Marketing Plan for TUI: Comparing Strategies and Developing a Plan

This report delves into the marketing strategies of TUI, a prominent travel company, focusing on its application of the marketing mix (7Ps) and the development of a marketing plan, particularly for its cruise services. The report begins with an introduction to marketing and its relevance to TUI, followed by a detailed comparison of TUI's marketing plan with that of Sainsbury's, highlighting the benefits of implementing marketing strategies. The comparison covers various aspects such as product, price, place, promotion, people, process, and physical evidence. The report then outlines a basic marketing plan for TUI's cruise services, including company background, smart objectives, a SWOT analysis, and an application of the marketing mix, along with STP (segmentation, targeting, positioning) and PESTLE analysis. The report aims to provide a comprehensive understanding of TUI's marketing approach and its application in the tourism industry.

Marketing and its
application to a tourism
organisation

Table of Contents
INTRODUCTION...........................................................................................................................1
P3 Comparison of different organisation through implementing marketing mix to attain
business objective........................................................................................................................1
P4 Basic marketing plan for travel and tourism organisation to meet with marketing objective
.....................................................................................................................................................3
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Marketing is defined as a process through which an organisation develops the concept of
making a product. This includes the whole functions or activities which helps from
manufacturing the goods till the delivery of them towards the customers. This assignment is
based on the perspective of TUI which is a well known travel company of UK. Moreover this
assignment highlights on marketing mix as well as marketing plan for the organisation.
P3 Comparison of different organisation through implementing marketing mix to attain business
objective
Marketing mix can be defined as a set of action and tactics that is used by the
organisation for promoting their brand, service and product. While considering the promotion
they implement different techniques such as advertisement, brand awareness CSR activities etc.
In order to attain organisational objective management of TUI implemented 7P's in which
undertakes several aspects (McKercher, Mak and Wong, 2014). Like Product, Price, Place,
Promotion, People, Process and Physical evidence. In this task comparison between TUI retail
marketing plan and Sainsbury's marketing plan is discussed which determines benefits of
implementing marketing plan in the organisation that is mention as follow:
Particular Sainsbury's TUI
Product Sainsbury's holds a large chain of
supermarket due to which they
stock wide range of product lines.
This results that they are world
second position in retail market in
terms of earning revenue. Fruits,
vegetable, fish etc. are some
products which are sold by
Sainsbury's at a large scale as they
provide them fresh and ready to
customers.
TUI is operating their market at
global level. In context of this they
started to sale their products under
5 board categories which
determines that they sale their
product under their brand name
TUI. Along with this they is large
variety of products is available that
allow customers to select best
products for consuming.
Place Sainsbury's is operating their store
approximately in all over the
From some past years TUI retail
business is expanding with a rapid

globe. For capturing the wide area
of market Sainsbury's started to
open their superstore that are
convenience to approach.
Moreover they are related with
self service and involves large
number of counters which derive
customers to purchase product
easily from them.
face, for such a good growth
management of TUI sells its
products by two marketing
channel. In which first method is
through online website and other is
wholesaler method that helps to
approach customer in all over the
country.
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Price After the Brexit organisation faces
several problems that are related
their pricing strategy. In order to
overcome from them they started
to set prices of product on
individuals bases in order to retain
customer for longer period. Hence
they started to use price
differentiation strategy which
assist them to set prices for each
unit and singular product that is
sale on their stores.
The existing pricing strategy that is
implemented by TUI is competitive
pricing strategy. This is because
there are large number of
competitors exist is market. Along
with this for retail industry they
started to set prices of their
products at high premium as their
products contain more feature that
provides them competitive edge in
industry.
Promotion In context of Sainsbury's they
started to promote their business
with the help of advertising, social
awareness etc. that helps them to
attract more number of customers
for their product. Example- Nectar
reward card is launched by
Sainsbury's that helps them to
boost their sales.
