Tourism is travel for recreational, leisure as well as the purpose for business (Weiss and Dupont, 2016). Tourism is one of the biggest industries in the UK. It is predicted that tourism in the UK could grow to $200 billion within the next decades which is 60% by 2020 (Sirgy and Uysal, 2016). In the tourism industry, EasyJet plays a prominent role to attract maximum customers. It is one of the leading companies in the aviation industry. In the changing environment, the company like EasyJet as well as other tourism agencies are greatly affected (Filimonau, Dickinson and Robbins, 2014)
In the following part, there will be a detailed discussion on the factor influencing the choice of traveling among passengers as well as the role of travel agencies as well as operators in the competitive world.
Part 1
Factors Influencing
There are certain factors, which greatly influence the decisions of passengers in traveling.
Price
Price plays a prominent role in decision making of the passenger for traveling. The minimum fare of airline helps the passengers to make a plan for traveling. The major reduction in the price of the tickets by the airlines is through a reduction in the cost of the operation. The low flier consumers, as well as medium fliers consumer, look into the fare very aggressively with the reason of the absence of brand preference as well as unawareness of service which are provided by the industry of airlines in the market (Hsu et. al.,2016)
Appeal
The appeal also influences the choice of traveling among consumers. The way of appealing to the airline industry can affect the demand of consumers. As most of the airlines, as well as traveling operator, provide various kind of services to their passengers which greatly influence the choice of traveling among the consumers.
Convenience
The convenience is also the major factor to influence the choice of passengers for traveling. The swift expansion of the internet has distorted the manner citizens search the information about the tourism service. The merchandise information, as well as proficiency or acquaintance, seems more influence the search actions of travelers. It makes the convenience for the passenger to search about the information of airlines as well the quality services provided by the airlines are also the great influencer of traveling for the passengers (Hyun and Han, 2015).
Prior experience
The prior experience of flight, as well as destination, created a great impact on the traveling of the passengers. If, the passengers have a prior bad experience of place as well as the flight would make them feel regret to take the same experience. In that place, if passengers have the great prior experience they would love to visit that place again or from that airline in which they have a great experience prior.
Purpose of trip
The main ingredient of influencing the preference of traveling among passengers is the purpose of the trip. If the trip of the passenger is related to business then it does not affect the choice of traveling, but if the purpose of the trip is to enjoy the leisure time then it greatly influences the traveling of the passenger due to the reason that these passengers have an option to travel or not as well as where to go. These questions greatly affect the demand for traveling among the passengers (Morris and Guerra, 2015).
Recommended Strategies for EasyJet
Location
They can expand their presence in the market of international. The USA is a vast market to expand the business, therefore; they can increase their international flights in the USA.
Low Fare
The tariff of EasyJet is quite near to the ground as contrast to additional competitive airlines but not as stumpy as a contrast to Ryanair. Thus, the business can try to reduce their operating cost, which helps in maintaining their low price in a competitive world (Lawton, 2017).
Brand Awareness and Strong Reputation
The company EasyJet can focus on making a strong reputation in a competitive environment. The brand awareness, as well as a strong reputation, helps the company to appeal the passengers in an effective manner by providing effective services to them.
Product Differentiation
The no weight restriction for cabbing baggage as well as flexible ticket scheme also can make the EasyJet deliver quality service to their services, which can help in improve the experience of passengers as well as made them influence to make a purpose for the trip (McLachlan, James, and Hampson, 2018).
Cost Leadership
The price leadership strategy pertains to maintain to accumulation manufacture of particular goods to lower their price tag. The mechanized of huge volume of products leads to a decrease in the overall cost of the product. In the recent scenario, it has been analyzed that low-cost fare, as well as the mid-range price of airlines, are appealing more to the customers
Differentiation
It is the process in which, the company needs to differentiate their product to enjoy a competitive advantage. It creates products that are being packaged as unique. The new changes in the aviation sector have distorted the need of the consumers.
