Marketing Principles and Strategies for Travel and Tourism (Report)

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This report delves into the core concepts of marketing within the travel and tourism industry, using Thomas Cook as a primary example. It examines the impact of the marketing environment, factors influencing consumer motivation and demand, and the principles of marketing segmentation. The report further explores the significance of strategic marketing planning, the relevance of market information and research, and the assessment of marketing's impact on society. It analyzes the product, place, and price components of the marketing mix, the importance of the service sector mix, and the application of the total tourism product concept. Finally, the report assesses the integrated nature of the promotional mix and outlines a promotional campaign for a travel and tourism business, providing a comprehensive overview of marketing strategies and their practical application in the industry.
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Marketing in Travel and
Tourism
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Core concepts of marketing in travel and tourism................................................................1
1.2 Impact of marketing environment on individual travel and tourism business ..................2
1.3 Factors affecting consumer motivation and demand............................................................2
1.4 Principles of marketing segmentation and its uses in marketing planning...........................3
TASK 2............................................................................................................................................4
2.1 Significance of strategic marketing planning........................................................................4
2.2 Relevance of market information and marketing research to managers..............................4
2.3 Assessing the impact of marketing on society......................................................................5
TASK 3............................................................................................................................................6
3.1 Issues in product, place and price components of marketing mix........................................6
3.2 Significance of service sector mix elements to travel and tourism sector............................6
3.3 Application of total tourism product concept to an individual business...............................7
TASK 4............................................................................................................................................8
4.1 Assessing integrated nature & role of promotional mix.......................................................8
4.2 Plan and justify an integrated promotional campaign for travel & tourism business...........8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11
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INTRODUCTION
In growth and development of economy of every country, travel and tourism sector plays
crucial role. Government has the responsibility to preserve all the landmarks of nation and it is
the ethical duty of firms to contribute in it (Travel & Tourism Marketing, 2016). In the present
report, chosen organisation is Thomas Cook which is a renowned company that deals in travel
and tourism sector. The assignment covers principles and concepts of marketing in travel and
tourism industry as well as its role as management tool. Apart from this, role of marketing mix
and utilization of promotional mix in travel and tourism sector is also defined in this project.
TASK 1
1.1 Core concepts of marketing in travel and tourism
Marketing can be mainly stated as the concept which mainly signifies the company which
can determine the needs and wants of the customers and thus utilise the demands for fulfilling
the needs. Customer who is satisfied helps company to have high amount of revenue. As per the
core concept of marketing, group has to be determined by management to which services are
provided and thus the research is being conducted. Tourism sector is one of the largest profit
sector which has generated high amount of revenue. Efforts are being contributed by Govt. in
bringing positive modifications within the heritage sites. There are some of the private
companies which has also given contribution within the efforts. Thomas Cook can be stated as
largest travelling company within England. As per the marketing concept, there are mainly five
kind of major concepts which are described below:
11 Production concept
1
1 Product concept
1
1 Selling concept
1
1 Marketing concept
1
1 Social marketing concept
There are services which has been given out by company as per the above mentioned factors by
which business can mainly be expanded across the globe and thus formulate the strategy as per
them. This will mainly improve the product quality (Buhalis and Foerste, 2015). Effective
network can be created by the help of using social marketing concept and thus it can help in
attaining high level of cooperation. Besides this, technique can be utilised by large number of
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visitors for boosting up the profit ratios of travel industry. Those 5 concepts can mainly be
applied within the sector of travel and tourism sector.
1.2 Impact of marketing environment on individual travel and tourism business
There are mainly two kind of forms within environment and that is macro and micro.
Micro is majorly related to the internal activities which are taking place within company and
those can make an impact upon the company negatively (Cox and Wray, 2011). According to
the business situation of tourism sector, analysation of micro environment has to be done which
in turn can mainly support the quality services which are being given. Management needs to
work upon the factors as there are companies which are also dealing in tourism sector as this is
the major profit earning company.ļ‚· Suppliers: As per the porters five forces analysation which in turn can give supplies to
the high bargaining power and thus can lead to the charge more. At Morocco and Egypt,
these are mainly the one of the most famous tourist destination across the globe. There
are certain prices and strategies which are set as per the suppliers which in turn can make
impact upon the base of customers.
