Tour Operations Management: Itinerary, Brochure and Pricing Strategies

This report provides a comprehensive overview of tour operations management, focusing on itinerary planning, brochure design, and pricing strategies. The report begins by examining recent trends and developments in the tour operations sector, followed by the preparation of an itinerary for heritage, wildlife, and beach holiday destinations. It details the components of the package, determines the selling price, and designs a brochure for promotion. The report also explores alternative communication methods and evaluates non-traditional distribution methods. Furthermore, it analyzes emerging trends in UK tour operations and examines the differences between tactical and strategic decisions. The assignment includes detailed itineraries with pricing, accommodation, and transportation details for destinations such as London, South America, and Maldives, and concludes with a discussion of pricing strategies and promotional tools like brochures.

Tour Operations Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
ASSIGNMENT 1.............................................................................................................................3
1.1 Recent trends and development in tour operations sector.....................................................3
2.1 & 2.2 Preparing itinerary for heritage plus wildlife and beach holiday.................................4
2.3 Carrying out components and package and determining the selling price............................6
3.1 & 3.2 Design and plan of a brochure and suggestion of alternative methods of
communication and promotion....................................................................................................7
3.3 Evaluating and discussing non-traditional methods of distribution.......................................9
ASSIGNMENT 2.............................................................................................................................9
4.1 Evaluating and analyzing emerging trends in UK tour operation and their responses.........9
4.2 Examining difference between tactical and strategic decision...........................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
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INTRODUCTION
Management of travel and tour is the imperative task under which organization prepares
holiday packages with the detail information related to tour. It attracts visitors across the nation
and enhances sales turnover of tour operators (Baggio and et. al., 2010). The present report is
based on itinerary plan which consists of three holiday destinations that are world heritage sites
such as London and Maldives as well as Africa for wild life attraction. Further, recent trends and
developments in tour and travel sector have been explained. In addition to this, brochure has
been prepared for the distribution purpose which aids to create awareness among visitors. Apart
from this, emerging trends in UK tour operations have been explained along with describing tour
operator’s responses towards the same.
ASSIGNMENT 1
1.1 Recent trends and development in tour operations sector
Currently, travel and tour industry is changing at rapid speed because of changing needs
and preferences of visitors (Cao and Nguyen, 2012). These trends are directly related to food
facility and planning for the trip. In this regard, some of the hotels are planning to sell to sale
home cooked food in order to give local experience. Similarly, wearable technology makes it
possible for visitors to plan their trip. It aids to give good experience to them and also save their
time effectively. Here, Worlds Heritage Sites in London has numerous tourist destinations which
contain special culture or physical significance. It includes heritage attraction such as Cutty Sark,
Royal Obervatory and Tower of London as well as Westminster Abbey. Along with that,
National Martitime Museum and Queen's House also contain history in itself. All these sites
serve as the evidence of history and provide detail information to the number of visitors with
regards to culture and heritage of London (Chen and et. al., 2009).
Wildlife attractions can be seen effective in South America because of more animal
species. It has number of places where visitors can gain rich experience of wildlife. These
destinations of South America include Huilo-Huilo Biological Reserve, Galapagos Islands and
Researva Natural Marasha. Along with that, Manu National Park and Churute Mangroves
Ecological Researva are also included in the popular destinations. It aids to depict beauty of Eco-
tourism that includes forests, rivers and lagoons. This in turn visitors can ensure optimum
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utilization of their time as well as monetary resources spent by them on tourism. The third
selected tropical destination is Maldives which is an island country in the Indian Ocean (Collison
and Spears, 2010). This location is surrounded by the natural beauty of beach which gives good
experience to visitors. Furthermore, Maldives facilitates to attract more couples as the place is
very romantic which gives good experience to newly married couple. Thus, it can be said that
selected different locations are effective for providing good quality services to the visitors.
2.1 & 2.2 Preparing itinerary for heritage plus wildlife and beach holiday
The itinerary plan is made with the consultation of different tour operators and different
tourist destinations. It proves to be effective to enhance sales turnover of tour operators and
attracting visitors towards the same location. Under this, tour operators of London, South
America and India will work with integrity (Francis and et. al., 2008). The integration of all these
tour operators has main motive to provide comfort zone to their visitors. At this juncture, entire
visitors approach at London, where the journey will begin. It aids to meet the requirement of
visitors and enhance their level of satisfaction. Furthermore, travel agencies will be approached
at the same time along with the hotels with good quality of products and services. Accordingly,
services will be rendered to the customers on the basis of their expectation level. Here, plan is
made with special offer of Valentine’s Day. On the basis of special occasion, prices are kept low
so as to increase the attention of visitors towards the attractive location. This plan is basically
made for all kinds of visitors but specially preference to adults or couples.
