Luxury Travel startup idea and business plan

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Looking for a seed funding for Travel &Tourism Project: Luxury Market for for Foreign Traveler Arrival to India worth 2 Bn $ with virtually no competition and a growth of more than 35% C.A.G.R: For a company worth a bn $ in next half decade.
My start-up is in the field of Travel & Tourism. We would be catering services to foreign traveler visiting India. The market size is more than 20 billion $, and expected to grow at the rate of 11% C.A.G.R. The total no visiting are 7 million. The broad segment we are focusing is leisure and recreation which is 27% of total market. Our target market is luxury segment which is 2 billion $. We have planned for traveler having paying capacity of average 1000$-5000$ per day. These services are backed by some unique service such as personal bodyguards, an interpreter, chartered helicopter services, accommodation in some of the best and unique hotels and travel in some the best luxurious cars in the world. Here customer has freedom to choose their places, make their own itinerary, and choose their category of recreation: adventure holiday i.e. driving, motorbike touring, under water diving, para gliding etc, wellness holiday, yoga, spa, Ayurveda treatment, relaxation at quiet tree house or a beach etc. Or customer can mix with different categories. Our tagline is " If it is in your dream, we will take you there". This luxury segment has virtually no competition in India. Here we are offering customers " You pay once, we will take care of all your expenses, Pre-travel and travel.(Zero hidden costs).Our business is backed by a robust Customer Relation Management, and we would be launching it in six different languages. we would backward integrate our IT research, multilingual call center and have offices at different places in India. We have a unique zero running cost setup for service providers marketing and management. We are already receiving lot of traction from investors around, but we are interested in partnering with someone who believes in our DNA and would stick to us for long time. Even with the pessimistic figures approach we would end with a billion dollar company in the fifth year. Travel and tourism is one the largest contributor of GDP of India. We have strong government in India and it is going to increase investment in infrastructure of tourism in India. This is absolutely the right time to start a venture in India. We require 5 million $ at current exchange rates for our start against an equity 10 %. This will cover our lean but efficient infra setup (IT+call center+offices) expense for a year, marketing cost in target countries. After initial funding, project will generate enough money for its future success. If our project makes sense for you then kindly contact me sunjaiveersingh@gmail.com, +919793456078
My prime communication language is English and I would prefer to use English for further communication.

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Luxury Travel startup idea and business plan

  1. 1. A Travel & Tourism Start-Up Idea & its Business Plan 2014
  2. 2. Invigorating India A Start Up Initiative By Sanjay Vir Singh Shobhit Kumar Tilak Mani Tripathi
  3. 3. Contents  Team  Executive Summary  Idea Origination  Tourism Industry Impact on Indian industry  Growth of tourism Industry In India  Segment : Foreign Traveler Arrival to India Market size  Geographical Market segmentation  Foreign Exchange Earning ratio  Leisure Recreation & Holiday Market  Target Market: Leisure Recreation & Holiday Market  Packaged Tourist Position in Indian Market  Positioning: Luxury Market  Customer Pain Points  New Government Initiative  India Government Expenditure in Tourism Industry  Study on Pioneers of the Industry  Customer Decision Enablers  Our Proposed Infrastructure  Tagline  Product Details  Competition Differentiators  Product Features  Growth projections  Financial Projections  Our Pitch  Our Offer  Way Forward  Operation Timeline  Future Broad Planning
