The History Of Travel Agencies Tourism Essay

Travel bureaus exist chiefly as mediators among providers of travel services such as bearers and hotels, and clients. Travel bureaus do non cover with touchable merchandises but with information where it is different from other distributers in many industries ( Cheung & A ; Lam, 2009 ) . As for the travel agent it is best defined as an person who undertakes a work for another person, who is being the ‘principal ‘ . The principal in such an association non merely sets the purposes of the work, such as selling tickets, nevertheless can besides command the agencies and manner in which the work is completed ( Cheung & A ; Lam, 2009 ) . Cheung & A ; Lam ( 2009 ) added that alterations in the concern over the past 10 old ages have affectedly changed the environment and significance of info in the travel industry and, later, the function of travel bureau.

Recently, the engineering promotion has brought alterations in touristry industry. Why did the Internet so affectedly affect the travel industry? What impact do the alterations have on travellers? ( Harrell Associates, 2002 ) . The Internet has revolutionized the method in which clients make their travel picks ( Anon, 2012 ) . Customers presents have several extra choices because the Internet offers suppliers extra opportunities to bring forth direct client dealingss and allows a varied scope of pricing ( Harrell Associates, 2002 ) . The Internet offers an influential ambiance for the construct of practical representations of touristry finishs allowing indirect experience that truly exceeds the potencies of traditional travel agents ( Bogdanovych, Berger, Simoff & A ; Sierra, 2005 ) . Presently the Internet is the perfect connexion among clients and traders, over 100s of web sites, travellers have sufficient information for their travel readying ( Ortega, 2008 ) . Harmonizing to Travel Industry Association of America ( TIA ) over 75 million online travellers used the Internet for their travel planning such as to look for topographic points to remain, rental auto monetary values, besides seeking for maps and driving waies, seeking for airfares and agendas and other information about tourer finishs ( Ortega, 2008 ) .

Harmonizing to Ortega ( 2008 ) , he said that the travel planning and booking on the Web are among the greatest popular online activities in best of import e-commerce markets and on-line travel gross revenues are lifting at an explosive sum ( over $ 115 billion this twelvemonth ) in the US, Europe and the Asia-Pacific parts. Therefore, because of the growth of the e-commerce in the touristry industry, the tourers have legion choices provided by the Internet to obtain on-line, in the easiness of their houses or offices, touristic services and merchandises ( Ortega, 2008 ) . Furthermore, the Internet aids to turn up low monetary values in tourer services such as air tickets and hotel suites. In decision, it offers tourists a singular sum of information to do an sole trip.

Harmonizing to Vrana ( 2010 ) , she claimed that a chief strong suit to go bureaus is the capableness to offer personal information and aid to tourers infinitely, along with consultancy service for corporations and will maintain on secure if their advice-offering ability remained supported by the being of the Internet. Even though there are many online travel services, a traditional travel agent is as far a critical portion of the trip as easiness is to going! ( Will, 2012 ) . The travel industry is comprised of over a twelve related industries: air hoses, eating houses, hotels/motels, travel bureaus, gift stores, car leases, and a host of other concerns that may non be even recognized their dependance on travel and touristry since travellers are normally identical from local clients ( Cheung & A ; Lam, 2009 ) . Will ( 2012 ) besides stated that, the portion of a travel agent has remained turning with the epochs and presently most people are reliant on them for carry throughing most of their travel programs so that they can rest calmly and merely enjoy their trip.

This survey aims to analyze the factors involves in prolonging travel bureau ‘s operation in order to last in this touristry industry and measure their public presentation or gross revenues of travel bureau that can affected by the utilizations of engineering such as Internet.


Tourism has become the 2nd largest economic system subscriber after fabricating. One of the factors that contributes to the roar of touristry market is the promotion of engineering. Travel industry are comprises of assortment related industries, such as air hoses, travel bureaus, eating houses, hotel/motel and more ( Cheung & A ; Lam, 2009 ) . More or less, each of the related industry will acquire at least a small impact from the engineering promotion, notably these travel bureaus. There is some research that indicates that touristry merchandise is popular to be bought through online ( Nysveen & A ; Lexhagen, 2001 ) . On-line touristry has grown quickly as the consumer presents are utilizing the promotion of engineering to get information and besides buying touristry merchandises and services ( Dixit, Belwal & A ; Singh, n.d ) .

There are many grounds why consumer tends to take Internet as one their medium in buying touristry merchandise and services. One of it is Internet are giving them cost-saving convenience ( Cheung & A ; Lam, 2009 ) . Cost-saving convenience means that there are no attempts required for the consumer to pass their clip and money to seek for information needed about a certain bundle. Some of the consumers besides taking Internet instead than looking for travel bureaus because of the flexibleness that Internet has to offer. The consumer are seeking flexible touristry merchandise to accommodate their travel demands ( Harris & A ; Duckworth, 2005 ) . Based on their research, the consumers purchasing form late has alteration quickly to independent travel from the typical bundle vacation. To back up this statement, they are accommodating a research done by Mintel, in UK independent travel has conquered the travel market in 2004 with 55 % .

The other ground why consumers tend to take Internet over travel bureaus is because of on-line experience has greater possible in visualising travel finishs ( Bogdanovych, Berger, Simoff & A ; Sierra, n.d ) . They besides stated that online engineering offers 3D interactive Tourss that can present clearer image on the finish. Synergistic picture can besides be shown on-line without disrupting other clients. Based on a survey done by Daugherty, Hairong & A ; Biocca ( 2005 ) which they wanted to acquire consumers reaction on the merchandise presentation method. The two picks are indirect experience ( practical presentation ) , and direct experience ( direct merchandise use ) . The consequences proved that, merchandise cognition and determination quality made by the consumer are both significantly higher when they are exposed to interactive 3D merchandises than to inactive merchandises presented in a form-based manner.

