Tour Operation Management Report: Thomas Cook's Strategic Decisions

This report provides a comprehensive analysis of tour operation management, focusing on the practices and strategies of Thomas Cook, a major player in the international travel and tourism industry. The report begins with an overview of the impact of current trends and developments on the tour operator industry, highlighting the challenges and opportunities faced by companies. It then delves into the stages involved in developing holidays, including market research, planning, and scheduling, as well as different methods of contracting and pricing strategies. The report further examines the process and planning decisions for brochure design, along with non-traditional methods of distributing and selling holiday packages, such as online classifieds and roadshows. Finally, the report analyzes the strategic and tactical decisions made by various types of tour operators, specifically using Thomas Cook as a case study, to understand how they adapt to changing market conditions and consumer preferences. The report emphasizes the importance of strategic planning, effective distribution channels, and customer-centric approaches in achieving success in the competitive tour operation management landscape.

TOUR OPERATION
MANAGEMENT

Table of Contents
INTRODUCTION....................................................................................................................................................3
TASK 1.....................................................................................................................................................................3
1.1 Impact of current and recent trends and development on tour operators industry.......................................3
TASK 2.....................................................................................................................................................................4
2.1 Stages involved in developing holidays........................................................................................................4
2.2 Different methods of contracting..................................................................................................................5
2.3 Selling price of holiday.................................................................................................................................6
TASK 3.....................................................................................................................................................................6
3.1 Process and planning decision for the proposed brochure............................................................................6
3.2 Non traditional method of distribution of sell holiday packages..................................................................7
...........................................................................................................................................................................8
3.3 Different methods of distribution used to sell a holiday for different types of tour operator.......................8
TASK 4.....................................................................................................................................................................9
4.1 Strategic decisions made by different types of tour operator.......................................................................9
4.2 Tactical decisions that could be taken by Thomas cook in different situations.........................................10
CONCLUSION......................................................................................................................................................11
REFERENCES.......................................................................................................................................................12

INTRODUCTION
Tour operation management is consists travel and tourism industry which provide
providing services to their customers. Tour operators are engaged in the business of seeking
out new destinations and keep their customers to attractive places. They are able to attract
large number of customers through offering special packages to them. While providing
services industries are facing various types of challenges and problems regarding and health
and safety of travellers (Goodale, Kuratko, Hornsby and Covin, 2011). The present report is
based on Thomas cook which is international tour and travel company and provide best
quality services to their targeted audiences. In order to improve their performance staff
members of the company have to use plans and strategies for attain their set of target and
objectives as well.
TASK 1
1.1 Impact of current and recent trends and development on tour operators industry.
Tour operation management is related to the tourism sectors. They provide special
holiday packages to their customers and try to attract them as well. Tour operators are play an
important role in selecting the place for customer to spend time in attractive places. Staff
members of Thomas cook have to various types of plans and strategies which help them
attain their goals and objectives and people as well. They provide services of travelling,
accommodation, expensive hotels and much more which are beneficial or according to
comfort of travellers (White, 2016). People choose destinations, on which they to want spend
time and enjoy holidays as well.
Thomas cook providing best holiday packages to people at the law price which are
easily affordable by them and through which companies attain their set of target. Current and
recent is having impact on the travel and tourism sector which provide fruitful return to them.
Organizations facing challenges and problems which are able to reduce their work efficiency.
In this modern era, large number of people are using holiday for spend their time in another
places. With the help of plans and policies companies are able to enhance their performance
and work quality as well. This is the forecasting element which is helpful to them to attain
their long term as well as short goals and objectives (Dodds and Kuehnel, 2010). Every firm
needs to make necessary changes in their service for the development and improvement.

They have to reduce prices and provide special offer in further destination which are easily
retain customers and meet their level of expectations as well (Witt, Brooke and Buckley,
2013). Growth and development is having impact on the existence of travel and tourism
industries which provide an advantage to provide fruitful return.
TASK 2
2.1 Stages involved in developing holidays.
In this modern world, there are various types of steps which are involved in the
creating holidays. Before select destination people have to done market research for the place
which attract them and in which they wants to spend time. Market research provide proper
information about international market and choices of people as well. Whatever the
information they wants to take can easily receive from this factor. They have to frame proper
plans and strategies in order to create and develop holidays. This tool play an important role
in development of travel and tourism sector and try to making proper changes for attain
continuous growth (Bazargan, 2016). They have to maintain their plan within the schedule
which provide proper satisfaction to them and maintain their performance as well.
Organization have to use various types of attractive policies in order to attract their targeted
audiences and try to get an advantage to improve their level of earning and improve profit
margin as well. There are some stages which are opted by people in order to development of
holidays are as aligned below:
Market research- Every person before taking decisions have to opted market research
which are helpful for them to taking corrective decisions (Catlin, Jones and Jones, 2012).
With this factors they can get complete information and data about current market try to use
them in their performance. This stage play an important role in in developing holidays and try
to spend time at the perfect place.
Planning- People have to frame plans and procedures which are beneficial for them
in taking best possible decision. It is the important stage which helpful for them. Formation
of plans and procedure is the forecasting process which is helpful to attain long term as well
as short term goals and objectives.
Schedule- Schedule of every thing is provide an proper process to them to maintain
performance.

