Adventure Excursions Unlimited

Start your own business plan »

Travel Agency Business Plan

Strategy and Implementation Summary

Adventure Excursions Unlimited will be going after the upper-end of the hard-adventure market. This market up until now has been underserved, there are hard-adventure tour companies, but none that are catering to the high-end spectrum. With the adventuring traveling industry steadily increasing, AEU sees a unique opportunity.

AEU's main objective in its marketing and sales activity is to make the impression on prospective customers that AEU offers a higher level of service relative to any other provider of hard-adventure tours. This will be communicated through all of the different media that we use. If AEU can make the impression that our trips are truly different and superior, then our research indicates that there will be steady demand.

Once AEU has clients signed up and participating on our trips, it will rely on superior customer attention and service to impress and retain clients for future trips. Developing long-term relationships will be the key to steady growth.

5.1 Competitive Edge

The competitive edge in our services is the access we provide to popular "hard" adventure sports without the budget constraint of typical travelers. That is, most travelers are looking to spend less than "hard" adventure sports without the budget constraint of typical travelers. The majority of providers cater to these people. Adventure Excursions Unlimited intends to use the same service providers but provide more exclusive trips. Accommodations will be primarily in small luxury hotels and resorts. Meals will be exceptional, more like gourmet cuisine. In addition, the adventure activities will be better than average because the clients have more money. They won't get stuck with people they don't like; they will get access to the best terrain, sections of rivers, etc. AEU's activities are very popular. AEU's target market has no problem spending $4,000 per week on heli-skiing. Moreover, they generally make this type of activity an annual event.

5.2 Sales Strategy

The sales strategy is to create long-term relationships with customers through superior service. The intent is to initially target the primary customer group. This group has been defined as persons who have purchased, or are likely to purchase, a "hard-adventure" vacation for over $2,500.

The trips planned are designed with the wealthy adventure traveler in mind. Later marketing efforts may include trips geared towards corporate clients, Eco-tourism or hard-adventure trips for people who want to spend less money. Target customers will be identified through standard research methods. There are a number of publications available that contain profiles of Adventure travelers.

Methods by which we will contact customers will depend on results of marketing/sales research. We will likely use trade or special interest magazines, direct mail, Web-based communication, and personal selling. In addition printed materials will be made available to customers through travel agencies that cater to the adventure target market. Initially, service will be introduced regionally, and possibly nationally. Sales will be extended into the global market within a few years of operation.

Our services are seasonal. Recurring revenue will be dependent upon successful trips involving a variety of activities offered year-round. We hope to promote out of season services through frequent customer contact and our own publication, most likely a magazine of some sort. We will review up-and-coming trips, offer highlights of past trips and try to do other creative articles, giveaways, customer profiles, etc.

Most sales will occur at the retail level. The sales that occur between customers and travel agencies will be discounted appropriately, approximately 15%. Transactions will occur as the result of customer contact in response to communication efforts. In addition, AEU will engage in personal selling.

5.2.1 Sales Forecast

The following charts and table shows AEU's expected sales forecast.

Sales Forecast
Year 1 Year 2 Year 3
Sales
Heli-skiing $360,000 $500,000 $570,000
White-water Rafting $140,000 $260,000 $310,000
Mountain Biking $100,000 $200,000 $240,000
Other $0 $0 $0
Total Sales $600,000 $960,000 $1,120,000
Direct Cost of Sales Year 1 Year 2 Year 3
Heli-skiing $0 $0 $0
White-water Rafting $40,000 $70,000 $78,000
Mountain Biking $28,000 $50,000 $64,000
Other $0 $0 $0
Subtotal Direct Cost of Sales $68,000 $120,000 $142,000

5.3 Milestones

Adventure Excursions Unlimited will have several milestones early on:

  1. Business plan completion. This will serve as a roadmap for the organization. While AEU does not need a business plan to raise capital, it will be an indispensable tool for the ongoing performance and improvement of the company.
  2. Set up the office. This will be the main/only office located in Eugene, OR.
  3. Develop the training program. This program will be used to train the leaders of our trips.
  4. Completion of first trip.
  5. Completion of twentieth trip.
Milestones
Milestone Start Date End Date Budget Manager Department
Business Plan Completion 1/1/2001 1/21/2001 $0 Jordan Marketing
Office Set-up 1/1/2001 2/1/2001 $0 Jillyn Department
Develop Leadership Training Program 2/1/2001 3/1/2001 $0 Jordan Department
Completion of First Trip 4/1/2001 5/1/2001 $0 Loren Department
Completion of 20th Trip 4/1/2002 5/1/2002 $0 Loren Department
Totals $0