Tourism Marketing Channels

Marketing channel members provide information,Corporate Travel Managers: Big corporations have
promotion, selling, financing and risk taking. Intermediatesin-house travel departments. They reduce business
increase the geographical and market coverage ofcost and increase purchasing power by bulk buying.
tour operators. Here is a bit of information variousWith the advent of CRS-Computer Reservation
types of intermediaries in tourism industry.System and Interactive Computer Software, corporate
Tour Wholesalers: They plan and market tourtravel department has become more popular concept.
packages. Services they provide are combination ofIncentive Travel Planner: Travel operators offer
the services of various service providers such asconcessions to potential travelers to have their tour
carriers, hotels, catering, guides, and transportation.confirmed. Special agents called Incentive Travel
Tour Operators: They offer tour packages preparedPlanners take care of these type of travelers.
by wholesellers. Planning of a tour package beginsConsortium: Organisations make consortiums to offer
more than a year before the start of a tour. Thoroughservices. For instance Phuket in Thailand has an
market research is done before finalising a package.organisation with several hotels as members. Booking
They hold negotiations with service providers.can be done in any of these hotels.
Promotion and distribution strategy is also finalised.Franchising: This is a hybrid form of entrepreneurship.
Travel Agents: Travel industry all over the world isAn established brand grants an individual or a firm the
dominated by travel agents. They make for 95% ofright to conduct business operations using its name.
international tour packages and 80% of internationalThe rights holder is required to follow a set pattern of
hotel bookings. There income comes from theoperation over a period of time. The arrangement is
commissions they receive from airlines and hotels.good for both the sides. The franchisee gets
Travel agents are implants and independents. Implantestablished brands to sell and assistance in
agents have their office in the premises of corporatemanagement. Franchisers receive royalty on the gross
clients. Independent travel agents have offices in thesales.
market and operate independently.