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Chapter 1. History and Overview

1.1 What is Tourism?

Before engaging in a study of tourism , let’s have a closer look at what this term means.

Definition of Tourism

There are a number of ways tourism can be defined, and for this reason, the United Nations World Tourism Organization (UNWTO) embarked on a project from 2005 to 2007 to create a common glossary of terms for tourism. It defines tourism as follows:

Tourism is a social, cultural and economic phenomenon which entails the movement of people to countries or places outside their usual environment for personal or business/professional purposes. These people are called visitors (which may be either tourists or excursionists; residents or non-residents) and tourism has to do with their activities, some of which imply tourism expenditure (United Nations World Tourism Organization, 2008).

Using this definition, we can see that tourism is not just the movement of people for a number of purposes (whether business or pleasure), but the overall agglomeration of activities, services, and involved sectors that make up the unique tourist experience.

Tourism, Travel, and Hospitality: What are the Differences?

It is common to confuse the terms tourism , travel , and hospitality or to define them as the same thing. While tourism is the all-encompassing umbrella term for the activities and industry that create the tourist experience, the UNWTO (2020) defines travel as the activity of moving between different locations often for any purpose but more so for leisure and recreation (Hall & Page, 2006). On the other hand, hospitality can be defined as “the business of helping people to feel welcome and relaxed and to enjoy themselves” (Discover Hospitality, 2015, p. 3). Simply put, the hospitality industry is the combination of the accommodation and food and beverage groupings, collectively making up the largest segment of the industry (Go2HR, 2020). You’ll learn more about accommodations and F & B in Chapter 3 and Chapter 4 , respectively.

Definition of Tourist and Excursionist

Building on the definition of tourism, a commonly accepted description of a tourist is “someone who travels at least 80 km from his or her home for at least 24 hours, for business or leisure or other reasons” (LinkBC, 2008, p.8). The United Nations World Tourism Organization (1995) helps us break down this definition further by stating tourists can be:

  • Domestic (residents of a given country travelling only within that country)
  • Inbound (non-residents travelling in a given country)
  • Outbound (residents of one country travelling in another country)

Excursionists  on the other hand are considered same-day visitors (UNWTO, 2020). Sometimes referred to as “day trippers.” Understandably, not every visitor stays in a destination overnight. It is common for travellers to spend a few hours or less to do sightseeing, visit attractions, dine at a local restaurant, then leave at the end of the day.

The scope of tourism, therefore, is broad and encompasses a number of activities and sectors.

Spotlight On: United Nations World Tourism Organization (UNWTO)

UNWTO is the United Nations agency responsible “for the promotion of responsible, sustainable and universally accessible tourism” (UNWTO, 2014b). Its membership includes 159 countries and over 500 affiliates such as private companies, research and educational institutions, and non-governmental organizations. It promotes tourism as a way of developing communities while encouraging ethical behaviour to mitigate negative impacts. For more information, visit the UNWTO website .

NAICS: The North American Industry Classification System

Given the sheer size of the tourism industry, it can be helpful to break it down into broad industry groups using a common classification system. The North American Industry Classification System (NAICS) was jointly created by the Canadian, US, and Mexican governments to ensure common analysis across all three countries (British Columbia Ministry of Jobs, Tourism and Skills Training, 2013a). The tourism-related groupings created using NAICS are (in alphabetical order):

  • Accommodation
  • Food and beverage services (commonly known as “F & B”)
  • Recreation and entertainment
  • Transportation
  • Travel services

These industry groups (also commonly known as sectors) are based on the similarity of the “labour processes and inputs” used for each (Government of Canada, 2013). For instance, the types of employees and resources required to run an accommodation business whether it be a hotel, motel, or even a campground are quite similar. All these businesses need staff to check in guests, provide housekeeping, employ maintenance workers, and provide a place for people to sleep. As such, they can be grouped together under the heading of accommodation. The same is true of the other four groupings, and the rest of this text explores these industry groups, and other aspects of tourism, in more detail.

Two female front desk employees speak to a male guest in a hotel lobby.

It is typical for the entire tourist experience to involve more than one sector. The combination of sectors that supply and distribute the needed tourism products, services, and activities within the tourism system is called the Tourism Supply Chain. Often, these chains of sectors and activities are dependent upon each other’s delivery of products and services. Let’s look at a simple example below that describes the involved and sometimes overlapping sectoral chains in the tourism experience:

Tourism supply chain. Long description available.

Before we seek to understand the five tourism sectors in more detail, it’s important to have an overview of the history and impacts of tourism to date.

Long Descriptions

Figure 1.2 long description: Diagram showing the tourism supply chain. This includes the phases of travel and the sectors and activities involved during each phase.

There are three travel phases: pre-departure, during travel, and post-departure.

Pre-departure, tourists use the travel services and transportation sectors.

During travel, tourists use the travel services, accommodations, food and beverage, recreation and entertainment, and transportation sectors.

Post-departure, tourists use the transportation sector.

[Return to Figure 1.2]

Media Attributions

  • Front Desk by Staying LEVEL is licensed under a CC BY-NC 4.0 Licence .

Tourism according the the UNWTO is a social, cultural and economic phenomenon which entails the movement of people to countries or places outside their usual environment for personal or business/professional purposes.

UN agency responsible for promoting responsible, sustainable, and universally accessible tourism worldwide.

Moving between different locations for leisure and recreation.

The accommodations and food and beverage industry groupings.

someone who travels at least 80 km from his or her home for at least 24 hours, for business or leisure or other reasons

A same-day visitor to a destination. Their trip typically ends on the same day when they leave the destination.

A way to group tourism activities based on similarities in business practices, primarily used for statistical analysis.

Introduction to Tourism and Hospitality in BC - 2nd Edition Copyright © 2015, 2020, 2021 by Morgan Westcott and Wendy Anderson, Eds is licensed under a Creative Commons Attribution 4.0 International License , except where otherwise noted.

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Travel and tourism satellite account for 2018-2022.

The travel and tourism industry—as measured by the real output of goods and services sold directly to visitors—increased 21.0 percent in 2022 after increasing 53.6 percent in 2021, according to the most recent statistics from BEA’s Travel and Tourism Satellite Account.

Chart: Annual Growth in Real Tourism in 2018-2022

Data & Articles

  • U.S. Travel and Tourism Satellite Account for 2018–2022 By Hunter Arcand and Paul Kern - Survey of Current Business April 2024
  • "U.S. Travel and Tourism Satellite Account for 2015–2019" By Sarah Osborne - Survey of Current Business December 2020
  • "U.S. Travel and Tourism Satellite Account for 2015-2017" By Sarah Osborne and Seth Markowitz - Survey of Current Business June 2018
  • Tourism Satellite Accounts 1998-2019
  • Tourism Satellite Accounts Data A complete set of detailed annual statistics for 2017-2021 is coming soon -->
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Previously Published Estimates

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  • News Release Archive

What is Travel and Tourism?

Measures how much tourists spend and the prices they pay for lodging, airfare, souvenirs, and other travel-related items. These statistics also provide a snapshot of employment in the travel and tourism industries.

What’s a Satellite Account?

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  • TTSA Sarah Osborne (301) 278-9459
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Chapter 1. History and Overview

1.1 What is Tourism?

Before engaging in a study of tourism , let’s have a closer look at what this term means.

Definition of Tourism

There are a number of ways tourism can be defined, and for this reason, the United Nations World Tourism Organization (UNWTO) embarked on a project from 2005 to 2007 to create a common glossary of terms for tourism. It defines tourism as follows:

Tourism is a social, cultural and economic phenomenon which entails the movement of people to countries or places outside their usual environment for personal or business/professional purposes. These people are called visitors (which may be either tourists or excursionists; residents or non-residents) and tourism has to do with their activities, some of which imply tourism expenditure (United Nations World Tourism Organization, 2008).

Using this definition, we can see that tourism is not just the movement of people for a number of purposes (whether business or pleasure), but the overall agglomeration of activities, services, and involved sectors that make up the unique tourist experience.

Tourism, Travel, and Hospitality: What are the Differences?

It is common to confuse the terms tourism , travel , and hospitality or to define them as the same thing. While tourism is the all-encompassing umbrella term for the activities and industry that create the tourist experience, the UNWTO (2020) defines travel as the activity of moving between different locations often for any purpose but more so for leisure and recreation (Hall & Page, 2006). On the other hand, hospitality can be defined as “the business of helping people to feel welcome and relaxed and to enjoy themselves” (Discover Hospitality, 2015, p. 3). Simply put, the hospitality industry is the combination of the accommodation and food and beverage groupings, collectively making up the largest segment of the industry (Go2HR, 2020). You’ll learn more about accommodations and F & B in Chapter 3 and Chapter 4 , respectively.

Definition of Tourist and Excursionist

Building on the definition of tourism, a commonly accepted description of a tourist is “someone who travels at least 80 km from his or her home for at least 24 hours, for business or leisure or other reasons” [1] . The United Nations World Tourism Organization (1995) helps us break down this definition further by stating tourists can be:

  • Domestic (residents of a given country travelling only within that country)
  • Inbound (non-residents travelling in a given country)
  • Outbound (residents of one country travelling in another country)

Excursionists  on the other hand are considered same-day visitors (UNWTO, 2020). Sometimes referred to as “day trippers.” Understandably, not every visitor stays in a destination overnight. It is common for travellers to spend a few hours or less to do sightseeing, visit attractions, dine at a local restaurant, then leave at the end of the day.

The scope of tourism, therefore, is broad and encompasses a number of activities and sectors.

Spotlight On: United Nations World Tourism Organization (UNWTO)

UNWTO is the United Nations agency responsible “for the promotion of responsible, sustainable and universally accessible tourism” (UNWTO, 2014b). Its membership includes 159 countries and over 500 affiliates such as private companies, research and educational institutions, and non-governmental organizations. It promotes tourism as a way of developing communities while encouraging ethical behaviour to mitigate negative impacts. For more information, visit the UNWTO website .

The North American Industry Classification System (NAICS). Given the sheer size of the tourism industry, it can be helpful to break it down into broad industry groups using a common classification system. The North American Industry Classification System (NAICS) was jointly created by the Canadian, US, and Mexican governments to ensure common analysis across all three countries (British Columbia Ministry of Jobs, Tourism and Skills Training, 2013a). The tourism-related groupings created using NAICS are (in alphabetical order):

  • Accommodation
  • Food and beverage services (commonly known as “F & B”)
  • Recreation and entertainment
  • Transportation
  • Travel services

These industry groups (also commonly known as sectors) are based on the similarity of the “labour processes and inputs” used for each (Government of Canada, 2013). For instance, the types of employees and resources required to run an accommodation business whether it be a hotel, motel, or even a campground are quite similar. All these businesses need staff to check in guests, provide housekeeping, employ maintenance workers, and provide a place for people to sleep. As such, they can be grouped together under the heading of accommodation. The same is true of the other four groupings, and the rest of this text explores these industry groups, and other aspects of tourism, in more detail.

Two female front desk employees speak to a male guest in a hotel lobby.

It is typical for the entire tourist experience to involve more than one sector. The combination of sectors that supply and distribute the needed tourism products, services, and activities within the tourism system is called the Tourism Supply Chain. Often, these chains of sectors and activities are dependent upon each other’s delivery of products and services. Let’s look at a simple example below that describes the involved and sometimes overlapping sectoral chains in the tourism experience:

Tourism supply chain. Long description available.

Before we seek to understand the five tourism sectors in more detail, it’s important to have an overview of the history and impacts of tourism to date.

Media Attributions

Front Desk © Staying LEVEL is licensed under a CC BY-NC (Attribution NonCommercial) license

  • (LinkBC, 2008, p.8) ↵

Tourism according the the UNWTO is a social, cultural and economic phenomenon which entails the movement of people to countries or places outside their usual environment for personal or business/professional purposes.

UN agency responsible for promoting responsible, sustainable, and universally accessible tourism worldwide.

Moving between different locations for leisure and recreation.

The accommodations and food and beverage industry groupings.

someone who travels at least 80 km from his or her home for at least 24 hours, for business or leisure or other reasons

A same-day visitor to a destination. Their trip typically ends on the same day when they leave the destination.

A way to group tourism activities based on similarities in business practices, primarily used for statistical analysis.

Introduction to Tourism Copyright © 2020 by NSCC is licensed under a Creative Commons Attribution 4.0 International License , except where otherwise noted.

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International travel plays a critical role in the US economy. Prior to the COVID-19 pandemic, in 2019, international visitors spent $233.5 billion experiencing the United States; injecting nearly $640 million a day into the U.S. economy. The U.S. travel and tourism industry generated $1.9 trillion in economic output; supporting 9.5 million American jobs and accounted for 2.9% of U.S. GDP. At 14.5% of international travel spending globally, international travelers spend more in the United States than any other country. As recovery efforts continue, the International Trade Administration actively supports the industry via the twin pillars of the National Travel and Tourism Office (NTTO) and the U.S. Commercial Service . Working together, we provide a range of data and related products to support the international outreach and promotion efforts of U.S. destinations and attractions. With over 100 offices throughout the United States and in 75 countries around the world, we are where you are and where you want to be.

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The Tourism Industry: An Overview

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Part of the book series: Tourism, Hospitality & Event Management ((THEM))

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This chapter introduces its readers to the concept of tourism. It sheds light on the rationale for tourism, as it explains the tourists’ inherent motivations to travel. It also describes different aspects that together make up the tourism industry. Tourists travel to destinations that are accessible to them. They require accommodation if they are visiting a place for more than 24 h. Leisure and business travellers may also visit attractions, and engage themselves in recreational activities. Hence, the tourist destinations should have the right amenities and facilities. In this light, this chapter clarifies how destinations may offer different products to satisfy a wide array of tourists. Tourism products can include; urban (or city) tourism, seaside tourism , rural tourism , ecotourism , wine tourism , culinary tourism , health tourism, medical tourism , religious tourism , cultural (or heritage) tourism , sports tourism , educational tourism , business tourism (including meetings, incentives, conferences and events), among others. In conclusion, this chapter lists major points of interest in North America to clarify how diverse destinations may be appealing to different tourists, for many reasons.

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Camilleri, M.A. (2018). The Tourism Industry: An Overview. In: Travel Marketing, Tourism Economics and the Airline Product. Tourism, Hospitality & Event Management. Springer, Cham. https://doi.org/10.1007/978-3-319-49849-2_1

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Glossary of tourism terms

Tourism is a social, cultural and economic phenomenon which entails the movement of people to countries or places outside their usual environment for personal or business/professional purposes. These people are called visitors (which may be either tourists or excursionists; residents or non-residents) and tourism has to do with their activities, some of which involve tourism expenditure.

