Group Project Related to Client Development

Team6FPM101614-425-6062
OhioUniversityCollegeofBusinessbs248909@ohio.edu
CopelandHall
Athens,Ohio45701
November3,2012
TheTravelmartInc.
28011ClemensRoad
WestlakeOH,44145
DearTheTravelmartInc.:
Subject:Salesandmarketingrecommendations.
Aschargedbytheclusterfaculty,team6Fhasputtogethersevenrecommendations
thatwillexceedthe5-6newclientsand$1,000,000-$500,000isnewrevenue.This
reportcontainsourrecommendationsalongwiththetime,cost,expectedreturn,
andresourcesrequiredforeachofthesevenrecommendations.
Thesevenrecommendationswemadewere:
SalesReorganization
ReferralProgram
Salesforce.com
SocialMedia
Name&LogoChange
GoogleAdWords
DomesticTrips
ProvidedwithintheschematicreportarequantifiedstatisticsthatwillgiveThe
Travelmartpreciseoutcomesfromeachoftherecommendations.Weconductedan
industryanalysis,competitionanalysis,andafullanalysisofTheTravelmartto
makeoursevenrecommendationsrealisticandpossibletoachieveeachofthese
goalsbytheendof2013.
Thankyoufortheopportunitytocreatethissalesandmarketingrecommendations
schematicreport.WeappreciateyouallowingustobetterunderstandThe
Travelmartalongwithcorporateandbusinessincentivetravelasawhole..Ifyou
haveanyfurtherinformationorassistanceregardingthisschematicreportorfuture
projects,pleasecontactusat614-425-602oremailbs248909@ohio.edu.
Sincerely,
Team6FPM101
SeanBobbittMitchFannonBradenSchaefer
AndrewClarkeCraigMahaffey

THE TRAVELMART, INC. – MARKETING AND SALES
CONSULTATION
Team 6F
Sean Bobbitt
Andrew Clarke
Mitch Fannon
Craig Mahaffey
Braden Schaefer
Presented for:
The Travelmart, Inc..
Professor Aspegren
Dr. Blair
Professor Keifer
Professor Martel
12/3/2012

EXECUTIVESUMMARY
The purpose of this report is to provide The Travelmart with
recommendations to achieve its goal of 5-6 new clients and
$500,000 to $1 million in additional revenue. To do this Team
6F was charged with the task to come up with marketing
strategies to meet these goals. To better understand the
environment The Travelmart competes in, Team 6F analyzed
the hospitality industry and The Travelmart’s main competitors.
In order to provide effective recommendations it was essential
to understand The Travelmart’s current business practices.
After this research, Team 6F was able to provide 7
recommendations to achieve The Travelmart’s goals.
Recommendations were measured by time, cost, resources
required, and expected return.
Sales Reorganization
Team 6F recommends the current sales department be
restructured into a sales team and an account management
team. The sales team will consist of two people including one
new hire. The account management team will consist of three
individuals. Each of these teams will be headed by a team
leader who will report to the VP of Sales. The time needed to
completely make the change will be one month. This
reorganization will cost The Travelmart the salary of a new hire
of $35,000. The resources required to make this change
possible will be time and effort company wide, a new salesman
along with new duties for Randy and Scott. The expected
return for the sales team reorganization will be a more
aggressive sales team, role recognition, more work to do for
less busy sales people.
Referral Program
A referral program can easily increase leads, sales, and improve
customer relationships. With a referral program The
Travelmart will ask current clients for contact information on
businesses who may also be interested in its service. The 20
current clients The Travelmart does business with could
possibly yield 100 new leads if each provides 5 contacts. The
time required to set up the program will be one month. With
every referral that turns into a new client the client who gave
the referral will be given a 2% discount on their next program.
This is still a 98% increase in sales. The program will be
implemented by Randy Lawson and maintained by the VP of
Sales, Scott Lawson. With the referral program The Travelmart
can expect to generate 3 new clients, generating $224,000 in
additional revenue by 2016.
Salesforce.com
The Travelmart can utilize the Professional Sales Cloud from
salesforce.com, which is a cloud customer relationship
management system. This system allows small businesses to
gain insight from social media, facilitate employee
communication, manage leads, and workflow approvals. It will
take The Travelmart 3-5 months to implement the new system
and transfer all current client information into the database.
The Professional Sales Cloud costs $780 annually. Team 6F
recommends that the VP of Sales, Scott Lawson implement and
maintain the new system. With this new system The
Travelmart will become more efficient and effective. Other
companies who have used the Professional Sales Cloud have
seen a 34% increase in sales productivity and a 44% increase in
forecasting accuracy.
Social Media
Through the use of social media such as Twitter and YouTube,
The Travelmart will be able to communicate with its clients on
a level it has never been able to before. The Travelmart can
utilize Twitter to communicate information about trips to
clients and get them excited about upcoming trips. Twitter also
offers free advertising to customers who use American Express.
After a trip The Travelmart can use YouTube to post videos

