Tour Operations Management Report: Trends, Strategies, and Planning

This report provides a comprehensive overview of tour operations management, focusing on the analysis of Trail Finder, a UK and Ireland-based travel company. The report examines the impact of current trends like globalization and changing consumer demands on the tour industry. It details the stages involved in developing holiday packages, including itinerary planning, contracting methods (sales and fixed contracts), and pricing strategies for a family's six-month trip. The report evaluates traditional brochure planning and explores digital alternatives like websites and social media, along with different distribution methods for selling holiday packages. Strategic and tactical decisions made by tour operators are also discussed, providing insights into adapting to industry changes and meeting customer expectations effectively. The report covers various aspects of tour operations, from the initial research phase to the execution of holiday packages, emphasizing the importance of market analysis, promotional strategies, and adapting to the digital era.

Tour Operations
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Effect of current and recent trends and development in tour industry..................................1
TASK 2............................................................................................................................................2
2.1 Time scale and stages involved in developing holidays.......................................................2
2.2 Different methods of contracting for various elements of the holiday and types of tour
operator.......................................................................................................................................3
2.3 Selling price for holiday packages........................................................................................4
TASK 3............................................................................................................................................4
3.1 Evaluation of planning for preparing brochure.....................................................................4
3.2 Alternatives to a traditional brochure for different types of tour operator............................5
3.3 Different methods of distribution used to sell holiday package............................................6
TASK 4............................................................................................................................................7
4.1 Strategic decisions made by different types of tour operator................................................7
4.2 Tactical decisions taken by tour operator in various situations............................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Tour business runs in society and there is requirement of policies which help to provide
better satisfaction to consumer. As per change in plans and policies due to alteration in external
forces. It is essential to know what can be done to achieve targets in pre determined time.
Touring is much more preferable these days (Allahyari, Salari and Vigo, 2015). As they have to
analyse market and know demand of customer which help to achieve high profits. Tourist visit
various places so it is essential that tour operator has to provide best services which give them
best memories ever. While touring there is requirement of different services such as
transportation, accommodation, food facility, communication, etc. in this report there is
discussion about Trail Finder which is situated in UK and Ireland. This is one of the biggest
travel company. In this report there is discussion about tour operator industry, stages for creating
holiday packages, cost incurred for making tour business.
TASK 1
1.1 Effect of current and recent trends and development in tour industry
There are variety of changes which are taking place in tour business. This is sector which
is changing very fastly. It is important to know what can be done to achieve goals and objectives.
There are possibilities that if manager of Trail Finder does not take actions to adapted new
policies, then they become out of run and customer does not want to avail service from them.
There is change in demand of society as compared to older days. New trends if are followed by
company are as follows-
Globalization- These days people do not want to visit repeated places as initial days.
There approach is to visit different parts of world. This helps to perform activities which are
affecting business operations. Glottalization means whole world is considered as single units.
But initial days there are some specific places which are common and hence tour operates also
have limited options (Bagan and et. al., 2013).
Variations in demand- There is difference in demand of customer as per purpose. These
days every age group wants to visit different parts of country. So variation in demand means to
perform activities which are related to achieving targets in better and effective way. Manager of
Trailer Finder has to make policies through which demand of customer get satisfied.
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Various purpose of visit- As comparison to older days there is difference in visiting
purpose of visiting destination such as business, family, educational tour, etc. while in older days
it is not in trend. It is important to judge what can be done and how it can be achieved.
TASK 2
2.1 Time scale and stages involved in developing holidays
To make plans for achieving business in better and effective way (Bhatia, 2012). There
is requirement of proper planning. As per change in plans and polices, there must be alternation
in actions. Times scale is the time which are required to be followed by manager to make plans
and policies. Manager of Trail Finder must keep eyes on working style of workers to know
whether they are working as per standards or not. In case of negative results actions must be
taken.
