Tour Operation Management

This document provides an overview of tour operation management, including the stages and timescale involved in developing holidays, the suitability of different methods of contracting, the calculation of the selling price of tour packages, planning decisions for brochure design, and alternative methods used by tour operators. It also includes a case study of Trailfinders Ltd., a travel company in the UK.

TOUR OPERATION
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Covered in leaflet...................................................................................................................3
Task 2...............................................................................................................................................3
2.1 Stages and timescale involved in developing holidays....................................................3
2.2 Suitability of different methods of contracting for various components of holiday and
different types of tour operator...............................................................................................5
2.3 Calculation of the selling price of the tour package and the price per person..................6
TASK 3............................................................................................................................................7
3.1 The planning decision taken for the design of a selected brochure..................................7
3.2 The alternative to the traditional brochure designed used by the different tour operators
and recommendation for the company.................................................................................10
3.3 The different suitable method of distribution used to sell the holiday packages..........11
TASK 4..........................................................................................................................................12
4.1 The strategic decisions made by the different type of tour operators.............................12
4.2 The tactical decisions that could be taken by the tour operator in the different situation.13
CONCLUSION..............................................................................................................................14
References .....................................................................................................................................15

INTRODUCTION
Tour operation management system is Lemax which is a software help in managing or
planning the trip for the group of people. Through this software companies can create the
package for the customer. The tour management is creating the tour for the customers and sell
out the major services to the people by which can be done effectively. Tour operator is the
company that plans the trip for the people in which travel as well as the accommodation are
booked on advance. The Trailfinders Ltd. is a travel company in United Kingdom and Ireland.
They actually specialized in tailor-made travel worldwide. They actually have 31 centres in UK.
They plan as well as map the tours for its customer. This report includes the affects tour industry
faced due to the current or recent trends changes take place in developing tour industry. The
major scaling and time required to develop the holidays for its customer. The different type of
tour operators also consider who plan the significant and the selling price is required to be
calculated in advance. Planning is required to take decisions regarding brochures, alternatives to
traditional brochures which is email, mail brochures etc. Their are different types of tour
operations as well as different method used sell products to customers. The strategic and tactic
decisions which are taken by various tour operator.
TASK 1
Covered in leaflet.
Task 2
This task consists of information related to planning a set of action to develop holidays.
The role of different tour operators and suitability of various revised methods through which
trips are planned for students.
2.1 Stages and timescale involved in developing holidays
The outings need to be planned in a way that travellers enjoy the investment they made
for their tour. Holidays allow people to explore different cities, countries and cultures
(Arekamari, 2016). Trailfinders Ltd. Has to develop a plan for a group of 50 students who will be

going to Belgium, Brugge and Brussels form London for an educational tour. At, the time of
constructing a holiday plan different stages and factors have to be handled in effective manner.
In order to develop the given holiday, plan some timelines are required to be followed like-
Stages Description Time taken
Market research This involves detailed analyses
of the destination by the
company to formulate their
further structure. The manager
of Trailfinders Ltd. Will
conduct the market research to
analyse the marketing
environment of Belgium,
Brugge and Brussels to do
research related to trip cost
which will include facilities
like transport, site scenes,
accommodation, etc.
As the tour is planned during
summer breaks. The 2 months
time taken for research or
analysing market for these
destinations.
Planning The planning include which
destination is chosen for
educational trip. In city what
places student visit which is
helpful for them in studies.
What type of transportation,
accommodation etc. are also
planned of a particular
destination.
1 month will be required for
planning process as it will
involve contacting each person
concern.
Forecasting and scheduling After conducting market
research about the destination
and making all the planning
regarding selected destination .
Time consumed for this
process will be around 65-80
days.

