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A Report on

“Analyzing the Impact of Digitalization in the Field of Tourism Services in Bangladesh”

Supervised by: Samshad Nowreen

Associate Professor

Department of Tourism and Hospitality Management

Faculty of Business Studies

University of Dhaka

Prepared by: Fatima Siddiqua

ID: 134

Section ‘B’; Batch: THM 10th

Reg. No: 2016-118-416 (Ruqaiyyah Hall)

Department of Tourism and Hospitality Management

Faculty of Business Studies

University of Dhaka

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Date of Submission: 23rd February 2022

Letter of Transmittal

20/02/2022

Samshad Nowreen

Associate Professor

Department of Tourism and Hospitality Management

Faculty of Business Studies

University of Dhaka

Subject: Submission of the report on ‘‘Analyzing the Impact of Digitalization in the Field of

Tourism Services in Bangladesh’’.

Dear Madam,

It is my absolute pleasure to get the opportunity, under your supervision, to prepare my report.

Working under your guidance has been for me both a joy and a challenge.

You've always been there to direct me and support me with the problems I faced in preparing the

report. I have tried to focus myself completely on following your instructions in completing the

report on ‘‘Analyzing the Impact of Digitalization in the Field of Tourism Services in

Bangladesh’’. Under your guidance, this study helps me gain insights on how to complete

research work.

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I want to express my gratitude to you for your support and cooperation. I would be pleased to

answer your inquiries and apologize for the unintended errors.

Sincerely yours,

______________

Fatima Siddiqua

ID: 134

Section ‘B’

Batch: THM 10th

Reg. No: 2016-118-416 (Ruqaiyyah Hall)

Department of Tourism and Hospitality Management

Faculty of Business Studies

University of Dhaka

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Acknowledgement

First, I want to thank Allah for helping me finish my report in the time I had. The success of this

report is based on the help of many people, especially those who have taken the time to give their

advice and suggestions for improving this study. The report program is a very important way to

learn practical skills because a student doesn't know anything until he learns both theory and

practice.

This paper is the result of a lot of people's work and help. Samshad Nowreen is an Associate

Professor in the Department of Tourism and Hospitality Management at the University of Dhaka.

She helped me write this paper a lot and made a big impact on it, too. Because she helped me

with every problem I had while doing research, I want to say thank you for everything she did. It

took her time and advice to help me write the research paper in a way that was clear and easy to

follow. The pros and cons of research work would have been hard for me to understand if she

hadn't been there for me.

This report is a summary of the report I made a while back. Finally, I want to say thank you to all

of my teachers, friends, and other people who helped me finish this study in a different way.

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Certificate of Acceptance

To say that the report on "Analyzing the Impact of Digitalization in the Field of Tourism

Services in Bangladesh" submitted for the degree Bachelor of Business Administration is a

record of research done by Fatima Siddiqua, a student in the Department of Tourism and

Hospitality Management at the Faculty of Business Studies at the University of Dhaka. I was in

charge of her work. Before this report, no part of it has been submitted for any kind of award.

______________

Mrs. Samshad Nowreen

Associate Professor

Department of Tourism and Hospitality Management

Faculty of Business Studies

University of Dhaka

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Statement of the Student

In Dhaka University, I am Fatima Siddiqua, a student in the Department of Tourism and

Hospitality Management studying for a Bachelor of Business Administration. I say that this

paper was written by me in the year 2022 under the supervision of Mrs. Samshad Nowreen,

Associate Professor, Department of Tourism and Hospitality Management, Faculty of Business

Studies,

University of Dhaka. I only did this to meet the requirements for the degree of Bachelor of

Business Administration, which I want to get (BBA). I'm also saying that I haven't submitted this

report for any kind of degree, diploma, title, or other kind of honor or reward in the past.

Fatima Siddiqua

ID: 134

Section ‘B’

Batch: THM 10th

Reg. No: 2016-118-416 (Ruqaiyyah Hall)

Department of Tourism and Hospitality Management

Faculty of Business Studies

University of Dhaka

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Executive Summary

Information gets digitized when it is transformed into a form that a computer can understand.

"The use of digital technology and digitized data to impact the way work is done, change the way

consumers and organizations connect and interact and establish new (digital) revenue streams," is

how the ISO defines digitalization. Everything from the finished product to how it is distributed

to people who work on it is affected by digitization as a vital aspect of the digital transformation

process. As a result, the company's culture and the method value is created and commercial

activities are carried out are both transformed? The capacity to adapt swiftly and intelligently to

changing situations by exploiting new technologies and information is defined by this term.

More than merely adding technology, a digital transformation refers to a company's ability to

make use of such technology, whether it is new or old. The process of integrating new

technology into an existing firm is only the beginning. (Mahdi Mahmoudsalehi, May 2020;

Digitization, digitalization, digital, and transformation.).

Digital technology has grown rapidly in recent years, helping the global tourist business advance.

The integration of cutting-edge technological applications with the tourist business is becoming

more and more evident. It is almost hard to imagine a well-developed tourist business without

the aid of technology. Tourists will be able to utilize and access technology more easily because

to this connection. At this point in time, tourists have a wider range of alternatives and choices

available to them. (United Nations, UN75 2020 and beyond; 2020; the Impact of Digital

Technologies.)

In part, the nation's growing tourism business may be attributed to the abundance of natural

resources available in the country. Tourism is a major revenue source in the service sector, and it

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has the ability to contribute to the expansion of a country's economy. Lodging, transportation,

vending, and water sports are just a few of the various services that may be provided to guests in

the framework of tourism, to name a few. Digital technology has the ability to completely

revolutionize a company's business model and to provide new streams of revenue and value for

the organization. Digital technology is becoming more important in today's tourism services. The

tourist business, as a service provider to guests who are not at home, faces a high degree of

informational complexity. According to Buhalis and colleagues, while making decisions in the

travel business, there are a number of elements to take into consideration (2013). Customers

utilize data as a tool to compare and contrast their current choices with their prior ones, in

addition to assisting them in making selections. As a result, the relationship between information

and communications technology (ICT) and tourism has been strong since since the tourism sector

began making extensive use of information technology. When computerized reservation systems

were initially implemented in the travel industry in the early 1960s, it signaled the beginning of a

new age. Customers are increasingly reliant on information and communications technology

(ICT) in their decision-making process. Bangladesh, which is located in South Asia, has a great

deal of promise in the tourism industry because of its closeness to the rest of the area.

