Marketing Report: Travel and Tourism Sector Analysis and Strategies

This report delves into the core concepts of marketing within the travel and tourism sector, exploring the impact of the marketing environment, consumer motivation, and market segmentation strategies. It analyzes the strategies employed by companies like Thomas Cook, examining their approach to market research, promotional mixes, and strategic marketing planning. The report also highlights the importance of understanding consumer behavior, the influence of marketing on society, and the role of promotional campaigns in attracting customers. The content covers various aspects of the marketing mix, including place, price, promotion, and people, and discusses how these elements are adapted to meet the specific needs and preferences of different customer segments. The report emphasizes the significance of building customer loyalty and satisfaction through effective marketing practices, offering a comprehensive overview of the challenges and opportunities in the travel and tourism industry.

MARKETING IN
TRAVEL AND TOURISM
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P 1.1 Core concept of marketing in travel and tourism sector...............................................3
P 1.2 Impact of marketing environment on travel and tourism sector...................................4
P 1.3 Factors affecting consumer motivation in travel and tourism industry.........................5
P 1.4 Principle of market segmentation according to wants of customer..............................7
TASK 2............................................................................................................................................8
P 2.1 importance of strategic marketing planning:.................................................................8
P 2.2 Relevance of market research in development of travel and tourism services of company
................................................................................................................................................9
P 2.3 Influence of marketing on society...............................................................................10
TASK 3..........................................................................................................................................11
Covered in PPT.....................................................................................................................11
TASK 4..........................................................................................................................................11
P 4.1 Role of promotional mix in travel and tourism sector................................................11
P 4.2 Integrated promotional campaign for 2018 holiday package of Thomas cook...........11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The marketing is process of spreading awareness about the products and services in
costumers. The marketing is group of activities that inter-prate market needs and fulfil them by
different promotional schemes attracting the customers. The unique marketing strategies leads to
higher growth of organisation. The service sector like travel and tourism requires implementation
of advanced marketing strategies. Promotional schemes of product defines the success and
failure of that product in the targeted customer base.
The companies are continuously involved in developing new marketing strategies in the
organisation and gaining competitive advantage in market. The large enterprises spend a major
part of their annual budget in marketing activities to develop wide customer base. The customer
need and preferences influence the marking mix to large extent (Evans, Stonehouse and
Campbell, 2012).
In this report the various marketing strategies are explored that are used by promotion of
products and services provided by travel and tourism companies. The companies like Thomas
cook is providing quality services to the customer by developing market research. The quality
services of Thomas cook is able to fulfil all desires and wants of prospective customer of the
company. The travel and tourism is the sector where development of business is highly affected
by the promotional activities and the advertisement strategies as the customer can only see the
facilities he can not entertained by the services before the purchase of the products. The travel
and tourism is providing intangible services to the customers that requires implementation of
marketing strategy effectively for success of business.
TASK 1
P 1.1 Core concept of marketing in travel and tourism sector
After development from the financial crisis of 2008 the people of UK are willing to spend
more money towards lifestyle because of growth shown by economy in the country. The
customers are spending huge part of income in travelling that seems an growth opportunities for
the travel agents and the companies engaged in travel and tourism (Gertner, 2011.). This shows
exponential growth in businesses like restaurant, hotel, motels, airline companies etc.
the companies like Thomas cook is following various promotional activities to attract
different segments of customers and trying to create strong relationship with customer and

involved in building customer loyalty toward brand. The customers satisfaction is directly related
with customer loyalty program. Higher is the satisfaction after utilising the company services
more is the chances of showing customer loyalty towards particular brand.
Before entering in market the field research and identification of customer needs is
necessary to attract large no. of costumers towards the organisation. The Thomas cook is
involved in the various kind of marketing activities that target the different segments of
customers divided on the basis of various needs and desires of customers.
Thomas cook is the part of Thomas travel group. This group was founded in 1965 serving
the people of UK. The Thomas cook is marketing their holiday packages with defined cultural
variation in six days travel to Egypt, Morocco, Libya. The Thomas cook develop strategy
according to the changing market scenario. Thomas cook is developing their services with
ensuring the committed quality services to the customer of the organisation.
The Thomas cook travel group is focusing on the 4 P's of marketing place, price,
promotion and people. The organisation ifs providing the desired quality of packages of
customer at low prices this helps in attaining competitive advantage over other company
involved in same sector of travel and tourism (Xiang and Pan, 2011). The Thomas cook is
providing six day package at very much affordable prices including the transportation
arrangement and quality accommodation facility along with breakfast, lunch and dinner in three
locations Morocco, Egypt and Libya.
The travel an tourism sector services should be managed efficiently. The company should
ensures the quality of services that are described in the package to built customer loyalty and
enhancing customer satisfaction. The packages for mass migration involves the execution of
defined standards of quality services and flexible according to the different needs of customer
base.
P 1.2 Impact of marketing environment on travel and tourism sector
Market is a common platform where buyers and seller intract with each other involved in
transaction of money, goods and services. The market is place where customers are concentrated
and are willing to buy products. The market includes the various factors affecting the customer
preferences, market growth and the elements of business also (Thakran and Verma, 2013).
The Thomas cook is UK based company which is engaged in serving the customers in sector of
travel and tourism. The packages of the 6 days at 4 destination is influenced by the various

