Comprehensive Marketing Analysis for Travel and Tourism Industry

This report offers a comprehensive analysis of marketing principles within the travel and tourism sector. It begins by exploring the core concepts of marketing, including customer demand, cost factors, and the impact of micro and macro environmental factors. The report then delves into the marketing environment, assessing its impact on the travel and tourism industry, with a specific focus on Scotland. It further examines factors influencing consumer motivation and demand, such as Maslow's hierarchy of needs and push/pull factors. The principles of market segmentation are also analyzed, including demographic, geographic, and psychographic segmentation. The report continues with a critical analysis of a marketing plan, evaluating strengths, weaknesses, opportunities, and threats of a case study company (Lynott Tours Inc.). Finally, the report discusses the role of the marketing mix (product, price, place, promotion) and promotional mix in the travel and tourism sector, including the importance of service and the concept of the tourism product. It also proposes and justifies an integrated promotional campaign.

MARKETING IN TRAVEL AND TOURISM
1

Table of Contents
Task 1..............................................................................................................................3
LO 1:................................................................................................................................ 3
Discussion of the core concepts of marketing [P1.1].......................................................3
Analysis of the marketing environment and assessing the impact on the travel and
tourism [P1.2]...................................................................................................................4
Discussion of the factors affecting consumer motivation and demand [P1.3]..................6
Analysis of the principles of marketing [P1.4, M1]............................................................7
Task 2..............................................................................................................................9
LO 2:................................................................................................................................ 9
Critical analysis of marketing plan [P2.1, P2.2. D.1]........................................................9
Discussion of marketing research and market information [P 2.2].................................10
Positive and negative influence of marketing [P2.3].......................................................12
Task 3............................................................................................................................ 12
LO3:............................................................................................................................... 12
Role of marketing mix in travel and tourism sector........................................................12
3.1 Issues regarding the product, price, place, and elements [P3.1, M2].......................12
3.2 Assessing importance of service [P3.2]...................................................................14
3.3 Concept of tourism product to individual tourism [P3.3, M3, D2]..............................15
LO 4:.............................................................................................................................. 15
Role of the promotional mix [P4.1].................................................................................15
Plan and justification of integrated promotional campaign [P4.2, D3]..........................17
Reference List................................................................................................................ 18
Appendices.................................................................................................................... 21
2

Task 1
LO 1:
Discussion of the core concepts of marketing [P1.1]
In this vast era of advancement, the field of marketing and management in travel and
tourism have drastically increased widely. Not to mention, the vast concept and theories
related to marketing strategies in developing travel and tourism (Wu et al. 2016). The
concept of marketing regarding travel and tourism is a vast concept that consists of
various key elements, activities and communication strategies. Another form of an
element may include values, ethics, customer relation, organizational support and
environment. It can descriptively say that marketing includes different forms of decision-
making and control use to address tourism and travel sectors.
The main areas of marketing involve key elements that are vital in the development of
travel resources. The importance of marketing in travel and tourism sector can help to
integrate marketing strategies and suitable growth in travel and tourism sectors. Based
on Honey and Mumford learning based style, the marketing concepts in travel and
tourism include both micro and macro factors which are essential in the development of
internal operations in travel and tourism industry (Liu et al. 2016). There may be different
forms of marketing exchange processes that can respectively used with marketing
concepts in order to gain a potential advantage in resource development. The
fundamental concepts in marketing include the following elements regarding travel and
tourism industry. These are
❏ The demand for customer
❏ Cost factor
❏ Micro and macro factors
❏ Resource
These factors are important in managing and controlling the development of travel and
tourism industry. In this recent market condition, it is essential to incorporate effective
marketing skills and concepts concerning evidence-based situations that can help to ease
crucial micro and macro elements in marketing strategies. Better analysis and evaluation
3

of the marketing strategies and concepts can help to develop a better plan for travel and
tourism sector.
Figure 1: Elements of marketing concepts
(Source: Self-developed by the author)
Analysis of the marketing environment and assessing the impact on the travel
and tourism [P1.2]
The marketing environment is an integral part of the travel and tourism industry. The
concept of business in marketing environment is widely used to represent different
structure in a business environment. The marketing environment classified into two
types. These are micro and macro environmental element. These elements include
various forms of internal and external factors that significantly affect the marketing
structure. It influences the design plan, which uses to enhance and integrate the tourism
industry (Cvelbar et al. 2017). On the other hand, the environmental factors in Scotland
can also affect the marketing variables and development. The microelement consists of
4
Demand
for
customer
Cost
factor
Micro and
macro
fac tors
Resou
rce

