MARKETING IN TRAVEL AND TOURISM

Name

Class
Professor
Institution
City, State
Date

MKT

MARKETING IN THE TRAVEL AND TOURISM INDUSTRY

Marketing is a critical aspect that cannot be deemed as a separate function in any
business. It is a social and administrative practice by which people or groups gain what they
require through the creation and exchange of products and services with others. The process is
linkedto the promotion of sales of commodities and services. Moreover, it is an integrated
practice through which organizations build clear and strong client relations and create values for
consumers so as to capture value from customers in return. Therefore, marketing process is
essential to the sound performance of the travel and tourism industry. Through marketing, new
ideas and research are stimulated, leading to new services and goods. Long-term profitability of
the firm in the travel and tourism industry is ensured through the knowledge and application of
marketing concepts where the clients needs are recognized, hence offering products and services
that match the expectations of the customers. Therefore, as a tour operator and assistant
marketing manager for Thomas Cook marketing team,it is imperative to have the knowledge of
the principles and concepts of marketing in the industry. In this view, the following report
discusses and analyses these policies and further explains the ways in which they affect the travel
and tourism sector. Hence, the most significant factors and elements of marketing in the industry
will be looked at by presenting a clear understanding of the marketing approach required to
ensure the success of the organization in its venture for 2016 summer holidays in Egypt and
Morocco.

TASK 1: PRINCIPLES OF MARKETING IN THE TRAVEL AND TOURISM

SECTOR
1.1.

The Core Concepts of Marketing for the Travel and Tourism Sector

MKT

The central concepts of marketing involve achieving of business objectives and are
dependent on the determination of the requirements and wants of the market as well as offering
the needed contentment that are better than the rivals. Moreover, they include the creation of
lasting client relations and should not be confused with the phrase Selling Concept (Kotler &
Armstrong 2013). Instead of being product-centred that involves the make-and-sell idea,
marketing idea should be customer-centred, which follows the sense-and-respond principles.
Hence, the idea is not getting the right client to like and buy the products; however, it is the vice
versa where the desirable commodity that is required and wanted by the consumer is supplied.
Kotler and Armstrong (2013) affirm that the marketing concepts begin with a clearly defined
concentration on the consumers requirements, market, as well as the combination of all the
marketing practices that influence the clients. Hence, it meets the business objectives through the
creation of lasting customers trustworthiness based on worth and contentment.
Through the application of the ideas discussed above, the marketing approach in the
travel and tourism sector will ensure that the needs of the customers are looked at and hence the
products and services offered will be suitable for satisfying those needs. Hence, the primary
target revolves around the customers, their preferences, and coming up with a link between the
customers and the products and services offered by the business. Hence, these concepts involve
consumer needs, market, integrated marketing, and profits through client satisfaction (Middleton,
Fyall & Morgan 2009). Marketing idea means that a business concentrates its entire efforts on
ensuring that customers are satisfied. Therefore, for the travel and tourism, company marketing
orientation is necessary and will involve the management accepting the marketing idea as well as
acting in agreement with its provisions. It increases the probability of success in the industry.
Moreover, customer satisfaction is vital in the industry as it increases the competitiveness of the
business in such a competitive industry. Also, the company will have to apply market

MKT

segmentation in its operations and marketing since not all people are alike, and this ensures that
the needs of different groups are met. Finally, the value of the products and services offered by
the business in the hospitality industry should reflect much on the expectations of the consumers
by having the ability to satisfy their wants and needs.
1.2.

Impact of the Marketing Environment on Travel and Tourism Businesses

In order to remain competitive in the travel and tourism sector, marketing is essential.

