(Tiểu luận) operations managementtopic travel planning application tripla

NATIONAL ECONOMICS UNIVERSITY ADVANCED EDUCATIONAL PROGRAMS ———————— OPERATIONS MANAGEMENT TOPIC: Travel planning application - TriPla Class: Advanced Marketing Management 63C Instructor: Mrs Bui Cam Van GROUP Name Student ID Hà Phương Anh 11216709 Vũ Minh Châu 11211023 Lâm Minh Dũng 11211485 Lê Minh Ngọc 11214315 Nguyễn Thu Phương 11219246 Vũ Tùng Quân 11214980 Trần Ngọc Khánh 11212871 Ha Noi, November 5th 2023 TABLE OF CONTENTS I INTRODUCTION Market Potential 2 Target Audience Message Environment Analysis Competitor Analysis II DEMAND FORECAST Survey Objectives Survey Content: Survey's Results III PRODUCT DESIGN 11 House of Quality 11 Product Document 12 IV PROCESS DESIGN .16 Tripla application-making process .16 Tripla process strategy 17 V LOCATION DECISION .18 Location Strategy 18 Factors affecting decisions 19 Factor-rating method 20 VI LAYOUT DECISION 21 Outside Layout 21 Inside Layout 21 REFERENCES 23 APPENDIX 24 I INTRODUCTION Market Potential In Vietnam, tourism is considered the fastest-growing industry in recent years In particular, many businesses have changed their development strategies, enhancing their presence in the market through investment in travel app design According to statistics, websites and mobile apps are the most crucial tools for driving the smokeless industry's growth: Among the top user interests when accessing the Internet via mobile, Travel and Hotels rank second ● 63% of users use smartphones to search for information about travel services: hotels, popular destinations, flights, transportation, etc ● 72% of customers prefer booking travel services through mobile apps ● 54% of customers desire to interact with businesses via their phones The numbers above are the clearest evidence of the consequences brought about by the Fourth Industrial Revolution, leading to a series of emerging issues Customers now demand convenience, speed, and ease when scheduling their trips and booking hotels with just a few simple actions on their internet-connected mobile phones However, the apps in the Vietnamese market currently serve only specific features For example, the Traveloka app assists with hotel bookings and transportation reservations, while the Tripadvisor app provides AI-driven travel planning suggestions As a result, users planning a trip need to use multiple separate apps Therefore, our team has decided to introduce a new AI-integrated app - TriPla which capable of consolidating tasks, from booking hotels and transportation to creating a personalized travel itinerary for customers Target Audience Dr Nguyen Hoang Mai cited the latest statistics from the National Committee on Vietnamese Youth: Currently, Vietnam has over 22.1 million people in the youth age group, accounting for approximately 22.5% of the total population and nearly 36% of the workforce (2023) Youth travelers are individuals aged 15 to 35 Among them, those aged 15 to 17 belong to the stage of adolescence, still largely dependent on their families and schools Those aged 18 to 24 represent the stage of youth within the educational age group, focusing on enhancing their skills, self-improvement, entrepreneurial endeavors, and career development Those aged 25 to 35 are in the phase of young adulthood, gradually stabilizing their careers, aspirations, and families Regarding the ratio of visitors, youth travelers account for 50%, elderly and children 15%, and middle-aged visitors make up 35% Youth travelers primarily engage in leisure trips on weekends and holidays, accounting for 82.50%, while weekday travel represents 6.80%, and combined weekday and weekend travel is 10.70% The duration of their trips is mainly days and nights or days and night Youth travelers include 7% of same-day trips, 47% of 2-day/2-night trips, 35% of 3-4 day/night trips, and 11% for trips lasting more than days/nights The majority of young travelers have an average daily spending of - million Vietnamese dong; they spend 500,000 dong - million dong per day on nearby destinations and independent travel Well-to-do, affluent youth are capable of higher spending, with a range of 2-3 million dong per day Therefore, TriPla's primary target audience will focus on the age group of 18-30 years This demographic is characterized by their understanding of technology, independence, and a tendency towards independent travel and the desire to experience solo or with a group of friends and family They prefer self-discovery, booking services online, and using mobile apps This is a group of young travelers who value freedom, creativity, dislike reliance on travel agencies, asserting their self-sufficiency in life Message “Easier to build your own trip with AI” "Embark on your next adventure with TriPla's AI-powered travel planner! We