Despite from all the factors, travel bureaus which are at interest need to last in order to prolong their topographic point in the travel industry. They have to distinguish themselves more than what engineering promotion has to offer. Based on the statement of research job, we want to carry on a research on how travel bureaus can prolong their operation. There are a few factors that make travel bureaus can prolong themselves in touristry industry in Malaysia. These factors can find the gross revenues of the travel bureaus because the trade travel bureau community has sustained significant losingss due to the common consequence of the growing of Internet ( Cole, 2009 )


By and large, in existent universe, an increasing competition from other channel had caused the figure of traditional travel agents about lessening ( Buhalis, 2003 ) . The Internet is altering the industry ‘s construction and the consumer ‘s behaviour. Widely used of engineering in touristry industry has affect the operation of the travel bureaus in Malaysia. The use of Internet by travellers has decreased the figure of travel bureaus ‘ gross revenues in Malaysia. Besides that, Internet besides has caused the high street travel bureaus to shut, therefore making occupation losingss within the concerns ( Anon, 2010 ) .

Many surveies have looked into The Internet Travel Industry: What Consumers Should Expect and Need to Know, and Options for a Better Marketplace ( Harrell Associates, 2002 ) , Travel Agents vs. Online Booking: Undertaking the Shortcomings of Nowadays Online Tourism Portals ( Bogdanovych, Berger, Simoff & A ; Carles Sierra, n.d ) , Measuring the Adoption and Use of Internet-based Marketing Information Systems to Better Marketing Intelligence: The Case of Tourism SMEs in Jordan, AL-allak, 2010 ) , Attitudes Towards Internet Use Among Travel Agencies In Greece ( Vasiliki, Costas & A ; Savvas ) and Travel Agents Fight A Losing Battle With the Internet ( World Airline News, 2008 ) . Unfortunately, there is no specific survey that evaluates or observes on the factors that lead to the methods of prolonging the travel bureaus operation in Malaysia sing on the engineering promotion.


1 ) To place the factors that capable to prolong the operation of travel bureaus in Malaya

2 ) To place whether the public presentation or gross revenues of travel bureau are affected by the utilizations of engineering such as Internet or non.

1.4 RESEARCH Question

1 ) What are the factors that can prolong the operation of travel bureaus in Malaysia?

2 ) Does the public presentation or gross revenues of travel bureau are affected by the utilizations of engineering such as Internet?


Independent variables Dependent variable

Sustainability factors:

aˆ? Human Touch

aˆ? Negotiation Power

aˆ? Interpersonal Skills

aˆ? Niche Market

Travel bureau ‘s operation

Figure 1: Proposed model for the survey


The range of the survey is utilizing the travel bureaus around the Klang Valley country. All the travel bureaus that took portion in this survey offers wide-range of services and merchandises in their company. These travel bureaus have been selected harmonizing to their location that located in Kuala Lumpur and Selangor. Most of the travel bureaus are located in Kuala Lumpur.


This survey will fundamentally profit few classs of organisations that play of import cardinal functions in the touristry industry. First, the authorities organic structures such as the Ministry of Tourism, Tourism Malaysia and travel bureaus in Malaysia. Second, this survey will profit the educational establishment particularly academicians and pupils in the touristry line. Therefore, it is hoped that this survey can move as a usher and mention in future surveies. There might be some filed in this survey that is non investigate exhaustively due to constraint of clip and support and therefore it is welcome for any hereafter research worker to analyze those intended field.


For this survey, we were utilizing on-line study. In order to present the questionnaires, we need to utilize an electronic mail. We took the email reference of travel bureaus from MATTA web site, MOTOUR web site and besides their ain web site, nevertheless, some of the electronic mails are non valid. This job leads to the trouble in roll uping the information and giving us some troubles in treating the consequence. Other than that, some of travel bureaus did non give cooperation to us. They were non replying the questionnaires even though we already stated that all information are confidential and merely usage for survey intents. Lack of the cooperation and resources limit the research workers to derive excess information to heighten the survey.

1.9 Summary

This chapter has presented the background of the research and research job, sketching the research aims and inquiries relevant to the research subject. This chapter besides covered the range of the survey together with the importance in carry oning the research.

Chapter 2


2.0 Introduction

This survey aims to detect the factors that can do the travel bureaus in Malaysia sustain its ‘ operation in this touristry industry. In order to accomplish the aims of the survey, literatures sing the sustainability factors will be examine.


Harmonizing to a professor of psychological science, Dacher Keltner from a University of California, Berkeley, he says that, touch is “ our richest agencies of emotional look ” . The research worker found out that, touch interconnects in ways that words can non ( Moll, 2012 ) . In retail shop scenes, briefly touching clients has been shown to lift the consumers ‘ shopping times, shop ratings and purchase volumes ( Lynn, Le, & A ; Sherwyn, 1998 ) . Harmonizing to Jochman ( 2009 ) in his article rubric ‘The Benefit of Human Touch ‘ , he said that the measure of organic structure contact plays an of import function in people ‘s physical growing and mental as babies and in our felicity as an grownups as shown by the scientists. Human touch has experience of working with Bankss, recognition brotherhoods, insurance companies and other fiscal service suppliers to increase consciousness of how service excellence can hold a dramatic impact on their bottom line ( Anon, 2012 ) . A service representative inquiring the right inquiries and being sensitive to a client ‘s demands can do all the difference between the sale of a fiscal merchandise and the loss of that concern to a rival ( Anon, 2012 ) . In the old ages of computer-generated workplaces, where electronic mail, teleconferencing and fax machines addition, something is losing that American concern people need to shut a trade the human touch ( Seaberry, 2000 ) . In other words, handshaking and looking at each other ‘s eyes are still needed by the concern people.

