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Keeping profits in New Zealand


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The tourism industry is the second biggest for New Zealand and is expected to regain the top spot if current, exponential growth continues. Online travel agencies (OTAs) such as those owned by Expedia Inc. and Booking Holdings Inc. facilitate this boom by encouraging travellers to visit beautiful locations, but are taking huge chunks of this income away from the local Gross-Domestic Product (GDP) in the commission they charge on every night of accommodation booked. One of the largest consumers of New Zealand’s tourism industry is Chinese nationals. This study looks at feasibility of a small player developing an app in a market full of large corporates that are dominating the playing field. The primary research used mixed methods and sought to reach 120 questionnaire respondents and 10 interview participants which uncovered thoughts on stakeholders on either side of the discussion, the China-based potential customers and the New Zealand-based accommodation providers. Preliminary results indicate that Chinese nationals are often likely to conduct thorough research when making decisions about international travel and a large portion are enthused about the prospect of regular international travel. Accommodation providers in New Zealand are rarely hesitant to support a local OTA as they are often frustrated with the poor service received from the large corporates. Developing an app that is based in China and attempts to market the New Zealand tourism industry will be a difficult proposition but is plausible with the implementation of a marketing plan that is strategically thought out.

Item Type: Paper presented at a conference, workshop or other event, and published in the proceedings
Uncontrolled Keywords: tourism industry, business
Subjects: H Social Sciences > HF Commerce
Divisions: Schools > Centre for Business, Information Technology and Enterprise > School of Business and Adminstration
Depositing User: Adrian France
Date Deposited: 26 Nov 2018 01:22
Last Modified: 21 Jul 2023 07:31

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