Comparative Marketing Analysis: Thomas Cook vs. TUI, Marketing Plan

This report provides a comprehensive analysis of Thomas Cook's marketing strategies, comparing them with TUI's approach. It begins with an introduction to marketing and its significance in the travel and tourism industry. The report then delves into a comparative analysis of the 7Ps of the marketing mix (Product, Price, Place, Promotion, People, Process, and Physical Evidence) for both Thomas Cook and TUI, highlighting their respective strengths and weaknesses. Following this, the report presents a detailed marketing plan specifically tailored for Thomas Cook, including an executive summary, company overview, objectives, SWOT and PESTLE analyses, segmentation, targeting, positioning, tactics, and a budget. The report concludes by summarizing the key findings and emphasizing the importance of a well-defined marketing strategy for the success of travel and tourism businesses. References to relevant academic sources are included to support the analysis.

Marketing Essentials
for
Travel and Tourism

Table of Contents
INTRODUCTION ..........................................................................................................................1
ACTIVITY 1....................................................................................................................................1
Covered in ppt..............................................................................................................................1
ACTIVITY 2....................................................................................................................................1
3 Marketing mix...........................................................................................................................1
4 Marketing plan..........................................................................................................................3
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................8

INTRODUCTION
Marketing is management and study of relationship exchange with consumers. It is a
process that is used by organization to full fill the requirement to improve their satisfaction level.
This report will compare 7p's of marketing mix between Thomas cook with TUI company. The
report will prepare by marketing plan for Thomas cook.
ACTIVITY 1
Covered in ppt
ACTIVITY 2
3 Marketing mix.
The marketing mix is a combination of factors that controlled by a company to influence
customers to purchase its products and services. It is the set of actions or tactics, that a company
uses in order to promote its brand and product in market. 7P's of marketing mix includes price,
product, promotion, place, peoples, process and physical evidence. The marketing mix of
Thomas cook and compare with TUI are as follows:
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Illustration 1: Marketing mix
(Source: Marketing Mix. 2018)

