Marketing In Travel And Tourism

Analysis of Marketing In Travel And Tourism

Introduction to Marketing In Travel And Tourism

Travel and tourism is one of the fastest growing industries in the world with consolidation of large number of people with it. People move from one place to other for various reasons such as personal leisure, business interest, education and learning, medical reasons and to explore new places. This industry has evolved by undergoing changes in several stages in both the supply and demand side. Demand side refers to the consumers whose choices and preferences are changing with very fast pace and supply side includes the operators, travel agents and other entities who are engaged in this sector to provide services and products to their customers.

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With the expansion in domain of operations, marketing has become an important component. Selling professionals enable the organizations to reach potential customers through effectual promotions, attractive advertisements and other methods. Report is prepared to elucidate different components of marketing; concepts and principles; its role and the way in which marketing and promotional mix is used in travel and tourism sector. For the purpose, Thomas cook which is a leading tour operator of the world is taken into account. Report throws light on the methods that are adopted by an organization in order to promote its package for summer holidays 2016 to Morocco and Egypt.

Task 1

1.1 Core concepts of marketing for travel and tourism sector

Marketing refers to adopting the strategies and policies to draw attention of large number of customers to the organization to deliver maximum satisfaction to the customers by targeting in an efficient manner. There are certain concepts and principles which are followed by the marketers to make it effectual:

Customer’s need wants and demands

Travel and tourism is the customer oriented industry in which companies are operating with the prime focus on fulfilling the needs and wants of customers. Realizing the significance of this sector in GDP and seeing it as a great source of income, selected organization which is Thomas Cook seeks to know the customer’s preferences and choices. For this purpose, organization adopts methods such as conducting surveys and interactive marketing. In surveys, with the help of questionnaire, wants are identified. On the other hand, interactive marketing is a two way method in which direct interaction of the employees of the organization is made with the customers. They address them with their offerings; gather their opinions and views to make the services and products more resourceful.


Research analysis plays a vital role in the process of marketing that are undertaken by Thomas Cook. They seek to position their products in value oriented market with the use of effective strategies to gain profitability. Trend analysis enables the organization to introduce diverse products and bring changes as per the suitability.

Product and services

Customer feel satisfied with the diversity of offerings that are available to it. Realizing the need, Thomas Cook offers range of products and services by widening the domain of its operations. Number of packages is offered to the travellers with so much of variety to satiate the needs of customers.

Customer satisfaction

It is the fundamental element of marketing, and hence it is being considered while processing all the business functions of the organization. Thomas cook is recognized for delivering personalized and thoughtful services to their customers. It conducts training and development sessions to bring improvement in them and make the experience of their customers memorable.

Exchange process

It refers to the swapping of tangible and intangible products and services offered by tour operators.

1.2 Principles of market segmentation and its uses in marketing planning

Organisations operating in travel and tourism industry aim to maximize the sales and large revenue generation. They realises the fact that consumers are not homogeneous in nature. There are varied ranges of choices and preferences that are hold by consumers. Prevailing of market conditions and influences of factors in different environment leads to the development of effectual strategies by them. One of the most lucrative strategies is market segmentation. It refers to the division of markets on the basis of similarities of interest of consumers. Market is segmented by selected organisation in the following manner:

Geographic segmentation

It refers to the division of market on the basis of natural features and topography. In that context, in-spite of making a single package, Thomas cook has prepared three types of packages to tour for Egypt and Morocco. Two individually for countries and one as an integrated package that target to make a tour for both the places successful.

Demographic Segmentation

In this type of segmentation, division of packages is made on the basis of age groups, income differences; choices such as different packages for kids, adults, family. Further, there is the classification on the basis of budget preferences where one is for elites and other is for economical packages.

This segmentation is of great significance for the marketing planning. In that respect, planned and systematic approach is adopted by the operators to prepare a plan and tour which is referred to as the typologies. With the inculcation of set of activities, typologies are prepared by Thomas cook as per the market segments. Adopting this process enhances the consolidation of customers and also increases the profitability.