A B C D E F G H I J K L M N O P Q R S T U V W Y Z

Activity/activities : In tourism statistics, the term activities represent the actions and behaviors of people in preparation for and during a trip in their capacity as consumers ( IRTS 2008, 1.2 ).

Activity (principal): The principal activity of a producer unit is the activity whose value added exceeds that of any other activity carried out within the same unit ( SNA 2008, 5.8 ).

Activity (productive): The (productive) activity carried out by a statistical unit is the type of production in which it engages. It has to be understood as a process, i.e. the combination of actions that result in a certain set of products. The classification of productive activities is determined by their principal output.

Administrative data : Administrative data is the set of units and data derived from an administrative source. This is a data holding information collected and maintained for the purpose of implementing one or more administrative regulations.

Adventure tourism : Adventure tourism is a type of tourism which usually takes place in destinations with specific geographic features and landscape and tends to be associated with a physical activity, cultural exchange, interaction and engagement with nature. This experience may involve some kind of real or perceived risk and may require significant physical and/or mental effort. Adventure tourism generally includes outdoor activities such as mountaineering, trekking, bungee jumping, rock climbing, rafting, canoeing, kayaking, canyoning, mountain biking, bush walking, scuba diving. Likewise, some indoor adventure tourism activities may also be practiced.

Aggregated data : The result of transforming unit level data into quantitative measures for a set of characteristics of a population.

Aggregation : A process that transforms microdata into aggregate-level information by using an aggregation function such as count, sum average, standard deviation, etc.

Analytical unit : Entity created by statisticians, by splitting or combining observation units with the help of estimations and imputations.

Balance of payments : The balance of payments is a statistical statement that summarizes transactions between residents and non-residents during a period. It consists of the goods and services account, the primary income account, the secondary income account, the capital account, and the financial account ( BPM6, 2.12 ).

Bias : An effect which deprives a statistical result of representativeness by systematically distorting it, as distinct from a random error which may distort on any one occasion but balances out on the average.

Business and professional purpose (of a tourism trip): The business and professional purpose of a tourism trip includes the activities of the self-employed and employees, as long as they do not correspond to an implicit or explicit employer-employee relationship with a resident producer in the country or place visited, those of investors, businessmen, etc. ( IRTS 2008, 3.17.2 ).

Business tourism : Business tourism is a type of tourism activity in which visitors travel for a specific professional and/or business purpose to a place outside their workplace and residence with the aim of attending a meeting, an activity or an event. The key components of business tourism are meetings, incentives, conventions and exhibitions. The term "meetings industry" within the context of business tourism recognizes the industrial nature of such activities. Business tourism can be combined with any other tourism type during the same trip.

Business visitor : A business visitor is a visitor whose main purpose for a tourism trip corresponds to the business and professional category of purpose ( IRTS 2008, 3.17.2 ).

Central Product Classification : The Central Product Classification (CPC) constitutes a complete product classification covering goods and services. It is intended to serve as an international standard for assembling and tabulating all kinds of data requiring product detail, including industrial production, national accounts, service industries, domestic and foreign commodity trade, international trade in services, balance of payments, consumption and price statistics. Other basic aims are to provide a framework for international comparison and promote harmonization of various types of statistics dealing with goods and services.

Census : A census is the complete enumeration of a population or groups at a point in time with respect to well defined characteristics: for example, Population, Production, Traffic on particular roads.

Coastal, maritime and inland water tourism : Coastal tourism refers to land-based tourism activities such as swimming, surfing, sunbathing and other coastal leisure, recreation and sports activities which take place on the shore of a sea, lake or river. Proximity to the coast is also a condition for services and facilities that support coastal tourism. Maritime tourism refers to sea-based activities such as cruising, yachting, boating and nautical sports and includes their respective land-based services and infrastructure. Inland water tourism refers to tourism activities such as cruising, yachting, boating and nautical sports which take place in aquatic- influenced environments located within land boundaries and include lakes, rivers, ponds, streams, groundwater, springs, cave waters and others traditionally grouped as inland wetlands.

Coherence : Adequacy of statistics to be combined in different ways and for various uses.

Competitiveness of a tourism destination : The competitiveness of a tourism destination is the ability of the destination to use its natural, cultural, human, man-made and capital resources efficiently to develop and deliver quality, innovative, ethical and attractive tourism products and services in order to achieve a sustainable growth within its overall vision and strategic goals, increase the added value of the tourism sector, improve and diversify its market components and optimize its attractiveness and benefits both for visitors and the local community in a sustainable perspective.

Consistency : Logical and numerical coherence.

Country of reference : The country of reference refers to the country for which the measurement is done. ( IRTS 2008, 2.15 ).

Country of residence : The country of residence of a household is determined according to the centre of predominant economic interest of its members. If a person resides (or intends to reside) for more than one year in a given country and has there his/her centre of economic interest (for example, where the predominant amount of time is spent), he/she is considered as a resident of this country.

Country-specific tourism characteristic products and activities : To be determined by each country by applying the criteria of IRTS 2008, 5.10 in their own context; for these products, the activities producing them will be considered as tourism characteristic, and the industries in which the principal activity is tourism-characteristic will be called tourism industries ( IRTS 2008, 5.16 ).

Cultural tourism : Cultural tourism is a type of tourism activity in which the visitor's essential motivation is to learn, discover, experience and consume the tangible and intangible cultural attractions/products in a tourism destination. These attractions/products relate to a set of distinctive material, intellectual, spiritual and emotional features of a society that encompasses arts and architecture, historical and cultural heritage, culinary heritage, literature, music, creative industries and the living cultures with their lifestyles, value systems, beliefs and traditions.

Data checking : Activity whereby the correctness conditions of the data are verified. It also includes the specification of the type of error or of the condition not met, and the qualification of the data and their division into "error-free data" and "erroneous data".

Data collection : Systematic process of gathering data for official statistics.

Data compilation : Operations performed on data to derive new information according to a given set of rules.

Data confrontation : The process of comparing data that has generally been derived from different surveys or other sources, especially those of different frequencies, in order to assess and possibly improve their coherency, and identify the reasons for any differences.

Data processing : Data processing is the operation performed on data by the organization, institute, agency, etc., responsible for undertaking the collection, tabulation, manipulation and preparation of data and metadata output.

Data reconciliation : The process of adjusting data derived from two different sources to remove, or at least reduce, the impact of differences identified.

Destination (main destination of a trip): The main destination of a tourism trip is defined as the place visited that is central to the decision to take the trip. See also purpose of a tourism trip ( IRTS 2008, 2.31 ).

Destination management / marketing organization (DMO) : A destination management/marketing organization (DMO) is the leading organizational entity which may encompass the various authorities, stakeholders and professionals and facilitates tourism sector partnerships towards a collective destination vision. The governance structures of DMOs vary from a single public authority to a public/ private partnership model with the key role of initiating, coordinating and managing certain activities such as implementation of tourism policies, strategic planning, product development, promotion and marketing and convention bureau activities. The functions of the DMOs may vary from national to regional and local levels depending on the current and potential needs as well as on the decentralization level of public administration. Not every tourism destination has a DMO.

Documentation: Processes and procedures for imputation,  weighting,  confidentiality  and suppression rules, outlier treatment and data capture should be fully documented by the  survey provider.  Such documentation should be made available to at least  the body financing the survey.

Domestic tourism : Domestic tourism comprises the activities of a resident visitor within the country of reference, either as part of a domestic tourism trip or part of an outbound tourism trip ( IRTS 2008, 2.39 ).

Domestic tourism consumption : Domestic tourism consumption is the tourism consumption of a resident visitor within the economy of reference ( TSA:RMF 2008, figure 2.1 ).

Domestic tourism expenditure : Domestic tourism expenditure is the tourism expenditure of a resident visitor within the economy of reference, (IRTS 2008, 4.15(a)).

Domestic tourism trip : A domestic tourism trip is one with a main destination within the country of residence of the visitor (IRTS 2008, 2.32).

Domestic visitor : As a visitor travels within his/her country of residence, he/she is a domestic visitor and his/her activities are part of domestic tourism.

Durable consumer goods : Durable consumer goods are goods that may be used repeatedly or continuously over a period of a year or more, assuming a normal or average rate of physical usage. When acquired by producers, these are considered to be capital goods used for production processes, as is the case of vehicles, computers, etc. When acquired by households, they are considered to be consumer durable goods ( TSA:RMF 2008, 2.39 ). This definition is identical to the definition of SNA 2008, 9.42 : A consumer durable is a goodthat may be used for purposes of consumption repeatedly or continuously over a period of a year or more.

Dwellings : Each household has a principal dwelling (sometimes also designated as main or primary home), usually defined with reference to time spent there, whose location defines the country of residence and place of usual residence of this household and of all its members. All other dwellings (owned or leased by the household) are considered secondary dwellings ( IRTS 2008, 2.26 ).

Ecotourism : Ecotourism is a type of nature-based tourism activity in which the visitor's essential motivation is to observe, learn, discover, experience and appreciate biological and cultural diversity with a responsible attitude to protect the integrity of the ecosystem and enhance the well-being of the local community. Ecotourism increases awareness towards the conservation of biodiversity, natural environment and cultural assets both among locals and the visitors and requires special management processes to minimize the negative impact on the ecosystem.

Economic analysis : Tourism generates directly and indirectly an increase in economic activity in the places visited (and beyond), mainly due to demand for goods and services thatneed to be produced and provided. In the economic analysis of tourism, one may distinguish between tourism's 'economic contribution' which refers to the direct effect of tourism and is measurable by means of the TSA, and tourism's 'economic impact' which is a much broader concept encapsulating the direct, indirect and induced effects of tourism and which must be estimated by applying models. Economic impact studies aim to quantify economic benefits, that is, the net increase in the wealth of residents resulting from tourism, measured in monetary terms, over and above the levels that would prevail in its absence.

Economic territory : The term "economic territory" is a geographical reference and points to the country for which the measurement is done (country of reference) ( IRTS 2008, 2.15 ).

Economically active population : The economically active population or labour force comprises all persons of either sex who furnish the supply of labour for the production of goods and services as defined by the system of national accounts during a specified time-reference period (ILO, Thirteenth ICLS, 6.18).

Economy (of reference): "Economy" (or "economy of reference") is an economic reference defined in the same way as in the balance of payments and in the system of national accounts: it refers to the economic agents that are resident in the country of reference ( IRTS 2008, 2.15 ).

Education tourism : Education tourism covers those types of tourism which have as a primary motivation the tourist's engagement and experience in learning, self-improvement, intellectual growth and skills development. Education Tourism represents a broad range of products and services related to academic studies, skill enhancement holidays, school trips, sports training, career development courses and language courses, among others.

Employees : Employees are all those workers who hold the type of job defined as "paid employment" (ILO, Fifteenth ICLS, pp. 20-22).

Employer-employee relationship : An employer-employee relationship exists when there is an agreement, which may be formal or informal, between an entity and an individual, normally entered into voluntarily by both parties, whereby the individual works for the entity in return for remuneration in cash or in kind ( BPM6, 11.11 ).

Employers : Employers are those workers who, working on their own account with one or more partners, hold the type of job defined as a "self-employment job" and, in this capacity, on a continuous basis (including the reference period) have engaged one or more persons to work for them in their business as "employee(s)" (ILO, Fifteenth ICLS, pp. 20-22).

Employment : Persons in employment are all persons above a specified age who, during a specified brief period, either one week or one day, were in paid employment or self-employment (OECD GST, p. 170).

Employment in tourism industries : Employment in tourism industries may be measured as a count of the persons employed in tourism industries in any of their jobs, as a count of the persons employed in tourism industries in their main job, or as a count of the jobs in tourism industries ( IRTS 2008, 7.9 ).

Enterprise : An enterprise is an institutional unit engaged in production of goods and/or services. It may be a corporation, a non-profit institution, or an unincorporated enterprise. Corporate enterprises and non-profit institutions are complete institutional units. An unincorporated enterprise, however, refers to an institutional unit —a household or government unit —only in its capacity as a producer of goods and services (OECD BD4, p. 232)

Establishment : An establishment is an enterprise, or part of an enterprise, that is situated in a single location and in which only a single productive activity is carried out or in which the principal productive activity accounts for most of the value added ( SNA 2008, 5.14 ).

Estimation : Estimation is concerned with inference about the numerical value of unknown population values from incomplete data such as a sample. If a single figure is calculated for each unknown parameter the process is called "point estimation". If an interval is calculated within which the parameter is likely, in some sense, to lie, the process is called "interval estimation".

Exports of goods and services : Exports of goods and services consist of sales, barter, or gifts or grants, of goods and services from residents to non-residents (OECD GST, p. 194)

Frame : A list, map or other specification of the units which define a population to be completely enumerated or sampled.

Forms of tourism : There are three basic forms of tourism: domestic tourism, inbound tourism, and outbound tourism. These can be combined in various ways to derive the following additional forms of tourism: internal tourism, national tourism and international tourism.

Gastronomy tourism :  Gastronomy tourism is a type of tourism activity which is characterized by the visitor's experience linked with food and related products and activities while travelling. Along with authentic, traditional, and/or innovative culinary experiences, Gastronomy Tourism may also involve other related activities such as visiting the local producers, participating in food festivals and attending cooking classes. Eno-tourism (wine tourism), as a sub-type of gastronomy tourism, refers to tourism whose purpose is visiting vineyards, wineries, tasting, consuming and/or purchasing wine, often at or near the source.

Goods : Goods are physical, produced objects for which a demand exists, over which ownership rights can be established and whose ownership can be transferred from one institutional unit to another by engaging in transactions on markets ( SNA 2008, p. 623 ).

Gross fixed capital formation : Gross fixed capital formation is defined as the value of institutional units' acquisitions less disposals of fixed assets. Fixed assets are produced assets (such as machinery, equipment, buildings or other structures) that are used repeatedly or continuously in production over several accounting periods (more than one year) ( SNA 2008, 1.52 ).

Gross margin : The gross margin of a provider of reservation services is the difference between the value at which the intermediated service is sold and the value accrued to the provider of reservation services for this intermediated service.

Gross value added : Gross value added is the value of output less the value of intermediate consumption ( TSA:RMF 2008, 3.32 ).