  4. 4. Executive Summary • My start-up is in the field of Travel & Tourism. • We would be catering services to foreign traveller visiting India. • The market size is 20billion $, and expected to grow at the rate of 11% CAGR. The total no visiting are 7 million. • The broad segment we are focusing is leisure and recreation which is 27% of total market./ Our target market is luxury segment which is 2 billion $. • We have planned for traveller having paying capacity of average 1000$-5000$ per day. These services are backed by some unique service such as personal bodyguards, an interpreter, chartered helicopter services, accommodation in some of the best and unique hotels and travel in some the best luxurious cars in the world. • Here customer has freedom to choose their places, make their own itinerary, and choose their category of recreation: adventure holiday i.e. driving, motorbike touring, under water diving, para gliding etc, wellness holiday, yoga, spa, ayurveda treatment, relaxation at quiet tree house or a beach etc. Or customer can mix with different categories. Our tagline is “If it is in your dream, we will take you there". • This luxury segment has virtually no competition in India. Here we are offering customers “You pay once, we will take care of all your expenses, pre-travel and travel.(Zero hidden costs).Our business is backed by a robust CRM, and we would be launching it in six different languages. we would backward integrate our IT research, multilingual call centre and have offices at different places in India. • We have a unique zero running cost setup for service providers marketing and management. • We are already receiving lot of traction from investors around, but we are interested in partnering with someone who believes in our DNA and would stick to us for long time. • Even with the pessimistic figures approach we would end with a billion dollar company in the fifth year. • Travel and tourism is one the largest contributor of GDP of India. We have strong government in India and it is going to increase investment in infrastructure of tourism in India. This is absolutely the right time to start a venture in India. • We require 5 million $ at current exchange rates for our start against an equity 10 % This will cover our lean but efficient infra setup (IT+call centre+offices) expense for a year, marketing cost in target countries. • After initial seed funding the project will generate enough traction for its future success.
  5. 5. Who are We • Sanjay Vir Singh: o B.Tech Mech Engg ITBHU o Experience: 24 yrs in Automobile dealership management with last 5 yrs at CEO position. o Distinction of establishing several large automobile group from start Up to financial success. Presently Consulting in the field of Automobile dealership. • Shobhit Kumar: o B.Tech Mech Engg. IIT Delhi ; MBA IIM Lucknow o Experience: 6 yrs in corporate world with companies like Maruti Suzuki & IBM o Distinction of implementing several system and processes at Maruti Suzuki and presently working as Business Consultant at IBM . • Tilak Mani Tripathi: – Hospitality management graduate o Experience: 22 yrs with Taj group of hotels, Kepinski, Four Season in Russia , India & England o Distinction in launch of several big brands in Russian Market . We are working closing for last 5 yrs on several Start ups Ideas and have researched our currently proposed Project for last 3 yrs. We have already formulated a complete business plan for the same with implementation timeline and control strategy.
  6. 6. Behind the Scene: Last Three Years For last 3 yrs we have been working on the proposed project and is backed by: o First hand experience of the market o Face to face interaction of the prospective customers. o In depth study of the competition. o Clear analysis of data and statistics available in world market. o Current Indian Political scenario And the most important OUR SELF BELIEF Of our 100% Success
  7. 7. Our proposed project is from Tourism sector. WHY ? Tourism Industry Impact to Indian GDP Source: WTTC
  8. 8. Industry forecast favorable Travel & Tourism Tourism Industry Growth In India Source: WTTC
  9. 9. Indian Foreign Traveler Arrival Market Size 5.08 5.28 5.17 5.78 6.31 6.58 7.12 0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 2007 2008 2009 2010 2011 2012 2013 Tourist No. Million Tourist No. Million 10.72 11.83 11.13 14.19 16.56 17.73 22.07 0 5 10 15 20 25 2007 2008 2009 2010 2011 2012 2013 Foreign Exchange reciept in Billion $ Earning in Billion $ Our Focus Segment is Inbound Foreign Traveler To India Source: Ministry Of Tourism India
