D2.TCC.CL1.07 DEVELOP & UPDATE TOURISM INDUSTRY KNOWLEDGE
Subject Elements This unit comprises three Elements: • Source current information on the tourism industry • Source information on compliance and related issues which impact on the tourism industry • Use sourced tourism industry information
Assessment Assessment for this unit may include: • Oral questions • Written questions • Work projects • Workplace observation of practical skills • Practical exercises • Formal report from supervisor.
Element 1: Source current information on the tourism industry
Source current information on the tourism industry Performance Criteria for this Element are: • Identify sources of information on issues of economic, political and social significance, and obtain such information • Identify sources of information on tourism industry statistics and trends, and obtain such information • Identify sources of information on the relationship between the tourism industry and the role of the local community/ies, and obtain such information.
Source current information on the tourism industry Performance Criteria for this Element are: • Identify sources of information on tourism markets and their relevance to market segments, and obtain such information • Identify sources of information on the nature of the relationship between tourism and other industries, and obtain such information • Identify sources of information on different tourism industry sectors, their inter-relationships, the services available, and obtain such information.
Source current information on the tourism industry Performance Criteria for this Element are: • Identify sources of information on major tourism industry bodies, and obtain such information • Identify sources of information on specific features of the local/regional tourism industry, and obtain such information • Identify sources of information on environmental issues, and obtain such information • Identify sources of information on career opportunities within the tourism industry and the allied roles and responsibilities of staff, and obtain such information.
Source current information on the tourism industry Performance Criteria for this Element are: • Identify sources of information on work organisation and time management in the tourism industry, and obtain such information • Identify sources of information on quality assurance in the tourism industry, and obtain such information • Identify sources of information on current and emerging tourism industry technology, and obtain such information.
Introduction - tourism industry • What is tourism? • What is in the tourism industry? • What does it provide? • Who uses tourism?
Introduction - tourism industry • Tourism involves all activities that take people away from their usual place of residence for any reason • Common reasons include holidays, recreation, business, visiting and experiencing new cultures and to visit family and friends • Any business that is utilised during any part of travel is associated with the tourism industry (continue)
Introduction - tourism industry • The tourism industry is one of the largest industries in the world and for many countries is its major economy and employer • Industry knowledge is a vital pre-requisite for effective performance within the industry.
Sourcing tourism information It is important in the tourism industry to have up-to-date information so you can: • Talk to customers about industry specific events, trends and happenings • Plan your career • Update your knowledge and skills • Maintain a professional interest • Communicate effectively • Learn new techniques.
Sources of tourism information There are a number of sources that will be a great starting point to get an overview of the industry as a whole. • Colleagues, supervisors and managers • Representatives • Developing your own industry network • Conferences and seminars • Product launches • Internet.
Tourism topics We will look at a range of topics that are important to the tourism industry. We will explore: • The topics themselves • Where to find information.
Global tourism topics Firstly, lets look at some ‘global’ tourism topics: • Economy issues • Political issues • Social issues.
Economic issues • Primarily an economy consists of the economic structure of a country or other area • It is a true measure of the success of a country and is the backbone for generic advancement. What are the major economic issues that impact on tourism?
Economic issues An economy comprises the utilisation of resources including: • Labor • Capital • Infrastructure • Geography • Ecology (continue)
Economic issues • Natural and land resources • Manufacturing • Trade • Distribution • Consumption of goods and services.
Economic issues An economy is based on the concept of supply and demand: • What is supply? • What is demand? • How do they affect each other?
Economic issues Demand When looking at the economy as a whole demand is driven by: • The need for people to travel • Their financial means to do so.
Economic issues Demand Demand, in relation to the tourism industry, is influenced by: • Necessity • Employment • Inflation • Disposable income.
Economic issues Demand: • Costs of goods and services • Opportunity costs • Basic needs and wants • Marketing and promotions.
Economic issues Demand in Asia Demand for travel within the Asian region is strong, with many people seeing Asia as a growing tourism market for a number of reasons: • Strong economic growth markets • Ease of travel • Large population base • Greater demand for ‘localised’ travel • Cheap package and transportation options • Cheaper products and services within Asian countries.
Economic issues Supply If demand for tourism remains strong, therefore there is a need to supply resources to cater for the demand.
Economic issues Supply Some of these resources would be provided or funded by governments including: • Roads, airports and other transportation • Electricity, water and gas supplies • Basic services including hospitals, waste management, post offices and police.
Economic issues Supply There are many types of businesses, directly associated with tourism that would need to be developed or funded through private resources including: • Transportation • Accommodation • Food and Beverage • Attractions.