EXECUTIVESUMMARY
highlighting key aspects of trips, while also promoting its
service. It will take The Travelmart approximately 1 hour to
sign up for the services. There is no cost to sign up for these
services. Gloria will be in charge of the initial set up of these
services and the sales team, account managers, and top
management will have access to the social media to maintain
it.
Name and Logo Change
The current name of the company, The Travelmart, Inc. can
cause confusion among future clients and mislead them to
think The Travelmart does individual travel planning instead of
incentive and corporate travel. Team 6F recommends that the
name be changed to TM Incentives and the logo be updated to
reflect the new name. This can be implemented in one month,
however, in order to avoid confusion among current and future
clients, The Travelmart should disclose its previous name on all
documents for at least 2 years. No new expenses will be
incurred during this process. The website will be updated by
Gloria, and the in house printing service will be responsible to
update all tangible documents such as business cards and
letterheads. The expected return will be a more clear brand
image.
Google AdWords
Google AdWords is a service provided by Google where
companies bid on key words, that when searched, will trigger
its ad to display on Google. It will take roughly 1 month to
determine what words will be most effective to trigger The
Travelmart’s ad. The average cost per click is $1.04, and the
only time The Travelmart is charged is when someone clicks on
its ad. Gloria will be responsible for creating the ad landing
page, and will be maintained by the sales department.
Through the use of Google AdWords, The Travelmart can
expect a 50% increase in sales, which will result in 4 new
clients in 2014.
Domestic Trips
Offering domestic trips will increase employee productivity
during the summer months. These trips will be 3-4 day trips
taken over the weekend. The Travelmart can use these trips as
milestone goals for its current clients, making it more likely that
its clients will meet their goals. Implementing these new
programs will take 3-5 months. In this time The Travelmart will
plan destinations for these trips and create customer
awareness of this new service. The only cost incurred by The
Travelmart will be the cost of the trip. Account managers will
be responsible for each of their individual clients and those in
the operations department will be required to help set up the
new trips. Short, domestic trips generate an average of $5,000-
$10,000 in revenue. More clients will be willing to participate
in cheaper and shorter trips. With the addition of a milestones
to programs clients will be more motivated to meet quotas,
which will increase trip attendance. This will cause the average
revenue per trip to increase from $80,000 to $90,000.
Conclusion
With the implementation of these integrated
recommendations The Travelmart can expect 9 new clients.
With an average revenue of $80,000, an increase in revenue of
$720,000 is expected. The total cost of all recommendations is
$37,028. This gives The Travelmart a total increase in profit
before taxes of $682,972 by 2016. Along with these revenues,
the recommendations will also improve brand image, customer
base, and brand awareness. These recommendations should
be implemented after the peak season in 2013 and be
completed by the end of the year.

TABLEOFCONTENTS
Introduction Industry Analysis Recommendations Conclusion
1. Introduction 2. Industry Analysis
3. Hospitality Industry:
Event Planning
Hotel Industry
Hotel Industry (Cont.)
Airline Industry
Airline Industry (Cont.)
Restaurant Industry
Restaurant Industry (Cont.)
10. SWOT Analysis
11. Porter’s Five Forces
12. Competitive Analysis
13. The Travelmart, Inc..
Baseline
14. Recommendations
15. Sales Reorganization
18. Referral Program
20. Salesforce.com
22. Social Media
24. Name and Logo
25. Google AdWords
27. Domestic Travel
28. Conclusion
29. References

INTRODUCTION
1
Team 6F was charged with consulting with The Travelmart to
achieve its goal of aquiring 5-6 new clients and generating
$500,000-$1 million in additional revenue by 2016. After
team 6F analyzed the hospitality industry and The
Travelmart’s current business practices, it was concluded
that The Travelmart could meet its goal by following 7
recommendations. These recommendations consist of
reorganizing the sales department, using a referral program,
implementing customer relationship management software,
using social media, changing the name and logo, and utilizing
Google AdWords. Once again, through the use of these
recommendations The Travelmart would gain new clients
which would help them spread work more evenly through
out the year. Also, due to dynamic nature of these
recommendations the number of clients in different
industries would increase. Team 6F’s goal for The Travelmart
would be for all of these recommendations to be
implemented by the end of 2013 and realize the new clients
and revenue by 2016.
Introduction Industry Analysis Recommendations Conclusion
April,2013
Begin
implementing
recommendations
Start with Sales
reorganization and
Referral program
January1,2014 Recommendations
completely
implemented
December31,2014
9 new clients
December31,2016
Increased revenue
of $720,000

INDUSTRY ANALYSIS
The Hospitality industry is a broad industry with many sub-industries within it. These sub-industries
include event planning, hotel/lodging, food service and airline industries. This information, paired with
an external analysis of the industry and the competition within the industry can provide insight to what
strategies a company can take to be competitive in the hospitality industry.
2Introduction Industry Analysis Recommendations Conclusion

HOSPITALITYINDUSTRY
Event planning industry today.
The event planning industry is a branch off of the hospitality
industry. Event planners coordinate all aspects of
professional meetings and events from choosing the
location, arranging transportation, and other details about
the event. The industry currently employs around 72,000
people. Employees in this industry typically work more than
40 hours a week. In 2010 the median pay was $45,260 a
year according to the United States Bureau or Labor
Statistics. During work, event planners do a variety of tasks:
• They meet with clients to understand the purpose of the
event, plan the scope of the event
• Work out hiring service providers such as caterers
• Constantly work with the client to choose where the event
will be held
• Make sure everything meets the client’s requirements at
the location,
• Coordinate services such as transportation
• Monitor activities to ensure the client is satisfied
(Bureau of Labor Statistics, 2012)
The event planning industry took a dramatic hit in 2009 and
fell 8.2% as corporations were cutting spending in order to
save money due to the economic crisis. Since the
turnaround of the recession the industry is seeing small, but
steady growth. In 2010, the year following the biggest hit
the industry has seen in the past 10 years, the industry grew
1.2%. The year following that the event planning industry
grew another 2.5% and is expected to grow again in 2012
(Sherman, 2012)
Outlook
As businesses are starting to become more and more international
the demand for event planners will increase dramatically. Even
with new technology and the ability to hold online meetings, it’s
difficult to replace face-to-face interaction. The United States
Bureau of Labor Statistics forecasts that the event planning
industry will see a 44% growth in jobs from 2010 to 2020. This
growth will add 31,300 jobs to the industry (Bureau of Labor
Statistics, 2012).
In the next five years, IBISWorld forecasts that the industry will
see an increase in revenues at an average annual rate of 3.5% to
$15.5 billion in 2017. This boost in revenue comes from both
government investments in hotel resorts and casinos and the use
of technology to do tasks that are done manually today. This will
allow firms to boost margins by reducing salary expenses
(Sherman, 2012).
The utilization of technology will be a key driver in this industry in
the next 5 years according to IBISWorld. Companies will need to
use and create mobile platforms to assist suppliers to be
competitive in the industry. Companies in this industry will have
to continue to use website development, customer management
systems, and event management software, as well as utilize e-
marketing platforms and social media (Sherman, 2012).

