___________________________

Principles, Practices, Philosophies

TOURISM

TWELFTH EDITION

Charles R. GoeldnerJ. R. Brent Ritchie

© 2012 John Wiley and Sons, Inc.All Rights Reserved

© 2012 John Wiley and Sons, Inc.All Rights Reserved

CHAPTER

© 2012 John Wiley and Sons, Inc.All Rights Reserved

Organizations in the

Distribution Process

7

© 2012 John Wiley and Sons, Inc.All Rights Reserved

LEARNING OBJECTIVES

• Become familiar with tourism distribution systems organizations and their functions.

• Understand travel agents and their role in the distribution system.

• Consider the impact of the Internet on the distribution system.

• Examine the role of the tour wholesaler.• Recognize that travel suppliers can use a

combination of channels of distribution.

© 2012 John Wiley and Sons, Inc.All Rights Reserved

OPERATING SECTORS OF THE TOURISM INDUSTRY

© 2012 John Wiley and Sons, Inc.All Rights Reserved

SuppliersTransportation Providers Accommodations Food Service Resorts

Recreation, Entertainment, etc.

SuppliersTransportation Providers Accommodations Food Service Resorts

Recreation, Entertainment, etc.

CustomersIndividuals Pleasure Groups Business Groups, Etc.

CustomersIndividuals Pleasure Groups Business Groups, Etc.

TourWholesaler

SpecialtyChanneler

Retail TravelAgent

SpecialtyChanneler

SpecialtyChanneler

SpecialtyChanneler

TourWholesaler

TourWholesaler

TourWholesaler

Retail TravelAgent

Retail TravelAgent

Retail TravelAgent

DirectChannel

viaInternet

TelephoneSuppliers

Office

Host RetailTravel Agent

Home-basedTravel Agent

TOURISM DISTRIBUTION CHANNELS

© 2012 John Wiley and Sons, Inc.All Rights Reserved

TOP TEN TRAVEL AGENCIES

2009 Sales

© 2012 John Wiley and Sons, Inc.All Rights Reserved

UNITED STATES TOUR OPERATORS ASSOCIATION FACT SHEET

© 2012 John Wiley and Sons, Inc.All Rights Reserved

TRADE FAIRS AND SHOWS

Special entities in promotion /distribution of travel are fairs, exchanges, shows, exhibitions, and markets. The entities bring buyers and sellers together at venues where billions of dollars of business is transacted.ITB BERLIN•The biggest of these entities is ITB Berlin, which takes place in March every year. ITB is, without doubt, the largest travel trade show in the world. •Visit ITB’s Web site at www.fair.itb-berlin.de.

WORLD TRAVEL MARKET•The World Travel Market (WTM) held annually in London each November is the world’s second largest travel trade show. •Visit its Web site at www.wtmlondon.com.

POW WOW•In the United States, the major trade show is USTA’s International Pow Wow.•See www.ustravel.org/events/international-pow-wow