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SEM 003 Group 4
Yung Che Ho Marco
11065982D
Chan Ching Ching Tiffany
11080550D
Choi Po Yee Boey
11123861D
Tam Chun Ho Jeffrey
11227877D
Tam Ling Fei Sharon
11151979D
HTM 2121Tourism and Hospitality Marketing
Travel Agent (Local Tour) for Mainland Chinese Middle-Aged Couples
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Competitor AnalysisOpportunities and ThreatsObjectivesTarget MarketMarketing Mix Strategies and
Programs (4Ps)Implementation MilestoneMarketing BudgetMarketing Control
Presentation Outline
China National Tourism Administration (CNTA-endorsed)
RMB 58 to 348 include many famous destinationsMost of our competitors try to cut the budget tour guide salary “Zero-charge Tour Groups”
Set competitive Price ,Product and Service
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Opportunities Government interest and support in tourism
industry
Economic prosperity of Chinese residents
30.2% Increase in Mainland inbound tour
registration
The sufficient supply in ecological sources
Cultural diversity of East meets West culture of HK
IT development enhancing promotions through
social media (e.g. Weibo and applications for smart
phones)
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THREATSEnforcement of the minimum wage
ordinance
Cross-Border Self-Driving Tour
Imported inflation
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Periwinkle Travel- A flower representing happy memories - Has a strong vitality and lifespan
Mission statement “Through our value-added services and with
our greatest solicitude, Periwinkle Travel would like to be recognized as an outstanding Hong Kong travel agent providing the best and long-lasting unforgettable experience for our customers.”
MISSION
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ObjectivesProvide long lasting romantic experience
during the trip, as well as unforgettable
memories post-trip
Emphasize SERVICES
Attain customer satisfaction in our unique
services
To increase the Mainland visitors’ awareness of
the company name, products and services
At least 15% customer retention
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ResourcesLicensed Travel Agency
Well-trained tour guides and tour escorts
Co-operate with China-based travel agents
to sell our tours and promote the tours
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Target Market
• Segmenting
4 Target Vacation Segments by the Hong Kong
Tourism Board
1) mid-career families with children,
2) middle-aged couples
3) young office ladies and
4) young office men
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Target MarketTargeting: - Mainland middle-aged couples - afford to pay for the premium services - well educated - similar cultural background - 34% of the Mainland tourist population
traveling with their spouses or partners
Positioning: - Services differentiation
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Marketing Mix Strategies and Programs ---Products /
Services
1-day educational based toursSuitable for both same-day visitors
and overnight tourists2 types of tours - cultural and
ecological toursQuota for each tour: 20 tourists
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Product - One-day Cultural Tour
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Product - One-day Ecological Tour
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Product Our tour guides would:
provide basic information about the destination
lead games during the transportation time to provide chances for
visitors to know each other
Pass the Statement of Proficiency in Putonghua & the Certificate
in First Aid
Our company would:
provide monthly updated booklets that would describe and
suggest some must-seen destinations, shops and must-try food
and hotels with detailed transportation information
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Premium ServicesIntroduce destination backgroundgames during transition timeQualification of = Mandarin and = First aid skillsBooklets
PRICINGbased on the competitors’ market price
premium established according to the
value-added services
ecological tour: $400 cultural tour: $420
discounts (10% off) for repeated
customers and couples
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PLACESell tours through the China-based travel
agencies in Mainland and give them back 10% commission
reduce operation cost
- payment can be settled via online payment or by phone
resolve the distance problem
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PROMOTION Advertising (Cheap/free channels)Company websitesocial media (Weibo, Tudou, forums)print publications Applications for smart phones
Sales promotion 10 percent discount
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Milestones
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Implementation Milestone
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Implementation Milestone
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MARKETING BUDGETSales
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Marketing BudgetExpenses
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Marketing Control
•Enable operations on the right track in achieving
objectives
•Evaluations: Conducted every two months
(especially February: Valentines’ Day)
•Evaluation questionnaires: improve service quality
& increase staff morale
•Promotion programs: study the trend of sales
•External Environment Changes
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References (1) Absolutechinatours.com Ltd, (2012). Hong Kong Culture. Retrieved March 20, 2012, from
http://www.absolutechinatours.com/china-travel/Hong-Kong/Hong-Kong- Apple Inc., (2012). Retrieved March 20, 2012, from http://www.apple.com/hk/ Au, K.Y.Y, (2008). An analysis of the potentiality and marketing strategies of nature-based tourism in hong kong. School of Hotel
and Tourism Management. The Hong Kong Polytechnic University. ExpatFlats, (2012). Hong Kong Geography. Retrieved March 20, 2012, from http://www.expatflats.com/ Inflation.eu, (2012). Inflation China – current Chinese inflation, Retrieved March 20, 2012, from http://www.inflation.eu/inflation-rates/china/inflation-china.aspx Lai, K.Y., (2008). Comparison of the travel motivation of mainland chinese tourists to revisit between hong kong and macau.
