How to Start a Virtual Tour Business

Virtual tours are popular with many industries, including the hospitality and real estate industries. You will be using photo, video, and other multimedia elements in order to bring a space to life for people before they visit the physical space. While you may eventually create virtual tours of almost any space, some of the main areas you will virtually recreate are apartments, houses, hotels, resorts, and neighborhoods.

You may also be interested in additional online business ideas .

Ready to turn your business idea into a reality? We recommend forming an LLC as it is the most affordable way to protect your personal assets. You can do this yourself or with our trusted partner for a small fee. Northwest ($29 + State Fees) DIY: How to Start an LLC

Virtual Tour Business Image

Start a virtual tour business by following these 10 steps:

  • Plan your Virtual Tour Business
  • Form your Virtual Tour Business into a Legal Entity
  • Register your Virtual Tour Business for Taxes
  • Open a Business Bank Account & Credit Card
  • Set up Accounting for your Virtual Tour Business
  • Get the Necessary Permits & Licenses for your Virtual Tour Business
  • Get Virtual Tour Business Insurance
  • Define your Virtual Tour Business Brand
  • Create your Virtual Tour Business Website
  • Set up your Business Phone System

We have put together this simple guide to starting your virtual tour business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

Exploring your options? Check out other small business ideas .

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

What will you name your business?

  • What are the startup and ongoing costs?
  • Who is your target market?

How much can you charge customers?

Luckily we have done a lot of this research for you.

Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Virtual Tour Business Name Generator

If you operate a sole proprietorship , you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.

When registering a business name , we recommend researching your business name by checking:

  • Your state's business records
  • Federal and state trademark records
  • Social media platforms
  • Web domain availability .

It's very important to secure your domain name before someone else does.

Find a Domain Now

Powered by godaddy.com, what are the costs involved in opening a virtual tour business.

The costs of opening a virtual tour business depends on the amount and type of equipment you buy as well as whether you work from home or not. For instance, it is possible to start a home-based virtual tour business for $4,000 or less. This includes spending approximately $500 on a DSLR camera, $250 on a fisheye lens, $400 on a panohead, and $50 on a tripod. In terms of software, you will need to spend approximately $400 on Panoweaver Professional Edition and $900 on Tourweaver Professional Edition. The rest of that budget assumes spending approximately $500 on a professional website and $1,000 on some traditional advertisements in things like newspapers and radio, though much of your advertising will be done via your website as well as your social media presence which you can establish at no extra cost.

The cost of this business can go up if you want to offer different services that require different cameras. For instance, a professional camera that can create 4K, 360-degree video will likely be $1,000 or more, and software to edit these videos (such as Autopano) may cost up to $250.

What are the ongoing expenses for a virtual tour business?

One of the best aspects of this job is that if you work from home, you have virtually no ongoing expenses. Shooting everything digitally means that there is not an equipment cost after initial investment (until you decide to replace equipment entirely), and working from home means you do not have additional overhead, utilities, and so on to worry about. Functionally, then, you are merely paying for gas that you require to travel from place to place, and the charges to host your professional website (which should be less than $80 a year). You may also choose to advertise via traditional media from time to time, but as mentioned earlier, much of your advertising presence will be online.

Who is the target market?

As mentioned earlier, your best clients will be those from the hospitality and real estate industries. This is because they will both have numerous rooms and properties for you to create virtual tours from, all of which adds up to a bigger payday for you.

How does a virtual tour business make money?

A virtual tour business makes money by charging clients to shoot, edit, and deliver photos and/or video to create a virtual tour of a physical space. The exact amount you charge typically varies based on the requested media format, the venue, and any additional add-ons that customers may purchase.

Your pricing may vary based on different packages, bundled services, and so on. Typically, though, a photo-based virtual tour of a home or hotel room would be between $200 and $250 dollars, while a video-based virtual tour would be between $1000 and $1200. You may charge more for specialty services or requests (such as shooting at night, aerial photography, and so on), and you may experiment with pricing models where you charge businesses a monthly fee, such as $50 a month for a fixed number of months to produce and edit an unlimited number of listings for this business.

How much profit can a virtual tour business make?

The exact amount of profit that you can make from this business obviously depends greatly on how many clients you have and the amount of work that they provide. For instance, if you specialize in video tours and do hundred jobs in a year, this job could provide a six-figure income. Realistically, your profits will be lower when you are starting out, but the aforementioned lack of true overhead means that most of every dollar translates directly to profit.

