INTRODUCTION
Management of tour operation refers to the set of activities performed by a tourism company to serve visitors. Under this tour operators prepare holiday packages with information related to the tour to attract visitors and enhance their sales turnover. LCB Tour deals in providing services related to travel and tourism. This report elaborates on the management of tour operations. It explains about planning decisions that are taken in designing brochures along with the alternatives to traditional brochures for different types of tour operators. Further, it describes different methods of distribution used to sell a holiday package by tour operators. In addition to this, it describes strategic decisions made by tour operators to perform its function. Apart from this it also describes the comparison between tactic decisions that are taken by tour operators.
TASK 1
AC 1.1 Analyze the effects of current and recent trends and developments on the tour operations industry
The tour operation industry is the fastest-growing sector as it contributes to the economic development of the country. LCB Tours mainly offers tourism services to its clients with the help of different types of tour operators. These types of tour operators are described below:
Types of Tour Operators
- Inbound Tour Operators: These types of tour operators provide services within the country to visitors who belong to other nations. In this, tour operators mainly concentrate on local arrangements like pick-and-drop services.
- Domestic Tour Operators: In this type, tour operators mainly provide trip services to residents of the country within the same nation only.
- UK Outbound Tour Operators: This kind of tour operator takes visitors from their local country to make them visit a new country or continent.
- Specialist Tour Operators: Special tour operators usually offer their services to a special segment of people individual who belongs to a niche market can contact these operators to visit a particular geographical area.
Current/Recent trends and developments
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Tourism sectors are adopting recent trends in their working pattern as it enhances several opportunities for the whole industry. Major recent trends that can be opted for by LCB tours are described below:
- Advancements in technology: Updation in technology has made the work of the tourism industry easier as people can choose their package by visiting the website and other applications of a company. It can be said that LCB tourism can enhance its profitability by opting for some latest technology.
- The effect of Brexit on Tourism: Recently, after the incident of Brexit growth options for tourism have been enhanced as Europe can now earn its tourism profitability ratio on its own.
- Increased environmental awareness and Responsible tourism: The tourism industry is not only bound to the same segment. But, it is now also focusing on educating people about the environment. It also advises people not to conduct any activity that might negatively affect the environment.
TASK 2
AC 2.1 Assess the stages and timescales involved in developing holidays
Tours are often organized in various packages according to the number of people places, hotels, food services, transportation, etc. About LCB, the tour operator of this organization mainly considers various factors to serve the best tour packages to people. The whole procedure of the holiday package including all of its stages is described below:
- Market research: In the first stage of tour packages, the tour operator of LCB conducts market research for the whole area to identify major risks, interesting visiting places, hotel experiences, nurses, and other cost-related factors that will be covered in the future.
- Planning and scheduling (determine destinations, hotels, capacity, dates, etc.): After conducting effective market research, it is the responsibility of the tour operator of LCB to plan and schedule the overall tour. This stage includes planning of dates, finalization of the hotel, total number of visitors, and final destination which are going to be covered in the future. This helps tour operator to evaluate the actual cost of the whole trip along with their profit margins.
- Contracting (negotiation with suppliers): Another step of this holiday package is to negotiate with the parties which going to be connected with the same tourism company for the long term. In the context of the tour operator of LCB, the individuals are now making contracts with suppliers. It can be said that these contracts are mainly for 1 to 2 years. With the help of contracts, hotels can now fix their visitor. And if in case, number of visitors increases then also the company deals with the same situation as they have a contract with the hotel. Along with this, rates for hotel rooms are also fixed. And with the changing season hotel manager can not change their price.
- Costing the holiday: The next step of the tour package emphasizes the overall calculation of the whole holiday. It includes the cost of hotel rooms, transportation, destination visits, food expenses, insurance, and many more things.
- Financial Evaluation and Pricing: After finalizing the estimation of costing, the tour operator of LCB, now focuses on deciding sources from which required finance can be gathered.
- Creating the brochure: Another stage of the holiday package describes creating a brochure for the whole tour. The brochure is considered a marketing tool in which the company usually describes its all packages along with its services. It can be said that with the help of brochures, the tour operator of LCB can grab the attention of customers towards unique services that are offered by the same company.
- Advertising: In this next stage, the tour operator mainly focuses on advertising the prepared brochure. It can be said that the company can adopt the latest marketing tactics like social media, and online sharing of brochures. Apart from this, other advertising tools like posters, leaflets, flexes, newspaper advertisements, etc. can be used to grab the attention of a maximum number of visitors.
- Operation and Execution: After the advertisement, it is the responsibility of the tour operator of LCB to execute the overall planning of the holiday package and manage all uncertain activities that might take place in the future. The responsibility of the tour operator also includes ensuring all visitors make their tour enjoyable and safe as it helps them to retain them for the future.