Task 2

2.1 Importance of strategic marketing planning for a selected travel and tourism business

With the increased domain of the working in travel and tourism sector, competition in market has become so fierce in nature. Turbulence in market led the organization to come and enter with effectual strategies and policies. Organized and structured way of planning is adopted by Thomas cook. It is processed in following series of steps:

Market analysis

It is imperative for an organization which is operating in the industry to be cognizant about prevailing market situations and trends. It is in order to prepare the strategies accordingly. This enables them to know about the customer's current choices, preferences, degree of competition with other organization offering similar kind of services, market share, use of technology, availability of human resources, laws and regulations of government and other legislation with whom a country is abide to comply with. It also includes the analysis of destinations according to life cycle model of the tourist areas.

Internal analysis

After external analysis of the market and outer environment, it is essential for an organization such as Thomas cook to do internal analysis. This company has done the same by using SWOT model analysis. It assesses the current situation of organization by over-viewing its four aspects that are; strengths, weakness, possible opportunities and threats or obstacles faced by it in growth and development.

Strategic formulation

After the overall analysis of organization on internal and external grounds, strategies are formulated by the senior management of Thomas cook with the inculcation of all the components in it. Thomas cook uses ANSOFF's matrix to reach large number of people by promoting its products and services through market penetration, market development, product development and diversification.

2.2 Relevance of marketing research and information to managers

Market research is the prerequisite for the organization to establish its prominent position. To enhance the share in market and reach large number of people, organization adopts strategic planning. Market research helps the organization in various ways:

Organized planning

With the foremost aim of the market research, it enables the organization such as Thomas cook to proceed in its operations in an organized and planned way. It refers to the execution of all the operations in several departments at different places in lucrative manner. It helps in arranging the tasks as per their sequence. By using planned approaches, Thomas Cooks avails certain benefits as well.

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Gathering resources

When there is precise and particular market research done by analysts and specialists in the field, it helps in creating the systematic account of resources needed for the execution of strategies and policies. It leads to the availability of resources in proper manner from authentic sources. Due to this, Thomas cook also come up with the contingency planning that reduces the risk of failure to it. In case of promotion of packages at Egypt and Morocco, Thomas cook has prepared contingency plan.

Relational constructs

It enables to build good relational constructs with the customers, suppliers and other trading partners. With the buildup of good relationships with the other components, Thomas cook is able to install better technology in processes and bring innovation in products and services which helps in increasing productivity and profitability.

2.3 Influence of marketing on society

Along with affecting the strategic framework of the organization, Thomas Cook has the significant impact on society in several aspects:

Economic impact

Marketing is processed by several elements such as the organizations itself like travel agents, tour operators and other firms attached to it providing customers the ancillary services. Along with them, there are several groups such as Government and other legislative agencies that attract large number of tourists to the nation and makes investment with context to tourism. This trickles down to the improvement in the economic situation of the society by improving the facts and figures related to the population. This mainly includes employment rate with the opening of new industries, increase in exchange rate value due to foreign exchange earnings, better inflation rate, earning of profits to the attached organizations and firms and many others.

Social impact

When marketing is done on different platforms such as published media, radios, TV's and other mediums, it brings awareness among the people for the preservation and conservation of nation's assets and prevents them from damage.

Cultural impact

In present time, people are going away from the culture of nations thereby marketing is done to increase the domestic and international tourism which also enhances the knowledge and information of people about culture, values and essence of nature. It is executed in the form of campaigning and programs conducted by NGO's and non profitable organizations.

Task 3

3.1 Issues in the product, price and place elements of the marketing mix

In order to process the marketing mix, organization encounters several components such as product, price and place. With the inculcation of all these components, marketing plan is prepared. While considering these element organizations such as Thomas cook faces certain issues:


Customer's choices and preferences are changing at a fast pace. It is fluctuating in nature with the very frequent changes. Keeping that in consideration, Thomas Cook offers wide range of packages in different modes of transport. It provides packages via air, road, train and cruise. Along with the traveling facilities, it provides ancillary services such as financial services, insurances, baggage facility, airport lounges, transport facilities and many more. It includes several services such as in accommodation, food service, entertainment, adventure and many more.


Packages are prepared by Thomas Cook by factors of finances and budget into consideration. As per the requirements and, budget, preferred services and products are distributed among the packages. Several options of accommodation are provided to clients such as villas, hotels, apartments, cottages, guest houses and other. Further, cuisine and food choices are included in packages as per customer’s needs.


