Analysis of the Contemporary Travel and Tourism Industry in the UK

This report provides a comprehensive analysis of the contemporary travel and tourism industry, focusing on the UK market. It begins by outlining key milestones in the industry's development and their contributions, followed by an identification of the various elements within the industry and their interconnection in shaping the tourist experience. The report then delves into models of motivation and their impact on consumer decision-making processes, examines recent trends in international travel, and assesses factors influencing the popularity of global destinations. The report covers the evolution of the UK travel and tourism industry, highlighting the shift from agriculture to a more service-oriented sector and the impact of digitalization. It also discusses the importance of attractions, accommodation, transport, travel agents, and regulatory bodies in creating a positive tourist experience. Furthermore, the report explores the factors influencing tourism behavior, such as trip frequency, financial resources, and pricing. Finally, it examines the need achievement model of motivation and its implications for consumer behavior in the tourism sector.

THE
CONTEMPORARY
TRAVEL
AND
TOURISM INDUSTRY

Table of Contents
TASK 1............................................................................................................................................1
Key milestones in the development of the travel and tourism industry and their contribution in
shaping the industry....................................................................................................................1
Identification of different elements of travel and tourism industry and their interconnection in
developing tourist experience.....................................................................................................2
TASK 2............................................................................................................................................3
Explain models of motivation and the impact they have on consumer decision making process
.....................................................................................................................................................5
TASK 3............................................................................................................................................6
Identification of recent and emerging patterns trends in international travel and tourism
industry........................................................................................................................................6
TASK 4............................................................................................................................................7
Examination of factors affecting popularity of range of global destinations..............................7
CONCLUSION................................................................................................................................8

INTRODUCTION
Travel and Tourism industry in UK is growing rapidly with the time. Its contribution in
economic development is huge. This industry has been established to provide hospitality services
of hotels, lodges, motels, restaurants and many other similar areas. Every year tourists visit other
places for personal and business purposes, therefore, these services can be availed in this
industry (Swarbrooke and Horner, 2012). The assignment consists achievements in the
development of the industry, interrelation between different elements present in this industry. In
addition to this, determination of various factors affects and discussion of models of motivation
in influencing decision-making process of consumer. Furthermore, growing trends and patterns
at international level and examination of factors impacting range of global destinations are
discussed in the report.
TASK 1
Key milestones in the development of the travel and tourism industry and their contribution in
shaping the industry
Travel and Tourism industry involves number of services and considered important
sources of revenue for the government. This industry is emerging with new concept together
with adopting new ways to increase their business. Number of hotels and accommodations have
increased in past few years. UK has restored its culture, historical places and other aspects very
well which attracts many tourists to visit it.
It is treated as one of the main industries in every economy. The developments in UK’s
travel and tourism industry can be understood by dividing the whole history and current into
three parts pertaining to different decades. The time period before 1950, the dominating industry
in UK was agriculture which was the livelihood. During this time, tourism industry was
fluctuating. It included hotels, transport and other parts which are necessary in this industry. Till
this time, it was limited to domestic market, particularly to local communities (Kalbaska, N.,
and et. al., 2013).
After passing of this period, the tourism industry was accelerated in which some of the
companies operating in this industry explored opportunities in international market. After the
years, there were many progresses in all the industry such as shopping arcades, bundled services
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within which collaboration with airlines were made and many other. The changes in this industry
pushed it towards growing phase.
After this period was over, the all the entities established under this industry understood
the importance of adding number of facilities such as, medical, pick up and drop, personal car on
rent, increased security by enacting number of legislation to make tourists feel more safe and
secured. Furthermore, UK government passed Development of Tourism Act, 1969 for governing
all the changed taking place in UK which may increase the costs and expenditure. Along with
this, finance companies were established for providing loans that will ease the business and help
it grow. There have been number of cases of rapes, fraud, cheating, and many more in UK. This
raised a need to take initiatives which can help tourists to become aware about the surroundings
of the country they are planning to visit. This can be done by going through the past records
about the country.
Also, UK government has observed that number of tourists increased in the national and
international events. It took initiatives for promoting their businesses. This was a whole new
addition to activities and services in this industry. In current scenario, digitalisation and
information technology infrastructure were introduced for increasing the efficiency and prompt
actions. This reduces the costs and raised the quality. Also, security and safety were increased
which was essential for customers’ satisfaction.
In nutshell, it can be said that UK travel and tourism industry has come a long way and
underwent drastic changes. This raised the bar of hotel and other areas’ services. Celebrities from
different countries are fond of UK’s hotels and restaurants which provide world class services
and foods.
Identification of different elements of travel and tourism industry and their interconnection in
developing tourist experience
There are many areas in travel and tourism industry which are essential for fulfilling
requirements of clients availing the services. Some of the elements have been mentioned below:
Attractions: A tourist visits a country for exploring the places, and attractions there
(Maunier and Camelis, 2013). The places that are included can range from museums, places
devoted to religious activities such as temples, churches, mosques etc. Only the establishments of
these places are not important, their quality of services and other aspects are also required to be
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taken care of. Also, there should be a good balance between modernisation and traditions which
is an integral part.
