MARKETING FOR TRAVEL & TOURSIM

INTRODUCTION

In the marketing for travel and tourism report, the discussion will be about low cost airline in the UAE under the hypothesis name UAE International Airline. The purpose of marketing for travel and tourism report is aimed at to investigate and present findings in relation to marketing to known agencies in the UAE to increase our business. The outcome from this report is to understand the various aspects of marketing mix while applying it practically in the travel and tourism (UAE International Airline) for better analysis.

The objectives of marketing for travel and tourism report are: • To identify the role of marketing mix of the UAE International Airline. The outcome from this objective is to present role of marketing mix that can be used by any low cost UAE International Airline. • To gain analysis of the components of promotional mix as a competitive advantage in terms of price and quality. The outcome from this objective to know how to make analysis of components in the promotional activities of the low cost UAE International Airline. • To identify the key issues that caused cons in the business. The outcome is to understand the identified key issues that are related to the marketing mix. • To determine the importance of service industry as per the marketing mix elements. The outcome is to realize the importance of service industry to keep UAE International Airline in the business with low costs.

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The UAE International Airline was found during the year 2007 and working with limited staff due to issues and problems faced in low business during the past year. Before the beginning of year 2009, the marketing department is aimed at to increase and improve the business status of the UAE International Airline boosting its profitability. The employees at UAE International Airline happened to recruit nationals and expatriates but it has become difficult to increase their pay as a part of compensation and benefits. As appointed new marketing manager, I have taken initiative to develop marketing strategies interrelation with marketing mix with an advantage of low cost strategy which is highly demanded in line of quality within the expensive economy. This will help the UAE International Airline grow during the next 5 years rather than stable and without growth being not able to meet good cash flow and expenses in operational activities of the organization.

REPORT DESCRIPTION

1. MARKETING MIX

Before the beginning of the report to understand better and to make it suitable for broader understand will describe the meaning and the idea behind marketing mix and at the same time within the concept of UAE International Airline in travel and tourism.

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Accordingly, in the product competitive advantage, it is the product and service that will be offered to the customers with varieties and flexibility. This is about the characteristics that includes special features and at the same time branding the product that is being offered. In the product, besides the features the UAE International Airline will be aimed at to provide quality product and quality services to meet and exceed the satisfaction.

Furthermore, keeping in mind the lifecycle of the UAE International Airline is important while developing it and changing it after a period of time. By differentiating the UAE International Airline offerings this will create high competition and passenger attractions to us.

Accordingly, in the price competitive advantage, it is the main focus to attract the customers while others will not be able to offer it with the same level as done by UAE International Airline.

The price will be used to meet the overall objective of the marketing and impact the prices of the competitors to attract new or their passengers. It can be done by simple and cost effective infrastructure after maintaining quality1. This pricing strategy will be for a limited period of time to boost sales and within this passengers will certainly try to take advantage of it.

Accordingly, in the promotion competitive advantage, it will play a vital role to market the low cost competitive advantage. In the promotion it will include
1

www.bized.co.uk/educators/16-19/tourism/marketing/presentation/mix1.ppt

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advertising, personnel or direct selling, sales promotions, possible sponsorships, different methods of promotion to gain attention and interest, and public relations

Accordingly, in the place competitive advantage, it is about the secondary airports, counter services, and check in counters, terminal transfers, main doors and means of distribution. Moreover, it is also providing places of tourism and travel agents with direct marketing element.

The above where standard marketing mix for UAE International Airline and in our marketing investigation for promotions and campaigns the extended two marketing mix elements are2 the people as marketing mix using it as a competitive advantage will be the employees possessing competitive advantage, effective management who are empowering the employees, suitable culture and environment within the UAE International Airline. It is also the attitudes to passengers and efficient customer service. In addition, the people by making them competitive with training, hiring part-time marketers and applying motivation for improvement in their skills and capabilities. On other hand, planning is an essential part of marketing mix at UAE International Airline. Whereby, the planning are about profit targets, better facilities and services, market share, and new markets and opportunities. The effective planning will result in total achievement and outcome.