Moreover, organizations in the industry should understand their clients and their demands.
Besides, it is necessary to make potential consumers aware of the goods and services provided,
convince them, and assure them that they will benefit if they become customers to the travel and
tourism business (Kotler & Armstrong 2013). Therefore, marketing in the travel and tourism
sector is associated with these issues. Since the aim of marketing is to show the customers and
potential clients the opportunities offered by the travel and tourism business, it significantly
increased the performance of the organization through the attraction of more customers. Hence, it
increases the demand for the products and services being offered. Through the influence of
marketing on the Thomas Cook Group in Egypt and Morocco, the company creates motivation
and demand by showing the world that it has a suitable atmosphere or environment where the
customer can get satisfaction for their leisure needs. Marketing in this industry has the effect of
increasing the sales of services and products by improving demand and sales and hence
increasing the companys revenues by attracting more customers to the destination. Moreover, it
also increases the competitive advantage of the business ensuring that it maintains a proper
position in the industry. For example, by offering discounts and special treatments such as fair
prices the travel and tourism organizations have the ability to draw customers to their

MKT

destinations and hence making them, enjoy things that were not in their minds before marketing
and promotion.
1.3.

Factors Affecting Consumer Motivation and Demand in the Travel and Tourism
Sector
The consumer motivation and demand in any industry are mainly linked with the

physical, cultural, prestige and status, and personal features. Therefore, the characteristics
mentioned above also apply in the travel and tourism sector. Hence, the consumer motivation and
demand in the industry are influenced by physical needs that include body and mind
refreshments through relaxation in beach holidays, mountains, or lakes. Moreover, the physical
motivations are also motivated by health reasons and pleasure. On the other hand, cultural
motivations include the curiosity about other places and people away from home, interests in
things like music and art as well as historical places (Middleton et al. 2009). The personal
motivations and demand may involve visiting friends and family, looking for new and different
experiences and meeting new friends and people. Finally, the prestige and status aspect is where
motivation and demand occur through factors such as continuation of schooling, the pursuit of
hobbies, fashion, and many more. Moreover, political environment also affects the industry, for
example, the 9/11 terrorist attacks barred many visitors from touring the USA. These attacks
nearly stopped the American tourism industry completely.
Therefore, the need to travel or visit a place as a tourist depends on the explained factors
of motivation and each customer has his or her on motives and demands. Hence, the satisfaction
of the needs and wants of different clients by the travel and tourism business is important in
ensuring that the existing customers are maintained while the likely ones are attracted to the
products and services offered. Therefore, information about the potential clients is important for
the organization in determining the motives and demands behind their travelling and their chosen

MKT

destinations. With such information at hand, it is very easy to ensure that consumers are satisfied
with the products and services provided by the travel and tourism business.
Additionally, the demand for travel and tourism sector is also affected by pricing,
environment, and the value gained. When a travel and tourism organization charges very high
prices to its clients, it is likely that the customers will look for an alternative destination.
Therefore, pricing is important in the industry and consumers should be charged fairly. The
visitors or tourists target at maximizing value for their money and hence the products and
services offered should be capable of meeting their desires (Kotler & Armstrong 2013).
Moreover, the environment in which the business is located should be safe and conducive and
hence attractive to many. A serene setting is the best for the company since many tourists travel
to have fun through relaxing and resting while having satisfaction.
1.4.

Analyse the Principles of Market Segmentation and Its Uses in Marketing Planning
At Thomas Cook Group
Segmentation in travel and tourism industry refers to the process of dividing the entire

market of tourists, or the market zones such as business or holiday travel, into segments or
subdivisions for marketing management functions. The aim is to make it possible for more costeffective marketing through promotion, formulation, and offering of products that meet the
requirements of the target market or groups (Middleton et al. 2009). Therefore, segmentation
achieves a greater effectiveness in supplying goods and services that meet the recognized
demand as well as increasing the marketing efficiency.
So, Thomas Cook Group needs to target particular subdivisions because of the setting and
the characteristics of the travel and tourism business. It is advisable that the company should
have the continuous scope and tactical opportunities for changing the mix of profits realized by
the present arrangement of segments, through focusing on new segments and influencing the

MKT
marketing mix. This way, there will be a strong and clear incentive to improve the generation of
revenue from the collection of markets and products offered over time. Applying the principles
of market segmentation by the company will ensure that the risks that are attached to singularity
in marketing techniques are thwarted since different groups of consumers will be addressed in
the process (Middleton et al. 2009). Moreover, having several segments is likely to increase
revenues since the business covers a broad market by offering different products and services
depending on the ability of the customers to purchase as well as other factors such as culture,
age, and religion.

