A Multi-facet Requirement Assessment of Customer-oriented Mobile Tourism Services

1. A Multi-facet Requirement Assessment of Customer-oriented Mobile Tourism Services Chien-Chih Yu and Hsiao-ping Chang National ChengChi University, Taipei, Taiwan Outline of Presentation • Research Background and Objectives • Literature Review • Research Methodology and Process • The Mobile Tourism Service Framework • Survey Results and Implications • Conclusion

2. Research Background • Emerging Mobile services • Reaching customers, suppliers, and employees regardless of where they are located. • Relaxing the limitation of time and location. • Enhancing context-aware and location-based services. • Emerging Mobile Applications • Mobile financial transaction and payment services • Mobile tour guide and information services • Mobile learning services • Mobile healthcare services • Others (M-Government,..)

3. Research Background and Objective • The tourism sector is one of the most noticeable EB application domain, and a prime candidate for m-business. • Mobile commerce will gradually intensify competition further in the tourism domain (Buhalis and Licata,2002). • There is a call for research attention to mobile tourism services (European Commission, 2003). • Example of mobile tourism services • Mobile tour guides, mobile notification, • Mobile auction services (ESTIA project) • Although there is an apparent need for research in the area of m-tourism services, little work has been done yet. • Research objective • To present a multi-facet requirement assessment approach for specifying and relating potential B2C mobile tourism services. • To provide a guidance for helping tourism service providers to better understand customers’ needs and improve their current services.

4. Literature Review • Proll and Retschitzegger (2000) • point out the need of accessing up-to-date tourism information via mobile devices to help tourists in scheduling their tour plans and outdoor activities. • Cheverst, Mitchell, and Davies (2002) • mention the usefulness of mobile tour guide services in providing up-to-date and context-aware tourism information to tourists. • Yeo and Huang (2003) • indicate the effectiveness of mobile tourism services for gathering accurate, prompt, and relevant information to solve travel related problems before and during the trips.

5. Literature Review (cont.) • Tsamakos, Giaglis, and Kourouthamassis (2002) • emphasize on auctioning tourism products over mobile devices. • Berger, Lehmann&Lehner; Hinze&Voisard (2003) • address the potential of location-based information services in the tourism industry. • Chiu et al (2005) • present an agent-based mobile route advisory system for public transport network. • Yu (2005) • note that tourism related informaion search and recommendation, transaction and payment, as well as trip tracking and quality control services can be well supported by using mobile devices. • Mallat et al (2006) • discuss the impact of use situation and mobility on the acceptance of mobile ticketing services.

6. Literature Review (cont.) • Major functions and benefits of mobile tourism services mentioned in previous studies: (1) to initiate auctions, book, and pay for last-minute trips, train tickets, car rentals, and hotel reservations, (2) to access real-time information about road conditions, weather forecasts, and events changes for tour control, (3) to get recommendations on restaurants, sightseeing spots, hotels, transportation routes, and tour packages for meeting needs and preferences, (4) to share traveling information and experiences with people of similar interests via tourism community, (5) to seize indoor and outdoor learning opportunities like museum exhibition guidance through using theme-based, multimedia supported, interactive, and personalized mobile tour guides.

7. Research Methodology and Process • Literature reviews • To identify B2C mobile tourism services • To construct a m-tourism service framework • Group interviews • To modify and validate the proposed m-tourism services and framework • To review survey questions • Three surveys • Online survey: usefulness ratings by tourists • Online survey: importance, feasibility, cost/benefit effectiveness ratings by 3G operators • Mail survey: importance, feasibility, cost/benefit effectiveness ratings by travel agencies

8. Research Methodology and Process • Reliability • Internal reliability: Cronbach alpha • Construct reliability • Variance extracted • Validity • Content validity: literature review & group interviews • Construct validity: convergence and discriminability • Hypothesis testing & Relationship analysis • Structural equation modeling (SEM) • Overall model fit

9. Semi-Structured Group Interviews • Participant criteria • Domestic and/or oversea traveling experiences • Mobile usage experiences • Better with full-time working experiences • Procedure • Form six groups • Purpose initial m-tourism services and framework • Modify and validate the service framework • Review and modify initial survey questions • Results • Organize 21 identified m-tourism services into a 6-class service framework • Finalize research model and survey questionnaire