2. ROLE OF MARKETING MIX
2

www.bized.co.uk/educators/16-19/tourism/marketing/presentation/marketing1.ppt

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MARKETING FOR TRAVEL & TOURSIM

I]

KEY ISSUES ELEMENTS OF MARKETING MIX

The issue might be from price in the marketing service if proper determining, forecasting, and planning are not done with relation to costs of processes involved in the UAE International Airline services and quality aspects. This might be complicated and will create low profit margin. It might also become difficult to measure the quality while handling costs and profit margin as most of the organizations gave up quality which they took it as part of their costs 3. Therefore, in the concentration of decrease in employment and employee costs and at the same time training expenses as increase might affect price and profit margin4.

Besides, the price is not only the possible issue in the UAE International Airline industry. Another possible key issue is customer value and satisfaction. As customer value requirements it is about the performance as intended, exceed customer satisfaction, realistic pricing, factual information to the customers and passengers, and commitment not only by customer service employees but organization as a whole.

In the customer satisfaction, it is not only meeting the customer satisfaction but also exceeding it for acquiring loyal customers for lifetime. In addition, delighting the customers and solving their problems with effective decision making with appropriate solution for satisfying.
3 4

http://www.shsu.edu/~mkt_ssm/mkt570/Chap07.ppt www.faculty.uaf.edu/ffmcb/Links/PP%20Slides/ABUS%20260/Chapter%201%20Overview.ppt

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On the other hands, the last key issue expected are long-term relationships building which is strategies for staff members as customer oriented, effective trainings with ways to build relationships, and empowerment of employees with teamwork and cooperation.

II]

SWOT ANALYSIS
According to the definition of SWOT, “it is the analysis is a tool for auditing an organization and its environment. It is the first stage of planning and helps marketers to focus on key issues. SWOT stands for strengths, weaknesses, opportunities, and threats. Strengths and weaknesses are

internal factors. Opportunities and threats are external factors” 5.

In the UAE International Airline report we will also apply and discuss SWOT analysis which is known for its effective tool for marketing successes in any organization or any kind of industry6.

Strengths

SWOT Analysis of UAE International Airline o The UAE International Airline is providing high number of channels. o There is strong backup system in the UAE

International Airline.
5 6

http://www.marketingteacher.com/Lessons/lesson_swot.htm www.limparty.com/mba/file/Low%20Cost%20Airline.ppt

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o The UAE International Airline is offering best and human resources with service of quality

competitive assurance. o

The UAE International Airline is creating branding

strategies. o It is also having good reputation in the industry as

developing during incubation of the business lifecycle. o Weaknesses The UAE International Airline is aimed at to provide

low costs pricing for their passengers. o The price was high earlier due to increase in profit margin. o There is little experience and qualification of

employees in the management and other levels. o The cash flow is critical due to less profit and high

expenses. o The marketing and promotional activities are

limited due to high costs of doing so. o o o o business. o The joint promotion and marketing with companies The number of flights is decreased. The insurance and security costs are increased. There is no demand by the passengers. The increase in demand and profitability of the

Opportunities

and organizations. o The increase in the globalization impact,

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investment and development activities within the economy. o The sponsorship supports from agencies and

strategic alliance partners. o Threats The support from the local government to use our

services and UAE International Airline for their employees. o The increase in the number of competitors from different nearby region. o The threat of new entrants with same strategies and

marketing mix. o cost. o The poor performance in the economy. The competitors competing head to head in low

III]

IMPORTANCE OF SERVICE INDUSTRY MIX ELEMENTS

The importance of mix elements in the services industry of UAE International Airline is due to the fact that while handing with the passengers and customers the service provided with quality perception is within the concept of service.

The costs in the price factors that is related to the service process have great influence on the ongoing and continuation of the UAE International Airline business. The place of marketing will be in the counters when the services are rendered to the passengers where brochures, flyers, and marketing hard stuff.

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The promotion can only be done when the service is being made for the customers and their passengers. The product will also include their services working together in the UAE International Airline.

