COX AND KINGS (INDIA) LIMITED - Securities and Exchange Board ...

After our recent acquisitions in Australia and the US, we seek to further enhance our position globally. We can get ready
access to newer markets / geographies and augment our product / service offerings through strategic acquisitions. Thus, we
continue looking at inorganic growth and may consider consolidating our market share through acquisitions if targets
provide a strong strategic fit at a reasonable price. Our strategy will be to focus on up-market long haul tour operators
whose product offerings include the Indian subcontinent and who complement our existing worldwide product portfolio.
This will enable us to consolidate our sourcing needs, giving us better buying power and yield cost savings. This will fit into
our strategy of offering both outbound and inbound services to our clients in each of the destinations that we operate in. Our
growth strategy involves gaining new clients and expanding our service offerings, both organically and through strategic
acquisitions of companies, which have expertise in the domain in which they operate and which also have a good client
base. This would increase the pace of our growth, thereby enabling us to secure a higher volume of business.
Better Reach & Spread
We are focused on extending our network infrastructure in both domestic and international locations. We intend to improve
domestic penetration through the exclusive franchised shops. A franchisee model is a business arrangement where the
franchisee has the licensed right to own and operate the business based on our business concept and use our brand name. In
this we provide start up help in terms of training, site development, advertising and marketing support. The franchisee is
branded as a Cox & Kings shop and sells only our products. It is a one stop travel shop that provides all travel related
services under one roof, making travelling more simple for the customers.
Online Presence
The online travel market in India is in a nascent stage and offers tremendous growth potential. Having firmly set foot in the
offline market, we have also created our space in the online arena with our existing website www.coxandkings.com. This
primarily offers an additional channel of reaching out to our existing and potential (users) customers which are updated
regularly to feature our products and innovations. We offer various options to the customer giving them the flexibility to
customize the holidays as per their choice. The website offers complete travel solutions offering the user a choice to
purchase any item from an airline ticket, hotel accommodation, logistic support, to a complete tour package. The website
also offers users a choice to purchase any combination of the above and also design their own holiday. We believe that with
the rise in the number of internet users and better acceptability of the internet as a convenient medium for making travel
related purchases, we are well positioned to capture a whole new client base.
Focus on Outbound & Ground Handling Capabilities
Our Outbound Travel business assumes significant share of our total revenues and continues to remain our focus going
ahead. We believe that there is considerable growth opportunity in the outbound tourism segment in India. A buoyant
economy, rise in disposable incomes, coupled with rising aspirations ensures this segment is poised for growth. Also with
travel getting cheaper we believe there will be an increase in the number of people opting to travel outside India. We believe
we are well positioned to exploit this segment with our flexible products and will continue to offer a comprehensive range
of travel contents to the consumer with attractive pricing. We have been selling our outbound tour products covering
destinations such as Europe, the US and the others. We are in the process of expanding and setting up ground handling
activities overseas through our overseas subsidiaries and branches. These ground handling activities would cater to our
outbound customers in the first phase, thus enabling cost reduction and better-personalised services for outbound clients.
Bulk buying advantage
Growing business volumes will give a better bargaining power to make bulk bookings for air travel, hotel accommodations,
car rentals and ground handling. This will enable us to offer competitive packages to our customers and clients, thus
attracting traffic in the long run. The expected growth in business volumes from further domestic and international
operations will provide incremental operating leverage that could be used in turn to offer competitive packages to our
customers.
Strategic Initiatives – expansion of Product Offerings
We continuously evaluate ideas that strategically fit our existing business and expand the products and services that we
offer to our customers. Recently we forayed in visa processing services for diplomatic missions. Globally visa processing
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