Harmonizing to James J. Green ( 2012 ) in his article, he said that the personal touch-the person-to-person touch-that you offer to your clients the 1 that distinguishes you. He added that speaking to your equals, in individual, provides you with perceptual experiences that you can non acquire electronically. Persons play an of import function in any concern relationship because it is really managed by persons ( Nguyen & A ; Nguyen, 2011 ) . In manufacturer-distributor relationships, personal interactions talk about the communicating at the single degree between distributers and makers ‘ critical contact people ( Ulaga, 2003 ) . Furthermore, research has shown that personal interaction can play a critical function in distributers ‘ ratings of providers ‘ public presentation ( Ulaga, 2003 ) . As said by Kaufman ( 2012 ) , mechanization is critical for turning and speeds up service in many industries. However, he added that when single attention or courtesy is required, clients require contact with existent people. Once human energy flows and connects, good things can acquire completed and you can increase client experience to your advantage ( Kaufman, 2012 ) .

Scholars in selling and organisational behaviour are present giving increasing attending to the personal interaction among the client and the employee on the frontline of service concerns ( Mattsson, 1994 ) . The personal interaction is recognized to be one of the of import topics in concern and industrial selling, both in footings of pattern and theory ( Mainela & A ; Ulkuniemi, 2012 ) . Mainela and Ulkuniemi ( 2012 ) besides stated in their diary that, personal interaction is besides required to interchange societal values and it may weaken the engagement of monetary value in finding the behaviour of the two parties. Harmonizing to Pinnington and Scanlon ( 2009 ) , concern relationships are really managed by persons and there is extended personal interaction in any concern relationship ( Pinnington & A ; Scanlon, 2009 ) . Research has shown that a batch of companies are traveling from transactional separate dealingss to relational 1s ( Nguyen & A ; Nguyen, 2011 ) . In add-on, Tho D. Nguyen, Trang T.M. Nguyen ( 2011 ) said that, committed relationships are among the most lasting because they are hard for rivals to grok, to double, or to relocate. Thus, bookmans and practicians have agreed that bipartisan relationships between purchasers and Sellerss represent a beginning of competitory advantage ( Nguyen & A ; Nguyen, 2011 ) .

Travel agent might look similar to a profession of the past, merely like lift operators and milkmen, nevertheless they are non simply hanging on, certain of them are successful. In existent fact, the February/March subject of Shop Smart magazine has a narrative on travel agents, stating that they are a batch better than online travel services ( Williams, 2008 ) . In the article rubric ‘Travel agents: Hong Kongers prefer the existent thing ‘ , Hong Kong travellers blame the on-line tendency and go on to take for worlds when booking holidaies ( Li, 2012 ) . Li ( 2012 ) besides said that, Hong Kong is non a immense metropolis ; it is appropriate for people to do consecutive contact with travel agents as they are the expertness and backup that an offline travel advisor can convey extra value to the vacation. Travel agents will do certain that you will hold an unbelievable experience on your trip. They are excited and will demo their enthusiasm in assisting you, their clients, have the best holiday possible ( Bow, 2012 ) . Travel professionals are separately invested in seeing your trip come to be a success trip. This personal interaction with existing, unrecorded agents undermines the frequent dull experience of making it yourself on-line ( Bow, 2012 ) . Equally shortly as you book a trip or a vacation with a travel agent, you create a personal every bit good as a concern resonance with that travel agent. If something goes wrong, your travel agent is your personal representative who has an entrusted concern in deciding the job to your satisfaction ( Morris, 2012 ) . Harmonizing to Geoff Williams ( 2008 ) , if you are afraid that you will necessitate to alter your flight or your travel programs at the last minute, a travel agent might be capable to speak to an air hose straight and will salvage you off from those concerns and emphasiss.

Even though turning Numberss of people turning to engineering, specializers on both sides of the agency are stating that there will ever be a infinite for the human touch ( The Syedney Morning Herald, 2007 ) . Wherever travel agents remain uncomparable is in their capableness to offer a personal service. Naisbitt ( 2001 ) refers to it as ‘high-touch ‘ , the counterpoison to ‘high-tech ‘ . Furthermore, it is going progressively apparent that bureaus will necessitate a ‘high-touch high-tech ‘ scheme to fulfill the clients of the hereafter ( Naisbitt, 2001 ) . A web site can non supply what the travel agent can offer such offering aid, advice and besides that “ personal touch ” to your travel planning experiences ( McNally, 2007 ) . Harmonizing to the engineering adviser Mary O ‘ Haver, the experience that travel agent has is portion of the personal touch that travel agents can offer. Besides that, harmonizing to Hoffman ( 2012 ) who is an on-line travel expert and pull offing manager of the universe ‘s largest online travel bureau,, people will ever wish to walk into a shop and acquire personal service. He besides said that, the more complex the trip, the more concerted an experient agent will be. He continued that, an agent can steer an inexperient traveller over foreign travel or travel to alien finishs. When travel in less developed touristry finish, the travel agents may hold more cognition of travel about that finish ( Morris, 2012 ) . Complicated agreements like assorted finishs on one ticket or group travel might turn into hard and an agent with experience can assist ( Morris, 2012 ) .

Harmonizing to Olmsted ( 2012 ) in his article, between the several chief advantages of high-octane agents carry to the tabular array is single connexions and influence. If you have jobs while you remain off, your travel agent is at that place to assist you in deciding your concerns. If you make a engagement with a travel bureau, you are less likely to see flight, metropolis, or adjustment alterations by the circuit company, as they know the agent will be at that place to stand behind you ( Travel Cafe Inc, 2012 ) . If you have at present reserved your trip but before you go to go you want to set some inside informations, your travel bureau can help you by acquire all the needed stairss complete, go forthing you without the trouble and confusion ( McNally, 2007 ) . Travel bureaus take attention of all travel specifics form reserving tickets to booking hotels that can give the tourer sufficient clip to be after the travel ( McNally, 2007 ) .