2.2 Different methods of contracting.
There are different types of methods of contract which have to be opted by Thomas
cook while providing travelling services to people. They have to expand their services in
across the border (Luis, Dolinskaya and Smilowitz, 2012). They provide various services
such as accommodation, meetings, events and much more. The above mentioned sector is
divided into various parts which are as aligned below:
Adventure- It is including in recent trends and brands in travel and tourism sector. It
can operates strategic partnership among businesses.
Education- Provide some special packages of travel and tourism for school as well as
colleges in order to spend time in trips and holidays. Education brands are included in this.
There are various types of tour operator which are involved in the travel and tourism sector
are as aligned below:
Outbound operator- These types of operators are travel from one country to another
country. Which means the person who is resident of one country but travel to another. This
types of tour operation are also known as international visitors. It consists huge exchange rate
which is able to encourage outbounds operators and not able to encourage inbound. Outbound
packages are including summer holidays which customer easily select and use them as well
for the particular destination which attract them most (Robinson, Heitmann and Dieke,
2011). This type is easily satisfy the needs of travellers and try to attain their level of
expectation as well.
Inbound operators- These types of operators are those who visited as well as travel in
one country and resident of another country. This can able to help country to generate more
return and create more return. These are beneficial for the country which are helpful for them
to maintain performance.
Domestic operators- These types of operation are travel within the country which are
not able to travel across the boundary. They are totally different from outbound and inbound
because they travel out of the national border (Boyle, Scherrer-Rathje and Stuart, 2011).
They are only responsible for the domestic customer from which they belongs.
2.3 Selling price of holiday.
Thomas cook have to maintain their price of packages according to the expectation of
people which easily afford to use them in limited time. Most f the people are select goods and

services which are cheap in process. Usually, cheap in price and high in quality is able to
attract large number of customers and attain their level of expectation as well. Every package
consists different prices which included cost of the company. Prices of the packages is
different according to the level expectation of the people which is beneficial for them
(Moutinho, 2011). Staff members of Thomas cook have to opted various types of methods
and approaches which are beneficial for them. With the help of these methods companies can
easily sale their packages which are helpful in retain people and maintain their performance
as well. Through which organizations are receive better return and enhance their work quality
and improve their performance in international market. Tour operator are have to use their
collective efforts in order to meet their level of expectation. Selling price is depends on the
cost of the company which is fix by the higher authorities.
TASK 3
3.1 Process and planning decision for the proposed brochure.
In order to sale their holiday packages companies are use various types of methods
and activities which are helpful to meet their level of expectation. With the help of brochure
companies can are able to easily communicate which their targeted audiences and provide
proper information to them as well (Lin, Batta, Rogerson, Blatt and Flanigan, 2011). With the
help of this factors companies easily promote their services in international market and try to
interact with large number of customers. Planning is the forecasting process for the firms to
meet their long term as well short term goals and objectives. Through promotion Thomas
cook can enhance their market image and get an advantage to improve their performance. For
the purpose of designing brochure organization may use effective process which are easily
attain by them. The process of presentation of brochure is as follows:
Picture- Companies have to paste some pictures in order to receive attraction of
people. Use description related to travel and tourism sector in photos and try to beautifully
manage in the brochure accordingly.
Use colours to improve image- They have to use bright colour at the time of
preparation of brochure. The selection of colour is play an important role in this process.
Dark and other colours are not looking good in brochures which are looking effective for the
people.

Insert description- People also included description which can be easily readable for
the people and use information which are relevant for them. Also they have to insert some
useful information and data which include various destination which people can select to
spend time in that place (Battini, Boysen and Emde, 2013).
3.2 Non traditional method of distribution of sell holiday packages.
Company use many methods to sale their product. As Thomas cook company is the
most travel and tourism company which sale their product. Company product is the package
of travel and tourism. Company make their package according to customer demand and their
preferences. On their preference company sale their package to different customer. Company
use many distribution channel to sale their product as traditional and non traditional method
of distribution. Non traditional method use by company to increase their sales and
distribution. Company can use these non traditional channel for distribution which is as
follow:-
Free online classified:- It is the better option to company use this channel to
distribute their product. Free online classified refer online distribution of package. This is
very easy concept to distribute package and increase company sale. Company describe about
the package on their website of company and other web site also. Customer can get every
information related to package from the website (Zomerdijk and Voss, 2010). Thomas cook
company easily promote their business and package with the help of online website.
Road show:- Company can establish roadshow to increase their sales. These
roadshow describe bout the information of package. These road show also describe about the
travel and tourism need. At present time travel and tourism have very broad sector in market
which is cover by the many distribution channel. company care bout all distribution channel
to sale an increment in sale of company. Company sale their package and get benefit.
Company want to aware people about travel and tourism sector. If people are fully aware sop
purchase package and use that package.
Theme based show:- Company can establish theme based show to increase sales of
company and provide better framework of company work. Company make understand about
the package an other thing which is related to company product. This refer personal selling.