understand that creating your dream trip can be a daunting task, but with our intelligent AI, we make it easier than ever Let AI be your travel companion as you effortlessly build a personalized journey, book hotels, arrange transportation, and calculate your budget all in one place Say goodbye to the complexities of trip planning and hello to seamless travel experiences with TriPla It's the future of travel planning, made simple!” Environment Analysis ● Political Factor: As TriPla’s scope of operation is limited to Vietnam only, Vietnam’s political stability is crucial for TriPla to function well Vietnam’s political status is identified as stable and voted as the safest location in the Pacific Asia region Data on tourism revenue shows that Vietnam’s tourism activities have recovered post COVID-19, 2023 January received 13 million domestic tourists and 872,000 foreign tourists, 1.6 times higher than the same period last year This is a perfect opportunity for TriPla to position itself as a helpful assistant in tour planning as Vietnamese people’s traveling demand rises ● Economic Factor: Based on the press release on the labor and employment situation, the average monthly income of workers in 2022 was 6.7 million VND In the first quarter of 2023, the average monthly income reached 7.0 million VND, an increase of 355,000 VND compared to 2022 The average income of urban workers is 1.41 times higher than that of rural workers (8.6 million VND per month compared to 6.1 million VND) This income disparity though diversifies consumer demands, but also contributes to the rise of Vietnamese people’s traveling demand, especially urban people However, as a result of the global economic recession, unemployment rate in Vietnam is estimated to rise in the last quarter of 2023 ● Social Factor: Vietnam’s population is currently at 99.9 million people and is estimated to reach 100 million at the end of 2023 As TriPla is 100% free of charge, people of any economic level, gender and age can use the application However, these factors will diversify traveling and tour planning behaviors For example, people of older age may stick to traditional tour planning methods instead of using an application ● Technology Factor: TriPla is an AI-integrated application for tour planning While AI-integrated applications aren't new to Vietnamese people anymore, especially Gen Z, the use of AI in tour planning is a new feature that no other apps in Vietnam have had Competitor Analysis Origin Traveloka Metrip Tripadvisor Indonesia Vietnam USA Strengths - Top of mind when it - Integrate Plantrip - Considered to be a comes to tour booking feature which can “national reviewing (flight/train tickets, help users create a app” (app review hotel rooms, ) clear timeline and xuyên quốc gia) applications share it with friends because this app is - Offers many combo of and is reviewed to perfect for finding flight ticket and hotel greatly replace noting restaurants, attractive room apps like Google locations, reading - Usually offers Sheets, Google Docs detailed reviews for coupons and discounts in planning a trip reference, looking at when booking, - Provide many posts photos and checking especially for new and reviews for out rating users users’ to reference on and they can also share their experience on the app Weaknesses - Solve customers’ - Doesn’t integrate - Not many situation in a rather booking feature transactions occur unprofessional - Frequent errors while because the app manner (many case of using and slow doesn’t offer forgetting to alert updates attractive prices, customers when a mostly used for flight or hotel room is referencing value canceled or delayed) - Require credit card or visa for payment II DEMAND FORECAST Survey Objectives The survey is conducted on the use of AI to assist in planning travel The main objective of this survey is to better understand the challenges, hence uncover customers’ needs and desires in planning a trip in Vietnam It focuses on gathering information about customers’ interests and objectives in travels, the difficulties they often encounter when planning a trip, also the features and services customers expect from an AI-integrated travel application Survey Content: 2.1: General Information Determining the demographics (gender, age, income) of survey participants Understanding their financial capacity for travel and their planning methods 2.2: Travel Planning Process Gathering insights into fundamental information regarding the travel planning process: where they seek information, which apps they commonly use for booking accommodations and flights, and identifying any challenges they encounter when planning This understanding aims to tailor our application to meet customer needs and address the issues they currently face 2.3: Evaluation of the