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Note: Pay special attention to the terms highlighted in blue!

Module 2 Part 2 Terms: Tourism Stakeholders

Travel Intermediaries: Companies that connect tourists to the vacation they want but don’t actually provide anything but access. The most
common type of travel intermediary is a travel agent.

Example: Travel Agency Consortia: Many travel intermediaries (like independent travel agents) band together to increase their buying
power from travel wholesalers by creating consortisas…consortias also help travel agents bargain for better commissions (how travel
agents get paid), and negotiate better amenities for customers. Some of the largest include Virtuoso, Signature Travel Network, Ensemble
Travel Group, and Vacation.com. Note: Being part of a consortia means that the agent must meet a certain volume of sales but gets
member benefits like help with marketing, training and education, and FAM (familiarization) trips to ‘try out’ travel products (yay!).

Investors: Venture capitalist with money to start up tourism-related ventures…maybe for their own profit only, and maybe to have a positive
social impact as well. This includes private companies and organizations such as The World Bank Group (see mini presentation on the WBG)
Ex. World Bank Group: Conglomeration of international organizations that loan money to developing countries.

Food & Beverage Service Sector: The Food & Beverage sector relies on tourism when the patrons who eat at these establishments are
predominantly tourists (more than one day) and excursionists (day trippers).

State Depts./Offices of Tourism: These government agencies have a state-elected official at the helm. These agencies are tasked with
maximizing tourism in a state, but are dependent on the party and leaders at the helm in terms of what they think tourism should look like in
the state. Often these departments are ‘cleaned out’ when parties change from left to right and vice versa.

Ex. Arizona Office of Tourism: https://tourism.az.gov/, or find it by state https://www.usa.gov/state-travel-and-tourism

National Tourism Government Agencies: Subdivision of a Federal Government that oversee tourism for an entire country.

Ex. Kenya Ministry of Tourism: http://www.tourism.go.ke/

Environmental & Social Groups: These often politically and socially controversial resist tourism or want to partner with vendors to find
solutions to tourism-related issues that impact human rights or environmental health of the area.

Ex. Global AntiGolf—This organization feels that the proliferation of golf courses hurts communities and the environment (monoculture,
pesticide use, water depletion) http://www.antigolf.org/english.html
Tourism Employees: A diverse group, with many ethnicities, ages, skills levels, and experiences who work in the hospitality and tourism
industry. The industry relies on them to deliver an intangible product through service. They can be underpaid, overworked, and exploited if
care is not taken. The industry needs them, but struggles to find them when applicant pools cannot be accessed.

Tourists: The driving force of demand in the tourism industry. Tourist practitioners must figure out what they want and need, and provide a
way for them to access it. What they want keeps changing! Tourists may be part of a group of travelers, or they may be a ‘FIT’ (free
independent traveler)

Vendors (Hospitality-related): Businesses that provide the ‘stuff’ that hotels, restaurants, and tourism-related companies need to service
their guests/customers. They do well when the tourism industry is doing well.

Lawmakers/Representatives: Elected leaders may (or may not) care about tourism because they understand that it contributes favorably to
the balance of payments, brings money into an economy, and impacts the types of laws and ordinances they must make to balance the needs
of locals and tourists.

Unions: Unions fight for the rights of workers in the hospitality and tourism industry. They know that wages can be low and working
conditions can be tough.

Ex. Unite HERE (Hotel Employees and Restaurant Employees Union) formed in 1891 and includes employees from Vegas hotels and
casinos to hotel companies like Hyatt and Hilton, and Disney. http://unitehere.org/

World Tourism Agencies: There’s THE major one, the UNWTO (United Nations World Tourism Organization) http://www2.unwto.org/. It
has 158 member countries and fosters socially and environmentally responsible tourism globally. Others would include the Global
Sustainable Tourism Council (GSTC) https://www.gstcouncil.org/about/about-us/. Note that there are many region-specific tourism
associations such as the ETOA (European Tourism Association https://www.etoa.org/ and The Asia Pacific Tourism Association
http://apta.asia/

Convention & Visitors Bureau: A non-profit agency funded by bed tax (paid by hotel guests every night they rent a room) and membership
(of local tourism businesses) that market a specific area to tourists, provide information to potential meeting planners coming to an area,
and tourism information to visitors. Here’s a list of many CVB’s you can explore throughout the USA: https://www.smartmeetings.com/cvbs

Tourist Attractions: These are small or larger players in driving tourism by giving people man-made, historical, and natural places for people
to experience.

Host Communities: These places receive tourists and have a love-hate relationship with tourism. Why? Tourist brings jobs and revenue but
can change culture and the local way of life. Tourists can drive members crazy and crowd things up.
Taxpayers: The citizens of a country who may (or may not) care about tourism because the dollars generated from it could potentially
improve a community’s infrastructure, schools, etc.

Transportation Companies: An integral part of tourism because they move people by air, water, ad land. Without them, the tourists cannot
get to any other tourism-related activities, accommodations, etc.

