Tour Operations Management: Trends, Strategies and Calculations

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This report provides an in-depth analysis of tour operations management, examining the effects of current trends and developments on the industry, including inbound, outbound, domestic, and ground operators. It explores the stages and timescales involved in holiday development, detailing market analysis, scheduling, forecasting, contracting, pricing, design, and implementation. The report further investigates different methods of contracting for holiday components and calculates the selling price of a holiday package. It evaluates planning decisions for brochure design, considering alternatives to traditional brochures. The report concludes by comparing and evaluating various strategic and tactical decisions that tour operators can take, using Trailfinders Ltd. as an example, covering aspects such as fixed contracts and sales contracts.
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Tour Operations Management
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Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 Effects of current and recent trends and developments on the tour operators industry.......3
TASK 2............................................................................................................................................5
2.1 stages and timescales involved in developing holidays........................................................5
2.2 different methods of contracting for different components of the holiday...........................6
2.3 Calculate the selling price of a holiday ................................................................................7
TASK 3............................................................................................................................................8
3.1 Evaluate the planning decisions taken for the design of a brochure.....................................8
3.2 Suitability of alternatives to a traditional brochure for different types of tour operator ....10
3.3 the suitability of alternatives to a traditional brochure for different types of tour operators
and recommend the most appropriate for your tour package....................................................11
TASK 4..........................................................................................................................................12
4. 1. Strategies by Tour Operators............................................................................................12
4.2 Compare the tactical decision that could be taken by a tour operators. .............................13
CONCLUSION:.............................................................................................................................14
REFERENCES:.............................................................................................................................16
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INTRODUCTION
Tour operation management gain understands on the tour operator industry and
creating various holiday packages , decision making or advertisement or promotion method.
Tour operator plays a various role for making different travel experience of a person (Wong, and
Trautrims, 2017).This study is briefly about the effects of current and recent trends and
developments on the tour operators industry also the stages and timescales involved in
developing holidays. Move rover discussed about the planning decisions taken for the design of
a selected brochure the tactical decisions that could be taken by a selected tour operator in
different situations For present report organisation is Trailfinders Ltd.
TASK 1
1.1 Effects of current and recent trends and developments on the tour operators industry.
There are many importance for effective tour operator. It changes customer mind , taste
and preference. Current trends changes the different services of different area that have
corrective operational management . Different effects have various changes for tour packages
services . Customer attract those tour plan which have according to changes in current scenario
. Some particular services in tour management is didn't changes for stability for business . Its
effects of business that have to selective business in different development. There are many tour
operate that is as follows:
Inbound – This operators is basically for deal with different country for foreign tourist.
It helps to represent themselves like a host. Its effective services is transfer ,
transportation, accommodation , entertainment,sightseeing , insurance services currency
etc. this operators create holiday package for tourist so that tailoring it to individual need
and requirements for the business of tour management .
Outbound – it is external specialized operator. It provides external services in different
services in tour management (Roy, and et.al., 2018). The promote and create of
multinational tours. Outbound operate offers packages for individual or group of his own
nation to another nation that have specified period
Domestic – this type of tour operator have boundaries of their country . Domestic
operator helps to promote beauty culture and different areas that is diversity of country
according with customer choice and interest . This have limited service in particular for
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domestic country that have to appropriate segments of tour management. Its effects that
themselves for the country that have effective theory for the organisation (Redjem, and
Marcon, 2016).It effects that business of the corrective effectiveness of business that have
to regular et of business.
Ground -destination management companies have to operator with ground sector .in this
considered for op-rating business that behave for effective business in ground
management . In this operator have to operate business that have to appropriate business
in different sector
Recent trend in tour operator industry
Technology – advancement of technology, the tourism industry development a lot . It
provided customer with the technicalities like online booking , development of mobile
application ,etc which provided technologies in different countries , its included the
technical term that has to provide of business that have to approved the business that have
to appropriate the business that have creating the technical term of organisation .
Globalisation – it has brought different part of the world together . It influenced the
people of different parts of the world to travel in countries which is increasing the
opportunities for tour operations in different countries .
Customisation of product – different services in tours have various segment that
Atherton customised . It helps for they customer taste and preference that have to
approachable thing I the organisation that have to creating services . It customised in
services on tour management (Wong, Burgin, and Hardiman, 2015. ) It helps for the
effective segment that will be appropriate sector on the organisation effectiveness that
have to selective equation .
