Driving research from curiosity to technology Anton Bogdanovych, University of Technology Sydney e-Markets Research Group

Information Technology Research Methods 2 Outline MotivationMotivation Research MethodologyResearch Methodology HypothesesHypotheses Travel Agent prosTravel Agent pros Online booking prosOnline booking pros 3D Electronic Institutions3D Electronic Institutions SummarySummary Current StateCurrent State

Information Technology Research Methods 3 3D Experience in E-Commerce Terry M. Daugherty, Vanderbilt University, USA, 2001 Motivation

Information Technology Research Methods 4 Does 3D shopping make sense? Has more residents than Miami Has bigger GNP per capita than Bulgaria Norrath, The online world created by Sony Virtual worlds are one of a few online businesses that make money on the Web Edward Castronova, USA, 2003 Motivation

Information Technology Research Methods 5 Project Entropia multi-user game: Virtual Island sold for USD Rights available to the purchaser of the island: - A unique castle (furniture not included) - Hunting (including native forms of wildlife) - Mining (both minerals and enmatters) - Taxation rights on hunting and mining activities on the island - Income from the sale of land lots. Five lots per month will be available for sale under the duration of one year. These 60 lots alone have an estimated market value of PED. - Massive revenue potential Treasure Island (6000 Acres/25 km²) Does 3D shopping make sense? Motivation

Information Technology Research Methods 6 Shopping in 3D Motivation

Information Technology Research Methods 7 What about Tourism? A product cannot be observed or manipulated through direct experience prior to purchaseA product cannot be observed or manipulated through direct experience prior to purchase Customers have to rely on indirect or virtual experienceCustomers have to rely on indirect or virtual experience Appealing product presentation (visualization of travel destinations) is a mustAppealing product presentation (visualization of travel destinations) is a must Motivation

Information Technology Research Methods 8 Product presentation possibilities Traditional travel agents:Traditional travel agents: -Catalogues with photos, tips, maps etc. Online Booking:Online Booking: -Web sites with catalogue-like structure -Interactive 3D -On-demand Videos Motivation

Information Technology Research Methods 9 Research Goals Find the best from both sides (travel agents and online booking)Find the best from both sides (travel agents and online booking) Facilitate customers’ decision making processFacilitate customers’ decision making process Automate the process of development of tourism portalsAutomate the process of development of tourism portals Save human resourcesSave human resources Motivation

Information Technology Research Methods 10 Research Methodology Follows qualitative research inquiryFollows qualitative research inquiry Stage 1: Hypothesis formulationStage 1: Hypothesis formulation -Literature review -Semi-structured interviews (10 PhD Students) Stage 2: Hypothesis validationStage 2: Hypothesis validation -Travel agent interviews -Questionnaire (132 participants) Research Methodology

Information Technology Research Methods 11 Interview Sample Travellers who possess ample expertise in online bookingTravellers who possess ample expertise in online booking Travellers who are heavy computer users, very confident about internet and IT in generalTravellers who are heavy computer users, very confident about internet and IT in general Travel agentsTravel agents Research Methodology

Information Technology Research Methods 12 Interview Results Example Booking with Travel Agent is like studying with a teacher.Booking with Travel Agent is like studying with a teacher. Online booking can be real pain if your travel plan is not simple.Online booking can be real pain if your travel plan is not simple. Travel agent has much more knowledge in travel issues than I do.Travel agent has much more knowledge in travel issues than I do. I need face-to-face communication to understand all the detailsI need face-to-face communication to understand all the details Sometimes I just don’t know where I want to go.Sometimes I just don’t know where I want to go. Research Methodology

Information Technology Research Methods 13 Survey Sample Research Methodology

Information Technology Research Methods 14 Hypotheses H0: The majority of people prefer booking their international trips from a travel agent. Domestic trips are usually booked online.H0: The majority of people prefer booking their international trips from a travel agent. Domestic trips are usually booked online. Hypotheses

Information Technology Research Methods 15 Hypotheses Hypotheses H1: Human expertise is an important convenience factor that is missing in online booking.H1: Human expertise is an important convenience factor that is missing in online booking.

Information Technology Research Methods 16 Hypotheses H2: Social Interaction with a travel agent is a key to a good customer experienceH2: Social Interaction with a travel agent is a key to a good customer experience Hypotheses

Information Technology Research Methods 17 Hypotheses H3: Travel agents satisfy impulse buyers betterH3: Travel agents satisfy impulse buyers better Hypotheses

Information Technology Research Methods 18 Hypotheses H4: Collaborative booking experience is important.H4: Collaborative booking experience is important. Hypotheses

Information Technology Research Methods 19 Hypotheses H5: Security and trust towards humans are higherH5: Security and trust towards humans are higher Hypotheses

Information Technology Research Methods 20 Hypotheses H6: Loyalty is rewarded and appreciatedH6: Loyalty is rewarded and appreciated Hypotheses

Information Technology Research Methods 21 Hypotheses H7: Detailed information about a trip is importantH7: Detailed information about a trip is important Hypotheses

Information Technology Research Methods 22 Hypotheses H8: The way the package deals are composed now is not satisfactory and can be done better on the WebH8: The way the package deals are composed now is not satisfactory and can be done better on the Web Hypotheses

Information Technology Research Methods 23 Travel agent pros Expertise of the travel agentsExpertise of the travel agents Impulse decisionsImpulse decisions Social interactionsSocial interactions Loyalty is commonLoyalty is common Travellers value that their preferences are rememberedTravellers value that their preferences are remembered Travel agent pros

Information Technology Research Methods 24 Online booking pros ConvenienceConvenience Comfort of the familiar home environmentComfort of the familiar home environment Fast responsesFast responses MultitaskingMultitasking Online booking pros

