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Tour Operation Business

A tour operator is a business that designs, develops, markets and operates package tours consisting of individual travel components combined together. They purchase travel services like lodging and transportation from suppliers individually and then combine them into tour packages that they sell directly to customers or through travel agents. Common types of tour operators include inbound, outbound and domestic operators. The main functions of a tour operator involve planning tours, arranging travel components, providing customer information and making reservations. They differ from travel agents in that tour operators are companies that create package tours to sell, while travel agents only sell pre-existing tours on behalf of tour operators and suppliers.

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Riaz Mahmod Ovi 182-15-2106
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316 views16 pages

Tour Operation Business

A tour operator is a business that designs, develops, markets and operates package tours consisting of individual travel components combined together. They purchase travel services like lodging and transportation from suppliers individually and then combine them into tour packages that they sell directly to customers or through travel agents. Common types of tour operators include inbound, outbound and domestic operators. The main functions of a tour operator involve planning tours, arranging travel components, providing customer information and making reservations. They differ from travel agents in that tour operators are companies that create package tours to sell, while travel agents only sell pre-existing tours on behalf of tour operators and suppliers.

Uploaded by

Riaz Mahmod Ovi 182-15-2106
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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I N T R O D U C T I O N to TOUR

OPERATION BUSINESS
Tour operator means a person who, on a
commercial basis –

(a)makes, directly or indirectly,


arrangements for the carriage of
DEFINITION

tourists, or the carriage of their


baggage or goods by any means
whatsoever; or

(b)makes arrangements for lodging,


transport or other services relating to
travel of persons

(c)buys individual travel components,


separately from their suppliers and
combines them into a package tour

(d)sells with their own price tag to public


directly or through middlemens
History….

•Contribution of Thomas Cook:-


 Thomas Cook - First travel professional
who organized a tour package.

 July 1841 – First package tour for England to attend a delegate


meeting for his 570 fellow passengers from Leicester to
Loughborough

 conducted tours - for school children and excursionists.

 published a book - “Handbook of the trip to Liverpool”.


A tour operator is generally a for-profit business
that designs, develops, markets and operates
trips. Tour operators sell through travel agents,
corporations, non-profit institutions and/or
directly to consumers.
FUNCTIONS OF TOUR
OPERATOR

TRAVEL RESERVA
PLANNING A TOUR ARRANGING INFORMATI
TOUR PACKAGE A TOUR ON I
ON
Make tour Buys Tour operator
According to A tour operator must makes all the
itinerary which individual tourist give up-to-date,
travel reservation by
contains the demands. Tour accurate and timely
components, information making linkage
identification of operators with
the origin, separately arrange the regarding
from there destinations, modes accommodation
destination tour package sector, transpo
suppliers and of travel,
and all the and various accommodation, sector and othe
combines tourists
stopping point them into a sightseeing, entertainment
activities to immigration, health organizations to
in a traveler’s package tour provide the and security rules reserve rooms,
tours best about various and seats in
experience to permits required to cultural
tourists/travele travel in a particular
r area etc
programmes 1 an
transportation.
Tour Operators:

INTERACTION
Sponsors Passangers
Operational
group

4
• Tour operators develop and design itineraries with sponsor that:
 Are consistent with their mission.
 Incorporate study leader input.
 Provide services at quality and price levels desired by
sponsors.

• Tour operators assist Sponsor in marketing trips by:


 Creating and distributing brochures, postcards, e-mails and
promotional material to sponsor’s mailing list.
 Providing material for web pages.
 Attending promoted events

• Tour operators work with the sponsor’s office on administrative


issues such as:
 Transferring deposits and reservation application.
 Updating status of participant list.
 Answering passenger concerns or discrepancies.
 VIPs
• Tour operators pay accruals and commissions.
TYPES
These are also known as incoming tour
operators. Technically, the operators
who receive guests, clients/tourists and
handle arrangements in the host
country are called inbound tour
operators. For example, a group of
American Tourists is coming through
TCI Ltd. to India and the company
makes arrangements and handles the
group in India then TCI is called an
inbound tour operator.

.
Tour operator who promote tours for
foreign destinations, maybe
business tour or leisure tour is
called outbound tour operators. For
example a group of American
tourists going to a trip of India .
Domestic Tour operators are those
who assemble, combine tourist
components into inclusive tours and
sell it to the domestic travelers. In
general, these tour operators provide
travel services within the tourist’s
native country.

The domestic tour operators operate


within the boundary of the home
country and offer package tour to
the travelers viz. Domestic inclusive
tours or independent tours.
These are commonly known as handling
agencies and their main function is to
organize tour arrangements for incoming
tourists on the behalf of overseas operators.
Let us take the case of India as a
destination that – has a varied culture.
When a tour operator himself promotes beach
holidays, wildlife holidays, adventure tours,
heritage tours at the different places, the
difficulty arises. It is the ground operator then
who by handling the incoming travelers in the
same season but at different places ensures
that the entire operation is according to the
package tours or agreements.
.
DIFFERENCES BETWEEN A TOUR
OPERATOR AND A TRAVEL AGENT

1
• A travel agent is a person who has a full knowledge of tourist
product – destinations, modes of travel, climate,
accommodation and other areas of the service sector. He
acts on the behalf of the product providers/principals and in
return get a commission.
• Tour operator is an organization, firm or company who buys
individual travel components, separately from their suppliers
and combines them into a package tour, which is sold with
their own price tag to the public directly or through middlemen.
• Tour operators are like wholesalers and travel agents are the
retailers.
• A tour operator makes the package holidays up and the travel
agents sell them on.
• Tour operator taking up the bulk of the responsibilities and his
fee is obviously much greater than a travel agent.
• A tour operator has the responsibilities to look after the finer
details of a vacation or
tour such as hotel, accommodation, meals, conveyance etc.
1
• Travel operator is the name of a full-fledged company in comparison to a
travel agent who only sells tour operator’s tours to willing travelers
• Travel agent gets permit to work from respective tour operator either
private or public while travel operator acquires license from regional
ministry of tourism
• There are proper training programs I order to pursue the career as at
ravel agent while travel operator needs the business management
practices

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