Retail travel operations Essay Example
Retail travel operations Essay Example

Retail travel operations Essay Example

Available Only on StudyHippo
  • Pages: 6 (1558 words)
  • Published: December 1, 2017
  • Type: Case Study
View Entire Sample
Text preview

Independent travel agents are individual-owned and self-reliant agencies found in every town. Typically, there is only one independent agency operating alone or with a few others in different locations. Keith Bailey is an example of an independent organization.

While there are advantages to being an independent agency, such as easier business changes, there are also many disadvantages like facing competition from multinational agencies. Tickets Anywhere is an independent agency. On the other hand, miniples are small to medium sized enterprises that are typically based in specific areas and operate with more than six branches.

As a miniple agency, Bakers Dolphin is at risk of being acquired by larger organizations. This is because multiple retailers like Thomas Cook and Going Places have branches across the United Kingdom.

Multiple agents and E-agents are two types of retail shops found across the UK. Multiple

...

agents have more competition as they rival other well-known agencies. For example, where there is a Thomas Cook store, a Lunn Poly store is often located nearby, resulting in over 100 multiple retailers throughout the UK. On the other hand, E-agents are excellent for promoting holidays and can be accessed through the internet or TV, offering customers everything from flights to insurance.

With the increasing popularity of the internet as a means of holiday sales, Lunn Poly has closed down several retail agencies and instead invested in internet and teletext offerings. Both teletext holidays and flightline.co are examples of this trend.

UK-based e-agents offer the convenience of booking holidays from the comfort of your own home using the internet or teletext. Additionally, holiday hypermarkets allow customers to sample different holiday options, such as skiing, before making a booking.

Holiday hypermarket

View entire sample
Join StudyHippo to see entire essay

offer videos to simplify the process of promoting holiday packages to customers, much like how supermarkets provide information about products. These videos showcase holidays and their associated activities. Additionally, holiday hypermarkets use vertical and horizontal integration, which involves acquiring another organization at a higher level.

Horizontal integration occurs when an organization acquires another organization at the same level of industry. This typically involves taking over competitors, as seen in the example of a high street travel agent purchasing all other travel agencies in the area they compete with. The diagram below exemplifies this concept, showing My Travel Airways (Airline), Airtours (Tour operator), and Going Places (Travel agents) working together under the same group to keep profits within. In contrast, vertical integration occurs when an organization acquires another organization that is either upstream or downstream in the supply chain.

Travel agencies prioritize selling holidays from their own brochures because it brings in more profit compared to selling holidays from other brochures. This is because selling holidays from a different brochure means that the operator earns the money instead of the travel agent, resulting in lost money and business. However, travel agents also sell brochures and holidays from other organizations as they receive commission if they successfully sell them. The brochures are conveniently displayed on racks near the entrance of the retail store to provide customers with easy access.
Preferred operator policies.

When customers enter a travel agent's retail store, the staff prefer to sell their own tour operator's package deals and services since this generates a higher commission. If their own brochures are unsuccessful, they will then introduce others, typically prioritizing those which offer a higher commission. World Choice is

a trade association consisting of travel agencies that aim to find the best holiday deals, locations, and pricing.

Founded in 1976, World Choice currently boasts over 600 travel agent members, making it the largest high street travel group in the UK. Its success is comparable to that of Advantage Travel Centres, which are essentially business-focused counterparts to trade associations.

Established 25 years ago to obtain discounted corporate rates for business travel, this program initiated a competitive edge among retail travel companies. Due to similar products being offered by various organizations, companies strive to improve their product appeal in order to surpass their rivals.

Organisations often use promotions and deals, such as 'two full paying adults a child goes half price' or 'book now save 30% on your holiday', to attract customers and make their products or services seem more affordable. Offering discounts or free items is a powerful way to grab customers' attention and encourage them to make a purchase. Thomas Cook goes even further by offering to match or beat competitors' prices, demonstrating their commitment to customer satisfaction and loyalty. Providing staff training and excellent customer service in retail settings are also effective ways of boosting business.