ļ‚· Customers: Thomas cook had to mainly take care about the every kind of customer group
and thus as per that schemes are being made as per them. Along with that, preferences
has to determined and thus choices has to be made as per the services and products which
are mainly being offered by them.
Macro environment has the potential of making impact upon business in negative manner and
thus it is highly essential for making the strategies effective. Market segmentation has to be
divided so that every group can be taken care of. Plan can be executed in perfection level by
measuring out and determining groups, their behaviour and many more (Evans, Stonehouse and
Campbell, 2012).
Also, Govt. of London are not stable in nature and thus this can lead to create feeling of
dissatisfaction among visitors.
1.3 Factors affecting consumer motivation and demand
Customers are the mots essential factor for every business. This can be stated as the duty
of company which in turn can mainly take care about them and thus give satisfactory services.
Motivation will be given to a user for certain product along with responses which are highly
related to the product which is better in nature. This in turn can mainly have improvement within
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the needs and thus can seek out for the motivation which in turn can attract for certain activity.
London are the famous destination of UK and thus Thomas Cook has the need of adopt
techniques which in turn can mainly support the business expansion within factors (Hall,
Timothy and Duval, 2012). Following are the factors which mainly include the time of
consumer motivation which are being described below:ļ‚· Price: This can be stated as the essential factor which in turn can mainly attract the
market segment. If the price of the product by the Thomas Cook which is proper and
thus it can give range for motivating the groups to buy.
ļ‚· Preferences: Apart from this, there is the personal experience about the certain thing,
behaviour of consumer will be changed by the opinion of others. If the people did not
get the positive feedback regarding they services of company and thus it can lead to
decline in profitability.
ļ‚· Along with these, socio-political stability or the economical stability will put an impact
upon the consumer behaviour and thus get motivated by it. There are packages prices
which are high in nature to Morocco and Egypt.
1.4 Principles of marketing segmentation and its uses in marketing planning
Planning can be stated as an effective measure which in turn can enable company for
enhancing operations. This in turn can mainly lead to improve the chances for making the project
much more successful. It is highly essential for management to classify segments as per needs.
If the tasks so mainly being done which can lead to improve the chances of survival. There are
some of the essential decisions which are being taken which can mainly divide the all kind of
customers as per nature, needs and characteristics (Hussein, Ennew and Kortam, 2012). For this
kind of purpose, Thomas Cook will have to divide within three market segments which are
mainly: Clustered market, homogeneous market and diffused market.
In these kind of market share, user of the companies are mainly divided as per the nature.
Thomas Cook will mainly has to determine and formulate the packages as per scenario. Basic
description is being described below:ļ‚· Clustered market: In this kind, customers are generally posses some kind of
characteristics , needs and wants. Along with this, they mainly demand for the same
kind of product.
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ļ‚· Diffused market: This kind of market can mainly be understood by the name of
DIFFUSED in which people are much more different form one another.
ļ‚· Homogeneous market: Customers has the resemblance In this kind of market and they
are much more different from the services, needs and wants.
Therefore, knowledge has to take the management regrading the market for the market
segmentation and thus it can be prepared as per that. This kind of process gives support in
gaining proper kind of level of profit and thus appropriate services are being given to the users
(Law, Qi and Buhalis, 2010).
TASK 2
2.1 Significance of strategic marketing planning
Appropriate business strategy plays crucial part in growth and success of business. Top
management of firm is responsible for formulating effective strategies and policies that assists
them in attaining predetermined targets and objectives of company. For this, firms are require to
determine needs and preferences of customers of each market segment and administer them
services accordingly. So, it is necessary for manager of Thomas Cook to frame appropriate
strategies that helps organisation in attracting large group of customers and leads the company
towards high growth.
At the time of formulating plans, it is also necessary to set targets and objectives that firm
needs to attain in upcoming years. Strong goals of company are included in strategic marketing
plan which provides direction to managers and employees for successful attainment of those. In
strategic plan of Thomas Cook, administrator divide market into small segments. They firstly
require to determine strengths, opportunity, threats and weaknesses. It assists them in framing
effective strategies. It is also required by all departments of firm to work collectively so that
goals and targets can be attain and profitability increases (Leung, Van Hoof and Buhalis, 2013).
