Tour Operation Management Report

The report concludes that tour operation management plays a crucial role in the travel and tourism industry. It provides information on current trends and preferences of visitors, assisting travel companies in giving appropriate services and facilities. The report also mentions various methods used for making contracts in the industry.

TOUR OPERATION
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Covered in Leaflet ..............................................................................................................1
TASK 2............................................................................................................................................1
2.1, 2.2 and 2.3 Covered in PPT.................................................................................................1
TASK 3............................................................................................................................................1
3.1 Planning decisions taken for the design of a selected brochure............................................1
3.2 Suitability of alternatives to a traditional brochure for different types of tour operator.......2
3.3 Suitability of different methods of distribution used to sell a holiday for different types of
tour operator................................................................................................................................3
TASK 4............................................................................................................................................4
4.1 Strategic decisions made by different types of tour operator................................................4
4.2 Comparison of tactical decisions in different situations......................................................4
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6
.........................................................................................................................................................6

INTRODUCTION
Tour operation business is one of the integral part of the tourism industry, they are
considered as a partner in distributional channel so that effective services and facilities can be
provided to outbound, inbound and domestic tourists (Wu, 2012). Tour operations can be linked
with other tourism business as they responsible for providing basic services and facilities. This
assignment is based on LCB Tours and Travel company and this firm is giving all kinds of
services like from accommodation to travelling etc., Present report will include current trends
along with development on tour operations industry. Apart from this, different stages and
timescales which is required for developing holidays are mentioned in this assignment. Tourism
industry requires different distributional channels so with the help of this assignment different
methods of distribution used for selling a holiday for different types of tour operators is being
explained in this report. Lastly, comparison of various tactical according to different situations is
mentioned in this report.
TASK 1
1.1 Covered in Leaflet
TASK 2
2.1, 2.2 and 2.3 Covered in PPT
TASK 3
3.1 Planning decisions taken for the design of a selected brochure
For designing a brochure, marketing department of LCB perform various functions like
review of planning, items and services company is providing etc., thus, while making a brochure
it includes certain elements such as cost, format, target market, budget, timescale and stage of
production (White, 2016). Therefore, for doing the same marketing department of LCB has gone
through two brochure of different tour operators i.e. Thomas Cook and Virgin Group and these
are stated below for better understanding:
Cost: While developing a brochure there are various factors which are to be consider and
these might includes designing, quality, number of pages printed or wasted etc., therefore, if
comparison is made between Thomas Cook and Virgin group than former is far more better in
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terms of image and it is because of the services they are providing to its clients. Virgin group has
less number of prints.
Deciding the format: Brochure should be attractive in nature and it should provide
information about the trip and other activities (Ronen, Pliskin and Pass, 2012). Thus, brochure
format which Thomas Cook is providing is in the form of booklet in which attractive images and
designs are used so that visitors can be attracted in one go. Whereas in relation with Virgin group
their brochure is of three pages.
Target market and budget: Target market is differentiated on the basis of two factors
and these are design and quality. Thus, Thomas Cooks' quality of brochure is excellent in quality
and according to the needs and wants the people of upper class. Whereas Virgin group is only
providing basic information focussing on different destinations.
Determining print specification: Information that are provided can be made more
attractive if font style and size which are used in an appropriate manner. Thus, in relation with
Thomas Cook, they are used the font size which are readable and they have provided all the
information for which visitors long for. Whereas in context with Virgin Group they are using
large font size which is occupying more spaces and information are also not appropriate.
Therefore,with the help of above mentioned comparison it can be evaluated that Thomas
Cook is providing improved quality of brochure as it is pulling attention of maximum number of
clients with the information provided.
3.2 Suitability of alternatives to a traditional brochure for different types of tour operator
In order to sustain in the market for a longer period of time it is crucial that company
overcome the limitations that are faced in traditional brochure (Naji-Azimi and et. al., 2012).
This confined the scope of coverage of different factors. Therefore, in order to eliminate the
same company must use alternative methods so that awareness can be spread about the services
and facilities firm is providing. Thus, on the basis of this, some of the alternative methods are
explained below for better understanding:
E-Brochure: This is considered as an electronic document which is send via internet to
its clients. Main purpose of adopting this is its coverage area, any person can gain information
related to packages and other activities they are providing. Other than information one can view
the live video of the places which can influence visitors even more. For example: Thomas Cook
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is using E-brochure for both inbound and outbound tourism. As a result, visitors can get to know
about the offerings provided by the organisation (Khairat and Maher, 2017).
Ipad/Android Applications: In this, with the help of software applications are
developed which can be operated through mobile phones or in tablets. For example: Airbnb
application which is providing greater experience to visitors. Through this application, travellers
can easily look for accommodation and other facilities just sitting at home and in just one click.
Therefore, tour operators of company tie up with these application and service providers so that
better facilities can be provided.
Social Media: According to current market situation this is one of the common platform
which most of the company use for promoting their activities and this is because social media is
