Digitalization: Implementation in the tourism business of Ukraine
-
DOIhttp://dx.doi.org/10.21511/ppm.20(4).2022.03
-
Article InfoVolume 20 2022, Issue #4, pp. 24-41
- Cited by
- 678 Views
-
282 Downloads
This work is licensed under a
Creative Commons Attribution 4.0 International License
Global digitalization has led to the formation of a new contour of the economic environment in tourism due to the inevitable and pervasive transformation of socio-economic systems. All this is happening against the background of the synergy of digital and service economies. Therefore, the study analyzes the genesis and world experience of digitalization to determine the areas and advantages of using digital technologies in the tourism business of Ukraine. Systematization, generalization, and surveying were used. Since the main players of the tourism business are tour operators and hotels, and digital technologies are used by entities located in big cities, a survey was conducted among 57 managers of leading tour operators and hotels in Kyiv, Lviv, Kharkiv, and Odesa. The survey was conducted in July 2020–2021 and concerned digital technologies in the business processes. The results showed a dynamic increase in digital technologies, in particular, by an average of 72.2% per year, which reflects their efficiency and dynamics. The leading digital technologies include contactless payments, chatbots, mobile applications, mobile registration, and VR technologies. The data on their 34.6% use as sources of information search, 78.7% as travel planning and organization instruments, and 59.5% as destination orientation instruments are evidence of the large-scale use of digital technologies by foreign tourists. The essence of marketing, economic, innovation, environmental, service, and configuration priorities of digitalization as interdependent drivers for the initiation of the innovation process in tourism has been determined considering the uneven development and fluctuating dynamics of digital technologies.
Acknowledgment
The paper shows the authors’ results within the frameworks of the study, performed in 2021−2022 at Kyiv National University of Trade and Economics at the request of the Ministry of Education and Science of Ukraine “Digital transformation of trade, economic and tourist systems in Ukraine” (state registration number 0121U112231) and “Forecasting the impact of the tourism system on the country’s economy” (state registration number 0122U001559).
- Keywords
-
JEL Classification (Paper profile tab)L83, М31
-
References58
-
Tables1
-
Figures7
-
- Figure 1. Segments of tourism business digitalization
- Figure 2. Levels of digital technologies application in the tourism business
- Figure 3. Dynamics of application of digital technologies by tour operators and hotels, %
- Figure 4. Distribution of answers of foreign tourists regarding sources of information about Ukraine, %
- Figure 5. Distribution of answers of foreign tourists about tools for planning and organizing a trip to Ukraine, %
- Figure 6. Distribution of answers from foreign tourists regarding orientation tools in the cities of Ukraine, %
- Figure 7. Prerequisites and results of the use of digital technologies by the subjects of the tourism business
-
- Table A1. Areas of tourism business digitization
-
- Adams, D. (2017, October 16). Digital Spillover: How Digital Transformation Affects the Digital Economy. Convergence.
- Akhtar, N., Khan, M., Ashraf, S., Hashmi, M., & Hishan, S. (2021). Post-COVID 19 Tourism: Will Digital Tourism Replace Mass Tourism? Sustainability, 13(10), 5352.
- Amanova, L., Abesadze, N., & Abesadze, O. (2021). The importance of digital technologies in the revival of tourism in Georgia and Azerbaijan. In Economic and Social Development: Book of Proceedings (pp. 674-678).
- Boes, K., Buhalis, D., & Inversini, A. (2015). Conceptualising Smart Tourism Destination Dimensions. In Information and Communication Technologies in Tourism 2015 (pp. 391-403). Springer.
- Bovsh, L., Okhrimenko, A., Boiko, M., & Gupta, S. K. (2021). Tourist tax administration in the fiscal target system for hospitality businesses. Public and Municipal Finance, 10(1), 1-11.
- Bovsh, L., Rasulova, A., Bosovska, M., Boiko, M., & Okhrimenko, A. (2020). Digital distribution of hospitality services in the context of the COVID-19 pandemic. Tourism and Travelling, 3(1), 34-44.
- Buvat, J., Slatter, M., & Puttur, R. (2018). Understanding Digital Mastery Today: Why Companies Are Struggling with Their Digital Transformations. Capgemini Consulting.
- Cantoni, L., Kalbaska, N., & Inversini, A. (2009). eLearning in tourism and hospitality: A Map. Journal of Hospitality, Leisure, Sport & Tourism Education, 8(2), 148-156.
- Chaveesuk, S., Khalid, B., & Chaiyasoonthorn, W. (2021). Digital payment system innovations: A marketing perspective on intention and actual use in the retail sector. Innovative Marketing, 17(3), 109-123.
