Alexeco Tours Company

Make A Better World Your Destination

Group Members
Heba Moustafa Elzayat

Ahmed Ezzat

Mohamed Khataby

Mohamed Abdallah

Nessma Mohamed Nasser

 Eco-Tourism Industry
Ecotourism is Responsible travel to natural areas
that conserves the environment and improves the
well-being of local people. A type of tourism that is
directed towards exotic natural environments,
intended to support conservation efforts and
observe wildlife
 Eco-Tourism Industry
Ecotourism is the fastest growing segment within the worldwide
tourism industry. Ecotourism has seen massive growth since the
early 1990s, growing 20%-34% per year, and in 2004 was growing
triple the rate of the global tourism industry.

Over the next six years, it is projected that sustainable tourism could
grow to represent 25% of the global travel market, a value of close
to half a billion U.S. dollars per year . The fast growth of this
segment suggests that now is the time to enter this market and gain
share as a hotel, resort, or as a country.
 Alexeco Tours Company
The concept of this green business idea is similar to travel agents in
the traditional sense. In a nutshell, Alexeco- Tours Company helps
people in Egypt plan their vacations. In an ecotourism business,
however, our company can guide travelers to an eco-friendly trip
and introduce them to ecotourism destinations that they may not
otherwise be aware of.
Alexeco Company provides both international packed tours &
domestic packed tours aiming at stressing the importance of
responsible business which works cooperatively with local
authorities and people to meet local peoples needs and deliver
conservation benefit
 Alexeco Tours
Vision
To be recognized as a leading ecotourism tour operator addressing the
needs for uniting communities, conservation & sustainable travel. We aspire
to become pioneers who can help to create a more caring tourism by
emphasizing the importance of community engagement in facilitating
economic, social & environmental sustainability

With continuous endeavors, we can help Egypt becoming a world renowned

destination specializing in forms of sustainable tourism that, through
partnership and cooperation, benefit natural and cultural heritage
conservation and local socio-economic development
Alexeco Tours
Mission
Improving lives and human well- being by offering
exceptional authentic holidays that can help
people get involved to chart the course for a new
direction in the travel and tourism industry, one
that fosters local economic development and
results in the protection and longevity of cultural
traditions and architectural treasuries
 Alexeco Tours
Goals & objectives
Market Share within next 3 years:-
Becoming a market leader in offering competitive packages
(Inbound- outbound Tours)
Acquiring at least 40% market share of Domestic ecotourism
Become a member of The International Ecotourism Society (TIES)
Relentless improvement by staying ahead of the curve in
anticipating travelers needs and be the fastest company in meeting
their needs
Continuous investigation of best practice initiatives of sustainability
Support training, capacity building and the promotion of good
practice.
Support environmental protection and nature conservation

Alexeco Tours
 SWOT Analysis
Strengths Weaknesses
Well designed & exceptional ecotourism Limited Access to Capital; A limited financial
packages base compared to the major players in the
Access to well trained guides in Egypt tourism industry.
Ability to Coordinate with well trained tour Weak geographical dispersion for our offices
operators , as well as guiding local (Company has only one office & is located in
inhabitants at ecotourism destinations in Cairo )
different countries Lack of managerial Experience
Ability to connect the worlds best small
holiday companies with travelers looking for
more from their holiday than just a brief
stay.
Partnership with various hotels for cross
promotion
Strong business relationship with managers
of eco-lodges and environmentally hidden
resorts in Egypt
Extensive advertising and marketing

