5th SEM BTTM-Bachelor of Travel and Tourism Management

UNIVERSITY OF CALICUT

TRAVEL AGENCY AND TOUR OPERATION

MANAGEMENT

Prepared by

Hajra c

Assistant professors

Department of Tourism

CPA College of Global of Studies, Puthanathani

 SYLLABUS

TTM5B07: Travel agency and tour operation Management

Lecture Hours Per Week: 5 Credits: 4

Objective: To provide knowledge about Travel Agency and Tour Operation Business and to
understand the formalities and skills needed for this business

Module I

Travel Agency Operations: Travel Intermediaries- Distribution Channels- Functions – Levels

of Distribution- Tourism Intermediaries- Benefits of Intermediaries- Travel Agency concept
and Perspectives- Types of Travel Agencies- Functions and Activities- Organization
StructureSetting up of a Travel Agency- BSP- Electronic distribution channels in Tourism-
Online Travel Agency

Module II

Concept of Tour Operation: Concept-Definition-History-The product and consumers-

TypesBenefits- Tour Classification- Package Tours- Elements- Planning and design- Itinerary
preparation- Factors to consider-Capacity Planning and negotiation- Tour costing and
Pricing( Sample itineraries have to be developed and pricing has to be done which can be
considered for internal assessment)

Module III

Tour Marketing: Definition and Process-Marketing Mix-Tour Brochure-Importance-

contentsQualities of a good brochure- Market Segmentation- Basis- Target Marketing-
Tourist Buying Behaviour- Image branding and positioning by tour operators- Promotion
tools used by tour operators- Distribution System in tour operation Business.

Module IV

Tour Management: Tour Booking and administration- Pre-tour preparation-Travel documents

to handle- Tour manager briefing- Role and qualities of a tour manager- tour Departure and
Arrival Procedures at airport- Transfer and tour conduct- Handling emergencies- Post-Tour
activities

Module V

Overseas Representatives and Tour Guiding: Concept-Need – Types of overseas

representatives and their duties- Tour guiding- concepts and definition- difference between
guiding and interpretation- Tour guide- Definition- types- History of tour guiding- roles of a
tour guide- Tour guide activities in a tour- Qualities of Tour guide- Challenges of Tour
guiding- Licenses required for guiding in India at various levels (Regional, State and Local).
 Travel agency and tour operation management 2021

CPA COLLEGE OF GLOBAL STUDIES

Travel agency and tour operation management

Module 1

TRAVEL INTERMEDIARIES

Intermediaries

 Principal role is to bring buyers and sellers together The task of intermediaries is to
transform goods and services to a form which the consumers would want to purchase
Provides the consumers the opportunity of avoiding the effort and cost of undertaking
the product

Travel intermediaries

 Tourism intermediation is a business activity that consists of mediating in the sale and
organization of tourism services.
 This activity includes organizing and marketing packaged trips, one-day tours, selling
tickets, booking seats on all means of transportation, and booking or contracting
tourist accommodation, in addition to booking services and activities offered by
tourism companies.
 Tourism intermediaries are distribution agents that participate in a tourism-product
sales process from its creation until the time it is consumed by final clients. Most
intermediaries are

Wholesale Travel agencies

Retail travel agencies
Tour operators
Guides
Stake holders
Bed banks
Booking centres
DMCs
OTAs (online travel agencies)

Whole sale travel agency

A wholesale travel agency purchases tourists' product components in the bulk and designs
tour packages. Sometimes, a wholesale travel agency buys travel components from the
vendor in bulk and resell them to other travel business originations.

Retail travel agency

According to SARC (1967), ” retail travel agency business consists of the activities involved
in selling tourism products/services directly to the tourists and performs normal functions
Hajra c, hajrac6080@[Link]
Assistant professor, Dept. of tourism, CPA college of Global studies Page 1
 Travel agency and tour operation management 2021

such as issuing air tickets, making accommodation and transportation reservation, providing
specialized services, and accepting and making payments.”

Tour operators

Tour operator is an organization, firm, or company who buys individual travel components,
separately from their suppliers and combines them into a package tour, which is sold with
their own price tag to the public directly or through middlemen, is called a Tour Operator.

Guides

A tour guide or a tourist guide is a person who provides assistance, information on cultural,
historical and contemporary heritage to people on organized sightseeing and individual
clients at educational establishments, religious and historical sites such as museums, and at
various venues of tourist attraction resorts

Stake holders

A stakeholder is a party that has an interest in a company and can either affect or be affected
by the business. The primary stakeholders in a typical corporation are its investors,
employees, customers, and suppliers.

Bed banks

A bed bank is a company that brokers special rates with hoteliers. They act as a wholesaler,
marketing rooms to consumers on behalf of the accommodation provider. Some bed banks
are linked to tour operators, airlines or travel agents, whilst others are independent businesses

DMC (destination Management Company)

A destination management company (DMC) is a professional services company with local

knowledge, expertise and resources, working in the design and implementation of events,
activities, tours, transportation and program logistics.

A DMC provides a ground service based on local knowledge of their given destinations.
These services can be transportation, hotel accommodation, restaurants, activities, excursions,
conference venues

OTA (online travel agencies)

An online travel agency (OTA) is a web-based marketplace that allows consumers to research
and book travel products and services, including hotels, flights, cars, tours, cruises, activities
and more, directly with travel suppliers.

Every day, millions of travellers around the world use OTAs to plan leisure and business
travel

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Assistant professor, Dept. of tourism, CPA college of Global studies Page 2
 Travel agency and tour operation management 2021

BENEFITS OF INTERMEDIATION

 Able to sell products in bulk

 Avoid search and transaction costs
 Reduce promotional costs
 Gain from knowledge of the specialists Gain from lower prices
 International marketing networking
 Improved efficiency
 Better assortment of products
 Reutilization of transactions
 Easier searching for goods as well as customers.

DISTRIBUTION CHANNELS

 Distribution channel refers to a network of intermediaries who enable distribution of a

tourism product from the service providers to the ultimate consumer (tourist). The
various intermediaries include distributors, wholesaler travel agencies, retailer travel
agencies, tour operators, and online intermediaries.
 The goods are produced at one place but the customers are scattered over a wide
geographical area. Thus, it is very difficult for a producer to distribute his products all
over the country. Therefore, he takes the help of some intermediaries to distribute his
goods
 Channel of distribution refers to those people, institutions or merchants who help in
the distribution of goods and services.
 Channel of distribution as “a set of independent organisations involved in the process
of making a product or service available for use or consumption”.
 Channels of distribution bring economy of effort. They help to cover a vast
geographical area and also bring efficiency in distribution. Retailers, Wholesalers are
the common channels of distribution
 Channels of distribution provide convenience to customer, who can get various items
at one store. If there were no channels of distribution, customer would have faced a
lot of difficulties.

FUNCTIONS OF DISTRIBUTION CHANNELS

1. Sorting

Middlemen obtain the supplies of goods from various suppliers and sort them out into similar
groups on the basis of size, quality etc.

2. Accumulation:

In order to ensure a continuous supply of goods, middlemen maintain a large volume of

stock.

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Assistant professor, Dept. of tourism, CPA college of Global studies Page 3
 Travel agency and tour operation management 2021

3. Allocation

It involves packing of the sorted goods into small marketable lots

4. Assorting:

Middlemen obtain a variety of goods from different manufacturers and provide them to the
customers in the combination desired by them.

5. Product Promotion

Sales promotional activities are mostly performed by the producer but sometimes middlemen
also participate in these activities like special displays, discounts etc.

6. Negotiation

Middlemen negotiate the price, quality, guarantee and other related matters about a product
with the producer as well as customer.

7. Risk Taking

Middlemen have to bear the risk of distribution like risk from damage or spoilage of goods
etc. when the goods are transported from one place to another or when they are stored in the
god-owns.

LEVELS OF DISTRIBUTION CHANNEL

I. Direct channel OR Zero level channels

II. Indirect channels
a. One level channel
b. Two level channel
c. Three level channel

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Assistant professor, Dept. of tourism, CPA college of Global studies Page 4
 Travel agency and tour operation management 2021

Distribution channels

Zero level channel One level channel Two level channel Three level channel

producers producers producers producers

whole whole
consumer retailers
salers salers

consumer retailers jobber

consumer retailers

consumer

1. Direct Channel or Zero Level Channels:

 When the producer or the service providers directly sells the tourism products and
services to the customers without involving any middlemen, it is known as direct
channel or zero level channel.
 It is the simplest and the shortest mode of distribution. Selling through post, internet
or door to door selling etc. are the examples of this channel.

2. Indirect Channels:

When service provider or a producer employs one or more middlemen to distribute tourism
product and service, it is known as indirect channel.

Following are the main forms of indirect channels:

(a) Producers - Retailer- Consumer (tourist) (One Level Channel):

This channel involves the use of one middleman i.e. retailer who in turn sells them to the
ultimate customers. It is usually adopted for speciality goods.

Producer → Retailer→ Consumer

(b) Producers -Wholesaler-Retailer-Customer (Two level channels):

Under this channel, wholesaler and retailer act as a link between the producers and the
customer. This is the most commonly used channel for distributing tourism products.

Producer → Wholesaler→ Retailer→ Customer

Hajra c, hajrac6080@[Link]
Assistant professor, Dept. of tourism, CPA college of Global studies Page 5
 Travel agency and tour operation management 2021

(c) Producer –Wholesaler- jobbers -Retailer-Consumer (Three level channels):

This level comprises of three middlemen i.e. Wholesaler, jobbers, and the retailer. The
producers supply the products to their agents who in turn supply them to wholesalers and
retailers. This level is usually used when a producer deal in limited products and yet wants to
cover a wide market.

Producer → Wholesaler → Jobbers → Retailer → Consumer

TRAVEL AGENCY CONCEPT AND PERSPECTIVES

 Travel agency is one of the most important organisation in the tourism private sector
 Which place significant and crucial rolls in the entire process of developing and
promoting tourism in the country or at the destination
 Travel agencies are packages and process all the tourism attractions, accessibilities,
amenities and all services of the country and present them to the tourist. That’s why
travel agencies known as “image builder of a country”
 A prospective travel agency is one which makes arrangement of travel tickets (air,
rail, road, and sea), Travel documents (passport, Visa, and other documents required
to travel) Accommodation, entertainment, Travel insurance, foreign currency and
other travel related services from the principle suppliers.
 Most of the studies indicate that travel agencies have become a pivotal aspect and
have a profound impact in the growth and development of tourism industry.
 Many travel agencies have looked to other countries for business expansion.
 For several years, the Indian travel industry has been characterized by intense
competition which has resulted in many mergers and acquisitions of travel agencies.
 The continuing role and influence of travel agencies should not be underestimated,
particularly the pivotal position they occupy within the tourism system.
 Moreover, to cope with the changing tourism industry market environment numerous
travel agencies have been emerging in the tourism market place such as independent,
retail , whole sale , online , outbound travel agency, handling agency, niche travel
agency , mass travel agency

Travel agent

“Travel agent is a person who has full knowledge about tourism products, destination,
mode of transportation, climate, accommodation, facilities, and other areas of service
sector”

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Assistant professor, Dept. of tourism, CPA college of Global studies Page 6
 Travel agency and tour operation management 2021

TYPE OF TRAVEL AGENCIES

The travel agency business is no longer amateurism. Over the last four decades, the pattern
and structure of travel agencies have changed considerably to meet tough challenges in the
international market. Today, travel agencies are operating at two levels namely, Retail and
Wholesale travel agency, however, they are of different types

1. On the basis of Functions

a) Retail Travel agency:

 Retailing means to sell in small quantity of product / service to the end users.
Retailing refers to all the transactions which involve sale of goods or services to
the ultimate consumers.
 A retail travel agency is a middleman between producers and tourists who
procures goods from the producers /wholesalers and sells it to the final consumers.
They form a vital link in the channel of distribution of products/ services because
without travel agency the products/ services would not sell nor would it is possible
for consumers to buy services of their choice.
 They have a much stronger personal relationship with the consumers and deal
directly with the people of varied tastes and temperaments. They form the last link
in the chain of distribution and give the final selling price to the product/ service.
Thus, the retail travel agencies provide important services and solve the problems
of the producers and wholesalers on one hand and the tourists on the other hand.

b) Wholesale Travel agency:

 As the name indicates, a wholesale travel agency operates at large scale and deals in
bulk purchase of products/ services and retail through the retail travel agency.
Wholesaler may be defined as the middleman who operates between the producers
(from whom they purchase goods) and the retailers (to whom they sell goods).
 Wholesaler refers to any individual or business firm selling goods/ services in
relatively large quantities to buyers (retailers) other than the ultimate consumers.
Thus, the producers who sell their products directly to retailers may also be regarded
as wholesalers.
 The specialized knowledge and skill of wholesalers increase the efficiency of the
distribution network. The wholesalers provide important services and solve the
problems of both the manufacturers and the retailers

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Assistant professor, Dept. of tourism, CPA college of Global studies Page 7
 Travel agency and tour operation management 2021

2. On the basis of Tourism flows

a. Outbound Travel Agency

 The outbound travel agencies are those travel agencies which provide product and
services to tourists want to visit abroad.
 Generally, these travel agencies provide convenient location for the purchase of travel
product/ service besides offering expert product knowledge and ancillary services.

b. Handling Travel Agency / Inbound Travel Agency

 This is very old form of travel agency which is specialized at a particular destination
or location.
 This travel agency plans and executes of travel packages at destination level. In fact, a
handling travel agency represents tour operators at a destination and supervises the
delivery of local suppliers.

3. On the basis of Business or leisure

a. Leisure Travel Agency:

 These types of travel agencies manly serve holidaymakers with package tours.

b. Business Travel agency:

 Today, business travel has become core area for many travel agencies.
 Business travel agency arrange travel for business travellers and corporations and
provide extra services such as reporting and travel management

4. On Basis of Level of specialization

a. Niche Travel agency:

 Due to the emergence of new form of tourism like ecotourism, Niche travel agencies
have evolved.
 Niche travel agencies and usually small independent travel agencies and specialized
in certain products or certain suppliers.
 Niche travel agency means which specializing in a certain demographic, a type of
travel, a destination, or any other number of things.

Hajra c, hajrac6080@[Link]
Assistant professor, Dept. of tourism, CPA college of Global studies Page 8
 Travel agency and tour operation management 2021

b. Mass Travel agency

 Mass travel agencies are big travel agencies often large scale/ multinational travel
companies.
 These travel agencies generally offer wide range of destinations and products/services
having large supplier network. These travel agencies operate on economies of scale.

5. On the basis of Geographical coverage

a. Multinational:

 Multinational travel companies present in many countries, either through own outlets
or partnerships.
 A multinational travel company is one which is incorporated in one country (called
the home country); but whose operations extend beyond the home country and which
carries on business in other countries (called the host countries) in addition to the
home country.
 Generally, multinational travel company has it’s headquarter in the home country.

b. National:

 Travel agency is serving the needs of customers nationwide.

 In fact, when a travel company conducts its affairs in its home country is known as
national travel agency.
 A national travel agency is often taxed differently than a foreign travel agency and
may be required to pay duties or fees on the importation of its products/ services.
 Typically, a national travel agency is able to operate business in other states or other
parts of the country as per the articles of association

c. Regional:

 When a travel agency is operating at regional level is commonly known as regional

travel agency.
 These travel agencies are specialized in certain geographical regions and offer both
leisure and business products/ services.

6. On the basis of Business Model

a. Offline Travel Agency:

 The type of travel agency is the oldest form of travel agency. Generally, offline travel
agencies operate through physical offices and face to face customer service/product.

Hajra c, hajrac6080@[Link]
Assistant professor, Dept. of tourism, CPA college of Global studies Page 9
 Travel agency and tour operation management 2021

b. Online Travel Agency:

 Online travel agency serving customers through World Wide Web channels.
 Online Travel Agency (OTAs) is a relatively recent innovation and is a major growth
sector in the global distribution system.
 OTAs are a form of distribution mechanism where a large number of sellers and
buyers are connected via a Web site provided by an independent third party.
 The leading international OTAs are: Travelocity, owned by Sabre. Travelocity
includes the brands [Link], World Choice Travel and Zuji.
 In the corporate market, Sabre operates through the [Link] and
[Link] OTAs

7. On the basis of Size

a. Small Scale Travel Agency:

 The small scale travel agencies are those agencies which operate on small scale,
restricted to a small segment of the tourism market and to a narrow range of products.
 Small scale travel agencies are very large in number but account for a small portion of
the total retail tourism business.

b. Medium Scale Travel Agency:

 Medium-scale travel agency business is the outgrowth of a successful small scale

travel agency.
 A travel agency business with 50 or fewer employees is generally considered small,
while one with 50-150 employees is considered to be medium-sized.

c. Large scale Travel Agency:

 Large scale travel agency is that business operation whose operates at large scale,
having a large segment of the market and have a wide range of products/ services.