Accommodation: This industry provides services of hotels, motels, and many other
places where people can stay peacefully and get homely feel. UK travel and tourism industry has
changed majorly wherein number of services with added features have been included. These are
extended services which are provide with the rooms. Some of the examples are foods, laundry,
housekeeping, medical etc. These are called bundle services. Many customers prefer bundled
packages to avoid paying more money when single services are availed individually. This is a
cost effective way.
Transport: A country like UK has many places where tourists can visit which makes its
necessary to have good transport facilities which can help tourists travel without any hurdles.
There are cars, buses, airlines, ships and other local transports which can be used for going one
location to another. The quality of these services can be made good with introducing
advancement in technology. A tourist counts this as a major point in their experiences. However,
there should be proper connectivity between each them.
Travel agents: These agencies are responsible with making available the services in a trip
package. They have functions of booking hotels, tickets, making itinerary etc. Also, changes can
be made in the package according to choices and demands of the customers. There are add on
services which are being offered by them to make the trip good. The packages are prepared in a
way that suits most of the clients. Also. Travel agents keep their option of adding more services
open. All the modifications can be made by paying extra and these may not be included in the
package (Mak, A.H., and et. al., 2012).
Trade association and regulatory bodies: These are the unions and officials who work
on behalf of the government. They implement various rules, laws, policies and plans which help
in making the tourists have faith in the system. Embassies have been established for managing
the requirements of passport, visa, immigration and other related matters. There are number of
issues that can be resolved only when presence of laws, rules and standards are there. It is
important for the security and safety of people visiting UK.
Additional services: The main services cannot make the trip memorable if some auxiliary
services are not provided with principal services. These may be money exchange, guide, banking
services, embassy etc. with the help of these services, a tourist can roam around a new place all
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by himself without any hindrance. These can be availed by paying the charges. One can buy
bundled ancillary services.
TASK 2
Different factors that may influence tourism behaviour
Tourism behaviour means the attitude of a tourist before and travelling. The main
reason for travelling is to provide required relaxation and pleasure. The experience is based on
the degree of satisfaction attained by customers. It has been defined where individuals buy
products or services to satisfy their wants and needs. Companies in this industry have shifted
their business online where they seek reviews of customers who have availed the services. These
depends on the experience of each client. In short, the thoughts of a tourist are reflected on the
repetition of the services from a specific agency (Royle and Hall, 2012).
The factors affecting tourism behaviour are mentioned below:
Frequency of trips in a year: A person plans the number of trips that are to be made in a
particular period of time. The main reason for this is to that savings to be made for booking
packages for high satisfaction. Season of a particular country holds value in deciding about when
to make trips. Let take us an instance, if a person has plan to go on a trip to US, then he can
probably visit in winters. Also, events like Cricket world cup, football world cup,
commonwealth, Olympics etc. can increase the number of visitors. However, there may be some
people who do not show interest in visiting a country in peak time. Also, a visitor takes into
account the reviews and comments provided by other users. The favourable answers help in
making quick decisions which are positive.
Financial resources: The money which will be required to pay for all the services are
called in this. The services such as booking rooms, cars, buses, flights, theme parks, ancient
places etc. needs to be book in advance to avoid any last moment problems. The need of money
cannot be ignored. Also, the packages that are offered by agencies do not have same price. Since,
there is an option available to add or remove services. If additional services are being included,
then more money will be required. The services that are top class will require more charges for
which budget may have to increase. This is one of the great factor in affecting the tourism
behaviour. For example, if a person is earning handsome amount, then he would probably spend
more money which will increase the quality. On the other hand, a person who does not have
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adequate funds will may either have to postpone it or drop the idea of going on a trip (Malik,
2014).
Pricing: The price of the service greatly determines the demand for it in the market.
Every organization irrespective of its industry or sector formulates pricing strategy as the
decision of tourists greatly influenced by this factor. However, the price should be based on the
service quality that are provided by the entities. Also, it should be as per the demand and supply,
competition etc. The reviews provided by others play a huge role in this. From their experiences,
the prices can be decided. A hotel which is five star provides high quality services as compared
to a low budget hotel. A customer pay money for the services he finds worthy. The service
quality of hotel, local transports, cars on rent, food etc. all contributes in making it better or
worse. A customer can get convinced of paying more money for upgrading the services based on
quality it has.
Explain models of motivation and the impact they have on consumer decision making process
Motivation has its roots from Latin word movere which means to move. In literal term it
can be defined as aspects influencing people within the organization through direction to achieve
common goals (Li, G., and et. al., 2015). It has some models which can be applied to number of
situations. Some of these are as follows:
Need Achievement model: This model was given by McClelland in the year 1961. It is a
varied form of expectants value model. This model focuses on particular needs of a person which
are fulfilled and have the potential to gets changed in the future depending on the experience. It
is also known as Three Need Theory or Learned Needs Theory. The research has identified three
basic motivational needs which are need for power, need for affiliation and need for
achievement. these have been explained below:
Need for Power: The word power has been defined as ability to induce or influence the
behaviour of others. People having more power tend to have settled at higher position. This
element can work like this, a person who holds the position of an executive is paid more, who
will give preference to high class services which is expensive. Also, they are very choosy about
destination, hotels, restaurants etc.
