday plan...............................................................................2
Covered in PPT............................................................................................................................2
TASK 3............................................................................................................................................2
3.1 Evaluation of planning decision taken for the design of selected brochure..........................2
3.2 Suitability of alternatives to a traditional brochure................................................................3
3.3 Different method of distribution to sell a holiday..................................................................4
TASK 4............................................................................................................................................5
4.1 Evaluation of strategic decisions made by different types of tour operators.........................5
4.2 Comparison of tactical decisions which could be taken by a selected tour operator in
different situations.......................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES ...............................................................................................................................8

INTRODUCTION
Tour operation management is a crucial element of hospitality industry. It is a dynamic
and service driven industry and needs deliver great products and high quality customer service.
To understand this concept company, LCB tour is being selected. The company has headquarter
in Malaysia. It plans the various domestic tours like Malaysia Island and Resort Island. The also
plans the international tours in various destinations like Japan, China and Vietnam etc. As main
focus of this report is to know impact of present and recent trends and development on the tour
operation sector of travel and tourism sectors. This assignment covers various topics like
understanding of tour operator industry within travel and tourism, the stages which involved in
creating holidays, brochures. Apart from this the methods of distribution used to sell holidays is
being discussed. And different types of strategic and tactical decision making for tour operators
has been explained.
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TASK 1
1.1 Current and recent trends and developments on tour operator industry
Covered in Leaflet
M1. About LCB Tour Operator
Covered in Leaflet
TASK 2
2.1 Assess the stages and timescales involved in developing holidays.
Covered in PPT
2.2 Different methods of contracting in holiday plan
Covered in PPT
2.3 Calculation of selling price holiday plan
Covered in PPT
TASK 3
3.1 Evaluation of planning decision taken for the design of selected brochure
Brochure:
Brochure is a medium of advertisement or tool to communicate about the products and
services of company to customers. This is helpful in creating the awareness about the company's
offering to customers. The brochure is like a small book or magazine which contains attractive
pictures and other information about company's products and services (Alonso-Almeida and
et.al., 2018). The LCB can make this brochure to create awareness among people and attract
those people for rendering services of company. To make brochure there are certain elements
which needs to analysed these are as follows:
Cost:
Cost is the expense which is incurred on buying or making of products and services. The
company can design its brochure in magnolia look-book . This is an unique book which has a
minimal, feminine aesthetic and 20 elegant page designs. The cost of this is around GBP 15.
There will be coloured printing and LCB logo will also be there on brochure. Around 15000
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copied would be printed at initially. The company can distributes its brochures in shopping mall,
garden and other crowded area.
Format:
As there will be three fold in brochure which will contain all relevant information about
company.
Target Market and Budget:
The target person would be youngster who loves travelling and the retired persons. The
budget for one brochure is around GBP 15 (Page, 2014).
Print Specifications:
The font size would be 16 so one can easily read the information. The purisa font style
would be followed. The different types of destinations will be printed to attract customers.
Timescales and stages of production:
As the launching of brochure would be around on 10th of December because its near
about time of Christmas and new year when people used to love travel. The LCB would give the
order for production to those who would print at lower cost.
3.2 Suitability of alternatives to a traditional brochure
In today's time technology is being used in every business. So design of brochure also
changes according to time, demand and technology. There are various types of brochure which
can used by LCB, these are as follows:
E-brochure:
E-brochure is an electronic form of brochure which is used by companies now days. It
can be directly read from smartphones, tablets and desktop. The LCB can use this brochure as it
is an easy to use for customers. And it can be access from anywhere (KhannaSuki, 2014).
Smartphone Applications:
There are various different kind of applications which are available online. The LCB can
use these application to design the brochure.
Outdoor media ( Billboards, tube, Tfl busses):
The billboards are those which placed next to traffic highways and in non urban areas
also to create awareness. As people can see the information easily while driving or waiting in
traffic. It can be used by LCB as it is a cost effective tool and cover large audience.
Internet:
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Internet is a great platform to promote products and services. As almost every person
uses the internet so it covers large population. The LCB can use this method to promote products
and services at large.
Social Media:
Social media is most effective platform for promotion of products and services. As LCB
can use this medium like Facebook, Instagram and twitter etc. to communicate their brochure
information to public.
Radio/TV Advertising:
The radio and TV can be used by LCB to share the information of brochure to the public.
Press:
Press includes newspaper and magazines, it can be used by LCB to communicate the
information to the public (Hughes, Convey and Huiskes, 2014).
Travel Fairs:
The world trade market is a event which is held at UK for the travel and tourism industry.
The LCB can take participate in this event and can share their brochure at large group of persons.
These are the ways to communicate information of brochures to large audience, it can be
used by LCB (Scarles, 2016).
3.3 Different method of distribution to sell a holiday
There are various methods to sell a holiday package which can be used by LCB, these are
as follows:
Direct Distribution:
Direct distribution in related with directly selling of products and services in the market
without use of any third party. This is used when company directly sell to the customers. It can
be used by LCB for selling of their holiday packages. As there is no need to pay any commission
to third party.
Two level Distribution:
This is a two level distribution which includes a wholesaler and retailers in the chain. The
LCB can use this method, as it will help company to reach more number of customers.
