Chapter 1Tourist Transport and Tourism

Name RollKhadiza Noor 55Aaqib Md. Shatil 87Cynthia Islam 101Zakia Shabnam Maria 27Poly Talukder 47

Group “Liberty”

Framework

Tourism is multi disciplinary area of study and there are different components. Leiper (1990) identified the following elements of tourism system: tourist, traveler generating region, tourism destination region, transit routes, travel & tourism industry.

Volume of travel is known as "connecting the tourist generating & destination region by transport.

Tourist transport system is a frame work that embodies the entire tourist experience of travelling on particular form of transport. The analytical value of such an approach is that it enables one to understand the over all process of tourist travel from both supplier's & purchaser's perspective while identifying the organizations which influences & regulate tourist demand.

Framework

One objective is to overcome the existing perception of tourist transport as a passive element. Rather emphasize transport is a 'service' which is increasingly judged by consumers, providers in relation to the quality, standard & level of satisfaction in engenders.

Three social Sciences that has made direct contribution to tourism transport are:

1. Economy 2. Geography3. Marketing

Framework

The Economics & Tourist Transport Economics approach the analysis of tourist transport based on two

distinct areas of research1. Transport economics2. Tourism economics

Economics is the study of methods of allocating scarce resources and distributing the product of these resources.

Resources1. Natural2. Labour3. Capital

Collectively these resources constitute the factors of production which are to produce commodities

1. Goods2. Services

The total output of all commodities in a country over a period of time is known as national product

The way commodities are divided among people has been examined by economists in terms of the distribution of income and degree of equality and efficiency in their distribution.

Economist deal with economic activities in two ways1. Micro economics 2. Macro economics

The Economics & Tourist Transport

Micro economics is concerned withFirm ConsumersProduction and sellingDemand for goodsSupply of goods

Macro economics is concerned withHow national income

operatesEmployment,

unemployment Inflation GDP and Consumption

The Economics & Tourist Transport

Continued… Tourist transport systems is based on the analysis of two

important economic elements1. Demand 2. Supply

Transport economists examined the demand for different moods of travel and competition between such moods in relation to price, speed, convenience and reliability. The demand for tourist transport is also characterized by:

1. Instantaneous and unpredictable in nature2. Variability in demand3. Non-price items

Continued…Income has an important effect on tourism demand. Economists measure the impact using a term known as the “Elasticity of demand’’ Elasticity of Demand = % change in tourism demand/% change in disposable income

Demand for luxury items such as tourism and pleasure travel is variable or elastic

To assess the impact of price on the demand for tourism, economists examined the price elasticity of demand

Continued…• An inverse relation between price and

demand exists in price elasticity of demand • Price elasticity of demand = Elasticity of

demand/% change in tourism product• Contributory factors which is influence the

demand for tourism include the impact of tourist taxation, the amount of holiday available to the tourist, culture preference, weather etc

• Pre-industrial Travel Systems • Early Industrial Era Travel System• Mature Railway System• Express Travel System• Automobile Based Travel System• Modern Tourist Travel System

Mode of Transport

The development of transport and tourism has taken place in six groups

• Railways• Water Transport• Road Transport• Air Transport

Mode of Transport

The Railways

Eurail16 countries100000 miles linkageDeveloped Hub City

Brit Rail14000+ trains a day2000 stationsPopularized Brit Rail Pass

Water Transport

In the context of tourism, water transport serves two main

purposes.

• Cruising • Ferrying

Water Transport

Cruising• Cruising increased the sea travel demand• Evolved into predominantly floating resort• There are 70+ luxury cruise lines• Estimated number of ships is over 180• 25 cruising areas are known

Water Transport

Ferrying• Motor tourists prefer ferry service• Popular at sea crossings like English Channel• Ferries in Britain have 100+ sailings a day

Road Transport

• Almost 90% trips is taken by car in US, Canada• Developed a new type accommodation facility in North America• Increased demand for recreational vehicles• In 1980, USA had 14000 parks or commercial camp grounds

Road transport has become increasingly popular in this

industrialized world.

Road Transport

• Rental car has become popular in USA, Europe• Buses and motor coaches demand declined• Buses usually attract lower income groups• Good roads, road side services are pre-requisite for domestic and international tourism • Motor tourist spends more than non-motoring

Road transport has become increasingly popular in this

industrialized world.

Air Transport The great advantage of air transport is speed It gives two types of service-

1)Domestic Service2)International Service

The service they provides are-1)First class2Business class3)Economy class

World tourism is dependent on it

Air Fare

The principle sectors on which tourist traffic has developed are

a) Long distance Trans North Atlantic Europe –Asia/Australia Europe – Africa Europe – Latin America/ Caribbeanb) Medium distance – Europe - Mediterranean basin

Price plays a vital role for tourist travel but not that much for business travel

These two categories correspond to different markets and there basic characteristics are briefly as follows:a) Fare for transport alone

i) Scheduled flights :1. lowest individual public fare is excursion fare2. Some issues are considered for promotional

fare :-validity limited to certain period of time-reservation and payment several weeks in

advance-stop-over prohibited or limited in numberonly partial refund in case of cancellation

ii) Charter Flights :1) If the frequency of operation is very high2) tourist population of a generating country is very

well acquainted

Air Fare

b) Tourist product on ITX and ITC:1) tourists purchase full services before departure with air ticket 2)Service depends on

i) accommodation ranging from Deluxe to ordinary category ii) the length of stay and recreational activities.

