Hobart Travel International Marketing Plan - Case Study Example

Hobart Travel International Marketing Plan by (Name) Course: Professor: University: City and State: Date: Table of contents 1.0 Executive Summary………………………………………………………….....................3 2.0 Situation Analysis…………………………………………………………………………4 2.1 Market Summary…………………………………………………………………...4 2.2 SWOT analysis…………………………………………………………………….5 2.3 Competition…………………….…………………………………………………..6 2.4 Services……………………….……………………………………………………7 3.0 Marketing Strategy………………………………………………………………………..8 3.1 Marketing objectives…………….………………………………………………….8 3.2 Financial objectives…………………………………………………………………9 3.3 Target markets………………………………………………………………………9 3.4 Positioning………………………….………………………………………………9 3.5 Marketing research…………………………………………………………………9 4.0 Financials…………………………………………………………………………………..10 5.0 Monitoring and Control…………………………………………………………………..11 6.0 References………………………………………………………………………………….12 1.0 Executive Summary Hobart is one of the tourism companies based in Tasmania, Australia. The company offers competitive tourism services like transport and tour guides. Tourism industries have continued to grow and the tourism market keeps on getting larger. With the creation of middle class in most Asian countries, it is prudent that Hobart Travel expands its branches (Olujimi, k. 2014, 205-210). Hobart Travel continues to perform exceedingly well in the competitive Australian industry. The company’s policies have seen it survive the periods of economic recession and it continues to attract tourists from far and wide due to its excellent services (Seymour, F. 1981, 123-30). The company emerged as the third most profitable tourism company in Tasmania in 2013. Currently the company is embarking on a mission to expand its branches to other nations globally. The company has wide and varied goals and objectives. It hopes to be the best tourism travel company in Australia and beyond (Palmatier, W.2008, 153-67). In order to achieve this, the company plans to provide unique and competitive services that will satisfy its clients. Hobart Travel aspires to open at least one agency each in European and Asian countries. Hobart Travel has adopted several strategies to ensure that it achieves its goals and objectives. It will liaise with the state government and support it to promote tourism in Tasmania. The company also plans to affiliate itself to institutions that offer tours and travel courses so that they can continue to be at par with the changes in the tourism industry (Everitt, R. 2012, 31-37). Hobart Travel will start by opening two agencies every year in the Asian countries followed by the same number of agencies in the European within the same period of time. It is also going to refurbish its vehicles and hotels so that they are up to standard within a period of two years (Tanner, J. 2010, 23-25). Finally, it will embark on intensive advertisements and campaigns. 2.0 Situation Analysis Hobart tourism industry is involved in providing travel services, accommodation and tour guiding to local and international visitors who visit different recreational parts in Australia. The travel services are either through air or sea with air travelling services exceeding those of sea. Accommodation is available in many parts of the Hobart city. Many hotels provide accommodation to the visitors of the city (MTD Training. 2010, 45). Hobart tourism industry has also set up standard hotels in which the visitors put up at very reasonable prices. Tour guiding is provided by the employees of the Hobart tourism company who are well trained on how to handle and cater for their customers. The employees of this industry are locals who are well acquainted with the environment and geography of the visited places (Wrightman, L. et al., 2013, 11-17). Hobart tourism industry intends to increase the number of employees who guide the visitors in their tours as well as put up more buildings to cater for the visitors’ accommodation. We intend to expand our industry internationally and to have airlines based on the countries where we plan to put up our agencies. 2.1 Market summary Hobart tourism industry provides its services to its customers. The industry’s customers are both local and international. With the local customers their numbers increase during holidays as then is when they have time for leisure. For international market, the visitors are also seasonal. Hobart tourism industry intends to extend its market both internationally and locally by increasing its recreational resources as well as by making sure that they provide services to their customers which will make them desire to be back as well as tell other people of their services (Stokes, R. 2010, 34-47). 