Innovation in Tourism Industry

旅游产业创新代写 In the global scenario, tourism is one of the fastest growing industries. The economic development of a country is also linked

1.1. Introduction 旅游产业创新代写

In the global scenario, tourism is one of the fastest growing industries. The economic development of a country is also linked to tourism. In way that it brings in foreign currency and keeps up the employment opportunities (Gomezelj, 2016). When it comes to OECD countries, it is observed that in the last two decades the growth rate of tourism has surpassed the GDP growth in such countries. When it comes to non-OECD countries, the growth experienced by the tourism sector is even higher (Moutinho and Vargas-Sanchez, 2018). Ongoing novelty is also expected out of the firms in tourism sector – for them to survive and stay in the market as well as for the fact that the new products. And experiences offered by the sector as a whole can contribute to a country’s growth opportunities.

In order to stay strong in the global tourism market, a country must start looking beyond its natural endowment. Or cultural heritage and start supporting tourism companies to come up with unique strategies (Zach, 2016) . Further, the demands for innovation are becoming more crucial. Because of the vast changes taking place in the tourism sector and the pace attached to such changes. There is a demand for more experience-based products. However, the demand for any product is short lived and people will soon expect something better. And bigger or something that can provide unique opportunities for growth and success (Divisekera and Nguyen, 2018). Thus, on the whole, a firm’s or an industry’s performance depend on three important factors such as their capability to change, make new products and adapt to market changes. This research intends to address the notion of innovation in visitor management in these events.

 

1.2.  Innovation in Tourism and Visitor Management 旅游产业创新代写

The Schumpter’s theory of innovation contends that innovation is a process where there is a spontaneous. And continuous change in how the channel flows which could result in disturbance of equilibrium (Tan and Law, 2016).  From the context of visitor management or tourism this involves determining the launch of a new product. Or a new species of a known product through a shift in equilibrium. This equilibrium can be either spontaneous or incremental (Williams et al., 2016).  One author who has expanded on the importance of innovation from Shumpter’s model is Hjalger (2010).

The author identified that product innovation where there is a new product that has been identified to meet a unique need in the market.

On the other hand the process innovation is an approach where internal shifts in operations are achieved through redesign where the same product is provided but through differentiated means. 旅游产业创新代写

There are a number of examples of far-reaching innovations in the tourism sector some of which is cited further to explain such product. Or process tourism Thomas Cook – diverged from conventional thinking by catering their services to a totally new segment of customers by offering specific packages which also included their own airlines. This is a good example of product tourism Another good example as highlighted by (Cooper et al., 2018) is the  Disney which adopted ICT technology. And improved the quality of its product offerings thereby creating process tourism (Hassan et al., 2018). Additionally, Ryanair provided airplane travel to new customers by making use the convenience provided by the remote airports in terms of unusually low prices.  These findings show that the nature of innovation is not just in a new service provision but also the product(Maráková and Medved’ová, 2016).

Innovation in tourism can be challenging as there is often bundling of potential services.  旅游产业创新代写

Additionally, Hassan et al., (2018) also argued that given the potential fragmentation of this industry along with differences in tourism product or service (lodging, travel, event, festival management, destination) makes it more challenging. Given the complexity of such tourism engagement it is important to identify the relevance of tourism innovation by focused assessment on few products. In line with this view, this essay will discuss innovation in two different tourism product/service; event management and lodging.

 

1.3.  Innovation in Event Management

Event management is a growing product/service which contributes to global tourism. Live events in entertainment, sports. And other segments is a factor which can attract visitors both locally and internationally. This research uses one theory to assess innovation in this segment, i.e., systems approach. 旅游产业创新代写

A holistic view of the contributing and interacting elements supporting an innovation can be gained with the help of the systems approach. Systems approach to innovation indicates that there is a need for stakeholder. And environment level understanding for an innovative event. For example, innovative outcomes are a result of the interaction between various stakeholders which are aided by technology triggers, market triggers. And social triggers. in the context of the event industry, the rise of social media has created such a unique approach for live events Innovation brought out during a stage event for an event is mostly the outcome of a number of stakeholders working as a team.