10. Six Classes of M-Tourism Services • Mobile Search & Notification Services (NOTI) • Safety-related warning (NOTI1) • Traffic condition & weather forecast (NOTI2) • Event schedule change notification (NOTI3) • Major pre-trip notification (NOTI4) • Reminder message (NOTI5) • Mobile Community Services (COM) • Location-related information and knowledge (COM1) • Travel experiences and resources (COM2) • Mobile Guide Services (GUIDE) • Pre-recorded mobile guide (GUIDE1) • Interactive mobile guide (GUIDE2) • Theme-based video & audio mobile guide (GUIDE3) • Mobile Recommendation Services (RECOM) • Hotels (RECOM1), Sightseeing (RECOM2), Restaurants (RECOM3) • Tour plans (RECOM4), Tour routes (RECOM5) • Souvenir stores (RECOM6) • Mobile Auction Services (AUC) • Mobile auction services (AUC1) • Mobile reverse auction services (AUC2) • Mobile Transaction & Payment Services (T&P) • Booking/reservation (T&P1), Payment (T&P2), Ticketing (T&P3)

11. Mobile Search & Notification Services (NOTI) • Safety-related information (NOTI1) • Road condition & weather reports (NOTI2) • Event schedule changes (NOTI3) • Major pre-trip information (NOTI4) • Reminder services (NOTI5) H1 Research Model • Mobile Recommendation Services (RECOM) • Hotel (RECOM1) • Sightseeing (RECOM2) • Restaurant (RECOM3) • Tour plan (RECOM4) • Tour route (RECOM5) • Souvenir (RECOM6) H7 H2 • Mobile Transaction & Payment Services (T&P) • Mobile booking (T&P1) • Mobile payment (T&P2) • Mobile ticketing (T&P3) Overall Usefulness (ALL) User-ranked score (ALL1) Average score (ALL2) H9 H4 H12 • Mobile Community Services (COM) • Information inquiry (COM1) • Information sharing (COM2) H8 H11 • Mobile Auction Services (AUC) • Mobile action (AUC1) • Mobile reverse auction (AUC2) H6 H10 • Mobile Guide Services (GUIDE) • Pre-recorded mobile guide (GUIDE1) • Interactive mobile guide (GUIDE2) • Theme-based video and audio (GUIDE3) H5 H3

12. 12 Hypotheses • H1: User-perceived usefulness of the NOTI services is positive related to user-perceived overall usefulness of the mobile tourism services. • H2: User-perceived usefulness of the NOTI services is positive related to user-perceived usefulness of the RECOM services. • H3: User-perceived usefulness of the COM services is positive related to user-perceived overall usefulness of the mobile tourism services. • H4: User-perceived usefulness of the COM services is positive related to user-perceived usefulness of the RECOM services. • H5: User-perceived usefulness of the GUIDE services is positive related to user-perceived overall usefulness of the mobile tourism services. • H6: User-perceived usefulness of the GUIDE services is positive related to user-perceived usefulness of the RECOM services.

13. 12 Hypotheses (cont.) • H7: User-perceived usefulness of the RECOM services is positive related to user-perceived overall usefulness of the mobile tourism services. • H8: User-perceived usefulness of the RECOM services is positive related to user-perceived usefulness of the AUC services. • H9: User-perceived usefulness of the RECOM services is positive related to user-perceived usefulness of the T&P services. • H10: User-perceived usefulness of the AUC services is positive related to user-perceived overall usefulness of the mobile tourism services. • H11: User-perceived usefulness of the AUC services is positive related to user-perceived usefulness of the T&P services. • H12: User-perceived usefulness of the T&P services is positive related to user-perceived overall usefulness of the mobile tourism

14. Online Survey - Tourists • Population • Taiwan tourists with domestic and/or oversea traveling experiences • Better with 3G mobile usage experiences • Convenience sampling method • One class of part-time college students with full-time working experience • Full-time graduate students of Department of Management Information Systems • Members of the Information Management Association in Taiwan • 325 effective respondents • The customers are asked to assess the usefulness of the proposed B2C m-tourism services.

15. Online Survey - 3G Operators • Population • Taiwan telecom operators with both 2G and 3G licenses • 95% of 2G market share in Taiwan • Convenience sampling method • Online survey was emailed to the contact windows • Planning, marketing & operation departments • 86 effective respondents • The 3G operators are asked to evaluate the importance, feasibility, and cost-benefit effectiveness of the proposed B2C m-tourism services.

16. Mail Survey - Travel Agencies • Population • Taiwan travel agencies • Stratified random sampling method • Mailing list downloaded from Tourism Bureau • 300 randomly selected from 2708 travel agencies according to the ratio of different travel license types • 92 effective respondents • 31% effective response rate • Return profiles with reasonable ratio of different travel agency license types • The travel agencies are asked to evaluate the importance, feasibility, and cost-benefit effectiveness of the proposed B2C m-tourism services.

