Supplementary Services as a Differentiation Strategy

Abstract

Although some studies have been done on supplementary services in the service industry, very little has been explicitly done in the travel and tourism industry. This paper focuses on adding value to core services in the travel and tourism industry, which Lovelock (1996) referred to as “supplementary services.” Supplementary services can be used as differentiation points in a highly competitive industry such as tourism. Some researchers have developed models in an effort to demonstrate how supplementary services can enhance the core services. Shostack (1977) and Lovelock (1996) have developed models specifically designed for the service industry. This research is based on Lovelock's (1996) “Flower of Service” model, focussing on the “Hospitality: Taking Care of the Customer” cluster. This paper contends that supplementary services add value to core services, which gives firms competitive advantage over their competition. In the dynamic and challenging environment of the travel and tourism industry, operators need to differentiate themselves in order to be successful and continue to offer superior performance. One of the strategies to differentiate from the competition is to enhance the core services with supplementary services. A major Midwestern City was selected to test Lovelock's model. Two conventions held in mid-February were chosen for this study. Attendees of the first convention were provided specially trained greeters at selected key locations. The second convention that was held the following week did not have any greeters. Attendees of both the conventions were asked to complete a one page pre-tested questionnaire. They were to rate the host-city on several criteria including overall satisfaction, meeting their expectations, and satisfaction with the hospitality and non-hospitality services. Obtained findings suggest that attendees who were exposed to greeters rated the host-city more favorably in overall impression, and quality of hospitality services, and non-hospitality services, while the convention attendees that were not exposed rated the host-city less favorably. Based on the results from this study, firms in the travel and tourism industry, especially the convention centers, may want to consider providing their customers with supplementary services such as greeters as a differentiation strategy.     

Staying Afloat in the Tropics

SUMMARY

This study examines the extent to which the top ten Caribbean destinations market their tourism product using their national tourism organization Websites. A comparison of the national tourism organization Websites of the Caribbean Tourism Organization member countries will be conducted to determine the differences in technical aspects, user friendliness, site attractiveness, and marketing effectiveness using the modified Balanced Scorecard (BSC) for Website evaluation. The modified BSC results were next used to develop and test a model of Caribbean NTO Website visitor retention. Third-order confirmatory factor analysis (CFA) was used to test the model. The model showed that the four aspects which comprise the modified BSC are important in the development of Caribbean NTO Websites.     

Website Evaluation in Tourism and Hospitality

SUMMARY

Millions of dollars have been invested in Website development, often without much thought of how to evaluate the effectiveness of sites. This paper reports on the past, present, and likely future of one of the recommended approaches for evaluating tourism and hospitality Websites, the modified Balanced Scorecard approach. It traces the use of the approach from its beginning in 1999 to the present time. A thorough review of other approaches to Website evaluation is also provided. The article suggests that Website evaluation approaches can be classified into four groups based upon why and when the evaluation is done (formative vs. summative evaluation) and whether efficiency or effectiveness is being measured. It concludes with a call to action for industry leaders, academics, and consultants to develop a unified procedure for Website evaluation in tourism and hospitality.     

Entrepreneurial Characteristics,Motives, and Business Challenges: Exploratory Study of Small- and Medium-Sized Hotel Businesses

ABSTRACT

The purpose of this study is to gather information about the determinants and characteristics of the owners/managers of small- and medium-sized hotels (SMSHs) and identify various issues in starting up and operating businesses in the United Arab Emirates. The results of this study reveal that the majority of the owners/managers of SMSHs in the United Arab Emirates are male, young and middle age, and relatively new to the tourism industry. The motivations for the business ventures of the entrepreneurs include wanting to be financially independent, become one’s own boss, involvement in family business and the opportunities of the hotel business. Among the key business challenges highlighted by the owners/managers of SMSHs are stiff competition in the hotel industry, increased operating costs, reduced demand, and lack of skilled employees. Several key strategies have been employed to face these challenges. These include offering competitive pricing, improving the marketing and channels of promotion, enhancing the quality of service and providing superior customer service.     

Crisis Management—

SUMMARY

This paper reviews the crisis preparedness of the Greek passenger shipping industry after two widely publicized crises events (Superfast III and Express Samina). As far as Greece is concerned, the travel and tourism industry is one of the most significant contributors to the country's GDP at a rate of more than 10% and the country's passenger shipping industry contributes fundamentally to this figure. Overall findings suggest that both the State as well as the passenger shipping companies encompass crisis management tools and mechanisms to protect the industry, and the whole Greek tourism sector. This paper also identifies the 'ripple effect,' the wider implications a crisis can have on the business environment. Therefore the Faulkner (2001a,b) model for tourism disaster management framework is adapted to accommodate permanent changes enforced on the whole industry as an outcome of a crisis situation.     