Need for affiliation: The people falling under this category feel motivated as they are
being loved by others. This encourages an individual to get socialised by creating social
relationships. In this, a person who is open to have conversation with different people and shows
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interest in making new connection and a circle can find the need to go on trips in order to meet
new people and make nexus which can be carried for a long time.
Need for achievement: This is concerned with the results of an activity done by an
individual. This need may vary person to person, some may have limited list of achievements to
be accomplished and others may be open to have more wishes. A person may consider the
associated risks while making decisions.
Keller's ARCS model of motivation: The man behind this model is John Keller who
observed that motivation is based on four different factors which attention, relevance, confidence
and satisfaction.
Attention: In this, the information about different places are given by advertisements
through various modes for creating awareness among people. This is done to attract new visitors.
Relevance: The requirements of a customer are important for the hotel. Travel agencies
and tour operators are contacted and alliance or collaborations are formed which can hel in
determining the demands of the customers (Rao, 2014).
Confidence: Services in travel and tourism industry should be carried in a way that
retains the faith and trust on customers.
Satisfaction: This based on the fulfilment of needs and demands that have been requested
by an individual.
TASK 3
Identification of recent and emerging patterns trends in international travel and tourism industry
Travel and Tourism industry is one of the fastest growing market in UK. It has gone
through huge revolutions and adopted trends which have emerged new and fresh. Some of these
are as follows:
Technology: It is about the advancement in the technology which may include
fingerprint, facial recognition, retina screening etc. This can be used in the airports to have better
security and safety of the people travelling form one place to another. These can be used at
airports so that tourism experience can be made better. Also, it can be used in gathering data
about the customers for making improvements in the services in order to provide required
services (Baker, 2014).
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Robots: The AI has taken over not just the tourism industry but other industries or sectors
also. The introduction of robots in hotels, travel agencies etc. can make all the activities easy and
prompt. This can create opportunities for the business leading to increased demand in such
services. AI reduces the cost of the employees as one robot can do the work of the more than one
employee ultimately cutting the cost. The other advantage of it are accuracy, consistency etc.
Online booking: With the increase in the number of the internet users and shifting to
digitalisation in the business have increased the online booking majorly. People find it easy to
use also it can be accessed anywhere at anytime. This can increase the demand of additional
services.
Experience economy: Major modifications are done in the services provided under this
industry. Additions of services such as adventure involving new activities, introduction of
experimented foods, fusion of culture, traditions and modernisation, etc. These have been done
let visitors experience the economy prevailing in the destination country (Cornelissen, 2017).
Ecotourism: In this, visitors get a chance to see the nature and wildlife of the chosen
destination. This has recently became a favourite part in the whole trip for people belong to all
groups.
TASK 4
Examination of factors affecting popularity of range of global destinations
Global destination means place which provide the services of top class having lower
chances of mistakes. These are very expensive services which have high perceived value. The
level of consumer satisfaction is high. Some of the factors are as follows:
Reviews of friends and relatives: People trust their friends and family the most. While
making a plan for a trip, the recommendations from friends and family are considered. In
addition to this, reviews posted by visitors online hold great significance. If a place or destination
has more negative reviews or comments on the internet, then it is likely to have less visitors.
However, good or bad, this has raised the amount of knowledge of the services being offered at
global destinations (Theobald, W.F. ed., 2012).
Comprehensive and in-depth data online: People use online sources such as websites for
gathering information about the destination they are planning to visit. The amount of information
is huge as its comprise all the factors such as best time to visit, negative or positive experiences,
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costs incurred etc. Also, specific data can be obtained regarding different places. For example, a
person is planning to visit UK, he may get the information of the hotels selected by him.
Distance of destinations: The distance between one place to another is important to
consider as it may either increase the price or decrease it. Also, if the budget is limited, then
visitor is likely to choose a place which is not too far. On the other hand, more budget can
increase the chances of choosing more than one destination.
Special offers: This is a part of marketing strategies of travel companies. In this, agencies
offer discounts or many other offers which are generally low in price. People wait for these types
of offers for their bookings. For example, international hotels collaborate with flights in order to
give special packages. Also, seasonal offers can be made by the entities operating in Travel and
Tourism industry.
CONCLUSION
From the above report, it has been concluded that travel and tourism is an industry is
increasing fiercely due to new trends. The functions of bookings, money exchange, cancellation
etc. have become easy which has promoted the business of this sector. The achievements in UK's
travel and tourism industry have been described along with elements that have contribution in
affecting visitor's experience. Along with this, factors affecting tourism behaviour and various
models of motivation that can influence a consumer to change his decisions. Furthermore, trends
that are emerging and factors impacting global destinations have been provided in this.
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REFERENCES
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