Tourists or Terrorists? Tourism's Takeover of the Internet


Paul Weeks, Centre for Tourism, Southern Cross University, P. O. Box 157, Lismore, NSW, 2480, Australia. Phone: +61 66 203930 Fax: +61 66 222208 Email: pweeks@scu.edu.au Centre for Tourism Home Page
Keywords: Tourism, Hotels, Marketing, Virtual Brochures

Introduction

30 or 40 million users on the Internet; access costs the price of a local phone call; anyone with the right equipment can 'surf' the 'Net; travel arrangements can be made from the comfort of your own home or from a desk in a busy office. These are the attributes used by the sales people to 'sell' the Internet to any who wish to listen. At the other end of the continuum, there are privacy issues, security implications and, in the sphere of intellectual property, issues arising out of copyright and plagiarism. Not surprisingly, a lot of people want to get at the Internet and fix the problems - make it even more accessible, simplify its use and get rid of the nasties (Given & Bersten, 1995). For the average 'punter' trawling the 'Net to find suitable tourist attractions, hotels and airlines offering "Internet Discounts" (Hotel Etoile Rate Sheet[HREF1] ) the potential far outweighs any concern for copyright and access infringements.

The tourism industry has been rather 'backward in coming forward' in terms of computerisation of operations. The airline sector began the move towards a technologically-based operation. The hotel and catering sectors followed, at a distance. Hotels began to computerise in the early 1970s (O'Connor, 1995). From manual cash registers, large 'space eaters' which were nothing more than calculators, the industry moved to electronic machines. The new age of electronics allowed operations to keep a far greater control on costs, revenues and general accounting processes. By the early eighties, the computer was becoming a common feature of larger hotel and restaurant organisations; indeed, with the advent of advances in miniaturisation and lower costs, smaller organisations in tourism industries began to turn their attention to the computer. During these years of experimentation, many businesses found out the hard way that the whole organisation had to change its way of thinking about operational systems and decision-making; the newer computerised systems were not at all like the older manual systems. The newer systems needed resources, time and effort during implementation and installation.

Then came the 'Net. Industries involved with tourism were cautious; how would they control this new medium? how would the 'Net impact on their clients? how could they harness the power of this new medium that could be accessed by a potential customer-base of millions? Again, tourism industries, as with other organisations, were forced to re-think their strategies in the light of a communications, information dissemination network that was advancing and expanding at a rate never seen before. How could tourism harness the power of this communication technology? With great gusto! In the middle '90s, the industry has taken the Internet by storm; Hotels on the Web [HREF 2], one of many tourism and hospitality providers, currently have 10,000 hotels 'on their books'.

Tourism and the Internet

Tourism, for Australia, and for many other countries, is "the growth industry of the 1990's (Hall, 1993: 1). The tourism industry is diverse and its benefits are capitalised by most countries of the world. Recent technological advance have opened a strategic window for tourism industries, allowing for both large and small organisations to participate on an equal footing. Tourists, according to Jafari & Ritchie (1981: 22) "do not recognise geographical boundaries"; an attribute that has created such interest in the Internet from the tourism sector.

The impact of technology on the tourism industry has been quite profound. Ann Pollock (1993) discusses the potential of the 'New Tourism' and suggests that industry organisations can no longer be content to print brochures and catelogues. Industry must learn to work with the "exciting tools of multimedia to improve our sales techniques". industry must promote the right image and enable potential customers to interact with electronic, information-rich brochures. The small business sector, which includes the majority of restaurants, do, however, find little joy in 'interaction'. Many have not taken up the challenge of the Internet; restaurateurs are too busy and don't associate access to the Interet as value for money. As one business commented:

Right now, the on-line scene is organised anarchy. Operators have to navigate miles of twisting superhighway to find the information that's directly relevant to their businesses.(Morton, 1994)

Airlines were first to implement computerised systems, giving them a strategic advantage in terms of marketing decisions; computerised systems produced information which could radically improve sales potential (Holloway & Plant, 1993). Once the airlines were on-line, GDNs (Global Distribution Networks) were possible; the tourism industry was about to 'go global'. The negative impacts of the Internet have been discussed in some detail (Lynham, 1995), but Marshman (1994) wonders whether the new communications networks spell the demise of the travel agent, as they are known today. He comments:

Soon there will be ticketless travel, tourists will be able to book their own travel requirements, and information on destinations previously unknown to travel agents be readily available on the Internet.