In such situations the systems approach turns into a very useful tool. 旅游产业创新代写

However, it would turn out inappropriate if the innovation in the festival context is attributed to and analyzed using the systems approach alone (Olsen and Karanja, 2018). The independent actions of entrepreneurship exhibited by individuals and their social relations with others within the

At present, a VR system developed by Facebook on the Oculus Rift allows the users to experience virtual worlds. This system is called Facebook Spaces. Some of the features of this VR app are that it creates a virtual environment for people to hang out with each other (Whigham, 2018). Though people are not in the same room while interacting, this app creates an ambience similar to it. Stakeholders are allowed to interact with each other at one time. It also allows people to share virtual gifts, watch 360-degree videos, take virtual selfies and also make video calls. Users can sync their Facebook account with Facebook Spaces, create an avatar with the help of their Facebook profile picture and start using the features of this VR app (Popper, 2017). 旅游产业创新代写

Such features turn out to be highly beneficial when it comes to the business context as well giving way to abundant marketing opportunities.  This type of event management can help stream live shows across the world. And provide the opportunity for the ‘event visitor’ to visit the location.

This research adopts a dynamic view of innovation systems which helps analyse this innovative approach.

In the context of Facebook spaces, the technology of virtual reality and social networking has created the external pressure. Similarly, social triggers of global expectations of live streaming and access to information also creates an enabling policy environment.  Visitors look for novel ways to experience a tourism product and Facebook Spaces can be one such product (Outlaw, 2017). There are a number of benefits attached to VR. Some of them are as follows: It’s capability to provide people with an opportunity to experience an event live even when they are unable to attend the event in actual (PCMA, 2018). For example: Live streaming of Super Bowl being streamed by Fox Sports in VR on their mobile app can help fans experience the event as they actually see. Next is its capacity to upgrade the experience of events for spectators. 旅游产业创新代写

According to the Facebook team, the CES conference in VR which they hosted for Intel in 2017 was the most difficult event they have ever conducted based on the complicated technical requirements called for by this event. For this event, 260 VR units were placed for attendees on their chairs. Also, the communication system created using avatars and voice chat facilities is an easy, fresh, innovative and fun way of communication (Tussyadiah et al., 2017). It establishes an immersive and geographically limitless virtual hangout platform. With all these benefits, this technology is believed to play a crucial part in the future of event management, virtual event revolutions and in case of live streaming events (Yung and Khoo-Lattimore, 2017).

The motivations driving an individual’s desire for a particular experience acts as a prerequisite 旅游产业创新代写

for his/her willingness to accept a VR tourism substitute. According to Martins et al., (2017)  there are motivations other than a simple travel for pleasure which drive an individual’s travel intentions.  A few such personal push factors are an individual’s intention to escape from his/her daily routine, finding novelty or excitement, or to engage in social interaction. In addition to these factors, VR also has the capability to motivate individuals with the help of certain destination pull factors like the desire to visit a certain attraction, meet a particular person, or participate in a particular activity (Schegg and Stangl, 2018) where they can have additional motivation and experience options.

At the same-time one can also argue that  one must be understood that although, all such push factors can be satisfied with the help of a VR application, it can only provide fulfilment to a certain extent.  For example:  when it comes to the providing novelty, the VR system and the experience it provides itself is new (Jung et al, 2016). When it comes to escaping daily routine, VR has the capability to provide a mental escape, but not a physical one. In terms of finding excitement, it supports by presenting the ability to experience virtual notions without actually visiting the location (Huang et al., 2016). 旅游产业创新代写

However, such an experience can never equal the excitement provided by an adventure outside the VR (example: Driving a racecar). Again, within the limitations and restrictions that administer the VR technology, it can provide for an easy and economical way to interact with a live event (Mura et al., 2017).

This essay concludes that through the use of systems theory it is possible to create the right innovation platform.

旅游产业创新代写
旅游产业创新代写

1.4. Airbnb as a disruptive innovation 旅游产业创新代写

The second innovation that is discussed in this essay is Airbnb. Disruptive innovation theory Guttentag (2015) rightly explains the innovation approach adopted by Airbnb and other similar companies in terms of tourism accommodation. According to this theory, a disruptive product grows slowly and steadily in the market and ultimately may reach a point where it becomes capable of capturing the strongly held market of the previously dominant companies (Fang et al., 2016). The key performance attribute(s) of the prevalent products are not disturbed by the disruptive product. However, they aim at providing certain easily noticeable benefits such as being cheaper, more convenient, or more user friendly when compared to the others in competition. 旅游产业创新代写

Thus, providing a totally new market. Initially, with such benefits the disruptive product can neither gain higher profit margins nor disrupt the existing market of the leading companies in that domain, which induces a level of confidence in such leading companies to  continue focusing on improving their products and in turn their products using ‘sustainable innovation’ (Tussyadiah and Sigala, 2018). Nevertheless, during this period of disregard from the large companies, the disruptive product continues to grow by attracting more and more customers from the mainstream market to such an extent that it creates a struggle for the leading companies to compete with the disruptive product over a period of time.

