Tourism Components and Supply (Komponen Suplai Pariwisata) Week 9 Matakuliah : V0162 - Pengantar Industri Hospitality dan Pariwisata Tahun : 2008 Tourism Components and Supply (Komponen Suplai Pariwisata) Week 9

Subject Supply component (Kategorisasi suplai pariwisata ) Matching supply with demand (Menyesuaikan suplai dengan permintaan) - Peaks and Valleys (Musim Sibuk dan Musim Sepi) Bina Nusantara HO@0808

Tourism Components and Supply Week 9 Objectives: On completion of this lesson, the students will be able to: Explain the major supply components that any tourist area must possess Define the newer forms of accommodations and activities preferred by tourists Use the mathematical formula to calculate the number of guest rooms needed for the estimated future demand. Bina Nusantara HO@0808

Tourism Supply Components Spirit of Hospitality & Cultural Resources Natural Resources and Environment Built Environment Operating Sectors Bina Nusantara HO@0808

Natural Resources and Environment Week 9 Basic elements in this category include air and climate, physiography of the region, landforms, terrain, flora, fauna, bodies of water, beaches, natural beauty and water supply for drinking, sanitation and similar use. Bina Nusantara HO@0808

Built Environment Week 9 Infrastructure All underground and surface developmental construction such as water supply systems, sewage disposal systems, gas lines, electrical lines, drainage systems, roads, communication networks and many commercial facilities. Superstructure Facilities constructed primarily to support visitation and visitor activities. E.g. airports, railroads, roads, parking lots, parks, marinas, bus and train station facilities, resorts, hotels, motels, restaurants, shopping centers, places of entertainment, museum, stores and similar structures. Bina Nusantara HO@0808

Operating Sectors Week 9 Transportation sector  this is a critical component because nothing happens until someone leaves home Accommodation sector The accommodation sector such as hotels must provide the physical facilities, price ranges, locations and services that meet the expectations, wants and need of the travelers Food service sector Attractions Bina Nusantara HO@0808

Spirit of Hospitality and Cultural Resources Week 9 Culture as the social foundation of the destination which consists of the language, customs, religions of the residents of the region, as well as their work and leisure-related behaviors E.g. Welcoming spirit aloha in Hawaii: attitude of the residents toward visitors are courtesy, friendly, sincere interest and willingness to serve The cultural resources of any area include fine arts, literature, history, music, dramatic art, dancing, shopping, sports and other activities. Bina Nusantara HO@0808

Activities Tourists Enjoy Most: A Survey on What European-Bound Travelers Plan to Do Week 9 Dining at restaurant 86.2% Shopping 76.9% Visiting a historical sites 67.5% Visiting a small town 53.6% Sight-seeing in a city 51.8% Touring the countryside 47.0% Visiting an art gallery/ museum 40.1% Bina Nusantara HO@0808

Activities Tourists Enjoy Most: A Survey on What European-Bound Travelers Plan to Do Week 9 Visiting a cultural heritage site 38.3% Visiting a nightclub/ dancing 21.4% Taking a guided tour 21.0% Attending a concert/ play 20.2% Visiting an ethnic heritage site 13.3% Participating in water sports/ sunbathing 10.7% Visiting an amusement park 8.1% Bina Nusantara HO@0808

Activities Tourists Enjoy Most: A Survey on What European-Bound Travelers Plan to Do Week 9 Visiting a national park 6.7% Taking a cruise 6.4% Camping/ Hiking 4.9% Playing golf/ Tennis Visiting a casino 4.8% Attending a sports event 3.8% Source: Goldner and Ritchie (2006 : p. 343) Bina Nusantara HO@0808