external factors. The market is influenced by different external and internal environment. The
market is affected by the travel habits of the customers for Thomas cook. The segmentation of
customer on the basis of demographic, behaviour, psychology of consumer is necessary to
develop the services according to different needs. The market is influenced by factors like
relation between the origin countries and the different travel habits of tourists. The market is
involved in inbound and outbound services serving to the tourists from other countries and
tourist of origin country at different destinations. The Thomas cook group is engaged in
developing niche market according to various preferences resulting growth of the organisation.
This helps in attracting the potential customers for making purchase of products and services and
building trustworthy relationship with customers.
The Thomas is continuously evaluating and making up prospective strategy in according
to changing needs of market trends. The company is involved in various factors serving their
services to different destination in the world that leads to increase complexity in managing the
quality and pricing strategy for holidays packages according the different political, cultural,
social various exhibiting by different destination (Sigala, Christou and Gretzel, 2012).
Macro environment: The companies is not having any control over the external elements
of the market. The market and the business strategy are influenced by various factors like
economical factors, social and cultural differences, political factors, different geographical
scenarios etc. Thomas cook keep eyes on change in any external market trends leading to need of
implementation of new marketing strategy by the company to attract customers.
Micro environment: It consists of factors that influence the internal operations of business
and market strategies. The decision making and perception of the higher management affects the
functioning of the organisation and hence influence the market target also. This leads to change
in outlook oh Thomas company according the change in business structure.
Market environment: Suppliers, customers, competitors and other 3rd party organisation
all comprises collectively the market environment. Any change in these factors affect the
strategy implementation following the market plan on the Thomas cook (Saraniemi and Kylänen,
2011).
P 1.3 Factors affecting consumer motivation in travel and tourism industry
The various companies lot of their money in developing marketing strategy and
implementation these plan in market as promotional schemes to spread awareness about the

products and services and the attracting the large customer base towards company services. The
motivated customer result in increased demand for particular product of company hence
contributing in the long term profitability for the organisation like Thomas cook. The customer
base for the Thomas cook is from the various places of world. This conclude that every customer
have own needs and preferences and their own expectations related to the services of Thomas
cook. So, the mangers should be efficient in developing marketing strategy for different segment
of customers. The consumer behaviour affects market trend and market decisions to the large
extent. The motivated consumer leas to the increased market growth. The customer behaviour is
affected by the various social, economical and political factors that affects the marketing strategy
of the Thomas cook (Park and Oh, 2012).
The various external factor influence the market environment the buying behaviour of
consumer. Like social factors like family issues, society perception and culture affects the nature
of buying habits of the consumer. The organisation should implement strategy that resolve the
social issues and leading to motivated customer base. Thomas cook design their holiday
packages according to family perception, heath issues during travelling and safety services that
motivates the consumer and affects the consumer purchasing behaviour. The motivated customer
will utilise the services and tend to involve in repetitive purchase of serveries from trustworthy
organisation like Thomas cook.
Thomas cook is engaged in desired packages at affordable prices to the customer that
results in highly motivated customer to purchase services. The quality services provided by
Thomas cook also motivates consumer and build customer loyalty towards the brand. Company
also focuses on the duration and and season for the vacation that attracts the large customer base
according to their need preferences. The core concept of building consumer motivation is
achieved through ensuring good travelling experience, that will increase the probability of the
repetitive purchase of the services by customer for the Thomas cook (Moutinho, L. ed., 2011).
The customer buying behaviour is influenced by the customer motivation factor and the
determination factor. Motivation factor defines the level of willingness to buy product while the
determination factor defines the ability of making purchase by the customer. The motivation can
be enhance by the pre purchase experience and the satisfaction can be related to the ongoing
better travel experience and post travel experience defines the level of repetitive buying