Harmonizing to Donvan & A ; Lieberman ( 2011 ) , the human touch that makes travel bureaus different is when something goes incorrect with our trip ; we have person to name or mention to work out the job. Compared to individuals who booked their adjustment or flight tickets online, there was no 1 for them to mention to assist them decide that state of affairs. Second, harmonizing to them, travel agents are giving services by giving existent information or their personal experience on the finish spots they send people to. They can besides give travel tips that possibly utile where we can non acquire them from on-line information. If a individual engaged online, if there is any errors happen during their engagements, they will hold to transport the load for themselves. But, utilizing by the travel agents, they will make anything in order to personalise the demands and wants of their client ( Travel Cafe Inc, 2011 ) . Besides that, the travel agents are giving their specialised expertness that an person does non hold, or might bury during a trip. For illustration, visas, insurance, currency exchange and besides custom ordinance of a finish ( Cole, 2009 ) . Travel agents can assist you to set up and form any mandatory functionary documents that you perchance will necessitate in order to go outside of the state ( McNally, 2007 ) . Rand McNally ( 2007 ) added that, travel agents know the necessary paperss that you may necessitate for your going such as visa and they can direct you to your local passport office excessively. Furthermore, travel agent can give excess services that an person can non acquire from on-line engagement. One of the illustration is they have the ability to beginning and different travel experience and aid to book difficult booked eating house ( Talwar, 2011 ) . Other than that, when you call with any jobs during your trip, an online travel bureau is non traveling to pick-up the phone but so a travel agent will remains to give you that personal attention even though you are off ( McNally, 2007 ) . Building that personal relationship provides you the confidence that you can reliance on your agent ‘s expertness and no affair the state of affairs, they will be around to help you to happen a declaration ( Bow, 2012 ) .

Additionally, if you should hold any questions after booking your trip, you know precisely how to reach your travel agent and can get away the unsure FAQ subdivision on a web site ( McNally, 2007 ) . The services that serve with the human touch and deserving trade will do the travel bureau retain in the concern. Harmonizing to Geoff Williams in his article, he said that every bit shortly as the touristry infinite acquiring bigger, you are traveling to hold a pick in the center of a thought, helpful person and a capable hardhearted cyberspace site that does non certainly care if you travel on Saturn whereas your luggage bursts into fires on Mercury. As for that, who are you traveling to swear? Smart Money magazine summarized the whole thing reasonably good on the screen of the June 2007 edition. “ FORGET ONLINE! Travel AGENTS GET BETTER DEALS ” .


In general, negotiation mean dickering procedure between two or more parties seeking to detect a common land and make an understanding to settle a affair of common concern or decide a struggle ( Business ) . Harmonizing to Fisher & A ; Ury in their book Geting to YES: Negotiating Agreement without Giving In, negotiating is a basic manner in acquiring what you want from other people ( 1981 ) . While in Oxford Dictionary, dialogue agencies treatment is aimed at making an understanding. In Women Are Geting Even ( WAGE ) web site, they interpret dialogue as conversation between two parties in order to do an exchange. Harmonizing to Rusk ( 2006 ) , the significance of dialogue is “ treatment intended to bring forth an understanding ” . It besides can be mentioning as common solutions that used to do a determinations and settle down the jobs ( Moore, 2012 ) , a procedure which is two or more parties attempt to hold on the rate of goods and services that they exchange ( Robbins & A ; Judge, 2003 ) . Conflict and dialogue are a fact of mundane work-life, yet it frequently produces anxiousness ( Cutts, 2012 ) .

The UK Border Agency has announced that there are still proficient jobs with on-line booking service ( Kelly, 2012 ) . This statement shows that sometimes online engagement faced a job such as lost record ( Kirschbaum, 2009 ) , security issues ( Fane, 2010 ) and proficient issues ( Scoot, 2012 ) . There are jobs that faced by client when they used online engagement system. Despite the fact that all the respondents ( except for one ) usage computing machines about every twenty-four hours, 14 % believe that booking online is non procuring in general ( Bogdanovych et al, 2006 ) . Conflict happen because of these jobs. Conflict happen when people did non hold with the issue, it will make a clash or tenseness between that person or groups ( Nahavandi, 1999 ) . Negotiation is a procedure that analyzing the facts of state of affairs, exposing the involvement of both parties involved and dickering to work out the struggle every bit many as possible ( Moore, 2012 ) . Negotiation permeates the interaction of about everybody in the organisation ( Robbins & A ; Judge, 2003 ) . Harmonizing to Lucas ( 2008 ) , struggle might happen because of differing perceptual experience, inadequate or hapless communicating and besides contrary outlooks. These jobs frequently happen when covering with client particularly in travel bureau. In touristry industry, dialogue is an of import procedure to derive a common understanding of something, particularly for the travel bureaus. It is important for them to corroborate what their client wants and demand. Through dialogue struggle between travel bureau and client can be reduced. Negociating through countries of struggle can frequently take to win-win state of affairss agreeable to parties, cut downing sick felling and struggle ( Queensland Government, 2011 ) . Travel agents have the dialogue power because they have maximal pick to offer to their clients ( Travel Cafe Inc 2011 ) . This means they have assortment of picks that they can acquire from their travel providers and they can give us the best trade with best value of possible. Online booking deficiency of firsthand cognition and seldom gives client chance to talk with person knowing about service that they are booking ( Morelock, 2012 ) . The clients and travel agents can help us to acquire what we need in our holiday and assist us to acquire the best offer.

