Post on 26-May-2015
description
STS Tours... taking you around the world
STS Tours... taking you around the world
Presented by: Mark W, Amaan F, Annaelisa HPresented by: Mark W, Amaan F, Annaelisa H
Agenda
Company Background
Environmental Analysis
Critical Issues
History of Issues
Organizational Analysis
Alternatives
Recommendation
Timelines and Controls
Company History
Started in 2001
Group Tours Worldwide
Customized tours, not price-focused
Family run & part-time employees
Business partners in foreign areas
Market Conditions
1USD = 1CAD - 20% increase from 2009
Food and gas costs increase flight costs
Decrease in tourism rates in 2009
forecasted increases for 2011/2012
Internet bookings increase
group bookings must be done over telephone
Competitive Analysis
EF Tours
low cost, minimal customization
Meridan Tours
high cost, fully customizable, cadillac
Competitive Analysis
Explorica
average cost, customizability available
use of social media
interactive website
http://www.youtube.com/watch?v=tFMaGFXDMwU
Student Travel Abroad
lowest cost, no customization, grouping individuals
Company Situation
Stagnant growth (fluctuating)
Require a communications plan to contact secondary schools
Weak online presence
Goals:
$5 million revenue per. year
Retire in 10 years
Critical Issues
Improve the communication plan for future strategy to achieve long-term growth
Increase potential client response rate within the secondary school market
Increase effective online company presence
Refine the promotional strategy to uniquely position the business within the market
Historical Factors
Communications plan + response rate
minimal advertising
1.2% response rate (action) rate - 200 mail/2-4 clients
rely on referrals
Promotional strategy
shotgun, no competitive advantage in advertisment
Online presence
website very difficult to navigate
no other social media tools used
Organizational Analysis
Promotional spending
varies based on sales, more sales, less promo
no man-power to handle both
year-on-year growth +25%,....+25%
industry profit margin .02%, STS 3%
control of costs to maintain profitability
Internal efficiency = external expansion
Organizational Analysis
Communication - market awareness
small scale advertising
now $7.60/ad, est. $2.45/ad
225% more cost overall, but 750% audience
2 years since last website update
have no social media to build awareness
customer has willingness to search
not present = not searched
Organizational Analysis
Communications - market response
$145.5 million market size (secondary schools)
STS - .73% market share
$760 average acquisition cost, est. $121.60
based on past and suggested advertising initiative
strong loyalty base
75% return, 25% trial (per year)
High costs due to inefficient marketing and potential to obtain many more customers
Alternatives
Status Quo
Continued cost management = 5-10% ^ profit
No growth
Hire New Employee
Part-time
No support for growth, only for busy season mgmt
Full-time
Potential to increase by 11 tours by answering quotes
Covers 82.5% of cost
Supports long-term growth initiatives
Alternative - Increase Online Presence
Website
Search engine optimization
Welcoming front page
Easier to navigate
Add follow on Facebook, Twitter, YouTube, etc.
Contact information better accessible
Regular updates
Fix contact form and tour list
Measuring: view counts, visitor count, number of clicks
Alternative - Banners
Search engine marketing banners
1. example: Google adwords
Pops up with relevant search word
Company makes it’s own adds
Banners can be edited often
Easy to measure
Pay only for click-throughs
Banner trade
Also different social media banners available, focus on Facebook banner option
Measuring: Number of impressions, click-through rate,cost per thousand impressions
Alternative - Increase Online Presence
Base information on profile, pictures
Status messaging with news, updates and information
Answering customer questions
Measuring with likes, followers
Social mention, icerocket.com, etc.
Shorter messages
Especially good with fast response and feedback
Measure: followers, tweets and trends
Tweetstats and trendistic
Alternative - Increase Online Presence
Youtube
own video footage, video footage from pleased customers
Flickr
Pictures featuring travel targets
Invite happy customers share their own experiences in social media with videos, pictures and stories
creates reference feedback
Increases presence and number of mentions online
Consumer Generated Data most often more relevant to customers when making decisions than own marketing
Alternative - Increase Awareness at Secondary Schools
Presentations at schools
presentations in classes, assemblies, professional development days
Scholarship/bursaries
Book donations
Alternative - Increase Awareness at Secondary Schools
Measuring:
Brand development index
Marketing penetration
Recommendation
Rent new location
Support new employee & business growth
Hire new Employee
Traditional Marketing
Revamp brochure/flyer Ad
Phone call follow up
In-school advertising
Tour booklets
Tourism Booklet Distribution
Bursary Program
Website management
Social media addition
Implementation Timeline
Controls
Comparison of Yearly Incomes
Quote Requests
Active Tours
Group Sizes
Canadian Market Share
Evaluation of Repeat Customers
Website Hits
Fans, Followers, Likes, Mentions, etc.
Conclusion