Priceline Tourist Company Analysis - Article Example

Tourism Company Priceline.Com is recognised as one of the most reputed American organization, operating successful in the industry of travel and tourism. It came into existence in the year 1997 and within a very small time frame; it attained a remarkable growth in revenues and net income like US$ 6.79 billion and US$ 1.89 billion by 2013. However, such improved revenue is mainly due to its strategy of ‘name your own price system’. Besides, due to this strategy, numerous customers used to offer their desired prices but the organization failed to fulfil their expectations. So, the trust and confidence of the customers declined day by day over the services of the brand and therefore, to retain its image, Priceline tried to offer quoted service charges to its customers. This proved effective for the organization thereby amplifying its profit by US$ 2.41 billion by 2013 (Priceline.Com, 2013). This part will discuss about the headquarters of the company and locations. It will also talk about the franchises. The Priceline.Com is headquartered in the region of Connecticut Avenue of Norwalk. The satellite location of the Priceline.Com is named as Satellite Inn of Alamogordo. It includes varied types of facilities such as internet, pet friendly environment, free parking facilities, Wi-Fi, balcony, 24 hours reception facilities and many more. So, its reputation and ranking is extremely high within the region of Boulevard of Alamagordo (Priceline.Com, 2014). However, in order to improve its image and position, the Priceline.Com desires for franchise. Franchise helps an organization to amplify its customer base and popularity in the market among many other rival players thereby increasing its competitiveness to a significant extent. This part will discuss about the Corporate Officers of the company. The CEO of the Priceline.Com is Darren Huston and Robert J Mylod Jr. is the current CFO and Michael Diliberto is the CIO and Daniel Schulman as COO. Moreover, the chairman of the board of directors of the Priceline.Com is Jeffery H. Boyd. However, due to the joining of these above mentioned individual within the Priceline.Com, it amplified its prosperity and popularity in the market of Norwalk as compared to many other existing players. Conversely, Mr. Boyd enhanced the profitability and market share by implementing varied types of improved techniques and strategies within the organization (Priceline.Com, 2014 a). This part will talk about Branding and Marketing. The logo of Priceline.Com is extremely attractive and distinct for the tourists interested to know about the varied destinations in the entire globe. However, in order to make more visible and detectable to the customers, the background of the logo is presented in blue colour with the name of the brand written in white as shown below. (Source: Priceline.Com, 2014) However, such type of designing proved extremely effective for the organization that amplified its profitability and prosperity in the market among others. The current slogan that the Priceline.Com utilises within its advertisements is ‘name your price’ or ‘spend less’. However, these words proved extremely effective for the Priceline.Com to attract numerous interested tourists of varying age groups and income groups. Thus, the range of customer base increased that amplified the total revenue and profitability as compared to many other existing contenders. The tagline of Priceline.Com is ‘no one deals like we do’. This tagline is appropriate for the organization to attract numerous customers desiring to attain excellent tourism services at effective prices. This part will discuss about the Target Market of the company. The target market of Priceline.Com is the individual desiring to visit varied types of lovely and interesting destination but searching for discounted pricing hotels, transportations like: cars, flights cruises etc. The Priceline.Com is highly effective for these customer groups. This part will discuss about the kinds of media the company uses along with their target markets. The Priceline.Com promotes its underlining benefits and features through its online sites as well as social media. This helped the organization to amplify its customer base and market share. This part will discuss about the related companies of the considered organization and their fitness. The Priceline.Com do not comprise of any other related companies. It mainly tries to offer best deals to the interested tourists at the time of booking the hotels, flights, cars etc. This part will discuss about the jobs that are currently available and benefits employees enjoy while working in the company. Varied types of job opportunities are offered by the Priceline.Com for the deserving candidates such as manager for debit memo management, vice president of corporate communication, GIS analyst, market analysis and reporting and many others (Priceline.Com, 2014 c). The most important benefit in working with this concern is that, it offers entire medical, dental facilities along with travel reimbursement as well as employee discount facilities (Priceline.Com, 2014 b). This part will discuss about the global impact and the share of global market the company enjoys. The Priceline.com enjoys a market share of 29 percent in global perspectives as compared to many other rival players. But in local market, the reputed online travel agency (OTA) lost its market share as compared to Expedia that occupied 40 percent (Forbes, 2014). This part will discuss about the direct competitors. The direct competitors of Priceline.Com are Expedia, Orbitz Worldwide, Sabre, Venre, Tui Travel, Octopustravel and many others. This part will discuss about the effect the company imposes upon the ecology. The Priceline.Com always needs to follow the rules and regulations of environments so as to enhance its reputation and sustainability. Moreover, the travel related organizations also need to be extremely conscious about the guidelines of the environment so as to reduce environmental pollution and to attract a wide range of customers towards the brand as compared to others. This part will discuss about the eco-friendliness of the company. The Priceline.Com tries to maintain eco-friendly environment by selecting hotels with tropical gardens and plants. It is done in order to attract a wide range of environment conscious customers that may amplify its total revenue and profit margin. This part will discuss about whether the company is carbon neutral. The Priceline.Com operates in travel and tourism and so it always tried to offer carbon neutral resorts and hotels to its customers with tropical gardens and plants in the entire background. Such type of greenery might offer fresh air to them. This part will discuss about the sustainable activities the company has participated in or initiated. In order to enhance the sustainability and market share, the Priceline.Com tried to offer varied types of loans and mortgages to the customers such as home mortgages, refinancing, home equity loans etc. Moreover, it also offers services through websites such as lowestfare.com, rentalcars.com, breezenet.com etc so as to present lowest and discounted fares to the leisured customers. Such type of services enhanced its brand image and market value among others (Priceline.Com, 2013). The Priceline expanded to numerous international markets in recent ages that amplified its growth to a significant extent as compared to previous years. Therefore, in-spite of lowest market share in domestic market, the organization enhanced its customer base and reputation in global perspectives as compared to many other existing contenders such as Expedia and Tuitravel.com. Thus, expansion in international markets proved extremely effective for the Priceline.Com in this age of competitiveness and high bargaining rivalry (Priceline.Com, 2013). This part will discuss about the external business opportunities of the company. The Priceline.Com might expand in the markets of developing and developed countries with moderate per capita income. So that the customers might get attracted towards the offers, that may improve the brand value and corporate position of the Priceline.Com among others in global markets. References Forbes, (2014). Priceline will see its growth accelerate in core US markets. Retrieved from: http://www.forbes.com/sites/greatspeculations/2014/02/19/priceline-will-see-its-growth-accelerate-in-the-core-u-s-market/. Priceline.Com (2014). Search and save in Hotels. Retrieved from: http://www.priceline.com/. Priceline.Com. (2013). Annual Report of Priceline.Com. Retrieved from: http://files.shareholder.com/downloads/PCLN/3347966690x0x746228/D29948CF-0BAD-44C9-A271-E68EFB3DB911/PCLN_2013_Proxy_Statement.pdf. Priceline.Com. (2014 a). Investor Relations. Retrieved from: http://ir.pricelinegroup.com/directors.cfm. Priceline.Com. (2014 b). Careers. Retrieved from: http://www.priceline.com/careers/. Priceline.Com. (2014 c). Job Openings. Retrieved from: http://www.priceline.com/careers/content/listing/. Read More