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IT for TourismServices, UniBg2020-2021
Destinations, the Industry, and Peer-To-Peer
Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Today
01. Tuesday, Oct 2
Some25 Yearsof eTourism
page 2Destinations, Industry, P2P. Lecture 03
Lecture 02
Networks& Social Networks. Web Presence
Lecture 04
Mobile, Smartphones, Wi-Fi, and Apps
Lecture 03
Destinations,the Industry,and Peer-To-Peer
Lecture 06
Web Reputation: Likes, Engagement & Sentiment
Lecture 05
Analytics, Insights, Cookies, and the Disappearing Privacy
Lecture 07
Design: Content, Copyright& Creative Commons
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
What Are We Talking About Today?
Destinations, Industry, P2P. Lecture 03 page 3
1. Managing Globality2. Destinations3. The Industry4. OTAs & Metasearch Engines5. Travel Communities6. Publishers & Blogs7. Peer-To-Peer
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Managing Globality
Destinations, Industry, P2P. Lecture 03 page 4
A definition of tourism by Jean-Pierre Lozato-Giotart, tourism engineer.
“Tourism is the management of globality.”
A paradoxycal definition, yet a stimulating one.
It makes us perceive how broad our sight should be.
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Destination? What Is This?
The main keyword in tourism is destination.
But what isa destination?
A territory?
An offer?
A network?
page 5Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Destinations As Territories
“A physical space in which a visitor spends at least one overnight.It includes tourism products such as support services and attractions, and tourism resources within one day’s return travel time.It has physical and administrative boundaries defining its management, images and perceptions defining its market competitiveness.Local tourism destinations incorporate various stakeholders often including a host community, and can nest and network to form larger destinations.”
The World Tourism Organization (WTO), 1999, 2007
page 6Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Destinations As Offers
“A bundle of activities and factors of attractiveness situated in a specific place(site, locality, destination) [which] canprovide a well-constructed and integrated tourism offer, that represents a distinctivesystem of tourism hospitality enhancing local resources and culture.”
Maurizio Rispoli, Michele Tamma, economists,Ca’ Foscari University, Venice, 1995
page 7Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Destinations As Networks
“The destination is a place ‘created’ and defined by the visitor,to which the visitor is attracted and in whichhe moves freely in/with the mass.”
Nothing less and nothing more than a network.
Pietro Beritelli, Institute for Systemic Management and Public Governance, University of St. Gallen, Destinations’ Consultant, 2014
page 8Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
The Destination’s Network
page 9Destinations, Industry, P2P. Lecture 03
Visitors
Locals
Managers
image credit to id-vacation.blogspot.com
The Place
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Destination Management Organizations
Does M stand for Management?
Or for Marketing?
What should a DMO care for?
Can a DMO rule a local tourism network?
Can a DMO run a territory?
Can a DMO lead a community?
Or has it basically to sell an area’s tourism products? Period.
page 10Destinations, Industry, P2P. Lecture 03
image credit to European Travel Commission
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
We’re All Stakeholders
Stakeholder noun[countable]Someone who has invested money into something, or who has some important connection with it, and therefore is affected by its success or failure.
Stakeholder in...– Citizens should be stakeholders in the society they live in.
page 11
image credit to infinityimmigration.com, BC, Canada
definition from Longman Dictionary of Contemporary English
Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Destinations Are Made ByTheir Stakeholders
page 12Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Back To The Basics
When you come across a website somehow dealing with tourism, can you say
if it is a destination website?
Can you spell its
• category?
• model?
• main task?
page 13Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Which Is The Real Thing?
What are the other two for?To begin answering, let’s try a taxonomyof tourism websites.
page 14Destinations, Industry, P2P. Lecture 03
Which of these websites is the onethat Kraków deliversto its guests?
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Who’s Who?