Focus
The focus strategy cannot deal or effort by yourself; hence, it shall be teamed with price leadership or separation plan. The focus can be done on a niche market as well as can able to understand the dynamics of the market (Bertozzi, Ali, and Gul, 2017).
Recommended Strategy adopted by EasyJet
The strategy of Porte Generic is mostly using to enjoy the competitive advantage; it would help the company to compete in the competitive world. There are various kinds of business strategies that would help EasyJet to proactive competitive advantage. The company can adopt the strategy of differentiation to enjoy the competitive advantage. In the industry of airline, most of the companies have similar products as well as services, therefore; the little changes in their service would help in differentiating their product with other competitors. EasyJet can offer flexible as well as customized services to their customers.
The passenger would sense pleased if they are accessible services of their choice that would help in raising the level of happiness among customers. The company can provide the access of house bar area as well as spa to their upper-class passengers. They can even provide an option to book a limousine or motorcycles for airport transfer, which would help them to differentiate their products or services from others (Flouris, T.G., and Oswald, 2016).
Advantages
Disadvantages
There are diverse kinds of travel around operator, which are explained in the below points:
Outbound Operators
Operator sales package of the travel around to a person or cluster of citizens of their own nation to another countryside for a precise phase. They provide the facility of accommodation, transportation, as well as local sightseeing with other services in the tour package.
Inbound Tour Operator
Those operators who make available local support for tour incoming in their nation or town is recognized as inbound tours. These companies provide the service of pickup or delivery from or to the airport, arrange activities, attend all the details of the stay as well as hire a local guide for them (Giaoutzi, 2017).
Domestic Tour Operator
The operator of domestic tour operates within the boundary of home country as well as served the diverse need of individual as well as group travelers. The operator can offer the tour of the national park to their customers.
Direct Sell Operators
Theses operators direct sell their packages to the customers rather than to sell their products to tour agent because this can offer great value. Such operators will provide the package on cheaper rates to the customers.
Specialist operators
The expert operator provides services to the place souk that has attention in a particular environmental area or a particular type of movement.
Mass Market operators
Mass-market tour operator purchases the services in huge amount from the suppliers then cater them to their customers in low price the other in the market (Mowforth and Munt, 2015).
Industry structure
Business Structure
The structure of the business is divided into six components of sectors such as:
Tourist Attraction- the attraction depends on the location visited by the tourist
Transport- to reach out as well as arrive at the destination required transportation. The transportation could be through train, car or flight.
Accommodation- it is available when the tourist needs to stay more than one day while visiting the destination. It could be a hotel, guesthouse caravans.
Tour Operators- the travel around operator unite this mechanism into a put together, which fulfill the necessities of consumers and then refer to the journey manager.
Travel Agent- they earn a small commission for providing services as well as sold holiday broachers to the consumers.
Tourism and development- these are located all over the nation with ensuring so as to the potential guests learn of their position as well as all it has to present by wide advertisement and promotional job (Boniface, Cooper and Cooper, 2016).
Major as well as independent Operators
There is a number of tour operators, which provide a number of services as well as packages to their customers. By searching on the internet, it has been identified that there is a number of the organization in the UK, which provide special holiday packages as they are:
Market Share and product or services provided
The big players in the industry of Travel and tourism have occupied more than eighty percent of the market share of the tour operator. The Thomas accounts for twenty-eight percent of total market share while My travel Group has twenty-one percent of market share and First Choice has market share of seventeen percent of market share. The operators mainly provide products or services of accommodation, reservation, guided tours, as well as transport facilities to their customers (Eugenio-Martin and Inchausti-Sintes, 2016).
Legislation and role of trade bodies
ABTA- It is the most important travel friendship in the UK. The main purpose of this association is to assist their members to raise their industry sustainably as well as successfully. It also helps their customers that are traveling public which enhances the confidence of their customers.
AITO- the friendship of sovereign tour operators represents as an umbrella association that represent additional than 120 most excellent autonomous travel around operators in Britain. The members of AITO require delivering high quality of goods and services to their customers, which provide a high level of satisfaction among customers.