  10. 10. Foreign Traveler Arrival No. Million by Continent 0 0.5 1 1.5 2 2.5 2.12 1.34 1.24 0.58 0.61 0.32 0.52 0.27 0.31 0.79 2010 2011 2012 2013 Our Primary Market 1 Our Primary Market 2 Our Secondary Market 1 Our Secondary Market 2 Additional focus is on BRICS countries Million Source: Ministry Of Tourism India
  11. 11. Earning per Tourist in $ 0 1000 2000 3000 4000 2007 2008 2009 2010 2011 2012 2013 Foreign Exchange Receipt/Tourist $ Foreign Exchange Earning/Tourist Steady rise of average spending across all segments Source: Ministry Of Tourism India
  12. 12. Total Indian Business & Leisure Market: Domestic +Foreign Source: WTTC
  13. 13. Foreign Tourist with the purpose of visit in Million 1.59 2.42 1.84 0.18 1.09 0.00 0.50 1.00 1.50 2.00 2.50 3.00 Business & Professionals Leisure Holiday & Recreation Visiting Friends & Relatives Medical Treatment Others 2009 2010 2011 2012 2013 Our Primary Target Market Our Secondary Target Market A 9.68 Billion dollar Market Segment Source: Ministry Of Tourism India
  14. 14. 7% 93% Foreign Traveller Arrival : type of Booking INDIA 69% 31% Foreign Traveller Arrival : type of Booking: WORLD Packaged Foreign Traveller Non Packaged Foreign Traveller India has very low packaged foreign traveler Arrival because of: • Very low Inbound tour operator : 437 nos against more than 7 million tourist arrival •Low no of organized nation level ecommerce travel companies •Lack of multi lingual websites •Lack of marketing in target countries An opportunity available Packaged Tourist Vs Non Packaged Tourist Arrival To India Source: Ministry Of Tourism India
  15. 15. Our Positioning-Luxury travel market WHY? 51% 33% 16% No of trips per year per luxury customer world luxury travel market 4 trips 2-3 trips 1 trips 30% 50% 20% Average expenditure per trip per customer world luxury travel market Less than $ 6500 between $ 6500 & $ 13000 More Than $ 13000Our Target Market Average No of days per holiday : 6.5 days Our Target market: Indian luxury traveler for holiday & recreation is 2.1 Bn $ with 30000 Foreign travel Arrival and is expected to at the rate of 35% CAGR with an increase on average expenditure per trip per customer from $ 6500 Source: AIGO and Pangaea Network Research
  16. 16. 0% 20% 40% 60% 80% 57% 39% 79% 40% 80% 38% 36% Deterrents for Foreign Tourist Arrival To India Crime Political Instability Terrorism Prices Transparency Hygiene Lack Of Infrastructure Weather Positive Political Scenario in High Tourism Growth & Reducing Deterrents •India has a clear majority government with decisive & determined Prime Minister Mr. Narendra Modi who has earlier turnaround the economy of his state Gujrat Thorough a Tourism initiative “ Vibrant Gujrat” as a Chief Minister. • Prime Minister Mr. Modi is soon launching a Pan India Tourism Initiative “Vibrant India. A major Investment & friendly government policy will be announced soon for the tourism sector Source: Ministry Of Tourism India
  17. 17. Focus on Tourism Sector Development Example Vibrant Gujrat 14 gems of Moditva or Modinomics and its relevance to our project Government Management principles of Mr. Narendra Modi (Indian Prime Minister in Total majority Government) 1. ‘Secularism means ‘India first’ 2. ‘Minimum government, maximum governance’ 3. Government has no business to be in business’ 4. ‘Co-operative, not coercive federalism for a strong republic’ 5. ‘Development politics over vote-bank politics’ 6. ‘Aatma gaanv ki, suvidha sheher ki’ ( Soul of a village and facilities of a city) 7. ‘Tourism unites, terrorism divides’ 8. ‘Per drop more crop’ 9. ‘Farm to fibre, fibre to factory, factory to fashion, fashion to foreign’ 10. ‘From a nation of snake charmers to mouse charmers’ 11. ‘Take the university outside the campus’ 12. ‘Pehle sauchalaya, phir devalaya’ ( Toilet first and then place of worship) 13. ‘Economy with mass production by the masses’ 14. ‘People public private partnership (4p)’ Infra Development for hygiene Stability Support to Entrepreneurship Indian Prime Minister
  18. 18. High Government Investment to fuel Tourism Growth Indian Government Investment In Tourism Sector Source: WTTC
  19. 19. Major Companies progress thorough Tourism Makemytrip.com is now a Billion dollar company in 2014Courtesy: http://www.nasdaq.com/symbol/mmyt Source: iberg.com Not our competition, Makemytrip is primarily a ticketing & hotel booking company with focus on domestic market. Our segment has NO COMPETITON.
