Tour Planning, Packaging and Pricing PDF

INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM Introduction to Travel and LESSON 1 Tourism in the Philippines Modern Travel Planning What is a T...

INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM Introduction to Travel and LESSON 1 Tourism in the Philippines Modern Travel Planning What is a Travel and Tourism Business? You can plan trips face-to-face or online. A network of companies working Many travelers now plan trips together to create great visitor themselves (FITs - Fully Independent experiences. Travelers) Includes hotels, restaurants, Online travel agents (OTAs) are transportation, and attractions. becoming popular. Tourism makes up 12.7% of Philippines’ economy. Tour Packages Key Tourism Services Combine transportation, hotels, and activities. Places to stay (hotels, resorts) Operators buy in bulk to save Food and drinks money. Ways to get around (planes, buses, Packages are sold directly or boats) through agencies.1 Travel planning help Shopping opportunities Activities Involved in Tour Operators Tourism Organizations Planning. This includes selecting components and activities to be Department of Tourism (DOT) - included in the tour package. leads the industry Contracting. It refers to negotiating Philippine Travel Agencies with principal suppliers the Association (PTAA) applicable rates, terms, and Hotel & Restaurant Association of conditions, beneficial to the the Philippines (HRAP) suppliers and tour operators. Philippine Tour Operators Costing. It refers to the computation Association (PHILTOA) of all the services and/or These groups work together to make components included in the tourism better. package tour. Quotation and Tariff. It is the Travel Agencies & Tour Operators combination of the cost and desired profit for the sale of the tour Travel agencies help plan your package. perfect trip. Reservations. It is an advance Tour operators create vacation request for services to be provided packages. in the future by the specified They work with hotels, suppliers. transportation, and attractions. Field Operations. It covers the actual implementation of the tour. Accounting. It is a process to determine the income from the sale  INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM of a tour package after deducting all the expenses incurred. Evaluation. It is an assessment conducted by the visitors on the implementation of the tour as well as the other tour components that will determine their level of satisfaction. Making the Tour Happen Running the actual tour Managing the money Getting feedback from visitors The Future of Tourism Technology is changing how we plan travel. Quality service remains important. Tourism creates jobs and helps our economy.  INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM Tour Packages and Core Components LESSON 2 Components in Tourism CORE COMPONENTS: TRAVEL Introduction to Tour Packages Air transportation between origin and destination A. Regular vs. Ad-Hoc Packages Includes outbound and return flights B. Core Components May include different classes of a. Travel service b. Ground Can involve multiple modes of C. Types of Tour Packages transport a. Independent Tour Packages CORE COMPONENTS: GROUND b. Inclusive Tour Packages c. Escorted Tour Packages Transfers between airports, hotels, d. Hosted Tour Packages and attractions e. Fully Inclusive Packages Accommodation arrangements D. Purpose-Based Classifications Sightseeing tours and activities E. Package Duration and Meals and entertainment options Destinations Shopping opportunities F. Accommodation Categories G. Meal Plans Types of Tour Packages H. Transportation Considerations I. Accommodation Pricing Factors INDEPENDENT TOUR PACKAGES J. Accommodation Selection Criteria K. Emerging Tourism Trends Arranged by travelers themselves L. Benefits of Package Tours (FITs or DITs) M. Future of Tour Packages Components booked separately Flexible scheduling and budgeting Maximum freedom for travelers Introduction to Tour Packages INCLUSIVE TOUR PACKAGES Tour packages combine multiple travel components into