Tour Operations Management Report: Trailfinders Analysis

This report provides a comprehensive analysis of tour operations management, focusing on various aspects of holiday package development and strategic decision-making. It begins with an introduction to tour operation management, highlighting the role of companies like Trailfinders in designing and marketing holiday packages. The report delves into the influence of recent trends on the tour operation industry, followed by an examination of the stages and timescales involved in developing holidays. It explores different methods of contracting for holiday components, including fixed and sale-only contracts, and provides a calculation of the selling price of a holiday package. The report also covers planning decisions for brochure design and the suitability of alternatives. Furthermore, it addresses strategic and tactical decisions made by tour operators, offering insights into the operational aspects of the industry. Overall, the report offers a detailed overview of tour operations management, providing a valuable resource for students studying business development.

Tour Operations
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Influence of recent trends and developments on tour operation industry.............................1
TASK 2............................................................................................................................................2
2.1 Stages and timescales involved in developing holidays.......................................................2
2.2 Methods of contracting for various components of holiday and types of tour operator.......4
2.3 Calculation of selling price of holiday..................................................................................6
TASK 3............................................................................................................................................7
3.1 Planning decisions taken for designing of brochure.............................................................7
3.2 Suitability of alternatives to a traditional brochure for various types of tour operator.........9
3.3 Methods of distributions used to promote holiday packages..............................................10
TASK 4..........................................................................................................................................11
4.1 Strategic decisions made by various types of tour operator................................................11
4.2 Tactical decisions which is taken by selected tour operator...............................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Tour operation management is a term whose main motive is to frame an impressive
holiday packages which includes all the essential things whatever is requisite for an individual
while travelling process. Mainly, marketers of travelling companies are designing brochures of
splendid quality in order to seek the attention of millions of clients. Trailfinders is consider as
one of the largest multinational tour organization which serving almost millions of consumers
and succeeded in fulfilling their demands by facilitating them (Anderson and et. al., 2015).
Generally, it is identified that selected firm is having around 29 travel centres in European
marketplace and another nearly 3 in Ireland for acquiring maximum benefits. This assignment is
going to segregated into various section in order to explain the management of tour by
operational department of an enterprise with the help of different facts or figures. Initially, it will
explain major trends that are emerges in tourism industry so that they can frame an impressive
holidays packages for various consumers. However, number of traditional and modern methods
are used by management team of an organization is also outlined in this project for promoting
holiday packages across international boundaries. At last, strategical and tactical decision
making process in tour operation management is also highlighted in this assignment.
TASK 1
1.1 Influence of recent trends and developments on tour operation industry
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TASK 2
2.1 Stages and timescales involved in developing holidays
As a group member of product development section, it is fundamental to plan or outline
great occasional packages according to shopper interest for referred organization by catching the
psyches of various clients. Generally, occasions is ready for pleasure, refreshment, to change the
surrounding, get free from busy life and so on (Baird, Jia Hu and Reeve, 2011). Planning is seen
as an underlying procedure for each business operations because it strategies various plans for
whole system of exercises and aids in making effective decisions by evaluating accessible
perspectives. Being a part of improvement gathering, before planning a compelling or
noteworthy educational journey of 5 nights for 42 candidates, it is basic to consider important
components so as to limit possibilities of hazards and difficulties. Basically, group head is
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obligated for overall activities or issues that happen while travelling. Along these lines, it is
essential to ensure that all the critical things are overseen or controlled before going on trip.
According to the given situation, a great trip is required to outline for nearly 42 students
who are wishing to go for informative visit in July summer excursion 2019 for 5 evenings.
Holidays should be more en joyful and fun (Chan and et. al., 2012). Planning or designing of
holidays is a process in which activities are undertaken or developed in order to make the
decision related to those options. Subsequently, directors of visit administrators are required to
orchestrate all the fundamental things whatever educates will require while voyaging.