Gross value added of tourism industries : Gross value added of tourism industries (GVATI) is the total gross value added of all establishments belonging to tourism industries, regardless of whether all their output is provided to visitors and the degree of specialization of their production process ( TSA:RMF 2008, 4.86 ).

Grossing up : Activity aimed at transforming, based on statistical methodology, micro-data from samples into aggregate-level information representative of the target population.

Health tourism : Health tourism covers those types of tourism which have as a primary motivation, the contribution to physical, mental and/or spiritual health through medical and wellness-based activities which increase the capacity of individuals to satisfy their own needs and function better as individuals in their environment and society. Health tourism is the umbrella term for the subtypes wellness tourism and medical tourism.

Imputation : Procedure for entering a value for a specific data item where the response is missing or unusable.

Inbound tourism : Inbound tourism comprises the activities of a non-resident visitor within the country of reference on an inbound tourism trip ( IRTS 2008, 2.39 ).

Inbound tourism consumption : Inbound tourism consumption is the tourism consumption of a non-resident visitor within the economy of reference ( TSA:RMF 2008, figure 2.1 ).

Inbound tourism expenditure : Inbound tourism expenditure is the tourism expenditure of a non-resident visitor within the economy of reference ( IRTS 2008, 4.15(b) ).

Innovation in tourism : Innovation in tourism is the introduction of a new or improved component which intends to bring tangible and intangible benefits to tourism stakeholders and the local community, improve the value of the tourism experience and the core competencies of the tourism sector and hence enhance tourism competitiveness and /or sustainability. Innovation in tourism may cover potential areas, such as tourism destinations, tourism products, technology, processes, organizations and business models, skills, architecture, services, tools and/or practices for management, marketing, communication, operation, quality assurance and pricing.

Institutional sector : An aggregation of institutional units on the basis of the type of producer and depending on their principal activity and function, which are considered to be indicative of their economic behaviour.

Institutional unit : The elementary economic decision-making centre characterised by uniformity of behaviour and decision-making autonomy in the exercise of its principal function.

Intermediate consumption : Intermediate consumption consists of the value of the goods and services consumed as inputs by a process of production, excluding fixed assets whose consumption is recorded as consumption of fixed capital ( SNA 2008, 6.213 ).

Internal tourism : Internal tourism comprises domestic tourism and inbound tourism, that is to say, the activities of resident and non-resident visitors within the country of reference as part of domestic or international tourism trips ( IRTS 2008, 2.40(a) ).

Internal tourism consumption : Internal tourism consumption is the tourism consumption of both resident and non-resident visitors within the economy of reference. It is the sum of domestic tourism consumption and inbound tourism consumption ( TSA:RMF 2008, figure 2.1 ).

Internal tourism expenditure : Internal tourism expenditure comprises all tourism expenditure of visitors, both resident and non-resident, within the economy of reference. It is the sum of domestic tourism expenditure and inbound tourism expenditure. It includes acquisition of goods and services imported into the country of reference and sold to visitors. This indicator provides the most comprehensive measurement of tourism expenditure in the economy of reference ( IRTS 2008, 4.20(a) ).

International Standard Industrial Classification of All Economic Activities : The International Standard Industrial Classification of All Economic Activities (ISIC) consists of a coherent and consistent classification structure of economic activities based on a set of internationally agreed concepts, definitions, principles and classification rules. It provides a comprehensive framework within which economic data can be collected and reported in a format that is designed for purposes of economic analysis, decision-taking and policymaking. The classification structure represents a standard format to organize detailed information about the state of an economy according to economic principles and perceptions (ISIC, Rev.4, 1).

International tourism : International tourism comprises inbound tourism and outbound tourism, that is to say, the activities of resident visitors outside the country of reference, either as part of domestic or outbound tourism trips and the activities of non-resident visitors within the country of reference on inbound tourism trips ( IRTS 2008, 2.40(c) ).

International visitor : An international traveller qualifies as an international visitor with respect to the country of reference if: (a) he/she is on a tourism trip and (b) he/she is a non-resident travelling in the country of reference or a resident travelling outside of it ( IRTS 2008, 2.42 ).

Job : The agreement between an employee and the employer defines a job and each self-employed person has a job ( SNA 2008, 19.30 ).

Measurement error : Error in reading, calculating or recording numerical value.

Medical tourism : Medical tourism is a type of tourism activity which involves the use of evidence-based medical healing resources and services (both invasive and non-invasive). This may include diagnosis, treatment, cure, prevention and rehabilitation.

Meetings industry : To highlight purposes relevant to the meetings industry, if a trip's main purpose is business/professional, it can be further subdivided into "attending meetings, conferences or congresses, trade fairs and exhibitions" and "other business and professional purposes". The term meetings industry is preferred by the International Congress and Convention Association (ICCA), Meeting Professionals International (MPI) and Reed Travel over the acronym MICE (Meetings, Incentives, Conferences and Exhibitions) which does not recognize the industrial nature of such activities.

Metadata : Data that defines and describes other data and processes.

MICE : See meetings industry.

Microdata : Non-aggregated observations, or measurements of characteristics of individual units.

Mirror statistics : Mirror statistics are used to conduct bilateral comparisons of two basic measures of a trade flow and are a traditional tool for detecting the causes of asymmetries in statistics (OECD GST, p. 335).

Mountain tourism : Mountain tourism is a type of tourism activity which takes place in a defined and limited geographical space such as hills or mountains with distinctive characteristics and attributes that are inherent to a specific landscape, topography, climate, biodiversity (flora and fauna) and local community. It encompasses a broad range of outdoor leisure and sports activities.

National tourism : National tourism comprises domestic tourism and outbound tourism, that is to say, the activities of resident visitors within and outside the country of reference, either as part of domestic or outbound tourism trips ( IRTS 2008, 2.40(b) ).

National tourism consumption : National tourism consumption is the tourism consumption of resident visitors, within and outside the economy of reference. It is the sum of domestic tourism consumption and outbound tourism consumption ( TSA:RMF 2008, figure 2.1 ).

National tourism expenditure : National tourism expenditure comprises all tourism expenditure of resident visitors within and outside the economy of reference. It is the sum of domestic tourism expenditure and outbound tourism expenditure ( IRTS 2008, 4.20(b) ).

Nationality : The concept of "country of residence" of a traveller is different from that of his/her nationality or citizenship ( IRTS 2008, 2.19 ).

Non-monetary indicators : Data measured in physical or other non-monetary units should not be considered a secondary part of a satellite account. They are essential components, both for the information they provide directly and in order to analyse the monetary data adequately ( SNA 2008, 29.84 ).

Observation unit : entity on which information is received and statistics are compiled.

Outbound tourism : Outbound tourism comprises the activities of a resident visitor outside the country of reference, either as part of an outbound tourism trip or as part of a domestic tourism trip ( IRTS 2008, 2.39(c) ).

Outbound tourism consumption : Outbound tourism consumption is the tourism consumption of a resident visitor outside the economy of reference ( TSA:RMF 2008, figure 2.1 ).

Outbound tourism expenditure : Outbound tourism expenditure is the tourism expenditure of a resident visitor outside the economy of reference ( IRTS 2008, 4.15(c) ).

Output : Output is defined as the goods and services produced by an establishment, a) excluding the value of any goods and services used in an activity for which the establishment does not assume the risk of using the products in production, and b) excluding the value of goods and services consumed by the same establishment except for goods and services used for capital formation (fixed capital or changes in inventories) or own final consumption ( SNA 2008, 6.89 ).

Output (main): The main output of a (productive) activity should be determined by reference to the value added of the goods sold or services rendered (ISIC rev.4, 114).

Pilot survey : The aim of a pilot survey is to test the questionnaire (pertinence of the questions, understanding of questions by those being interviewed, duration of the interview) and to check various potential sources for sampling and non-sampling errors: for instance, the place in which the surveys are carried out and the method used, the identification of any omitted answers and the reason for the omission, problems of communicating in various languages, translation, the mechanics of data collection, the organization of field work, etc.

Place of usual residence : The place of usual residence is the geographical place where the enumerated person usually resides, and is defined by the location of his/her principal dwelling (Principles and recommendations for population and housing censuses of the United Nations, 2.20 to 2.24).

Probability sample : A sample selected by a method based on the theory of probability (random process), that is, by a method involving knowledge of the likelihood of any unit being selected.

Production account : The production account records the activity of producing goods and services as defined within the SNA. Its balancing item, gross value added, is defined as the value of output less the value of intermediate consumption and is a measure of the contribution to GDP made by an individual producer, industry or sector. Gross value added is the source from which the primary incomes of the SNA are generated and is therefore carried forward into the primary distribution of income account. Value added and GDP may also be measured net by deducting consumption of fixed capital, a figure representing the decline in value during the period of the fixed capital used in a production process ( SNA 2008, 1.17 ).

Production : Economic production may be defined as an activity carried out under the control and responsibility of an institutional unit that uses inputs of labour, capital, and goods and services to produce outputs of goods or services ( SNA 2008, 6.24. ).

Purpose of a tourism trip (main): The main purpose of a tourism trip is defined as the purpose in the absence of which the trip would not have taken place ( IRTS 2008, 3.10. ). Classification of tourism trips according to the main purpose refers to nine categories: this typology allows the identification of different subsets of visitors (business visitors, transit visitors, etc.) See also destination of a tourism trip ( IRTS 2008, 3.14 ).

Quality of a tourism destination : Quality of a tourism destination is the result of a process which implies the satisfaction of all tourism product and service needs, requirements and expectations of the consumer at an acceptable price, in conformity with mutually accepted contractual conditions and the implicit underlying factors such as safety and security, hygiene, accessibility, communication, infrastructure and public amenities and services. It also involves aspects of ethics, transparency and respect towards the human, natural and cultural environment. Quality, as one of the key drivers of tourism competitiveness, is also a professional tool for organizational, operational and perception purposes for tourism suppliers.

Questionnaire and Questionnaire design : Questionnaire is a group or sequence of questions designed to elicit information on a subject, or sequence of subjects, from a reporting unit or from another producer of official statistics. Questionnaire design is the design (text, order, and conditions for skipping) of the questions used to obtain the data needed for the survey.

Reference period : The period of time or point in time to which the measured observation is intended to refer.

Relevance : The degree to which statistics meet current and potential users' needs.

Reliability : Closeness of the initial estimated value to the subsequent estimated value.

Reporting unit : Unit that supplies the data for a given survey instance, like a questionnaire or interview. Reporting units may, or may not, be the same as the observation unit.

Residents/non-residents : The residents of a country are individuals whose centre of predominant economic interest is located in its economic territory. For a country, the non-residents are individuals whose centre of predominant economic interest is located outside its economic territory.

Response and non-response : Response and non-response to various elements of a survey entail potential errors.

Response error : Response errors may be defined as those arising from the interviewing process. Such errors may be due to a number of circumstances, such as inadequate concepts or questions; inadequate training; interviewer failures; respondent failures.

Rural tourism : Rural tourism is a type of tourism activity in which the visitor's experience is related to a wide range of products generally linked to nature-based activities, agriculture, rural lifestyle / culture, angling and sightseeing. Rural tourism activities take place in non-urban (rural) areas with the following characteristics:

  • Low population density;
  • Landscape and land-use dominated by agriculture and forestry; and
  • Traditional social structure and lifestyle

Same-day visitor (or excursionist): A visitor (domestic, inbound or outbound) is classified as a tourist (or overnight visitor), if his/her trip includes an overnight stay, or as a same-day visitor (or excursionist) otherwise ( IRTS 2008, 2.13 ).

Sample : A subset of a frame where elements are selected based on a process with a known probability of selection.

Sample survey : A survey which is carried out using a sampling method.

Sampling error : That part of the difference between a population value and an estimate thereof, derived from a random sample, which is due to the fact that only a subset of the population is enumerated.

Satellite accounts : There are two types of satellite accounts, serving two different functions. The first type, sometimes called an internal satellite, takes the full set of accounting rules and conventions of the SNA but focuses on a particular aspect of interest by moving away from the standard classifications and hierarchies. Examples are tourism, coffee production and environmental protection expenditure. The second type, called an external satellite, may add non-economic data or vary some of the accounting conventions or both. It is a particularly suitable way to explore new areas in a research context. An example may be the role of volunteer labour in the economy ( SNA 2008, 29.85 ).

SDMX, Statistical Data and Metadata Exchange : Set of technical standards and content-oriented guidelines, together with an IT architecture and tools, to be used for the efficient exchange and sharing of statistical data and metadata (SDMX).

Seasonal adjustment : Seasonal adjustment is a statistical technique to remove the effects of seasonal calendar influences on a series. Seasonal effects usually reflect the influence of the seasons themselves, either directly or through production series related to them, or social conventions. Other types of calendar variation occur as a result of influences such as number of days in the calendar period, the accounting or recording practices adopted or the incidence of moving holidays.

Self-employment job : Self-employment jobs are those jobs where remuneration is directly dependent upon the profits (or the potential of profits) derived from the goods or services produced.

Self-employed with paid employees : Self-employed with paid employees are classified as employers.

Self-employed without employees : Self-employed without employees are classified as own-account workers.

Services : Services are the result of a production activity that changes the conditions of the consuming units, or facilitates the exchange of products or financial assets. They cannot be traded separately from their production. By the time their production is completed, they must have been provided to the consumers ( SNA 2008, 6.17 ).

Social transfers in kind : A special case of transfers in kind is that of social transfers in kind. These consist of goods and services provided by general government and non-profit institutions serving households (NPISHs) that are delivered to individual households. Health and education services are the prime examples. Rather than provide a specified amount of money to be used to purchase medical and educational services, the services are often provided in kind to make sure that the need for the services is met. (Sometimes the recipient purchases the service and is reimbursed by the insurance or assistance scheme. Such a transaction is still treated as being in kind because the recipient is merely acting as the agent of the insurance scheme) (SNA 2008, 3.83).

Sports tourism : Sports tourism is a type of tourism activity which refers to the travel experience of the tourist who either observes as a spectator or actively participates in a sporting event generally involving commercial and non-commercial activities of a competitive nature.

Standard classification : Classifications that follow prescribed rules and are generally recommended and accepted.

Statistical error : The unknown difference between the retained value and the true value.

Statistical indicator : A data element that represents statistical data for a specified time, place, and other characteristics, and is corrected for at least one dimension (usually size) to allow for meaningful comparisons.

Statistical metadata : Data about statistical data.

Statistical unit : Entity about which information is sought and about which statistics are compiled. Statistical units may be identifiable legal or physical entities or statistical constructs.

