Jun 14, 2012

At my best!

This is the best moment in my entire life!
Nothing better than being a Teacher! I love doing consultancy, I love being an entrepreneur BUT nothing can beat learning, sharing and seeing my Touristologists earn a living and improving the tourism sector! So… I got rhythm, I got music, I got Touristology!!! Who could ask for anything more?
What? Don’t you believe that teaching is fun? Here you get the proof! This is the last conference I did. The one that I was talking here...

Who seems happier Mr. Kelly or your old teacher?
I have to go… My family is calling me! My start up is calling me! My associates are calling me and, luckily, so are my customers!!! I will focus all my energy on learning new things, getting professional experiences, increasing my tourism contacts… and when I return… it will be my honor and privilege to share it with you!
Meanwhile… if you have any comments or questions... make yourself at home.
At the end of the day, this is not my blog. It's OUR blog!
See you soon Touristologists!!!
Ps: Shhh don’t tell anyone but… 
TOURISTOLOGY IS A SCIENCE!!!!!
 

Jun 12, 2012

Will specialization beat generalization?


A sort of summary:  At the end of the day, in this post I want to highlight …
1) In all sectors usually it’s better first generic and then specialized, BUT in tourism as I try to prove here is just the other way around!
2) In all sectors (and Social Networking Sites, E-commerce Sites, Search Engines… are a good case in point) in order to grow you have to diversify your business model. That means go to other sectors.
3) Tourism sector is seen as an interesting sector to diversify (I absolutely agree!!!) BUT remember first specialized then generic.
But Jordi! This is not an easy thing. I absolutely agree, again. For this reason you will need… Touristologists!!!

Ready? Steady? GOOOO!!!
A few weeks ago I read this article.  Do you agree with this summary?  “Facebook will be the generic Social Networking Site (SnS), specialized ones will appear and they will win most of the market share” It sounds very similar to Tourism from my point of view!!!
The other day I talked about first specialized then generic. That makes sense to me in the tourism sector as I strongly try to prove, but usually it’s the other way around in other sectors where the generic way is a better beginning.
I believe that Social Networking Sites (SnS) it’s an interesting case in point. In order to win usually you have to go to the generic market and then the ones that through specialization of your services that offer the same to specific segments will appear.
I don’t know if this is the beginning of the end of Facebook (I doubt it!) but it seems that is the beginning of the end of Facebook as THE 360Kg gorilla in the Social Networking Sites’s jungle!
So, if Facebook becomes the great generic SnS and other success building specialized ones, in order to grow Facebook will has to rely on diversification, adding different business model to the one that it has now...
“I-know-what-you-like-so-I-send-customized-and-recommended-by-your-friends-information-and-commerce”.
A possible diversification is in the field of tourism.
Be sure, that you don’t get the same mistakes as Baidu (the equivalent to Google in China). The fact of being a number one in a field it doesn’t mean that you are able to go to any other field and become a winner. You can learn a little bit more about Baidu’s problems here and here here.
To make a long story short (what? You never read the articles that I recommend and only read my summaries. I can’t believe it!!!) Baidu tried to launch an e-commerce site in a partnership with Rakuten (a Japanese leader in the e-commerce field) it ended up in a failure, one more over other tries outside its core search business.
In a nutshell if you go to a new field be sure to get experts in this field. As Robert Heinlein (one of the three fathers of modern science fiction) said “Always listen to experts. They’ll tell you what can’t be done and why. Then do it!”
What? That now Rakuten wants to go to tourism sector through an online travel agency? Be sure to have the services of any of my Touristologists!!!!
Any of them will advise you…
1) First specialized then generic!!! In this way you will avoid competing with the leader: Ctrip in the case of China.
Curious about Ctrip? Here you can learn more … 


Jordi! Can you provide a video a little more dynamic? Well… I’ll do my best! What about a virtual trip to Shanghai …
 

2) Focus on value not on low price tourist orientated!!!!
When you play in generic tourism (so, with tourist low price orientated) your strategy for growth is to get all the chain of value OR to get economies of scale and get lower prices and higher margins in exchange for a big volume of tourism.
As we saw the other day, when you play in specialized tourism (so, with tourist value orientated) your strategy of growth is to get the trust of this specific segment that want to travel (OR through a trip get what they really want) and then add more and more value, first with your chain of value then becoming their specialized social networking site and search engine. Which one do you want to play? Both are good but be aware of NOT mixing strategies of growing!  
Tourism attracts investors, it is a great provider of employment and it needs specialized minds to set up things properly. Specialized Scientists? YES, TOURISTOLOGISTS!!!

Jun 5, 2012

Specialize! Specialize! Specialize! OR First specialized, then generic.


