Service Management Report: Tourism and Hospitality - Blue Mountains

This report presents a service management analysis for a proposed organization, 'The Backpackers Place,' located in the Blue Mountains, Australia. The report outlines the organization's services, which focus on providing trekking equipment and guidance. It employs Heskett's Strategic Vision Framework to identify target market segments, primarily young adults and adventure enthusiasts, and discusses present and future implications, including government regulations, product quality, and cash flow. The service concept emphasizes a personalized approach to meet customer needs and establish an efficient service environment. The report concludes by highlighting the organization's potential for success in the competitive tourism market, emphasizing its unique service offerings and ability to overcome challenges. The report also discusses the target market segment, the present and future implications and the concept of service provided by the organization.

Running head: SERVICE MANAGEMENT FOR TOURISM AND HOSPITALITY
SERVICE MANAGEMENT FOR TOURISM AND HOSPITALITY
Name of the Student
Name of the University
Author Note

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Executive Summary
The main purpose of this report was to create an organization, whose name would be The
Backpackers Place, and it would be located in Blue Mountain, in New South Wales,
Australia. The details about the organization and the services which would be provided would
be given and discussed, along with the location details. The main idea was to sell the idea of
the organization to be formed. The target market segments would be discussed in the context
of Heskett’s strategic vision. After that, present and future implications would be discussed,
where three current issues that has impacted the organization as a whole. The service concept
would also have been discussed, where the foundation of the next assignment would be laid.
At last, there would be conclusion where there would be an overview of the overall report.
The discussion would be done based on the Strategic Vision Framework of Heskett, where
the first stage which would be discussed was to identify the various target market segments of
the organization of The Backpackers Place, which would be based on certain factors or
dimensions like psychographic and demographic. The target market which would best suit
with the business objective or goal of this organization would only be entertained. The main
feature or characteristic of the services provided to the customers were the personalized
approach to meet and satisfy the different kind of needs and wants of the people. The main
aim or mission of The Backpackers Place would be to meet the requirements of the people
and to solve their queries in the context of trekking and mountaineering and the main mission
of the organization would to set up an effective and efficient service environment through
which the people would be able to get quality services from this newly formed organization.

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Table of Contents
Introduction................................................................................................................................3
Overview of the Organization....................................................................................................3
Target Market Segment..............................................................................................................4
Present and Future Implications.................................................................................................5
Concept of Service.....................................................................................................................6
Conclusion..................................................................................................................................7
References..................................................................................................................................8

3SERVICE MANAGEMENT FOR TOURISM AND HOSPITALITY
Introduction
The main focus of this report will be to create an organization, whose name will be
The Backpackers Place, and it will be located in Blue Mountain, in New South Wales,
Australia. The details about the organization and the services which will be provided will be
given, along with the location details. The main idea will be to sell the idea of the
organization to be formed. The target market segments will be discussed in the context of
Heskett’s strategic vision. After that, present and future implications will be discussed, where
three current issues that will impact the organization. The service concept will also be
discussed, where the foundation of the next assignment will be discussed. At last, there will
be conclusion where there will be an overview of the overall report.
Overview of the Organization
The name of the organization which will be set up is The Backpackers Place. The
organization will supply all the details required for the trip in the Blue Mountains, a
mountainous region as well as a mountain range located in New South Wales, Australia. The
mountain range provides a border on the metropolitan area of Sydney (Bond 2016). The
organization will be set up here only, and primarily it will start with a number of 10
employees, and will gradually increase the number, depending on the revenue earning of the
company. There are many interested people who visits this beautiful mountain range in the
kind of trekking. So, an organization need to be opened by a local businessman along with
some friends, and a service plan will be laid in order to attract new shareholders and investors
to the organization. The Backpackers Place will provide details required in trekking on rental
basis, along with the option of selling them permanently to the people who love to trek in
different mountainous regions around the world (Garrett-Jones 2017). The size of the
backpack will vary, keeping in mind the age group and height of the people who will be

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targeted by this organization. The backpack will include multiple compartments to store
different kinds of items required in trekking. The backpacks will include padded shoulder
straps as well as hip straps. And of course, the material of the backpacks will be thoroughly
water resistant. The other kind of products which will be provided by the organization of The
Backpackers Place are bum bags, money belts and waterproof pouches or dry bags, along
with special boots required for trekking (Arezes et al 2013). The level of services that will be
provided by this organization will be the key attraction area in order to create the brand image
and brand identity within the people who will avail their products and services. There will be
a separate team in the organization who will guide the visitors who will come to trek the
beautiful range of the Blue Mountains. The main mission of the organization will be to set up
an effective and efficient service environment through which the people would be able to get
quality services from this newly formed organization (Gill et al 2015).
Target Market Segment
Here the discussion will be done based on the Strategic Vision Framework of Heskett,
where the first stage which will be discussed is the identify the various target market
segments of the organization of The Backpackers Place, which will be based on certain
factors or dimensions like psychographic and demographic. The target market which will best
suit with the business objective or goal of this organization will only be entertained. The
description of the main targeted segment is described as follows:
1. Young adults, between the age of 20-30, who possess the thrust for trekking in
mountainous ranges like the Blue Mountains.
2. The people who love mountaineering or love adventure will also be targeted. They
can be from the state of New South Wales, or from other parts of the country as well
(Sulaiman and Wilson 2018).