8. On the basis of Form

a. Sole Proprietorship:

 When a travel agency business is owned, managed and financed by one man, it is
known sole proprietorship travel agency.
 In fact, its debt, obligations and taxes, are the owner’s personal liabilities, and income
from a proprietorship is considered the owner’s personal income.
 This form of travel agency is easy to start and easy to dissolve.

Hajra c, hajrac6080@[Link]
Assistant professor, Dept. of tourism, CPA college of Global studies Page 10
 Travel agency and tour operation management 2021

b. Partnership:

 Travel agency being seen on a partnership basis is jointly owned by two or more
individuals. In other words, when two or more persons agreed to contribute money or
money’s worth and sharing profit/ loss as per the agreement is knowledge partnership

FUNCTIONS OF TRAVEL AGENCIES

 Provision of Travel Information

 Preparation of tour Itineraries
 Airline Ticketing Reservation
 Tour packaging and costing
 Reservation
 Travel insurance
 Currency services
 Organisation of conferences or conventions
 Travel agency has a handling agency or ground operator

Travel information

 Whatever the size of travel agency, it has to provide necessary travel information to
the tourist
 This task is utterly difficult and very complicated
 A travel agency must give up to date, accurate and timely information regarding
destinations, mode of transportation, accommodation facilities , site seeing, shopping,
immigration, passport, visa, customer clearance, health and security rules and about
various permits required to travel in particular areas.
 Further we can say that the travel agencies are “image builder of a country ’’

Preparation of tour Itineraries

 The term tourist itinerary is used to identify the origin, destination, and all the
stopping points in a travellers tours
 It is a composition of various elements and designed after detailed study of market
 Particularly a travel agency prepares two types itineraries

a. General itinerary : Delhi – Agra – Jaipur – Delhi

b. Special tourist interest itinerary: Pilgrimage tourist, Mountain tourist,
Buddhist tourist etc.

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Assistant professor, Dept. of tourism, CPA college of Global studies Page 11
 Travel agency and tour operation management 2021

Airline ticketing and reservation

 A travel agency sells variety of products , airline ticketing and reservation still a
major resource of revenue today
 Recognised travel agencies and tour operators issue and sell more than 90% of
international air tickets and 60% of domestic tickets in India
 The computerised reservation system (CRS) has changed the entire scenario of travel
industry
 Today using this system (CRS) the travel agency may serve a wide variety of clients
and fulfil their needs and requirements
 The mainly used CRS software’s are Galileo, Amadeus, etc…

Tour packaging and costing

 A tour package is a combination of various tourism services or goods like

transport, accommodation, and other facilities, at and enroot destination
 However in variety it has only two basic components , one is travel and other one is
ground service
 Travel agency prepare a package keeping in view the preference of target market
which based on different factors like mode of travel, client choice, income, age
group, country and region
 After the identification of target market the travel agency makes contact with
service or goods providers and enters in to a contract with them
 The costing and pricing of tour package depend to a large extent on the ability of a
travel agent or tour operator as to how efficiently or effectively he is able to
negative with principals

Reservation

 It is a very important function of all type of travel agencies.

 A travel agency consistently makes linkages with accommodation sector, transport
sector and other entertainment organisation to reserve rooms and seats in a
cultural program and transportation
 One client may demand a five star deluxe, another may want a two star or a one
star or different types of rooms, rate, meal plans, and so on.
 A travel agency make a reservation for the tourist by giving complete information
regarding the number of tourist, date, and time of arrival, length of stay and what
is required by the individual or group

Travel insurance

 some large scale agencies perform additional functions to serve its clients
 travel insurance protects the travellers against the personal as well as baggage losses
which happening during the travel
 The policy is based on the client’s needs price and type of tour ect…
Hajra c, hajrac6080@[Link]
Assistant professor, Dept. of tourism, CPA college of Global studies Page 12
 Travel agency and tour operation management 2021

 A travel insurance generally covers

 Personnel accidents
 Medical and related expenses
 Baggage loss
 Trip cancellation and interruption etc,…

Currency services

 Travel agencies or tour operators which are permitted RBI (Reserve Bank of India)
and foreign exchange management act in 1973 (FEMA) to deal with foreign
currency, offer currency services, (currency, traveller check and other documents)
for the clients
 This is very important facility to the tourist as it saves their time and energy
 However for this travel agency charge certain percentage of commission

Organisation of conferences or conventions

 Today organising conference, conventions and seminar here become a profitable

business for many travel agencies
 Even some large scale travel agencies we find separate convention and conference
department
 Many travel agency (SITA,COX &KINGS TCI, THOMAS COOK AND SONS)
offer a complete convention or conference package including registration of
participants at venue to be picked up for dropped to the airport or hotels overhead
projects, slide projectors , TV , VCR, information counter, site seeing etc…
 Generally a conference or convention packages includes

 Travel to and from venue

 Accommodation at the venue
 Registration fees and facilities
 Conference room with audio visual devices and other services
 Secretarial services
 Site seeing and cultural entertainments
 Shopping

Travel agency as a handling agency / ground operator

 Industry experience has shown that the reputation, efficiency, and profitability of
the travel company (Indian or foreign) in its own tourist market largely depends on
the performance of its ground operators
 A handling agency may an individual , firm , or company making ground
arrangements on behalf of another travel company

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Assistant professor, Dept. of tourism, CPA college of Global studies Page 13
 Travel agency and tour operation management 2021

 The Indian large scale travel agencies acting as ground operators, for foreign tour
companies are (TCI, Thomas cook and sons, cox and Kings) etc…

Other functions

 Liaison with Providers of Services

 Identification of profile of target market
 Negotiating for services with principals
 Documentation and foreign exchange procedures
 Travel Insurance
 Meeting and Incentive Planning
 pricing of tour package
 Tour package Promotion
 Actual operation of a Tour Package

ORGANIZATION STRUCTURE SETTING UP OF A TRAVEL AGENCY

 An organisational structure of a travel agency is a collective set up to pursue specific

missions, goals and objectives.
 It is a rational coordination of various activities of functional department-Ticketing,
tour planning, and tour costing & pricing, tour reservation, Documentation, and other
services for the achievement of some well-defined aims through division of labour,
functions, and through a hierarchy of authority and responsibility. Today,
organisational structure is not a mere chart.
 It is a mechanism through which travel agency management plans, organizes, directs,
coordinates and controls, the travel agency \ tour operation business activities. It is
indeed the foundation of sound management.
 In fact, organisational structure is the backbone of management, without it
management cannot perform its functions smoothly. If the organisational structure is
ill planed/designed, if it is merely a makeshift arrangement, then the management is
rendered difficult and ineffective.
 The organisation of a travel agency \ tour operator business largely depends upon the
size and type of business handled by it.
 Generally, in a small and medium scale travel agency business, one will find a simple
organisation structure being limited in terms of operation, size, market, division of
labour and so forth.
 Where as in large-scale travel agency or tour operation chains, such as Kuoni, SOTC,
Thomas cook, Cox and Kings and Orbit etc the organisation structure is more formal.
 The travel agencies or tour companies having poor organisational structure, seeking
financial and operational development cannot hope to success unless they set up a
great variety and number of formal organizations and master the know-how for
operating them effectively.

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Assistant professor, Dept. of tourism, CPA college of Global studies Page 14
 Travel agency and tour operation management 2021

 In this process, travel agency organizations tend to develop a variety of management

practice, systems, and strategies.

Chairman & CEO

managing director

director/general manager

finance dept. advertising & marketing dep. reservation /travel dep. out bound dept. MICE dept. HR dept.

tour consultant

tour guide

Finance Department

 Finance Department is the part of an organization that is responsible for acquiring

funds for the firm, managing funds within the organization and planning for the
expenditure of funds on various assets.

Marketing department

 A Marketing department promotes your business and drives sales of its products or
services.
 It provides the necessary research to identify your target customers and other
audiences.
 Depending on the company's hierarchical organization, a marketing director, manager
or vice president of marketing might be at the helm.

Reservation department

 The reservation department handles all reservation requests for accommodation,

interacts with the customers and constantly monitors the room status and
the reservation status.
 The main duty of a Reservation Agent is to assist customers with planning and
booking reservations.
 This can mean booking a hotel room, a car rental, airplane tickets, a cruise package or
tickets to a show.
 They may also help plan travel itineraries by suggesting local tourist attractions and
places of interest.
Hajra c, hajrac6080@[Link]
Assistant professor, Dept. of tourism, CPA college of Global studies Page 15
 Travel agency and tour operation management 2021

Travel consultant / Tour consultant

 A travel consultant specializes in coordinating and booking travel arrangements for

individuals, groups and businesses.
 They differ from travel agents in that they offer more specialized services and
represent you, not an agency, airline or hotel, explains Travel Professional News.

Tour guide

 Tour guide is a person who takes people on trips through an area and explains the
interesting details about it

Outbound department

 Outbound department focusing in outbound travels, within their countries to take

travelers to other countries.
 They are tour operators who market their tours for international destinations, either
for business or leisure travel

Mice and Special Events Department

 Theme party & themed event organization

 Creation of team-building activities
 VIP Program development & implementation
 Custom-designed daytime activities & tours
 Award program design & organization, Stage Design, audio-visual equipment
management & technical support
 Selection of room gifts, decoration & production of souvenirs
 Coordination of accommodations & in-house activities

HR (Human Resources) department

 The HR (Human Resources) department is a group who is responsible for managing

the employee life cycle (i.e., recruiting, hiring, on boarding, training, and firing
employees) and administering employee benefits.

Benefits of good organisational structure

A well-defined and designed organisational structure of a travel company brings

following benefits to the hotel business:

 Develop and promote sound management practices, systems and strategies;

 Growth and diversification of operational dimension;
 Enhancement of managerial efficiency,
 Develop effective leadership;
 Adoption of technological improvement

Hajra c, hajrac6080@[Link]
Assistant professor, Dept. of tourism, CPA college of Global studies Page 16
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 Better human relations

 Optimum use of resources
 Stimulates creativity
 Promote and develop effective co-ordination among various departments

BSP

 A billing and settlement plan is an electronic billing system designed to facilitate the
flow of data and funds between travel agencies and airlines
 BSP is primarily used to issue airline tickets and to collect the corresponding revenue
 BSP is a system designed to facilitate and simplify the selling, reporting and remitting
procedures of IATA Accredited Passenger Sales Agents, as well as improve financial
control and cash flow for BSP Airlines.
 The advantage of such an intermediary organization is that instead of each travel
agency having an individual relationship with each airline, all of the information is
consolidated through the BSP
 Billing and settlement plan (BSP) Manual for Agents forms part of the Passenger
Sales Agency Agreement and contains the basic rules and procedures for participation
in a BSP. By virtue of this Agreement, all Approved Locations of IATA Accredited
Agents are bound to apply such procedures in countries where a BSP is implemented.
 The BSP reduces Airline distribution costs and at the same time provides Agents with
a cost-effective system for selling the products and services of those Airlines that
elect to participate in the BSP
 It provides more time for BSP participants’ selling activities since the administrative
burden on management is greatly reduced by the simplification of the issuance,
control and reporting of sales and settling of monies due The Billing and Settlement
Plan (Bsp)
 “The Billing and Settlement Plan (BSP) is a system designed to simplify the selling,
reporting and remitting procedures of IATA Accredited Passenger Agents on behalf
of BSP Airlines” The first BSP developed by IATA was launched in 1971 in Japan.
 Today BSP is a worldwide system covering over 170 countries and territories. In
2010, more than 55,000 Agents and 400 Airlines participated in the BSP network,
generating gross sales through the BSP of over US$ 221 billion.
 A key feature of the BSP is the use of the neutral electronic Standard Traffic
Document (STD).

ELECTRONIC DISTRIBUTION CHANNEL IN TOURISM

 Electronic Distribution it also called online distribution is a type of distribution that

uses purely electronic media.
 E-distribution is an important component of E-commerce.
 In tourism sector it encompasses all the electronic channels of distribution, which can
be accessed through internet, intranet or through an interfaced connection.

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 It includes GDS, OTAs and other Web Booking Engines.

 Electronic Channels include all forms of service provision through television,
telephone, interactive multimedia, and computers. Many financial and information
services are currently distributed through electronic media – banking, bill paying,
education

Benefits of electronic channels of services distribution

1. Consistent delivery for standardized services:

 Generally, channels with human interaction are likely to alter the service. But
electronic channels ensure consistent delivery of services without any alteration.
 Moreover, Services Marketing electronic delivery does not interpret the service. Its
delivery is the same in all transmissions.
 For example, television programmes and radio stations ensure standardized electronic
distribution. TV stations deliver what is fed to them through the networks.

2. Low cost:

 Electronic media may prove to be more efficient in terms of delivery. For example,
the cost of reaching buyers using direct sales force is exorbitant.
 But the use of electronic media such as television or radio costs less. However, it must
be remembered that personal interaction is powerful and effective.
 Interactive media can be used to answer individual questions or tailor the service for
individuals.

3. Customer convenience:

 Electronic channels enable customers to access a firm’s service at any place at any
time. E-commerce is changing the way people shop. Electronic channels allow access
to a large customer-base which would otherwise be inaccessible to the service
principals.

4. Wide distribution:

 Through electronic channels, the service provider is able to interact with a large
number of end users and intermediaries.

5. Customer choice:

 Electronic channels offer a wide variety of services to customers. If a customer wants

to renovate his kitchen, he may go to internet sites, specify his requirements and place
an order.
 Electronic channels enjoy the ability to customize the services by offering a wide
variety of choices to the customer.

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6. Quick customer feedback:

 The major strength of e-commerce is rapid customer feedback. Companies can find
out immediately what customers think of their services.
 Quick customer feedback enables the service principal to change their service
offerings immediately and address their problems quickly.

ONLINE TRAVEL SGENCIEs

 An online travel agency (OTA) is a web-based marketplace that allows consumers to

research and book travel products and services, including hotels, flights, cars, tours,
cruises, activities and more, directly with travel suppliers.
 Every day, millions of travelers around the world use OTAs to plan leisure and
business travel.
 OTAs provide access to your potential guests in locations and at volumes that would
be difficult for you to access through your own marketing efforts.
 Additionally, OTAs provide market insights and tools for targeting travelers,
securing and processing bookings, communicating with guests and managing reviews
 The role of an online travel agency (OTA) is becoming increasingly important in the
accommodation industry as they provide a convenient way for travellers to arrange
their stay.
 From the comfort of their home, travellers can compare hotel prices and book them
over the internet.

OTAs generally work on two models. They are,

1. Merchant Model

In this model, hotels sell rooms to OTAs at a discounted or wholesale price. Then, the OTA
sells them to the customer at a mark-up price

2. Agency Model

This is a commission-based model where OTAs acts as a distribution partner. OTAs receive
full commission after the stay has taken place. The hotel directly receives the payment from
the end customer and does not wait for the payment transfer from third-party distributors.

Advantages of Online Travel Agents

 Low-cost method of selling accommodation services

 Reduced online marketing spend as OTAs invest in advertising to attract potential
customers
 Impartial reviews give customers the confidence to book
 Users can easily compare various accommodation costs at one place

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Disadvantages of Online Travel Agents

 Commission rates are charged on every sale. It can range between 10-15% of the
gross cost
 Restrictive cancellation terms
 Even if accommodation businesses use OTAs, the need for their own website and
booking engine does not go away
 Investment in a balanced multi-channel strategy may be needed to boost sales

Online Travel Agents

1. [Link]

[Link] is one of the largest accommodations websites which has now expanded to
smaller markets such as family-operated bed and breakfast, vacation rentals and self-catering
apartments.
2. Expedia’s [Link]
Expedia’s [Link] is a popular brand which has a global audience and attracts diverse
travelers. The company gained more power in the industry by acquiring Travelocity.

3. Airbnb

Airbnb revolutionized the travel accommodation industry by introducing home-sharing. The

website has diverse listings and travelers get a sense of safety as they can know their guest’s
identity.
Apart from these major OTAs, there are many small ones such as OneTravel, Vayama,
Tripsta, TravelMerry, ExploreTrip, Kiss&Fly, Webjet, GoToGate, Travelgenio, Bookairfare,
Fareboom, Skybooker, Travel2be, OneTwoTrip!, and eBookers

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CPA COLLEGE OF GLOBAL STUDIES

Travel agency and tour operation management

Module 2

TOUR OPERATION CONCEPT

 The term tour operator is used to define the large scale operation in the travel
intermediary‟s process. Thus, „tour operators‟ can be wholesaler, and or retailer
depending upon market size and organizational structure.
 Thomas Cook, Thomson, American Express, Cox & Kings, Kuoni, Thomas Bennett are
good examples of a dual travel organization.
 In the Indian tour operation market most tour operators are the outgrowth of successful
retail travel agencies in their own travel markets.
 A Tour operator is defined as an organization/ firm/ company who package the travel to
and from a destination along with complete ground services like accommodation, local
sightseeing, local cultural fairs / festivals etc.
 Interestingly, they provide these services themselves as some of the ingredients of tour
package they their own or they arrange these ingredients from different destination
operators.
 Generally, the industry practices indicates that a tour operator is a firm /company which
specializes in the developing, planning and actual operation of pre-paid, pre-planned
holidays and makes these available for tourists either directly or through the middlemen.

