Travel and TourismA service Marketing Perspective

By-BADM Dept.

Tourism is the travel for recreational (fun), leisure (rest), family or business purposes, usually of a limited duration.

What is tourism?

We can say… Tourism is commonly associated with trans-national

travel, but may also refer to travel to another location within the same country.

Temporary, short-term movement of people to destination outside their resident places.

Who is tourist ?

The World Tourism Organization defines tourists as people “traveling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes”.

Forms of tourism Domestic Tourism:

Domestic tourism is tourism involving residents of one country traveling only within that country.

Inbound Tourism:Incoming tourism is also known as 'inbound tourism'. Incoming tourism means travelers arriving in different countries from their own.

Outbound Tourism:Outbound tourism refers to residents to travel outside their home country.

Tourism is the largest service industry in India, with a contribution of 6.23% to the national GDP and 8.78% of the total employment in India.

India witnesses more than 5 million annual foreign tourist arrivals and 562 million domestic tourism visits.

The tourism industry in India generated about US$100 billion in 2008 and that is expected to increase to US$275.5 billion by 2018 at a 9.4% annual growth rate.

Tourism in India

As the production and consumption experiences are inseparable, it is impossible to sample a tourism service before purchase.

Marketing of tourism is based on◦ Trust◦ Relationship◦ Delivering value

Marketing in tourism

Different types of tourism in India

History Tourism Adventure Tourism Medical Tourism Eco System Cultural Tourism Pilgrimage Tourism Spiritual Tourism Beach Tourism

Top 10 states visited by foreign tourist

Maharashtra Tamil Nadu Delhi Uttar-Pradesh Rajasthan West Bengal Bihar Kerala Karnataka Himachal Pradesh

Top 10 states visited by domestic tourist

Uttar Pradesh Andhra Pradesh Tamil Nadu Karnataka Maharashtra Madhya Pradesh Rajasthan Uttarakhand West Bengal Gujarat

Ellora Caves

Khajjiar

Khajjiar, often called as India’s Switzerland,

is a hill station in Chamba District of

Himachal Pradesh.

Magnetic hill

It is located near Leh in beautiful Ladakh is known to possess strong magnetic properties which have the strength to pull cars up-hill.

Door-less Houses of Shani Shignapur

It is a village located about 35 km from Ahmednagar of Maharashtra. The uniqueness of this small village is that none of the houses in this village has doors or even a door frame, including the commercial buildings, schools etc for safety.

Vociferous Vihigaon

Vihigaon falls in Kasara Mumbai. (Height-120 ft.)

The Haunted city of Bhangarh:

One of the India’s spookiest and the haunted ruins lies in Bhangarh, Alwar district in the state of Rajasthan.

Mawlynnong

It is in Khasi Hills of Meghalaya.

Havelock

Havelock Island, Andamans.

Initiatives taken by government to promote tourism industryIn the year 2002, the Government of India announced a NewTourism Policy.The policy is built around the 7-S Mantra of -

• SWAAGAT (WELCOME)• SOOCHANAA (INFORMATION)• SUVIDHAA (FACILITATION)• SURAKSHAA (SECURITY)• SAHYOG (COOPERATION)• SANRACHNAA (INFRASTRUCTURE)• SAFAAI (CLEANLINESS)

“atithi devo bhava”

The 3 major sub industries in travel & tourism development are-

I. Tour Operators & Travel agentsII. Hotels and caterersIII. Transportation The other peripheral elements include-I. InsuranceII. EntertainmentIII. Shopping

Elements of the Travel & Tourism Industry

Income Level More Time for Leisure Globalization Improved transport systems Education

Factors that influence Demand for Travel and Tourism services

The industry is multi- segment one and essentially includes 3 elements-

Attraction of the destination Facilities at the destination Accessibility and transportation to the

destination

Travel & Tourism as a Service

Tourism service

Intangible

variable

Inseparable

Tourism as a service

Intangibility Service oriented industries like travel and

tourism, strive towards converting the intangible product into an experience that customer will value and cherish.

Variability Offering the same quality of service each

time a customer interacts with the service marketing brand( which helps in image building).

Tourism as a service

Inseparability Tourism is a service in the true sense,

because of its unique features. Prospective customers have to travel

to the destination to experience the place; and a trail or sampling or test drive is not possible before purchase.

Tourism as a service

Tourism

service

Intangible

variable

Inseparable

The tourism marketing mix

product

place

Physical evidence

processpeople

promotion

price

Travel companies design tour packages covering a wide range of tourist attractions at different prices to attract diverse target segments

Product and Place

Incredible India campaign Advertisements in BAFTA, Grammy,

Oscarsand major European channels.Major components of promotion Advertising Public relations Publicity Word of mouth

Promotion

The world has become a global village. In recent times the concept of place

has transformed tremendously as bookings can be made from anywhere online.

Place

People in the travel and tourism industry like travel agents, tourist guides, hotel and restaurant staff, transport personnel play an important role in brand building and customer satisfaction.

People

Detailed and well documented procedures for addressing every situation and service context supported by infrastructure and IT systems provide consistent and good quality service.

Process

Good customer experience is extremely important for generating repeat business and also business from new customer trough positive wor-of-mouth.

Physical Evidence

Strength of India for tourism

Country of rich heritage and traditions having a vast and varied history.

Places of ancient civilization and settlements dating back to several centuries present in India.

Unity in Diversity i.e.. Multicultural people staying together in the same country.

One of the fastest growing economies of the world. India has been maintaining good and cordial relationship with

different countries which helps the people of those countries to get the visas easily to visit India.

Weakness

Insufficient standard hotels in the country leading to the problem of accommodation for the visiting tourists.

Lack of proper infrastructure. Poor health, lack of hygiene and proper sanitation among

majority of people especially in the rural parts of the country. Incidents of local people harassing and torturing the visiting

tourists especially the foreign tourists in different parts of the country.

Threats Terrorism- Incidents like 26/11, 11/7 have an impact on the

psyche of the visiting tourists. These incidents dramatically reduces the foreign tourist

arrivals in India. The increasing Naxalite activities and constant Maoist attacks

in the country is not helping the cause either. Diseases in recent years such as Dengue, Chikungunya and

Swine Flu are causing the tourists to stay away from visiting different parts of the country.

Increasing competition from other exotic countries. Ex- Singapore, Hong Kong etc.

Scope of marketing in tourismLot of tourism places are not discovered by tourism companies, if marketed will add to the revenue.

Conclusion

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