How can you make your business more profitable?

One path to increased profitability is to offer different tiers of services at different prices. This lets customers feel like they are getting a deal while also giving you a chance to upsell them on better packages. Also, try to branch out—while hospitality and real estate are your primary industries that need virtual tours, you may find that corporations, school systems, and various city offices would also be interested in your services. Finally, make sure your social media presence constantly has a stream of new media highlighting your services, your previous work, and so on; this connects you to the community, which makes it that much likelier that the community will want your services.

Want a more guided approach? Access TRUiC's free Small Business Startup Guide - a step-by-step course for turning your business idea into reality. Get started today!

STEP 2: Form a legal entity

One crucial aspect that cannot be overlooked when starting your virtual tour business is the importance of establishing a solid business foundation. While sole proprietorships and partnerships are the most common entity types for small businesses, they're a far less stable and advantageous option than LLCs.

This is because unincorporated business structures (i.e., sole proprietorships and partnerships) expose you as an owner to personal liability for your busines's debts and legal actions, while LLCs protect you by keeping your personal assets separate from your business's liabilities.

In practice, this means that if your virtual tour business were to face a lawsuit or incur any debts, your savings, home, and other personal assets could not be used to cover these costs. On top of this, forming your business as an LLC also helps it to appear more legitimate and trustworthy.

More than 84% of our readers opt to collaborate with a professional LLC formation service to kickstart their venture. We've negotiated a tailored discount for our readers, bringing the total down to just $29.

Form Your LLC Now

Note: If you're interested in more information before getting started, we recommend having a look at our state-specific How to Start an LLC guide (DIY) or our in-depth Best LLC Services review (for those opting for a professional service).

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

You can acquire your EIN through the IRS website . If you would like to learn more about EINs, read our article, What is an EIN?

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil .

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

  • Separates your personal assets from your company's assets, which is necessary for personal asset protection.
  • Makes accounting and tax filing easier.

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Get a business credit card

Getting a business credit card helps you:

  • Separate personal and business expenses by putting your business' expenses all in one place.
  • Build your company's credit history , which can be useful to raise money later on.

Recommended: Apply for an easy approval business credit card from BILL and build your business credit quickly.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a boutique tour business. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits .

In addition, certain local licensing or regulatory requirements may apply. For more information about local licenses and permits:

  • Check with your town, city or county clerk’s office.
  • Get assistance from one of the local associations listed in US Small Business Associations directory of local business resources .

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses .

Service Agreement

Virtual tour businesses should consider requiring clients to sign a service agreement before starting a new project. This agreement should clarify client expectations and minimize risk of legal disputes by setting out payment terms and conditions, service level expectations, and intellectual property ownership. Here is an example service agreement.

Recommended: Rocket Lawyer makes it easy to create a professional service agreement for your virtual tour business when you sign up for their premium membership. For $39.95 per month, members receive access to hundreds of legal agreements and on call attorneys to get complimentary legal advice.

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance . This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance . If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

FInd out what types of insurance your Virtual Tour Business needs and how much it will cost you by reading our guide Business Insurance for Virtual Tour Business.

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners , we'll give you helpful tips and advice for creating the best unique logo for your business.

Recommended : Get a logo using Truic's free logo Generator no email or sign up required, or use a Premium Logo Maker .

If you already have a logo, you can also add it to a QR code with our Free QR Code Generator . Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.

How to promote & market a virtual tour business

As mentioned above, the best advertisement you can do is to showcase some of your best virtual tours on your website and social media feeds. For local businesses, it doesn't hurt to advertise in newspapers from time to time, and especially when your business first opens. Also, try to get in-person meetings with hotel managers and realtors whenever you can: the nature of your product is that you can quickly show prospective clients your results on a phone or a laptop, which is immensely helpful in pitching your products.

How to keep customers coming back

Attracting customers is often a matter of starting small and working your way up. For instance, you may start with smaller hotels and/or newer realtors in your area who are more willing than larger corporations or businesses to give something new a try. Once you have a proven track record of helping out these smaller businesses, it is easier to pitch yourself to larger clients. Retention should be a natural function of the product: once companies are able to chart increased profits and improved client perceptions to your virtual tours, they will be happy to continue using your tours to highlight new properties, renovations, and so on.

STEP 9: Create your business website

After defining your brand and creating your logo the next step is to create a website for your business .

While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.