HOSPITALITYINDUSTRY
Global Trends in the Hotel Industry
A major industry within the hospitality industry is lodging or
hotels. The hotel industry experiences revenue trends similar
to the general well being of the economy. This is because
economic conditions dictate the disposable income of
everyone including businesses. Consistent With The
Travelmart’s revenue the hotel industry experienced a
decline in 2009 due to a worsening recession. This industry is
expected to experience a 3.5% increase in revenue in 2013
to $131.1 billion. However, 2017, IBISWorld forecasts that
revenue will increase at an average annual rate of 3.4% to
$150.0 billion by 2017 (Samadi, 2012).
The hotel industry is a global industry and is affected by
global economic conditions such as the recent fiscal crisis in
Europe. Other geopolitical factors play a key role in travel
and the hotel industry such as terrorism, wars, and national
tensions. The global hotel industry is expected to continue
to grow. “Operators in the Hotel and Motel industry are
expected to increasingly focus on opportunities abroad to
satisfy demand in international travel markets like Russia,
Easter Europe, the Middle East, Latin America, Asia, China
and India.”(Samadi, 2012) As business continues to expand
globally business travel continues to expand. These factors
also affect business travel including budget committed to
travel, time spent on trips, and number of trips taken.
“Business travel, including trips to seminars and conferences,
accounts for about 20% of total domestic household
trips.”(Samadi, 2012) Business travel affects the hotel
industry greatly because 1/5 of their revenues come from
business travel.
120 140 160
Hotel industry
Revenue
2017
2016
2015
2014
2013

HOSPITALITYINDUSTRY
Hotels and Business Travelers
The hotel industry has demands placed on it
from several outside sources. Travel agencies
and tour operators require accommodations
with bookings, reservations, and tour packages.
Business travelers require hotel
accommodations. Business travelers are
generally 35- 54 years old (Samadi, 2012). The
majority of business travel is in a professional
capacity with leisure business travel usually
being used as a reward for employees. Lodging
customers are comprised of about 28.5%
business travelers, 25% attend a conference or
meeting, and 25.7% are vacation travelers
(Samadi, 2012). The Travelmart Inc. can
affectively reach 79.2 percent of the hotel
industry’s customers. Economic conditions
affect business and conference travel which
have dropped in the past five years. Hotels have
also experienced a decline in business travel due
to technologies such as teleconferencing and
conference calls. These technologies have
decreased the need for business traveling
because of their inexpensiveness during the
recession. The Travelmart Inc. is directly
affected by the businesses travelers hotel trends
because 20-30% of there revenues come from
corporate travel and business meetings.
Business travel in the hotel industry will recover
with the economy while battling the serious
threat of technology to the industry.
29%
25%
25.70%
20.80%
Lodging Customers
Business
Travelers
Conference
or Meeting
Vacation
Personal,
Family,
Other

HOSPITALITYINDUSTRY
Current Airline Industry
The airline industry in the U.S. had revenues of 742.9
million from passenger enplanements and 9.6 million from
departures. The 2008 recession was a difficult time for
some airlines, many took bankruptcy protection in 2008
and some were even forced to discontinue operation.
Despite these hard times discount airlines have seen
success, an example would be Southwest (Plunkett, 2012).
Discount airlines remain very important players in the
industry. Southwest Airlines is one of America’s top carriers
by number of passengers. Outside the U.S., many carriers
have carefully studied Southwest’s methods and strategies,
and have enjoyed strong growth. Southwest earned a net
income of $178 million in 2011, down from $459 million in
2010, while 2009 profits were $99 million, when most
other airlines posted losses (Plunkett, 2012).
On an international level the airline industry has suffered in
the last ten years due to the terrorists attacks, rising fuel
costs and the 2008 recession. All of these factors along with
the intense competition in the airline industry have
resulted in many airlines not seeing any profits for several
quarters and some even filling for bankruptcy (Plunkett,
2012). The future of the industry may seem bleak but
companies like Southwest and JetBlue are still seeing
growth and will help serve as a guide for other airlines to
follow to get back on the right track.

HOSPITALITYINDUSTRY
Future of the Airline Industry
The biggest problem facing the Airline industry is today is
ever increasing cost of fuel. As a result of this airlines all over
the world are forced to make drastic changes to how they do
business in order to remain competitive. In the U.S., major
airlines have cut routes and reduced the total number of
seats available, partly by removing older, fuel-guzzling
aircraft from service. This put the airline industry in a much
more efficient operating condition. U.S. airlines are operating
with a much smaller staff. The number of employees in the
U.S. scheduled airline industry plummeted from 485,000 in
2003 to 414,700 in 2011 (Plunkett, 2012).
Domestic Airline Jet Fuel Prices,
U.S.: January 1986-April 2012
(Dollars per Gallon)
It may seem as if the Airline industry is going downhill,
however, many companies such as GE are working to create
more efficient engines in order to save money on fuel. These
new innovations in technology will help the airline industry
grow as whole despite the fact that several major airlines had
to layoff thousands of workers. The average Air Travel Price
Index showed a growth of 1.07% from 2001 to 2011, this
percent is low partially from the fuel costs and the attacks on
Sept. 11, however it still forecasts growth for industry in the
future (Plunkett, 2012).

HOSPITALITYINDUSTRY
Competitive LandscapeOverview of the Restaurant Industry
In terms of its competitive landscape, buyer power in the
restaurant industry can be assessed as moderate. Since
buyers are usually price sensitive, the services offered by
restaurants are not essential to them as they have the option
of preparing food themselves. Switching costs are not high,
and the quality and quantity of raw materials and other
supplier services are essential to the restaurant industry.
Large manufacturing firms have strong negotiating power,
increasing supplier power in the industry, and contracts may
be in place to raise switching costs. The threat of new
entrants can be assessed as moderate due to the large
amounts of suppliers and buyers, and the significant capital
expenditure that can be required in the industry. Operating a
chain of restaurants is key to sustaining revenue growth and
it is important to make sure it is geographically diversified.
The threat of substitutes can also be assessed as moderate
as consumers have the option of preparing their own food
instead of dining at a restaurant. As health concerns are
growing, the threat of substitutes is larger. Even though this
is a key factor, consumers enjoy the social aspect of dining
out and the faster service (MarketLine, 2012).
The restaurant industry is comprised of Restaurants &
Cafes, Fast Food, Catering, and Drinking Places.
There are four main players in the restaurant industry
and these include: McDonald’s Corporation, Compass
Group PLC, Sodexo, and Yum! Brands, Inc. (MarketLine,
2012).

