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Tourism Business Toolkit VOL1 Chapter1
Tourism Business Toolkit VOL1 Chapter1
tourism industry?
Tourism is big business The product: NSW
Tourism is one of the most exciting and progressive NSW has beauty and diversity, offering a wide
industries in Australia. Part of the visitor economy, range of experiences for international and
tourism is also big business and it impacts on domestic visitors. The State has a lot to sell, from
almost every other industry. Total tourism the exciting major events, international conventions,
consumption was worth more than $92 billion in big city buzz of Sydney, with its great restaurants,
2008–09 and tourism directly contributed $32.8 shopping and beautiful harbour, to the local
billion to Australia’s GDP in that period. flavours and wide open spaces of regional NSW.
NSW offers beach holidays; hiking in mountain
Tourism is now one of the largest industries in landscapes; Outback journeys; soul-enriching
Australia, accounting for 486,200 jobs. The encounters in World Heritage national parks; drive
country’s tourism industry has a larger output than: holidays through lush farm regions; inspiring
∙∙ agriculture, forestry and fishing; conference locations; and visits to quirky towns and
∙∙ communication services; country cosmopolitan centres. Along the way,
∙∙ and electricity, gas and water supply. visitors encounter fine food and wine trails, lively
festivals, Aboriginal culture, breathtaking
In 2008–09, tourism (direct and indirect) contributed landscapes and all kinds of people.
$28.7 billion to the NSW economy. Tourism directly
employs 4.7% of the NSW workforce, or 160,300 Tourism products in NSW come in many shapes
people. In NSW, tourism is larger than: and sizes. Accommodation ranges from five-star
∙∙ agriculture, forestry and fishing; hotels to boutique bed and breakfasts to trendy
∙∙ mining; backpacker resorts. There are iconic attractions,
∙∙ communication services; such as the Sydney Opera House and Harbour
∙∙ personal and other services; Bridge; adventure activities, such as quad biking,
∙∙ electricity, gas and water supply; sea kayaking, rainforest tours, dive or surf schools;
∙∙ and cultural and recreational services. and cultural and wildlife centres, such as museums
and galleries, wineries, aquariums, wildlife
Source: Tourism Satellite Accounts 2008–09, NSW, Sustainable reserves – and lots, lots more.
Tourism Cooperative Research Centre.
4 VOLUME 1: A
UNDERSTANDING
GUIDE TO UNDERSTANDING
THE TOURISM
THE
INDUSTRY
TOURISM INDUSTRY
Handy Hint
Actively seek customer
feedback. Feedback tells
you what you do well and
what could be done better.
Use this information to build
and improve your business.
Visitors spend dollars on… and the industry pays for… which benefits everybody
Tourism businesses such as hotels, airlines and tour operators represent only a small proportion of the people employed in the
tourism industry or who benefit from it. As the tourist dollars trickle down they spread throughout the community and the
economy in often surprising ways.
Consumers
People who may
go on holidays
Marketing/Promotion
Travel Experience
Research, development, evaluation
The experience that people have
and consumer communication to
travelling to their destination
raise awareness and generate sales.
Holiday Experience
The experience that people
have at their destination
5
The consumer The holiday experience
The consumer is the most important part of the When consumers decide to take a particular type of
tourism system because the consumer is the holiday, they have expectations of the experience
reason tourism products and services exist. they will have. This could relate to the quality of
Everyone working in tourism must ensure that accommodation, service and food, or the range and
the consumer is considered first and foremost cost of activities available, variety of shopping, cafe
in all business and planning decisions. and restaurant opening hours. Their satisfaction
will be based on how well the holiday met their
Consumers spend their money and leisure time initial expectations or exceeded them.
in many different ways. If they choose to spend
their money on a holiday, they generally begin Marketing a business
by setting a budget, deciding on the period of Marketing refers to the multi-faceted process
travel and considering the types of activities that any successful business perpetually works
they would like to do while away. Then they through. It includes activities such as researching
select a destination, decide how they will travel the market, consumers and products; developing
there and make reservations accordingly, the business and products; developing the skills of
through a travel agent, wholesaler, over the personnel; and promoting, advertising or working
internet or directly with a tourism operator. with the media to raise awareness of the product to
generate sales.
The travel experience
The travel experience relates to how the consumer Marketing is often described as consisting of
travels to the destination and the experiences they four elements, known as the four Ps: product,
have along the way. Travel choices include air, car, place, price and promotion. Product refers to the
boat, coach, train, motorbike, hiking or a physical attributes of the product, branding and
combination of the above. The mode of travel packaging. Place is about distribution – the
affects the type of consumer experience, for agencies, channels and institutions used to give
example, flying to a destination is a very different consumers easy access to purchase the product.
experience to driving. Price must meet both the needs of consumers and
the needs of the provider. Promotion is the means
When transport options, links and support services by which consumers are made aware of
are limited or below standard, the destination often destinations, products or services, to help them
suffers. Many issues affect the quality of the travel choose their holiday. Promotion can involve a range
experience, including the variety of attractions, of media, including internet, websites, print
facilities and accommodation available en route; (magazines, newspapers, brochures, direct-mail),
the road quality and signage; and the frequency of television and radio.
transport services.
6 VOLUME 1: A
UNDERSTANDING
GUIDE TO UNDERSTANDING
THE TOURISM
THE
INDUSTRY
TOURISM INDUSTRY
Handy Hint
Want to know more? Talk to
your tourism manager, your
RTO, your industry association
or Destination NSW. Look at
books and articles on tourism,
and check out available TAFE
and university courses.
Satisfaction ± Motivation/Interest ±
Planning/decision/action