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    Characteristics of The Tourism

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    Ray K
    The tourism industry has several unique characteristics: 1. Perishability - Tourism services like hotel rooms and transportation seats cannot be stored and must be consumed when produced, so unused capacity cannot be sold later. 2. Inconsistency - Tourism experiences differ based on unpredictable factors like weather and other customers, making products hard to standardize. 3. Investment and immobility - Tourism businesses require large upfront investments in fixed assets like hotel furnishings that are tied to a specific location.

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    Characteristics of The Tourism

    Uploaded by

    Ray K
    719 views4 pages
    The tourism industry has several unique characteristics: 1. Perishability - Tourism services like hotel rooms and transportation seats cannot be stored and must be consumed when produced, so unused capacity cannot be sold later. 2. Inconsistency - Tourism experiences differ based on unpredictable factors like weather and other customers, making products hard to standardize. 3. Investment and immobility - Tourism businesses require large upfront investments in fixed assets like hotel furnishings that are tied to a specific location.

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    Characteristics of the Tourism

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    The tourism industry has several unique characteristics: 1. Perishability - Tourism services like hotel rooms and transportation seats cannot be stored and must be consumed when produced, so unused capacity cannot be sold later. 2. Inconsistency - Tourism experiences differ based on unpredictable factors like weather and other customers, making products hard to standardize. 3. Investment and immobility - Tourism businesses require large upfront investments in fixed assets like hotel furnishings that are tied to a specific location.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    719 views4 pages

    Characteristics of The Tourism

    Uploaded by

    Ray K
    The tourism industry has several unique characteristics: 1. Perishability - Tourism services like hotel rooms and transportation seats cannot be stored and must be consumed when produced, so unused capacity cannot be sold later. 2. Inconsistency - Tourism experiences differ based on unpredictable factors like weather and other customers, making products hard to standardize. 3. Investment and immobility - Tourism businesses require large upfront investments in fixed assets like hotel furnishings that are tied to a specific location.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 4

    Characteristics of the Tourism Industry

    There are certain important characteristics about that industry which


    make it necessary and exciting for companies when planning a
    marketing/social media strategy. What is so special about tourism
    compared to the producing or trading industries?

    Perishability;
    Perishability is one of the most important characteristics of the tourism
    industry. The products/services in the tourism and travel industry
    are consumed as they are produced. Hotel rooms and cable car seats
    cannot be warehoused for futures sales. When a hotel room is not
    booked tonight, you cannot take ‘tonight’ and sell it tomorrow. Once the
    train left the station, unused capacity cannot be sold afterwards –
    provided that it was no time-traveling train.
    As an uncertainty in customer demand leverages this issue, hotels and
    travel agencies tend to overbook available rooms and seats. Finding an
    alternative product for the customer and living with the consequences of
    overbooking is statistically more economical.

    Inconsistency;
    Products of the tourism industry always differ. Even the same hotel
    room in the same week with the same weather can be perceived
    differently due to the mood of the chef. It is always about the experience
    that the customer makes. Rational product attributes like price, nights of
    stay, and additional services can only be compared to a minor degree. It
    is challenging to deal with the customer perception of the product (the
    perceived quality) as it is highly affected by numerous uninfluenceable
    aspects such as weather, construction sites, other customers etc. Hence,
    the product is very inconsistent and cannot be standardized.

    Investment and immobility;


    Talking about hotels and other accommodations there is usually a big
    capital lockup in the assets. Hotels have furniture, restaurants, TV-sets,
    laundry-service, pools, saunas etc. – invested capital that has to pay off.

    And that’s not all – all those investments are attached to one locality
    which means that those tourism companies are to a huge extent
    dependent on the attractiveness of the region, the country, its
    surroundings and so forth.

    People-oriented;
    The tourism industry builds entirely upon people. The interaction
    between the staff and the customer determines the perceived product
    quality. Unlike tangible products where the customer buys certain
    features, production quality, durability etc. the holiday quality results
    from personal interactions starting with the information and booking
    process over the stay up to the journey home.

    Inseparability;
    Most travel products are first sold and the produced and consumed at the
    same time. This is an aspect which clearly sets tourism apart from
    tangible products. When you buy a new computer it is produced and
    shipped before you see it on the website or at the retailer’s premise. The
    consumption of that computer – using it – takes place after purchase at
    your home. You cannot take the hotel room home – only the small
    bottles of shampoo and toothpaste. And you cannot enjoy the alpine
    sleigh ride in your living room. Tourism products can only be consumed
    at the supplier’s premise.

    Intangibility;
    Tourism products are intangible. A night in a hotel, a day in a ski-resort,
    the calm flight with the nice attendant, and the smiling tour-guide taking
    you to the peak of an alpine mountain – all this cannot be touched.
    Tourism is all about the time spent and the experience made. The
    products sold by tourism companies both can’t be reproduced or reused.
    Nor can the feeling of consumption be captured to its full extent. There
    are merely attempts with photographs and video cameras. Probably
    everybody was already in the situation where you showed your holiday
    pictures to your family or friends and said “Well, it looked better when I
    was there. The picture cannot really reproduce the sentiment)… Tourism
    is a subjective picture planted into the customers’ minds.

    Inflexibility;
    Travel products are fairly inflexible in terms of fluctuation. Hotels
    cannot change their capacities quickly enough to react on spontaneous
    fluctuations in demand. Hence, such companies try to balance between
    high and low demands, so that it’s not too much of a pain for the
    company when restaurant tables remain empty and for customers when
    there are no more tables available.

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