The Contemporary Travel and Tourism Industry

This document discusses the key milestones in the development of the travel and tourism industry and how they have shaped the industry. It also explores the different factors that affect tourism behavior and the models of motivation that influence the consumer decision-making process.

The Contemporary Travel and
Tourism Industry

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Key milestones in development of travel and tourism industry and how they shaped
industry...................................................................................................................................3
P2 Different elements of travel and tourism industry and explore how they interrelate to create
tourist experience....................................................................................................................5
TASK 2............................................................................................................................................6
P3 Determine different factors that affect tourism behaviour................................................6
P4 Models of motivation and how they influence the consumer decision making process...8
TASK 3............................................................................................................................................9
P5 Recent and emerging patterns and trends in international travel and tourism industry....9
TASK 4..........................................................................................................................................10
P6 Examine factors affecting popularity of a range of global destinations..........................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Hospitality is defined as category of fields which lies within service sector that includes
food, drink service, lodging, theme parks, event planning, travelling, airline and so on (Amin and
et. al., 2013). The travel and tourism sector is part of hospitality industry that leads to high
earning of profits at marketplace. Here, travel is defined as movement of people from one place
to another and tourism is travelling for leisure, business or recreational purpose. It is essential to
develop these sector in proper manner so that goal and objectives can be attained. As need and
demand of people keeps on changing so accordingly these industry has to do innovation and
creative for their guests, visitors and so on. The organisation chosen for given assignment is TUI
Group which was founded in 1923 that deals in tourism and hospitality industry. It is regarded as
largest travel, tourism and leisure company in world and owns hotels, cruise ships, retail stores,
travel agencies and so on. The aim of report is to discuss about development of travel as well as
tourism industry and factors driving tourist behaviour. It includes current patterns and key trends
and factors affecting current level of popularity of various global destination.
TASK 1
P1 Key milestones in development of travel and tourism industry and how they shaped industry
The development of travel and tourism industry has took place from ancient time. People
were interested in visiting and travelling different for better experience. From history, it has
found that people travelled across Britain to get education, perform trade, visit religious places
and fight in battles. This sector was recognised after eighteenth century as people started giving
time to themselves (The Development of the Travel and Tourism Industry and the Factors
Affecting it Today, 2015). Key milestones in development of travel as well as tourism industry
are mentioned below:
Years Development
1936 Billy Butlin has opened his first camp of holidays in Skegness
1938 Introduction of Holidays with pay
1946 Fred Pontion has opened his first holiday near Weston Super Mare
1950 Horizon has organised first package air holiday

1952 Introduction of first jet Airline service for passengers
1959 Introduction of first jet Airline service for passengers of Australia
1960 The domestic holidays used has exceeds to 30 million for first time and
foreign holidays rises up to 3.5 million
Early 1960's American Airlines has developed first global distribution systems.
1968 For creation of national parks, countryside act was passed
1969 Introduced development of Tourism act
1976 Concorde goes through service
1981 There is 60% used of at least one car by households in UK on regular basis
1983 77% of British employees have received 4/5 weeks holiday in a year
1987 For the first time, there is exceeds of 20 million abroad holidays while
domestic holidays falls to 28.5 million which was lowest number since
1955.
1989 There is reached of private car ownership up to 20 million
1992 Holiday packages has directed by EU directive and department of national
heritage has created and currently known as Department of culture, sport,
media
1995 Eurostar and Le Shuttle has carried first passengers with help of Channel
Tunnel
1997 There is 70% used of at least one car by all households in UK
1998 The holidays in abroad exceeds to 30 million and 1.4 million of people has
used internet to purchased travel tickets
1999 English Tourist Board was replaced by The English Tourism Council
2001 Easy Jet a No Frills airline has earned 71.6 million profits that carried 11.4
million passengers
2002 Three out of ten packages holiday makers has flown through a no frill

