Transportation

Management

HEILBRONN UNIVERSITY
By
Subburaj Alagarsamy
 Career objectives

This module provides students with the

necessary background information to gain a
comprehensive understanding of
transportation markets, with each of the three
modes of transportation - air, ground and
marine.
The module is designed to prepare students
for a successful career in the travel, tourism
and hospitality industry.
 Overview of the Travel
industry
Tourism and Travel is the worlds third largest retail
industry next to food and automotive.
Tourism and Travel includes more than 15 interrelated
businesses, from lodging establishments, airlines, and
restaurants, to cruise lines, car rental firms, travel
agents, and tour operators.
The U.S. travel industry received more than $645
billion last year, including international passenger
fares, from domestic and international travelers.
 Overview of the Travel
industry- Maldives
Region Nos
EUROPE 575,176
ASIA & THE PACIFIC 598,044
AFRICA 10,752
AMERICAS 50,458
MIDDLE EAST 51,330
OTHERS / NOT STATED 147
UN Passport Holders 228
TOTAL TOURIST ARRIVALS 1,286,135 (4.2 % change)

Source: Ministry of Tourism (MoT)

Data provided by Department of Immigration and Emigration (DIE)
Date: 08/01/'17
 OVERVIEW OF
TRAVEL, TOURISM,
AND RECREATION
MARKETING
 Major historical developments associated
with the travel, tourism, and recreation
industry
Reasons people traveled historically
In search of food, shelter, and water
For trade and political reasons
Conquest and war
Religion
Health
Academic studies
Adventure
To see places of importance or curiosities
Cultural development
 Major historical developments associated
with the travel, tourism, and recreation
industry
Early ancient times
Babylonia (Sumerians)
4000 BC
Invented money for exchange
Invented and used the wheel
Greek cities-states
776 BC
Began the Olympic Games
Travel characteristics in ancient times that apply today
Peace ensures the increase of people traveling to different
destinations.
Travelers must feel safe and secure in the destinations they are
visiting.
A common means of communicating must exist.
An infrastructure must be in place to serve the visitors needs.
There must be some mutually agreed form of payment between
the traveler and the provider in exchange for goods and services.
 Major historical developments associated
with the travel, tourism, and recreation
industry
Industrial Revolution (1800s)
1800 Urban mass transit began in New York City,
London, and Paris.
1804 The first successful steam-powered
locomotive became available.
1804 The first roller coaster made its appearance
in Paris.
1807 Robert Fultons steam-powered Clermont
made her maiden voyage up the Hudson River.
The use of steam engines on ships was the
greatest revolution in water transportation.
1815 Scotsman John McAdams improved road
construction with the use of broken stones
covered with tar.
 Major historical developments associated
with the travel, tourism, and recreation
industry
Industrial Revolution (1800s) Contd
1819 The Savanna was the first steam ship to cross
the Atlantic.
1836 The first subway system opened in London.
1850s Railroad development contributed to the growth
of the lodging/hospitality industry. These small hotels
were called ordinaries.
1853 The elevator was invented allowing hotels to
expand upward.
1869 The east and west coasts of the United States
were connected by the completion of the
transcontinental railroad at Promontory, Utah. This
helped to speed the east to west movement after the
Civil War.
1870 The first subway system opened in New York
City.
 Major historical developments associated
with the travel, tourism, and recreation
industry
Industrial Revolution (1800s)
1870 The first steam-powered Carousel was
introduced.
1876 Alexander Graham Bell introduced the
telephone.
1890 Electric cars, or trolleys, came into their
own. The gasoline engine led to the beginning of
the motor coach line.
1895 Edison improved and perfected motion
picture technology. The movies enabled people
to see destinations that they would otherwise
have only read or heard about.
 Major historical developments associated
with the travel, tourism, and recreation
industry
Other early developments helped tourism
to grow.
1829 The 173 room Tremont House opened in
Boston. It was the first modern hotel.
1885 The first cafeteria opened in New York.
1880s Coney Island was established in New
York and became the model for amusement
parks.
1890s Automobiles were introduced.
1891 The first travelers checks were
introduced by American Express Company.
1890s The first Stanley Cup (hockey) playoffs
were held and the modern Olympic Games
returned.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1900-1919
Early 1900s Electric lights came into use.
Davis Cup (tennis) and World Series (baseball)
were introduced.
1902 The American Automobile Association
(AAA) was founded in Chicago.
1903 Orville and Wilbur Wright flew the first
powered flight at Kitty Hawk, NC.
1908 Henry Ford introduced the Model T. The
Model T made travel available to people who
were not wealthy. By 1914 these cars were
being mass-produced. The price made them
available to the working and middle classes.
The use of the Model T created a demand for
better roads.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1900-1919
Passenger ship accommodations were more
luxurious and affordable only by the very
wealthy. The Titanic was an example of this
luxury. The movie Titanic reflects the division
of wealth on luxury liners.
Ellsworth Statler originated the hotel chain
concept and became known as the father of
the modern commercial hotel industry.
Conrad Hilton later bought the Statler chain.
1914 The first scheduled airline in the US
flown with passengers.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1900-1919 Contd
World War I advanced aircraft design and
development.
Car rental began with National Car Rental
System.
Organized airline service developed rapidly in
Europe.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1920-1929
Great improvements were made in US road
systems.
Railroads faced competition from
automobiles, intercity bus service, and the
trucking industry.
1926 Commercial airlines got underway in the
US
1920s A new type of passenger, the tourist,
emerged. Liner companies offered world
cruises and winter cruises in the Caribbean
