Thomas holiday experience. The study also showed that 85%

Thomas Cook is a British
global travel company formed in 2007 by the merger of Thomas Cook AG and
MyTravel Group PLC. After evaluating the company and completing a company
background, we can see there is room for improvement with Thomas Cook’s
marketing strategies.

 

One marketing strategy
Thomas Cook can benefit from is the use of Big Data. “Big Data is the growth in the volume of structured and unstructured
data, the speed at which it is created and collected, and the scope of how many
data points are covered.” (Investopedia) It involves using large data
sets which are analysed by computers to help identify patterns and trends
usually relating to the understanding of human behaviour and interactions.

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In a study
taken by American Express, 83% of millennia’s said they would agree to travel companies
tracking their online habits in exchange for a more personalised holiday
experience. The study also showed that 85% of respondents said that customised travel
itineraries are more preferred than the standard holiday experiences for all. One
of Thomas Cook’s main aims is customer satisfaction.

 

With this
is mind, Thomas Cook can benefit greatly with the use of Big Data to not only
increase customer loyalty but to also reach out to new customers. Using this
marketing strategy, they will be able to personalise holiday experiences for
each individual customer taking into account their previous experiences as well
as their likes and hobbies. Information can also be collected by viewing recent
customer searches as well as online social activities.

 

By also
collecting detailed data from individual customers, it increases the chances of
getting favourable responses which will then enable Thomas Cook to measure how
their customers think and react to promotional offers. They can the use the
information attained for future marketing activities. For example, they can
launch promoted flights to a particular country, such as Jamaica, if there is a
high trend on search engines for flights to this particular country. This will
not only increase their profit but also cater to customer needs and help build
their company.

 

They can
also go further and analyse customers previous travel purchases whilst tracking
travel trends across the globe. For instance, if an airline notices an increase
or decrease in the demand for certain flights then they can change the prices accordingly.
Big Data analytics can take information from several years back and can predict
customer demands up to a year in advance.  

 

The use of
Big Data to inform customers with real time information regarding their flights
will also increase customer satisfaction. Real-time information such as baggage
status and flight status can be extremely beneficial to travellers and can
reduce the stress of travelling.

 

However,
one disadvantage of using big data to increase customer levels is the high
cost. Not only does it have a very high initial cost but also a cost of between
$19,000 and $25,000 per terabyte annually to run. Nonetheless, the increase in
the number of customers booking through Thomas Cook services will be huge and
will make up for the high costs. It also very important to not take advantage of
knowing information about customers and not taking big data solutions a step
too far.

 

The
effectiveness of the use of Big Data can be measured by monitoring the number
of new customers as well as loyal customers returning to book more holidays through
the company. A substantial increase in the number of customers booking through
the company will indicate the usefulness of using Big Data. The effectiveness
of the strategy can also be evaluated by the number of positive customer
reviews. Customers tend to comment on their holiday experiences, especially
when its either been particularly bad or good. These comments can not only help
the company identify ways to improve but also recognise what they are doing
well. In addition, customer surveys can be created in order to obtain
information about the holiday experience and if the trip was personalised
according to the individual.  

 

In
conclusion, Big Data can help airlines understand individual customer behaviour
and needs as well as track trends across the globe. With this information they
can create personalise experiences for their customers and make strategic decisions.
Therefore, helping them separate themselves from other travel companies in an
extremely competitive market.