Ansoff matrix is also a part of strategic planning where company develops new products
and introduce it into market. In order to launch their services in new market, merger technique
can be used by firm. It is very essential for company to formulate effective strategic marketing
plan so that by the assistance of this, goals and objectives of Thomas Cook can be attain.
2.2 Relevance of market information and marketing research to managers
In business organisations, crucial role is played by marketing manager in collecting all
the data and information of market regarding taste and preferences of customers. Research is also
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conducted by them which helps in knowing requirements of customers and prevailing trends in
market in more better way. In case of travel and tourism sector, it is very essential for tour
operators to aware about all the trends of market. It enables them in providing high quality
services to customers. Data collected from research helps the company in designing their
services accordingly. They analyse it in order to draw valid conclusion. A proper framework is
provided by marketing research to manager according to which they can develop such offerings
that assists in attracting more customers (Morgan, Lugosi and Ritchie, 2010).
ļ‚· Administrators can gauge a cost of every one of their undertaking which they need to
begin. Organization need to make pack for summer occasion 2018 at London. this they
direct an examination in which they dissect the each kind of traveler who lead ton visit
over yonder.
ļ‚· Additionally they need to examine the cost which is related with that through which
organization can settle down the rates of their bundles as per that.
ļ‚· This arrangement is set up for the following year summer excursion henceforth,
organization can contrast it effortlessly and current condition. Accordingly, to draw a
substantial conclusion this procedure bolster them most.
ļ‚· On the off chance that Thomas cook found that the proportion of intrigued guests are less
then they can plan such showcasing procedures which pull in situated section of market.
ļ‚· Additionally, organization can conjecture the odds of achievement of this undertaking by
thinking about this variables in their record.
2.3 Assessing the impact of marketing on society
Assets are constrained in number and it is an obligation of each organization to use such
assets in a suitable way so none of them get squander. Consequently, to create any item there is a
need of a few components which empower an association to deliver some quality items
(Moutinho, 2011). Offering of merchandise and enterprises by a firm which have an ability to
fulfil all purchasers needs and needs is known as promoting. Subsequently, a noteworthy result
which assemble through this announcement is that advertising don't happen without society.
Administration need to utilize proper advances which empower them in determining or giving
quality items to fulfil the requirements and needs of clients.
There are assortment number of devices are utilized by an organization in their
showcasing procedure which incorporate publicizing, deals advancement and open connection.
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Showcasing empower a purchaser to get mindful about the item or administration which serve by
an association. Thus, it had a huge effect on clients. Thomas cook is one of the biggest voyaging
specialist at UK, and they give quality support of their clients. Organization need to offer a mid
year occasion bundle in 2018 for summer. Henceforth, they need to utilize proper strides through
which it had a constructive outcome on overall population (Soteriades, 2012).
Administration need to figure out how to utilize all assets appropriately by not hurting the
general public. They need to take after a few qualities in which condition mind is must.
Additionally they need to take after all the lawful conventions which are related with that
undertaking. Marketing assumes a successful part and its effect on society is high. On the off
chance that an association don't prompt utilize fitting strides of showcasing then they are not
ready to make a connection amongst them and client. It prompts bear them high misfortune and
their benefit get decrease.
TASK 3
3.1 Issues in product, place and price components of marketing mix
Idea of marketing mix for the organizations who deals in tourism industry fundamentally
incorporates three components place, price and product of the administration. Fundamental
subtle elements of these components is detail under the accompanying focuses:
Product: In tourism industry, Product is tour pack that is outlined by the advertisers of
Thomas Cook. This is one of the essential offering by the firm. For choose and configuration
better items it is exceptionally basic that all significant data must be gathered by the firm.
Price: This is one of the basic factor of promoting blend which incorporate the estimating
technique of organization or the value they choose for the tourism bundle of London trip. For
this, Thomas Cook can cut its opponents and its contributions with the assistance of forceful
evaluating (Sotiriadis and Van Zyl, 2013).
Place: It is known by place in which procedure of showcasing correspondence of
Thomas Cook with respect to the London tourism will offer to its clients. Because of number of
changes occur in the idea of promoting the place which must be picked by the firm ought to be
the internet and channels related with it.
