Final of final final version of marketing

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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

21

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 (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

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