E-TOURISM-”AN INNOVATION

IN TOURISM INDUSTRY “
By:

Prof Preshni Khare

MBA(IT),M-Tech(IT)
 AGENDA
 Introduction
 Key Facts at a Glance
 Perception of consumer & Agents
towards e-tourism
 Challenges faced by the agents &
Consumers
 Suggestive e-tourism strategies
 Conclusion
 INTRODUCTION
 During the last decade of 20th century, India
saw the emergence of e-tourism, its
innovation and growth. It is because of the
online revolution and its utility where the
tourists are more interested to get
information on destinations, facilities,
availabilities, prices, geography & climate
and present status of friendly relation.
 This led to the development of e-commerce strategies in
tourism industry and more services in the form of online hotel
booking, flight booking, car booking, bus booking came into
forefront as online services provided by the big online travel
Travelchacha.com,
industries like
Makemytrip.com, Yatra.com, Cleartrip.com,
Ezeego1.com, Arzoo.com, Travelguru.com,
Travel.indiatimes.com, ixigo.com,
travelocity.co.in etc. On these sites, the
travelers have wide option of exploring details
of hotels, flights, cars, buses and other allied
services.
 KEY FACTS AT A
GLANCE(WTT)
 Gross Domestic Product(GDP)
The contribution of Travel & Tourism to
GDP is expected to rise from US$117.9 bn
in 2010 to US$330.1 bn by 2020.
 Employment :

is expected to rise from 49,086,000 jobs in

2010 to 58,141,000 jobs in 2020.
 Visitor Export : Export earnings from
foreign visitors are expected to rise from
US$11.1 bn in 2010 to US $ 33.6bn in 2020
.
CONT……..
 Investment in Travel & Tourism :
Is expected to reach from US$34.7bn in 2010
to US$109.3bn by 2020
.
PERCEPTION OF CONSUMER &
AGENTS TOWARDS E-TOURISM
 Captures a wide range of customer
information
 Go-to Place for information
 Conveys perception of being a full service
provider
 Better service/convenient/time saving
 Security/trust/privacy
 Technical support
FINDINGS OF THE STUDY
 Age Group :
18-30 years
30-40
40-50
50-60
60 & Above
70% to 80% are from 18-45 category using
online services for T & T
CONT…….
 Purpose of online usage
Transportation :3
Holidays :
Hotel Booking :2
Frequency : 3 highest 2 Average 1 Low
 Satisfaction with online services

60% satisfied (18-40 years)

20% satisfied (50 & above)
CONT…..
Importance provided by the consumers to the following
aspects
 Information updates 4
 Ease of access 5
 Privacy of personal information 5
 User friendliness 5
 Special offers 3
 Security 5
 Technical support 5
 Personalized Notification 3
 Personalized travel planning 3
Rating : 5: Most 4:Highly 3:Significant 2:Less 1:Least
(70% to 80%)
CONT…..
Problems faced by customers in using online
services
 Accessibility
 Connection problem 90 %
 Information Phishing
 Software/Browser related
 Lack of Knowledge 60%
 Payment gateway related problem 50%
 Refunds 75%
CONT…..
Service provider provided assistance :
 Immediately (within 24 hrs)
 Well within time(within a week)
 Delayed (after 1 week with continuous
perusal)
 No Support
80 % says Delayed specially refund
FINDINGS-AGENTS:FOCUSSED
ON MAKE-MY-TRIP AND IRCTC
 Travel :80% are using Rail travel ,60% Air
travel
 Tourism : 60 % hotel booking ,30% historical
places & resorts
 Age Profile of Customers

70 % from age group of 18 to 45

 Payment Mode :

credit card(Max) , Debit card netbanking

CONT…
Problems faced by Agents in using online
services
 Connection problem 90 %
 Software/Browser related 30%
 Frequency of security feature update 10 %
 Lack of Technical staff
PROBLEMS SPECIFIED BY THE
CUSTOMERS IN USING ONLINE
SERVICES
 Network traffic congetion is high specially
during peak times
 Refund problem
 Some of information published on the website
is outdated when asked for the specific travels
dates booking is not available or if available
prices are not been updated which makes
budget upset.
 Half cooked information
 IRCTC site hangs and is very slow during
daytime mostly between 8-10AM.
CONT…………
 Security Concern/Trust
Because of the terrorist activity going in India, overall
Tourism Industry has been affected ..
 Privacy of personal Information

In a vast country like India it is common knowledge that a

very small percentage of the population that too urban
have so far adopted e-commerce in their daily banking &
Tourism transaction .  
 Lack of awareness as well as lack of required mind set

Is a major reason for non adoption of e-commerce

practices in tourism. Block-headed customers ,lack of
proper knowledge are the main hurdles faced by
agencies in extending consumer awareness and support.
Main problems faced by firms in extending
consumer awareness program
 Block headed customer
 Lack of proper knowledge
 Lag in services rendered by their call centers
SUGGESTIONS(FROM
CUSTOMERS)
 Better technology and better service
 Holiday package need to be better
 Customer care should provide more better service
 Consumer awareness program
 Transparency in the package : no falls commitment
during selling of packages by T & T
 Web sites should be more attractive/updated
information
 Web interfaces should be improved/user friendly
 Maintain highly security features and refund policy
CONT….
 Minimum Rs should be charged for cancelling
the ticket ,should not charge Rs 20 for
booking the ticket.
 Should provide additional facilities which
could not be provided offline.
 T & T should be promoted at state level and
should get certified rating from the state
authority also ,these body should do time to
time visit to check the facility being provided
by the respective body also publish list of
certified hotels
CONT…
 Network related problem should be resolved
 Quota of online regular customers must be
kept separate from agents and the number of
bookings by users and agents should be
regularly monitored .since there are several
agents who use their individual IDS along
with agent IDS which further leads to
increase in taffic.
 Reward should be provided to existing
customers to attract new
CONT
 Consumer awareness
 Following measures are required for
enhancing consumer awareness:
 State intervention for T & T
 Consumer awaress program
 Road shows & stalls
 Symposiums
CONT….
 Agents :
 Should provide new software and improve
them make them faster and better.
 Private company need to improve the
customer support and improve the mode of
payment and refunds online .
CONT…..
 web sites should contain short animated
stories showing India rich culture and back
ground history.
 Various movies can be made available on
these websites like Jodha Akbar , Bhagat
Singh etc.
 Launching monthly newsletter for customers
 Government should liberalize
telecommunications and Internet services in
order to attract new investment , reduce
prices and improve quality of services
 CONCLUSION
 World Travel & Tourism forecasted that by
2020, international tourist arrivals to Asia
and Pacific region would experience over
400 percent growth from 105 million in
2000 to 438 million in 2020.
A Start has been made ,major steps has
already been taken .Both Policy makers &
entrepreneurs should work together to raise
awareness of e-commerce through training &
education for employees.
Athidhi Devo Bhava
Thanks