ITINERARY- For 6 months
Place Days Activities Date of reach
Bangkok 1-40 days At this place they have
to visit various
historical and natural
resources with family
and friends.
1st May-20th 2018
Tokyo 40- 100 days This place is famous
from movie Fast and
Furious. People have
mind set related to
adventure and darimng
task. Car races, night
life of Tokyo is famous
so they must visit in for
longer duration.
10th June 2018
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Kyoto 100- 180 days This is small city near
Bangkok. There are
various places which
are famous for animal,
creatures, etc.
7th of August 2018
Stages of developing plans are-
 In first step there is requirement of research as per purpose of visiting. There are many
factors which has to be undertaken while thinking about destination such as budget, time,
etc.
 Then itinerary will be developed which helps to make actions which are related to
actions. This must be developed by manager after analysing market trends (Chaumont
and Yor, M., 2012).
 In making itinerary there is requirement of funds, so it is essential to know what price is
required. After determining price promotion must be there for targeted consumer.
 In last this plan must b e executed and manager of Trail Finder has to keep eyes on
actions, so positive results can be achieved.
2.2 Different methods of contracting for various elements of the holiday and types of tour
operator
There are various methods which has to be used by Trail Finder to analyse market and
this affects business in effective and efficient manner. As per requirement company has to select
source so this can achieve targets in better and effective way. Sources selected by Trail Finder
are as follows-
Sales contract- In this contract there are services as per requirement of customer. In
above mentioned case, family wants to visit for 6 months and they have 3 destinations. In this
case they can modify plans as per their requirement. This approach is beneficial for people who
want to visit places as per their choice.
Fixed contract- This contract have rigid nature. In this case, Trail Finder sale what they
have. Preference of customer is at least priority (Dodds and Kuehnel, 2010). These contracts are
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preferable in case of business and educational tour. But as per current scenario, they are less
preferable by society.
It is advisable for family to prefer sales contract. In this contract they can modify plans
and policies as per their choice. There can travel as per their convenience.
2.3 Selling price for holiday packages
Family is thinking to visit places for 6 months. They prefer to travel through economic class and
travel through economic class Air-plane. The tour is planned for five people for three months and
cost for whole visit is as under-
Type of Expenditures Total Expenses
Stay for 5 Persons 60000 Thai-Bhat
Meal expenses 50000 Thai-Bhat
Accommodation 20000 Thai-Bhat
Transportation fee 70000 Thai-Bhat
Expected Tax rate @ 25% 50000 Thai-Bhat
Total Expenditure 2500000 Thai-Bhat
In this family two people are sharing same room while three children are sharing one
room. Thai-Bhat is currency of Thailand.
 Total expenditure for all five persons are = 2500000 Thai-Bhat.
 Cost of holiday for per person cost is 2500000/5 = 500000 Thai-Bhat.
TASK 3
3.1 Evaluation of planning for preparing brochure
While making policies for tour business, it is essential to make strategies which are
helpful in satisfying need of customer as well as company (Erdoğan, Laporte and Calvo, 2014).
There is change in perception of workers, so it is essential to analyse sources and then adopt best
among them. There are many alterations happening in demand which can be satisfied if plans are
more flexible. Trailer can issue brochure which help to advertisement offers provided by
company. There are chances that due to change in plans and policies. There is requirement of
factors through which more and more people can aware about services. Brochure is written
advertisement in which there is discussion about change in demand and this helps to analyse
market and hence this helps to achieve targets ion effective way.
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In brochure mainly there is highlights of policies which shows offers and discounts. Cost
of brochure is high as compared to other means and this is not as fruitful as others. This method
is impersonal so it is not possible to interact with customer. Designing of brochure is one of the
most important task in Trailer Finder. So they appoint special personnel for it.
Reason for issuing brochure- It is important to know reason behind issuing brochure.
After this planning will be done accordingly. When there is season of vacation, Trailer Finder
must form brochure. Through this division of workers is possible and management can plan
similar activities for all (Fei and et. al., 2014).
