Transcript No Slide Title

10. Information Management
in Tourism Destinations
World Tourism Organization
Manila, 20 – 22 March 2006
M Fabricius
IMPORTANCE OF INFORMATION
MANAGEMENT IN TOURISM
THE ROLE OF INFORMATION IN BUSINESS AND
TOURISM
Traditionally information was
scarce and expensive
INFORMATION IS POWER
Access to
information gave
temporary
profit
advantage
M Fabricius
IMPORTANCE OF INFORMATION
MANAGEMENT IN TOURISM
THE NEW STRATEGIC ROLE OF INFORMATION
Information is cheap but the challenge
is selecting the right information for
Quality
Efficiency
Strategy
to understand
the demand, how
it is segmented
and how to reach
it
to select the most
efficient
processes
to understand
the value
network that is
in play and to
refine strategy
The key is dynamic human
resources teams
M Fabricius
IMPORTANCE OF INFORMATION
MANAGEMENT IN TOURISM
THE ROLE OF INFORMATION IN BUSINESS
Businesses use information to:
St
Learn more about the market and its expectations
Understand the competition
Address and improve the productive process
Ef
Improve the distribution system
Ql
Give better post-sales service
Receive feed back
M Fabricius
IMPORTANCE OF INFORMATION
MANAGEMENT IN TOURISM
INFORMATION REQUIRED FOR MARKETING
Information for Marketing
Consumer research
Market analysis and forecasting
Product and price studies
Promotions and sales research
Distribution research
Evaluating and performance
monitoring studies
Data mining
M Fabricius
IMPORTANCE OF INFORMATION
MANAGEMENT IN TOURISM
INFORMATION REQUIRED FOR PLANNING
Information for Planning
Forecasting
Impact studies
Supply inventory
Market analysis
Resident opinion surveys
Economic and financial surveys
Visitor profile and behaviour surveys
M Fabricius
IMPORTANCE OF INFORMATION
MANAGEMENT IN TOURISM
IMPORTANCE OF MEASURING TOURISM ACTIVITY
ACCURATELY
Market intelligence for
tourism firms
DEMAND STATISTICS
AND SUPPLY
STATISTICS
Indicators for planning
M Fabricius
To monitor the
sustainability of the
resource base
Reliable information for
investors to forecast returnon-investment
Strategic indicators to gauge
the economic importance of
tourism and to compare it
with other sectors
INFORMATION COMMUNICATION
TECHNOLOGIES (TOURISM E-BUSINESS)
MAKING THE MOST OF ICT-BASED OPPORTUNITIES
FOR DEVELOPING TOURISM IN DESTINATIONS
• Key trends in the use of ICT in general and for
travel and tourism
• Key roles for ICT/e-business in destination
management and marketing
• E-business model for tourism destination
communities
• Options for acquiring ICT/e-business systems
Acknowledgement: TEAM
Tourism Enterprise and Management
Dr Roger Carter
M Fabricius
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
RAPID GROWTH IN USE OF THE INTERNET
Number of Internet Users Worldwide
(in million)
1400
1,350
1,210
1200
1,070
934
1000
814
800
665
544
600
413
400
284
184
200
44.5
0
1995
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
Source: Computer Industry Almanac (as quoted by ClickZ Stats in September 2004) / eTForecasts
for earlier figures (December 2002)
Both Computer Industry Almanac and eTForecasts feature the same data.
M Fabricius
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
GROWTH IN THE USE OF BROADBAND
Number of Broadband subscribers worldwide
2002-2007
250.0
250
200
150
98.8
100
100.0
63.0
50
0
2002
Source: eMarketer, April 2004.
M Fabricius
2003
2004
2007
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
INTERNET USERS BY WORLD REGION
Number of Internet Users Worldwide by region
as in March 2005 (in million)
Africa
13.5
Oceania/Australia
16.3
Middle East
19.4
Latin America/Caribbean
56.2
North America
221.4
Europe
259.7
Asia
302.3
0
50
100
150
Source: Internet World Stats statistics updated on 24th March 2005.