one Combines airfare and land pre-arranged product. arrangements Sold at all-inclusive prices and paid Includes transfers, accommodation, before the tour begins. and some meals Designed to provide worry-free Offers balance of structure and travel experiences. freedom Optional tours available Regular vs. Ad-Hoc Packages ESCORTED TOUR PACKAGES Regular packages: Pre-arranged, Includes professional tour escort standardized itineraries Perfect for first-time visitors Ad-hoc packages: Escort assists from origin to Customized/"tailor-fit" to client destination preferences Additional support and guidance Each serves different traveler needs provided. and preferences.  INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM HOSTED TOUR PACKAGES Meal Plans Local host at destination Full-board/American Plan (AP): All Assists with transfers and select meals activities Half-board/Modified American Less comprehensive than escorted Plan (MAР): Two meals tours Bed & Breakfast: Morning meal only Provides essential local support European Plan (EP): No meals included FULLY INCLUSIVE PACKAGES Includes all travel elements Transportation Considerations All meals and activities covered Professional escort or host Air: First, business, or economy class Additional perks and freebies Land: Motor coach or standard transport Purpose-Based Classifications Sea: Various cabin classes Recreation and leisure Accommodation Pricing Factors Education Business Property quality and location Religious Available facilities Medical Service level Visiting friends and relatives Target market Seasonal demand Package Duration and Destinations Special promotions Varies by number of days/nights Accommodation Selection Criteria Single or multiple destinations Property reputation Accommodation Categories Special features or events Length of stay 1. 5-star Deluxe (DLX) Group size 2. 4-star First Class (FST) Inclusivity of services 3. 3-star Standard (STD) 4. 2-star Economy (ECO) Emerging Tourism Trends 5. 1-star Budget (BUD) Farm tourism Adventure tourism Creative tourism Benefits of Package Tours Convenience of pre-arranged services Cost savings through bulk purchasing Professional planning and organization  INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM Stress-free travel experience Future of Tour Packages Increasing customization options Integration of technology Sustainable tourism practices  INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM Tour Itinerary Planning LESSON 3 Requirements Discussion notes: Itinerary before proceeding to costing, an itinerary should be made. on regular costing, the itinerary serves as a A chronological order of activities which guide. include the destination, travelling time, websites of tourism organizations will play a length of stay in the destination as well as key role in tour packaging. travel. secondary data can be used to analyze travel preferences. consider the number of four operators offering Preparing an Itinerary Requires tours to your dream destination Marketing Research "How will you innovate?" consider this question when making a tour package. 1. Size and type of the potential "how will you make your tour interesting? "(example: wearing costumes during a tour) market client profile: nationality, age, gender, marital 2. Competitor analysis ( number of status, what type of family they belong to. competitors, type of package tour destinations requested or proposed: the offered, their existing clients, points of interest that the travelers are location, business strategies, etc.) interested in visiting and the activities that can be done in the destination. 