Hence, disruptive innovation explains the slackening of previously leading companies due to their attitude of disregarding the power of the disruptive product which offers alternative benefits as against the traditional attributes. 旅游产业创新代写

Disruptive innovation clearly states that this slackening of previously leading companies has nothing to do with any other attributes such as their pace of advancement or their attitude towards their core customers (Sigala, 2017). An example of disruptive innovation when it comes to tourism sector is the rise in online travel agencies (OTA) such as Expedia, Travelocity, and Orbitz. As against the traditional attributes of the brick-and-mortar travel agencies such as personalized services, the OTA’s concentrated more on elements like convenience and cost-savings for its consumers. Although, in the initial stages online travel reservations were linked with security concerns, eventually such concerns faded away leading to the fall of traditional travel agencies to such an extent that their core market is almost narrowed down to complex and high-end purchases alone.

An online supported peer-to-peer accommodation is provided by Airbnb as against the traditional market for tourism accommodation which involves formal businesses like hotels renting rooms for the tourists. Airbnb allows renting spaces on a larger scale from one person to another leading to a rise in ‘sharing economy’ which is also known as ‘collaborative consumption’ (Phua, 2018).  Not only living spaces, but also other underused assets such as cars, power tools etc can be put to use by individuals using such internet-based marketplaces (Oskam and Boswijk, 2016).

From centuries the traditional B&B’s are based on the concept of peer-to-peer accommodation. 旅游产业创新代写

According to  Volgger  et al., (2018), lodging in private homes was utilized by the eighteenth-century tourists on their Grand Tours through Europe. Though, it is understood that the concept of peer-to-peer accommodation has been in use since ages, the challenges faced by them needed some attention to be overpowered. Marketplaces such as Airbnb have worked towards such obstacles by making use of the benefits provided by Web 2.0 internet technologies.  Some of the challenges faced by the age old peer-to-peer accommodation providers were their visibility to the potential hosts and the lack of means to build trust between hosts and guests (Gardiner, 2018).

First challenge faced was the difficulty for small hotels to compete with larger companies in promoting their hotels. This is because of their lack of expertise in gaining complete advantage of the internet as a promotional tool (Gardiner, 2018). The user friendly technological infrastructure provided by Airbnb’s Web 2.0 has eliminated this challenge by making it easier for all the hosts- big or small, to easily upload pictures, describe their spaces, communicate with the guests and attract them to take reservations and make payments. The global presence of Airbnb has also made it possible for hosts all over the world to access and smoothly make use of their services.  旅游产业创新代写

The second challenge faced by the traditional hotels was the establishment of trust between the hosts and the guests.

With the onset of Airbnb and its Web 2.0 features, this challenge is also taken care of. The review feature of Airbnb comes to rescue while confronting this challenge and aiding widespread acceptance of peer-to-peer accommodation 9). Trust is very essential in cases where such online transactions ultimately lead to offline interactions between the hosts and the guests (Dredge and Gyimóthy, 2015).

Another such lodging opportunity which has grown is couchsurfing.  The vitality of reputation mechanism for online transactions have also been noticed in case of ‘CouchSurfing,’ where the online transactions finally lead to offline interactions between the hosts and the guests who are complete strangers to each other (Varma et al., 2016).  Reviews play a very important role in such situations by allowing the hosts and guest to interact amongst each other before accepting the transaction, in order to clear out any elements of ambiguities and fear within them. Although, reviews have been a part of the traditional hotel sector, its essentially is considered to a greater extent in services like Airbnb.

This is because; 旅游产业创新代写

such reviews provide an opportunity for the lesser-known properties to promote themselves in a just manner and survive the competition (Varma et al., 2016). Such reviews also act as good critic and help the properties to improve their services. In addition to this, Airbnb has features like: users being able to display photographs and provide descriptive personal information on their profiles along with a feature of direct messaging which allows the hosts and guest to conveniently interact with each other. Such features also work towards building trust.