M Fabricius
200
250
300
350
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
VALUE OF US ONLINE TRAVEL MARKET 2003-2009
US online travel booking revenues 20032009 (in billion $)
100
80
70
77
84
91
62
60
54
46
40
20
0
2003 2004
2005 2006 2007
2008 2009
US online travel booking are expected to reach $91 billion by 2009 at which time it will
represent 33% of the total US travel revenues. By comparison, in 2004 it represented only
23% of total US travel revenues.
Source: JupiterResearch, quoted by ClickZ Stats in November 2004.
M Fabricius
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
TRENDS IN OVERALL ONLINE TRAVEL MARKET SIZE
IN WESTERN EUROPE, 1998 – 2006
Trends in overall online travel market
size - Western Europe 1998-2006
In billion Euros
30
26.9
25
22.3
20
17.6
15
12.5
8.34
10
4.813
5
0.225
0.79
2.453
0
1998
1999
2000
2001 2002
2003
2004
2005
2006
Source: Carl H. Marcussen “Trends in European Internet Distribution of Travel & Tourism Services”, April 2005
(Centre for Regional and Tourism Research – Denmark http://www.crt.dk/trends)
M Fabricius
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
LATEST US ONLINE TRAVEL TRENDS
% of US travel booked online
2002
15%
2003
21%
2004
27%
2005
32%
2006
35%
Sources: PhoCusWright data from June 2004 (quoted by eMarketer in March 2005)
M Fabricius
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
SOURCES USED TO FIND OUT WHERE TO GO IN 2005
Personal recommendation
Russia
59%
India
59%
Web search
37%
54%
55%
USA
54%
58%
Japan
52%
China
51%
Brazil
50%
Australia
50%
Germany
49%
Canada
49%
44%
Netherlands
43%
PoIand
42%
UK
36%
Italy
33%
Korea
0%
8%
32%
20%
12%
36%
29%
26%
25%
62%
14%
20%
50%
8%
6%
22%
19%
61%
35%
69%
23%
100%
11%
10%
9% 7%
23%
7%
11%
26%
65%
30%
17%
26%
60%
4%
23%
24%
7% 5%
14%
5%
8%
22%
11% 6%
22%
8%
12%
150%
Source: Global Market Insite (GMI) Survey of 18,000 consumers globally, June 2005.
M Fabricius
1%
26%
19%
13%
21%
33%
25%
26%
64%
39%
25%
50%
11%
35%
7%
29%
57%
47%
7%
12%
44%
13%
63%
31%
16%
50%
13%
Other
15%
16%
33%
Read a newspaper
1%
31%
21%
22%
See TV program
7%
13%
27%
65%
39%
France
32%
53%
47%
Spain
24%
51%
Denmark
Mexico
Visit travel agent's office
200%
250%
300%
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
SOURCES USED TO SEARCH FOR LAST MINUTE
DEALS – UK HOLIDAY MAKERS
Tourism websites
22%
Local high street travel agent
29%
Personal recommendations from friends
& family
32%
Traditional paper holiday brochures
34%
Online travel agencies
0%
51%
10%
20%
30%
40%
50%
60%
Source: Survey by Amadeus of 2,000 UK holidaymakers conducted in May 2005 (reported by travelmole).
M Fabricius
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
TRAVEL INFORMATION SOURCES USED BY
AFFLUENT US TRAVELERS 2004
Email newsletters
24%
Travel agents
35%
Referrals
42%
Travel magazines
47%
Internet search engines
76%
0%
20%
40%
60%
80%
100%
Source: a study by Thomas, Townsend & Kent, reported in eMarketer, September 2004.