Online engagement allows client to do all travel programs on the Internet means they can make it any clip of the twenty-four hours or dark at place or while they ‘re on their tiffin interruption at the office ( Oakley, 2012 ) . It is true when we are making booking online we can do a engagement everyplace and anytime, where it will be more convenient to us, but we can non negociate the monetary value of the touristry merchandise that we wish to book. If we are negociating with travel agents, we have the opportunity to acquire lower monetary values as possible. Price dialogue normally occurs during buying of stuffs or supplies ( Francois, 2012 ) . For illustration, if a travel bundle to Cameron Highlands costs about RM300 for two darks, the clients can negociate to acquire the lower monetary value and eventually they will acquire the offer around RM250 merely. With dialogues, both parties will have their ain benefits and it is a win-win state of affairs ( Rusk, 2006 ) . When client asks an agent to negociate, means client are basically inquiring the agent to subsidise their holiday ( Brock, 2009 ) but through on-line system, client had no alteration to negociate with an agent because the monetary value is fixed. The Marriott International, Hilton Hotels, Sheraton Hotels & A ; Resorts and others was charged in San Francisco Federal Court on charges conspired to utilize their market laterality to repair the hotel monetary values with travel web sites like Travelocity, and Expedia, a subordinate of From this instance we can see that client can non negociate the monetary value because the monetary value is fixed. The purpose of the dialogues is to make up one’s mind the monetary value that is acceptable for both parties ( Francois, 2012 )

From monetary value dialogue procedure it becomes dickering procedure. Negotiations normally follow a procedure of “ positional bargaining ” ( Cutts, 2012 ) . Oxford Online Dictionary give two reading of bargaining, the first is an understanding between two or more people or groups as to what each will make for the other. The 2nd is a thing bought or offered for sale much more stingily than usual or expected. There are two types of dialogue which are distributive bargaining and integrative bargaining ( Robbins & A ; Judge, 2003 ) . Distributive bargaining besides called claiming value, zero-sum or win-lose bargaining is a competitory scheme that is used to make up one’s mind how to administer a fixed resource such as money ( Spangler, 2003 ) . Honeyman ( 2012 ) , interpret integrative bargaining as one of platform which party attempt to understand involvements of another party, on the outlook that it will assisting the opposition to make solution as antiphonal its ain concerns. Harmonizing to Tewart ( 2012 ) , many times people say they do n’t wish to negociate ( dickering ) yet, they still shop about and ne’er pay full monetary value. The word bargaining here does non merely average monetary value dialogue, it is a much differentiated and broader term ( Management Study Guide, 2012 ) . Customer besides can dicker to construct his or her ain trip with or without aid from a client attention executive ( Agarwal, 2012 ) , inquiring whether travel bureau offer travel insurance ( trip – Travel Responsibility Informed & A ; Protected, 2012 ) and a client can seek damages under certain fortunes normally referred as the right to mend, replacing or refund ( Government of South Australia, 2011 ) . These are things that client can ever dicker with travel bureaus.

The freedom for the client is restricted when they make booking through online system. Customer can non corroborate their specific demand when make the online engagement through the hotel reserve system ( Vyas, 2010 ) . For illustration, when they make booking through hotel reserve system and they have something that they do n’t understand, there is no topographic point for them to raise the inquiries. Harmonizing to Lloyd, booking online does n’t hold single to cover with booking procedure, it leaf to client to read and understand the complicated footings and conditions. One of the advantages of booking direct with the hotel, by phone or electronic mail, is that client can bespeak a specific room of the hotel and they can non usually do that online or with an agent ( Trend, 2010 )

Harmonizing to Tewart ( 2012 ) , most people act in their best involvement and most people who say they do n’t wish negociating, really still desire to. This statement shows that clients still love to negociate and online engagement system prevent them from making it. Negotiation is needed in order to procure the resources required for successful undertaking completion ( Evans & A ; Lindsay, 2008 ) . Through negociating win-win solutions with clients, it will non merely give your company the best opportunity to win but will besides make relation between client and your company for future gross revenues chances ( Douglas, 2003 ) . Negotiation besides can increase lucidity about the job, can take to advanced discoveries and new attacks, engagement in struggle can sharpen attacks to bargaining, act uponing, viing and besides can concentrate more attending on basic issues and lead to solution ( Wertheim,1996 ) . Solving jobs that arise in dialogues is an built-in portion of corporate bargaining. The first undertaking is to acknowledge what is the job that occurs and the secondly, is to make up one’s mind what scheme should be taken to work out the job ( Anon, 2012 ) .

Harmonizing to Goodale ( 2007 ) , dialogue is one of the most of import parts in concern every bit good as one of the most interesting parts of professional buying and is portion of the accomplishment and portion of the art. Negotiation is a portion of concern, whether travel bureaus are engaging a adviser, holding to footings with a client or pressing out a trade with a seller, dialogue sets the tone for the relationship ( Belsky, 2010 ) . The intent of dialogue is to make relationship with the client, whether it will be a in long term or short-run relationship is depends on how we negotiate. Negotiations are bipartisan communicating both parties try to act upon how each behaves toward the other in the hereafter ( Goodale, 2007 ) . Good dialogue leads to acceptable solutions that work for both parties and will beef up the relationship with client ( Bader, 2007 ) . The bad dialogue procedure will impact the relationships. Ionesco stated in his article, if we use negative influencing tactics to do certain we get what we want, we besides have to be cognizant of the effects. A bad relationship will happen and our name and repute goes with it ( 2011 ) .


Tourism has experienced continued growing and intensifying variegation in order to go one of the fastest turning economic sectors in the universe, over the past decennary ( UNTWO ) .

Previously, travel industry focused on the travel bureau gross revenues channel. The clients visit the travel bureaus near to them and buy travel tickets or gather information through the aid from the bureau. However, the promotion of engineering, the cyberspace and electric commercialism has cause a large impact to the travel bureaus ( Cheung & A ; Lam, 2009 )

Harmonizing to Cheung and Lam ( 2009 ) , travel bureaus appear to lose in the conflict against the engineering promotion. They are afraid to come in on-line market because they think they are at the rear from the cyberspace. The air hose besides shows that they can get the better of the traditional channels by cutting, and in some instances, extinguishing committees. Some of the air hose online sites offers cutting of air menus and giving excess services for client if they booked the ticket online.