Basis Thomas cook TUI
Product Product is represents an item or
service which are designed to satisfy
customers needs and wants (Išoraitė,
2016). The main products of Thomas
cook company such as holiday
package which includes travel, food,
hotel and car hiring to their
customers.
The products of company such as
holiday package, cruise lines,
hotels and resorts.
Price The price of product which is paid
by customers against of purchase
services and products. The company
follows competitive based pricing
strategy which is help to sets price of
product at reasonable. Also, help to
gather data on competitors based.
The company is use current pricing
strategy in order to set price level
for their products and services by
analysing customer needs.
Place Place is the type product sold and it
is important to consider when
determining areas of distribution.
The stores of Thomas cook are
highly available all over the world in
forms like online and physical store.
The company is sold their products
by two marketing channels. Like
first is direct sale to customers by
online channel, other is sells to
wholesalers who then sell to
different retailers which is located
in country (Rowley, 2017).
Promotion Promotion is most important part of
business which is help to customers
in order to aware about products and
services. “Let's go” The company is
TUI is uses various promotion
channel to promote their products.
The promotional channels are
beneficial for business. Channels
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promoted their business using
themes like festive, fusion, cruise
and beach holidays. They are using
some promotion channels to provide
details to customers about product
and services such as magazines,
newspapers, hoardings, YouTube
channels.
are advertisement, TV and radio.
Process In the company have several process
by which companies are complete
their task and work in effective
manner. The main process of
company is customer acquisition is
done by lead generation by ads and
marketing. Other processes are Visa
process, documentation, currency
exchange etc.
TUI has online delivery process
where customers are place their
order and employer received those
with the help of computer system.
Computer system is best and
effective for the business.
People People is person who give their hard
contribution to company for their
success (Casey, 2019). The company
is a service brand which is focus on
its customers as well as its
workforce. The have trained
employee as well as manager is
organized time to time training to
their employees for improve their
performance.
People are playing vital role in
organisation which are make good
efforts for company success. It is
best and effective for business.
Organization is organized time to
time training program.
Physical evidence Physical evidence is give impression
on customer in positive manner. This
help to attract customers towards
Their online websites are give the
best physical evidence on
customers in order attract more
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business. Thomas cook merchandise
like bags, pens, books, caps, jackets
etc. for the physical presence of the
brand.
customers (Chaffey and Ellis-
Chadwick, 2019).
4 Marketing plan.
Marketing plan is that business document which describe the marketing strategy as well
as tactics and the plan is focused for some specific period. It also contains the detail of cost
incurred, goals and action step which is needed to meet the defined aims.
Executive summary:
It is the outline of company's new plan which assist Thomas Cook to reduce the problem
and increase the market growth in near future. Further, the marketing plan is also implemented to
meet the objectives and develop the strategy that helps in the better growth of company.
Moreover, the plan describe company's overview, market situation analysis and STP, strategies
that need to be taken for meet the objectives and measures to make certain control which will
help the business for the better growth.
Company Overview: Thomas Cook is the British global travel and tourism company in UK and
it provides holiday packages, hotels and resort facilities, scheduled passengers airlines facilities
to their customers at least rate. The firm is operated in different country with various services. It
has strong financial performance and that is why, it wants to raise the brand image at different
country.
Objectives:
 To raise the market share up to 15% in next 2 years by offering unique product and
services.
Marketing Situation Analysis:
SWOT analysis: it is the strategic management tool that is used to determine the internal
environment of the company and for Thomas Cook, the SWOT analysis is as mention below:
Strength:
 Thomas Cook is considered one of the largest travel company in Europe and UK and also
provide the affordable holiday packages to their customers (Haider and et.al., 2019).
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 The company has its global presence because of offering different services such as
accommodation facility, package holidays, flights etc. It has strong customer base and strong presence because of using best marketing tools
such as TV, OOH boarding and Print advertisement.
Weaknesses: Refused to pay statutory EU compensation to the customers and have intense competition
which means limited brand presence is consider weaknesses
Opportunities:
 Having strong financial base creates opportunities to become the largest travel company
in UK (Chaffey and Ellis-Chadwick, 2019). Introducing new services such as digitalize its operations is considered better penetration
for it.
Threats:
 Price war reduce the market share and is the biggest threat for Thomas Cook.
 Thomas Cook faces threat with Uncertainty in the airline sector.
PESTLE analysis: It is used to identify the external environment of the company which is as
mention:
Political Factor: This factor deals with the tax rate and political stability. Such that if there is
sudden increase in tax rate than it affect the business performance in negative way. Further,
terrorist attack may also affect the tourist perception in negative way which creates negative
impact upon functioning of business.
Economical Factor: It includes economic stability of country such that inflation rate may affect
the business in negative way and customers are not ready to spend the money. Further, company
should provide the services in order to meet the aim of a firm (Casey, 2019).
Social Factor: With the changing era, people also changes their perception and it may creates
negative impact upon the business. Such that to cope with this, Thomas Cook should introduce
new products with digitalized operation that attract customers towards it.
Technological Factor: in modern era, company should introduce new digitalized technique that
helps to cut down extra cost. Further, it also uses online booking system that helps customers at
various country to enjoy services. It also creates positive impact upon customers and rise the
market share as well.
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Legal Factor: Thomas Cook should comply with all laws such that Employment law, Company
law so that it helps in the smooth functioning of a business.
Environmental Factor:It also follows sustainability law that helps to prevent the environment
from pollution. It also uses waste management system that assist business to sustain the brand
image (Kotler and et.al., 2017).
Segmentation: Thomas Cook segment frequent travellers in order to meet the defined aim.
Targeting: Its main target people are people above 18 and below 60 and specially the high
profile businessman.
Positioning: Inclusive holidays helps the firm to increase the market share.
Tactics:
 To increase the market share, Thomas Cook should introduce new services with
reasonable rate that grab attention of many customers.
 It should use different marketing tool such as Social media, advertisement to attract wide
range of customers.
 It may use different discount vouchers for its target people and may use penetration
pricing strategy to raise its market share (Kotler and et.al., 2015).
Budget:
Particulars Amount (£)
Stationery 45
Advertisement 160
Labour 140
Miscellaneous expenses 260
Total 605
Marketing mix:
Product: Thomas Cook offer holiday packages and accommodation services to their customers
with low and reasonable rates. It also provides transportation services for provide best and
comfortable services.
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Place: It has global market presence and its headquarter is in UK. Further, it also expanded its
business in Bangalore, Kolkata and Delhi.
Price: It follows competitive and penetration pricing strategy and recently by using half way
premium pricing, it easily attracts wide range of customers. Further, it also offers different
discount vouchers in order to meet the target.
Promotion: It uses modern marketing tool for promotion and it uses different themes as per
occasion such as festive holiday, cruise special holiday, Honeymoon special etc. Thomas Cook
uses newspaper, magazine, social media for promoting its services.
People: Its workforce includes trained employees, customers. Currently it has more than 20000
employees and more than thousands stores (Marketing Mix, 2018).
Process:The process of Thomas Cook is simple and it also takes care of all the documentation
and currency exchange. Thus, company also deliver the best experience to their customers and
this form the backbone process of the firm.
Physical Evidence:It has more than 32000 hotels in India and company's website and building is
considered as a physical evidence.
Control and Monitoring: Controlling is done by matching the objectives with result and all the
activities must be drafted so that it will help to check the process so that corrective measures may
be taken if there is any deviation is found.
CONCLUSION
This Report is concluding the importance of marketing department for Thomas Cook
Organization. Different roles and responsibilities of marketing department has been evaluated
and analysed in study. The interrelation of marketing department with other functional
department has been analysed to evaluate working of company. It had been concluded that the
marketing mix has help to company manager in order to make strategy as per competitors. The
marketing plan has helped to prepare future expenses.
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REFERENCES
Books and Journals
Casey, R., 2019, April. External marketing. In BSAVA Congress Proceedings 2019 (pp. 298-
299). BSAVA Library.
Chaffey, D. and Ellis-Chadwick, F., 2019. Digital marketing. Pearson UK.
Haider, A. A. and et.al., 2019. Marketing Management.
Išoraitė, M., 2016. Marketing mix theoretical aspects. International Journal of Research–
Granthaalayah. 4(6). pp.25-37.
Kotler, P. and et.al., 2015. Marketing. Pearson Higher Education AU.
Kotler, P. and et.al., 2017. Marketing for hospitality and tourism.
Rowley, J. E., 2017. Information marketing. Routledge.
Online
Marketing Mix. 2018. [Online]. Available through: <https://www.mbaskool.com/marketing-
mix/services/17441-thomas-cook.html>.
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