Business Studies

Marketing Project
Travel Agency
Members: Calvin Wong
Lawrence Lau
Anthony Lau
Tam Lam
Terry Tang

Introduction
Increasing purchasing power
More people are willing to travel
countries they like
Looking for tours with higher
quality and better services
Enjoy a luxury trip

Objectives
Create Brand image
Build reputation among the industry
Establish long-term business
relationship with channel members
Provide a new and tailor-made
experience of traveling to
customers

Market Research
Major competitors: Hong Thai, Wing On,
Morning-Star ( ), EGL Tours (
), Sunflower ( ), Jetour, SKY
Travel
Prices of high class tours to the following
places:
USA + Canada $14,000-$15,000
Europe $13,000-$16,000
South Africa
$11,000-$13,000
Middle East
$7,000-$8,000
South America $50,000-$60,000

 Unfulfilled needs of customers

E.g. South America, Amazon Ecotourism

Special trips
An eating/investment trip with
connoisseur
Pilgrimage tours (specialist in visiting holy
land/ mountain)

In 2007 the overall expenses spent on

traveling by HK people = 107billions

Situation Analysis-SWOT Analysis

Strengths:

Business Class
Concentrate mainly on long distance tours
High Quality Services and Tours
Experienced Tour guides
Front-line staff with language ability
Well-trained employees

Weaknesses
Lack of capital
Lack of support from other channel
members
Lack of marketing expertise
Brand name unknown
Imperfect information of the market
Relationship with airline companies

Opportunities
Unfulfilled customers needs
New tours, package

Threats
Competitors
Market not yet saturated
Customers favor may change
Rising cost
Difficult to survive

Market Segmentation
Demographic
It should be set up near the living
middle-to-high income group
retired people

Psychographic
aims to those:
want to be different
enjoy high-class tours

place of:

Positioning
Super high-class
Grand image
Brand new traveling experience
High quality service
Focus on long-distance travel

Target Market
People with high income
Retired people
more leisure time for traveling
willing to spend a large sum of
money for traveling

Company tours
The youth are excluded due to
their financial status and they tend
to have short-distance travels
such as Taiwan and Japan

Product

Traditional Part:

Four categories: a) America +

Canada b) Europe c) Africa
d) Middle East
America + Canada
Sightseeing:
Eastern USA (Chicago, Washington,
New York)
Western USA (Los Angeles,
California)
Canada
South America (Brazil, Argentina,
Chile)

Europe

Italy + England + France + Spain +

Germany + Portugal
Sweden+ Denmark +Norway +
Finland + Switzerland
Czech + Greece + Hungary +
Austria + Ukraine + Turkey

Africa

South Africa, Middle Africa, Egypt

Middle East

Dubai, Saudi, Arabia, Israel, Qatar

Package
Pilgrimage Tour
Location: Israel
Wailing Wall, Last Supper room, Swim
and Float in Dead Sea

Ecotourism ( )
Travel around the rainforest by helium
balloons
Location: South America, Amazon,
rainforests

Foreign festivals
Beer festival ( ) in Germany

 Historical Trip
Location: Germany
Berlin Wall, Concentration camp,
Wasa Poland-Jewish Monument
A historical expertise provides
German English translations

Skiing Trip
Location: Switzerland
Coaches and all skiing equipment
will be provided

 Features of our trips

at least one experienced and professional
leader and a local tour guide who can
speak fluent Cantonese
direct flight to destination, avoid transits
which cause inconvenience
five star hotels guaranteed
private sumptuous coaches
enough free time for travelers
extra entrance/sundry charges during the
trip are not included
1 professional photographer for phototaking
for any travelers having their birthday
during the trip, 20% off discount
insurance acquired

Place

Places to be considered:

Wan Chai
Tsim Sha Tsui
Happy Valley

Why Wan Chai?

1. Only 1 large scale competitors
in the stated district
2. The people living nearby are
mostly middle income group or
above
3. At the middle of residential area
& business area

Price
Price are set based on the market
price
Price range:
Traditional tours: $10000-15000
Package tours: $15000-20000

In Peak Season, price will be

increased by 20%

 10% discount offered to VIP

members
Extra discounts for VIP members
traveling in their birth month
Discount to children
Discount offered to customers who
sign up for the first time
$1000 discount

Promotion
Advertising
Personal Selling
Publicity

Services Marketing Mix

People
Staff dresses in uniform in shops
Tour guides dress code: always
formal
(e.g. No punk hairstyles; wear
shirt, leather shoes)

 Process
Provide staff with notes on standard
procedures when serving customers
Require staff to memorize FAQs and
useful phrases (e.g. Thank you for
joining our tour. We look forward to
seeing you next time.)
Ask customers to complete quiz to
assess the quality of our tour

 Physical Evidence
Decoration concept of the shop :
Home sweet home
Use wood in designing the shop
Sofa, glass coffee table, large
variety of drinks

Relationship Marketing

Provide VIP membership

Priority to make reservation

Give discounts to VIPs joining

packages
Give discounts to children aged
under 11
Feedback in quizzes is discussed
every 2 weeks to ensure
complaints are handled efficiently

Recommendations

Do regular research on:

1. the popularity of each of the packages
2. the major age groups of different
packages

Allocate more resources to the

most popular packages
Cater more the demands to the
major age groups
Evaluate content of tours regularly

Contingency Plan
Lower the price of the packages
and tours
Eliminate those tours with least
interest

The End