Tour planning

TOUR PLANNING
1
TOUROPERATIONMANAGEMENTMamtaSolanki

This presentation covers the following
points:
 The planning procedure for a tour
 The various negotiations that occur
while confirming a tour
 The strategy related with pricing a
package
 The sources of information
Contd....
2

Contd
 Factors responsible for deciding a
tour pricing
 The pre tour preparations
 The various immigration and travel
formalities
 The implementation procedures
during a tour
3

Packages or inclusive tours consists of a series
of integrated travel services such as:
 Transportation
 Transfers
 Accommodation
4

 Recreational or business tourist services
 Other services
 Excursion
 Car hire.
5

The complete time scale for a tour operating
programme may be divided into the following five
stages :-
 Stage One: Research And Planning
Stage
 Stage Two: Negotiations Stage
 Stage Three : Administrative Stage
 Stage Four : Marketing Stage
 Stage Five : Departure Stage. 6

Stages Activities
Research and planning stage i) Study the economic/political
factors influencing the future
development of package tours
ii) Identify the promising or hot
destinations
iii) Check for the upcoming new
destination.
iv) Decide on tour size, duration
(number of days) and fixed/
flexible departure dates.
7

Stages Activities
Negotiation stage i) Initial negotiations with printer
for printing brochures/ vouchers
ii) Negotiation with airlines for
chartered flight/ group fare
iii) Negotiation with hotel, transfer
services, optional excursion
operators
iv) Art work and text under
development at design studies,
with layout suggestions
v) Contact with sightseeing
services
vi) Negotiations with destination
management companies
8

Stages Activities
Administrative stage i) Determine exchange rates
ii) Estimate selling price based
on inflation
iii) Proofs from printers and
making corrections(if any)
and finalizing the proof
iv) Recruitment and training of
reservation/ administration
staff
v) Final tour pricing to printer
vi) Establishment of brochures
printed
vii)Reservation system
9

Stages Activities
Marketing Stage i) Appointing Marketing
Executives
ii) Distributing Brochures on
market destination among
agents
iii) Initial agency sales
promotion including launch
iv) Advertising through local
and national newspapers
10

Stages Activities
Departure stage i) Peak advertising and promotion
through trade fairs and public
interaction
ii) Recruitment and training of
resort representatives, escorts
etc
iii) Sum up details of the tour
programme.
11

Tour operators can collect information on
destinations by:
 Tour operator staff.
 Stakeholder contribution.
 Dialogue with competitors.
 Customer feedback
12

PROCESS OF TOUR OPERATOR NEGOTIATING
1) Airlines negotiation
 Once the dates of departures have been fixed,
negotiations start with different parties e.g.
Airlines, hotels and other tourism
counterparts, leading to formal contracts
13

 Spell out the conditions for the release of
unsold accommodation or of block bookings on
air-seat of a scheduled flight, or the cancellation
of aircraft flights with any penalties that the tour
operator will incur
 10% of the total cost for a deposit to be paid
upon signing the contract
14

 Reputation of the tour operator is very
important determines the terms and conditions
and pricing for the contract
 Determined dates and frequency of departures,
airports to be used and times of arrival and
departure
 Consolidated into a form suitable for printing
into a tour brochure
15

2) Hotel Negotiations
 Generally more informal
 Hotel agrees to guarantee accommodation
based on receipt of the notification of
booking from the tour operator, whether by
phone, mail fax or e-mail
16

 Long-term contracts can be blocking of rooms,
attraction of providing the tour operator with the
lowest possible prices
17

Tour operator must also clarify a number of
other facts; including :-
 Reservations and registration procedures
 Accommodation requirements for tour guide or
representatives
 Handling procedures and fees charged for Porter
18

 Special facilities availabilities
 Languages spoken by hotel staff
 Systems of payment by guest of drinks or other
extras
 Reassurance on suitable fire and safety
precautions
19

3) Ancillary Services
 Inbound tour operators and coach companies
to provide coach transfers between airport
and hotels
 Car rental companies’ commission
20

The overseas representative’s duties include:-
 handling of guest inquiries
 advising on foreign exchange
 organizing and supervising social activities at
the hotel
 providing cab if required by the guest
21

 keeping updated with the tours progress
 guiding the group with upcoming events(If any)
 booking optional excursions
 handling special requirements of customers
 handling of complaints
 Handling other miscellaneous problems
22

PACKAGE PRICE STRATEGY
 There are two important aspects of pricing – the
open market rate or rack rate, and
 the discounted price to which conditions are
attached
23

Elements of Pricing are :-
Flight and Hotel cost
Resort agent’s handling fee
Transfer cost and Gratuities, porter
age etc.
Mark up for agency services and
their profit
Marketing and administrative cost
and
cost of welcome gift/ souvenirs for
the group etc
24

The factors which effect tour operation pricing are
:
 Exchange rate fluctuations,
 Seasonality,
 Inflation rate in the destination country, and
 Increase in fuel or other costs.
25

 Selection of Wardrobe
 Reconfirmation Calls
 Immigration and Custom procedures abroad and
returning home
 Tipping Policy and Gratuities
26

The main pre-tour preparations a tour manager should
make are:
 Confirming reservations
 Writing out reports
 Evaluating services.
 Copy of client’s itinerary
27

TOUROPERATIONMANAGEMENT
28
THANK YOU
(MAMTA SOLANKI)

Tour planning

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