M Fabricius
KEY TRENDS IN THE USE OF ICT FOR
TRAVEL AND TOURISM
THE NEW TOURIST
•
•
•
•
•
•
•
Takes more and shorter holidays
Makes decisions later, reducing the lead time
Seeks more individual offers; self-enrichment; better,
immediate information about the product and the destination;
better service
Is more mobile and critical; more brand aware but less loyal;
more price sensitive
Is more knowledgeable about international travel
And
Has access to the Internet to obtain instant, in-depth
information and booking
And
Has access to low cost international air travel
M Fabricius
KEY ROLES FOR ICT/E-BUSINESS IN
DESTINATION MANAGEMENT AND MARKETING
DESTINATION MANAGEMENT AND MARKETING FUNCTIONS
•
•
•
•
•
•
•
•
•
•
•
•
Destination marketing, including branding and image
Marketing campaigns to drive business, particularly to SMEs
Unbiased information services
Operation/facilitation of bookings
Destination coordination & management for visitor ‘quality of
experience’ + involvement in the daily operation
Visitor information and reservations
Strategy, research and development
Training and education
Business advice
Product “start-ups”
Events development and management
Attractions development and management
M Fabricius
KEY ROLES FOR ICT/E-BUSINESS IN
DESTINATION MANAGEMENT AND MARKETING
DESTINATION MARKETING
•
•
•
•
•
•
•
•
•
•
•
•
Destination marketing, including branding and image
Marketing campaigns to drive business
Unbiased information services
Operation/facilitation of bookings
Destination coordination & management for visitor ‘quality
of experience’ + involvement in the daily operation
Visitor information and reservations
Research and development
Training and education
Business advice
Product “start-ups”
Events development and management
Attractions development and management
M Fabricius
KEY ROLES FOR ICT/E-BUSINESS IN
DESTINATION MANAGEMENT AND MARKETING
DESTINATION MANAGEMENT
•
•
•
•
•
•
•
•
•
•
•
•
Destination marketing, including branding and image
Marketing campaigns to drive business
Unbiased information services
Operation/facilitation of bookings
Destination coordination & management for visitor ‘quality
of experience’ + involvement in the daily operation
Visitor information and reservations
Research and development
Training and education
Business advice
Product “start-ups”
Events development and management
Attractions development and management
M Fabricius
KEY ROLES FOR ICT/E-BUSINESS IN
DESTINATION MANAGEMENT AND MARKETING
COMMUNICATION LIFE-CYCLE (CLC) – LEISURE TOURISM
•
•
…. or ‘the customer journey’
Let us consider the leisure consumer perspective first
Dream/
select
Plan
Book
Visit
Dream
again
V
•
This represents a key conceptual framework for the
application of new media by DMOs
•
DMOs must optimise their opportunities by
responding effectively to the requirements of the
visitor at each stage in the cycle
•
Media for communication between DMO and
consumers will vary at each stage in the life cycle
M Fabricius
KEY ROLES FOR ICT/E-BUSINESS IN
DESTINATION MANAGEMENT AND MARKETING
E-MARKETING FOR LEISURE TRAVEL
The Customer
Journey
Communications Life
Cycle
Dream and
select
Creating awareness,
emotional interest,
specific ideas





Planning the trip
Providing ‘hard’
information
 Information on transport services, including links
 Excellent planning information on the Web, including market
access information, itinerary and route planning, events, etc
 Special offers by e-mail
Booking
Enabling booking
 Product search facility on Web
 Booking provided on, or facilitated by, destination Web site
 Shopping mall
The visit
Visitor services on the
ground




Dreaming - the
next trip
Maintaining the
relationship through
research and followup action




© TEAM (2005)
M Fabricius
e-Marketing Activity
e-Mail/viral promotions
Search engine optimisation/promotion [Where to do what]
Distribution of information through high profile intermediaries
Motivational content
Interactive TV
Dynamic itinerary planner for visitors
Use of new media to tell stories – interpretation, recreation
Immediate/location-based offers by SMS/email
Information and functions for use by information centres and
other outlets
