Chapter V: Trends and Issues in the Tourism and Hospitality Industry
Unit 2: Trends in Tourism
Hello everyone! Welcome to your study notes for "Trends in Tourism". The world of travel is always changing, just like fashion or technology. In this chapter, we're going to be trend-spotters! We'll explore the major forces that are shaping how, where, and why people travel today.
Understanding these trends is super important. Why? Because they show you where the industry is heading. Knowing them will not only help you ace your exams but also give you a real advantage if you choose a career in tourism and hospitality. We'll break everything down into four key areas: Economical, Social-cultural, Environmental, and Technological. Let's get started!
1. Economical Trends: The Money Side of Tourism
This is all about how money and the economy affect travel. When people have more money and the global economy is doing well, tourism usually booms!
(i) Increase in demands on travel
Simply put, more and more people around the world want to travel. But why is this happening?
- Rising Incomes: As countries develop, people have more disposable income (the money left over after paying for essentials like rent and food). This means they can afford to spend on luxuries like holidays. For example, the rapid economic growth in Mainland China has created a huge new market of tourists travelling worldwide.
- Cheaper Flights: The rise of budget airlines (also called low-cost carriers) has made flying much more affordable. Think about airlines like HK Express or AirAsia. Their low prices encourage more people to take short trips more often.
- More Information: The internet makes it easy to find out about new destinations and book trips, encouraging more people to explore.
(ii) Competitions among tourism receiving countries
Because tourism brings in a lot of money, countries and cities are all competing to attract the most visitors. Think of them as rival shops in a mall, all trying to get your business!
How do they compete?
- Developing Attractions: Building new theme parks, museums, and landmarks. For example, Singapore built the Marina Bay Sands and Gardens by the Bay to attract more high-end tourists, competing directly with destinations like Hong Kong and Macau.
- Marketing and Promotion: Creating catchy slogans and advertising campaigns. You might have seen campaigns like "Amazing Thailand" or "Incredible India".
- Improving Infrastructure: Building better airports, high-speed trains, and modern hotels to make travelling easier and more comfortable.
- Favourable Policies: Making it easier for tourists to visit, for example, by offering visa-free access to citizens of certain countries.
Key Takeaway: Economic growth means more people can afford to travel. This creates a huge opportunity, but it also means that destinations like Hong Kong face fierce competition and must constantly improve to attract tourists.
2. Social-cultural Trends: How People are Changing Travel
This section looks at how changes in society and people's lifestyles affect their travel choices. Demographics (the statistical data of a population, like age, gender, and family size) play a huge role here.
Changes in demographics leading to different travel patterns and preferences
Don't worry, "demographics" isn't as complicated as it sounds! It just means we're looking at different groups of people. A holiday that excites you might be totally different from what your grandparents would enjoy. Let's see how.
- The Ageing Population (or "Silver-Haired" Market):
Many developed places have more and more senior citizens who are often retired, healthy, and have savings.
Their Preferences: They often prefer slower-paced, comfortable, and safe travel. They are interested in culture, history, and wellness.
Travel Patterns: Popular choices include cruises, all-inclusive resort holidays, and cultural or health-focused tours. - Younger Travellers (Millennials and Gen Z):
This group grew up with the internet and social media.
Their Preferences: They seek authentic and unique experiences, not just standard sightseeing. They love adventure, discovering local culture, and finding "Instagrammable" spots. They are often more budget-conscious.
Travel Patterns: They are more likely to be Free Independent Travellers (FITs), stay in hostels or Airbnbs, go backpacking, and use technology heavily to plan and share their trips. - Changing Family Structures:
There's also a rise in solo travellers and couples without children.
Their Preferences: This creates demand for different types of accommodation (like single rooms) and activities that aren't just for traditional families.
Did you know? The desire for unique experiences has led to the rise of "experiential tourism". This could be anything from a cooking class in Thailand to a coffee-tasting tour in Vietnam. It's about doing something, not just seeing something.
Key Takeaway: One size does not fit all in tourism anymore! The industry must offer a variety of products to cater to different age groups and lifestyles, from comfortable cruises for seniors to adventurous treks for young backpackers.
3. Environmental Trends: Protecting Our Planet
People are becoming more aware that travel can harm the environment. This has led to two major trends: dealing with the impacts of climate change and a growing focus on conservation.