School of Hotel and Tourism Management. The Hong Kong Polytechnic University. Ho, S.Y., (2006). Marketing Cultural and Heritage Resources for Optimal Cultural Tourism Development: The Case of Hong Kong.
The Hong Kong Polytechnic University. Hong Kong Trade Development Council, (2012). Company Information. Retrieved March 20, 2012, from
http://www.hktdc.com/sourcing/hk_company_directory.htm?companyid=1X074ZKJ&locale=zh_TW Hong Kong Tourism Board, (2011a). Touring. Retrieved March 20, 2012, from http://www.discoverhongkong.com/eng/local-
tours/tour-guide.html Hong Kong Tourism Board, (2011b). Vacation overnight visitors. Retrieved March 20, 2012, from http://partnernet.hktb.com/pnweb/jsp/doc/listDoc.jsp?doc_id=137529&cat_id=6281&logs=yes&type=FREE Hong Kong Tourism Board, (2012a). Market Summary December 2011 – Mainland China. Retrieved March 20, 2012, from
http://partnernet.hktb.com/pnweb/jsp/doc/listDoc.jsp?charset=en&doc_id=141669 Hong Kong Tourism Board, (2012b). Nature Tours. Retrieved March 20, 2012, from http://www.discoverhongkong.com/eng/local-tours/outdoor.html
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References (2) Hong Kong Tourism Commission, (2011). Visitor Information. Retrieved March 20, 2012, from http://www.tourism.gov.hk/english/visitors/visitors_ind.html Next Media Interactive Limited, (2011). A number of large travel agencies, tactics coping with the minimum wage, predicting a half number of tour escorts
would be forced to become part time labor. Retrieved March 20, 2012, from http://public.kayman.hk/appledaily/20110419.html#15180884 Immigration Department, (2011). Annual Report 2009-2010. Retrieved March 18, 2012, from http://www.immd.gov.hk/a_report_09-10/eng/ch1/index.htm#b4_8 Kotler, P., Bowen, J. & Makens, J., (2010). Marketing for Hospitaliy and Tourism (5th ed), Upper Saddled River, NJ: Pearson Prentice Hall Makepolo.com, (2012). Beijing to Hong Kong One day tour. Retrieved March 20, 2012, from http://china.makepolo.com/product-detail/100149561984.html Maslow, A.H., (1943). A Theory of Human Motivation. Psychological Review, 50, 370-396. McKercher B, (2009). Non-travel by Hong Kong Residents. International Journal of Tourism Research. 11(6): 507 – 519. National Bureau of Statistics of China, (2011). China Statistical Database, Retrieved March 20, 2012, from http://www.stats.gov.cn/tjsj/jidusj/ Reisinger, Y. & Turner, L., (1998). Cross-Cultural Differences in Tourism: A Strategy for Tourism Marketers, Journal of Travel & Tourism Marketing, 7:4, 79-106 State Administration of Foreign Exchange, (2011). Data and Statistics, Retrieved March 20, 2012, from http://www.safe.gov.cn/model_safe/tjsj/rmb_list.jsp?id=5&ID=110200000000000000 Sunshine Holiday Travel Ltd, (2012). domestic tour. Retrieved March 20, 2012, from http://www.shtravel.com.hk/index.php?option=com_content&task=view&id=20 Travel Industry Council of Hong Kong, (2011a). The Voice of TIC. An analysis of cases involving mainland tours, 2011(4), 3-7. Travel Industry Council of Hong Kong, (2011b). The Voice of TIC. Industry statistics at a quick glance, 2011(4), 16. Travel Industry Council of Hong Kong, (2012). Find a Travel Agent. Retrieved March 20, 2012, from
http://www.tichk.org/public/website/en/agents/search.html?k_class=org.tichk.Agent"ing=company_name_eng%2Ctrade_name_eng&cat_b101%2Cb102%2Cb103%2Cb104%2Cb105%2Cb106%2Cb107%2Cb108%2Cb109%2Cb110%2Cb111%2Cb112&cat_b201%2Cb202%2Cb203%2Cb204%2Cb205%2Cb206%2Cb207%2Cb208%2Cb209%2Cb210%2Cb211%2Cb212&cat_b301%2Cb302%2Cb303%2Cb304%2Cb305%2Cb306%2Cb307%2Cb308%2Cb309%2Cb310%2Cb311%2Cb312&cat_b401%2Cb402%2Cb403%2Cb404%2Cb405%2Cb406%2Cb407%2Cb408%2Cb409%2Cb410%2Cb411%2Cb412&cat_b501%2Cb502%2Cb503%2Cb504%2Cb505%2Cb506%2Cb507%2Cb508%2Cb509%2Cb510%2Cb511%2Cb512&k_license_number&t_company_name_eng%2Ctrade_name_eng&t_company_name_chi%2Ctrade_name_chi&k_b206=Y
Transport Department, (2012). Land-based Cross Boundary Transport. Retrieved March 18, 2012, from
http://www.td.gov.hk/en/transport_in_hong_kong/land_based_cross_boundary_transport/index.html
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