3)The cost of air transport depends on the i) distance ii) the fares applied on the route

iii) the type of serviceiv) scheduled or charterv) the demand

vi)carrier4)The method of marketing influences the price on the basis of

the i)size and the structure of the marketii) the formula offerediii)the quality of the productiv) the sales method.

Air Fare

5)The share of the air transport in the cost of an IT can rise from 25% - 30 % to 50% - 55% depending on

i) whether the travel is medium or long distance.

ii) in winter or summer periodiii) whether the hotels are deluxe or mediumiv) whether the accommodation is with full

board or half board6) The share of the transport cost in the total price

is lower for a stay of several weeks than for a limited stay

Air Fare

Air Fare

IT on scheduled flight (ITX)

Run all year usually set times from a limited number of airline

It's 'frequency' is registered with various ATC's etc. and it always departs on that schedule, irrespective of how many passengers it has aboard

Only air fare and ground service cost are needed to fly. So the fare is not high.

IT on Charter flight (ITC)

are those used by tour operators during the holiday season they may be owned by the TO or seats purchased from an external source

it's 'frequency' is also initially registered but it can be changed, canceled or consolidated at a few hours notice dependent on it's load factor and the operator's ability to fly it profitably

One nights accommodation must be included in the price. So the fare is higher than scheduled flight

Tourism Development and Air Transport

Essentially interdependent sector Three patterns reflect their needs of air transport

1) Resort tourism2) Holiday tourism3) Itinerant Tourism Descriptions are given below: 1) Resort Tourism:

a) Traveler visits only the destination at which he is going to stay without making any further major trips until he returns to his point of origin

b) exploitation of single tourism resourcec) this tourism occurs for reasons other than

recreations.d) Demand of volume is high but price is low

Tourism Development and Air transport

e) Its development depends on two factors:i) a rise in the living standards of the population of Europe and North America is the source of the traffic.ii) the development of a commercial aviation system capable of carrying a heavy volume of traffic at low price.f) charter flights are playing the most important role of this tourism2) Holiday tourism:a) travel to different areasb) tourist product may be homogenous or very contrasting products.c) popular in Europe, Latin America and Asia.d) travelling most distant destination of the same region having an above minimum hotel infrastructure at all points in the route.e) based on Air maritime or ground transport.

Tourism Development and Air transport

3) Itinerant Tourism:a) For selective clientele with medium or high incomeb) may be resort tourism with high quality service c) involve several means of transportd) less clear cut geographical distribution than other twoe) associated with charter flights but most frequently it uses scheduled service as means of transportf) it may be backed up by third level aircraft or helicopters.g) lack of flexibility to variations in the price of ticket.

There is a fourth type o model a) not for leisure purpose b) involves a stay lasting more than 24 hours.c) travel for business reasond) different and heterogeneousd) lack of adaptation in variation of fares.

Tourism Development and Air transport

To meet the requirements of this model of tourism which includes travel and accommodation of large number of traveler air transport must have following characteristics :

A) a low price of transport, since the price of the tourist product as a whole must be reasonableB) utilization of large capacity transport with a view to minimizing large operating cost, obtaining high load factors and avoiding the risk of permanent excess of offer.C) large capacity airport installation permitting heavy movement of aircraft, passengers and baggage at peak periods while avoiding long delays. D) scheduled delays of high frequency or supplemented by an appropriate system of non-scheduled flights.

Future Role of Civil Aviation in Tourism Development

According to WTO, the Civil Aviation sector is not capable of providing services called for by tourism.

There exists an unfavorable fare situation vis-à-vis regions

A fare policy really based on lower possible operating cost has to be established

Higher operating cost causes unfavorable fare condition

Air Transport sector must be regarded as a public service

Private sector must be assisted

International Agencies A large number of international agencies influence the growth of

tourism, two main organizations are-a) International Civil Aviation Organization (ICAO) &b) International Air transport Association (IATA)

ICAO -After 1st world war, international civil aviation began to grow quickly. - In 1919, International Commission for air navigation was set up to oversee matters connected with ICAO. -ICAO standardized statistics on air traffic. - 2nd world war made the use of air transport more rapid. In 1944, US and it's 55 allies met for meeting in November in Chicago as they were anxious about the principle of complete freedom of air and its outcome was the convention on International Civil Aviation. – Chicago convention adopted 96 articles and established the privileges and restrictions of all contracting states.

ICAO ( AIM AND OBJECTIVES)

ICAO is governed by a council,

ICAO has an assembly which is the sovereign body

most of the work of the assembly is divided between an executive committee

Council is elected by assembly for three years

council elects the president of the organization

ICAO works in a close collaboration with U.N, WMO, ITAA

ICAO (activities) provides better facilities for air transport,

especially better navigation and landing facilities.

Facilitation measures to reduce paper work at airports or air crafts.

Development of universal law; studies of the impact of civil aviation on environment

Helps to train technicians and administrators to run their air service.

publishes wide variety of technical, economic and legal publications.

International Air Transport Association

IATA is an association run by airlines. IATA exists to serve the needs of the

airlines and consumers. The chief importance of the IATA is

that it is the body which discusses and recommends, through separate conferences for each area, the fares to be charged on all the international routes.

Aims and objects of IATA: To provide safe, regular and economical air

transport for the benefit of the people of the world to foster air commerce and to study the problems connected therewith.

to provide means of collaboration among the air transport enterprises engaged directly or indirectly in international air transport service.

to cooperate with the international civil organization and other international organizations.