Here are the main reasons why you shouldn’t delay building your website:

  • All legitimate businesses have websites - full stop. The size or industry of your business does not matter when it comes to getting your business online.
  • Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
  • Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.

Recommended : Get started today using our recommended website builder or check out our review of the Best Website Builders .

Other popular website builders are: WordPress , WIX , Weebly , Squarespace , and Shopify .

STEP 10: Set up your business phone system

Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.

There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2023 to find the best phone service for your small business.

Recommended Business Phone Service: Phone.com

Phone.com is our top choice for small business phone numbers because of all the features it offers for small businesses and it's fair pricing.

Is this Business Right For You?

This business is good for those with multimedia savvy, for it takes skill with photography, video recording, sound mixing, and multimedia editing to create a solid virtual tour. It is also good for those with extensive travel experience, as this lets you think like the consumers you are creating tours for.

Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

Entrepreneurship Quiz

What happens during a typical day at a virtual tour business?

In no particular order, your daily activities may include communicating with current clients as well as prospective clients. On busy days, you will be traveling to the areas that you must create virtual tours of and gather the necessary photos and video recordings as well as information about the space. Back at home or the office, you must edit this together into a virtual tour and send the finished product to the client, all while making any adjustments they require. When you are not doing these things, you may be working on advertising your services, investigating the competition, and staying current regarding new camera hardware and editing software.

What are some skills and experiences that will help you build a successful virtual tour business?

The most relevant skill to help you build this business is extensive practice with all of the software and hardware involved. For instance, if you are creating 360 degree videos for clients, having created and edited many of your own videos will help you understand the “do's” and “don'ts” of this technology. Other skills include prior employment in some of the sectors that you will now service, such as real estate or hospitality, as this can help you with your initial networking.

What is the growth potential for a virtual tour business?

The growth potential for this industry is quite large. While the Bureau of Labor Statistics does not chart the virtual tour business specifically, Greenlight Insights reports that virtual reality as an industry will grow from a $7.17 billion industry in 2017 to a $75 billion industry by 2021. Virtual tours are a part of that, and as the public embraces the potential of VR, it means exciting new ways that they can check out your virtual tours.

Not sure if a virtual tour business is right for you? Try our free Business Idea Generator and find your perfect idea.

TRUiC's YouTube Channel

For fun informative videos about starting a business visit the TRUiC YouTube Channel or subscribe to view later.

Take the Next Step

Find a business mentor.

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Learn from other business owners

Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

What are some insider tips for jump starting a virtual tour business?

Make sure that your website and social media presence showcases some of the virtual tours you have already created. This is your single best advertisement, as clients can see how good this looks before agreeing to your services. Try to pitch your services in person when you can, and make sure you have research handy: for instance, testimonials from hotels and realtors about how virtual tours have improved their business are a great way to convince new clients you can do the same for them.

How and when to build a team

In order to maximize profit and minimize overhead, many virtual tour businesses remain one-person operations. It is also easy for an experienced person to do most of the shooting, recording, and editing on their own. However, if you are getting more requests than you can personally handle, you may need a partner or small team. Alternately, if you decide that your business has grown to the point that it needs a standing office, you will obviously need to hire a small staff (such as secretaries and assistants).

Useful Links

Industry opportunities.

  • International Virtual Reality association
  • Google Street View

Real World Examples

  • Campus Tour
  • Virtual Tour Group
  • RealtorVision, RTV, Inc

Further Reading

  • How to Make a Virtual Tour: 10 Steps (with Pictures) - wikiHow
  • Learn about more Online Business Ideas

Have a Question? Leave a Comment!

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virtual tourism business plan

The Complete Guide to Virtual Tourism

woman using vr headset for virtual tourism

With the COVID-19 pandemic limiting where people have been able to go over the past couple of years, hotels, destinations, and travelers alike have felt the effects.

However, creative marketing and new virtual offerings can make a big difference in the years to come. Virtual tourism and travel are taking off, and hotels and destinations that know how to capitalize on the trend will set themselves up for success as the world returns to normal and more and more travelers once again pack their bags.

Take a look at our expert advice below to learn all about virtual tourism and the benefits it can offer. Plus, explore examples from some of the top virtual tourism campaigns across the world.

What is virtual tourism?

Virtual tourism presents viewers with an immersive experience of an activity, location, or destination through the use of technology. There are tons of different types of virtual tourism offerings, but there's usually a combination of virtual reality, still images, video, audio, narration, interactivity, and other multimedia formats to provide an experience of a destination that a user cannot get through images or websites alone.