DEFINITION

 The tour Operation business is defined as an organization, firm or company which buys
individual travel components separately from different suppliers and assembles them
into package tours by adding certain value and selling them with their own price tag to
the public
 Aryear Gregory (1985), “The tour operator is the architect/manufacturer who assembles
the tour ingredients and creates travel, creates a market, creates lead and creates an
annuity by having satisfied clients who return year after year”
 James M. Poynter (1993) defines, “tour operator is one who has the responsibility of
putting the tour ingredients together, marketing it, making reservations, handling all
financial and accounting aspects, and selecting as well as managing tour managers”.
 Mohinder Chand (2006). “ a tour operator is an organization which conceives idea of
tourism product and converts this idea into realities by repeating tourists again and
again”

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HISTORY

 The history of travel agency/ tour operation dates back from the early years of the 18th
century.
 Throughout the history there were travel middlemen who helped the traders travelling for
trade and others who travelled for religious purposes.
 During 1600s, the British travellers were found very keen and encouraging to study the
life style, customs, traditions and nature of people of European origin.
 This has led to the development of „Grand Tour‟ concept, which were especially
Educational tours resulting to some extent from „Renaissance‟ during seventeenth and
eighteenth centuries.
 In the earliest times, people have travelled on foot to hunt, explore or make pilgrimages.
Food, water, safety or acquisition of resources (trade) was the early travel motivations.
 The invention of the wheel and the sail provided new modes of transportation. Each
improvement in technology increased individuals' opportunities to travel.
 When roads were developed and railway networks spread across the countries, tourism
started to flourish.
 Tourism has also expended as people‟s leisure time has increased. In the 1700s, leisure
time was available only to the richer people. Indeed, they were sometimes referred to as
the „Leisure Classes‟.
 In 1730, the British coastal area was developed as sea-water was found to be useful to
„cure‟ many diseases. This resulted into the development of health „Spa‟ concept.
 It also was in the early 1800s that steamer cruises became popular on both the rivers and
the oceans
 The Cox & Kings was founded in 1758 when Richard Cox became official travel agent
of the British Royal Armed Forces.
 Almost 100 years later, in June 1841, Thomas Cook opened the first leisure travel
agency, designed to help Britons improve their lives by seeing the world and
participating in the temperance movement.
 In 1822, Robert Smart of Bristol, England, announced himself as the first steamship
agent. He began booking passengers on steamers to various Bristol Channel ports and to
Dublin. But the first specialist in individual inclusive travel (the basic function of travel
agencies) was probably Thomas Bennett who was another Englishman serving as
secretary to the British consul-general in Oslo, Norway.
 In this position, he frequently arranged individual scenic tours in Norway for visiting
British notables.
 Finally, in 1850, he set up a business as a „trip organizer‟ and provided individual
tourists with itineraries, carriages, provisions and a travel kit. He routinely made
advanced arrangements for horses and hotel rooms for his clients.
 However, the history of Travel Agency and tour operation business can be traced back to
over 176 years to Thomas Cook, who while travelling from Derbyshire to Leicester
thought of an idea regarding „engaging a special train to carry the friends of temperance
from Leicester to Loughborough and back.‟
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 He thought that it would be a better proposition to persuade a railway company to carry

a train of passengers at a very cheap rate than to run the train at standard fares, but
probably only half full.
 The railway companies jump at the idea and a few weeks later, a - train carrying 570
passengers travelled at specially reduced fares. The venture was soon followed by
excursionists to various other places.
 The advertisements for „Liverpool-C Erna yon‟ trip caused a sensation and the response -
was so overwhelming that a second trip had to be arranged. This venture was soon
followed by excursions to various other places and in 1843, 3000 school children were
taken to a trip from Leicester to Derby in England.

PRODUCTS AND CONSUMERS

The tourism industry as a whole survives because of various tourism products and services.
Tourism industry is flexible. The tour operator provides the following typical products and
services:
a. Accommodations
The tourist destinations are equipped with different types of accommodations. They cater for
tourists‟ stay at the destination.
 Serviced
This type of accommodation is supported by skilled staff such as housekeepers, drivers, guides,
and cooks.
 Self-catering
This accommodation offers staying facilities but dining is required to be self-catered. It is
equipped with cooking, fuel and facility, some basic supplies such as tea/coffee/sugar sachets,
and a drinking water source.
 Hotels
Budget rooms to 7 star hotels with classy amenities. The hotels contribute a major share of
imparting the experience to the tourists by providing best services and amenities.
 Guest Houses
Owned by business or government organizations, which can be used by its staff and staff
relatives.
 Camping Sites
They are open sites often located in areas of lush greenery. They are equipped with clean place
to pitch the personal tent, a water supply, and electric supply. Camp sites have common rest
rooms.

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b. Reservations
The tour operator is responsible for making reservations for special events or activities the
tourists are interested in. At some places, the reservations are required to be done well in
advance to avoid last minute hassles. The events or activities such as a music concert or a theatre
show, visiting a theme park or a zoo, require people to secure seats or avail entry with prior
reservations.
c. Guided Tours
The tour operators can arrange guided tours. Some qualified staff that can get access to the
place, explain the importance of the place, support, and guide the participants through the entire
visit. The guide is arranged to accompany the tour participants as a part of tour.
d. Transport Facilities
These facilities are for travelling from one place to another.
e. Surface Transport
It includes support of transport by road or water.
f. Air Transport
This is the support of transport by air, generally given for long distance travel. Many times the
tours include a halt of a couple of hours at transit destinations. Today the airports are built and
maintained as engaging tourist terminals by providing amenities such as spas, lounges, food
joints, bars, and book shops, retail shops for selling authentic local food, clothes, and souvenirs.
g. Dining Facilities
The tour operators can book accommodation that provides dining facilities or it can tie up with
the local restaurants which are ready to entertain groups. If the tour package is all inclusive, the
tour operator pays for breakfast, lunch, and dinner. If not, the tourists need to pay from their
own pocket.
Consumers
 Tourists
 Wholesale Travel Agency
 Retail Travel Agency
TYPES OF TOUR OPERATOR

Tour operators are classified as they do tour business and area of operation of package tours.
Each category of tour operator is unique in their own ways of providing services. This
classification is suggested to distinguish difference of meanings and functions. They are called
as inbound tour operators, outbound tour operators, domestic tour operators, specialist tour
operators and ground tour operators.
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a. inbound tour operators

b. outbound tour operators
c. domestic tour operators
d. ground tour operators
e. specialist tour operators

Inbound Tour Operator

 They handle inbound foreign tourists in the host country. They provide them various
services on their arrival and departure such as transfer, accommodation, transportation,
sightseeing, entertainment, currency, insurance services etc.
 They are known as inbound tour operators or incoming tour operators as they
specifically operate for handling incoming foreign tourists or guests. Inbound tour
operators make tour packages individually or in collaboration with foreign tour
operators.
 Packages are promoted and sold directly or through intermediaries. In fact, inbound tour
operators attach much added appeal into tourism products.
 They earn foreign exchange that increases foreign exchange reserve ratio of the host
countries. Some of the major inbound tour operators in India are TCI, Indo-Asia Tours
and Travels and STIC Travels.
 An inbound tour operator prepares package tours on their own and conducts tours
through ground operators at host destinations. Reception upon arrivals and departures of
guests and arrangements of stay and sightseeing are some of the functions of inbound
tour operators.

Outbound Tour Operators

 They sell package tours highlighting the destinations in foreign countries. These
operators are specialized in designing and promoting multi-national tours.
 Like inbound tour operator, outbound tour operator sells a package tour to an individual
or a group of people of a country to another country or a number of countries for a
temporary period.
 They arrange travel documents, transportation and hotels and sightseeing, inbound tour
operators/ground operators provide accommodation, transportation, local sightseeing and
other services.
 For example, a group of Indian visitors have bought packages to visit Singapore,
Thailand and Bangkok from Cox and Kings Office in Chennai. The Cox and Kings
Chennai office takes care of the ground arrangements at these countries through an
inbound tour operator.
 Generally, outbound tour operators appoint inbound tour operators/ground operators to
make arrangement of services. They receive the guests at airport, transfer group from
airport to hotel and arrange local sightseeing for business or leisure oriented customers.

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Domestic Tour Operator

 Domestic tour operator is one which conducts tour within the country. Domestic tour
operators operate within the boundary of home country and cater the diverse needs of
individuals and group travellers like inbound and outbound operators.
 They promote tour packages both through their own outlets and other retail travel agents.
For example, a group of pilgrimage from Odisha visited Allahabad as part of religious
tour.
 They bought package tour from the IRCTC and it is the IRCTC to conduct tours for the
group at Allahabad. The IRCTC is a domestic tour operator that operates within the
boundaries of the country for nationals of the same country.

Ground Handlers/Operators

 Ground operator is otherwise known as reception operator or destination management

operator or handling agencies. These operators are generally expected to provide
arrangements and ground logistics at a particular destination.
 Thus, a ground operator provides the services required by large tour companies and they
do not have a local branch/office. They do not deal with the principal suppliers such as
hoteliers, transport operators, car rentals, entertainment organizations and so forth.
 The operator coordinates, supervises and handles accounts/payments of all services
related to tour. For example, Swosti is a ground operator for tribal tour in Odisha.
 Thus, inbound as well as outbound operators must look into the following aspects before
the selection of a ground handling operators.
 Convenient of Location
 Size of business
 Professional staff
 Length of business
 Reputation and membership with International and national travel and tourism
associations
 Credit facilities

The wholesale tour operators primarily depend on ground operators for the following reasons.

 Introduction of new product or plan to promote these exotic destinations.

 Lack of control over the government regulations
 Lack of personal contract
 Language of barrier
 Unfeasible to maintain own branches at each destination

Special Interest Tour Operator

 This type of tour operator offers and promotes the special interest package tours. They
mostly do direct marketing for the packages or through the retail agents. For

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example,Shikhar Tours and Travels, New Delhi is organizing adventure tours in the
Himalayas in India and Nepal.
 These are the wildlife and ecotourism tour operators and they design wildlife and
ecotourism packages for group in the niche market. This type of tour operator does not
plan for mass market as buyers are limited in number.
 When the company plans for dealing with specialized areas, there must be potential
buyers for the package tours as the nature and cost component is relatively higher unlike
the conventional package tours. The specialist tour operators only organize tours in the
pleasant climate and the business is mostly seasonal in nature.
 In the recent years, many specialist tour operators are moving towards corporate travel,
incentive travel, MICE travel, ecotourism, rural tourism and cultural tourism. They are
also called as personalized or customized tour operators as package tours are made on
the choice and suggestions of tourists. These are the following areas that specialized tour
operators do promote package tours.
 Ayurveda and Health
 Archaeology and historical sites
 Adventure and ecotourism sites
 Buddhism and Jainism ancient religious sites.
 Special cuisines at each place.
 Desert and jungle safari tour

ROLES AND CHARACTERISTICS TOUR OPERATOR

In this package tour market, tour operators showcase destinations though their unique package
tours. Thomas Cook, American Express and Cox and Kings follow the customer-driven
approach for designing package tours to cater the demands of customers. Roles of tour operators
are given below.

 It is a wholesaler as it assembles packages as per the trend of market and capacity of

distribution channel.
 It deals with customers directly as a principal agent or foreign travel agent without off-
loading tours to ground handling agents.
 Tour operator has liberty to amend the tour itinerary and program if it warrants.
 It invests much of time and resources to chart out delightful and value added tour
itinerary for meeting the demand and expectation of tourists.
 It gives much stress on selling the tour than the conducting the tour.
 Tour operators are mostly located in the mega cities or in the cities with the international
airlines services for the strategic advantage of controlling the package tours.
 It mostly provides international transfer from hotel to airport and vice-versa, if offices of
tour operators are located.
 It deals with both the tourists and primary service providers as direct intermediary.
 Tour operators design the tours in such a way that handling agents may not get extra
excursion tours directly from tourists.

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 It accepts foreign currency for the tour package and gets accreditation from the Reserve
Bank of India money exchange dealer.
 It gives ample importance to become the professional member of national and
international tourism, travel, and hospitality and aviation associations.
 It is committed to work as a responsible partner in the tourism industry to popularize
destinations and explore new potential destinations through their package tours

BENEFITS / FUNCTIONS OF TOUR OPERATION

Functions of Travel Agency and Tour Operator

1 Provision of Travel Information Places of Tourist Interest, Connectivity, Climate

Culture, Customs, Currency, Health and Security
Checks Permits and Immigration

2 Market Research & Development Package tours

Destinations and Attractions & Other Services

Market Study, Customer Purchase Behavior

3 Reservation of Tickets Airlines, Railways, Buses, Passenger Ships, Events

4 Reservation of Hotel Rooms Hotels, Resorts, Motels, Home-stay

5 Reservation of Ground Services Cars, Coaches, Caravans, Entertainment Entries,

Guides, Interpreters

6 Selling Cruise Package Linking with Small Retail Agents, Negotiating

Commission with Cruise Company

7 Preparation of Itinerary Collection of First-hand Information

8 Costing Package Tour Estimation of Fixed and Variable Costs

9 Designing of Package Tour Assembling All Elements of Services

10 Conducting FIT, GIT & FAM Uploading Services to Ground Operator Issue of
Tour Exchange Order to Clients and Service Providers

Collection of Feedback and Release of Final

Payments

Participation in FAM Tours

11 Promotion & Publicity Marketing, Sales Promotion and Publicity

12 Reservation and Cancellation Booking Rooms, Airlines, Train and Coach Seats

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13 Management of Ground Services Uploading Responsibility to Ground Operator

14 Travel Documents Handling Enquiries, Counseling, Travel and

Destination Information

Passport, VISA

15 Travel Insurance Personal, Baggage, Travel Break-up, Accidents,

Insolvency

16 Currency Exchange Transaction of Buying and Selling Renewal of

Authorization, Maintenance of Stock of Currency

17 Operation of MICE Meetings, Incentive Travel Conferences,

Conventions, Exhibitions, Seminars Symposiums

18 Disaster Preparedness Contacting Police and Disaster Rapid Action

Force

19 Use of Information Technology Hiring IT services and Purchas of Latest IT Gadgets

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PACKAGE TOUR

Definition of Tour Package

Tour package may be defined as “a total tourism product consisting of transportation from
market area to the destination, accommodation at destination and recreational activities
performed by the tourists”. Packages are largely developed by travel intermediaries such as
tour wholesalers and operators, incentive travel planners and convention/meeting planners.
Moreover, packages are also developed by primary service providers like hotels, airlines and
coach and car rental companies.

Types of Package Tour

1. Independent Tours
 An Independent tour does not include a guide or a host or a set routine of daily
activities. Independent tours are prepared/ formulated for those tourists who wish to
travel independently.
 These tourists usually spend 2 or 3 nights in each location visited and usually only a
few locations are visited. A tour guide is not included, but there is a host who would
be available to help in the arrangements of sightseeing.
 Selected meals and some sightseeing are also included, but free time is given to guests
to do on their own. Travel components include air travel, ground transfers,
accommodation, travel documents, sightseeing, activities, entertainment and other
services.
 Sometimes an independent tour is an all-inclusive tour and sometimes it is not
because this tour provides freedom to customers to buy and plan the components
according to their choice.
 This is one reason why the price of this tour differs depending up on the components
chosen. Most of the Indian Travel agencies in these days provide different kinds of
tours like Foreign Independent Travel (FITs) for foreign tourists and Domestic
Independent Travel (DITs) for domestic tourists

2. Escorted tour
 Package Tours with Escorts Escorted tours follow a predetermined Itinerary and tour
escorts or guides accompany travellers.
 Escorted tours are normally conducted by a tour director who takes care of all services
from the beginning to the end of the tour. It normally includes flights, hotels,
transportation, and transfers to the airport/ hotel, meals and sightseeing. They are
typically conducted by motor coach.
 They can be fast-paced, with no more than break of two nights at each location. This
type of tour includes the service of a well-educated and trained tour manager.
 Escorted tours are generally meant for the tourists who visit the destination for first
time. Providing comprehensive information and assistance to the group about the

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destination and imparting the duties and responsibilities of the escorts adds value to
the tour

3. Hosted tour
 Hosted tours are a kind of guided tours. It is somewhat similar to the Escorted tours.
On the other hand, passengers are greeted by a local representative rather than a Tour
Manager. It is escorted to all activities and functions.
 Local guides are arranged at all locations to accompany the guests at the sites. Some
meals, accommodations and sightseeing may be included in the tour. This tour is ideal
for some customers who want some freedom with the comfort of guide services.
 For example, a group of German tourists come to India and Cox and Kings do the
transfers to the hotel providing them guidance and information about local attractions
and entertainment. When the same group arrives at another destination in India,
another local travel agency greets them at the arrival points

4. Incentive Tour Packages

 Incentive Tour Packages Incentive tour packages are generally given to employees as
recognition for their better performance in the organization.
 This incentive tour is actually a business tool to motivate the employees towards the
goals and targets in the company.
 This tour packages are usually given to groups with unusual travel package which
may also include meetings, exhibitions or conferences. Incentives tours are sometimes
prepared under the stipulations of organization and sometimes freedom is given to
employees to select the destination of their interest. These packages include all the
components of travel.