If you’re in serious doubt about a website’s who’s who, finding out who owns the second-level domain name may be worthwhile.To do so, you can consult the whois form on websites like who.is, where owners of the “international” domain names, the first level of which is .com, .net, .org, .biz, .info, .tv, .is, .travel or the like, are usually found.National domains instead, the first level of which coincide with national states’ acronyms – like .pl for Poland, .it for Italy, or .uk for the United Kingdom – may also be searched for through individual national registration authorities.
page 15Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
DMOs [Destination
Management or Marketing
Organizations]
(or LTBs, Local Tourist
Boards, or RTBs, Regional
Tourist Boards)
Either public
or private/public funding
Attracting visitors to the
destination; marketing the
destination and local actors;
informing and assisting
visitors before, during and
after their visit
Destination Management Organizations
Categories of Tourism Websites (1) – The Public, or Public/Private Consortia
page 16Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
DMSs, Destination Management Systems
In terms of digital management of tourism destinations, there’s more to be considered. Let’s introduce the Destination Management Systems, or DMSs.DMSs are based on digital platforms. They’re based on content management systems which are intended to drive local tourism operators to cooperate with one another. This in instrumental to manage a local tourism system – or, if you prefer, a destination as a network.In fact, DMSs are based on a network approach as far as tourism operators (local authorities, hotels, restaurants, museums, art galleries...) are concerned... or, rather, DMS are supposed to be based on a network approach.The story of Tiscover provides examples.
page 17Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
The Industry
In short, the tourism industry includes
• Travel Providers (delivering tourism products and services to the final users)
• Travel Agents (intermediating tourism products and services on a mass scale)
• Peer-To-Peer travel services (offering one-to-one contacts among suppliers and final users)
... and, well, people .
page 18Destinations, Industry, P2P. Lecture 03
image credit © 2015 Peanuts Worldwide LLC
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Travel Providers
(Air France, Deutsche Bahn,
Trenitalia, RyanAir, Accor,
Holiday Inn, Hertz etc.)
Online sale of tourism
services (flights, hotels, car
rentals etc.) mostly
produced by the suppliers
themselves
Selling services directly
(no agents)
Travel Providers
Categories of Tourism Websites (2) – Big Private, or Public
page 19
... and we’re not dealing here with B2B GDSs like Amadeus or Sabre.
Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
“Amadeus”? What Is That?
Amadeus IT Group SA /æməˈdeɪʊs aɪ tiː ɡrʊp/ is a multinationalIT provider for the global travel and tourism industry.
Amadeus was originally created as a neutral global distribution system (GDS) by Air France, Iberia, Lufthansa and SAS in 1987 in order to connect providers' content with travel agencies and consumers in real time.
The creation of Amadeus was intended to offer a European alternative to Sabre, the American GDS.
page 20
Source: Wikipedia, accessed 20180727
Destinations, Industry, P2P. Lecture 03
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An Amadeus Report
A suggestion from the 44141 links.
page 21Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Pre-Digital Agents
(big like TUI and Amex,
or small like SmallWorld
and local travel shops)
Intermediation of tourism
services mostly not
produced by them
Selling travel packages
Travel Agents
Categories of Tourism Websites (3) – Big or Small Private
page 22Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Online Travel Agents
(OTA or OLTA, like Travelocity,
Expedia, Booking.com,
Priceline, Venere,
HostelWorld, eDreams etc.)
Online intermediation and
sale of tourism services
(flights, accommodation, car
rentals, packaged tours etc.)
mostly not produced by
agents
Cashing brokerage rates
(under different specific
models: Expedia’s differs
from Booking.com’s)
Online Travel Agents (OTA, OLTA)
Categories of Tourism Websites (4) – Big Private
page 23Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Travel Metasearch Engines
(or fare aggregators, like
Trivago, Kayak, Mobissimo
etc.)
Online comparison of
tourism services and their
fares (flights,
accommodation, car rentals,
packaged tours etc.) mostly
offered by Online Travel
Agents
Cashing intermediation,
mostly from Online Travel
Agents
Travel Metasearch Engines
Categories of Tourism Websites (5) – Big Private
page 24Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Digital? What Can Destinations Do?
A relevant question. Which policy can a destination adopt, when it deals with selling its tourism services to the general public?Here are the four available options, that can combine with one another.
page 25
1. Doing Nothing. A DMO can choose not to mention hotel accommodation at all.Several national tourist boards adopt this policy, as many DMOs are statutorily not allowed to advise about accommodation, nor to sell.But an essential service is missing.
