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Travel Agency Marketing Plan

Adventure Travel International (ATI)

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Marketing Strategy


3.0 Marketing Strategy

ATI believes that the goal of business is to create and keep customers. Its marketing strategy will reflect this goal as it builds its reputation in the Woodville area. Though ATI operates in the travel industry, it provides much more than travel. ATI provides adventure and freedom. Many of ATI's customers spend 50 weeks of the year in an office. ATI offers people the ability to get away and remember how much they love the challenge and excitement of an athletic endeavor. ATI will promote the benefits of adventure travel. These benefits include better health, excitement, personal growth, ear-to-ear grins, and a whole lot of fun. ATI will also promote the benefits of its services. These benefits include saving time and money, and confidence in the vacation's success.


3.1 Mission

Adventure Travel International (ATI) is a travel agency that specializes in adventure travel. We provide consulting and custom travel arrangements and packages. ATI's mission is to become the foremost provider of adventure travel to the people of the Pacific Northwest. ATI's employees and owner are outdoor adventure and travel enthusiasts, as well as seasoned travel-industry professionals. ATI seeks to connect adventure travel newcomers and veterans with service providers, adventure activities, and accommodations that fit the client's desires, budget, and skill level.


3.2 Marketing Objectives
  • Achieve an annual growth rate of at least 10%.
  • Promote adventure activities through strategic alliances with health clubs, local athletic organizations, and retailers.
  • By the end of year three, achieve 15% of sales through the Internet.
  • Become the market leader of adventure travel in the Woodville area.

3.3 Financial Objectives
  • Generate sales of approximately $550,000 in year one and increase sales 10% annually.
  • Capture and maintain a gross margin of 18-20%.
  • Achieve positive net worth by year two.
3.4 Target Marketing

ATI will target the following groups:

  • Couples and individual adventure travelers: This is the customer group that meets the demographic profile for adventure travelers -- ages 25-35, married, with household income greater than $50,000.
  • Group adventure travelers: These are groups that belong to local athletic organizations, such as cycling or kayaking clubs.
  • Corporate adventure travelers: ATI will target local businesses in an attempt to secure corporate accounts.

ATI plans to focus its initial efforts on the adventure travel market in the greater Woodville area. As ATI grows, marketing efforts will expand. The major purchasers that fit ATI's target market are located in urban areas within these states:

  1. California
  2. Florida
  3. New York
  4. Texas
  5. Illinois
  6. Nevada
  7. Hawaii
  8. New Jersey
  9. Pennsylvania
  10. Georgia
3.5 Positioning

For individual and corporate clients who wish to participate in adventure travel, ATI is the premier adventure travel agency in the Woodville area. ATI's experience with and enthusiasm for adventure travel is displayed in the exceptional service, value, and advice it provides for the customer.


3.6 Strategy Pyramids

STRATEGY 1: Develop brand recognition through the use of effective advertising, marketing communications and promotion.

Tactic: Develop a marketing mix designed to target the Woodville market.

  • Program: Print and electronic advertising campaign, using specialty publications and local radio as primary media.
  • Program: Use strategic alliances to conduct promotions and giveaways.

Tactic: Expand brand recognition to the national market through increased industry participation and WWW presence.

  • Program: Utilize the networking benefits of industry associations, trade shows, and publications.
  • Program: Develop and promote ATI's website. The availability of information and the ability to schedule and purchase online will be beneficial to the customer and ATI.

STRATEGY 2: Increase revenues and reduce costs by establishing repeat and corporate customers.

Tactic: Customer satisfaction program.

  • Program: Focus ATI's efforts on customization of adventure travel and utilization of its core competencies. ATI would rather recommend that a potential customer purchase elsewhere than provide a trip outside of its expertise.
  • Program: Post purchase and post trip follow-up. Research indicates that the communication between the firm and the customer after the sale positively influences repeat purchase.

Tactic: Corporate account acquisition.

  • Program: The corporate sales program will depend upon specialized literature and personal promotion. Corporate accounts generate recurring revenue and will help diversify ATI's sources of income.
  • Program: Corporate giveaway promotion. Trips will be awarded as prizes and will be promoted via local radio.
3.7 Marketing Mix

ATI will employ a wide range of advertising communications and promotion to achieve its marketing goals. Research on the demographics of ATI's target market suggest that the most effective communications will come through advertising in several specialty publications and via local radio. In addition, direct interaction or promotion at health clubs, shopping malls, sporting events, etc. will be part of ATI's marketing mix.


3.7.1 Services and Service Marketing

ATI will sell standard travel agency goods and services including airfare and travel packages. Additional services will include assistance with passports, providing access to top-of-the-line equipment and supplies, and a superior offering that includes access to better than average terrain and activities, accommodations, and entertainment. The value added of ATI's offering is its knowledge and expertise, competitive rates, and specialty focus on adventure travel, which will translate into increased assurance and satisfaction for the customer. ATI's decision to focus on adventure travel was made because economic indicators suggest that an increased demand for adventure travel services exists, the Woodville area does not have a true adventure travel specialist, and members of the ATI team are experienced and enthusiastic about adventure travel activities. It is hoped that this enthusiasm will be communicated to the customer, and ATI's experience will translate into satisfaction and repeat business.


3.7.2 Pricing

Much of ATI's pricing is determined by market standards. ATI will attempt to maintain margins of 10% on all airline travel. Margins on all other products and services vary depending upon the provider but are expected to average 20%. ATI will make every effort to maintain a competitive pricing policy. However, as ATI builds its reputation as the premier provider of adventure travel, it expects to earn the ability to charge a premium for its services.


3.7.3 Promotion

During ATI's first year of operation, it will hold a grand opening and will organize and sponsor several athletic events. Events will include, among others, an off-road triathlon, 10k race and 5k fun run, and a mountain-bike race. ATI will provide various travel packages and other items as prizes. All ATI employees belong to local athletic clubs and will, through interaction with other members, promote ATI's services. During the grand opening and other events, ATI will provide literature with information about trips and activities. Negotiations with area health clubs have begun and additional promotion will likely occur through these strategic alliances. Specialty rather than large national publications will serve as media vehicles for ATI advertising. Local radio stations will also be used. Personal selling will also occur, though phone solicitation will be limited. ATI plans to occasionally station sales personnel in locations around Woodville, such as shopping malls. ATI's goal is to develop personal familiarity between its employees and the community.


3.8 Marketing Research

Ongoing industry analysis is conducted by several organizations, including the U.S. Department of Commerce, and is available for sale. Research on the travel and tourism industry will be purchased as necessary. Demographics and spending patterns of adventure travelers have been secured and used to formulate communications strategy. ATI will conduct customer surveys when a specific research problem is identified. ATI subscribes to several industry publications and will attend trade shows to stay abreast of relevant issues.

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