Bangladesh has already begun to see long-term development. When it comes to the travel sector,

digital technology has had a significant influence. Specifically, however, despite the fact that this

firm seems to be growing gradually, a number of barriers appear to be limiting its growth. An

increase in the number of Internet-based platforms and digital innovation might boost

Bangladesh's tourism industry. Since the widespread availability of digital technology has

increased, the global expansion of this business has been stimulated as a result. You will be able

to connect with millions of potential clients much more rapidly if you make advantage of this

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service. These customers may also take advantage of a wide range of tourism-related products

and services available on the internet. (Azizul Hassan, 2021, Technology Application in the

Tourism and Hospitality Industry of Bangladesh, Page 5.)

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Table of Contents

CHAPTER 1 INTRODUCTION ..................................................................................................................

11

Introduction: ..................................................................................................................................... 11

Background of the study: .............................................................................................................. 12

Objectives of the study: ................................................................................................................ 12

Scope of the study: ....................................................................................................................... 13

The methodology of the study: ..................................................................................................... 13

Limitations of the study: ............................................................................................................... 14

CHAPTER 2 LITERATURE

REVIEW .......................................................................................................... 16

Literature Review:............................................................................................................................. 16

Digitalization influences to make decision: ....................................................................................... 17

Impact of Digitalization Tourism Services of Bangladesh: .................................................................

18

CHAPTER 3 TECHNOLOGY DEVELOPMENT IN TOURISM IN

BANGLADESH ............................................. 20

Three key phases of technology development can be identified in tourism: .................................... 20

Phase 1 Sales and marketing: ........................................................................................................ 20

Phase 2 Digital business ecosystems: ............................................................................................ 20

Phase 3 Integration of systems: .................................................................................................... 20

Examples of digital technologies transforming tourism .................................................................... 20

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Transformations in tourism services resulting from

digitalization:................................................................. 21

External factors affecting digitalization: ........................................................................................... 22

CHAPTER 4 CURRENT VIEW OF DIGITALIZATION IN

BANGLADESH ........................................................ 25

Differences between Tourism industry with low and medium digitalization: ...................................

25

Reasons for improving digitalization: ................................................................................................ 27

Interview data tended to corroborate and expand on these insights, including: ..............................

27

Perceived obstacles to further implementing digital technologies in Bangladesh tourism

industries:

.......................................................................................................................................................... 27

CHAPTER 5 ANALYSIS OF DIGITALIZATION IN THE FIELD OF TOURISM

SERVICES .................................. 31

Study Area: ....................................................................................................................................... 31

Timeframe: ....................................................................................................................................... 31

Age: ................................................................................................................................................... 31

Gender: ............................................................................................................................................. 31

Questioner Survey Analysis: ............................................................................................................. 32

CHAPTER 6 FINDINGS ............................................................................................................................

39 In-depth Analysis: ............................................................................................................................. 39

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CHAPTER 7 DISCUSSION AND

CONCLUSION .......................................................................................... 43

Discussion: ........................................................................................................................................ 43

Conclusion: ....................................................................................................................................... 43

REFERENCES .......................................................................................................................................... 45

APPENDIX ............................................................................................................................................. 46

Survey Questionnaire: ...................................................................................................................... 46

Study Area: ....................................................................................................................................... 48

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CHAPTER 1

INTRODUCTION

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CHAPTER 1 INTRODUCTION

Introduction:

Websites and digital media have made communication and information more widely available.

The process of deciding on a place, acquiring information, and making a final selection are all

frequent actions conducted by visitors utilizing digital media platforms. A variety of tourist

websites, agencies, and organizations utilize social media to distribute information about their

facilities, properties, and other travel-related issues. Tourists are reconsidering how they

investigate, analyze, and exchange information about diverse tourist sites as a result of

technological improvements. Tourism is a two-way street because of the amount of content

tourists create and share online about their travels. As a result, the travel and tourist business, as

well as advertising firms and their products, all gain. New visitors' confidence and enthusiasm

are bolstered by the information and commentary provided by prior visitors, as well as the

images, videos, and commentaries they have put online. They become co-promoters who help

spread the word about locations they've been to and excite the curiosity of others, as well as the

expenditures associated with their travels, because of this. In addition, it helps tour operators and

groups to increase their company. A similar trend is occurring in Bangladesh's terrain. To better

understand how digitization affects the travel sector and its clients, we conducted a poll.

Digitalization has a beneficial impact on tourism, according to the poll, which revealed that 97%

of respondents agreed. Travel and tourism information may be found on a daily basis by almost

30.5 million Bangladeshis who use Facebook, YouTube, and Instagram are some of the social

media sites that you can use. Because of this, Bangladesh is a great deal of potential for tourism.

It's said by World Travel & Tourism Council. Bangladesh's tourism industry contributed BDT

296.6 billion to GDP in 2005. (KARIM, 2018). But compared to other nations and their tourists,

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this is a little sum of money. According to the 2005 Johannesburg Summit, tourists may improve

a country's infrastructure and the local people (KARIM, 2018). According to the present scenario

and technical relevance, social media may help the tourism sector grow.

Background of the study:

An increasing number of businesses are being transformed by new digital technologies and data-driven

business models. Economic and social organization, innovation, and competitiveness are all impacted

significantly. Because of the increase of digitalization, small businesses in the tourism sector may market

reach, grow faster, become more efficient and competitive. It may also be used to construct and adjust

product offerings, boost connections at destinations, give performance information, and help manage

destinations on a collective level.

Both opportunities and risks are present in Bangladesh's tourism and hospitality businesses because of

their reliance on tradition. In the tourist business, it can be hard and exciting to digitize different types of

businesses, like transportation, housing, restaurants, and personal service. Differences in human

resources, access to financial and non-financial resources, and other factors, as well as degrees of

knowledge and digital skills, are evident. It is not just at the destination level of the tourism business that

the challenges faced by individual companies are duplicated, distorted, and aggravated.

In the long term, Bangladesh's destination systems will stay competitive thanks to digital transformation.

