Report on Marketing Strategies in Travel and Tourism Sector

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This report provides a comprehensive analysis of marketing strategies within the travel and tourism sector, focusing on core concepts, the impact of the marketing environment, and factors influencing customer motivation and demand. It delves into market segmentation principles, strategic marketing planning, and the role of marketing research. The report examines the influence of marketing on society, addresses issues related to the marketing mix (product, price, place), and highlights the importance of service sector elements and the concept of the total tourism product. Furthermore, it explores the unified nature of the promotional mix and includes a plan for an integrated promotional campaign, providing a holistic view of marketing in the travel and tourism industry.
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MARKETING IN TRAVEL
AND TOURISM
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Contents
INTRODUCTION...............................................................................................................................3
TASK 1.................................................................................................................................................3
1.1 Core concepts of marketing in travel and tourism sector.............................................................3
1.2 Impact of marketing environment on individual, business and tourist destinations.....................4
1.3 Factors affecting customers motivation and demand...................................................................5
1.4 Principle of market segmentation and its uses in planning of marketing.....................................6
TASK 2.................................................................................................................................................7
2.1 Importance of strategic marketing planning.................................................................................7
2.2 Relevance of marketing research and market information to managers.......................................7
2.3 Influence of marketing on society................................................................................................8
TASK 3.................................................................................................................................................8
3.1 Issues related to product, price and place of marketing mix........................................................8
3.2 Importance of service sector elements.........................................................................................9
3.3 Concept of the total tourism product to an individual tourism business.......................................9
TASK 4...............................................................................................................................................10
4.1 Unified nature and role of promotional mix...............................................................................10
4.2 Plan and justify an integrated promotional campaign................................................................10
CONCLUSION..................................................................................................................................11
REFERENCES..................................................................................................................................12
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INTRODUCTION
Travel and tourism is one of fastest and growing industry as today’s time number of
visitors visit various places to spend their time. In this travel companies provide better
services to attain their satisfaction level. Along with this they also provide travel packages to
visitors at the time of visiting destinations (Travel & Tourism Marketing, 2016). In addition
of this, marketing in travel and tourism sectors is play vital role in establishing better relation
with customers by providing them services as per their needs. As visit London is also a
famous company which provide various services and packages to visitors for travelling. This
report discussed about core concept of marketing for travel and tourism sector. Impact of the
marketing environment on individuals taste also discussed in this report. Factors which
directly affect the customers motivation and demand is also describe in this project which
help company to enhance their profitability level. In addition of this importance of strategic
marketing planning also influence society and company as well. At the last of the project,
importance of service sector mix elements in travel and tourism sector is also mentioned in
this assignment.
TASK 1
1.1 Core concepts of marketing in travel and tourism sector
Marketing play vital role in increasing customers awareness towards the company
products and services. By using this, company easily provide information to its customers
towards the holiday packages as it directly contributes enhancing overall profitability level of
the company. Visit London is travel company as they provide various offer and packages to
customers at affordable cost o retain them for longer period of time. Along with this, the main
purpose of this company is to effectively understand the core concept of marketing as it helps
in determining customers needs and wants. With the help of this, firm ser their tour packages
and offers to attain customers satisfaction. In this context there are some core concept of
marketing are as follows:
To understand about demands of customers: As the main aim of company is to ensure as
well know about customers taste and preferences to provide them same in order to attain their
satisfaction level. Visit London, determine customers taste and preferences to set their
holiday packages. This will help in attaining competitive advantage at market place form its
rivals. As customers needs and tastes are change as per continuous basis (Zamani‐Farahani
and Henderson, 2010). Thus, company needs to undertake an effective research to evaluate as
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well as know about customer’s needs, rivals’ packages. With the help of this they easily
manage their services and offers accordingly. Along with this they provide better
transportation facilities, communication, and many more. With the help of this company
attain higher success and at the same time also build positive brand image at market place.