In this term company can interact with the every customer and describe about the providing
facility of company. Theme based show refer a particular theme and provide a effective
message to their viewers and customers.
Thomas cook company can use all these non distribution channel to increase their
sales in market and get additional benefit in travel and tourism sector. Thomas cook company
should start program related to travel and tourism. This program help organisation to increase
good will of company and also help to increase brand loyalty in market. It work as a
evaluation for company.
3.3 Different methods of distribution used to sell a holiday for different types of tour
operator.
There are various types of methods which can be used by the Thomas cook for the
selling of their holiday packages. Thomas cook use the Omni channel for distribution of their
packages and they also use retail stores, websites or agents for selling. It will helps to provide
various options to the customers and they can also reach to the company from various
medium. But basically Thomas cook use these distribution channel for the distribution of
their package such as:
 E – mail
 Internet
 Telephone
 Retail
 Conventional mail
The above mentioned methods will used by them either directly or indirectly. It will
also help them to increase their sales as well as profits also. It is very common that in the
modern times almost every company use various types of distribution channels to increase
their sales. Specially they go for internet sales the most because it is very popular now days.
Thomas cook can also develop or create strategy to increase their sales of packages. An
effective marketing will also support the selling of Thomas cook.

The different channels also provide the growth and development to the company and
also help them to take the competitive advantage from their competitors. Now days
traditional methods are not used by the company because it is not very effective.
Customers can also e-mail them their booking and they will confirm it by making call
to them. Thomas cook also has website and customers can also book their package on the
websites. They also provide various types of offers to customers if they book through
websites. They will provide them discounts. But those people who do not use internet as
much they can book their package with the help of telephone or retail stores. It is not popular
now days and customers do not get discount or any extra benefits is they use these medium
for bookings.
TASK 4
4.1 Strategic decisions made by different types of tour operator.
Thomas cook can use various types of strategic decisions which are mentioned as
below:
Segmentation, targeting and positioning: Thomas cook can divide the market
according to their choice so that they can fulfil the needs and wants of every type of
customers. It will also help to enhance their profits and they can also take advantage from
their customers (Bonilla Priego, Najera and Font, 2011). It also help to support the marketing
mix. They can also determine their target market so that they can offer their products
accordingly. Just like Thomas cook can divide their market according to geographic,
demographic etc.
Seasonal scenario of tour package: Taste and preferences of the customers can also
depend on the season. Like they go for tour on the summer vacations then that time
customers demand is high. Company can also decide the price of packages according to the
seasons.
Competitive pricing strategy: There are various types of tour operator in the market
who provide better services to their customers. So that if Thomas cook wants to take the
competitive advantage then it is essential for them to decide the prices of packages moderate.
They can also create packages attractively so that more customers attract towards it. The

strategy of the price of Thomas cook also depend on their customers and also they need to
focus that what amount customers are willing to pay.
Innovative promotional strategy: It will also help the Thomas cook to enhance their
profits as well as their reputation in the market. If they use innovative strategies tin
promotions then they can also compete their competitors in the marketplace. An effective
advertisement will also help the company to attract more customers towards them. Company
can also use various types of methods for promotion of their packages such as social media,
electronic media etc.
4.2 Tactical decisions that could be taken by Thomas cook in different situations.
It is also necessary to take decision in every situation so that company can compete
their competitors. Tactical decisions always supports the company to increase their profits
and also helps to reduce the confusion regarding daily matters which is related to Thomas
cook. In tour operator company tactical decision can be related to the transportation. They
also need to maintain the relationship with their stakeholders so that they can improve their
reputation in the market place.
The major problem can arise i.e. lack of coordination in the company. If there is no
co – ordination in the company then it can also affect their profits and sales. So it is necessary
for the manager of Thomas cook to maintain an effective co -ordination in the organisation so
that they can attain the desired goals and objectives and also fulfil the needs and wants of
customers. Tour operator company also provide various effective services to their customers
as result it will help Thomas cook to retain their customers. They can also conduct market
research so that they can gathered information about their other competitors that what prices
they offer to the people. Example : Thomas cook provides Wi-Fi to their customers. The
distribution channel of the Thomas cook is also very effective. Therefore customers can
easily book their packages. They also maintain the quality standards of their products and
services and also they take care properly of their customers. They also communicate with
their customers that will also help them in their development and growth.
CONCLUSION
On the basis of this report that analyse the different activities in the travel and tourism
includes by the Thomas cook group. Its provides the different packages to the visitors in the

natural destinations overall the world. Its use the different type of tourist places to attract the
customers. This company use the different tools and methods to selling its packages like use
the online selling and marketing, newspapers, magazines and radio. Its create the new
marketing and competitive strategy to compare its products to the competitors. Its also
analysis the customer demand in the market.

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Online
Tour Operations Management, 2017. [Online]. Available
through:<http://sk.sagepub.com/books/the-management-of-tourism/n4.xml>.
[Accessed on 27th May 2017].