ICT in Travel Agencies Report

This report examines the significant role of Information and Communication Technology (ICT) in the operations of modern travel agencies. It details how ICT facilitates efficient reservation systems (using GDS and CRS), personalized customer service (through CRM), strategic marketing, and competitive pricing analysis. The report highlights the benefits of ICT integration, such as up-to-date pricing, personalized services, and improved efficiency in both front and back-office operations. However, it also acknowledges challenges, including the need for employee training and the potential for integration issues between front and back-office systems. The report concludes by emphasizing the overall value of ICT in enhancing the performance and competitiveness of travel agencies in today's digital landscape.

Running head: USAGE AND VALUE OF INFORMATION AND COMMUNICATION TECHNOLOGY
Usage and Value of Information and Communication Technology
Name of the Student
Name of the University
Author Note

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USAGE AND VALUE OF INFORMATION AND COMMUNICATION TECHNOLOGY
Information and Communication Technology in Travel Agency
In this new digital world, information technology is giving maximum contribution
towards comfort and efficient livelihood of the humans. Information and communication
technology (ICT) is being upgraded and evolved every day resulting in new and innovative
technologies, which are helping in leading better and efficient life (Diaz-Chao,
Miralbell_Lzard & Torrent-Sellens, 2016). There is not any sector left, which is untouchable
by this technology. This report focuses on the role ICT in travel agency and explains how the
use ICT can change the face of daily operations that are being conducted in the system of
travel agency. The integration of technology with the internet has made it more popular as;
internet has become an integral part of the human kind of this new era of technology. ICT can
play a vital role in the daily operations of the travel agencies (Silverstone, 2017). Information
and communication technologies (ICTs) are dependent on the internet, which gives a plus
point for the travel agencies as, majority of the population are connected via internet. Using
ICTs in the system could result in gathering the attraction of customers for the travel
agencies.
Value of ICTs into the system of travel agencies can be helpful by examining the application
and usage of ICTs in the travel agencies, which are described below.
ICT can help in facilitating up-to-date prices of different travel agencies at a place
including the travel schedules or tour details and product availability. Implication of GDS
(Group decision support system) and CRS (Customer Reporting Standard) information
technology can be helpful in providing a more effective mechanism of reservation system.
ICT can help in promoting the complicated travel routes in travel agencies (Vroman, Arthanat
& Lysack, 2015). Personalize services, as CRM (Customer Relationship Management) can be
helpful for the modern travel agencies in order to track the behavior of the online customers

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USAGE AND VALUE OF INFORMATION AND COMMUNICATION TECHNOLOGY
and develop services predicting the activities of the customers. ICT also helps in managing
more effective and efficient working of The ‘Front and Back office’ of the travel agencies.
ICT can help a travel agency in strategic marketing and strategic management (Xiang,
Magnini & Fesenmaier, 2015). Evolving technologies like Tourmanager, Bistro and others
can offer travel agencies; multi-supplier and comparison between the Global offers and price
of different travel agencies, which can be beneficial for competitive market of the travel
agencies. ICT can be helpful in the evaluation and calculation of last-minute offers offered by
other travel agencies, flights offers, and hotel offers. This led to better interactivity with the
customers and attracting them to avail the services.
The applications mentioned above raise the value of ICTs in the modern travel
agencies, which can be helpful in the enhancement of the performance of travel agencies and
led daily operational activities in more effective and efficient manner. Application of ICT in
travel agencies has certain benefits but there are disadvantages of its application too, which
can be listed as; firstly, proper training is needed for the employee of the agency on how to
use the ICTs (Almunawar, Anshari & Susanto, 2013). Another dis-benefit is that Integration
between the ‘front and back office’ system is neither much effective nor reliable. Reservation
process system stated above is much time consuming.

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USAGE AND VALUE OF INFORMATION AND COMMUNICATION TECHNOLOGY
References:
Díaz-Chao, Á., Miralbell-Izard, O., & Torrent-Sellens, J. (2016). Information and
communication technologies, innovation, and firm productivity in small and medium-
sized travel agencies: new evidence from Spain. Journal of Travel Research, 55(7),
862-873.
Silverstone, R. (Ed.). (2017). Media, technology and everyday life in Europe: From
information to communication. Routledge.
Vroman, K. G., Arthanat, S., & Lysack, C. (2015). “Who over 65 is online?” Older adults’
dispositions toward information communication technology. Computers in Human
Behavior, 43, 156-166.
Xiang, Z., Magnini, V. P., & Fesenmaier, D. R. (2015). Information technology and
consumer behavior in travel and tourism: Insights from travel planning using the
internet. Journal of Retailing and Consumer Services, 22, 244-249.