Tourism Distribution Channels Quiz

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Questions and Answers

What does a Group Inclusive Tour (GIT) typically include?

Prearranged with inflexible itinerary (correct)
Individual transportation on demand
Flexible itinerary with various options
Only hotel accommodations

Which of the following is NOT a typical component of outbound tour packages?

Ticketing
Travel Insurance
Car rental / coach transfer
Visa application assistance (correct)

Which type of tour is specifically designed for special interests, such as educational or sports events?

Standard package tour
Group Inclusive Tour (GIT)
Special Interest Group Tours (correct)
Outbound tour package

What service is encompassed under the outbound tour packages related to financial security?

Travel insurance (A) Signup and view all the answers

Which of the following is a feature of special interest group tours?

Focus on specific themes or events (D) Signup and view all the answers

In the context of outbound tour packages, what does the term 'incentives' refer to?

Motivational travel programs for businesses (D) Signup and view all the answers

What is the primary role of inbound travel agents?

To manage travel services for passengers traveling to or within a country (A) Signup and view all the answers

Which of the following best describes tour operators?

They act as wholesalers or retailers by organizing and selling travel packages. (B) Signup and view all the answers

Which sectors are included in the core tourism industries?

Accommodation industry and travel agencies (A) Signup and view all the answers

What distinguishes outbound travel agents from inbound travel agents?

Outbound agents manage agreements for travelers going overseas, while inbound agents handle services for travelers coming to the country. (C) Signup and view all the answers

Which of the following groups functions as intermediaries in the tourism distribution channel?

Travel agencies and tour operators (B) Signup and view all the answers

What service industries are closely associated with tourism?

Catering and transport industries (D) Signup and view all the answers

What is a key feature of free independent travel (FIT)?

Travel is tailored to suit individual needs (B) Signup and view all the answers

What income source do travel agents NOT typically receive?

Payment for travel insurance policies (C) Signup and view all the answers

What does outbound tourism primarily involve?

Traveling abroad for leisure purposes (D) Signup and view all the answers

Which service is NOT typically included in a FIT package?

Mandatory group tours (A) Signup and view all the answers

What is the role of Global Distribution Systems (GDS) in travel?

Connect travel agents with suppliers for bookings (D) Signup and view all the answers

What is typically true about service fees charged by travel agents?

They compensate for services rendered to customers (D) Signup and view all the answers

What factors have given consumers more choices in holiday and travel planning?

Improvements in Information Technology (A) Signup and view all the answers

Which of the following statements about tour operators is incorrect?

They operate exclusively with fixed pricing structures (D) Signup and view all the answers

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Study Notes

Tourism Distribution Channel

Main components: travel agents, tour operators, specialty challengers.
Intermediaries serve as vital links between customers and suppliers in the tourism industry.

Structure of Travel Organisation

Inbound travel agents facilitate travel services for visitors to the country.
Outbound travel agents manage travel arrangements for guests traveling overseas.

Tour Packages

Group Inclusive Tours (GIT):
- Fixed itineraries with prearranged transportation, accommodation, transfers, meals, and sightseeing tours.
Free Independent Travel (FIT):
- Tailored travel experiences to meet individual needs, with options for accommodation and local sightseeing without mandatory group travel.
Special Interest Group Tours:
- Designed for specific purposes like conventions, incentives, educational events, sports, and other special events.

Reservation and Distribution Systems

Global Distribution Systems (GDS) play a crucial role in connecting travel agents with suppliers.
Online Travel Agents (OTAs) provide an alternative for customers to plan trips independently.

Sources of Income for Travel Agents

Travel agents obtain discounted rates from suppliers for tickets, accommodations, and car rentals.
They earn commissions for bookings and bonuses for higher volume sales (overrides).
Agents mark up tour products that do not offer commission.
Service fees may be charged for assistance provided to customers.

Outbound Tourism Case Study

Outbound tourism reflects the trend of local tourists opting for holidays abroad.
Travel agents remain the primary booking method, although technology offers consumers greater flexibility in travel planning.

Key Activities of Tour Operating

Coordinating logistics for tours, including accommodations, transportation, and excursions.
Developing tailored itineraries and packages for various types of travel (e.g., group tours, FIT).
Handling marketing and sales for tour packages.
Managing relationships with suppliers and other stakeholders in the tourism industry.