Marketing of Travel Service - Essay Example

Introduction The UK Travel agency industry incorporates a vast composition of the facilitators of travelling. The industry has continued to grow over the past decade (Phocuswright Report 2). Customers in the industry are notably more from the UK residents who seek services for leisure as well as business reasons. A key section of the travel agency is the airlines fraternity, which constitutes a major share of the market. Travelling reasons entail those of leisure, for holiday, to visit friends and family as well as general travelling events. it is observable that nearly a third of the customer base is from the business travellers who contribute a major share of the revenue in the industry (Figueroa, 20). Moreover, leisure travel grows with respect to the influence of the trends in the disposable income of the population and the consumer confidence. These factors are key in creating a distinctive understanding of the travel industry in the UK, which remains key economic sector in the UK. Barriers to the industry are also evident component of consideration. It is notable that the factor of competition is leading in affecting the entry of participants into the industry. Particularly the competitive aspect of the industry is a factor of the demand in the need for leisure and business travel, which is highly dependent on the overall economy. The service challenges using the five service characteristics Companies operating in the travel agents industry facilitate several services such including accommodations and travel agents, as well as, tour operators and other associated time-share activities (Phocuswright Report 8). The major operators in the industry in invest extensively in facilitating the services driven by the demands of the business. Consequently, the travel agency business has its fair share of challenges. Key challenges with respect to the characteristics of the service include the competitive landscape as the elemental challenge (Hayhurst & Ian 14). Notably, the competitive platform accounts for the vast and considerable challenges from the establishment that the industry is highly competitive. Further, the industry is more globalised than local, considering that most of the travel services incorporate international travel for either business or leisure. Therefore, as a company is competing locally, it has the obligation to factor the global competitive environment, which enables the company to establish a successful and competitive service with respect to the consumer demands. Small operating companies in the service can specialise in given service niche to allow them survive the local competition. However, the challenge still limits the growth of the travel industry. Another challenge in the service characteristics is that of the management of the products and operations. Notably, the operating guidelines allow for several components all packaged in the travel industry. For instance, services incorporated in the operations such as taking reservations or ticketing for the given customer in the various travel industries reflects accordingly as a challenge. The products in the service include all local and international reservations, such as the provision of supportive automobile conventions among other packages (Figueroa 21). Another challenge, which remains conspicuous in the service characteristics, is that of technology. The advent of technology brought with it several elements of both positive and negative influence. Similarly, in the travel industry, the marketing of this service is entirely reliant on the subject of technology. Technology facilitates a major share if the operations at the local and international capacities. Therefore, observing these developments, the absence of adequate technological components to facilitate and service each of the customers through ticketing and reservations among other activities, causes failure to the work of the travel agent. Assess operations in that sector using the services marketing triangle & the Servuction Model The travel agent work is essentially defined from the capacitive facilitation of the various services entailed in the industry. Consequently, following the service-marketing triangle, it is notable that the industry has several components, which constitute its development and establishment of successful components of operations. The internal marketing of the industry is one key element of the industry, which remains challenging and needy in establishing. In the UK travel industry, the local markets are extensively established and the given core competitors in the industry utilise their aspects such as brand name and being a local household name to evaluate the given space for improvement from the service operations (Hayhurst & Ian 14). For instance, in marketing the given services, the industry operators give all the expected market considerations to capitalise on the internal market. At the external marketing capacity, the use of the quality of service is key in establishing the success envisioned. Therefore, developing a considerable marketing stagey in the UK travel industry is an agenda that allows for international competitiveness of the industry (Andrew 1). The interactive marketing employs the use of technology to facilitate interactive platform for the customers and the service providers. This interaction allows for growth of each of the parties entailed in the service delivery process, allowing for entire success of the travel industry. The Servuction model facilitates understanding of both the visible and unseen components of the marketing entailed in the travels industry. The visible elements of the travel industry include the personnel in contact to the clients. These are essential components of marketing the service as the quality off the service given creates the publicity expected from the travel industry (Phocuswright Report 14). The consideration of each of the given components of the industry allows the success for the travel industry agents to facilitate successful marketing for the consequential service delivery. The industry change over time - use the Interaction Matrix The interaction matrix allows for the evaluation of the number of interactions in the given components entailed in the service and the market of the given industry. This aspect is key in evaluating the given change over time in the consequence of the rise in challenges and advent of better supporting tools for the travel industry. The industry is key in that it is evolving remarkably, developing from the slow establishments of travel to the modern fast travel components. These observations reflect the change in technology and operations over time in the services of the given travels Industry. Marketing in this field is a notable supporting mechanism for supporting the growth of the industry (Andrew 1). The industry report reflects on the areas of change, which continue to occur in the travels industry. The industry of the UK travel agencies is occurring through technological advancements. For instance, online travel agents are taking over the industry and facilitating the growth of market share and operations at a rapid rate. It is observable that over the past few decades, the UK travel agencies reported an increasing trend in revenues and partakers of the services they facilitate ("Agents Win Big As Travel Weekly And Suppliers Tour The Country." 