Marketing Strategies of Tour Packages in Kerala - a Case Study of Kerala Tourism Development Corporation (Ktdc) Kerala
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MARKETING STRATEGIES OF TOUR PACKAGES IN KERALA - A CASE STUDY OF KERALA TOURISM DEVELOPMENT CORPORATION (KTDC) KERALA THESIS Submitted for the Award of the Degree of Doctor of Philosophy In COMMERCE By MUSHTHAQ AHAMMED K Under the Supervision of Prof. S. HUSAIN ASHRAF Ph.D. DEPARTMENT OF COMMERCE ALIGARH MUSLIM UNIVERSITY ALIGARH (INDIA) 2010 to my loving family Declaration I, Mushthaq Ahammed K, do hereby declare that the Ph.D. thesis entitled “Marketing Strategies of Tour Packages in Kerala – A Case Study of Kerala Tourism Development Corporation (KTDC) Kerala” submitted for the award of the degree of Doctor of Philosophy in Commerce is based on my research work and the thesis has not formed the basis for the award of any other degree or diploma. Aligarh (Mushthaq Ahammed K ) 4th December, 2010 Phone: External: 91-571-2702661 Internal: 3010/3505/3506 Prof. S. HUSAIN ASHRAF Department of Commerce Ph.D. ALIGARH MUSLIM UNIVERSITY Aligarh- 202002 (U.P.) INDIA Date : …………………. CertificCertificateateateate This is to certify that Mr. Mushthaq Ahammed K has completed his Ph.D. thesis entitled “Marketing Strategies of Tour Packages in Kerala - A Case Study of Kerala Tourism Development Corporation (KTDC) Kerala” under my supervision. To the best of my knowledge and belief, the work is of original in nature and is suitable for submission for the award of the degree of Doctor of Philosophy (Ph.D.) at the Aligarh Muslim University, Aligarh, India. (S. Husain Ashraf ) -------------------------------------------------------------------------------------------------------------------------------------------- Residence : Taj Akber, Diggi Road, Aligarh 202002 Phone: 91- 571- 2703989 Email: [email protected] PREFACE As tourism is the fastest growing industry in the world, it has become one among the world’s most competitive industries. The competition is increasing day by day since more and more countries seek to attract tourists and more companies and organisations become involved in the highly skilled business of transporting, accommodating and catering for tourists. Just as any other products tourism too needs to be marketed persistently, as it is an industry in which the customer still has an immense variety of choices. Tourism organisations are adopting newer methods, techniques and strategies for marking tourist destinations and the products and services associated with tourism. The concept of tour package is one among such innovative marketing methods adopted by several organisations across the globe. At present it has become a major contributing factor to the growth of tourism industry in India as well as worldwide. The increasing growth of tourist inflows in Kerala is also significantly influenced by the tour packages conducted by the travel agents, tour operators and other government and private tourism organisations such as Kerala Tourism Development Corporation (KTDC) etc. Tourist surveys and studies in Kerala brought into light that about 14-20% of the tourist inflows in the state are through tour packages offered by such organisations and agencies. KTDC, the government agency to undertake tourism promotional efforts in Kerala, has been designing and developing varied tour packages and other tourism products in order to identify and market all the beautiful spots and destinations in the state. Even though the Corporation has undertaken several marketing and promotional effort in the state, much of Kerala’s enchanting tourist places and spots are still remain unexposed to the nature lovers. KTDC, hence, should be very vigilant in formulating and implementing tourism marketing plans, policies and strategies for its varied tourist products and services in order to accomplish the stated objectives. The plans, policies and strategies thus formulated would be helpful to take the state to the pinnacle of socio-economic development. Through this study, therefore, the researcher made an earnest attempt to investigate the marketing strategies adopted by the Corporation for its varied tour packages offered in Kerala State. [i] For giving the study a systematic and articulate outlook, it is divided into seven chapters. The first chapter consists of the introductory background, statement of the problem, review of literature, objectives and hypotheses, methodology and design of the study. The second chapter explores the concepts and philosophies of marketing strategies of tourism products and tour packages by different scholars and outlines the different marketing strategies which can be applicable for tour packages. Chapter 3rd consists of two sections. Section first analyses and discusses the performance of Kerala tourism industry with