1. The Role of Online Travel Agents in the Experience Economy
Anton Bogdanovych
University of Technology Sydney

2. Outline Experience Economy Motivation Tourism
Why Online Travel Agents?
Motivation 3D Virtual Worlds
3D Electronic Institutions
The World Trotter Travel Agency
Conclusion
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3. Experience Economy
In the emerging experience economy, the experiential component of a product or service is increasingly the basis of profit.
“Just as people have cut back on goods to spend more money on services, now they also scrutinize the time and money they spend on services to make way for the more memorable—and more highly valued—experiences” (Pine and Gilmore, 1999, p.12).
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4. Features of the Travel Product
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.
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5. Features of the Travel Product
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.
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6. Features of the Travel Product
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).
The travellers of today decide to buy or not to buy depending on the quality of experience they receive during the trip selection (Yeoman et. al. 2005).
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7. Motivations of travelers
sense of power (visitors demanding service and attention)
search for romance
desire for cultural exchange
need for leisure/escape
desire of social contact
following social trends
change from routine to new experiences,
satisfying curiosity and personal values (i.e. trips to places of religious significance)
Involvement with the booking experience
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8. Destination characteristics
scenic beauty of a place
pleasant attributes of the local people
destination visitor image vs actual self-image and ideal self-image
suitable accommodations
rest
relaxation
airfare
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9. Consequences Summary Engaging experience is important
Need as much Information as possible
Objective representation of information
Collective Intelligence is required
Reduction of the package complexity
Human expertise
Social factors
Self image recognition – user preferences
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10. Travel Agents pros Expertise of the travel agents Impulse decisions
Group booking
Social interactions
Loyalty
Travellers value that their preferences are remembered
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11. Online booking pros Convenience
Comfort of the familiar home environment
Fast responses
Multitasking
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12. Motivation 3D Virtual Worlds
Virtual worlds are one of a few online businesses that make money on the Web
Norrath, The online world created by Sony
Has more residents than Miami
Has bigger GNP per capita than Bulgaria
Edward Castronova, USA, 2003
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13. 3D Electronic Institutions
D Virtual Worlds •
Social & entertaining
Fully observable
High User Involvement
Impulse travelers
Not structured interactions
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14. Methodology
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15. Vision
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16. Runtime Architecture
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17. “World Trotter” Travel Agency
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18. “World Trotter” Travel Agency
Booking and destination search
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19. “World Trotter” Travel Agency
Hotel Visualization Service
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20. “World Trotter” Travel Agency
Destination Visualization Service
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21. “World Trotter” Travel Agency
Destination Visualization Service
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22. “World Trotter” Travel Agency
Shop Service
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23. Conclusion
Online travel agents are the most promising travel provider for the experience economy
We propose 3D Electronic Institutions technology to be utilized for the implementation of online travel agents
The World Trotter Travel Agency demonstrates our vision of how this technology can be employed
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24. Conclusion The World Trotter Travel Agency
provides immersive 3D visualization
allows interaction with tourism products
facilitates implicit training of assistants
supports group booking
provides the grounds for a lively tourism community
fosters social interaction and the exchange of personal experiences
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