Detailed Business Plan for Kaka Tours and Travels in London

This report provides a detailed business plan for Kaka Tours and Travels, a low-budget tour operator based in London. The plan outlines the nature of the business, its services (including car hiring, travel insurance, and sports programs), and its unique selling proposition (USP) of providing a 'home away from home' experience. It analyzes the market, identifies competitors, and leverages McCarthy's 4Ps (Place, Price, Promotion, and Product) to formulate marketing strategies. The report also addresses staffing, including job roles and the advantages and disadvantages of different employment models. The target market includes lower-middle-class individuals and youth. Furthermore, the plan details strategies for business expansion, focusing on increased service offerings and competitive pricing.

A low budget tour operator
business located in London

Table of Contents
INTRODUCTION...........................................................................................................................3
Business Plan Part1..........................................................................................................................3
1. Outlining of Kaka Tours and Travels......................................................................................3
1.1 Business Type.......................................................................................................................3
1.2 Research................................................................................................................................3
Business Plan Part 2.........................................................................................................................4
2.1 McCarthy's 4p's.....................................................................................................................4
Business Plan Part 2.2......................................................................................................................6
2.2 Employee/Staff......................................................................................................................6
2.3 Customers/ clients.................................................................................................................8
Business Plan Part 3.1......................................................................................................................8
3.1 Strategies to expand business................................................................................................8
CONCLUSION................................................................................................................................9
REFRENCES.................................................................................................................................10

INTRODUCTION
Business plan is a document in which a layout of business strategies is made (A low
budget tour operator business located in London. 2018). This plan helps the company in earning
money, leadership, staffing, financing, operation and other required services to operate. A low
budget tour operator business is a type of new venture which is going to operate in London. This
is a new business in which operations related to tour management are done. In this report, a
detailed business plan of entering a new business in market called Kaka Tours and Travels is
done.
Business Plan Part1
1. Outlining of Kaka Tours and Travels
 Nature of Business and product and services delivered
Kaka tours and travels is tour agency in which customers are provided tour packages with
reasonable rate. This is a low budget travel agency which have not so much money invested.
This is a new venture in which customers feel free to travel across UK. This agency provides
facilities like travelling with food, accommodation, packages, flight reservation, hiring of Car,
Travel insurance, emergency services, sports programs. Since this venture is customer centric
therefore all the focus of this business is on the facilities provided to customer.
 USP and competitive edge of Kaka Tours and Travels
The travel agency has a unique USP “Away from home, feel like home”. The agency
provides services like home and make the customer feel comfortable. This agency also has
competitive edge among its rivals through its USP because it provides services which are
familiar to the customer like it's home.
1.1 Business Type
 Type of business
Kaka Tours and travel agency is a business of sole proprietorship because this type of
business is helpful in taking decision independently and innovative (Buckley, 2016). Apart from
that, the conflict-ions in different aspects cannot be arise in this type of business.
1.2 Research
 Identification of existing competitors

The competitor of Kaka tours and travels is Trafalgar which is also operating its business
in London, UK. This is dealing in same business and have existing business advantage therefore
it is one of the competitor of Kaka tours and Travels.
 Demand and market for Kaka tours and Travels
There is a huge demand of travel and tourism sector in UK because according to ONS the
annual turnover of travel agents and tour operators in UK is increasing rapidly from 2010 to
2016. The annual turnover of travel and tourism sector in 2010 was 27080 million and in 2016 it
was 33070 million. Therefore from this statistical data it can be said that this sector will grow
rapidly in UK (Mossaz, 2018).
Business Plan Part 2
2.1 McCarthy's 4p's
This model of McCarthy's 4p's is used to analyse the marketing strategies as effectively
as possible. There are 4p's in this section included place, price, promotion and product. These
4p's help a market analyser in planning and improving the operating result (Cawley, 2017). The
explanation of these 4p's in accordance with Kaka Tours and Travels is stated as below:
Place:
The Kaka Tours and Travels is launching its business in London, UK. It will be
beneficial for this new venture to open its office in London because London is a tourist spot
where the travellers come from all over the world. This city is can be heaven for operating this
travel and tours business. If the office of Kaka is opened in any where else where the opportunity
of travel sector are low, it will be a huge loss for the market of Kaka. Apart from opening the
office physically, it can also operate it's business through online. The website of Kaka can help
the travellers to use the services offered in the company. In this geographical area there is also a
competitor of Kaka known as Trafalgar. It will be beneficial for Kaka to open office in London
because the strategies of Trafalgar can be optimized and implemented if required.
Services offered:
Following are the services offered by Kaka Tours and Travels:
 Car Hiring: This service provides travelling to the customer on their own basis that they
can go anywhere they want. If a customer is arriving at London and wants to travel with