To provide quality services: As it is important for company to provide satisfy services
to visitors for getting their satisfaction level (Xiang, Magnini and Fesenmaier, 2015). As a
famous company, Visit London needs to maintain their quality services to develop and attain
competitive reputation in market place. By this company easily invite larger number of
customers towards its offerings.
Make good relation with customers: For attaining better success in market, it is one of the
important duty for company to make good relation with their customers as they easily
improve their performance level. In this company provide extra services and offer to their
clients at the time of travelling. This will help in building the better coordination and relation
between customers. Along with this, marketing considers various activities through which
company promote their services and products in front of market for creating demand. This
will help in increasing the sales and profitability level pf the company as well.
1.2 Impact of marketing environment on individual, business and tourist destinations
Marketing is a process through which company invite as well as influence people towards
company and its services. As it directly put impact on individuals and company as well by
increasing the alternative choice in front of visitors. Marketing in travel and tourism helps in
making places and destination attractive as number of people getting attracted. This enable in
creating customers base within the places where visitors want to visit. In this context, there
are some various elements are there which effect the business activities of Visit London are
as follows:
Customers: Consumers are the major part of company because it helps in increasing
the profitability of the firm by consuming services. Visit London, tries to understand
customers needs and wants to offer them services accordingly to attain their higher
satisfaction. This will contribute in increasing the chances of attaining profitability level at
market place and at the same time also enhance market share.
Competitors: Rivals are largely affect the overall performance of the company. In
travel and tourism sector various competitors are operate their business (Sotiriadis and Van
Zyl, 2013). Thus, it is important for Visit London to effectively use and prepare effective
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strategies to manage their image in market. Along with this, they also prepare an effective
plan for capture larger marker share form its rivals by taking competitive place.
Technology: Advance technologies are also impact on company and its activities. As
Visit London needs to use new and innovative technologies within their process for providing
quality services to larger number of customers according to their requirements (Soteriades,
2012). Along with this, new technologies are helps in inviting customers which may
contribute in establishing positive brand image at market place.
Legal and political factors. It is also important for company to follow all the legal and
political rules because it directly impact on company and its services. All these are developed
by the government of the nation as Visit London also consider all the acts and rules at the
time of developing plan. With the help of this they easily maintain their ethical performance
and also make their strong image.
1.3 Factors affecting customers motivation and demand
Customers are the important part of every business organization as it helps in enhancing
profitability level f the company at market place. thus, it is important for firm to understand
their needs and wants for making plan to provide them better satisfaction. By effectively
understanding the customers behaviour, company increase their sales and profitability level.
Visit London, is famous travel company as they provide better and quality services to its
customers in various locations (Buhalis and Foerste, 2015). For attaining success, company
understand customers taste and preferences which may helps in improving their brand image
at market place. This will directly contribute in capturing larger market share form kits
rivals. In this context, there are various factors that present in market and also affect the
customers taste and preferences. Visit London needs to understand all the factors and also
reduce the chances of negative impact on customers mind. With the help of this firm invite
larger customers towards its services. All these factors are as follows that impact on
customers motivation and demand as well:
Group behaviour: It define society, groups, friends, colleagues that also impact on their
behaviour and decision making. If individuals, friends influence to go for holiday for chilling
and relax their mood. It largely affects their decision. By this company easily increase their
sales.
Economic condition: As economic condition also play vital role in business and society as
well. If economic condition of the people is not good than it directly affect the decision to
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visit places and holidays as well (Pike, Bianchi, Kerr and Patti, 2010). In UK country,
economic condition of the individuals in good as it increase the chances of increasing sales of
travel company. For example, if the spending power of the people is high than they take
decision for going holiday and spend money for enjoying their dreams.
Personal preferences: Customers personal preferences are also impact on their decision as
it also affect the travel company’s activities (Moutinho, 2011). If person wants to go
adventures places that it reduces the sales of the Visit London.
Buying power of customers: If consumers does not have funds that they fail in spending
their money in holiday packages. As it directly impacts on company because it customers
cancel their plan to travel for holiday then it negatively affects the company and also reduce
their profitability level.