In addition to this, below mentioned holiday package facilitates to meet the requirement
of number of tourists effectively as this consists of discounting offer (Mak, 2011). Also, hotels
included in the package will also consist a bit of consultation with visitors. It can be said that
plan is made by taking into account preferences of customers. For example, during journey of
London, time schedule can be modified as per the need of tourists.
Location Country/
city
Price Timing/date More detail
Royal
Observatory
London
(Heritage
destinations
)
£1500 From 2th
February-6th
The price includes hotel rent, fare
of local cab and food charges.
Thus, accommodation, transfers
and meals are also included in the
package.
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Westminster Time schedule can be modified in
accordance with the preferences
of visitors.
National
Marttime
Museum
Queen's house
and St
Margaret's
Church
Huilo-Huilo
Biological
Reserve
South
America
(Wild life)
£1100 From 7th to
11th February
Travel charges of plane and local
cab charges are also included in
the price. Hotels and food charges
are also included in the set price.
Visitors can prefer other hotel or
transportation facility if they
require.
Manu National
Park
Schedule of visit will only be
fixed by tour operators.
Researva
Natural
Marasha
Galapagos
Islands
Meedhoo India
(Beach
holiday)
£1300 From 13th to
16 February
It covers hotel, local
transportation and flight charges.
Other facilities like spa and
sightseeing are also offered.
Jumhooree
Maidan
Gan
The above plan depicts one day gap in between the first and second as well as second and
third journey because of time consumed during traveling from South America to India. Also,
sightseeing will be included in the package so as to make visitors feel comfortable and ensure the
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value of their money spent on purchasing holiday package (Mak, 2011). In addition to this, each
country or city will cover at least four destinations. This is what that makes them feel good and
enjoy good quality of services. The most important thing about the plan is coordination among
different parties such as hotels, travel agency and restaurants as well as tour operators of
different destinations (Ritchie and et.al, 2011). In addition to this, different tour operators like
inbound, out bound and domestic and ground tour operators are also involved in making itinerary
plan. These different parties sell their packages to customers for the number of benefits. For
example: inbound tour operator handles and deals in services like insurance, currency,
sightseeing and accommodation as well as transfer. Along with that, transportation and
entertainment facilities are also provided for visitors. They handle work related to the selection
of destinations and providing appropriate services to visit exactly as per the customer’s demand.
In this way, all tour operators work with the integration so as to meet the expectations of visitors
in an effectual manner (Sigala, 2010).
2.3 Carrying out components package and determining the selling price
Cost is the most imperative aspect while setting price of destination or tour package. The
term cost is the basic value of service. Certain margin of profit is added to cost in order to set
right price. However, the price of services is set by taking into account the special offer. It
includes cost of transportation facility, hotels charges, meals and accommodation (Tripathi,
Choudhary and Agrawal, 2010). All these services are based on total cost of £3000 in which
margin of profit is added. However, the cost of different destination also has different tax which
needs to be paid by visitors. Owing to this, it is very important for tour operators to assess cost
associated with package and accordingly keep portion of profit aside. It enables tour operators to
enhance sales turnover as well as profitability.
Destinations Selling price
London (Heritage destinations) £1500
South America (Wild life) £1100
India (Beach holiday) £1300
Total 3800
Furthermore, there are several kinds of prices that are charged for products and services.
These pricing strategies can be one of competitive, special offer and seasonal as well as
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skimming pricing. However, tour operators generally use special offers and seasonal prices.
Reason behind selecting such kind of price is to create psychological effect among visitors. It
enables corporation to increase customer’s base and create competitive edge of tour operator in
the marketplace (Tsiotsou and Ratten, 2010). For example, South America can offer low price
during winter because of off season. It is because South America is a bit cold place during the
winter season. On the other hand, during special occasions, London and other areas offer
services or package at very low prices. It enables visitors to take quick purchase decision. Thus,
cost component is the main priority while setting price of services and then accordingly other
factors are considered.
3.1 & 3.2 Designing and planning brochure and suggestion of alternative methods of
communication and promotion
Brochure refers to effective tool for the promotion of travel services. It assists
management of Thomas cook to present its services in front of large number of visitors. Further,
this tool helps in capturing the attention of potential customers (Vance and et.al., 2011).
