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home | Glossary
 
Glossary
Glossary Of Terms

Ever wondered what certain words or phrases within the industry mean? Are you sometimes embarrassed by not knowing the industry terms or are confused because different terms can often mean the same thing? Your troubles are over... Here's a handy glossary and reference source of common terms used within the industry and throughout this website.

Activity
Something that a visitor actively participates in and is part of their vacation experience such as bungy jumping, swimming with dolphin, sailing, kayaking etc.

At Home Agent
At Home Agents are people who work from home but are affiliated to larger retail agencies who provide the office support, CRS booking networks and most administrative functions on behalf of the agent.

Attraction
An attraction can range from anything a visitor pays an entrance fee to view. e.g. a museum or gallery or a natural wonder/location that provides something of interest to the visitor e.g. Uluru/Ayers Rock in Australia.

Channels of Distribution
How you make your product or service available to your audience. For example, a hotel could use traditional channels: ITO to Wholesaler to Retail Agent to Consumer, or they could go directly to the consumer. The channel is the vehicle they use to get the product to the target market.

Consortium
We refer to a Consortium as an organized group of Retail Travel Agencies who pay for the privilege of belonging to a larger marketing body where the benefits of membership help increase visibility and drive sales back to the smaller retail agency groups. Consortium examples in the USA include Virtuoso, Ensemble and Signature Travel amongst many others.

Convention and Visitors Bureaus (CVB's)
Refer to Regional Tourism Organizations

Destination Marketing Organization (DMO)
An independent company or organization that is contracted to market a destination (Country, Region or local community), either globally or to a specific target market, for the purpose of increasing tourism to the destination.

Distribution
Refer to Channels of Distribution.

Domestic Travel
Any travel undertaken within the traveler's own country.

FAMILS
Also known as Familiarizations and Fams - A free, or heavily discounted, tour provided to travel agents and media where the organizers cover many of the costs along with the airline and product suppliers who participate. The objective is to educate the agents and to increase media coverage of the destination.

Free Independent Traveler (FIT)
Generally used to describe independent international or domestic travelers who prefer to make most of their own travel arrangements. While some of their travel will be prearranged most often they will book accommodation and activities as they go.

Frontline Agent
A phrase often used to refer to any retail or wholesale agent that attends to the incoming enquiries and makes the reservation.

Inbound Tour Operator (ITO)
We refer to Inbound Tour Operators as companies who package individual travel services (e.g. accommodation, activities, attractions, transport etc) within their own destination and are acting on behalf of international wholesale companies in coordinating all the land/ground components of an independent itinerary or package.

Infrastructure
A destinations' infrastructure is made up of all the services and facilities that are necessary for the daily lives of local citizens and that which the tourist benefits while on vacation.

International Travel
Any travel undertaken outside the traveler's own country.

National Tourism Organization (NTO)
Typically Government funded a National Tourism Organization is responsible for the promotion of the destination (Country) internationally and sometimes domestically. Their objective is to raise awareness of the destination, increase visitor numbers and to foster sustainable growth in order to reap the economic benefits that tourism can provide.

Online Travel Sellers
The online environment provides a myriad of opportunities for tourism suppliers however, it is a labyrinth. Therefore we have agreed on two categories. 1. Online Travel Sellers who purchase packages from Wholesalers then combine these with flights before on selling to the consumer, and 2. Online Travel Sellers who buy direct from the supplier and on sell to the consumer without flights. Each requires different marketing tactics.

Online Travel Guides
As well as providing printed versions most popular travel guides such as Fodor's, Frommers and Lonely Planet (to name just a few) have extensive websites offering travel advice and suggestions on nearly every destination in the world. Travel Guide sites are the most popular source of information for the avid traveler.

Online Travel Communities
Encompasses the entire social media sites where both travelers and the travel trade can share information, discuss travel options, address concerns or praise product.

Operators
(Refer to Suppliers)

Package Travel/ Tour
Package travel covers prepaid, all inclusive leisure packages such as coach tours or pre booked organized itineraries often undertaken by groups and budget travelers or because the travel option is preferred by the specific destination or country.

Product
Refers to the end product that is the accommodation, activity, attraction, restaurant or tour, which the consumer experiences when on vacation.

Product Development Manager (Wholesaler)
The person within the Wholesale company responsible for sourcing new (supplier) product and negotiating the rates that will enable the wholesaler to package, promote and on sell the product to the consumer or retail agency.