Critical Success Factors for Business Tourism Destinations

Abstract

Business tourism is a highly lucrative but competitive sector of the tourism industry which has led many destinations to implement strategies and invest in infrastructure and human resource developments. National and regional capital city status gives additional kudos to a destination. This paper presents critical success factors for business tourism destinations developed from four case studies of successful UK business tourism destinations through stakeholder interviews and explores how Cardiff should exploit its national capital city status to support its business tourism offer. The critical success factors for business tourism destinations include: leadership; networking; branding; skills; ambassadors; infrastructure; and bidding. These will inform an action plan to develop and shape Cardiff's business tourism offer and position Cardiff amongst the UK and Europe's major business tourism destinations.     

Sustainability-oriented Service Innovation: fourteen-year longitudinal case study of a tourist accommodation provider

Abstract

Progressing sustainable tourism requires both an innovative transition from “unsustainable” tourism and innovative research methods to develop theory and concepts for a sustainable tourism. While there are many ad hoc examples of initiatives, there are very few examples of firms systematically recording their medium-term evolutionary progress. This case study of an accommodation provider uses longitudinal data over 14 years, deductive and inductive methods, and comparison with other similar eco-friendly providers, to provide the first exploration of sustainability-oriented innovation by a firm attempting to make transitions. Findings show how important hindsight and insight are for continuous learning, and how broader community sustainability issues influence the owners’ worldviews. Both learning and changing views are required to support innovation. A Sustainability-oriented Service Innovation model is recommended, recognising the characteristics of a service industry where innovation can be an organic process led by humans for humans and consequently more fuzzy in its progress than the clearly defined steps that are suggested by previous research. This model seeks to assist researchers and practitioners to better measure innovative progress of service firms, and develop more relevant strategies to ease transitions towards sustainable business practices.     

The role of relationship quality in integrated destination marketing

ABSTRACT

This study illustrates the role of the relationship quality perceived by the international public, which is increasingly discussed in public diplomacy research. It leads to the implications for integrated destination marketing of a host country in targeting the international public, where the host country is considered both as a tourism destination and as a place for business and investment. The study proposes a model illustrating the intervention of relationship quality in the way tourism destination image and country image are associated with tourism and business behavioral intentions. Empirical testing shows that image itself cannot assure that the international public would support the host country. Instead, it establishes the critical role of enhancing relationship quality.     

Relevance and Quality in Australian Tourism Higher Education

Abstract

Partnerships between educators and industry professionals can facilitate students' tourism career opportunities. Considering this, a mail-out questionnaire was undertaken to assess the attitudes and perceptions of tourism educators (n = 56) and tourism professionals (n = 100) on tourism education issues. Results indicated that one-quarter of professionals believe university tourism majors provide graduates with a competitive advantage and both groups consider tourism/hospitality, marketing and management as important business majors. Competencies in logical thinking, social interaction, tourism knowledge and concepts, and generic skills are also considered important by both groups with specific workplace competencies and professional experience considered relatively less important by educators (p < .05). In conclusion, communication networks jointly facilitatedby academicsand industry are recommended.     

Services Research in Destination Marketing

Abstract

This paper examines the past performance of, and future prospects for, services marketing research into tourism destination marketing and management. While service delivery by individual enterprises is important, the fundamental products of the industry are destination experiences that incorporate commercial tourism services as well as non-commercial activities and interactions. For this reason, the paper focuses on tourism destinations rather than the individual enterprises that deliver services to tourists at destinations. The paper identifies areas that have attracted a concentration of research effort to date. The principal objective of the paper, however, is to identify services research issues deserving greater attention by service researchers in general and tourism researchers in particular.     

Bleisure: motivations and typologies

ABSTRACT

The theme of motivation in travel and tourism research has been largely dominated by a leisure focus and has consequently failed to reflect the changing landscape of business travel. This paper focuses on exploring the motivations of different types of “bleisure travelers”: individuals who combine leisure with professional business obligations when abroad. We employ a multi-disciplinary mixed-methods approach, using photo-elicitation to identify and describe five types of bleisure. As existing theories of tourist motivations have mainly been developed in a leisure context, they fail to fully capture the nuanced scope and subtle context of business and leisure motives. We therefore draw upon experiential learning, boundary-less career theory, expectancy theory, and social capital theory in order to put forward contemporary insights on the nexus between business and leisure tourism.     

Challenges in Mobile Business Solutions for Tourist Destinations—The Trial Case of St. Moritz

SUMMARY

Mobile business applications in tourism have been developed in the last years for various platforms and services. However, most of the applications have been tested in lab-like conditions. The article describes the trial case of St. Moritz, Switzerland. With the help of the Destination-Pilot acceptability, usability, and market potential for mobile information services have been tested in a real environment situation. The trial involves numerous visitors and tourist enterprises. The paper presents opportunities and limitations to so called mobile travel recommender systems. Strong emphasis is put on the methodical and technical challenges in the set up trial phase as well as on potential business models for exploitation.     

