Unit 1_PPT_Establish Leisure and Travel Preferences of Travellers

Unit 1: Establish Leisure and Travel Preferences of Travellers

Learning Outcomes

  • Understand the significance and objectives of tourism from four perspectives.

  • Recognize the role and functions of establishments that promote and regulate the tourism industry.

  • Identify primary sources of tourism-related information.

  • Describe key tourism indicators for measuring the performance of the leisure and tourism industry in Singapore.

  • Assess the positive and negative impacts of tourism on a nation.


Importance and Purpose of Tourism

Economic Contribution

  • Tourism plays a vital role in Singapore's economy.

  • 2023 Performance Highlights:

    • Generated S$25 billion in tourism receipts.

    • Achieved 13.6 million international visitor arrivals.

Tourism Perspectives

  • Tourists: Seek diverse mental and physical experiences.

  • Businesses providing goods and services: Profit from goods and services demanded by tourists.

  • Host Government: Generates revenue from foreign exchange and taxes; develops tourism policies.

  • Host Community: Experiences cultural interactions which may lead to both benefits and challenges.

Importance of Tourism

  • Increases National Revenue:

    • Direct spending by tourists in transportation, accommodation, food & beverage, entertainment, etc.

  • Job Creation and increased income:

    • Provides both direct (e.g., tour operators, hotels) and indirect (e.g., construction, agriculture) employment opportunities.

  • Improves Local Living Standards:

    • Tourism-related jobs can lead to improved living conditions.

  • Enriches Cultural Diversity:

    • Encourages cultural exchanges enhancing perspectives for both visitors and locals.


Tourism Organizations

1.2.1 Types of Organizations

  • Government and Private Entities:

    • Organizations may be for-profit (e.g., Universal Studios Singapore) or non-profit (e.g., UNWTO).

  • Marketing and Management:

    • Crucial in promoting the destination and managing the tourism industry.

Importance of Organizations

  • Interdependence:

    • Different sectors rely on each other within the industry.

  • Sustainable Development:

    • Planned tourism development for sustainability.

  • Rights Protection:

    • Advocating for small-scale operators' rights.

  • Market Reach:

    • Helps fragmented markets to connect with potential customers.

Notable Organizations in Tourism

  • International Organizations:

    • UNWTO (United Nations World Tourism Organisation) , IATA (International Air Transport Association), PATA (Pacific Asia Travel Association).

  • Local Government Agencies:

    • Singapore Tourism Board (STB), Civil Aviation Authority of Singapore (CAAS), etc.

  • National Organizations:

    • Various local trade associations.


Functions of National Tourism Organizations (NTOs)

  • Research: Investigating tourism trends.

  • Promotions: Marketing inbound tourism through campaigns.

  • Development: Drafting national and regional tourism development plans.

  • Regulations: Licensing hotels and agencies.

Specific Agencies and Associations

  • Singapore Tourism Board (STB): Main agency championing tourism.

  • Civil Aviation Authority of Singapore (CAAS): Promotes aviation safety and growth.

  • National Heritage Board (NHB): Manages and celebrates Singapore's diverse heritage.

  • National Parks Board (NParks): Focus on biodiversity and community welfare.

Local Trade Associations

  1. Travel Agents Association of Singapore (TAAS): Focuses on the development and promotion of travel agents in Singapore to enhance their professionalism.

  2. Singapore Hotel Association (SHA): Represents hotel interests and works on promoting Singapore as a leading hotel destination.

  3. Singapore Association of Convention and Exhibition Organisers and Suppliers (SACEOS): Advocates for the local MICE (Meetings, Incentives, Conventions, and Exhibitions) industry, enhancing its competitiveness.

  4. Association of Singapore Attractions (ASA): A national movement that unites various stakeholders to promote and enhance tourism in Singapore.

  5. National Association of Travel Agents Singapore (NATAS): Represents travel agencies providing a platform for advocacy and guidance on industry standards.


Sources of Tourism Related Information

1.3 Main Sources

  • Tourist Associations: Market research and forums.

  • Tourism Seminars and Trade Shows: Knowledge exchange and product showcases.

  • Travel Websites: Various purposes including bookings and reviews.

  • Official Airline Guides (OAG): Provide reliable airline information.

  • Automated Travel Information Manual (TIMATIC): Delivers personalized travel requirement information.

Specific Information Sources

  • International Organizations:

    • UNWTO's e-library provides tourism statistics and forecasts.

  • Travel Websites: Users should evaluate for:

    • Objectivity, currency, accuracy, coverage, and authority.

  • Travel Blogs: Authentic insights but may have biases.


Key Tourism Indicators in Singapore

1.4 Indicators of Performance

  • Tourism Receipts: Revenue from spending by inbound tourists (e.g., shopping, accommodation).

  • International Visitor Arrivals: Total number of tourists coming into Singapore.

  • Gazetted Hotel Room Revenue: Helps evaluate hotel performance, average rates, and occupancy.

Detailed Metrics

  • Average Room Rate (ARR):

    • Total room revenue divided by total rooms sold.

  • Average Occupancy Rate (AOR):

    • Total rooms sold divided by (total available rooms multiplied by timeline), multiplied by 100.

  • Revenue Per Available Room (RevPAR):

    • Total room revenue divided by (total rooms available multiplied by timeline).


Impacts of Tourism

Positive Impacts

  • Economic:

    • Income generation and job creation.

  • Social/Cultural:

    • Cultural exchange and community engagement.

  • Environmental:

    • Improved infrastructure and awareness of conservation.

Negative Impacts

  • Economic:

    • Overreliance on tourism can lead to inflation and instability.

  • Social/Cultural:

    • Potential for cultural erosion and increase in crime.

  • Environmental:

    • Pollution and pressure on natural resources.