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tourism 3 2Tourism sector has yet to realise its potential in India,especially,when it has so much to offer which is uniquely Indian.The Govt. is also receptive to public private partnership in strengthening and building state of the art infrastructure. and professional cadre to service the tourist. The recent initiative of visa on arrival for 43 countries is indicative of the Govt.’s resolve to move in the direction of Tourism promotion.Segments like Business,Leisure and special categories of tourism like Medical tourism,Sports tourism,Hallmark events,heritage destinations & attractions,ethnic tourismetc. are now being looked at separately with due emphasis on each category. While Hospitality sector always had large groups/MNCs players,the Tourism sector essentially has fragmented participants or smaller scale operators.Large groups,only of late have shown keen interest in multi destination presence and investing in developing virgin spots as product development initiative,Even large projects like huge convention centre at Hyderabad are drawing interest from large groups. The promotional aspect such as large special events generating huge foreign tourist on the lines of Dubai shopping festival could be distinct possibility in near future.On the domestic side Kumbh Mela is a regular feature.. The potential for development of Tourist spots like Beaches,Mountainside,Village tourism,Hallmark sports events like Olympics,Ski Resorts,Disney like Destination,Medicities,Yoga & meditation centers deserves attention from all stakeholders and realisation is there now.The intent needs to be operationalised now.

One of the key topics discussed at the Google Travel Executive Forum held in San Jose, was about the use of data warehousing by travel companies to gain a competitive advantage. This warehouse elicits key insights about the markets. One of the areas where the customer journey is more protracted is in finding travel accommodation. Surprisingly, the conversion rate was higher when people searched for them, rather than when they directly went to the supplier website. The mobile phone is of course is one of the most used devices now, so travel brands need to direct their digital marketing to be accessible across devices, and in particular the mobile web. To serve today’s digital traveler, the travel purchase journey needs to be embraced. The right investment needs to be made on existing capabilities to further hone them. Whatever be the company’s philosophy, it must openly converge.

Source:https://www.mckinsey.com/industries/travel-transport-and-logistics/our-insights/how-to-serve-todays-digital-traveler

Uploaded Date:10 January 2019

There is hardly any industry now that is immune to the pressures of digitization. Travel and logistics signify the two extremes. While travel is most frequently searched online, logistics is hardly searched for. As per business intelligence provided by the Kuhne Logistics University in Germany and by Google, for every eight travel related searches in 2017, there was one search on logistics worldwide. However, this alone does not mean that logistics is totally immune to these pressures while travel is most digitally mature. There are parts and sub parts within this, which are at different ends. If one studies the trends in detail, the travel and tourism industry has seen a lot of digitization occurring within the B2C segment but not anything like that within the B2B sphere. A lot of this booking and search is now taking place using the mobile. This signifies the importance of the mobile phone when it comes to digital marketing. Logistics companies on the other hand are merely providing limited digital services. Online touch points abound in the travel purchase journey. Service providers need be wary of slow page loads, as this will be a way to lose customers.

Source:https://www.mckinsey.com/industries/travel-transport-and-logistics/our-insights/travel-and-logistics-data-drives-the-race-for-customers

Uploaded Date:31st December 2018

The first customer- loyalty programme was started by the American Airlines back in 1981. Since then, this has gained currency with almost everyone else jumping in. These have also been used in selling to third parties. Unfortunately for customers, the ratio between the rewards and air miles traveled has only kept getting worse off, with trillions of frequent flier miles sitting unspent as of now. Greater amount of business innovation is needed by such loyalty programmes to generate value. For this, first of all, the airlines must look beyond merely airline seats. Late booking redemptions need also be rewarded. The redemptions must be based on a dynamic policy. The pricing policy on redeemed seats also needs a clear, strategic rethink. Whatever redemption value has to be planned, it needs a greater customer- value view. Partner airlines must collaborate more on redemption schemes.

Source:https://www.mckinsey.com/industries/travel-transport-and-logistics/our-insights/miles-ahead-how-to-improve-airline-customer-loyalty-programs

Uploaded Date:29 December 2018

Travel and tourism as an industry is worth more than a tenth of the total global GDP. There are, also a total of just short of three- hundred million tourism jobs worldwide. However, the benefits and footprints of tourism are still being accumulated by only a small cohort of countries. As per business intelligence supplied by McKinsey, the top twenty most visited countries in the world by the year 2020, will be doing more tourist numbers than the rest of the world combined. If only this number could be better distributed, then the absorption of tourists could get much easier for the planet. A new report has been prepared by McKinsey in collaboration with the World Tourism and Travel Council (WTTC) which helps diagnose ways in which the pressure could be eased off. A combination of both carrots and sticks will need to be applied to each of these overcrowded tourist destinations.

Source:https://www.mckinsey.com/industries/travel-transport-and-logistics/our-insights/coping-with-success-managing-overcrowding-in-tourism-destinations

Uploaded Date:29 December 2018

The travel and tourism industry is an uncontrollable juggernaut having huge impact on the economic, cultural and technological fronts. The World Travel and Tourism Council (WTTC) asserts that over a tenth of the world’s working population is directly or indirectly engaged in some kind of tourism jobs. The likes of Uber, Hooper, Lyft and Airbnb have made huge strides in disrupting several aspects of the broader industry. The travel experience though now needs to be safer and smoother, plus more reliable. Technology such as the use of biometrics needs to be made greater use of. Alignment between transportation and environment officials to the tourism department is a must in several parts of the globe. The public and private sectors too need to come together in this initiative.

Source:https://www.forbes.com/sites/richardlevick/2018/11/27/this-industry-has-pioneered-disruption-now-it-must-alleviate-it/#280118995080

Uploaded Date:28 December 2018

There are several stereotypes around Chinese travelers. The belief is that they are mainly interested in shopping, do not explore out of the usual tourist circuit and only eat on Chinese food. But all this is proving to be mere myth now, thanks to the broadening horizons of the Chinese travelers. Many Chinese are even opting for long- duration holidays, away from the usual short- term ones. It is worthwhile to gain more business intelligence on the behaviour and habits of the Chinese travelers as they make up the biggest segment. In 2017 alone, they collectively made 131 million trips abroad. This number is expected to rise to 160 billion by 2020. Per individual spending is also high due to the family nature of most of their travels. Beyond the monolithic stereotypes, Chinese travelers actually come under eight distinct segments. The biggest of these segments is the value- seeking sightseer. The next is the backpacker, involving low to middle income workers. Then there is the unplugged, which is usually middle income and price sensitive. The other categories may be classified as- shopper, aspirant, novice traveler, individualist and the sophisticated traveler.

Source:https://www.mckinsey.com/industries/travel-transport-and-logistics/our-insights/huanying-to-the-new-chinese-traveler

Uploaded Date:28 December 2018

The European cruise sector market is growing at a rapid pace, in tandem with a similar growth worldwide. There has been a 26% rise in cruise passengers between the years 2010 and 2017 for Europe alone and a 33% worldwide during a similar time period. According to business intelligence provided by CLIA France, a total of 40 cruise lines are based in Europe with a fleet capacity of 137 ships between them. Europe is a dynamic hub for this industry. It is also the second largest after the Caribbean. German and British companies tend to dominate the cruise industry, but France is another important country. The shutdown of a major carrier in France in 2016 created ripples, but the outlook is improving thanks to the addition of new ships to the continent. Construction and rise in the wages of the workers is leading to increased costs fort the industry players. The positive outlook is reflected in the generation of 43,00 new tourism jobs in Europe.

Source:https://www.tourism-review.com/european-cruise-sector-is-growing-news10735

Uploaded Date:28 December 2018

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