2.2 SWOT Analysis Under SWOT analysis, we shall look at the strengths, weaknesses, opportunities and threats. Strengths and weaknesses are internal business factors while opportunities and threats are the external factors. The world is a place of continuous change and innovations and with the internet such changes take place very rapidly. Hobart travels intends to work on the strengths and minimize the weaknesses as much as possible. Strengths 1. Increasing airline capacity 2. All major Australian airlines fly to Hobart 3. Support of regional airlines by local businesses and residents 4. Sea market attracts different customers 5. Tourism Tasmania line is owned by the Tasmania government (Tourism Futures International, 2012. 28-30) Weaknesses 1. Slow growth in Tasmania’s economy and smaller population of air travelers. 2. High seasonality of tourists and visitors confined to a three month window period of summer 3. Capacity of sea travel constrained during the peak period 4. Price reduction do not stimulate demand (Tourism Futures International. 2012, 28-30) Opportunities 1. Create a calendar of local and national events to promote tourism during off peak times. 2. Evaluate promotion of brand Hobart Travel across all sectors of the industry 3. Do aggressive marketing to fill and capitalize on the additional seats with an aim of making long term occupancy 4. Make arrangements for long term population growth 5. Increase campaigns on tour drive market segment (Tourism Futures International. 2012, 28-30) Threats 1. Airlines prefer to fly to more profitable and higher volume destinations 2. Reduced and constrained economic stimulus impacts on business confidence and investment 3. Current and future lack of capacity to accommodate the sudden surge of visitor numbers during the peak times. 4. Decline of drive market as a percentage of total number of visitors touring Tasmania (Tourism Futures International. 2012, 28-30). 2.3 Competition The decision of customers to buy our services depends on the high quality tours that we have been providing (Whalley, A., 2010, 102). This is compounded by classic and competitive accommodation and hospitality services. Our major competitors come from the following areas: 1. The local traveling companies that also offer competitive services within Hobart 2. Other states in Australia that have magical destinations and are easier to access. These include Victoria and New South Wales among others. 3. The international tourism markets all over the world especially Africa. 4. The competitive airline transport in the European and Asian countries makes tourists to visit other destinations . 2.4 Services Hobart Travel offers a wide range of tourism related services that continue to appeal to customers and promote business. The services are varies with options that are customized according to client needs. The services offered by Hobart Travel include air and sea transport, hospitality and accommodation, tour guides and agency services. 1. Air and sea transport: Hobart Travel prides itself in providing comfortable and competitive air transport to its clients. Air transport ticket is usually booked in our numerous branches that are spread all over Europe, Asia and Australia. Sea transport is provided between the islands that surround Australia. We have a qualified team of personnel who are ready to assist any customer in our agencies. 2. Hospitality and accommodation: We provide excellent and competitive accommodation facilities according to customer’s needs. Our accommodation services are available for all classes of clients. Hobart Travel provides high quality hospitality services. These include customer relations and food. Since we are conversant with the challenges that one is likely to meet during tours, we do ensure that our response to distress calls are faster and effective. We serve both domestic and international food types that are tailored according to the needs of our clients (Shukla, P., 2008, 24-32). 3. Tour guides: Hobart Travel employees versatile and efficient tour guides. The guides are trained in both local and international languages. Our guides’ purpose is to ensure that tourists are taken to memorable destinations where they see the strange, weird and beautiful Australian animals together with horizons of magical landscape. The vehicles used for tour are customized to provide great ability to cover the rugged Australian terrains with ease and comfort. 4. Agencies: Hobart Travel has opened several travel agencies in most of Europe, Asia and china. These agency purpose to give customers a stress-free arrangement, and planning services since they handle everything that will be needed by the tourists during their travel as well as their period of stay in Tasmania and Australia. 3.0 Marketing Strategy Our marketing strategy is focus. We focus on our strong area in order to continue providing quality services to domestic and international tourists. We specialize in accommodation and hospitality, tour and travel guide and air and sea transport. Hobart Travel focuses on three geographical markets; Asia, Europe and United States where it plans to provide transportation, accommodation and hotel services. The target customers are the middle and upper class individuals who are interested in having wonderful and memorable vacations. 