Nirvana Europe, specialist sports tour operator and Ironman partner, were looking for additional benefits they could include within their trip packages. A considerable proportion of Nirvana’s business model guarantees entry to Ironman events, even when general entry sells out. Participants typically need to use Nirvana’s additional services, notably accommodation and transfer services.
For some customers, the cost to enter an Ironman, which can often be more than £600, was a barrier. Customers were concerned that if their plans or circumstances changed due to injury and they could no longer compete, it would leave them out of pocket.
STRESS-FREE EVENT TRAVEL
Nirvana prides itself on stress-free travel, so to facilitate its business growth, we pitched a group cancellation policy that Nirvana could buy on its customers’ behalf. With every sign-up, Nirvana would include complimentary cancellation cover for the race entry costs if the participant were to pull out due to unforeseeable circumstances. The economies of scale offered Nirvana a fixed-cost solution that enabled them to budget for unforeseen cancellations. The customers can relinquish their entry, allowing Nirvana to sell it again.
The perceived benefit to the customer is significant, solidifying Nirvana’s status as a premium sports tour operator whilst helping customers financially in situations beyond their control and offering a benefit they would unlikely get elsewhere if they had to withdraw from the race.