Increasing customer satisfaction - The customer loyalty and satisfaction has incised
because of variety of quality of quality products and services provided by the four
procurator. It improves the business with the effective way of tour operating management
services , it helps for the selection of management that have to provided function of
management that creating the level of selective method
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TASK 2
2.1 stages and timescales involved in developing holidays.
Brochures – travel industries need to changes in new methods of upgrading of business .
effective presentation that affect customer taste and preference that helps for upgrading
business for tour management. Effective marketing plane make holidays and packages in
different countries that have to make corrective position of market structure . Trailfinders adopts
all factors of plan like discounts selective prices . It is effective marketing strategies adopt for
effectively use for corrective business that have to collecting strategies have to creating. Its
effect for the tourism for creating thresh that have to appropriate the commercial threat of the
organisation that have to effective thresh have for selective information of organisation .
Success packages that have to appropriate the section of the organisation that have to variable
need of selective behaviour for they organisation . It helps for the organisation corrective things
that variable need of organisation .
Market analysis – tour management helps for effective tour market analytical condition . Thye
prices of competitors choices has effective on competitive advantage . Tour industry also need
to consider the all necessary change with makes plans .
Scheduling – the process of scheduling in tour management helps to company takes all
information about colleges and makes checklist for all the activities. It helps for the customer
scheduling services for the effective information of organisation. It improves the organisation
that helps for effective information of organisation.
Forecasting – information about prices of tour operators with other company and its provide the
estimated prices to the clients . It takes proceed that clients have related packages of prices that
they chose by its taste and preferences .
Contracting – this concept they constant with transportation , hotels company has to evaluated
for the company organisation equation of relating effectiveness. Activities of tour management
that customer want its preference that have to appropriate selection of the markets relating
services that have to be contracting
Pricing – in this steps companies decide the prices for accoin this step helps to implements all
the stage in particular segment which Redjem, and Marcon, 2016have to variable selective
behaviour that electroactive nature of effective .mmodation in tour which customer have selected
. It helps for effective ways for the pricing correctiveness of organisation.
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Design – This sept company mention design with have full details about the tourism for
effective situation on organisation that have to appropriate. Its helps for effectively set up in
customer mind .
Implementation – in this step helps to implements all the stage in particular segment which
have to variable selective behaviour that electroactive nature of effective .
2.2 different methods of contracting for different components of the holiday
Inbound – This operators is basically for deal with different country for foreign tourist. It
helps to represent themselves like a host. Its effective services is transfer , transportation,
accommodation , entertainment,sightseeing , insurance services currency etc. this
operators create holiday package for tourist so that tailoring it to individual need and
requirements for the business of tour management .
Outbound – it is external specialized operator. It provides external services in different
services in tour management. The promote and create of multinational tours. Outbound
operate offers packages for individual or group of his own nation to another nation that
have specified period out bond period have to appropriate the organisation effective
ways for the selective method of organisation that have for effectively use
Domestic – this type of tour operator have boundaries of their country . Domestic
operator helps to promote beauty culture and different areas that is diversity of country
according with customer choice and interest (Redjem, and Marcon, 2016). This have
limited service in particular for domestic country that have to appropriate segments of
tour management.
Specialist tour operator - this concept have pre-defined tour package but develop
according to customer package. In this have to appropriate of the organisation that have
to creating the level of organisation they havoc to selective ways of the organisation in
specialised that have to take organisation for the effective ways that selective ways for
effective. Its management of organisation that have to appropriate for the organisation
equation of market structure that achieve to relating and its effective ways for correction
in organisation
1. fixed contract – in this contract it will helps for pre-booking when people have groups will
already have their booking. Its offers discounts to people .customer attract this have to
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discounting that have to appropriates things have for particular situation on the selective methods
of organisation . Wastage of money and time as sometimes only few people are involve in this .