5. Target Market packages

 Target Market Packages are specially designed to meet the needs of certain target
markets. Market segments like children, youth, women, newly married, differently-
abled, adults and old age groups are identified and travel services are catered targeting
these segments accordingly.
 Packages including theme parks, zoological parks, water sports etc. would fit to the
children segment. Youth would prefer adventurous activities like skiing, trekking,
river rafting, biking etc.
 Tour packages are tailored keeping all such requirements in mind. Cultural, heritage
and spiritual attractions can be included in the tour packages that are prepared to serve
the old age segment.

6. Foreign Independent Tour (FIT)

 A special package arranged by travel agents or other foreign independent travel
specialist that fits individual clients needs while they are travelling in foreign
countries.

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 These tours are preferred by wealthy and affluent travellers. This tour provides the
comfort of travelling whenever a tourist wants to individually. These tours are got
tailored by the personal travel agents.
 Tourists who wish to have such tours are very clear about where they travel, how
many days they travel, what transportation they use and what category of hotels they
would stay in and thus travel agents prepares the itinerary accordingly.
 These tours are prepaid and the entire cost of the package is paid to travel agent
including the cost of individual components.
 These days it is quiet common that tourists are educated and well versed with the
technology and they prefer to book all the travel services by themselves wherein they
can save money that is paid to travel agent. In most cases, budget tourists go for this
option.

7. Group Inclusive Tour (GIT)

 This is an all-inclusive package with a specified minimum size involving one or more
groups travelling on scheduled or chartered air service. This is the best method of
having an economic tour.
 Tourists who feel insecure and alone can have such tours because they are always in
the group which is accompanied by a tour leader. Group Inclusive Tour is one way to
get the maximum benefits of the money a tourist spends and best services too. These
tours are prepaid partly or fully.
 If it is partly prepaid, the tourist is at his exposure 180 and is given freedom to go
around for shopping and other tourism related activities. Money is spent from the
tourist‟s pocket. The cost of these tours is high sometimes based on the components
included in it. It becomes difficult for individual to get that altered since it is a group
phenomenon.

ELEMENTS / COMPONENTS

What should be a part or be included in a standard tour package still a debatable issue in the
tour operation industry. Generally, the elements or components of a tour package are based
on the tourist‟s likings or vary from company to company, market to market and destination
to destination. Generally, a tour package may include a wide variety of components, and vary
according to a key element or theme such components may categories as:

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Travel

 This may include transportation origin point to destination point and vice versa In
fact, Transportation to or within the destination area (flights, vehicle or bicycle rental;
van, boat or bus transport).

Ground Services

 Accommodations en route or at the destination (hotel, motel, bed and breakfast,

cottage, campground).
 Meals at or en route to the destination (bed and breakfast plan, all meals included,
meal vouchers at a variety of restaurants).
 Activities or entertainment, which may be the main reason for the package or be
secondary to the tour (adventure, recreational or educational activities; workshops or
conventions; visits to museums or galleries; evening slide presentations; sightseeing).
 Mementoes or souvenirs (T-shirts, photos of the client participating in an activity,
gifts of local arts or crafts).
 Related services (interpreters, translators, guides, instructors, equipment rental or sale,
equipment service, welcome reception, baggage handling).
 Extra and/or creative elements (photo service and film delivery, self-help coffee,
discount coupons from local gift stores)

ITINERARY

 An itinerary is a schedule or an arrangement of programs or events. It is prepared for

designing package tour.
 The origin, destination and en-route halting points and duration of halts along with
elements of services like hotel rooms, transports, activities and miscellaneous services
are clearly described in tour itinerary.
 An itinerary gives detailed information about nature, type, length and quality of
package tour.
 Importantly, it determines sales of package tour and it is aptly a selling point for
alluring customers to buy package tour.

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Types of Itinerary

a. Itinerary for Tourists

 A tourist itinerary is basically a reference for tourists to follow during journey
comprising place of transit, arrival and departure time, meal plans, check-in check-
out time, mode of transport, activities etc.
 The unique feature of any itinerary is to meet the personal requirements of a tourist
that he expects from tour operators to include as per the itinerary. Tourist itinerary is
more useful for tour planners to check its feasibility of operations.

b. Itinerary for Tour Manager

 Tour manager‟s itinerary includes the complete details of tour from first day to last
day.
 Apart from the general details as listed in a tourist‟s itinerary, a tour managers‟
itinerary also carries information about alternative arrangements, contact details,
quick references, differential rates and tariff details, details of coach drivers and
escorts and guides.
 This helps the tour manager manage the smooth conduct of the tour as well as
execute contingency plans if required at times.

c. Itinerary for Tourist Guide

 Itinerary is designed for escort or interpreter or guide and it provides common
information along with specific information to them.
 A ground operator or handling agency prepares itinerary containing the information
about the name and nationality of guests, mode of arrivals, name of hotel, programs,
activities, time management etc.
 Other instructional details include voucher to be countersigned from guests,
arrangement of loading and unloading of baggage and valuable belongings,
photography, helping physically challenged guests and women.

d. Itinerary for Accommodation and Transport Operator

 Itinerary is prepared for hotels, transporters and other vendors for smooth conduct of
tours. Hotels or transporters shall have to provide services as per guest‟s itinerary.
Hotel or transport is a vendor that works for tour operators.
 This is also called as vendor‟s itinerary. There must not be any deviations from tour
voucher. However, tour operator sends short instructional itinerary or programme to
hotels and transporting agencies to be ready before the commencement of tours.
 Vendors play a major role for the success of tour at a particular destination. The
specific parts of tour itinerary instructs for making necessary arrangements in
advance. For example, welcome drinks and traditional reception upon arrival in hotel
is arranged as per vendor‟s itinerary

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e. Itinerary for Drivers

 Itinerary is prepared for cab or coach driver to make proper coordination with guides,
hotels and guests.
 Information for a typical driver‟s itinerary includes place and time of arrivals, parking
areas, name of hotel, route to hotel and other sightseeing places, cleanliness of
vehicle, checking air condition, break, public address system, etc.
 The summary of guests‟ itinerary is generally handed over to drivers to follow in tour.
Driver‟s itinerary contains certain instructional information like attending duty with
uniform, starting air condition 15 minutes before the guests boarding coach, greetings
guests, etc.

f. Tailor-Made Itinerary
 An itinerary is customized in such a manner that most of the specific travel needs are
tailored taking the affordability of customers and capability of tour operator organize
such tours.
 Tour operators adopt the changes as per the preference and affordability of customers.

g. Special-Interest Itinerary
 It is a type of tour itinerary that takes care of special interest or motivations of
customers by incorporating special events or attractions in tour programs. Both group
and independent travelers wish to visit special places of tourism importance.
 For example, MICE operators and adventure tour operators promote special interest
tour packages

PACKAGE TOUR FORMULATION PROCESS

Formulation of a package tour involves managerial approach and the process involves proper
planning, itinerary preparation, and designing, costing and marketing. Below is a detailed
sequence of steps followed in the formulation of tour packages:

i. Market Research

Marketing research involves study of the economy of the country to visited, foreign exchange
rate, demand for the product, consumer profile, competitors in the market, studying the
product components like sightseeing, transport, baggage allowance, ground service etc., sales
status, channels of distribution, promotional measures.

ii. Prepare an Itinerary

A well planned itinerary holds the key for success of a package tour. It needs to incorporate
exciting places of interest and enough scope for events and activities. Identify and decide on
mode of travel, hotels, destinations, dates, capacity and others. Sign contracts with principal
service providers: Agreements with various service providers well in advance is important.
Contracts for timely delivery of services by hotels, transportation, entry permits, ground
handler etc. has to be signed.
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iii. Costing of the Package

After having signed contracts and designing of package systematic costing of the package
will be done which includes cost to incur towards all elements of a package tour are summed
up and then package is given a mark-up price before a price tag is decided upon.

iv. Preparation of Brochures and other Promotional Material

Promotion material is another important aspect in the formulation process. Both print and
electronic media are widely used but brochures are integral part of it which plays a major
role. Hence designing and printing attractive brochures and other material is ready to use for
marketing.

v. Marketing of the Product

In line with demand requirements of the markets right kind of marketing strategies are framed
and then the product is marketed through the above listed means of promotion material.

vi. Documentation

This last step in formulation process includes copy of the client‟s itinerary, tour vouchers,
travel and other entry tickets, luggage labels and other useful information for the clients.

DESIGNING TOUR ITINERARY

 Once the study as regards the destination and the target market has been conducted,
the second phase in the developmental process involves working out an effective tour
itinerary.
 Generally, the new tour operators undertake „familiarization tour‟ and after successful
operation, they develop an itinerary.
 The itinerary is a summarized tour programme, which is designed to identify the
origin points, destinations, en route points, accommodation, transportation,
sightseeing activities and other services.
 Moreover, an itinerary shows the sequence of various tour ingredients and provides
essential information such as assembling point, departure point, date of departure and
duration of tour, legal requirements, features of destinations, optional activities, meal
and perhaps more than these.
 Thus, itinerary development has become the crux and /or central point for the success
a tour company.

COSTING OF TOUR PACKAGE

 Costing of a package tour includes the determination of the monetary value of a tour
Package.
 The cost of package tour is explained as the total expenses are incurred to covert the
places of interest along with services into an appealing package tour.

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 A tour company incurs the costs for transacting with the principal service providers. It
assembles or purchases individual components to give concrete shape to tour package.
 The cost is determined as per clients or markets requirements or organisations
strategies. Tour operators work out fixed and variable costs.
Types of Cost
a. Fixed costs are changed when the number of packages sold increases over time.
Tour operators include the cost of hiring buses and guides or interpreters. Fixed costs are a
kind of expenses incurred before any sales take place. These costs often include rent of the
building, furniture and salary.
b. Variable costs change according to the increase and decrease in the number of
customer in the group. These include meals, accommodation, admission fees, and
other costs charged according to a rate per person. The cost of advertising, pamphlets
and brochures are also included in the variable costs. Furthermore, variable costs
include the actual expenses (direct costs) of rooms, tickets, and other package
components incurred with the sale of each package.
Following are the major variable costs:
 Market Research and Development
The cost for market research includes the expenditure to gather date through field visit and
analyse with the help of scientific tools. It is also an attempt to study about the destinations
and the travel behaviour and motivations of customers.
 Cost for New Product Development
The cost is incurred for discovery of new destination and development of new packages. It
includes the cost for preparing documents for planning. Tour operators incur the cost on their
familiarization tour. The development of new packages needs allocation of cost.
 Transfer Cost
International and domestic airfares, rail travel, and transfer and departure tariffs are included
in the cost component in case of the all-inclusive package tour.
 Accommodation Cost
Accommodation cost is expected to be around 30 per cent of the total cost that is decided
after the negotiations accommodation companies.
 Sightseeing Costs
Sightseeing cost includes the cost of guide, entry free, refreshments, coach, etc. The
calculation is done on per head basis.
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 Administrative and Transactional Cost

The cost of managing the preparation of itinerary and package tour is incurred. This is an
indirect cost or implicit cost. The cost includes salary and incentives, insurance, financial or
legal expenses and recruitment and selection cost.
 Technical cost
The technical cost includes the acquisition of new software, hardware, and computers for the
reservation of air tickets and tour packages.
 Cost for Training and Development of Staff
The cost of training the staff is incurred form the revenue of the tour company. Frontline
executives are given in-house training with the help of external or internal trainers; whereas
the managers are send for outhouse training to learn the strategic business decisions.
 Marketing Cost
The cost marketing is incurred from the budget for marketing. Marketing cost includes
advertising and sales promotion for diversification of the package tour business.
 Cost for Sales Promotion
The cost is incurred for the sales promotion to increase the volume of sales of the package
tour by providing discounts, commission
 Printing and Publicity Cost
The cost of printing tour brochures is incurred for designing and printing multiple copies of
the tour brochure on coloured glossy papers highlighting the tour itinerary and other
important features of package tours.
 Miscellaneous Cost
This cost includes porterage charges at airports and railway stations, tips at hotels or airports,
entrance fees, insurance premiums, gifts, and welcome dinners. Thus, while costing a
product, the tour company should concentrate on the four pivots namely- cost consciousness,
cost measurement, cost responsibility and cost improvement.
Factors influencing tour costing
 Seasonality
 Operating Costs
 Competition
 Demand
 Tour or Accommodation Details

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 Daily Costs (Fixed)

 Daily costs (Variable)
 Annual Business Costs (Fixed)
 Political or Security Concerns or Natural Disasters

PRICING
Pricing is one of the most important elements of the marketing mix. It is the only mix to
generate a turnover for the organization. The remaining 3Ps are the variable cost for the
organization. It costs to produce and design a product and it costs to distribute a product.
PRICING STRATEGIES
a. Geographical Pricing
 In geographical pricing, the company decides how to price its products to different
customers in different locations and countries.
 For example, should the tour operating company working in inbound, outbound and
domestic market segments decide the same price to customers irrespective of country
of origin distant or different? Or set a lower price to gain additional business?
b. Promotional Pricing
 Companies go for promotional pricing techniques to stimulate early purchase.
However, smart marketers recognize that promotional-pricing strategies are often a
zero-sum game.
 If they work, competitors copy them and lose their effectiveness. If they do not work,
they waste company money that could have been put into longer impact marketing
tools, such as building up product quality and service or strengthening product image
through advertising.
c. Discriminatory Pricing
 Companies often adjust their basic price to accommodate differences in customers,
products, locations and so on.
 Discriminatory pricing occurs when a company sells a product or service at two or
more prices. They do not reflect a proportional difference in costs.

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Discriminatory pricing takes Several Forms

 Customer-Segment Pricing
Different customer groups pay different prices for the same good or service. For example, the
famous tourism attraction „Kolkata Museum‟ often charges a lower admission fee to students
and senior citizens.
 Product-Form Pricing
Different versions of the product are priced differently, but not proportionately to their
respective costs.
 Image Pricing
Some companies price the same product at two different levels based on image differences.
For instance, pricing of Taj and Ginger hotels differ much due to brand image, whereas both
belong to Indian Hotels (TATA Group).
 Location Pricing
The same product is priced differently at different locations even though the costs are the
same. For example, theatres often vary seat prices according to audience preferences for
different locations.
 Time Pricing
Prices are varied by season, day or hour. Public utilities use time pricing, varying energy rates
to commercial users by time of day and weekend versus weekday. A special form of time
pricing is called as yield pricing. It is often used by airlines to fill as many seats as possible.
Package holiday pricing during peak season in India and Movie ticket price in evening show
on weekend are some of the examples time pricing.
d. Product-Mix Pricing
Pricing strategy must be modified when the product is part of a product mix. For instance,
tour package is mixed with hotel, transportation and attractions. In this case, tour operator
searches for a set of prices for maximizing profits on the total mix. Pricing a product line is
difficult because the various products have demand and cost interrelationships. They are
subject to different degrees of competition.
e. Penetration Pricing
The organization sets a low price to increase sales and market share.

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f. Skimming pricing
The organization sets an initial high price and then slowly lowers the price to make the
product available to a wider market. The objective is to skim profits of the market layer by
layer.
g. Competition Pricing
It is a strategy to set a price in comparison with competitors.
h. Psychological Pricing
The sellers here consider the psychology of price and the positioning of price within the
market place.
i. Premium Pricing
The price is set high to reflect the exclusiveness of the product.
j. Optional Pricing
The organization sells optional extras along with the product to maximize its turnover.