  20. 20. Decision Enablers of Luxury Foreign Traveler to India Source: AIGO and Pangaea Network Research Unique Locations Best In the Class Tree House etc. Khardungla Pass Highest motorable road in the world 18300 ft World Best kebabs at Lucknow Ayurveda spa at Kerala Paragliding, skiing, under water diving, Night life at Goa Motor Home caravan, Holiday resorts
  21. 21.  Head quarters at Lucknow  IT wing that will develop our multilingual website (Lucknow)  Data ware house that will house our precious data bank (Lucknow)  Multi Lingual call centre for outbound & inbound communication and written communication. (Lucknow) which will have expertise in English, French, Spanish, Portuguese, Russian, Chinese, Italian, German, Arabic & Swedish language in the first phase.  Customer Relationship and feedback analysis wing at Lucknow.  Operational office at: New Delhi, Mumbai, Bangalore, Kochi, Goa, Chennai, Kolkata, Varanasi &Dehradun In India.  Additional Office at Maldives, Columbo Srilanka, Thimpu Bhutan & Kathmandu Nepal Full backward integration for better customer satisfaction
  22. 22. Our Tag line: “If it is in your dream we will take you there”
  23. 23. Our Product: customer has all freedom to decide • We will be offering one stop solution to our target market customers thorough five different packages: Executive, premium, super premium, luxury & Super Luxury • Our Packages will be booked thorough multi lingual ecommerce website. It will be contents rich. • Our website will not have pre fix packages, customer can choose anyplace/service. We will make recommendation and help him decide his schedule. • We will accept wired payments in all major currencies. • Customer can choose any packages based on per day price. • Customer can choose any route or any place. • Customer can choose any category i.e. Adventure, Wellness, Cultural, heritage or can create a mix. • Customer will get the facility of change of destination any time even during the travel. • Customer can increase or decrease his duration by paying or by getting refund immediately. • We will never discount our product but may supplement it will better and new services. • The price will include pre travel and all travel related expense. Customer will pay for buying for his personal needs and on trip shopping. UNIQUE OFFER
  24. 24. Competition Differentiator • Our Package includes all pre trip expense such as International flight expense, Trip expense such as Inland travel, Accommodation, all meals, all Alcoholic & Non Alcoholic Drinks, visa & documents charges , insurance and monument entry charges.*No hidden or additional charges. Customer will pay us once. • We will offer helicopter services for inland travel.* • We will offer chartered flight services and cruise bookings.* • Every traveler will be offered a mobile SIM with handset with certain free call & data charges. It will contain a tracking application for their families to know the position.* • We will also offer long term home stay facilities at special rates at unique exotic locations for wellness holiday and private say. • We will offer private bodyguard service for traveler safety.* • We will offer Interpreter services for traveler.* • We will offer Marriage event management services. • We will help traveler in shopping thorough our recommendation & facilitation. • We will offer last minute rescheduling without additional charges. • We will offer motor home caravan drive holiday. • We will offer manacation (Men only vacations) and womanacations (women only vacations). • We will offer drive holiday and motorcycle expeditions. • We will offer mountaineering & trekking holidays. • We will offer all kind of adventure holidays including adventure sports and India famous wellness holidays including yoga and ayurveda and Tibetan medicines. • Every traveler is assured of a valued assured gift from our side as a gesture of thanks for choosing us. • We have unique incentive plan for our service providers which is linked to traveler feedback. We will rate our service providers on our site enabling traveler to choose their desired one. The remunerations of service provider will be linked to their rating. * Services in context package Selected No other company is offering these services
