Consumer Behaviour In Travel&Torism


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  • Consumer Behaviour In Travel&Torism

    2. 2. TOURISM <ul><li>Tourism is the temporary, short term movement of people to destination outside the places where they normally live and work and their activities during the each destination. it includes all the purposes </li></ul>
    3. 3. WORLD TRAVEL & TOURISM COUNCIL <ul><li>The tourism industry in India is likely to generate US$ 121.4 billion of economic activity by 2015. </li></ul><ul><li>It is estimated that India will lead in South Asia with 8.9 million arrivals by 2020 </li></ul><ul><li>India is poised to emerge as the 2nd fastest growing (8.8%) tourism economy in the world over 2005-14 </li></ul><ul><li>India is ranked 6th in terms of price competitiveness and 39th in terms of safety and security . </li></ul>
    4. 4. INDIAN TOURISM <ul><li>Tourism is the largest service industry in India, with a contribution of 6.23% to the GDP </li></ul><ul><li>It provides 8.78% of the total employment in India i.e. about 41.8 million people </li></ul><ul><li>The tourism industry in India generated about US$100 billion in 2008 </li></ul><ul><li>It is expected to increase at a 9.4% annual growth rate </li></ul>
    5. 5. PLC India at present India in 5 yrs time Tourism developed countries India
    6. 6. CONSUMER BUYING BEHAVIOR <ul><li>Family Security </li></ul><ul><li>Availability of aid </li></ul><ul><li>Reasonable rate </li></ul><ul><li>Insurance </li></ul><ul><li>Guidance </li></ul><ul><li>Proper communication </li></ul>
    7. 7. EGO INVOLVEMENT <ul><li>Tourists are highly involved in the decisions surrounding their travel experiences </li></ul><ul><li>Access to information has made the customer an active participant thus boosting their ego </li></ul><ul><li>Their ego and belief in their own instincts and intelligence is very important </li></ul><ul><li>Booking over the internet after several comparisons on various websites </li></ul><ul><li>Priding themselves on getting the best deals than other travelers </li></ul>
    8. 8. LOYALTY AND COMMITMENT <ul><li>Price loyalty, in many respects, is replacing brand loyalty </li></ul><ul><li>Consumers want to participate in the creation of product, no longer a “one size fits all” world </li></ul><ul><li>They also want to turn existing brands into their own and control the transaction </li></ul><ul><li>Consumers will go with the best deal </li></ul><ul><li>It is cheaper to keep a customer than to get a new one thus tour operators have loyalty programs </li></ul>
    9. 9. FRIENDS & FAMILY INFLUENCE <ul><li>Advice from family or friends is a huge influencer in buying decisions as they are trusted & suggestion valued </li></ul><ul><li>The reason to consider friends’ advice as a strong influencer in decision-making is the fact that they may also make up the travel party </li></ul><ul><li>Research on family decision-making as it relates to travel focuses more on how travel brings a family </li></ul><ul><li>The tour operator must overcome any objections or previous bad perceptions that any number of friends and family members may have </li></ul>
    10. 10. NOVELTY SEEKING <ul><li>New experiences is a key motivator in the reason people travel. </li></ul><ul><li>Vacationers taking novel trips seek more advice on the destination and spend more time & money during the trip than do travelers who take more commonplace trips. </li></ul><ul><li>Family vacations & work-related activities that have taken customers to number of destinations. Thus they find motivations in new & unique experiences. </li></ul>
    11. 11. TYPES OF TOURISM <ul><li>Products Monsoon magic </li></ul><ul><li>Rural & village tourism </li></ul><ul><li>Medical tourism </li></ul><ul><li>Wellness & Spa tourism </li></ul><ul><li>Luxury tourism </li></ul><ul><li>Adventure tourism </li></ul><ul><li>MICE </li></ul>