Survey : An investigation about the characteristics of a given population by means of collecting data from a sample of that population and estimating their characteristics through the systematic use of statistical methodology.

System of National Accounts : The System of National Accounts (SNA) is the internationally agreed standard set of recommendations on how to compile measures of economic activity in accordance with strict accounting conventions based on economic principles. The recommendations are expressed in terms of a set of concepts, definitions, classifications and accounting rules that comprise the internationally agreed standard for measuring indicators of economic performance. The accounting framework of the SNA allows economic data to be compiled and presented in a format that is designed for purposes of economic analysis, decision-taking and policymaking ( SNA 2008, 1.1 ).

Total tourism internal demand : Total tourism internal demand, is the sum of internal tourism consumption, tourism gross fixed capital formation and tourism collective consumption ( TSA:RMF 2008, 4.114 ). It does not include outbound tourism consumption.

Tourism : Tourism refers to the activity of visitors ( IRTS 2008, 2.9 ).

Tourism characteristic activities : Tourism characteristic activities are the activities that typically produce tourism characteristic products. As the industrial origin of a product (the ISIC industry that produces it) is not a criterion for the aggregation of products within a similar CPC category, there is no strict one-to-one relationship between products and the industries producing them as their principal outputs ( IRTS 2008, 5.11 ).

Tourism characteristic products : Tourism characteristic products are those that satisfy one or both of the following criteria: a) Tourism expenditure on the product should represent a significant share total tourism expenditure (share-of-expenditure/demand condition); b) Tourism expenditure on the product should represent a significant share of the supply of the product in the economy (share-of-supply condition). This criterion implies that the supply of a tourism characteristic product would cease to exist in meaningful quantity in the absence of visitors ( IRTS 2008, 5.10 ).

Tourism connected products : Their significance within tourism analysis for the economy of reference is recognized although their link to tourism is very limited worldwide. Consequently, lists of such products will be country-specific ( IRTS 2008, 5.12 ).

Tourism consumption : Tourism consumption has the same formal definition as tourism expenditure. Nevertheless, the concept of tourism consumption used in the Tourism Satellite Account goes beyond that of tourism expenditure. Besides the amount paid for the acquisition of consumption goods and services, as well as valuables for own use or to give away, for and during tourism trips, which corresponds to monetary transactions (the focus of tourism expenditure), it also includes services associated with vacation accommodation on own account, tourism social transfers in kind and other imputed consumption. These transactions need to be estimated using sources different from information collected directly from the visitors, such as reports on home exchanges, estimations of rents associated with vacation homes, calculations of financial intermediation services indirectly measured (FISIM), etc. ( TSA:RMF 2008, 2.25 ).

Tourism destination : A tourism destination is a physical space with or without administrative and/or analytical boundaries in which a visitor can spend an overnight. It is the cluster (co-location) of products and services, and of activities and experiences along the tourism value chain and a basic unit of analysis of tourism. A destination incorporates various stakeholders and can network to form larger destinations. It is also intangible with its image and identity which may influence its market competitiveness.

Tourism direct gross domestic product : Tourism direct gross domestic product (TDGDP) is the sum of the part of gross value added (at basic prices) generated by all industries in response to internal tourism consumption plus the amount of net taxes on products and imports included within the value of this expenditure at purchasers' prices ( TSA:RMF 2008, 4.96 ).

Tourism direct gross value added : Tourism direct gross value added (TDGVA) is the part of gross value added generated by tourism industries and other industries of the economy that directly serve visitors in response to internal tourism consumption ( TSA:RMF 2008, 4.88 ).

Tourism expenditure : Tourism expenditure refers to the amount paid for the acquisition of consumption goods and services, as well as valuables, for own use or to give away, for and during tourism trips. It includes expenditures by visitors themselves, as well as expenses that are paid for or reimbursed by others ( IRTS 2008, 4.2 ).

Tourism industries : The tourism industries comprise all establishments for which the principal activity is a tourism characteristic activity. Tourism industries (also referred to as tourism activities) are the activities that typically producetourism characteristic products. The term tourism industries is equivalent to tourism characteristic activities and the two terms are sometimes used synonymously in the IRTS 2008, 5.10, 5.11 and figure 5.1 .

Tourism product : A tourism product is a combination of tangible and intangible elements, such as natural, cultural and man-made resources, attractions, facilities, services and activities around a specific center of interest which represents the core of the destination marketing mix and creates an overall visitor experience including emotional aspects for the potential customers. A tourism product is priced and sold through distribution channels and it has a life-cycle.

Tourism ratio : For each variable of supply in the Tourism Satellite Account, the tourism ratiois the ratio between the total value of tourism share and total value of the corresponding variable in the Tourism Satellite Account expressed in percentage form ( TSA:RMF 2008, 4.56 ). (See also Tourism share).

Tourism Satellite Account : The Tourism Satellite Account is the second international standard on tourism statistics (Tourism Satellite Account: Recommended Methodological Framework 2008 –TSA:RMF 2008) that has been developed in order to present economic data relative to tourism within a framework of internal and external consistency with the rest of the statistical system through its link to the System of National Accounts. It is the basic reconciliation framework of tourism statistics. As a statistical tool for the economic accounting of tourism, the TSA can be seen as a set of 10 summary tables, each with their underlying data and representing a different aspect of the economic data relative to tourism: inbound, domestic tourism and outbound tourism expenditure, internal tourism expenditure, production accounts of tourism industries, the Gross Value Added (GVA) and Gross Domestic Product (GDP) attributable to tourism demand, employment, investment, government consumption, and non-monetary indicators.

Tourism Satellite Account aggregates : The compilation of the following aggregates, which represent a set of relevant indicators of the size of tourism in an economy is recommended ( TSA:RMF 2008, 4.81 ):

  • Internal tourism expenditure;
  • Internal tourism consumption;
  • Gross value added of tourism industries (GVATI);
  • Tourism direct gross value added (TDGVA);
  • Tourism direct gross domestic product (TDGDP).

Tourism sector : The tourism sector, as contemplated in the TSA, is the cluster of production units in different industries that provide consumption goods and services demanded by visitors. Such industries are called tourism industries because visitor acquisition represents such a significant share of their supply that, in the absence of visitors, their production of these would cease to exist in meaningful quantity.

Tourism share : Tourism share is the share of the corresponding fraction of internal tourism consumption in each component of supply ( TSA:RMF 2008, 4.51 ). For each industry, the tourism share of output (in value), is the sum of the tourism share corresponding to each product component of its output ( TSA:RMF 2008, 4.55 ). (See also Tourism ratio ).

Tourism single-purpose consumer durable goods : Tourism single-purpose consumer durables is a specific category of consumer durable goods that include durable goods that are used exclusively, or almost exclusively, by individuals while on tourism trips ( TSA:RMF 2008 , 2.41 and Annex 5 ).

Tourism trip : Trips taken by visitors are tourism trips ( IRTS 2008, 2.29 ).

Tourist (or overnight visitor): A visitor (domestic, inbound or outbound) is classified as a tourist (or overnight visitor), if his/her trip includes an overnight stay, or as a same-day visitor (or excursionist) otherwise ( IRTS 2008, 2.13 ).

Tourism value chain : The tourism value chain is the sequence of primary and support activities which are strategically fundamental for the performance of the tourism sector. Linked processes such as policy making and integrated planning, product development and packaging, promotion and marketing, distribution and sales and destination operations and services are the key primary activities of the tourism value chain. Support activities involve transport and infrastructure, human resource development, technology and systems development and other complementary goods and services which may not be related to core tourism businesses but have a high impact on the value of tourism.

Travel / traveller : Travel refers to the activity of travellers. A traveller is someone who moves between different geographic locations, for any purpose and any duration ( IRTS 2008, 2.4 ). The visitor is a particular type of traveller and consequently tourism is a subset of travel.

Travel group : A travel group is made up of individuals or travel parties travelling together: examples are people travelling on the same package tour or youngsters attending a summer camp ( IRTS 2008, 3.5 ).

Travel item (in balance of payments): Travel is an item of the goods and services account of the balance of payments: travel credits cover goods and services for own use or to give away acquired from an economy by non-residents during visits to that economy. Travel debits cover goods and services for own use or to give away acquired from other economies by residents during visits to other economies ( BPM6, 10.86 ).

Travel party : A travel party is defined as visitors travelling together on a trip and whose expenditures are pooled ( IRTS 2008, 3.2 ).

Trip : A trip refers to the travel by a person from the time of departure from his/her usual residence until he/she returns: it thus refers to a round trip. Trips taken by visitors are tourism trips.

Urban/city tourism : Urban/city tourism is a type of tourism activity which takes place in an urban space with its inherent attributes characterized by non-agricultural based economy such as administration, manufacturing, trade and services and by being nodal points of transport. Urban/city destinations offer a broad and heterogeneous range of cultural, architectural, technological, social and natural experiences and products for leisure and business.

Usual environment: The usual environment of an individual, a key concept in tourism, is defined as the geographical area (though not necessarily a contiguous one) within which an individual conducts his/her regular life routines ( IRTS 2008, 2.21 ).

Usual residence : The place of usual residence is the geographical place where the enumerated person usually resides (Principles and recommendations for population and housing censuses of the United Nations, 2.16 to 2.18).

Vacation home : A vacation home (sometimes also designated as a holiday home) is a secondary dwelling that is visited by the members of the household mostly for purposes of recreation, vacation or any other form of leisure ( IRTS 2008, 2.27 ).

Valuables : Valuables are produced goods of considerable value that are not used primarily for purposes of production or consumption but are held as stores of value over time ( SNA 2008, 10.13 ).

Visit : A trip is made up of visits to different places.The term "tourism visit" refers to a stay in a place visited during a tourism trip ( IRTS 2008, 2.7 and 2.33 ).

Visitor : A visitor is a traveller taking a trip to a main destination outside his/her usual environment, for less than a year, for any main purpose (business, leisure or other personal purpose) other than to be employed by a resident entity in the country or place visited ( IRTS 2008, 2.9 ). A visitor (domestic, inbound or outbound) is classified as a tourist (or overnight visitor), if his/her trip includes an overnight stay, or as a same-day visitor (or excursionist) otherwise ( IRTS 2008, 2.13 ).

Wellness tourism : Wellness tourism is a type of tourism activity which aims to improve and balance all of the main domains of human life including physical, mental, emotional, occupational, intellectual and spiritual. The primary motivation for the wellness tourist is to engage in preventive, proactive, lifestyle-enhancing activities such as fitness, healthy eating, relaxation, pampering and healing treatments.

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Unveiling the Scope of the Travel and Tourism Industry: A Global Perspective

travel tourism industry definition

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travel tourism industry definition

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travel tourism industry definition

The scope of the travel and tourism industry is vast and ever-evolving. It encompasses a wide range of activities, services, and destinations that cater to the diverse needs and preferences of travelers. From leisure tourism and adventure travel to business trips and educational excursions, the industry offers something for everyone. It includes transportation services such as airlines, trains, and cruises, as well as accommodation options like hotels, resorts, and vacation rentals. Attractions and entertainment venues, such as museums, theme parks, and cultural sites, also fall within its scope. Additionally, travel agencies, tour operators, and online booking platforms globalization, the scope of the travel and tourism industry continues to expand, contribute to the industry’s extensive reach. With increasing connectivity and embracing emerging trends such as sustainable tourism, experiential travel, and digital innovations. As an essential catalyst for economic growth, job creation, and cultural enrichment, this industry holds immense potential for both individuals and societies, fostering understanding, appreciation, and exploration of our diverse world.

travel tourism industry definition

Let’s explore the scope of the travel and tourism industry from a global perspective:

1. International Travel:

The industry facilitates international travel, enabling people to explore different countries and cultures. International tourism involves activities such as leisure vacations, business travel, educational trips, and visiting friends and relatives. It contributes to cross-cultural understanding, global cooperation, and exchange of ideas.

2. Domestic Tourism:

Domestic tourism refers to travel within one’s own country. It includes activities such as visiting tourist attractions, national parks, heritage sites, and participating in local events and festivals. Domestic tourism promotes regional development, supports local businesses, and encourages the preservation of cultural and natural heritage.

3. Economic Impact:

The travel and tourism industry is a major economic driver worldwide. It generates revenue through various sectors, including transportation, accommodation, food and beverage services, entertainment, and attractions. The industry creates jobs directly and indirectly, supporting diverse sectors such as aviation, hotel management, tour operations, and more.

4. Hospitality and Accommodation:

The hospitality sector is a vital component of the travel and tourism industry, playing an essential role in providing services and amenities to travelers. It includes a range of establishments such as hotels, resorts, guesthouses, bed and breakfasts, and homestays. These accommodations offer lodging facilities, dining options, and additional amenities to meet the diverse needs and preferences of travelers.

5. Transportation:

Transportation is an integral component of the travel and tourism industry. It includes air travel, road transport, railways, cruises, and other modes of transportation. Airlines, airports, car rental companies, and public transportation systems contribute to the seamless movement of tourists within and between destinations.

6. Sustainable Tourism:

The concept of sustainable tourism has gained prominence in recent years. It focuses on minimizing negative impacts on the environment, culture, and society while maximizing the benefits of tourism. Sustainable practices include promoting responsible travel, conserving natural resources, supporting local communities, and raising awareness about environmental issues.

7. Travel Agencies and Tour Operators:

Travel agencies and tour operators facilitate trip planning, booking, and coordination of travel services. They provide assistance in selecting destinations, organizing itineraries, arranging transportation, accommodations, and tours. These intermediaries play a vital role in promoting tourism and offering customized experiences to travelers.

8. Government Initiatives and Policies:

Governments across the world recognize the importance of the travel and tourism industry and implement policies to promote its growth. They invest in infrastructure development, marketing campaigns, visa facilitation, and safety regulations to attract tourists and create a conducive environment for the industry.

9. Challenges and Opportunities:

The travel and tourism industry faces various challenges, including geopolitical uncertainties, natural disasters, public health crises, and changing consumer preferences. However, it also presents numerous opportunities for innovation, collaboration, and sustainable development. Emerging trends such as ecotourism, adventure tourism, wellness travel, and digital nomadism are reshaping the industry’s landscape.

10. Technological advancements:

Technological advancements have had a transformative impact on the travel and tourism industry. The introduction of online booking platforms, mobile applications, virtual reality experiences, and digital marketing strategies has revolutionized the way travelers plan and enjoy their trips. These technological innovations have provided convenience and efficiency to both businesses and travelers alike. Furthermore, ongoing technological advancements are expected to further shape the future of the industry. In conclusion, the travel and tourism industry holds immense global significance with its wide-ranging scope. It encompasses diverse activities, including international and domestic travel, hospitality services, transportation, and more. The industry plays a substantial role in driving economies, fostering cultural exchange, and contributing to the overall well-being of societies around the world.