17. Descriptive Statistics - Usefullness

18. Summary of Hypotheses Testing

19. Survey Results – Tourist Perspective • Mean values of the usefulness ratings of the m-tourism services range from 3.38 to 4.44, indicating that these mobile services are useful. • All proposed m-tourism services have direct effects on the overall perceived usefulness of the mobile service system • The top three useful mobile service groups are NOTI, RECOM, and T&P. • Among the six m-tourism service groups, RECOM have the greatest impact on the overall evaluation of the integrated mobile services, followed by T&P, and then NOTI and GUIDE. • NOTI (the greatest), COM, and GUIDE all have direct effects on RECOM. • RECOM has direct effect on AUC, and then both have direct effects on T&P.

20. SEM Result

21. SEM Overall Model Fit

22. Importance Evaluation Note: M=mean; SD=standard deviation; R=ranking; D=difference; *** p<0.001.

23. Feasibility Evaluation Note: M=mean; SD=standard deviation; R=ranking; D=difference; *** p<0.001.

24. Cost/benefit Effectiveness Evaluation Note: M=mean; SD=standard deviation; R=ranking; D=difference; *** p<0.001.

25. Survey Results – Business Perspective • For the mobile companies • Mean values of the importance, the feasibility, and the cost/benefit effectiveness ratings of the m-tourism services range from 3.17-4.46, 3.58-4.41, and 2.91-4.08. • B2C m-tourism services are significantly important, feasible, and cost/benefit effective. • For the travel agencies • Mean values of the importance, the feasibility, and the cost/benefit effectiveness ratings of the B2C m-tourism services range from 2.48-4.12, 2.52-3.94, and 2.22-3.44. • B2C m-tourism services are nice-to-have. • There are significant differences in the importance, feasibility and cost/benefit effectiveness evaluation between mobile companies and travel agencies. • Both parties agree on the selection of the top three important, feasible, and cost/benefit effective m-tourism services, namely, the NOTI, RECOM, and T&P.

26. Business Implication • Strong and sophisticated needs for m-tourism services • Seamless tour decision-making supports • Top 3 services as a basic service package • Mobile search & notification services, • Mobile recommendation services • Mobile transaction & payment services • Second stage services: the mobile community services and the mobile auction services. • Need business collaboration • Strategic alliance: 3G operators + travel agencies • Service platform: technology complexity and profitability are main concerns for the tourism industry. • Triple-Win opportunities

27. Conclusion • This paper • Assess the mobile tourism services requirements from both tourists’ and service operators’ perspectives. • Structurally organize and present a B2C m-torism service framework with six functional groups : • the mobile search & notification services, • the mobile community services, • the mobile guide services, • the mobile recommendation services, • the mobile auction services, • the mobile transaction & payment services. • Validate the service framework thru empirical studies. • Contribution to the m-tourism domain • Provide a m-tourism service framework and survey findings • Offer a guidance to assist the mobile and tourism/travel businesses in planning customer-driven m-tourism services.

28. Future research works • To translate customer requirements into working system, • To investigate more service scenarios and processes for developing suitable business models, • To adopt the proposed service framework and methods to other business domains.

29. Q & A Thanks !

30. Mobile Search & Notification Services (NOTI) • Safety-related information (NOTI1) • Road cond & weather reports (NOTI2) • Event schedule changes (NOTI3) • Major pre-trip information (NOTI4) • Reminder services (NOTI5) H1 • Mobile Recommendation Services (RECOM) • Hotel (RECOM1) • Sightseeing (RECOM2) • Restaurant (RECOM3) • Tour plan (RECOM4) • Tour route (RECOM5) • Souvenir (RECOM6) H7 H2 • Mobile Trans. & Payment Services (T&P) • M-booking (T&P1) • M- payment (T&P2) • M-ticketing (T&P3) H9 • Overall Usefulness • (ALL) • User rating score (ALL1) • Average score (ALL2) H12 H4 • Mobile Community Services (COM) • Information inquiry (COM1) • Information sharing (COM2) H8 H11 • M-Auction Services (AUC) • M-auction (AUC1) • M-reverse auction (AUC2) H6 • Mobile Guide Services (GUIDE) • Pre-rec. mobile guide (GUIDE1) • Interactive mobile guide (GUIDE2) • Theme-based video and audio (GUIDE3) H10 H5 H3

31. Summary of Hypotheses Testing (1/2) Note: * p<0.05; ** p<0.01.

32. Summary of Hypotheses Testing (2/2) Note: * p<0.05; ** p<0.01.