Retail organisations have varying standards for customer service, but all share the objective of providing the best possible experience for their customers. Because the customer is the source of revenue for the organisation, ensuring their total satisfaction is critical. Methods for training staff may differ, with some providing on-site training and others sending employees to external programs. Regardless, every organisation seeks to maximize its staff's customer service skills in order to remain competitive. Providing sales incentives is one

way to further motivate staff to perform at their best.

Using incentives is an effective method for motivating employees to attain higher organisational objectives, ultimately leading to improved business performance. A pleasant atmosphere is easily perceptible to customers and can significantly influence their impressions and perspectives when visiting a retail establishment. Thus, it is crucial for organisations to ensure their shops or agencies possess an appealing and modern ambiance.

Offering a diverse range of products is an effective way to gain a competitive edge. If a company has a product that others do not, customers will choose them over the competition. For instance, having a bureau de change sets some retail organizations apart from others. By delivering excellent customer service, organizations maintain customer satisfaction and gain repeat business as well as new customers through word-of-mouth. This enhanced reputation makes them more appealing to customers than competing entities, resulting in increased sales and profits. Both the front (customer service area) and back office (administration area) are important in this pursuit.

Within the shop, there is an area designated for customer service, known as the front. This section offers a peaceful atmosphere for customers as it is where they peruse and select their holiday packages. A calm environment benefits the customer as it promotes relaxation, thereby facilitating conversation with staff. The customer service area is equipped with desks, chairs, leaflets, and posters which customers can observe and utilize when they require assistance from attending personnel. In contrast, the back office maintains private and confidential information about clients including personal details, flight particulars, and other pertinent customer data.

The back office serves as the administration area to maintain customer privacy.

It is intended for administrative functions such as files, fax machines, photocopiers, and other purposes. The selling of travel services includes specific procedures and documentation, including the reading of brochure booking conditions and the signing of a customer booking form.

When booking a holiday, a receipt is provided for each payment including the deposit and all subsequent payments. The client's details are reviewed and their nationality is verified to determine if a visa is necessary based on the passport they hold. The holiday destination may require health checks or vaccinations. Additionally, holiday insurance coverage and E111 information will be provided. Payment due dates for customers will be communicated upon booking to secure holiday space.

Once the deposit is made, clients are left with the outstanding balance. A receipt will be issued to show the payment due date for the last installment. The holiday tickets will only be issued once payment for the holiday has been cleared in full. The client's file will be updated accordingly and the client will be contacted for ticket collection.

The privacy and confidentiality of all files are strictly maintained between the client and staff, with no exchange of information to any other organization. Files are disposed of through shredding once they are no longer needed. Additionally, brochure handling involves storing them in a tidy manner out of the customer's way for easy selection when displaying them.

The presence of outdated brochures on display is not acceptable as it could deceive customers and contravene the trade description act. Often, selected brochures are provided with accompanying details by the organization and placed at eye level to draw customer attention. Additionally, flights are promoted in the

window with a board showcasing London departure flights and their costs.

Displayed in the storefront is a promotion for foreign exchange, with the best rates being advertised for both buying and selling. The use of a chart allows for easy comparison of rates, providing transparency for customers. Additionally, the window showcases late deals on European flights, with affordable prices emphasized to capture customer attention. The display also includes small signs with details on various holiday destinations, pricing, hotels, and airports.

The window displays a sign providing information on affordable holidays for the upcoming months. Advertisements are placed on the window's left side and are categorized into three groups: villas, cruises, and worldwide destinations, as well as long weekends for trips to Paris, London, or theater breaks. Tour operators have their preferred agency affiliations; while some choose the operator offering higher commissions, others opt for the one with the best rates. Some shops have their own operators, so they remain loyal to their own companies.

Get an explanation on any task
Get unstuck with the help of our AI assistant in seconds
New