FTO- the FTO comprised the major UK tour operators and is used to continue to promote the practices as well as the philosophy of the FTO. It was established to bring changes as well as improvement in the areas, which affect overseas holidays. It also coordinates the activities of me as well as the operational activities of the outbound travel industry of UK.
EU Package Travel Directive- the rules of EU does not only covers pre-arrange package holidays but also self-customized packages, where the travelers select different elements from a single point of sale online or offline (de Jong and Varley, 2018).
Retail travel Environment and the role of retail agencies
The retail travel industry in the UK is much popular as well as well organized. Most of the people in the UK are working in this industry. The tourist from around the world, as well as visitors, comes to the UK to see its beauty as well as attractions. The board and immigration law is quite easy for short stay tourist as well as the traveler.
The major role of retail journey agencies is to provide travel products as well as services to the public in an effective manner (Abou-Shouk, Lim and Megicks, 2016).
Type of retail agencies
The various type of retail agencies are:
Independent- theses journey agency handle sole business that are not an element of any sequence as well as are frequently managed by their own such as Classic Travel as well as Abbots Travel
Multiple- these journey agency are the part of a nationwide sequence of retail outlet such as Thomas Cook and TUI
E-Agencies- these companies are specialized in promotion the holiday and other journey goods through online such as Icelolly.com as well as Lastminute.com
Holiday Hypermarkets- these agencies have large premises as well as provide every kind of services to their customers
Consortia- it is a collection of autonomous tour agencies, which are forming as the largest corporation beneath one name such as World Choice
Miniples- these agencies have a little figure of twigs as well as they are situated in a exacting area of the nation such as Dawson Sanderson (Diaz, Martin-Consuegra and Esteban, 2015)
Products and services
Information on travel and holiday- the travel agents provide free services to their customers who come to their stores as well as assist them with enquiring about a booking.
Booking Traditional Packages Holiday- they offer traditional package holiday product to their customers in which the packages are chosen from a brochure in which all the information are provided.
Ancillary Service- journey agent present ancillary services as additional products. They are trying to sale the extra products to comfort their customers by providing a worry-free journey, as well as they, get some more extra commission.
Transport service provides- the agent also provides transport service to their customers such as booking of flights, train, as well as a car for their customers.
Accommodation- travel agents provide service of accommodation to their clients who demand the mediator just to reserve room for them. The accommodation includes self –catering, hotels, guest house as well as camping sites (Law et al., 2015)
Relationships
Integrated- vertical and horizontal
The incorporation occur when the companies own or control a figure of connected big business enterprise.
Vertical Integration- it happens in the retail business when an organization control more than one level of the division sequence for the product as well as services, in arrange to increase a spirited benefit over the retail journey companies.
Horizontal Integration- when organizations own or control other business at the similar level of the division chain (Vellas, 2016).
Agency Agreements
The agency agreement are managed and conducted by the tour agent on behalf of their principal as well as these are severely forbidden by the human being agency contract, as they might be advertising diverse goods for the similar excursion operator but each product has done with agency contract (Chow, Lai, and Loi, 2015).
Preferred Agents
There are different preferred agents by travel agents, which attempt to sell their goods to their clients, for instance, Classic Travel in Loughton has three chosen agent such as Sandals, Kuoni as well as Club Med. These three have most of the reservation from classic travel so they have put characteristic walls in the retail store up to get additional clients (Kalbaska and Cantoni, 2018).
Conclusion
From the above, it can be summarised that sightseeing plays a prominent position in countries such as the UK. It has a huge market share with a number of visitors as well as traveling. The company EasyJet has greatly influenced the tourism industry as most of the passengers travel to visits number of places. Therefore, the tourism industry greatly affected the aviation industry like EasyJet. The traveling operators provide business to the tourism industry, which also covers the industry of aviation. Agents such as accommodation, transport facilities provide different offers as well as packages and so on to their customers. These services are controlled by legislation to enhance the confidence of the consumer. Therefore, the industry of tourism is growing at a fast pace in the UK
References
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