Importance of Functions in the Travel Planning Support Application for Users Assessing the importance of the application functions: planning, expense management, user community, and app interface, to assist us in developing an application with outstanding and practical features These mentioned features also differentiate our app from the existing booking applications 2.4: Intention to Use the Travel Planning Support Application Researching the customer demand for our application, whether customers are interested and willing to share this application with others Survey's Results 3.1 Respondents' Profile: ● Total respondents: 31 ● Demographics: Majority of the surveyed individuals fell between 18-30 years old, with over 50% falling in the 18-22 age bracket, approximately 20% in the 22-26 range, and 26% in the 26-30 bracket Document continues below Discover more from: Operations Management Đại học Kinh tế Quố… 132 documents Go to course 12.3 Phạm Tố Uyên OM - OM_Individuals_123 Operations 100% (1) ● Travel Planning Habits: A notable 71% of respondents prefer planning their own Management itineraries, citing reasons such as the desire for self-discovery and experiencing local cuisine Avoiding strict schedules associated with guided tours was also a key factor in independent planning Furthermore, financial independence in spending is also an important factor affecting the process OM Group-3 Report 37 Business Idea Operations Management 100% (1) Report Artemis Smart 17 Watch Operations Management 100% (1) ● Information Sources: Social media notably influences the travel decisions of the Tài liệu OM - OM surveyed Gen Z population, with a high reliance on platforms like Facebook and TikTok This can be seen as social media platforms now have a significant influence on the target document customers, especially Generation Z, while traditional booking apps are less appealing Operations Management 100% (1) Final Paper 29 Operation… Operations Management 100% (1) Operations and 27 Project Management Operations Management 100% (1) ● Current Planning Tools: Most respondents use basic tools like the Note app on their phones to organize trip information, although it's not structured, leading to disorganization and potential loss of data 3.2 Identified Issues in Travel Planning: ● Self-Planning Challenges: For a significant majority of respondents (62.1%), the most daunting challenge was having to organize everything on their own 55.2% noted that creating a comprehensive plan took too much time, and 41.4% faced disorganization due to using various tools to record their plans ● Desire for Community Sharing: While respondents prefer sharing plans and experiences with friends and family, they seem less inclined to engage in a community sharing feature within the app, leaning towards utilizing external social media platforms for such sharing ● Information Gap: Some respondents expressed issues with not knowing where to begin or encountering a lack of sufficient information when planning their trips 3.3 Proposed Features for TRIPLA: ● AI-Powered Planning Assistance: A significant majority of respondents (over 65%) showed interest in using AI to create customized trip itineraries by aggregating information from travel bloggers and other users' reviews ● Budget Customization and Booking Integration: 86.2% of respondents expressed a need for cost estimation assistance, and 58.6% desired an app that could serve as an intermediary for booking transportation and accommodation ● UI/UX Design Customization: A significant 82.7% emphasized the importance of personalized user interfaces An easy-to-use and aesthetically pleasing design was deemed crucial to optimizing the user experience 3.4 Intention and Demand for the App: ● Interest and Intent: Over half of the respondents (55.2%) showed a high interest in a travel-planning application like TRIPLA Additionally, 31% expressed a clear intention to use the app upon its release ● Feature Prioritization: While Planning Function, Budget Customization, and UI/UX Design were highly desired by most respondents, the community sharing function within the app was less favored 3.5 Insights and Implications: ● User-Centric Approach: The data suggests a strong demand for an app like TRIPLA that prioritizes personalization, efficient planning, and cost management ○ Over 65% of respondents agree with the assistance of AI to customize their own trip with information from other travelers’ reviews or travel bloggers ○ Having a unique journey designed based on the respondents’ favor is seen as most important III PRODUCT DESIGN House of Quality TriPla application has properties: Customize the trip by AI, Auto budgeting, User community and User friendly UX/UI 11 According to the survey our group have done before, we found out that customer responses