Unit 16 - Marketing Essentials for Travel and Tourism

Marketing Essentials for
Travel and Tourism

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Explain the key roles and responsibilities of the marketing function within a selected travel
and tourism organisation........................................................................................................3
P2 Discuss how roles and responsibilities of marketing relate to the wider organisational
context....................................................................................................................................5
TASK 2............................................................................................................................................6
P3 Compare the ways in which different travel and tourism organisations apply the marketing
mix to the marketing planning process to achieve business objectives..................................6
TASK 3..........................................................................................................................................10
P4 Produce a basic marketing plan for a travel and tourism organisation to meet marketing
objectives organisation.........................................................................................................10
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
Marketing refers to the various works and activities related to an organisation for
promoting the buying and selling of products and services (Aung, 2019). In marketing includes
the advertising, selling and delivering products to consumers in order to remain always
competitive in the marketplace. Before conducting marketing, it is very much essential to
understand the consumers needs and wants so that respective marketing initiative helps to
provide effective results. This report is based on the TUI group which is an Anglo German
multinational travel and tourism company, headquartered in Germany. In 2017, it come in the
market of UK and frequently people loved its products (Chiguvi, Madondo and Tadu, 2019).
This report is based on getting knowledge about marketing by adding the major roles and
responsibilities of marketing functions. It also includes comparison in the ways in which various
travel and tourism organisations apply marketing mix in achieving business objectives. finally, it
produce the basic marketing plan for a travel and tourism firm to attain desirable outcomes.
TASK 1
P1 Explain the key roles and responsibilities of the marketing function within a selected travel
and tourism organisation.
About marketing:
Marketing is the study and management of exchange relationships to satisfy customers in
proper manner. In process of marketing involves various activities such as conduct research,
selling and distributing goods and services up to end user in order to remain competitive in
marketplace.
Development of marketing concepts:
In an organisation marketing involves the build the best products and services for the end
user by collecting the knowledge and information regarding their taste and preferences
positively. Marketing in organisation rely majorly on target audience, preferences of consumers,
market and industry with profitability. In that regards it is significant to accumulate information

on specified subject in order to build product accordingly. In context of respective organisation
they majorly rely on accumulating necessary knowledge and information in order to frame the
products as per consumer demand.
Following are functions of marketing by elaborating roles:
Analysis and collection of market information:
Accumulation of necessary knowledge and information is first and foremost function of
marketing which helps in serving the consumers in best manner. In context of TUI they are very
much conscious about collecting information about consumers by analysing trends in order to
remain competitive in marketplace. Accumulation of knowledge not only contribute in building
brand but also provides sustainability. The major accountability of marketing department is to
acknowledged consumer taste and preferences and best price on which they avail services.
Branding:
In an organisation building of brand plays very much important role in gaining
competitive advantage and sustainability in marketplace. Marketing department by accumulating
potential knowledge can be able to serve consumers potentially (Allen, 2016). With the help of
distinctive image in marketplace organisation can be able to enhance sales and profitability. In
context of TUI Group by giving no. of services such as travel and tourism, leisure facilities, stay
and accommodation that helps to enhance consumer experience positively. So brand recognition
plays very much important role not only for organisation but also for consumers. With the help
of advertisement and sales promotion organisation can be able to reach at large no. of consumers
potentially.
Pricing of products:
The another important factor which an organisation needed to consider is pricing of
products and services. To affix the pricing organisation potentially collect necessary data and
information after evaluating the competitors and adaptation of various factors that lessen down
their cost of operating in order to gain desirable outcomes (Babiuk, Braun and Campbell, 2015).
Fixing pricing of product is foremost function by evaluating kinds of costs such as maintenance
cost, ordering cost and so many other factors that determine best pricing of products in order to
enhance sales of products. In context of TUI Group after analysing the best industry range of
salary they tried to give one of best to their end user. In that regards it can be said that for an

