Chapter 7 Questions
Chapter 7 Questions
Chapter 7 Questions
19 March 2020
Professor Whitley
Chapter 7 Questions
1. As a producer of travel products, why not just sell your services directly to the consumer?
You can obtain a greater reach of customers by utilizing intermediaries, thus it is worth it to pay
them commission.
2. Why has the Internet become the most important tourism distribution channel?
The Internet has become the most important tourism distribution channel as there has been
advances in technology, growth in e-commerce, social media, and smart phones. Therefore, it
allows for distributors to reach more customers. The Internet can be a way to bypass product
and service intermediaries and deal directly with customers. It also offers low cost ways to
3. Give some examples of marketing aids that a supplier might provide to a travel agency.
A supplier could provide a travel agency with brochures, photo books, discounts, package
bundles, etc.
4. Some counselors are not really good salespersons. As manager of your agency, what skill-
I would have my counselors watch webinars and attend trainings. I would give them annual
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5. You are marketing director for a cruise line operating truly luxurious ships. It has a superb
service and cuisine. How would you proceed to identify the most promising distributors?
I would identify distributors who upheld the same ideologies and standards. I would look for
Receptive service operators handle inbound package tour business. They advise international
tour operators in choosing itineraries and travel experience and then assist in organizing the
7. As the president of a newly formed tour company, you must now decide if your tours are to
be marketed through retail travel agencies or whether you should try to sell them directly to the
consumer. Identify the advantages and disadvantages of each alternative. Would it be wise to
do both? Discuss.
As the president of a newly formed tour company, I would market them through retail travel
agencies so I have a greater reach. Advantages of selling directly include the elimination of
travel agency fees, build relationships with new customers, and receive feedback on the client’s
experience. Disadvantages of selling directly include difficulty reaching new customers and the
cost of time on customer interactions. Advantages to using a travel agent include increased
visibility, expert recommendations, more resources, and support for the customer.
Disadvantages of using a travel agent include the service fees, may still need to further invest in
8. Why should an independently owned and operated travel agency become affiliated with one
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Independently owned and operated travel agencies should become affiliated with consortia,
cooperatives, or franchise groups, because they have large clients. These organizations increase
Travel agents will be declining in the future to the simplicity and accessibility of booking trips
online individually. They will probably still be used for group, corporate, and luxury/celebrity
travel.
Travel aggregators search for deals and prices across multiple websites and show you the results
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