(i) Climate Change
A warming planet has a direct and serious impact on tourist destinations around the world.
- Threats to Natural Attractions:
- Rising sea levels threaten to submerge low-lying beach destinations like the Maldives.
- Warmer oceans cause coral bleaching, which damages beautiful coral reefs like the Great Barrier Reef in Australia, making them less attractive for diving and snorkelling.
- Melting glaciers and less snowfall shorten the ski season in mountain resorts in Europe and North America. - More Extreme Weather: An increase in the frequency and strength of typhoons, hurricanes, and floods can disrupt travel plans and damage tourism infrastructure.
(ii) Environmental Conservation
The good news is that both tourists and travel companies are becoming more environmentally responsible. This is the idea behind sustainable tourism.
Sustainable tourism means visiting a place in a way that minimises your negative impact on the environment, culture, and economy. It's about preserving the destination for future generations.
What does this look like in practice?
- Eco-friendly Hotels ("Green Hotels"): Hotels that save water and energy (e.g., asking guests to reuse towels), reduce waste, and use sustainable materials.
- Rise of Ecotourism: Trips focused on enjoying nature responsibly, often involving activities like hiking or wildlife watching, where the money helps protect the local environment. For example, visiting a national park where your entrance fee supports conservation efforts.
- Responsible Tourist Behaviour: More travellers are choosing to reduce their carbon footprint by taking direct flights, packing light, avoiding single-use plastics, and respecting local wildlife and habitats.
Key Takeaway: The environment is both a key attraction and a major responsibility for the tourism industry. Climate change is a threat, while environmental conservation offers a path to a more sustainable and responsible way of travelling.
4. Technological Trends: The Digital Revolution in Travel
Technology has completely changed the way we plan, book, and experience travel. It’s hard to imagine a trip now without our smartphones!
(i) Functions provided by the Global Distribution System (GDS)
This might sound technical, but the idea is simple. A Global Distribution System (GDS) is a massive computer network that connects travel suppliers (like airlines and hotels) with travel agencies.
Analogy: Think of a GDS as the central brain of the travel industry. It holds all the information about flights, hotel rooms, and rental cars in one place, allowing travel agents to access it instantly.
The main functions of a GDS are:
- Information Hub: It provides real-time information on availability, schedules, and prices.
- Booking Engine: It allows travel agents to book and confirm reservations for their clients.
- All-in-One Itinerary: It can combine a flight, hotel, and car rental into a single booking record.
The three main GDS companies you might hear about are Amadeus, Sabre, and Travelport.
Quick Review Box: GDS vs. Online Travel Agents (OTAs)
Common Mistake: Don't confuse GDS with websites like Trip.com or Expedia.
- A GDS is a B2B (Business-to-Business) system used by professionals (travel agents).
- An OTA is a B2C (Business-to-Consumer) website used by the public. However, many OTAs get their information *from* a GDS!
(ii) The introduction of new information technology
Beyond the GDS, two other types of technology are making a huge impact:
1. Self-Serviced Technology (SST)
This refers to any technology that lets you, the customer, do things yourself without needing staff assistance. It's all about speed and convenience.
Examples are everywhere!
- At the Airport: Using a kiosk to check-in and print your own boarding pass and baggage tags.
- On your Phone: Using an airline's mobile app to check-in and get a digital boarding pass.
- At the Hotel: Using a kiosk or app for self-check-in and check-out.
- At Attractions: Buying tickets online via a QR code to avoid queues.
2. On-line Social Media
Social media has transformed tourism from start to finish. It now plays a key role in every stage of a trip.
- Before the Trip (Inspiration and Planning): Tourists see a beautiful photo on Instagram, watch a travel vlog on YouTube, or read reviews on TripAdvisor to decide where to go and what to do.
- During the Trip (Sharing): People share their experiences in real-time by posting photos, videos, and stories. This acts as free, word-of-mouth advertising for the destination.
- After the Trip (Influencing): Travellers write reviews and share recommendations that influence the decisions of their friends, family, and followers.
Key Takeaway: Technology has made travel more efficient and connected. The GDS powers the booking systems behind the scenes, while self-service technology and social media have put more power and information directly into the hands of the traveller.