The success of Airbnb as a continuous player in creating success is it ability to provide multiple opportunities for success for hosts.   The first tool is the access improvement through BeyondPricing (AirGMS, 2017).  In this tool, three important elements: demand, seasonality and competition decide the market price of a property. In this case, an Airbnb host who adopts this feature has an advantage in terms of the best price being provided to his/her property based on these elements 9).  Adding to this is the benefit of Airbnb doing the research works on his/her behalf and updating the best prices accordingly on a daily basis. Hence, this tool is said to work positively towards increasing the host’s Airbnb income.

A 40% increase in Airbnb income has been reported by the users of beyond pricing application.

Another example is the rise of Properly (AirGMS, 2017). Cleaning the property on a regular basis has become one of the most important tasks of the Airbnb hosts. In this case, the hosts can either clean the property themselves or make use of Properly app. Properly app allows the owners to hire a cleaning service company to do the cleaning for them and leaves the user with just one responsibility of supervising the act.

With this app, supervision also becomes easier because; the app allows the user to click pictures of the property where cleaning is required and upload it on the app with a note of clear instructions for the cleaning agents to carry out the work. Secondly, a picture of the cleaned area has to be uploaded by the cleaning agent for the purpose of the user. Thus, as mentioned earlier, supervision becomes easier as the user can just have a look at the picture to analyse if the cleaning was in line with his instructions or not and act accordingly. 旅游产业创新代写

 

1.5. Conclusion 旅游产业创新代写

This research also contends that there can be lack of success of a very strict Schumpeterian approach to innovation in tourism sector. The indicators used for evaluating innovation at the individual firm level can be challenging as the tourism sector has varied specifications and will never be able to meet stakeholder needs. Adding to this, when it comes to measuring the features of multidisciplinary tourism services, the capabilities of the standard measurement tools which are normally used for general innovative activities are highly questioned.

A comprehensive scoreboard that provides both the technological and organizational innovations of a tourism firm along with its innovative capabilities is the need of hour. This research concludes that there is definite success gained through the increased engagement of technology. However, the nature of such success can be more effective if the right tracking of success is carried out. 旅游产业创新代写

1.6. References

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Dredge, D., & Gyimóthy, S. (2015). The collaborative economy and tourism: Critical perspectives, questionable claims and silenced voices. Tourism recreation research, 40(3), 286-302.

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Gomezelj, D. O. (2016). A systematic review of research on innovation in hospitality and tourism. International Journal of Contemporary Hospitality Management, 28(3), 516-558.

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Maráková, V., & Medved’ová, M. (2016). Innovation in tourism destinations. In Forum Scientiae Oeconomia (Vol. 4, No. 1, pp. 33-43).

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Moutinho, L., & Vargas-Sanchez, A. (Eds.). (2018). Strategic Management in Tourism, CABI Tourism Texts. Cabi.

Mura, P., Tavakoli, R., & Sharif, S. P. (2017). ‘Authentic but not too much’: exploring perceptions of authenticity of virtual tourism. Information Technology & Tourism, 17(2), 145-159.

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PCMA (2018). Will Facebook Spaces Redefine Virtual Events? Retrieved from: https://www.pcma.org/will-facebook-spaces-redefine-virtual-events/(9th March, 2019)

Phua, V. C. (2018). Perceiving Airbnb as sharing economy: the issue of trust in using Airbnb. Current Issues in Tourism, 1-5.

Popper B (2017). Facebook’s head of social VR talks about the future.Retrieved from : https://www.theverge.com/2017/10/15/16478084/interview-rachel-franklin-spaces-social-vr-facebook (9th March, 2019)

Schegg, R., & Stangl, B. (2018). Special section on recommendations and analytics in tourism.

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Tussyadiah, I. P., Wang, D., & Jia, C. H. (2017). Virtual reality and attitudes toward tourism destinations. In Information and Communication Technologies in Tourism 2017 (pp. 229-239). Springer, Cham.

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Zach, F. (2016). Collaboration for innovation in tourism organizations: leadership support, innovation formality, and communication. Journal of Hospitality & Tourism Research, 40(3), 271-290.

 
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