Destinations, Industry, P2P. Lecture 03
image credit to Shutterstock
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
More Choices For The DMOs
2. Linking To The Hotels’ Websites. A DMO can list the local hotels, and add links to the hotels’ websites. In practice, this is often the only viable choice. A service is formally provided, but visitors won't use it very much: it’s easier, for them, referring to an OTA website.
page 26
3. Building Its Own Platform. A DMO can build its own hotel reservation system, as a public component of its DMS. This is an expensiveoption, however, and visitors would probably use their favourite OTAs just the same.
Destinations, Industry, P2P. Lecture 03
image credit to Shutterstock
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Coming To Terms With The Enemy?
4. Dealing With An OTA. Finally, a DMO can find an agreement with an OTA or a Travel Metasearch Engine.An hotel reservation service is somehow provided, and the DMO can get some profits through an affiliation agreement.
page 27
Although this is the cheapest and quickest option, critics might observe that, by doing so, the DMO looses control on accommodation policies, and abandons all the accommodation businesses in its own area – which a DMO should take care of, and promote – to the OTAs’ will.
Destinations, Industry, P2P. Lecture 03
image credit to Shutterstock
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Affiliation? What Is This?
We mentioned affiliation as a potential resourcefor a DMO website that finds an agreement with an OTA or a metasearch engine.
But what is an affiliation in digital terms?
An affiliation is an agreement between a lesser website and a hub – like an OTA or a metasearch engine (or Amazon, like in the picture).
page 28Destinations, Industry, P2P. Lecture 03
When a customer reaches a hub from a lesser website, and ends up buying a product from the hub, the managers of the lesser website get a percentage.
image credit to amazon.fr
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Hoteliers And E-Commerce
Dependance on OTAs is a problem that must be addressed not only by DMOs but by hoteliers, too.
Worse. Destinations can choose to avoid OTAs, but hotels actually can’t.
People are increasingly accustomed to book through their favourite OTA, and hotels which are not listed on OTAs run the risk of becoming invisible.
page 29Destinations, Industry, P2P. Lecture 03
image credit to travolution
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Management Of Tourism Businesses
OTAs charge a percentage on reservations placed through them – which erodes the hoteliers’ income.
Although dealing with accommodation enterprises is beyond the scope of these lectures, this issue has at least to be mentioned here.
Some materials on management of tourism businesses, relating to workshops designed by your lecturer, are available from the IT for Tourism Managers webpage at
page 30Destinations, Industry, P2P. Lecture 03
http://www00.unibg.it/struttura/en_strutturasmst.asp?corso=44111
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General Category
of Tourism Websites
Model Main Task
Travel Communities (first of
all, Tripadvisor)
Online comparison of
tourism services (often
accommodation, food and
points of interest) through
user-generated content:
tipically, customer reviews
Cashing advertisings
(though TripAdvisor has
become something very very
close to an OTA in recent
years)
Travel Communities
Categories of Tourism Websites (6) – Big Private
page 31Destinations, Industry, P2P. Lecture 03
Question.Is TripAdvisor simply a travel community still?
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Travel Publishers
(Frommer’s, Lonely Planet,
Touring Club Italiano,
Michelin etc.)
Sale of guidebooks, travel
books or digital content,
mostly produced by the
publishers themselves
Selling books or digital
content directly (no
intermediation). Also
selling massive digital
content to destinations or
companies.
Travel Publishers
Categories of Tourism Websites (7) – Private
page 32Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Travel Blogs (or travelogue,
like PeterGreenberg,
NomadicMatt, DigitalNomad,
etc.)