Hotels began to see the potential of newer communication technologies. hospitality organisations wanted to becomes involved with the changing face of travel; Galileo, Fantasia and Sabre airline reservation systems could now access hotel rooms and make direct booking for clients. The use of computers in yield management and conservation systems are now common practice in hotels; both systems that boost profits and allow for tight controls over inventory and costs.

The first tourism sites found on the 'Net belonged to the airlines; Canadian Airlines [HREF3] and Southwest Airlines [HREF4] being among the first to be exposed on the Internet. Initially airline Web sites were rather sparse; limited information was offered to those visiting the site, and there was certainly no chance of actually making a reservation. Today, most airline sites allow visitors to make reservations and access flight and cost schedules.

The hotel sector was rather slower to form a presence on the Web. Hyatt hotels [HREF5] were among the first in this area, with Relais et Chateaux [HREF6] and Best Western [HREF7] close behind. The claim to be the first to experiment on-line come from the Promus group which developed a home page for its three lodging divisions (Cho et al, 1994). Web sites have since moved from basic text-based information, to interactive, graphically-rich environments (Holiday Inn [HREF8]).

Tourist organisations, controlled by governments and having limited resources, were the last group to show themselves on the 'Net. Among the first was Singapore, closely followed by the Turkish Tourist Board and the Caicos Islands in the Caribbean (Tourism Offices Worldwide Directory [HREF9]). La France (The French Tourist Board) [HREF10] has just launched a massive site full of useful information and pictures for potential 'tourists'. In Australia, the Australian Tourist Commission [HREF11] has only just come on-line in 1996, although the States and Territories have had their tourist offices on the Web for some time (Northern Territory [HREF12] ).

Service providers have not been slow in capitalising on the recent boom in tourism organisations requiring exposure through the Web. Hotels on the Web [HREF 2], HotelNet [HREF13] and Hotels Anywhere [HREF14] are three such providers who cover a vast number of hotel properties around the world. In terms of marketing, smaller, less financially affluent properties can have as much marketing exposure as the larger more profit-rich companies.

So what can you 'visit' on the 'Net

The tourism industry appears to be taking over the Internet. More and more organisations concerned with tourism, tourists and subsidiary activities ( Foodnow [HREF15] provides a Web page for restaurant choice in Melbourne) are being exposed to millions through their Web sites. Indeed, it is estimated that trends in the WWW marketplace suggest that the niche for success is travel and tourism, with 71% of businesses with Web sites in the travel and tourism industries had some sales during December 1995 (Activ Media, January 1996; [HREF16] ).

Although there are substantive issues arising from the new communication technology, the new medium has been seen as a powerful marketing tool for many sectors of the tourism industry. In order to examine these in more detail, it is necessary to sectorise organisations within 'tourism', and provide examples of how organisations in these sectors have moved inextricably towards global marketing through the Internet.

Leiper (1990) suggests a "seven-sector analysis" as one method of compartmentalising organisations within the tourism industry. This paper will use the seven sectors to distinguish and describe a selection of tourism organisation on the Web. This discussion will also raise issues concerned with each of the seven sectors.

The Marketing Sector:

This sector comprises marketing specialists, retail and wholesale travel agents, other travel agents such as airline sales offices. Promotional branches with Regional and National Tourist Offices are also included in this sector.

In terms of 'Net exposure, The Internet Travel Directory [HREF17] and Conde Nast [HREF18] are both good examples. Both offer information for decision-making, and allow travellers to select a range of destinations. Both allow visitors to search databases for specific customer-choice travel requirements. Many agents and Tourist Offices use the 'brochure' method to sell their wares; a paper-based promotional materials is transposed to the Web page. However, some organisations are using video, sound and graphics to enhance their 'brochure' (Aspen Ski Resort [HREF19] )

The spectre of ticketless-travel, of the 'home' travel agent are high on the list of concerns for current sector organisations. How can this sector limit the use of Web pages or the ability to pay for tickets over the Internet?

The Carrier Sector:

As the name suggests, this sector contains those organisations responsible for tourist transport. These include public transportation specialists which may extent into generating and destination regions.

In this sector there is a wealth of information, From Ansett [HREF20] in Australia, Train Travel in Europe [HREF21] through to underground systems in cities where a 'subway' operates ( Subway Navigator [HREF22]). All sites provide useful information, including a system at Canadian Airlines [HREF3] that provides visitors the ability to view its arrival and departure schedules at major airports.

Issues here are concerned with security. Apart from just gaining information to be used at a later date, can the Internet absolutely guarantee security of monetary transactions should clients wish to buy tickets through the 'Net?