MKT

TASK 2: MARKETING AS A MANAGEMENT TOOL IN TRAVEL AND TOURISM

2.1.

The Importance of Strategic Marketing Planning In Travel and Tourism Business

Strategic marketing planning prevents a company or management from making wrong

choices. It involves the gathering of data in an organized way and afterward incorporating the
data into a comprehensive analysis that assists a business long-term marketing objectives
(Middleton et al. 2009). Because Thomas Cook Groups market presence is significant in North
Africa, Morocco, and Egypt, which is a renowned tourist destination, the companys strategic
marketing plan ensures that it is in a position to maintain and expand its market share. However,
many things changes with time and, therefore, the elements of flexibility are needed in the plan.
There are several benefits that the Thomas Cook Group will gain from the process of
strategic marketing planning. Moreover, all of them are essentially associated with the expansion
and development of the business in the travel and tourism industry. The plan will assist the
company to recognize where it wants to be as it engages the establishment of concrete goals,
which outline the company down to particulars, for example, client-related goals, costs, and
products (Kotler and Armstrong, 2013). Moreover, the business will be able to come up with a
fixed structure, which performs as a reference for the course of action, budgeting, and client
service. With a proper strategic marketing planning, the organization will also benefit from the
removal of unnecessary programs and improve the concentration of the significant elements.
This way, the plan will help in the understanding of the target clients and market segments since
the data offers a lasting foundation for decision-making.

2.2.

The Relevance of Marketing Research and Market Information to Managers in the

Travel and Tourism Sector With Reference to Thomas Cook Group

MKT

Marketing research seeks at gathering significant data from the clients. Regarding the
travel and tourism industry where the tourists are the clients, there is the need to strengthen the
relationship between the business and customers through the enhancement of the quality of the
commodities and services provided. Hence, marketing research acts as an essential instrument to
meet such requirement. For instance, having the marketing research of the environment and the
willingness of the people to visit the destinations in Egypt and Morocco will create a clear
picture of the possibility of the returns targeted by the company.
The Thomas Cook Group managers are required to engage in marketing research and
consequently, gain the market data that can be used to obtain inference that is useful in the
formulation of the marketing plan. Therefore, the marketing research will allow the company in
the tourism industry to get and combine data reflecting clients needs and satisfaction. Moreover,
it offers statistics on consumers frequency of visits, nature as well as profiles (Kotler &
Armstrong 2013). The research is also helpful in the determination of the activities and facilities
that are doing better than others and hence the management can take steps to improve. Once
significant data concerning customers is obtained, the business will be in a position to make
conscious choices and strategy to ensure that customers are satisfied. Therefore, with marketing
research, it is possible to come up with deals and packages and communicate them appropriately
to the target customers and market.
2.3.

The Influence of Marketing on Society

The role of marketing is to come up with fulfilling relationships that profit both the

business and the customers. It is also accountable for most of the tasks, which bring profits to a
company. Marketing has an enormous influence on the modern society since it plays the role of
bringing the business and the customers together through telling or informing the community
what the business has to offer. Through the marketing process, the society or the clients are

MKT

capable of knowing the products and services available at a particular place and time. Hence, the
process educates the community as it recognizes the needs of the consumers and explains the
way the products and services are capable of meeting such needs. For the customers with visibly
outlined wants, marketing process offers the ways of learning about fresh products and services
and their ability to satisfy particular needs and wants (Evans, Campbell & Stonehouse 2012).
Therefore, the consumers will benefit from the knowledge of products and services obtained
from marketing, to fulfil their desires.
Marketing also influences the society in a manner that the consumers expectations are
managed through consistency that arises from the product loyalty making the clients rely on the
trusted brands. Moreover, the society is also notified of certain changes in the industry such as
transfers of ownership and mergers, which affect products and services offered by marketing
(Kotler & Armstrong 2013). Therefore, marketing mainly influences the society by outlining the
availability of products and services that can be used to meet the society needs. This increases
the consumer demand to use such products and hence improving the quality of life of the people.

