MANAGING INFORMATION

SYSTEM IN TOURISM &

HOSPITALITY
Chapter 5
 BIG DATA AND TOURISM & HOSPITALITY

Big Data refers to the huge and

complex data sets generated by
today’s sophisticated information
generation, collection, storage,
and analysis technologies.
90 percent of
the data in the
world today
was created
within the last
two years
BIG DATA AND TOURISM & HOSPITALITY
Customers’
behaviors and
trend

Customization
and
Why Collaboration
and
personalization
data? communication

Research and
development
BIG DATA AND TOURISM & HOSPITALITY
BIG DATA AND TOURISM & HOSPITALITY

In the tourism and hospitality industry,

big data gets collected throughout the
guest journey from marketing, guest
experience, business intelligence, and
personalization.
 DATA MINING AND TOURISM & HOSPITALITY
Casino uses memberships card to track
customers’ purchasing and gaming pattern
• Gathers customer-purchase data by item, day, and
combination of them.
• Stores the data in a data warehouse using AIX RISC
6000 hardware and a mix of software tools.
→ the management clearly learns about what factors
affect profits and promotions, and who loyal
customers are, able to control manage cash
management, inventory management, and customer
relationship management (CRM).
 THE MARKETING INFORMATION SYSTEM

what A structure of people, equipment, and procedures

how to gather, sort, analyze, evaluate, and distribute
needed, timely, and accurate information
why to marketing decision makers.
THE MARKETING INFORMATION SYSTEM
 DEFINING INFORMATION NEEDS

1. What types of decisions do you make regularly?

2. What types of information do you need to make these decisions?
3. What types of useful information do you get regularly?
4. What social media sites can provide useful information?
5. What types of information would you like to get that you are not getting now?
6. What types of information do you get now that you don’t really need?
7. What information would you want daily? weekly? monthly? yearly?
8. What topics would you like to be kept informed about?
9. What databases would be useful to you?
10. What types of information analysis programs would you like to have?
11. What would be the four most helpful improvements that could be made in the
present information system?
 DEVELOP MARKETING INFORMATION

INTERNAL SOURCES

1. Guest information system

- Guest comment cards
- Listening to/speaking with guests
- Automated systems
- Mystery shoppers
- Point-of-sale information (POS)
DEVELOP MARKETING INFORMATION
 DEVELOP MARKETING INFORMATION

How can POS insight drive restaurants’ success?

- Insights to customers’ habits.

- Menu optimization: Restauranteurs
know which dishes are most popular and
which ones aren’t selling
- Reduced cost: Restauranteurs know the
exact amount of food ordered for busy
or slow times of the year cuts food costs
and could even increase profitability.
DEVELOP MARKETING INFORMATION
 DEVELOP MARKETING INFORMATION

Corporate customer and marketing

Corporate sales people monitor the
health of specific industries and
qualify prospects
• The industry standing and
strategic outlook for growth
• Profit and loss statements from
annual reports
• Corporate culture information
• Data concerning how this
company uses meetings
 DEVELOP MARKETING INFORMATION

MARKET INTELLIGENCE: everyday information about developments

in the marketing environment that helps managers prepare and adjust
marketing plans and short-run tactics.

• Internal sources: company’s executives, front-desk staff, service staff,

purchasing agents, and sales force
• External sources: suppliers, convention and tourist bureaus, and travel
agencies
• Competitive intelligence: available from competitors’ annual reports,
trade magazine articles, speeches, press releases, brochures, and
advertisements.
Example
- By looking at the news, you learn that
your city is going to host a big
international conference next year.
- By looking at company’s report, you
learn that Korean Air is operating new
daily flights to your city.
- Your hotel is not selected to put into a
package by a travel company. By
talking with them, you learn that the
company choose Hotel A because they
offer better price.
 DEVELOP MARKETING INFORMATION

MARKETING RESEARCH: a process that identifies and defines marketing

opportunities and problems, monitors and evaluates marketing actions and
performance, and communicates the findings and implications to management

• measurement of market • short-range forecasting

potentials
• market-share analysis
• determination of market
characteristics
• sales analysis
• studies of business trends
• competitive product studies
• long-range forecasting
• MIS studies
• testing of existing products.
DEVELOP MARKETING INFORMATION
CONTACT METHODS

Telephone interviewing
• Greater flexibility
• Higher response rate
• High cost per respondent
• Interviewer bias
• The general public has
become more reluctant
to telephone survey
CONTACT METHODS

Individual interview
• Can reach visitors whose
names and addresses are
unknown
• Interviewer bias
• Cost and sampling
CONTACT METHODS

Group focus
• Especially suited for use
by managers
• Interviewer skills
• Interviewer bias
• Sampling
CONTACT METHODS

Mail questionnaire
• Collect large amount of
info at low cost
• More honest answer
• Convenient
• Lack of flexibility
• Low response rate
 CONTACT METHODS

ONLINE MARKETING RESEARCH

• Internet surveys
• Online panels
• Experiments
• Online focus groups
• Brand communities
• Tracking of customers’ online
behavior
 CONTACT METHODS

SOCIAL LISTENING
HOSPITALITY ANALYTICS
 INTEPRETING THE FINDINGS

• Marketing information has no value until managers use it to make

better decisions.
• Large companies have centralized MISs that provide managers with
regular performance reports, intelligence updates, and reports on the
results of studies.
• Marketing managers also need non-routine information for special
situations and on-the-spot decisions.
• There are also organizations providing large Knowledge Center for
marketing researchers