intermediaries, customers, organization and competitors, which are directly controlled
and managed by the different levels of management. The macro elements include
demographic, political, social, technological and other related factors that can affect
indirectly. It is essential to incorporate and manage these key factors in order to
integrate planning and strategic control. The travel and tourism sector in Scotland is well
developed. In the recent development, the GDP has reached to about 10% with over 20
million visitors every year.
Based on Honey and Mumford learning based style, the four styles helps to integrate
the analysis of marketing development. The pattern consists of questionnaires that
allow direct relation to the development process. This is able to make correct decision
and control measure. In addition, it increases the opportunity to learn and grow
awareness. The four styles mainly involve theorists, reflectors, pragmatists and
activists. Knowing these styles can effectively help to gain maximum potential about
marketing skills and development.
Figure 2: Model of marketing factors
(Source: Beaman, L.G. and Sikka, 2016)
5

The country has a neutral and balanced political and social structure that helps to
integrate the development of tourism in the country. The demographic structure in
Scotland is highly versatile which helps to enable better development in marketing
strategies regarding tourism and travel (Wang et al. 2016). Tourism in Scotland
significantly modifies through an integration of the different variables within the
marketing environment. Organization and public government support in the field of
travel and tourism can help to create and develop better resource development for the
companies associated with tourism industry. It is essential to incorporate better dynamic
control in the micro and macro elements that can effectively increase the growth of
marketing environment and planning process for further development in travel and
tourism.
Discussion of the factors affecting consumer motivation and demand [P1.3]
The consumer behaviour is one of the important factors that can help to influence and
affect the overall marketing environment in travel and tourism industry. Several theory
and concept adversely relate to consumer behaviour and motivation. The concept of
need can help to understand and mitigate the issues in business environment and
marketing (Gretzel and Fesenmaier, 2016). Understanding the needs of the business can
assert to beneficial development in marketing environment related to travel and tourism.
The Maslow’s Hierarchy of need is one of the relevant theories that can respectively use
with the marketing concept in order to integrate development in tourism and travel.
Several factors can severely affect the behaviour of a customer. These are as follows
❏ Safety
❏ Physiology
❏ Socialization
❏ Self esteem
❏ Basic needs (food, sleep, freedom)
With respect to Maslow's hierarchy of needs, these fundamental needs can help to
develop and integrate different indicators relating to tourism and travel industry. This
theory helps to relate significant demand for needs, customer behaviour and
motivational strategies. The two major forms of factors in developing marketing skills
6

can be controlled by pull and push factors. These two factors are extremely important in
integrating tourism and travel industry. The concepts in relation to marketing needs can
also help to process better decision making and control. It is essential to incorporate the
different individual factors that adversely affect the behaviour of a consumer ( Xu et al.
2017). The push factors in the tourism industry are able to determine various elements
with respect to appropriate decision-making and motivate process. These factors are
essential to create better planning and control systems. While on the other hand, the
pull factors are responsible to integrate and develop essential, key elements with
respect to marketing and travel management. The pull factors can help to assert the
existing marketing strategies in the travel and tourism management. Other influential
factors that also affect the behavioural process may include
● The exploitation of web access
● The safety and regulation process
● The overview research on Scotland
● Cost factors
● Environmental factors
Analysis of the principles of marketing [P1.4, M1]
Based on an ideal market situation, it is essential to create and develop better market
plan design. The different variables in a market can help in better understanding of the
important factors. Better levels of planning and development process as necessary to
satisfy the needs of the customer. The process of market segmentation is an extremely
important process, which allows division in the existing market process regarding
relationship, grouping and commodities. The main principles that are concerned with
market segmentation can regard in the following points. These are as follows
❏ Customer needs.
❏ The increase in market share and holdings
❏ Increase in the overall profit share
❏ Retention program
❏ Determination of segmentation in market environment
7

