Akshar Travels

On March 17th, 2013, Mr Suhag Modi, General Manager of Akshar Travels, had to decide which customer segments to cater to for different tour packages of Gujarat. The customers, as identified by Mr Modi, were broadly categorised under three generational segments, namely Millennials, Generation X, and Baby Boomers. In 2012, Gujarat's tourism sector contributed 3.5% of India's GDP. As per Indian tourism statistics 2012, the percentage share of Gujarat in domestic visits accounted for 2.35%, and it ranked ninth. In contrast, the percentage share of foreign arrivals in Gujarat was 0.84%, and it ranked 15th for the same. Travel packages were directly associated with the profitability of Akshar Travels. So, it was important for Mr Modi to design the right kind of travel package that met the customer's expectations and aligned with their willingness to pay for the same.