Tourism Marketing

Posted on 1999-01-27
Last Modified: 2013-12-25
What are current trends of Marketing keeping in view the threat posed by internet to Travel Agents and Tour operators.Give the detail information and also the concerning web sites names?
Question by:pchanana
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ID: 1859264
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scdevine earned 50 total points
ID: 1859265
> What are current trends of Marketing keeping in view the threat > posed by internet to Travel Agents and Tour operators.  Give > the detail information and also the concerning web sites names?

1)  High priced tours and tickets will probably not be affected very rapidly.  To the Rich People, time is much more valuable than money.  They will probably continue to use conventional services and only change slowly, as they _gradually_ become more computer literate.  Since they are not as concerned about efficient use of their money as other economic classes, they will continue to use the services of others.

2) The Super Rich will probably be affected even less, as they just get on their own airplane(s) and go wherever they want anyway.


3)  The middle class is becoming computer literate the most rapidly, and will probably arrange their travel and tour itineraries themselves over the web, and AOL.

This means that there will be a growing pressure over the next decade to centralize travel agencies specializing in cheaper tours and travel.  A few (probably less than a dozen) web based travel agencies and tour package arrangers will grow and grow in this time period, and when growth begins to level off and slow down, there will be a small flurry of corporate acquisitions and buyouts, leading to a further recentralization of the market.

The trend as a whole will be mirrored by that of the retail industry:  in order for manufacturers to serve customers more efficiently, the pre-existing retail distributors will be bypassed more and more often by the manufacturer selling retail items over the web, and distributing goods via FedEx, UPS, or the US Post Office.  This will lead to a financial collapse of malls which continue to support only large chain retail stores.  The malls must alter their focus to one of providing an "experience", much like the focus of Disneyland and Disney World.

Exactly how the existing networks of retail distributors and middlemen will retaliate to this direct threat to their livelihood is not clear.  There doesn't appear to be anything they can do about the long term trend, BUT by virus attacks, and cyber oriented tradewar practices, they CAN slow it down somewhat by attempting to wreck the centralized distribution points of their own suppliers.  Risky business....

Example:  let's say a large manufacturer of a famous brand of blue jeans (I'll call them "Levitz's") builds a website that can take a customer's order for blue jeans tailored to their specific meaasurements (waist, inseam, etc), securely process a credit card transaction over the web, and then mail, FedEx, or UPS the pants to the customer.  Retail stores, and especially chain stores, will be enraged at being "cut out of the loop", and their company goon squads (corporate security, by any other name...) _may_ attempt to sabotage the Levitz'z website in order to protect the old style supply line (big trucks going to the malls) to the chain stores.  This can slow the process of moving retail onto the web, but it cannot stop it, because 1) web security will continue to improve, and 2) if they are discovered by the _Levitz's_ corporate security people, they could face horrible retaliation such as:  legal action, an assortment of broken limbs and medical fees, or even losing their distribution contract with Levitz's!  Some people play rough, especially where large sums of money are involved.

After the financial collapse of a few malls, rents will lower and "mom and pop" stores featuring local crafts and products will come to dominate the centralized community of the post-web mall environment, along with service stores (e.g.: repair shops, learning and training centers, doctors, dentists, and optometrists/opticians, etc) and "experience stores" such as movie theaters, video game arcades, and community stage theaters, all of which have the characteristic feature that they are difficult to implement remotely, such as "over the web".  N.B:  whereas the web is slowly becoming denser with advanced media formats (video, for instance), they kinda stink in the quality department right now, and even after they improve, first run movies will STILL not be shown over the web.  The experience of going to the cinema and watching a giant screen movie is just NOT THE SAME as watching Star Wars on the little screen of your home PC.

For specific websites, try poking around AOL's travel arrangement  web page at:

For more on travel arrangements, and locating interesting tourist attractions (as well as a wide variety of other services), feel free to consult a list of such places at one of my webpages at:

For more information on practically aything, try using my favorite search engine:

it can find darn near anything, and if used more widely, would lead to some very interesting questions being asked here at experts-exchange.

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