have indicated the following factors are important for a travel planning app: Auto planning (mean: 4.3) Easy to use (mean: 4.0) Calculate costs in advance (mean: 3.9) Storing information in one app (mean: 3.7) Connect with others user (mean: 3.5) After reviewing the technical requirements, we evaluate the relationship between them: ● High relationship: Customize the trip by AI-Auto budgeting, ● Medium relationship: Customize the trip by AI-User friendly UX/UI, User community-User friendly UX/UI Important weight rating: ● ● ● ● Customize the trip by AI = (5*5)+(4*3)+(3*1)+(2*3) = 54 Auto budgeting = (5*5)+(4*3)+(3*5)+(2*5) = 62 User community = (5*5)+(2*1)+(1*3) = 30 User friendly UX/UI = (5*3)+(4*5)+(2*1)+(1*5) = 42 → The auto budgeting feature is the most important, followed by customizing the trip by AI, next is user friendly UX/UI and the least important is user community Competitors: Metrip and Trip Advisor can be fair competitors for TriPla, their features are diverse Although Traveloka is poor, has less features than these others, it is popular in South East Asia, this app has a very methodical booking system Product Document 2.1 Product Description ● General description: TriPla is an AI-integrated technology application that automatically designs travel itineraries and calculates budgets for customers upon request Users will receive a detailed route without spending much time and effort searching ● Technology applied: AI combines data from the hotel and tourism industries Through user engagement, TriPla's AI is capable of infinite learning based on its database and trending set TriPla's AI will be highly aware of all travel trends and utilize cutting edge technologies to give customers access to up-to-date information ● Outstanding feature: 12 ○ Auto-customized trip by AI: AI by TriPla will automatically give consumers with detailed routes: modes of transportation, locations to go out, places to eat and sleep, based on information supplied by customers and databases that are available ○ Auto budgeting: Customers just need to enter the budget they want to pay for the trip, the amounts will be calculated and allocated by AI appropriately according to the route ○ User community: A forum will be designed as a miniature social network just for users to share and review travel experiences ○ User-friendly UX/UI: The interface is designed to be easy to use, suitable for customers' diverse technology adaptability 2.2 Service process 2.3 Moment of Truth ZMOT: Customers’ first interaction with the brand will be viewing product ads through TVC on social media platforms (Facebook, TikTok, Instagram, Youtube) and website TriPla will also partner up with KOLs, KOCs in the field of tourism, hotels, airlines, to introduce the service to a wider audience, enhance their reputation and reach 13 FMOT: The FMOT occurs when customers first interact with TriPla, typically when they use the application for the first time To ensure a positive FMOT, TriPla will focus on providing a seamless, user-friendly onboarding process and a visually appealing UI/UX design The application must deliver on its promises of providing customized AI-generated trip plans and auto budgeting Their first interaction with these features should meet or exceed user expectations SMOT: The SMOT stage takes place when customers take part in building the TriPla user community Users can share their experiences, reviews, photos, and recommendations on the TriPla forum TriPla will encourage users to build the community by offering incentives such as discounts, hosting minigames, UMOT: After customers’ first encounter with the product, TriPla will implement a feedback system where users can rate their experiences and provide suggestions TriPla will also continue to engage users by providing them with travel diaries, digital scrapbooks, or even suggestions for their next trip, keeping users engaged and ensuring that their experience extends beyond the trip itself Once satisfied with our service, users will share their experience with their family and friends, through WOM and WOW Their stories will create a ZMOT for future users 2.4 UX/UI design 15 IV PROCESS DESIGN Tripla application-making process Step 1: Customers’ research and idea generation - Identify Tripla's goals, wishes, and needs to draw strategic directions for more specific app design and app products Based on the outlined orientation, the team determines the portrait of the target customer such as: who they are, their location, age, personality, interests From there, learn about customer needs and come up with ideas for the app Step 2: Provide sample model and design options for the app creation process - The design team will discuss together to come up with a hypothetical model of Tripla and some design options suitable for the business