The impact of demand fluctuation on the quality of service: a tourism industry example

Abstract

The focus of this paper is to examine the appropriateness of the use of “service packaging”, a concept capable of being adopted by tourism organisations to assist them in their ongoing effort to match capacity with demand, and the quality of services offered with that of tourists’ expectations. It is proposed here that adoption of the concept of packaging renders it possible for service organisations to manage demand fluctuation while, simultaniously, offering services which will consistently meet customer expectations. This paper concludes that customer satisfaction can be enhanced if tourists’ needs and expectations are considered during the design of the tourism packages offered. A tourism organisation’s strategic decision to adopt customer oriented concepts will ensure the effective management of resources.