Its a duty of a Trailfinders
manager to develop the
estimates days as well as cost
required in conducting
educational trip for students.
After the forecasting company
go for appropriate scheduling
as well as finalisation of areas
where they visit.
Price determination In this, the manager of
Trailfinders Ltd. Will apply
the pricing strategies to attract
more and more students to join
the tour. The factors which
affect the pricing strategies are
foreign exchange rate, taxation
policies, etc.
The pricing process will take
around 2 months.
Marketing After the completion of pricing
strategies then the next step of
company manager is to market
the tour with various
promotional activities.
This process will take 10 days
for the preparations.
After tour management As the tour is finished, it is
important for the company to
receive the feedback from the
customers for future use.
Company can conduct this
process through
questionnaires.
The feedback collection
process can take around 4 days
.

2.2 Suitability of different methods of contracting for various components of holiday and
different types of tour operator
Trail finders Ltd. Is one of the big companies in the tourism industry in UK. It provides
beneficial services to its customers with valuable tour packages (Chalifoux, 2012). On the basis
of the presented scenario the manager of product development department of trail finders Ltd.
Planned an educational tour for the group of 50 students by making all the required
arrangements. The suitability of different methods of contracting for the holiday are-
 Transportation- It is a very crucial part for the holidays, travelling is accomplished with
the help of transportation. It is necessary for a tourism company to provide better
transportation facilities to its customers. Transportation is considered as the main part of
tourism because it helps in increasing the business activities to grow. The government
policies related to the transportation can be processed to develop the attraction of
customers towards different places in effective manner.
 Hotels- The present scenario is related to the group of students who will spend their
money in travelling for the purpose of education tour. But, in other cases people go with
groups of their friends and families to enjoy the holiday and to spend quality time. The
accommodation plays a very crucial role in the process. Hotels providing facilities
comfortable in nature with reasonable prices helps in attracting the customers. To
develop the customer satisfaction, the hotel management should take care of the services
provided to the customers should be up to the expectations of the user.
 Attractions- In tourism industry attraction is very crucial to build a large customer base.
The destination attracts the customers and helps in increasing the contribution in the
economy of UK (Fountoulaki and Jung, 2014). It is the responsibility of the company
Trailfinders Ltd. to create better attracting plays for the customers. So, It is important for
the company to supply better transportation, accommodation and attracting places to the
customers and leads in the increase in productivity of business activities in the tourism
industries.
2.3 Calculation of the selling price of the tour package and the price per person.
Particulars Amount (€)

Room and Breakfast Cost (89*25) (Note 1) 2225
Luxury Coach Cost (Note 2) 6949
Visitor Charges Cost (45.6*53) (Note 3) 2416.8
Tour guide cost (Note 4) 896
Total Cost 12486.8
Selling Price of package (12486.8*100/72) (Note 5) 17342.78
Spot exchange rate = 1.14 € = 1£
Therefore 17342.78 € = 17342.78/1.14 = £ 15212.96
Therefore, selling price of tour (in £) = £ 15212.96
Price per person= 15212.96 / 50 = £ 304.26 or £ 305 (Round off)
Notes:
1. Assuming 89 euros’ cost is for entire 5 nights room and breakfast in Brugge
2. Assuming all the cost relating to luxury coach for two drivers and tour managers are
recoverable
from student group only.
3. Assuming visitor’s charges of two drivers and tour manager are recoverable from student
group.
4. Assuming tour guide cost are recoverable from student group.
5. Assuming 28% mark-up is on selling price.
TASK 3
3.1 The planning decision taken for the design of a selected brochure.
The decision related designing the brochure is an essential part for the organisation to
take. The Trailfinders brochure need to be attractive as well as the influential the customer will
only want to get their trip plan by them. The brochure is one of the most effective source by
which people get attracted to the services which they are providing to the customer (Hsu, Luo
and Ho, 2016). The decisions are taken on that basis the brochure will be published in the

market. The design need to be unique from the other company then customer will get attracted as
well as they take the services from the Trailfinders tour company.
Deciding the Format of the brochure: - The brochure of the Trailfinders have to be
attractive by which customer get influence to buy the trip from them. The content which is used
by the Trailfinders need should simple and easy understandable to the people by which they get
influence to get their trip plan from the Trailfinders only. The structure can be of 3 - fold
brochure or can be 2 fold brochure. The style should be unique as company can use more
pictures and less content. The paper quality have to be excellent as by holding the customer
understands the quality of services Trailfinders are providing to its customer (Kamugira, 2018).
The Top deck tour operators used the 2 fold with specified content as well as the pictures they
actually used the small brochure style for the customer as they want attract their customer by the
style not with much content. The Thomas cook used 3 fold style brochure in which the picture as
well as content is used equally as they want make aware the customers activities going in that
place.
Illustration 1: Thomas cook Brochure