In marketing mix, one of the crucial factors is place or the destination which is chosen by the operator to provide product and services. Marketing is done differently as per the place and its features.

3.2 Importance of service sector mix elements to the travel and tourism sector

Marketing mix is the combination of two components; product mix and service mix. Travel and tourism is the customer oriented industry in which the prime focus of organization is to provide quality products with outstanding services to their patrons. Service mix encompasses some components which are considered by Thomas cook as well:


The central part of organization is the people that are associated with it. They play a crucial role in the marketing process. In Thomas Cook, marketers are responsible for preparing plans and policies on the basis of which promotion is done. They adopt attractive measures to capture the attention of potential customers around the globe.


While preparing the plan for the promotion of tour to Egypt and Morocco, working of all the departments is taken into consideration. Marketing differs as per the nature and quality of services provided. Employees are engaged in number of services such as finance, marketing, human resource and many more. This accounts to showcase the offerings in different manner.


With an aim to provide the personalized and exceptional services to the customers, it is intended to improve the quality in each area. For that purpose, training program and development sessions are conducted to bring more warmth and preciseness in services. New methods are taught to serve people. Faults are removed and along with that adaptability are brought into use with the use of high tech equipment and advanced technology. By organizing apprenticeships and digital training, efficiency of employees are increased to the great extent.

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One of the crucial components of service mix is the interactive marketing. It is the method adopted which is by employees who are engaged in customer service department at Thomas Cook. They maintain direct interaction with customers and travelers to showcase their offerings and also seek opinions and views about their preferences and choices. This method is adopted by Thomas cook thereby proves to be very beneficial for them to consolidate large number of customers with it. Moreover, it builds a trust towards organization as they come in comfort zone with it.


For marketing in the organization, different places are used such as direct communication and internet. Through direct selling, place chosen is the location of organizations, educational institutes, corporate offices and others. At these places, promotion is done so as to reach at the potential customers. Further, internet is effectively leveraged such as through promoting the products at social media, connecting through emails and other modes of digital marketing.


To satisfy the range of customers in organization, there are ranges of products which are offered by Thomas cook. In that regard, pricing is done accordingly in different ranges. Pricing of packages are places in the variable manner so that large number of people can avail the benefits as per their convenience.

Physical evidence

The services provided by them are both tangible and intangible in a manner such as it is identified that the tangible services are provided such as in the form of food service, adventure sports, accommodation whereas intangibles are provided in the forms facilities such as better customer dealing, entertainment and other related.

3.3 Concept of total tourism product to an individual tourism business or tourist destination

At present, there is no industry who works in isolation. Each unit works in the integrated manner with the inculcation of several components in it. Thomas cook adopts the model of total tourism product method. According to this model, organization provides services to the customer with the implementation of several other requirements by collaborating with other firms. Thomas cook adopts this model in a planned and integrated way in which it gets combined with other organization in vertical and horizontal manner. Vertical integration refers to the linkage to other firms which offers similar kind of services to provide better experiences to the customers. On the other hand, horizontal integration refers to the collaboration to the organization by providing supplementary services such as financial services, insurances, ticket booking, entertainment and other. Through adopting this process, Thomas Cook work together with organizations such as TRAILFINDERS who provide services to entertain people with adventurous sports and activities. It is processed under the supervision of expertise and specialists. Further, linkages to airlines and other modes of transport providers make the journey of travelers to Egypt, Morocco and other parts of world comfortable at every stratum. Agreement or linking with other hotels and accommodation facilitators, Thomas Cook generates revenues and connection with large number of people. It enables the firm to provide large amount of choices to customers such as hotels, villas, cottages and many more.


From the above study, it is inferred that organization such as Thomas cook has the prominent position in market with the availability of resources in travel and tourism sector. Along with this, it is endowed with efficient analysts and marketers who promote the offerings and enable them to reach wide stream of public. An efficient plan is prepared by Thomas Cook to gather large number of customers for the summer holidays 2016 tours to Egypt and Morocco.


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  • Cook, R. A. and Marqua, J. J., 2014.Tourism: The Business of Hospitality and Travel. Pearson Education.
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