The purpose of this research paper is to develop a marketing plan for the Thomson Holiday Group. Marketing plan holds a pivotal importance as in help in developing and growing an economy and through this plan. With this, a firm is able to define its basic marketing elements with clarified objectives to give a direction to its employees. On addressing a firm’s marketing issues or improving its strategies, companies are able evaluate their businesses appropriately. Thus a marketing plan leads towards the growth and motivation for employees.  (Cornerstone Business Solutions , 2001.) Hence while creating a marketing plan, the marketing mix can be used as tool which could enable in strategy formulation. (Kotler 1997, p.92)

1.Objectives of the Study

The purpose of this study is to make a marketing plan for Thomson Holiday Group. The objectives of this study are to find out the possible market segments for Thomson Holiday Group and use marketing mix so that a new clientele is enabled. Another objective of this study is to position the brand and include elements of digital communication as social media to attract more customers and gain visibility.

2.Limitations of the Study

Thomson Holiday Group being a cost leader, the company will focus only on the business travelers and tourists within UK. Budget limitations have not put into considerations yet the marketing plan designed would be more economical and practical.

3.Research Question

How effective marketing of Thomson Holiday Group can be done for the selected segments?
Hence, sub questions would be:
Who are the defined segments?
Who is the target audience?
How is brand being positioned?
How to attract more customers Thomson Holiday Group?
How to use digital communication for effective marketing?
These sub questions are about the marketing segment that was chosen. According to Kotler 1997, p.96 segmentation is described in the situation analysis of a marketing plan. Segmentation is dividing the customers according to their consumption style in different segments. (Ghauri 2014, p.229) With this, the brand was positioned and using the marketing plan as well as inclusion of digital communication e.g. social media, the marketing plan was established.

Theoretical Framework

The study reveals basic concepts of marketing, social media, establishment of a marketing plan and tourism. To conduct the marketing efforts, both B-B business to business and B-C business to consumer marketing has been done.

1. Marketing

The concept of marketing has been used to build a strong customer relationship and give value to its customers. Hence marketing is done in a way that customers’ needs are seen first and then offerings accordingly are then given. It is basically a 5 step process in the first four of which customers are understood, a relationship is therefore developed and thus value is created for the customers. In the last step the companies are rewarded in the form of appreciation, a long term customer relationship with increase in sales and profit. (Kotler and Armstrong 2010, p.29)
Hence according to Kotler and Armstrong, marketing is:

Figure 1.             Marketing process by (Kotler and Armstrong 2010,p.29)

2. Social Media

As Haasio in 2013, p.9. states that social media refers to all the computer-aided services with which can interact nd thus produce content. It enables in maintain and generating interaction. Some social media services may include: Facebook, pin interest, blogging or micro blogging twitter), etc. hence the individual uses a certain forum to add and produce content. The basic element of social media is community. Hence, how people look for a tourist destination or read about has totally changed.

3. Tourism

As Raju in 2009, pp.1-2  states that tourism has been considered as the world’s biggest industry. People travel and live outside their houses. The purpose for their travel is to achieve leisure, business or other services. Tourists return to their homes after spending a certain time at the trip. There are some basic tourist products including accommodations, transportation and food which are taken as the basic elements to decide where to consume the service from.  A tourist attraction is built up by its environment including tangible and intangible elements eg landscape, climate, infrastructure, history, art etc. These elements are used to associate with different activities for instance promotion or packaging. And thus, service is ready to be availed by its consumers. (Benur & Bramwell 2015, p.2013.)

4. Positioning

As a result of the positioning strategy, an organization is able to visualize the image it is trying to establish in the minds of its customers. (Taha U. , 2004) Using segmentation strategy, Thomson Holiday Group.will position itself as ‘A brand to build quality relationship with its customers’.

5. Marketing Plan

 A marketing plan is very important for a company as the company is able to clarify its objectives and goals thus leading towards the company’s growth and development. The company therefore forms a situation analysis, positioning and target market to achieve its objectives. How a marketing plan should be designed as and the elements to be included in depends solely on the top managers.  (Entrepreneur, 2014.)