Viewers can access virtual tourism content using a virtual reality headset for the most immersive experience, but they can also usually view the content on a normal computer or even a mobile device.

virtual hotel CTA

What are the benefits of virtual tourism?

Because viewers can experience activities, locations, and destinations from the comfort of their own homes, there are many clear benefits to virtual tourism. The most obvious of these benefits is that viewers can see and experience a destination without traveling to it, which means they aren’t limited by available flights, travel logistics, safety concerns, and whether destinations are open. They don’t even have to think about time zones or weather conditions.

The other huge benefit for viewers is cost. Virtual tourism makes destinations accessible to millions of people who may otherwise not be able to afford to travel to them. Viewers are embracing the rise in virtual tourism destinations and the increasing quality and availability of virtual reality technology to see and experience things they never thought possible.

For hotels and destinations, the clear benefit is the ability to stay top-of-mind with potential customers and to highlight a location, amenities , and offerings. Viewers who have experienced a hotel or location through virtual tourism are more likely to book a future stay, and will eagerly anticipate experiencing the activity in the “real world.”

There are also great marketing opportunities offered by virtual tourism technology. Potential guests can see a 360-degree view of a property and its amenities, rather than the flat images on a brochure or website. Experiencing a property this way increases the chances that viewers will want to visit in the future, and means that they can easily share the virtual offerings with their friends and family.

And that’s not all. Virtual tourism has a handful of other benefits:

  • The immersive experience allows the viewer to imagine themselves at a travel destination.
  • The viewer can control what they see of a destination, experiencing 360 degrees of a location.
  • All aspects of a destination can be showcased in high resolution.
  • Hotels, Convention and Visitors Bureaus (CVBs) , and travel agencies can stand out from the crowd.
  • The impact of tourism on vulnerable destinations is reduced.

How is virtual tourism used?

There are lots of great ways for hotels and destinations to take advantage of this technology and the demand for virtual tourism, and it goes well beyond COVID-19.

CVBs have been using virtual tourism for years to highlight the unique aspects of a location, including everything from history and culture to exciting activities, local attractions, and fun trivia.

Hotels, CVBs, and local governments use 360-degree VR video to capture everything about a destination in an immersive way. This lets viewers experience a remote mountaintop, an idyllic beach, a network of hiking trails, or a buzzing city with the press of a button.

VR photography, on the other hand, captures still images and pieces them together using specialized software, creating an immersive image where a user can look in any direction. This technology is great for showing hotel interiors, artwork, museum exhibits, and anything that can be fully experienced without motion or sound.

Finally, fully immersive VR experiences let users get in on the action, interacting with the environment and discovering more through their actions. This is often a curated experience focusing on one aspect of the location, like the food scene, music, history, or art. Virtual reality yoga classes, nature walks, stargazing, and bird watching have all become popular ways for a location to show off everything it has to offer.

virtual tour CTA

What are some examples of virtual tourism?

Below are a handful of our favorite virtual tourism campaigns from across the world. While each campaign offers something different, the common theme is that each one was created to give users easy, safe, and interactive access to a location.

The Faroe Islands

The Faroe Islands created a virtual tourism campaign once COVID-19 began to give people an alternative option to traveling to the location.

"Early on in this global crisis, we sat and wondered how we could recreate a Faroe Islands’ experience for those who had to cancel or postpone their trip to the Faroe Islands – and for everyone else stuck in insolation around the world," reads the virtual tourism segment on Faroe Islands' website . "We had an idea. What if we could allow people anywhere in the world to explore the islands as virtual tourists through the eyes of a local? Or even better; what if the virtual tourists could control the movements of the local in real time?"

Bristol From Home

Similar to the Faroe Islands, Visit Bristol (England) created an immersive experience due to the COVID-19 pandemic. Bristol From Home features a collection of travelers' favorite ideas, inspirations, and resources "so that you can continue to enjoy Bristol, during social distancing measures, from the comfort of your own home." 

The website features a myriad of virtual options, including tours of a luxury Victorian ship, hot-air balloon rides, gin tastings, and much more, all in one place. 

Tour the awe-inspiring architecture of Dubai with Dubai 360 — an immersive virtual tourism experience that allows users to travel the city through a bird's-eye view and learn all about the locations scattered throughout. 

"Our services help increase online presence, which is crucial to marketing anything in the present," reads Dubai360's website. "We aim to raise you above your competition by presenting a professional and high quality look, and improving your customers' first impressions. This service is equally useful for Hotels, Restaurants, Malls, Real Estate, or anything that can be presented visually."

