The global financial crisis has hit the tourism industry hard, with more than a half-million people losing their jobs and many larger firms struggling to stay open. Now, with the rise of digital marketing, travel has become an even more important part of companies’ marketing strategies. Residential and small-scale businesses alike are looking for ways to attract customers and increase their bottom line by making tours available as an alternative to hiring employees. In fact, in some places, such as Las Vegas and New York City, tour companies have grown so popular that they are boosting the local economy with their services.
What is a Tour Company?
A tour company is a business that partners with hotels and restaurants in a given city to provide guided tours of the city’s main attractions. The company is more than just a tour guide; it often organizes tours and books transportation and accommodation, as well as hiring tour guides and other staff to oversee the experience. Tour companies often work with bigger travel companies to provide tours as part of travel packages. This means that the tour company is responsible for organizing and managing the entire tour, from booking hotels and attractions to handling customer service. Tour companies can also be part of larger media companies that offer a variety of different types of products, such as e-books, audiobooks, and magazines.
Tour Companies Partner with Local Hotels
One of the benefits of using a tour company is that it partners with local hotels to offer discounted room rates for customers. The hotelier will agree to discount the room rate because the tour company will be bringing a large number of customers to their hotel. It is important to note that the discount applied is a percentage of the room rate, not a flat fee. Because the tour company is already handling the booking and management of the client, they can negotiate the discounted rates. This means that the savings are passed on to the customers. Tour companies partner with local hotels to provide:
-Free Cancellation: Some tour companies offer free cancellation to encourage customers to book their tours early and allow them to cancel if they need to. Hotels are aware of this, so they would rather have one customer cancel than none at all.
-Special rates: Hotels, especially smaller and more locally owned hotels, may not be able to offer special rates to every customer. A tour company booking 10 or 20 rooms at a time will be able to negotiate special rates for their customers.
-More amenities: Many of the best hotels in a given city will be fully booked during peak travel times. This can make it nearly impossible for customers to get a good deal on a room. Tour companies can provide customers with rooms in smaller hotels, many of which don’t have the same amenities as larger hotels. The tour company will be able to provide customers with rooms that have amenities such as free WiFi and luxury toiletries, whereas a customer booking directly with a smaller hotel may not receive these amenities.
Tour Companies use Local Restaurants
Many tour companies partner with local restaurants to offer discounted meals and special bonuses to customers. Hotels often provide special rates, but sometimes they are unable to offer food and beverage specials to customers. Tour companies can partner with smaller local restaurants to offer food and beverage rewards. These restaurants may not have the same budget to offer free meals, but they can provide discounted meals to tour customers. Because the restaurant is working directly with the tour company, it can provide these specials with little effort. The tour company can then offer these specials to customers, which can help draw customers to one specific restaurant over another.
Tour Companies, Hire Local Employees
Many tour companies hire local employees to provide services to customers. This can include everything from tour guides to customer service staff, including customer support representatives. Because the tour company is hiring local employees, it can provide services to customers at a much lower cost. This can help keep the prices of the tour low, which can make the tour more accessible to customers. Tour companies hire local employees because they can offer special rates to employees. The tour company can offer lower pay rates because it is hiring employees in a single city, rather than across the entire country or world. This is also beneficial to the employees because they will be receiving pay rates closer to the average wage in the city.
Tour Companies use Local Transport
Tour companies often have special deals with local transportation providers. This can include everything from taxis to shuttle services and even access to airplanes. This can help customers save money and time, but it can also help reduce the cost to the tour company. As a result, the tour company can pass these savings on to customers, who can save money on transportation. Tour companies are often able to negotiate special rates with local transportation providers because of the large amount of business they are bringing to them. This helps keep the cost of transportation low for customers and helps keep the price of the tour down.
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