HOSPITALITYINDUSTRY
Business ChallengesRestaurant Industry Opportunities and Trends
The future of the restaurant industry is fueled by four main
opportunities. These include young consumers driving future
growth, adding organic options to the menu, implementing
social media, and producing more fast casual restaurants.
Younger consumers, unlike older consumers, are more likely
to eat out at quick-service and fast restaurants as they are
driven by convenience and restaurants that offer a variety of
healthy and exotic food. Consumer interest grows when
restaurants enforce healthy eating by adding organic options
to the menu. In terms of advertising, companies are looking
to implement social media as about a third of consumers
said they would follow restaurants if dining specials were
advertised. The development of fast casual restaurants could
benefit casual dining restaurants with the convenience of
serving busy consumers on the go (Fast-Food & Quick-
Service Restaurants, 2012).
Business trends of the restaurant industry include a modest
sales growth in food service and drinking places, a sales
growth for fast casual restaurants, and a consumer demand
for health menu options. Even a slowing US economy has
not stopped consumer spending at restaurants. Some
consumers are choosing to eat out less to reduce spending
rather than eating out at less expensive restaurants. Fast
casual restaurants, which accounts for 15 percent of sales
from all quick-service restaurants, is expected to grow at an
annual compound rate of 8 percent through 2016. Fast
casual restaurants have emerged as a popular segment due
to the quality and good value of the food, along with the
relaxed and open environment. As obesity rates continue to
remain a problem, healthy menu options has become a
growing concern for many consumers (Fast-Food & Quick-
Service Restaurants, 2012).
Global restaurants sector market value 2007-11
The restaurant industry experiences many challenges that can
potentially influence business. Contaminated food through
poor sanitation and employee error, along with raw
ingredients, is just one of the challenges that can affect the
reputation of a company. Labor issues such shortages,
immigration policy fluctuations, high turnover, and minimum
wage policies, influences proper customer service and
reduces the labor pool of restaurants. As sales depends on
consumer spending, consumers may choose to prepare their
own food due to restaurant meals being increasingly
expensive. Bad publicity and state-sponsored legislation has
resulted from the growing concern over high fat content, high
calorie count, and large portion size of some of the foods
offered. Due to the availability of alcohol, restaurants are
liable to actions of the customers who consume alcohol (Fast-
Food & Quick-Service Restaurants, 2012).

EXTERNALANALYSIS
SWOT Analysis
The Travelmart has many strengths that help
them stay competitive in this industry. Its
biggest strength is its customer service skills.
The fact that it is a family owned business
shows its dedication and attention to every
client.
The Travelmart is exposed to competition
without a good marketing strategy. Finding new
clients is always an important aspect of
business, this is an area where The Travelmart
could improve.
There are several opportunities to capitalize on
in the future. The Travelmart can gain several
new clients with a better marketing strategy
and increase revenue by doing so.
The main threat to The Travelmart is losing
clients or potential clients to larger companies
through consolidation. Also, The Travelmart’s
competition currently utilize marketing
campaigns and strategy’s that can better
compete in an already competitive market.
By understanding the strengths, weaknesses, opportunities, and threats The Travelmart can
have a better understanding where it is placed in terms of competitiveness in the market.
Understanding how to eliminate threats and capitalize on opportunities will give The Travelmart
a larger competitive advantage.

EXTERNALANALYSIS
Porters Five Forces
Buyer Power is increasing due to a large amount of incentive travel companies. With a saturated market buyers
can choose the best monetary deal that best suits their needs. This puts pressure on suppliers to provide the most
for the lowest cost.
Competition in this industry is high. Price is a major point of competition because it is hard to differentiate
products. In most cases industry operators offer similar coverage with similar services. Once again this pressures
suppliers to provide lower costs so it can gain a competitive advantage.
The barriers of entry is high. The fact that there are so many competitors in the industry is makes it hard to start a
new business and gain the necessary clientele.
Bargaining power is low. Every company offers virtually the same service, however, companies can offer a
differentiated customer relations which would in fact creating an advantage.
There is a low degree of substitutes. There are a lot of suppliers with the same service, but they offer an
undifferentiated service. There is one service being used in this part of the industry, clients cant easily find a
substitute service for incentive or corporate travel.
Bargaining
Power of
Buyers
Degree of
Rivalry
Threat of
New Entrants
Bargaining
Power of
Suppliers
Degree of
Substitutes
Analyzing Porters Five Forces allows one to understand the Hospitality Industry better. One major trend to success in
the industry is providing unparallel customer service to attract more clientele toward your service. Promoting business
through the sales team and a good marketing strategy can create an advantage over your competitors.

COMPETITIVEANALYSIS
Industry Leaders
Maritz, BI Worldwide, and Aimia (formally Carlson
Marketing) are the leaders of the industry in which The
Travelmart competes. All of these competitors offer custom
sales incentive travel programs. Compared to The
Travelmart the leaders of the industry offer these travel
programs but on a much larger scale. These large companies
also place much more emphasis on arranging business
meetings and corporate travel. The industry leaders also
differ from The Travelmart by implementing customer
loyalty programs. Successful utilization of technology has
driven these competitors to become industry leaders. Social
media sites, such as LinkedIn, help develop a competitive
advantage through brand recognition and the development
of leads. These competitive leaders have developed more
user-friendly websites. The Travelmart could learn from the
strategies the industry leaders used to be more successful.
Tier II Competitors
Tier II companies operate in the same industry but on a
smaller scale. These companies are in direct competition
with The Travelmart. Incentive travel programs comprise the
majority of these competitors business. These tier two
companies all have a presence on social media to some
degree. Social media is an increasing trend throughout the
industry to increase leads and customer relationships. US
Motivation, as well as other competitors, offer virtual
solutions such as on-demand webinars and webcasts. Victor
Incentives and Meetings also utilizes technology through
virtual solutions and online overviews of travel programs.
Prestige Resorts and Destination, The Travelmart, and many
other tier II companies use DMC (destination management
companies) to facilitate their business travelers. DMCs are
used domestically and internationally for sales incentive
travel programs. Recognizing the strategies of direct
competition can allow for a competitive advantage amongst
other tier II companies.