❏ Detailed design plan
These form a total homogeneous characterization of customer process (Tussyadiah,
2016). The basic objective of the marketing environment process enables to concentrate
on a specific resource for developing fundamental market advantage. Based on the
classification of market segmentation, the following determines the respective market
division. These are as follows
Demographic segmentation
The demographic segmentation involved in incorporating specific key elements that
used to integrate market accessibility. This segmentation may include social status,
education, gender, housing and other related variables.
Geographical Segmentation
This form of segmentation includes proper determination of geographical areas,
direction, suitable region and related resources (Orchiston and Higham, 2016). The
geographical segmentation can provide useful information and detail on geographic
positioning.
Psychographic segmentation
The psychographic segmentation holds several factors including customer's lifestyle,
beliefs, cultures, psychological process, values and attitude. It is essential to determine
the psychographic factors, which can respectively affect the overall human behavioural
factor.
There may be different segmentation related to the marketing environment, which can
effectively help to influence the travel and tourism industry. Incorporation of the
following sub-elements in market segmentation and proper understanding of both
physiological and behaviour can effectively improve the strategies in travel and tourism
industry (Pike, 2016). It is essential to interconnect with the ideas related to tourist
topologies that can help to build better design plan and analysis. The related principles
and concepts regarding customer needs can effectively used to integrate motivational
strategies, techniques, and programs in order to support travel and tourism industry.
8

Task 2
LO 2:
Critical analysis of marketing plan [P2.1, P2.2. D.1]
Strategic marketing planning and control process is an integral part of the industry
regarding travel and tourism. In light to travel and tourism industry, the climate in the
marketing industry keeps on changing drastically. It is important to incorporate different
levels of strategic planning in the marketing environment. The various important aspects
of marketing strategies include key factors that are responsible for further development
and integrating process.
Internal strengths, weaknesses, competitors are all key elements of the strategic
planning process. This form of key elements aims to seek proper development and
productivity with respect to travel and tourism industry (Hung and Petrick, 2016). Effective
planning and control design in the marketing process helps to create a better form of
understanding in the market research. It provides appropriate direction in determining
key features of the business environment. In this way, better regulation and control in
the design plan can formulate. Effective design plan and market research with respect
to travel and tourism can formulate appropriate framework and design.
Strength Weakness
Lynott tours Inc. has been effectively
dominant in Scottish travel and tourism
industry for many years. It has near about
2000 employees from different
background all working under globally.
The company has been able to cooperate
with different travel organization globally
In comparison to other major travel and
tourism industry, the company lacks
proper marketing environment globally. In
this competitive market, the company is
unable to continue uniform growth. The
major shareholders have not been able to
provide effective financial support, which
9

that allows better resolution and control.
In addition, it gives a platform for several
transport facilities within the same budget
range.
has resulted in such drastic change in the
company's presentation and features.
Moreover, lack of market fluctuation has
also caused a significant amount of loss.
Table 1: Strengths and weakness regarding Lynott tours Inc.
(Source: Created by the author)
Opportunity Threat
In light of existing opening and facilities,
the company has modified its recent
features. This may include online booking
and tour packages. Increased demand
and needs of the customer have also
resulted in creating better scope and
opportunities. New scope for online-
based resources support can incorporate.
Better resolution and assessment in the
technological field have asserted positive
effect in the travel and tourism industry
In spite of various positive aspects, there
are several negative aspects of the
company. Risks involving proper
management control and business
structure have been the main
fundamental demerits. Uncertainty in the
travel industry has also affected the
overall growth and financial aspects. Risk
of low profitability and competition has
also been the major challenge for the
company.
Table 2: Opportunity and threat regarding Lynott tours Inc.
(Source: Created by the author)
Discussion of marketing research and market information [P 2.2]
The marketing research is an important aspect of the marketing environment process.
Important information and details regarding the specific travel and tourism region can
help to build effective marketing and business management. These forms of marketing
research information used to facilitate the customers in visiting the specific region. The
10

information used in the research can help to influence and build a better form of
communication with the customers. Information and details regarding appropriate region
can highlight different aspects of cultures, beliefs, tradition, wellness and another
beneficial source of information that can help to integrate the marketing activities.
Figure 3: Fundamentals of market research
(Source: Becker, 2016)
Proper incorporation of data in relevance to marketing strategy and plan can make
suitable changes in travel and tourism industry. It is also important to use specific and
authentic information that can help to communicate with the customers in a better
manner. In addition, travel managers can use this useful information to measure the
possible challenges with respect to the customer (Horner and Swarbrooke, 2016). It is
essential to make proper design and evaluation plan in creating effective information for
the specific region. A better understanding of the needs and demands of the customer
can help to build an effective form of marketing research. Management teams in control
of the strategic planning and market research can create evidence-based effective
information that can mitigate relevant challenges in case of insufficient information.
11

