16.2 P3 & M2

Introduction:
Identify relationships between UK passenger transport networks & travel & tourism component industries & then will be explaining how UK passenger  transport networks work with travel &tourism component industries

Air

Agency agreement relationship 

Component: Travel agents

Cooperation relationship

Component: other transport providers

Joint ownership relationship

Component: other transport provider

My example for air transport will be British Airways

Agency agreement relationship

British Airways have an agency agreement with an online travel agency called Ebookers, they have this relationship as British Airways will gain a certain amount of commission from each sale, the commission level is agreed by both organisations to get the best deal for both of them and the passengers/ customers. By having an agency agreement relationship it means British Airways will have more of an advantage other air transport organisations as they are having another way of people buying tickets. The relationship is advertised through the e-agents website and there is currently a sale on the flights which will bring in extra revenue for both companies

Cooperation relationship

British Airways have a cooperation relationship with some of the carparks at London Heathrow airport, this relationship helps increase sales of passengers putting their cars into the carparks as they get a certain amount of discount if flying with BA, the relationship is promoted through Heathrow airport car park booking website and the British Airways website. Not only do the customers save money when putting their car in the carpark but they can also earn avios points which can they over time equal to flights and class upgrades. The air passenger transport company also have a cooperation relationship with hotels near Heathrow as customers will also get a deal and earn avios points just like the car parking scheme. Having a cooperation relationship helps out the British Airways customers as they can improve the overall holiday experience and can make it less stressful, making BA a more likely choice of company to fly due to previous experience. The relationship is also good for the hotels and car parks, because they get customers and income. 

Joint ownership relationship

In 2010, British Airways joined into a joint ownership relationship with Iberia (owned by a Spanish Company), the relationship was publicised through news channels to say about the new company called International Airlines Group, the relationship is beneficial to both of the brands because they will have 419 planes going to have more than 200 locations. They will then be able to serve 62 million passengers every year making them have a more competitive advantage. Also, going into joint ownership relationship they will save around £350 million every year.

National Rail 

Joint ownership relationship
Component: other transport providers

Cooperation relationship

Component: tourist attractions

Agency agreements

Component: travel agencies

My example for rail transport will be National Rail

Joint ownership relationship

National Rail have a joint relationship with National Express as they are owned by the same company, They have a joint ownership relationship because it means more people are aware they are the same company and could be more likely to travel with either one if there is previous positive experience. They have a joint ownership relationship as it means they having a competitive advantage as they are combining two of the passenger transport types and gaining more income rather than being two separate business/ organisation

By having a joint ownership, it means the rail and coach company will be able to offer better deals to customers and other component industries, for example  tourist attractions and airports

Cooperation relationship

National Rail have this with London Zoo which is a tourist attraction, people who travel on a national rail ticket can get the deal buy one, get one free. They promote their relationship and deal via the national rail and the tourist attraction website, through the Martin Lewis show and through newspapers. National Rail have a cooperation relationship because it will make more people travel with National Rail and the zoo, increasing passenger and tourist numbers. National rail have relationship with the tourist attraction as it helps bring more income in for the company because it makes more people to travel with the rail company and there is also the word of mouth as more people will tell others about the deal and more people will travel with National Rail. This is why National Rail have a cooperation relationship with the tourist attraction as it benefits both of the companies

Agency agreements

Sometimes, National Rail will have an agency agreement with some travel agencies because it means they will gain more income as they can charge the price of the ticket and a commission level to be agreed on to bring in more money per ticket than it costs to buy online or at a national rail station.

Bus

Agency agreement relationship 

Component: other transport providers

Cooperation relationship

Component: other bus transport provisions

Joint ownership relationship

Component: Rail transport

Arriva is a bus company which operates in the UK

Agency agreement relationship

Arriva have an agency agreement with Virgin trains, as the bus company sell on virgin train tickets to the customers who are travelling on the bus and wanting to carry on their journey.