Providers
(Refer to Suppliers)

Regional Tourism Organization (RTO)
Regional Tourism Organizations (RTO's) or Conventions and Visitors Bureaus (CVB's) or any other local entity is primarily responsible for the promotion and development of the region. They often work with the STO or NTO for international marketing purposes and local councils and economic development units for the long-term growth and sustainability of tourism in the region.

Retail Travel Agent
(Or Retail Agents) Sell travel services directly to the consumer. Although primarily a booking agent Retail Travel Agents provide destination and product information and many other services that meet the specific needs of their client.

Semi Independent Traveler (SIT)
Generally used to describe independent international or domestic travelers who tend to prearrange most of their travel before departing but will leave some days open to flexibility making arrangements for these days as they go.

SME
Small and Medium Enterprise - this is typically a tourism business with 50 staff and less and is not part of a major tourism chain e.g. Hilton Hotels.

Social Media
Is a broad term used for online technologies that enable people to share and discuss information through platforms such as blogs, video and image sharing, social networking sites - Examples include YouTube, Flickr, facebook, twitter and TripAdvisor.

State Tourism Organization (STO)
Depending on the size of the country tourism promotion and development responsibilities can be divided between an RTO and STO. The RTO works at the local level and STO represents all the regions' interests at a Federal level. This can also include the marketing of the destination, advising government agencies on key issues, provision of information on travel trends and communicating regional expertise to NTO's.

Superstructure
A destinations superstructure relates specifically to all the services, facilities and amenities required to meet the needs of the tourist e.g. hotels, activities, restaurants, information centers, additional transportation etc.

Suppliers
Also known as Providers or Operators. Suppliers are the end product. Accommodations, activities, attractions, restaurants, transportation or any other service that the traveler actually uses when on vacation. Suppliers work with ITO's, Wholesalers and retail agents as well as sell direct to the consumer.

Tour Operator (see also Inbound Tour Operator and Wholesaler)
To avoid confusion we refer to Tour Operators as Wholesalers if they are located in the same country as the traveler. For example if a retail travel agent arranges their clients international travel with another travel entity in the same country, then that entity is what we call a Wholesaler (not Tour Operator). If the retail agent or the Wholesaler books the clients travel with an operator in another country then that international company is whom we call the Inbound Tour Operator (ITO). Please refer to Distribution Channels in the Tourism Business Handbook for more information.

Tourism Industry Association (TIA)
Tourism Industry Association - an independent body, which assists local tourism suppliers with information on industry development and training as well as tourism policies. Not all countries have an established TIA however, many have similar entities where information can be gathered in regards to setting up a tourism operation in your country.

Travel Aggregators
Travel aggregators are search engine sites that pull together information from many sources to give consumers the best travel deal options available on the net. Consumers simply add the search criteria for their travel requirements and the site crawls the net to find the best deals. If they find something they like they can click through to the website the aggregator has found or use the information for further reference. Example Aggregators are: Expedia, Orbitz, Travelocity and hotels.com

Travel Packagers
Are web based travel companies who package travel for travel agents and the consumer? Typically they would work with Inbound Tour Operators in each foreign destination who will then handle all the ground/ land arrangements, or they purchase direct from the supplier. Package travel can be for individuals or groups. A web based Travel Packager operates the same as a traditional Wholesale company. Example of Travel Packagers are: PleasantHolidays.com, AppleVacations.com and Funjet.com

Wholesaler
A Wholesaler packages tour programs and itineraries on behalf of retail agents. This means that they take all the details about the travel requirements and then either work with an ITO within the chosen destination to coordinate all the ground arrangements or book direct with the suppliers. Please refer to the Tourism Business Handbook for more information on the channels of distribution.

Wholesaler Brochure
The brochure a Wholesale company produces and distributes to both the trade and consumers. This is a standard brochure, which gives an overview of the tours and packages the wholesaler provides. Suppliers who are listed in the brochure are often asked by the wholesaler to contribute via a marketing fee to the production and distribution of the brochure.

Travel Trade
Any business or entity that is involved in providing the traveler with all the elements that makes up a vacation experience. E.g. airlines, wholesalers, retailers, suppliers, NTO's, STO's etc.

Travel 2.0v An extension of Web 2.0 (which relates to the social media phenomenon) but is much more specific to the travel industry. With more and more travel being researched and booked online Travel 2.0 comprises of four key categories: online travel agents, online travel guides, online planners and the online travel communities and forums..

Web 2.0
Considered the second generation of web development and refers to user generated content and social media platforms such as blogs, wikis, social sites such as facebook, content sharing etc.

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