Information Technology Research Methods 25 3D Electronic Institutions No methodological supportNo methodological support 3D Electronic Institutions

Information Technology Research Methods 26 Specification of 3D Electronic Institutions Common Ontology and language Agent Roles Multi-agent Protocols Network of protocols Norms 3D Electronic Institutions

Information Technology Research Methods 27 Visualization of 3D Electronic Institutions 3D Electronic Institutions

Information Technology Research Methods 28 Runtime Architecture 3D Electronic Institutions

Information Technology Research Methods 29 Example 3D Electronic Institutions

Information Technology Research Methods 30 Summary of the Study Impulse travel, collaborative booking and better packaging mechanisms are not present in nowadays online travel portalsImpulse travel, collaborative booking and better packaging mechanisms are not present in nowadays online travel portals Expertise of the travel agents should be used onlineExpertise of the travel agents should be used online Presentation of travel destinations can be done betterPresentation of travel destinations can be done better 3D Electronic Institutions have the potential to address the drawbacks of online booking3D Electronic Institutions have the potential to address the drawbacks of online booking Conclusion

Information Technology Research Methods 31 How did the study help Proved that it is worth considering tourism as an application domain and go deeper with the literature reviewProved that it is worth considering tourism as an application domain and go deeper with the literature review Narrowed down where to lookNarrowed down where to look Current State

Information Technology Research Methods 32 Features of the Travel Product Current State Tourism product is intangible in nature. (Jackson, 1997). For this reason, tourists need to get as much correct information as they can feel confident that their desires and expectations will be fulfilled.Tourism product is intangible in nature. (Jackson, 1997). For this reason, tourists need to get as much correct information as they can feel confident that their desires and expectations will be fulfilled. It is remote in nature with the person selling a product possibly never having seen the destination sold and yet being the prime source of advice (Jackson, 1997). This has a consequence that the collective intelligence is required to provide customers with correct information about the trip.It is remote in nature with the person selling a product possibly never having seen the destination sold and yet being the prime source of advice (Jackson, 1997). This has a consequence that the collective intelligence is required to provide customers with correct information about the trip.

Information Technology Research Methods 33 Features of the Travel Product Current State The description of a product is always subjective (somebody’s perspective) and background related (Gee et. al, 1997). This suggests that the more real is the travel product presentation the less uncertain is the customer about its characteristics.The description of a product is always subjective (somebody’s perspective) and background related (Gee et. al, 1997). This suggests that the more real is the travel product presentation the less uncertain is the customer about its characteristics. The product is delivered by many different firms, which are typically different in terms of their functions and capabilities (Palmer & Bejou, 1995). For the customer this means that the more components are present in the desired package, the harder it is to order the package without help from travel intermediaries.The product is delivered by many different firms, which are typically different in terms of their functions and capabilities (Palmer & Bejou, 1995). For the customer this means that the more components are present in the desired package, the harder it is to order the package without help from travel intermediaries.

Information Technology Research Methods 34 Features of the Travel Product Current State Few other industries link so many diverse and different kinds of products and services as the tourism industry (Edgell 1990, p.7). The list of all travel-oriented “commodities” is too large, so a catalogue is not feasible to produce (Rugg, 1973).Few other industries link so many diverse and different kinds of products and services as the tourism industry (Edgell 1990, p.7). The list of all travel-oriented “commodities” is too large, so a catalogue is not feasible to produce (Rugg, 1973).

Information Technology Research Methods 35 Motivations of travelers Current State sense of power (visitors demanding service and attention)sense of power (visitors demanding service and attention) search for romancesearch for romance desire for cultural exchangedesire for cultural exchange need for leisure/escapeneed for leisure/escape desire of social contactdesire of social contact following social trendsfollowing social trends change from routine to new experiences,change from routine to new experiences, satisfying curiosity and personal values (i.e. trips to places of religious significance)satisfying curiosity and personal values (i.e. trips to places of religious significance) Involvement with the booking experienceInvolvement with the booking experience

Information Technology Research Methods 36 Destination characteristics Current State scenic beauty of a placescenic beauty of a place pleasant attributes of the local peoplepleasant attributes of the local people destination visitor image vs actual self-image and ideal self-imagedestination visitor image vs actual self-image and ideal self-image suitable accommodationssuitable accommodations restrest relaxationrelaxation airfareairfare

Information Technology Research Methods 37 3D Electronic Institutions Current State  3D is entertaining and informative.  User involvement is much higher.  The communication between participants is chat-/multimedia-based  Context of a conversation is visualized.  Best possible way to observe the behaviour of a customer and create a user profile  Implicit training of assistants

Information Technology Research Methods 38 3D Electronic Institutions Current State  Information overload can be reduced  Support of social interactions  Group booking  Self images are easier to discover  Personalized experience  More objective description of the destination

Information Technology Research Methods 39 “World Trotter” Travel Agency Current State

Information Technology Research Methods 40 “World Trotter” Travel Agency Current State Booking and destination search

Information Technology Research Methods 41 “World Trotter” Travel Agency Current State Hotel Visualization Service

Information Technology Research Methods 42 “World Trotter” Travel Agency Current State Destination Visualization Service

Information Technology Research Methods 43 “World Trotter” Travel Agency Current State Destination Visualization Service

Information Technology Research Methods 44 “World Trotter” Travel Agency Current State Shop Service

Information Technology Research Methods 45 The Process Current State

Information Technology Research Methods 46 3D Virtual Worlds – future trends Scanning Physical interaction behaviors of 3D objects Dinesh K. Pai, The University of British Columbia, 2005 Future of 3D

Information Technology Research Methods 47 3D Virtual Worlds – future trends Fast automated 3D Model Reconstruction Christian Frueh, University of California at Berkeley, 2005 Future of 3D