behaviour shown by customer in future and thier customer loyalty towards Thomas group
services.
P 1.4 Principle of market segmentation according to wants of customer
The segmentation is the dividing the prospective customer of the organisation according
the shared taste, preferences and habits by the groups. The market segmentation is necessary to
implement market mix strategy according to the expectations of various segmented group. These
segmented groups of consumers are targeted with different and specialised promotional strategy
for particular group. The market is segmented in three categories i.e. clustered market,
homogeneous market and diffused market. Diffused market is defined as different perception and
choices shown by the market segment towards goods and services of the Thomas cook. The
clustered market comprises the people with shared preferences and taste with respect to the
product, services of the company (Morrison, 2013).
The segmentation technique influence the strategy of the organization Thomas cook. The
segment selected for the developing market should ne relevant and should comprises of target
customer for the services of the company. The manager of Thomas should meet the selected
segment needs with the proper selection of market mix strategy. Target segment should large
enough to contribute in the customer target of the company.
The Thomas cook company segment their prospective customer on the following aspects
in the market:
Psycho-graphic segmentation: The customer are divided on the basis of lifestyle,
preferences of the individual. The Thomas uses different promotional strategy to target this
consumer segment. Ex. Thomas introduces the Thomson couple packages for the newly wed
couple to celebrate their wedding and love in foreign destination with exciting packages and
offers.
Demographic segmentation: in this segmentation technique followed by Thomas group
involves division of customers ion the basis of various age, sex, group differences in life cycle.
This include targeting the various type of customers with implementation of different marketing
strategy to attract customers from all different prospective segments (Molina, Gómez and
Martín-Consuegra, 2010).
Geographic segmentation: the company divided the large customer base on the bases of
different locations, cultural differences etc. to target various groups with various strategies.

TASK 2
P 2.1 importance of strategic marketing planning:
The Thomas target various segments of customer all over the world. Target market
should be entertained by the various marketing and promotional strategy to attract prospective
and potential consumer and retaining the existing customer with the organisation. The various
strategies implemented by the Thomas cook organisation for future plans to deal with customers
are:
Swot analysis: The strength, weakness, threat and opportunities for the Thomas cook
contribute in decision making process of the company. This analysis defines the internal and
external factors affecting the marketing strategies to be implemented by Thomas cook that
affects the long term success rate if the organisation (Law and Buhalis, 2010). The strength for
Thomas cook can be the quality services that will help in attracting the customer towards the
services of company. The glitches in services is the major weakness of the Thomas cook on
which the team of company is working to resolve the weakness and the strengthening the
operations of company. The various prospective target segments of customers can be future
opportunity for the organisation.
Product life cycle: the product of the company goes through different stages of life cycle
which needs different marketing strategies at each stage the various stages of the of product life
cycle are:
 Exploration stage: this stage include the finding new location for travelling and market
study about the popularity of destination among new target customers. This stage include
marketing strategy which enhance the awareness toward new location and advertisement
of the new destination for travelling.
 Development stage: The development stage include the development of new facilities and
near by attracting places to grab more interest of the customer towards new destination
(Kayar and Kozak, 2010).
 Stagnation stage: at this stage the new destination has reached at its maximum growth
stage. The destination is become well known tourist destination and many customers are
willing to travel to the destination at this stage. At this stage the Thomas cook does not
have to carry main focus on the advertisement. While the company is focusing on the