The Accommodation Sector:

This sector includes all forms of temporary lodging and related services such as food and rink. Organisations in this sector are mainly in destination regions but may be at points in transit. Organisations include motels, hotels, caravan parks, backpackers and other accommodation properties.

Web sites in this sector have expanded an a phenomenal rate. The service provider All hotels on the Internet [HREF 3] estimates an increase in Web sites of about 100 per month, just for hotels. In April, this site carried 9000 hotel pages from around the world, since rising to over 10000. Some hotel chains, such as Hyatt [HREF5] and Hilton [HREF23] have multiple exposure on several providers. Some chains, such as Marriott Hotels [HREF24] have their own dedicated site, with links from other sites. Australian accommodation sites include AusHotels [HREF25] which offers a limited number of properties within Australia. A small Web design company in Brisbane has created a site for a resort in the highland of Papua New Guinea [HREF26] ; exposure has been increased and response rates and confirmed booking have increased markedly, especially when compared with paper-based advertising (Fox, 1995).

The issue of secure transactions are again raised for this sector. From the point of view of the organisations with exposure on the 'Net, the issues of conversion rates is important; how many confirmed (and paid for) booing do hotels receive through the 'Net, compared to the number of 'hits their page receives? Research by this writer suggests that the conversion rate is low; a major international hotel chain receives approximately 8000 hits a month, but only converts 100 of these into firm bookings (a 1.25% conversion rate).

And how do hotel organisations manage this new medium? Some hotels operate as if nothing has changed, while other operate the Cyber-Concierge to look after guests who make reservations through the 'Net.

The Attractions Sector:

The attractions sector are those organisations that provide a focus of leisure experiences for tourists, including theme parks, sporting and cultural events. The peak body for the MICE (Meetings, Incentive, Conference and Events) industry has just released it's own Web site: MIAAnet [HREF27]. This is a moderated/subscriber site providing information to members and associated participants

In terms of Web presence, sporting organisations proliferate; Cricket [HREF28], Rugby League [HREF29] and a useful site for American Gridiron Football [HREF30] addicts which refreshed the screen every 30 seconds during the Super Bowl game, updating the score and giving a summary of the 'best plays so far'. Disney [HREF31] has a large Web presence; at the other, 'quieter', end of the 'attraction' spectrum, visitors can view the Vatican City [HREF32]Vatican or view an exhibition through The WebMuseum [HREF33].

Will this type of attraction take over from the 'real thing' Hobson & Williams (1995) have argued that 'virtual reality tourism' may benefit fragile sites around the world, though they also comment that 'being there' is one of the strongest motives for travellers to visit attractions.

The Tour Operator Sector:

Organisations in this sector assemble packaged or inclusive tours by selecting two or more components and marketing them as a unit, with the package price masking the costs of the individual elements. There is little in the way of Web sites that reflect organisations in this particular sector. As access is simple and easy for all those connected (or so we are told) there appears to be little enthusiasms from package tour companies to attempt a site that contained elements from other sites in other sectors. So, for the traveller, it may be relatively simple to access airlines, hotels and destination (city) sites to arrange a 'trip'.

The interesting issues in this sector, is one of customisation (or, perhaps, 'customerisation'). There may be occasions when the travel agent or tour host may act as an intermediary between client and a range of trip elements. However, there appears to be no restriction on accessing elements by individuals; travel agents may be able to provide some form of expertise, but the traveller may be in a far better position to choose a totally individual and personal 'package' by cruising the Superhighway.

The Miscellaneous Sector:

This sector comprises those organisations involved in ancillary activities. These may include banks, proving travellers cheques, souvenir shops, some restaurants and travel units from the insurance industry. A variety of businesses have exposure through the Web.

Ocean Planet Online [HREF34] has a souvenir shop that 'visitors' can browse and Planet Earth [HREF35] has a bewildering array of offerings in the tourism and travel field. There are translator Web pages for those unfamiliar with host-country languages (Languages for Travellers [HREF36] and Visa [HREF37] offers an ATM locator for those travelling from city to city. Some sites, like City Net [HREF38], are huge, and offer the client (or potential visitor) a range of information about most cities and countries of the world.

Is there such a thing as too much information? If a decision has been made to travel to a Pacific country, how much information is 'vital' for the trip to be successful? Surely, exploration and inexperience are both ingredients of traveller motivation.