None – though some travel
bloggers increasingly act as
professional travel writers
or journalists. Affiliation is
also possible
Informing on personal
travels, possibly making
profits through agreements
with DMOs or publishers,
and/or marginal profits
through affiliations
Travel Blogs
Categories of Tourism Websites (8) – Small Private
page 33Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Small Businesses
or Amateurs (like
CiaoMilano)
Sponsorship and/or
advertisements on the
website; possibly sale of
digital content; affiliation
Informing on a tourist area,
and possibly making
marginal profits through
affiliations
Unofficial “Destinations”
Categories of Tourism Websites (9) – Small Private
page 34Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Accommodation Suppliers
(Family-run private hotel,
Bed & Breakfast, Farmhouse,
like frances.it)
Online sale of tourism
services (hospitality)
produced by the suppliers
themselves
Selling services directly
(no intermediation)
or
selling through Online Travel
Agents and/or DMOs
Small Service Suppliers
Categories of Tourism Websites (10) – Small Private
page 35Destinations, Industry, P2P. Lecture 03
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
General Category
of Tourism Websites
Model Main Task
Accommodation Brokers
(like AirB&B, Wimdu,
Couchsurfing, etc.)
Online intermediation of
accommodation either
provided by small business
or made available by
citizens
Cashing brokerage rates, if
any.
(... it may be interesting to
note that CouchSurfing does
not cash intermediation.)
Accommodation Brokers
Categories of Tourism Websites (11) – Private
page 36Destinations, Industry, P2P. Lecture 03
Such brokers are called peer-to-peer (P2P) travel services.
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
The Rise Of Peer-To-Peer Travel Services
page 37
Source: World Travel & Tourism Council, “Online Travel in 2016: Mobile Channel and Peer-to-Peer Travel Services Drivers of Growth”, Medium, January 27, 2016
Destinations, Industry, P2P. Lecture 03
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Predictions On P2P Travel Services
“Consumers are expected to increasingly turn to peer-to-peer travel services, which represent today the best answer tosome of their needs, while large travel companies are likely to gradually embrace the peer-to-peer trend.”
page 38Destinations, Industry, P2P. Lecture 03
image credit to businessinsider.com
Source: World Travel & Tourism Council, “Online Travel in 2016: Mobile Channel and Peer-to-Peer Travel Services Drivers of Growth”, Medium, January 27, 2016
IT for TourismServices, UniBg2020-2021IT for TourismServices, UniBg2020-2021
Is Uber, too, A P2P Company?
Uber Technologies Inc. is an American multinational online transportation network company headquartered in San Francisco, California.
It develops, markets and operates the Uber mobile app, which allows consumers with smartphones to submit a trip request which is then routed to Uber drivers who use their own cars.
page 39Destinations, Industry, P2P. Lecture 03
image credit to East Coast Radio
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Peer-To-Peer, Digitally Speaking
Peer-to-peer (P2P) computing or networking is a distributed application architecture that partitions tasks or work loads between peers.
Peers are equally privileged, equipotent participants in the application.
They are said to form a peer-to-peer network of nodes.
page 40Destinations, Industry, P2P. Lecture 03
image credit to Quora
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Peer-To-Peer, Historically Speaking
Mass diffusion of P2P services already happened at least twice.
The first time was with Napster, a music sharing service, in 1999.
The second time was with Skype in 2003.The original release of Skype put users in connection through a traditional client-server platform. Once the connection between the users was established, however, the platform went out, and let the users go on through a P2P connection.Skype was bought by Microsoft in 2011, and repeatedly redesigned since then. It is not a P2P service any longer.
page 41Destinations, Industry, P2P. Lecture 03
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Peer-To-Peer?
In digital terms, neither Uber nor Airbnb useP2P connections.
When a guest contacts a host , she/he does not contact her/him directly. Both in Airbnb and in Uber, a traditional server-based platform is always in between.
The supposed peer-to-peer digitalconnection is apparent only. A peer-to-peer personal connection, if any, happens later.
page 42Destinations, Industry, P2P. Lecture 03
image credit to Quora
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“Sharing Economy”
page 43Destinations, Industry, P2P. Lecture 03
P2P travel services are usually considered to be part of the so-called “sharing economy”.
But what is the “sharing economy”? Is it really about sharing as such?
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Crowd-Based Capitalism?
