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Domestic Tourism & the UK Market

Lesson 27/29 | Study Time: 60 Min
Domestic Tourism & the UK Market

13.1    Introduction


Even though going abroad is a huge part of the entire industry, it is important that we do not overlook the role that is played by domestic tourism. This is capable of contributing a substantial sum of money and at the same time it keeps an entire industry afloat in basically every country around the world. In this instance we are going to focus on UK tourist destinations and the role that they play within the domestic market to show you  what you need to do in order to satisfy not only people coming from abroad, but also from these shores as well. 


13.2    The Importance of Domestic Tourism


In the first part of this module we will look at the importance of domestic tourism to the entire industry.

In case you were not sure as to what we mean, this is where people stay within the country that they normally reside in and either stay in a location or, in some instances, even just travel for the day to visit a tourist attraction.Domestic tourism is bigger than you perhaps imagined around the world and indeed some tourist boards state that this form of tourism actually forms the backbone of the entire industry.


The World Tourism Organisation states that domestic tourism is the largest part of the entire industry accounting for as much as 83% of all trips. However, it is important to note that this includes day trips to another part of the country and does not only include those trips that have led to them staying at least one night.We can go further with statistics to show how important this part of the market is to the entire industry.


For example

It is anticipated that the domestic market represents some 73% of the total number of overnight stays that take place over a year around the world. It also represents 74% of the total arrivals at a location with these including tourist attractions. Finally, it represents a staggering 89% of the total number of arrivals at non-hotel accommodation which mainly means bed and breakfast.

 

It is important to remember several key factors when it comes to domestic tourism and the people that opt to stay within the confines of their own country when it comes to exploring new destinations.


They know the destinations.

 

There is a good chance that people are going to be more aware of the destination before they even go ahead and book anything. This actually makes your job so much easier as there is less reliance on your knowledge as the people you are dealing with have already done much of the homework themselves.


They know the culture.

 

Another important point is that the people are already aware of the culture and what is expected. Once again this makes your job easier simply because you do not have to spend time educating people on what they are and are not allowed to do. It will also generally lead to a happier customer who has a better time no matter what the destination turns out to be.


They speak the language.


There are also no language barriers to contend with so it is easier for the individual to actually have a better time due to there being no chance of a misunderstanding because of language.


They understand the cost of things and the currency.

In addition, there is no way that your customers are then going to be able to make a mistake when it comes to the currency or the cost of things as they are already familiar with each and every part. This makes it more likely that their entire experience will run smoothly, and ultimately they are going to enjoy their time at their destination which all reflects well on you and your career.

 

But, at the same time, there are certain demands and expectations and indeed it is noted that domestic tourists are seen as being more demanding and surer of what they want. In other words, there is less opportunity for you to persuade them to go somewhere else or visit other destinations as they are generally quite set in their minds.

 

It is also accepted that domestic tourists are looking for a wider range of things to do and experiences to enjoy. This is due to them being aware of the more general things that exist in their country as they hardly want to experience the same thing as they could do back at home if it can be avoided.

 

Overall, the domestic tourism market is one that is quite vibrant in what it can offer people and it is able to do this thanks to the way in which people approach visiting other parts of their normal country of residence.

 

13.3    The UK Market


Domestic tourism plays an important role in the entire travel and tourism industry and it is something that contributes a significant amount to the income that is generated throughout the course of the year.

 

The latest figures related to the industry stated that the total amount of money generated in 2013 was £9 billion. Furthermore, a total of 1 million people are employed in the UK tourism market, which represents almost 10% of the entire number of jobs that exist in the UK.

But it gets bigger and better.


If the market continues to grow at its current rate, then by 2025 it is anticipated that the market will be worth a total of £4 billion per year.It is interesting to look at the projected increase in the market and where it will come from. It is anticipated that there will be a 6% increase coming from international travellers, but at the same time there will be a 3% increase in the domestic market and this is certainly something that is welcomed by everybody involved in the industry.


It is projected that, by 2025, there will be 7 million jobs in the travel and tourism industry representing an increase of some 630, This is a clear sign of the importance of the industry to the UK market.

 

So, what kind of locations are the most popular when it comes to the UK market? It is generally accepted that history and the British culture are important not only to those from the UK itself but also from around the world. That is why London is by far and away the most popular area for tourists, even from within the UK itself, due to the history that is contained within the city.

 

But how do you handle the UK market with both domestic and international tourists? Well, in order to do so, there are several factors to take into consideration.


Understand the UK.

You have to remember that you are in effect a salesperson, no matter the part of the industry you are working in or the role that you are playing. The sales part may be to get an individual to part with money or, alternatively, it may just be selling an experience at a tourist destination. However, no matter which part you are involved in there is still a very real need for you to understand the UK and what it is that people are looking for.


Understand what pulls people to the UK.

To provide the best experience possible it is always important that you are aware of what pulls people to the UK and to find that information out as quickly as possible. Now, this can of course vary from person to person, but generally speaking you will find the same reasons popping up time and time again. By being aware of these reasons it means that you can provide the individuals with a better service or product that will enhance their time in the country.


Understand the costs.

You have to remember that for some people the UK is going to be an expensive place to visit and indeed that can even apply to those individuals that call the country home. This does mean that it is even more important for you to have a firm grasp of the costs that are involved and also what an individual should realistically expect to get for their money.


For example

You are going to always run the risk of paying more for a 3 star hotel in London than you would for a 4 star hotel elsewhere as it is just the economics of the area. Understanding this and explaining it to customers will certainly help them to make their decision as to whether or not they wish to proceed.