Gaurav Gera

Gaurav Gera

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travel tourism industry definition

Tourism – Definition, Types & Forms, History & Importance of Tourism

Tourism is one of the world’s fastest-growing industries and a major foreign exchange and employment generation for many countries. It is one of the most remarkable economic and social phenomena.

The word ‘tour’ is derived from the Latin word tornus, meaning ‘a tool for making a circle.’ Tourism may be defined as the movement of people from their usual place of residence to another place ( with the intention to return) for a minimum period of twenty-four hours to a maximum of six months for the sole purpose of leisure and pleasure.

According to WTO (1993), ” Tourism encompasses the activities of persons traveling and staying in places outside their usual environment for not more than one consecutive year for leisure, business, and other purposes.”

The Rome conference on tourism in 1963 defined tourism as ‘ a visit to a country other than one’s own or where one usually resides and works. This definition, however, did not take into account domestic tourism, which has become a vital money-spinner and job generator for the hospitality industry.

The UNWTO defines tourists as ‘ people who travel to and stay in place outside their usual environment for not more than one consecutive year for leisure, business and other purposes not related to the exercise of an activity remunerated from within the place visited.

According to the Tourism Society of Britain ,” tourism is the temporary short-period movement of people to destination outside the places where they usually live, work; and activities during their stay at these destinations.” This definition includes the movement of people for all purposes.

The development of technology and transportation infrastructure, such as jumbos jets, low-cost airlines, and more accessible airports, have made tourism affordable and convenient. There have been changes in lifestyle – for example, now retiree-age people sustain tourism around the year. The sale of tourism products on the internet, besides the aggressive marketing of the tour operators and travel agencies , has also contributed to the growth of tourism.

27 September is celebrated as world tourism every year. This date was chosen as on that day in 1970, the Statutes of UNWTO were adopted. The purpose of this day is to raise awareness of the role of tourism within the international community.

History of Travel and Tourism

Inbound tourism, outbound tourism, domestic tourism, forms of tourism, classification of tourism, nature of tourism, importance of tourism, economic impacts, social impacts, cultural impacts, environmental impact, industries related to tourism, tourism products.

Travel is as old as mankind on earth. At the beginning of his existence, man roamed about the planet’s surface in search of food, shelter, security, and better habitat. However, with time, such movements were transformed into wanderlust.

About five thousand years ago, climate changes, dwindling food and shelter conditions hostile invaders made the people leave their homes to seek refuge elsewhere like the Aryans left their homes in Central Asia due to climate changes. Perhaps, this leads to the development of commerce, trade, and industry.

Religion, education, and cultural movement began during the Hindu and Chinese civilizations. Christian missionaries, Buddhist monks, and others traveled far and wide carrying religious messages and returned with fantastic images and opinions about alien people.

For centuries movement of people continued to grow due to the efficiency of transport and the assistance and safety with which the people could travel. By the end of the 15th century, Italy had become Europe’s intellectual and cultural center. It represented the classical heritage both for the intelligentsia and the aristocracy.

During the 16th century, travel came to be considered an essential part of the education of every young Englishman. Travel thus became a means of self-development and education in its broadest sense. The educational travel was known as the ‘ Grand Tour .’

The industrial revolution brought about significant changes in the pattern and structure of British society. Thus, the economy of Britain was greatly responsible for the beginning of modern tourism. It also created a large and prosperous middle class. Because of remarkable improvement in transportation systems in the latter half of the 18th century and the first quarter of the 19th century, an increasing number of people began to travel for pleasure.

Travel was inspired initially by the need for survival (food, shelter, and security), the desire to expand trade, and the quest to conquer. As the transportation system improved, the curiosity for transforming the vast and virgin world into a close neighborhood created a new industry, i.e., Travel and Tourism .

However, the developments of rails, roads, steamships, automobiles, and airplanes helped to spread technology across the globe. Earlier travel was a privilege only for wealthy people, but with the industrial revolution, the scenario altogether changed. Transportation, as well as accommodation, became affordable to middle and working-class citizens.

Essentially, with the development of jet travel, communication, new technology, tourism, and travel became the world’s largest and fastest-growing industry.

Travel and tourism have recently emerged as a dominant economic force on the global scene, accounting for more than 12% of total world trade and growing at 8 percent annually.

Types of Tourism

Tourism has two types and many forms based on the purpose of visit and alternative forms of tourism. Tourism can be categorized as international and domestic tourism .

Tourism has two types and various forms. Based on the movement of people, tourism is categorized into two kinds. These are the following:

International Tourism

When people visit a foreign country, it is referred to as International Tourism . To travel to a foreign country, one needs a valid passport, visa, health documents, foreign exchange, etc.

International tourism is divided into two types; Inbound Tourism & Outbound Tourism.

This refers to tourists of outside origin entering a particular country. Traveling outside their host/native country to another country is called inbound tourism for the country where they are traveling. For example, when a tourist of Indian origin travels to Japan, it is  Inbound tourism for Japan because foreign tourists come to Japan.

This refers to tourists traveling from the country of their origin to another country. When tourists travel to a foreign region, it is outbound tourism for their own country because they are going outside their country. For example, when a tourist from India travels to Japan, it is outbound tourism for India and Inbound tourism for Japan.

The tourism activity of the people within their own country is known as domestic tourism . Traveling within the same country is easier because it does not require formal travel documents and tedious formalities like compulsory health checks and foreign exchange. A traveler generally does not face many language problems or currency exchange issues in domestic tourism.

Tourism has various forms based on the purpose of the visit and alternative forms. These are further divided into many types according to their nature. Forms of tourism are the following:

Some most basic forms of tourism are the following:

  • Adventure Tourism
  • Atomic Tourism
  • Bicycle Tours
  • Beach Tourism
  • Cultural Tourism
  • Industrial Tourism
  • Medical Tourism
  • Religious Tourism
  • Rural Tourism
  • Sex Tourism
  • Space Tourism
  • Sports Tourism
  • Sustainable Tourism
  • Virtual Tourism
  • War Tourism
  • Wildlife Tourism

Tourism can be classified into six distinct categories according to the purpose of travel. These are the following:

1) Recreational : Recreational or leisure tourism takes a person away from the humdrum of everyday life. In this case, people spend their leisure time in the hills, sea beaches, etc.

2) Cultural tourism satisfies cultural and intellectual curiosity and involves visits to ancient monuments, places of historical or religious importance, etc.

3) Sports/Adventure : Trips taken by people with a view to playing golf, skiing and hiking, fall within this category.

4) Health : Under this category, people travel for medical, treatment or visit places where there are curative possibilities, for example, hot springs, spa yoga, etc.

5) Convention Tourism : It is becoming an increasingly important component of travel. People travel within a country or overseas to attend conventions relating to their business, profession, or interest.

6) Incentive Tourism : Holiday trips are offered as incentives by major companies to dealers and salesmen who achieve high targets in sales. This is a new and expanding phenomenon in tourism, These are in lieu of cash incentives or gifts, Today incentive tourism is a 3 billion dollar business in the USA alone.

Tourism as a socio-economic phenomenon comprises the activities and experiences of tourists and visitors away from their home environment and are serviced by the travel and tourism industry and host destination. The sum total of this activity experience and services can be seen as a tourism product.

The tourism system can be described in terms of supply and demand. Tourism planning should strive for a balance between demands and supply. This requires an understanding not only of market characteristics and trends but also of the planning process to meet the market needs.

Often tourists from core generating markets are identified as the demand side; the supply side includes all facilities, programs, attractions, and land uses designed and managed for the visitors. These supply-side factors may be under the control of private enterprises, non-profit organizations, and the government. New and innovative forms of partnerships are also evolving to ensure the sustainable development and management of tourism-related resources.

The supply and demand side can be seen to be linked by flows of resources such as capital, labor, goods, and tourist expenditures into the destination, and flows of marketing, promotion, tourist artifacts, and experiences from the destination back into the tourist generating region.

In addition, some tourist expenditures may leak back into the visitors generating areas through repatriation of profits of foreign tourism investors and payment for improved goods and services provided to tourists at the destination. Transportation provides an important linkage both to and from the destination.

For planning purposes, the major components that comprise the supply side are:

  • Various modes of transportation and other tourism-related infrastructure.
  • Tourist information.
  • Marketing and promotion.
  • The community of communities within the visitor’s destination area.
  • The political and institutional frameworks for enabling tourism.

The tourism system is both dynamic and complex due to many factors linked to it and because of the existence of many sectors contributing to its success. These factors and sectors are linked to the provision of the tourist experience and the generation of tourism revenue and markets .

The dynamic nature of the tourism system makes it imperative to scan the external and internal environment of the destinations on a regular basis so as to make changes when necessary to ensure a healthy and viable tourism industry.

Thus, it is now an accepted fact that tourism development can no longer work in isolation of the environment and the local communities, nor can it ignore the social and cultural consequences of tourism.

Tourism and hospitality , which are inextricably linked to each other, are among the major revenue-earning enterprises in the world. They happen to be among the top employers too. There has been an upmarket trend in tourism over the last few decades as travel has become quite common. People travel for business, vacation, pleasure, adventure, or even medical treatments.

Tourism constitutes an important industry today. It has opened up new vistas for the play of economic emancipation. It provides a very potent contribution by strengthening and developing the financial resources of a country. Moreover, it is a process in which mutual material and mental benefits occur. Furthermore,

  • Tourism fetches foreign exchange in the form of invisible exports, which results in the manifold progress of the nation.
  • Tourism generates jobs. These employments are the main contribution of tourism to generating national income. But one should remember that employment in the tourism industry is often seasonal.
  • Tourism often leads to the commercialization of art forms and especially handicrafts. Art items with cultural or religious meaning are sought by tourists as souvenirs. As more and more tourists visit a destination, souvenir production has increased, often leading to mass production. This production also generates income.

Importance of Tourism

With several business-related activities associated with tourism, the industry has a tremendous potential to generate employment as well as earn foreign exchange. Many countries, such as Mauritius, Malaysia, Singapore, Fiji, and the Caribbean, whose economies are primarily driven by tourism. Tourism can contribute to the economic growth of a country in the followings ways:

Employment Generation

It creates a large number of jobs among direct services providers (such as hotels , restaurants, travel agencies , tour operators , guide and tour escorts, etc.) and among indirect services providers (such as suppliers to the hotels and restaurants, supplementary accommodation, etc.)

Infrastructure Development

Tourism spurs infrastructure development. In order to become an important commercial or pleasure destination, any location would require all the necessary infrastructure, like good connectivity via rail, road, and air transport , adequate accommodation, restaurants, a well-developed telecommunication network, and, medical facilities, among others.

Foreign Exchange

The people who travel to other countries spend a large amount of money on accommodation, transportation, sightseeing, shopping, etc. Thus, an inbound tourist is an important source of foreign exchange for any country.

The World Travel and Tourism Council (WTTC) predict in 1997 that the twenty-first-century economy would be dominated by three industries: telecommunications, information technology, and tourism. The travel and tourism industry has grown by 500 percent in the last 25 years.

Now withstanding this bright outlook and prospects, the tourism and hospitality industries are very vulnerable to the fluctuations of national economies and happenings in the world, especially terrorist attacks that have at times dealt severe blows to business.

In recent years, there have been a few setbacks in tourism, such as the terrorist siege of the Taj and Oberoi in Mumbai, India (26 November 2008); the attack on the World Trade Centre in the United States of America (11 September 2001); bombing in a hotel on the Indonesian island of Bali (12 October 2002); tsunami in Southeast Asia and South Asia on 26 December 2004, in which thousands of the lives where lost and consequently tourism was hit. Nonetheless, the sector is now getting back to business.

Impacts of Tourism

Tourism is a multi-dimensional activity. The scope of tourism activities is so wide and varied that it cannot be restricted to any particular field of activity. Tourism has ramifications in almost all sectors and is influenced by the performance of each of these sectors directly or indirectly. Tourism in any country can be an apt reflection of the nation’s economic and social endowment apart from its natural wealth.

Tourism has vast potential to bring about changes in the country’s economic, environmental, societal, and cultural edifice. Tourism has two basics: the supply of facilities and the demand for participation. The twin market forces of supply and demand interact to produce tourism patterns. These patterns are associated with economic, social, cultural, environmental, and ecological impacts.

Impact of Tourism

Establishing or developing a tourism industry involves expenditure, gains, costs, and benefits. If these impacts are considered from the outset of planning, strengths and opportunities can be maximized while weaknesses and threats can be minimized.

Each destination will be different in terms of tourism characteristics . The cost and benefits of tourism will vary in each destination and can change over time, depending on tourism and other activities in a destination’s local and regional context.

Tourism activities impact the economy of the country as well as the local economy of the destination.

Economics Benefits

  • Tourism generates local employment, directly in the tourism sector and in the support and resource management sectors.
  • Tourism stimulates profitable domestic industries, hotels and other lodging facilities, restaurants and food services, transportation systems, handicrafts, and guide services.
  • Tourism generates foreign exchange for the country and injects capital and new money into the local economy.
  • Tourism helps to diversify the local economy.
  • Improved tourism infrastructure.
  • Increase tax revenues from tourism.

Economic Costs

  • Higher demand created by tourism activity may increase the price of land, housing, and a range of commodities necessary for daily life.
  • Demands for health services provision and police service increase during the tourist seasons at the expense of the local tax base.

Tourism also affects the society of the destination in good as well as bad ways. It benefits and costs the local communities.

Social Benefits

  • The quality of a community can be enhanced by economic diversification through tourism.
  • Recreational and cultural facilities created for tourism can be used by local communities as well as domestic/international visitors.
  • Public space may be developed and enhanced through tourism activity.
  • Tourism Enhances the local community’s esteem and provides an opportunity for greater understanding and communication among people of diverse backgrounds.

Social Costs

  • Rapid tourism growth can result in the inability of local amenities and institutions to meet service demands.
  • Without proper planning and management, litter, vandalism, and crime often accompany tourism development.
  • Tourism can bring overcrowding and traffic congestion.
  • Visitors bring with them material wealth and apparent freedom. The youths of the host community are particularly susceptible to the economic expectations these tourists bring which can result in complete disruption of traditional community ways of life.
  • The community structure may change, e.g. community bonds, demographics, and institutions.
  • The authenticity of the social and cultural environment can be changed to meet tourism demands.