“Giving someone a ride, having a guest in your spare room, running errands for someone, participating in a supper club — these are not revolutionary concepts”, say the release notes of this book. “What is new, in the ‘sharing economy,’ is that you are not helping a friend for free; you are providing these services to a stranger for money.Arun Sundararajan explains the transition to what he describes as “crowd-based capitalism” — a new way of organizing economic activity that may supplant the traditional corporate-centered model.
page 44Destinations, Industry, P2P. Lecture 03
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“Sharing Economy” and Accommodation
page 45Destinations, Industry, P2P. Lecture 03
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“Airification”?
Source: UniSiena
A map of Airbnb family accommodation in Florence Italy, 2016.
It shows the risks that Italian destinations are taking in terms of sustainability.
It’s overtourism.
page 46Destinations, Industry, P2P. Lecture 03
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Accommodation + Information
Airbnb asks its hosts to be helpful with guests, by providing them with information on the best places to visit, restaurants to go, and experiences to live. Airbnb hosts are even encouraged to organize events for their guests.
Something similar is done by the Google My Business service and Google Local Guides, the latter a Google Maps service.
page 47Destinations, Industry, P2P. Lecture 03
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Airbnb Hosts’ Guidebooks
page 48Destinations, Industry, P2P. Lecture 03
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Google Local Guides
page 49Destinations, Industry, P2P. Lecture 03
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Contributing?
page 50Destinations, Industry, P2P. Lecture 03
Is family accommodationa sustainability problem?
Are contributionsto the informationservices delivered by Airbnb or Google anything morethan presentsto corporations?
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Web 3.0?
Sundararajan’s idea of a transition from a corporate-centered model to a “crowd-based capitalism” must be considered.A “new way of organizing economic activity, bound to supplant the traditional corporate-centered model” may well be going on.Berner’s Lee foresights the Web 3.0 as a semantic Web, that is a Web where much of the meaning is machine-readable and “our
page 51Destinations, Industry, P2P. Lecture 03
lives will be handled by machines talking to machines.”Sundararajan and others foresight the Web 3.0 as a environment where the economy is driven by shared consensus – like in a blockchain, where shared data are secure and reliable inasmuch as they are modification-resistant.
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Web 3.0 as Decentralisation
Both Berner’s Lee’s and Sundararajan’s approaches to the Web 3.0 think of moving away from centralised services – like social media or e-commerce – that depend on single organizations to function.Money itself, which we commonly perceive as something that only central banks can create, is involved already.Thanks to blockchain and its decentralized consensus policy,new currencies – informally known as “cryptocurrencies” because their data are encrypted and modification-resistant – can now be created, whose functions are managed by shared consensus.New coins can be launched, through Initial Coin Offerings (ICOs).
page 52Destinations, Industry, P2P. Lecture 03
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Blockchain P2P Decentralisazion
page 53Destinations, Industry, P2P. Lecture 03
Source: DHL
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Blockchain Accommodation Services?
A possible future might come from blockchain accommodation services, where
▪ hotel and family accommodation reservations are managed through P2P connections and modification-resistant;
▪ OTAs and brokers like Booking.com or Airbnb are no longer needed;
▪ potential sustainability issues might be addressed through the blockchain.
page 54Destinations, Industry, P2P. Lecture 03
image credit to Use the Bitcoin
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Karl Marx
page 55Destinations, Industry, P2P. Lecture 03
Thomas Locher, 2007. Georg Kargl Gallery, Vienna
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Today’s Key Points
page 56
image credit to id-vacation.blogspot.com
Destinations, Industry, P2P. Lecture 03
1. “Tourism is the management of globality”2. Destinations Are The Places Where Tourists Go3. Destinations Are Networks; Therefore Change In Time4. There Are Many Different Sorts of Tourist Websites5. Different Sorts of Tourist Websites Perform Different Tasks6. Peer-To-Peer Travel Services Are Rising7. The “Sharing Economy” May Be A Crowd-Based Capitalism
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Thanks For Your Attention
page 57Destinations, Industry, P2P. Lecture 03
Picture from the 2017-2018 Workshop