When the tourism sector is well-established, it will be able to use digitalization to produce and/or improve

value for tourist attractions, attractions and visitor experiences. Foundations include a well-connected

industry, the capacity to share knowledge, the construction and maintenance of supporting mentorship

opportunities and collaborations, as well as the cultivation of learning, reflection and growth possibilities.

As such, they serve as the foundation of the industry.

Tourists from Bangladesh account for a considerable portion of the country's economy. In order

to reap the benefits of digitalization's promise of improved connectivity and efficiency, the

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tourism sector must be dynamic and open to new ideas. There has been a great deal of attention

paid to digitalization there is a lot of focus on the challenges and obstacles that tourism faces, but

not as much attention has been paid to what policy responses and interventions might help

digitalization for various stakeholders.

Objectives of the study:

With this report, we want to analyze the unique difficulties and possibilities given by the

digitalization of tourist sites, how these challenges and opportunities impact diverse categories of

people, and what the tourism sector and member states can do to address these concerns. This

report helps you figure out which Bangladesh tourism policy approaches and initiatives could

help make tourism more digital.

The primary objectives aimed to achieve by this research work are as follow:

1) Analyze the specific changes and shifts in the service system of the Bangladesh tourism

industry. Analyze the opportunities of digitalization in tourism services.

2) Identify how these opportunities have affected different sectors of tourism services and,

3) Analyze these shifting of services specifically from the consumers’ perspective.

Scope of the study:

This study was undertaken in order to better understand the influence of digitalization on

Bangladesh's tourist business. It also sheds light on the experiences of customers and tourist

sector participants in the process of digitization. A chance to learn about Bangladesh's tourist

industry's use of digital technology is provided by this study.


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The methodology of the study:

This project will use a mixed-methods approach to conduct research. A methodology that

combines quantitative and qualitative data collection is known as mixed-method. A method that

includes both qualitative and quantitative data is ideal for this study since it examines the

influence of digitalization on the ground of tourism services. In this study, we've combined

Methods that are both qualitative and quantitative. The survey technique is used in order to

complete the task the research in order to increase the study's precision and depth. Surveys are a

cost-effective and time efficient way to gather information, and they create a big volume of data

that is straightforward to analyze. An investigation of the impact of digitalization on

Bangladesh's tourism industry is being conducted.

Figure1: A model of the exploratory sequential design used in a mixed methods study. (source:

Oven, 2016)

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Primary data:

The primary data for this research will be gathered through an online survey questionnaire and

in-person interview with tourism service providing organizations. This research is based in

Dhaka, Bangladesh. This Survey will be conducted with the data of 200 people which will

include tourists aged from 18-35 years old. And in-person interview will be conducted with prior

selected tourism service providing organizations. The service-providing organizations are

selected for collecting the necessary information for accomplishing this research’s objectives.

Secondary data:

The secondary data is collected from the review of various literature, research papers,

newspapers and articles, web sites, travel and trade journals, statistical documents, government

publications and materials from park such as brochures, magazines, and advertising template.

Data processing and analysis:

MS Word, MS Excel, and other necessary computer tools are used to gather, process, and finalize

this study's statistics. In instruction to convey the relevance link of the data obtained to the

primary issue, statistical approaches are applied in the form of tables.

Limitations of the study:

A report like "Analyzing the Impact of Digitalization in Bangladesh's Tourism Services Sector"

is not an easy task to complete in the time allotted. The outcome of this study should be seen

considering some limitations.

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The following are some of the issues and limits that may arise throughout the research:

1. For one, there is not enough data to perform a thorough investigation because of the lack

of studies that focus on digitalization and its impact on Bangladesh's tourism industry.

2. The document's development was hampered by a lack of available time.

3. Internet information is scarce.

4. A reluctance to divulge information.

5. Not enough financial assistance.

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CHAPTER 2

LITERATURE REVIEW

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CHAPTER 2 LITERATURE REVIEW

Literature Review:

"Digitalization in Tourism - European Commission" argues that the travel and tourism sector has

undergone substantial upheaval as a result of technological advancements in recent years.

Digitalization and There are new professions, alliances, business models, and abilities because of

the traditional roles of tourist producers and tourists (Dianne Dredge, 2018).

According to a new poll, internet travel providers like Expedia and Priceline.com are responsible

for an estimated 148 million bookings each year. Bangladesh's present tourist boom may be

traced in great part to the advent of the digital era (2020). Digital tourist promotion is a top

priority for BPC, according to a recent report. In 2015, social media made it possible for many

travelers to obtain any kind of tourism service (Mallika Roy, Tourism in Bangladesh: Present

Status and Future Prospects). Tour operators are increasingly promoting their services using Like

YouTube, Facebook, and many more. We should not overlook the many digital technology-

based suggestions for increasing tourism from the younger generation, as well The Bangladeshi

government has placed a high priority on promoting tourism via the use of digital technologies.

National Tourist Policy 2010 suggests that digital technology might play a big part in the growth

of Bangladesh's tourism business. The government has given more money to this field. The BPC

made sure that all hotels and motels would be able to connect to the internet, so people could

book and pay for rooms online, as well as have their websites updated. The government has set

up a grievance resolution process to deal with citizens' concerns and complaints (GDS). For the

first time, the BPC is able to accept complaints and criticism from all around the country thanks
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to a new system designed for this purpose (2018). Bangladesh's tourist offers have changed as

the country moves toward digitalization. Digitalization and tourism services are the focus of this

investigation.

Our everyday lives have entered a new era with the development and widespread In this case,

people use the Internet and other information communication tools. People may communicate

with one another and share ideas and information via a variety of online communities, which are

becoming more popular (Zeng, 2013). The media has become more important in terms of both

economic and social development. Reddit, Tumblr, blogs, microblogs, and social networks are

among the sites in this list. The capacity to communicate oneself in a variety of ways is critical in

today's social media environment. During your travels, you will probably come into touch with

people from a variety of diverse cultural and socioeconomic backgrounds. In this case, there are

a variety of factors to consider, including the fact that digital technology may be used to acquire,

distribute, and build information about a place. It is because of this that many nations consider

digitization to be a crucial marketing tool for their country's tourist industry. A good example of

this kind of organization is Tourist Bangladesh, which is run by the government and serves as the

country's tourist bureau. Operators could utilize Facebook to advertise their facilities and

activities as tourist attractions on the internet, rather than other traditional marketing methods

(Zeng, 2013). In 2009, Facebook topped both Google and Yahoo in terms of worldwide internet

traffic, according to Statista. Tourism Bangladesh, in collaboration with the country's National

Online Strategy Committee, has created an e-Kit package for "digitalization for tourism" in the

country. These tactics will teach you how to use social media and group purchasing to persuade

travelers to visit your business (Camillo, 2015).