Subsequently, different variables which must be considered while getting ready summer get-
away 2019 occasion bundle are portrayed as takes after:- Destination Research: It is one of primary stage used for developing holiday in order to
explore bout tourist destination for travelling. According to individual or people demand,
the planing of destination is being selected. This is require to evaluate it through
analysing destination with help of PESTLE analysis. This process will take minimum 1 to
months time period. Itinerary Development: It is next phase of developing a holiday packages for purpose of
travelling. This is script of entire design in brief for tour that consist of details of
transportation, visiting places, accommodation, routes of travel etc. It is s systematic
process without any complication which take minimum 1 months time period to finish
(El Saadany Jaber and Bonney, 2011).
 Negotiation: In this process, the operator of tour deal with services providers and
different vendor at the destination for managing cost of packages. This can help in
itinerary process customisation which take minimum 3 months to mange terms.
Learning packages (5 night 6 day)
(900 euros) with all inclusion.
Lavishness 48 seater coach (extra welfare)
 Cosy seating area
 Water facilities
 Air conditioner
 Convenience of nutrient and foods.
 Recreational activities or facilities such as; TV, laptop.
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Stay in Deluxe hotel:- Marriott hotel
 Breakfast, lunch and dinner.
 Greeting drinks (free from alcohol).
 Double bedroom sharing with two adults. 24 hour hot and water.
All the additive facilities requisite during trip.
 Determination of cost: Another step of managing package for tourism is determination of
cost. This process is undertook 9 months before launching packages that consumes more
than 1 months after documentation of each activities (Galloway Rowbotham and
Azhashemi, 2012). Marketing of tour Packages: This is one of most significant process in which
communication of products and its features is conveyed to public or target audience in
order to increase consumer amount and grab their attention. It incorporates various
promotional processes like advertising, hoarding and brochure ads etc. This process take
3 – 5 moths minimum.
 Execution of Tour: This is last phase in which preparation and estimation of packages of
tour is implemented. This is administrated or controlled by manager that undertake
itinerary process as well.
2.2 Methods of contracting for various components of holiday and types of tour operator
Trailfinders is a very famous organization in tourism industry due to their amazing
services with best quality and offers various standardized packages that will seek the attention of
millions of consumers. Basically, main motive of selected firm is to establish their goodwill at
marketplace by satisfying their desired clients (Hajmohammad and et. al., 2013). As per given
situation in which product development group of chosen firm was planned a mind blowing and
sensible instructive trip for nearly 42 students comprise of all their essential facilities. After
framing an effective journey package, managers of a company are trying to persuade their client
on a similar cost because price is determined by considering indispensable elements.
In given contextual analysis administrators of trip is going to planned packages according
to different highlights and with the assistance of two valuable apparatuses or strategies. For
instance; fixed contract and sale only contract. Additionally, some of the journey administrators,
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for example, aviation or flight focus operators are receiving these kind of techniques for
contracting while at the same time maintaining their business operation. Essentially, travelling
head of selected affiliation comes into agreement with their rivals and providers by thinking
about two noteworthy techniques of contracts (Heras‐Saizarbitoria and Boiral, 2013). Later on,
going to select best or appropriate among them for particular tour. Henceforth, extraordinary
strategies for contracting are explained as follows:-
Fixed contract Sale only contract
 According to this element, agreement
between two parties is fixed for specific
term and going to end after end of a
period or duration.
 Maximisation in sales by selling tour
packages in bulk.
 In this services which is un- utlized will
not be repaid back due to company
rules or regulation.
 Money is not paid back (Kumar and et.
al., 2011).
 For example; according to given case
study seats are booked for 42 students
but at the time of trip two are absent
due to some personal reasons then at
that phase refund will not possible for
absentees.
 Whereas, in this method an
organization is going to sell the services
at maximum price as compare to fixed
contracts.
 Fluctuated on the basis of change in
demand or need of different consumers.
 Absence of risk of un- utilisation
because in this price is paid for those
services which is utilized by customers.
