2. In this Topic:
 Introduction
- Handout : Climate Change Predictions
 Tourism Season Categories
 Causes of Seasonality
 Impacts of Seasonality
-Handout on Climate Changes Effect on International
Tourist Flows
 Management Strategies
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3. Introduction
 Degree of comfort (or discomfort) to be experienced at the
traveller's destination – key element in leisure travel demand
 Discomfort comes with diseases
 Average global temperatures will rise by between 1.4*C and
5.8*C, a rate unprecedented in the past 10,000 years
 Sea levels will rise by between 9 and 88 cms by 2100, with a
central forecast of 48 cms, implying a rate of increase between
two and four times greater than during the 20th century
 There will be substantial regional variations around these
average changes
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4.  Leisure tourists affected more due to climatic variation
vis-à-vis business and VFR tourists
 Tourism is a contributor to pollution too!
Handout on Climate change summary
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5. Tourism Season Categories:
 Peak Season/High Season – The time of the year
when tourists are most likely to travel
 Shoulder Season
 Off Season – Tourism activity is less than half of the
peak season
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6. Causes of Seasonality
 Natural (variations in natural phenomena)
 Institutional(holidays and availability of leisure time,
travel habits and motivation , hosting and timing of
leisure or business events)
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7. Impacts of Seasonality
 SUPPLY SIDE: (Tourism Products)
1. Cost
 Increased prices during peak season (placing pressure on
goods and transport in the area and increasing supply costs
for the enterprise)
 Budget management/cash flow Cost
 Instability in income/return on investment leading to high
risk for operational management, investor and region
 High-season income must cover annual fixed costs
 Cost of seasonal recruiting 7

8. Impacts of Seasonality – contd.
2. Facilities
 The under or over-utilization of resources
 Perishability of product – not able to stockpile(store
for future use) the product or service Cost
 Pressures on transport system and other infrastructure
during peak periods
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9. Impacts of Seasonality – Contd.
3. Employment
 Sporadic (random)demand for labour inhibits the recruitment
process:
- shortages of seasonal workers lead to seeking workers beyond
local area
- high recruitment costs reduce remuneration packages
 Sporadic (random)demand for labour affects the retention and
development of employees and results in:
- loss of skill and experience
- lack of training and career opportunities
- service quality inconsistency and reduced customer satisfaction
- lack of commitment by workers
- unhealthy fluctuations
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10. Impacts of Seasonality (Positive)– Contd.
 Seasonal operation provides operational
management with down time or postseason
recuperation(recovery); particularly apt for
lifestyle and family-based firms
 Seasonal work provides needed casual and part-
time work (or additional income) to locals and
others
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11. Impacts of Seasonality – Contd.
4. Environmental Protection and Safety
 Gives environmental resources a post-
season recovery
 Crowding in peak season causing
environmental pollution and increase risk of
terrorism
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12. Impacts of Seasonality – contd.
 DEMAND SIDE (Tourists)
 High prices during peak season– cost spreading (making
tourists in peak season pay for low income in low season)
 Crowding (hard to obtain quality and satisfaction)
 Peak crowds may increase vulnerability to safety and
threats (e.g. terrorism)
 Reduced availability of accommodation
 Pressures on transport system and infrastructure
- Handout on Climate Changes Effect on International
Tourist Flows
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13. Management Strategies
1. DIFFERENTIAL PRICING
2. DIVERSIFIED PRODUCT(CHANGING THE
PRODUCT MIX)
3. MARKET DIVERSIFICATION
4. FACILITATION BY THE STATE
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14. Management Strategies – contd.
1. DIFFERENTIAL PRICING
Strategy Issues Addressed
Seasonal (or promotional) pricing (e.g.
discount or free offers )
Increasing visitation in low periods.
Increasing length of stay. Increasing
yield.High prices to decrease congestion
in peak season.
Group booking offers (e.g. retirees) Increasing visitation in low periods
Financial planning and budgeting to
manage fluctuating operational costs
(employees and other resources) based
on cyclical trends
Inability to control fluctuating seasonal
costs.
Closure of business in off-peak season Reduction of operational costs.
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15. Management Strategies – contd.
2. DIVERSIFIED PRODUCT(CHANGING THE
PRODUCT MIX)
Strategy Issues Addressed
Introduction or development of festivals
and events
Increasing visitation in low periods.
Development of the local environment
(access to restricted natural attractions)
Increasing visitation in low periods
Facility or structural development (e.g.
public transport, public amenities)
Increasing visitation in low periods.
Service level differentiation (reducing
opening times in low season)
Reducing costs, increasing yield.
Meeting customer needs.
Offering complementary services or
themed offers (e.g. combining tourist
facility with local amenities – motel with
Expanding operational season (reducing
seasonal closures).
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16. Management Strategies – contd.
2. DIVERSIFIED PRODUCT(CHANGING THE
PRODUCT MIX)
Strategy Issues Addressed
Offering off-season holiday package To provide an incentive to stay in off-
season.
Diversifying into niche product or
service areas (e.g. identifying and
matching seasonal motivation with
product/service or local attraction).
Attracting a different market
Diversifying to increase local customers Increasing business in low periods.
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17. Management Strategies – contd.
3. MARKET DIVERSIFICATION
Strategy Issues Addressed
Marketing campaigns to attract different
markets in different seasons (a
multisegment approach)
Flattening of seasonal peaks and troughs
Align with tour operators or travel
agents to sell product/service
Increasing business in low periods and
increasing market penetration
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18. Management Strategies – contd.
4. FACILITATION BY THE STATE(STATE MEANS GOVT.)
Strategy Issues Addressed
Staggering of holidays over a longer
period
Flattening of seasonal peaks and troughs
Initiatives to increase the labour market
and to encourage labour force flexibility
(e.g. relaxing regulations on work visas
for seasonal work or training incentives)
Lack of seasonal workers
Provision of business support services
(marketing, financial planning)
Cash flow and other financial problems.
Provision of loans or subsidies by
government to develop product or local
services
Improving the business or destination to
increase tourism.
Provision of tax concession (e.g. on the
price of fuel)
Encouraging travel to remote areas.
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19. Management Strategies – contd.
4. FACILITATION BY THE STATE
Strategy Issues Addressed
Environmental regeneration initiatives Damage to local environment during
peak periods.
Support off-season community
initiatives (e.g. local arts festivals)
Reduced trade for local businesses.
Improved and expanded regional
infrastructure
Greater access to rural or remote areas
during both high and low seasons.
Development of local business networks
and partnerships
Provision of greater marketing resources
and support for infrastructure
development
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