Travel Agency And Tour Operator Business Setup PDF

REVIEWER Travel Agency and Tour Operator Business Setup Key Requirements: 1. Infrastructure & Financial Needs: o Office space, systems (Amadeus, Galileo, Sabre) o Furniture, equipment (phones, computers), and starting capital. o Strategic location is crucial (m...

REVIEWER Travel Agency and Tour Operator Business Setup Key Requirements: 1. Infrastructure & Financial Needs: o Office space, systems (Amadeus, Galileo, Sabre) o Furniture, equipment (phones, computers), and starting capital. o Strategic location is crucial (marketplace, near business hubs). 2. Accreditation & Registration: o IATA: Accreditation for international recognition (optional). o DOT: Department of Tourism accreditation with business permits, DTI/SEC registration. o Other Agencies: DTI, DOLE, BIR, BI, SSS, SEC, LGU, HDMF, and PhilHealth. 3. Acknowledgment from Suppliers: o Agreements with airlines, hotels, and other travel suppliers to assure service authenticity. Challenges in Travel Operations: Increasing DIY travel and price transparency. Decreasing customer loyalty and rise of mergers. Greater market dominance by a few companies and widespread availability of information online. Tour Operations Cycle Key Steps: 1. Tour Planning: o Set objectives (customer satisfaction, destination promotion, profit). o Consider destination-oriented objectives (accessibility, infrastructure) and corporate goals (brand image). 2. Itinerary Development: o Identify destinations and activities based on client profiles. o Choose suppliers, plan transportation, and ensure cost-effectiveness. 3. Contracting Rates: o Negotiate discounted rates with suppliers for better pricing. 4. Costing & Pricing: o Determine the cost of the package based on services, activities, and number of travelers. 5. Reservations & Confirmations: o Secure bookings for services (e.g., accommodation, transportation).  6. Field Operations: o Execute the planned itinerary, ensuring smooth travel experiences from arrival to departure. 7. Billings & Accounting: o Manage invoices, payments, and supplier settlements. 8. Evaluation: o Assess the success of the tour in terms of client satisfaction and operational performance. Important Considerations: Client Profile: Tailor the tour package based on age, preferences, and travel needs. Duration: Adjust depending on the type of clients (e.g., seniors prefer shorter trips). Meal Plans & Sightseeing: Align with the destination’s offerings. Transportation & Ancillary Services: Include accessibility options like wheelchairs for elderly clients. Tour Guides & Escort Services: Essential for foreign clients. Basic Travel Components of a Tour Package: 1. Transportation: o Movement by air, sea, or land. o Includes types like scheduled air services, air taxis, dive cruises, and land transportation (buses, trains, car rentals). 2. Meal Plans: o Types include: ▪ Full-board (American Plan): Breakfast, lunch, and dinner. ▪ Half-board: Breakfast and one other meal. ▪ Bed-and-breakfast: Only breakfast included. ▪ European Plan: No meals included. 3. Accommodations: o Hotels, resorts, and other lodging establishments. o Examples: Manila Hotel, Shangri-La Resorts, etc. 4. Sightseeing Tours: o Organized trips to sights and sites of interest. o Includes categories like evening tours, full-day or half-day tours, hop-on/hop-off tours, and private tours. 5. Tour Coordinator & Guide Services: o Tour coordinators manage the group from start to finish.  o Tour guides assist during sightseeing and transfer services. Steps to Create a Tour Package: 1. Identify Target Clients: o E.g., families, employees, students. 2. Match Services with Clients: o Partner with suppliers that suit client needs (hotels, transport, etc.). 3. Negotiate Contracts: o Secure favorable rates with service suppliers. 4. Draft the Tour Package: o Include the title, duration, travel dates, package inclusions, and costs. o Example: 3DAYS/2NIGHTS Ilocos Getaway Package. 5. Competitive Pricing: o Compare your package pricing with competitors and adjust accordingly. Tour Package Variables: 1. Duration: o Number of days/nights included (e.g., 3 days, 2 nights). 2. Destination: o Single or multiple destinations (e.g., Ilocos, Vigan). 3. Accommodation Category: o Ranges from 1-star (budget) to 5-star (luxury). 4. Transportation Mode and Class: o Air, sea, or land with various classes (economy, business, first class). Sample Tour Package: Target Clients: Call Center Employees Title: 3DAYS/2NIGHTS ILOCOS GETAWAY PACKAGE Rate: PHP 5,800 (12 pax minimum) Inclusions: Accommodation, van transfers, tours, driver’s fees, etc. Optional Activities: Sand Dunes 4x4, Zipline. Marketing a Tour Package: Research on client satisfaction and industry trends. Tailor the package to suit client profiles and budget. Fulfill the five A's of tourism: Accommodation, Attractions, Activities, Amenities, and Accessibility.