Target market and budget:- The budget is essentials for the companies to determine as
according the target market as well as the customer the budget of the company will be decide for
the brochure. The Topdeck brochure is attractive and influential to its target market by which
more customer will be retain(Koroglu and Guzel, 2018). The Thomas cook used the brochure
with the detailed information as they want their customer to know every specific detail.
Determining print specification:- The attractive front size is used by the Topdeck
company as they want to make to their customer more loyal as well as retains towards them but
the front size used by the Thomas cook is the not attractive as compare to Topdeck as they want
to be more specified in the information which is for the customer.
The Trailfinders is required to use the content which is specified as well as required to be
provided. The market should be pre-determined by which budget can be easy planned the style
Illus
tration 2: Topdeck Travel
Source 1: (Brochure of Topdeck. 2018)

should be attractive as well the paper should be of premium quality and the pictures need to be
used in the brochure.
3.2 The alternative to the traditional brochure designed used by the different tour operators and
recommendation for the company.
The alternative methods used instead of traditional method used by the companies to
make their customer aware about the trips they are providing to its customer. The traditional
ways of publishing the brochure is quiet challenging now a day as the customers are more
digitalized in new era. The brochures are designed in way that attract the new client towards the
organisation and make them aware about the services which is offered by the companies. The
alternative ways are:-
 E-mail brochure:- Its new way of publishing the brochure and making the customers
aware through the e-mail. The operators make the plan the of the packages according to
the trends and mail those packages to respective client (Lee, 2017). Different packages
are offered to the client according to their preferences. This is sometimes customized as
well according to the customer package is formed. Its an most effective or the cheap
method to make the customer aware about the packages. In cost requirement is very low,
no papers is used. The style, structure and the content need to be unique in this brochure.
As this can create the strong customer base in the market.
 E- Brochure:- In this brochure is attached to the website. When the customer search or
the website can see the brochure as well. The brochure required to make the customer
aware about the services which organisation is offering in the market. The person can
login to the website through the mobile phone, computers as the tablets. The E-brochures
are more cheap as they are not customized as well (Limin, 2013). The printing cost which
occurred in publishing the flyers in market can be reduced. The budget can be maintained
properly in the market.
 Video brochure:- Its a attractive way of making their customer aware about the
packages as well as the services which is offered by the organisation to them in a video
from in which different pictures are also used to make them more précised and clear. In
this pictures are consist of different destinations which are in the package by which
customer are more aware about the destination.

 Social Media brochure:- In this companies can publish there brochure in their social
media website like in Facebook page, Instagram page etc. The customer can see the
brochure when they use the social networking sites. This is quite magnifying as the
company can target the more customer base through social media.
Recommended Method for the company:-
The Trailfinders should use the E- mail brochures and the Social media Brochures by
which more and more customer can target (Liu and Pan, 2016). The E-mail brochure help them
in making the customized packages to its customer by which sell of the company will be
increased. The e-mail is send personally to all the customer. The social media brochure can help
in making the more customer aware about the packages Trailfinders offers.
3.3 The different suitable method of distribution used to sell the holiday packages.
The numerous methods are used to sell the holiday packages to its customer. The
distribution can be done through any way like by the direct mail, internet, through agents etc.
The distribution is way by which company is able to sell its services to their customer. As
company is not being able to sell the services they need some method to sell the packages. The
companies can use different techniques to sell the services in the market. The organisation can't
focus on the single method they also required to used more than one method to sell the services
to its customer in the market. The methods are used to sell the packages are:-
 Direct sell:- In this employees of the company meet the existing as well as new clients to
sale the packages and outlets are the another way of selling the services to its customer.
Its s kind of sell the services to its customer as they sell it directly. As this can help in
maintaining the more customer base or the customer loyalty by this distribution channel.
As this also help the company to generate the revenue for the organisation.
 Agencies:- The online agencies can be used by the company to distributes product to the
customer as they can offer the discounts as well to the customer through this (Matilainen
and Lähdesmäki, 2014). The online agencies are Viator, expedia etc.
 Internet:- Its best as well as the cheapest way to sell the products to the customers in the
market. As the company can generates the more profit as compare to the other methods
used used by the company to sell the packages. The company makes its website more
attractive as well as presentable to its customer. The company is also required to upload
the numerous post in the website to attract the customer and make them aware about the