3.2 Significance of service sector mix elements to travel and tourism sector
All components benefit area blend are critical and important for the firm in movement
and tourism industry. Aside from the four components, item, value, place and advancement of
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promoting blend other three P's which incorporate into the administration advertising blend
incorporate process, individuals and physical confirmation.
Process: Service process can be characterized as the methods the administration is
conveyed to end clients of organization. If there should be an occurrence of tourism bundles of
Thomas Cook organization it is extremely fundamental to create bother free administrations. It is
extremely fundamental conveyance must be viable without bargain with the nature of
administration offer to clients. For this, chiefs of Thomas Cook can take the assistance of
administration diagram which help in set needs of administration offering and under this firm
layout the way the administration will be reach to clients (Taylor & Francis.Goodall and
Ashworth, 2013).
People: This part of administration advertising blend do endeavors to guarantee the
nature of people and representatives of the organization who communicate with end clients at the
season of offer process. Individuals of associations are critical angle in benefit industry as these
are the person who can make or hamper the picture of firm at the top of the priority list of its
clients.
Physical evidence: Most of the administrations which are offered by tourism firms are
impalpable in nature. If there should be an occurrence of movement and tourism industry,
physical highlights can be the sort of lodging in which remain of guests is organized, diverse
tokens of administration, kind of sustenance offered to them and some more. This component of
administration blend can be utilize a factor of separation by Thomas Cook to build up an upper
hand and can create more measure of benefits.
3.3 Application of total tourism product concept to an individual business
Idea of aggregate tourism item can be characterize as the procedure in which distinctive
firms who work in this part can satisfy both essential and optional traveller requirements for
customers (Tsiotsou and Ratten, 2010). Requirements of sightseers are the necessities which are
fulfilled when entire excursion of tourism incorporate visit of various areas outside the
habitation. From this a need of guests can be affirmed. Necessities of guests can be can be
characterized in following classes:
Primary needs of visitor: These requirements of traveller are what inspire him for
influence a vacation to trip with the point of fulfil the need.
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Secondary requirements: Needs which emerge after the choice of make an outing are
gone under this class.
A viable result of tourism is the one which consider all the of purchasers. In the event of
particular tourism bundle of Thomas Cook for London, add up to result of tourism will be the
one in which firm convey distinctive sort of administrations to its clients. This blend of items
and administration have the accompanying qualities:
Mix of tangible and intangible: Tour bundle of guests will be a blend of impalpable and
unmistakable item. Nourishment, inns, autos and flights will be the piece of substantial
highlights. On the inverse of this, experience and touring will be the piece of immaterial
highlights.
Core product: Specific tourism pack of Thomas Cook for London will go under this.
Product advancement: Development of item is one of the basic factor of movement and
tourism area as this contribute in choose the achievement of tourism pack (Xiang and Pan, 2011).
TASK 4
4.1 Assessing integrated nature & role of promotional mix
Fundamentally there are five principle and imperative part of limited time blend and
portrayed under the accompanying focuses:
Advertising: This system of advancement related with the advance products, thoughts or
administrations with the assistance of a support who can viably perceive the action course which
ought to be received by organization.
Personal selling: This procedure of advancement is executed on individual level. Under
this customers are rouse to purchase the item with eye to eye correspondence.
Sales promotion: Organization do endeavours for increment the offer of company's item
with the assistance of rebate and challenges.
Public relation: Under this firm do endeavours to make familiarity with its item in broad
daylight with the assistance of various correspondence channels.
Direct marketing: In this, organization utilize a procedure in which they specifically
speak with clients (Xiang, Magnini and Fesenmaier, 2015).
4.2 Plan and justify an integrated promotional campaign for travel & tourism business
Coordinated limited time battle is a medium under which diverse exercises, for example,
coordinate advertising, computerized advancement, email, in store advancement and different
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phases of special exercises. In this organization guarantee that the message is compasses to
various number of individuals.
Thomas Cook has declared a multi billion dollar advertising effort keeping in mind the
end goal to build the highlights of organization's administrations and administration of firm to
discuss the same with the general population (Zamaniā€Farahani and Henderson, 2010). Firm
need to give one of a kind ordeal to every one of its guests. Principle rationale of this promoting
effort is to impact substantial number of individuals to participate in the adventure of London.