3. Availability of supplies and duration: refers to the length of stay in the resources required for the tour given destination product. category of accommodations: this is to 4. Existing market price for similar determine the type of accommodation and room occupancy requirement. products. meal plan: to determine the type of tour 5. Possible constraints (permit, license, package to be prepared. restrictions, taxes, etc.) the number of FOC is important for groups of 6. Seasonality of the product travelers as it affects the pricing of the product. Factors Involved in Formulating a Tour Package Client Profile Destinations requested or proposed Duration Category of accommodations Meal Plan Sightseeing or activities requested or suggested Mode and class of transportation Ancillary services Number of FOC (free of charge) Note: Clients’ satisfaction may be achieved by providing the right destination which should be selected using the right kind of tour, operated by the right tour company, for the right departure date, at the right place.  INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM LESSON 4 Flight Itinerary Planning Example of backtracking: Rules in Itinerary Planning 1. No crisscrossing 2. No backtracking (backtracking means considering the farthest destination to the nearest) 3. Less carriers used, the better Example of crisscrossing: Correct Itinerary: Correct Itinerary:  INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM Types of Air Journeys OPEN JAWS TRIP ONE-WAY TRIP A trip of a round trip or circle trip nature except it is interrupted by a A trip in a continuous direction from surface or non-air segment in the the origin to the final destination itinerary. without a return to the origin. Occurs when the passenger’s Example: Manila_Tokyo outward destination is different from the departure city for the return trip ROUND TRIP and the passenger departs from the A round trip (RT) is a travel entirely origin city and returns to a different by air from one point to another city. point and then returns to the original point. NONSTOP FLIGHT There are no surface sectors. Nonstop flights contain no It has two half RT fare components intermediate stops, the passengers where outbound is equal to the are carried through directly to their inbound fare excluding round the intended destination. world. Also, there is a single plane service Examples: because there is no change in flight Journey: RUH_AMM 433.17 number. AMM_RUH 433.17 The most desirable type of flight service. Discussion note: In a round trip journey, the outbound fare should be CONNECTING FLIGHT equal to the inbound fare. It is no longer a round trip if the airfares are not the same. Has one or more intermediate stops that require passengers to change CIRCLE TRIP aircraft and flight numbers. A single connection requires the A circle trip (for normal fares) is passenger to change planes once travel from a point and return at a connecting airport. thereto by a continuous, circuitous A double connection requires the air route, comprising two fare passenger to change planes twice components but which do not meet at two connecting airports. the conditions of the round trip Most connecting flight services are definition. single connections. Discussion note: ONLINE CONNECTION This is almost like a round trip but here, it comprises two fare components - when the outbound and A connection with a change of inbound airfares aren’t the same. aircraft and flight number within the same airline.  INTERNATIONAL AND DOMESTIC TOUR PLANNING, PACKAGING, AND PRICING TOUR 253 Prof. Regina Zuniga | Tue, 7:30 AM - 12:30 PM OFF-LINE CONNECTION A connection with a change of Discussion notes: aircraft and flight number between GVA - point of origin and final destination two different airlines. The arrows are the turnaround points. This is also called an interline Turnaround point - the farthest destination from where you will go back to your point of connection. origin. ○ In this case, the turnaround point is Less Carriers Used, The Better pointing to RIX. ○ It is also where you will start going back to your point of origin. GVA via STO to RIX (or GVA_RIX) - outbound sector RIX - outbound destination and inbound origin GVA - inbound destination/final destination A sector is a city pair. GVA_RIX - outbound sector RIX_GVA - inbound sector STO & VIE - intermediate points Intermediate points are the cities where the connecting flight will commence. BT - connecting flight from STO to RIX JK - return journey from RIX to VIE VO - connecting flight from VIE to GVA If you see an "X" before the city listed as an intermediate