During this process, the team will request additional features or specific requirements in the official design Step 3: Design the user interface - - Decide important features through house of quality The software design team will build the basic "framework" for your application This can be a draft that includes the most basic features that represent the idea and functionality of a complete app This helps designers and businesses have a more comprehensive view as well as facilitates discussion, correction, and agreement Complete the interface design stage After agreeing on the interface, the app design team will go into details of the app such as fonts, colors, and themes for the app… 16 - This process requires meticulousness because it will be iterative and go through many test runs to produce the final version to meet the requirement of user-friendly Step 4: Deployment - The software development team will test-run the app for the business This step may take a relatively long time because programming and implementation require experience Many problems arise that require continuous research, improvement and development Step 5: Quality check - After completing the application, it is time to check the quality and user experience The app quality assurance team will check the functionality of the app's features and compatibility - whether it has bugs or is easy for users Once the final testing is complete, Tripla is ready to go to market Step 6: Wait for approval and the actual application - After completing the steps to get the app approved on the operating system, the software is ready to deliver to consumers Tripla process strategy As an application product, Tripla chose its mass customization focus process strategy Mass customization is the rapid, low-cost production of goods and services that fulfill increasingly unique customer desires In an era when planning travel, users will have to pay attention to many different issues, mass customization allows Tripla to offer a high degree of customization to its users Users can tailor their planning experience to match their unique needs, preferences, and goals The ability to create personalized plans is a significant draw for users who are looking for tailored solutions in their process While customization implies catering to individual needs, mass customization is achieved through efficient and scalable processes Tripla can use their technology, algorithms and artificial intelligence to efficiently deliver tailored planning solutions to a large user base without significantly increasing costs Besides that, mass customization allows Tripla to collect valuable data on user preferences and behaviors This data can be used to continuously improve the app, offer more relevant features, and make data-driven decisions to enhance the planning experience further 17 V LOCATION DECISION Location Strategy - - - - TriPla’s location strategy is based on low costs ● The application is still in its R&D stage and hasn’t entered Vietnam’s application market ● Keeping costs low is essential for many businesses, especially start-ups looking to establish themselves in the market like TriPla, and also allows more resource in other areas of the business, such as improving the app’s features and designing UI/UX ● TriPla is 100% free of charge, so cost-saving is vital to the survival of the business Country decision: Vietnam ● Market location: Vietnam’s traveling demand and consumer spending are rising, hence the rise in usage of applications that support trip planning ● Labor: ○ May downsize due to economic recession ○ The proportions of the labor force with professional English and office computer skills are increasing annually, which is vital to TriPla’s operation management as the application is heavily technology-based and we are also expecting foreign tourists to use TriPla Region/ Community decision ● The attractive factors of Ha Noi: ○ An ideal central point for the nationwide operation of TriPla, enabling efficient access to key cities and tourist destinations in both the northern and central regions of Vietnam ○ Have a thriving business ecosystem with access to talent, technology, and resources, crucial for the development and maintenance of TriPla, including software development, marketing, and customer support ○ An ideal testing ground for the app's features and services as Hanoi is a popular tourist destination, attracting both domestic and foreign tourists Site decision: After our careful research, we have found the sites below to be the most potential to be the head office of TriPla Both sites offer reasonable rental price for their utilities availability However, each site is located in opposite districts in Ha Noi, meaning they offer different advantages in terms of labor and costs, as we will analyze below 18