18). Thus, this is indication of the interaction among the given participants in the industry and their contribution in facilitating the growth of the industry. The marketing of the industry is extensive and international through interaction such as the direct contact established between the customers and travel agents through the online platforms and application of technology in the travel industry. Therefore, observing from these advancements, it is notable that the industry is growing remarkably, despite the various challenges entailed in the establishment of the travel industry, the model gives a clear understanding of the contributions of the interactions in the industry to the marketing of the travel agency services. Propose appropriate measures of service quality The travel industry evidently comprises of all the established agencies that actively participate in providing the services of booking, reservation and information on travel both at the domestic and international levels. The agencies may chose to operate from the online or the shop-front settings, nonetheless, it all does reflect in the general outcomes of the industry (Carlson Wagonlit Travel SWOT Analysis, 2). The understanding of the challenges facing the industry is another component necessary for observing the growth of the industry agencies. The industry continue to face advancing and aggressive competitive challenges from the local market as well as from the internationally operating agencies of other countries. Therefore, such competition, although positive, needs addressing to ensure a successful and reliable industry that the consumers will have an established and unshakable confidence (Phocuswright Report 17). Therefore, to solve the challenge in competition and achieve reliable and workable levels of operations, the agencies can adopt given measures of marketing for the services to create enough publicity and facilitate interaction to the clients. Advertising with positive and trustworthy concepts is key to growing customer confidence and market share for the local agencies, to ensure better grounding (Carlson Wagonlit Travel SWOT Analysis 4). Further, improving the quality of the travel services as well as being innovative is another concept to incorporate in growing change for the agencies in the travel agents industry. The travel agencies incorporation of the innovative techniques can include establishment of new line of services which the competitors do not provide, giving them a competitive advantage; hence, success in eliminating the challenges of growth in the domestic market setting. Named providers compare marketing mix It is observable that the advent of technology particularly the internet saw a closer facilitation for consumers to research in depth about holidays and activities related to travel agency. In the UK, there are several such established agencies operating the domestic market share as well as the international capacities. In reflection of the travel agent work, it is notable that the leading travel agents include Expedia, Co-operative Travel, Virgin Holidays and Thomas Cook. These agents are notable and well known in the country and as such, have a vast composition of products for the marketing mix. The reflection of the given participants shows that Thomas Cook is the leading agent in the market at the domestic capacity, holding a total of 31% of the entire market share ("Agents Win Big As Travel Weekly And Suppliers Tour The Country." 20). Similarly, the Virgin Holidays is second holder of the share taking a total of 26% of the entire market share ("Agents Win Big As Travel Weekly And Suppliers Tour The Country." 20). The other agents take the remaining percentages at given smaller proportions. Therefore, comparing the two leading travel agents in the UK, it is notable that each has a vast composition of services, which they all facilitate to the clients. In view of the 8Ps of marketing mix, it is notable that these leading travel agents in the UK have invested accordingly to achieve the given level of development and market control. For instance, in view of the products, the agents offer all the given necessary services in the industry, including travel advisory, ticketing, reservations and accommodation among other added services. The place of location of the two agents is in the UK at the heart of trade in London. However, they also have established branches for support both in other cities in the country as well as at international locations. The pricing of the services is moderate, differing by negligible amounts. The difference is in promotion, as each of the agents applies a different approach to promotion. For instance, Thomas Cook applies promotions through giving vouchers and enticing bargains for the services, while Virgin Holidays does promotions through giving offers for lower costs to given locations. Thus, such differences define the competitive advantage of each agent. With respect to people, both agents have highly trained operators and representatives to facilitate the acquisition of the service. This facilitates interactions between the consumers and the travel agents. The process and performance of the two agents is similar in that they all pursue excellence through the various procedures of delivering services. The travel agents employ their philosophies and mission statement accordingly, with each having structured and defined mission and vision statements, in addition to, objectives for processes. Therefore, observing the travel agents industry in the UK, there s notable growth and the change in technology is contributing accordingly. The industry reflects the input each agent is employing in the marketing structures to grow accordingly. Hence, marketing analysis is key to growth of each of the travel agents in the industry. Works Cited "Agents Win Big As Travel Weekly And Suppliers Tour The Country." Travel Weekly (UK) 2251 (2015): 18-21. Business Source Complete. Web. 14 Mar. 2015. "Andrew: The Biggest Trend Is The Return Of The Travel Agent." Travel Weekly (UK) 2240 (2014): 14. Business Source Complete. Web. 14 Mar. 2015. "Carlson Wagonlit Travel SWOT Analysis." Carlson Wagonlit Travel SWOT Analysis (2014): 1-6. Hospitality & Tourism Complete. Web. 14 Mar. 2015. Hayhurst, Lee, And Ian Taylor. "THE Travel CONVENTION." Travel Weekly (UK) 2192 (2013): 14-17. Hospitality & Tourism Complete. Web. 14 Mar. 2015. FIGUEROA, ANA. "Destination BRITAIN." Travel Agent 344.12 (2014): 20-21. Business Source Complete. Web. 14 Mar. 2015. "Phocuswright Report: Global Edition." Phocuswright Report: Global Edition (2014): 1- 23. Hospitality & Tourism Complete. Web. 14 Mar. 2015. Read More