Unit of competency Outline

Date retreived
23/07/2026 4:43 AM AWST

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Research, assess and develop tourism products

Research, assess and develop tourism products

Unit of competency
National Code
SITTPPD001A
State Code
S6447
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
07/06/2011
State Implementation and Classification
Approved Date
27/10/2008
Field of Education
080701 - Tourism
Original Release Date
27/10/2008
Nominal Hours
60
Description
This unit describes the performance outcomes, skills and knowledge required to manage product development strategically within tourism and hospitality organisations. It requires the ability to research the market, analyse issues relevant to establishing the product, determine a profitable selling price, establish the product, and monitor and evaluate its success. No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.This unit has a focus on product planning processes. It underpins other specialised Planning and Product Development units that look at the specific and additional skills required to meet particular environmental or cultural requirements:SITTPPD006A Plan and develop ecologically sustainable tourism operationsSITTPPD007A Plan and develop culturally appropriate tourism operations.Negotiating with suppliers for any product component is covered in SITXMGT006A Establish and conduct business relationships.SITTPPD003A Source and package tourism products, takes a less strategic and more operational focus to product development.
Notes
Elements and Performance Criteria
1 Research the market.
  • 1.1 Focus the research of potential tourism products within the context of the overall business plan and marketing focus of the organisation.
  • 1.2 Identify and access general information sources for tourism, tourism market trends, and distribution and marketing networks.
  • 1.3 Consult with and incorporate input from internal colleagues and external stakeholders in the research phase.
  • 1.4 Conduct research to identify current market trends, needs, and product and service gaps and analyse the potential for future product development.
  • 1.5 Identify a range of product development opportunities based on review of the market place and market needs.
  • 1.6 Identify distribution and marketing networks that would support the proposed tourism product and analyse the ability to successfully market.
2 Analyse issues relevant to establishing the product.
  • 2.1 Identify and analyse product preferences and requirements of different consumer markets, including those with special needs.
  • 2.2 Consult external stakeholders on customer and tourism industry service and quality expectations for tourism products and services.
  • 2.3 Identify and analyse external issues that impact on establishing a product.
  • 2.4 Assess suitability of destinations at which product will be delivered for accessibility and availability of services that will meet preferences and requirements of target market.
  • 2.5 Conduct a self-assessment of organisation's capability to provide proposed product and identify additional resources required to establish and deliver the product.
  • 2.6 Consider issues relating to product life cycle.
3 Determine a profitable selling price.
  • 3.1 Identify all expenditure items involved in delivering the tourism product to determine the nett delivery cost.
  • 3.2 Identify organisations that will be involved in the product distribution network and the commission or mark-up structures that would apply.
  • 3.3 Incorporate required distributor commissions or mark-ups, and determine required profit margin and mark-up for profit.
  • 3.4 Make reasonable cost adjustments to ensure market take-up of price-competitive product.
  • 3.5 Assess cost-effectiveness and profitability of a range of proposed products and choose products that will provide the highest yield.
  • 3.6 Clearly and accurately document the full range of pricing structures.
4 Establish the product.
  • 4.1 Communicate a clear, scheduled implementation plan for all personnel involved in establishing the operational details of the product.
  • 4.2 Establish all required marketing activities to promote the product.
  • 4.3 Where appropriate, test new products and services in the marketplace prior to full implementation.
5 Monitor and evaluate the success of the product.
  • 5.1 Monitor product development initiatives in terms of response in the marketplace; feedback from the distribution network, staff and customers; and changes in the internal or external environment that may impact on plans, cost-effectiveness and profitability.
  • 5.2 Identify and action changes required in a timely manner and according to any contractual obligations.
  • 5.3 Communicate changes to all relevant colleagues, customers and distributors.
RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording in the performance criteria is detailed below.

Tourism products offered within the tourism industry are diverse and may include:
products designed for:
domestic tourists travelling within Australia
international tourists travelling within Australia (inbound)
Australians travelling internationally (outbound)

group tours
touring products for individuals
a single product or service
multiple products and services making up a complete tour package
brochured tours
day tours
extended touring programs
specially tailored itineraries
inclusive products or optional touring products
series tours
incentive tours
meetings and conferences
special events
cultural events
sporting events
transportation
transfers
accommodation
food, beverage and catering
entertainment
cruises
attractions or sites
exhibits
guest activities and shows
tour guiding services
adventure activities
functions
venue facilities
convention facilities.


