Custom Travel Agency Company Business - Example

Business plan Name Date Course Business Plan: Custom Travel Agency Company Business set up Plan Introduction I intend to set up a travel agency business that will be unique and competitive. The services that will be offered will be similar to that of the other competitors but it will be innovative and unique in order to give the customers unforgettable experience. Adventure holiday will be the initial focus of the business. According to my research, most of the people do not benefit receive quality services when it comes to both the planned and unplanned trips in Brighton. The idea for staring the business is based on complaints and lack of customer satisfaction. The customer company will therefore play an important role in enhancing the experience of the customers during their trips. Brighton which is a seaside city is always full of tourists and the company will ensure that it meets their demands. The city will therefore provide the business with a unique location which will increase o the competitiveness of the business. However, the business expects a lot of competitions since there are several competitors operating in the region. However, the uniqueness of the services of the company will be the main selling point of the company. Uniqueness and innovative services plays an important role in ensuring that a business is able to operate in a competitive environment. The paper is thus discusses a business plan for the company. Service type The selling point of the company will be customer based services to the clients which the competitors do not have. All the needs of the customers will be fulfilled by the company. If a customer intend to travel to Amazon, all their requirements will be considered and fulfilled before, during and after the trip. The company will target the customers who are between the ages of 20 and 40 as this group is more active when it comes to adventures and travelling. The company does not expect the elderly or the young as they do not participate in adventures. The services of the company will be offered at different prices ranging from low to high. Aims and objectives The aims and objectives of the business will be for the purpose of ensuring that the business meets the demands of the customers and also ensure profitability. The following will be the aim and objectives of the business: Building the brand of the company at Brighton for the purpose of enhancing the reputation of the company. Expand the business after it becomes famous and profitable. To become the leading travel agency in Brighton. Competitor analysis The competitor analysis will be carried out in order to determine the competitors in the market. The information regarding the competitors in the market will be used for the purposes of developing the business strategies that will ensure that the company is also competitive. The competitor analysis will also be used for the purposes of developing the business style that is unique from that of the competitors in the market. The unique style of the business will play a vital role in attracting the customers to the company. The weaknesses of the competitors will also be obtained through the analysis which the business will capitalize on. Aus Travel and The experience holidays are the two companies that are the two main competitors in the region. The Experience Holidays is located in Sussex and it has been able to compete in the market due to some of its innovative services. The company has a range of destinations that the customers can choose from. On the other hand, it also has a website that is used for providing information to the company. The company is competitive and it can be considered healthy as it has all the customer information on its website. Aus Travel is part of TUI professional group which is the largest travel company in Europe. The good brand image and success of the company contributes to its success. It also offers a variety of travel services which is useful in enhancing its competitiveness. The company is thus a strong competitor in the market. Marketing mix Price Price is the amount that will be paid for the services. This means that price is a very important part of the marketing mix and it has to be right. The company will therefore be careful when determining the prices for the services. Aus Travel offers affordable prices to the customers for the services offered. The experience holidays on the other hand offers its services at a much lower price. This means that the company has to ensure that its prices are not high. This is considering that most of the customers are sensitive about the prices for the services offered. In theory, prices are fixed at the point where the supply and demand for a product are equal. But in practice, there are many ways that firms can use to decide at what price to sell their products. Both competitors usually set their pricing according to the season and the prevailing economic condition. This is due to the constant changes in the economic conditions. The company also intends to use the same criteria. However, it will also increase its prices in some of the seasons in order to ensure that it increases its profitability. The company will also charge the customers depending on the length of the trip and the services that are required by the company. Promotion Promotion is a marketing mix of methods that will be used by the company to inform the public about its services and to persuade them to use it in order to increase the profit as well as gain the trust of the costumers. Aus Travel usually carries out intensive promotion of its services. The main promotion method that is used by the company is advertisements. The advertisements are usually run on the website of the company and also the media. This has played an important role in ensuring that the customers are aware of the products of the company. The experience holidays is also involved in intensive advertisements as a means of promoting its services. The website of the company is usually used in most cases. This is considering that the company has already built a market share in the region. The company will also use the promotion for the purpose of ensuring that it attracts more customers. However, the company will have to use cost effective methods during the initial period. The two types of promotion that will be used in the business will be advertising direct to consumer and advertisement on media. The first type is about costumer getting message right from us and it is for a short term use. The promotions will play an important role in ensuring that the company is able to create awareness in the market regarding its services. Product The company will not be offering any tangible products but will instead be offering intangible products in the form of a service. The company will mainly be offering transport trips to the customers from one destination to the other. This is also considering that the services are mainly seasonal as the company may experience a high number of customers at a particular time and a low number in other seasons. Aus Travel has put in place measures to enhance its services in order to attract and retain more customers. The customers are usually offered incentives in some of the instances and hence impacting positively on its operations. The holiday experience on the other hand relies on the concepts of continuous improvements for the purposes of ensuring that its services satisfy the customers. In order to improve on its services, the company will en sure that it offers incentives to the customers traveling to different destinations. The company will also develop a feedback mechanism that will ensure that the company is able to improve its services based on the feedbacks. This will play an important role in terms of increasing the competitiveness of the company. Place Place is about getting the product to the customer and where a product is finally sold to the consumer. It is also about physically getting the product to the customer. Consumers expect to get the services they want at the right place, and in the right amount. As place is also a part of the marketing mix, it is very important that company must find the most cost effective way to get products and services to the consumer. Place is also an important factor that could increase the amount of customers that visit the business premise. The Experience Holidays is located in Sussex while Aus Travel is located within the coastal region. The location of the competitors is strategic and it plays an important role in ensuring that it attracts more customers. I have