A study of Web diffusion in travel agencies

Abstract

This paper explores the opportunities for travel agencies in relation to the World Wide Web (WWW). The WWW coupled with business process re-engineering (BPR) has the potential to radically change the nature of the travel agent's business by providing on-line booking for customers twenty four hours a day, information and graphics on demand, and the facility for agents to access a wider variety of information sources and bargains. Hence, travel agents would be less dependent on the wholesale suppliers they are currently tied to. In addition, a model of Web technology diffusion is used to determine the pattern of technology adoption in travel agencies. Our survey of travel agencies found that a large percentage were either not using the WWW or had no plans to do so. Those that used the WWW had introduced the technology without much planning, especially at enterprise level. The diffusion of Web technology has much in common with that found in a study of an Australian University. Because of the lack of planning the potential of Web based electronic commerce is not being realised and businesses are not being re-engineered. The future for many travel agents is under threat because of competition from on-line travel agents and from customers using the Internet to book travel arrangements in a do-it-yourself manner.