Personalised Travel Services: an Exploratory Study in Singapore Context

Abstract

The aims of the study were to explore the demand
for personalised travel services within the affluent customer
segment of the outbound travelers in Singapore. The study
uncovers the desired service attributes of same consumer
segment. The paper begins with a general and broad overview of
the travel and tourism industry worldwide and in the Asia Pacific
region specifically in Singapore. The international tourism and
hospitality sector has grown rapidly over the last ten years and
according to the United Nations World Tourism Organisation
(UNWTO), international tourist arrivals in 2012 grew to 980
million. Similarly, there has been an increase in outbound travels
in Singapore. This growth has been fuelled by the economic
growth that Singapore has experienced over the years. The study
surveys the current literature to provide data to show the growth
of outbound travel from Singapore and the increasing number of
affluent Singapore travelers. The study considers an email
questionnaire survey to gauge the travel patterns and desires of
the affluent traveler market in Singapore. The exploratory
findings identify a market for personalized travel services in
Singapore and consider an inventory of service attributes desired
by the affluent customer segment in Singapore. More specifically,
the findings indicate that almost 65% of respondents preferred
personal travel services (PTS) with 70% who currently book
tours through travel agents indicating their preference for PTS.
What was particularly interesting was that over 60% of those
who currently engage in self-booking found the idea of PTS
appealing. The key draws of PTS are convenience,
personalization of itinerary and tour package, experience of
consultants and trust. Personalised travel services are targeted to
the high income market and the potential demand for PTS
among travelers who undertake two or more trips a year was
about 72%. Travelers today are looking for more value-added
services and interesting tour packages rather than the run of the
mill mass tours that many travel agents still provide. Growing
affluence and the desire for unique and unusual tours is creating
a niche market for travel agencies to exploit. The current and
common business model of providing mass tours where 

customers are herded on a standard itinerary does not sit well
with the well-heeled and sophisticated traveler of today. Today’s
affluent travelers want to be treated not as mere customers but
rather as valuable clients, partnering with the tour agency to
create unparalleled and enriching tour experiences.