Tourism activities also affect the culture of the host country. There are many positive and negative cultural impacts of tourism.

Cultural Benefits

  • Tourism can enhance local cultural awareness.
  • Tourism can generate revenue to help pay for the preservation of archaeological sites, historic buildings, and districts.
  • Despite criticism about the alteration of cultures to unacceptable levels, the sharing of cultural knowledge and experience can be beneficial for hosts and guests of tourism destinations and can result in the revival of local traditions and crafts.

Cultural Costs

  • Youth in the community begin to emulate the speech and attire of tourists.
  • Historic sites can be damaged through tourism development and pressures.
  • There can be long-term damage to cultural traditions and the erosion of cultural values, resulting in cultural change beyond a level acceptable to the host destination.

Tourism impacts the environment in positive as well as negative ways. These impacts are following below.

Environmental Benefits

  • Parks and nature preserves may be created and ecological preservation supported as a necessity for nature-based tourism.
  • Improved waste management can be achieved.
  • Increased awareness and concern for the environment can result from nature-based tourism activities and development.

Environmental Costs

  • A negative change in the physical integrity of the area.
  • Rapid development, over-development, and overcrowding can forever change the physical environment and ecosystems of an area.
  • Degradation of parks and preserves.

Over the years, tourism has become a popular global activity. Depending upon the nature and purpose of their travel, tourists, need and demand certain facilities and services. This has given rise to a wide range of commercial activities that have acquired industry proportions. Thus travel and tourism nowadays represent a broad range of related industries.

Hotels are a commercial establishment that provides accommodation, meals, and other guest services. In the travel and tourism industry, the hotel industry plays a very significant role, as all tourists need a place to stay at their destinations, and require many more services and facilities to suit their specific needs and tastes.

Restaurants

Restaurants are retail establishments that serve prepared food and beverages to customers. In the travel and tourism industry, restaurants and other food and beverage outlets are very important as tourists like to experiment with the local cuisines of the places they are visiting.

Retail and Shopping

The retail industry is very important as tourists shop for their day-to-day necessities as well as look for mementos and souvenirs. In recent years, some cities in the world have been promoted as shopping destinations to attract people with a penchant for shopping by offering various products, such as garments, electronic goods, jewelry, and antiques. New York, Paris, London, and Milan in Italy are famous as fashion havens of the world.

Transportation

It is the movement of people and goods from one place to another. A well-developed transport industry, as well as infrastructure, is integral to the success of any travel and tourism enterprise.

Travel Agencies

A travel agency is a retailing business that sells travel-related products and services, particularly package tours, to customers on the behalf of suppliers such as airlines, car rentals, cruise liners, hotels, railways, and sightseeing.

Travel agencies play a very important role as they plan out the itinerary of their clients and make the necessary arrangements for their travel, stay, and sightseeing, besides facilitating their passport, visa, etc.

Tour Operators

A tour operator assembles the various elements of a tour. It typically combines tour and travel components to create a holiday. Tour operators play an important role in the travel and tourism industry.

Tourist Destinations

A tourist attraction is a place of interest for tourists, typically for its inherent or exhibited cultural value, historical significance, nature or building beauty or amusement opportunities. These are the basic fundamentals of the tourism industry.

Cultural Industries

Cultural or creative industries are responsible for the creation, production, and distribution of goods and services that are cultural in nature and usually protected by intellectual property rights. As tourists like to visit places of cultural significance and soak in the culture of the area, the cultural industry is very important to travel and tourism.

Leisure, Recreation, and Sport

Leisure or free time is a period of time spent out of work and essential domestic activity. Recreation or fun is spending time in a manner designed for therapeutic refreshment of the body or mind. While leisure is more like a form of entertainment or rest, recreation requires active participation in a refreshing and diverting manner.

As people in the world’s wealthier regions lead an increasingly sedentary lifestyle, the need for recreation has increased. These play a significant role in the travel and tourism sector.

A tourism/tourist product can be defined as the sum of the physical and psychological satisfaction it provides to tourists, during their ‘traveling and sojourn’ en route at the destinations.

Since the travel and tourism industry is an agglomeration of too many sectors that promote travel-related services. These sectors are referred to as travel vendors and their services and goods are called ‘travel products’. A tourism product includes five main components such as physical plant, services, hospitality, freedom of choice, and a sense of involvement.

Thus, whatever the natural and man-made resources and services brought about the consumption of tourists are called tourism products .

Charecterstatics Of Tourism Products

By now, you must have understood what a tourism product is. Now let us look at some of its characteristics:-

1) Intangible : Tourism is an intangible product means tourism is such a kind of product that can not be touched or seen and there is no transfer of ownership, But the facilities are available for a specified time and for a specified use. For e.g. a room in the hotel is available for a specified time.

2) Psychological : The main motive to purchase a tourism products is to satisfy the psychological need after using the product, by getting an experience while interacting with a new environment. And experiences also motivate others to purchase that product.

3) Highly Perishable : Tourism product is highly perishable in nature means one can not store the product for a long time. Production and consumption take place while a tourist is available. If the product remains unused, the chances are lost i.e. if tourists do not purchase it.

A travel agent or tour operator who sells a tourism product cannot store it. Production can only take place if the customer is actually present. And once consumption begins, it cannot be stopped, interrupted, or modified. If the product remains unused, the chances are lost i.e. if tourists do not visit a particular place, the opportunity at that time is lost. It is due to tourism reason that heavy discount is offered by hotels and transport-generating organizations during the offseason.

4) Composite Product : Tourist product is a combination of different products. It has not a single entity in itself. In the experience of a visit to a particular place, various service providers contribute like transportation The tourist product cannot be provided by a single enterprise, unlike a manufactured product.

The tourist product covers the complete experience of a visit to a particular place. And many providers contribute to the tourism experience. For instance, the airline supplies seats, a hotel provides rooms and restaurants, travel agents make bookings for stay and sightseeing, etc.

5) Unstable Demand : Tourism demand is influenced by seasonal, economic political, and other factors. There are certain times of the year that see greater demand than others. At these times there is a greater strain on services like hotel bookings, employment, the transport system, etc.

Tourism Teacher

Components of tourism: Structure of the tourism industry

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The travel and tourism industry is argued by many as being the largest industry in the world. It is, therefore, no surprise that the structure of the tourism industry is quite complex, involving many components of tourism.

With many different types of tourism and types of businesses operating within the tourism industry, from private companies to charities and NGOs, the structure of the tourism industry is made up of many different segments and components.

In this article I will provide you with an overview of the structure of the tourism industry, outlining the types of organisations and stakeholders in tourism that are involved.

Structure of the tourism industry

Components of tourism, international organisations, national tourist boards, regional tourist boards, tourist information centres, travel by air, travel by road, travel by train, travel by water, hotels chains, hostels and budget accommodation, holiday parks and campsites, accommodation innovations, world travel market, football world cup, glastonbury, holi festival, day of the dead, natural attractions, built attractions, tour operators, travel agents, ancillary services, components of tourism | structure of the tourism industry, structure of the tourism industry | components of tourism: further reading.

The importance of tourism is demonstrated when you can see how big the industry is!

The structure of the industry is made up of several components of tourism and involves many different stakeholders. These components are all interrelated in one way of another. The components of tourism make up the entire tourism system.

Components of tourism:

There are several integral components of tourism. Without these components, the tourism industry would struggle to function. I have explained what this means below, but before you read on, take a look at this short video that I made (and if you like what you see, don’t forget to subscribe to my YouTube channel)!

This was demonstrated, for example, during the Coronavirus pandemic, which halted air travel around the world. Travel services are a vital component of tourism and without these services being operational, the tourism industry struggled to survive!

There are six major components of tourism, each with their own sub-components. These are: tourist boards, travel services, accommodation services, conferences and events, attractions and tourism services.

Components of tourism:

Below, I will explain what each of the components offer to the tourism industry and provide some relevant examples.

Components of tourism: Tourist boards

A tourist board is an essential component of tourism and an integral part of the structure of the tourism industry.

A tourism board is responsible for the promotion of tourism in a particular area. This could be a city, a region, a country or a group of countries.

A tourism board is usually Government funded and is usually a public travel and tourism organisation (although this is not always the case).

A tourism board is also often referred to as a Destination Marketing Organisation (DMO).

Most tourist boards focus on promoting tourism in a particular area, city or country. There are, however, some organisations which aim to promote tourism across more than one country.

Whilst these organisation often have many functions other than tourism, they will also play a role in the promotion of tourism in particular parts of the world. This could include the European Union , the ASEAN network or organisations such as the United Nations.

A national tourist board is a national organisation whose aim is to promote tourism across the country.

There are usually several management bodies that are involved with a national tourist board. They are essential stakeholders who determine many aspects of tourism in the country, such as budgets, taxation and regulations.

Said management bodies include the parliament, the tourist board, an auditing committee and the Prime Minister, President or Head of State.

The national tourist board is funded from tourist taxes, membership fees, Government funding and other sources.

Examples of national tourist boards (often most commonly referred to by their ‘campaign title’ as opposed to the Government title) include Visit Britain , Incredible India and Amazing Thailand .

A regional tourist board is a tourist board that focusses on a particular region of a country. They are often a sub-division of a country’s national tourist board.

Regional tourism boards are often funded and operated in the same way as national tourist boards.

Examples of successful regional tourism boards include: Visit Cornwall in the UK, Kerala Tourism in India, Visite Montreal in Canada and Cape Town Tourism in South Africa.

A tourist information centre is the place where tourists can go for advice and help with regards to all matters related to tourism in the area.

In the tourist information centre (TIC) you will find staff who are knowledgeable about the local area. There will often be a range of printed and digital information for you, including leaflets, maps, coupons and guidebooks. Sometimes there will be virtual tourism facilities.

Tourist information centres have been an important component of tourism throughout the history of travel and tourism , however, they are coming under increasing pressure as a result of information that is available online. This has resulted in fewer people visiting TICs in person.

Most major tourist areas will have a tourist information centre. These are usually centrally located.

Tourist information centres are funded by the local Government.

Other posts that you might be interested in: – What is tourism? A definition of tourism – The history of tourism – Stakeholders in tourism – Dark tourism explained – What is ABTA and how does it work? – The economic impacts of tourism

Components of tourism:Transport services

The relationship between transport and tourism is strong.

According to the most commonly accepted definitions of tourism, a person must travel away from their home environment for at least one night in order to be a tourist (although I would argue that this definition needs updating given that it doesn’t account for novel forms of tourism such as a staycation or virtual tourism ).

Based on this fact, therefore, transport is an integral component of tourism. Without transport, people cannot reach their intended destination.

There are a range of different transport types. The most common and popular methods of transport that make up the structure of the tourism industry, however, are: air, road, train and water .

Components of tourism:

Travel by air has grown exponentially in the past few decades. With the introduction of low cost airlines and deregulation, the competitive market has been a tourist’s paradise.

New routes opening up has introduced tourists to areas that they may never have been able to reach before and low prices have resulted in more of us taking more trips abroad using air travel as our means of transportation.

Travel by air is an essential component of tourism and this was demonstrated during the Coronavirus epidemic. During this time most air traffic was halted, which had a devastating impact of the tourism industry world-wide.

Travel by road is also a core component of tourism, particularly for domestic tourism .

Travel by road is more popular in some countries than others. This largely depends on accessibility options (i.e. what is accessible by road), distances required and road conditions.

In destinations where travel by road is popular, there are often many car hire or rental companies.

Travel by train is very popular in destinations that have good rail networks in infrastructure.

In some parts of the world, such as China and Japan, there are world-class high-speed railways that can be more efficient than flying.

In other parts of the world, the rail journey is part of the tourism experience. A good example of this is the Siberian Railway.

In Europe you can buy an affordable interrail pass , which allows you to travel throughout Europe using the rail system.

Components of tourism:

Travel by water is also an important component of tourism.

The structure of the tourism industry includes cruises, ferries and leisure boats, among other types of travel by water.

Travel by water can vary considerably in price and can include anything from a round the world cruise to a short long tail ride in Thailand .

Components of tourism: Accommodation services

Accommodation services make up an important part of the structure of the tourism industry.

Whilst accommodation services were traditionally focussed mainly around the hotel industry, nowadays accommodation options for tourists are much more varied. This adds an additional layer of complexity to the structure of the tourism industry.

There are many hotel chains that operate throughout the tourism industry and that are a key component of tourism.

Multinational corporations have expanded throughout the tourism industry with key players being hotel chains such as Marriott, Radisson, Hilton, Travel Lodge and Holiday Inn.

However, hotel chains such as these have come under increased scrutiny as a result of the economic leakage in tourism that they cause.

Hostels and budget accommodation options are popular with budget travellers and backpackers.

There are a range of hostels found throughout the world. These are particularly popular in destinations where accommodation is expensive, such as London, New York and Singapore.

The Youth Hostel Association (YHA) and Hostelling International are popular hostel providers that are found across the UK and overseas.

Billy Butlin changed the face of the British holiday market with the introduction of his seaside holiday parks back in 1936.

Since this time, other similar chains have expanded throughout the UK and the rest of the world.

Camping is also an important component of tourism. There are camp sites situated throughout the world ranging from safari camps to glamping (glamorous camping).

Homestays have become an increasingly prominent component of tourism.

Whilst bed and breakfast accommodation has been around for a very long time, nowadays there are many more options that are grounded on the concept of a homestay.

The sharing economy has seen the growth and introduction of many types of accommodations into the travel and tourism sector that did not exist before.

The most popular of these is Airbnb, where people rent out a room or an entire property to tourists. You can read more about how Airbnb works here .

In recent years consumers have been demanding new and unusual experiences more than ever. In response to this, we have seen many accommodation innovations emerge throughout the world.

From staying in an ice hotel in Finland, to sleeping in a hammock in Borneo to a night in a haunted castle in Wales, there are many different types of accommodation options that can make your holiday a little bit more exciting!

Components of tourism: Conferences and events

Conferences and events make up a significant part of the structure of the tourism industry.

Conferences, which often come under business tourism , come in all shapes and sizes around the world.

From a small academic gathering to a large-scale summit involving national leaders from around the world, conferences are an important component of tourism.

Likewise, the event sector is also a significant part of the tourism industry.

There are millions of events that take place around the world each year that vary in size and function. Many of these form an integral part of the tourism industry.

Examples of major conferences and events around the world

There are many major conferences and events that take place around the world every year. Here are a few of my favourites:

The World Travel Market (WTM) is held in London each November. This is a large event that is held at the Excel venue.