Brochures are cost effective method of marketing but it creates a long lasting impact in the minds
of consumer. Moreover, this tool is prepared in an attractive manner which influences the
existing as well as potential customers. Brochures helped the Thomas Cook to market its brand
in order to attract the customers in the most effective manner. The brochure of Thomas Cook for
the proposed trip is as follows:
Destinations included in the package-
Hurry Up. Place your booking
Log in to www.thomascook.in
Or call us: 1800 2099 100 (8 am to 8 pm)
London-Heritage attraction
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South America-Wild life
Maldives-Beach Holiday
The package will include:
Traveling around ancient cities
Breakfast, lunch and dinner
Nearest luxury hotels for accommodation
Return plus comfortable airport transfer
Comfortable local transportation facilities
This Brochure describes that Thomas Cook has proposed a trip on the occasion of
Valentine. This trip is especially targeted for couples. It consists of 15 days trip which includes
three destinations that is London, South America and Maldives. Further, this package includes all
the amenities and type of holiday trip. Cultural tour, leisure tour and wildlife trip is included
(Bhatia, 2012). Moreover, this package includes three time meal, luxury hotel accommodation,
air trip, transportation facility, etc. This package has been designed in order to provide a hassle
free trip to the couple.
As it is known that brochure is an effective way to communicate visitor about the trip and
packages. However, this medium of communication has become traditional and there is an
evolution of more effective methods which can also assist company in attracting potential or
existing customers (Black and Crabtree, 2007). Alternative mediums are social networking sites
because there is an extensive use of such sites. Hence, Thomas Cook can create their page on
Facebook and Twitter and offer such trips along with the vouchers and referral amount. This will
attract the customer in a more effective manner. Moreover, mobile application of Thomas Cook
can also be created and provided on the Android or IOS phones. Thus, that app can help in
promotion by using websites and brochures on social media which will help in creating
awareness about the upcoming trip packages, customized trips, etc. These non-traditional
methods of marketing can enhance the promotion of proposed packages which is targeted to the
couple (Evans and et. al., 2012). Further, these designed brochures can be promoted on the
website of Thomas Cook, other tourism website, on social networking page, etc. Traditional
method of communication can be promoted in a non-traditional method so that effectiveness can
be increased and these way customers will get attracted more. It means that these designed
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brochures can be promoted on social networking sites and websites along with that a hard copy
should also be distributed in an outlet of Thomas Cook in various countries.
3.3 Evaluating and discussing non-traditional methods of distribution
There are several non-traditional methods of distribution through which holiday package
can be sold out in the marketplace.
These methods are explained as follows- Direct mail- It is another method of distribution under which company directly sends
mail to list of visitors. It facilitates to provide direct information to end users of services
so that they can effectively make purchase decision (Hudson, 2008). Furthermore, direct
mail is also an effective to way to let visitors know regarding special offer, discount and
other important details related to specific tour packages. Furthermore, copy of brochure is
sent to prospective buyers by direct mail so as to enhance sales turnover and increase
customer base. Social sites- This is most popular non traditional method to communicate with large
number of prospective buyers. Here, social sites like Facebook, Twitter can be used to
approach buyers (Lockyer, 2013). By using any of the social sites, tour operators impart
information about their holiday packages. It enables them to access services offered by
firm. Not only this, but with the help of social sites company get feedback of tourists and
makes it possible for them to access right kind of services on right time. The main
advantage of this site is to inform number of prospective visitors at the same time. It also
helps visitors to influence and plan for purchasing holiday package (Robinson, 2009).
 Travel agencies- This is the most effective method under which tour operator remain in
contact with travel agencies through phone or using internet (Stabler and et. al., 2009).
This is because travel agencies can promote services and can distribute brochure in plane
when passenger travel. Furthermore, travel agent works on the basis of commission so as
to get mutual benefits.
ASSIGNMENT 2
4.1 Evaluating and analyzing emerging trends in UK tour operation and their responses
According to the first assignment, it has been found that visitors are shifting towards
tourist attractions like Eco-tourism and natural adventure. It facilitates them to increase sales
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turnover of tour operations in order to create competitive edge in the marketplace. Furthermore,
visitors tend to focus on location which aid to satisfy their need in cost effective manner
(GRAGG, 2009). Owing to this, tourists are provided with special offers and discount on the
price of services. However, it is very important for tour operators to assess the demand and
preferences of visitors by conducting proper research activities. By doing this, tour operator
come to know about kind of modifications that are required in the current product and services.
On the other hand, some uncontrollable issues like political and legal factors reduced the
purchasing power of buyers. At this juncture, tour operator like Thomas cook faces issues in
increasing sales turnover. On the other hand, increasing competition and changing technological
pace are also the major issues.