This relationship is published on both websites and on Wikipedia

Cooperation relationship

The bus company have a cooperation relationship with other bus provisions but are within the same company (just in separate parts of the UK).

This relationship exists because there has to be a certain amount of buses in each area for the bus company to carry on being in business.

This relationship is promoted through the website, when passengers are looking for the bus service and timetable they require

Joint ownership relationship

Arriva have a joint ownership with East Midlands and Southwest trains, they have a joint ownership relationship because they can offer customers two types of transport when travelling around the UK.

The relationship is promoted through both of the passenger transport website

Coach 

Agency agreement relationship 

Component: Travel agents

Cooperation relationship

Component: other transport providers

Joint ownership relationship

Component: accommodation providers

My example for coach transport will be Shearings holidays

Agency agreement relationship

Shearing’s holidays get customer bookings through travel agencies, the agency agreement is that the agencies that sell the products get 3-5% commission level (depending on the product). This relationship is promoted through the travel agency having the Shearing’s coach brochure on display for customers to pick up and also on the coach’s website there is a page where you can find out the closest travel agency to your location who sells the holidays.

Cooperation relationship

The coach company have a cooperation relationship with a river cruise company to benefit the customers as they can have two forms of transport on one trip. This relationship is promoted through the brochures showing what the company can offer. They have this relationship because it means that they can offer the customers a wide range of transport ways of seeing a place in the UK

Joint ownership relationship

Shearing holidays also have a joint ownership of over 40 hotels in the UK, the relationship is promoted through the coach transport website by being able to view each hotel and choose which one the customers want to stay in.

This relationship is good for the coach company and the hotel, as they will get more guests staying in the hotels as there will be more people booking coach transport (if wanting an extra day in there location)

River Bus 

Agency agreement relationship 

Component: travel agencies

Cooperation relationship

Component: tourist attractions

Joint ownership relationship

Component: other transport types

My example for river bus will be the Thames Clipper 

Agency agreement relationship

The clipper has a relationship with some travel agents (mainly based in London)and e-agents to sell tickets to go on the river bus. This increases income and tourists may book the tickets in advance as an overall package holiday

Cooperation relationship

Thames clipper have a cooperation relationship with tourist attractions and are advertised on the website as there is a link to a page to show what deals and offers there are for the passengers to purchase if already on the Thames clipper or buying it as a joint ticket. There have this relationship because more tourists will want a different method of transport when travelling around London but still get to see the attractions so it is good for both of the parties.

The offers for the tourist attractions can be: Save money when going to London transport museum or Save 20% when going to Cutty Sark

Joint ownership relationship

Because the Thames clipper only travels along the Thames, they have joined up with Minicabit to help passengers find a cheap and quick way to complete the rest of the journey. This relationship is promoted through the Thames Clipper website and it shows the people there are other options to carry on the journey so it will increase more passengers to go on the clipper

Ferry

Agency agreement relationship 

Component: Travel agents

Cooperation relationship

Component: tourist attractions

Joint ownership relationship

Component: other transport providers

My example for the ferry passenger transport will be Wight link

Agency agreement relationship

Wight link have an agency agreement relationship with travel agencies, to sell ferry crossing tickets on behalf of the ferry company but for the company to earn commission from each ticket sold (may vary around 3-5%). This relationship exists because some people may prefer to book tickets through an agent rather than trusting a website with credit card details. They have this relationship because it means more people can book ferry tickets

Cooperation relationship

Wight link have a cooperation relationship with tourist attractions, as they can offer the customers a discounted price when booking  tickets as the attractions has a relationship with Wight link. An example of a tourist attraction is the Mottistone manor garden, where customers get up to 5% off. This relationship is promoted through the ferries website as customers can go on a web-link which shows all of the discounts they can get

Joint ownership relationship

They have a joint ownership relationship with a car hire company, where people can get 10% off of the car hire bill when showing their ferry ticket, this relationship is good because it means that ore passengers may chose to go with the ferry if they know they can get a car hire when they get to the Isle of Wight. This relationship is promoted through the ferries website