packages the company is offering. The company is also required to offer the discounts as
well in the company to attract more and more customer base as well as the new clients
are also get attracted.
 Telephone:- In this company make the call to the selected clients of the organisation and
make them aware about the new packages which company is offering to its customer. In
this customer is selected as their pre decided as well as the customer have to be the loyal
as well then only organisation chose this distribution channel (Mwita, 2014). This is
quite expensive and the cost incurred is high due to as company is required to call the
customer personally.
Recommendation:-
The company can use the internet and the direct selling distribution channel to sale the
services to its customer and make them aware about the products. As these are the cost effective
as well as the cost benefit methods to be used in business.
TASK 4
4.1 The strategic decisions made by the different type of tour operators.
Its essentials for every company to make the strategic decisions in the business by which
company can grow in the market as well. The strategies can build the appropriate plan for the
company related to the desired future in context of achieving the goals or try to find out the
solutions to the problem in the business. The strategical decisions are:
 Pricing strategies: - It is important for the company to make the pricing strategy by this
only the profit maximising situation will be determined in the organisation. While
deciding the price its organisation responsibilities to make in consideration about the
production as well as the distribution cost which is about to occurred. The pricing
strategies which Trailfinders will chose is the Pricing at the market penetration in this the
prices are set according to the market. In this prices need to be quite low as to attract the
new customer base in the market. The secondary strategy will be Price skimming at the
time introduction of the services in the market the prices of the product will be high as
compare to the other products in the market (Sangpikul, 2015). These are the pricing
strategies which Trailfinders travel company use to make their customer aware about the
new as well as exciting offers.

 Positioning and the branding:- Its very essential for the company to make the strong
branding in the market as well as the positions in the customers minds. The position
which Trailfinders required to make in the customers mindset The branding need to use
by them have to be strong as to increase the revenue in the company.
 Distribution decision:- Its important to take the decision in regards to the distribution
decision as company need to decide in advance the distribution channel of the company
from which source they are going to sell the packages to the customer. The sale can done
through any ways by the direct sell or from the internet as well (Su and et. al., 2014).
The company is required to take the decision in term which help in generating more
profit for the organisation.
These are the strategic decisions which company is required to take to run the business
successfully in the market. If Trailfinders make desired decisions which will also help them in
achieving the objectives.
4.2 The tactical decisions that could be taken by the tour operator in the different situation.
The tactical decisions are taken for the medium term decisions only. The tactics are about
to be more changeable. This will help the business in running the smooth business operations
and also helpful in avoiding of confusing which is on the daily basis. The organisation is
required to increase the various external factors which effects the tactical decisions of the
organisation. The major concern of the organisation is all about increasing in the profit of the
organisation. The tactical decisions are:-
 Tactical marketing:- In this the decisions are concerned with services and programmes
which are provided on the regular basis. As the company is required to provide the
discounts as well as the offers to avail more and more customers which will help the
Trailfinders to increase the revenue in the organisation. To grow the market base its
essential for the company to make the strong customer base as well in the market.
 Tactical Responses:- In this company will make sure that staff of the Trailfinders should
give the appropriate responds to its customers when it comes to products, services and the
packages company is about to offer (Tonsorn, 2016). The staff have to be responding to
them to make them loyal in the company.
 Tactical Decisions:- In this the decisions are related to the tactics which company is
required to fulfil on the time. In order to residency of beds, management of Trailfinders

