Contiki: Business Analysis

Social media is known as

‘Collective of online communications channels dedicated to community-based input, interaction, content-sharing and collaboration.’ Rouse, M. (2012) It is a method of marketing and selling that businesses must make good use of in order to match or surpass their competitors. Although a relatively new phenomenon, social media is rapidly turning into a vital part of the modern marketing mix. Most businesses now have a social media based platform and managing a flexible presence on each of the "BIG THREE" (Facebook, Twitter and Google+), has become a must for any business aiming to sell or promote their business. Social media is at the forefront of how millennials and young adults purchase and view products and services.

The travel company was formed in 1962 specifically to create coach trips around the world for 18- to 35-year-olds to include a mix of sightseeing, free time, culture, socializing, and adventure. Since then it has grown to offer over 300 trips in 6 continents. Most of their branding is created through the use of social media, so what has made this company grow so dramatically in recent years and why has social media facilitated them so much?

One of the main factors to focus on for Contiki holidays is that they aim their trips at students and young people, aged 18-35. As social media is their main platform or form of marketing and selling holidays the growth of Contiki holidays is a good illustration of social media being used

By closely communicating with clients on a social media level, a company can become a trusted source of information which makes it a great asset when creating company awareness and brand credibility. Social media can be a great source of customer service, transforming negative customer’s experience into a positive outcome for a business. Contiki holidays have created a social media presence that allows potential customers to feel like they can trust the company, where past clients can write reviews on their Facebook, Twitter and Renren, which is like a Chinese equivalent to Facebook this just shows what a wide range of potential customers they are reaching as well as customers being able to see what past clients have thought about the trips provided. Customer satisfaction is the key to retention and in the long run it is loyalty awarding to a company’s brand.

According to the independent study of Thanh, L (2015) 87% of users agree that Trip Advisor hotel reviews help them feel more confident when they are placing bookings, based on the fact that 98% of respondents have found trip advisor reviews to be accurate of the actual experience while 53% of respondents do not book a hotel that does not have any reviews on the site. Contiki holidays are well aware of this, as they have a number of Trip Advisor pages that allow new and existing customers to build trust and get a genuine idea