WTM provides travel industry experts with the opportunity to showcase their work, learn more about the industry and to network.

ITB is the world’s leading international travel trade show. It is held in Berlin each year.

Similar to the WTM, this large-scale event enables industry professionals to network and undertake continuous professional development.

The vast majority of people are familiar with the Football World Cup.

The Football World Cup is held every four years in a different location.

The Football World Cup attracts millions of tourists from all over the world. The event also acts as a stimuli for tourism as the nation will often use the opportunity of hosting the event as a chance to market tourism in the area to those who are tuning in from their TVs from around the world.

Sports tourism , which includes events such as the Football World Cup, contributes significantly to the overall tourism industry.

Glastonbury is a popular British music festival. It takes place each summer in Somerset.

Glastonbury is a five-day festival of contemporary performing arts. In addition to music, the festival hosts dance, comedy, theatre, circus, cabaret, and other arts to entertain visitors.

Glastonbury attracts many domestic tourists as well as international tourists.

San Fermin is a festival that is held in Pamplona, Spain each July.

San Fermin, also known as the ‘Running of the Bulls’ is a historically-rooted festival that lasts five days. It involves dancing, eating and drinking, games and the famous bull races and fights.

San Fermin has been subject to a lot of controversy in recent years, with many people protesting that it is a cruel form of animal tourism .

San Fermin

Holi Festival is known as the ‘festival of spring’, the ‘festival of colours’ or the ‘festival of love’.

Holi Festival is celebrated in India each year during the month of March.

Holi Festival is famous for the way in which coloured paints are used and often thrown onto people’s faces and clothes.

This is a Hindu festival that signifies the victory of good over evil.

The Day of the Dead festival, locally referred to as ‘Dia de los Muertos’, is a festival that is celebrated in November each year in Mexico.

This day is a celebration of the deceased, whereby it is believed that the alive and the dead are reunited. On this day many people will create offerings for the deceased.

Many people choose to dress up as skeletons and in halloween-type outfits and they celebrate with food, drink and music.

Components of tourism: Attractions

An essential component of the tourism industry are the tourist attractions.

There are a multitude of different tourist attractions around the world.

Some are built, some are natural. Some are paid, some are free. Some are famous, others are not. Some are large and some are small.

Natural attractions are just as it says on the tin – natural. In other words, they are attractions that have not been made by man.

Natural attractions are found all over the world and vary in size and scope. There is even a definitive list of the seven natural wonders of the world .

I have visited many natural attractions around the world, here is a list of some of my favourites:

  • Drakansburg Mountains, South Africa
  • Mount Kilimanjaro, Tanzania
  • Mount Toubkal, Morocco
  • Sahara Desert, Morocco
  • Red Sea, Egypt
  • Dead Sea, Israel
  • Sierra Nevada, Spain
  • Chicken Island, Thailand
  • Niagara Falls, USA
  • Rocky Mountains, Canada
  • Pammukale Thermal Pools, Turkey
  • Iceland (the island is filled with wonderful natural attractions!)
  • Amazon Rainforest , Ecuador
  • Cenotes, Mexico
  • Iguazu Falls, Brazil
  • The Great Barrier Reef, Australia
  • Ha Long Bay, Vietnam
  • Waterways of Kerela, India
  • Mount Hallasan, South Korea

Built attractions also make up an important part of the structure of the tourism industry.

There are many built attractions throughout the world. Some attractions are built for the purpose of tourism, such as theme parks or museums. Other attractions are built for other purposes but then become tourist attractions, such as the Empire State Building or the Sydney Opera House.

I have visited many built attractions throughout the world. Here are some of my favourites:

  • Robin Island, South Africa
  • The Pyramids of Giza, Egypt
  • La Sagrada Familia, Spain
  • The Eiffel Tower, France
  • The United States Capitol Building, USA
  • Statue of Liberty, New York
  • Petronas Towers, Malaysia
  • Marina Sands Bay Hotel, Singapore
  • Angkor Wat, Cambodia
  • Taj Mahal, India
  • Sydney Harbour Bridge, Australia
  • Houses of Parliament, UK
  • Sheikh Zayed Mosque, UAE

Components of tourism: Tourism services

Tourism services are an essential component of tourism. Without many tourism services, the tourism industry would fail to adequately function.

Below I will explain the three major tourism services that make up the structure of the tourism industry.

A tour operator is the individual or organisation who puts together a trip.

Typically, a tour operator would package together essential elements including accommodation, transport and transfer. They would then sell this package to the tourists.

However, tour operators are becoming fewer in recent years. Consumers are now far more Internet savvy and are more capable of researching the individual elements of their holiday and booking this independently. This is known as dynamic packaging .

Traditionally, a travel agent would sell the product that the tour operator has produced i.e. the package holiday.

While travel agents have and continue to sell individual holiday components, they have historically been most commonly used by tourists who wish to book a package holiday.

In today’s society, there is far less scope for travel agents than there used to be. A few years ago it would be easy to finish school and to get a job in a travel agent selling holidays. Now, however, people are more likely to set up their own travel agent business online or to be employed by an online retailer.

Many high street stores have now closed as there is little demand these days for holidays to be booked in this way. Instead, many people are selling holidays and travel services via their blogs or websites.

The travel agent does still exist, but he has changed the way he looks.

Ancillary services are another core component of tourism.

Ancillary basically means ‘extra’ or ‘additional’. An ancillary service in the context of tourism, therefore, is any product or service that is additional to the core elements of accommodation, transport and transfer.

Here are some examples of ancillary products:

  • Attraction tickets
  • Meal tickets
  • Extra luggage
  • Currency exchange
  • Airport parking

As you can see, the tourism industry is large and complex, but understanding the different components of tourism isn’t too difficult.

All of the components of tourism are interconnected in one way or another and many rely on one another to be successful.

Want to learn more about the structure of tourism? I have listed some recommended texts below.

  • An Introduction to Tourism : a comprehensive and authoritative introduction to all facets of tourism including: the history of tourism; factors influencing the tourism industry; tourism in developing countries; sustainable tourism; forecasting future trends.
  • The Business of Tourism Management : an introduction to key aspects of tourism, and to the practice of managing a tourism business.
  • Tourism Management: An Introduction : gives its reader a strong understanding of the dimensions of tourism, the industries of which it is comprised, the issues that affect its success, and the management of its impact on destination economies, environments and communities.

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  • Understanding Poverty
  • Competitiveness

Tourism and Competitiveness

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  • Publications

The tourism sector provides opportunities for developing countries to create productive and inclusive jobs, grow innovative firms, finance the conservation of natural and cultural assets, and increase economic empowerment, especially for women, who comprise the majority of the tourism sector’s workforce. Before the COVID-19 pandemic, tourism was the world’s largest service sector—providing one in ten jobs worldwide,  almost seven percent of all international trade and  25 percent of the world’s service exports —a critical foreign exchange generator.  In 2019 the sector was valued at more than US$9 trillion and accounted for 10.4 percent of global GDP.

Tourism offers opportunities for economic diversification and market-creation. When effectively managed, its deep local value chains can expand demand for existing and new products and services that directly and positively impact the poor and rural/isolated communities. The sector can also be a force for biodiversity conservation, heritage protection, and climate-friendly livelihoods, making up a key pillar of the blue/green economy. This potential is also associated with social and environmental risks, which need to be managed and mitigated to maximize the sector’s net-positive benefits.

The impact of the COVID-19 pandemic has been devastating for tourism service providers, with a loss of 20 percent of all tourism jobs (62 million), and US$1.3 trillion in export revenue, leading to a reduction of 50 percent of its  contribution to GDP  in 2020 alone. The collapse of demand has severely impacted the livelihoods of tourism-dependent communities, small businesses and women-run enterprises. It has also reduced government tax revenues and constrained the availability of resources for destination management and site conservation.

Naturalist Local Guid With Group Of Tourist In Cuyabeno Wildlife Reserve Ecuador

Naturalist local guide with group of tourist in Cuyabeno Wildlife Reserve Ecuador. Photo: Ammit Jack/Shutterstock

Tourism and Competitiveness Strategic Pillars

Tourism and Competitiveness Strategic Pillars

Our solutions are integrated across the following areas:

  • Competitive and Productive Tourism Markets. We work with government and private sector stakeholders to foster competitive tourism markets that create productive jobs, improve visitor expenditure and impact, and are supportive of high-growth, innovative firms. To do so we offer guidance on firm and destination level recovery, policy and regulatory reforms, demand diversification, investment promotion and market access. 
  • Blue, Green and Resilient Tourism Economies. We support economic diversification to sustain natural capital and tourism assets, prepare for external and climate-related shocks, and be sustainably managed through strong policy, coordination, and governance improvements. To do so we offer support to align the tourism enabling and policy environment towards sustainability, while improving tourism destination and site planning, development, and management. We work with governments to enhance the sector’s resilience and to foster the development of innovative sustainable financing instruments.
  • Inclusive Value Chains. We work with client governments and intermediaries to support Small and Medium sized Enterprises (SMEs), and strengthen value chains that provide equitable livelihoods for communities, women, youth, minorities, and local businesses. 

The successful design and implementation of reforms in the tourism space requires the combined effort of diverse line ministries and agencies, and an understanding of the impact of digital technologies in the industry. Accordingly, our teams support cross-cutting issues of tourism governance and coordination, digital innovation and the use and application of data throughout the three focus areas of work.

Tourism and Competitiveness Theory of Change 

Tourism and Competitiveness Theory of Change infographic

Examples of our projects:

  • In Indonesia , a US$955m loan is supporting the Government’s Integrated Infrastructure Development for National Tourism Strategic Areas Project. This project is designed to improve the quality of, and access to, tourism-relevant basic infrastructure and services, strengthen local economy linkages to tourism, and attract private investment in selected tourism destinations. In its initial phases, the project has supported detailed market and demand analyses needed to justify significant public investment, mobilized integrated tourism destination masterplans for each new destination and established essential coordination mechanisms at the national level and at all seventeen of the Project’s participating districts and cities.
  • In Madagascar , a series of projects totaling US$450m in lending and IFC Technical Assistance have contributed to the sustainable growth of the tourism sector by enhancing access to enabling infrastructure and services in target regions. Activities under the project focused on providing support to SMEs, capacity building to institutions, and promoting investment and enabling environment reforms. They resulted in the creation of more than 10,000 jobs and the registration of more than 30,000 businesses. As a result of COVID-19, the project provided emergency support both to government institutions (i.e., Ministry of Tourism) and other organizations such as the National Tourism Promotion Board to plan, strategize and implement initiatives to address effects of the pandemic and support the sector’s gradual relaunch, as well as to directly support tourism companies and workers groups most affected by the crisis. 
  • In Sierra Leone , an Economic Diversification Project has a strong focus on sustainable tourism development.  The project is contributing significantly to the COVID-19 recovery, with its focus on the creation of six new tourism destinations, attracting new private investment, and building the capacity of government ministries to successfully manage and market their tourism assets.  This project aims to contribute to the development of more circular economy tourism business models, and support the growth of women- run tourism businesses.  
  • Through the Rebuilding Tourism Competitiveness: Tourism Response, Recovery and Resilience to the COVID-19 Crisis initiative and the Tourism for Development Learning Series , we held webinars, published insights and guidance notes as well as formed new partnerships with Organization of Eastern Caribbean States, United Nations Environment Program, United Nations World Tourism Organization, and World Travel and Tourism Council to exchange knowledge on managing tourism throughout the pandemic, planning for recovery and building back better. The initiative’s key Policy Note has been downloaded more than 20,000 times and has been used to inform recovery initiatives in over 30 countries across 6 regions.
  • The Global Aviation Dashboard  is a platform that visualizes real-time changes in global flight movements, allowing users to generate 2D & 3D visualizations, charts, graphs, and tables; and ranking animations for: flight volume, seat volume, and available seat kilometers.  Data is available for domestic, intra-regional, and inter-regional routes across all regions, countries, airports, and airlines on a daily, weekly, or monthly basis from January 2020 until today. The dashboard has been used to track the status and recovery of global travel and inform policy and operational actions.

Traditional Samburu women in Kenya

Traditional Samburu women in Kenya. Photo: hecke61/Shutterstock.

Featured Data

We-Fi WeTour Women in Tourism Enterprise Surveys (2019)

  • Sierra Leone  |  Ghana

Featured Reports 

  • Destination Management Handbook: A Guide to the Planning and Implementation of Destination Management  (2023)
  • Blue Tourism in Islands and Small Tourism-Dependent Coastal States : Tools and Recovery Strategies (2022)
  • Resilient Tourism: Competitiveness in the Face of Disasters  (2020)
  • Tourism and the Sharing Economy: Policy and Potential of Sustainable Peer-to-Peer Accommodation  (2018)
  • Supporting Sustainable Livelihoods through Wildlife Tourism  (2018)
  • The Voice of Travelers: Leveraging User-Generated Content for Tourism Development  (2018)
  • Women and Tourism: Designing for Inclusion  (2017)
  • Twenty Reasons Sustainable Tourism Counts for Development  (2017)
  • An introduction to tourism concessioning:14 characteristics of successful programs.  The World Bank, 2016)
  • Getting financed: 9 tips for community joint ventures in tourism . World Wildlife Fund (WWF) and World Bank, (2015)
  • Global investment promotion best practices: Winning tourism investment” Investment Climate  (2013)

Country-Specific

  • COVID-19 and Tourism in South Asia: Opportunities for Sustainable Regional Outcomes  (2020)
  • Demand Analysis for Tourism in African Local Communities  (2018)
  • Tourism in Africa: Harnessing Tourism for Growth and Improved Livelihoods . Africa Development Forum (2014)

COVID-19 Response

  • Expecting the Unexpected : Tools and Policy Considerations to Support the Recovery and Resilience of the Tourism Sector (2022)
  • Rebuilding Tourism Competitiveness. Tourism response, recovery and resilience to the COVID-19 crisis  (2020)
  • COVID-19 and Tourism in South Asia Opportunities for Sustainable Regional Outcomes  (2020)  
  • WBG support for tourism clients and destinations during the COVID-19 crisis  (2020)
  • Tourism for Development: Tourism Diagnostic Toolkit  (2019)
  • Tourism Theory of Change  (2018)

Country   -Specific

  • COVID Impact Mitigation Survey Results  (South Africa) (2020)
  • COVID Preparedness for Reopening Survey Results  (South Africa) (2020)
  • COVID Study  (Fiji) (2020) with   IFC

Featured Blogs

  • Fiona Stewart, Samantha Power & Shaun Mann ,  Harnessing the power of capital markets to conserve and restore global biodiversity through “Natural Asset Companies”   | October 12 th  2021
  • Mari Elka Pangestu ,  Tourism in the post-COVID world: Three steps to build better forward  | April 30 th  2021
  • Hartwig Schafer ,  Regional collaboration can help South Asian nations rebuild and strengthen tourism industry  | July 23 rd  2020
  • Caroline Freund ,  We can’t travel, but we can take measures to preserve jobs in the tourism industry  | March 20 th  2020

Featured Webinars

  • Destination Management for Resilient Growth . This webinar looks at emerging destinations at the local level to examine the opportunities, examples, and best tools available. Destination Management Handbook
  • Launch of the Future of Pacific Tourism. This webinar goes through the results of the new Future of Pacific Tourism report. It was launched by FCI Regional and Global Managers with Discussants from the Asian Development Bank and Intrepid Group.
  • Circular Economy and Tourism . This webinar discusses how new and circular business models are needed to change the way tourism operates and enable businesses and destinations to be sustainable.
  • Closing the Gap: Gender in Projects and Analytics .  The purpose of this webinar is to raise awareness on integrating gender considerations into projects and provide guidelines for future project design in various sectoral areas.
  • WTO Tourism Resilience: Building forward Better. High-level panelists from Sri Lanka, Costa Rica, Jordan and Kenya discuss how donors, governments and the private sector can work together most effectively to rebuild the tourism industry and improve its resilience for the future.
  • Tourism Watch
  • [email protected]

Launch of Blue Tourism Resource Portal

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Coral frames have been placed in the shallows on Baa Atoll in the Republic of Maldive

Coral reforestation helps restore desolated reefs around Landaa Giraavaru Island on Baa Atoll in the Republic of Maldives.