Format of brochure- Preparation of brochure is easy as there is some specified things
which has to included. As brochure is the element which helps company to deliver information
related to their services. So it is essential to work accordingly. Services availed, time of residing,
name of tour operator, accommodation and meal facility, etc. are required to b present in
brochure.
Budgeting and selection of target market- While making brochure, there is requirement
of funds. There is some specified amount spend on it, so manager must work after proper
analysis. So there must not increment in cost. While selecting matter to be involved in brochure,
it is essential to know who are target persons. This helps to grab opportunities present in market.
Brochure must be attractive, so they have can attract them.
Time scale of completion of stages- This is the document which is required for
promoting activities. There must be some specified time set to complete research related to
brochure. This responsibility of manager to work and analyse activities, hence there will not halt
in promotional events.
3.2 Alternatives to a traditional brochure for different types of tour operator
Today is era of digitalisation (Figliozzi, 2010). Trailer Finder is thinking to work
according to recent market. As tour business has much scope is more, hence there is more
competition. There are changes taking place in business operations. Through digitalisation it is
easy to contact more people at one time. There are many elements which has to be used and then
this is effective to generate knowledge about demand of customer.
Through modern means there is clear communication between employer and client and
this helps to know what can be done to satisfy them. Through this there will frequent solution of
query and client can know about product and services while sitting at one place. If company
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switches to modern means of communication, then they can improve their image in industry.
Traditional brochure can be replaced by traditional brochure are-
 Official website
 Social media
 Online brochure
 Mobile application
 E- brochure
 Social media
 travel agents and call centres
These are some ways which are better than traditional brochure. Through large number of
people can covered and due to alteration in policies, there is direct contact between customer and
Trail Finder. Selection of source depends on budget specified by management. Above mentioned
options are accessible by 24*7, so customer can use it number of times (Flores-Garza and et. al.,
2017). In case of online brochure, mobile application, etc. it has to be updated timely, so proper
and correct information can be gathered.
3.3 Different methods of distribution used to sell holiday package
Apart from above discussed online ways, there are some other approaches which can be
used by management of Trail Finder to know what can be done and how is it effective. As in
case of brochure and other approaches, these does not create personal relations with customer.
There are some problems which can be effective to know what can be done in order to increase
sales (Milanfar, 2013). As there is requirement of proper planning which help to achieve set
targets on time. There are possibilities that due to alteration ion facts and finding, manager has to
alter strategies. This can be done if they frame polices which are flexible. Planning helps to
create an guidelines map which help to perform activities in better are effective way. Workers
are aware of changes taking place in business, they can perform actions in effective way. Some
measures are discussed which can be used in place of brochure and other digital tools-
Direct sales- In this options, sales personnel is present to tell about tour packagers. In this
case it is not possible to cover large number of people. There is face to face contact between
employer and client, so sales personnel must have complete knowledge about product and
services (Frenzel and Blakeman, 2015). Due to use of this option manager can use factors which
are efficient in achieving targets and this helps to know what improvement can be done.
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Hiring Agents- This is the option in which out sourcing is done. There is an agency
which help in delivering information related to company. There are possibilities that due to
alteration ion factors they can achieve targets in better and effective way. There is some
commission charged by agent, they promote tour packages of Trail Finder to customers who visit
the. They work as link between company an d client, in case of any extra services or any other
type of feedback or views they can be known.
Telephonic services- In this option, there is use of telephone to contact with employees
and this is effective as problems can be resolved frequently. In case customer wants tour
package of less tenure. Through telephonic media they can tell them about budget, etc. SMS,
Whatsapp, etc. are used to analyse market (Gibson, 2012).
