The document discusses the structures of the travel and tourism industry. It is divided into two main parts: the travel industry and the tourism industry. The travel industry involves distributors like travel agents, operators, and websites that deliver travel products and services to consumers. It also involves regulatory bodies and government departments that oversee the industry. The tourism industry includes accommodation providers, tour operators, distributors, and agencies that promote local tourism.
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The Travel & Tourism
Industry
• Travel and tourism is one of the world’s
largest industries
• It is also one of the most fragmented
• The two aspects of the industry can be
viewed separately, as many of the
players are involved in both
• Let’s look at each part of the industry
on its own
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Distributors
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The people, groups or firms that
deliver the products and services of
travel to consumers.
These include:
travel agents (business and leisure)
travel operators selling direct to the
consumer
firms selling on the Internet
call centres handling customer service
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Regulatory Bodies
Organisations set up to oversee
the industry, either:
• Trade associations such as ABTA
(Association of British Travel
Agents)
or
• Statutory bodies such as the CAA
(Civil Aviation Authority)
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Public Sector Organisations
Government departments with
responsibility for the industry:
• Department for Transport (DfT)
• Department for Culture, Media &
Sport (DCMS)
• Foreign and Commonwealth Office
(FCO)
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Other Industry Players
Insurance firms and car hire
companies:
• Insurers provide cover for goods,
services and people
• Car hire providers meeting onward
travel needs of business and leisure
customers
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Accommodation, Tour
Operators & Distributors
Providing the ‘nuts and bolts’ of the
industry:
• Hotels, villas, apartments, B&B,
camping parks
• Packages of travel tours to popular
locations
• Selling the travel product/service to
individual and business consumers
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Tour Operators
Four dominant firms
• TUI (Thomson)
• First Choice
• MyTravel
• Thomas Cook
All vertically integrated, operating
at more than one level in market
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Tour Distributors
Usually includes business and
leisure travel agents:
• Some large and well-known
• Some small and independent
• Others in niche parts of market
Can you think of examples of
each?
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Tourism Agencies
Tourist boards and offices:
• Promoting Britain to overseas
customers (Visit Britain)
• Promoting regions of the UK to
overseas and domestic customers
(Visit Northumbria)
• Providing information to customers
(Tourist Information Centres)
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Regulatory Bodies
• Consortium of Independent Tour
Operators
• Federation of Tour Operators
• People1st (Skills Council for
Tourism, Hospitality and Leisure)
• Regional Development Agencies
(RDAs)
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Other Industry Players
• The Tourism Alliance represents
industry views to the government
• Other firms in industry, such as
insurance companies and car hire
firms
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