ITINERARY EXAMPLES
Example 1
Day 1 Chandigarh
assembling point is at Chandigarh and after transfer to hotel for check in. Take lunch
and proceed for local sightseeing tour to Pinjore Garden, the Rock Garden. Overnight in
hotel.
Day 2 Chandigarh - Shimla (Approx time 3.30 hrs.)
after breakfast check –out from hotel and proceed to Shimla by ac coach. Arrive in
Shimla and proceed to hotel. After lunch, you will be free for leisure. Overnight in Shimla.
Day 3 Shimla-Kufri-Shimla
the 3rd day whole at leisure & local sightseeing tour to Kufri- winter sports capital,
visit Scandal point and Shimla Church. Overnight in Shimla.
Day 4 Shimla - Manali (Approx time 10 hrs.)
After breakfast check-out hotel and proceed to Manali by AC coach. Enroute lunch
transfer to hotel and evening free at leisure, one can enjoy shopping at Mall road.
Overnight in Manali.
Day 5 Manali-Rohtang Pass or Snow Point-Manali
The fifth day is free to enjoy the scenic beauty of Himalaya. Visit Rohtang Pass or
Snow Point. Free time to enjoy snow. Overnight stay at the hotel in Manali.

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Day 6 Manali-City Sightseeing

Day 6 is full of sightseeing to important tourist places having unique historical
Significance, visit ancient temples like the Manu Mandir, Hadimba Temple, Gayatri
Mandir and Vashista Kund. Overnight in Manali.
Day 7 Manali -Dharamsala (Approx time 7 hrs.)
After breakfast, check –out and proceed to another scenic town of Himachal Pradesh -
Dharmashala. Lunch enroute transfer to hotel and Evening visit Dal Lake, Dalai Lama
monastery and Bhasunag Temple. Overnight at the hotel in Dharmashala.
Day 8 Dharamsala- Dalhousie (Approx time 6 hrs.)
After breakfast, check –out and leave for Dalhousie. Arrive at hotel check-in and
lunch, Evening free for leisure or you can enjoy nice walk around this small town.
Overnight stay at the hotel Dalhousie.
Day 9 Dalhousie-Khajjiar-Dalhousie
the 9th day is full of fun and enjoy excursion trip to Khajjiar surrounded by dense
Deodar forests, small temple with a golden spire and golf course. Visit the Ajit Singh
Smarak and Satadhara Sparkling springs. Evening at leisure. Overnight stay at the
hotel in Dalhousie.
Day 10 Dalhousie - Amritsar (Approx time 9 hrs.)
After breakfast, check –out and proceed to Amritsar. On arrival check in at hotel.
Rest of the day is free for leisure. Overnight at Amritsar.
Day 11 Amritsar
After breakfast morning visit Golden Temple. Evening Enjoy Wagah Border.
Overnight at Hotel.
Day 12 Amritsar – Hometown

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Example 2
Day 01: Arrive Delhi
On arrival at Delhi our representative meets you at the airport and assists you till your check
in process at the hotel. Stay overnight at the hotel.
Day 02: Delhi - Jaipur
After breakfast drive to Jaipur. On arrival at Jaipur check-in at hotel. Rest of the day free for
your own activity. Demo of Indian cuisine in the hotel. Overnight stay at hotel.
Day 03: JaipurAmber Fort, Jaipur
After breakfast, enjoy a full day sightseeing tour of Jaipur. Enjoy a safari up to the famous
17th century Amber Fort. Thereafter, visit the enchantingly beautiful City Palace, a fine blend
of Rajasthani and Mughal architecture, now housing a museum containing rare armories,
manuscripts, and paintings. Later, visit the Hawa Mahal (Palace of Winds), the landmark
architecture of Jaipur built of pink sandstone. You will also visit the Jantar Mantar, an
Astronomical observatory built by maharaja Jai Singh in 1728. Demo of Indian cuisine in the
hotel. Overnight stay at hotel.
Day 04: Jaipur
Demo of breakfast, Lunch and Dinner at hotel. Rest of the day free for your own activity.
Overnight stay at hotel.
Day 05: Jaipur - Agra
After breakfast drive to Agra, enroute visit Fatehpur Sikri. Fatehpur Sikri was built between
1571 and 1585. It is one of the finest examples of Mughal architectural splendour. Though
the city is in ruins, it is a must visit place for those who visit Agra. Fatehpur Sikri is a place
where one should spend some time. The sunset over the ruins of this fort is a sight to be
cherished. On arrival at Agra check-in at hotel. Demo of Indian cuisine in the hotel.
Overnight stay at hotel.
Day 06: AgraTaj Mahal, Agra
In the morning visit the famous Taj Mahal built by Mughal Emperor Shah Jahan in memory
of his wife Mumtaz Mahal. This monument is made of white marble and it took 22 years to
get [Link] breakfast visit the Agra Fort which has the Pearl Mosque, Diwan-e-am
(the hall of public audience) and Diwan-e-Khas (the hall of private audience). Demo of
Indian cuisine in the hotel. Overnight stay at hotel.

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Day 07: Agra

Demo of breakfast, Lunch and Dinner at hotel. Rest of the day free for your own activity.
Overnight stay at hotel.
Day 08: Agra - Delhi
After breakfast drive back to Delhi. On arrival at Delhi check-in at hotel. Overnight stay at
hotel.
Day 09: Delhi Dept.
Breakfast at hotel. Later transfer to Airport for your onward destination.

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CPA COLLEGE OF GLOBAL STUDIES

Travel agency and tour operation management

Module 3

TOUR MARKETING

Concept of Market and Marketing

 Market: Traditionally, a market is a place or an area where buyers meet with sellers or
the two come into contact, to finalize a deal. A market comprises of all buyers and
sellers in the area under consideration. Market comprises of a geographical area in
which sellers compete with each other for customers. In present times, where internet
is creating new avenues for businesses to reach actual and potential customers, the
market must not be thought of a geographical meeting place, rather, market is any
getting together of buyers and sellers using any means of communication
 Marketing: Marketing is an organizational function. It is an assortment of processes
designed to plan, create, communicate, and deliver value to customers. Marketing
helps in building active customer relationships benefitting both organization and its
stakeholders. The roots of marketing lie within economics, psychology, sociology and
statistics. Marketing links a product with the needs and wants of the consumer and
also influence their buying choices. In total, marketing as a concept comprises of
activities that create value, resulting in effective customer relationships.

Definition

 Tourism marketing is a term which is used to refer to that business discipline by

which the visitors are attracted to a particular location which can be a state, a city, a
particular heritage site or tourist destination spot, a hotel or a convention center
anything

TOUR MARKETING PROCESS

5 Steps of Marketing Process

 Marketing is how companies create value for customers and build strong customer
relationships to capture value from customers in return. 5 step process of the
marketing framework wherein value is created for customers and marketers capture
value from customers in return.

1. Understanding The Marketplace And Customer Needs And Wants.

2. Designing A Customer-Driven Marketing Strategy.
3. Constructing an integrated marketing plan that delivers superior value.
4. Build Profitable Relationships.
5. Capturing Value from Customers.

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1. Understanding The Marketplace And Customer Needs And Wants

It is important to understand customer needs, wants, and demands to build want- satisfying
market offerings and building value-laden customer relationships. This increases long-term
customer equity for the firm

Needs – States of felt deprivation

They include the physical need for necessities like food, , shelter, transportation, safety, and
individual needs for knowledge and self-expression. The marketers cannot create these needs
as they are a basic part of human mark-up.

Wants – The forms of human needs take as shaped by culture and individual
personality.

Wants are shaped by one’s society and are described in terms of objects that will satisfy
needs. For example, a person need accommodation but wants that must be a five star hotel .

Demands – Human wants that are backed by buying power.

Given their wants and resources, people demand products with benefits that add to the most
value and satisfaction.

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2. Designing A Customer-Driven Marketing Strategy

One it fully understands consumer and marketplace marketing management can design a
customer driven marketing strategy

3. Constructing an integrated marketing plan that delivers superior value.

Marketer should develop an integrated marketing program that will actually deliver the
intended value

4. Build Profitable Relationships.

Building and maintaining profitable customer relationship by delivering superior customer

relationships by delivering superior customer value and satisfaction

5. Capturing Value From Customers

It involves capturing value in return in the form of sales, market share, and profits

MARKETING MIX

Meaning of Marketing Mix

 According to The American Marketing Association, “Marketing is the activity, set of

institutions, and processes for creating, communicating, delivering, and exchanging
offerings that have value for customers, clients, partners, and society at large.”
 Mix means to combine, blend or consider together.
 Thus, Marketing mix is a combination of elements, tools or efforts used to market
effectively to a target market. In the words of Prasanna Kumar “The marketing mix is
a term used to describe the combination of tactics used by a business to achieve its
objectives by marketing its products or services effectively to a particular target
group”.

Definitions of Marketing Mix

“The Marketing Mix is the set of tactical marketing tools - Product, Price, Promotion, and
Place - that the firm blends to produce the response it wants in the target market.”- Philip
Kotler

The tourism marketing mix

 Tourism marketing mix is a mechanism by which a tourism enterprise provides

services to its target market through the various market offerings. One of the
fundamental responsibilities of the tourism service provider is to develop a marketing
mix. It is concerned about allocating and adjusting marketing inputs to create a unique

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offering that satisfies the wants and needs of the guests and thereby achieve the
organizational goals.

Figure: The 4 P’s of Marketing

Product

 Product includes a combination of all goods and services offered by an organization

including both tangible and intangible elements. The products of tourism industry are
many and varied.
 For example, it includes the broad array of elements offered to the consumer such as
accommodation, transportation, attraction, catering, tour packages etc. A key point to
keep in mind is that once a hospitality consumer leaves the hotel or restaurant, there is
nothing tangible to show. Because the consumer has purchased and consumed the
service, the largest part of the tourism industry productservice mix is indeed the
intangible elements of service.
 As far as tourism is concerned, the product a tourist buys covers the complete
experience from the time he leaves home to the time he returns to it. The tourism
product is not an airline seat, or a hotel bed, or relaxation on a sunny beach but rather
an amalgam of many components or a package- all tourists buy packages whether or
not they use travel agents.
 For Example Thomas Cook (India) is one of India’s foremost travel related services
company in the country offering a comprehensive range of services that include
Foreign Exchange, Corporate & Leisure Travel, Visa, Insurance, & Passport services
which is their Product Mix.

Price

 Amount of money asked in exchange for product

 In addition to the actual price a firm charges, the pricing mix encompasses the
consumer’s perception of value. The pricing mix includes variables such as volume
discounts and bundling multiple products together for an overall discounted price.

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 Product bundling pricing strategy has been well used by tour management companies.
They typically offer the tour package which includes air tickets, sightseeing, hotel
accommodation and food at a price which is less than the price of purchasing each
[Link] in tourism fluctuate with season, days, time, demand-supply,
markets and occasion.
 This makes pricing in tourism a challenging task in which many factors such as costs,
fixed capacity, variation in demand, behavior of the tourists and other factors needs to
be balanced.

Place

 Tourists want tour experiences and the marketer’s job is to make these available. This
requires moving tour benefits to tourists such as giving tickets, assisting in
documentation, opening hotels or resorts in their towns.
 A larger part of tourism experience takes place at immovable sites such as hills,
beaches, etc. and it requires moving tourists from their places of residence to
destinations. The access of tourists to both moveable and immovable benefits is made
possible through a distribution system.
 This is a network of distribution channels. Five types of intermediaries i.e. tour
operators, outbound and inbound travel agents, online travel distribution firms,
specialized agents, and national or regional tourism organizations form a channel.
 The growth of internet and online companies is changing the rules of distribution and
consumers are bypassing the established channels for purchasing services such as
airline and train bookings.
 This increases the profitability for tourists and suppliers but is forcing middlemen to
adopt newer roles as consultants and advisors.
 Example- Indian online travel company Make my trip offers special packages for
website and app users.

Promotion

 Promotion involves all the communication that takes place between travel
organization and the customer. A few promotional tools, such as brochures, events
and movies are more apt for tourism because of their distinct nature.

Brochures

 Brochures are defined as the booklets or pamphlets used for sales and promotion. The
marketers mail these to the potential buyers or use these for the personal selling.
These create initial interest that can later culminate in purchase under the right
circumstances. Mailing is used to keep market aware of the firm’s latest offers.

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Events

 Events are organized occasions of significance. These are used to promote and
highlight the tourism potential of a destination. International trade fairs, cultural fairs,
cultural events, historical commemorations, commercial fairs and sports events are a
few examples of events that attract tourists to visit a place and see its attractions.

Movies

 Movies are good tools used for tourism promotion where destinations are used as a
backdrop for a story. Many destinations selected and shown in movies became
popular among tourists.
 Many people have been taken a trekking trip to Shimla, Manali after watching “Ye
Jawani Hai Diwani” whereas “Dil Dhadakne Do” has promoted the ship Cruises to
high heights. Ranbir Kapoor and Deepika Padukone, filmed “Tamasha” in Corsica,
France which showcased the wide range of natural beauty of Corsica, sure this must
become a tourism destination in future.
 Goa and Australia are places where Indian outbound increased after watching movies
such as “Dil Chahta Hai”. Even religious tourism gets a boost after a movie or serial
on it.

People

 Tourism and travel is a people industry. It is a business of people (staff) providing

services to people (customers). Staff recruitment, selection, orientation, training,
supervision and motivation all play a very important role in this industry.
 For hotel industry, it is significant that different levels and categories of staff working
in hotels have been imparted education and training facilities in the areas concerned
so that they have knowledge of delivering the promised quality of services to the
tourists.
 The professionals need to ensure that all the staff members working in their hotel have
competence of performing and serving the guests or tourists in the restaurants, bars,
cafes or in rooms where they stay. For travel agencies, the travel agents need to
develop a team of quality people bearing the potentials of communicating well,
responding well, looking well and behaving well.
 Converting the enquiries into bookings and transforming the potential tourists into
actual tourists and actual tourists into habitual tourists are some of the areas where
professional excellence and personal touch need an overriding priority.

Physical evidence

 In the hotel industry, the design, furnishing, lighting, layout and decoration of the
hotel as well as appearances and attitudes of its employees will influence customer
perceptions of the service quality and experiences.

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 In the tourism industry we find involvement of a number of organizations because

tourism is an amalgam of different industries. The hotels, airports, railway stations,
bus stations, seaports, offices of travel agents are some of the sensitive points for
creation of a service ambience.
 If you walk into a restaurant/hotel your expectations are of a clean, friendly
environment. If you travel first class on an aircraft, you expect enough room to be
able to lie down. Hence physical evidences are an important part of tourism
experience

Process

 In context of process mix, the professionals need to give due attention on a number of
factors such as the flow of activities, customization etc.
 The flow of activities is found related to the use of new generation of information and
communication technology and equipment used for increasing the speed and
frequency.
 The customization focuses our attention on modifying the services commensurate
with the taste and preference of tourists or the nature and types of services delivered
by a particular organization. The process might be simple and complex.
 The processing of tourism services are of complex nature because of the involvement
of a number of organizations, instruments, equipments and people.
 The involvement of customers may be preferred for understanding the customers of a
particular segment. Even for modifying the services, the professionals may involve
customers. Perishability of services makes it essential to manage the process factor.
Hotel rooms not occupied and airline seats not purchased cannot be reclaimed.
 Since services are created as they are consumed and because the customer is often
involved in the process, there are more opportunities for customizing the service to
meet the needs of the customers.
 Processes are very important in service delivery: an easy, on time, error-free check-in
at the airport cannot be compensated by anything else.
 Over a period of time, tourism service delivery has seen many innovations such as
online transfers, mechanization, self-service, direct service etc.
 For example to make travel even more efficient, Emirates offers “Online Check-in”
option to its customers. The customers can check in online and save time at the
airport. They can also choose their seat at no extra cost, and then print their boarding
pass or receive a mobile boarding pass. This allows the customers to enjoy a smarter
check-in experience.

TOUR BROCHURE

 Once all the above factors have been considered, a tour operator would then Tour
brochure package a tour and incorporate it in a brochure known as "tour brochure"(A
brochure is a document bound in the form of a booklet) It is Tour Brochure a

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voluminous publication with special emphasis on the quality of a paper, the graphic
design of the cover and the layout of pages.
 The tour operators Brochure is the most vital marketing tool for selling his product
since tourism is an intangible product which cannot be pretested by the prospective
consumer prior to the purchase, the brochure becomes the important channel of
informing a customer about the product and also motivating him to buy the product
 Brochure is the most vital marketing tool for selling his product. Since tourism is an
intangible product which cannot be presented by the prospective consumer prior to the
purchase, the brochure become the important channel of informing a customer about
the product and also motivating him to buy the product.
 The brochure contains a comprehensive and detailed information about destination
including cruises, bus tours, safaris, charter vacations, etc., is also given The price of
various tours is invariably mentioned along with the dates when tours takes place.
 Many tour operators take great care with production of their brochures.
 There are, however, no travel industry standards or guidelines for the production of
brochures.
 Established tour operating companies take great care while designing their tour
brochures.
 The following are some important areas which need to be taken care of while getting
the tour brochure printed

 i) Quality of paper
 ii) Layout
 iii) i) Quality of printing
 iv) Photography
 v) Detailed itineraries
 vi) Special features
 vii) Weather conditions
 viii) Maps of areas
 ix) Tour conditions
 x) Hotel information
 xi) Terms and conditions of tour.