organisation it is very much significant to offer best pricing to remain competitive in
marketplace.
P2 Discuss how roles and responsibilities of marketing relate to the wider organisational context.
In an organisation departments plays very much important role by sharing roles and
responsibilities to one another. With the help of close relationship of marketing with other
departments a firm can be attained desirable out comes.
Marketing with HR department:
It has been evaluated that departments share close relationship with one another in order
to gain desirable outcomes potentially. Marketing and branding:
Brand refers to the vision and mission of organisation and consisted logo and positioning
in minds of consumers regarding products and services. Organisational products are not only
prat of organisational need to promote but also essential to attract and retain one of most
potential human resource. Delivering important knowledge and information about organisational
personality is very much crucial majorly in current business environment (Zaccagnini and
Pechacek, 2019). with the help of strong branding HR department select one of best candidates
and can be remain competitive in the marketplace. So respective attribute shows the close
relationship in both the departments in giving one of best attributes in context of TUI group. It
also proved beneficial in keeping people happy by giving them handsome bonuses and
remuneration in order to remain always competitive in marketplace. So with the help of branding
which is the function of marketing achieve their objectives.
Close relationship in marketing ad finance department:
In an organisation there are no. of departments serving simultaneously for gaining growth
and sustainability in the marketplace. Finance and marketing are two major milestones, in which
finance department chiefly concerning for all major financial aspects such as profitability of
organisation, cost, project feasibility and many more. On other hand marketing department
concerned for sales, target market, growth and many more aspects after comparing with
competitors in order to plan in proper manner. For an organisation advertisement and sales
promotions that is important part of marketing without them selling of products can not be
possible. On other hand with finance department organisation can be able to accumulate potential
knowledge regarding finance, potential goals and tactics to achieve the same. In context of TUI

Group with collaboration of both departments organisation can be able to gain desirable out
comes.
TASK 2
P3 Compare the ways in which different travel and tourism organisations apply the marketing
mix to the marketing planning process to achieve business objectives
Marketing mix refers to the set of actions or activities or tactics that used by an
organisation in order to promote organisation's brand or product in the marketplace to remain
competitive. Here is the comparison in between the marketing mix of TUI Group and Trivago in
order to gain crucial attributes that are as follows:
Marketing mix TUI Group Trivago
Product TUI have broad product range
as it sell its products and
services under the 5
categories and each of them
have individual product line
and each product sold under
the brand name of TUI. With
the help of large product
portfolio which provides
choices to consumers to select
one best out of it. Their
products and services
differentiated in nature as
they provide wide variety of
features to consumers that are
unique and highly qualitative
that is very crucial for
organisation (Pricilla, 2019).
In its product portfolio
Trivago which is a travel
company which organize the
tours and travels in order to
optimise important outcomes. It
is a single stop destination or
place for all related travel and
tours. It has a website which
uses meta search technology for
searching hotels. Website
provides all possible hotels in
different price ranges and other
filters according to customer
needs. It involves a feature of
comparing prices with other
websites and showcase them to
their customers.

consisted of strong tour
operators, 1600 travel
agencies and online portal,
six airlines with 150 aircraft,
380 hotels and many more.
Price The pricing strategy of TUI
group is competitive based
pricing strategy, for that they
collect data and information
about competitors in order to
gain important insights. They
also takes into consideration
the cost to set prices that are
costlier in nature to remain
competitive in marketplace.
By using bundle pricing that
based on rule of selling
products in stock that enables
in cutting cost of products.
Company earns revenue from
per click a customer does to get
more details about hotel and
also it take commission for
hotel bookings done from their
website.
Place TUI group sell its products
and services by using two
channels, the first channel in
which it directly sells to
consumers by using the
online website. The another
channel is to sell by whole
seller who sell to various
retailer located in different
places to reach at large no. of
consumers. They are present
Trivago is available in more
than 60 countries. It globally
connects customers and help
them to make booking from
anywhere. It is mostly available
online By using this
distribution channel, it reach at
large no. of consumer base in
positive manner.

on over the 500 retailer
throughout the nation. By
following intensive kind of
marketing strategy which
tries to include its products on
many retailers as possible.
They operated in UK,
Belgium, Germany,
Netherlands and Sweden.
Promotion TUI group use multi media
channel to promote their
products and services into the
marketplace. By using
advertisement on TvV and
radio as it proved beneficial
for them to reach at large no.
of consumer in positive
manner. By using online and
social media advertising by
focusing on you Tube,
Facebook and Twitter as
consumers consume widely.
Trivago mostly promote their
website by using media
channels. The advertising
strategies are through Facebook
and Instagram. By using the
innovative and informative
concepts they advertise their
services. They also use various
sponsorship tools to enhance
visibility in marketplace.
People Within the organisation
workforce plays very much
important role as they by
using their skills and
capabilities put one of their
best efforts. In context of TUI
Group their team work under
sales which is responsible for
They have a workforce who has
interest in technology. They
offer flexible working hours for
their employees and each year
they get around 5000 applicants.
Company provides four day
holiday surprises to their staff
members.