2. sale only contracts – in this contract is identifying requirement of clients and its important
in seasonal time ( Kerzner, and Kerzner, 2017). It involve cost estimation , duration of tour,
number of members etc. this is development of number of people who is ready b to go for tour
that have for contracting the level for the organisation . Its effective ways for the finding solution
of market realign service of tour management different countries
2.3 Calculate the selling price of a holiday
Selling prices is important for proper estimation of tour package and it becomes flexible
for customer in totality . It provides that it becomes for customer decided whether to choose
available offer or not . It is important for tour operate that defines customer prices to customer
and analysing charged by their competitors (Espino-Rodríguez, and Gil-Padilla, 2015) .
Recognised high quality services will be less as compared will be less as package . It is
important to know about selling prices that is effective user on tour . It helps to sustain the
profitably in different package in tour management
Trailfinders will adopt several methods to design the quality packages of 45 students. The
expenses are in the Euro and pound. The exchange rate considered as 1 Euro is equal to the 0.85
pounds.
1 room cost= 54 * .78= 42.2 Euros
cost of 23 rooms for 5 days will be = 23*5*42.2= 4853 Euros
cost of 1 person = 12 euro = 12*.78= 9.36 Euros
cost of 45 children for 45 days = 45*5*9.36= 2106 Euros
SP of holiday will be :
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Profit margin is 30 % I.e 2774.7 Euros.
SP of package = 13873.5 + 2774.7 = 16648.2 Euros
SP of 45 students = 16648.2 Euros
SP of per person = 16648.2/45= 370 Euros.
TASK 3
3.1 Evaluate the planning decisions taken for the design of a brochure
It is used for advertising and promotion in different types. It is easy way to promoting
business , and its effects sally that is appropriate in organisation . It show product feathers and its
ape rices in tourism sector designed brochure is very important as it helps in giving brief
introduction of tour package It can be attracts for the effectiveness of the tour management that
have to take (llahyari, Salari, and Vigo, 2015). Frankel, and Gabriele, 2017. Bellamy, and
Williams, 2015.) Its impact that the particular situation on the effectiveness of the organisation
in this industrious.
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For perfect situation it helps for the effectiveness on the market segments that have to
appropriate of market structure. In this segment have to appropriated things which have for
selective behaviour that have for effective behaviour that have for selective behaviour for
selective nature . Selective behaviour that have to appropriate the selective for effective that
have to appropriate for effective ways that have to findings for equation that it will helps for
effectively selection that have to application on selective behaviour of the organisation .
Deciding budget for brochure design - in this steps is shows for the budget is decided
that shows all expanses that will occur . In this budgeting the sections will be allowed
that will corrective action that have to selective action on tour management ( Bazargan,
2016) . Its help for deciding the particular effectiveness in market segment that have to
approachable things on the market structure of variable market.
Objectives – this concepts shows that the quality of correctiveness in the market
segment of organisation that have to reliving the market structure . Its helps for the
effective quality for the objectives . Its helps to show s that why a brochure is been
designed it is that main factor that shows effectiveness of brochures.
Target customer - the targeted customer are decided for which the brochure is that
main factor that shows effectiveness of brochure . It developed by issues soi that no
will be promoting for effectiveness of market structure . It helps to implementation of
the market structure that helps for the effective institution on the market relating
services for the effective situation. This is important for the organisation that have to
have target customer by they brochure . Targeting the customer will helps for the
effective costumer will referencing profitably in business (Wong, and Trautrims, 2017).
It will helps for the effective ways for the effective ways for the controlling section of
the marketing selective behaviour on the market segment ,
Selecting design – it is complete related of designing , selecting process of design ,
graphs, language etc. it is important that designed selected must be attractive and
contents should be easily readable . It is important for the organisation important that
have to appropriate the organisation will effective ways for findings that for creating
services in tour management .
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3.2 Suitability of alternatives to a traditional brochure for different types of tour operator
Different type of brochure in particular packages is involve various innovative methods.
With this helps people attracts and use with their taste and preference . Trailfinders ha s started
business in have to pro mat the organisation effectiveness . Promote troop package by the
brocuser helps tom stain customer in effective ways (Grant, Wong, Burgin, and Hardiman,
2015)./ It helps for the corrective effectiveness for the organisation that have to take
transposable of tour management . It take the customer that can access their website from
anywhere . Its affects the business that helps for the effectiveness that helps to improves of
organisation that creating services will bet different segments of tour management . This will
helps from the effective tour package and selective method s for the organisation structure. Its
effected for the organisation I different manners. Also it helpful for giving detailed information
about services such as transportation accommodation . With images and price also its consider
different segment of tour planed by the customer.