Great Barrier Reef

Yes, even the Great Barrier Reef has virtual tourism offerings. The interactive journey is headlined by legendary broadcaster and historian, David Attenborough, who takes viewers throughout the world's largest coral reef system. This is much more than simply a replacement for Great Barrier Reef tours — it's an experience in and of itself, and it showcases just how versatile virtual tourism can be. 

What does virtual tourism mean for the hospitality industry?

Virtual tourism is one of the many keys to the travel industry’s resilience and ability to bounce back from an unprecedented time. Showcasing everything that a property or destination has to offer is a great way to build excitement for “normal” travel and keep the destination top of mind once travelers are able to vacation again. 

Virtual tourism has been lauded as a way for hotels and destinations to highlight the intangibles of their location, capturing the special feel of the place and drawing interest from travelers who might not otherwise consider it.

"A true gift of virtual travel is that we can safely and efficiently access experiences we've always wanted to access," Dennis Watkins, owner of The Magic Parlour in Chicago, said in an article for marthastewart.com. "People separated by oceans can look each other in the eyes and share stories, cultures, and ideas. When I do a show for a single family who logs in from London, Leeds, Norway, or Chicago, I start to see the power of the virtual space ... and I think we're just now starting to understand and leverage that power."

How can hotels capitalize on the virtual tourism trend?

To strategize how best to use virtual tourism, hotels should go back to the basics of their  hotel marketing plan . What audience are you trying to reach? What amenities, offerings, or features make your hotel and its location unique and interesting? What aspects of your property or destination do you want to highlight? The answers to these questions will form the foundation of your virtual tourism offerings.

If you have a few experiences that guests return for time and time again, these are a great place to start with your virtual tourism experience. Give viewers a tour of your on-site vineyard, sandy beach, art deco decor, or spectacular views. 

Because you can create many different virtual reality experiences, you can craft custom offerings for all of the different types of guests who stay at your property. A street art tour may be a perfect fit for young adult travelers, while an immersive symphony orchestra performance may be perfect for older guests. Try creating three or four experiences targeting guests who you would like to see at your hotel in the future, and follow through on the virtual experiences with custom packages, content marketing , and targeted informational emails.

As you craft your unique virtual tourism offerings, keep in mind that this medium isn’t limited to the traditional perspective with which your guests normally see your destination. With virtual tourism, guests could fly over your property in a hot air balloon, swim in your lake without getting wet, ski down to sit by a roaring fire in your lobby, or zip-line through the trees. By adding experiences that guests may not be able to get in person, you’ll move beyond the idea of replacing "real" travel.

Additionally, hotels can use the virtual tourism boom to appeal to planners and their event attendees as well. Not all offerings have to be limited to guests. Do you have a breathtaking ballroom with a state-of-the-art A/V system? What about extensive meeting space in your beachside bungalows? Utilize innovative 3D technology to create a virtual experience highlighting what sets you apart and creating demand.

In other words, the sky really is the limit when it comes to virtual tourism offerings. If you can think of an experience in the real world, you can likely recreate it in some fashion through virtual reality.

Now you know all about virtual tourism!

Bookmark our blog to stay up to date on all the trends and happenings from throughout the hospitality industry, as well as high-level overviews, industry-leading tips and advice, and much more. 

Learn more about virtual tourism, travel, and events

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Laura Fredericks

Laura brings a decade of insight to improving marketing, as she has worked in technology since 2010. She has experience starting and scaling a business, driving customer marketing, and speaking at live events, including WeDC Fest 2018. She founded Describli and Paradigm Labs, and currently works with companies to improve their customer relationship management and content strategy.

LinkedIn | Website

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How To Start A Virtual Tour Business – Full Guide

The 360 Guy

Shooting virtual tours is a big business. You’ll find dozens of virtual tour creators in every large city in the world. Virtual tour photographers create VR tours for businesses who want to use VR as part of their marketing strategy.

It’s been proven that virtual tours can be beneficial to many types of businesses. Restaurants, co-working spaces, museums and hotels are some of the common businesses that use VR tours to bring in more customers, not to mention the huge real estate market which is adopting virtual tours rapidly.

virtual tourism business plan

So how can you get a piece of the pie? If you have been thinking about starting a VR tour business then now is as good time as any. The market for VR tours is growing and it’s never been easier to start. You can do this as a solo venture or partner with others if you want to take things to another level.