Economic issues Supply There are also many businesses, whilst not directly associated with tourism, would need to be developed including: • Retail shops • Pharmacies and doctors • Supermarkets • Suppliers for tourism operations.
Economic issues Supply The most important aspect of supply is people. Without a readily available workforce many tourism businesses would not be able to operate. Therefore there is a need for: • Suitable quantities of workers • Education and training providers • Accommodation, meals and appropriate working conditions for workers.
Political issues The influences of government, whether nationally or locally can certainly influence the demand and operations of a tourism organisation.
Political issues Some political policies that would influence a tourism organisation include: • Fiscal Policies • Monetary • Wages • Exchange rates • Ease of travel • Legislative changes.
Social issues Social significance relates to how a society deems something to be important in their lives. In terms of tourism, more people work harder and therefore want to enjoy their relaxation time.
Social issues Social trends show society has: • A better quality of life • Greater need for tourism products • Greater community pride • Great understanding and appreciation of the world • Increased appreciation of culture • Greater understanding of other people.
Finding information • Local government websites • Local community and council meetings • Economic and business websites • Legal journals • Industry publications • Newspapers • Internet research.
Tourism industry statistics and trends Given the tourism industry is one of the largest industries in the world, it is not surprising to learn that they are numerous written materials devoted to industry news, trends and statistics.
Written materials • Trade magazines • Hotel school publications • Newsletters • Brochures • Advertisements • Reference books.
Internet Some of the previous ‘written material’ sources are internet based however the internet is a great source of much more: • Suppliers • Industry associations • Government bodies • Specific properties.
Government bodies Whilst ASEAN countries work collectively to achieve a primary purpose of attracting tourism to the region as a whole, each participating government will also have their own websites and departments in which to collect information.
Types of industry statistics and trends Industry Statistics Industry statistics are popular amongst both employees within the tourism industry and also end consumers. Statistics prove a ‘snapshot’ of important information which can be examined and applied to: • Improve business operations • Attract new markets • Build confidence in the eyes of a consumer.
Types of industry statistics and trends Industry Statistics” • Types of tourism businesses • Types and demographics of customers • Top destinations • Hotel occupancy percentages • Reasons for stays • Current industry information • Destination countries.
Types of industry statistics and trends Industry Statistics: • Departure months • Length of stay • Type of organisation for the trip • Transport mode • Accommodation type • Expenditure • Popular tourist attractions.
Types of industry statistics and trends Industry Trends Understanding of current industry trends helps operators within the tourism industry gain an understanding of what may take in the future. This helps to determine strategy and develop a competitive advantage over competitors.
Types of industry statistics and trends Industry Trends: • Great comparison-shopping by consumers • Tourism related applications ‘apps’ • Women-only floors • Budget lodging at private accommodation • Unusual one-off experiences and mini-vacations • App creators breaking throughlanguage barriers.
Types of industry statistics and trends Industry Trends: • Websites offering personalized activities and tours • Radio-frequency identification (RFID) and near field communication (NFC) programs • Using smart-phones as room keys • Booking agents to overlay the social graph, asking users to sign in with their social media accounts for the opportunity to hand-pick desirable seating arrangements • VIP treatment at amusement parks.
Relationship between tourism and the community The tourism industry is often the backbone for economic growth in many cities and towns, especially in remote and tourist regions. In many cases, tourism is the largest employer in a region, whether directly or indirectly. It is important that tourism has an advantageous effect in a location, not a detrimental one.
Relationship between tourism and the community Potential conflicts may occur including: • Resorts occupying the best natural locations, with limited access for the community • Noise or waste pollution • Negative environmental impact • Large influx of consumers draining resources of the community • Cultural clashes.
Relationship between tourism and the community Ways in which an organisation can benefit the community includes: • Employing staff from the community • Using local suppliers • Investing in the local community through a range of programs • Recommending community businesses.
Relationship between tourism and the community To be able to recommend community businesses, staff should have a thorough understanding of: • Local attractions • Shopping and retail areas • Events and festivals • Eateries • Supermarkets • Local transport • Activities • Places of worship.
Relationship between tourism and the community The best ways to gather community information includes: • Visiting local businesses and finding out what they provide • Talking to management and staff • Collecting and reading brochures • Keeping up with local media • Visiting the local Tourist Information Centre • Attending town meetings • Looking at notice boards in shopping centres.
Information on market segments Tourism involves any travel taken by anyone away from their home. This certainly leaves a diverse range of target markets in which to attract. However no tourism organisations should try to attract each and every market segment. You can’t be everything to everyone.
Types of market segments Movement of tourists: • Outbound Tourists • Inbound Tourists • Domestic Tourists • International Tourists.