point, it means that a connection is allowed in that city, but a stopover is not. (Ex. X/STO) How do intermediate points and stopover differ? ○ Intermediate points - places where you can have the connecting flight. ○ Stopover - also an intermediate point, Anatomy of a Journey but this would mean that you could stay in that intermediate point for 24hrs. In this case, it means that while your client can have their connecting flight in STO, they can’t stay there for more than 24hrs, that’s why it has an X. If they go over 24hrs, there is already a need for them to get a transit visa. Milage system - the system used in the computation of the fare This is a round trip journey also because the outbound sector airfare is similar to the inbound sector airfare. GVA_STO, STO_RIX, RIX_VIE, VIE_GVA - sectors or city pairings. Trick: To determine the city pairings, count the number of cities and subtract one, or count the number of carriers involved. Note: Red texts indicates corrections. IATA AIRPORT/CITY CODES IATA Area 1 ACA Acapulco, Mexico MBJ Montego Bay, Jamaica ANC Anchorage, Alaska, USA MEX Mexico City, Mexico ASU Asuncion, Paraguay MGA Managua, Nicaragua ATL Atlanta, Georgia, USA MIA Miami, Florida, USA AUA Aruba MKC Kansas City, Missouri, USA BAQ Baranquilla, Colombia MKE Milwaukee, Wisconsin, USA BEL Belem, Brazil MSP Minneapolis, Minnesota, USA BGI Barbados MSY New Orleans, Louisiana, USA BOG Bogota, Columbia MTY Monterrey, Mexico BON Bonaire, Netherlands Antilles MVD Montevideo, Uruguay BOS Boston, Massachusetts, USA NYC New York City, New York, USA BSB Brasilla, Brazil OAK Oakland, California, USA BUE Buenos Aires, Argentina ORF Norfolk, Virginia, USA BUF Buffalo, New York, USA ORL Orlando, Florida, USA BWI Baltimore, Maryland, USA PAP Port Au Prince, Haiti BZE Belize City, Belize PBM Paramaribo, Suriname CAY Cayenne, French Guiana PDX Portland, Oregon, USA CCS Caracas, Venezuela PFN Panama City, Florida, USA CHI Chicago, Illinois, USA PHL Philadelphia, Pennsylvania, USA CLE Cleveland, Ohio, USA PIT Pittsburgh, Pennsylvania, USA CMH Columbus, Ohio, USA PTY Panama City, Panama COR Cordoba, Argentina RIC Richmond, Virginia, USA CUR Curacao, Netherlands Antilles RIO Rio de Janeiro, Brazil CVG Cincinnati, Ohio, USA SAC Sacramento, California, USA CYR Colonia, Uruguay SAL San Salvador, El Salvador DAL Dallas, Texas, USA SAN San Diego, California, USA DEN Denver, Colorado, USA SAO Sao Paulo, Brazil DSM Des Moines, Iowa, USA SCL Santiago, Chile DTT Detroit, Michigan, USA SDQ Santo Domingo, Dominican Republic ESM Esmeraldas, Ecuador SEA Seattle, Washington, USA FAI Fairbanks, Alaska, USA SFO San Francisco, California, USA FSP St. Pierre, St. Pierre & Miquelon SJO San Jose, Costa Rica GCM Grand Cayman, Cayman Island SJU San Juan, Puerto Rico GDL Guadalajara, Mexico SLC Salt Lake City, Utah, USA GEG Spokane, Washington, USA STL St. Louis, Missouri, USA GJA Guanaja, Honduras TGU Tegucigalpa, Honduras GUA Guatemala City, Guatemala TPA Tampa, Flrida, USA HAV Havana, Cuba UIO Quito, Ecuador HNL Honolulu, Hawaii, USA WAS Washington, District of Columbia, USA HOU Houston, Texas, USA YEA Edmonton, Alberta, Canada IND Indianapolis, Indiana, USA YHZ Halifax, Nova Scotia, Canada KIN Kingston, Jamaica YMQ Montreal, Quebec, Canada LAS Las Vegas, Nevada, USA YOW Ottawa, Ontario, Canada LAX Los Angeles, California, USA YQX Gander, New Foundland, Canada LIM Lima, Peru YTO Toronto, Ontario, Canada LIT Little Rock, Arkansas, USA YVR Vancouver, British Columbia, Canada LPB La Paz, Bolivia YWG Winnipeg, Manitoba, Canada MAR Maracaibo, Venezuela YYC Calgary, Alberta, Canada IATA Area 2 (Europe) ABZ Aberdeen, U.K. LUX Luxembourg ALG Algiers, Algeria LXS Lemnos, Greece AMS Amsterdam, Netherlands LYS Lyon, France ANK Ankara, Turkey MAD Madrid, Spain ATH Athens, Greece MAN Manchester, U.K. BCN Barcelona, Spain MIL Milan, Italy BEG Belgrade, Yugoslavia MOW Moscow, Russian Federation BER Berlin, Germany MRS Marseille, France BFS Belfast, U.K. MUC Munich, Germany BGO Bergen, Norway NAP Naples, Italy BHX Birmingham, U.K. NCE Nice, France BNJ Bonn, Germany ODE Odense, Denmark BOD Bordeaux, France