However, the marketing plan designed for this research paper is from Phillip Kotler who is a professor in the Northwestern University in Chicago. Kotler has written variety of books and articles. (Kotler Marketing  Group, 2012). The marketing plan by Kotler has been chosen for this study as he is a marketing guru. The study will be on the basis of 5 sections from Phillip Kotler’s model.
a)    Internal and external Analysis for Thompson Holiday group
b)    Opportunity and issue analysis
c)    Objectives
d)    Marketing Strategy through segmentation, target marketing and brand positioning
e)    Action plan through marketing mix especially social media

The marketing theory used for this research paper is use of &P’s for the marketing mix.The 7 P’s includes; product, price, promotion, place, people, process and physical environment. These actions are used to promote the brand. (The Economic Times, 2014).

Case Company

The company chosen for implementation of this marketing plan is Thompson Holiday group and has its travel retail stores all across the UK. The travel business began in 1965 and the company has been able to be the market leader due to cost differentiation strategy.

Thompson Holiday Group

The Thompson Holiday group started with the struggle of Thompson Roy who was from a poor backgroup but his efforts led him succeed and hence Thompson Holiday group was formed which was also a market leader in 1980’s. Thompson’s basic strategy is to provide quality products to its customers and fulfill needs according to age, destination or quality.

Situation Analysis

It is important for a company to identity the market opportunities and threats and also strengths and weaknesses to make the right market analysis. Opportunities and threats are the external factor and strengths and weaknesses which may affect a certain business performance.(Kotler, 1990, pg.77)

Internal Analysis

External Analysis

Marketing Strategy

An organization cannot form a marketing strategy all by itself, a marketing strategy is developed on the basis of set goals. (Kotler, 1990, pg.77)

Target marketing strategy

A target market is the group of consumers who are more likely to purchase the organization’s products or services. Other marketing strategies are made on it. Usually specialized firms focus on using a target marketing strategy while firms selling common goods, focus on selling as many consumers as they can. (Vitez, What Is a Target Marketing Strategy?)

a. Segmentation

A target market is selected on the basis of segmentation, in which customer groups are identified according to their different response than the competitors. The segmentation strategy depends on the competitive offering which seems appealing to the target market that it creates a long lasting relationship, so that the investment done seems meaningful. It could either be according to the customer characteristics or the benefit being taken. (A. Aker, 2008) Thompson Holiday Group, will therefore use an an online medium to segment its customers will target its market using the segmentation characteristics.

b. Positioning

As a result of the positioning strategy, an organization is able to visualize the image it is trying to establish in the minds of its customers. (Taha U. , 2004) Using segmentation strategy, Thompson Holiday Group will reposition itself as ‘A brand to build quality relationship with its customers’.

Marketing Mix

Apply marketing mix on Thompson Holiday group

Price

Price is the exchange of value expressed in money for any product or service. In marketing mix, it is the only element that is accountable for sales, revenue and demand. It is always the objective criteria for making the final purchase. Pricing has several objectives. One of which is increase in sales growth. This can be done by either reducing prices or keeping competitive pricing. A right kind of pricing is also essential for increase in the market share and predetermining the profit level. To compete against competitors or meet them and also to meet all kinds of cash flows,  right kind of pricing is important.  When deciding pricing all sorts of costs of are needed to take into consideration whether fixed or variable cost. (Hundekar 2010, pp.77-78.) Thompson Holiday group therefore has set its price as a competitive price by developing a cost leadership. This it had been able to do because of its increased market share and financial strength.

Product

A product is very important part of the marketing plan. It could be a good or service. Price, brand, design, label, packages and other physical objects and services are essential parts of it. It includes both tangible and intangible elements that create a value for the buyer. (Hundekar 2010, pp.49-50.) Thompson Holiday group has consumer products available to be consumed by the final consumers. The company has used the strategy of having an expanded product range by offering a variety of tours according to age, location and quality of service that customers would like avail. For instance, it has designed new brochures including mountains and lakes, far and away, young at heart, etc.

Place

Place is where a company sells its products at. For this different selling methods including direct calling, catalogues, mail, trade shows, retailers are used. Using these it is essential that customer receives messages at the right place with the right kind of information. (Tracy, 2004) Mobile phone being Universal, Thompson Holiday Group would therefore enhance its digital platform by being available on the platforms of social media so that the company is readily available for its customers whenever or anywhere.

People

People are the most important element of a service mix. It is always the front line manager who contacts them. (Van Vliet, 2013) Thus it is important for Thompson Holiday Group to especially train its front line staff and also other hired travel agents since quality is very important in terms of service. Perceptions are formed as a result of attitudes and behaviors. (Van Vliet, 2013)

Process

It encompasses the different procedure, protocols and activities through which service is delivered to the customer. It is essential that it is convenient, at ease, available and has a quality for its customers. (Kushwaha and Agarwal, 2014, pg.89) Thompson Holiday group should therefore on improving the processes and not allowing the services to be slow.