THETRAVELMART,INC.BASELINE
Sales
The Travelmart currently employs a sales force of 5 people.
Of these sales people 3 have multiple clients and are very
aggressive, and the other 2 have only one main client. The
Travelmart has considered moving one of these employees
to operations and possibly adding a more aggressive sales
person. The sales people are paid on a salary plus
commission basis, but have no sales quotas to meet. In
order to earn the commission the sales person must
generate profit equal to three times their salary. In order for
a sale to go through completely, it takes 1-2 years, and most
promotions for trips last 12 months and the trip takes place
the following year. If a program is cancelled The Travelmart
has a difficult time to replace the lost revenues.
The sales team currently does minimal cold calling, this is
because of lack of results in the past. However, the sales
people go to businesses to pitch a trip that they are
planning.
The key clients The Travelmart currently does business with
are in insurance, construction and finance. Some of these
companies include:
• Norandex Building Materials Distribution
• Applicators Sales & Service
• PGT Industries
• Kinetico Incorporated
(Lawson, 2012)
Technology
The Travelmart’s employees currently use primarily desktop
computers at each of their desks, and some employees use
laptops as well. Sales people and account executives all
have iPhones, which are used for international phone, data,
and internet service. These employees also have laptops
that they travel with, and the company has begun to invest
in iPad’s for presentations. The CEO, Randy Lawson, has an
iPhone that he keeps on 24/7 so that clients can reach him
at any time of day. The Travelmart updates its technology
every 4 years, this includes the replacement of hardware
and software.
The Travelmart has a website that was created for them and
maintained by an external provider. For each program, The
Travelmart creates a personalized website that provides
information on the trip.
The sales people also have an electronic database of
customers, as well as a hard copy in binders (Lawson, 2012).
Marketing
Currently The Travelmart relies on word-of-mouth
advertising to generate new business. The Travelmart tried
to advertise in a client newsletter for 2 years, but were not
able to generate any new business. The company currently
does not do any online marketing outside of its website. The
Travelmart currently does business in the insurance, finance,
and construction supplies industries, and are considering
looking into different industries, such as, Plumbing Supplies,
Heating and Electrical Suppliers, and other industries
(Lawson, 2012).

RECOMMENDATIONS
In the following section Team 6F will detail 6 recommendations in three components of your business; sales,
marketing, and technology. In order to achieve the goal of $500,000 to $1 million in revenue by 2016, Team 6F will
recommend sales reorganization, a referral program, a customer relationship management system, social media,
name and logo change, the use of Google AdWords, and domestic trips during the summer months. In order to
successfully implement the referral program and other recommendations, the sales reorganization must be
executed first. These recommendations will include the time, cost, resources required for implementation, and
the forecasted expected return. All of these recommendations should be initiated on April 30, and completely
integrated by December 31, 2013.

SALESREORGANIZATION
Sales Department Restructuring
One major change Team 6F wanted to implement was to
reorganize the entire sales department. This change is
needed for several reasons; one major reason is the fact
that The Travelmart mentioned the lack of productivity by
the majority of its sales force (Lawson, 2012).
Accompanying the newly hired salesperson, Scott along
with the current most aggressive salesperson (Type A
personality) will continue to make sales through the
implemented recommendations. The three remaining
individuals will be given the title of account managers.
These account managers will be asked to maintain and
keep track of current clients as well as handling referrals
that are being generated and to then give them off to the
sales people. Maintaining these relationships with the
clients consists of planning and contracting its client’s
programs. Another change will be the chain of command
model. The salesperson will report to the sales team
leader, who will report to Scott Lawson, VP of sales. On
the account managing side, these account managers will
also report to their account managing team leader, who
will then report back to Scott.
• The time needed to completely make the change will be
one month. In this time all current clients will be
transferred to account managers. They will be in charge
of managing the programs once the sales are made.
The entire sales team will be familiar with their new
roles in the department as well as understanding what
is expected of them
Time
• This reorganization will require no cost to The
Travelmart except the time to move office materials
around to best suit the structure of the new sales
department.
Cost
• Some resources required to make this change possible
will be time and effort company wide, a new salesman
along with new duties for Randy and Scott
Resources Required
• The expected return for the sales team reorganization
will be a more aggressive sales team, role recognition
(easily identified roles), more work to do for less busy
sales people.
Expected Return

SALESREORGANIZATION
Additional Salesperson
The biggest change Team 6F wanted to implement was to
hire a new, and more aggressive (Type A personality)
salesman. This will have a tremendous outcome for the
sales department. The Travelmart’s competitors websites
and many of them have online applications to reference.
Some main objectives of hiring a new salesperson are to get
results for company, develop new business, retain and
increase current business, and increase customer loyalty.
To be successful in this industry, The Travelmart must hire a
specific type of person. A salesman should be aggressive,
have excellent communication skills, both oral and written,
be innovative, able to deliver a successful presentation, and
have excellent relationship building skills. Comparing
applications from main competitors can aid in creating an
application for The Travelmart to find a suitable salesperson
for this organization.
The time needed to implement this change will vary
depending on how The Travelmart goes about finding a new
salesperson. Research shows that if The Travelmart uses
CareerBuilder or similar services, it can expect to fill the
position in 29 days from the day the job post is made to the
day the position is filled (Talent Puzzle, 2012). There will
then be a two month shadow period where the new
salesperson can follow an aggressive sales person around
and better understand the industry in which he/she is now
selling in. There will then be a maximum of a six month
probation period where they will be asked to go on the
majority of the trips to better understand what happens on
the incentive and corporate travel trips. In addition to this,
the probationary period will require weekly meetings to
review performance with the VP of Sales.
The cost of this new hire will be $35,000/year plus
commission under the current Travelmart sales department
pay grade (Lawson, 2012). Another cost to The Travelmart
will be CareerBuilder or other job search engines, which will
cost roughly $300 for a 60 day job posting.
After hiring this aggressive salesperson The Travelmart’s
expected return will be three new clients through referrals,
marketing and being aggressive by the end of 2014.
The only resources required will be time and effort from
Randy and Scott to find, interview and later hire the new
employee to the sales team. It will be difficult to find the
aggressive sales person right for this industry, however,
through CareerBuilder and other application search engines,
this will eliminate much unneeded time and effort. The VP
of Sales will also be required to oversee the probationary
period, which will include weekly performance updates.