MKT

10

TASK 3: ROLE OF MARKETING MIX IN THE TRAVEL AND TOURISM SECTOR

3.1.

Issues in the Product, Price and Place Elements of the Marketing Mix

Product
In marketing mix, the product is the mixture of the intangible and tangible rudiments. The
travel and tourism product, mainly the destination, are only experienced. The view of the travel
place to the destination, the facility, and accommodation in addition to the entertainment at the
travel and tour destination are what form tourism product. Therefore, the tourism product is a
compound product blend of transportation, facilities, and attraction. All these components have
their significances in the product mix. When one element lacks the product mix is not complete.
Price
The pricing in the marketing mix of travel and tourism industry is a very complex
process. Pricing involves the selling price of services as a bus, hotels, and air travel. All these are
incorporated in the travel and tourism package. Moreover, the pricing in this industry depends on
the environment or the geographical location of the business as well as the seasonality; However,
the essential element in pricing. The tourist managers try to obtain the either the discount of
geographical location or seasonality to match the supply and demand. Moreover, pricing is also
dependent on the rivals pricing. For instance, Easyjet is recognized for its welcoming service as
well as fair costs of flights. However, as far as the company is making profits, the other things
come later. It can be involved in lowering of its flight cost below other airlines since it sell
numerous units per day because of its fair price and hence having a competitive advantage in the
industry. Therefore, the Thomas Cook Group should consider all the elements involved in the
pricing of their products and service to ensure that they are attractive to the customer and that
they have a competitive advantage over their rivals in the industry (Evans, Campbell &
Stonehouse 2012). Therefore, information about the current pricing trends in the tourism sector
is significant for the success of the business. For example, the business can decide to utilize the

MKT

11

cost plus pricing where it considers the cost of products and the percentage profit targeted. If the
production cost of tourism product costs $20 and the business wants 100 percent profit, the price
of the product at the destination will, therefore, be $40. Another good example of pricing strategy
is the odds even pricing where a product may be charged at $1.99 instead of $2.00. The former is
much more attractive as it psychologically plays with the consumers minds.
The government regulations also affect the pricing, for example, the price may change
because of the changes in air price brought by increment or reduction in taxation and other
conditions influenced by government regulations. Moreover, if the hotel fees also change the
travel and tourism pricing package changes. Tourism product pricing is a complex issue because
of its compound characteristics. The decision of pricing can be affected by the geographical
location of the travel and tour destination. However, the demand and seasonality element cannot
be overruled. A significant way in which this industry reacts to the highly complicated pricing
situation is to function at two levels. First it matches with the marketing plan that is concerned
with the products positioning, money value, long-term investments, and many other elements.
The second one corresponds to tactics involved in marketing where pricing is influenced to go
with the recent competition and demand.
Place, access, or convenience
For the marketing reasons, the place does not only refer to the position of the tourist
destination or facility. It refers to the geographical location of all spots of sale, which offer
potential clients with contact to tourist products and services (Ashworth & Goodall 2012). For
example, the place for 2016 summer for Thomas Cook Group is not only in Morocco and Egypt
but includes other various tour operators and travel agents located all over the world selling the
business products. Therefore, through proper marketing choices by the company potential
customers for the Thomas Cook Group can get promotional data anywhere worldwide and
purchase the offered products. The tour operators and travel agents are just some of the means in

MKT

12

which convenience or place can be accessed by clients that should be developed by the business
in question.
The comfort of a location for a self-catering organization, for instance, comprises direct
email to potential customers, the use of phone numbers as well as easy access to services and
products through computerized booking plans (Ashworth & Goodall 2012). From the late 90s,
many tourism companies, the Internet has transformed and globalized the idea of convenient
access through the bringing of direct contact with numerous homes of the potential tourists.
Hence, the adaptation of these factors by the company will ensure that a broad market is covered
and, therefore, increasing the chances of the business to getting the attention of clients, which
will translate to increased revenue and profitability.
3.2.