1.4 Principle of market segmentation and its uses in planning of marketing
Segmentation marketing is a process by this company divide customers base and market
in various groups. At the time of dividing market, marketer consider some same needs and
preferences between number of customers (Cox and Wray, 2011). By this they divide market
in four segmentations. All these helps in improving the positive image of the company by
delivering their services accordingly. All these are as follows:
Demographic segmentation: It is widest market segmentation in which company divide
population as per their income level, gender, age occupation and many more. By this
company easily provide right services to people which may enhance their productivity level.
Behavioural segmentation: In this company divide their customers on the basis of their
behaviour and usage. For example, young people wants to go adventures places as Visit
London provide services according to hem which may helps in attaining their satisfaction.
Psycho graphic segmentation: Under this segmentation, company divide people on the
basis of their lifestyle, interests and opinion (Morgan, Lugosi and Ritchie, 2010). By
understanding their behaviour company easily enhance their profitability by proving them
facilities.
Geographic segmentation: This type of segmentation divide customers as per geography.
Under this customer need are differ as per location. In this the company effectively
understand their needs and make plan to provide them better services.
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TASK 2
2.1 Importance of strategic marketing planning
Strategic marketing planning is an effective process which helps company to create as
well as implement appropriate marketing strategic. With the help of this company promote as
well as advertise products and services in market (Molina, Gómez and Martín-Consuegra,
2010). This will help in increasing the positive brand image of the company. Along with this,
marketing strategies are developed as well as make by the firm as per their promotional
techniques. It includes promotional opportunities, marketing evaluation and many more. All
this will aid in improving their performance level at market place. In this context, there are
some main advantage of considering strategies marketing plan of Visit London are as
follows:
Marketing plan of Visit London define the future activities of the company this will
helps in eliminating the issues in order to attain set tangible goals and objectives. By
this company motivate their workers to perform their duties effectively to attain goals.
This marketing plan helps in understanding market trends and customers taste as well.
By this firm attain long term benefits in market place.
This marketing plan help in inviting large number of customers towards its products
and services (Dasgupta, 2011)s.
2.2 Relevance of marketing research and market information to managers
Importance of marketing research play important role in understating customers needs
and wants which heals in competing competitors at market place. With the help of this,
company increase their profitability level of the company. Along with this, market research
also helps in gathering relevant data towards the strategies and rivals’ activities to develop
their process effectively. This will help in satisfying customers needs and wants in most
effective manner which directly contribute in attaining better success.
Provides valuable data: It define data through which company evaluate the actual
demand and supply, customers behaviour and many more. This will help in decision making
of manage towards the company and its services.
Study consumer behaviour: In this market research define the data related with
customers taste to company in order to provide them quality products and services (Law, Qi
and Buhalis, 2010). By this management of the firm make appropriate policies develop
quality services.
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Selection of promotional techniques: It is one of the important and appropriate
element which help company to evaluate the sale promotion techniques. By this manager
easily gather proper information towards the market (Kayar and Kozak, 2010). With the help
of this company use effective mode for promote their package in front of customers.
Supplies marketing information: Under the, manager complete the marketing research
of Visit London to determine the current market situation which may leads in improving the
overall performance of the company.
2.3 Influence of marketing on society
Various impact of society is there which affect the business and its activities. Visit
London, is a famous company as they operate their business in travel industry (Evans,
Stonehouse and Campbell, 2012). In this society is directly impact on company. Along with
this firm focus of young people of society as they want to travel various destination. It helps
in increasing profitability of the company. In this the positive and negative effect are as
follows:
Positive impact
CSR: Corporate social responsibilities provide benefits to society as it helps in
creating positive brand image and at the same time also make better relation with
society as well. This will increase the profitability level.
Provide job opportunities: Under this, Visit London provide various job opportunities
to local people which may help in increasing their living standard. As it directly
impacts on society development.