company try to enhance its bed occupancy with contracted hotels. Its mandatory for the
organisation to take the decisions regarding the better way to increase profits. The
company should use the proper to utilisation of coach, Trailfinders firm provide unique
aircraft and coach facility for consumers (Wang and Ding, D., 2017). As the decision are
concern with this only.
CONCLUSION
From the above given information it would concluded that travel company get effected
by the GDP of the nations. The required to take the recent as well as the trends in the concern to
make the business more worth it. The packages need to be improves on timely basis by the
company to make sure that organisation generates the profit for the company. The brochure style
and structure have to be unique which attract the more and more customers. There has been
discussion about the suitability of alternatives to traditional brochure for various kinds of the tour
operators. The company should use the alternative ways of the brochure to publish in the market.
The decisions are taken in-respective to fulfil the desired objectives of the organisation.

References
Books and Journals
Arekamari, M. A., 2016. Tour scheduling for part-time employee with variable productivity.
International Journal of Advanced Operations Management. 8(4). pp.276-293.
Chalifoux, R., 2012. Wednesday, March 30, 2011 Tour I-Leominster Water Treatment Plant
Tour 9: 00 AM to 11: 00 AM. Journal NEWWA March, p.53.
Fountoulaki, P. and Jung, T., 2014. The Key Factors of Relationship Quality between Tour
Operators and SME Hotels.
Hsu, W. L., Luo, H. S. and Ho, S. ., 2016. November. Applying the fuzzy Delphi method to
preservice training courses for tour guides in Taiwan. In Advanced Materials for Science
and Engineering (ICAMSE), International Conference on (pp. 27-30). IEEE.
Kamugira, P., 2018. Assessing the role of tour companies in growth of tourism as a business in
Uganda: A case study of four selected tour companies in Kampala District.
Koroglu, O. and Guzel, O., 2018. Visitor perceptions of the role of tour guides in natural
resource management and sustainable tourism. IJAME.
Lee, B. W., 2017, November. An Innovative Way of Guided Tour: A Virtual Experience of
Dark Tourism. In 2017 International Conference on Information, Communication and
Engineering (ICICE) (pp. 208-210). IEEE.
Limin, L. A. N., 2013. Ex-ploration of the Construction and Application of a Quantitative
Evaluation Model for the Exploitable Value of Hot Spring Tour-ism Resources.
Resources Science. 2. p.010.
Liu, X. and Pan, Y., 2016. A study of carbon emissions during a tour: A case study of a four-day
guided tour in Guilin, China. Journal of Hospitality and Tourism Management. 29. pp.80-
87.
Matilainen, A. and Lähdesmäki, M., 2014. Nature-based tourism in private forests: Stakeholder
management balancing the interests of entrepreneurs and forest owners?. Journal of rural
studies. 35. pp.70-79.
Mwita, M., 2014. Opportunities and Challenges in ICT Adoption in Tanzania's Tourism
Industry: Case study of tour operators. E-review of Tourism Research. 11.
Sangpikul, A., 2015. An Investigation of Ecotourism Code of Conduct A Comparative Study
Between Thai and Malaysian Tour Operators. Journal of Community Development
Research (Humanities and Social Sciences). 8(3). pp.13-33.
Su, C. J. and et. al., 2014. Tour Leaders' Impression Management and Job Performance:
Exploring the Moderating Role of Tourists' Self-Monitoring. Asia Pacific Journal of
Tourism Research. 19(3). pp.356-373.
Tonsorn, Y., 2016. The Approach to Develop Value Chain to Enhance the Management
Efficiency of Thai Tour Operators in order to Support Free Trade within the Framework
of ASEAN Cooperation. BU Academic Review. 15(1). pp.86-100.
Wang, C. M. and Ding, D., 2017, February. Research on the competency model of tour guides
and the paths of improvement. In 2017 International Conference on Humanities Science,
Management and Education Technology (HSMET 2017). Atlantis Press.
Online

Brochure of Topdeck. 2018. [Online]. Available
through:<https://www.rebeccamccaig.com/p752591873/h4279A738#h4279a738>