Marketing Strategies for Thomas Cook Travel and Tourism: Report

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This report provides a detailed analysis of marketing strategies employed by Thomas Cook, a leading travel and tourism company. It begins with an introduction to marketing concepts, emphasizing their significance in the travel sector. The report then examines the core marketing concepts such as wants, needs, and demands, applying them to the context of Thomas Cook's summer tour packages to Morocco and Egypt. It delves into the micro and macro marketing environments, discussing the impact of customers, competitors, politics, and technology. The report further explores consumer motivation factors, including social, psychological, and personal influences. Market segmentation strategies, including demographic, geographic, and behavioral approaches, are analyzed. The report also covers strategic marketing plans, including SWOT analysis, the Tourism Area Life Cycle, Boston Matrix, and Ansoff Matrix. It also discusses competitive advantages and strategic and tactical objectives. Marketing research is presented, and the report concludes by highlighting the importance of marketing in the travel and tourism industry and its role in enhancing sales and customer satisfaction.
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Marketing in travel
and tourism
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Table of Contents
Marketing in travel and tourism.................................................................................................1
Introduction................................................................................................................................3
Task 1.........................................................................................................................................3
Task 2.........................................................................................................................................6
2.1...........................................................................................................................................6
2.2...........................................................................................................................................6
2.3...........................................................................................................................................7
Task 3 covered in PPT...............................................................................................................7
3.1...........................................................................................................................................7
4.1...........................................................................................................................................9
4.2.........................................................................................................................................10
Conclusion................................................................................................................................10
REFERENCES.........................................................................................................................12
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Introduction
Marketing is knows as the action of business for promoting and selling products and
services which consider market research and advertisement. The present report is based on
the Thomas cook which is one of the leading tour company. It provides attractive package to
customers for making reputed image in market. The present report covers, significance of
marketing in travel and tourism sector. Along with this, different factor impacting marketing
environment are discussed. Apart from this, positive and negative impact of marketing is also
explained.
Task 1
1.1
Marketing play significant role in travel and tourism organization in order to make aware
people about its product and enhance sale. As per according to the given case, currently
working as assistant marketing manager for the Thomas cook travel company who is at
present deciding to create a summer tour plan for Morocco and Egypt. It is important for tour
company to promote its tour package in market in order to enhance sale. For this purpose, it
is important for Thomas cook to understand the core concept of marketing which are
discussed below:
Want: Want is also known as needs of getting something in relation to product or other things
(Swarbrooke, 2004). As per the given scenario it is important for the organization to
understand the wants of people in order to make product accordingly. Thomas cook need to
focus on different aspect of Morocco and Egypt so that it can easily make tour for customer
enjoyable. For instance the tour company can focus on wifi , transport and other facility
which customer want at new place.
Needs: it can be take place when the organization present some product and services which
customer prefer to buy (Chevalier and Serre, 2012).. For this Purpose Thomas cool can
deliver quality services to its customer in order to fulfill needs and wants. Further it can
ensure that visitor get food and transport facility.
Demand: Demand is that which customer directly communicate its need to the organization.
Demand it that which exactly customer want from the particular product and services. Further
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before buying tour package customer want security and safety (Yoo and et.al., 2012).
According to the give scenario, Thomas cook is planning trio of Egypt which is not safe
place.
1.2
There is great impact of marketing environment on individual and travel and tourism business
which are discussed below:
Micro environment:
Customers: Customers are those who buy the product and services of the travel and tour
company. Then are important for an organization in so Thomas cook need to understand all
the requirements of the customer and provide them services according to their needs and
wants (McDonald, 2012). There will be a great impact on consumer of the Morocco and
Egypt tour package. If Thomas cook designed product and services which is not of good
quality or if there is less security for consumer. Further, for enhancing sale, organization need
to sale its tour package at discounted price in order to enhance their sale.
