Ch1:OverView

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Ch1OverView

• Ting Ping-Ho

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The Growth of the Internet

• Figure 1.1
• Table 1.1

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The Internet and the Hospitality and Tourism
Industry

• Information-rich industry
• Heavily on finding and developing new means
• Consumers are constantly seeking new source
• Top four growth categories
• According to TIA, 64 million online travelers get
  information on destinations or check price and
  schedules, growing about 400 over threes.

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The Internet and the Hospitality and Tourism
Industry-cont.

• Attractive group,under the age of 55,annual
  household income above 75,000,college educated,
  and work in a professional/managerial occupation.
• Online travelers spent over 13billion in 2000,
  buying travel and related services over the
  internet.
• Strong evidence to this trend will continue in
  the years to com.

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The Internet and the Hospitality and Tourism
Industry-cont.

• Bypassing travel agent, increasingly turning to
  Internet for travel planning and booking,and
  making fewer phone call to airline, tourism
  offices, hotels and care rental agencies.
• Travel booking will be the number one growth.
• .dot-com bust, well known travel sites, such as
  Expedia and Travelocity are still going strong.

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The Internet and the Hospitality and Tourism
Industry-cont.

• Orbitz receive a 50 million investment fund from
  some of the major airlines in United States.
• In Europe, it is predicted that the online travel
  market will more than triple in size.

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Characteristics of the Internet

• Peer-to-peer system
• Offer services or products directly to customers
• Interconnected network and thus has the
  capability of interaction.
• Resulted in a real-time online reservation
  system.
• Gather customer feedback to help plan or design
  customizable new product or service
• Hyperlink
• Open architecture networking
• Platform independent

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The Internet and E-commerce

• B2C e-commerce in the hospitality and tourism
  industry has about 95 million online travelers in
  U.S.A, or about 45 of the U.S. adult
  population(TIA 2001)
• B2CAmazon
• B2BDell
• C2Cebay
• C2B????

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The Internet and E-commerce

• TIA(2001)reported that 66 of online travelers
  use the Internet to get information on
  destinations or to check price and/or schedules.
• In Taiwan Now?

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The Internet and Communication

• Most products or services are intangible,perishabl
  e,emotionally appealing , and people oriented.
• Customer rely heavily on information before they
  buy.
• Customer need up-to-date fast, interactive
  information that is available 24 hours a day,
  seven days a week service.
• The Internet has broken both time and geographic
  barriers.

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The Internet and Communication

• Portals to attract and allow customers to
  communicate with them on a regular basis.
• E-mail, e-newsletters.newsgroup are used.

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The Internet and E-Marketing and Information
Distribution

• Internet marketing, also called e-marketing, open
  new opportunities for companies.
• Traditional marketing media, constitute one-way
  mass marketing.
• Internet marketing, target markets are clearly
  selected and interactivity is built.
• Push technology, companies send their marketing
  messages to individual consumers based on their
  preferences.

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The Internet and E-Marketing and Information
Distribution

• With the capabilities of the Internet, the
  Intangible nature of travel and hospitality
  product or service can be improved.
• The dynamic information is superior to the static
  information displayed in a traditional printed
  copy of a brochure.

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The Impact of the Internet on the Hospitality and
Tourism Industry