OPO Porto, Portugal BRE Bremen, Germany ORN Oran, Algeria BRU Brussels, Belgium OSL Oslo, Norway BUD Budapest, Hungary PAR Paris, France BUH Bucharest, Romania PLQ Palanga, Lithuania BUS Batumi, Georgia PMO Palermo, Italy CAS Casablanca, Morocco PRG Prague, Czech Republic CGN Cologne, Germany RBA Rabat, Morocco CPH Copenhagen, Denmark REK Reykjavik, Iceland DUB Dublin, Republic of Ireland RHO Rhodes, Greece DUS Dusseldorf, Germany RIX Riga, Latvia FLR Florence, Italy ROM Rome, Italy FLW Flores Island, Azores RTM Rotterdam, Netherlands FRA Frankfurt, Germany SNN Shannon, Republic of Ireland GLA Glasgow, U.K. SOF Sofia, Bulgaria GOT Gothenburg, Sweden STO Stockholm, Sweden GNA Geneva, Switzerland STR Stuttgart, Germany HAM Hamburg, Germany TIA Tirana, Albania HEL Helsinki, Finland TLL Tallinn, Estonia IST Istanbul, Turkey TLS Toulouse, France IVL Ivalo, Finland TNG Tangier, Morocco KUN Kaunas, Lithuania TUN Tunis, Tunisia LDE Lourdes/Tarpes, France VCE Venice, Italy St. Petersburg, Russian LED VIE Vienna, Austria Federation LEJ Leipzig, Germany VNO Vilnius, Lithuania LIS Lisbon, Portugal WAW Warsaw, Poland LON London, U.K. ZRH Zurich, Switzerland LPI Liverpool, U.K. IATA Area 2 AFRICA MIDDLE EAST ACC Accra, Ghana ADE Aden, Republic of Yemen ADD Addis Ababa, Ethiopia ALP Aleppo, Syrian Arab Republic BEW Beira, Mozambique ALY Alexandria, Egypt BJM Bujumbura, Burundi AMM Amman, Jordan BUG Benguela, Angola AUH Abu Dhabi, UAE BZV Brazaville, Congo BAH Bahrain CAB Cabinda, Angola BEY Beirut, Lebanon CPT Cape Town, South Africa BGW Baghdad, Iraq DKR Dakar, Senegal CAI Cairo, Egypt EBB Entebbe/Kampala, Uganda DAM Damascus, Syrian Arab Republic FIH Kinshasa, D.R. of the Congo DHA Dnahran, Saudi Arabia GBE Gaborone, Botswana DOH Doha, Qatar HRE Harare, Zimbabwe DXB Dubai, UAE JNB Johannesburg, South Africa ECN Ercan, Cyprus KAB Kariba, Zimbabwe HFA Haifa, Israel KAN Kano, Nigeria JED Jeddah, Saudi Arabia KGL Kigali, Rwanda JRS Jerusalem LAD Luanda, Angola KWI Kuwait LOS Lagos, Nigeria LCA Larnaca, Cyprus LUN Lusaka, Zambia MCT Muscat, Oman MGQ Mogadishu, Somalia MTZ Masada, Israel MLW Monrovia, Liberia RUH Riyadh, Saudi Arabia MRU Mauritius SAH Sanaa, Republic of Yemen MTS Manzini, Swaziland THR Tehran, Iran NBO Nairobi, Kenya TLV Tel Aviv, Israel PRI Praslin Island, Seychelles SID Sal, Cape Verde TIP Tripoli, Libya YVA Moroni, Comoros  IATA Area 3 Adelaide, South Australia, ADL ISB Islamabad, Pakistan Australia AGR Agra, India JKT Jakarta, Indonesia AKL Auckland, New Zealand KBL Kabul, Afghanistan ALA Almaty, Kazakstan KHH Kaohsiung, Taiwan, Republic of China APW Apia, Samoa KHI Karachi, Pakistan ASB Ashgabat, Turkmenistan KTM Kathmandu, Nepal BEZ Beru, Kiribati KUL Kuala Lumpur, Malaysia Beijing, Peolple's Republic of BJS KWA Kwajalein, Marshall Island China BKI Kota Kinabalu, Malaysia MAA Chennai, India BKK Bangkok, Thailand MDL Mandalay, Myanmar BNE Brisbane, Queensland, Australia MEL Melbourne, Victoria, Australia BNY Bellona, Solomon Island MNL Manila BOM Mumbai, India NAN Nadi, Fiji BWN Bandar Seri Begawan, Brunei NOU Noumea, New Caledonia Guangzhou, People's Republic of CAN OKA Okinawa, Japan China Canberra, Capital Territory, CBR OSA Osaka, Japan Australia CCU Calcutta, India PEN Penang, Malaysia CEB Cebu PER Perth, Western Australia, Australia CGP Chittagong, Bangladesh PHN Phnom Penh, Cambodia CHC Christchurch, New Zealand POM Port Moresby, Papua, New Guinea CMB Colombo, Sri Lanka RGN Yangon, Myanmar DAC Dhaka, Bangladesh ROP Rota, North Mariana Island DAD Da Nang, Vietnam ROR Koror, Palau DEL Delhi, India SEL Seoul, Republic of Korea DPS Denpasar-Bali, Indonesia SGN Ho Chi Minh City, Vietnam Darwin, Northern Territory, DRW SIN Singapore Australia DVO Davao SPN Saipan, North Mariana Island DYU Dushanbe, Tajikistan SYD Sydney, New South Wales, Australia FNJ Pyongyang, DPR of Korea TIQ Tinian, North Mariana Island FUK Fukuoka, Japan TPE Taipei, Taiwan, Republic of China GUM Guam TYO Tokyo, Japan HAN Hanoi, Vietnam WLG Wellington, New Zealand HBA Hobart, Tasmania, Australia XMN Xiamen, People's Republic of China HKG Hong Kong ZAM Zamboanga HPH Haiphong, Vietnam