Competitor: There are many competitor of Thomas Cook tour company who make same type
of product and services for there customer. Further it may be possible that its competitor sale
same holiday package (O'Connor, 2010). It will have great impact on the sale of an
organization, for this purpose, Thomas cook need to sale its tour package in such a manner
that it can easily enhance sale. It can make its tour package attractive by including some other
services.
Macro economics:
Politics: In different country there are different type of rules and regulation made by
government which can impact tour organization. Further Thomas cook can face issues related
to security provided to customer in another country (Ossig and Graf, 2002). It tour company
provide security to its customer then it can easily win there trust and it will result positive.
Technology: it help in connecting with large number of people in single time. If Thomas cook
make improvement in its technology then it can easily make long term relationship with its
customer (Ndubisi, 2006). Further it company used advance technology then it will create
positive impact on Thomas cool and it can easily gran attention of large number of customer.
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1.3
There are different number of factors which can affect the consumer motivation and
demand in the travel and tour industry. Due to some of the factor consumer get motivated and
there demand increases with it. Some of the factors which motivate customer in order to
travel at Egypt and Morocco which are as follows:
Social : Egypt is place where people like to visit with their children and family members.
Further youngster like to visit there and it is motivational factor for them. On the other
reference group is one of the motivational factors for them (Riege and Perry, 2011). This
enable traveler to visit Morocco.
Psychological: Those people like to visit Egypt who wish to know more about the ancient
time. Further there are so many pyramids which motivate people to travel . on the other hand
there are so many people whose religious belief is one of the motivation factor which enable
them to travel Morocco.
Personal factor: Egypt is place where there are lots of historical things and it is also one of the
adventures place which motivate employees to visit there (Uzama, 2009). On the other side it
can be stated that Morocco is one of the cultural place, so people like to visit there who have
cultural belief stronger.
1.4
Market segmentation is known as the marketing strategies which support in dividing
the markets. Along with this it also assist in making strategies which help in accomplishing
goals and objectives (Vignali, 2001). Therefore, it is important for the organization to select
the market segment which is effective for them and they can easily target them by preparing
tour package according to there requirement. Further for carrying out the market
segmentation in order to enhance sale and profit. One of the main purpose of Thomas cook is
to promote its new summer tour package on the basis of three marketing segmentation which
are as follows.
Demographic: Demographic segmentation can be used in accordance to target whole family
for summer tour package (Wise and Sirohi, 2005).. For this purpose, they can plan tour
package according to needs and wants of family. Further, in the same way company can
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easily focus on providing services to its customer in accordance to increase sale by retaining
consumers.
Geographic segmentation: It is important for Thomas cook to understand the macro factors of
Egypt and Morocco so that it can easily serve good quality services to employees in other
country without facing any problem (Zafiropoulos and Vrana, 2006). Along with this Tomas
cook can keep its package price reasonable as compare to its competitor. Further students
mostly prefer to go educational tour and couple like to prefer go adventures place in Morocco
and Egypt.
Behavioral: Thomas cook can segments its product and services as per the lifestyle behavior
and way of living of people (Carter, 2007). So for Morocco it can make religious package
which is mostly like by reference group people. Along with this, Tour company can launch
adventures package for young people.
Task 2
2.1
There is great importance of strategic marketing plan for the Thomas tour company in order
to make people more aware about its tour package and enhance sale ((Falk, 2011)). Further,
for increasing sale it is important for tour company to use various promotional tool such as
social networking sites, television and newspaper. In different country that is Egypt and
Morocco tour package is developed by Thomas cook.
Tactical plan which can be framed by an organization in term to prepare varied kind of
services for tour package. For example on the basis of strategic plan the organization can
make tour package by judging the buying capacity of its buyer. Likewise, company can
prepared expensive package for its buyer who are from higher income class as per there
needs and wants. Further through proper monitoring and controlling the organization can
easily deliver services to its customer as per the needs and wants of its customer and enhance
there satisfaction level. Through monitoring it can easily came to know that its customer are
getting services of good quality or not then it can take action. Furthermore with the support of
strategic plan the organization can easily identify the business environmental condition of
country where Thomas cook is planning to create a summer holiday tour package. .