SALESREORGANIZATION
As-Is Sales Department Structure To-Be Sales Department Structure

•For a referral program to be successfully set up it will
take about one month. This includes setting up a system
to ask current clients for referrals. This is easily done at
the end of the post trip surveys The Travelmart currently
does. Make a special copy of the survey for clients
program leader The Travelmart did business with for
them to fill out.
Time
•Referral programs are relatively cheap to create. It will
cost The Travelmart 2% of its revenue to reward clients
for leads that turn into new sales. With this method The
Travelmart will still receive about a 13% markup from the
current clients next trip, plus the new business at the
normal 15% markup.
Cost
•Team 6F recommends that the CEO, Randy Lawson, put
the referral program into action. After the program is
launched the VP of Sales should maintain the program.
This makes the most sense because the program is sales
driven and the VP of Sales oversees that department.
Resources Requires
•With 20 clients The Travelmart can expect an average of
two referrals per client. This is a total of 40 referrals. On
average 34% of referrals turn into potential sales (Misner
& Craine, 2011). That is 13 potential sales, and out of
those 3 will be likely to close. This will net The
Travelmart an increase of an average of $240,000 in
revenue.
Expected Return
REFERRALPROGRAM
Requirements and what you can expectBy adding a referral program, The Travelmart can expect an
increase in sales leads
Referral programs are a great way to generate new sales leads
from already existing customers. Current clients recommend
others like themselves that they believe could benefit from The
Travelmart’s service. Because these clients have done business
with the company in the past, they already know who The
Travelmart is and what it offers. These clients chose The
Travelmart over other competitors, so they can also be a credible
voucher for The Travelmart. Because its business is requesting
others that they believe would enjoy The Travelmart’s service
these leads are much more effective than just cold calling. Some
of the other benefits are that people are more comfortable when
a service is recommended by someone they know. Referred
customers have likely heard about the quality of service and are
therefore likely to be less sensitive to price. Referral programs can
quickly multiply the amount of leads The Travelmart receives.
Referral programs do have one major downfall; that no referral is
a guaranteed sale.
Another great benefit of using a referral program is that the cost
little money to set up. The Travelmart will primarily ask current
clients to provide them with information that it can use as sales
leads. However, there are some things to keep in mind when
setting up a referral program. When asking a client to provide
information it is important to be as specific as possible without
narrowing its frame of reference too much. Asking questions like
“Do you know anyone who would also be interested in our
service?” are too broad, and people have difficulties answering
broad questions such as this. It would be much more efficient to
ask something such as “Is there anyone you are currently in
business with who would also benefit from an incentive
program?” An example referral for can be found in appendix C
(vacation.com).
The Travelmart should also reward its current clients for providing
them with good leads. for example: for every referral that turns
into new business for The Travelmart, it will provide its group with
a 2% discount on their next trip. This way The Travelmart still
profits off of both sales, while adding value to its client’s input. 18Introduction Industry Analysis Recommendations Conclusion

REFERRALPROGRAM
Company Name
Please take a minute and let us know if there anyone
you currently do business with who could also benefit
from an incentive program.
Address
Ask for specific
information on who
they are, where they
work and in what
department they work
in. Also be sure The
Travelmart gets contact
information so you
know how to get a hold
of them whether it is
through phone or in
person.
Full Name
Be sure to narrow their frame of
reference when asking for a referral.
Phone Number
Use the same layout for as many referral requests as you
would like the client to try to make, team 6F suggests at
least 5.
Department

SALESFORCE.COM
Time
Customer relationship management is increasingly important
in today’s business environment. The Internet has allowed
for the development of technologies such as cloud CRM
systems. Salesforce.com is an example of a sales cloud –
CRM solution. It was also named the 2012 CRM Market
Winner in midmarket suites by DestinationCRM.com.
Salesforce allows small businesses to gain insight from social
media, facilitate employee communication, manage leads,
and workflow approvals. This system can be easily integrated
with Microsoft Outlook or Gmail and is available on mobile
devices as well. Salesforce is downloaded completely online
and only charges a monthly fee. On average companies who
implement the sales cloud from Salesfroce.com have
experienced a 34% increase in sales productivity. This
product also results in 42% more accurate forecasting. Team
6F recommends that The Travelmart implements the
Professional Sales Cloud from Salesforce.com.
The launch time period for this product will be 3 to 5 months
depending on how quickly everyone gets acclimated with
the new interface. The program is downloaded from the
internet and comes with about 5 hours of online training
videos. Sales force also offers 24 hour customer service over
the phone. The 3 to 5 months launch period will be filled
with getting acclimated to the new program and inputting
current client information. Vice President of Sales Scott
Lawson should take the first month to familiarize himself
with the new system and understand major concepts before
introducing the system to the rest of the sales team. He can
also utilize the one month free trial to get a head start on
this process. This is important to ease employee transition
into the new system. The next 2 to 4 months should be
focused on getting everyone up to speed on the sales cloud
and all of its features. Once the transition is complete after 5
months, the Sales Cloud will improve the efficiency of The
Travelmart.
Customer Relationship Management
Cost
The cost to The Travelmart will be $65 a month for the
Professional Sales Cloud by Salesforce.com. This equates to
an annual cost of $780. These costs to be less than the
benefits Salesforce.com can offer.
$780 annually allows for:
• Customizable sales process
• Contacts and Accounts
• Task and Event tracking
• Web-to-Lead capture
• Contract management
• Customizable forecasts
• Customizable dashboards
• And much more

SALESFORCE.COM
Expected Return
The main benefit the Professional Sales Cloud will generate
the ability to centralize and manage all leads, contacts and
clients. It also allows for real-time communication between
employees and task tracking. The contract management
tools will also be an asset to The Travelmart. The ability to
mange the entire program process from sale to completion.
This will streamline the entire process and connect
employees. The ability to manage all the programs on one
dashboard will be essential while running multiple programs
simultaneously. Sales cloud mobile allows employees to be
constantly connected with The Travelmart and its colleagues.
The web-to-lead capture feature will allow contact
information to be captured from social media sites including
the Google landing site. This will generate leads for The
Travelmart. According to Salesforce.com, the Sales Cloud
allows for 44% more accurate forecasting (salesforce.com,
2012). The Professional Sales Cloud will improve overall
efficiency through the company along with the improved
management of leads and the entire sales process.
Required Resources
The Vice President of Sales, Scott Lawson, will launch the
Professional Sales Cloud. He will be the first to familiarize
himself with the new program. He will have a month free
trial and another month in order to understand the main
concepts of the Sales Cloud before introducing it to the sales
team. The rest of the 3 to 5 months required time will be
used introducing and familiarizing the staff with the
program. The five hours of tutorials can be accessed at
anytime throughout this process.

