In this blog, you will learn about the main distribution channels in the hospitality industry like travel agents, tour operators, specialists, hotel representatives, local tourist agencies, etc. in detail, So stay tuned to this blog.
Main Distribution channels in hospitality
Travel agents
Travel agent serves as a distribution channel in the hospitality industry as they act as an intermediary between hotels, airlines, transportation, tourism vendors, and hospitality service providers. For example – When a person plans his trip for the booking of transportation, accommodation, and services as contacts travel to make travel arrangements according to his needs and budget, and the travel agent makes the customized tour package he has tied with various tourism and hospitality service providers.
In the travel and tourism industry travel agents are considered retailers as they buy from the wholesaler and sell to the tourist and in the end travel agent earns a commission. The travel agent aims to provide information and travel-related services to his client. A travel agent helps transport and hotel to sell as he works as a mediator and in the end earns a commission.
Tour operator
Tour operator serves as a distribution channel in the hospitality industry as they act as an intermediary between tourism vendors and end customers. Tour operator combines all the travel components and forms into a tour package. The services that tour operator provides can be accommodation, transportation, activities, meals, guides, escorts, pick up and drop, etc.
As tour operator gives business to the hotel, airlines, transportation, etc they negotiate with them to get the best deal. They are considered as distribution channels to access various travel services conveniently and smoothly. They appropriately handle each and everything and take care of your travel as well. Various wholesalers are also tied up with the tour operator as they give discounted rates for bulk services. Wholesalers are also called consolidators.
Specialist
Specialists as a distribution channel in hospitality deal with specialized products such as conferences, meetings, casinos, etc. They are experts in the services that they offer to their clients. The expertise they carry helps them to understand customers’ needs, provides detailed information, and also provides them with a solution. Generally, business travelers hire them as they require these services.
For the services specialist contact buyers and sellers. Event planners, meeting planners, and travel agents specialize in providing business travel-related services. They look after the needs and preferences of their target audience. They give full support to customers by guiding them, telling them recommendations, and satisfying the customer. Target market allows the specialist to connect with customers who are more interested and how they can earn. Specialist plays a crucial role as the distribution channel in hospitality.
Hotel Representative
A hotel representative as a distribution channel acts on behalf of a hotel to promote, sell, and manage reservations and bookings. They play a great role between the hotel and guests. Hotel representatives are responsible for sales, and marketing the hotel’s services and target markets. They are also involved in advertising, sales, promotional campaigns, etc.
They focus on maintaining relationships with travel agencies, tour operators, corporate clients, etc. Good relations and strong connections can lead to increased bookings and collaborations. They also connect with GDS as travel agencies use this system to make reservations. They even handle customer inquiries, manage reservations, and provide 24-hour customer support during and after guest’s stay. Hotel representatives play an important role as a distribution channel in the hospitality sector.
National, State, and Local Tourist Agencies.
These organizations give information and keep updated to tourism vendors and service providers. They are responsible for promoting the country globally. They promote marketing campaigns to attract international visitors, showcasing the diverse attractions, culture, etc. They also look after the visa process, making it easy for international tourists to visit. National agencies play a crucial role in crisis management and communication to minimize the impact on the tourism industry. State tourist agencies promote states within the country. They focus on attractions, cultural events, and activities that make their state an appealing destination. They collaborate with local businesses, hotels, restaurants, and tour operators to create packages and promote them.
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FAQs
What are the 4 channels of distribution in tourism?
The 4 channels of distribution in tourism are principals, wholesalers, retailers, and consumers.
What are the 4 major GDS?
The four major of GDS are Amadeus, Galileo, Sabre as Worldspan.
What is a zero level channel?
Zero level channel means direct communication between sender and receiver without any involvement of other intermediaries.
What is full form IDS in the hotel industry?
IDS stands for Internet Distribution System.
Conclusion
This post is about the distribution of various channels in hospitality which includes travel agents, tour operators, specialists, hotel representatives, and local tourist agencies. In this post, it is explained how these distribution channels have helped in increasing the hospitality industry.