Apart from this Trailfinders can also use e mails as effective tool in promoting brochure .
This will be useful in given detailed from the organisation that have to approachable thing that
have tour management . It helps for the sustain organisation that more focused in the market
segments of the organisation . Domestic tour operator traditional brochure helps from promoting
their packages . This is because as they operate in small area they are easily able to attract
locals . They provided different packages by the target customer . Market of their holiday
packages is online or on the basis of direct marketing strategies with the helps of the organisation
that have for the tour management ( Lacej, and Kalaj, , 2015). It helps for the effective situation
on the market structure in organisation will spectated for effective brochure are corrective
variable for the effective situation and its restricts that have to approachable things that have for
effective. It is effective ways for the controlled over the organisation that have to be
appropriated at the organisation . It is important that the organisation have to appropriate the
effective valuation of the organisation effects for corrective action. It has to be provided the
customer satisfaction helps for the variable selective equation for the organisation. It will
correctiveness of the organisation that helps for effectiveness in the organisation . It is important
that different developments have to selected the organisation in perfection on the business
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3.3 the suitability of alternatives to a traditional brochure for different types of tour operators and
recommend the most appropriate for your tour package.
Distribution techniques are the ways through which various companies including tourism
industry also sells out its services. When we talk about successfully running a tourism industry, it
requires us to have some specific kind of knowledge like rates of commission, various booking
agents and the distribution channel etc (Bazargan, M., 2016) . In this the article will talk about
distribution channel only, it means that how a tourism business reach out its potential customers.
There are two distribution techniques which are used by Trail finders LTD for selling their tour
packages which are as follows:-
1.) Directly – Through this medium the public is targetted through various direct ways like
through promotion, social media, websites etc. In this article we are taking an example of
a UK based travel agency which is running its business since 30 years, so if we take an
example of this company then we can say that they can promote their business through
advertising for e.g. we generally see a television advertisement of Yatra, expedia etc.
These are also tour and hotel booking agencies, therefore in the same manner Trail
finders LTD. Can also promote their business through Advertisements. Although, they
have this kind of distribution technique for example they must be having their websites to
attract customers.
2.) Indirectly – Through this medium public is targetted in indirect manner, like a third
party. This could be said as a manual distribution channel which is generally followed by
almost every tour agency for example attracting customers through tour operators, travel
agents, whole-sellers and other manual parties which help in the successful working of
any travel agency. In the case of Trail finders LTD. , they must be following this kind of
distribution channel so that because without tour operators, travel agents or any kind of
retail outlets it is not possible to run any travel agency.
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TASK 4
4. 1. Strategies by Tour Operators
Mainly tourism services are provided by the tour operators that means they provide a
complete holiday package by using tactical decisions. Nowadays tourism industry is getting
boom among all the business by providing satisfying the customers through best services.
Strategic Decisions
A wise strategy will lead to a successful business (Alegre and Sard, 2017). An
appropriate strategy will help the tour operators to attain its objectives by providing them
path or directions.
Levels of strategic decisions are-
Top management level
Middle management level
Operational level
Tour Operators usually follows these strategies-
1- Strategic decisions on volume and price – tour operators focus on average price
levels for strategic decisions to cope up with the external environment situations. Sometimes
they make wrong strategies and this can be corrected by using market tactics immediately.
2- Choice of product/ customer portfolio - strategies to be formed for product
packaging that which services will be provided. Product packages may include various
destinations, accommodation types, days of holidays with other related services etc.
3- Strategy on positioning and image – this is all based upon the competition in the
market. If there is a tough competition in the market then business will keep it's prices low and
when there is less or no competition then prices will get hiked and operators will do prices high
and earn through its brand image (Hsu and et.al., 2017). In many countries some hotels are
earning well profits due to its brand image. So a wise strategy is to be implemented to increase
the market share worldwide.
Strategy on choice of distribution system - Marketing expenditures of this business is
very high as comparison to others as it includes fixed cost on regular basis like printing and
distribution of pamphlets, brochures, advertisement expenses, internet connections, computer
links with customers etc will lead to heavy fixed costs.
Tactical Decisions selected by tour operators in different situations-
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