Shopping Week 9 Shopping is an important tourist activity. It is an essential element in tourism supply because it effects the success of the tourist destination area Tourists can be encourages to spend more money on shopping if displays are high quality, imaginative and attractive Native marketplaces: shopping experience concerns the local market Shops and clerks: they should be amiable and courteous, salesperson must have sufficient language ability to conduct conversation with visitors Prices and unethical practices Prices should be as consistent as possible and in-line with costs Unethical conducts such as deception and selling imitation of inferior quality product will hurt the tourist trade Bina Nusantara HO@0808

Matching Supply with Demand Week 9 Formula to calculate the number of hotel rooms required Bina Nusantara HO@0808

Matching Supply with Demand Week 9 R = Room demand per night, at 100% occupancy T = Number of tourists P = Percentage staying in hotels L = Average length of stay S = Number of days per year open for business N = Average number of persons per room; total number of guest nights divided by the number of guests, during any period of time O = Hotel occupancy used for estimation; for 70% occupancy, divide the number of rooms needed at 100% occupancy by 70% Bina Nusantara HO@0808

Matching Supply with Demand Week 9 T = 1,560,000 visitors P = 98% staying in hotels L = 9 days S = 365 days per year open for business N = 1.69 persons per room O = 70% occupancy R = 1,560,000 x 0.98 x 9 = 13,759,200 = 22,306 (rooms needed at 365 x 1.69 616.85 100% occupancy) = 22,306 : 0.70 = 31,866 rooms needed (as more rooms will be needed at 70% occupancy than at 100%) Bina Nusantara HO@0808

Task Analysis Week 9 The procedure used to matching supply with demand is called a task analysis. Suggested steps are: Identification of the present demand By mode of transportation and by seasons of the year For various forms of tourism such as activities, attendance at attractions, and similar categories For special events such as conventions, celebrations, fairs Group and tour visitors Family and individual visitors Business visitors Bina Nusantara HO@0808

Task Analysis Week 9 A quantitative and qualitative inventory of the existing supply The adequacy of present supply with present demand Natural resources Infrastructure Transportation and equipment Hospitality and cultural resources Bina Nusantara HO@0808

Task Analysis Week 9 Examination of present markets and the socioeconomic trends Geographic market segmentation and orientation Demographic market segmentation and orientation Population age, sex, occupation, family life stages, income and similar data Leisure time and work patterns Psychographic market segmentation Motivations, interests, hobbies, employment orientations, skills, professional interests Propensity to travel, responsiveness to advertising Bina Nusantara HO@0808

Task Analysis Week 9 Forecast of tourism demand Computer systems simulation method Trend analysis Simple regression Multiple regression Executive judgment or Delphi method Matching supply with anticipated demand If adequate, no further action necessary If inadequate, inauguration of planning and development procedures Bina Nusantara HO@0808

Peaks and Valleys Week 9 To maximize customer satisfaction and to utilize the facilities year-round, some action must be taken. Two strategies for dealing with this situation are as follows: Multiple Use Price differential Bina Nusantara HO@0808

Multiple Use Strategies Week 9 Supplementing peak-season attractions of a destination with other attractions that would create demand for travel to that destination during off-season periods Example: Michigan that once was viewed as summer destination, develop and promote winter sports during winter, salmon fishing during the fall and spring Another examples are festivals, special celebrations, conventions and sports activities during off-seasons Bina Nusantara HO@0808

Price Differential Week 9 Offering lower prices during off-seasons The use of Yield Management in the airlines and lodging industries are very effective to create prices in order to match supply and demand Bina Nusantara HO@0808

Fluctuating Demand Levels and Supply Week 9 Bina Nusantara HO@0808

Fluctuating Demand Levels and Supply Week 9 Bina Nusantara HO@0808

Fluctuating Demand Levels and Supply Week 9 Bina Nusantara HO@0808

Reducing Seasonality Through Price Differentials Week 9 Bina Nusantara HO@0808

Reducing Seasonality Through Multiple Use Week 9 Bina Nusantara HO@0808

THANK YOU AND HAVE A GOOD DAY Bina Nusantara HO@0808