and Mediterranean.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1930-1939
The Depression boosted the railroads over
the bus industry.
1930-1935 Almost 85% of all hotels in the US
went bankrupt.
1931 The concept of a zoo using open
surroundings and concealed barriers to
display its animals was introduced.
1938 Marineland opened an outdoor
aquarium in St. Augustine, FL.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1930-1939 Contd
Late 1930s The first NCAA basketball
tournament was held.
Passenger liners increased in size. In the
1930s the Cunard Lines launched the Queen
Elizabeth, the largest liner built up until that
time.
September 3, 1939 World War II began in
Europe.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1940-1949
World War II brought many advances in
aircraft development and design. One
important innovation was the jet engine.
Rocket tests were conducted on Topsail
Island off the North Carolina coast.
The hotel industry rebounded during and
immediately following WWII. By this time, the
automobile and jet plane had radically
affected the travel industry.
1945 Ridership on buses soared. WWII
brought the rapid growth of intercity bus
travel.
1945 The airline ticket was created.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1940-1949 Contd
1947 United Airlines and American Airlines
inaugurated coast-to-coast US service.
US armed forces came home with the
experiences of having traveled to places that
they could not have afforded to visit
otherwise. They had the money, time, and
interest in traveling for pleasure as well as for
business. The seeds of mass tourism began
here.
Walter E. Avis opened the first rental car
office in an airport.
With the Cold War, certain restrictions were
placed on visiting countries considered as
our enemies.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1950-1959
The US enjoyed a decade of relative peace
and a strong economy.
The television was becoming an influence in
American households. The small screen
brought the world into the living room.
Tourist-class fare was offered for transatlantic
flights.
1952 Congress created the National System
of Interstate Highways.
1950s The Jet Age began with an increase in
the number of foreign airlines flying
international routes.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1950-1959
The first transcontinental flight was made from
Los Angeles to New York.
1958 The passenger ship industry began to
decline because of commercial jet service
nonstop across the Atlantic.
1958 NASA was created to manage the space
program.
1950s Motels came of age with the development
of the interstate highway system in 1956 and the
entry of the motel chains.
1952 Holiday Inn was launched by Kemmons
Wilson with the Holiday Inn Hotel Court in
Memphis, TN.
Hilton became the first coast-to-coast hotel chain.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1958 The Jet Age was the greatest period
of expansion for hotel chains. Car rentals
expanded when the first commercial jet
airliners came into service.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1960-1969
1960s Mass market cruises became available
and shipping companies began converting
their passenger liners into tropical cruise
ships.
1965 Holiday Inn installed the hotel industrys
first nationwide computerized reservation
system.
1967 The first Super Bowl was played.
1969 The landing of the first man on the
moon brought space a step closer as a travel
destination. In response to the Apollo
mission, Pan Am took over 90,000 ticket
reservations for a shuttle to the moon.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1970-1979
1970 The use of credit cards was accepted in
travel and entertainment.
1970 Pan American World Airways flew the
first Boeing 747 carrying 352 passengers from
New York to London, marking the age of the
jumbo jet and the beginning of mass
tourism.
1976 The Concorde, a supersonic transport
(SST), was developed.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1970-1979
1973 The Arab oil embargo increased the
price of gasoline and oil products, forcing the
American public to look for energy efficient
ways to travel.
The first personal computer reached the
consumer market.
Travel became computerized.
Alex Haileys book, Roots, was to have an
influence on heritage travel.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1980-1989
1980 Railroads began to decline.
1980-l986 The worlds cruise fleet doubled.
1982 EPCOT opened at Disney World, FL, and
in 1984, Tokyo Disneyland opened.
1985 The World Tourism Organizations
General Assembly adopted the Tourism Bill of
Rights and Tourist Code.
Personal computers were made more user
friendly.
Tourism had become important to North
Carolinas economy.
The first tourism curriculum was developed
for North Carolina public schools.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1990-1999
ATM use spread throughout the world.
1994 Microsoft established an accredited
travel agency on the Internet.
1994 England and France were connected by
the chunnel.
1993 Web pages were developed and (1995)
Netscape was developed as a browser.
 Major historical developments associated
with the travel, tourism, and recreation
industry
1990-1999 Contd
Airlines accepted on-line bookings and took
payment on the internet.
Ticketless travel was introduced.
Improved hardware and software and lower
prices made the PC available to travelers.
LAP made computer portable.
Affinity groups such as veterans returned to
former battle sites or duty station to
remember. Tour groups continue to be
popular.
By the end of the 1990s, virtual reality
programs made it possible to see a
destination as if one were actually there.
 Major historical developments associated
with the travel, tourism, and recreation
industry
2000-2003
Ninety-five percent of all US travel agencies
were computerized using a computer
reservations system (CRS).
2000 Americans used personal cars for more
than 80% of their vacation trips.
2000 There were more than 800 million
websites.
2001 Dennis Tito was the first paid space
tourist.
 Major historical developments associated
with the travel, tourism, and recreation
industry
2000-2003
September 11, 2001 Attacks by terrorists
changed travel and tourism forever.
2002 The Homeland Security Act of 2002
passed in response to the September 11
terrorist attacks.
2003 Health related issues disrupted tourism.