Information sources may include:
local, regional, state or territory, and federal tourism organisations
local, regional, state or territory, and federal tourism and tourism marketing plans
other government agencies
government funding bodies
government and private tourism research bodies
tourism industry associations
destination marketing companies
others in the distribution network, which will vary but can include:
tour operators
tour wholesalers
inbound tour operators
retail travel agencies
event management companies
professional conference organisers

business management and marketing consultancies
reports on tourism
privately owned tourism businesses
national parks and land management agencies
other local communities
local people
internet.


External stakeholders may include:
local, regional, state or territory, and federal tourism organisations
other government agencies
privately owned tourism businesses
tourism industry associations
tourism marketing organisations
destination marketing companies
business management and marketing consultancies
others in the distribution network, which will vary but can include:
tour operators
tour wholesalers
inbound tour operators
retail travel agencies
event management companies
professional conference organisers

local communities and cultural groups within the destination of the product
local businesses within the destination of the product
land management authorities
special interest groups
licensing or regulatory authorities.


Product and service gaps may include:
gaps within the existing product range
gaps in product not currently delivered by any competitor or potential competitor
gaps in products delivered at current or prospective destinations
specific consumer markets not currently serviced by any competitor or potential competitor
markets for which level of demand is not being met.


External issues that impact on establishing a product may include:
legal compliance
legal liability issues
environmental considerations
cultural considerations
technological developments
general industry trends.


Self-assessment of organisation's capability to provide proposed product may involve:
consideration of the range of products currently offered and resources required to diversify
consideration of the product preferences and requirements of target market
conduct of a risk assessment of all aspects of providing required products
consideration of resources required to establish a new product
consideration of the budgetary constraints involved in providing the product and applying a profitable selling price.


Expenditure items may include:
supply of all component products and services that make up the product
capital costs of the product developer and proportion attributed to the product
fixed costs that relate to delivery of the product
variable costs
marketing costs
human resource costs for all personnel involved in planning and delivering the product
business insurances
licensing and permit fees
proportion of product developer's operating costs attributed to operating the product.
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, the range statement and the Assessment Guidelines for this Training Package.

Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the following is essential:
project or work activities that show the candidate's ability to research, assess and develop tourism products for a specific tourism operation and to monitor the product's success
ability to fully research, comprehend and analyse information on the full range of issues that relate to the development of the tourism product
detailed knowledge of the tourism industry, including structure and interrelationships, tourism industry networks, information sources and distribution and marketing networks
ability to consult and communicate with colleagues and external stakeholders
project or work activities conducted over a commercially realistic period of time so that the research, analysis and monitoring aspects of this unit can be assessed.


Context of and specific resources for assessment
Assessment must ensure:
that the candidate has accessed a fully equipped office environment using appropriate computers, communication technology, information programs and publications to facilitate the processes involved in developing tourism products
access to an operation for which tourism products would be developed or to comprehensive and sufficient information about that tourism operation to allow the candidate to fully research, assess and develop tourism products
access to current tourism industry data and information sources about tourism market trends and appropriate product match
involvement of key stakeholders, both internal and external, so that consultation can be achieved.


Methods of assessment
A range of assessment methods should be used to assess the practical skills and knowledge required to research, assess and develop tourism products. The following examples are appropriate for this unit:
project activities to research, assess and develop tourism products in conjunction with an industry operator
project activities to research, assess and develop a tourism product for the training college or local community
review of completed product costing and pricing structures for specific products
case studies to assess the candidate's ability to assess markets with differing product preferences and requirements
case studies to assess the candidate's ability to evaluate tourism products and markets with different distribution and marketing networks
written and oral questioning or interview to test knowledge such as structure of the tourism industry, tourism industry interrelationships, distribution networks, and mark-up and commission structures
review of portfolios of evidence and third-party workplace reports of on-the-job performance by the candidate.

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
SITXMGT003A Manage projects
SITTPPD002A Research tourism data
SITTPPD003A Source and package tourism products
SITTPPD006A Plan and develop ecologically sustainable tourism operations
SITTPPD007A Plan and develop culturally appropriate tourism operations.


Assessing employability skills
Employability skills are integral to effective performance in the workplace and are broadly consistent across industry sectors. How these skills are applied varies between occupations and qualifications due to the different work functions and contexts.Employability skills embedded in this unit should be assessed holistically with other relevant units that make up the skill set or qualification and in the context of the job role.
Replaces
State Code National Code Title Type
C4894 THTPPD01B Create and implement strategic product development initiatives Unit of competency
Replaced By
State Code National Code Title Type
WB967 SITTPPD001B Research, assess and develop tourism products Unit of competency
No information