airline
2003 British Tourist Authority and English Tourism Council has merged in order
to visit Britian
2004 to Present From 2004 to now, there is high development in airline, travel and tourism
facilities for people to provide them comfort
Therefore, travel as well as tourism industry grab opportunities at high speed in order to
provide services to their consumers in order to fulfils need and demand of their people in an
effective and efficient manner. The milestones leads to shape travel and tourism industry so that
individual can receive appropriate services at single roof for positive outcomes. TUI Group is
also regarded as part of milestones because it was founded in 1923 year to provide services to
consumers in terms of hospitality, tourism and travel sectors in proper manner.
P2 Different elements of travel and tourism industry and explore how they interrelate to create
tourist experience
Travel as well as tourism industry is regarded as dynamic that has to adapt changing
requirements of consumers in an appropriate manner so that they can avail services and facilities.
It is the responsibility of T&T industry to provide all facilities to their tourist so that they can
create better experience. Some of the elements or components which are required in T&T
industry for creation of tourist experience are described below:
Accommodation- It means to provide accommodation to people in camps, guests houses,
hotels, resorts, hotels and so on (The components of the Tourism and Travel industry, 2019). This
depends upon place where tourist has visited and accordingly, accommodation is required. The
respective organisation focus on providing high quality services and facilities at accommodation.
For example, if tourist has visited desert places, then accommodation should be provided in tent
house or at near by place for creation of better experience.
Transport- This includes various types of transportation facilities in form of airlines, car
rentals, rail services, cruise lines and so on (Cohen, 2012). Choice of transportation depends on
tourist budget, time, convenience, purpose and destination. TUI Group first ask mode of
transportation to their visitors and accordingly provide them comfort services in appropriate
manner as all types of modes are used by it for their people. For example, if tourist wants to visit

natural beauty of any place, then road transportation is good for them to enjoy each and every
things in unique way for better experience.
Tour Operators- It is the components which offers various types of holiday packages.
TUI Group also work on such components in order to provide packages of holidays in terms of
travel through rail, road, air, accommodation at resorts, guest houses, hotels, resorts, travel
services at airport pick and drop, excursions and sightseeing and so on. These can be wholesale
operators who operates through retail travel agencies or selling through direct operators at
marketplace to public.
Pleasant Weather or Climate- Each and every individuals has their own choice for
visiting places (Connell, 2013). Some of them prefers to travel during winter and cold climate
whereas other prefers to visit during moderate climate. According to research, most of the people
travel their favourite during winter season as cold places creates better experience. TUI Group
focus on providing best travel packages according to season so that large number of people avail
services and experience better. The several countries has unique festivals during seasons that
really assist in attracting people towards place and experience as well as learn new things. Also
the discounts as well as offers provided by respective organisation due to change in climate
attract tourists.
From the above analysis, it has concluded that apart from such factors other are
amenities, historical and cultural factors, travel agents, ancillary services and so on that helps in
attracting large number of tourists. These elements are important for T&T industry in order to
provide better experience to tourist. Thus, it is very essential to render services in proper manner
so that individual make plans and enjoy their holidays, vacations and so on.
TASK 2
P3 Determine different factors that affect tourism behaviour
Tourism behaviour is defined as attitude of consumer in uptake, purchase and
abandonment of tourist services which are intangible in nature. It is very important to provide
better experience to tourist in proper manner so that their behaviour remain good towards T&T
industry. Global travel industry has contributed 9.2% of total GDP in 2010. Individual travel for
work purpose, visit places with friends, family. For making choices, some of the factors that
affect tourism behaviour are mentioned below:

Internet and Social Media- In today's time period, consumers has high access towards
social media for knowing about opinions and reviews of travel spots, services, accommodation
around global (Factors Influencing Travel & Tourism Consumer Behaviour, 2019). This factors
affect tourism behaviour because when they places and review positive then they make plans to
visit such places. In context of TUI Group, it is operating at both online as well as offline mode
where visited people provide their feedback and individuals who are planning to go for holidays
review their sites and opinions and accordingly avail services. It is very important for travel and
tourism industry to provide good experience to people which impact behaviour of consumers for
making holiday plans. Therefore, social media and internet plays vita role in attracting and
changing behaviour of consumers.
Personal Budgets- This factors also plays an effective role in affecting tourism
behaviour (Hall, 2013). As per budget of people, they make plans to visit places and get
experience. There are various types of T&T organisation which provide services on people's
budget. TUI Group considers all types of people and analyse their requirement and accordingly
provide best services within their budgets so that they can travel various places. Nowadays, there
is offer on airline tickets that helps in making plans. For example, if people want to visit Europe,
then they can take help of tour operator and provide their budget and within that made budget
they provide people with best options and services for better experience.
Tourist Destination- This is regarded as important factor that impact tourist behaviour.
If tourist destination is full of provisions like water, amenities, proper accessibility, electricity,
clean surroundings then it helps to attract large number of tourists to visit that place (Factors
Affecting Tourist Behavior, 2019). In current scenario, most of the tourist destination place has
all facilities and services for their visitors, guests, tourists so that they make plans and visit place.
This also helps in creating brand value and good will of that destination among people and
encourage them to make plan in order to avail better experience. The respective organisation also
help tourist to visit those destination which are full of services and facilities and give them
pleasant and comfort feeling.
Education of Tourist- In context of travel and tourism sector, it is very important for
tourist guide to have proper education regarding places so that they can clear doubts and
curiosity of those place who are visiting places for first time (Ivica, 2013). It also leads to make
decisions for choosing destination. This factor affect tourism behaviour towards places. TUI