ELEMENTS IN A TOUR BROCHURE

 Several large tour operating companies get their brochures designed and printed in
their own advertising departments. Some get the brochures printed in conjunction
with the design studio of their advertising agency who in turn negotiate with the
printer to obtain the best quotation and ensure that the print deadlines are adhered to.
 Adhering to the print deadline is extremely important as the company has to introduce
the brochure at a predetermined date coinciding in most cases with travel trade and

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consumer holiday fairs. The introduction of a brochure at these events both to travel
trade and consumer is crucial for marketing a package.
 The description of the tour brochure of a company shows how different Elements of a
programme are carefully planned to include all necessary information to make a
holiday comfortable.
 The necessary elements of a good programme in a brochure can be divided into two
parts, e.g. (i) 'pre- visit and (ii) 'on arrival.

 Pre-visit details would include the following:

 (a) destination information
 (b) price of a tour
 (c) departure dates
 (d) hotel information
 (e) visa requirements
 (f) health requirements
 (g) insurance advice

On arrival" details would include the following:

 transfer
 (ii) day to day itinerary
 (iii) guide service
 (iv) entertainment/cultural programmes
 (v) shopping
 (vi) currency exchange
 (vii) emergency services
 (viii) cuisine
 (ix) customs to be observed
 (x) airport departure taxes

All the elements in a programme of a big tour operator are tailor-made to suit particular
interest and need of a client. A tour operator, after carefully considering various alternatives
available and based on the market research packages, offers different programmes for
including in his tour brochure.

MARKET SEGMENTATION

 Market segmentation is the research that determines how your organisation divides its
customers or cohort into smaller groups based on characteristics such as, age, income,
personality traits or behaviour. ..
 At its core, market segmentation is the practice of dividing your target market into
approachable groups

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Tourism Market Segmentation

 All tourists are not the same. Just as they may belong to different regions, they may be
of different age groups and earn different incomes and have different tastes and
preferences to live their lives in a certain manner; the tourists also have different
choices when it comes to selecting the mode of travel, destination, and the activities at
the destination.
 Tourism market segmentation is the strategic tool for getting a clear picture of
diversity among the tourists.
 The tourism researchers and the tourism industry use market segmentation
information to study the opportunities for competitive advantage in the marketplace.

What is Market Segmentation?

 Market segmentation is nothing but dividing the total consumer market into groups to
be able to communicate with them and provide their specific needs. Smith (1956)
introduced the concept of market segmentation as a strategic tool.
 He stated that “Market segmentation (…) can be viewed as a heterogeneous market
(one characterized by divergent demand) as a number of smaller homogeneous
markets”.

Why Segment the Tourism Market?

 Every tourist being different, the tourism industry possibly is not capable of satisfying
every individual’s need. This is the foundation of segmenting the total market.
 While all tourists are different, some of them are similar to each other. Marketing
force of a tourism business group the tourists into various segments that categorize the
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similar as well as distinct members. Market segmentation can be applicable to any of

the tourism supply components and provides benefits as given below –
It helps to understand specific demands of the consumers.
It helps to allocate marketing expenses efficiently.
It helps to create effective marketing strategies to target specific market segment.

Tourism Market Segmentation

The tourism market segmentation can be broadly divided into the following types

1. Geographic

Geographic market segmentation is done considering the factors such as tourists’ place of
origin. This factor is important as the tourists belonging to different places are brought up
with different cultures and show different traits of behaviour. It is the most basic type of
segmentation.

2. Demographic

This segmentation is done by considering the tourist’s gender, age, marital status, ethnicity,
occupation, religion, income, education, and family members.

3. Psychographic

The marketing people do this segmentation by taking into account the psyche of the tourists.
They gather information about the tourists’ interests, attitudes, their way of living life,
opinions, and overall personality

4. Behavioural segmentation

Behavioural segmentation is a useful way to statement the market on the basis of customer’s
knowledge usage and attitudes towards the product

1. Occasion based segmentation

2. Benefit based segmentation
3. User status based segmentation
4. Loyalty based segmentation

TARGET MARKETING

MEANING

 It is a grouping of customers at whom the entire marketing efforts are directed

 It is a process of assessing the relative worth of different market segments and
selecting one or more segments in which compete

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DEFINITION

 According to David carvens,, Target market is a group of exciting or potential

customers within a particular product market towards target market is a group of
existing or potential customers within a particular product market towards which an
organisation directs its market efforts

APPROACHES

Total market approach

Travel organisation creates a single marketing mix that it hopes will satisfy most of those
customers

Concentration approach

A travel organisation directs its marketing efforts towards a single market segment through a
single marketing mix

Multi – segment approach

A travel organisation directs its marketing efforts at two or more segments by developing a
marketing mix for each segment

STEPS OR PROCESS OF TARGET MARKETING

1. Market segmentation
2. Market targeting
3. Designing the marketing mix
4. Product positioning

TOURIST BUYING BEHAVIOUR

Consumer behaviour is one of the most researched areas in tourism. This studies why a
tourist chooses a particular destination and what are the driving factors that influence his
decision for travelling.

Factors Affecting Tourist Behaviour

The following factors immensely alter tourist behaviour –

1. Geographical Factors

Some physical factors like geographical and climatic conditions, facilities and amenities
available at the destination, advertising and marketing conducted by tourism business
alter the decision making of the tourists

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2. Social Factors

A few social factors such as a person’s social network, which provide first had
information that can alter a person’s decision of visiting or not visiting a particular place.

3. Place of Origin

There can be a broad spectrum of tourist behaviour depending upon the place they
belong to. North Americans like to follow their own cultural framework. Japanese and
Korean tourists like to visit places in groups.

4. Tourism Destination

It is a major contributing factor altering tourist behaviour. If a destination has all basic
provisions such as electricity, water, clean surroundings, proper accessibility, amenities,
and has its own significance, it largely attracts tourists.

5. Education of Tourist

The more educated the tourist is, the wider range of choices, curiosity, and the knowledge
of places he would have. This drives the decision making when it comes to choosing a
destination

IMAGE BRANDING AND POSITIONING BY TOUR OPERATORS

What is a Brand?

"A brand is a name, term, sign, symbol, or design, or combination of them, intended to
identify the goods or services of one seller or group of sellers and to differentiate them from
those of competitors."

Definition Destination branding

 Destination branding is a process used to develop a unique identity and personality

that is different from all competitive destinations. & Destination branding is
“selecting a consistent brand element mix to identify and distinguish a destination
through positive image building" (Cai, 2000) "Branding is perhaps the most powerful
marketing weapon available to contemporary destination marketers" (Morgan and
Pritchard, 2002, p. 11)

 Destination branding is about combining all things associated with the 'place' (i.e., its
products and services from various industries agriculture; tourism; sports; arts;
investment; technology; education, etc.) that collaborate under one brand. Its aim is to
capture the essence of the destination, in a unified manner, and can be consumed
simultaneously at a symbolic and experiential level. It is then used to market those
unique added values to consumer needs and sustaining its success in the face of
competition.
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What is a Destination Brand?

Destination brand is:

 A way to communicate a destination's unique identity to visitors

 A means of differentiating a destination from its competitors
 A uniform "look" that all destination partners can consistently use
 A symbol, name, term or design, or combination of these elements

What a Brand is Not ...... Just!

A destination brand brand is not just:

 An advertising slogan (or tag line)

 A logo to stick on a t-shirt
 A distinctive color scheme
 A brochure or Web site

And definitely not:

 A vacuous statement that locals have dreamed up to improve commulsity self-

image
 A "pet" idea of a local politician to drum up all types of economic development

What is positioning

 Position is a form of market communication that plays a vital role in enhancing the
attractiveness of a tourism destination.
 The objective of positioning is to create a distinctive place in the minds of potential
customers. A position that evokes images of a destination in the customers mind;
images that differentiate the destination from the competition and also as a place that
can satisfy their needs and wants.
 Positioning is a communications strategy that is the natural follow-through of market
segmentation and target marketing.
 The positioning of a destination is the process of establishing a distinctive place of
that destination in the minds of potential visitors (Gartner, 1989).
 As destinations consist of diverse mix of features and not all can be included in the
positioning, decisions should be made about which attributes are important (Pike,
2012)

The destination positioning process involves seven stages.

1. Identify the target market and travel context.

2. Identify the competitive set of destinations in the target market and travel context.
3. Identify the motivation/benefits sought by previous visitors and non- visitors.

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4. Identify perceptions of the strengths and weaknesses of each of the competitive set of
destinations.
5. Identify opportunities for differentiated positioning.
6. Select and implement the position
7. Monitor the performance of the positioning strategy over time

PROMOTION TOOLS USED BY TOUR OPERATORS

Marketing tools in tourism

 The tourism sector business is different from business in other industries. This is so
because, while in other sectors one may be marketing real products or services, in the
tourism industry the managers are promoting places, including all the things that
coming to those places offer; and selling events
 Furthermore, unlike in other businesses, where competition may be among providers
who are locally present, the tourism business opens the firm up to competition from
destinations and location all over the world.
 This means that in order for the business to be successful in tourism marketing, one
must always be able to build a very good image of your destination.
 Various tools can help market tourism to achieve the aim of giving a tourist
destination or event, the best images as possible

1. Electronic media:

 The electronic media are media which use electronic or electromechanical means to
broadcast what these media want the public to hear. Electronic media include radio,
television, video recordings, audio recordings, CD-ROM PowerPoint presentations
and other online content.

I. Radio

 One very important means of broadcasting campaigns on benefits of visiting tourist

sites to potential visitors is by means of radio. Radio used as a tool for marketing can
be a helpful way of reaching people who want to patronize tourist sites.
 Radio advertising has several advantages, first of all radio adverts are cheaper
compared to other means such as TV ads, because usually production costs are lower
than adverts on TV.
 Secondly, radio adverts allows the message to be easily targeted at specific groups;
sometimes even to audience in a niche market such sports enthusiast, hiking
enthusiast, lovers of nature and so on.
 Finally, radio messages have a wider reach because radios are portable and can be
carried around unlike the television which is bulkier. People are therefore able to
listen to the radio while cleaning, driving or going for a walk.

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II. Television

 As long as many people watch television as leisure, it can be very effective as a

medium of promoting tourist destination and activities.
 Potential customers spend the most attentive time in front of the TV.
 Even though television production may be expensive compared to radio or local
newspapers, it has the advantage of being able to show live pictures and footages of
the tourist destination and activities thus making the message more real and true to
life.
 A number of researches have shown that the average time people spend watching TV
in any country ranges from five to six hours.
 This makes promotion of tourist packages through TV an effective way of reaching
customers with product messages.
 Unlike radio, TV promotions are able to appeal to the sight and hearing by combining
sound and pictures. By this means TV provides the greatest chance to market tourism
with creative advertising.
 Television has the power to stimulate viewers’ interest with colourful scenery of the
places being advertised within a rather short period of time. Like many other media of
advertising, TV is also suitable for marketing to different segments of the market.

2. Print media

 Print media advertising uses media which are printed in sending out its messages
about the product or service being advertised to prospective customers, present
consumers and other businesses which may be interested in the product or service
offered.
 Print media include magazines, newspapers, journals and other forms of publications.
Although the introduction of digital media has led to a print media being less used, it
has not completely taken over the use of print media.

I. Newspapers

 Those who wish to advertise in the newspapers are able to select from a broad range
of newspapers. For instance there are local newspapers, international, national or
regional newspapers to choose from depending on which audience one wants to target
with tourist promotional information.
 Advertisers of tourist events and venues can buy different classes of space from small
size text only adverts to larger spaces with pictures and illustration of tourist centers
and events, even up to full pages where one’s budget allows.
 It is also not uncommon to have double-page spreads for very important adverts
which tourism advertisers believe must be conspicuous enough for potential visitors
not to miss it.

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II. Magazines

 Magazines allow marketers to reach readers in different market segments. Magazines

often are published for various social groupings in mind.
 For example sports magazines, magazines on health, fashion magazines, magazines
on local gossips, some on current affairs, politics and tourism.
 This makes it easy for tourism marketers to place adverts in magazines to attract
persons with specific interest, for example placing an advert on golfing in magazines
patronized my middle-upper income earners.
 Aside from specific interest magazines there are other magazines which cover a broad
range of interest area. Such magazines may be used to reach people in the mass
marketing of tourist attractions.
 Advantages of using both newspapers and magazines are that, they help the marketer
to target specific demographic groupings which makes for effective marketing in
reaching smaller market segments.
 Furthermore, advertising in magazines and newspapers offer flexible means of
choosing the exact size and location-location and pages on which the adverts must be
placed. It also allows the marking personnel to indicate the precise time when they
wish the advert to appear.
 Also some newspapers and magazines have web pages where they also feature adverts
placed in their newspapers on the internet. This allows the advert to reach web users
as well. Newspaper and magazine adverts also are among some of the most affordable
mediums of advertising tourist sites and events.

III. Journals

 These are newspapers and magazines which specialize in publishing topics in a

particular subject. Usually, journals are highly professional in what they publish as
well as how they publish it.
 Journals have a huge advantage of attracting professionals whose field of study relates
to the area in which the journal specializes.
 Sometimes, journals have spaces for adverts which relate to their chosen field and
therefore adverts placed in these journals can reach out to professionals who may be
looking for tourist experiences that match their interest or which provides them with
opportunity.
 An example of this kind would be where a tour operator proposes a travel package to
Jerusalem in a religious journal.

IV. Publications

 Publications cover all means of making marketing messages on tourism potential and
attraction available to the general public as well as to those who are specially targeted
by the marketing that particular message.

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3. Social Media

 With social media playing a pivotal role in travelers’ choice of destination, travel
brands should have a robust presence on top social media channels like Facebook and
[Link] managing multiple channels can be a challenge.
 Marketing tools like Hootsuite, Buffer, and [Link] are dashboards that enable you
to centralize your social media marketing activity, schedule posts in advance, and
keep your editorial calendar up to date.
 These platforms also have built-in analytics capabilities, so you can track the success
of your social media campaigns and optimize your efforts. You only need to choose
one of these, based on which interface or pricing structure you prefer.

4. Content Marketing

 Content marketing refers to a marketing strategy that generates interest in a brand

through material such as blog posts, articles, videos, brochures, printed collateral,
infographics, and more.
 The first major component of content marketing is creating these assets, and there are
several travel marketing tech tools to use when developing content.
 For example, Canvas and Adobe Spark are tools for creating stunning images and info
graphics that you can use in your content marketing.
 For written content like blog posts, you can create a profile on a site like Clear Voice
to connect with professional freelancers who will help you craft compelling stories.
Or, you can partner with a service-based tool like Story Studio to help you develop
your content and have it syndicated across the web as sponsored articles.
 The second major component of content marketing is distribution. While your content
marketing will likely live on places like your blog, social media channels, and third-
party marketing (such as native advertising), you can also use other tools to distribute
your travel content to a broader audience.
 For example, you can set up an account with web publishing platforms like Outbrain
and Taboola to promote your sponsored content at the bottom of other web pages
under a “recommended for you” section.
 Similarly, hosting your marketing videos on platforms like Wistia, Wideo, or Vimeo
helps to avoid the ads and increase viewer engagement.

5. Email Marketing

 There are several email marketing providers out there, and some of the leading
players like Mailchimp, HubSpot, and Marketo offers a range of functionality at a
variety of price points.
 For platforms like Mailchimp, pricing varies based on how many emails you send out
and how many people are on your contact list.

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 By contrast, HubSpot and Marketo are marketing automation and CRM platforms
with email capabilities and can offer different price points depending on the suite of
solutions you choose.
 With any of these platforms, you can create automated or trigger campaigns based on
a prospect’s actions. For example, if a user signs up for your email list, you can
automatically send them a welcome series, which typically has an open rate four times
greater and a CTR five times greater than ad hoc campaigns.
 You can also configure these platforms to send “abandoned cart” emails to customers
who have placed items in their cart (such as a tour package) but have not checked out
yet.
 The best part is that with many of the functions within these email marketing tools,
you can automate many of your communications and spend that time on other
components of your marketing strategy.

6. SMS Marketing

 SMS is one of the most effective marketing channels out there and boasts higher open
rates than email. Notably, the open rate for text messages is around 95%, and a text
message is usually read within 3 minutes of being received.
 If you collect phone numbers and deploy text message marketing as part of your
overall strategy, a few platforms to consider are TextingBase and Twilio.
 With these tools, you can segment, personalize, automate, and mass send your text
messages, as well as manage opt-in permissions and enable two-way communication.

