Current Market Share

Total US Market (Inbound)

MMT Share (2.55%) from USA Total MMT Sales Revenue

114300000
2914650 3238500

Air Ticketing(90%)= $ 2914650

Travel Services=$ 291465

Stock Taking
Over Reliance on US markets (90%) Very less contribution from travel services Very low market penetration viz-a-viz growth rate of industry (around 30%)

Leading to low Revenues

Sustainability of Current Strategy

Avenues of Opportunities
Need to look at new markets -Outbound -Domestic (In phased manner) Need to look at new segments -IT sector could be a huge potential -Tie up with foreign universities for students travelling abroad. Need to offer value added services -Mainly because of higher margins/profitability

Opportunities
Particulars
Rapid Growth in High Potential Higher Margin Outbound From UK and South On Travel International East Asia Related Services Market

Good Brand Name

Strengths

Largest Player In India Well Settled US markets

In depth Knowledge of Target Segment Statergic Alliances

New country segments

UK
Has a population estimate of 1.5 million 8% NRIs visit India

Far east
9% of the NRIs visit India Highly preferred destination for Education The manufacturing companies setting up facility in India

EURO countries
Target countries using Euro currency European people visiting India is very high (15 million visitors every year)

PESTEL analysis (UK)

Political System is stable Encouragement of foreign investment Social Immigration growth rates at 3 to 4% Continuous increase in Indian population in UK Economic Projection for GDP growth at a change of 2 4 % Air travel contributes about 10.2 billion to GDP, 1.4% of the total. Environmental Terrorist threat to UK & recent hijacking issues

PESTEL analysis (Australia)

Political System is stable Encouragement of Indian students for education
Social Indians bound to Australia increases by about 37% every year Continuous increase in Indian students in Australia

Economic Contribution to world GDP at just over 9% Air travel & Freight 9.2% of Australian economy.

Environmental Racist threats to Indians in Australia

New target customers

IT professionals
Travel to US, UK in Higher class Propensity to income high

Students
Indian students prefer countries like Australia, USA, UK & other European countries for pursuing higher studies

Foreign nationals visiting India for education

Students from Far east visit India for their education From countries like Indonesia, Philippines etc.

Value added services

Global SIM card sourcing Reasons: Image related brand extension possible (Dealing with hospitability and aviation business) Growing number of IT professionals travelling outside India Evolving trend in Indian students to study in foreign universities Increasing customer satisfaction (Bundling) Increasing roaming costs Online gift-giving service Reasons: Increasing size of the NRI segment Increase disposable income of the NRIs which leads to greater gift giving capacity Expanding the service offering (New product-current segment)

Front end operation: Global SIM card sourcing

Select origin and destination country Select tentative time for stay in destination country Choose service provider (Ratings given alongside by previous users) Choose plan (From a suggested list) looking into the call rates and fixed charges

Select mode of shipping

Select documents to be provided at point of delivery of SIM to support above Give personal details (Name, age, qualification, purpose of visit, etc.) Choose number of SIM cards required

Select point of delivery

Select payment mode

Authenticate and Pay

Front end operation: Online gift-giving service

Select class of gifts (For whom u want to give the gifts) Select the type of gift Select date of delivery Give address of point of delivery Option to select more gifts or forward towards payment Select payment mode

Select country of delivery

Choose price range Read gift description and reviews about the gifts in this range Choose gift and add to cart

Purchase gift box Personalize gift (Like embedding a message on the item)

Authenticate and Pay

Select number of items

Website

Back End Operations SIM CARD & GIFTS

Strategic Alliances with Service Providers & Gifting Sites Logistic Partner for smooth delivery Call Centre Support for Consumers

Revenue Generation-Gifts
Total Revenue=Commission on Gift items+ Float Money.

Expected Revenue:
Market Penetration=10% of First time outbound travelers Expected Gift ticket size= Rs 1000/- ($ 25) Commission rate=15%= Rs 150 (approx $ 4) Total Revenue=$4*10% of outbound in the year 2004= $ 2.16 million (10% of 5.4 million=.54*$4)+$ 20000 (Float @ a average of 15 days and 3.5%)

Revenue Projection SIM Cards

Total Revenue=Commission on SIM cost and recharge. Expected Revenue: Market Penetration=30% of First time outbound travelers Expected SIM Cost= Rs 1600/- ($ 40) Commission rate=3%= Rs 48 (approx $ 1. 2) Total Revenue=$4*30% of outbound in the year 2004= $ 2 million

approx
(30% of 5.4 million=1.62*$40*3%)

The Change
Increase in customer traffic due to first mover advantage in Gifts/SIMs -New Customers likely to stay put if targeted through better service. New markets and segments to increase the revenue and market share globally. Increase in Revenues
On value added services By increase in Market share and customer base by the new strategy of Value added service.

Promotion All target segments

Google Ads
AdWords AdSense

Advertisements
Airport lounges

Inflight promotions
Flight tickets Magazines

Promotion All target segments

Travel Agents
Banners, pamphlets in offices Globally

Partner websites
Logistics
Service providers

Websites
Incredible India India Brand Equity Foundation

Promotion - Specific
IT professionals
Offer communication through HRs

Indian students (to foreign countries)

Liaison centres Colleges/Universities

References
http://www.bankofengland.co.uk/publications /speeches/2005/speech260.pdf http://www.oef.com/Free/pdfs/Sumavuk.PDF http://www.asiatraveltips.com/news09/133TravelResearch.shtml

THANK YOU