regard to the tourist inflows and generation of income from tourism in the State. While the latter section analyses the resource potential of Kerala tourism industry with special focus on the attraction dimension. Chapter four analyses and sketches out the organisational structure and overall operations of Kerala Tourism Development Corporation with special focus on the marketing function and operations. It also estimates KTDC’s contribution to tourist inflows in the state by way of tour packages with the help of a simple random sample survey. Fifth chapter focuses on the marketing strategies of tour packages in Kerala state with special reference to Kerala Tourism Development Corporation. It analyses and evaluates the various strategies adopted by KTDC for marketing tour packages Chapter six analyses empirically the satisfaction levels of tourists both domestic and foreign. It presents the results of various statistical analyses in the form of tables and figures. The last chapter highlights the major findings of the study in a summarised form and put forward important suggestions based on the major findings. The last part of the thesis contains bibliography and appendices which include two set of questionnaires administered to tourists and the details of the conducted tours and tour packages offered by the Corporation. [ii] ACKNOWLEDGEMENT In the name of Almighty Allah, the Cherisher and Sustainer of the world who taught us the use of pen. I prostrate in obedience with all my humility before the Almighty who blessed me with strength to embark upon this task of keeping in realms of facts and events. I greatly rejoice to express emphatically with profound sense of gratitude and highest veneration to my reverend supervisor Prof. (Dr.) S. Husain AshrafAshraf, Department of Commerce, Aligarh Muslim University, Aligarh. His skillful guidance, constructive criticism, magnificent devotion and incessant encouragement have been the perennial source of inspiration from the inception to the completion of this study. I am grateful to him for his intellectual generosity and prudent suggestions without which the thesis would not have seen its present form. I do wish to express with sound perception of esteem my sincere thanks to Prof. Sibgathullah Farooqi, Dean, Faculty of Commerce and Prof. Badar Alam IqbalIqbal, Chairman, Department of Commerce, AMU for their persistent encouragement, valuable guidance and providing me adequate facilities to complete this work in time. Special thanks are due to Prof. Ziaddin Khairoowala, former dean, and my beloved teacher Prof. Nawab Ali Khan for their sagacious and illuminative advices, which enriched the content of this research report. I am awfully obliged to Dr. Vinod Kumar, Associate professor, MES Mampad College (University of Calicut, Kerala), Dr. Noushadali P.M, Chairman Department of Library and information Science, Dr. Saseeb Athar, Assistant Professor, Department of Statistics, and Mr. C.M Joseph Benzy, Deputy Manager (Marketing), KTDC for their priceless assistance, support and brainwave in furnishing the input material to accomplish this study. I place on record my unreserved and sincere gratitude to the staff of Department of Tourism, Government of Kerala; Department of Tourism, Government of India; Kerala Tourism Development Corporation (KTDC); District Tourism Promotion Councils; KTDC Hotels & Resorts; and University of Calicut. [iii] Sincere gratitude is also due to the tourists who honestly cooperated in conducting the surveys and the authors whose works helped me in enriching my thesis. I will never forgive myself if I fail to express my inexplicable gratitude to my parents, elder brother and other family members for their constant support and encouragement. They always showered their blessings on me and acted as a pillar of strength at each and every movement in my life. I am equally thankful to my parents- in-laws for their prayers and blessings and for being a source of inspiration. Mere words are not enough to express my feelings of indebtedness and appreciation to my wife Francila for her unabridged support and encouragement without which my dream could not be materialized. My daughter Isha Azmin needs special citation for her forbearance, unconditional love and affection which gave me the required zeal to finish the work in time. All of my friends need special praise for their large hearted, gracious, jovial and fun- loving attitude towards me during the entire course of this study. Mohammed Musthafa K, Shibu K. M, Salahudeen E and Jafer Iqbal need special mention for their timely help in carrying out this study. There are numerous other names which I am unable to pen down because of limited space. I hope this is understood that while there is no limitation of feelings for gratitude, there are some in finding words to express them. I am also thankful