Alexeco Tours
 SWOT Analysis
Opportunities
Ecotourism is a growing segment of the
global tourism industry.
Potential Growth in the size of target market
Growing interest nationally in travelling to
destinations where people can escape the
tedium of everyday life and get away from
the norm
Recognizing the importance of ecotourism,
Egypt started to make efforts in order to
make use of its three deserts, which are
filled with a rich biodiversity and history.
A significant rise in number of tourists; a
15.8% annual rise in the number of tourists
visiting Egypt over July 2014, to 885,765.
Ongoing weakness of the Egyptian pound
further reduces the cost of holidays in Egypt
relative to regional rivals.
Alexeco Tours
Threats
Currency Fluctuations (increase in US dollar
can cause rise in total cost of
vacation/holiday packages for Egyptians
seeking ecotourism destinations in other
countries)
Potential increase in the cost of travel
(increase in Air tickets, increase in fuel
prices, in hotel accommodations, etc....)
Potential unrest or riots in Egypt; Country's
unsettled domestic political situation remains
a concern.
Prolonged uncertainty and instability would
be negative for economic reform, potentially
undermining Egypt's appeal as an
investment and tourism destination.
Aggressive marketing campaigns by mass-
tourism agencies in Egypt in order to
retaliate against our offerings by providing
similar packages (Shallow Ecotourism)
 Macro-Environment Analysis PESTLE
Demographics
Population: 86,895,099 (July 2014 est.)
15-24 years: 17.8% (male 7,913,351/female
7,536,925)
25-54 years: 38.4% (male
16,942,145/female 16,398,524)
Technological Environment
the growth of the outsourcing industry and
cloud computing adoption
Egypt has the potential to become a regional
player in cloud computing.
Alexeco Tours
Political
Political situation in Egypt has become more
stable, turmoil & riots have ostensibly
decreased .Growing confidence rests on the
structural reforms the government has
already implemented
Economic Environment
The economic outlook since the July 2014
Presidential election looks optimistic
GDP growth in the fourth quarter of the
2013/14 Fiscal Year (FY) was 3.7%
compared to 1.5% a year earlier.
GDP is expected to grow by 3.8% in FY
2014/15 and 4.3% the following year,
compared to 2.2% in 2013/14
 Macro-Environment Analysis PESTLE

Socio- cultural environment Legal Environment

The general population lacks a solid In addition to the tourism operator license,
awareness regarding green environmental there are other business related licenses
issues, so a pivotal role for our company is that a new business venture may require
to advocate for green environment & before operating. To start a new business,
promote green activities there are a number of government
regulations and legal requirements to fulfill.
Environmental Aspects:-
But uncoordinated institutional systems of
A regulation governing Travel agencies is
monitoring environmental activity, the lack of
the need to join International Air Transport
a common information system, the absence
association (IATA) if firms wish to issue
of a systematic methodology and limited
airline tickets. IATA will require Travel
financial resources contribute to the poor
agents to abide by certain rules & to have
collection and dissemination of
sufficient funds on hand to process airline
environmental information in the country
ticketing on behalf of airline
The environmental initiatives in Egypt are
largely symbolic and designed to attract
foreign assistance funds
 Porters Five Competitive Forces

Threat of Entry
Nature is a non- exclusive good and therefore threat of Entry is high

Bargaining Power of supplier

The bargaining power of suppliers is viewed to be low to moderate

Bargaining power of buyer

Bargaining power of buyers is relatively high

Threat of substitutes
Threat of substitutes can be considered high

Rivalry among existing competitors is moderate to high

Alexeco Tours
 Segmentation-Targeting-Positing

Segmentation
Geographic Segmentation: based on country of residence /country
of destination
Demographic segmentation: based on gender, age, education
level, income, occupation, nationality
Psychographic Segmentation: (lifestyle , activities, attitudes, and
expectations & motivations)
Such as Eco-Traveler who Seeks connection with authenticity of
people and nature & Eco-Adventurer who Seeks authentic, thrilling
and/or awakening activities)
 Targeting
Target Market Segments:-
Inbound free and independent travelers
Domestic residents
Customers: A /A+ Social Class Top notch segment, travelling a lot with high
demanding service level, and house hold income of 100+ K
Enterprises/ Corporations in Egypt who wish to engage their employees
in activities like Team building exercises
Outbound tour operators
Travel agents and travel companies

Alexeco Tours
 Positioning
The company aims to be perceived & positioned in the market as the following:
A quality service tour operator that can offer differentiated travel services to re-
connect customers with nature and cultural traditions that have been eclipsed in the
rush for material benefits
Advocate for sustainable and responsible travel

Positioning Statement:
For those who aspire to get away from hectic lifestyle, live simply and interact with
natural environment, Alexeco-Tours Co. provides exceptional life-changing
experiences through well-designed travel services to eco-tourism destinations where
you can enjoy the scenery live thrilling adventures and lend a hand to put tourism on
a sustainable path.