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CPA COLLEGE OF GLOBAL STUDIES

Travel agency and tour operation management

Module 4
TOUR BOOKING AND ADMINISTRATION

a. Enquiry from a customer Walk in clients

 Phone calls
 Referrals
b. Send Quotes
 All communication should be documented
c. Customize the tour if required
 Plan or prepare itineraries as per customer needs
d. Tour confirmation
 Collect confirmation email from client
e. Give quotation & collect booking deposit
f. Collect required booking documents
 Booking form, confirmation, passport copies, Aadhar copies etc.
 Terms & Conditions
 Cancellation policy
g. Place booking on system
h. Collect passport
i. Blocking services as per itinerary

How to handle a tour enquiry

 Collect names as per passport

 Contact information (phone number & email id)
 No of Pax. (Adult;Child;Infant)
 Travel date Choice of destination Package type (GIT/FIT)
 Budget Special requirements if any.

PRE-TOUR PREPARATION

a. Visa assistance
 Visa checklist
b. Collect full payment
c. Reservation of all services (Confirmation)
 Flight tickets
 Hotel Accommodation
 Airport Transfers
 Sightseeing
 Other services on tour (meals, travel insurance etc.)
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d. Forex arrangements
e. Tour briefing
f. Begin packing 2 or 3 days prior to your departure
g. Use a packing checklist
h. Contact bank and credit card companies
 Find out if your ATM cards will work where you are going
i. Leave valuables at home
j. Medications with doctor’s prescription
k. Leave additional copies of your itinerary, hotel voucher & important cell phone
numbers.
l. Prepare your personal travel pouch
 Passport E-ticket itinerary or paper tickets (if applicable).
 Cash, credit and debit cards for the trip.
 Travel insurance (if purchased).
 Copies of the picture page of your passport & credit/debit cards, in case they
are lost

TRAVEL DOCUMENTS TO HANDLE

 Air tickets
 Vouchers
 Travel voucher
 Hotel voucher
 Tickets
 Passport
 Visa
 Driver's License
 Forex
 Travel Itinerary
 Travel Insurance
 Health Documents
 Medical Prescriptions

TOUR MANAGER BRIEFING

I. Greeting
II. Introduce yourself
III. Briefing itinerary
IV. Key elements of tour
V. Regulation and safety issues
VI. Remind what to bring
VII. Best view to observe sights
VIII. Safety

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IX. No trouble to other groups

X. Keeping tourist together
o Make regulation first
o Check guests whenever moving
o Clear and loud voice for concentrating guests
o Using flag

ROLE AND QUALITIES OF A TOUR MANAGER

Role of a tour manager

Tour manager is the top executive representing the company and chiefly responsible for:

 Accompany groups
 Co-ordinating all travel arrangements with respect to flights, accommodation, meals
& services, etc. as per the itinerary promised by your company
 Deal with critical issues Such as over- booking by airlines, lost baggage by airlines,
stolen passports, stolen travel documents
 Organising entry tickets to local sight- seeing attractions, and co-ordinating with
service providers for local transport
 Complete all billing & payment formalities at with all partner vendors such as Hotel
Partners, Meal & Service Partners etc.
 Respond to special requests such as details on buying local mobile phone SIM Card,
arrangement of Cakes for Birthdays & Anniversary celebrations etc. made by the
travelling group
 Crisis management during unfortunate events such as Medical Emergencies,
Accidents etc.
 Take feedback from the travelling group and file a report with your company

Qualities of a tour manager

 a pleasant, outgoing and friendly manner with excellent people and verbal
communication skills
 the ability to get on well with people of all ages and backgrounds
 a supportive, tactful and approachable manner good listening and questioning skills
 excellent planning and organisational skills
 self-confidence and the ability to inspire confidence in others good health and
physical fitness in order to cope with the demands of the job and the long working
hours
 the capacity to make decisions quickly and change arrangements as required
 the ability to work well under pressure and cope with emergencies independence
 a flexible approach to work
 energy, stamina and the enthusiasm to cope with different people's needs and
demands over long, often irregular, working hours
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 health and safety awareness

 An interest in geography and historical sites.

TOUR DEPARTURE AND ARRIVAL PROCEDURES AT AIRPORT

DEPARTURE FORMALITIES

When a passenger arrives at the airport for their flight, there are four main formalities to
complete for departure

1. Check- in
2. Passport control/security checks
3. Transit area
4. Boarding

Check-in

 Having arrived at the correct terminal, all passengers proceed through check-in
formalities. With the increased availability of the internet and mobile solutions,
around 90% of passengers around the world will be offered the opportunity to check-
in on-line or using an airline's mobile application.
 Additionally many airports provide kiosks at the airport where check-in can be
performed. If passengers prefer, check-in can usually also be done with the airline's
check-in staff.
 Check-in is where passengers present their electronic ticket (e-ticket) reservation code
and passport/ID to the airline check-in staff. Documents and luggage are verified and
luggage is also checked-in where necessary, and a "boarding pass" is given to the
passenger to board a flight.
 Checked baggage is baggage that will be loaded into the cargo hold of the aircraft.
 An increasing trend at airports is the rise of fully automated bag drops. Here the
passenger will be given the opportunity to check-in and hand over their luggage to the
airline, without the need of an airline representative assisting.

Passport Control and Security Checks

 Completing all check-in and baggage handling formalities, all passengers proceed to
the airport passport control and security checkpoint.
 The airport is responsible for ensuring that only passengers holding a boarding pass
enter the transit area where they wait to board their flight. Increasingly around the
world, automated pre-security gates can be found.
 Here passengers need to pass through an automated gate where only passengers with a
valid boarding token can proceed towards security.
 The security checkpoint is staffed by airport personnel who are responsible to perform
the following checks:

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 The passenger is holding a boarding pass for a valid flight departure

 The passenger's passport name matches with the name printed on the
boarding pass
 The passenger and his/her personal belongings are manually checked or X-
rayed to ensure that they do not carry restricted or dangerous articles.

Transit Area

 The transit area is also called the airport concourse. Here departing passen- gers
wait to board their flight. They can take advantage of airport facilities such as
duty-free shops and restaurants.

Boarding

 The next step is "boarding." At the boarding gate each passenger's passport and
boarding pass must be presented. This is the last check before being allowed on
the aircraft

ARRIVAL FORMALITIES

Upon arrival at the destination airport, all passengers experience the same formalities

1. Immigration and passport control

2. Baggage claim
3. Customs

Immigration and Passport Control

 All arriving passengers are checked to determine whether they are authorized to
enter the country.
 In addition, if applicable, passengers are subject to a health inspection, which is a
procedure to check for the International Vaccination Certificate. Some countries
issue visas on arrival to nationals from specific countries.

Baggage Claim

 The passenger will pick up his checked baggage at destination in the arrival hall.
 All checked baggage is delivered to the baggage claim area of the airport where
passengers can reclaim their luggage.
 The international baggage claim area is located after immigration and passport
control but prior to customs control.
 Many baggage claim areas also provide currency exchange facilities.

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Customs

 After reclaiming their baggage, passengers will be required to clear customs.

Duty-free and tax-free allowances are often indicated in the customs hall and
import declaration forms are distributed on the arrival flight for completion by
each passenger before landing. Passengers arriving at an airport in the European
Union may be offered three choices at the customs inspection point. These are
normally defined as follows:
1. The Red Channel:
 If passengers have goods or currency to declare, where a duty or tax is voluntarily
paid for imported goods.
 Example: When goods purchased in another country exceed the personal duty-free
allowance.
2. The Green Channel:
 For passengers who bring personal effects and goods that are not intended for
commercial purposes, and which do not exceed the duty-free allowance.
 Duty-free allowances, restrictions, and lists of prohibited articles can be found in
the TIM-the Travel Information Manual.
3. The Blue Channel:
 When traveling within the European Union (EU), passengers may use the blue
channel. Customs officers will monitor this area and spot checks are possible

TRANSFER AND TOUR CONDUCT

 Follow the law of the land

 Respect government in the area where you are travelling
 Purchase proper entry tickets (if required)
 Do not indulge in commercial activities.
 Do not travel without ticket.
 Do not purchase tickets from unauthorized vendor.
 Follow rules framed by the destination
 Do not indulge in illegal activities.

HANDLING EMERGENCIES

a. Sickness/accident
 Travel Manager will help to find a hospital
 Call your insurance company for guidance and always keep your travel
insurance card/details
b. Lost passport
 Report it to the police or local authorities and get a written report.
 contact the nearest embassy or consulate for a temporary passport

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c. Death
 report to the travel insurance company as well as your country's
embassy/consulate and the local authorities
d. Lost travel documents
 If you lose your travel documents such as tickets, car rental vouchers,
adventure vouchers etc, don't worry too much. Most travel documents are
electronically stored.
e. Extreme weather and natural disasters
 If your travel is interrupted by flooding, tropical storms, earthquakes, armed
conflicts, tsunamis or other natural disasters follow the guidelines of local
authorities for evacuation.
f. Detention and jail
 In case you are locked up in a foreign Country you should try to get in contact
with the Foreign Service via the embassy or consulate.
 The laws of your home country do not apply in foreign countries
 Most countries allow contact to the embassy and a lawyer, but do not expect a
speedy process and prepare for the worst.
 Always keep out of trouble when travelling.

POST-TOUR ACTIVITIES

 Report about complaints and recommendations

 Handling in required forms (feedback) and describing any unusually events that
occur.
 Submit the Tour guide's report
 Sends follow-up notes to clients thanking them for the business

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CPA COLLEGE OF GLOBAL STUDIES

Travel agency and tour operation management

Module 5

TOUR GUIDE CONCEPT

 A tour guide is an important person in the chain of the tourism and travel industry. When
the tourist starts from his place of living, he meets the first person who will accompany
him for the whole journey; this person may or may not be a tour escort who may also
attend to him on the way.
 After the tourist reaches his destination, he needs someone to help him on the tour. The
person should have good knowledge about the place (for e.g. Agra, New Delhi, Sirpur
etc.), languages (i.e. French, German, Spanish etc.), and should preferably be a native of
that region.
 This person (tour guide) is a liaison with the Tour escort and expedites the tour in the area.
After the completion, the tourist proceeds to another place and a second person takes up
the job.
 The person, who is native to that place and who manages the tour at that place is a tour
guide.
 Many people ask a simple question, who is a tour guide? They might want to know how
one could become a tour guide. An individual known to me completed his masters in
tourism and wanted to stay in the same town.
 He started going to travel agents with the hope of finding work and became a tour guide.
 One man who is from a peak travel destination travelled to Delhi with the intention of
working for a reputed travel agency, but the only reason he got a job is that the company
had no other choice than to accept him as a tour escort. One gentleman left his studies due
to a personal problem.
 One of his friends was a tour guide; he discovered that it was a good work to get money.
Later, he picked up a foreign language and commentary. This was someone who was not
able to speak fluently in his first assignment and the travel agent was annoyed.

TOUR GUIDE

 A guide serves as a public relations representative for his/her particular site, city, region,
and country.
 A guide should therefore be knowledgeable about history, geography, sociocultural
practices, etc. related to his/her area of concern, so as to inform the tourists accordingly.

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 In India, the India Tourism Office, Ministry of Tourism regularly conducts courses to train
new guides. The guides are given licences and are approved by the Ministry of Tourism to
work as freelancers.
 The fees are decided upon by the India Tourism Office depending on half day, full day, or
overnight charges and also for foreign languages as required.

Definition

 'A professional guide is in varying degrees a business person-often freelance, sometimes

an employee; a travel industry representative; a public relations representative for his or
her site, city, region, and country-as well as an educator, an entertainer, and a public
speaker, among other roles.' (Kathleen Lingle Pond, The Professional Guide, New York
1993).

TYPES OF TOUR GUIDE

Location guides

In India location guides can be categorized into the following different categories depending upon
the locations.

Monument guides

The monument guides are specialized in describing the history of the monumental heritage of
India. The monument guides should have proper historical knowledge of the monument and the
region so as to describe the same to the tourist. They should be aware of all historical facts of the
monuments like the date and time taken for construction, the architect, and the purpose of
constructing the monument. The guides should be able to make the entire particulars interesting to
the tourists in the form of fables and anecdotes.

Museum guides

The museum guides should have knowledge about the various artifacts/exhibits displayed at the
museum. They should know the area of interest of the tourists. This will help the guides in
deciding to curtail or extend the time spent in visiting the museum. The tourists might also
appreciate the varieties and the artistic merits of the artifacts, in which case more time should be
spent in the museum.

Wildlife guides

The guides located at wildlife sanctuaries should be familiar with wildlife tourism. Many tourists
visiting any wildlife reserved as are at times not familiar with the wildlife they are visiting and
thus it becomes important for these guides to instruct them and give proper Information..

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City guides

The city guides should be able to profile the tourist visiting the city and their purpose of travel.
The city guides should be aware of the opening and closing timings of the tourist attractions and
also on which particular day the attraction are closed. They should pay detailed and careful
attention on the cemetery of the tour. The guide should see that the tour does not physically tire
the tourist. They should be enough and advocate stops during the tour along with sufficient time
for shopping.

Skills required for tour guiding

 Leadership

A tour guide should have good leadership qualities such as decision making, flexibility,
enthusiasm, confidence, sensitivity and should have a good sense of humour

 Factual knowledge

The guide should have knowledge about a topography, geography, history, culture, religion, folk
art, folklo economy, etc. related to the city, region, state, or country.

 Presentation skills

The guide should have good presentation skills such as a clear voice and good body language.
The voice should be lively and the guide should be able to explain the site in simple language.

 Grooming

Personal hygiene, positive attitude, good manners, and politeness are the other qualities which are
desirable in guides and escorts.

HISTORY OF TOUR GUIDING

 Tour guiding is considered as one of the oldest occupations/professions of the west. The
evolution of tour guides and the guiding history was classified by Pond (1993) into four
periods:

First phase (3000 B.C. to A.D.500)

 There are a number of references in history from the Roman Empire to the Middle Age,
throughout the renaissance and into the Modern Age.
 Tourism saw the first major development during the period of the great empires. During
this period, travelling was risky, uncertain and time taking.

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 The ancient Persians, Assyrians and Egyptians used to travel through surface (land) and
the waterways. This activity spread and so did the number of guides, they were known as
„explainers‟ or „leaders around‟ (as they lead the group), who mainly assisted visitors
travelling abroad.

Second phase (A. D.500 to A. D.1500)

 The second phase is in the period between the fall of Rome and the start of Renaissance
known as the Middle Age and for approximately 1000 years from A. D. 500 to 1500.
 Religious pilgrimage was the most prevalent type of journey by the middle and the upper
classes.
 The fall of Rome resulted in the decline of the economy and chaos in the social order.
 The safety and security of the travellers came as a serious concern; therefore the guides
had to serve as a pathfinder, safety escort and protector.

Third phase (A.D.1500 to around 1700)

 The third phase covered the period of the Renaissance and the Grand Tour, approximately
A.D.1500 to around 1700.
 During the period of renaissance, excursions were taken by the youth of prosperous
families who were also called „Grand Tourists‟ for cultural and educational reasons.
 These people (tourists) were expected to enrich their knowledge through long journeys
while being accompanied by a guide who gave them information about tourist‟s places to
sightsee, guides in this period came to be known as „cicerone‟.
 The word cicerone derives from Cicero, the most esteemed tour guide in the European
society.
 The guide was expected to be well versed in many practical subjects, areas, be articulate
and be multi-lingual.

Fourth Stage (post 1700)

 Mr. Jan Carlzon (the former president of Scandinavian Airlines) termed the exact instant
when the customer (here tourists) has a direct contact with any of the front-line
employees/ staff as the „moment of truth‟.
 This idea has had a marked influence on the service industry (tourism and travel is a part
of the service industry) and is now globally accepted (Pond, 1993).
 Once the tourist arrives at the tourist destination, the tour guide becomes responsible
throughout the tour as they are in regular touch with the tourist or traveller.

