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Mobile Travel Applications Analysis Marketing Essay

Paper Type: Free Essay Subject: Marketing
Wordcount: 2401 words Published: 1st Jan 2015

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Tourism and hospitality are one of the most significant fields in the area of the business from which many people nowadays are living from. Statistically said, every third person nowadays, sees the tourism as an effective business that could bring them additional revenue. Therefore, people are taking chances in opening tourist agencies, establishing chains of hotels, restaurants and much other different commerce’s with elevated optimism and expectations. However, the path of true success is not quite easy, especially in these days, when the world is facing with huge economical crises. Subsequently, the competition in the area of the tourism rises rapidly every year. Therefore people must think of unique ideas in order to dominate in this “world of craft businesses”.

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Many countries in Europe are considered as top tourist destinations for many years. Conversely, The European travel and tourism is expected to record a weak performance in 2011 as a result of the global economic crisis and growing competitions commencing the other regions. According to some statistics, transportation and travel accommodation are expected to stagnate. Since the beginning of the crises, as a result of the decreased salaries, people are not able to profit enough; therefore many of them are decided to reduce the tourist traveling activities, some of them even ready to engrave it. Therefore, the ability of European travel operators to develop new products, as well as embrace new technologies, will play an important role in the future of the travel industry.

Europe: Key Performance Indicators 2009-2011

% growth












Spend per arrival, value




Hotels, value








Travel retail, value




Source: Euromonitor Internatonal, IMF

“Tourism is proving to be one of the most resilient sectors and can be a strategic vector in the way forward, as global economic conditions continue to deteriorate.” This is among the main conclusions of UNWTO’s European member states meeting held in Baku, Azerbaijan on the occasion of the 49th UNWTO Commission for Europe.

In order to improve the tourism demand and increase the percentage of tourist trips per year, the tourism should focus on the system of promotion, consecutively to develop a unique way of easy access that would help and encourage the people to make a decision to travel, yet to provide them booking at last minute. One exceptionally improving technique that nowadays is quite used is the mobile travel applications. The tourism agencies should concentrate on “Planning a mobile strategy”. The mobile phone is probably the most productive customer product that was invented ever.

According some market researches, there are about 4 billion users in the world, and that number is going to increase up to 5 billion the next several years.

Mobile phones as well as their different applications are more widespread than cars – around 1.4 billion instead of only 800 million registered vehicles in the world.

Advertising and implementing landline phones throughout the world caused hard work for almost 100 years, at the same time as for their wireless descendants needed only 16 years.

As a result:

Travel agencies as well as any other tourist industry should treat the mobile phone as one new platform that facilitates quite different and unique opportunities for promoting and selling their products and services.

They should think of using their capabilities constantly and improve mobile travel applications since their use is growing rapidly.

With the help of the mobile applications, the tourism companies will be able to reach new level of operational efficiency in general, followed by great improve and success.

Smart phones are the latest technology and in the same time the finest weapon that has being developed the last few years which the tourism industry can use it. Throughout the internet, people nowadays are searching for places to visit, hotels to stay, attractions to see etc. Therefore, the hotel industry came up with a brilliant idea how to provide all these information to the customer with only one click on their cell phone. The 3G adoption provides the people fast internet access through any web site that they want to rich. New 4G networks are being implemented in 2010-1012 in order to improve mobile Web speeds and reliability. Additionally, various applications for traveling are established and developed which help people in their choice of destination, the way of transport that is most appropriate including even the smallest details (The GPS systems that lately are installed in most of the smart phones), broadcasting weather programs and many other applications that helps one person in his/her choice of tourist trip. Finally, this technology provides the customers even booking in last minute (this is especially important for the businessmen).

Usage of the 3G connection in % in the last 3 years

Source: Kelsey Group, ComScore, The Wall Street Journal and PhoCusWright Inc.

Technology development these days has reached an extraordinary level. It is a miracle what it has done in the last 20 years. Many of the latest technological products that we used to utilize are now combined, well planned and reconstructed in small unique “pieces of advanced technology” which have multifunctional ability.

Source: PhoCusWright Inc.

The advantages are initially, their compatibility (they can be carried everywhere), the quality and live expectancy and most of all, their multifunctional ability. Furthermore, they are designed in such a way so people can have easy access on all applications in less than a minute. What is even more important is that yields new capabilities are not found in any of these devices. That makes these “pieces of advanced technology”, the most sophisticated and adequate solution for the tourism market.

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One example of these products that made a boom since the beginning of its production is the I Phone. This smart phone was for first time presented before few years from the Apple Company as their newest invention – combination of computer, cell phone, camera and MP3 player all together mixed and combined in one portion of perfection and Source: PhoCusWright Inc. simplicity, which instantaneously defeated the competitors. As a result of its unique system, people’s interest regarding this exceptional device, has grown up rapidly in such a short period of time.

