Impact of Economic Factors on Tour Operators

This report delves into the challenges faced by tour operators in the UK due to fluctuating economic conditions. It examines how these changes affect consumer behavior, travel package demand, and the effectiveness of traditional marketing strategies like brochures. The report also explores alternative marketing approaches and evaluates the impact of various factors on tour operator decision-making processes.

TOURS OPERATION
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
AC 1.1. Analysing effects of current and recent trends and developments on tour operators
industry........................................................................................................................................1
TASK 2............................................................................................................................................2
AC 2.1. Assessing stages and timescales involved in developing holidays................................2
AC 2.2. Evaluating suitability of different methods of contracting for different components of
holiday and tour operators regulators..........................................................................................3
AC 2.3. Calculating selling price of holiday. .............................................................................4
TASK 3............................................................................................................................................5
AC 3.1. Evaluating planning decisions taken for decision of selected brochure.......................5
AC 3.2. Assessing suitability of alternatives to traditional brochure for different types of tour
operator.......................................................................................................................................6
AC 3.3. Evaluating suitability of different methods of distribution used in order to sell
holidays for different types of tour operator...............................................................................7
TASK 4............................................................................................................................................8
AC 4.1. Evaluating strategic decisions made by different types of tour operator......................8
AC 4.2. Comparing tactical decisions that could be taken by selected tour operator in different
situations.....................................................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Tour operation management Is defined as that business or company which buys travel
components of individuals separately from various suppliers and tries to combine them in a good
package tours in terms of adding certain value and also selling them with the own price tag to
public (Bruni, Cassia and Magno, 2017). In the following report LCB tour operator has been
taken into consideration. It is a leading hospitality industry of UK.
Thus, in the following report, the effective analysis has been done in terms of current
trends and also development of tour operators industry. Further, various distribution channels of
company has been mentioned along with strategic and tactical decisions. In addition to this,
various timescales and stages are involved in developments of holidays. Thus, contracting for
different components of holiday has also been analysed.
TASK 1
AC 1.1. Analysing effects of current and recent trends and developments on tour operators
industry.
Covered in leaflet
TASK 2
COVERED IN PPT
TASK 3
AC 3.1. Evaluating planning decisions taken for decision of selected brochure.
In the world of travel and tourism, a special significance exists for a brochure since it is
utilised in order to convey information in respect to the tour packages and also to selling in terms
of utilising the online and also offline mediums (Giaoutzi, 2017). It is also considered to be the
most effective and also admired by every organisation in terms of marketing. It is the most
popular fact that from the total cost, 50% of the cost does the involvement of brochure costs.
Furthermore, the major elements that are associated with the investments are considered to be the
components of web based. Thus, the brochure is also considered as the brochure broader aspect
in terms of planning, organising and implementing tour programmes. Thus, the below stages are
involved in order to develop proper brochure which includes the following-
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1. Audience- the cited hotel will have to understand in deep about the target audience, their
gender or age and accordingly analyse about the products and services that will be
offered will fulfil their needs. The company must design, tone and use the language of the
brochure in such way that it attract large volume of visitors towards the brand.
2. Purpose- after understanding audience, they must also get the clear understanding on role
that may fulfil the brochure. If the brochure has multiple roles, they will have to design
and check it with many hats in order to ensure each of the specific purposes are serviced
adequately.
3. Involvement- the colleagues must be involved in implementing brochure and also allow
them to give their opinions regarding colour, design, messages and writing too. It also
helps in spreading the burden of that which is extremely time consuming.
4. Copywriting- the writing counts 80% of any marketing communications and good writing
helps in driving sales. It needs to speak in language of customers and build the brand in
minds and also drive them in the action that is predetermined. This step requires
maximum time and also high experience.
5. Design/layout- it is only writing that carries majority f meaning and also the message of
the particular brochure. The design also dictates pull on customer and the usability.
6. Checking- checking means quality proofing and it is as important as quality writing and
designing. They have to check that all the steps that have been taken place are proper and
accurate and that there are no mistakes.
7. Brochure printing- good brochure printing may add value to business in free without any
type of cost. LCB tour operator needs someone that manages the project for them, or the
one who is great communicator and also keeps in a loop. They also need those who can
resolve any type of issues or problems quickly.
8. Return on Investment- if the company get success in providing or designing quality
brochure, then they will pay back quickly the cost of production and may support the
business in many ways.