Group has tourist guide in every places where individual can take help and visit place or they can
chose of their own choice to visit places. For example, if tourist want to visit London Eye then
guider have proper knowledge about it and near by places to visit so that individual get good
experience and learn something new from their visiting places.
Therefore, these above are the factors which affect tourism behaviour and creating better
experience for them. It is responsibility for tour operator to provide high quality services,
facilities within budgeted plan in appropriate manner.
P4 Models of motivation and how they influence the consumer decision making process
Motivation plays crucial roles in influencing people towards decision making process. It
is responsibility of organisation how and when to motivate their people so that they can buy or
purchase products and avail services. The different types of models of motivation includes
following that leads to influence consumer decision making process such as:
Herzberg Theory
It is called two factor theory which helps to influence motivation for decision making
process. This includes:
Motivators Factors- Such factors influence people for availing services which are
distinctive in nature and significant to take such services (Lee, Hampton and Jeyacheya, 2015). It
is very important for TUI Group to provide motivators factors to people such as high quality
services, advancement, transportation, accommodation and so on. If these are provide in positive
manner, then it influence decision making process.
Hygiene Factors- These factors does not encourage consumers to take services but lack
of those bring dissatisfaction and demotivation for them (Herzberg’s Motivation Theory – Two
Factor Theory, 2018). This includes cleanliness, facility of water bottle, Wi-Fi, parking, offers
and so on. TUI Group has to provide hygiene facilities to their consumers so that they avail
services and facilities and influence their decision making process.
Each and every consumers making plan for visit goes through several website, review
and if they like it then leads to influence their decision making process in effective manner. TUI
Group has to considered motivation and hygiene factors while providing services to their
consumers so that they can make best decisions to avail services in appropriate manner.
Theory X and Theory Y

This is the motivation theory which has two factors such as X and Y. It helps in
motivating people to avail services in an effective and efficient manner for positive outcomes.
The respective organisation has used such models of motivation which leads to influence
decision making process of process. They are described below:
Theory X- According to this factor, people are not motivated and dislike things which
leads to dis-encourage them. The respective organisation tries their best to provide high quality
services to them in proper manner for better results. If they receive good services then they can
easily make decision for their travelling and visiting place in appropriate way. These types of
people has negative thoughts about everything and are demotivated and dissatisfied related with
their life and things .
Theory Y- The people belonging to theory Y are always happy, self motivated, creative,
enjoy things (Theory X & Theory Y, 2019). TUI Group is already renowned organisation in terms
of travel and tourism sector as it first analyse need and demand of consumers and accordingly
provide them services in order to motivate them in proper manner. This helps to influence those
people to make better decision related with travelling.
Therefore, these two are the motivation models that helps in influencing consumer
decision making process. This leads to achieve goal and objectives of organisation along with
motivating them in proper way. Thus, respective organisation tries their best to provide high
quality services and offers to people so that they create better experience and make decisions.
TASK 3
P5 Recent and emerging patterns and trends in international travel and tourism industry
With change in need and demand of people, there is dynamic influence in travel and
tourism industry. It is significant to analyse recent as well as emerging patterns and trends in
global T&T industry so that services and facilities are provided to individuals. Some of them are
as follows:
Recent Trends in International T&T Industry
It is very challenging for travel industry to identify current trends and provide services
accordingly. The respective organisation has identified following trends such as:
Booking at Last Minute are Increasing- According to Tourism Survey conducted in
2018, 39% of people select booking at last minute (Travel trends that will drive the tourism

