2.0 Situation Analysis
In recent years, the people of Bangladesh have been noticed to be interested in travelling abroad for pleasure trips especially to countries like Malaysia, Singapore, and Thailand. Moreover, the ongoing economic meltdown has forced these countries to reduce the traveling cost to attract more tourists. According to a statistics of Malaysian Tourism Department, they have reduced the travel tax by 25%, overall hotel cost by 30% and their shops have announced sales discount ranging from 10% to 50% for tourists. As a result many of the middle and upper middle class people are now being attracted to travel this countries especially Malaysia. There is a promising market for an air travel package to Malaysia in Bangladesh. Most of the customers tend to be young and affluent, ages 18-34, and one fourth are from households with annual incomes of BDT 50,000 or more. There was a 24% increase in executive participation in travelling Malaysia for professional and personal tours in last two years. Majority of these people live in the capital city. ➢ Many local corporate like Square, Basundhara Group, S.Alam are arranging their annual conferences in Malaysia. ➢ Along with this there are primarily young professionals who often lack the time and experience necessary to effectively plan a pleasure trip on their own. ➢ According to Tourism Malaysia the booking of honeymoon cottages by Bangladeshi people have increased by 45% in last two years. ➢ Many Bangladeshi students and workers live in Malaysia. Their relatives and friends tend to visit them especially during the time period of December- January. All these mentioned situations are indicating to a very bright prospect of airline packages in Bangladesh. Considering the economic factors we have found that majority of the mentioned people need only a plane to fly and they hardly bother about luxury. What matters to them is how much they are paying at the end of the day. Considering all these factors we have decided to introduce a very cheap air travel package. We would like to adopt market penetrating strategies and make profit by attending more and more tourist. Our target groups are: • Middle, upper-middle class for honeymoon purpose
• Middle, upper-middle class for educational and business purpose • Companies willing to hold conference in Malaysia
• Relatives of students, officials, workers lining in Malaysia We will communicate its ability to meet the demands of this market and fill this need. 2.1 Market Summary
The travel and tourism market is separated into two main categories, business and leisure travel. Each contributes about 45% to total revenues. The remainder of revenues is generated from combined business/leisure trips. Business travel can be divided into two categories, the medium to large corporate account, and the small independent businessman. Leisure travelers are classified according to the types of trips they take, income, or age. The four primary leisure travel groups are: 1. Adventure, Special-Interest, R&R, Honeymoons & Sightseeing Trips. 2. High-Income Travelers.
3. Budget-Conscious Travelers.
4. Families, Students & Seniors.
Adventure travel generates approximately 25% of the annual industry revenues. Approximately 10% of these revenues come from Malaysia travelers. Based on these and other figures, Sky-high estimates the Malaysia travel package to generate approximately BDT 60 million annually. We estimate that it will capture about 8% of this market.
| | |Growth | |2006-07...
Please join StudyMode to read the full document