IMC 22414 Question paper

MARKETING TO LEISURE TRAVELERS Unit 8

WHO ARE LEISURE TRAVELERS?.

Those who Travel for pleasure, as opposed to business travel are called as leisure travellers. Often used to indicate a trip of seven days or longer, regardless of its purpose

The leisure travellers market can be divided into two segments, they are,

1 Individual Traveller

2. Group Traveller

INDIVIDUAL LEISURE TRAVELERS

It can be define as non-business guests who are traveling independently rather than with a group on prearranged tour. They can be classified in to following group

-  Families

-  Seniors

-  Baby boomers

-  Generation x

-  Others

FAMILIES

Married couples, couples with children, single parents and grand parents and other family members traveling with children comes under this category. They expect following characteristics from the hotel, such as

·         Rooms with more space

·         Reasonable rates or no rates for children

·         Low cost recreational facilities

·         Rooms with kitchen facilities

·         Kiddies menus

·         Colourful interior rooms

·         In house doctors

·         Babysitting facilities

·         All-inclusive packages

SENIORS

An elderly person above 55 years old comes under this. There four types of seniors by age limit, they are

·         Pre-retirement (50 years -65 years)

·         Young old (65 years -75 years)

·         Old- old (75 years -85 years)

·         85 plus (above 85 years)

What do they expect from a hotel?

·         Quality service

·         Clean and comfortable room

·         Clean and comfortable lounge areas and public areas

·         Rooms with two separate beds

·         High safety and security measures

·         Easy access rooms closer to elevators

·         Elderly care facilities

·         Large well-lit rooms

·         Non slippery floors

How to reach the senior market?

·         Introducing religious tour packages

·         Conducting promotion in various social organization

·         Advertise to older travelers in travel guides

·         Advertise in elders magazines

·         Advertise in news papers

BABY BOOMERS

Baby boomers market consists of the 77 milion people born in the United States between 1946 and 1964 and covers a wide spectrum. Baby boomers include single adults, two income couples without children, couple with children. This is segment wealthier and healthier than seniors.

What do they expect from a hotel?

·         Willing to buy god quality products

·         More recreation facilities

·         variety of foods and beverages

·         Fresh and healthy foods

  

How to reach the baby boomers market?

·         Advertising in Newspapers and Magazines

·         Combination of radio spots and outdoor advertising

GENERATION X

People those who born in between 1965 and 1976.this segment has become a

variable

economic force.

What do they expect from a hotel?

·         Exciting experience

·         Latest entertainment

·         More seafood and vegetarian dishes

·         Prefer for adventure activities

·         Av advertising in computer, travel ,environment magazines

·         Through travel agents

OTHERS

Other individual leisure travellers include businesses travellers who are taking a leisure trip either before or after doing business, affluent leisure travellers, active leisure travellers, and single leisure travellers who may be traveling alone or with a group of other singles.

Business leisure travellers

People those who travel for both purpose will comes under this

• Affluent leisure travellers

This segment consists with those who have wealth and those who have mindset of affluence. Each different person has different needs and interests.

• Active leisure travellers

Active leisure travellers are actively participating with different type of activities in order to spend their leisure time. They really concern such activities like sport, adventure etc.

Single leisure travellers

Here only one member is representing alone for his holiday. Many single leisure travellers look for personal enrichment while on vacatio

GROUP LEISURE TRAVELERS

People those who travel with formulated groups comes under this segmented. Services in group tour packages range from transportation, accommodation, and baggage handling to more extensive arrangements such as meals ,sight seeing ,entertainment, and admission to attractions.

Tour intermediaries

Travel professionals who arrange tours are known as tour intermediaries or travel intermediaries. They include tour brokers, tour wholesalers, and retail travel agents.

Tour brokers

They are also known as tour operators. They do bulk purchasing of hotel products and and other transportation products. Many tour operators operate their own travel agencies through which tours are sold. Most of the times they own charter flights also.

Tour wholesalers

Like tour brokers put tour packages together, but typically work with airlines rather than ground transportation. Most of tour wholesalers contact with hotels, air lines and other travel and lodging suppliers.

