Tourism Part 2: Process, Problems, and Solutions Som Karamchetty 10816 Terrier Court Columbia, MD 21044 [email protected] 7 October, 2000 - 9 February, 2003 touristpart2.ppt
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The Travel & Tourism Industry consists of
vendors/suppliers who aim to support and/or
provide the end customer with enjoyable and
Increased competition through globalization (new players
coming from abroad)
Through deregulation (competitors coming from other industries)
Changing customer demands (different lifestyles, for instance
the look for specialized trips such as adventure or edutainment
and different demographics with increasing numbers of seniors)
Increased expectations (more convenience and value, getting
used to the customization of offerings).
At the same time, customers are becoming ever more
knowledgeable (direct marketing is certainly one of the
drivers) and growing accustomed to automated technologies
(such as phone-based systems, various travel websites and
Looking at the trends of international tourist arrivals during the
decade 1989-1998, the growth rate of arrivals worldwide slowed
in the second half of the decade to 3.5% from 5% in the first half.
For the ten-year period 1989-1998 overall, the annual average
was 4.3%. East Asia and the Pacific performed the best
throughout, registering 6.8% growth a year on average over the
10 years. South Asia was the only region of the world which
recorded faster growth (6.8%) in the second half of the
decade, whereas the Middle East exhibited stable growth
during the whole period (6.4% growth a year). Growth in
Europe, Africa and the Americas slowed significantly during
the second half of the decade. Nevertheless, Europe performed
better than expected due to the significant increase in tourism to
Central and Eastern Europe. In volume, the total number of
tourists worldwide increased by 209 million between 1989 and 1998.
Historically, the industry has been an early adopter of new
technologies, for instance Computer Reservation systems
(CRS). As technology becomes more pervasive, traditional
consumers begin to use tools formerly reserved for travel
professionals. In the case of CRS, consumers who have
access to similar systems through their home computers
and open networks can now take over some functions
traditionally performed by travel agents.
Segment #1: The traveler (customer) contacts the ‘Travel Vendor’
to make arrangements for his travel.
Segment #2: The travel vendor makes the necessary reservations
for the traveler using a variety of available ‘Tools’
Segment #3: The travel vendor sells the travel product offered
by the ‘Travel Suppliers’
Segment #4:The vendor also relies on the ‘Support Facilities’
available in order to obtain additional information and settle
the transaction once completed.
Segment #5: The customer then ultimately enjoys the
customer service clerk
reception services coordinator
tourism development agent
promotion and marketing agent
special events coordinator
tourism or festival coordinator
technical operations agent
These are the people that need to be trained and educated to derive
benefits from tourism.
suggest a solution methodology.
Perform a systematic analysis of the various factors that affect tourist interest and tourist experience.
A brief analysis with information from selected sources is presented in the following charts.
It is essential to create a positive experience at each and
every stage to promote a growing tourist business.
Tourism is a trillion dollar business and a country can benefit economically and socially from tourism provided it plans and creates a suitable environment.
Such an environment is described in a
briefing titled: VIP Zones and Environment
In order to succeed in high-risk high-payoff ventures like that described here, an environment has to be created and a sea-change of host attitudes are necessary.
See my briefing entitled ...