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From the psychographic point of view, the people who love to travel and enjoy
outside activities. And from the demographic point of view, the people from all over
Australia as well as the international tourists who love to trek will be the main targeted
people. The organization will aim on focus or concentrated targeting. They will only fully
focus on the targeted segment, and will strategize their marketing plans accordingly. The
important element of the services provided by them will be focused for their targeted people,
who will be benefitted by using different kind of products and services of The Backpackers
Place. The elements of this services provided by the organization will be recognized with the
help of the official logo of the organization. And the customers will recognize the concept of
service by purchasing the various products and services provided by them, along with proper
guidance to the people who may not become their customers and avail their products or
services, which will be an added unique selling proposition of this organization. Their motto
will be to guide the people who will visit the Blue Mountains, and to see whether they are
having all the required products with them or not, and this service concept will be sold to the
targeted people of The Backpackers Place. It will require a huge effort and at initial stages,
the organization may have to incur loss or earn a minimal amount of profit. But, with this
unique service concept, they will be able the people and turn them to their customers. (Haque
et al 2013)
Present and Future Implications
In the context of the present issues faced by the organization, the first and foremost of
this issue is to maintain the rules and regulations of the government of Australia in order to
safeguard the people. The products manufactured and sold by the organization are required to
pass the safety and security measurement set by them. The political scenario of setting the
organization in the foothills of the Blue Mountains are also faced by the company, as it is
restricted to open any kind of business or company so near to the natural beauty of earth. This

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is impacting a lot on the organizational set up as well as running the business operations of
The Backpackers Place. And lastly, the organization is suffering from allocating the budget in
the context of manufacturing the different products and selling them to different people
(Schweinsberg et al 2013). Raising the capital is a major issue of an organization like this,
and they are facing some difficulties to maintain the basic standard of the organization along
with its products. Coming to the four issues which can be used in the future perspective, the
main and the first thing which the organization will face is the quality of the products that
will be sold to the people who will use them for trekking. The level of customer satisfaction
will help to assess the number of satisfied customers regarding the quality of the product. The
second issue which will be faced is the payment of the taxes to the local as well as to the
national government of Australia, which should be performed ethically. Any kind of non-
payment of the taxes may result in the shutdown of the business. The third issue is the
number of visitors or tourists, which will vary as the number will reduce in the rainy season
or in the time of natural calamities in the area. This can be reduced if the organization of The
Backpackers Place engages themselves in some other service providing work, for example,
courses on mountaineering. And the last issue that can affect the business operations of this
organization is the cash flow, which will either help to sustain the organization in this
competitive market place or will shut down the business operations of The Backpackers Place
(Różycki and Dryglas 2014).
Concept of Service
The main feature or characteristic of the services provided to the customers are the
personalized approach to meet and satisfy the different kind of needs and wants of the people.
The main aim or mission of The Backpackers Place will be to meet the requirements of the
people and to solve their queries in the context of trekking and mountaineering. There will be
a friendly atmosphere in the business environment of this organization, and there will be a

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healthy relationship between the employees of the organization, which is one of the most
essential requirements in the field of service providing organization (Hardiman and Burgin
2015).
Conclusion
From the above discussion, it can be concluded that there are opportunities for the
organization of The Backpackers Place to succeed in the market place and providing top class
quality to the people who will visit the Blue Mountains. The products manufactured and the
services provided are unique in nature, and are capable enough to meet the requirements of
the people. Though there are certain issues which are faced by the organization and can be
faced in future, the organization possess all the strengths to overcome all these challenges and
sustain in this highly competitive market place of service providing industry.

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References
Arezes, P.M., Neves, M.M., Teixeira, S.F., Leão, C.P. and Cunha, J.L., 2013. Testing thermal
comfort of trekking boots: An objective and subjective evaluation. Applied ergonomics,
44(4), pp.557-565.
Bond, T., 2016. Mountain mapping. Art Monthly Australia, (293), p.42.
Garrett-Jones, S., 2017. Best walks in NSW. Nature New South Wales, 61(1), p.6.
Gill, N., Dun, O., Brennan-Horley, C. and Eriksen, C., 2015. Landscape preferences,
amenity, and bushfire risk in New South Wales, Australia. Environmental management,
56(3), pp.738-753.
Haque, M.M., Rahman, A., Hagare, D. and Kibria, G., 2013. Principal component regression
analysis in water demand forecasting: An application to the Blue Mountains, NSW, Australia.
J. Hydrol. Environ. Res, 1(1), pp.49-59.
Hardiman, N. and Burgin, S., 2015. Long-distance walking tracks: offering regional tourism
in the slow lane.
Różycki, P.A.W.E.Ł. and Dryglas, D.I.A.N.A., 2014. Trekking as a phenomenon of tourism
in the modern world. Acta Geoturistica vol, 5(1), pp.24-40.
Schweinsberg, S., Wearing, S., Kuhn, D. and Grabowski, S., 2013. Marketing national parks
for sustainable tourism: Bridging the conservation human usage divide through track/trail
based interpretation. Australasian Parks and Leisure, 16(2), p.42.
Sulaiman, M.Z. and Wilson, R., 2018. Translating tourism promotional materials: a cultural-
conceptual model. Perspectives, 26(5), pp.629-645.