  25. 25. Our Tour packages PACKAGES Price single Price Couple/ Family Features 1. Executive $1000/day $ 1500/day Data enabled sim with phone on arrival with $ 100 per day, Accommodation 4Star, In route travel by executive class cars, economy air travel. International travel by economy class and all other expense paid. Interpreter service. 2. Premium $2000/day $ 3000/day Data enabled sim with phone and tablet on arrival with 100 $ per day, Accommodation 5Star, In route travel by luxury class cars, economy air travel. International travel by economy class and all other expense paid. Interpreter service. Personal body guard 3. Super Premium $3000/day $ 4500/day Data enabled sim with phone and tablet on arrival with 100 $ per day, Accommodation 5Star, In route travel by luxury class cars, business class air travel. International travel by economy class and all other expense paid. Interpreter service. Personal body guard 4 Luxury $5000/day $ 7500/day Data enabled sim with phone and tablet on arrival with 100 $ per day, Accommodation 5Star deluxe and above, In route travel by helicopter. International travel by luxury business class and all other expense paid. Interpreter service. Personal body guard 5. Super Luxury $ 10000/day $15000/day Private chartered flight and extremely luxurious expensive service delivered
  26. 26. 52 160 306 599 1046 0 500 1000 1500 First Year Second year Third year Fourth year Fifth Year Projected Revenue In Million $ 8.0 24.6 47.1 92.2 160.9 0.0 50.0 100.0 150.0 200.0 First Year Second year Third year Fourth year Fifth Year No of Customers in Thousand Our Target : A Billion Dollar company Growth Projections For 5 Years Of Operations
  27. 27. Financial projections 0 50 100 150 200 250 300 350 400 Ist Year 2nd Year 3rd Year 4th Year 5th Year 14 60 152 186 384 Projected Nett Profit in Million $ 0% 10% 20% 30% 40% 50% Ist Year 2nd Year 3rd Year 4th Year 5th Year 27% 37.50% 49.80% 31.10% 43.10% nett Profit % of revenue
  28. 28. Do You want to be part of A Billion Dollar Company
  29. 29. We OFFER An Equity of 10% Against 5 Million Dollar 10X return with a Year
  30. 30. 22% 38% 50% Way Forward: Expense Plan Seed Capital Operational expense 1st Yr Infrastructure Marketing, Advertising & Promotions • Call Centre •Date Ware House •Operation Offices •Search Engine Optimization • Affiliate Marketing •FM Radio & Newspaper •Events Marketing •Social Media Marketing •Television •Billboards •Salary & Work Incentives •Rent •Maintenance •Office Expense •Travel Detail Projection available
  31. 31. OperationTimeline Pre Lanuch Operation & Market Consolidation Expansion & Future Planning Fund Acquired 1stmonth 2ndmonth 3rdmonth 4thmonth 5thmonth 6thmonth 7thmonth 8thmonth 9thmonth 10thmonth 11thmonth 12thmonth 13thmonth 14thmonth 15thmonth 16thmonth 17thmonth 18thmonth 19thmonth 20thmonth 21stmonth 22ndmonth 23rdmonth 24thmonth Head Office Space IT & Warehouse Setup Call Centre Setup E Commerce Website IT TeamRecruitment Call centre Recruitment Training CRM setup Service provider Marketing Service provider Tieups Marketing in Target countries Social Media Marketing Operation Office Setup Addition Of New services Selection of New market
  32. 32. After 3Years of Operations……… Superb Switzerland Awesome Australia Unique USA Exciting EnglandRomantic Russia Develop SBU brands based for ForeignTraveler visiting target countries
  33. 33. Thanks you For your Patience Sanjay Vir singh sunjaiveersingh@gmail.com +91 9793456078 All Pictures are sourced from Google Shobhit Kumar shobhit.kumar20@gmail.com +91 9971329862 Tilak Mani Tripathi foodtech.tilak@gmail.com +91 9506941102

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