- Chomiak-Orsa, I., & Liszczyk, K. (2020). Digital marketing as a digital revolution in marketing communication. Informatyka Ekonomiczna – Business Informatics, 56(2), 9-19.
- Diia. (n.d.). Tsyfrova derzhava [Digital state]. (In Ukrainian).
- Dredge, D., Phi, G., Mahadevan, R., Meehan, E., & Popescu, E. S. (2018). Digitalisation in Tourism: In-depth analysis of challenges and opportunities (Final Report GRO-SME-17-C-091-A). Copenhagen: Aalborg University.
- Fisun, I., Kucher, M., Stebliuk, N., Saihak, Y., & Prokopenko, O. (2022). Modeling development strategy of tourism companies under the influence of external and internal environment: Evidence from Ukraine. Tourism and Travelling, 4(1), 1-15.
- Galvani, A., Lew, A. A., & Perez, M. S. (2020). COVID-19 is expanding global consciousness and the sustainability of travel and tourism. Tourism Geographies, 22(3), 567-576.
- Gong, C., & Ribiere, V. (2021). Developing a unified definition of digital transformation. Technovation, 102, 102217.
- Gössling, S. (2021). Tourism, technology and ICT: a critical review of affordances and concessions. Journal of Sustainable Tourism, 29(5), 733-750.
- Gössling, S., Scott, D., & Hall, C. M. (2021). Pandemics, tourism and global change: A rapid assessment of COVID-19. Journal of Sustainable Tourism, 29(1), 1-20.
- Hasenzahl, L., Kalbaska, N., & Cantoni, L. (2019). Digital transformation in the national tourism policies. Proceedings of the 20th Annual International Conference on Digital Government Research (pp. 417-424).
- Heavin, C., & Power, D. J. (2018). Challenges for digital transformation – towards a conceptual decision support guide for managers. Journal of Decision Systems, 27(1), 38-45.
- Hekmat, N. (2022). Wellness Tourism Experience on the Rise Post COVID: Behavioural Demand Trends and Expectations. IGI Global published Book.
- Heyets, V. (2022). Social reality in the digital space. Ekonomica Ukrainy, 1, 3-28. (In Ukrainian).
- Hojeghan, В., & Esfangareh, A. N. (2011). Digital economy and tourism impacts, influences and challenges. Procedia – Social and Behavioral Sciences, 19, 308-316.
- Ivanov, S., Gretzel, U., Berezina, K., Sigala, M., & Webster, C. (2019). Progress on robotics in hospitality and tourism: A review of the literature. Journal of Hospitality and Tourism Technology, 10(4), 489-521.
- Kim, H., Lee, S., & Bae, G. (2021). Functions of Currency before and after COVID-19: Is Bitcoin Sustainable for Tourism? Sustainability, 13(24), 13572.
- Kolodiziev, O., Krupka, M., Shulga, N., Kulchytskyy, M., & Lozynska, O. (2021). The level of digital transformation affecting the competitiveness of banks. Banks and Bank Systems, 16(1), 81-91.
- Kolot, A., & Herasymenko, O. (2020). Digital transformation and new business models as determinants of formation of the economy of nontypical employment. Social and Labour Relations: Theory and Practice, 10(1), 33-54.
- Kostynets, V., Kostynets, I., Korneyev, M., Nebaba, N., & Sopin, E. (2020). Development of internal tourism and hospitality in Ukraine. Tourism and Travelling, 3(1), 25-33.
- Kvitka, A., Kramarenko, A., Davydov, D., Pasmor, M., & Diachek, O. (2021). Digital business research for small and medium-sized enterprises: The case of Ukraine. Problems and Perspectives in Management, 19(1), 177-184.
- Lamberton, C., & Stephen, A. T. (2016). A thematic exploration of digital, social media, and mobile marketing: Research evolution from 2000 to 2015 and an agenda for future inquiry. Journal of Marketing, 80(6), 146-172.
- Lemon, K. N., & Verhoef, P. C. (2016). Understanding customer experience throughout the customer journey. Journal of Marketing, 80(6), 69-96.
- Li, F. (2020). The digital transformation of business models in the creative industries: A holistic framework and emerging trends. Technovation, 92-93, 102012.
- Li, L., Su, F., Zhang, W., & Mao, J. Y. (2018). Digital transformation by SME entrepreneurs: A capability perspective. Information Systems Journal, 28(6), 1129-1157.
- Mazaraki, A., Boiko, M., Okhrimenko, A., Melnychenko, S., & Zubko, T. (2019). The impact of the national tourism system on the economic growth in Ukraine. Problems and Perspectives in Management, 17(4), 93-103.
- McKinsey & Company. (2020). How COVID-19 has pushed companies over the technology tipping point – and transformed business forever.