The Importance of Service Sector Mix Elements to the Travel Sector

The previous section has discussed the basics of the marketing mix; however, the service

sector also considered the elements of physical evidence, people, and process. The combination
all the elements have significant contribution during decision-making by managers in the
industry.
Physical evidence
The travel and tourism attractions are costly and hence must be made tangle must be,
therefore, made tangible through physical amenities like the plan of the destination, arrangement
as well as comfortable seats during travel. Moreover, sign posts, which show route maps and
other directions, information about the regulations of visitors spots and utilities are also included
in the physical evidence.
Prints such as posters play a significant function in the progress of tourism destinations.
Since the tourism is physical, it is a requirement to exemplify it thoroughly. This can be achieved
by the business by offering a detailed brochure that demonstrates the way various rudiments of

MKT

13

the plans are designed to involve all the significant data to ensure the holiday destination is of
quality worth for product and services status, and money is well matched.
People
The people have a significant role in the industry. Ways in which the tourists are treated
by the local people is also very essential in the travel and tourism industry. These people include
the companys staff, travel agents and operators as well as the guides. Hence, Thomas Cook
Group should be in a position to assure the tourists of quality services and treatment during travel
and the way they are handled in their tour destinations in both Egypt and Morocco. One of the
most significant elements in travel and tourism marketing is the personnel who ensure that the
requirements of the visitors are attended (Goodall & Ashworth 2013). The staffs, ranging from
the transportation crew, receptionists to resort representatives are very significant in marketing
and the success of the company in catering to the needs of the clients.
Moreover, the people who interact with the clients in the industry, more so, at the tourist
destination are included in the element of marketing. Training and skills are, therefore, essential
to ensure that such people are knowledgeable regarding the products and services offered.
Furthermore, the guides and the travel agencies are some of the most significant element in
service sector mix since they portray a lot concerning the business in such an industry (Ashworth
& Goodall 2012). Therefore, it is advisable that the Thomas Cook Group should ensure they
offer their best practices throughout. These people are to exercise patience, have tactics to
change the potential customers into regular clients, poses a good sense of humour as well as
having a vast understanding of place and linguistic skills.
Process
In the tourism industry, the functional process depends on the size of the business. The
chronological steps included in the provision of services and products to the tourist must be
followed by Thomas Cook Group in the two countries and include:

MKT

14

The delivery of travel data, where all information concerning the travel is conveniently
offered to the potential customers who want some clarification regarding the suggested
tour
Arrangement of itinerates that is a composition of sequence of processes that are needed
to design the tour
Connection with supplier of services
Scheduling and pricing tours depending on the selected destination as well as personal
preferences
Ticketing, which has been modernized by computerized reservation plan for travel
Offering of insurance as well as foreign currency
3.3.

The Concept of the Total Tourism Product to an Individual Tourism Business

Total tourism product can be said to be the compilation of all the experiences enjoyed by

a tourist from his or her place, travel, and all that is enjoyed in the tourism destination. On the
other hand, the individual business in the travel and tourism sector is one of the elements
involved in the whole experience or the industry (Evans, Campbell & Stonehouse 2012).
Therefore, since, the individual business is just a single aspect of the whole experience. It is hard
for it to offer all the satisfaction required by a tourist and many borrow or include all the other
elements from other suppliers to form a complete or total tourism product.
Hence, for total satisfaction of the visitors or customers during their tour, individual
businesses collaborate to ensure that what is needed by the consumers is achieved. Different
businesses include travelling agents, tour guides, service providers, hotels and resorts, and many
more. Therefore, there should be coordination between the individual businesses to form a total
tourism experience that in this case is the total tourism product.
TASK 4: THE PROMOTIONAL MIX IN TRAVEL AND TOURISM

MKT
4.1.