TYPES OF TOUR

There are three types of tours commonly taken by group leisure travelers .they are

1.   Motor coach tours

2.   Airline tours

3.   Property package tours

1.   Motor coach tours

Motor coach tours fall in to two general categories. They are,

Over night or Non destination tours

They only one night at a destination expect following this from the hotel side

·   Quick service in baggage handling and meals

·   Wide verity of food choices

·   Fair room service operation
       Express check-outs

               
Destination tours
These guests will be staying a minimum of two nights at a place. They are mainly interest on area sight seen and attraction.

MARKETING TO BUSINESS TRAVELLERS UNIT 7

 

Who are the business travellers?

Business travel, or else known as corporate travel, is a term used to describe travel that is carried out on behalf of a business, or for the purposes of doing business with someone else. The term applies regardless of how frequent the travel is, or how far away from the day-to-day workplace it takes the traveller(s).

Some examples of common types of business travel include travelling to a different branch of the same company, travelling to a different location to meet suppliers or business partners, or travelling for a conference or business event. By most definitions, it involves travel away from the workplace that requires at least one overnight stay

People those who travel business purpose will come under this category. Ex:

company chairmen, CEO, Top Management,

Business travellers concern following points when selecting a hotel

·         Convenient location

·         Clean, comfortable rooms

·         Room rates and amenities

·         Recommendations of friends and colleagues

·         Previous experience with the property

·         Facilities

·         Frequent traveller programs

This business travel market has been receiving an increased focus from many in the travel industry, partly business travellers often spend more money on their travels, especially when their costs are covered by their employer. However, more importantly, business travel is growing, thanks to factors like globalisation and the availability of flights.

Research compiled by Finances Online helps to highlight the extent of growth. For example, a study from the Global Business Travel Association shows that between 2016 and 2018, global business travel expenditure grew by more than five percent. Meanwhile, a Deloitte analysis estimates further growth upcoming years.

The expansion of business travel and the increase in business travellers requires a response from the hotel industry. Hotels need to communicate with business travellers in different ways than they do with pure leisure travellers, appeal to them with different services and give careful consideration to what they need, want and expect

Frequent Business Travelers

Business travellers who come on regularly basis to a selected hotel will know as frequent business travellers. The following factors are accompanied by the percentage s of frequent business travellers who found them important.

·         Restaurant on premises

·         Quality service

·         Room appointments

·         Sport and recreation facilities

·         Ambience

·         Entertainment on premises

·         Prior knowledge

·         Safety and security

There are three types of frequent travellers

1.       No Frill Travelers

No frill travellers, is made up largely of middle to upper management level positions.

They expect clean, comfortable, room at a fair price but their spending power is above the cost –plus travellers. They are more interest on such facilities like swimming pool, saunas, tennis court, etc.

2.       Cost plus Travelers

This is the next largest group of frequent business travellers. These travellers are extremely cost conscious and seeking for low room rates. Cost plus travellers are more interested on restaurant opening hours, room amenities and lounges of the hotel etc.

    3 .   Extroverted- Affluent Travelers

They are typically young and affluent, and either professional ,top level executives or self-employed they required following characteristics in the hotel such as fashionable properties, high quality amenities, recreational facilities, live entertainment, finest deco in eating outlets etc…

 4 . Women Business Travellers

They are more concern about following points when they book a hotel

·         Security

·         Comfort and service

·         Convenience

·         Facilities

IDENTIFYING NEEDS OF BUISNESS TRVELERS

They have high spending power and expect personalized service from hotel side.

Following services are required to attract business clients.

· Business floors

· Business centres

· Health and fitness centre

· High Tec and other special amenities

· In room refreshment centres

·  Frequent traveller program (introducing guest privilege cards, special discounts on room rates, complimentary finding dinner, VIP treatments)

Latest Business Travel Trends

1. Bleisure Travel

Bleisure travel is referring to travel that combines both business and leisure elements. It is often primarily motivated by business, but the business traveller finds time on their trip to engage in leisure activities, or extends the duration of their business trip, in order to see the sights and participate in leisure activities.

Crucially, research shows that it is growing. Indeed, according to Expedia, more than 40 percent of trips are extended for leisure purposes and this represents a key demographic for hotels to appeal to.