Cox & Kings
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Page & Moy
 Cost- As compared to both brochures it has been analysed that the cox and kings has
spent maximum amount in designing brochure as compared to page and moy. The quality
of prints were also of good quality of the selected tour operator.
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 Deciding format- the brochure of cox and kings includes more like a booklet. It involves
each and every detail information about the company.
 Target market and budget- thus, the target market determines design and quality that
includes the attraction of customers towards the brochure. This helps in attracting large
customers.
From this, it has been analysed that the Cox and kings shows better representation of a company
rather than the other one.
AC 3.2. Assessing suitability of alternatives to traditional brochure for different types of tour
operator.
In early times, traditional brochures were considered as effective method in order to
convey the information or data that is extremely necessary in order to target the customers and
also other individuals (Kuzakhmetova, Sitdikova and Shilovskaya, 2016). In addition to this,
advancements in technology of various mediums, there is a requirement of change for the
customers of the selected brand that is LCB tour operator. In order to meet the challenges which
has been associated with the competition that is increasing on daily basis, tour operators of
different types are planning to choose alternative options that has been associated with traditional
brochures. This alternate options are discussed as per below context-
 E- brochure- in the current market trend, the use of e- brochure has started to begun that
is actually considered as the extreme advanced form of the traditional brochures. This has
been garnered and maintain the high volume of popularity between the potential
customers of LCB tour operator. In addition to this, there are also wider approach in
terms of this and in comparison with the traditional brochure that possess the capability
or ability in order to attract large customers and also generate needs and requirements for
travelling among customers. This is used by outbound tour operators.
 Social media- Another alternative to a traditional brochure is the social media which has
been made operative in order to meet the needs of modern client. This may attract large
number of customers and also help in making them inform about the travel industry and
also the features which has being promoted by the cited company. Thus, with help of
YouTube such brochures are basically made available to the prospective clients. the cited
company LCB tour operator may also make use Facebook, twitter, Instagram etc, that
will help in spreading information easily and faster in various platforms or markets. This
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will be proved as the most profitable and effective in terms of promoting the tour that is
planned in successful manner. This will help in covering wide range of customer
segment.
 Mail- thus, with emergence of the new and innovative creativity and also innovations as
the means in order to promote particular products or services that has been offered by
LCB tour operator, the traditional brochures are been replaced with mails. The company
may use the direct mail brochure which assist the customers in approaching easily and
effectively. They can even use visual brochures that may facilitate in influencing
customers through attractive picture of specific destinations and also adventurous
activities. This initiative may help them in grabbing attention of customers towards the
brand. Specialist tour operator is suitable for this.
 Video brochure- this is an attractive way in order to give description of package to clients
that is video brochure that contains the organisations video and also photos of different
destinations that helps in attracting large number of clients towards the particular brand.
This helps in attracting new clients and is also suitable for inbound tour operators. This is
suitable and mainly used by domestic tour operators.
AC 3.3. Evaluating suitability of different methods of distribution used in order to sell holidays
for different types of tour operator.
The cited company LCB tour operator adopts various techniques in order to sell services
and products that has been provided by them either with the help of mediators or directly
(Limsakunwanich and Salgado, 2015). The management of LCB tour operator does not focus on
the one method organisation. But they focus on the method which helps the company to earn
huge amount of profit. Thus, the cited company tries to take into consideration the method that
provides services to clients directly and also make buyer aware about products and services of
organisation.
 Internet- it is the best and easiest way in order to sell products and services in the targeted
market and also helps in generating more revenue in comparison to the direct sales. LCB
tour operator tries to promote their services that is offered by them on websites of their
brand. This helps them to make the customers aware about the offers. Thus, discounts
and prices must also be mentioned on websites so that the customers feel easy to compare
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their products with other brands and choose the best suitable for them. It is suitable for
UK outbound tour operator.
 Direct sale- under this method, the employees that are involved in marketing department
tries to meet the customers themselves and sell packages accordingly. Thus, outlets are
also a perfect example of direct sale. It helps the business to make strong base of client.
In addition to this, it also helps in generating extreme revenue and also in gaining
competitive advantage. It is suitable for specialist tour operator.
TASK 4
AC 4.1. Evaluating strategic decisions made by different types of tour operator.
LCB tour operator adopt various types of strategies in business for expanding and
diversifying business in global market (Llodrà-Riera, Martínez-Ruiz, Jiménez-Zarco and
Izquierdo-Yusta, 2015). Thus, strategic decisions that has been taken by company are discussed
as below context-
 Discount pricing strategy- this are made in order to seek high volume of consumers in the
package of tour. Thus, the amount discounted and fixed with the price of a particular
package is very important decision that has been associated generally with fixed contract
of price.
