Comprehensive Report on Tour Operation Management: Strategies & Trends

This report provides a detailed analysis of tour operation management, covering the effects of current trends and developments on the industry. It includes a case study of Kuoni and Trailfinders Ltd., examining the stages and timescales involved in developing holiday packages. The report evaluates planning decisions for brochure design, explores alternatives to traditional brochures, and assesses different distribution methods. Furthermore, it compares strategic and tactical decisions made by various tour operators in the UK, offering a comprehensive overview of the factors influencing their operations and marketing strategies. The document emphasizes the importance of adapting to changing consumer behaviors and leveraging digital tools for effective destination marketing and customer engagement.

Tour operation management
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Contents
Introduction................................................................................................................................2
Task 1.........................................................................................................................................3
P1.1 Analyse the effects of current and recent trends and developments in the tour operators
industry.......................................................................................................................................3
Effects of current and recent trends and developments on the tour operators industry.............3
Task 2.........................................................................................................................................6
Introduction................................................................................................................................6
2.1 Assess the stages and timescales involved in developing holidays.....................................6
2.2 Evaluate the suitability of different methods of contracting for different components of
the holiday and different types of tour operator.........................................................................8
2.3 Calculate the selling price of a holiday from given information below...............................9
Conclusion................................................................................................................................10
Task 3.......................................................................................................................................11
Executive summary..................................................................................................................11
Introduction..............................................................................................................................11
3.1 Evaluate the planning decisions taken for the design of a selected brochure....................12
3.2 Assess the suitability of alternatives to a traditional brochure for different types of tour
operators and recommend the most appropriate for your tour package...................................13
3.3 Evaluate the suitability of different methods of distribution used to sell a holiday for
different types of a tour operator and recommend the most appropriate for your tour package.
..................................................................................................................................................14
Task 4.......................................................................................................................................16
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Executive summary..................................................................................................................16
Introduction..............................................................................................................................16
4.1 Evaluate the strategic decisions made by different types of tour operator........................17
4.2 Compare the tactical decisions that could be taken by a selected tour operator in different
situations..................................................................................................................................18
Conclusion................................................................................................................................19
Conclusion................................................................................................................................20
References................................................................................................................................21
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Introduction
This report helps the reader in knowing the numerous effects of recent as well as latest trends
and development on tour operator industry. Tour operator is defined as a traveling agent who
is specializing in providing holiday packages to the customer. This report also covers the case
study of Kuoni, Trailfinders Ltd. Timescales and stages of holiday packages are analysed in
this report. This report will help in knowing about the planning process to create the
brochure which will help the tour operator to attract different customers. This report will also
assist in knowing about the alternative which traditional brochure have which different tour
operators can use in place of traditional. The different methods of distribution will also
explain in this report which will help the tour operator to choose appropriate channels to
distribute. Different tour operators of UK are using contracting method for increasing rate of
customers. Tactical and strategic decisions are made with respect to different types of a tour
operator.
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Task 1
P1.1 Analyse the effects of current and recent trends and developments in the tour
operators industry.
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Effects of current and
recent trends and
developments on the tour
operators industry
Introduction
This leaflet is created to
understand the effects of
recent and current trends and
developments in the tour
operators industry.
Effects of current and
recent trends and
developments
Destination Marketing-
The destination marketing
is replacing the marketing
which is related to tourism.
The advertising companies
have been hired by the
different operators of tours
for increasing the image of
a particular location so
that it can attract the
tourists. Nowadays it is
taking place in the new
form of media. It has been
referred to the huge reach
by the use of the internet.
Advertising and
promotions are getting
Responsible tourism
According to Schegg, et. al.
(2017), as the travel and
tourism industry is getting
developed in a very effective
manner it is helping the
customers in very efficiently.
The travel industry takes
the responsibility of
providing each and every
facility to the customers
such as breakfast, meals,
rooms, insurance and etc.
All these facilities help
customers in feel free and
safe during their journey
which helps this industry
with positive feedbacks
(Schegg, et. al., 2017). This is
the best way of assuring the
customers for their
satisfaction and relevancy as
well.
Trends to include changing
trends in holidays - Use of
the internet became very
helpful for the people as
Conclusion
In this leaflet, the how travel
and tourism industry is
getting affected has been
described. Most of the points
like destination marketing,
Environmental awareness of
tour operators etc. have been
included to understand it
better.
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done on the larger scale for
different destinations of
tourists. They are getting
the availability to the large
base of the consumers in
the manner which is cost
effective. Increased
attention can also get
provided to the consumers
online, to make it better.
