Analysis of Current and Recent Trends in Tour Operations Management

This report provides an overview of the current and recent trends in the tour operation industry. It explores the impact of technology, globalization, and demographic changes on the industry. The report discusses various types of tour operators, including inbound, outbound, and domestic operators, and their roles in the tourism sector. It also highlights the importance of direct sell tour operators and the role of trade bodies such as ABTA, AITO, and FTO in setting standards and ensuring consumer protection. The analysis covers the evolving landscape of tour operation management, emphasizing the need for adaptability and value-added services to meet changing customer demands in a dynamic global environment. The report also highlights the financial contribution of the tourism sector to various economies.

TOUR OPERATIONS MANAGEMENT
(Current and recent trends and developments in tour operation industry)
In today's scenario, tourism industry is now become one of
the largest growing industry over the world. In order to
manage business activities and operations, there is required
several tour operators; they are considered as the vital
stakeholders in the whole travelling industry. Tour
operators seems as agencies which sells various tour
packages, accommodations and transportation and other
tourism facilities to customers to customers in direct and
indirect manner.
Effects of current and recent trends and developments
In this over dynamic environment, there are certain
changes occur in tour operation management industry.
Multinational, tourism organizations, like Trailfinders are
reached across national boundaries. Due to globalization,
many companies emerged in order to gain high profitability
and sales. Now the tourism pattern is also changed; tour
operators are focused on targeting their market so as to
deliver value added services to customers. Holiday
packages are marketed by intermediaries or directly by tour
operators. It is a sector which brings in a lot of financial
resources without investing heavily in it. In 2006, the first
report about tourism sector stated that it has contributed
$170 billion to UK, USA and France economy. Every
nation tries to attract the individuals of other countries as to
promote their culture and increase inflow of foreign
currency.
Below mentioned are the various trends in tour operation
management industry, such as-
Globalisation: It has led to a society which is
interacting at a global level. This is a process which
promoted human interaction and travel around the globe.
With countries integrating their economies with global
economy, the people movement also got boosted.
Globalisation was a step which allowed travellers and
companies to travel around the world freely.
Technology: This is the element which changed entire
tourism industry. Technological changes in the
hospitality and transportation has led to new
opportunities which can be availed by the different
stakeholders of industry. Advancement and modern
communication technique have changed the whole
world.
Demographic changes: The world is witnessing
massive demographic changes. The population in
major cities and countries is getting more and more
aware about to travel which means they will be more
likely to change of location.
Below mentioned are the major types of tour operators
are stated as under: -
Inbound tour operators - These tour operators
deal directly to foreign tourists. In addition, they
render them different services for their convenience,
i.e. transportation facility at the time of arrival and
departure, accommodation facility, transportation,
entertainment, sightseeing, insurance services etc.
Along with this, inbound tour operator’s designs tour
package individually as well as in cooperation with
foreign tour operators. In fact, due to their effective
services, these tour operators are known as the image
builder of a nation by converting all touristic resources
into a saleable commodity.
INTRODUCTION

Outbound tour operators – These operators
promote as well as design and designing foreign tour
specially. They sell tour packages in a group of people or
an individual of their own country to another countries for
a specific time period. Furthermore, outbound tour
operator collects travel documents from the central point
where the tour starts. They also have a contract with
inbound tour operators in order to provide other effective
facilities to visitors.
Domestic tour operators – These tour operators
has achieved higher growth rates; they are the leading
players of tourism industry. Basically, domestic tour
operators are emphasised international market so as to
obtain higher margin rates. In several developing
countries, i.e. India, USA, UK, China, Japan etc. several
many tour operators are involved in domestic holiday
packages.
Direct sell tour operators – Now these days, there
are several tour operators sold their holiday packages to
public directly. There is no involvement of any
intermediaries; it can also reduce cost of tourism which
generate great offer value.
Now these days, several trade bodies also play an
imperative in tour operation industry, such are stated
as under: -
ABTA (Association of British Travel agents) – It is
UK's premier Trade association which has 600+ tour
operators and 2300 travel agencies by having 7000
offices. It is liable for selling of more than 90%
holiday package in United Kingdom. The major
functions of ABTA are – improves the standards of
tourism industry and determining as well as resolving
all issues regarding health and safety, rendering
effective schemes of financial protection and raise
voice opposed to government in order to ensure that
public and industry get fair deals.
AITO (Association of independent tour operators) –
The members of AITO usually managed by their
managers and always strives for creating overseas tour
packages. In addition, AITO is a British travel agency
which has approx. 120 tour operators. In order to
become a member of association of independent tour
operators (AITO) it is required for tour operators to
have a consumer protection place.
FTO (Federation of tour operators) – It was founded
in 1967 for providing foreign package holidays in UK
as well as other countries. Along with this, FTO also
renders imperative financial protection to all visitors
since 1970. It also works for ensuring the standards of
customer satisfaction and environmentally sustainable
tourism.