15

The Integrated Nature and Role of the Promotional Mix

Integrated promotion mix is a phrase utilized to illustrate the holistic advance to

marketing. Its objective is to make sure constancy of the employment of media. The idea
involves the offline, and online product promotion means. Hence, it includes the combination of
all the processes of marketing and hence makes the decision-making process easier. The
technique is utilized to ensure there is a clear and concise process of providing a message to the
consumers about products and services available in an organization. Through the use of various
means of marketing, the process utilizes the holistic essentials of the marketing mix, which
include the 7Ps of the marketing mix, techniques, and resources. Therefore, it increases the
influence on consumer decision in purchasing products and services hence maximizing revenues.
Personal selling, advertising, as well as sales promotion, are the activities involved in the
integrated promotional mix. The function of the promotional mix by a business in the travel and
tourism industry is to increase the competitive advantage over the rivals. Moreover, through the
promotional mix, it is easier for the business to market itself and realize a sound marketing
strategy (Goodall & Ashworth 2013). Therefore, the company is capable of concentrating on
improving the product market by utilization of various marketing techniques.
4.2.

An Integrated Promotional Campaign for Thomas Cook Summer 2016 Holidays

Thomas Cook summer 2016 holidays need to ensure that all the elements necessary for

the promotional campaign are included. Since it involves brand promotion, the communication
conveyed through various means of promotional mix must be consistent concerning illustrating
the potential and the dynamics of the products and services that are offered. Therefore, the
elements are significant in creating awareness of the product through the integrated promotional
strategy for the 2016 summer holidays package.

MKT

16

The campaign should, therefore, include aspects of online marketing that mainly revolve
around social media such as Facebook, Twitter, and others. Moreover, offline marketing through
sales promotions, personal selling, TV adverts, and billboards will also be significant when
properly applied. However, the key point to note is that all the promotional techniques need to be
clear and consistent. Besides, the promotional campaign should touch all the segments in the
market through market segmentation to ensure that all the target customers are reached. Hence,
the selection of the promotional features for the 2016 summer holiday should be based on the
marketing research in Egypt and Morocco as the main objective is to get the potential customers
attention to visit the tourism destination for the summer holidays.
In summary, marketing is very significant to all business in different industries, and the
concepts applied in the travel and tourism industry are mainly the same one used in others.
However, in this industry, some alterations should be considered since it mainly deals with
services. Moreover, the customers in the tourism sector are primarily people from different
geographical regions having different cultures and preferences and hence this calls for the
integration of various concepts to ensure that all the potential clients are included. By achieving
this, the company will be able to achieve its primary goal, making a profit, while offering quality
products and services that appeal to customers of all statuses. Moreover, it should be noted that
the success of goods and services being promoted depends on the suitability of the marketing
mix by the current trends in the industry.

MKT
References
Ashworth, G. and Goodall, B. (2013). Marketing Tourism Places, Volume 2. 2nd ed. London:
Routledge.
Evans, N., Campbell, D. and Stonehouse, G. (2012). Strategic Management for Travel and
Tourism. Oxford: Taylor & Francis.
Goodall, B. and Ashworth, G. (2013). Marketing in the Tourism Industry (RLE Tourism): The
Promotion of Destination Regions. London: Routledge.
Kotler, P. and Armstrong, G. (2013). Principles of Marketing. 15th ed. Upper Saddle River:
Prentice Hall.
Middleton, V., Fyall, A. and Morgan, M. (2009). Marketing in Travel and Tourism. 4th ed.
Amsterdam: Butterworth-Heinemann.

17