Tourism industry finds its capabilities quite useful in order to reach their goals. Once more, this unique device, as a result of its advantages such as innovative touch screen interface and the first practical web browser, occurs to be perfect tool for advertising their products and services. Furthermore, the change in product definition paradigm – from mobile phone to portable computing device, made this device to be simpler for use. In that way, people will be able to get access to any information much easier. As it was already mentioned, the 3G and now lately, the 4G connection that gives this phone even quicker internet access, together with the numerous applications makes this small gadget, a powerful source of information.

Another quite smooth move that the Apple Company has made so far, is involving the App stores as part of the device. According to some researches, this program in May 2009, has listed over 2000 travel apps, giving the travel category about a 5.4% share (5th largest). Since they have included other travel-related apps in additional categories such as weather, travel ranks up to #4. All of these so far mentioned abilities that these device posses are going to make a revolution in people’s lives and in the same time will play a big role as a unique asset – weapon in the tourism industry. According to me, these small pieces of new technology will be “the guilty ones” for the future success of the tourism industry.

Since the mobile applications are being developed and available for people, the next step should be how to improve them and make them easy for access and work with in people’s each day live. Therefore, fresh ideas would have a positive effect;

The very first task would be Empowering Mobile Travelers.

– Since the mobile travel applications are available, people could have self service. For example, the bookings, the changes as well as the cancellations could be part of the applications. In that way, people will be able to make their reservations, or they can even make cancelations within the same moment instead of going to that specific place – company, in person.

– During trips, people may feel safety since they possess a smart phone for the reason that they are equipped with mobile concierge services (LBS/maps, video, podcast). Lately among the installation of the GPS devices in the smart phones, people may be encouraged to go for a trip. The Global Positioning System provides the user detailed road map with voice guidance until the smallest details. Subsequently, if these GPS programs can be enhanced with even more improved and more detailed maps, gathered with as many as possible languages concerning the voice guidance, people would have no apprehension to take decision for a trip in any place in the world.

– In addition, people could use their smart phones for forums, On-site social networking for conferences or leisure/resorts. In that way they will be able to chat and collect information regarding the product or service that they are interested in. Furthermore, they can have guest special services, such as reservations for spa treatment.

Furthermore, with improving of the travel efficiency throughout mobile travel applications, the tourist industry could gain and develop the trust of the customer. With another words, the tourists would be more confident in using the products and services that the company provides;

– Concerning the mobile check in, expedite of the front desk check-in process would be superior. People could have a full mobile check-in with all necessary forms and information included.

– The same refers to the mobile check out. A customer should be able to have full information, charges approval and ought to have mobile receipt. In that way, the customer would be pleased, and since they are satisfied, the chances to come back are high.

– As for the room entry, an improved secure entry vie mobile keychain is crucial.

– In order to increase the bookings percentage, promotions could be offered. For example, when using the smart phones for internet, people could receive some messages concerning last-minute deals or time-limited offers with a certain discount. Since they use the smart phone, they would be able to locate and utilize the offer.

– Regarding the transportation, especially the airlines, with the use of mobile travel applications, people would be able to gain information concerning the schedules, the flight details, look for any promotions, and even book tickets throughout their mobile phone.

Generally, after the short description, concerning the I Pone, we could state that smart phones are the revolution in the travel industry, especially with the latest implementation of the geo – localization services based on GPS technology. Regarding the Global Positioning System, a detailed updating would have quite great effect. With another words, since this brilliant technology has being discovered, a small sophistication would make it even more used and appreciated. How can be that done? Simply with just adding the program additional description of every city, location that we want to go, advanced search available with voice control.

According to Ovum’s statistics, Smartphone penetration is expected to achieve 92% until 2014 in Europe. In addition, they expect their newest product that is still in its beginning of production, the I PAD (a unique combination of the computer technology based on the I phone design), together with the I phone to replace the use of the traditional computer technology.

Finally, in view of the fact that mobile technologies as well as the applications are being developed and used in such way that gives the tourism industry and extraordinary results, the next task would be, what will the technology provide in the future in order to contain this successful approach?

There are many ideas, plans and schedules that are being taken in consideration. Yet, people must not undertake the fact that, mobile phones and their applications are one significant factor that has occurred lately, which can provide the tourist industry a great future; travel and tourism companies in Europe and all over the world must put an accent on this question and come up with a unique idea how to follow and pursue every interesting idea that will occur. To remain competitive, travel operators will need to provide a web site especially designed for mobile phone search and potentially mobile travel applications, and finally partnering with developers and keeping touch with them in the finest relations.

“Mobile is currently in the throes of a land grab by organizations that until now were unconnected to travel distribution, seen as a potentially lucrative area for companies outside the sector to make inroads.”

“The likes of Google and Apple do not have the cumbersome baggage of legacy systems and historical relationships, can easily acquire technology and expertise and have the brand equity to pull it off.”

Kevin May

Reference: Journalist, Editor and Co-founder,Tnooz




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