I worked as a VR tour photographer for years before this website become popular. I started from the ground up on my own so I hope the advice in this post can help you do the same.

Equipment You’ll Need

The first thing you need to consider is the equipment you are going to use. You will likely have a start up budget in mind and this will largely guide what equipment you’ll buy. The more expensive your equipment the higher quality images you’ll be able to shoot and the larger your potential client base will be.

You don’t necessarily need the best equipment at the start; many businesses are happy with VR tours shot on lower end equipment as long as your pricing reflects this.

virtual tourism business plan

You’ll obviously need a camera to start your VR tour business. There are a huge number of cameras to choose from and you could spend thousands just on this. At a bare minimum you will need a DSLR with the ability to shoot bracketed images on a timer.

I wouldn’t recommend spending the majority of your budget on a DSLR as long as it meets the minimum requirements you should be fine. Here are some options for you:

Best Quality: NIKON D610 

Best Value: P ANASONIC G85

Budget Option: CANON EOS REBEL T100

Very advanced virtual tour creators may use a system like Matterport which comes with a specialised 3D camera which allows for room scale scanning. The Matterport cameras cost thousands and also require a monthly subscription, they are therefore not ideal for those just starting out.

virtual tourism business plan

You may also want to use one of the all in one 360 cameras that are currently available. Shooting VR tours with these types of cameras is far simpler and easier than shooting with a DSLR, however the quality is significantly lower. The only all in one 360 camera I could recommend for VR tours is the Ricoh Theta Z1 .

Fish Eye Lens

virtual tourism business plan

The most important piece of hardware you’ll buy is your fish eye lens. All 360 panoramas shot in a DSLR setup use fish eye lenses, this allows the user to shoot the minimum number of shots required to create the full panorama.

The type of lens you buy will largely determine the quality of your images. It’s advisable to get the best quality lens you can afford at the start, but once again a budget option is fine if you price your tours at the lower end of the scale. Here are some great fish eye lens options that work great for shooting 360 virtual tour

Best Quality: NIKKOR 8-15mm 

Best Value: HD PENTAX 10-17 mm f3.5 

Budget Option: SAMYANG 7.5mm  

Panoramic Head

virtual tourism business plan

This specialist piece of equipment is designed to allow you to take 360 degree panoramas with a DSLR camera. The head is able to spin at a 360 degree range of motion so you can shoot every section required for a 360 photo.

Some panoramic heads are automatic and some are manual. Manual heads are harder to use as you’ll need to be very very accurate each time you move the head into a new position, however they are also much cheaper. All tripod heads will be compatible with any DSLR.

ANDOER 720 TRIPOD HEAD

The last piece of equipment you’ll need is a sturdy tripod to hold the panoramic head and camera in place. You may be tempted to get a cheap tripod but I’d advise against that. To shoot high quality, error free 360 images the camera needs to remain stationary as you shoot your images, a poor uality tripod will make this a difficult task.

The tripod should ideally reach the height of the average person so that the image are shot from a familiar point of view, it should also be strong enough to bare the wights of a DSLR and panoramic head.

Best Quality: MOVO MOTORISED PANO HEAD

Budget Option: NEEWER PANORAMIC HEAD

Software You’ll Need

Now that you have your hardware sorted you need to invest in some software. Unfortunately there really is no getting around purchasing professional software when creation VR tours and you should consider doing so an investment in the future of your business.

Stitching Software

When shooting your virtual tour you will be creating dozens of 360 images, each of which will be made up of 6-8 individual photos which need to be stitched together. This stitching process is done via software on your desktop. The software I use and recommend is PTGui Pro which has been the premiere stitching program for the past decade.

virtual tourism business plan

While the software requires some skill to operate, recent advances have allows much of the process to be automatic. The latest version of PTGui Pro has received a much needed user interface update which makes it far more user friendly.

PTGui has a free version that let’s you practice with the program but any panoramas created will have a watermark. The pro version is a one off cost and does not require a monthly subscription

HDR Software

This is an optional extra however it is common for VR tour photographers to shoot HDR photos for their virtual tours. HDR photos have greater dynamic range and generally look better than normal images. HDR photos are created by shooting three exposures and combining them together.

virtual tourism business plan

I use Photomatix Pro to create HDR photos. I find the program very easy to use and has a great range of options for creating different effects, which is important if you shoot in a range of environments.

