Assignment
1:
Most of you have travelled to foreign countries, either alone or
with their parents/friends or relatives. You probably made use of a tour
operator’s package and ‘bought’ this package at a travel agency or directly via
the internet or telephone. As an introduction to this assignment you may want
to discuss your travel experiences in relation to; what was actually
purchased:
• Was it just an air seat or a real package?
• By whom it was offered, where and how did the purchase take
place?
• Were there any other services purchased?
• For what reason was that specific tour operator/travel agent
chosen, was it a direct selling company?
• Did you look for various alternative companies that offered a
similar package/product?
• Can you remember who the carrier was, what the name of the
accommodation was, and whether this was important to you?
• Would it have been possible to contact and make reservations
with the suppliers directly?
• Were you satisfied with the actual package/quality in terms of
the price you’ve paid, etc, etc.
• Have you been surprised by any unexpected service element in
that package in a positive manner?
On the basis of this discussion, state three main elements of a
successful package tour.
Doing business with ‘Experiental’
The product development department of
‘Experiental’ is very busy during the whole year. Wintersport Holidays as well
as the Summer Holiday Packages should be presented at the Holiday Fair, the Vakantiebeurs
in Utrecht. This one takes place every year in January. The more adventurous
holidays are presented at the ‘Op Pad’ fair (major consumer fair for tourism)
in March. This is the period when people decide where to go or to book their
holiday. When a holiday is planned, the department is very busy by getting the
best deals, hence to offer their clients an unforgettable experience for a
competitive price. Of course, the product department coordinates its activities
with the marketing department. Understanding the decision-making process of its
target groups is crucial to be profitable.
Tour operating is business. ‘Experiental’ is a well-established
tour operator employing around 10 staff members with 3 interns. Interns often
conduct the competitive analysis and work for the marketing department. During
high season, temporary staff is hired or incoming tourist organisations are
used as intermediates. Planning and organising is important, their clients have
rights by international law and regulations. The tour operator ‘Experiental’ is
specialised in offering tailor made packages for around 12-16 participants per
group, but they can also offer individual tailor made travel packages.
Information meetings are organised to inform the tourists before travelling and
to get together once before.
Experiental is going local
On the one hand long-haul travel to exotic
destinations is still expected to increase worldwide in the next five years. On
the other hand the long-haul market is very sensitive to political or social
influences affecting the perception of security of the travellers in a negative
way (9/11, Sars, civil war, etc.). As we
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might see this year for the first time in two decennia of growth,
the long-haul market could show a decrease in growth numbers or a slight
negative result.
The company 'Experiental' offers a broad range
of long-haul destinations. During the last year, the owner developed a new
business plan in cooperation with the financing bank. Due to the potential
risks which are involved in short period long-haul travel including the
questionable nature of the cost-benefit balance, especially in the light of
sustainable tourism. The owner realized that the main question is basically,
how can we offer sustainable long-haul travel products if only the flight to
the destination already pollutes our atmosphere with the amount of the
pollution of a car for driving 40.000 kilometers. The financing bank had also
some concerns about the product portfolio of Experiental which is rather heavily
depending on economics of long-haul travel containing a potential risk due to
political and social changes.
Next to the consolidation of the long-haul
portfolio, the business plan contains some long term objectives about adding
short-haul destination into the product portfolio for the inter-european travel
market. The new product range should focus on the neighbouring countries of the
Netherlands. Due to the long term (20years) expectations of global warming, the
Netherlands will be better of than the southern regions of Europe and market
share need to acquired as fast as possible. Therefore, the management of
Experiental decided to develop a couple of products within the northern region
of the Netherlands, Germany and Denmark including the islands. The choice for
this region is based on the experience of the owner of Experiental during his
sailing tours in the Wadden Sea, a unique natural phenomenon and protected
natural biotope. The unspoiled Waddensea region in the northern part of the
Netherlands and Germany offers a high potential for real sustainable nature and
culture based tourism, the owner strongly believes in. He proves this statement
with a couple of reports and forecasts he included in the businessplan to
support his strategic objective to develop some national tourism products and
by doing that, stepping into the incoming and short-haul tour operating market
instead of only focusing on outgoing tourism.
Geographical Area Wadden Sea
The region is defined as the Wadden Sea region
which goes from the northwestern part of the Netherlands to the German bay
including some of the southern Danish islands like Romo. The area where the
package should be executed includes the islands and the area up to 50km into
the hinterland.
Target markets
The focus is on three target markets which are broadly described
as:
• Young and sportive
• Families
• Silver Surfers (50+ with a high disposable income)
Product Managers
The product development department consists of
3-4 staff members. (Divide your PBL-group into 3 groups). The staff deals with
requests for holiday packages. Typically, such a request is processed according
to the following steps.
• Within 24h you reply to the request. (the quicker the better,
competitors are quick as well)
• You get into conversation with your potential client identifying
his/her wishes.
Make sure that even in this early stage of
customer contact, your service contains an added value that differentiates you
from competitors. Make sure that this added value relates to your companies
mission and values. Such an added value can be surprising promptness of reply,
extensive support on choices to be made, interesting alternatives etc.
• You create and present a package to your client.
• Once the client accepts your (adjusted) offer, you send your
quote (offer) to the still potential client.
!!! Whatever the potential client might want or ask, make sure
that you set up a communication infrastructure to be able to respond as quick
as possible.
A quote includes (depends also on the request) at least:
• A short presentation of the company (image, logo, mission
statement)
• A brief general introduction of the destination
• The tourist itinerary
• Information about the costs
• Information about what is included and excluded
• Information about holiday documentation
• A check-list do’s and don’ts in case your customers are about to
travel to a natural or cultural vulnerable place.
Your tutor will provide you with a request for a package holiday
via a contact email-address. You have to provide your tutor with the contact
details of your tour operating agency as soon as possible.
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