Therefore, based on the continued growing, the kineticss of managing a concern receive alterations due to the combination of engineering promotion into the workplace. Presently, meetings and concern trip have been transformed with the telephone conference or picture conferencing. Telephone calls have been replaced by instant messaging and electronic mails. The promotion of globalisation has affected the signifiers of personal interaction between people. However, with this promotion, an organisation saves a batch of money and can prosecute distant chances ( Goessl, 2008 )

Interpersonal accomplishment is the accomplishment that we use to pass on and to interact with other people, separately or groups. Interpersonal accomplishments can be defined loosely as “ those accomplishments which one needs in order to pass on efficaciously with another individual or a group of people ” ( Rungapadiachy, 1999 ) . This accomplishment is non merely the ability to pass on, but besides the ability to listen and understand.

The most of import affair in this accomplishment is to hold interpersonal communicating. Interpersonal communicating can be define as the process which people use to trade information, emotions and leave through verbal and non-verbal messages ( Seth & A ; Sethi, 2009 ) . Interpersonal communicating is the accomplishment where you will utilize your communicating accomplishments to pass on with people. For illustration, the manner your employees communicate with the populace, or besides known as the clients play a large portion in this field, and if they are a worst talker, this can impact your concern.

Hartley ( 1999, p.20 ) defines that these are the feature of interpersonal communicating.

aˆ? Communication from one individual to another.

aˆ? Communication which is face-to-face.

aˆ? Both the signifier and the content of the communicating reflect the personal features of the persons every bit good as their societal functions and relationships.

Harmonizing to ( Rungapadiachy, 1999 ) , most writers tend to hold on a figure of nucleus countries in which competence is indispensable for effectual interpersonal interactions. The illustrations of nucleus countries are effectual hearing, oppugning, self awareness, assisting or easing. These nucleuss are able to assist us in implementing better interactions between two people and besides assist to heighten better communicating.

Communicationss can besides be delivered through non-verbal communicating. Non-verbal behaviour are besides considered as communicative activities and it helps to observe and reflect the messages, it is besides seen as a cardinal interpersonal accomplishment ( Harrigan, Rosenthal and Scherer, 2005 )

Harmonizing to a research from the Institute for Executive Development, deficiency of interpersonal accomplishment is the first chief ground why employees and besides directors do n’t run into public presentation outlook. Raybould and Wilkin ( 2005 ) have done a study and resulted bulk of 371 cordial reception directors considers that there was a important demand for alumnuss to hold a scope of generic interpersonal and human relation accomplishments. Harmonizing to Blades, Fauth and Gibb ( 2012 ) , soft accomplishments, or besides known as interpersonal accomplishments can be seen as stepping rocks to procuring paid employment.

Alliance of British Industry ( CBI ) has done a study late and resulted that the employers do non expect everyone geting ‘job ready ‘ but do anticipate immature people to get down literate, numerate and with good employability accomplishments. These employability accomplishments – including job resolution, squad working and clip direction accomplishments – are frequently considered by employers to be every bit of import as formal makings.

Harmonizing to Wheeler ( 2005 ) there is a survey that says 90 per centum of executives ‘ failure is coming from interpersonal competences, which means factors such as taking squad, developing positive work environment, retaining staff, animating trust, and get bying with alteration. Emotional intelligence significantly impact leading success ( Wheeler, 2005 ) .

Good interpersonal accomplishments are of import because it acts as unseeable gum which binds relationships together. Without those accomplishments, it will do much hurting and adversity for the client and associates ( Sihera, 2007 ) . There are many signifiers of communicating available, such as organic structure linguistic communication, written word, unwritten communicating, face to face and touch. These are the illustration of actions that most of the people use every twenty-four hours to convey their messages. Particularly to cordial reception industry where they will confront clients every twenty-four hours.

Harmonizing to Hodges and Bruchell ( 2003 ) when covering with clients and outside organisation, it is of import to implement unwritten and written communicating. Therefore, the effectivity becomes really of import in finding the efficiency which shows the public presentation of an organisation as a whole ( Sethi & A ; Seth, 2009 ) . Gewerts ( 2007 ) cited that even straight A ‘s pupil can non trust merely on academic accomplishment ; they need to larn “ soft accomplishment ” as a tool for their endurance ( McElroy, 2007 )

Harmonizing to Fennel ( 2012 ) interpersonal accomplishments is made between communications of two or more persons, which is decently said that it has many maps within concern. Harmonizing to Marketing Institute of Singapore, interpersonal accomplishment will develop positive clime at the workplace and will enable the workers to interact positively within the changing and disputing working environment. Besides hospital industry, other industries besides utilizing this interpersonal accomplishment in developing their calling. Medical profession as well is in demand of utilizing interpersonal accomplishments. Doctors need to develop their interpersonal accomplishments as a critical tool on learning undergraduate pupils and station alumnus physicians ( Ng, n.d )

In technology sector, coordination is a important affair and permeant feature within a figure of reading attacks to direction of technology such as concurrent technology and theoretical accounts of the technology design procedure ( Hazmilah, 2008 ) . So, communicating is needed. Harmonizing to Coates ( 2004 ) , interpersonal accomplishments are of import in order to do certain the coordination and work flow between the applied scientists is working positively. Entrepreneurs are doing interpersonal accomplishment necessities in their callings because it is one of chief factor to do them successful. To them, interpersonal accomplishment is similar with pull offing people. If they are able to pull off people in a friendly, just and nice manner without doing them experience estranged ( Phillips, 2008.