SOCIALMEDIA
Time
Social media has been increasingly popular among many
businesses and has grown into a global phenomenon over
the past several years. Through the use of social media such
as Twitter and YouTube, companies are able to use
technology to share and relate business opportunities,
experiences, perspectives, and insights with one another.
Social media has been an important factor for many
businesses as it replaces the “word-of-mouth” marketing
strategy and bypasses the “fluff.” Its importance derives from
its key benefits it brings to many companies. Social media
enables one to allocate their expertise, knowledge, manage
the needs and trends of their consumers, and generate
potential clients through customer evangelism. The two
sources of social media that Team 6F recommends to The
Travelmart to implement into its marketing and sales
strategy are Twitter and YouTube (Lake, 2012).
The launch time for both Twitter and YouTube will be roughly
one hour depending on how well it is utilize. For the
programs to be affiliated between account managers and the
sales department, it will take no longer than a couple weeks.
The two programs can be downloaded off of the Internet
and are both a very simple process to follow. In terms of
YouTube, Team 6F recommends that The Travelmart apply
videos of past incentive and corporate trips within one to
two hours following the trip. By doing so, this will allow
potential customers and clients to become familiar with the
trips and in return, generate sales leads.
Twitter has become a popular trend for corporate
communication and Team 6Frecommends that Travelmart
implement this program to provide updates of past, present,
and future trips. This communication will create brand
awareness and recognition for The Travelmart through its
potential and existing clients and customers.
Social Media

SOCIALMEDIA
Expected ReturnCost
The cost to The Travelmart will be absolutely nothing. One of
the main reasons as to why so many businesses are
implementing Twitter and YouTube is the zero cost of the
programs. The programs only require maintenance and
management from the creative arts department, account
managers, and sales department.
The main benefit Twitter and YouTube will provide to The
Travelmart is a stronger and clearer brand recognition and
awareness. This benefit will create, in return, more business
opportunities and leads for the company. The two programs
will allow the entire sales organization to manage sales leads
and processes. Creating prospects is the first step in the sales
process, and by utilizing social media, The Travelmart will be
able to generate more business opportunities.
Earlier this year American Express and Twitter teamed up to
offer discounts when American Express cardholders send
messages relating to the company. As a user of American
Express, The Travelmart will able to implement this strategy
and be promoted over Twitter (Benzinga, 2012).
Required Resources
The two forms of social media will be created and
implemented coordinated by the head of the creative arts
department, Gloria. Both Twitter and YouTube involve
simple processes for the two to be incorporated. An account
must be created for the two programs and following this
step, the usernames for Twitter and YouTube must be
marketed. This would include The Travelmart’s website,
contracts, letterheads, and all documents that portray
company contact information. For it to be fully affiliated
with the company, the two programs will be accessible to
Randy, Scott, and the entire sales organization.

NAME&LOGO
Cost
There is virtually no cost to changing The Travelmart’s
current name and updating its logo. The only expenses that
would be incurred is the costs of supplies required to
reprint the new logo on business cards and things of that
nature.
Time
The time required to implement an updated logo for The
Travelmart would be one month (Lawson, 2012). During that
time frame business cards, letter heads, the website and any
other things with the company name on them would
outfitted with the new name and logo. Due to the nature of
The Travelmart’s business it often has contracts with clients
as far as two years in advance (Lawson, 2012). Because of
this it would be necessary to inform clients of the name
change and print “formally The Travelmart” after the new
name on any important documents and the website, for two
to three years as to not confuse current clients.
Expected Return
This name change would give The Travelmart a clearer brand
image. This would prevent any confusion from potential
clients as to what The Travelmart does. By clearly
establishing a name like TM Incentives no other businesses
will assume The Travelmart is just a personal travel
agency(Lawson, 2012).
Resources Required
Updating the company’s name and logo would take less then
a month. The Travelmart’s creative service coordinator
Gloria would be in charge of changing the name and the logo
on the companies website. This is because she is familiar
with working on the website (Lawson, 2012). Also it would
save the company money from hiring an outside IT person
from updating the website.
The Travelmart is a strong name that reflects the company’s
family owned culture and humble beginnings. However, this
name also can cause confusion among potential clients and
mislead them to think The Travelmart does individual travel
planning instead of corporate and incentive travel (Lawson,
2012). A new more modern name and logo could help The
Travelmart establish a strong brand image. This new name
would be TM Incentives. The logo pays tribute the original
name by keeping the T and the M but will also have a more
modern corporate feel.
Updated Name & Logo