TASK 4
4.1 Strategic decisions made by different types of tour operator
There is much competition in tour and travel business. Thomas Cook, Kuoni, etc. are core
competitors. It is important to analyse their strategies which help to achieve targets in specified
way. These days people are more like to visit places for different purpose, so manager of Trail
Finder has to make strategies which can be modified in case of need. Employees must motivated
to work under changed environment, so in case of alteration in plans and policies, they can work
with same energy (Mak, 2011). There are many decisions which has to taken by mangers in
order to get positive results. There is planning related to how much should be spended on what
and taking them in better and effective way. There are possibilities that due to change in actions
company may get positive or negative results. Some mandatory decision which has to be taken
by tour operator are as follow-
Demand forecast- This is the prime responsibility which helps to know how much
people can avail touring facility. Through this estimation, manager off Trail Finder can make
estimation of budget and other related aspects. It is important to work with other factors which
make company to achieve targets in better way. Through forecasting manger can think to
resources which ah to be availed.
STP analyse- STP stands for segmentation, targeting and positioning of customers. In
tour business there are various types of customers who want to achieve targets in better and
effective way (Ha and et. al., 2013). In STP customers are dividing into various groups and this
helps to analyse market in effective way. Business purpose, family trips, etc. are the motto of
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people, so there is their tenure and budget. With STP they can provide better service to same
group of people.
Discount pricing strategy- Tour business has some season in which people prefer to visit
different places. At this time to increase sales an d profit manager of Trail Finder has to make
alterations in prices of tour packages. They must give discounts in way which helps them to
analyse market in better and effective way.
Risk management- There are various types of risk which are attached with business. It is
essential to work with changed business environment (KhairatP0F and Maher, A., 2012). There
is requirement of various types of resources which are availed from nature and in case it was
applied to business after its trend is out, then it gives risk.
Pricing and promotional strategy- Price is main factor which affects customer demand.
Manager of Trail Finder must use factors which help to reduce cost and at the same time
promotional activities must be planned in effective way. It is important to know which sources
can be used to promote tour plans and policies (Lopes, Souza and da Cunha, 2013).
4.2 Tactical decisions taken by tour operator in various situations
Tactical decisions are taken by company in order to achieve targets in better and effective
way. There is requirement of policies through which they can achieve targets in better and
effective way. Sometimes some small problems may be faced b y employees and they affects
business operations. In this case, there is requirement of delivering some authority which help to
analyse market and hence they need not be contact top level management for every task. In
business environment many alterations are taking place, so it is important to know what can be
done to overcome them.
In tour and travel, satisfaction of customer demand is one key through which growth of
business is possible (Lee, Kim, and Park, 2013). For e.g. while customer is visiting destination
and there is change in their demand. In this case, organisation has to provide asked services by
customer and then this makes customer feel comfortable.
Promotional activities is done by R&D department of Trail Finder is one of the best
example of tactical decision. These decisions help company to achieve profits and have good
image in industry. While changing technology, views of workers must be taken , so it is
beneficial for achieving targets. Tour business has off season, so at such time they can plan to
target youngsters, college going crowd, etc. which help to analyse market inn better and effective
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way. While making policies, it is essential to have good foreign exchange facility. It helps in
providing satisfaction to customer.
CONCLUSION
From this report it is clear that company has to analyse market so they can give bes
services. These days there is change in demand of customer so they have to prepare plans which
are customised. There are many policies which are framed for customer. While making tourist
plans, management must keep cost of services low, this helps to attract more and more customer.
Trends of tourist destination is changing very rapidly, so it is responsibility of management to
adopt them. While making plans for customer, cost related to providing services to them such as
accommodation, transportation, etc. There are factors which may affect business operations. As
there is discussion about tour package for 6 months, so this must be customised. This helps to
make changes in effective and efficient manner. There are different purpose for which consumer
want to visit places such as family trip, business trips, honeymoon packages, etc. in such cases
facility differ, so cost also differs.
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REFERENCES
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little action. International Journal of Contemporary Hospitality Management. 22(2).
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