IV] CONCEPT

OF TOTAL TOURISM APPLICATION

The concept of tourism applying is the major part in the travel reasoning from the first point. If there is no tourism attraction in a particular economy of the country there is no travel business to boost income.

So, firstly, the application of tourism is vital to increase the number of passengers, travellers, investors, and tourists visiting our country through UAE International Airline.

Accordingly, the travel industry plays a vital role to keep tourism going as without it there is no sense of attracting tourists and travellers. Therefore, at the UAE International Airline, is also aimed at to apply and market within our strategies tourism facilities and locations giving a reason for the passengers to travel.

As a strategy of low cost, the UAE International Airline will apply tourism and travel marketing at the same time to reduce costs and get better results as expected.

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The application of total tourism in the travel industry at UAE International Airline will include certain steps for marketing:

1) Developing the concepts on tourism along with UAE International Airline travel concepts. 2) Gathering data of tourism and suitable locations for UAE International Airline passengers. These data must be focused in low cost tourism facilities and strategies by keeping mind that their passengers are less costs segmentation. 3) Analyzing the data received about the tourism. 4) Contacting these tourism agencies for better prices and offers for UAE International Airline travelers. 5) Creating strategic alliance and single partnership for low cost prices that is only provided by UAE International Airline. 6) Inviting other tourism agencies that are not within the region but nearby. 7) Analyzing the costs and expenses for promotional activities with part-time marketers. 8) Meeting the marketing team for possible suggestions such tourism

entertainments arranged and organized by UAE International Airline. 9) Getting the brochures and flyers designed for distribution and marketing. 10)Booking the closest exhibition event. 11) Meeting agencies, government, and other private or public sectors with presentations about their promotion. 12)Evaluating the results and achievements as per the budgeted costs and targeted achievements.

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RECOMMENDATION / CONCLUSION

It is recommended that the new introduced UAE International Airline restructure their vision, mission, values, objectives and organization with marketing strategies, objectives and plan to support the new turn into competitive advantage which will be also as a part of their marketing for becoming customer oriented business. This movement from traditional practices to contemporary marketing mix along with competitive advantage to attract passengers and customers are targeted.

The UAE International Airline is suggested to introduce 5-10 years plan with effective forecasting by using competitors data when they started their business and strategies they have obtained for development and growth in their business. It is suggested that the low cost strategy continues as per the years plan identified so when new plan is conducted a revised study will be conducted whether or not to continue the same low cost strategy.

When applying and adopting total tourism concepts, it is suggested that the UAE International Airline creates dedicated personnel for this area. This will cause the effective application of tourism incorporated with travel. Therefore, the economy of the country will be improved while succeeding in the achievement of low cost strategy.

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BIBLIOGRAPHY
The Marketing Mix in Travel and Tourism The Marketing Mix in Travel and Tourism 1. BTEC Travel and Tourism. www.bized.co.uk/educators/16-19/tourism/marketing/presentation/mix1.ppt

Marketing in the Travel and Tourism Industry Marketing in the Travel and Tourism Industry. BTEC Travel and Tourism. www.bized.co.uk/educators/1619/tourism/marketing/presentation/marketing1.ppt

Chapter. 7. Marketing Strategy. Selecting and Developing. The Marketing Strategy. Strategic Characteristics ... http://www.shsu.edu/~mkt_ssm/mkt570/Chap07.ppt

An Overview of Marketing 1. An Overview of Marketing. Chapter 1. Previous Next. To replay any audio, click on the sound icon. Meeting Customer Expectations at L.L. Bean ... www.faculty.uaf.edu/ffmcb/Links/PP%20Slides/ABUS%20260/Chapter %201%20Overview.ppt

SWOT Analysis: Lesson Strengths, Weaknesses, Opportunites and Threats (SWOT). http://www.marketingteacher.com/Lessons/lesson_swot.htm

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Low Cost Airline Nok Air Presented by Group 3 ..... Industry Background. Liberalization (Open sky); Government subsidized tourism business ... www.limparty.com/mba/file/Low%20Cost%20Airline.ppt

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