Ex. All Aboard America was started in 1936 charters motor coach transportation all over the United States.
http://www.allaboardamerica.com/

Tourism Lobbyists: Hired private people who serve as a bug in the ear of the legislature, trying to get them to be pro-tourism in their
decision-making. Often paid by industry people to ensure legislators are engaging in pro-tourism legislation. Did you know the term
‘lobbyist’ comes from the powerful men who used to sit in the lobby of the parliament and hotels so they could approach elected officials to
sway their votes? Here’s a vast list of companies who participate in tourism lobbying for hire:
http://lobbydata.com/Directory/Issue/Travel-Tourism

Retailers: Shopping is the number one tourism activity, so all forms of retail establishments want lots of tourists to visit the area where their
establishments exist. This can be far more lucrative than relying on locals only.

Tourism Researchers & Educators: Researchers and/or teachers who are charged with preparing future managers and leaders in the
industry, and studying it and generating data to understand it better. An example, outside of universities, is The Travel & Tourism Research
Association https://ttra.com/

Destination Management Organizations (DMO’s)/Receptive Service Agencies: These large and small companies work with the travel
wholesalers and handle the traveler when they arrive on location. Wholesalers bring them, receptive service agencies show them around.
This could include organizations such as CVB’s (Convention and Visitor’s Bureaus), DMC (Destination Management Companies), and
sightseeing companies.

Ex. Destination Management Company [DMC]: A private company hired by a group or company coming to a destination with extensive
destination knowledge that helps to arrange logistics including Meet and Greet, Transfers/Transportation, and pulling together
accommodations, food and beverage, excursions conference venues, and assistance with overcoming language barriers and insider
information to best access a destination—functions like an agent of the group or company.

Ex. Convention & Visitor’s Bureau [CVB]: An organization that promotes a town, city, region, or country in order to increase overall
number of visitor’s to the area. This is generally run as a non-profit organization that is supported by FIT hotel room/bed tax,
government budget allocations, transportation, meal, and attraction taxes. It DOES NOT organize meetings and conventions, but DOES
help meeting planners and FIT travelers about the facilities, infrastructure, and attractions available.
Private Tourism/Hospitality Associations: Associations and professional clubs created to help professionals and organizations in the
industry to grow. They educate, providing networking opportunities, and are funded by memberships. They interact with lobbyists,
legislators, and the press too.

Ex. Arizona Hotel & Tourism Association: Represents 440+ members in Arizona related to hotels, resorts, and bed and breakfasts.

Lodging Establishments: Any type of ‘head in bed’ business (hotel, bed & breakfast, campground, hostel, etc.) that provides accommodations
that have a stake in tourism they need a steady stream of tourists to stay occupied.

Travel Wholesalers: Companies that create the ‘products’ that intermediaries sell, or sometimes they sell their products directly to the public
at a discount. They can save the customer money because they deal in high volume.

Ex. Travel Impressions: Owned by American Express, the tour operator works exclusively selling tour packages to over 200 destinations
to travel agents so that they can sell them in the retail market. It does not sell products directly to the customer.

MICE/Meeting & Event Industry: (Meetings, Incentives, Conventions, and Exhibitions). MICE are festivals, sports games, and any reason for
people to gather in mass. They create tourism with their happenings and represent the largest and most lucrative segment of the meetings
market. This market will stop traveling if the economy goes south or disasters happen.

Often Forgotten Stakeholders

Flora & Fauna: It’s very easy for us to forget the stakeholders in tourism that literally have NO VOICE in the matter…and that would include
the plants and animals in the environment that are impacted by tourism.

Ex: Visit https://havasupaihorses.org/ to learn about the plight of Havasupai horses…these are the horses, mules, and donkeys that
‘pack in and out’ tourists’ coolers, tents and supplies. Within the beauty of the Grand Canyon, and ugly truth lingers—these animals who
are generating income for tour providers are in some cases being treated horrifically.

First Responders: Those who are responsible for responding to crisis (police, medics, terrorism task forces, private security companies)
must do so without deference between local community members and those who are visiting.

Ex: Visit http://www.tourismandmore.com/tidbits/using-your-police-department-and-first-responders-to-promote-your-city-state-or-


nation/ to learn about how first responders require training and protocols for how to deal with thousands (sometimes millions) of
tourists descending upon a community and the increased cost of providing services.

Infrastructure Management: The influx of tourists puts massive pressure on the infrastructure of an area. These include managers of
transportation terminals, immigration offices, beach nourishment/maintenance, etc. These stakeholders may not be directly involved in
‘tourism as an industry’ and yet their domain is essential to tourism efficiency and is impacted by the influx of tourists.
Ex: Visit https://havasupaihorses.org/ to learn about the plight of Havasupai horses…these are the horses, mules, and donkeys that
‘pack in and out’ tourists’ coolers, tents and supplies. Within the beauty of the Grand Canyon, and ugly truth lingers—these animals who
are generating income for tour providers are in some cases being treated horrifically.

Questions to Ponder:
What other types of stakeholders can YOU think of?
Which of these stakeholder groups are governmental?
Which of these stakeholders are the most powerful? Least powerful?
Which of these stakeholder groups collaborate and partner together?
Which of these stakeholder groups likely experience conflict?
Which of these stakeholder groups are YOU are part of?

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