 

Understand the specific reasons why an individual wishes to visit somewhere.

Finally, you need to take each customer as an individual and get to grips with what is driving them to visit a particular attraction or part of the country. It is not your position to judge them on their reasons, even if you are then contemplating giving them some additional advice on where they should really be looking, as your position is to merely guide them and help them to achieve their dreams. However, the only way in which you can do this is by asking them and then paying attention to their answers and this is clearly the exact same approach as you have to take with other locations around the world or wherever your service is located.

 

We are not saying that you have to deal with the UK market in any way that is different to the rest of the world as that is certainly not the case. Instead, it goes back to the age old points regarding your knowledge about your industry and your ability to deal with people. That is always going to be the key point that will help you to supply people with what they are looking for, and ultimately to move on in your career.

 

FACT

 

In 2015, domestic travellers throughout the UK spent more than £13 billion on leisure travel.

Source: Tourismalliance.com

 

13.4    Dealing with UK Travel Locations


After looking at the size of the UK market, and also seeing how it is due to expand in the next few years, we need to move on to how you deal with UK travel locations.

 

Now, it may be argued by some that as you are based in the UK that you should have extensive knowledge of the market, but when you consider the number of options that are out there then this does not exactly hold water. Instead, there is a need for you to work on building the knowledge that is required and to still see this as being an area that you are able to specialise in.

 

Below we will describe the distribution of tourists that travel from abroad to the UK and where they go in the country, but at the same time we cannot ignore those individuals that are classed as domestic tourists. Remember at the beginning of this module we described how roughly four out of every five tourists in the UK are domestic tourists and that is just in line with the global average.

 

So what are they generally looking for when they come to the UK? What are people that live in the UK looking for when they travel to another part of the country for a break? Understanding these two questions will clearly make life so much easier for you and allow you to provide the kind of service or product that is expected from you.

 

To answer these questions it is important that you spend time studying the most popular tourist attractions or parts of the country that appeal for different reasons.


For example

The entire country is known for its towns, rolling countryside, rich heritage, and rugged coastlines. On the other hand, the country is not really known for its weather and being able to sun yourself on a beach day after day for months at a time. It is clear that the services or products you provide have to be slightly different from other parts of the world.

 

In theory, you could approach dealing with the UK in the same manner as you do with other parts of the world in that you can specialise in outdoor holidays for walkers or climbers. Alternatively, you may focus more on camping and caravan holidays in which case you need to understand the best camping sites in the country so you can best advise people on where to go. Or, if you are involved in the part of the industry that deals with bookings then you may focus more on bed and breakfast accommodation and help people to choose where they are going to go for a weekend away rather than a full two week holiday.


Being in the UK, you cannot just assume that because you live in the country you know everything about it. In all honesty, you are best served to spend just as much time studying the country and getting to know its various tourist hotspots in real detail so you become an absolute expert.

 

Dealing with UK destinations is not something that you are to be afraid of and instead you have to embrace the challenge of learning more about the country than the average person. However, do remember that there is the possibility of specialising in a particular type of holiday or service within the country so there is absolutely no need for you to feel swamped in any way.

 

13.5    Selling the UK Market Abroad


Finally, in this module we will look at how you sell the UK market,including to those individuals that are coming from abroad.

 

This is not so relevant to those individuals that are working in the travel agency side of things, but there are still a number of areas where you could be involved in this side of the industry. In 2014 it was calculated that a total of 4 million people visited the UK from abroad with this being an indication as to how big this market is with the figure set to increase year on year.

 

The UK market and what it is able to provide is so vast that there really is something for everyone. This means that there is a very real need for you to be able to express this, as well as to understand where these individuals are coming from so you know who to effectively target.

 

For example

It is generally accepted that the three countries that provide the most tourists to the UK are France, Germany, and the United States. Indeed, those three countries accounted for one in three of each visit to the UK which shows how important they are.

 

However, we can take the figures even further as this helps you to better understand the market. Studies have shown that London accounted for 54% of the total visits to the UK. The rest of England accounted for 33%, Scotland accounted for 8% and Wales accounted for 2%. From this, we can begin to formulate various strategies and plans that would seek to attract individuals from within those percentages to destinations or tourist attractions by going directly to those countries rather than sitting back and waiting for them to come here.

 

The reason why this is such an important point to make is because it shows how you have to tackle various aspects of the travel and tourism industry. At times, it is important for those individuals that are involved in the service providing side of things, whether that is a resort or tourist attraction, to identify key markets and to then try to get into that market by going directly there.

 

By being aware of where people are going it means that marketing efforts can be concentrated in the correct areas, resulting in more people coming to the UK. Even if you are not directly involved in the marketing aspect, it will still have an impact on your job.

 

How will it have an impact? Simply because of the increased need for the service or product you offer and, as a result, more pressure on you to deliver on a constant basis. In other words, it is important for you to be aware of changes in the numbers of people that will be coming into the country so you can better prepare yourself for dealing with this influx. A lack of preparation leads to poor services or products being delivered which will only reflect badly on you as a whole.

 

MODULE SUMMARY

 

In this module we have focused on both the domestic market and what it entails, along with more information specifically on the UK market. Understanding both of these aspects of the industry is important simply because of your location and the amount of money that either of them generates over the course of a year.

 

In the next module we will look at travel trends and how to deal with them to allow you to take advantage of the situation.