Question

Define distribution and note it's relevance to tourism and hospitality?

Answer 1

Distribution is one of the main factors in the marketing mix process. It ensures that the product or service reaches to the customers. The product should be available at the time when the customers need the service or product. It is merely the spread of the product in the entire marketplace so that every customer gets it. In the tourism industry, the companies tend to either use travel agencies or tour operations to spread their tourism facility in the market. The travel agencies are of two types: Retail or Wholesale.

On the other hand, tour operations come into effect according to the territory like domestic or foreign. The companies also use intensive, exclusive, or selective distribution strategies. The intensive strategy involves the distribution of service at low prices. On the other hand, selective distribution extends to more than one distributor or retailer. The distribution channel in hospitality includes distributing the services through online platforms or the offline platforms like retailers. The online platforms include Makemytrip, which helps the consumers choose from a wide range of alternatives. However, in a shop or offline platform, the consumers do not have many options. Hence, the industry tends to expand the operations by way of online platforms and advertisements. The offline retailers have lost their importance in many places. Hence, distribution plays a vital role in many industries.