The Co-ordinating Sector:

The final sector of the "seven-sector analysis" covers units within government organisations, industry associations and regional tourism associations. All these organisations have been slower than other sectors to take advantage of the scale of exposure offered by the Web.

The Australian Federal Department of Industry, Science & Tourism [HREF39] has created a useful site, with links to other tourism organisations as well as Bureau of Statistics'[HREF40] summaries of tourism data and trends. They also produce a monthly 'newsletter' outlining future trends and issues for the industry. Other organisations on the Web include Pacific Asia Travel Association (PATA HREF41]), the Indian Ocean Tourism Organisation ( IOTO [HREF42].

As can be seen, the seven sectors within the tourism industry are well serviced by providers of Web sites Many are also linked by email allowing potential clients to contact, talk and receive responses on availability of airline flights, hotels space and other enquiries in a cheaper and more efficient way than was possible ten years ago. The tourism industry has indeed taken to the Web in a way that it never envisaged or could have been predicted given its track record with computerised systems. Sites on the 'Net, reflecting travel and tourism, increase at an alarming rate; there is so much information (and in many cases duplicated information) that there may even be a backlash against the use of the 'Net as a surrogate travel agent.

Conclusion

Tourism has always been interested in new approaches that would enhance customers' perceptions and enjoyment of the business, but has always been rather slow in incorporating technological change into their organisational structures. Now, it seems, tourism is taking over the 'Net. With a potential 30 million customers, organisations see the 'Net as a huge marketplace; travellers, both cybernetically and physically, can obtain useful, relevant and fast information about their potential 'trip'.

However, caution needs to be shown when 'surfing' new and uncharted waters. Web sites are often unreadable, illogical in layout and contain useless information. Some Web pages are 'attractions' in their own right. As Thomas Gray once remarked, on viewing the Alps:

There are certain scenes that would awe an atheist into belief, without the help of other argument.
(Travellers' Quotes [HREF43])

Noel Coward, not a Web surfer himself, made an astute observation about flying, which could just as easily relate to 'surfing the 'Net': when asked "How was your flight?" he replied:

Well, aeronautical it was a great success. Socially, it left quite a bit to be desired.
(Travellers' Quotes [HREF43])

The 'Net may be everywhere and tourism may be likened to terrorists in terms of their use of the medium, but there is still a long way to go in educating those involved and in attempting to harness the potential in order to provide a viable and realistic alternative to traditional tourism. In concluding this paper, here is a brief reminder that even today, some have difficulty in coming to terms with the techno-revolution (Jenkins, 1996):

A final thought to the unwary tourist (terrorist?):

A potential client called the French Tourist Board to find out what they were doing on the Internet.
"The what?", came the reply.
"The Internet; you know, the Information Superhighway" responded the client, attempting to assist.
"Oh, the Superhighway" replied the person at the Tourist Board; "for that sort of information you'll need to call the Department of Transport"!


References

Cho, W., Connolly, D. J. & Tse, E. C. (1995) "Cyberspace Hospitality: Is the Industry Ready?" Hospitality & Tourism Educator, Fall, Vol. 7, No. 4, pp 37-40

Fox, T. (1995) "Using the Internet as a Marketing Tool" Tourism and Technology Conference Sydney Convention Centre, November.

Given, J. & Bersten, R. (1995) Censors in Cyberspace The Sydney Morning Herald, March 25, p13.

Hall, C. M. (1993) "Introduction to Tourism in Australia: Impacts, Planning and Development" Longman Cheshire, Melbourne.

Hobson, J.S.P. & Williams, A.P. (1995) "Virtual reality: A new horizon for the tourism industry", J of Vacation Marketing, Vol.1, No.2, pp 125-135.

Holloway, J. C. & Plant, R. V. (1993) "Marketing for Tourism" 2nd Ed, Pitman Publishing, London.

Jafari, J. & Ritchie, J. R. B. (1981) "Towards a Framework for Tourism Education Problems and Prospects", Annals of Tourism Research, Vol. 8, No. 1, pp 13-34.

Jenkins, P. (1996) Internet Marketing Services,, London, Personal Communication

Lynham, P. (1995) Keynote Speaker - The Problems of Tourism and Technology Tourism and Technology Conference Sydney Convention Centre, November

Morton, A. (1994) "What's Cooking in Cyberspace", Restaurant Business, October 10, pp 80-86.

O'Connor, P. (1995) "Using Computers in Hospitality" Hospitality Press, Melbourne.