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With over 74 million monthly visits, Trip Advisor is the world's second-largest Digitalization

travel site. Many individuals go to Tripadvisor.com (www.tripadvisor.com) to get advice and

instructions from other travelers who have previously been there and done that (Rathonyi). More

than half of individuals who like traveling use a variety of mobile travel apps to conduct their

research and collect information before going on a vacation, according to studies. (Information

retrieved in 2014) 2014 (Zivkovic, Brdar, & Gajic).

Digitalization influences to make decision:

The term "digitalization" refers to marketing methods that are implemented in phases, each of

which is described below. Beginning with identification, the process progresses through looking

for accurate information, evaluating person’s facts and statistics, picking other choices, buying,

and finally post-purchase phase. In travel, the process begins with the selection of a destination

region and the subsequent use of the Internet to learn more about that location. Following that is

the process of gathering information, evaluating alternatives, and eventually visiting the location

in question (Camillo, 2015). Planning, making that plan, and giving visitors things to do after

they buy things are all part of the package. Visitors first look for information about what people

are talking about on different social media platforms, and then they choose what to do based on

that information when they go to the store. Following that, people use the goods, or if they're

going on vacation, they visit the place they're going to. Finally, they post their thoughts on

digitalization (Camillo, 2015).

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Impact of Digitalization Tourism in Bangladesh:

Globalization and technological progress happen all the time in countries like Bangladesh. It is

becoming more and more popular in this country to use a lot of different types of social media

platforms, such as Facebook, blogs, and video-sharing sites like YouTube, Instagram, and

Twitter. These platforms are also important in everyday life. At any given time, 94.54 percent of

people in Bangladesh use Facebook on their pocket phones to connect with other people (Social

Media Stats in Bangladesh- July 2019). Similarly expected to be adopting the Digitalization

process are at least 30 million people in Bangladesh, which accounts for approximately 81.66

million internet users overall. Instagram, on the other hand, is utilized by 1.80 million

individuals, with a YouTube channel being used by 6% of those who have one. Facebook

appears to be the social networking platform with the most number of users, according to the

data. Because of technological improvements, digital sites might remain employed by way of

excellent advertising tools to boost our travel industry, particularly in developing countries,

notably in Asia (Karim, 2018). Furthermore, the Vision of 2021, which has been accepted by

government, is consistent by the usage of digital platforms in instruction to promote tourism and

thus raise revenue. By way of a South-Asian country, Bangladesh has a wide range of seasonal

fluctuations to explore, as well as a diversified spectrum of archaeological, historical, natural,

and man-made tourism places to see and do (Karim, 2018). Another quality of this country that

attracts foreign tourists is its warmth and friendliness toward visitors. It demonstrates that the

country has the opportunity to enhance its tourism business by bringing both national and

international tourists to the country.

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CHAPTER 3

TECHNOLOGY DEVELOPMENT IN

TOURISM IN BANGLADESH

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CHAPTER 3 TECHNOLOGY DEVELOPMENT IN TOURISM IN BANGLADESH

Technological development in tourism services:

Technological advancements has gave Bangladesh’s tourism industry massive boost. It has

changed the patter of service provision and made it easier for both the service providers and the

consumers. Technological development introduced new service patterns that are time efficient

and also cost effective. Online booking and reservation of hotel rooms and venues, e-ticketing,

central reservation system (crs), augment and virtual reality, online platforms to collect travel

related information all are example of digitalization in the travel tourism industry of Bangladesh.

Figure 2: The applications of technologies in tourism services;

(Source: Application of Technology for Tourism Products and Services in Bangladesh)

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Three key phases of technology development can be identified in tourism:

Phase 1 Sales and marketing:

People and businesses could use knowledge as an advertising tool because of the rise of the

Internet from 1990 to 2000. This is what happened. SMEs were able to improve their internal

processes by using The digital point-of-sale system, as well as the software that comes with it In

this period, websites began to take the role of paper-based marketing materials, destination

management organizations began to function as "information brokers," web-based reservation

systems began to make commercial transactions more convenient, and distribution methods

began to be developed the whole industry work well together.

Phase 2 Digital business ecosystems:

Within a decade, digitalization had become the go-to source for travelers looking for travel

information, and new Internet technologies made it possible to set up a virtual marketplace where

people could search for, compare, and buy and sell things online. As customer expectations have

changed, suppliers have become more interested in customizing items and building personal

relationships with their customers, and this has led to more personalized products and better

customer service. It has been hard for traditional travel agents to make money because of online

intermediaries like Expedia, and the rise of appraisal places like Trip Advisor has place the client

in charge of their acquisitions and given them a lot of power over the purchasing decisions of

other people. When it comes to being a point of contact, visitor information centers have lost

some of their value as more and more people book and pay for things online. This, in turn, has

led to the growth of global markets and markets in places that were previously unknown.

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Phase 3 Integration of systems:

It's been a lot easier for the digital and physical worlds to connect since 2010. Since 2010,

computers, mobile and wearable technologies, augmented and virtual reality (VR), GPS, system

integration and interoperability, and other elements have made this practical. As a result of

collaborative social media platforms and Web 2.0, anyone may now create their own content

which lets people make their own content. This means that tourism businesses can now reach

more people around the world even faster, thanks to these new technologies.