For travelers, sustainability is the word—but there are many definitions of it

Most people want to support sustainable tourism, even though the concept remains fuzzy.

The word “overtourism” is a relatively new term—but its novelty has not diminished the portent of its meaning: “An excessive number of tourist visits to a popular destination or attraction, resulting in damage to the local environment and historical sites and in poorer quality of life for residents,” according to the Oxford Dictionary .  

As travel recovers from pandemic lows, travelers are once again experiencing the consequences of overtourism at enticing, but crowded, destinations. The UN World Tourism Organization, along with public and private sector partners, marks September 27 as World Tourism Day and uses this platform to discuss tourism’s social, political, economic, and environmental impacts.

This day highlights the importance of sustainable tourism —a framework for engaging travelers and the travel industry at large in supporting goals that include protecting the environment, addressing climate change, minimizing plastic consumption , and expanding economic development in communities affected by tourism.

Getting the facts

A National Geographic survey of 3,500 adults in the U.S. reveals strong support for sustainability. That’s the good news—but the challenge will be helping travelers take meaningful actions. According to the survey—which was conducted in 2019—while 42 percent of U.S. travelers would be willing to prioritize sustainable travel in the future, only 15 percent of these travelers are sufficiently familiar with what sustainable travel actually means.  

( Learn about how to turn overtourism into sustainable global tourism .)

In the National Geographic survey, consumers most familiar with sustainable travel are young: 50 percent are 18 to 34 years old. Among travelers who understand the sustainable travel concept, 56 percent acknowledge travel has an impact on local communities and that it’s important to protect natural sites and cultural places.

The survey has informed National Geographic’s experiential travel and media businesses and sparked conversations for creating solutions around sustainability. Our travel content focuses on environmentally friendly practices, protecting cultural and natural heritage, providing social and economic benefits for local communities, and inspiring travelers to become conservation ambassadors. In short, we see every National Geographic traveler as a curious explorer who seeks to build an ethic of conserving all that makes a destination unique.

Building better practices

National Geographic Expeditions operates hundreds of trips each year, spanning all seven continents and more than 80 destinations. Rooted in the National Geographic Society ’s legacy of exploration, the company supports the Society's mission to inspire people to care about the planet by providing meaningful opportunities to explore it. Proceeds from all travel programs support the Society’s efforts to increase global understanding through exploration, education and scientific research.

National Geographic Expeditions offers a range of group travel experiences, including land expeditions, cruises, and active adventures, many of which take place around eco-lodges that are rigorously vetted for their sustainability practices.  

These independent lodges incorporate innovative sustainability practices into their everyday operations, including supporting natural and cultural heritage, sourcing products regionally, and giving back to the local community.

For example, South Africa’s Grootbos Lodge launched a foundation to support the Masakhane Community Farm and Training Centre. Through this program, the lodge has given plots of land to local people who have completed the training, increasing their income and access to local, healthy foods; so far the program has benefitted more than 138 community members.

As a media brand, National Geographic encourages travelers to seek out and support properties that embrace a mission to help protect people and the environment. Not only do these accommodations make direct and meaningful impacts in their own communities, but staying at one helps educate travelers in effective ways to preserve and protect the places they visit.

Supporting sustainability

The travel industry is crucially dependent on the health of local communities, environments, and cultures. As many experts note, we need to invest in the resiliency of places affected by overtourism and climate change to achieve sustainable tourism.

( Should some of the world’s endangered places be off-limits to tourists ?)

National Geographic’s coverage stresses the importance of reducing our carbon footprint and encourages travelers to step off the beaten path and linger longer, respect cultural differences and invest in communities, reconnect with nature and support organizations that are protecting the planet. Here are 12 ways to travel sustainably , reported by our staff editors.

Storytelling can help by highlighting problems brought on by tourism and surfacing practices and technologies to mitigate negative impacts. A key goal of our storytelling mission at National Geographic Travel is to dig deeper into the topic of sustainable tourism and provide resources, practical tips, and destination advice for travelers who seek to explore the world in all its beauty—while leaving behind a lighter footprint.

For Hungry Minds

Related topics.

  • SUSTAINABILITY
  • SUSTAINABLE TOURISM
  • ENVIRONMENT AND CONSERVATION
  • PEOPLE AND CULTURE
  • CLIMATE CHANGE

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A Dictionary of Travel and Tourism

A Dictionary of Travel and Tourism  

Allan beaver.

Over 6,500 entries

Provides over 6,500 definitions of travel and tourism terminology, including the operating language of the travel industry, acronyms of organizations, associations, and trade bodies, IT terms, and brand names. Completely up to date, this dictionary covers the implications of web technology and social media on the travel and tourism industry, as well as new products and services, such as e-tickets, home-based travel agents, awareness amongst consumers and within the industry of terror-threatened travel, recent changes in legislation, and environmental concerns.

Useful appendices include the World Tourism Organization Global Code of Ethics for Tourism , the recommended tourism syllabus content for Higher Education courses worldwide, and a list of the EC Neutral Computerized Reservation System Rules . Providing a wealth of information on one of the fastest-growing global industries of the 21st century, this dictionary is the ideal point of reference for students taking travel, tourism, and hospitality courses, as well as professionals working within these areas.

Bibliographic Information

Affiliations are at time of print publication..

Allan Beaver is an expert in the fields of travel and tourism, and is Visiting Professor at Bournemouth University and Director of Beaver Travel . Previous publications include Mind Your Own Travel Business (1993), Travel Agency Layout, Equipment and Design (1989), and Air Fares Guide (1995).

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For questions on access or troubleshooting, please check our FAQs , and if you can''t find the answer there, please contact us .

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Front matter, publishing information, general links for this work, introduction, recommended tourism syllabus content for higher education courses, ec computer reservation system rules, acknowledgements.

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PRINTED FROM OXFORD REFERENCE (www.oxfordreference.com). (c) Copyright Oxford University Press, 2023. All Rights Reserved. Under the terms of the licence agreement, an individual user may print out a PDF of a single entry from a reference work in OR for personal use (for details see Privacy Policy and Legal Notice ).

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  3. Internet of Things Is Transforming Travel

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  4. Components Of Tourism: Structure Of The Tourism Industry

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  5. Benefits of Big Data in Travel Industry (Case Studies Included)

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  6. Travel & Tourism

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  2. [WEBINAR] The future of Travel & Tourism Advertising // 12.2023

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COMMENTS

  1. Travel and Tourism Industry; A Complete Overview of All Activities

    Travel and Tourism. Travel and tourism is a combined industry, based on the movement of people away from their usual environments. Common businesses operating in this broad industry include hotels, cruise companies, airlines, restaurants and businesses with an entertainment focus, like casinos.

  2. Tourism

    tourism, the act and process of spending time away from home in pursuit of recreation, relaxation, and pleasure, while making use of the commercial provision of services.As such, tourism is a product of modern social arrangements, beginning in western Europe in the 17th century, although it has antecedents in Classical antiquity.. Tourism is distinguished from exploration in that tourists ...

  3. Global tourism industry

    Globally, travel and tourism's direct contribution to gross domectic product (GDP) was approximately 7.7 trillion U.S. dollars in 2022. This was a, not insignificant, 7.6 percent share of the ...

  4. Tourism

    Experiential travel (or "immersion travel") is one of the major market trends in the modern tourism industry. It is an approach to travelling which focuses on experiencing a country, city or particular place by connecting to its history , people, food and culture .

  5. 1.1 What is Tourism?

    While tourism is the all-encompassing umbrella term for the activities and industry that create the tourist experience, the UNWTO (2020) defines travel as the activity of moving between different locations often for any purpose but more so for leisure and recreation (Hall & Page, 2006). On the other hand, hospitality can be defined as "the ...

  6. Travel and Tourism

    Travel and Tourism Satellite Account for 2018-2022 The travel and tourism industry—as measured by the real output of goods and services sold directly to visitors—increased 21.0 percent in 2022 after increasing 53.6 percent in 2021, according to the most recent statistics from BEA's Travel and Tourism Sate

  7. 1.1 What is Tourism?

    While tourism is the all-encompassing umbrella term for the activities and industry that create the tourist experience, the UNWTO (2020) defines travel as the activity of moving between different locations often for any purpose but more so for leisure and recreation (Hall & Page, 2006). On the other hand, hospitality can be defined as "the ...

  8. Travel & Tourism Industry

    The U.S. travel and tourism industry generated $1.9 trillion in economic output; supporting 9.5 million American jobs and accounted for 2.9% of U.S. GDP. At 14.5% of international travel spending globally, international travelers spend more in the United States than any other country. As recovery efforts continue, the International Trade ...

  9. The Tourism Industry: An Overview

    1 Introduction. This chapter describes the main sectors within the travel, tourism and hospitality industries. It provides a good overview of the vertical and horizontal inter-relationships between different sectors. Firstly, this chapter describes the nature of tourism and the individuals' inherent motivations to travel.

  10. Travel, Tourism & Hospitality

    Industry Definition. The travel and tourism sector comprises a wide range of products and services, including leisure and business travel, accommodation, food and drink services, and more. Some of ...

  11. PDF Features of the travel and tourism industry Chapter 1

    growth in the modern travel and tourism industry and shows why it is described as the world s biggest industry . Readers will learn that the international travel and tourism industry consists of a wide variety of commercial and non-commercial organisations that work together to supply products and services to tourists. During your studies, you

  12. Glossary of tourism terms

    Tourism share: Tourism share is the share of the corresponding fraction of internal tourism consumption in each component of supply (TSA:RMF 2008, 4.51). For each industry, the tourism share of output (in value), is the sum of the tourism share corresponding to each product component of its output (TSA:RMF 2008, 4.55). (See also Tourism ratio).

  13. Tourism Industry

    Tourism is a sensitive industry with respect to changes in economic, social, and political conditions, and tourism activities are hampered by disease, political unrest, and climatic changes. A further challenge for the tourism industry is to consider how to integrate tourism into society such that the economic benefits are equitably shared ...

  14. Unveiling the Scope of the Travel and Tourism Industry: A Global

    The travel and tourism industry is a major economic driver worldwide. It generates revenue through various sectors, including transportation, accommodation, food and beverage services, entertainment, and attractions. The industry creates jobs directly and indirectly, supporting diverse sectors such as aviation, hotel management, tour operations ...

  15. Tourism

    Tour operators play an important role in the travel and tourism industry. Tourist Destinations. A tourist attraction is a place of interest for tourists, typically for its inherent or exhibited cultural value, historical significance, nature or building beauty or amusement opportunities. These are the basic fundamentals of the tourism industry.

  16. (PDF) The Tourism Industry: An Overview

    This chapter describes the main sectors within the travel, tourism and hosp itality industries. It. provides a good overview of the vertical and horizontal inter-relationships between different. 1 ...

  17. Everything You Need to Know About Travel & Tourism Industry

    An OTA is a travel website that specializes in providing travel services to customers including flights, hotels, car rentals, cruises, activities, and packages. These websites have in-built booking systems that allow users to instantly book. Some of the popular examples of OTAs are Expedia, Priceline and Orbitz.

  18. Components of tourism: Structure of the tourism industry

    The travel and tourism industry is argued by many as being the largest industry in the world. It is, therefore, no surprise that the structure of the tourism industry is quite complex, involving many components of tourism. ... (although I would argue that this definition needs updating given that it doesn't account for novel forms of tourism ...

  19. Tourism and Competitiveness

    Tourism and Competitiveness. The tourism sector provides opportunities for developing countries to create productive and inclusive jobs, grow innovative firms, finance the conservation of natural and cultural assets, and increase economic empowerment, especially for women, who comprise the majority of the tourism sector's workforce.

  20. What does sustainable travel mean?

    This day highlights the importance of sustainable tourism —a framework for engaging travelers and the travel industry at large in supporting goals that include protecting the environment ...

  21. Travel Industry

    Definition. Travel Industry - It means that Migrate one place to another place for different purposes and needs. This can refer to long-distance, short-distance, overseas, domestic, and various other forms. ... Travel Trends: Opportunities for the Travel Industry is a detailed guide to the key trends reshaping the travel and tourism industry.

  22. Dictionary of Travel and Tourism

    Completely up to date, this dictionary covers the implications of web technology and social media on the travel and tourism industry, as well as new products and services, such as e-tickets, home-based travel agents, awareness amongst consumers and within the industry of terror-threatened travel, recent changes in legislation, and environmental ...

  23. An Overview of the Travel and Tourism Industry

    In summary, the travel and tourism industry is a diverse and interconnected network of sectors and companies that provide travelers with a wide range of services and experiences. From transportation and accommodation to dining, entertainment, and beyond, the industry plays a crucial role in facilitating global travel and cultural exchange.