Tourism Industry and Climate Change

Since 1991 when the G Adventures operated their first tour to Ecuador, the company understands how to keep the balance between adventures and responsible travel, including contribution in something valuable to the destination.
G Adventures is a tour operator designed to connect backpacking and mainstream travel and to connect travellers with local people in the countries they visit.
G Adventures is focusing on targeted experiences with our YOLO “You only live once” tours (for young, active travellers), Local Living Tours (for a more local experience), Active Tours (for the adrenaline), Classic Tours, Family Tours, Rail, Marine, and even Private Tours, everything designed for adventurers who like to travel in style. We host 200,000 travellers per year, offer more than 750 tours, and travel to 100 countries-across all seven continents.

Industry background


The tourism industry is one of the fastest growing sectors accounting for over 10 percent of global GDP. Sustaining its growth and hitting industry forecasts, will require continuous innovation and reinvention across the sector such as e-brochures, mobile apps, faster and safer travel with biometrics passports, as people are seeking a variety of ways to get support during the online booking and travelling process.
According to ABTA 2020, top trends include “slow travel”, which agrees with the company’s philosophy. The holidaymakers can enjoy the journey with no pressure on visiting the tourist hotspots, reduce the journey footprint, and we can give them a chance to support more local businesses by offering them, for example, homestay than hotel accommodation. This can cause a positive impact on the local economy and community. The travellers are also more aware of the environmental and social impact of their holidays. Specific issues such as plastic, animal welfare, or climate change have become more important for consumers.
The time has passed when people only chose certain resorts for travel because of their popularity. The majority of international tourists prefer to visit new unexplored places. Europe maintains the leading position on the world map. There is an increasing demand for visiting Eastern Europe states, including Georgia. Countries such as Georgia are financially attractive as the tourism in that area is crawling compared with, for example, Spain. Tourists are welcome because they are a good income source for local communities.
The politically uncertain situation can change the attractiveness of any country as a tourist destination. Things such as terrorism can occur in any part of the world, so it is essential to provide appropriate travel advice to travellers. Natural disasters or epidemics such as coronavirus have also a huge impact on the tourism industry, however, such obstacles are usually temporary and it is important to prepare the company for these temporary problems, for example, delayed and cancelled flights or decrease on the interest of particular destinations.

The New Tour Programme


New rail adventure that combines two company products: rail tour and local living tour.
Taste of Georgia- Rail Adventure
The proposal is addressed to young people to open new sensations and are aware of responsible travel.
Target market: Millennials (age 21-37)
According to statistics provided by condor ferries:
“82% of millennials travelled last year, compared with 75% of all other generations”
60% ranked authentic culture as the most vital part of the entire travel experience.
78% want their travel to be educational and want to learn something.\"
The new tour programme comprises 10 days in the summer season (Apr-Oct) rail journey across Georgia (Tbilisi-Kutaisi-Batumi) as it is a key travel destination 2020 (ABTA Travel Trends Report 2019)
Offered accommodation is a homestay, as it suits the company’s philosophy to bring something positive to the place that we are visiting.
The rail journey is also linked to the new trend as young people want to reduce their journey footprint.
Travel predictions 2020 claims that “In 2020, almost half (48%) of travellers plan to take slower modes of transport to reduce their environmental impact and six in 10 (61%) would prefer to take a longer route to experience more of the journey itself.”
Customers will have a chance to visit the most popular attractions within their journey, but it will be also expanded by new experiences such as local food tasting and enjoy the local culture that will make an additional profit to the company.
The main price of this trip will consist of transport (including the flight from London to Tbilisi), accommodation, a half board basis and some attractions.
The cost of the tour programme: £997
The price is lower than the competitor’s price for a similar product which will allow to be more competitive.
(For more details please see Appendix 1)

Competitor Analysis


The main competitor is Intrepid a renowned travel company that specialises in adventure travel around the world. Both companies have taken the lead in providing responsible travel and sustainable trips and have a similar tour classification. Intrepid is slightly more expensive as their average price per tour similar to our new proposal costs from £1,085 GBP excl. flights. G Adventures offers the Rail Style option, which is attractive for tourists travelling across Europe. Intrepid has a good reputation regarding customer satisfaction. They have better feedback among travellers. But G Adventures attempts to invest in local businesses, sustain indigenous people and protect the local culture which links to new travel trends.

Conclusion


The tourism industry is changing rapidly and has become increasingly competitive: more tourism destinations are emerging worldwide, and travellers now have a greater number of locations from which to choose. To remain successful, tourism businesses must be even more strategic when understanding their market and competition.
This new product proposal gives us a chance to expand our offer and be more sustainable. According to new ABTA Travel Trends, Georgia is one of the top tourist destinations 2020, In choosing this country, we show our engagement with the newest travel predictions. Rail style journey and homestay accommodation is consistent with our philosophy of giving something positive from each other in the places we visit and links to new trend of “slow travel”. Furthermore, by ensuring a lower price for our new product, we will be more competitive in the market, hence, it will make a profit to the company.

Market Research


As a part of market research, we will use a broad range of market research techniques, which encompass both quantitative and qualitative techniques, including face-to-face, online and telephone surveys consisting of a few questions related to our new proposal.
Secondary research will contain monitoring of ABTA Travel Trends 2020, Travel Predictions 2020, and outbound tourism statistics.
(Please see Appendix 2)