- Melnychenko, S., Boiko, M., Okhrimenko, A., Bosovska, M., & Mazaraki, N. (2020). Foresight technologies of economic systems: evidence from the tourism sector of Ukraine. Problems and Perspectives in Management, 18(4), 303-318.
- Moazed, A., & Johnson, N. L. (2016). Modern Monopolies: What It Takes to Dominate the 21st Century Economy. NY: St. Martin’s Press.
- Morris, N. (2009). Understanding Digital Marketing: Marketing Strategies for Engaging the Digital Generation. Journal of Direct, Data and Digital Marketing Practice, 10(4), 384-387.
- OECD. (2017). Digital Economy Outlook 2017. OECD Publishing.
- Pardayev, M. K., Pardaeva, O., & Yuldashev, S. (2021). Benefits of Implementing the Digital Economy in Tourism. Academic Journal of Digital Economics and Stability, 587-590.
- Pesonen, J. A. (2020). Management and Leadership for Digital Transformation in Tourism. In Handbook of e-Tourism (pp. 1-34). Springer.
- Petrova, I., Balyka, O., & Kachan, H. (2020). Digital economy and digital employment appearence. Social and Labour Relations: Theory and Practice, 10(2), 10-20.
- Razumkov Center. (2020). Tsyfrova ekonomika: trendy, ryzyky ta sotsialni determinanty [Digital economy: trends, risks and social determinants]. Kyiv: Razumkov Center, “Zapovit” Publishing House. (In Ukrainian).
- Ruggieri, R., Savastano, M., Scalingi, A., Bala, D., & D’Ascenzo, F. (2018). The impact of Digital Platforms on Business Models: an empirical investigation on innovative start-ups. Management & Marketing. Challenges for the Knowledge Society, 13(4), 1210-1225.
- Sanetra, B., & Sanetra-Półgrabi, S. (2019). Local authorities and tourism: the role of regional tourist products in Poland. Tourism and Travelling, 2(1), 16-23.
- Sarmento, E. M., & Loureiro, S. M. C. (2021). Exploring the Role of Norms and Habit in Explaining Pro-Environmental Behavior Intentions in Situations of Use Robots and AI Agents as Providers in Tourism Sector. Sustainability, 13(24), 13928.
- Skift. (2020). The 2020 Digital Transformation Report.
- State Agency for Tourism Development of Ukraine (SATD). (2022). Zvit za rezultatamy opytuvannia “Provedennia kilkisnykh doslidzhen viznoho turyzmu na punktakh propusku cherez derzhavnyi kordon” [Report on the results of the survey “Conducting quantitative studies of visa tourism at checkpoints across the state border”]. Derzhavne ahentstvo rozvytku turyzmu. (In Ukrainian).
- State Statistics Service of Ukraine (SSC). (2022). Economic statistics/Economic activity/Tourism.
- Sustar, L., & Nelson, L. (2021, October 27). Predictions 2022: Cloud Computing Reloaded. Forrester.
- Tajeddini, K., Ratten, V., & Merkle, T. (2019). Tourism hospitality and digital transformation: The relevance for society. In K. Tajeddini, V. Ratten, & T. Merkle (Eds.), Tourism, Hospitality and Digital Transformation: Strategic Management Aspects. Innovation and Technology Horizons, Routledge.
- Ukrainian Institute of the Future. (2018). Ukraina 2030e – kraina z rozvynutoiu tsyfrovoiu ekonomikoiu (Analitychna dopovid) [Ukraine 2030e – a country with a developed digital economy (Analytical report)]. (In Ukrainian).
- Verhoef, P. C., Broekhuizen, T., Bart, Y., Bhattacharya, A., Dong, J. Q., Fabian, N., & Haenlein, M. (2021). Digital transformation: A multidisciplinary reflection and research agenda. Journal of Business Research, 122, 889-901.
- Watkins, M., Ziyadin, S., Imatayeva, A., Kurmangalieva, A., & Blembayeva, A. (2018). Digital tourism as a key factor in the development of the economy. Economic Annals-XXI, 169(1-2), 40-45.
- World Economic Forum (WEF). (2021). How virtual tourism can rebuild travel for a post-pandemic world.
- World Tourism Organization (WTO). (2018). International Tourism Highlights: 2018 Edition. Madrid: UNWTO.
- World Tourism Organization (WTO). (2019). International Tourism Highlights: 2019 Edition. Madrid: UNWTO.
- World Tourism Organization (WTO). (2020). UNWTO World Tourism Barometer and Statistical Annex, Update June 2020. World Tourism Barometer, 18(3).
- World Tourism Organization (WTO). (2021). UNWTO World Tourism Barometer and Statistical Annex, July 2021. World Tourism Barometer, 19(4).