Session 6-TPD

TOURISM
PRODUCT
DEVELOPMENT
SESSION 6
2024-I
Instructor: Daysy Angeles Barrantes
LEARNING OUTCOME
At the end of the session, the student

analyzes the current and potential
demand at the destination to identify
opportunities for developing new
products with ethics and a critical sense.
01 Global trends
Tourism demand
02
03
Demand analysis
04
Activity
1.
GLOBAL TRENDS
1. GLOBAL TRENDS
Family traveling is back

• Family groups represent the type of group that spends more per night and bookings.
Solo travel
• More popular between Millennials and Gen Z, some of them need to see the world at their
own pace and the feeling of freedom and independence
Inclusive travel
• Tourist want to see inclusive travel. It meas services for everyone equally
https://www.trekksoft.com/en/blog/tourism-market-trends-in-2022
1. GLOBAL TRENDS
Supporting local culture

• 6 out 10 travelers are interested in learning about travel options supporting
locals.
Adventure destinations
• Growing demand looking for authentic experiences (soft adventure)
Sustainability in the travel industry

• Being outdoors and enjoying nature is one of the main reasons why people
travel
https://www.trekksoft.com/en/blog/tourism-market-trends-in-2022
2. TOURISM
DEMAND
2. TOURISM DEMAND
What is tourism demand?
Esta foto de Autor desconocido está bajo licencia CC BY-NC-ND

2. TOURISM DEMAND
SUPPLY DEMAND
Tourist Visitor
destination
Source: Gampe & Murrugarra (2021). Gestiona tu destino Guía para el gestor
2. TOURISM DEMAND
WHAT IS TOURISM DEMAND? Geographic perspective: Tourism demand is the total number
of persons who travel or wish to travel, and use tourist
facilities and services at places away from their places of work
or residence. (Cooper et al. 1993)
Economic approach: Describes the relationship between

demand and price or another variable. It includes the concept
of elasticity.
Psychologist approach: Analyzes how the motivations,

expectations, behaviour and personality of tourists interact
with the environment and demand for tourism
2. TOURISM DEMAND
WHAT IS TOURISM DEMAND?

Number of people that plan to buy tourism products
People supported by sufficient purchasing power and spare time
The tourist trend from a tourist sending center to a tourist attraction

center.
Is a measure of visitors’ use of a good or service ( Frechtling, 2012 )
The total number of persons travelling/visiting a destination outside their

work/residence, consuming touristic products and/or services.
2. TOURISM DEMAND
Direct demand curve Inverse demand curve
• When a tourism • The quantity of

product can be demand for tourism
ascribed to the grows with an
relationship between increase in the Price
two variables like price associated with
and quantity. tourism, and
viceversa.
Cooper et al. (1993)

2. TOURISM DEMAND
Source: https://tomtunguz.com/obscure-economic-concept-behind-saas-pricing-challenges/
2. TOURISM DEMAND
2. TOURISM DEMAND
Generating Area Destination Link Variables

Economic variable Economic Variable
Personal disposable income Comparative prices between
General price level
levels generator and destination
Promotional effort by
Distribution of incomes Degree of supply competition
destination in generating area
Holiday entitlements Quality of tourism products Exchange rate
Value of currency Economic regulation of tourists Time/cost of travel
Tax policy and controls on

tourist spending
2. TOURISM DEMAND
A. Type of tourism
B. Destination
C. Travel mode
D. Accommodation and
attraction visiting
E. Purchasing method or
distribution channel
2. TOURISM DEMAND
CONSTRAINTS
Political
Money
controls
Time
3. DEMAND
ANALYSIS
3. DEMAND ANALYSIS
Who are the visitors?
Why did they decide to visit the

destination?
What are they doing at the destination?
How to serve them in the best way?

3. DEMAND ANALSYS
EXCERCISE IN CLASS
According to the destination you are analyzing in this course, identify the
main characteristics of the current demand:
• Visitor’s profile
• Sites visited
• Activities
• Tourist season
• Services used
3. DEMAND ANALSYS
EXCERCISE IN CLASS
According to the destination you are analyzing in this course, identify the
what could be the potential demand:
• Visitor’s profile
• Sites they would visit
• Activities they would do
• Time they would spend in the destination
• Services they would use (Are they available now?)
4. ACTIVITY
Assingment # 5: Report
• Type: In groups
• Present a progress report about the final work
• Date: May 10th at 23:00 hrs
• Please consider the rubric criteria to develop this
assignment.
ASSINGMENT
#3
THANK
YOU
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TOURISM

At the end of the session, the student

Family traveling is back

Supporting local culture

Sustainability in the travel industry

What is tourism demand?

Esta foto de Autor desconocido está bajo licencia CC BY-NC-ND

Economic approach: Describes the relationship between

Psychologist approach: Analyzes how the motivations,

WHAT IS TOURISM DEMAND?

People supported by sufficient purchasing power and spare time

The tourist trend from a tourist sending center to a tourist attraction

Is a measure of visitors’ use of a good or service ( Frechtling, 2012 )

The total number of persons travelling/visiting a destination outside their

Direct demand curve Inverse demand curve

• When a tourism • The quantity of

Cooper et al. (1993)

Generating Area Destination Link Variables

Holiday entitlements Quality of tourism products Exchange rate

Value of currency Economic regulation of tourists Time/cost of travel

Tax policy and controls on

Who are the visitors?

Why did they decide to visit the

What are they doing at the destination?

How to serve them in the best way?

• Present a progress report about the final work

• Date: May 10th at 23:00 hrs

• Please consider the rubric criteria to develop this

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