 Customer relation- as LCB tour operator is the leading company of UK in retail, they
mainly focus on the trust between customers of their brand. It also assures the quality
service to clients that later helps in satisfying them by providing appropriate services.
Thus, the plan is made by taking the needs and requirements of customers into
consideration. This will affect the growth and efficiency of the business.
 Distribution decision- the demand of the customers may vary from season to season or by
situation (Shigenobu and et.al., 2016). Therefore, the decision regarding fulfilling the
needs must not be complicated that may lead customers for other organisation. Thus, the
company has to match with the latest technology that is considered as the most trendy in
the market and helps in fulfilling needs of customers.
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AC 4.2. Comparing tactical decisions that could be taken by selected tour operator in different
situations.
Tactical decisions are basically those that has been taken in terms of implementing the
strategic decisions in LCB tour operator (Page, 2014). This decisions helps in increasing profits
of the organisation and also raise the base of the customers for organisation.
The most important tactical decisions is to ensure that the coordination that is derived is
essential and efficient and the outcomes are anticipated from them are very essential for
consulting various services and for conducting proper market research. This research will later
help in achieving or gaining information in respect of price rates that are being provided recently.
 Tactical response- the team of this has to maintain core mission of protecting and meeting
the requirements of community and also law enforcements. When critical incidents occur,
this team responses and take actions.
 Tactical marketing- this team develops knowledge base and interest of customers in
products and services.
 tactical pricing- this helps in converting new customers by involving temporary price
cutting.
CONCLUSION
From the above report, it has been concluded that LCB tour operator is been taken into
consideration and it has also been considered that the tourism industry is having high impact on
the GDP of a particular nation. It has also been analysed that the recent trends and the
development in industry are beneficial for the company that are tour operators which offers
services around the globe. Thus, this report also provides with the information about the trends
and developments in UK are being affected and also different methods of contracting for the
holiday packages. In addition to this, the report has also been evaluated the decision of designing
in terms of brochure design along with alternatives of traditional brochure.
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REFERENCES
Books and Journal
Bruni, A., Cassia, F. and Magno, F., 2017. Marketing performance measurement in hotels, travel
agencies and tour operators: a study of current practices. Current Issues in Tourism. 20(4).
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Cetin, G. and Yarcan, S., 2017. The professional relationship between tour guides and tour
operators. Scandinavian Journal of Hospitality and Tourism. 17(4). pp.345-357.
Eugenio-Martin, J.L. and Inchausti-Sintes, F., 2016. Low-cost travel and tourism
expenditures. Annals of Tourism Research. 57. pp.140-159.
Felicen, S.S., Ylagan, A.P. and Buted, D.R., 2014. A Correlation Study between Student
Performance on Travel and Tour Operations Course with CRS and Internship Performance
on Travel Agency. International Journal of Academic Research in Progressive Education
and Development. 3(2). pp.74-86.
Georgiev, G., 2016. Stay Connected and Explore: How Can Social Media be Integrated Into the
Marketing Strategies of Tour Operators, Offering Adventure Tours in Bulgaria?(Doctoral
dissertation, NHTV Breda University of Applied Sciences).
Giaoutzi, M., 2017. Tourism and regional development: New pathways. Routledge.
Kuzakhmetova, S.Y., Sitdikova, L.B. and Shilovskaya, A.L., 2016. International tour operators'
responsibility guarantees in developing legislation in the Russian Federation. Tourism
Management Perspectives. 20. pp.66-69.
Limsakunwanich, R. and Salgado, D., 2015. Developing Modeling for Effective Management of
Outbound Tour Companies in Thailand. PSAKU International Journal of Interdisciplinary
Research. 4(2). pp.28-37.
Llodrà-Riera, I., Martínez-Ruiz, M.P., Jiménez-Zarco, A.I. and Izquierdo-Yusta, A., 2015. A
multidimensional analysis of the information sources construct and its relevance for
destination image formation. Tourism management. 48. pp.319-328.
Page, S.J., 2014. Tourism management. Routledge.
Shigenobu, R. and et.al., 2016. Optimal operation and management for smart grid subsumed high
penetration of renewable energy, electric vehicle, and battery energy storage
system. International Journal of Emerging Electric Power Systems. 17(2). pp.173-189.
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