Photo Editing Software

Finally, you may want to invest in some general editing software. When you create your HDR photos you might want to do some final retouching, or indeed retouch your final 360 images. Adobe Photoshop is the industry standard but requires a monthly subscription.

Skills You’ll Need

Once you’ve invested in the necessary hardware and software you’ll need to make sure you have the necessary skills to create your virtual tours. The first thing to learn is how to shoot 360 photos with a DSLR. This video from Patick Niddre is a great guide on exactly what to do.

Here’s another awesome video from the same channel teaching you how to use PTGui pro to stitch your final 360 images. The video is a few years old and he is using an older version of the program, so your version may look different.

It only took me a few hours of practice before I could confidently create my first 360 panoramas. Try shooting a whole virtual tour of your house for a full practice session, then do a friends house and see how you can improve. Go outside and shoot around some famous landmarks in your city/country. Practise is what will make you a skilled and efficient VR tour photographer.

Do I need to be a Trusted Street View Photographer?

For years it  has been possible to upload custom VR tours to Google Street View so that anyone using the google maps service can take a VR tour of your business. When a person clicks on the business listing an option for a Street View Tour will appear; this a popular way of attracting customers for many businesses.

virtual tourism business plan

In order to upload a customer VR  tour to street view you need to be a trusted street view photographer. When I started by VR tour business one of the first things I did was to become Street View Trusted, this was accomplished by uploading 50 360 images to Google Street View (anyone can upload single 360 images in public spaces).

At the currently time Google has paused their Street View Trusted service to new applicants, however they may be relaunching in the future. It may seem like you are missing out, however I’ve never had a client specifically ask for a Street View Trusted photographer. When the service restarts then it might be worth joining, but consider it an afterthought as it’s not essential to start your VR tour business.

Get Clients

So now you have the skills and the equipment necessary to start shooting VR tours, but how do you get your first clients? Start by making a list of the types of businesses in your area that may benefit from a VR tour (I gave some examples at the start of this post).

Search for these businesses in your city and area to see how many already have VR tours, for each one that doesn’t make a note of their name and website. You now have a list of prospective clients.

virtual tourism business plan

Even if you have a great list of potential clients there’s no use contacting them now as you have little in the way of proof of your skills. Ideally you should create a basic website for your business where you can display your skills and contact details.

Remember those practise tours you made? Now’s the time to perfect them and display them on your website for prospective clients to see. Make sure your website has a contact form and a description of  the services you provide.

With your list of clients and website ready you should begin contacting them via email. You may have to do this many times before you get a reply. Make sure the email is personal to each potential client. You may have to offer very low rates or even a few free VR tours in order to get some reviews.

See Also: Best 360 Camera for Virtual Tours 

How To Start A Virtual Tour Business – Full Guide

The Top 5 Fish Eye Lenses for Shooting 360 Panoramas

How To Start A Virtual Tour Business – Full Guide

GoPro Max vs GoPro Hero 8: Which should you buy?

The 360 Guy

The 360 Guy

Owner of threesixtycameras.com. Writer, photographer and videographer. You can see my YouTube channel for guides of how to shoot 360 video. I've written for The Times, Digital Photography School and Sunday Express. 

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Thank you for this. There is so much information out there I”m trying to cut through the noise. I did invest in a Gopro Max, but it’s hard to get a good image with that. Am trying to figure out the workflow and the best way to proceed. Do not yet have a DSLR but am planning to get one. It looks like pretty much everyone is using the Matterport or the Z1 these days. Had not heard of the stitching program you recommend but will look into it. Was thinking you use Lightroom, Pshop etc for that or use one of these 360 cloud solutions that let you upload.

It seems like with the pandemic, this area is changing fast and DLSRs to do this would be outdated very shortly? I also wonder if it would be a market already filled with people doing it, in a “race to the bottom,” driving prices down. Or if real estate agents would be just doing this by themselves. Any suggestions welcome. There’s so much information out there I’m drowning in it and getting a headache in the process. =)

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Start a Virtual Tour Business

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VIRTUAL TOUR BUSINESS

Related business ideas, discover your perfect domain, virtual tour mini business plan, expected percent margin:, earnings expectations:, actions to hit those numbers:, equipment and software:, marketing and customer acquisition:, sales and customer experience:, partnerships:, business operations:, not what you had in mind here are more ideas, grab your business website name, step 1: determine if a virtual tour business is right for you, startup expenses, ongoing expenses, examples of ways to make money, step 2: naming the business, step 3: develop a business plan, tips for writing a business plan, step 4: obtain licenses and permits, professional licenses, step 5: choose a business structure, selecting the right business structure, step 6: create a website, step 7: market your business, step 8: consider hiring employees, costs of hiring employees, finding employees, training employees, step 9: track your finances, explore more categories, take the next steps.

