New Distribution Channels and Business Strategies for Location-based Travel Agencies
Abstract
The international travel market is characterized by uncertainties. Due to rapid changes in terms of new technologies, changing consumption patterns of customers and global economic changes, the travel sector has to redefine its business strategies in order to remain competitive. Location-based travel agencies are in the state of a metamorphosis (Poon 1993). Modern information and communication technologies enable the majority of travellers to gather information on their own. On search of the ‘best deal’ for flights and hotels, customers often avoid the classic way of booking at the location-based travel agency and prefer to book via the internet (Gretzel et al. 2006). In the future, solely resistant customers will use location-based distribution. The internet and changing customer behaviour are the new drivers leading to new distribution channels and business strategies for travel agencies. The paper reports a qualitative study among travel agency managers and presents potential future strategies for travel agencies.
Keywords
location-based travel agencies distribution channels business strategiesPreview
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