chosen to set my shop in North Street which is one of the busiest streets in Brighton. Furthermore, as the qualities of the services are high, this place reflects the impression of my shop. On the other hand, not many same style of business set up around, so there is less competition which make the business take more advantage. The location of the company will thus enable it to compete effectively in the region. PEST analysis Political The political environment in the country is stable which provides a conducive environment for doing business (Ketchen, 2012). The country is democratic and it has several political parties which compete against each other. The government is always keen on ensuring that the political environment supports businesses. On the other hand, the laws are always applied incase of a political change. The company will therefore operate freely without political interference. The stable political environment also favors the growth and development of the company. The chances of political unrest are minimal in the country and hence providing an opportunity for the company to invest on long term plans. Economic The economy of the company is currently stable which supports the growth and development of the businesses. However fluctuations are at time common which may impact negatively on the growth and development of businesses, an example being the global financial crisis of 2008 which had a negative impact on the economy. The economic change that may take place in the country includes the changes in wages, fluctuations and interest rates. Theses changes have a direct impact in the businesses and it may result to losses in some instances. Tourism plays an important role in the economy of the country. This will be important for the company as it requires both the domestic and international tourists. In Brighton, tourism contributes to £380 million to the economy and it employs about 20,000 people (Weis, 2013). In terms of labor, the company will be able to find qualified personnel due to the availability of labor. Social Brighton is a multicultural society with people from different lifestyle (Stirling, 2013). The social issues are important to a business in terms of ensuring that it is able to offer services that are acceptable to the entire population. Christianity is the main religion although other religions are also practiced in the region due to the freedom of worship. The employees of the company will also be required to have social skills as most of the clients in the region are social and like interacting with people. It is also important for the company to ensure that it dose not discriminate anyone due to the lifestyle as this attracts a legal penalty which may impact negatively on the reputation of the company. Technology The levels of technological use in the country are quite high. This is also similar for Brighton and most of the people in the industry rely on technology. The company must therefore embrace the use of technology in its operations. The region also has a high number of experts in the technological field and hence the need for the company to develop an information technology infrastructure. The company should also ensure that it has put in place technological measures that will ensure that the communication with the customers is enhanced. The company should also ensure that it has put in place technological tools to monitor its operations. SWOT analysis Strength The customers in the region are in need of the customer services which will be offered by the company. This is a major strength for the company as it will have an increased customer base. The company will also embrace the latest technology which is commonly among the customers. This will play an important role in enhancing the customer experience. On the other hand, the company has the potential of building its brand image and reputation and hence competing effectively in the market. The services that are offered by the company are innovative and effective which will play an important role in ensuring that it is able to attract more customers. Opportunities The company has a lot of opportunities in the market due to it uniqueness and innovative products. One of the opportunities available to the company is the growth opportunities. The uniqueness of the company offers it an opportunity to offer its services to other regions. The opportunity for the company to be a market leader in Brighton is also available due to the uniqueness and innovativeness of its services. It is also important to note that the company has an opportunity to form a partnership with the other companies for the purpose of ensuring that it gains competitive advantage. Partnership will also play an important role in ensuring that the company is able to expand its market share. Threats The company will also face some threats that may impact negatively on its growth and development. Competition is the main threat that the company will face. The experience holidays and Aus travel are quite competitive in the market. The two companies occupy a large market share which it has established over the years. This may take time for the company to outcompete the two companies. Since the company is still new, it will requires a lot of financial investment. This is a threat to the company as it currently lacks the financial strength to compete the two leading companies. The companies will therefore need strategies that will ensure that it is able to compete effectively. Market Research Primary and secondary research is the main types of research for business use. Primary research is the first-hand result directly from the public; Examples of primary research are observation surveys and questionnaires. The company will be involved in the primary research for the purpose of obtaining the information regarding the needs of the customers. This will be useful during the decision making and development of strategies. Conversely, secondary research involves looking for data from existing published information. Examples of secondary research are the press reports, data from the internet and books. The company will always search for market research data from the secondary sources through the use of travel journals and the internet. The information will be useful for the company in terms of ensuring that it is competitive in the market. The primary research will play an essential role in determining how the people think about the custom services of the company. However, primary research can be time consuming, and people might not want to corporative with it which can make the research inaccurate. The market research will be conducted in 3 different areas in Brighton which are the train station, the sea side and in North Street. The price tag is one of the likely problems for the company according to initial secondary research. Conclusion In conclusion, it is evident that there are some elements in my business that need to be considered in order to ensure that the business survives and gain more profit. Setting up the right objectives is important at the start of the business, as it helps in planning what to do in the short term or long term. It is also evident that if a business has set the wrong objectives at the start, it is likely to end up in failures and everything done before such as research and analysis will become pointless as the objectives won’t be achieved. The main objective of the business is to gain profit by giving a good impression to consumers. The market research plays an important role when starting a business. However, it is also important to ensure that the company uses the right information as the wrong information may lead to the failure of the business. It is also evident that the travel industry is quite competitive. The SWOT and PEST analysis plays an important role in determining the level of competitiveness of the industry. The marketing mix analysis is also important for a business in terms of determining the strategies that should be taken by the company in order to deal with the competitors. It is also evident that the company will have to deal with the two main competitors in the Brighton which will require good strategies. References Ketchen, D. J. (2012). Competitor analysis and foothold moves. Academy of Management Journal, 55(1), 93-110. Stirling, A. (2013). Sustaining trajectories towards sustainability: dynamics and diversity in UK communal growing activities. Global Environmental Change, 23(5), 838-846. Weis, H. (2013). “Brighton possesses all the requisites... for either amusement or dissipation": Frivolity in Jane Austen's Pride and Prejudice. Read More