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Chapter 7-Travel and Tourism

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1 Chapter 7-Travel and Tourism
Extra Specials: Other Segments of the Travel Industry

2 OBJECTIVES Explain the motives behind renting cars and choosing rail travel Describe the car rental and rail travel industries and experiences Interpret how car rentals and train travel are priced Identify the main types of destinations marketing organizations and what they typically do Describe how other suppliers fit into the travel industry “landscape”

3 Terms: Convention and Visitors Bureau Convention Center
Destination Marketing Fleet Meeting Planner Options Tourist Office

4 Car Rentals

5 Car Rentals-Rental Motivations
To get around easily- flexible transportation To save money-cost less per person Navigate and experience destinations To do business To replace your own car To try a car before you buy one Because you prefer driving vacations

6 Car Rentals The down side to rentals Driving long distances- tiring
Unfamiliar roads Scarcity of parking Toll roads Cost of gasoline Heavy traffic Foreign-Language signs

7 The Business of Car Rentals
Car rentals may be corporate owned or franchised dealers Some car manufacturers have major stock in car rental companies

8 The Business of Car Rentals
High competition Often low profit margin Effected by fuel prices, airfares Work closely with travel agencies, air carriers and often target corporate travel

9 The Business of Car Rentals
There are many job titles in car rentals Retail Sales Agent: works the car rental desks at airports or at the lots Service Agent: prepares and cleans the cars (also mechanics) Shuttle Driver: transfer customers to and from the airport Manager: works at all levels and departments

10 “THE BIG 8”

11 “The Car Club” Most major car rental firms feature car rental “clubs” which allow members special privileges such as expedited check-in, lower-mileage cars, and select vehicles

12 What Car Rentals Cost The number-one factor of cost is: category or class of car Subcompact or economy-very small cars, 2-seater Compact-Cavalier or Neon, just above subcompact Mid-size-3-4 people, some options & comfort Full-size or Standard-Family car, comfortable Premium-some luxury, may be larger than standard Luxury or deluxe-most upscale class, Lincolns, Cadillac, prestigious Specialty-catch-all class, SUVs, Convertibles, minivans, jeeps, trucks Mercedes, Jaguar, motorhomes

13 What Car Rentals Cost What the rental basis is: daily rate, time plus miles, or just mileage How many days involved-Weekly rates have discounts What insurance you take-your personal insurance usually covers you, but you can purchase extra

14 What Car Rentals Cost Fuel option: either return the car “full” or purchase the gas in the tank when you pick up the car Which days you drive: weekdays cost more, weekends cost less Where you rent: certain markets have lower rates

15 What Car Rentals Cost What season you travel: peak travel days have higher rates, off-season lower rates How many cars are available in one location: more cars, lower prices More than one driver: extra fee for extra driver

16 What Car Rentals Cost How a car is booked: Web rentals are often lower
What taxes are levied: all sorts of taxes are added Which coupons are used: set discounts, free days, upgrades Special amenities: ski or bike racks, child safety seats, navigation systems

17 This and That Information
Most car rentals require the driver to be at least 25 Most require a credit card Many companies resell cars on their own lot Your personal auto insurance or credit card coverage may not cover you in other countries Must have a valid driver’s license

18 Careers at Car Rentals Manager or Director Reservationists
Rental Sales Agent District Sales Manager Clerical Support Human Resources Maintenance Fleet Supervisor

19 Rail Travel

20 4 Major Categories of Rail Travel
Transportation Rail: commuter trains to long- distance trains, everything in between High-Speed Train: “Bullet Train”, often the fastest way to travel-over 100 miles an hour The U.S. has Amtrak’s Acela Japan has the Shinkansen France has the TGV Specialty Trains: Usually privately owned, attractions such as the Orient Express and Africa’s Blue Train Local Rail: Subways, streetcars, monorails for public transportation

21 Trains

22 U.S. “Bullet Train”-Acela

23 Japan “Bullet Train” Shinkansen

24 Orient Express in Europe

25

26 Local Rail

27 Why People Travel by Rail
To save time To experience the environment To save money To “travel back in time” To feel safe while traveling To travel in Comfort To meet people

28 Careers in Rail Travel Director or manager Clerical and Sales
Accountant Human Resources Training Specialist Dispatcher Ticketing Agent Conductors Maintenance Engineers

29 Destination Marketing Organizations-DMOs
Main job is to promote a place or attraction-tell the public about the location They are not suppliers of travel products Often called Tourist Bureaus or Tourist Offices Convention and Visitors Bureaus are in the category

30 Miscellaneous Travel Suppliers
Conventions & Meetings: provide space for conferences are represent a large portion of travel- related business Shopping Venues: shops and stores catering to travel and tourism Attractions: something special, building, theme park, historic village, etc.

31 Web Sites American Association of Museums Amtrak
Amtrak Int. Association of Amusement Parks Int. Assoc. of Convention & Visitors


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