Pollock, A. (1994) "Information Technology and the Emergence of a New Tourism", Occasional Paper No. 9, Pacific Asia Travel Association, San Francisco.


Hypertext References

HREF1
http://www.calvacom.fr/honotel/ef/eftarifs.html - Etoile Hotels (Paris) Internet Discount Rates
HREF2
http://www.all-hotels.com - Hotels on the Web Home Page
HREF3
http://www.cdnair.ca - Canadian Airlines Home Page
HREF4
http://www.iflyswa.com/ - Southwest Airlines Home Gate
HREF5
http://www.hyatt.com - Hyatt hotels
HREF6
http://www.integra.fr/relaischateaux/ - Relais et Chateaux: French-based Hotel Chain
HREF7
http://www.travelweb.com/thisco/bw/common/bw.html - Best Western Hotels
HREF8
http://www.holiday-inn.com - Holiday Inns Worldwide
HREF9
http://www.mbnet.mb.ca/lucas/travel/tourism-offices.html - Tourism Offices Worldwide Directory
HREF10
http://web.urec.fr/france/france.html - La France (The French Tourist Board)
HREF11
http://tourism.gov.au/atc.html - Australian Tourist Commission
HREF12
http://www.world.net/Travel/Australia/NT_info/NTTC/ - Northern Territory Tourist Commission
HREF13
http://www.u-net.com/hotelnet/ - HotelNet
HREF14
http://www.earthlink.net/~hotelanywhere/ - Hotels Anywhere
HREF15
http://www.foodnow.com.au/ - Foodnow: Coose your Melbourne restaurant
HREF16
http://wwww.activmeadi/com/researchome.html - Activ Media, January 1996
HREF17
http://www.iom.com/ - The Internet Travel Directory
HREF18
http://www.cntraveler.com/ - Conde Nast
HREF19
http://www.aspenonline.com/aspenonline/ - Aspen Ski Resort
HREF20
http://www.ansett.com.au/ - Ansett Australia
HREF21
http://mercurio.iet.inipi.it/ - Train travel in Europe
HREF22
http://www.metro.jussieu.fr:10001/bin/cities/english - Subway Navigator
HREF23
http://www.hilton.com/ - Hilton Hotels
HREF24
http://www.marriott.com/ - Marriott Hotels Home Page
HREF25
http://www.realtor.com.au/hotels/index.html - AusHotels
HREF26
http://www.odyssey.com.au/uspecies/orbit/png/papua2.html - Papua New Guinea Highland Wilderness Holidays
HREF27
http://www.miaanet.com.au - Meetings Industry Assoeication of Australia (MIAA) Home Page
HREF28
http://www.ida.com.au/sport/cricket - Australian Cricket Page
HREF29
http://www.ozsports.com.au/league/arl.html - Australian Rugby League Home Page
HREF30
http://www.sportsnetwork.com/nfl/nfl.html - NFL Page: American Gridiron Football
HREF31
http://www.disney.com - Disney Home Page
HREF32
http://www.christusrex.org/www1.citta/0-Citta.html - Vatican City
HREF33
http://cutl.city.unisa.edu.au/wm/ - The WebMuseum
HREF34
http://seawifs.gsfc.nasa.gov/ocean-planet.html - Ocean Planet Online
HREF35
http://www.nosc.mil/planet_earth/ - Planet Earth
HRE36
http://insti.physics.sunysb.edu/~mmartin/languages/languages.html - Languages for Travellers
HREF37
http://www.visa.com - Visa
HREF38
http://www.city.net/ - City Net
HREF39
http://tourism.gov.au/welcome.html - Australian Federal Department of Industry, Science & Tourism
HREF40
http://www.statistics.gov.au/ - Australian Bureau of Statistics
HREF41
http://www.singapore.com/pata/welcome.html - PATA: Pacific Asia Travel Association
HREF42
http://www.bs.ac.cowan.edu.au/IOTO/brief.html - IOTO: Indian Ocean Tourism Organisation Home Page
HREF43
http://www.neosoft.com/~tm/club/quotes.htm - Travellers' Club: Travellers' Quotes


Copyright

Paul Weeks ©, 1996. The author assigns to Southern Cross University and other educational and non-profit institutions a non-exclusive licence to use this document for personal use and in courses of institutions provided that the article is used in full and this copyright statement is reproduced. The author also granst a non-exclusive licence to Southern Cross University to publish this document in full on the World Wide Web and on CD-ROM, and for the document to be published on mirrors on the World Wide Web. Any other usage is prohibited without the express permission of the author.

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