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

place of:

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

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