Training - Travel Domian-P1

8/7/2019 Training - Travel Domian-P1

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w w w . b s i l . c o m

Where partnerships are a way of life

Introductionto

Travel & Tourism Industry

Travel Projects


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SS /June 2006 w w w . b s i l . c o m

The Travel & Tourism Industry - Overview

Travel and tourism is one of the worlds largest industriesHighest (30%) service sector exports.763 million international tourists arrivals worldwide growth 10.7%.623 billion US$ international tourism receipts, growth 18.8%

M arket share Tourists arrivals growth 04/0 3 arrivals receipts

E urope 54.5 % 5.0% 52.4% Asia & pacific 20 % 27.9% 20.1% Americas 16.5 % 11.2% 21.1%

Middle east 4.6 % 18.0% 3.4% Africa 4.4 % 8.0% 2.9%

Source : WTO tourism highlights - 2005 edition


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W hy people travel ?


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Top 5 Spenders & Arrivals International TourismTop Spenders

Germany 11.4%US 10.5%

UK 9.0%Japan 6.1%France 4.6%

Top Arrivals

France 9.8%Spain 7.0%US 6.0%China 5.5%Italy 4.9%


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The Travel & Tourism Industry Forecast


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The Travel & Tourism Industry

It is also one of the most fragmented Industries

Gives a high multiplier effect to the economy.

The two aspects of the industry can be viewedseparately, as many of the players are involved in both

Travel Industry

Tourism Industry

Lets look at each part of the industry on its own


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Travel Industry


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Distributors


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The people, groups or firms that deliver the productsand services of travel to consumers.These include:Travel agents (business and leisure)

Travel operators selling direct to the consumer

Travel operators selling on the Internet

Call centres handling customer service

Distributors


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Regulatory Bodies


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Regulatory Bodies

O rganisations set up to oversee the industry, either :Trade associations such as ABTA (Association of BritishTravel Agents), TAAI (Travel Agents Association of India)Federation of Associations : TAFI (Travel AgentsFederation of India) PATA (Pacific Asia Travel

Association),or

Statutory bodies such as the CAA (Civil Aviation Authority) DGCA (Director General of Civil Aviation)


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Public Sector Organisations


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Public Sector Organisations

Government departments with responsibility for theindustry:

DepartmentO

f Tourism (DoT)Department for Culture, Media & SportITDC India Tourism Development Corporation

Department of Tourism of Various States


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Transport


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Other Industry Players


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Insurance firms and car hire companies:

Insurers provide cover for goods, services and people

Car hire providers meeting onward travel needs of business and leisure customers


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Tourism Industry


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Accommodation, Tour Operators & DistributorsProviding the nuts and bolts of the industry:Hotels, villas, apartments, B&B, camping parks

Packages of travel tours to popular locationsSelling the travel product/service to individual andbusiness consumers


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Tour Operators

Four dominant firmsTUI (Thomson)First Choice

Globus / CosmosThomas Cook

All vertically integrated, operating at more than one level

in market


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Tour Distributors

Usually includes business and leisure travel agents:Some large and well-known

Some small and independent

O thers in niche parts of market

Can you think of examples of each?


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Tourism Agencies

Tourist boards and offices:W orld Tourism O rganisation ( W TO ) UN Agency; globalforum for tourism policy issues & practical know-how.Promoting Country to overseas customers (e,g India Visit India Campaign; Singapore Uniquely Singapore,UK Visit Britain)Promoting regions of the Country to overseas anddomestic customers (Visit Ireland; visit Goa; Visit etc)Providing information to customers (Tourist InformationCentres)


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The importance of locationValue and service at venuesThe role of sponsorship

Customer care

E ,g ITP O Pragati Maidan DelhiHanover Messe Germany

Suntec city - Singapore

C onference/exhibition Organisers


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Regulatory Bodies

Consortium of independent tour operators

Federation of tour operators

Regional development agencies (RDAs)


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The Tourism Alliance represents industry views to thegovernmentIATA International Air Transport Association.O ther firms in industry, such as insurance companies andcar hire firms


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Travel Jargons :

ATP C o Airline Tariff Publishing Company. It is basically a singlesource of distributing the airline fares into different GDS for auto-pricingPurposes.

G DS Global Distribution System. GDS is a system whichreceives the information from different vendors on differentproducts and distribute them.

C RS Central Reservation System. It receives information fromonly single vendor and is used to book/sell the product of thatparticular vendor.

Origin Point of departure in a itinerary

Destination Point of arrival in a itinerary


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Published Fare A fare published by IATA applicable between a

origin and destination.N egotiated fare A fare which is valid and distributed to specifictravel agents and which is normally cheaper than normalpublished fares.

N et Fare Its a net amount which airline requires from a travelagents. A travel agent can earn any mark up on top of that asservice fee.

C ommission Fare Its a maximum amount which a travel agentcan charge from a travel agent and it goes directly to the airlineand then airline returns the commission amount to the agent asagreed

M ark-Up Its kind of service fee charged by the travel agentsadded in the Net fare amount.


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PPP N Per person per night. Rooms rates are calculated on the

basis of per night stay. Pricing Airline Its the airline of which thefare is charged and document is issued for a journey.

OW journey W hen the pax starts from one country and does notreturn to the same country.

RT journey W

hen the pax starts from one point and returns tosame point is called RT journey.

PAX Passenger

C XR Airline

Property In hotel industry a hotel is called as property

Ticketing O nce a booking and payment has been made, TAneeds to issue a ticket to travel that issuing ticket process is calledticketing.


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ARNK Arrival not known

BSP Bankers settlement plan

G SA general sales agent

M P M Its the maximum permitted mileage which a pax may travel

from one origin to destination

SSR Special service request like wheelchair etc.

RBD Reservation booking designator

C abin class Class of service (First/Business/ E conomy)

Direct Flight W hen there is no ticketed point between origin anddestination then it is called a direct flight. A direct flight may stop atthe en route point for technical purposes or hopping purposes.


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IATA International Air Transport Association

BSP Billing and Settlement Panel

Inventory System W here the availability and schedules aremanaged.

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