enhancing sales and
achieving growth.
Process In marketing mix process
helps in delivering the goods
to end user. With help of
effective supply chain and
distribution network
organisation can be able to
reach at large no. of consumer
base.
Trivago has different process to
run smooth operations and
bookings for their customers.
The process involves applying
for locations and then a list of
locations in particular place pop
up on screen. The next step
involves selection of room type
weather single or family room.
Price filters are also available
and it involve online payment
mode.
Physical evidence Physical evidence is an
important attribute of the
service mix which helps to
evaluate or examine the
perceptions based view of
service provider (Arendt and
Allain, 2019.). In context of
TUI group, it provides
packages to consumers by
delivering special attributes
and discounts on them to
enlarge business opportunities
in positive manner. Their
apps and websites one of best
physical evidence in order to
gain fruitful outcomes.
Physical evidence of Trivago
include a logo of three different
colours which is blue, orange
and red. Existence of Trivago is
online and they connect to
different hotels through online
channels.

In context of TUI group which is one of most leading organisation in travel and tourism
sector after evaluating major aspects related to the marketing mix of both the organisation to
amend their performance in positive manner by building some kind of strategies and tactics to
comply with changes.
TASK 3
P4 Produce a basic marketing plan for a travel and tourism organisation to meet marketing
objectives organisation.
Marketing plan is a kind of comprehensive written document which outlines or evaluates
the overall business-strategy of the firm and its respective efforts (Chatterjee and Chatterjee,
2019). In context of TUI group, which aimed to launch wearable devices by using respective
technology to consumers to give personalized experience in order to remain competitive in
market place (Sharma, 2019). By develop the wearable, customizable and RFID equipped
magic band that helps to lessen down waiting time and track location of guests in order to
provide one of best services to them.
Executive summary:
TUI group which is one of most well known travel and tour operator in the whole world
by providing customizing best experience to consumer base. They aimed to launch new services
for consumer that are wearable devices that helps to lessen down time and helps to track guests
locations to reach them promptly.
Mission and vision:
Discovering the world's diversity, evaluating new horizons, experiencing foreign
countries and culture that broadens people's minds.
Objectives:
 To provide one of best quality services in form of travel and tour packages to consumers
for customized experiences.
 To enhance profitability by 25% in upcoming year.
 To obtain advance technology in order to give one of best experiences to consumers.
SWOT analysis:
Strength Weaknesses

TUI have fleet of aircraft and charter plans that
drives more than 150 destinations which large
product portfolio to optimise and reach widely
at consumers. They have strong leadership
position in the haul travel to enlarge business
opportunities in positive manner.
There are intense competition existed in the
marketplace that limits the brand loyalty of the
organisation in order to optimise the positive
results. As they operated at global level so the
face some kind of cultural and social issues
which harms their self interest in gaining
profitability.
Opportunities Threats
The major opportunities in front of them that
they can enlarge business opportunities by
entering into different areas that are very much
profitable in nature. So by launching their
services in other markets that are crucial for
them.
The major threat before them that employees
while changes occurs within the organisation,
in that regards employees not ready to accept
the changes. So it is the responsibility of
management to provide potential knowledge to
them.
Marketing mix:
Marketing mix plays very significant role in development of product as per consumer
needs and demand for gaining sustainability in marketplace.
Product The product of TUI is to provide wearable devices in order to track
consumer services and experience that are provided by an organisation in
order to optimise best results. They deal in travel and tours by offering
various services under one roof to remain competitive in market place.
Price As respective services are unique in nature and helps to amend consumer
experiences, for that organisation initially cover up price and then lessen
down it.
Place Respective tool and technology, TUI group supposed to be launch in the
whole nation to track the consumer experiences.
Promotion The main objective behind using promotional tools is to provide services to
potential end users.