Through social network website:
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This is an online platform for selling products and services. With help of this, company
can reach to the large people. The LCB can use this channel as it is cost effective and covers
large area to sell products and services (Björk, 2014).
Government Website:
The government website is used to create and design for regional, local and national
government so that the information can be communicated and vital information for operations.
Online Travel Agencies:
This is a platform which is engaged in selling of products and services to consumers.
LCB is a travel and tourism company, which is required to evaluate price of ticket and analysis
of various business forms. This assist in deciding price of ticket and allow them discounts.
Review Sites:
Reviewing site is related with where the review of products, businesses, services are
posted. The site provides helps in better management and control.
Voucher Site:
These types of websites are formed to assist tourist and helps to be aware with financial
changes with various solution and aspects.
TASK 4
4.1 Evaluation of strategic decisions made by different types of tour operators.
Strategic decisions are those which determines the direction of business which will be
followed in future. As these decisions are taken by the top level management in company. The
various decisions are made by LCB, are as follows:
Pricing Decisions:
Pricing strategy is method which is used by companies to give a certain price to their
products and services. As the penetration pricing method is used by LCB, they want to provide
affordable prices services to the customers initially then they will penetrate market slowly slowly
(Nicholas and Steyn, 2017).
Surcharge Policy:
The surcharge policy means a charge which is included in products and services of
company. This policy imposed extra charges for customers apart from the they paid for package.
As it is charge between of when they book ticket and when they travel.
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Positioning and branding:
Positioning refers to the claiming a position in the pre set market for company's products
and services. This is important for LCB to claim their position in market for their services.
Branding or brand image is very helpful in claiming a position in the market. The brand name
creates a positive effect in the mind of consumers (Caponeed, 2015).
Choice of product in relation to customer portfolio:
Customer portfolio is the need or demand which customers want to get fulfilled. As LCB
should provide those products and services which are in customer portfolio. It will help company
to increase the market share.
Distribution Decisions:
This is related with company's strategic vision and mission. The LCB should take some
decisions which is related with visitors information system, daily deals sites and online travel
agencies.
4.2 Comparison of tactical decisions which could be taken by a selected tour operator in different
situations
The tactical decisions is decision which related to implement the strategic decisions. This
decision is taken by the top and middle level management of organisations. The various tactical
decisions can be taken by LCB tours are as follows:
Tactical Pricing Tactical Marketing
This is a strategy which used by company for
short period of time when the enter new in
market. In this tactics the company lower down
the prices of products and services to overcome
its competitors (Le-Klaehn and Hall, 2015).
Tactical marketing is an act which is used by
company to marketing of a product.
As when there was inflation in economy then
LCB operators use different pricing tactics like
decrease in price of their services so more
number of customer can be attracted.
The LCB used different marketing techniques
like advertisement of their products and
services on various platforms to generate more
sales.
As company has used the pricing tactics for
customers like they provided discount
With the help of promotional budgeting LCB
has promoted their products and services. This
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packages and odd value pricing to customers. helps the company to make aware people about
their products and services.
CONCLUSION
In the conclusion it can be said that it is necessary to develop an effective holiday plan
for attracting consumers. As with the help of proper planning company can perform their
operations smoothly. To develop a plan it necessary to have analysis of current and recent market
trends. The evaluation of different methods of contracting for holiday trip is very important. As
brochure play a vital role in communicating information to general public. The different types of
pricing and marketing is used by companies to sustain in the market.
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REFERENCES
Books and Journals
Capone, F. ed., 2015. Tourist Clusters, Destinations and Competitiveness: Theoretical issues
and empirical evidences. Routledge.
Nicholas, J. M. and Steyn, H., 2017. Project management for engineering, business and
technology. Routledge.
Scarles, C., 2016. Mediating the tourist experience: From brochures to virtual encounters.
Routledge.
Khanna, R. B., 2015. Production and operations management. PHI Learning Pvt. Ltd..
Suki, N. M., 2014. Moderating role of gender in the relationship between hotel service quality
dimensions and tourist satisfaction. Journal of Quality Assurance in Hospitality &
Tourism. 15(1). pp.44-62.
Alonso-Almeida, M. D. M. and et.al., 2018. Sustainability in small tourist businesses: the link
between initiatives and performance. Current Issues in Tourism. 21(1). pp.1-20.
Page, S. J., 2014. Tourism management. Routledge.
Hughes, K. A., Convey, P. and Huiskes, A. H., 2014. Global movement and homogenisation of
biota: challenges to the environmental management of Antarctica?. In Antarctic Futures
(pp. 113-137). Springer, Dordrecht.
Björk, P. E. T. E. R., 2014. Tourist experience value: Tourist experience and life satisfaction.
Creating experience value in tourism, pp.22-32.
Le-Klaehn, D. T. and Hall, C. M., 2015. Tourist use of public transport at destinations–a review.
Current Issues in Tourism. 18(8). pp.785-803.
Lyu, S. O. and Hwang, J., 2015. Are the days of tourist information centers gone? Effects of the
ubiquitous information environment. Tourism Management. 48. pp.54-63.
Van der Wagen, L. and White, L., 2018. Event management: For tourism, cultural, business and
sporting events. Cengage AU.
Online
Tourist Operation Management. 2018. [Online]. Available through:
<http://www.tourismsociety.org/book-review/57/operations-management-in-the-travel-
industry.htm>
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