Alexeco Tours
 Marketing Plan
Product
Our Company creates a clearly identified ecotourism product/service
(domestic packed tours & international packed tours)

Inbound Tours: exceptional & unparalleled experiences

Outbound Tours: Life Changing experiences

Elements which need to be considered during
creating eco-tourism holiday/vacation packages:-
Services offered
Packaging
Timing
Image : Innovative and exceptional ecotourism holiday
packages & Positive social impact

Alexeco Tours
Product
 Marketing Plan
Price
Alexeco-Tours Company provides a differentiated product to a niche market that is
according to statistics is willing to pay more for an ecotourism tour than regular travel
tour, the company will adapt product /service quality leadership approach where
prices are set at premium or a little bit higher than the prevailing prices in the market
to reflect the value provided relative to existing & potential competitors

Adoption of product or service differentiation strategy, as opposite to cost advantage

strategy will assist Alexeco-Tours in terms of breaking free of commodization of the
same product of service category.

Factors that need to be considered during pricing process:-

1-Rack Rates 5-Discounting
2-Seasonal Pricing 6-Package deals
3-Last Minute Pricing
4-Per Unit pricing versus consolidated customers
Alexeco Tours
 Marketing Plan
Place
Direct sale-when a tour product or service is sold to the client
by our enterprise
Direct sale will be either through our offices
(Cairo/ Mohendeseen) or through our website
(website transactions - ability to receive bank transfers)

Indirect sale-when an intermediary, such as outbound tour operator, travel

agent, hotel sells a tour product or service to the client (Responsible Travel-
Blue Sky Travco- different hotel concierge desks).
 Marketing Plan
Promotion
Tourism sales and marketing strategy must
include the following:-
Website design
Online marketing
Social media strategy
Public relations
Personal Selling
Our Company will seek assistance in promoting
its operations by using established brands.
Such a brand is offered by The International Ecotourism Society (TIES).
 Promotion
We intend to leverage our presence using quality brochures, leaflets and other
sales literature, including promotional material
Designing an effective Web-site: Promoting the website via other relevant websites
(Face book, Twitter, Trip Advisor, and Lonely Planet)
Starting Blog with Website
Using Social media: Face book, Twitter, YouTube and Flickr
Contacting Ecotourism and Responsible Tourism Websites
Contacting the Guidebooks like Frommers to let them know about our company,
services offered and request a listing

Alexeco Tours

Make A Better Word Your Destination

 Promotion
The organization aims to promote itself through attending travel shows and
expositions.Generally, it is better to leave trade fairs to the big players due to cost,
but some of the specialist fairs might be practical

The organization aims to promote itself through attending travel shows and
expositions.Generally, it is better to leave trade fairs to the big players due to cost,
but some of the specialist fairs might be practical

Public relations: realizing the importance role of sustainable tourism & advocating
for responsible travel we would launch Campaigns to promote ecotourism like:-
Get involved campaign
Depict your city
Preserve the dream
Sponsoring events that are environmentally friendly like cycling tours

Inviting photographers from National Geographic magazine in Egypt to one of our

eco-tourism tours to live with our travelers an authentic experience and take photos
of the beautiful nature

Alexeco Tours
 Social Responsibility
Alexeco Tours returns 10 to 30 percent of their profits to the
local communities
Putting ecotourism on a truly sustainable path is really a
challenge so our company will undertake the following actions
in order to promote responsible travel:-
Pursuing of voluntary activities to promote consumer awareness of
environmentally & socially responsible travel
Strengthen the knowledge of eco-lodge operators & local vendors
about ecotourism
Provide internship programs with good remuneration system for
students of Faculty of Tourism & Hotel Management or students
who really want to get involved in the industry to educate them about
ecotourism principles and best practices

Alexeco Tours
 Company Ownership

Alexeco-Tours Company is a limited Liability Company LLC with EGP

500,000 contributed Capital invested by four founder partners

The management of a limited liability company may be assigned to one or more

managers. At least one manager must be of Egyptian nationality (Article 281 of the
ministerial decision implementing the Companies Law).

The quotas cannot be traded in the stock exchange, however, any partner can sell
his or her quotas to outsiders, given that he has already offered them to the other
partners and they declined to buy them.

A limited liability company which has a share-capital equal to or exceeding the

minimum share-capital of a closed joint stock company (i.e. LE 250 000) has to
allocate at least 10% of the profit to be distributed among its partners to its
employees as profit-sharing, but with a maximum of 100% of their annual salaries.

Alexeco Tours
 Personnel Plan
1-General Manager
2-Marketing & Sales Executives ( 2 Employees)
3-Accoutant
4- Office boy

Tour guides
Alexeco Tours will rely on experienced self-employed, tour
guides
Financial Section
Financial Section
Projected Income Statement
Personnel Plan
Thank You