Physical environment

As stated by Kushwaha & Agraval 2014, p.88, the physical environment is another P from the 7P’s and it described about how the product or service looks from the outside. For a service, it includes all intangible elements that determine the quality of the service. It includes servicescape which is the environment in which the customer is being the service and thus, service is being consumed. Thomspson Holiday Group for this purpose has focus on all such elements which are company’s website, appropriate design of brochures including Far and Away, City Breaks, Freestyle, Lakes and Mountains,Young at Heart, Platinum, Gold, A la Carte, etc. It could improve its service by adding more in the aesthetic sense so that the service looks more appealing.

Promotion

Promotion is basically done to communicate about the existing products to its consumers with the techniques of influence, information and persuasion. Using the promotional techniques a customer’s belief, values and trends could be changed.  Advertisement is a paid form of promotion. An incentive is given for a product or service for gaining publicity. To attain personal selling face to face communication is done. (Sherlekar 2010, p.250-251) Hence to put promotional efforts Thompson Holiday Group could include displays and shows or exhibitions to invite more people and also use advertisement through the newspaper it already owns. In order to further promote its products, the company will make use of certain strategies, which are explained below.

Social Media Platform

One of the ways of promotion could be through improving the digital influence. A social media platform enables networking, sociability and communities where companies interact and cause an influence. Earlier direct marketing was done and traditional form of advertisements were adopted. The commercial information was believed more than any advertisements or promotions. With the coming of digitization, it has been able to make social reviews more important. (Dijkmans, Kerkhof & Beukeboom 2014, p.58)

Revamp Thompson Holiday Group’s Website

As websites has become an essential part of the online marketing strategy for all kinds of businesses today. They can serve as a platform to interact with, provide information to and generate sales from existing as well as potential customers. They are basically virtual storefronts of the businesses that are used to attract online communities. (Chaffey, 2015)

Facebook Page

Facebook is a very popular social networking site allows users to interact more often. The individuals and organizations make use of it. Services that are well able to express themselves, it is able to create a value for them. (Facebook Inc.2013, p.5) In order to increase the traffic on the Facebook page and to improve the engagement process using this platform, certain updates will be made by the Thomson Holiday Group. The page will be edited according to the layout of the new website so that it contains all the relevant information and is consistent with the brand image. It iwill also include telephone number, e-mail, website URL, Twitter link and other social media links will be clearly mentioned on the Facebook page.

Twitter Account

Twitter is one of the most popular microblogging tools today since it can be easily accessed, interfaces well with other customer-oriented web 2.0 tools and has a very large pool of users that are increasing with time. (Dunlap, 2009) In order to connect its core brand with the customers’ daily lives, Thompson Holiday Group will create its own Twitter Account and interact with its customers on a regular basis through this platform.

Blogging

In blogging content is produced by one or more individuals. The writer writes about the company which could be published in magazines or newsletters. (Web-opas, 2015) Through blogging company’s products or events can be marketed. Thompson Holiday group can publicize itself and gain popularity.

Search Engine Optimization (SEO)

Search Engine Optimization can be used to improve the organic search rankings of the Thopmson Holiday Group’s website on the search engine results pages. The content of the website can be updated on a regular basis to make it in line with relevant searches and keywords. The main focus will be on hotel and travel related keywords that are heavily searched by the target users, for example, ‘UK Hotels’, ‘Travel to UK’. Search Engine Optimization takes time so it will take six or more months to bring the website on the first page search results of the Search Engine for relevant keywords. However, this technique will prove beneficial as it will profoundly increase the traffic. This is because the search engine users are more likely to click on the links available on the first page results rather than going to the end pages.

Conclusion

The study was made to develop a marketing plan for Thompson Holiday Group and attract tourists and travelers. The study was also made to promote the brand through digital communication. The theoretical part of the study revealed development of a marketing plan, social media and marketing mix where target audience was figured out and the Thompson Holiday Group was positioned. The study also explained the internal and external analysis of the company.

The result of this study is that a ready-made marketing plan has been developed for Thompson Holiday Group. If it uses this plan, it could increase its market share and hence generate sales. The company there needs to focus on digitizing its brand for market expansion.

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