SWOT analysis is conducted for strategic planning
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Strength : Strength of the Thomas cook organization is that it have highly skilled employees.
These employees work hard in respect to accomplish the strategic planning successfully.
Further it sale its product at lower price due to which all class people can easily afford it. This
lead to increase in sale of company.
Weakness: One of the weakness is that same type of product are sold by its competitor due to
which it impact its customer base and profit. Further lack of new technology is one of the
another weakness of the Thomas cook,.
Opportunities: Thomas cook have opportunities to use new technology for delivering quality
and innovative product to customers. Along with this firm can easily attract large number of
customer through marketing its products.
Threats: One of the threats of Thomas cook is its competitor along with this firm face issues
due to lack research team. This reason lead to impact the sale and profit of an organization.
This SWOT help in analyzing the strength and weakness of the firm for making appropriate
strategic plan.
Further, with the use of tourism area life cycle analysis it assists firm in identifying the
developing marketing strategies for each destination area and plan for its developments.
Boston matrix is one of the effective marketing tool which is used for product portfolio
analysis and management. Here, Thomas cooks can used boston matrix is as follows:
Dogs: this confirmed low market share of Thomas cook which lead to low market growth
problems. It focus on cash instead of and it develop in slow growing industry.
Cows: in this it indicate high market share in the low growing market by Thomas cook.
This Boston matrix show impact of market share and market growth if Thomas Cook.
Tourist area lifecycle
Tourist area life cycle is knows as the conceptual framework. It show both internal and
external factor which affecting park tourism. Along with this it show social, environmental
and economic changes of the area.
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Ansoff matrix: Ansoff matrix provide four different types of growth strategies which are as
follows:
Market penetration: In this Thomas cool can achieve growth with existing products
Market development: The firm seeks growth if it targets the existing market.
Diversification: In this Thomas cook can grow by diversifying into new business by
developing new products for new markets
Product development: In these firms can develop new products for its targeted customers.
Competitive advantage: Thomas cook can gain competitive advantage by making product
different from its competitor and sale them at lower price
Strategic and tactical objective can be set by the Thomas cook in respect to target customer
and enhance sale.
2.2
Marketing research is a systematic too which help Thomas cook in gathering, analyzing and
recording the problem in relation to product and services.
There are some reason through the help of which manager can require marketing research and
marketing information so that it can easily improve its working area.
Provide valuable data: Market research help tour company manager to make decision related
to new tour package. It can gather information related to its customer behavior and
competition. For instance with the help of market research organization can obtain view
points of its customers views in relation to tour package. It can receive its information in
relation to its customer experience of Morocco and other places.
Increasing sale: Through the help of market research it can easily gather valuable information
which assists in designing valuable products and services. Further through the help of
research the organization can easily understand the needs and wants of its customer. For
example, it can gather information in relation to the environmental condition firm can
measure with the help of profit.
Marketing research and marketing information: it can be supported by gathering the
necessary information for offering to the tourist. Manager of Thomas cook can become
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capable for designing an attractive and impelling tour package for the destinations.
Marketing research can be supported by finding out the needs and wants of the buyer. This
marketing research can be conducted in an appropriate manner. Along with this data can be
collected from authentic and reliable sources so that one of the effective promotional strategy
can be developed. Apart from this through market research it can forecast the needs and
wants of customer which help in creating a successful tour package. A market is one of the
varieties of system, procedure, social and infrastructure where two or more parties engage
and exchange their products.
Market: Market can be determined to be a place for which packages are developed. In order
words, firm need to make analysis of the preference of people so they can select appropriate
countries for which packages can be developed.
The marketing research process: As per this this process, firm like Thomas Cook focus on
understanding the places through which the rate of sales or tourism can be raise with the help
of packages developed.
Forecasting: It is determined to be the estimation which is made by the firm with respect to
sales and the packages that can be made with the help of which organization can gain profit.
Demand measurement: In order to measure the demand, it is possible when the requirement
of the customers can be identified and packages are developed accordingly.