 For example; as per given scenario
rooms are booked for 42 students by
team and cost is also paid for the same.
Hence, at last it has been analysed that both the contracts are appropriate at their place
but it will applicable in different situation (Kwon, Lee and Shin, 2014). For example; fixed
contract will be suitable for bulk services like trip for groups whereas sale on contract is
appropriate for individual customers such as family, business journey, migration and so on.
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2.3 Calculation of selling price of holiday
As per prescribed case study, students of Europe are planning to travel on educational trip
which is from London to Brussels and Brugge in order to acquire new things as well as to
enhance their knowledge about particular place. Moreover, they are making strategy for planning
budgetary tour for 5 nights by focussing on various essential facts or figures which will cover
mandatory inclusive. Therefore, Trailfinders is an organization which is famous for its
reasonable trip as they are having positive business relations with their competitors or suppliers
situated in Belgium (Marques, Gourc and Lauras, 2011). Hence, managerial team of selected
firm is designing an impressive trip for 42 students b considering their demand or budget and
provide special discount due to bookings in bulk. Thus, they are trying to compute corrective
price of entire journey with the use of indispensable prices which will be incurred during
travelling.
Accommodation cost: 96*21=2016
96/1.12= 85.7
85.7*21= 1800(For One night)
1800*5= 9000(For 5days)
Details Price(in £)
Accommodation cost 9000
Transportation cost 11200
Charges of tour guide 945
Total cost 21145
Add: Profit margin @ 33% 6977.8
Sale price 28122.5
Hence it has been analysed that cost of food is not summarized in the above computation
of selling price. It means calculated price of package selling should be around £28122.5.
Per person:-
=28122.5/21= £1339.18
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At last, it is understood that by considering all the above points European students can
make their buying decisions and select holiday packages as per company goodwill, price or
various other factors.
TASK 3
3.1 Planning decisions taken for designing of brochure
Travelling industry want to update their clients from necessary information related with
association, packages, goods or services provided by them to their consumers. Along with this,
they also try to highlight their quality or attractive things due to which customers will select this
company (Marra, Ho and Edwards,2012). Thus, they are using various modes for capturing
attention of travellers and try to manipulate various person in order to gain maximum profits.
Hence, managers of Trailfinders is adopting numerous of tools or techniques for providing
essential information to their distinct clients so that they get succeeded in influencing decisional
process. However, preparation of splendid brochure is one of the major element which is
designed by managerial team of referred enterprise. It consist of precise or accurate data or
information about specific products or services offered by company in their package (Decision-
Making for Tourism Destinations: Airline Strategy Influences, 2017).
Basically, an organization need to hire skilled or talented employees for designing an
impressive handouts in order to maximize their sales volume by increment in demand. Generally,
marketing managers may adopt number of methods such as; offline and online for distributing
brochure in different regions or across international boundaries. Moreover, as a merchandising
member of Kuoni it is indispensable to identify the hidden issues or obstacles before introducing
brochures at marketplace (Marucheck and et. al., 2011). Thus, number of elements are required
to considered during framing a qualitative or attractive brochures is stated below:-
 Format of brochure:- According to this factor it is consider as a deliberate record of
important information or confirmations related with items or administrations which is
offered by association. Primarily it incorporates number of areas and sub parts in which
data are arranged into different parts which makes its more great and straightforward.
Indeed, configuration of pamphlet is outlined according to target market. Subsequently,
instance of an impressive handout is clarified as takes after:-
1. Name of tour administrator.
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2. Technique for transportation.
3. Name of place and agendas of entire packages.
4. Convenience and extra advantages.
5. Cost of journey package
6. Terms and conditions with extra charges.
7. Legitimate prerequisites.
Illustration 1: Brochure
(Source:- Brochure, 2017) Budgeting and choosing target market:- Capital is a backbone for every organization
either small or large because all the business activities are completed with the use of
money. Thus, it is essential for managerial team of Trailfinders is to estimate a budget for
preparing a standardized brochure in order to obtain attention of customers by
highlighting necessary information about company tour or packages. Along with this, it
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also shows special discounts on different occasions. Therefore, to conduct all these
activities in most appropriate way sufficient fund is required because it defined spending
power of customers (Morrison, 2013).