Negative impact
High cost: If high cost of the company package reduces the profitability and a society
as well. If people don’t not earn enough money then they fail in buying holiday
package which directly impact om company sales (Hussein, Ennew and Kortam,
2012).
Pollution: One the main negative impact is high pollution in travel and tourism sector,
as it negatively impacts of society as country cleanliness as well.
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TASK 3
3.1 Issues related to product, price and place of marketing mix
Marketing mix is one of the important aspect for company as it helps in creating
customers needs and demand towards the company products and services. It defines various
elements which used by the Expedia.com to expand their activities with the purpose of
attaining targets. Marketing elements are as follows:
Product: It is one of the important element as it offers to final customers to satisfy
their needs. In this the main product of Expedia.com is quality services at various destinations
to customers according to requirements (Hudson and Thal, 2013). With the helps of this
company increase their profitability level.
Price: It is also an important element of marketing mix which is relate with monetary
term which charge by the company to its customers by exchanging of services. As a famous
company Expedia.com focus on their quality services at affordable cost. By this number of
customers are attracted which may contribute in enhancing the profitability level of the
company at market.
Place: Expedia.com is also travel company as they operate their activities in various
location. In this they serve travel package to customers at various destination to attain better
satisfaction level by retaining them for longer period of time.
3.2 Importance of service sector elements
In today’s scenario, travel and tourism sector is fastest growing industry in which
various important services are deliver by them to its customers (Goeldner and Ritchie, 2012).
Overall business is depending on its services so that it is important for Expedia.com to
provide quality services to visitors for attaining their satisfaction level. With the help of this,
they easily invite larger number of customers towards destinations which contribute in
increasing profitability. In this there are some important services which must for firm are to
provide their visitors are as follows:
Deliver quality services to visitors as per their needs.
Set quality services at affordable cost.
3.3 Concept of the total tourism product to an individual tourism business
Tourism product is defined elements as bundle which provide visitors to fulfil their
wants. Mainly, it is considered as an effective procedure by which company cater customers
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primary demands. As total product considers all the important activities which used for
making planning for various destination to evaluate the overall budget of the customers (Hall,
Timothy and Duval, 2012). Along with this, it helps for customers to arrangement of
transport and planning for visiting different destination. As it is important for Expedia.com to
consider total tourism product method to invite as well as attract larger number of customers
which may leads in enhancing the profits.
TASK 4
4.1 Unified nature and role of promotional mix
Promotion mix is appropriate tool through which firm promote their products in
market. Expedia.com also use this tool to aware customers towards its services.
Advertisement: Under this company paid funds in advertisements for promoting their
services through social media, television, internet and many more (Hahm and Wang, 2011).
Personal selling: Firm sell products directly customers which may leads in building
better relationship with customers and at the same time also influence them to consume
company products.
Sales promotion: Under this, firm offer as well as sale services to its customers by
giving them discounts, gift, vouchers and many more. It can be done in short time frame.
4.2 Plan and justify an integrated promotional campaign
It is important for company to understand customers taste and preferences by
promoting their quality products and services in market place. this will help in retaining
customers for longer period of time. Expedia.com operate their business in travel sector as
they have to advertisement of travel packages for invite larger number of customers which
may aid in increasing sales of the company. This will directly contribute in establishing
positive brand image. In this context, various promotional campaigns are used by the
company are as follows:
Advertisement: It is one of the important method which consider by the company to
advertise their package with the purpose of inviting larger number of new customers. As
various elements of advertisement such as electronic media, print media and many more
(Goodall and Ashworth, 2013). With the help of this company attain competitive advantage
from its rivals and at the same time also attain higher success.
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Public relation: For attaining better success, company needs to build good relation
with customers as it enhances the image in society. As it is best method which used by
company to promote their services. By this they retain their customers by providing them
quality services.
