Delivery in day(s): 5
This tour operations management assignment - TUI Group report helps in investigating the tour operators industry of the travel and tourism sector. It also includes different type of operators and products and services offered by them. It explores stages involved in creating a holiday package and determining selling price of the holiday package. This report also discusses the role of modern advertisement tool and a comparison between modern and traditional advertisement and promotion tool used by the tour operators. This report also explain the strategic decision making and tactical decision making taken by the tour operators to establishes them in the industry for the long time period.
I am working as tour operator for “TUI Group” of London, UK. I have prepared a report of organizing sightseeing tour for a group of 45 Chinese students. The tour is organising from London, UK to Paris, France. It is a 5day tourist plan. The tour plan is for summer vacation in August 2018.
Following stages are involved in developing holidays:
Research: As a tour operator I have researched about all the tourist places of London and Paris. I only involved those places for tour which have great attraction in tourist. I included La Villette Park; Canal sent Martin, Eifel Tower, and Montmartre etc of Paris, France (Filby, Stockin & Scarpaci, 2015).
Arrangements and negotiating service providers: For sightseeing in London and According to my plan I will start the tour package from London. I will make arrangements for flight tickets from china to London for the group members and assembled at hotel near by airport. The whole group assembled there at night and then in departure for Paris from there. I have made all the arrangements for their living at the hotel. For travelling purpose I will hire a 50 seat Luxury bus from bus service provider. There will be a tour guide also. I made negotiations with the service providers. All the arrangements for staying will be made in Hotel St Michelle of Paris by us for the whole plan prepared keeping in mind that the whole group of student received full satisfaction with the services provided by us. We are only make arrangements as per the requirement of group.
Fulfil legal requirement: I will also make arrangements as per the legal regulations applicable on tour operators. I will make arrangements for Air Travel Organizer Licence (ATOL) which is managed by CAA in UK and Make other arrangement for the Paris tour which is applicable as per law (Applegate, Bixby & Chvátal, 2009).
These are the stages involve in developing a holiday plan.
There are many parties involved in this tour plan like travelling agencies arranging flight tickets for the whole group, Bus service provider, Tour Guide and hotel. There are different types of contract options available with us we can make contract as per the nature of party and requirement. The contract options available to us are as follows:
So there are many parties involved in this tour plan. We required a manager of tickets of flights, luxury bus from bus service provider, a tour guide who guides the group insight seen. After making research in the market bus service provider are interested in entering in express or unilateral contract. Hotel and living lounge service provider executes bilateral contract or contract under seal in which they defined all the facilities along with their charges in the contract. If we cannot use all the facilities provided by them they also offer us discount in prices. As a Tour operator I will execute the contract with these parties before the tour starting time period.
We are the outbound Tour Operator specialized in promoting and designing multinational tours. We sells tour packages to group or individual of our country and also arrange tours for foreign groups with the cooperation of other domestic tour operators of other countries (Zhu, Hu, Wang, Xu & Cao, 2012).
Travelling agency has established network with partners in France and prepare a plan which provides selling rate of the holiday package as a whole and for each student
Calculation of selling rate of the holiday package:
|cost of rooms||45*54*5||€ 6,210.00|
|cost of BB||12*45*4||€ 2,160.00|
|Total variable cost||€ 8,370.00|
|variable cost in pounds||8370*0.9||£8,154.00|
|cost of bus||£5,400.00|
|cost of guide||£900.00|
|total cost of tour||£14,454.00|
|add:||profit margin 20%||£2,890.80|
|total sales price of tour||£17,344.80|
|number of students is 45|
|price per student will be 3212£|
The above table shows the whole calculation of expenses of the tour package. The total cost of tour is £14,454 including the cost of bus service, cost of tour guide.
The total sales price of the tour is £17,344.80 which includes 20 % profit margine.and the price for per student is £3212. This plan is prepared on considering lowest prices after making negotiation at a special rate with the suppliers of services (Drozdowski, Kowalski & Mizgajski, 2012).
As a tour operator of “TUI Group” London I am working with the marketing department of my company for assessing the different strategy used for selling tour packages by company and planning for designing an attractive brochure.
Brochure is used as advertisement and promotion tool in tourism industry. It can be used as off line and on line tool for conveying information regarding the attractive tour packages and selling prices of tour packages to consumers. We are planning here to develop an attracting brochure for new tour packages because brochures having many advantages like it has low cost, high reach to the large group of customers, brochure can solve quarry regarding the product of company, provide the channel where people can get more information about the product and give information to people if any attractive offer made by the company. For designing new brochure proper search and planning is required.
Factors to be considered for planning related issues: Issues like structure of brochure, objective of brochure, matters involve in brochure, type of customers and time scales are needed to be considered while planning for brochure. Planning for a brochure design involves following steps:
All these steps are followed in designing brochure for “TUI Group” this will result an effective brochure design for the consumers (Tricoire, Graf & Gutjahr, 2012).
Traditional offline Brochure option is also available to with the both organisations “TUI Group” and “Thomas Crook” of tourism sector. With the advancement of technology Thomas Cook group modernise its advertisements strategy and change their medium from traditional brochure to E- brochure. E- Brochure designs are more benefited then traditional brochure printing which includes:
E- Brochure provides much benefit to the company in terms of cost and profit also. As Thomas crook already adopt e-brochure as marketing tool so, TUI Group should go with the option of adopting E- Brochure. E- Brochures can turn out to be more profitable for the business because they are easily assessable for everyone (Slumkoski, 2010).
There are many options available for distribution of services to a tour operator many of them are adopted by Thomas crook. TUI Group should consider each option of selling services and select suitable one. Distribution channel includes following options:
As there are different distribution channels available for the tour operators whit help of these channels they can sale their services. Thomas crook competitor of “TUI Group selling its holiday packages through direct sale, telephonic sales and call centre etc. TUI Group may adopt direct sale option by employee more sales executives. They may also hire agents for selling their services and they can also sale their services online to the customers offer. For adopting these channels tour operators should have effective marketing strategy. So the company can use online and offline method for selling the services (Prideaux, Wei & Ruys, 2010)
Strategic decisions are related with whole environment of the organisation in which a firm operates the entire resources and the employees of the company. Strategic decisions having great importance for any organisation. Strategic decisions deal with the range of organisational activities. Strategic decisions are made by top level management they are very complex in nature and deals with the future of organisation and involve lot of risk. Strategic decisions. Strategic decisions taken by tour operator includes following issue:
While strategic planning tour operators should take care about different key factors because achievement of strategic goal is depend on these factors. These factors involve engagement of staff of all levels, strong communication, creativity, project management and culture of the organisation. TUI Group and other tour operators should take strategic decisions regarding own price strategy, competitive price strategy, marketing strategy, promotion strategy and seasonal strategy considering their visions and mission statement. On the basis of strategic decisions tactical and operational decision are taken by tour operators to carry out day to day functional activities of company (Potgieter, 2010).
Tactical decision making involves decision related with the longevity, profitability and continued improvement of all areas of operation. Tactical decisions are taken by the tour operators so that they can deal with day to day operational activity of business. Tactical decisions are formulated on the basis of strategic decisions taken by the company. Tactical decisions help tour operators in ruining the business in a smooth way. Tactical decisions cover following:
Thus different tactical decisions are taken by different tour operators in different situations arises towards them (Chand, 2011).
The report provides information regarding tour operators industry. It explains hoe a tour operators develop stages for designing holiday packages along with calculation of selling rate of holiday packages. This report gives a brief introduction about E- Brochure and its benefits over traditional printed brochures. This report describes strategic planning decisions and tactical planning decisions taken by different tour operators.
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