The other day, I got the opportunity to talk with my fellow Touristologists (The best audience in the entire world as I tweeted ) and a set of the best professionals working or willing to work in the tourism sector. There were other charismatic people as well, but as you know, I’m very good at focusing on Touristology!  It was an interesting experience! We only had 10 minutes to explain our ideas so it was an opportunity to show our ability to go straight to the point and talk about the most important things we were desiring to convey.
To me, it was an easy decision! Which are the most important things for a Touristologist, for a tourism destination, for a hotel, for a travel agency, for any organization working in the tourism sector?
1) Local versus International. Nothing wrong with playing local tourism (inhabitants or tourists already here) BUT if you claim to be an expert in the tourism sector, you have to prove it playing in the big league of international tourism.
2) First specialized, then generic.
3) We have to create chains of value able to work as a single organization. In the same way that a successful implementation of Revenue Management implies to break the silos between departments (booking, marketing, finance, information technology…), a competitive chain of value has to work as a single organization.
I talked about these three ideas, but in this post I want to focus on the second one. So, first specialized, then generic.
When you offer something generic usually you have to mark down the price and get fewer margins because you leave the chain of value’s leadership into the hands of powerful intermediaries. You can call them a big touroperator, the most powerful search engine in the world or the most successful group buying and flash sales site.
Check out these slides for a graphical representation:




On the other hand, when you specialize, price isn’t the most important thing!
…But you don’t have a lot of customers - quickly replies the person in charge of a tourism product that for many years has vindicate the value of generic tourism or “the more the merrier” motto!
…BUT now you can use globalization and new technologies to create a social networking site (SnS) and get 100 here, 50 here, 20 there and end up with a good bunch of potential tourists located in different parts of the globe, talking about something they love. Do you know what that means?  Sooner or later one of them will say “maybe it is a good idea to get together and have a face to face meeting” That sounds like an opportunity for Touristologists to me! - Even quicker replies the Touristologist.
…But this is not possible! All my metrics (by the way, related to my salary) value my capacity to reach as many people as possible and to appear in as many sites, blogs, magazines… as possible. - Again claims the expert.
Wrong metrics! Sometimes less people means more profit, because, as all Touristologists know, the profit comes from the chain of value’s leadership! - replies again the Touristologist
Who wants to be an expert in tourism when you can be a Touristologist!
I agree with Gandhi when he said “The expert knows more and more about less and less until he knows everything about nothing.” To avoid ending up in this final result you have to build up a strong nucleus, I mean 1,2,3 theory for specialized tourism. Then you can pass from my own 1,2,3 to a super 3 following the butterfly strategy. Finally, you can add layers … people that want to sell interesting things or make a market research or whatever activity that you can imagine!
Check out this slide for a graphical representation:

Then you don’t have to make any effort to attract generic tourism because your tourism destination or your tourism enterprise has become a pull of attraction and... 
...you have become a Touristologist!

Jun 1, 2012

Don’t focus on devices. Focus on functionality.

Location Based Services (LBS) is all about business models and technological schemes, not about the device you (or your customers/partners/suppliers…) will use. The other day some people made fun of my old-dummy-only-good-for-making-calls mobile.
Jordi! How on earth can you talk about Consilience between Touristology and Web-Engineering when you don’t carry the latest smartphone! Well - I reply- for the same reason that I never got a DVD I just waited for the digital era!
For the same reason, I teach my Touristologists how to deal with the most important social networking sites nowadays BUT ABOVE ALL I teach them to create one of their own. I love to see their faces the first time I say “You have to create communities each one of them will represent a component of your chain of value, then you have to create users, then you have to assign them to the communities and give to them public and private pages, finally, you have to add widgets inside this pages according to the role users have”


To them it seems an impossible task to do, but then they began to work, to deal with bad thoughts and feelings and they end up with the kind of presentations than make me tweet...

But let’s return to Location Based Services (LBS). LBS are great because of the functionality they provide NOT because of the device you will use!
You can make the most of knowing where your customers and members of the chain of value are. You could show them all the options / services that they have nearby. You could show more layers of content, commerce and community related to their positioning. For instance, objective and subjective recommendations, meet with people like them or complementary to them, augmented reality, a little bit of gamification which we talked the other day...
But Jordi, all these things are only available through smartphones and tablets! Well, not only that Touristologists, not only that! Remember George Bernard Shaw  “You see things; and you say, 'Why?' But I dream things that never were; and I say, 'Why not?
As John Lennon said “… you may say, I’m a dreamer but I’m not the only one”!!! Check out this video video for more information about wearable computers.
Or this one here…

Nothing better than the words of the father of Ubiquitous computing, Mark Weiser to know a little bit more… 
"Ubiquitous computing names the third wave in computing, just now beginning. First were mainframes, each shared by lots of people. Now we are in the personal computing era, person and machine staring uneasily at each other across the desktop. Next comes ubiquitous computing, or the age of calm technology, when technology recedes into the background of our lives. ”

Not bad for something said 24 years ago!!!

Wearable computers?  Ubiquitous computing? At the end of the day…Connecting people to their environment.  When is this connection more necessary than when you are travelling?  
To me, there is plenty of room for Touristology here! I love Touristology games!