A tour guide‟s job is physically and virtually demanding

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ROLES OF A TOUR GUIDE

1. Guide as a source • Providing up-to-date, bona fide information based on

of knowledge facts,
relating to • Knowledge of topography and a good orientation in the
sightseeing terrain
• Supplementary self-education and up-dating one‟s
knowledge
• Participation in specialist trade conferences
2. Guide as an • Giving information on the cultural patterns and ways of
educator –tutor practicing tourism
• Selection of suitable methods adjusted to a given group
in order to exert an impact on tourists
• Shaping the attitude of respect for nature and cultural
heritage among tourists
• Paying attention to tourists‟ safety
3. Guide as a • Creating an attractive image of one‟s region
representative of • Promotion of one‟s region
a city, region,
country
4. Guide as a • Knowledge of the transport system, prices of tickets,
“tourist • Knowledge of the accommodation and gastronomy base
information • Knowledge of the opening hours of cinemas, museums art
center” galleries and ticket prices,
• Ability to take advantage of various types of tourist
information sources.
5. Tourist guide as a • Cooperation with the local rep, tour guide, group leader or
group leader representative of tourist agency,
• Selection of itinerary and way of realization of the
programme,
• Reacting to current needs reported by the tourists.
6. Tourist guide as a • Promotion of tourist guidance as a profession and a “way
tourist activist of life”,
• Membership in tourist organizations creating tourist policy
in a given city (region, country),
• Active participation in projects promoting places or
attractions (e.g. The “hidustriada” Trail of Monuments of
Technology, Tourist Guides for Children) organized by
other institutions.
7. Guide as a tourist • Active participation in activities aimed at creating new
expert tourist products and promoting the existing ones
• Participation in projects, commenting on new solutions
influencing tourism in a city (region, country).
• Support of study tours and study press events.

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TOUR GUIDE ACTIVITIES IN A TOUR

 Attending briefing meetings with the Tour Manager about important information about the
tour group (e.g. age group, interests, and special needs).
 Greeting tourists before starting the tour:
o Learning their names;
o memorizing their faces; and
o Checking the number of people in the group.
 Explaining emergency procedures to the group and making sure they understand them.
 Distributing promotional material about the trip to the tourists.
 Escorting individuals or groups on sightseeing trips:
o Providing information about the history and culture of the places they visit;
o describing points of interests; and
o Answering questions tourists may have.
 Managing groups of up to thirty people:
o Being able to keep the group focused;
o making sure no one gets lost or left behind;
o making sure the group is safe
 Driving a motorized vehicle like a bus or a boat when necessary. • Making sure that the
group adheres and follows local laws, regulations, or rules of specific destinations.
 Responding to emergency situations:
o Providing cardiopulmonary resuscitation (CPR) or first aid to tourists if needed;
o remaining calm during stressful situations;
o handling a group of panicking people
 assist tourists with special needs like senior citizens, people, with disabilities and people
with small babies

Daily tasks
 Pre-briefing about the group.
 Meeting the group.
 Going over emergency procedures with the group.
 Explaining points of interest during the trip.
 Answering questions about the tour.
 Distributing promotional material.
 Making sure the group stays together and is safe until the end of the tour.

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QUALITIES OF TOUR GUIDE

Knowledge of the Tour Area

Your tour guide should be prepared to take you on a journey to some of the most unique places in
the world. Tourists are educated during various parts of the trip by guides who know the area
inside and out. Tour guides should be able to explain facts, history, landmarks, figures, local
customs and more. They should also be able to answer additional tour related questions that may
come up during the trip. Knowledgeable guides can help make your trip insightful and memorable

Ability to Communicate Effectively

Communication is one of the strongest qualities a tour guide needs to have. They must be able to
articulate and project their voices and speak clearly, to help prevent any misunderstandings from
their various tourists and groups.. A good tour guide also needs to know how to properly
pronounce words. Someone who knows how to command the attention of multiple people at once
is a good candidate for a tour guide position. Tour guides must be approachable and have
excellent interpersonal skills because they will be involved with multiple people on a daily basis

Strong Empathy and Understanding

Tour guides assist people from all over the world. For this reason, it is vital to be able to
communicate effectively. Tourists may come from various walks of life, age groups, cultures,
nationalities, and backgrounds, or speak different languages. The ability to handle social norms
and expectations is key to being an effective tour guide. The best guides are empathetic to cultural
differences and prioritize making each delivery unique to their guests. Your tour guide should
also have a sensitivity and understanding for accommodating those guests with special needs

Charismatic Personality

Your tour guide should be entertaining, and able to engage charismatically with numerous
tourists. It is a plus to have natural charisma. Each day and every tour will be unique, so tour
guides must consistently find opportunities to be charming, interesting, delightful, funny and
friendly. This helps groups enjoy one another, which can make the tour more appealing.

Keen Ability to Improvise and Adapt

Situations may change at the spur of the moment. Tour guides should be familiar with
improvising and adapt to these changing situations. They should be able to tell when their
audience needs for them to adapt to prevent loss of interest from the group. Your tour guide
should also be able to adapt and keep up to date with changing times and constant advancements
in technology and determine how they affect or enhance their tours.

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Focuses on Building

Rapport People are excited to be embarking on once in a lifetime journeys. Tour guides can help
by exhibiting patient, yet encouraging and cheerful demeanours throughout tour excursions.
Guides should build rapport by encouraging effective conversations, asking questions, providing
information, and demonstrating passion.

Engaging Storyteller and Actor

Tour guides should have a compelling zeal and passion for what they do. They do not have to be
locals to be a guide in an area. They just need to have enough passion to learn the history of an
area, naturally, tell the story and explain their knowledge with enthusiasm to eager guests.
Tourists love learning about various fun facts and little known secrets about the area they will be
touring. Guides should consistently have the ability to convey passion, act positively and tell
various interactive stories.

Flexibility

At times, tour guides will need to go with the flow. They may need to use various approaches
based on the audience they will be entertaining. A flexible approach to a situation can make a
good tour even better. Great tour guides are flexible when it comes to unexpected issues and
schedule changes

Timeliness and Punctuality

Being punctual is one of the most essential characteristics your tour guide should possess because
they need to have guests at designated areas at specific times. They usually follow a schedule
from an itinerary with various timeframes. It is imperative that your tour guide make specific
allotments for these timeframes, and help guests get to where they need to be on time. The
greatest tour guides are punctual and organized.

Eagerness to Learn and Willingness to Teach Others

Your tour guide should be able to keep the tour group well informed. Guests should learn new
things and gather new insights while they are traveling. A good guide continuously aims to
facilitate ways to learn how to make each tour distinct and unique from previous tours. They care
about identifying needed improvements, and studies or pays attention to what guests gain from
their tours. Tour guides learn by encouraging guests to provide necessary feedback so they can
use the information to enhance future tours. A good tour guide is an expert in their destinations
and area attractions

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Professionalism

Guides should maintain rapport by displaying a professional attitude at all times. Even when not
working, quality guides exhibit behaviours that are representative of who they are.
Professionalism helps audiences see the tour guide as a credible and reliable source. Being
professional includes essential attributes such as being honest, well groomed, punctual, attentive
and courteous.

Having a good tour guide can be beneficial. Your tour guide should have the ability to guide with
authority, enthusiasm and help you to have some of the most authentic, and rewarding
experiences of a lifetime. Regardless of your destination, great tour guides utilize their qualities to
ensure their guests have memorable tours. For more information on tours in and from Las Vegas,
contact Gay Line Las Vegas.

CHALLENGES OF TOUR GUIDING

 Tour guides always work under great pressure, they are required to have many
competencies, personal, communication and negotiation skills as well as to be able to
communicate information in an interesting and interpretive way; at the same time maintain
good relations with employers and tourists, they have also to adhere to rules, laws and
regulations of the country to ensure they continue to work
 Tour guides face many challenges and difficulties due to their profession conditions that
can be detailed as follows:
I. Seasonality, part-time work and casual employment conditions that greatly and
negatively affect the amount of work and available income;
II. Freelance nature and self-employed
III. Unsocial working hours;
IV. Low and minimal wages as well as inadequate and difficult working conditions

Information Technology (IT) could be another challenge for tour guides, it could reduce/
minimize tourists' need for a guide because of the countless mobile apps and websites related to
tourism and travel

HOW TO BECOME TOURIST GUIDE IN INDIA?

There are four categories for Regional Level Tourist Guides as perguidelines of Indian
government:
i) General: There would be regional level guides who would beauthorized to work
in their respective regions on a full time basis.
ii) General – Linguistic: Linguists with fluency in foreign languages(apart from
English), such as French, German, Spanish, Korean,Russian, Japanese, Thai,

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Arabic, Hungarian, Polish, Hebrew, Chinese etc., as identified by the Ministry from
time to time would be approved under this category.
iii) Expert Guides: In order to encourage scholars, specialists etc.,in the fields of
Tourism, Indian History, Architecture, Culture, Wild Life and other related fields
of tourism, there would be aspecial category of Regional Level Tourist Guides
known as Expert Guides.
iv) Expert – Linguistic: This category of Regional Level Tourist Guides would be
scholars, specialists etc., in the fields of Tourism, Indian History / Architecture /
Culture/ Archaeology /Wildlife or other related fields of Tourism with fluency in
foreign languages (apart from English), such as French, German, Spanish, Korean,
Russian, Japanese, Thai, Arabic, Hungarian, Polish, Hebrew, Chinese etc., as
identified by the Ministry from time to time would be approved under this
category.
Criteria for Tourist guide is:

a) A Graduate of a recognized University or

b) Holder of three year Degree in Tourism / Hospitality or
c) Diploma in Archaeology from an Institute recognized by UGC, Association of
Indian Universities (AIU), AICTE or any other State / Central Government body.
(b) Fluency inEnglish language is essential. Candidate should have studied
English as a subject at 10 plus 2 levels.

For selection process, government will put an advertisement in the newspaper specifying the
seats available for training, region wise. The process of selection would be undertaken by the
Indian Institute of Tourism & Travel Management (IITTM), Gwalior or any other Institute
designated by the Ministry of Tourism for conducting this process. After this you will go through
an entrance test

Entrance Test:
An entrance test would be conducted to evaluate the general intelligence and suitability of
applicants for admission to guide [Link] entrance test would be of three hours duration and
cover the following subjects:

 Knowledge of monuments / tourism destinations In the region –

100 marks
 Indian history & Indian Culture- 100 marks
 General Knowledge – 100 marks
A merit list of all applicants who pass the entrance test would be prepared on the basis of
aggregated [Link] the basis of merit in theentrance test, the qualifying applicants would be
called for an open counselling and documents verification.
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Guide Training

 After clearing the entrance test, you need to go through the guide training, which
varies between 13 to 26 weeks. It include both classroom training and the field
training.
 After the training is over, the candidates would submit a report of theirlearning before the
viva-voce.
Examination

 Examination consisting of a written test and viva voce will be held at the end of the
training programme. On the completion of training programme, all candidates would be
evaluated through an examinationconsisting of a written test and viva voce.
Getting the license

 On successful completion of their guide training course, the successful candidates

would be issued Regional Level Tourist Guide License by theRegional India Tourism
Office(s), Government of India. The license would be valid for a period of 03 years.
Renewal of license

 The Regional Level Tourist Guide licenses would be renewed every three years and
subject to the performance of guides and passing oneRefresher Course conducted by
IITTM or any other institute identified/designated by the Ministry.

List of Colleges/ Institutes with Tour Guide Courses:

 IATA/UFTAA Career Development Programs- Various Cities

 Trade Wings- Mumbai
 Delhi University- New Delhi
 Sophia Polytechnic- Mumbai
 Kurukshetra University- Haryana
 Sita Worlds Travels- Mumbai and New Delhi
 Agra University- Agra
 Sri Venkateshwara University- Chitoor
 Banaras Hindu University- Varanasi
 Skyline Business School- New Delhi
 Bangalore University- Bangalore
 Himachal University- Shimla
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 University of Madras- Chennai

 Pune University- Pune
 University of Calcutta- Kolkata
 Mumbai University- Mumbai
 Goa University- Panaji
 Sita Academy- New Delhi

How to Get Tour Guide License in Kerala

 In order to meet growing demand for qualified tour guides in the state, KITTS is
conducting State Level/ Local Level Guide Training Programmes inviting applications
from qualified candidates. The successful candidates are provided with license by
Department of Tourism, Government of Kerala.
State Level Guide Training Programme:
 The state level guide training programme is offered at KITTS Main Campus at
Thiruvananthapuram. Admission is based on Test/Personal interview.

Educational qualification:
 Degree from a recognized University or Three years degree in Tourism from a
recognized University/Institute or 10 +2 or equivalent certificate, with at least six
months regular course in foreign language from a recognized University/ Institute,
Embassy or their Cultural Centre.
Age
 The applicant should be at least 20years of age on the date of the first advertisement
appearing in the media for selection of guides.
Duration
Nine
Weeks
Fees

Course fee :
Rs.15,000/-

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Examination fee : Rs.

1000/- License fee :
Rs.1000/-

Local Level Guide Training Programme

 The local level guide training is offered at the study centres of KITTS in Ernakulam and
Thalassery. Admission is based on Test/Personal interview.

Educational qualification
 SSLC/SSC/CBSE or 10th pass
Age

 The applicant should be at least 20years of age on the date of the first advertisement
appearing in the media for selection of guides.
Duration

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Four Weeks
Fees
Course fee : Rs. 5,000/-
Examination fee : Rs.
500/-

License fee : Rs.300/-

Kerala – Register (License) as Tour Guide

Procedure

Apply In-Person:
FOR REGIONAL LEVEL GUIDE:
 To register as a Tourist Guide, applicant has to visit the Kerala Ministry of Tourism office.
 Applicant has to visit the Tourism office and obtain the application form from the
respective officer.
 Now complete the form with necessary information and make sure you have all the
documents in hand that are listed under the “Required Documents” section of this page.
 After filling the form, attach the documents mentioned in the required documents
section below with the completed application form.
 Check the application form and then submit it to the respective officer in tourism office
address mentioned in the office locations & contacts section below.
 Now the authorities will verify your application and call for entrance test to get admission
in the Guide training course.
 A merit list of all applicants who pass the entrance test would be prepared on the
basis of aggregated marks.
 Then the applicant shall receive the call letter for counselling and documents
verification, admission for available seats will be filled based on merit basis and
eligibility criteria.
 Guide training course will be conducted to the admitted candidates through respective
trainee.
 After the completion of training programme, all candidates would be evaluated
through an examination consisting of a written test and viva voce.
 Applicant who pass in both written test and viva voce, respective officer issues
course completion certificate along with the tourist guide license.

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Required Documents
1. Educational Certificate.
2. Aadhaar card.
3. Voter ID card.
4. Smart Card.
5. PAN Card.
6. Certificate of Residence proof by the competent authority
Office Locations & Contacts

Ministry of Tourism,:
Government of India,
India tourism KOCHI,
Willingdon Island,
Kochi,
Kerala – 682009
Phone: 0484-2669125; Fax: 0484-2668352.
Email: indiatourism-kochi@[Link]

Eligibility
 Applicant must be at least 20 years of age during the selection process.
General:
 Applicant should be the graduate from a recognized university or a holder of three year
degree in Tourism / Hospitality
 Applicant who did diploma in Archaeology from an Institute recognized by UGC /AIU
/AICTE / any other state or central government body.
 Applicant must speak English fluently.
General – linguistic:
 Applicant should be the graduate from a recognized university or a holder of three year
degree in Tourism / Hospitality
 Applicant who did diploma in Archaeology from an Institute recognized by UGC /AIU
/AICTE / any other state or central government body.
 Applicant must speak English fluently.
 Applicant must be able to speak any of the foreign language fluently. The fluency shall be
tested at the time of written examination

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EXPERT:
 Applicant must hold a doctorate in the field of Tourism (Indian History / Architecture /
Culture/ Archaeology / Wildlife or other related fields)

 Fluency in English is mandatory

EXPERT – LINGUISTIC:
 Applicant must hold a doctorate in the field of Tourism (Indian History /
Architecture / Culture/ Archaeology / Wildlife or other related fields)

 Fluency in English is mandatory

 Applicant should be able to read, write and speak any of the foreign language
fluently.
Fees
Fees varies from time to time.

Validity
The license will be valid for a period of three years.

OVERSEAS TOUR REPRESENTATIVES

 Overseas tour representatives are those who look after tourists who come on a package tour
and arrange the required services and facilities on behalf of the outbound tour operator.
 With the exception of large tour operators, many cannot afford to have their own branches
to handle the visiting tourists it is not possible for a tour operator to have their own office in
each of the destinations they operate in. Overseas tour representatives are utilized in these
circumstances.
 Their job is to ensure that the tour runs smoothly and efficiently, and that tourists enjoy
their stay there are different types of overseas tour representatives.

The following are some of the most common:

a. Tourist/customer service representative: they act like a host to assist tourists who are on
a holiday in the destination and arrange the required services and facilities for them.

b. Resort representative: they perform almost all duties of an overseas tour representative,
but do so from a resort

c. Children's representatives: they offer dedicated childcare services for tourists during the
day in particular.
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d. Entertainment representatives: they provide different entertainment programmes for the

tourists to enjoy during the trip.

e. Transfer representatives : they accompany tourist during transfers

f. Young people representatives: they arrange services for young tourists, including
entertainment and recreation activities

g. Club representatives : they are type of representative

h. Mobile resort representative : they are like guides, accompanying tourist during sight
seeing trips and providing commentary during travel times, especially on coach trips

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