Examples of digital technologies transforming tourism services

Phase 1. 1990-2000 Phase 2. 2000-2010 Phase 3. 2010 onwards

Electronic cash registers Smart phones Augmented reality

Financial software Computer graphics software Virtual reality

Mobile phones Property management systems Mobile Apps

Email Computerized ticketing systems Cloud computing and online data

Intranet Computerized stock control systems storage

Wearable technologies
Internet banking Online booking systems
Social media
Office software Customer reservation systems
Google analytics
Video conferencing Email marketing
Review websites
Websites Customer relationship systems
Collaborative online environments
Destination (city) cards
Web 2.0

Chabot’s and instant advice Peer

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production, e.g. platform

collaborative economy;

commons collaborative economy

Because of these advancements and their accompanying changes, new ways of thinking about

travel are required, as are People in the tourism industry are coming up with new ways to

develop new products, People are using new business practices and new ways to help and build

the tourism industry's strength. Building a network and learning environment is important for

Bangladesh to be inspired by tech-savvy businesses from both inside and outside of the tourism

industry and learn from them how to work together on a wide range of projects. All of these

groups play important roles in setting up and maintaining this environment.

Transformations in tourism services resulting from digitalization:

Disruption New destination New business Changing roles New roles for

configurations models, value of tourism

chains, and consumers & organizations

ecosystems producers

Big data improves Digitalization New actors such Visitors have Destination

management allows greater as online become presumes marketing and

customization of platforms act as actively producing product

Disruption to visitor information and consuming development, the

incumbent experiences, new brokers and their own traditional roles of

operators and customized intermediaries experiences. They tourism

pressure to destinations offer many take on different organizations, are

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reconceptualise emerge services roles, including transformed, and

traditional traditionally booking, (self) these

business models Customer Services offered by tourism guiding, reviewing, organizations find

organizations. sharing and themselves

Rise of the marketing the increasingly in

platform economy, Digital platforms destination. facilitation and

ondemand are expanding capacity building

business beyond roles with less and

accommodation less direct

New value products to influence over

creation curate, destination

opportunities coordinate, and development,

facilitate visitor innovation, and

Emergence of experiences in a marketing.

global value destination.

chains

External factors affecting digitalization:

There are a range of elements that influence the adoption of digital technology on a local,

national, and worldwide level on a variety of levels. Other key aspects include the political

climate, legal frameworks, geophysical conditions, the availability of different technologies,

access to those technologies, and awareness of those technologies, among other things.

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Additionally, economic circumstances that impact confidence, investment, and other elements;

what is occurring in rival settings; and market effects are all taken into account are all factors to

be taken into consideration. Depending on the member state, the destination, and the sub-sector

of the tourism industry, these impacts present themselves differently. As a result, different

segments of the tourism industry are experiencing multi-speed digitalization processes. These

issues should be taken into account while developing policies, rather than rushing to apply

solutions from other countries that are not appropriate for all situations.

Figure: Factors influencing the uptake of digitalization

Towards bridging this gap, the Digital Tourism Network was established as an informal and

flexible forum with the goal of bringing relevant public and private stakeholders together around

a table to discuss common challenges and opportunities associated with digital transformation in

the Bangladesh tourism industry, as well as to conversation of best practices for enhancing the

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innovative ability of tourist businesses, especially in Bangladesh, is encouraged. The Bangladesh

Tourism and Digital Tourism Network collaborated with the nation's tourism and digitization

stakeholders to conduct a focused stakeholder engagement on tourism and digitization around the

country in 2016.. An investigation published in 2018 gives recommendations for improving the

penetration of digitalization in the tourism business of Bangladesh, with the findings pointing to

an increase in the use of smartphones. The Digital Tourism Network wants to further develop

this work through stakeholder talks and events, with a particular emphasis on the problems

associated with higher–level digitalization of tourism in Bangladesh, in order to further improve

this work.

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CHAPTER 4

CURRENT VIEW OF

DIGITALIZATION IN BANGLADESH

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CHAPTER 4 CURRENT VIEW OF DIGITALIZATION IN BANGLADESH

Training on Costs and


new uncertain
digital return
technology on benefits

Insufficient
Insufficient
knowledge to
technical
identify
knowledge
opportunities

Due to the introduction of new digital technologies, there is an increased demand for training,

which is the most critical difficulty that the tourist industry in Bangladesh is currently facing.

The country frequently lacks the people, In addition to the resources and skills required for

digitization, there are also resources (such as time, initial financial investment, and on-going

technical assistance) available to undertake training programs in this field. The introduction of

new technology in Bangladesh's tourism industry is considered to be the second most important

objective after improving the country's infrastructure. Because tourism groups in Bangladesh

tend to have fewer financial resources than global corporations, this is not surprising. A

significant majority of the sample size consisted of small and micro-sized businesses, which are

hampered by a lack of human and financial resources, among other reasons, as a result of their

small size. All of the major issues in Bangladesh tourism are related to a lack of sufficient

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understanding of digitalization, which prohibits decision-makers from making informed

decisions on new digital technologies in the industry.

The findings of the interviews tended to corroborate these issues while also providing other

insights:

1. Small and micro-sized businesses, in particular, are finding it challenging to keep up with

the rapid shift in digital technologies that are becoming available to them. The tourism

industry is feeling the effects of the recession.

2. In addition to the tourism industry, experienced workers are necessary in a variety of

other organizations that provide assistance.

3. Employers and employees who are younger than 50 years old are typically more flexible

to the demanding nature of digitization than their more senior colleagues.

4. In addition, the tourism industry is often uninformed of the value and potential

applications of the data generated by digitization, much alone how this could benefit their

own trades and their local professional bionetworks.

5. One of the most challenging challenges related with digitalization is the issue of timing.

The ability to be on the internet at all times and respond immediately to a customer's

request constitutes a full-time profession in and of itself. When it comes to managing

time and being available, there are substantial obstacles.

Differences between Tourism industry with low and medium digitalization:

The tourism industry with lower levels of digitization was more likely than the rest of the

industry to mention "inadequate expertise" as a major barrier to implementing digital

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technologies. When it comes to the tourism industry, a lack of awareness of digital technology

might manifest itself customers' altering needs, or new business models challenging the industry.

SME's with varied levels of digitization should be included in policies and efforts aiming at

boosting public awareness and educating the general public.

The poll found that a lack of readily available Commercial Off-The-Shelf (COTS) goods was a

major deterrent to digitalization for SMEs with low and medium levels of digitization.

(Howlader, 2018).