The destination marketing
is continuously changing
with the support of the new
forms of media.
they are able to book their
tickets for the holidays by
their own, for the
destinations they want to.
According to Harris (2017),
it became easy with the help
of customer services, tele-
text and etc. The people are
getting their tickets booked
by their own at the
convenient time and without
facing any kind of
frustration. This process is
been considered as a very
easy and cheap process. IT
helps in saving time and
providing as much as
information to the
customers which they
require. This is affecting the
business of travel agents as
people do not feel interested
to visit their places so far.
From the time when
customers started booking
their tickets online,
Trailfinders Ltd. started to
close their agencies which
are working on streets
(Harris, 2017).
Environmental awareness of
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tour operators- Nowadays
with the help of the internet,
people gets aware of the
environment of the
concerned place, where they
are going. On the internet,
they can get to know about
the entire knowledge of
weather which is happening
at that place. This process
helps people in saving their
time and money in most
efficient manner. People
become able to change their
plans by knowing the
environment of that place
and do not face any bad
experience in terms of
traveling. This information
gets provided by the
customer service sometimes
or it can easily get available
on the different websites.
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Task 2
Introduction
The current report is based on the various stages and timescales required for the development
of holiday. It is important to consider each and every step properly while developing an
effective planning. In addition to this, different types of contracting method and tour operator
are analysed below.
2.1 Assess the stages and timescales involved in developing holidays
Holidays are intended to allow individuals to celebrate an event or cultural significance in an
effective way. Various stages and timescales involved in developing holidays are listed
below:
Market research-Market research can be defined as a first and crucial step which can be done
by Trailfinders for collecting the market information and data along with the demand of
customers. It is important to identify each and every factor which can affect the holiday
package in positive as well in a negative manner. This process can be achieved within 18
days.
Planning- Planning process is a method of combining the market records and information
which picking a destination. The planning process involves 15 days (Cleave, 2018).
Pricing- Pricing of holiday package is the critical step for the tour operator. They have to
develop the cost price by determining the segment of customers. Penetration pricing strategy
can be used by Trailfinders so that customers can easily be able to enjoy their leisure trip at
minimum cost. Pricing can be done within 9 days.
Advertisement- Trailfinders is a famous UK based tour operator. Advertisement of packages
can be done on the official website or social media such as Facebook, Google or other. They
can also post their hoarding or pamphlet in the crowded place for attracting customers.
Advertisement of tour packages can be done in 8 days.
Distribution- Numerous of distribution channel can be used by Trailfinders for the
distribution of their tour packages. They can use direct sell method so that they can easily
take review and opinion of their visitors. This process will require 5 days (Cleave, 2018).
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2.2 Evaluate the suitability of different methods of contracting for different components
of the holiday and different types of tour operator
Different types of tour operators are underneath:
Outbound operators- The outbound tour operators provide a wide range of international tour
packages to their customers. They are familiar with the latest marketing and selling tricks.
Outbound operators used to make a contract so that they will be able to know the arrival of
customers.
Domestic operators- Domestic tour operators provide tour packages within their region. This
type of destination consists of a national park, amusement parks, safari, and others.
Direct sell operators- The direct sell tour operators work in an agency where they can easily
communicate with wide range of customers. This type of tour operator does not require any
intermediate person for the delivery of services and goods (Cruisejobfinder, 2018).
Following are the different types of contracting method:
Fixed Contract- In fixed contract, the tour operator usually books flight tickets before the
journey. By signing the contract, travelers cannot be able to cancel their ticket because the
overall cost cannot be recovered again.
Allocation contract- In allocation contracts, the tour operator is used to book hotel rooms at
the same time off package.
Charters flights- Charter flights are provided to the VIPs or another person who is able to
afford the luxury services and goods.
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2.3 Calculate the selling price of a holiday from given information below.
Details Cost
Per person cost= 96 euro is the cost of a
twin room (shared by two adults)
96*45*1.12
11,289.6
(96*42/2*1.12*5)
luxury coach bus cost comprises of two
drivers, tour manager, fuel and all road
and ferry taxes
11200
Cost of tour guide £945
Overall cost 16,983.40
mark-up value 33%*17305.96 5710.966
Sale price 31,168
Adjustments- -
Given exchange rate= €1.12
Selling price per person of overall tour= 31,168/42 = £742
The overall sale price of the tour package is £ 31,168
Each person is required to pay £742 to the tour operative.
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