TUI uses several channels to
promote their product as they are
fresh in retail market industry. So
promotion work as an effective
tool that promotes their sales. In
order to meet their expected sales
TUI focus on word of mouth
promotion for attracting more
number of customers.
People Sainsbury's is accomplishing their
task with the help of skilled and
trained employee's that are engage
with them to complete their
activities through a effective
manner. This all are trained and
complete their activities by
considering customer preference
in order to make their product.
In context of TUI its employees or
people are working in parallel way
with it customer service
department by explaining customer
needs and demand in all
department to ensure the products
are manufactured as per market
trend.
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Process Sainsbury's is actively participated
in marketing research. Due to
which it is easy for them to predict
out market opportunities and make
a first move advantage in the
market.
Sainsbury's is selling their
products through offline store
which helps them to store
inventory that leads them to deliver
their products with a quick way.
Physical evidence Sanisbury's sale their product with
creative and unique colour
labelling due to which it is easy
for customer to identify their
products in a retail shop or store.
TUI sales their product through
online channel. Therefore they
develop a effective website that is
user friendly and allow customer to
view their product effectively
before purchasing them.
P4 Basic marketing plan for travel and tourism organisation to meet with marketing objective
Marketing plan
Marketing plan works as an operational document that covers various aspect which are
related with launching of new product in the organisation. Its helps them to generate effective
leads which aid to sale their product in the target market. The main agenda to develop a
marketing plan is to outreach different aspects that are related with establishment of TUI new
service in the market. This task highlights that how TUI introduce new area of service which is
of Cruise as they are major player of tour and travel industry.
Company background
TUI is a well known British Leisure travel group which provides or offer tour and travel
services in the market (Coghlan and Noakes, 2012). It was founded in the month of September,
2007. Headquarter of Travel union inter-national is situated in Crawley, UK. They are operating
their business among 180 countries which governs that they cover large area of market. TUI
operates their business in different service industry that includes airlines, holiday tours and travel
agency which helps them to satisfy the needs of all customers.
Smart objective
 TUI is operating their business in central Europe, Northern Europe and Western Europe
so they want to expand their business at global level.
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 Another objective of Travel Union Inter-national is to increase the sale of their products
with a hike of 35%. As they introduce a new business in order to increase their market
area (Lökfors, 2015). Last objective that is made by management is related with sale of their services through
implementing effective techniques that increases the revenue and profits for the
organisation.
SWOT
In this table SWOT analysis of TUI is mention that helps to evaluate the internal
approaches of the organisation.
Strength
 TUI is a large organisation of travel
industry. Therefore it is constructive
for them to open a Cruise business. TUI airlines are present at global level
therefore which governs that most of
the countries are already aware about
it.
Weakness
 People or consume are not comfortable
with the Cruise lines because of
accidents and time consuming distance.
 Cruise industry is facing intense
competition which signify that it is
monopoly market as very low firms are
present in market.
Opportunities
 Addition of ships helps TUI to enter in
different services also. Like Luxury
liners, tour operator etc. which helps
them to target elite customers also. Asia is a growing market for the Cruise
industry as their are large number of
potential customer are present in the
market.
Threats
 Organisation which are operating their
business in Cruise industry need to pay
more amount of tax. This rule is
formulated by US corporation tax so
organisation need to follow this.
 Competitors such as Star cruise line,
MSC cruise and Costa cruise etc.
generates threat for TUI.
Marketing mix
Product- The major services that are provided by TUI is inter-related with Cruise lines
and the holidays packages. This aspect derive them to fulfil need of customers within a short
period of time.
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Price- It work as a crucial factor for the organisation because it is directly related with the
purchasing power of the consumers. Therefore it is mandatory for TUI to decide the price of
their products according to the market trend.
Place- UK is a developed country so it is a good factor for Travel union inter-national to
start their business from London (KAhmed and Tornroos, 2015). This helps them to realize the
market by dividing it into different segments.