Restaurants’ social enterprise business model: Three case studies

ABSTRACT

This research explores the application of the Social Enterprise business model within the context of the hospitality industry. In order to achieve this goal, a qualitative primary research was conducted through three case studies. The research suggests that hospitality social enterprises encounter many unique challenges as a result of social mission implications. The research provides a foundation for industry and academic recommendations. Most importantly, detailed recommendations such as strategic planning, strict budgeting, and mission/profit balance are derived for hospitality social enterprise managers to improve efficiency and counteract industry-specific challenges.     

A Factor Analysis of Internal Service Constructs in the Lodging Industry

Abstract

Parasuraman, Zeithaml and Berry's Extended Model of Service Quality has received a great deal of attention in various disciplines. Nearly all the work on this model has addressed either the dimensionality of the consumer service perceptions or the way in which the model measures quality. Only one work has been identified that addressed the internal components of their model. It is critical that organizations understand the internal factors that affect the delivery of a high quality service experience. This research subjects the internal constructs identified by Parasuraman, Zeithaml, and Berry to a factor analysis study in the lodging industry. This research found that the management factors did not function as proposed. New factors are identified based on exploratory factor analysis and a comparison of the two models is presented.     

Past,Present, and Future of Tourism Education

SUMMARY

Tourism education in Korea, mandated by the Higher Education Act, has evolved rapidly in response to the tourism industry's growth and labor demands for the last four decades. As tourism education has matured and become increasingly recognized as a legitimate academic field of study, the Korean tourism education has attempted to generate future quality workforce and to establish the status of tourism as a prominent research oriented discipline. The purpose of this paper is to present an overview of the Korean tourism industry and tourism education over the past four decades and to suggest future directions for Korean education in the 21st century. By improving current curricula according to today's fast changing tourism business environment and cooperating with the tourism industry with the aid of the government on policies and regulations, Korean tourism education will continue to contribute to the Korean tourism industry as a legitimate partner.     

Natural soundscapes and tourist loyalty to nature-based tourism destinations: the mediating effect of tourist satisfaction

ABSTRACT

The purpose of this study is to explore the effect of natural soundscapes on tourist behaviors in a nature-based tourism destination. A behavioral model depicting the relationship among tourist attitudes to natural soundscapes, natural soundscape image, tourist satisfaction, and loyalty is examined using structural equation model and bootstrapping analysis. Results indicate that tourist attitudes directly affect natural soundscape image but do not affect tourist satisfaction and loyalty. The natural soundscape image directly affects tourist satisfaction and indirectly affects tourist loyalty when mediated by tourist satisfaction. Positioning natural soundscapes as a novel tourism attractor, theoretical and managerial implications are presented.     

The Family Farm Business? Insights into Family,Business and Ownership Dimensions of Open‐Farms

Abstract

Research into tourism and hospitality businesses, because of its breadth of scope, has been unable to provide specific insights into visitor attraction businesses. On the contrary, visitor attraction research, while defining ownership as an important variable, has yet to explore the motivations or characteristics of small business owners. Gersick et al.’s (1997 Gersick, K., Davis, J., Hampton, M. and Lansberg, I. 1997. Generation to Generation: Life Cycles of Family Business, Boston: Harvard Business School Press.  [Google Scholar]) family business development model, devised around the three axes of family, business and ownership, was used to examine the population of open‐farm businesses in Northern Ireland. Following a general survey of 12 farm attractions, detailed interviews were conducted with owners of seven open‐farm attractions. The findings indicated that there was a wide degree of variation in terms of the scale and success of open‐farms. In terms of the family and business axes they shared many similarities with other small family tourism businesses such as rural location, the provision of a multi‐product experience and a strong emphasis on lifestyle needs. However, the involvement of children from an early age is unique to the family dimension and integral to the finding that lifestyle issues took precedence over business growth. The model also emphasised a generational progression in terms of ownership control that was not as relevant to these businesses where succession is generally not a consideration. Open‐farms operate on a pragmatic basis and in addition to family needs, various factors such as insurance, increasing costs, the need to re‐invest and update the product are currently affecting their competitiveness in the marketplace. A revised model of family business development is proposed reflecting these differences.     

The Role of Service Quality in Influencing Brand Attachments at Winery Visitor Centers

ABSTRACT

This study was conducted to investigate the relationships between brand attachment and selected service quality variables in winery visitor centers. Brand Attachment was hypothesized to be a function of Customer Service, Visitor Education, Brand Differentiation, Appearance and Purchase Assistance. Data for the empirical study came from a mystery shopper program and the sample had 144 evaluations from 26 different wineries. Scales to measure the constructs were tested for reliability, and correlation and regression analysis on factor loadings were used to test the relationships between variables. All of the 5 factors correlate highly with Brand Attachment, with the most important factors appearing to be Visitor Education, Brand Differentiation and Customer Service.