 Duration for completing stages:- Time frame is all about estimation of accurate time
period in order to accomplished different activities of brochure designing in given
duration for attaining organisational goals in a minimum time period.
By concluding above elements it has been analysed that a proper format is required for
enterprise while designing various handouts in order to attract consumers of different age groups.
3.2 Suitability of alternatives to a traditional brochure for various types of tour operator
Trailfinders is an association involving in designing impressive documents, handouts,
pamphlets for promoting their tour operation by considering relevant information. Conventional
brochures are seen as a traditional structure for marketing division of Trailfinders organization
which comprise of important data yet not that much suitable or viable. Generally, with the usage
of this technology they are failed in gaining attention of purchasers neither that much successful
in augmenting interest of occasion bundles offered by chosen firm. Therefore, after rise of
modern technology, it helps in introducing numerous of much more options of traditional
approach that is used by organization while outlining handout (Muduli and et. al., 2013). Indeed,
these alternatives are especially compelling and valuable in conquering the obstructions which
may emerge while framing impressive brochures and in addition fill the hole. Subsequently,
different options are characterized as under:- E-handouts:- Usage of web while framing brochures as it aids in finishing it in a defined
time period with maximum quality. In fact, it is designed with the use of advanced
technology like different applications of gaining attention. Visual:- Similar as magazines in which numerous of lovely pictures are glued for seeking
consumer attention. For example; symbols, signs, images, etc. Online networking:- Utilizing web for promoting data, for example, ; Facebook,
Instagram, google, twitter etc.
 Sites:- Designs number of astounding web pages of tourist destination by having exact
data about that place. Along with this, it helps in sharing accurate information about
company performance, image at marketplace, turnover, policies, norms, products or
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services and so on (TOP 10 WAYS TO DISTRIBUTE YOUR BROCHURE TO THE
RIGHT TARGET AUDIENCE, 2017).
Consequently, it has been distinguished that online leaflets are consider as electronic
which is viewed as a best option of physical brochures. Alongside this cost for getting ready
electronic plans comprise least. Aside from this visual and varying media is viewed as most
suitable strategy for catching consideration of clients.
3.3 Methods of distributions used to promote holiday packages
Trailfinders is a very large organization who is always focussing in generating maximum
revenue in order to acquire maximum return on their investment by expanding their business
across international boundaries (Olson and Wu, 2011). As per given scenario product department
team of selected association is going to perform their job role with marketing group of Kuoni in
order to gain knowledge about methods of promoting goods or services across international
boundaries. Every association grow their business through the assistance of appropriate
distribution channel to make the requests and supply harmony. In the time of modern technology
there are different sources, for example, web, coordinate offering, travel magnets, call focuses,
teletext, phone, organizations, social media and so on. Therefore an organizations is going to
utilize number of methodologies in order to distribute their impressive handouts. Here are some
of them clarified in more detail: Brochure circulation procedures:- It is a standout amongst the best strategies which is
utilized by selected company for offering the numerous of holiday packages. There are a
few changes which is made in the plan, index comparable as the magazines of women
attire. The leaflets are conveyed to the buyer by covering necessary points of interest of
their contacts so as to use in future (Parnell, Driscoll and Henderson, 2011). Sites Distribution strategy: According to this technique an organization is going to
promote handouts with the use of modern technologies and innovative strategies through
the assistance of email, sites handout, web-based social networking and other web
instruments. As individuals are mostly affected by web and are utilizing it for acquiring
detail data, it can help in acquiring flexibility and reduce the cost of administrations. Strategies for Agent Distribution: This is not the same as sites or web dispersion
techniques which incorporates three kinds of agencies for circulation of pamphlet of an
organizations. These are free, numerous and manciple.
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