A significant barrier to deploying digital technology in the serviced lodging sub-sector, according

to the tourism industry with low levels of digitization, was the lack of "sufficient competence to

discover opportunities." In the travel agent/tour operator subsector, "inadequate technical skills"

was cited as a concern by both low and medium/highly digitalized SMEs, with the

medium/highly digitalized SMEs noting that the problem was more severe. A prominent

difficulty mentioned by medium- and high-digitalized SMEs was "impacts on personnel

practices," indicating that the firm was concerned about employee training and skill

development.

Reasons for improving digitalization:

Top reasons for boosting digitalization are clear from the reasons given by tourism businesses in

Bangladesh who provide different types of tourism services. They think digitalization will help

them. Top reasons for increasing online presence and growth both show a desire results, it also

signifies a desire to participate in larger corporate ecosystems and develop supply chains in order

to generate value. Many small and medium-sized enterprises have a high degree of confidence in

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the future prospects of digitalization. (SMEs) often don't have enough knowledge or

understanding of how digitalization can help them. This statement doesn't agree with that.

Improving Optimistic
online about
presence for future
competitiveness opportunities

Addressing Improving
seasonality networks

Interview data tended to corroborate and expand on these insights, including:

The digitalization of commercial models, logics, and bionetworks opens the door to new

possibilities. By expanding the reach and accessibility of new products and experiences,

digitalization can help to strengthen DMO-DMO, DMO-SME, and SME-SME ecosystems,

among others. Digitalization has the potential to improve interactions amongst subsectors such as

transportation, lodging, tour guides, and so on. Digitalization can help to alleviate issues like as

overcrowding - digital cooperation can assist in redirecting travelers to less busy routes and

opening up previously undiscovered experiences. The use of digital technology can facilitate

collaboration by bringing the tourism industry together around a "virtual table" to discuss shared

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issues in tourism, and in the process, shifting the emphasis away from the government and onto

SMEs as leaders.

Perceived obstacles to further implementing digital technologies in Bangladesh tourism

industries:

According to the perception of the primary issue highlighted in the picture hurdles to

digitalization in tourism in Bangladesh, The most pressing problem relating to digitization in

tourism was a lack of financial resources. The fact that technology is already advanced enough to

meet our needs is a hindrance. Rather than a concrete obstacle like a lack of technology or human

resource capacity, many small and medium-sized enterprises (SMEs) are unclear about the

degree of digitization that is most desired for their companies.

High training Lack of


costs finance

Rapid pace
of technological
change

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This notion is supported by interview data, which demonstrates that though conventional habits

of responsibility things are still effective, a major barrier is determining the extent of

digitalization that would be suitable in very context exact circumstances:

1. There needs to be a balance struck between traditional methods and digital

transformation. Companies with less than 500 employees function in their own method,

and digital answers must complement and improve their operations.

2. The goal is not digitalization, but rather enhanced company performance.

3. In order to maximize value creation, technology must be developed and tailored to the

specific sub-sector, the context, and the location at hand. It cannot be the other way

around.

4. Digitalization is a positive development, but it is not the be-all and end-all.

5. Internet resources might be more challenging to use whether you're a child or an adult. At

times, it's a little much to take in all at once. As a consequence of digitization, things

should be simpler. SME pressure to digitalize or to constantly adjust to the technology

deployed rather than their own firm is a terrible thing for small and medium-sized

companies (SMEs).

At both operational and business ecosystem levels, having more knowledge about how

digitalization might assist could help organizations identify new ways to innovate and generate

money. Public administrations and professional organizations may play a large role in both the

passive awareness-raising and the active solution-building aspects of the process.

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CHAPTER 5

ANALYSIS OF DIGITALIZATION IN

THE FIELD OF TOURISM SERVICES

Questioner Survey

CHAPTER 5 ANALYSIS OF DIGITALIZATION IN THE FIELD OF TOURISM

SERVICES

Study Area:

This research is based in Dhaka, Bangladesh. This Survey will be conducted with the data of 200

people which will include tourists aged from 18-35 years old. Also, the service-providing

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organizations are selected for collecting the necessary information for accomplishing this

research’s objectives.

Timeframe:

Below is the Gannt chart given which shows the timeframe of this research work:

Activities of the project Time (weeks)

Developing the project plan November 6- November 12

Literature review November 13- November 26

Planning questionnaire and data collection November 27- December 10

method

Collecting data using primary and December 12- January 15

secondary research

Organizing the collected data January 16- January 25

Analyzing the findings January 25- February 10

Concluding and communicating the February 11- February 20

research outcome

Age:

There are 200 respondents and among them, 40% of respondents aged from 26 to 35 which is a

significant number and 18-25 has second largest 36% respondents in the data set. The responses

from 26 to 35 age group are the highest as they mostly take Tourism Services in Bangladesh with

the children, especially in holidays.

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Gender:

Of the 50 participants, 58% are the men and 42% are women. The men are therefore key

interviewees in my data.

Questioner Survey Analysis:

Forms response chart. Question title: Are digitalization Easier and helpful than traditional

sources of tourism? Number of responses: 200 responses.

In this question we see that 74.1% people are agree that the digitalization Easier and helpful than

traditional sources of tourism, we also see that 11.1% people are strongly agree in this opinion.

Forms response chart. Question title: Sharing experience in social media platforms. Number of

responses: 200 responses.

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In this question we see that 100% people are Sharing experience in social media platforms.

Forms response chart. Question title: Spending the time in digital media on getting ideas for the

next travel. Number of responses: 200 responses.

In this question we see that 70.4% people are spending the time in digital media on getting ideas

for the next travel. On the other hand 29.6% people are not spending the time in digital media on

getting ideas for the next travel.

Forms response chart. Question title: Digitalization platform to search places for travelling.

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Number of responses: 200 responses.

In this question we see that 59.3% people are using different types of Digitalization platform to

search places for travelling. On the other hand 40.7% people are sometimes using different types

of Digitalization platform to search places for travelling.

Forms response chart. Question title: Digital media platform to follow tourism pages. Number of

responses: 200 responses.

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In this question we see that 77.8% people are using Facebook for Digital media platform to

follow tourism pages. On the other hand 18.5% people are using You Tube for Digital media

platform to follow tourism pages.

Forms response chart. Question title: Seeking information from travel agencies through digital

media. Number of responses: 200 responses.