ensuring quality services an facilities to the target customer good travel experience with
the company.
P 2.2 Relevance of market research in development of travel and tourism services of company
The market research is the important step required before the implementation of any of
the marketing strategy for development of promotional schemes in the organisation. Various
factors influence the market trends hence ultimately affects on the capability and preferences
towards purchase of goods. The market research is necessary in developing the customer loyalty
towards the Thomas cook services.
The market research is the process of collection of data from various resources which
affects the market scenario and the consumer behaviour and analysing them with use of various
techniques and concluding relevant results. Market research is carried out to qualitative and
quantitative data analysis of previous market research and extent of affects of various
environmental factor on market trends. This helps in forecasting future market trends and
strategies to enhance the customer base for the company Thomas cook (Hall, Timothy and
Duval, 2012).
Market research is having major impact of the decision making process of the company
related to the specific problem faced by the Thomas organisation in inverse environmental
situations. Today market research is performed by various sectors for increasing the
effectiveness of the business like in educational institutes, healthcare sector, industries and
different services sector. The market research plays vital role in achieving the needs and
objectives of the fast growing sector like travel and tourism with development of economy in
country.
Market research is useful in finding the affects of unknown dependent factors related to
travel and tourism sector. The present customer buying behaviour is changed to the large extent
hence influencing the market trends of travel and tourist industry. With the growth of economy
after the recovering from the economical crisis of 2007 the capability of the customer is increase
in purchasing habits that leads to an large observable growth in the travel companies profitably
(Hall, 2013).
Today's life is becoming more and more complex due to high competition for survival of
individual and high workload. So the individual is needing vacations for rest in between his busy
schedule of professional life to revitalise the energy to perform task efficiently. So, the people

develop method of travelling to new destination around the world in vacation to reduce stress
level. This results in booming growth of travel industry and hotels and restaurant industries.
The current consumers also known as baby boomers. These consumers is having good
disposable income that they spend in recreation and travelling ton new places for take rest from
the busy schedule of life. The customers are diversified in different segment due to various
preferences and different mind sets towards specific product of the Thomas cook. So, the market
research is necessary for analysing such a diverse consumer behaviour and developing correct
interpretation about the current market trend. The results from the market research helps in
developing appropriate strategy by the managers of Thomas cook group to deliver satisfying
services to the customer by implementation of appropriate marketing strategies.
P 2.3 Influence of marketing on society
The marketing is the group is activities related administration of operations involved in
the attracting the customer and building good customer relationship and fulfil the neds of the
customers(The Value of Marketing to Society. 2017). Marketing strategies followed by the
various industries affects the society to the large extent. Marketing methods like advertisement,
promotions, sales etc. affects the customer behaviour and society largely (Hahm and Wang,
2011). The activities utilise by the travel and tourism services sector in promotion strategies
involves in creation of fake travel needs by the consumer that increase the expenses of the
customer hence affecting the normal lives of families and decreased the interest of employees in
work and enhanced demand of vacations. While the unacceptable content of advertisement by
the society affects the perception of the people towards the brand image. Marketing methods
helps in the people of society in gaining information and knowledge about the new technology
and the products existing the market. The advertisement related to the social issues brings
awareness in the society about the problems and methods of resolving problems. The
advertisement used in the travel and tourism sector are less concerned about the social welfare
hence not acceptable as much by the society.

TASK 3
Covered in PPT
TASK 4
P 4.1 Role of promotional mix in travel and tourism sector
Promotional mix included the activities which promotes the sales of product and services
for the Thomas cook company. The hotels and various tourism brands are involved in attracting
the customers for their products (Goodall and Ashworth, 2013). The company involved in
different promotional activates retain their customers by effective advertisement campaign. The
promotional mix contains basic components, direct marketing. Basic components of the
promotional mix includes the traditional approaches door selling, advertisement, sale etc. the
advertisement is very much expensive method for the promotion of particular product. The
advertisement method includes the spreading awareness to the mass public through Television,
newspaper, radio etc. the direct marketing involves the direct promotion of product and services
to the customers of travel and tourist service sector (Goeldner and Ritchie, 2012). This method is
flexible method of promotional activities carried out by Thomas cook.
P 4.2 Integrated promotional campaign for 2018 holiday package of Thomas cook
Represented in poster presentation.
CONCLUSION
The organisation is involved in the various marketing activities. The Thomas cook target
different segment of the costumers with implementation of different marketing strategies. The
Thomas cook implemented Thomas couple package for attracting newly wedding couple. The
Thomas cook carry out research for concluding the future market trends on the basis of past
experience. The travel industry include partnership with various airlines companies, hotels and
restaurants. The Thomas develop their marketing strategies according to the development of
product life cycle. Thomas cook are engaged in activities like providing the total tourism product
to the customer for attaining the customer loyalty and attracting the consumers for repetitive
purchase with same company.

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Online
The Value of Marketing to Society. 2017. [Online]. Available
through:<http://smallbusiness.chron.com/value-marketing-society-21508.html>. [Accessed on 28th
April 2017].