For many decennaries, employers and besides pedagogues are kicking on lacking of interpersonal accomplishments or soft accomplishments of their pupils. Schulz ( 2008 ) is making a research on the importance of interpersonal accomplishments to pedagogues. Harmonizing to him, soft accomplishments can be use to determine people ‘s personality. All pedagogues want their pupils, particularly from third instruction establishments non to be good merely in their field but matures personalities with balanced, rounded off instruction. This characteristic merely shows in soft accomplishments but non difficult accomplishments.

Generation nowadays has grown up being so attached to Internet and we can state that they are depending on it. These people are missing in carry throughing people sufficient accomplishments to market themselves at work. They are first-class in making online, but one time they are offline, they can non manage the work right.

Cordial reception industry is one of the industries that are in demand of holding interpersonal accomplishments. Harmonizing to Whitelaw, Barron, Buultjens, Cairncross & A ; Davidson ( 2009 ) , it is of import for any cordial reception alumnuss and employees to specify the accomplishments and competences in order to reflect the demand of the industry. Harmonizing to Brodrick ( 2012 ) , to be in the cordial reception industry, we have to be a people individual. This is because, cordial reception industry is about the art and scientific disciplines of doing people experience welcome and comfy.

Opperman ( 2009 ) has said that it is of import for a travel bureau to fulfill or run intoing their client demands and outlooks today. The travel bureaus are having force per unit areas from their rivals. The circuit operators are overly seeking to sell off their merchandises to their clients in order to have net incomes for the bureau.

Therefore, harmonizing to Tas ( 1988 ) the accomplishments and activities that are believe of import keys in executing occupations are competences. Brophy and Kiely ( 2002 ) besides saying attitude is portion of competences. Competences can be defined as a “ bundle ” of accomplishments, abilities, and cognition that can be used as currency out in the work force ( The Department of Education, 2002 ) . Harmonizing to the World Travel and Tourism Council ( WTTC ) ( 2007 ) , the United States ‘ travel and touristry industry is expected to bring forth $ 524.5 billion dollars of economic activity with 15 million occupations in 2007, and $ 851.0 billion gross with 16.1 million occupations by 2017.

Harmonizing to a newssheet by C.R Bard Inc ( 2009 ) , there is from old survey that supported that is the most critical for new employees to posses ‘ interpersonal accomplishments. There are studies that have been done and proved that the 1 who have interpersonal accomplishments is the 1 who is most utile for the occupation. Great interpersonal accomplishments non merely applied with the clients, but besides with the top direction. The great relationship between subsidiaries and top direction are likely 2.5 per centum to fulfill their occupation, more productive and more engaged with the client. Thus it will take to client ‘s trueness and increase the volume of gross revenues of an organisation. In the newssheet besides stated that with great interpersonal accomplishments, it will cut down employee ‘s turnover and therefore will besides cut down the clip to develop and engaging new member to the squad.

Therefore, it is extremely recommended for all travel agents to get the hang interpersonal accomplishments because interpersonal accomplishments is one of the soft accomplishments required for anyone who wants to accomplish great success and it is required for about every line of work ( Tramontano, 2012 )

2.4 Niche Market

Niche selling is the procedure on concentrating a selling attempt on a peculiar subject or finish. Many travel agents are avoiding this construct because they are scared of holding turn away concern other than the chosen niche or being excessively specialized with the niche market. However, niche market is one of the best ways of selling to a group of clients in an effectual and cost efficient manner ( Earls, 2011 )

In order to prolong travel bureaus operation in touristry industry, travel bureaus should hold their ain niche market in order to maintain them survive. It is true that many people turn down on travel agents when there are on-line booking tendencies, but many besides come back because of the travel agents expertness, which is on-line booking ‘s lacking. Harmonizing to Juma ( 2009 ) , travel and circuit operators are utilizing niche market to capture portion of the multi-million touristry concern.

So the niche market for travel bureau is for those who are non familiar with other options, they are booking less on the cyberspace and merely mention to the cyberspace for general information ( Sabo, 2011 ) . Sabo besides stated that online booking truly changed the manner single and concern traveller happening their hotels, airfares and price reductions on travel bundles. He besides stated that northern travel agents said that client who needed customized services and travel agent expertness in travel and touristry maintain them in concern.

Harmonizing to Sabo ( 2011 ) , travel bureaus chief niche market is still corporate traveller because Internet is non good for complicated travel programs. They are required to keep a seminar or an event which is necessitating full attending and devour more clip. As a corporate people, there is no clip for them to study on the finish or other touristry demand to travel on a travel. So they will entirely depend on travel agents to make it for them. Most popular corporate travel is company meetings, household yearss and incentive travels.

Sabo ( 2011 ) cited that when more travellers get downing to utilize on-line engagement, the travel agent ‘s gross is worsening for some old ages, but many has come back for travel agents ‘ expertness ( Dave Wendell, 2011 ) . Wendell added that some people are non familiar with other picks they can hold, so they are utilizing Internet more on information intents instead than utilizing it for booking.

One more niche market for travel bureaus is the senior citizens, or the aged. They are the sort that wants to bask their life and want to pass their brawny nest eggs for memorial experience. Harmonizing to Clark ( 2012 ) , senior citizens are those groups that look frontward towards going after they retire. They will seek for travel bureaus because they are non really familiar with engineering promotion. Travel agents organize paths, expression for the best trades for them, set up circuit groups and maintain current on travel advisories.

Chipkin ( 2012 ) interviewed Bill Todd, a gross revenues trainer and motivational talker about niche market. Harmonizing to Todd ( 2012 ) , concentrating on niche market is the best manner in selling luxury travellers. It is because, utilizing niche selling scheme is easier and cost-efficient. It is besides more profitable.