In this question we see that 55.6% people are sometimes seeking information from travel

agencies through digital media. On the other hand 33.3% people are most of the times Seeking

information from travel agencies through digital media. 11.1% people never Seeking information

from travel agencies through digital media.

Forms response chart. Question title: Learning tourist attraction and information through social

media and getting ready for tour. Number of responses: 200 responses.

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70.4% people are agree about Learning tourist attraction and information through social media

and getting ready for tour and 25.9% people are disagree about Learning tourist attraction and

information through social media and getting ready for tour.

Forms response chart. Question title: Seeking information about food, accommodation, travel,

shopping and entertainment in social media based tourism pages. Number of responses: 200

responses.

In this question we see that 74.1% people are agree about Seeking information about food,

accommodation, travel, shopping and entertainment in social media based tourism pages.. On the

other hand 18.5% people are strongly agree about this opinion. 7.4% people are neutral about

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seeking information about food, accommodation, travel, shopping and entertainment in social

media based tourism pages.

Forms response chart. Question title: Searching other tourists' review and notes in digital media

before traveling. Number of responses: 200 responses.

In this question we see that 85.2% people are agree about Searching other tourists' review and

notes in digital media before traveling. On the other hand 11.1% people are neutral about

searching other tourists' review and notes in digital media before traveling.

Forms response chart. Question title: Visiting the head office of tourism pages or groups to seek

information. Number of responses: 200 responses.

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In this question we see that 40.7% people are preferring social media platform much regarding

their review. 18.5% people are rarely visiting the head office of tourism pages or groups to seek

information and 40.7% propel both but visiting the social media first.

Forms response chart. Question title: Trust on the management of tourism pages or sites. Number

of responses: 200 responses.

81.5 % people Trust on the management of tourism pages or sites on the other hand 18.5%

people don’t believe that management of tourism pages or sites.

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CHAPTER 6

FINDINGS

50 | P a g e
CHAPTER 6 FINDINGS

In-depth Analysis:

Three tourist agencies, 'Intelligent Tourists Aid' (ITA), ‘Travel Bangladesh’, and 'Country

Tourism Bangladesh, were questioned for this study in order to analyze their promising activity

and determine whether or not they are a rising and viable platform for tourism. The activity of all

three of these organizations has been ongoing for an average of more than eight years. All

agencies rely heavily on Facebook platforms to conduct their business efficiently and

comfortably due to the widespread attachment that people have to this site. However, they also

maintain contact with LinkedIn, YouTube, and Instagram in order to disseminate all kinds of

information and travel plans to tourists on these platforms. One spokesman for Travel

Bangladesh claims that the company's Facebook groups and pages have brought together 23

thousand people of all ages and backgrounds. Intelligent Tourist Aid (ITA), on the other hand,

connects nearly 25 thousand travelers and tourism enthusiasts, while Country Tourism

Bangladesh connects 20 thousand tourists with hotels and other accommodations.

All tourist information centers interact with visitors not only through digitalization, but also by

placing a strong emphasis on documentation. They favor man-to-man marketing over social

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media marketing, says the representative of ITA, but they do a lot of promotion on their website,

she says. Virtual contracts are less important than physical contracts in the eyes of tourists, and

their contracts or trip plans reflect this. Country Tourism Bangladesh, on the other hand, are

solely concerned with documents in this regard, but Hotelswave.com is more concerned with

social media than with documents, and they collaborate with their website to promote their

offerings through the website.

Tourist agencies are reaping greater benefits from digitalization than they were from their prior

work systems, and their accomplishments are expanding at a faster rate as a result. 'Social media

is a powerful platform for promotion and marketing; it is also one of the most successful tools for

business development,' says a spokesperson from Country Tourism Bangladesh. However, we

failed to focus on and change our traditional strategy to digital sooner in the process. We are now

preparing for a transformation'. Hotelswave.com pushes for digitalization assistance, stating that

'Most people are linked to digital media at least 2-4 hours a day, thus it is possible to contact

people through digital media with little cost and labor.' (Source: Hotelswave.com) "Digitalization

is successful," says an ITA spokesperson, "but we prefer the man-to-man marketing of physical

visits for corporate deals, just as we prefer group tours and corporate tours." "We prefer group

tours and corporate tours," he adds.

If you ask a representative of ITA about the trustworthiness of individuals who use these

agencies, she provides a very good response. She says: "Yes, people trust us, which is why we

are the only firm with a rating of 5 out of 5 for more than 1500 reviews." In addition to putting

the needs of our customers first, we place a strong emphasis on security and cost-effectiveness.'

From a representative of Country Tourism Bangladesh, the same response is received: 'We use

our online payment method for the booing, and it enables the clients to believe in our business."

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All of our customers receive a confirmation text after making a reservation, which gives them

peace of mind concerning their reservation. "We are preparing to move forward with an expert

opinion at this time," says the representative of River and Green Tour in this particular instance.

Tourists' activities such as sharing photos, videos, and text on social media sites, according to

travel agencies, help them to receive positive evaluations, and this activity has a significant

impact on the businesses of travel agencies. A spokesperson from the International Tourism

Organization (ITA) agrees that, as a result of digitalization and easy access to information,

people are becoming more interested in traveling both domestically and internationally. As a

result, these tourist activities are successful, and the agencies receive great feedback from their

clients. In agreement with the International Tourism Association, a representative from Travel

Bangladesh states that travelers' promotional efforts demonstrate their confidence and

dependability in travel firms and encourage them to travel to more new areas. The opposite is

true according to Hotelswave.com, which finds that travelers' actions of posting are having an

impact on their technique of promoting their agency. They also state that "people are traveling

more as a result of viewing and getting information from these digitalization sites now."

At the conclusion of the interview, representatives from the agencies expressed optimism about

digitalization as a potential component of marketing tourism in Bangladesh. In the opinion of the

ITA delegate, although with the caveat that there are some weaknesses that need be addressed.

According to an ITA spokesperson, "digitalization may increase some of our local tourists, but in

order to attract a big number of international tourists, we must strengthen our tourist attractions

in terms of facilities, transportation, security, and cultural heritage." Travel Bangladesh

representatives are somewhat in agreement, but they also have their own arguments, such as,

"Tourism sites development because the product is different." In order to market and connect a

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place or product with its target audience, digitalization must be used. It may only raise awareness

in a specific area of interest.' A representative from Hotelswave.com emphasizes the importance

of three factors, stating that "communication, transportation, and awareness can take our tourism

to the next level."