3.1 Marketing Objectives 1. We need to establish ourselves as experts. This means being mentioned in major trade press, increasing recognition and given the opportunity to represent other similar industries in major events. Our specific and measurable and achievable objectives is to be introduced in the major events (Lecinski, J., 2011, 50-74). 2. We need brand name. This year we need to create a brand name that be used to refer to us by our clients within the target market. 3. We need to open two agencies in Asia and the same number in Europe every year for the next three years. 3.2 Financial Objectives 1. Booking of hotels amounting to $ 2,000,000 in 2014 and $4,000,000 by 2018. 2. Offering transportation services up from $ 1,300,000 to $ 2,300,000 within the same period 3. Making annual profit of $ 3,000,000 by the year ending October 2017. 3.3 Target Markets As indicated above our main target markets will be the middle class citizens from Asian and European countries. These two will provide the most profitable market in all area of our specialization. We shall also consider USA and the domestic market (Burnett, J., 2008, 130-64). 3.4 Positioning For those tourists looking for the best tour, travel and accommodation services; Hobart Travel offers transport from many regions within Asia, Europe and USA directly to Hobart city. At our headquarters in Hobart city, we provide the most competitive accommodation services. We also offer promotions where lucky tourists can win extended holidays and visit more destinations free of charge (Jarvis, J., 2007, 165-99). 3.5 Marketing Research In our market research we dealt with three elements which were: 1. Economic situation of Asia, Europe and USA; the three regions were found to be stable economically with the Asian countries registering a large number of citizens crossing to the middle class level. 2. Most of the people in these regions had no awareness about the tourism industry that is in Tasmania and Australia at large. Furthermore, they thought that tourism is more expensive and is only meant for upper class citizens. 3. Transport and accommodation services were satisfactory according to the tourists’ ratings we therefore need to improve in the services provided in the hotels and during the tours (Shukla, P., 2008, 89-96). 4.0 Financials Our plan expects to have up to two million tourists hiring the services of Hobart Travel with a total expenditure of $ 8,000,000 in 2014 to an expenditure of $26 million in the year ending 2017. By the end of the three year period our marketing expenses will also have dropped to $1,000,000 from the planned $2,400,000. This will ensure that the company makes a profit of 57%. Our plan will take two important trends; First, the company will market the tourism in Tasmania with Hobart travel as the brand when the peak tourism period approaches. Then considering the effect of the advertisements in will increase, by hiring, accommodation services. 5.0 Monitoring and Control Due to the large investments done by Hobart Travels, it will ensure that it continues to make profits as well as ensure customer satisfaction and increase the volume of clients that use Hobart Travel. Monitoring and evaluation will be done in the following ways: 1. The client number will be taken and compared to the previous ones. 2. The clients can be asked for responses using a questionnaire or oral interviews in order to rate the services provided by the company. 3. The monitoring team will also study the effectiveness of the marketing together with the brand name adopted. References Burnett, J., 2008. Core Concepts of Marketing. Georgia: Global Text Project. Everitt, R., 2012. Permission Marketing. London: BookBoon. Jarvis, J., 2007. 85 Inspiring Ways to Market Your Small Business. How to Books. Lecinski, J., 2011. Winning the Zero Moment of Truth. New York: Vook. MTD, Training.2010 Effective Marketing. London: BookBoon. Olujimi, K., 2014. Marketing Communications. London: BookBoon. Palmatier, W.R., 2008. Relationship Marketing. Arizona: Marketing Science Institute. Seymour, F., 1981. Marketing Ideas and Social Issues. New York: Project Gutenberg. Shukla, P., 2008. Essentials of Marketing Research; Exercises. London: BookBoon. Shukla, P., 2008. Marketing Research. London: Bookboon. Stoke, R., 2010. eMarketing. The Essential Guide to Online Marketing New York: Flat World Knowledge. Tanner, J. and Raymond, M., 2010. Principles of Marketing. New York: Flat World Knowledge. Tourism Futures International.2012. Tasmania Access Study: Final Report. Hobart: Tourism Futures International Whalley, A., 2010. Strategic Marketing. London: BookBoon. Wrightman, L., Hughes, J., Powers, D., 2013. New Year New Marketing Plan. Dallas: Hughes Marketing Solutions. Read More