This substantial business traveller demographic can potentially be convinced to extend their stay in your hotel with the right offering. Aside from granting easy access to nearby attractions, hotels need to think about the services and amenities they can provide, so that business travellers have opportunities to enjoy themselves.

2. Personalisation

The airline industry has been highly effective at capitalising on business travellers’ need for personalisation, realising that these travellers can become frequent, loyal and high-value customers if they are treated as individuals. This desire for personalisation has also extended to other areas of the travel industry, including hotels.

In truth, the personalisation options hotels can offer are almost endless, especially given business travellers’ tendency to travel to the same places frequently. This allows hotels to use data from past trips to make recommendations, predictions or adjustments, based on an individual’s habits, the services they have used, their payment methods, etc.

3. Sharing Economy

The sharing economy continues to disrupt the entire travel industry, but can hold particular appeal for a business traveller, due to the ability to save money and share experiences with people travelling in similar circumstances. Moreover, companies are increasingly concerned about their business travel being environmentally friendly.

Business travellers are taking advantage of the sharing economy in a number of different ways, including ride-sharing, which can reduce transport costs, and home sharing, which can offer both financial and social benefits, when compared to more traditional options. Hotels are responding to this, offering room share options and ride-share access.

Tips to Attract More Business travellers

Targeting business travellers is a key priority for many hotels. Below, you will find seven great tips for attracting them.

1. Connect Your Hotel to All Major GDS Systems

Increasingly, businesses are outsourcing travel management responsibilities to professional travel management companies or corporate travel agents. This often means booking accommodation for business travellers, and agents usually turn to global distribution systems to find the best hotels and the best room rates for a destination.

For this reason, one of the main ways hotels can ensure they attract more business travellers is by connecting with the main GDS systems. The easier it is for corporate travel agents to find your hotel and check availability, the more chance you have of them choosing your hotel as the solution to their business travel needs.

2. Create a Loyalty Programme

Another useful tip when looking to attract more business travellers is to focus on both new and previous guests. Keep in mind that many business travellers will travel to your area fairly frequently. When it comes to generating return business from these business travellers, a loyalty programme can go a long way.

The specifics of your loyalty programme are up to you, but it is generally expected that loyalty programmes reward repeat business with discounts, complimentary upgrades, or even free nights in your hotel. As a bonus, having guests sign up to loyalty programme makes it easier to communicate with them in future and gather valuable data.

3. The Right Communication for The Right Target Group

A common mistake in the hotel industry is to make all communication with guests or potential guests generic, or aiming communication towards leisure customers. However, one of the best ways to attract business travellers to your hotel is to use the right communication for the right target group.

Whether it is in your marketing efforts, pre-arrival emails, social media interactions or elsewhere, communicate with business travellers in ways that are meaningful to them.. Promote your Wi-Fi, or the views of previous corporate travel guests. Enquire about restaurant reservations or airport transfers.

4. Go Local

When people think of business travellers, they often think of business people travelling from far away. Yet, in reality, your hotel can benefit greatly from focusing on local businesses too. After all, many of these companies will require local meeting facilities or conference rooms, and hotels are an ideal place for them to look.

Some local businesses may also require accommodation for international customers, business partners or employees who travel in. There are a number of ways to make a connection with local businesses, including arranging business lunches or dinners, arranging special events for local entrepreneurs and promoting local businesses on your website.

5. Analyse Your Corporate Travellers

Finally, those in the modern hotel industry have access to vast amounts of customer data, making it easier than ever to get a firm grasp on exactly who your customers are, what their motivations are, what they need, what they like and what they do not like. This information needs to be used to analyse your existing corporate travellers.

6. Offer Corporate Amenities

Another important part of hotel management is the amenities you offer. For hotels that are looking to benefit from business travel, providing amenities that will appeal to these customers is vital. Some of the most obvious examples here would include private meeting areas and easy access to laptop or phone charging ports.

Corporate travellers are likely to be busy and may need to fit things in when they can, so any 24-hour services or facilities you can offer will appeal. Try to impress them with the speed of your internet, the quality of your Wi-Fi, work spaces, express check-ins and check-outs, and on-site food and drinks.