People To optimise respective technology organisation scheduled Training and
development opportunities for gaining potential outcomes.
Physical evidence By developing apps and websites organisation can be able to give one of
their best services to consumers.
Process By available on both online and offline mode to consumers they can be able
to reap potential outcomes.
STP (Segmentation, targeting and positioning):
In context of TUI group they produce their products and service by considering various
subject matter that are as follows:
Segmentation:
Segmentation of the consumers and market helps to organisation to build products and
services as per the consumer choice and preferences (McCabe and Weaver, 2019). In context of
TUI group their segment market and customers are people who loved frequent tours and wants
kinds of services under one roof. They base the product on consumer taste and preferences and
level of income etc..
Targeting:
Target market in context of TUI group is middle and high class people who love
adventures and one of best services to gain lifetime experiences. So they by conducting the
research find out their potential candidates.
Positioning:
By delivering adequate information regarding the services to consumers they positioned
their products into mind of consumers.
MARKETING BUDGET (£)
PARTICULARS Ist Year IInd Year IIIrd Year IVth Year Vth Year
Innovative services 3000 5000 9000 9960 12970
Investment 7300 9500 12830 18630 25550
TOTAL 10300 14500 21830 28590 38520

MARKETING OUTLAY
Promotional
activities 5746 1500 5000 1875 1211
Selling activities 2365 800 2452 1492 1050
Direct selling 3235 1900 4651 1000 4434
TOTAL 11346 4200 12103 4467 6405
Monitoring and controlling:
After implement the whole plan and policies aimed by the organisation they monitor and
control to gain optimum outcomes in positive manner (Sattigeri, 2019). In context of TUI group
which aimed to launch new tools and technology into market after that they have to optimise
opportunities in positive manner. They use benchmarking, Key performance indicator and other
tools to set standards in order to gain potential outcomes.
PEST analysis:
Political Political factors have moderate level of effects on the performance
and growth of tourism industry. In context of TUI group where
political instability generates negative effect as they operate in various
nations so it is very much crucial for them to build strategies and
tactics in order to eliminate negative effects for gaining potential
outcomes.
Economic Tourism is one of most growing industry in which TUI group
operated fuelling growth and employment is one of most critical
components of world economy. Due to the recession in economy and
in UK market place in which Brexit affected negatively so TUI group
which is one of well known name in marketplace needed to predict
effects on economy and on their business to remain competitive in
marketplace.
Social Change in lifestyle of consumers effects on the profitability of
respective organisation, in context of TUI group they needed to
develop consumer attitude of WAIT and SEE ATTITUDE to

facilitated last minute purchase to them.
Technological In Travel and tourism industry the new kinds of tools and techniques
takes into marketplace, so it very much crucial for them to adopt
advance tools in that series they aimed to bring wearable device to
enhance consumer experiences.
Competitive analysis:
To analyse the competitive strength it is very much essential to use Porter's five force
model that are as follows:
Threat of new
entrant
New entrants in the T&T industry they by bringing innovation, new
ways of doing business that put pressure on respective organisation to
lower down their pricing, providing new value propositions. In context
of TUI Group the threat of new entrants are moderate in nature.
Bargaining power of
suppliers
In respective industry all companies buy their raw material from no. of
suppliers. In context of TUI group dominant position of suppliers
decrease the margin of them in order to reap important outcomes.
Bargaining power of
buyers
Buyers are often demands a lot they always wants better offer as paying
minimum as possible. They have lot of option to purchase products and
services which directly influence their performance. So it can said that
power of buyers are very high.
Threat of substitute
products and
services
With the new products and services in to marketplace which have
similar kinds of needs in different ways which effect on industry
profitability. In context of TUI group they face competition level that
higher then other industry.
Rivalry among
existing competitors
In respective industry the rivalry among the existing players are very
much intense that will drive down prices and also decrease profitability.
USP identification:

In context of TUI group they are one of most leading organisation in the world as they
are very leading organisation that provides kinds of services under the one roof in order to
provide one of best experiences to consumers.
Action plan:
To bring into market respective services organisation handover roles and responsibilities
to the team members that are proficient in their work so that they can give one of their best
efforts.
Timelines:
Respective activities or actions takes too much time as in marketing, research and many
more approximately a year.
Building management system:
Building management system which also known as building automation system which is
a computer based control system that are installed in building in order to control and monitor the
mechanical and electrical equipments such as ventilation, lighting and power system and many
more in order to gain potential outcomes. In context of respective organisation by using
respective tools organisation can accord with various activities related to project in proper
manner.
CONCLUSION
It has been summarised from the respective report that marketing is very much important
for organisation to sell goods to ultimate consumers. Marketing functions plays very crucial role
for enlarge business opportunities by building brand loyalty and aware people about features of
products positively. Marketing mix is one of significant tool to evaluate each and every factor
while launching a new product into the marketplace. It is potential to evaluate each and every
factor before launching new product in market its scope, competitors and strategies to meet
business objectives potentially.

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