Potentiality of the Tourist Group Operators-Samples for Students

Question: Discuss about the Potentiality of the Tourist Group Operators in Providing the effective services to the Tourist. Answer: Introduction In the present business scenario, tourism industry is one of the most promising and potential industry (Chon, 2013). In Australia, the potentiality of the tourism industry is more due to the fact that Australia is having tourist destinations ranging from hills to seas to scenic country yards. According to the report, in the last financial year, tourism industry in Australia contributed more than 3 percent in the total GDP. In addition, the rapid development in domestic infrastructure is also contributing in enhancing the potentiality of the tourism industry in Australia. More and more international tourists are coming in the country and it is showing positive trend in the recent years. This report will analyze the potentiality of the tourist group operators in providing the effective service to the tourist. In addition, this report will also determine the viability of these businesses along with their future potential. Business portfolio Tourist group operator is one of the key stakeholders in the tourism business. The main responsibility of tourist group operator is to initiate tourism plan according to the need and requirement of the tourists and covering all the responsibilities of providing the effective tourism experience to them (Erskine Meyer, 2012). There is a huge potential in this business due to the reason that tourist specially coming from the foreign countries always looks for a holistic tourism experience. They are in need of planning management which will provide them the holistic tourism experience. Moreover, due to the fact that, they do not have the idea about the tourism destinations in Australia, thus, they require a reliable partner which will guide them in covering the tourisms destinations. This gap can be fulfilled by initiating tourist group operators. The type of business will be the front office. This is due to the reason that in the tourism industry, the most effective way to deal with the customers is to dealing face to face. Physical dealing with the customers helps to understand the requirement of the customers more effectively. Their expectation from the particular package of tourism can also be effectively determined. Thus, accordingly the service can be offered. In addition, another advantage of having the front office business is to enhancing the trustworthiness of the organization among the tourist. This due to the fact that international tourist will search for reliable sources with whom they can travel. Market scenario According to the data available, total of 7.4 million tourists came to Australia in the financial year 2015. It is also been shown that majority of the people aged 15-29 have been travelled to Australia for tourism. Thus, there is a huge potentiality in catering to the domestic as well as the international tourist. It is also been seen that the positive trend of tourism industry in Australia is rapidly growing. Initiation of the easy process of getting visas is one of the determining factors for enhancing the positive trend of tourism market. It is been estimated that by 2020, the overnight expenditure in Australian tourism industry will be more than $115 billion. Thus, the market potential is huge for the tourism industry. Market targeting strategies This organization will initiate various strategies to target the probable customers. The tourist group operator will promote various promotional activities to reach out to the customers. The customers will be offered customization options through which the customers will be able to design their own travel plan (Fogliatto, Da Silveira Borenstein, 2012). It will attract more tourists. Due to the fact that the tourism industry is growing, enough tourists will be interested to avail these facilities. There are two probable reasons for them to avail these facilities. One of the reasons is the requirement of the tourists of having a reliable support system which will be provided by this organization. On the other hand, another reason is the personalization option. Thus, the customers will have the full freedom in determining their own travel plan. The promotional activities will be initiated in such way that it will reach out to the target segments (Riefler, Diamantopoulos Siguaw, 2012). The target segment will be the customers having the purchasing power to spend in expensive travel plan. Thus, the marketing media will be the travel channels in the television and various travel magazines (Berthon et al., 2012). The first or initial process of filtering will be done at this stage. It is being expected that the customers having the purchasing power will only be interested in availing the services. The last criterion will be the providing effective customer services to the target segments (Hakanen Jaakkola, 2012). The age demographics of the target segments are the young couples, baby boomers and college students. Thus, the customer segments are quite diversified. Service will also be provided accordingly. The preferences for the baby boomers and the young couple will not be same. Thus, leisure will be the main criterion of providing the service to the baby boomers. On the other hand, adventure will be main concern of providing the service to the college students. Initiation of romantic holidays will be the main concern of providing the service to the young couples. It will help to effectively cater to the diversified segments of customers. Market action plan The primary market area for operating will be the New South Wales. This is due to the reason that according to the figure 2, New South Wales is the largest contributor in the tourism GDP compared to other Australian states. Thus, it can be assumed that the potentiality in the market of New South Wales is more than compared to other states. This is the key reason of choosing the New South Wales as the primary market. If the organization gets success in the initial stage, then the market area for operation will be expanded. This strategy will help to reduce the business risk being involved for the organization (Sadgrove, 2016). Marketing channels will be selected keeping in mind the taste and preference pattern of the customers. Various television channels such as travel channels and travel magazines will be used for the promotional activities. It will help to reach out to the target customers more effectively. Advertisement will be designed in accordance to the preference pattern of the higher end customers who will be able to pay the money for the tourism service. In addition, the promotional activities will be carried out in extensive manner to reach out to the global customers. Social media marketing will also be initiated to engage with the potential customers along with determining the customer feedback effectively (Kim Ko, 2012). Conclusion Having analyzed the potential market for the tourist group operator, it can be concluded that this organization is having huge opportunities in the Australian market due to the fact that the tourism market is booming rapidly. It is been identified that the New South Wales will be the most potential market for the organization to start their business. The market segments are also being determined in order to effectively identify the marketing activities. The strategies for providing customer service are also being discussed here in this report. It is being expected that effective implementation of the strategies being discussed here will help to cater to the customers more effectively and it will further help to enhance the market share. References Australia's Tourism Industry | Bulletin December Quarter 2011 | RBA. (2017).Reserve Bank of Australia. Retrieved 30 August 2017, from https://www.rba.gov.au/publications/bulletin/2011/dec/3.html Berthon, P. R., Pitt, L. F., Plangger, K., Shapiro, D. (2012). Marketing meets Web 2.0, social media, and creative consumers: Implications for international marketing strategy.Business horizons,55(3), 261-271. Chon, K. S. (2013).Tourism in Southeast Asia: A new direction. Routledge. Erskine, L. M., Meyer, D. (2012). Influenced and influential: the role of tour operators and development organisations in tourism and poverty reduction in Ecuador.Journal of Sustainable Tourism,20(3), 339-357. Fogliatto, F. S., Da Silveira, G. J., Borenstein, D. (2012). The mass customization decade: An updated review of the literature.International Journal of Production Economics,138(1), 14-25. Hakanen, T., Jaakkola, E. (2012). Co-creating customer-focused solutions within business networks: a service perspective.Journal of Service Management,23(4), 593-611. Kim, A. J., Ko, E. (2012). Do social media marketing activities enhance customer equity? An empirical study of luxury fashion brand.Journal of Business Research,65(10), 1480-1486. Riefler, P., Diamantopoulos, A., Siguaw, J. A. (2012). Cosmopolitan consumers as a target group for segmentation.Journal of International Business Studies,43(3), 285-305. Sadgrove, K. (2016).The complete guide to business risk management. Routledge. Tours and Activities Need to Tap Into The Youth Travel Market. (2017).Rezdy. Retrieved 30 August 2017, from https://www.rezdy.com/blog/tours-and-activities-need-to-tap-into-the-youth-travel-market