chaper 2 - Methods of Tourist Travel

Methods of Tourist Travel

Air Travel

  • Importance of Air Travel:

    • Air travel has made it feasible to establish luxury resorts on remote islands.

    • Enabled multinational enterprises and enhanced the travel opportunities for millions.

    • Most resort destinations would be virtually impossible to build without airlines.

  • Impact on Travel and Tourism Industry:

    • Airlines make travel more convenient and accessible, increasing international travelers significantly.

    • Air transport is a crucial element for the profitability of hotels, car rental agencies, and cruise lines.

    • Lower airfares lead to increased passenger numbers which enhances hotel occupancy.

    • Local economies benefit from tourism tax revenues, which improve public services and facilities.

Statistics

  • Airplane Fleet and Passengers:

    • Approximately 5,000 airplanes in the United States during peak times.

    • In 2015, 895,500,000 passengers traveled system-wide.

  • Industry Growth Trends:

    • The airline industry saw rapid growth in the 1990s, continuing into the present with trends towards cheaper flights due to lower fuel costs.

    • Future industry growth is anticipated alongside enhanced security measures in airports and onboard.

Accessibility of Remote Destinations

  • The advent of jet aircraft has made previously remote destinations like Bali, Boracay, and Bangkok reachable at reasonable costs.

  • U.S. airlines have formed strategic alliances with international carriers to simplify ticketing and broaden route access.

  • A feeder market is defined as a market providing consumers for a specific airline.

Airline Efficiency and Cost Strategies

  • Companies like Southwest Airlines have achieved success through a low-cost, high customer satisfaction model with unionized workforces.

  • Airlines such as TED (United's subsidiary), Song, Delta, and JetBlue operate with lower costs by having standardized fleets and offering no-frills services.

  • Measures of airline performance:

    • Load Factor: Calculated as racextNumberofPassengersextNumberofSeatsrac{ ext{Number of Passengers}}{ ext{Number of Seats}}.

    • Cost per Available Seat Mile (CASM): racextOperatingExpensesextTotalAvailableSeatMilesrac{ ext{Operating Expenses}}{ ext{Total Available Seat Miles}}.

    • Total Revenue per Available Seat Mile (TRASM): racextTotalOperatingRevenueextAvailableSeatMilesrac{ ext{Total Operating Revenue}}{ ext{Available Seat Miles}}.

  • To counteract losses from deregulation and rising fuel costs, airlines have eliminated unprofitable routes, often those serving smaller cities.

Hub and Spoke System

  • Definition:

    • A hub and spoke system allows passengers to travel between smaller cities via one or more centralized hubs.

  • Benefits:

    • Cost-effective for airlines by servicing more cities.

    • Maximizes passenger loads from small cities, thereby saving fuel.

Rail, Automobile, and Coach Travel

  • Changing travel technologies have reshaped societal travel patterns.

  • Rail Influence:

    • Rail travel led to the growth of towns, hotels near rail depots, and opened the West for expansion.

  • Auto Travel:

    • The automobile has become the dominant form of short-distance transportation, offering flexibility and convenience.

    • It generates significant revenue for local economies due to car tourism.

  • Travel Preferences:

    • Costs, preferences, and travel purposes (business or pleasure) heavily influence mode of transport selection.

Train Travel in the U.S.

  • Historically, trains were vital for moving goods and people; however, bus and car dominance began in the 1920s.

  • Passenger rail travel continues to face challenges from automobiles and budget constraints.

  • Amtrak Development:

    • Established to sustain rail services amid declining ridership, creating a semi-nationalized rail system.

Rail Travel Abroad

  • European and Asian rail systems operate high-speed trains efficiently, minimizing air travel's dominance.

  • Examples include:

    • Eurostar: Connects the UK with mainland Europe via a channel tunnel.

    • TGV (Train à Grande Vitesse): Operates at speeds reaching 201 mph, known for efficiency and comfort.

    • Shinkansen in Japan: Connects Tokyo and Osaka in under three and a half hours.

    • Eurail Pass: Offers unlimited first-class travel across Europe to tourists.

Emerging Travel Technologies

  • Maglev Train Technology:

    • Definition: Trains that use magnetic levitation to achieve high speeds (over 300 mph).

    • Currently implemented in Shanghai with potential for a line connecting to Beijing.

Automobile Travel

  • The automobile revolutionized American life, serving as the predominant form of transport.

  • Advantages of car travel include access to previously hard-to-reach locations, generating substantial economic benefits.

  • Automobile Associations:

    • Organizations such as AAA and CAA provide essential roadside services and advocate for improved automobile regulations related to safety.

Rental Cars

  • Approximately 5,000 rental car companies operate in the U.S. with large percentages of business coming from airport operations.

  • Major companies include Hertz, Avis, and Budget, primarily catering to business travelers who need short-term rentals.

Bus Travel

  • While less competitive versus airlines, bus travel remains significant for charter and tour services.

  • It offers affordable options, especially for passengers with time flexibility, such as students and seniors.

  • Gray Line:

    • A prominent company that organizes sightseeing tours globally, providing a critical service in the tourism sector.

Tourism Organizations

  • Governments play crucial roles in regulating tourism and fostering growth through strategic policies.

  • International Organizations:

    • United Nations World Tourism Organization (UNWTO): Facilitates global tourism development.

    • International Air Transport Association (IATA): Regulates airline operations and ensures fare stability.

Domestic Organizations

  • State Offices of Tourism: Develop tourism strategy at state levels, promoting local attractions.

  • City-Level Bureau: Includes Convention and Visitors Bureaus (CVBs) which attract tourism, funded by hotel taxes.

Tour Operators and Agencies

  • National Tour Association (NTA): Acts as a central body for tour operators within North America.

  • Travel Agents:

    • Serve as intermediaries, offering personalized travel arrangements through various channels like cruise lines and airlines.

    • Commission revenues have declined, leading many agents to focus on niche markets like cruises.

Corporate Travel Management

  • Corporate travel managers optimize travel policies for organizations, yielding significant savings.

  • Online booking trends are rising, prompting companies to adapt corporate strategies to manage travel more effectively.

Cultural and Heritage Tourism

  • Cultural tourism is driven by interest in historical and artistic experiences that enhance the travel experience through engagement with local customs and heritage.

  • Tourism influences local arts positively by creating markets for traditional crafts and encouraging cultural exchanges.

Ethical and Sustainable Tourism

  • Sustainable Tourism: Focuses on harmonizing tourism expansion with environmental conservation.

  • Ecotourism: Emphasizes responsible travel in natural areas while benefiting local communities economically.

  • Ethical Travel: Aims for fairness in tourism, improving local economies and ecological practices.

Conclusion

  • The ongoing development of travel modes through improvements in technology, increasing demand, and market adaptations will shape the future of the travel and tourism industry.

  • Responsible practices in tourism are essential to ensure that both tourists and local populations derive benefits from travel experiences.