In order to resolve aforementioned challenges and emerging trends, Thomas Cook shifted
its target to make more effective holiday packages by focusing on younger population. Similarly,
families were targeted by offering more additional services (The UK tour operator market,
2014). This aspects lead to increase the attention of buyers towards holiday packages offer by
firm. Furthermore, management of tour operator decided to promote services by using updated
technologies such as internet and social media. Accordingly, brochure are planned and
distributed in the target market so as to attract number of visitors across the world. Apart from
this, upgraded technologies increase the attention of buyers due to having looked on special
offers and attractive services in affordable price. Likewise, up gradation in the technology made
it effective for the company to take feedback of visitors. This in turn supports the tour operator to
give response to emerging change in right manner and create competitive edge in the
marketplace (Mak, 2011).
4.2 Examining difference between tactical and strategic decision
Both tactical and strategic decisions are important for ascertaining future growth of
corporation in the marketplace. Here, tactical decision is made to implement strategy whereas
strategic decision is taken to give upward move to company (Sigala, 2010). Similarly,
management of Thomas cook takes tactical decision by arranging necessary resources in order to
implement plan of attracting large number of buyers. Furthermore, strategies are made to expand
business, setting prices of products and services and selecting alternative ways to increase
customer base. For example, when basic aim of tour operator is to increase visitors' base then
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focus will be laid on adopting effective marketing strategies. In this regard, company will
prepare traditional and non-traditional sort of communication modes to create awareness among
public related to holiday package. Here, the attraction of buyers can be gained by offering low
prices or giving special offer or offering for additional facilities along with packages. Tactical
decision for them is taken by appointing right kind of person for implementation of right strategy
and allocating financial as well as non-financial resources for the strategy (Chen and et. al.,
2009). In the above mentioned plan, tactical decision is made by making plan and setting special
offer on the package. However, this strategy is followed by the aim of attracting large number of
visitors. In addition to this, Thomas cook and other tour operations of UK adopted social media
marketing and other related strategies just to stay in touch with consumers. This step proves to be
effective because of change in the current services in accordance with feedback of visitors
(Vance and et.al., 2011). It shows that above mentioned plan could have tactical decision
strategy related to distribution or promotion of itinerary plan. Similarly, research could be done
to assess the exact requirement of buyers. Apart from this, plan could have been focused on
specific segments like couples, families and others.
CONCLUSION
The aforementioned report concludes that management of travel and tourism need active
integration of different parties like hotels, tour operators and travel agencies. It facilitates to
prepare effective tour package and provide detail information to visitors accordingly. It can also
be said that social media marketing and other attractive ways of non-traditional methods
facilitate to enhance sales turnover of the company to a great extent. This is because of visitors
who can easily book their trip. In addition to this, tactical decisions play imperative role in
formulating effective strategies and executing the same in order to carry out organization
objectives in an effectual manner.
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REFERENCES
Journals and books
Baggio, R. and et. al., 2010. Improving tourism destination governance: a complexity science
approach. Tourism Review. 65 (4). pp.51 – 60.
Bhatia, A, K., 2012. The Bussiness of Travel Agency and Tour Operations Management. Sterling
publishes.
Black, R. and Crabtree, A., 2007. Quality Assurance and Certification in Ecotourism. CABI.
Cao, T, D. and Nguyen, Q., 2012. Semantic approach to travel information search and itinerary
recommendation. International Journal of Web Information Systems. 8 (3). pp.256 –
277.
Chen, G, L. and et. al., 2009. In-depth tourism's influences on service innovation. International
Journal of Culture, Tourism and Hospitality Research. 3 (4). pp.326 – 336.
Collison, F, M. and Spears, D, L., 2010. Marketing cultural and heritage tourism: the Marshall
Islands. International Journal of Culture, Tourism and Hospitality Research. 4 (2).
pp.130 – 142.
Evans, N. and et. al., 2012. Strategic Management for Travel and Tourism. Taylor & Francis.
Francis, M. and et. al., 2008. Value chain analysis in the UK beef foodservice sector. Supply
Chain Management: An International Journal. 13(1). pp.83 – 91.
Hudson, S., 2008. Tourism and Hospitality Marketing: A Global Perspective. SAGE.
Lockyer, T. L. G., 2013. Global Cases on Hospitality Industry. Routledge.
Mak, B. L. M., 2011. ISO certification in the tour operator sector. International Journal of
Contemporary Hospitality Management. 23 (1). pp.115-130.
Ritchie, J, R. and et.al, 2011. Tourism experience management research: Emergence, evolution
and future directions. International Journal of Contemporary Hospitality Management.
23 (4). pp.419 – 438.
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