CONCLUSION
From the above-mentioned report, it can be concluded that travel sector is one of the
famous and growing industry. Thus, it is important for travel company use effective
marketing strategies to enhance their performance level. With the help of this, company
expand their business effectively by serving quality services to its customers. Along with this,
the elements of marketing mix, also help company to evaluating as well as understanding the
needs of particular areas and market as well. It helps in producing as well as offering quality
services to its customers as affordable cost. As it can be stated that marketing helps in
improving the sales and profitability of the company and at the same time also invite number
of customers towards company services.
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REFERENCES
Books and Journals
Buhalis, D. and Foerste, M., 2015. SoCoMo marketing for travel and tourism: Empowering
co-creation of value.Journal of Destination Marketing & Management.4(3). pp.151-
161.
Cox, C. and Wray, M., 2011. Best practice marketing for regional tourism
destinations.Journal of travel & tourism marketing.28(5). pp.524-540.
Dasgupta, D., 2011. Tourism marketing.India: Dorling Kindersley.
Evans, N., Stonehouse, G. and Campbell, D., 2012.Strategic management for travel and
tourism. Taylor & Francis.
Goeldner, C.R. and Ritchie, J.B., 2012.Tourism: principles, practices, philosophies(No. Ed.
12). John Wiley and Sons, Inc.
Goodall, B. and Ashworth, G. eds., 2013.Marketing in the Tourism Industry (RLE Tourism):
The Promotion of Destination Regions. Routledge.
Hahm, J. and Wang, Y., 2011. Film-induced tourism as a vehicle for destination marketing: is
it worth the efforts?.Journal of Travel & Tourism Marketing.28(2). pp.165-179.
Hall, C.M., Timothy, D.J. and Duval, D.T., 2012.Safety and security in tourism:
relationships, management, and marketing. Routledge.
Hudson, S. and Thal, K., 2013. The impact of social media on the consumer decision process:
Implications for tourism marketing.Journal of Travel & Tourism Marketing.30(1-2).
pp.156-160.
Hussein, R., Ennew, C. and Kortam, W., 2012. The adoption of web-based marketing in the
travel and tourism industry: an empirical investigation in Egypt.Journal of
Innovation Management in Small & Medium Enterprises.2012. p.1.
Kayar, Ç.H. and Kozak, N., 2010. Measuring destination competitiveness: an application of
the travel and tourism competitiveness index (2007). Journal of Hospitality
Marketing & Management.19(3). pp.203-216.
Law, R., Qi, S. and Buhalis, D., 2010. Progress in tourism management: A review of website
evaluation in tourism research.Tourism management.31(3). pp.297-313.
Molina, A., Gómez, M. and Martín-Consuegra, D., 2010. Tourism marketing information and
destination image management.African Journal of Business Management.4(5).
p.722.
Morgan, M., Lugosi, P. and Ritchie, J.B. eds., 2010.The tourism and leisure experience:
Consumer and managerial perspectives(Vol. 44). Channel View Publications.
Moutinho, L. ed., 2011.Strategic management in tourism. Cabi.
Pike, S., Bianchi, C., Kerr, G. and Patti, C., 2010. Consumer-based brand equity for Australia
as a long-haul tourism destination in an emerging market.International marketing
review.27(4). pp.434-449.
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Soteriades, M., 2012. Tourism destination marketing: approaches improving effectiveness
and efficiency.Journal of Hospitality and Tourism Technology.3(2). pp.107-120.
Sotiriadis, M.D. and Van Zyl, C., 2013. Electronic word-of-mouth and online reviews in
tourism services: the use of twitter by tourists.Electronic Commerce Research.13(1).
pp.103-124.
Xiang, Z., Magnini, V.P. and Fesenmaier, D.R., 2015. Information technology and consumer
behavior in travel and tourism: Insights from travel planning using the
internet.Journal of Retailing and Consumer Services.22 pp.244-249.
Zamani‐Farahani, H. and Henderson, J.C., 2010. Islamic tourism and managing tourism
development in Islamic societies: the cases of Iran and Saudi Arabia.International
journal of tourism research.12(1). pp.79-89.
Online
Travel & Tourism Marketing, 2016. [Online]. Available through:
<http://www.ttmworld.co.uk/>.
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