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CHAPTER 7

DISCUSSION AND CONCLUSION

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CHAPTER 7 DISCUSSION AND CONCLUSION

Discussion:

Individuals, on the other hand, will be pushed to engage in digitalization as technology advances

and internet access becomes more widespread, regardless of their preferences. As more

individuals want to revitalize their lives, traveling has grown in popularity as a way of achieving

this objective. People are more likely to go abroad and take advantage of all the attractions as a

way to break up their increasingly boring everyday life. The vast majority of respondents

claimed to have used the internet to research vacation locations, with 92,3 percent doing so

within the last year. Additionally, 71.1 percent of survey respondents said that they spend the

most of their time on Facebook and other social media platforms.

For the foreseeable future, Bangladesh's economy is expected to remain heavily dependent on

travel and tourism. Thousands of small and medium-sized firms (SMEs) exist in Bangladesh's

tourism industry, which is projected to employ many more directly. Without a doubt, the internet

economy has had a big impact on the tourism industry in the nation. As seen by their

conservative approach to corporate strategy, tourism organizations are fearful about the impact of

digitalization. According to an investigation into small and medium-sized firms (SMEs), the

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obstacles and limitations they face and must overcome are a consequence of their own particular

business situations. It is vital to consider pricing, technological capability, and ease of access to

internet resources when establishing a product strategy. Entrepreneurs who run small and

medium-sized businesses (SMEs) are particularly adept at capitalizing on opportunities for

optimizing corporate operations and expanding into new markets; they must also leverage digital

technologies to increase their competitiveness, expand their market reach, and strengthen their

networks.

Conclusion:

However, according to the findings of this analysis, digitization presents several obstacles for the

tourist industry, especially in terms of their practical skills. The tourism industry has identified

many obstacles, including a lack of time, skills, properly trained employees, and information.

Choosing and implementing technologies has presented them with both strategic and operational

challenges. They expressed concern about the complexity of decision-making and how to

navigate the digitalization space; this was especially true given their tendency to adopt

conservative business practices. Participation in digital tourism is especially crucial in rural

regions, where the tourist industry typically faces extra obstacles due to the lack of infrastructure.

Diversity and complexity of tourism's sub-sectors, as well as differences in challenges faced by

urban, rural, and island destinations, as well as differences in challenges manifested in different

institutional systems across Europe, all present capacity-building and regulatory challenges for

the digital tourism ecosystem.

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Therefore, the discourse around digitization in tourism has so far centered only on the need of

digitizing tourist enterprises. This research was inspired by qualitative data obtained as

background for this analysis, which reminds us that tourism is just one component of a broader

ecosystem, and that a narrow emphasis on tourism might draw attention away from the larger

ecosystems to which tourism contributes and is a component. To properly understand

digitalization, it is necessary to adopt an ecosystem approach and recognize that digitalization in

other sectors may indirectly benefit tourism and might have significant spillover effects on the

tourist industry. An emphasis on digitization in tourism is equally crucial as creating and

maintaining continuing possibilities for hands-on learning, exchanging experiences, and cross-

sectorial innovation in the tourist industry.

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REFERENCES

1) Camillo, A. (2015). Handbook of Research on Global Welcome and Tourism

Management. United States: Business Discipline Reference.

2) Kamal, S. (2017). Social media practice and impact: a study on Bangladesh Travel

Industry. Case Studies Journal, 6, p. 1-11.

3) Karim, Z. (2018). The Influence of social media on tourism industry growth in

Bangladesh. International Journal of Economics, Commerce and Organization, 6 (8),

463-482.

4) Rathonyi, G. (n.d.). Effect of social media on tourism –especially among scholars of the

University of Debrecen. p. 1-8.

5) Roopa, S., & Rani, M. S. (2012). Questionnaire Scheming for a Survey. The Journal of

Indian Orthodontic Civilization, 46(4), p. 273-277.

6) Md. Ziaul Haque Howlader, September 18, 2018, Digital skill powers tourism industry

https://thefinancialexpress.com.bd/views/digital-technology-powers-tourism-industry-153

7) Azizul Hassan, 2021, Technology Application in the Tourism and Hospitality Industry

of

Bangladesh, Page 5 https://link.springer.com/content/pdf/bfm%3A978-981-16-

24346%2F1.pdf

8) Dianne Dredge, Giang Phi, Renuka Mahadevan, Eóin Meehan & Elena Silvia Popescu;

2018; Digitalisation in Tourism: Thorough analysis of contests and opportunities; Page 3,6

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APPENDIX

Survey Questionnaire:

Dear, I am the student of the Department of Tourism and Hospitality Management of University

of Dhaka. I am conducting a survey titled “Analyzing the Impact of Digitalization in the Field of

Tourism Services in Bangladesh”. Hope you will cooperate with me by giving me some authentic

information.

Are Digitalization Easier and helpful than traditional sources of tourism?

1) Agree

2) Strongly disagree

3) Disagree

4) Neutral

5) Strongly agree

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Sharing experience in social media platforms

1) Share

2) Don't Share

Spending the time in digital media on getting ideas for the next travel

1) Always

2) Sometimes

3) No

Digitalization platform to search places for travelling

1) Most of the times

2) Sometimes

3) Never

Digital media platform to follow tourism pages

1) Facebook

2) You Tube

3) Instagram

4) Twitter

5) Others

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Seeking information from travel agencies through digital media

1) Most of the time

2) Sometimes

3) Never occurs

Learning tourist attraction and information through social media and getting ready for tour

1) Agree

2) Disagree

3) Neutral

Seeking information about food, accommodation, travel, shopping and entertainment in

social media based tourism pages

1) Agree

2) Strongly agree

3) Disagree

4) Strongly disagree

5) Neutral

Searching other tourists' review and notes in digital media before traveling

1) Agree

2) Disagree

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3) Neutral

Visiting the head office of tourism pages or groups to seek information

1) Preferring social media platform much regarding their review

2) Rarely

3) Both but visiting the social media first

Trust on the management of tourism pages or sites

1) Yes

2) No

Study Area:

This research is based in Dhaka, Bangladesh.

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