Positive and negative influence of marketing [P2.3]
The marketing industry can have both positive and negative impact on the business
environment. These impacts can have adverse effects on individual decision-making
and society. It is essential to measure and control the negative impacts of the marketing
environment in order to mitigate different forms of challenges. Some of the positive
aspects of marketing in accordance to travel and tourism industry may involve better
levels of regulation and control for customers, proper allocation of effective design plan
in case of product or service, increased the level of social responsibility, better decision-
making process (Prebežac et al. 2016). Proper marketing strategies can help to increase
individual decision-making skills, which can allow positive communication with the
customers. Better levels of communication can help to raise awareness about specific
product or service that is necessary to build appropriate self-awareness. Suitable
marketing plans also include proper protection and control of the environment. Better
marketing ethics and values can regulate work process and activities. Incorporating
proper code and regulation can help to assert fundamental development of marketing
practices. Any kind of modifications and changes in the regulation of the company
should have adhered with the marketing principles in order to gain maximum potential
and output.
Task 3
LO3:
Role of marketing mix in travel and tourism sector
3.1 Issues regarding the product, price, place, and elements [P3.1, M2]
After completing a recent tour as a marketing intern of Lynott tours Inc., it explains that
travel and tourism is one of the largest businesses, which earns foreign exchange for a
country. The tourism industry is a key success for a country to develop their national
economic growth (Schroeder et al. 2016). Coming to the point, these things should be
well organized, formed and have a multi-chain in form to get maximum numbers of
tourists. The role of marketing mix related to tourism is essential one. In terms of
12

tourism, the marketing mix consist four elements, which are essential and have benefits
for the tourists (Pathak and Sharma 2016).
Four elements that Lynott tours Inc. tries to follow describes:
Product
In tourism, the product here refers to the place where the tourist is going to visit. In
addition, it includes the accommodation, facilities, entertainment too. Therefore, it is a
combined form of viewing places with total facilities and transportation. This element will
be an incomplete one if any of the components are missing (Xu et al. 2016).
Figure 1: Different elements of marketing mix
(Source: Inversini and Schegg 2016)
Price
It is the most common and the problem arising factor for both tourists and for the
tourism developer. It includes prices of every service such as flight, road transport, rail,
waterways, hotel, and sight-seeing also (Bartkus and McDonald 2016). It also depends
on the location of a specified place. Places not connected with one point to another and
having geographical disorder faces difficulties for pricing (Khalilzadeh and Wang 2018).
Moreover, it can be said pricing in these areas is very much worthy than other places. It
13

also has some effects on tourism. If pricing all over the places in a specified country is
not so much expensive, it helps a lot for the tourists to spend money in an organized
manner (Mossaz and Coghlan 2017). Hence, it is also a good factor for tourism and for
tourists to keep balance while travelling in a different place.
Place
Being a former marketing intern of Lynott tours Inc, it is noted, that nowadays internet is
widely used. Tourists get help using internet for travelling to different places located in
different part of the world. In present days with the help of internet, tourists can easily
book flight tickets, hotel rooms and the place where they wish to visit. There are many
travel companies like Thomas Cook, Cox & Kings and so forth, who plays a big role in
tourism. There are many small firms those who relate to tourism and helps tourists for
everything being a part of these large companies (Sirgy and Uysal 2016).
Transportation, communication, and infrastructure facilities are the most important
factors for tourism. In tourism marketing, the extended point of sales and facility of
purchasing the services in advance needed for the growth of tourism.
Promotion
Organizations those who relate to tourism always try to give true and relevant
information to tourists so they can easily move on. It is a good factor for tourism to
spread the business to the tourists. Here are some of the points given for promotion;
they followed by advertising, publicity, sales, mouth-to-mouth promotion, telemarketing,
e marketing, exhibitions and selling through personal experience.
3.2 Assessing importance of service [P3.2]
As a marketing intern of Lynott tours Inc., the success of tourism business is depended
on service. Better the service tourist receives the more company will be paid. Customer
service is nothing but to give customer real value for what the customer is paying.
According to Camilleri (2018), service at its place has a huge importance in the tourism
industry. Someone who is travelling for pleasure or business purpose to an unknown
place should feel worthy. Else, it can be determined whether the person will come back
again or not.
14