industry in 2019, 2019). The people book their destination prior of 1 to 3 hours before of their
journey or just before they arrived at place. TUI Group is also facing same problem because it is
difficult for them to plan staff and resources in advance and some dependent on weather. The
partnerships, marketing and live availability are regarded as tools to offset such problems.
Traveller Prefer New Destinations- As per Tourism Survey of 2018, 22% of people
preferred to visit new destination from list (Lyons and et. al., 2012). The new destination
includes Latin America, Spain and USA. This creates problems for those destination places to
provide all services in terms of hotel, accommodation, lodging to people in proper manner.
Emerging Patterns Trends in International T&T Industry
Technology plays vital role in T&T industry as most of the people uses online mode for
doing booking at hotels, resorts, tickets and so on. It is essential for industry to adopt those
technology in their business. Some of them are described below:
Virtual Reality- This technology has exploded in recent times as rise in availability of
virtual reality for products and services. It focused on businesses, marketers, use of technology,
video games, 360 degree videos and images (7 Technology Trends in the Travel Industry, 2019).
The respective trends allows to do transport consumers in digital manner for recreation of virtual
of particular place. It provide opportunity to hotels to show their reception areas, rooms at
website to encourage bookings. The respective organisation has to adopt such technology in their
business to encourage their people in order to avail services.
Robotics- The idea of such technology has displayed a decade ago in travel and tourism
industry. It is used for multi purpose in respective sector to provide help to their consumers in
best possible manner. For example, TUI Group uses pre-screening, making waiting times to be
productive for users. This is advanced technology used by large business at marketplace. The
services and facilities will be improved in respective sector for positive outcomes.
Therefore, in this way, trends are changing in T&T sector along with rise in emerging
patterns at international sector. It is very important to analyse them in proper manner for positive
manner.

TASK 4
P6 Examine factors affecting popularity of a range of global destinations
Global destination is defined as experienced as well as energetic solution for tourism
providers that focus on offering top quality service to their consumers in an effective and
efficient manner (Mariani and et. al., 2014). This is referred as places that mainly provide top
class services and possess low possibility for defaults as well as mistakes. The different types of
elements that affect profitability, brand image, reputation of global destinations. Travel and
tourism industry has to provide high quality services to their consumers. Some of the factors
which affect popularity of global destinations are described below:
Recommendation from Friends and Relatives- The review presented by family and
relatives helps to range popularity of global destination. TUI Group has to offer good services to
their consumers which makes them to write positive review about places. If these ends with
positive results, then large number of people makes plans for that particular destinations in
effective and efficient manner. Social media campaign helps to encourage individuals to share
experience as well as memories during and after visit.
Special Offers and Discounts- While making plan for travelling, tourist has to conscious
about cost of travel incurred for particular place (5 Factors Influencing Tourist Destination and
Tourism, 2019). They looks for discounts and offers which assist them to make travel cheaper.
TUI Group also provide regular discounts and offers to their consumers so that they can avail
services. It is important for accommodation providers to offer special discounts at sites and
application.
Popularity as Renowned Destination- It means tourists like to visit those places which
has already visited by place (McWha and et. al., 2016). In this case, destination popularity does
not matter and people want to see those places such as Eiffel Tower, London Eye and so on. TUI
Group has to work with other companies and boost tourist destination place that provide benefits
to business as well as that place to gain popularity.
Relevant Online Information- The survey performed by people leads to rise in
importance of that place. As people spend huge money for travelling where they want to create
great experience. TUI Group contain all relevant information through online mode regarding
their packages, discounts, offers and services so that people can make plan and visit global
destination. There are various types of people and want different information before making any

plan to visit place. Travel and tourism industry requires high online presence as individuals are
using more online mode than offline.
Closeness to Destination- Most of the tourists like to visit those places which does not
take more number of days and are easily accessible. The respective organisation has to focus on
regional consumers who can easily reached to place. It is very important to provide to tourists
regarding destination, time required, cost and accordingly plans are made.
Therefore, presented factors affect popularity of global destination. It is important to
consider each and every factors by Travel and Tourism industry so that maximum output is
achieved along with rise in profit margins.
CONCLUSION
The presented report summarised that travel and tourism industry is fastest growing at
marketplace. This leads to earn high profit margin and assist in growth of economy of nations in
effective manner. The development of T&T has started from 1936 and is still going on for
people. They have provided proper shape to industry to survive and sustain at marketplace.
Tourist experience can be created through by providing services of accommodation, transport,
tour operators and so on. The behaviour of tourism is affected due to tourist destination, personal
budgets, social media and so on. Different models assist in influencing consumer decision
making process of individual to avail services of travel and tourism. With the change in need and
demand of consumer, recent trends has brought by respective industry in order to fulfils their
requirements in proper manner. Global destination is affected through different factors that leads
to increase in number of tourist to that respective place.

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