- Post-Tour Management: The last stage of the holiday package enhances the level of responsibility of the tour operator towards the visitor after the completion of the tour. It can be said tour operator of LCB should maintain a connection with all of its visitors as it will help the company attract the same visitors on the next trip. As a result profitability of the company will be enhanced.
AC 2.2 Evaluate the suitability of different methods of contracting for different components of the holiday and different types of tour operators.
Different kinds of contracts can be adopted by tour operators based on their requirements and trips. Some of these contracts are described below:
- Fixed Contract: This type of contract is generated for a specific period to meet a particular purpose. About LCB, the company deals in the tourism sector. It can be said that this organization should take a fixed contract for new domestic tour operators as they can adopt this contract for local vendors.
- Allocation contract: In this type of contract, the tour operator usually enters into a contract which includes a contract with the hotels during peak season. It can be said that this kind of contract is helpful for inbound tour operators.
- Ad-hoc contract: An Ad hoc contract basically plans the cost of the various activities like charges of the hotel on the hourly oan r daily basis. In the context of LCB, the special tour operator of the company can adopt ad hoc contracts with hotels and airlines.
AC 2.3Calculate the selling price of a holiday from the given information
Selling cost is considered as cost which helps persuade buyers to purchase the product from them only.
For example- The tour operator of LCB prepares a holiday package for one friend circle of 21 college students for the tour of London. Its overall budget of 1 day and 1 night is described below:
Accommodation cost: 96*21=2016
96/1.12= 85.7
85.7*21= 1800(For One night)
Cost of one day for accommodation for 21 students = 9000(For 1 day)
Details |
Price(in £) |
Accommodation cost |
9000 |
Transportation cost |
11200 |
Charges of tour guide |
945 |
Total cost |
21145 |
Add: Profit margin @ 33% |
6977.8 |
Sale price |
28122.5 |
As per the above specified holiday package, it can be said that the tour operator has nothashasolved food expenses, and the overall selling cost after calculation is stated as £28122.5. The further calculation for an India personified as £1339.18.
Itinerary for London trip
6 am: Arrive in London
6-7 am: Transferred from airport to Hotel
7-9 Am: Tea and Breakfast in Hotel
9:30 Am- 6 Pm: Departure from the hotel for a London tour through Double Decker in order over all tours of London. The overall tour will include houses Westminster Abbey, parlParliament Squareg Ben, Oxford streStreetwer of London, Buckingham Palace, Piccadilly Circus and both, er attractive places of London. In between visitors will be taken to .. restaurant to for lunch. Tour manThThe tout our also avails variety a of mid snacks during whole the IP.
6-8 PM: Party and dinner in the hotel for students. Overnight stay in Hotel.
Regulatory bodies:
Association of Independent Tour Operators: It is considered a regulatory body in the tourism industry that follows rules and regulations for tour operators. In this interested members are free to operate their business but by following all of the rules only. These board members are liable to decide minimum standards by whichbybyourism companies can perform their business activities with suppliers and customers.
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AC 3.1 Evaluate the planning decisions taken for the design of a selected brochure..
Broch..es are considered the informative paper which is normally used for advertising. About the LCB tours, its tour operators need to make effective planning decisions related to the design. Some of the main measures based on which tour usually takes decisions are described below:
Cost: The cost of the product is usually based on different designs, distribution, quality, and number of copies of the brochure. As the cost of the brochures depends on the design, it can be said that if the tour operator chooses a 3D design then it will increase the cost of the brochure. Away with this, if a person chooses high quality brochure that means thick paper, font size, alphabetical styling, and color of print. In context to the LCB tours, it will be beneficial for its tour operator to finalize a good quality broch which will help to influence interestthe of customers towards tourism package.
Deciding the format: After finalizing the cost of the brochure, another responsibility of the marketing team of tour operators will focus on deciding format of the brochure. It can be said that if LCB Tours wants to convey a more detailed message to clients then they should choose a fold type of brochure. Three brochures are like a booklet which includes information about holiday packages offered by the company.
Target market and budget: The planning of designing of brochure also includes the decision on the targeted market. It is essential for the marketing team to first discuss with the tour operator that they need a brochure for which area or market. It can be said if the tour operator of LCB is targeting international clients then they should design a brochure that reflects their culture. This will contribute to grabbing the attention of international clients.
Determining print specifications: In this step of planning of designing of brochure now emphasize printing media. About specialist tour operators, it is important for them to mainly emphasize the printing of brochures. It can be said that this type of tour operator should include pictures of the location that they are adopting for travelers. This will help visitors to get an idea of the actual location.
Timescale and stages of production:
AC 3.2 Assess the suitability of alternatives to a traditional brochure for different types of tour operator
Brochures are the thicker and consist of information on different packages which the organization is offering to the clients. In context to LCB, the company was using brochures of paper format, but now according to changingthe world scenario this co, this company is focusing on adopting latest the kind of brochures which are hhhelphelp connect in a more efficient and effective manner. Some of them are described below:
- E-brochure: This type of brochure is used by organizations presented on their websites to interact with customers easily. It can be said that the tour operator of LCB, should go with adopting E- brochures as a modern marketing activity. As wheneWheneverrs will visit the website they will be updated with the latest brochure. E-brochure-brochures are adopted by the outbound tour operators as they help tour operators they can contact the clients through emails.