cost and time effective. Thus, in shorter period of time firms can connect with large number of
visitors. Thomas Cook is one of the leading companies in United Kingdom and operates its
business worldwide, through social media they are providing all the required information which
are needed for attracting more and more travellers (Jaafar and Maideen, 2012).
3.3 Suitability of different methods of distribution used to sell a holiday for different types of
tour operator
While operating various activities related to holiday, there are different actions which are
performed by tour operators. They have to maintain a better relation with various distribution
channels so that effective services can be provided. In order to sell packages tour operators can
use two level of distribution. Thus, effectiveness of both the methods can be understood by the
following points that are mentioned below:
Direct Distribution: In this, company directly sell their substances, products and
services to customers. Direct distribution is effective for small tour operators in which company
have a direct contact with its clients. Therefore, with the help of this approach small tour
operators gets an opportunity of earning a large amount of money so as to survive in the market
for a longer period of time (Allahyari, Salari and Vigo, 2015).
Through social network websites: This factor can be used by both inbound and
outbound tourism. In this, information related to travel is provided through social media or
mobile applications. Social network websites is more effective according to the current market
situation because in recent time large number of people are active on these social media sites.
For every company who are dealing in this sector this factor is reliable and suitable.
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Government Websites: Travel and Tourism assist in generating more and more
revenues for the nation. Thus, in order to increase funds government post advertisements
regarding famous places which can be visited. Majorly, these websites includes places which are
historical and tells about the glorious past (Chand and Katou, 2012).
TASK 4
4.1 Strategic decisions made by different types of tour operator
In order to sustain in the market for a longer period of time it is important that company
develops effective strategies Thus, for doing the same firm has to consider the perception and
preferences as it will assist them in making effective decisions. Therefore, some of the strategic
decision which can be followed by tour operators are discussed below:
Pricing strategies: Cost is one of the factor that which is very important because this if
rates swill be high than visitors may chose other operators that is reasonable and fits the budget.
Therefore, in relation with LCB they need to look after all the components before making
effective pricing strategies.
Surcharge policy: In this, there are some policies which needs to be provided such as
surcharges so that hidden cost can incurred. This assist them in maintaining customer loyalty
which ultimately improves profitability of the company.
Positioning and image/branding: It is required that company provides all the
information related to the tours and packages so that image of company can be enhanced. This
will further assist company in positioning themselves in a better place as compared to other
companies.
Distribution decisions: In order to gain benefits it is important that company use
diversified distributional channel and methods. As a result, it will assist company in increasing
its customer base (Chon and Yu, 2012).
4.2 Comparison of tactical decisions in different situations
Sector of hospitality and tourism industry is based run by making tactical decisions so
that profit can be maximise. Along with this, it will help company in building a strong portfolio
in front of customers.
Tactical response: In this category, employees of the customers provides information
related to services and facilities. Thus, LCB has a separate departments who are activity
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performing their task for resolving issues. This will aid company in improving a positive image
of the organisation in front of customers (Deresky, 2017).
Tactical pricing: Tour Operators should use such proper pricing strategy with the help of
which they influence customers as well as increase their revenues and profit. For instance: if
cost are higher than clients can look for other companies who are dealing in this same sector.
Tactical marketing: In this marketing related activities are given importance. Thus, in
relation with LCB, they are using appropriate tools and technologies for giving information
related to packages to customers. Other than this, firm can monitor the market area so as to know
current trends and preferences of customers (Gibson, 2012).
CONCLUSION
From the above report it has been concluded that tour operation management in the
industry of travel and tourism plays a crucial role. Reason behind this is that they provide with
all the facilities such as accommodation, transportation etc., which can make travelling more
comfortable. Other than this, travel company can look out for current trends and opportunities so
as to have knowledge about choices and preferences of visitors. As a result, it will assist them in
giving appropriate services and facilities. Other than this, various methods which are used for
making contracts is included.
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REFERENCES
Books and Journals
Allahyari, S., Salari, M. and Vigo, D., 2015. A hybrid metaheuristic algorithm for the multi-
depot covering tour vehicle routing problem. European Journal of Operational
Research. 242(3). pp.756-768.
Chand, M. and Katou, A. A., 2012. Strategic determinants for the selection of partner alliances in
the Indian tour operator industry: A cross-national study. Journal of World
Business. 47(2). pp.167-177.
Chon, K. S. and Yu, L., 2012.The international hospitality business: Management and
operations. Routledge.
Deresky, H., 2017.International management: Managing across borders and cultures. Pearson
Education India.
Gibson, P., 2012. Cruise operations management: Hospitality perspectives. Routledge.
Guo, X. and He, L., 2012. Tourism supply-chain coordination: The cooperation between tourism
hotel and tour operator. Tourism Economics.18(6). pp.1361-1376.
Jaafar, M. and Maideen, S. A., 2012. Ecotourism-related products and activities, and the
economic sustainability of small and medium island chalets. Tourism
Management. 33(3). pp.683-691.
Khairat, G. and Maher, A., 2017. Integrating sustainability into tour operator business: An
innovative approach in sustainable tourism. ARA: Revista de Investigación en
Turismo. 2(2).
Naji-Azimi, Z. and et. al., 2012. A covering tour approach to the location of satellite distribution
centers to supply humanitarian aid. European Journal of Operational Research. 222(3).
pp.596-605.
Ronen, B., Pliskin, J. S. and Pass, S., 2012.Focused operations management for health services
organizations. John Wiley & Sons.
White, P., 2016. Public transport: its planning, management and operation. Taylor & Francis.
Wu, C. L., 2012.Airline operations and delay management: insights from airline economics,
networks and strategic schedule planning. Ashgate Publishing, Ltd.
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