GOOGLEADWORDS
Time
The Time required to set up a Google AdWords account
would take minutes words (Google, 2009). However, it
would take roughly a month to determine which words
would be most effective to use to trigger The Travelmart’s
ad. During that time The Travelmart would analyze how
many views were generated by its initial new ad and if it
needs to change anything to fully optimize its opportunity to
gain new sales.
Cost
One of the primary benefits of using Google AdWords is that
it is very cost effective. The only time this service would cost
The Travelmart anything is when people search for a word
that triggers its ad to come up and then click on its ad words
(Google, 2009). This is called a cost-per-click advertising.
However, the cost-per-click price differs depending on what
worlds that are selected to trigger its company’s ad to show
up. The average cost-per-click price is $1.04, this means that
if 100 people frequent The Travelmarts website because of
Google AdWords, the cost to them would be only $104
(Hochman, 2012). The only downside of this service is that
the more likely a word is to be searched on Google the
higher the cost-per-click price will be.
Expected Returns
In past five years The Travelmart has gained nine new
customers (Lawson, 2012). Other small businesses who have
used Google AdWords have seen sales increase by as much
as 50 % words (Google, 2009). Using this data , the use of
Google AdWords by The Travelmart could potentially add
four new clients to its customer base. Also due to the nature
of Google AdWords advertising strategy customers search
for what they need, which means a more specific target
market will be viewing The Travelmart’s ad.
Required Resources
The creative services coordinator, Gloria would be given the
responsibility of setting up the initial Google AdWords
account, this is fairly simple and only requires a Gmail
account. However once this account is created it will be
maintained by the sales department. This would give them
the task of deciding which words will be used to effectively
attract new customers. Also, members of the sales
department will analyze whether the key words they
selected are effective and if the need to be changed. The
monitoring of all data provided by Google AdWords will also
be done by the sales department. This will allow them to
make accurate decisions regarding changes to its Google
AdWords account.
Google AdWords is an innovative new marketing tool that
businesses of all sizes are utilizing. Google AdWords allows
companies to choose certain words, that when searched for
in Google, trigger its ad to show up next to what they were
searching for. How far up an ad appears next to a search is
determined by who bid the most for the word that was
searched. The ads that are displayed typically show the
company name, a brief description, and the company’s
website address. Google AdWords also allows the users of its
service to choose specific words they want that will trigger
their ad to show up, however, there are some restrictions on
trademarked words (Google, 2009). Some examples of
words The Travelmart could bid on would be: incentive,
group and corporate travel, Travelmart, etc. This unique
service also gives details as to how many people clicked on a
company’s ad, how many sales it created, and what it will
cost.
Advantages of Google AdWords

GOOGLEADWORDS
Generating leads through a landing page
To get the most information from potential clients using
Google AdWords landing page tool. Team 6F recommends
The Travelmart attract potential clients by offering free
downloadable information on incentive travel in exchange for
contact information. This information would then be used to
generate new sales leads. Another beneficial feature of the
landing page is that it can be synced with Professional Sales
Cloud to manage these leads. Below is a example landing
page Team 6F recommends
26
Company Name*
Address*
Full Name*
Phone Number*
E-mail*
* Required Information
Submit
TM Incentives (formally The Travelmart) has been in business for over 60
years and offers group incentive travel programs, corporate travel
solutions, and business meetings. In your free PDF guide on group
business travel you will learn:
• What incentive travel is.
• How an incentive programs can help your
business.
• How to choose an incentive program that is
right for you.
TM Incentives FREE Guide to Incentive Travel
To receive your free guide to incentive travel simply fill out
the information below and click submit
Visit our website:
www.thetravelmart.com

DOMESTICTRAVEL
Weekend domestic trips can positively affect The
Travelmart’s Sales.
After implementing these recommendations The Travelmart
can expect to generate a lot of new business. With this new
business, The Travelmart will be presented with the
opportunity to expand its travel to shorter domestic trips in
the summer months. These trips will take place over
weekends lasting 3 to 4 days. In recent years weekend
travel has become extremely popular in the United States,
103 million adults take at least one weekend trip a year
(Schneider, 2011).
The Travelmart can expand its sales during the less busy,
summer months by up-selling its current clients. An easy
way to do this is by offering different packages for current
clients. An example of this could be a milestone system, if
by July of the year before your trip you have met 60% of
your total goal The Travelmart will set up a small domestic
trip for your sales team. Milestone systems are good for
both parties involved, it gives the client something to work
toward and increases their employee motivation. This
means it is much more likely they will reach their final quota,
which means a higher turn out and more profit for The
Travelmart. . Instead of making a one time profit during the
winter months on one trip, The Travelmart has generated
profit during off months, and a higher profit during its
client’s main incentive trip. The milestone system can also
make it much easier for The Travelmart to forecast the
amount of travelers a client will bring on a trip. It will
provide The Travelmart a measurement tool to accurately
forecast with data.
• The Travelmart already offers smaller domestic
trips, however, it will take 3-5 months to create a
new program for its current clients.
Time
• The cost of the program will be directly related to
the cost of the trip. This depends on the size and
duration of the trip. As well as the programs The
Travelmart sets up for the trip.
Cost
• To maintain this program the account managers will
be in charge of each of its individual clients. It will
also require the operations team to go on the trips
and help set up the trips.
Resources Required
• During an interview with Randy and Scott Lawson it
was discovered that small trips will generate
$5,000-$10,000 in revenue. With the
implementation of a milestone system The
Travelmart can expect the average revenue per trip
to increase from $80,000 to $100,000 because of
the new motivation given to clients to meet quotas
(Lawson, 2012).
Expected Return

CONCLUSION
The use of these recommendations will lead to an increase in revenue.
The Travelmart can generate 9 new customers by the end of
2014 if these 7 recommendations are implemented by the
end of 2013. During an interview with President Randy
Lawson and Vice President of Sales Scott Lawson, it was
revealed that group trips generate profits between $60,000-
$120,000. Using an average of $80,0000 per trip and one trip
per customer, The Travelmart will experience $720,000 in
profits by 2016-17. This new business could potentially yield
$1.08 million in profits. A few of these recommendations will
incur a fiscal cost to the company. Salesforce.com will cost
$780 annually. The cost of hiring a new sales person will be
$35,000 annually plus commission. Google AdWords will also
cost the company money on a pay-per-click basis. The
Travelmart could expect no more than 100 clicks per month,
with the average cost of an AdWord bid being $1.04 the
annual cost to the company shouldn’t exceed $1,248. The
other recommendations will not cost the company anything
that it is not already currently paying. The total new annual
cost incurred costs will be $37,028. Total profit from these
recommendations will be $682,972 in 2016-17 due to the 2-3
year nature of The Travelmart’s business. Recommendations
should be initiated in April 2013 after the peak season and
completed by the end of 2013. These integrated
recommendations will increase profits, efficiency, sales leads,
and clientele throughout The Travelmart.
9 New Customers x $80,000 Avg. Profit per Trip – $37,028 Cost of Recommendations =
$682,972 28Introduction Industry Analysis Recommendations Conclusion

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