3.3 Concept of tourism product to individual tourism [P3.3, M3, D2]
Figure 2: Tourism product
(Source: Beaman and Sikka, 2016)
Elements that are brought together to satisfy customer needs in form of tourism is
known as a tourism product. Individual tourism refers to tourism that performs in silent
hill stations or vast locations having less population. Tourism product involves every
person stays together for certain time in a place and meets each other (Reino and Hay
2016). On another side, individual tourism gathers local knowledge about the specified
place of a tour. In relevant to individual tourism concept of tourism product is not so
good. It comes with a bunch of benefits where the traveller has to select one benefit,
which can fit him.
LO 4:
Role of the promotional mix [P4.1]
The promotional mix uses various methods and techniques as a tool to create and
develop a better level of communication. A better level of a promotional mix can help to
determine the success of marketing mix. The promotional mix consists of five different
15

elements that help to gain maximum potential and output. The five different mix included
in promotional strategies are as follows. These are
Advertisement
The advertisement involves in presentation, promotion of new ideas, product and
service promotion. Effective promotion can help to integrate work activities, better level
of marketing and business (Inversini et al. 2016).
Selling
It involves in persuasion techniques and convincing techniques that can help to assert a
better level of product or service selling through direct or indirect method. It can be
modify by using better level of communication techniques.
Sales promotion
Media or indirect marketing techniques can influence the sales promotion. Better levels
of media and interconnected marketing channels can help to increase and develop
product promotions.
Public relation
The need for effective public communication is necessary to influence and integrate
marketing activities. The better public relation can stimulate work process and
respectively share proper information and ideas about the product or service.
Direct marketing
Direct marketing enables effective communication methods in the marketing process.
Some of the few examples of direct marketing methods include mobile messages,
internet, websites and emails.
16

Plan and justification of integrated promotional campaign [P4.2, D3]
The need for an integrated promotional campaign is important to target the audience.
The marketing teams need to conduct and promote effective surveys and online
promotion methods in order to integrate marketing skills (Schegg and Stangl, 2017).
Proper allocation of promotional campaigns and techniques may also incorporate the
use of social media mainly faces book, twitter, websites and emails. The form of digital
marketing can help to assert beneficial amount of promotional structure. Better means
of regulation and assessment of the promotional structure can help to mitigate potential
form of challenges in a promotion. The demands and needs of the audience should
integrate properly in order to adjust and modify necessary changes in relation to
marketing promotions.
Action plan
This plan used to integrate and facilitate marketing attributes in favour of travel and
tourism industry.
Market
development
Process
development
Customer
development
Product or
service
development
Key indicator Time
period
 Review
and
regular
researc
h on
market
attribute
s
 Increase
custome
r visits
and
regulatio
n
 Monitor
and
review
distributi
on
strategy
 Implemen
t of
simple
and lean
process
design
layout
 Increase
supply
chain
network
 Develop
better
process
technique
s
 Increase
relation
with
customer
s
 Implemen
t
communi
cation
strategies
 Develop
teamwork
and
technolog
ical
support
 Increase
change
regulato
rs
 Expand
service
develop
ment
timeline
 Develop
new
ideas
and
design
plan
 Revenu
e
system
 Turnove
r
monthly
 New
product
or
service
The
processe
s require
an
estimatio
n of 8
months
to
facilitate
the
mentione
d core
processe
s.
Table 3: Action plan regarding marketing development
17

(Source: Created by the author)
18

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Appendices
Appendix 1:
Role of marketing research
(Source: https://www.google.co.uk/search?
q=of+marketing+research+and+market+information&source=lnms&tbm=isch&sa=X&ve
d=0ahUKEwil7tzy197XAhVFrI8KHX0fBBQQ_AUICygC&biw=761&bih=625#imgrc=BOY
uNn0A7nS4pM:)
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Appendix 2:
Factors influencing customer behaviour
(Source: https://www.google.co.uk/search?
biw=761&bih=625&tbm=isch&sa=1&ei=xPsbWv-
_MMXnvATNhY6ABg&q=factors+affecting+consumer+motivation+and+demand+&oq=f
actors+affecting+consumer+motivation+and+demand+&gs_l=psy-
ab.3..0i24k1.245455.245455.0.245807.1.1.0.0.0.0.135.135.0j1.1.0....0...1c.1.64.psy-
ab..0.1.134....0.t9bG8-3m-iw#imgrc=MZzFCPKWDQIKAM:)
23