- Social Media: Social sites are considered as the latest updated mode of tourism as it helps tourism companies to interact with clients at less cost. It can be said that social media brochures are helpful for domestic tour operators as local people can upgrade their knowledge about the same package in fast mode.
- Press: Tour operators of LCB, can use newspapers and magazines to share their brochures with the people around them. This mode of advertisement helps increase the interest of people towards the tour packages which will directly influence aseveralvisitors torss on every local trip.
AC 3.3 Evaluate the suitability of different methods of distribution used to sell a holiday for different types of tour ooperatorsdistribution channel helps tour operators to sellt their packages to the customers. Tour operators need to choose appropriate distribution channels in ordertoximumthe the number of holidays holidays to clients. Different types of distribution channels can be adopted by tour operators of LCB tours. Some of them as described below:
- Direct Distribution:- This refers to the type of distribution method where tour operators directly sell holiday packages to their customers without involving any mediator or third party. The direct distribution method is most suitable for domestic tour operators as they perform their operations within their own country. It is one of the most effective ways for tour operators are directly communiccommunicateeir customers which supports them to explain explaining the package in more more appropriate.
- Online travel agencies:- Under this method tour operators generally involve operations to communicate with their customers where they maintain a website over the internet to provide information about tour packages. From these websites, users can access the information and can communicate with personnel of tour operators over the telephone e to their holiday package. This type of distribution method will be more suitable for specific tour operators as they provide services for specific geographical areas.
- ViThe visitor information center is a type of distribution method in which tour operator operators a center where tourist tourists sit ant collect the info in the o available holiday packages. packagepackagesethod is more suitable for inbound tourists as it provides services or holiday packages to people who belong to different countries. So this type of distribution method helps them in providing services to tourist that belong to belonger nation and their holidays.
TASK 4
AC 4.1 Evaluate the strategic decisions made by different types of tour operator
LCB you..rs is planning to adopt new strategies in order total requiremreto to quirementscompany's growthexpectationsn. For this, its tour operatoroperatorsne through some of the latest strategies which are helphelp enhancebility of the company. Some of these are described below:
- Pricing Strategies: Tour operators of LCB tour tours go for discounting strategies as it will attract more number of holiday holidays. Discounts help grab atthetention nf local as well as outsider customers. This strategic decision can be adopted by domestic tour operator operators to increase their number of clients.
- Positioning and image/branding:In this type of decision, outbound tour operator operators persuade customers according to their budget ththathey are only in the tour industry and are offering tourism service services budget only. In context with LCB tours, its tour operator often uses this strategy to attract international tourist tourists time of tours.
- Distribution decisions: In this type of strategic decision, the tour operator of LCB is required to fulfill the requirements of customers at the time of their visit. It can be said that this kind of decisiondecisionen by inbound tour operators as client clients coming from different continue can ask for any than anything.
As per the above-mentioned strategic decision, it can be said that tour operators of LCB tour tours adopt this decision to persuade clients to choose their holiday packages.
AC 4.2 Compare the tactical decisions that could be taken by a selected tour operator in different situations
Tactics..l decisions are considered as a medium of decision based on which they are taken. It can be said that different types of types operators are making tactical decisions situations at the time of actual tours. In context to tour operators of LCB tours, they are mainly considering some of the factors while making decisions at the time of tours. These factors are described below:
- Tactical Responses: Specialist tour operators of LCB tours are required tomake decisionsg to respondtof their clients in a particular situation. It can be said if clients of specialist of tour operator ask for sketching belonging to theirnative country. Then it is the responsibility of Tour the raptor to be prepared for to same situation.
- Tactical Pricing: Pricing of tours varies on the bbased ontion and season in which visitors are visiting it. It can be said that inbound tour operators can avail discounts to their clients which helpsdevelopt the clients in their holiday packages. Along with this, the pricing of holiday packages also depends on the market situation and economic economy of the destination country.
- Tactical Marketing: Tour operators of LCB tours adopt a variety of marketing activities based on holiday packages. For example: domestic tour operators can social media and print media as their marketing activity. This kind of media helps reach local clients in less period operiodSION
As per the above-mentioned report, it can be said that the tourism sector is quite vast in size. Tour operators are USA prepares attraction ve package packagesitors which is economical for travelletravelersovers all the expenses of whole to the ip. On the other hand, it generates a huge amount of money for tourism companies. It has been observed that for preparing an effective holiday package, tour operators must give importance to every stage. It can be said that modern types of brochures like E-brochures, social media, and pre, and ss are more useful for tour operators as they help them to influence clients towards their tour packages. It has been analyzed that distribution channels are finalized by tourism companies based on their different type of tour