    12. 12. High Involvement Lower involvement Rational Aspiration <ul><li>World Tours </li></ul><ul><li>Honeymoon Tours </li></ul><ul><li>Business Tours </li></ul><ul><li>Low budget tour </li></ul><ul><li>One day trip </li></ul><ul><li>Neighbouring country </li></ul>
    13. 13. GOVT. INITIATIVES <ul><li>Active participation and investment from private sector </li></ul><ul><li>Special attention for infrastructure development in NE India and J & K </li></ul><ul><li>Improvement and environmental up-gradation of the protected monuments </li></ul><ul><li>Greater focus on Rural tourism for eliminating poverty, creating employment and encouraging tribal & local crafts </li></ul>
    14. 14. <ul><li>Training of State Police to act as Tourist Police </li></ul><ul><li>Encourage Adventure Tourism for the new class of young tourists </li></ul><ul><li>Give due importance to Domestic tourism connected with pilgrimages </li></ul><ul><li>Promoting its Healthcare tourism by providing the visitors with private healthcare facilities </li></ul><ul><li>Encourage special products like yoga, ayurveda etc </li></ul>
    15. 15. SWOT ANALYSIS <ul><li>Strengths </li></ul><ul><li>Rich culture heritage and colourful festivals. </li></ul><ul><li>Scenic beauty of the country draws tourists from far off places. </li></ul><ul><li>Terrain is ideally suited for various adventure activities. </li></ul><ul><li>Well known Indian hospitality. </li></ul><ul><li>Weaknesses </li></ul><ul><li>Inadequate infrastructure to match the expectation. </li></ul><ul><li>Restrictive Airline Policy of the Government of India. </li></ul><ul><li>Overcrowding of popular tourist centres. </li></ul><ul><li>Inadequate marketing and information channels. </li></ul>
    16. 16. <ul><li>Opportunities </li></ul><ul><li>GOI is giving special attention to certain regions like NE India. </li></ul><ul><li>ADB is preparing a Sub-Regional Plan for development of tourism in India. </li></ul><ul><li>Potential for private sector's investment in tourism projects. </li></ul><ul><li>Availability of high quality human resource. </li></ul><ul><li>Threats </li></ul><ul><li>Strong Competition within states of India and abroad. </li></ul><ul><li>Terrorism is a major setback of the region. </li></ul><ul><li>Disorganized tourism development </li></ul><ul><li>Environmental factors also impose a threat </li></ul>
    17. 17. FUTURE OF TOURISM <ul><li>US$ 3.5 trillion service sector within the global economy </li></ul><ul><li>Double-digit growth in foreign tourist arrivals </li></ul><ul><li>Foreign exchange earnings have shown a robust growth of 25.6% and 6.32 billion </li></ul><ul><li>Tourism has now become a significant industry in India, contributing around 5.9 per cent of the Gross Domestic Product (GDP) and providing employment to about 41.8 million people </li></ul><ul><li>US$ 121.4 billion of economic activity by 2015 </li></ul><ul><li>Medical tourism with revenues from the industry estimated to grow from US$ 333 million in 200 tourism revenues are expected to surge 42% from 2007 to 2017 to US$ 2.2 billion by 2012 </li></ul>
    18. 18. HISTORY OF COX AND KINGS <ul><li>Cox & Kings is the longest established travel company in the world, its history stretching back to 1758 </li></ul><ul><li>Richard Cox </li></ul>
    19. 19. HIGHLIGHTS OF COX AND KINGS <ul><li>Accommodation </li></ul><ul><li>Transportation </li></ul><ul><li>Local Sightseeing </li></ul><ul><li>Meals </li></ul><ul><li>Enroute meals </li></ul><ul><li>Tour Manager </li></ul><ul><li>Local Guide </li></ul><ul><li>Travel Insurance </li></ul><ul><li>Currently excluded 2.58%GS T </li></ul>
    20. 20. FOR INSTANCE OF COX AND KINGS <ul><li>GIT Tour Price - Ex Srinagar Standard(Rs.) </li></ul><ul><li>Cost per Person on twin sharing 26799 </li></ul><ul><li>Cost per adult with extra bed (or mattress) 21899 </li></ul><ul><li>Child between 5-12 years With extra </li></ul><ul><li>bed + Seat in Coach 20899 </li></ul><ul><li>Child between 5-12 years With no extra </li></ul><ul><li>bed + Seat in Coach 18399 </li></ul><ul><li>Child between 2-5 years With no extra </li></ul><ul><li>bed + Seat in Coach 10699 </li></ul><ul><li>Infant (Below 2 yrs) without extra bed </li></ul><ul><li>and no seat in coach 999 </li></ul><ul><li>Single Room* 38299 </li></ul>