In order to develop a touristry merchandise for niche market, it must run into the demands of the market itself and must be based on the apprehension of visitant market features and penchants ( Sustainable Tourism Online, 2010 )

Olmsted ( 2012 ) stated that a good travel agent is ever there for you. For illustration, people can book flights, auto lease and adjustment by themselves by online. It will travel merely mulct is there is nil bad happen. What if your flight is cancelled and need to wait in the line to be rebooked? At that clip you will wish for a travel agent to assist you out in those affairs. Olmsted besides added that travel agents know more that you do and they have the entree of benefits that you would n’t acquire. They can be after anything for you and supply safety such as insurance during your travel. Travel agents will do you experience like a VIP, no queuing, private ushers, and cheaper airfares.

Harmonizing to Earls ( 2011 ) niche market is one of the ways to assist go agent to concentrate in turn uping new client. It is non needfully altering your full concern to one type of travel, it is about concentrating and sectioning selling attempt to a peculiar groups of people. He besides added that the advantage of using niche market selling is. it helps the travel agents to turn up their possible clients. If they marketing general travel, this will do all of the clients their possible client and the travel agent will be given deficiency of focal point in fulfilling which client foremost. For illustration, if the travel agent ‘s market is “ golf players ” , they know where to happen them. This tends to be less dearly-won. By larning more about their niche market, it will allow the travel agents understand the people and acquire to cognize their penchants and demands, so that they can function the clients better.

Presents it is indispensable for travel agents to hold their ain niche markets. For illustration of travel niche market is spa finishs, nutrient and vino Tourss, athleticss circuit and book nine travel, indirectly will give more power to go agents to vie in complex and rapidly changed travel and touristry industry. It will besides supply more value, alone individuality in the market and decidedly can spread out their concern ( How Travel Agents Can Increaseaˆ¦ , 2011 )

Niche market is considered of import because it appears to be a factor for both client and agent, as travel agents seek to set up their cognition and expertness more than their rivals and as client programs their travel gate away ( Glatt, 2009 ) . By capturing the bosom of the specified niche market, a travel agent has the advantage of puting themselves apart from the other travel rivals ( Fetsch, n, vitamin D )

There is a study done by The Amedeus, that the power of Internet has doing the expertness in travel industry to publicize specialised service to possible groups of client ( Crosett, 2009 ) . Fetsch ( n.d ) claimed that by concentrating on particular involvement groups or niche market, it is one of the certain ways to do net incomes in today ‘s travel industry, by which if you know the inside informations. He besides added that by supplying travel experience to a certain group, can be a great plus for the agent.

Hetter ( 2012 ) claims that, harmonizing to American Society of Travel Agents, there are fewer travel agents in 2010 which is 105,910 ; compared in 2006 with 111,000. There are besides fewer of travel bureaus, 14,800 bureaus in 2010 compared with 18,850 in 2006 ( ASTA ) . This is because, this is the age where all travellers depends on the Internet to book flights, and hotel reserves. They have tonss of entree to information, because they want clip salvaging counsel, exclusivity and security in a complicated universe. So the bureaus need to get down offering more service than cyberspace can offer. They can supply adept advice, concealed price reduction monetary value and more.

Nowadays, there are assortment of niche market that are available and will be developed depends on the supply and demand from the client. The development of merchandise should be based on the clients ‘ demand and demand. So, the agents need to understand their client ‘s characteristic, behavior and besides penchants. The illustration of demand that has been developed includes Farm and Country Tourism, Ecotourism, Bird-Watching, Cycle Tourism, Indigenous Tourism, Adventure, Health Tourism, Backpacking, Educational Tourism and besides Gay and Lesbian ( Sustainable Tourism Online, 2010 )

The cyclical fluctuations in touristry industry is non the same like usual. The industry demand to update their concern scheme to do certain their merchandise stay fresh and acceptable in the touristry market which is invariably altering because of new rivals, advanced engineering and besides the unstable economic system ( The Times, 2012 )

There are many grounds why people still choose travel agent compared to online engagement ; foremost the online engagement is confounding the client on what they are selling. Second, there are monolithic detonation on of limitations and fees, and more of import is despite of being “ smarter ” and handy than of all time, on-line engagement has excessively manner many dead terminals. It means that the purchaser will hold the inability of acquiring seats together, unable to lock menu in such a short clip and they besides can see vanishing fare gross revenues ( Why You Still Necessitate A Travel Agent, 2012 )

Harmonizing to Wooldridge ( 2007 ) , it is true if you book a simple flight ticket, you would non necessitate a travel agent. But for complex paths, Tourss and sails and other expensive trip, utilizing an agent ‘s can salvage clip, stress free and besides saves your money

McCluskey ( 2012 ) , quoted a research by the American Society of Travel Agents, which shows that travel agents books 85 % of all sails, 70 % of circuit and bundles, 50 % of all air hoses tickets, 30 % of all hotels and 25 % of all auto leases. McCluskey besides stated that most of the engagements are coming from corporate client.

There is a research statistic from The Bureau of Labor Statistic that estimates that there are about 63,500 travel agents in USA, which many is specialize in niche countries of travel ( McCluskey, 2012 ) . He added, those bureaus that are concentrating on concern travel recovers rapidly in touristry industry, compared to those who focused on leisure travel.

Harmonizing to Juma ( 2009 ) , Travel and Tourss industry have realized the importance of niche market and now the travel and circuit operators are suppressing and working the niche market to seek for their client ‘s attending in order to increase the volume of gross revenues for their travel bureau in touristry concern.

There are many responses that focus on the chance that niche market has supply us and niche market has the strong potency in the following five to ten old ages. They think by concentrating on specialisation is the key ( Lawton & A ; Weaver, n.d ) . For illustration there is one market that is untouchable by universe events and such, which are honeymoons and nuptials. This is because ; people will ever acquire married and wants to travel travel for their honeymoons.

Harmonizing to Garkavenko, Bremner and Milne ( n.d ) , the development of information, communicating and engineering ( ICT ) has changed the competitory environment in the New Zealand travel market. It is difficult for them to retain their traditional function as the mediators. Therefore, the being of niche market and creative activity of web are their chief schemes for endurance in their touristry industry.