Firm has centre around various sort of social cooperation to illuminate and pull in expansive
number of clients. Correspondence message of Thomas Cook was engaged to impact vast
number if clients and to assist them with identifying their requirements and offer them items and
administrations to fulfil the same. For increment the viability of advancement process
administrators of Thomas Cook can utilize the powerful apparatuses, for example, commercial,
advertising and direct showcasing. Along these lines firm can draw in extensive number of
clients and with the assistance or blend of unmistakable and impalpable advantages they can
better fulfil their necessities and can make a wide base of steadfast clients.
CONCLUSION
As per the above mentioned report, it has been concluded that travel and tourism is one of
the division which to a great extent influence the economy of each nation. For increment more
number of clients and to make the trek of London a fruitful one it is extremely fundamental for
the chiefs to first distinguish and comprehend the key ideas of promoting. This is the main
tourism through which marketers of firm offer data to open about the highlights of its items and
administrations keeping in mind the end goal to impact them to purchase the same.
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REFERENCES
Books and journals
Buhalis, D. and Foerste, M., 2015. SoCoMo marketing for travel and tourism: Empowering co-
creation of value.Journal of Destination Marketing & Management.4(3). pp.151-161.
Cox, C. and Wray, M., 2011. Best practice marketing for regional tourism destinations.Journal
of travel & tourism marketing.28(5). pp.524-540.
Evans, N., Stonehouse, G. and Campbell, D., 2012.Strategic management for travel and tourism.
Hall, C.M., Timothy, D.J. and Duval, D.T., 2012.Safety and security in tourism: relationships,
management, and marketing. Routledge.
Hussein, R., Ennew, C. and Kortam, W., 2012. The adoption of web-based marketing in the
travel and tourism industry: an empirical investigation in Egypt.Journal of Innovation
Management in Small & Medium Enterprises.2012. p.1.
Law, R., Qi, S. and Buhalis, D., 2010. Progress in tourism management: A review of website
evaluation in tourism research.Tourism management.31(3). pp.297-313.
Leung, D., Law, R., Van Hoof, H. and Buhalis, D., 2013. Social media in tourism and
hospitality: A literature review.Journal of Travel & Tourism Marketing.30(1-2). pp.3-
22.
Morgan, M., Lugosi, P. and Ritchie, J.B. eds., 2010.The tourism and leisure experience:
Consumer and managerial perspectives(Vol. 44). Channel View Publications.
Moutinho, L. ed., 2011.Strategic management in tourism. Cabi.
Soteriades, M., 2012. Tourism destination marketing: approaches improving effectiveness and
efficiency.Journal of Hospitality and Tourism Technology.3(2). pp.107-120.
Sotiriadis, M.D. and Van Zyl, C., 2013. Electronic word-of-mouth and online reviews in tourism
services: the use of twitter by tourists.Electronic Commerce Research.13(1). pp.103-
124.
Taylor & Francis.Goodall, B. and Ashworth, G. eds., 2013.Marketing in the Tourism Industry
(RLE Tourism): The Promotion of Destination Regions. Routledge.
Tsiotsou, R. and Ratten, V., 2010. Future research directions in tourism marketing.Marketing
Intelligence & Planning.28(4). pp.533-544.
Xiang, Z. and Pan, B., 2011. Travel queries on cities in the United States: Implications for search
engine marketing for tourist destinations.Tourism Management.32(1). pp.88-97.
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Xiang, Z., Magnini, V.P. and Fesenmaier, D.R., 2015. Information technology and consumer
behavior in travel and tourism: Insights from travel planning using the internet.Journal
of Retailing and Consumer Services.22 pp.244-249.
Zamaniā€Farahani, H. and Henderson, J.C., 2010. Islamic tourism and managing tourism
development in Islamic societies: the cases of Iran and Saudi Arabia.International
journal of tourism research.12(1). pp.79-89.
ONLINE
Travel & Tourism Marketing. 2016. [Online]. Available through.
<http://www.ttmworld.co.uk/>. [Assessed on 28th October 2017].
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