its family and doesn't needs a driver then it can hire car from Kaka because it provides
this service to a very reasonable rate.
 Travel insurance: This facility to the customer provides insurance so that they can feel
free to travel anywhere. If any type of tragedy happens with the customer this policy
helps them to take medical assistance in other geographical area. This facility allows
Kaka to attract the customers to it's door. Sports Programs: This service allows a customer to opt for the sports facilities available
in Hotel. If a customer wants to play a range of sports then it has the option to choose a
variety of range of sports (Gillmor, 2016). This will help the company in attracting the
customer to it's premise.
Price:
The pricing strategies are explained in accordance with the services offered to customers.
Following are the pricing strategies.
 Penetration Pricing: It is a type of pricing strategy in which price of the product and
services are low when entering into market. This type of pricing strategy cab be used in
hiring of Car. If a customer is hiring car then the price of it will be low as compared to
the rivals. This will help the company in attracting the customers.
 Bundle Pricing: It is a type of pricing strategy in which services or facilities are
combined to attract the customer. This type of pricing strategy can be used in Travel
insurance in which a child can be free while insuring the couple. If a couple is insuring
themselves then the insurance of their child will be included in it. Price Skimming: It is type of pricing strategy in which price is higher when the product
or services entered into market (Gössling, 2016). As the demand of service increased the
prices will get low accordingly. This type of pricing strategy can be implemented in
Sports program because this is an additional facility which can be opted.
Promotion:
This is a type of marketing mix in which promotion of product and services of the
company is done. There are a lot of strategies of promotion, some of them are as follows:
 Social Media Marketing: It is type of marketing strategy in which the advertisement of
product and services is done on social media. Social media is a platform on which people
spend a lot time therefore this promotional strategy helps Kaka to promote its services.

 Viral Marketing: It is a type of marketing in which products and services offered by a
company got viral. If the photo and videos of services offered on website of Kaka are
unique and attractive than it can be viral. This will help the company in promoting its
business.
Social media marketing has become essential in now a days because it has very low cost
and promotion is done through people. If the content of promotion is adopted by the people it can
be promoted on internet. This platform also help the company in promoting its services because
social media is commonly used now a days.
Business Plan Part 2.2
2.2 Employee/Staff
Employee are human resource of a company which are required to operate multiple task.
Since Kaka is a new venture therefore it is also required human resource to operate its business.
The number of employees recruited by the company are three viz Human Resource Manager,
Sales Executive and Business Associate (Lane, 2016).
 Job roles assigned to business employees
The Role of Sales Executive is to market about the services offered by Kaka. It will also
provide the benefits of services to the customers so that the will attract to the premise of Kaka.
Business Associate has the profile of cracking the deals between the customer and company. It
will handle the negotiation of customer with the company.
The role of Human Resource manager are stated as below:
Recruitment and selection: This is the important task of an HR manager. An HR manager is
responsible of recruiting the staff on the basis of their skills, knowledge and experience and the
requirement of job profile. The HR manager of Kaka also does the same by recruiting skilled
labour.
Motivating employees: This is another task of an HR manager in which it motivates the
employees on the basis of their performance. It can motivate them with incentives or rewards.
This will help Kaka in improving the efficiencies of employees.
 Advantages and disadvantages of Zero-hour contract workers and agency staff

Zero-hour contract workers:
These are the workers who willing to work at any time and any situation. These workers
are are available at the time of work with short notice.
Agency staff:
These employees are hired through consultancy services for a specific task. These are job
oriented person and do not involve themselves in any activity.
Basis Zero-hour contract workers Agency Staff
Advantages  Flexibility is the most important
advantage of zero hour contract
workers because they can work for
Kaka at any time (Hair, 2016).
 Opportunities is also an important
advantage of Zero hour contract
workers because they can work at
any time and at any extent.
 These are the experts in
their fields and can
help Kaka in giving
advices.
 This type of workers
can help the company
in its peak time. They
can manage the
customers smoothly.
Disadvantages  The biggest disadvantage of Zero
hour contract workers is that they
does not have any time and have
unpredictable hours to work. This
will decrease their performance and
is not good for Kaka.
 Pressure is another disadvantage of
these type of workers because of their
unpredictable hours and amount of
work, they feel pressure and hence
cannot work efficiently for Kaka.
 These employees are
quite impersonal and
does not focus on the
development of Kaka
(Horner, 2018).
 These type of
employees are task
oriented they do not
interest in the
perception, demand
and feelings of
customers.

2.3 Customers/ clients
 Customer Target market:
The targetted customers for Kaka Tours and Travels are tourist who are willing to tour
UK. They can be lower middle class people and the youth of world. The target customers of
Kaka are:
Lower middle class people:
These are the people who have low income and cannot afford expensive packages. Kaka
tours and travel agency is a venture for such type of customers. This venture is a low budget
business in which the customers who are not able to afford the expensive trips are allowed to
avail it's services (Swarbrooke, 2015).
Youth:
Youth are the most common customers of any business. These are the customers who
always loves to spend money on tours and travels. These customers also use the extra services
offered by Kaka. Therefore these customers are the targetted customers of Kaka.
Business Plan Part 3.1
3.1 Strategies to expand business
The business of Kaka will be successful because it will provide services in a cheaper rate.
The rate will be cheaper because the business is new and it has to expand its foots in this sector.
When the business will settle it will expand in future by:
Increasing services offered:
The service offered by Kaka will be expanded in future and hence the business will also
be expanded. The company can include services by availing flat or home for family or other
customers. This will be good option to expand business because this idea suits to the USP of
Kaka tours and travels.
Expansion of business:
Kaka is now operate it's business in London, UK. It can expand its business by investing
in other areas of UK and other countries like India and China where there is a huge amount of
population to capture the services offered in cheaper rate (Jones, 2018).

Focusing on higher income group:
The company can also expand its business by targetting the higher income group person
in future. Although its main focus should remain on the services offered to lower middle group.
CONCLUSION
In this report it can be concluded that the new venture Kaka tours and travels agency can
survive it's business in UK because this business has huge scope in UK. Nature and type of
business are discussed in this report and a research is done on the development of business. 4p's
of marketing mix are explained along with jobs assigned to employees and pros and cons of
zero-hour contract workers and agency staff. After that target market band future plans to expand
the business are also explained in this report.

REFRENCES
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Online
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