The emergence of new markets and changes in tourist demand

Ch.16

•Worldwide Period of great change in… The demand for new types of tourism product

Rejuvenation of some older established forms of tourism

Changes in the ways in which tourists purchase tourism product

The growth of outbound tourism from countries which traditionally have generated few international tourist trips

Trends in the global tourism market

The all-inclusive vacation

Provided security for travellers unused to travelling to other countries

Tend to include travel, all needs, drinks, excursions, leisure activities and entertainment.

Popular with those tourists who know exactly how much their holiday will cost when they book it & enjoy the fact that they will only need to take small amount of money to spend

The all-inclusive concept has proved particularly popular in developing destinations…

in some destinations there is only a very limited choice of restaurants & poorly developed tourism infrastructure

because of a fear of crime & language difficulties

all-inclusive holidays tend to flourish at both ends

Children’s holidays

the industry is now offering holidays for children… without parents

ex. Camp America English summer camp

PGL in the UK holiday with activities aimed at children

in France farm-based accommodation to learn about life and work on a farm

motivator (for kids) make new friends &

feeling of being independent & grown up

for parents making final purchase decision and paying the bill

major determinants of the choice are safety & security

Other reasons are feeling to make their children healthier or for educational purpose

The international wedding market

There has been a growing number of people travelling aboard to get married

Conventional weddings for UK couples => Las Vegas & New England, Caribbean island, Cyprus

Tour operators provide the package which include the ceremony, food & drink, videos, flowers & music

Unconventional weddings Exotic wedding eg. underwater, drift down under a shared parachute, bungee jump , ice cave etc.

Motivator is ‘status’ for being wed abroad, particularly if the location is perceived to be a particularly exclusive or exotic

Visiting sites associated with popular culture

The holiday package which include destination where films & television programmes are made, or settings for best-selling books

eg. Hollywood film studios Warner Brothers

Film locations like ‘Sex & the city’, ‘Harry Potter’, ‘he Davinci Code’

- tourists who visit t.v & radio programme locations are older

- those who visit film locations tend to be younger

Visiting Elvis Presley’s home in Graceland

Visiting Old trafford or Anfield

Budget CruisingFor many years, the cruise market was the preserve of a small elite enjoying an exclusive leisure pursuit

In 1990s, tour operators offering cruises at budget prices, e.g. Brits were offered the chance to enjoy a week’s cruise in Mediteranean from around 300 pounds

Cruises companies are using new on-board leisure facilities & themed cruises to attract new younger market segments

The rise of budget cruises make the up market cruises reviews their prces and offer more discounts

‘No-frills’ airline travel

The demands are from the recession period in 1990’s, by leisure and business travellers

The emphasis is on informality & basic service.

They keep down costs by being paperless organizations & offer no ‘complementary’ (e.g. headphones, hot towels) in-flight services.

E.g. Southwest in US, Easyjet and Ryan air in UK

Popular not only for customers with limited income but also customers who recently paying a higher price

The direct booking phenomenon As a result of the growth of technologies

It holds out the prospect of lower prices as there is no travel agency commission and/or better service is offered

E.g. Many tour operators have their own brands, so as more airlines, ferry companies, central reservation systems for major hotel chains

The rise in direct booking results from the rise of small specialist tour they have to sell direct to their clients as they cannot guarantee a high enough volume of sales to interest most travel agents

Direct sell => ensure that the tourist should receive more detailed information about the product

=> offer a chance to receive direct feedback

The couples-only market

The segment has been taken more seriously for several reasons:

The growing number of couples that are making a conscious decision not to have children

The relatively high disposable income of this segment & the tendency to take several holidays per year

Romance & shared interests are major motivators & the desire to be in an adult-only ( no children ) environment

Travelling for one’s health

Travelling for health covers a multitude for types of demand:

visits to health resorts or health farms

activities holidays that designed to enhance physical fitness

seaside-resort based, seawater treatments ( thalassotherapy)

natural mud treatment & mineral water treatment

This segment will grow more in the near future, not only physical but also mental because of :stressful work environment , more health conscious customers

Visits to religious retreats Search for new spiritual values and

the pressure of everyday’s life, stimulated the demand for trips to religious retreats in two ways:

visits to the homes of modern religious cults and sects , e.g. in UK, US, and Asia

visits by non-believers or agnostic to conventional religious retreats.. Not only for religious enlightenment, but also for relaxation and spiritual enrichment

In most retreats, life is simple & the comforts are few. Personal, private contemplation is often the core experience

What customer pay for? space and place to think or rethink

The eco-tourist is someone whose main motivation is to see wildlife and communities in their natural habitat.

Eco-tourist is synonymous with sustainable tourist, and seen as less exploitative (low impact).

Eco-tourism seems to stem from two sources: the growing concern over green issues

media wildlife and travelogue programmes which have increased awareness of destinations

People may also want to use the environment for sporting activities => the issue about the controversial dimension to eco-tourism

Eco-tourism is not an altruistic form of tourism, it is as self-indulgent as all forms of tourism.

Examples of eco-tourism products• Wildlife safaris• Journeys up the rivers to see native villagers

• Visits to endangered rainforests

• Natural history walking holidays in the mountain

• Whale-watching

Russian tourists & Outbound tourism from

Asia The new Russian middle class has become wealthy, but there are difficulties of finding outlets for wealth in Russia.

Their popular destinations are – Dubai, Paris, London, and HK

Russian tourists are heavily spenders for shopping

• The growth of economies in the region leads to the rapid growth in outbound tourism from other countries like South Korea & Taiwan( in stead of Japan)

• South korean & Taiwan tourists are increasingly travelling to worldwide destinations, including Europe and US

• Tourists from HK, Malaysia, SG, and Indonesia, are increasingly travelling within South East Asia for short-duration shopping trips due to short distance & development of airlines in the region

• There are two other markets• China & India (India have the largest middle class in the world)

• We cannot stereotype all Asian tourists behaviors to be the same need further study in their culture and the nature of demand

• Korean tourists in US• Book later than other countries• Use packages tour more than other markets• While in US, often visit friends & relatives• Stay in US for longer• Dine out less and more likely to viist the national parks than other nationalities

• Spend significantly less• Rely heavily for advice from travel agents