 Distribution to kiosks, mobile devices, etc
Research on customer behaviour and satisfaction
Newsletters – what’s new, special offers
Special offer e-mail shots
Visitor journals
E-BUSINESS MODEL FOR DESTINATION
COMMUNITIES
THE DESTINATION E-BUSINESS SYSTEM
•
•
•
•
•
The destination represents the focal point for all the players in
tourism whose interests are interdependent – government,
residents, suppliers, carriers, major corporations,
intermediaries, consumers
A core role for DMOs is bring together those players to work
together in a meaningful way
The DMO’s ICT/e-business systems potentially provide key
media for these players to work together in destination
management and marketing
These systems enable the DMO to communicate with all the
players – but also, for the players to communicate with each
other
The destination community e-business system may be
represented like this ……
M Fabricius
Travel
Trade/ Group
Organises
Conference
Buyers
Travel
Media
PC
Handheld
Handheld
PC
Handheld
Consumers
at home
TV
Reservations
Handheld
Internet
Community
– Residents,
Schools, etc
Online
surveys
PC
Customer
Impact
Analysis
CRM/
Contact
mgmt
Major
Partners –
Public &
Private
PC
PC
Visitor
Services &
Management
Call
Centres
Tourism
Information
Centres
PC
Market
analysis
PC
PC
PC
‘Push’
marketing
MIS/
evaluation
Tourism
Facility
Operators
Handheld
Image
library
Knowledge
PC
M Fabricius
Product
Kiosk
PC/TV
(Hotel)
CMS/
Web
Publishing
Databases
Handheld
Handheld
© TEAM 2002
Print
mgmt
Info
search
PC
Visitors –
Mobile
PC
Handheld
Tourism
Marketing
Tourism
Development
& Business
Support
© TEAM 2000
© TEAM 2000
OPTIONS FOR ACQUIRING DESTINATION EBUSINESS SYSYEMS
BROAD APPROACHES FOR OBTAINING DESTINATION
SYSTEM
• Incremental
– Start with product database(s) and one or two
Web interfaces
– Buy-in or develop the functionality and add in new
interfaces over time in response to expressed
user requirements
• Planned system
– Work towards the concept of a fully integrated
system, normally for multiple user groups – even
if it is implemented in phases
M Fabricius
OPTIONS FOR ACQUIRING DESTINATION EBUSINESS SYSYEMS
PLANNED APPROACH - OPTIONS
• Buy a fully integrated software system - e.g.
World.net, TIScover, Visit - as a package ‘offthe-shelf’, with some customisation and/or
highly flexible templates.
• Buy or develop a purpose designed system,
built from components:
– Generic and/or
– Tourism specific
M Fabricius
OPTIONS FOR ACQUIRING DESTINATION EBUSINESS SYSYEMS
PLANNING FOR AN INTEGRATED DMS
• E-Business strategy – defines the wider ebusiness network, provides the framework for
action and basis for buy-in; principal focus is on
opportunities to make existing activities more
cost-effective
• Specification of user requirements – a two-way
process
• Functional specification
• Project scoping/Business case analysis
• It is an iterative approach
M Fabricius
OPTIONS FOR ACQUIRING DESTINATION EBUSINESS SYSYEMS
PLANNING FOR AN INTEGRATED DMS
•
‘Request for Information’ from system suppliers or
integrator – optional but educational – may result in
changes to the specifications or the business case
analysis and short listing of potential suppliers
•
‘Request for Proposals’ (or ITT) – which should result in
an evaluation of the options based on a variety of factors,
including a systematic assessment of the extent to which
the products will meet the DMO’s detailed requirements
•
Implementation Plan – not only the role-out of the ICT, but
also the information management plan, the training plan
and so on….
•
As early as possible in this process, appoint the Project
Manager, to contribute to the evolving process
M Fabricius
OPTIONS FOR ACQUIRING DESTINATION EBUSINESS SYSYEMS
RESUMè
• Key market trends, the factors that make it essential
for DMOs to take the use of new media seriously and
recognise its dynamic nature
• Review of destination management and marketing
functions and the way that may be supported by a ebusiness
• Concept of destinations as communities, and the way
that may be supported by a destination e-business
system
• Analysis of the options for acquiring ICT/e-business
systems
M Fabricius
Thank You!
M Fabricius