Creating customer loyalty in the travel and tourism industry


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  • Tourism in India is the largest service industry, with a contribution of 6.23% to the national Gdp and 8.78% of the total employment in India. India witnesses more than 5.5 million annual foreign tourist arrivals and 740 million domestic tourism visits. The tourism industry in India generated about 100 billion US$ in 2011 and that is expected to increase to US$275.5 billion by 2018 at a 9.4% annual growth rate. In the year 2012, 17.9 million foreign tourists visited India
  • Creating customer loyalty in the travel and tourism industry

    1. 1. How to create Customer Loyalty Program understanding the Behavior dynamics of the end customer by delivering special services in the Travel & Tourism Industry By: Shraddha Samant Kshiti Shah Parvez Sheikh Akanksha Wattal 133 142 147 176
    2. 2. What is Tourism??? Tourism is the temporary, short term movement of people to destination for any purpose outside the places where they normally live and work. • A lot of emotions are at stake when people travel. • It’s an industry where customer service plays a larger-than-life role. • Only industry where no physical goods are exported.
    3. 3. Cultural tourist Incentive tourist Eco-tourist Adventure tourist Educational tourist Leisure tourist Types Of Travelers Sport and recreation tourist Business tourist Health or medical tourist Religious tourist Special interest tourist Backpacking or youth tourist
    4. 4. Statistics • • • • • Tourism in India is the largest service industry National GDP-6.23 Foreign tourist arrivals-5.5 million Domestic tourism visit-740 million India generated about 100 billion US$ in 2011 and that is expected to increase to US$275.5 billion by 2018 at a 9.4% annual growth rate. • In the year 2012, 17.9 million foreign tourists visited India.
    5. 5. Future Prospects • The demand is expected to grow by 8.2 per cent between 2010 and 2019 and will place India at the third position in the world. • The sector is expected to be the 2nd largest employer in the world, employing 40,037,000 by 2019. • Capital investment in India's travel and tourism sector is expected to grow at 8.8 per cent between 2010 and 2019. • India to get capital investment worth US$ 94.5 billion in the travel and tourism sector in 2019. • India is projected to become the fifth fastest growing business travel destination from 2010-2019 with an estimated real growth rate of 7.6 per cent. Source: Tourism Satellite Accounting (TSA) research, released by the World Travel and Tourism Council (WTTC) and its strategic partner Oxford Economics in March 2009
    6. 6. Individuals Companies offers various scheme like: For Travelling For Stay  Airways  Jet Airways  Indigo  Roadways  KSRTC  Neeta Volvo  Package  Serai  Taj hotels  EMI Based Schemes  Mahindra  Country Club  Loyalty cards and memberships  Taj hotels
    7. 7. Online Portals  Increasing Demand for niche and customised tourism products.  Online portals are trying to give the customers with just a click.  Loyalty programmers are the reasons for brand shifting.  Examples:    
    8. 8. Facilities by Portals  Design Your trip/tour  Convenience(don’t have to go anywhere to book ticket)  Book your tickets, hotels, cars, activities  Mobile Apps/ mobile services like sms  Low cost tour  Easy cancelation options
    9. 9. Companies/Agencies Weakening rupee- fixed exchange rate/20-25% discount on early bookings. 1. Kuoni India:- Rs 58 per dollar for its South-East Asia packages  Customized holidays  Cruise offering a. SOTC:- Subsidiary of Kuoni.  Offer box holidays  E.g.:- Travel voucher, sterling, leisure, citrus combo.
    10. 10. 2. Thomas cook:- approaching retailers and financial service companies  Points system-brand loyalty card SCM: Suppliers-direct providers of goods and servicesfood, accommodation, transport, excursions and cultural activities.  Travel life sustainability segment  SENTIDO 3. Top travels: Wedding themes  Health tourism/medical tourism
    11. 11. Types of Tours • Short Weekend Getaways • Farmers' Special • For Newly-Weds • Ladies' Special • Men Only • Pilgrimage Tours • Senior Citizens' Special • • • • • • Group Tours Speciality Tours Low Price Tours Tailormade Holidays Corporate Travel Tours for NRIs • Students' Special •
    12. 12. Steps taken to Maintain Customer Loyalty        Own Cook at any destination. Eg Aamras in Darjeeling Special Occasions celebrated during the trip Feedback after the trip ZERO money policy (No hidden cost); Honest & Caring Mails, messages etc. on special occasions Discounts for frequent traveler. Perfect tour planning Kesari - A Journey of Excellence, Innovation and Joy