Promotion- This factor is related with increasing the sale of their products by promoting
their business at global level. Specifically for Cruise line they promote their business through
mass media channel.
People- Individuals or employees who are engage in completion of TUI activities are
more reliant and complete their work in order to run them within smooth way.
Process- This aspect show that the delivery of service is related with factors that is
usually done within minimum time period.
Physical Evidence- Service industry is intangible therefore it is essential for TUI to
provide more value to customers by selling inferior quality products to them. So customer does
not feel lack of physical aspect in product.
STP
Segment- In context of TUI the segment of customers is related with organisational
products that is related with vacations. As they go to another place with a proper planned trip.
Target- The customers which are targeted by TUI for cruise service are belong to upper
class industry. Along with this they are those who want to travel in luxury.
Position- TUI provides their services through undertaking the factors that directly related
with Cruise services. Like entertainment, hospitality, food etc. that are essential for fulling the
needs of customer.
PESTLE
Political- Brexit creates different issue that impact on the business of UK. So to
overcome from this issue TUI make strategies which are effective to solve complete their task
among overall world (honat, 2012).
Economical- All type of monetary aspect are included in this that show economic
condition of country. The economic conditions of UK is well developed which is a positive
factor for TUI as it show the purchasing power of consumers.
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Social- This factors includes the behaviour of society residents, their value and culture
that is followed by an specific country. In UK travelling is a symbol of high society status
therefore it show a wide scope in this.
Technological- In present scenario technological aspects is included in all factors. So it is
mandatory for management to adopt user friendly technology for completing organisational
activities.
Legal- TUI start and expand their business at global level in this situation it is essential
for them to complete their work with a legal approach. So for this they complete follow all rules
and regulations.
Environmental- From recent years countries are more aware about the environmental
conditions. So this creates opportunity for business by promoting their business through CSR
activities.
Budget
Particular Forecasted Amount
Ships £ 1,00,000
Chefs £ 8,000
Drinks £ 5,000
Fuel £ 20,000
Promotion £ 3,000
Total £ 1,36,000
Monitoring and controlling
In order to complete their within smaller time period it is essential for organisation to
monitor and control their plan which is developed by them for completing the new project in a
proper way (Sainsbury, 2018). Administration of TUI decided to control the project with the help
of making milestones and technique that help to complete their goals before the deadlines.
CONCLUSION
From the above report it is concluded that marketing mix plays a vital role in the
organisation. They complete their activities with implement of 7 P's that leads them towards
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more growth and success for the organisation. Each and every organisation execute marketing
mix with a different approach that helps them to complete their objectives in appropriate manner.
At last a basic marketing plan is discussed that ensures the success of new product or service.
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REFERENCES
Books and Journals
Sainsbury, R., 2018, June. Labour market participation of persons with disabilities–how can
Europe close the disability employment gap?. In The Right to Work for Persons with
Disabilities (pp. 135-154). Nomos Verlagsgesellschaft mbH & Co. KG.
Khonat, A., 2012. What is marketing? A starter activity and case study. Teaching Business &
Economics, 16(2), p.22.
Ahmed, M. and Tornroos, J.A., 2015. Towards a processual approach to the study of marketing:
reflections on international project business. In Proceedings of the 1995 World
Marketing Congress (pp. 537-546). Springer, Cham.
Lökfors, K., 2015. British tourists in Rovaniemi region: Market Research on attracting overnight
tourists from UK.
Coghlan, A. and Noakes, S., 2012. Towards an understanding of the drivers of
commercialization in the volunteer tourism sector. Tourism Recreation Research, 37(2),
pp.123-131.
McKercher, B., Mak, B. and Wong, S., 2014. Does climate change matter to the travel
trade?. Journal of Sustainable Tourism, 22(5), pp.685-704.
Islam and et. al., 2013. The development of corporate social responsibility (CSR) and challenges
of environmental and social reporting in Europe. European Journal of Business and
Management, 5(23), pp.170-182.
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