ESCP Europe Alumni Magazine - N°145 - Novembre/Décembre 2012 - 77

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By Béatrice COLLIN, Professor and Director of the ESCP Europe International Master in Hospitality and Tourism Management

Internet, a sea change for the tourism
The boom in Revenue Management systems and their increasing sophistication have transformed the reservation, pricing policy and financial assessment mechanisms of the entire sector. The quality of client relations, a key element in this sector, has improved thanks to the ever more elaborate tools of CRM. Transactions with suppliers take place instantaneously and more and more frequently use GDS such as Amadeus or Galileo/Worldspan. However, the size of the change brought about by the digital revolution would have been modest if it hadn’t been for one of its main consequences: the explosion of the e-tourism market. Tour operators have seen whole swathes of their business partially disappear and their economic model threatened. As for hoteliers and transport providers, being online themselves or being linked to e-tourism pure players like Expedia, Lastminute or hôtels.com has become essential. Nevertheless, digitalisation is not the sole reason for this sector’s present transformation. Client demand: complex, and sometimes contradictory The current economic crisis undoubtedly spurs both individual and business client to seek out lower prices. There is also the desire to «snap up a bargain», turning the whole process into a kind of game. In addition, aside of price, clients are increasingly eager to customise their travel according to their life-styles and interests. This phenomenon may be seen in all client categories, ranging from youth to «silver surfers»; senior citizens who are

If all business sectors have changed radically since the beginning of the internet age, the hotel industry and tourism are among the most deeply affected.
active on internet and who are heavy consumers of travel products. This desire for customisation can also be noted in hotel services and transport; for example, the market for boutique hotels or the increasing supply of different offers by hotel chains. Between online and offline, competitive prices and customisation, what is the future for the hotel industry and tourism? Today, the innovation and design of new development models, which combine traditional methods to satisfy client desire for «uniqueness» and industrial and technological processes, seem to have become unavoidable. Needless to say, this is a huge challenge, but given the high growth rates of this sector over the next ten years, it’s certainly worth the effort! ●

International Master in Hospitality and Tourism Management

Created 2 years ago, this programme offers a first-class business education for young professionals wanting to pursue an international and fast moving career in the hospitality and tourism industry and even beyond. It provides in-class courses and Professional Development Activities on ESCP Europe Madrid campus and Specialisation modules at Cornell University’s School of Hotel Administration. For more information: bcollin@escpeurope.eu, acavia@escpeurope.eu

ESCP Europe Magazine N° 145 - Novembre/Décembre 2012 -

ESCP Europe Alumni Magazine - N°145 - Novembre/Décembre 2012

Table des matières de la publication ESCP Europe Alumni Magazine - N°145 - Novembre/Décembre 2012