    22. 23. KESARI <ul><li>Vision : To be a world class travel company spreading smiles and happiness. </li></ul><ul><li>Mission : A company passionately committed to Total Quality Travel, with continual delivery of value added services. Uphold the highest ethical standards and create new benchmark in the industry.   </li></ul>
    23. 24. <ul><li>Kesari - A Journey of Excellence, Innovation and Joy </li></ul><ul><li>“ When you make a promise to your guests, honour it.” </li></ul><ul><li>A firm belief in honest and transparent deals, no hidden costs and no compromise on sight seeing - that's what makes Kesari the first choice of generations of guests. </li></ul>
    24. 25. CURRENT SCENARIO <ul><li>Kesari today has to its credit a substantial portfolio of holiday destinations, domestic and international. </li></ul><ul><li>Operating in more than 100 destinations in India and over 1000 destinations Worldwide, spreading across the seven continents. </li></ul><ul><li>Over 300,000 happy guests have enjoyed the world class standards of service, quality and innovation that Kesari has brought in the tourism industry. </li></ul>
    25. 26. THE BACKBONE OF SUCCESS <ul><li>personal touch and caring attitude. </li></ul><ul><li>Totally honest policy </li></ul><ul><li>Excellent service </li></ul><ul><li>Perfect tour planning </li></ul>
    26. 27. PRODUCTS AND SERVICES <ul><li>Kesari services are also offered through their network of over 60 preferred sales agents, all over Maharashtra and other states in India. </li></ul>
    27. 28. SPECIAL INTEREST TOURS <ul><li>Chota Break </li></ul><ul><li>Couple Tour Once Again </li></ul><ul><li>Honeymoon </li></ul><ul><li>NRI Special </li></ul><ul><li>Wildlife special </li></ul><ul><li>World class education </li></ul>
    28. 29. CUSTOMER + FEEDBACK <ul><li>They are very professional and friendly. </li></ul><ul><li>No hidden costs </li></ul>
    29. 30. SEGMENTATION <ul><li>Market segmentation is the process in Marketing of dividing a market into distinct subsets (segments) that behave in the same way or have similar needs. </li></ul><ul><li>Why Segmentation ? </li></ul><ul><li>Help identify new opportunities </li></ul><ul><li>Make your brands more competitive </li></ul><ul><li>Improve efficiency and effectiveness of marketing mix </li></ul>
    30. 31. KESARI’S STP <ul><li>Basis of Segmentation </li></ul><ul><li>Geographical : Metro Cities , Tier 1& Tier 2 cities </li></ul><ul><li>Psychographic : Lifestyle, personality, aspiration </li></ul><ul><li>Behavioral : Occasion, user status, frequency </li></ul><ul><li>Demographic : Age, stage, income </li></ul>
    31. 32. TARGETING <ul><li>Kesari is targeting all Middle Class & Upper Middle Class population </li></ul><ul><li>Targeted customers are form Metro cities & urban areas </li></ul><ul><li>Kesari has targeted all age groups by its diverse tour programs Eg : My Fair lady , Second Inning </li></ul><ul><li>Kesari is trying to meet unmeeted demands through there programms </li></ul><ul><li>Kesari has targeted people with special needs </li></ul>
    32. 33. POSITIONING <ul><li>As a service provider </li></ul><ul><li>Kesari has positioned itself as world class Travel company at affordable rates </li></ul><ul><li>Company with strong work ethics </li></ul><ul><li>As a common man’s company </li></ul>
    33. 34. SERVICE DIMENSIONS IN TOURISM <ul><li>Access </li></ul><ul><li>Communication </li></ul><ul><li>Competence </li></ul><ul><li>Courtesy </li></ul><ul><li>Credibility </li></ul><ul><li>Reliability </li></ul><ul><li>Responsiveness </li></ul><ul><li>Security </li></ul><ul><li>Tangibles </li></ul><ul><li>Understanding the customers </li></ul>
    34. 35. KESARI V/S COX AND KING Parameters Kesari Cox and kings Access 8 6 Communication 9 7 Competence 8 8 Courtesy 7 7 Credibility 6 7 Reliability 7 7 Responsiveness 7 7 Security 8 8 Understanding the customers 9 7