2.3
Marketing is a tool that helps organization to make its customer aware about its
product and services. Further, it can use marketing tool in order to identify the way to attract
more customer for selling its product and services ((Stronza, 2009).). There are different
sources of marketing which Thomas cook can used in order to enhance sale and profit.
Further marketing also impact organization in both positive as well as negative manner which
are discussed bellows:
Positive and negative impact of marketing:
Information of product: Marketing assist organization in gathering information related to
product and services liked by its customer. Through the help of marketing people came to
know about product and services and the way of using it. For instance Thomas cook can
share information related to its new tour package on websites and TV.
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Misrepresentation: Through the help of marketing the aim of the organization is to attract
large number of its customer so that it can attract them, but sometime information create
wrong image on people. For instance, Thomas cook has state that Egypt is safe place but at
the time of performing tour activity it came to know that place is not safe.
Task 3 covered in PPT
TASK 4
4.1
Promotion is referred to be one of the most important aspect of marketing through
which the organisations are required to promote their offered goods and services in an
effectively manner. It is basically to attract a large set of consumers towards their proposed
products by using some efficient ways of promotion (Lam and Harker, 2015). Promotional
mix hereby acquaint the organisations like Thomas Cook to such operative measures of
promotion with its five leading constituent as referred below-1. Advertising- It is a direct mean of marketing the services offered by Thomas Cook to
its users with the help of print media tools to publicise them in newspapers,
magazines, etc. Also, distributing brochures or posting hoardings are also considered
to be a similar way of publicity via advertisements.2. Direct marketing- It is yet another direct approach where the marketing personnel’s of
Thomas Cook will hereby refer to directly contact their clients and users via telephone
and mails, etc. Through which, they will directly tend to explain them about their own
set of offerings they have designed for them and will explain the tour packages, etc.
Some other promotional tools such as social media and promotional letters to directly
approach the potent set of customers.3. Sales promotion- It is a short term tactic of marketing which is that type of marketing
that can also be done by not using any publicizing tools, etc. This exists of small yet
strong messages that are being transmitted among the consumers to avail the offers
made to them for a very short time period with some appealing uniqueness in it
(Sagala, Destriani, Putri and Kumar, 2014). It is for instance to state about any
discounted offers Thomas Cook is currently proposing in their offered tour packages
as of now.4. Public relations- This type of marketing is correspondent to the word of mouth
(WOM) marketing where the offers are directly being discussed in various platforms
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where Thomas Cook may hereby refer to arrange campaigning, etc., to openly interact
with the audiences.
5. Personal selling- It is one of the most conventional forms of marketing where the
targeted set of users are influenced to purchase the offered services of Thomas Cook
via sales presentations and meetings, etc. Both telemarketing and face to face
marketing defines this tactic of promotion.
4.2
Integrated publicity campaign is defined to be a medium through which the aforesaid
activities of promotion will be performed by Thomas Cook by together ensuring that there
messages are reaching to the audiences. Herein, Thomas Cook has thus chosen the method of
public relations to directly interact with their clients and users and convey them about their
newly introduced service of green tourism and eco-tourism (Morrison, 2013). It is where they
have also designed some affordable packages to various such tourism locations with high
grade services for the buyers. They have together intended to convey the audience about
other initiatives that they have taken from so long to benefit the society to a great extent.
Conclusion
From the above report it can be concluded that, Marketing play significant role in travel
and tourism organization in order to make aware people about its product and enhance sale.
There are different number of factors which can affect the consumer motivation and demand
in the travel and tour industry such as Social, Psychological andPersonal factor. Market
segmentation is known as the marketing strategies which support in dividing the markets.
Promotion is referred to be one of the most important aspect of marketing through which the
organisations are required to promote their offered goods and services in an effectively
manner. It is basically to attract a large set of consumers towards their proposed products by
using some efficient ways of promotion
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REFERENCES
Books and Journals
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Online
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Liu, Y., 2005. The Development of Cultural Tourism: A Review of UK Experience. [Pdf].
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