Tourism in the metaverse: Can travel go virtual?

Imagine a future where your travel choices have no geographic constraints. Where you can join your friends in the front row of a concert by your favorite star—but the crowd is 300 million strong, your friends are on the other side of the world, and it’s all happening at the Great Pyramid of Giza. Later you’ll do some shopping at the virtual souk and take a digital Nile cruise, before teleporting back home in an instant.

Impossible? Or a tempting package trip that might soon be available from the comfort of your home? With the internet’s rapid evolution, many see this vision of transformed travel on the horizon—in the metaverse. Others caution that this future might take a little longer to arrive, and that travelers resist “metaversification” of key parts of the tourism journey.

The metaverse is seen as the next evolution of the internet—a collective space where physical and digital worlds converge to deliver more immersive, interactive virtual- or augmented-reality (VR/AR) user experiences, often referred to together as extended reality (XR). The underlying technology for this exists and is proving relatively cheap and fast to implement. Driven largely by inspirational advertising and virtual events, the potential rewards for the travel industry are already substantial: more than $20 billion by 2030, by McKinsey estimates.

This has potential to revolutionize the way we explore new worlds: already, you can attend concerts, shop, test products, visit attractions, and take workshops, all without physically traveling anywhere. Currently, the user demographic trends very young, but it’s crucial for the tourism sector to appeal to this segment. 1 Hristina Nikolovska, “Metaverse Statistics to Prepare You for the Future,” February 16, 2023. After all, these are the travelers of the future—and players not keeping pace with their interests will lose out.

But does XR live up to all the hype—with appeal beyond a gamer demographic? A virtual trip can never replace the thrill of certain tangible, real-word experiences, and some traveler touchpoints have proved more ripe for disruption than others.

Despite these hesitations, the XR ecosystem is maturing at pace. Immersive VR/AR devices may well follow the steep adoption curves of laptops and smartphones. Widespread use could lead to a radical extension of the global economy from physical into virtual life, not least in tourism.

So how does a tourism player go about monetizing this virtual paradigm, which is still taking shape and many struggle to define? It’s time for the sector to take a serious look at these complex opportunities—and figure out what best drives traction in the new XR universe.

Touring the metaverse: early trends

The metaverse could enrich the tourism experience in countless unprecedented, innovative ways—but which use cases have the most potential, and which are still deemed risky? Early adopters have already started experimenting, and several trends have emerged. Virtual elements can be layered onto an established business:

  • In the wake of the fire that damaged the famous cathedral in 2019, French start-up Histovery produced an augmented exhibition on the history of Notre-Dame de Paris—motivated in part by an increased awareness of the fragility of physical landmarks. To navigate the exhibition, each visitor uses a “HistoPad” touch screen to take an immersive tour that allows interaction with physical elements: giant photographs, 3-D models of statues, replica flooring and stained glass, and audio of Notre-Dame’s organs and bells. Effects include animation and a virtual scavenger hunt for younger visitors. 2 “Notre-Dame de Paris: The Augmented Exhibition,” National Building Museum, April 2022.
  • In December 2021, faced with record staff turnover, MGM Resorts International decided to apply a virtual solution. In partnership with immersive platform provider Strivr, MGM developed VR headsets that give aspirant front-of-house staff a realistic sense of what working at MGM casinos and hotels entails. The training package was rolled out at the company’s properties in 2022. It’s designed to speed up onboarding and upskilling, increase employee confidence, and familiarize potential hires with MGM procedures and culture. 3 Grace Dean, “MGM Resorts is letting job seekers try out roles using virtual reality as it looks to reduce employee churn,” Business Insider, December 12, 2021; Phil Albinus, “Rising Star goes all in on VR talent marketplace for MGM Resorts,” Human Resource Executive, June 14, 2022; “4 Examples of Strivr Virtual Reality Training,” Strivr.com.

Other virtual platforms allow visitors to explore major global landmarks, incorporating rich edutainment and retail opportunities. Several such initiatives have been launched:

  • Responding to pandemic travel restrictions, ZEPETO World is a smartphone app that allows users to create personal avatars and travel around Korea. For example, the tour includes a highly detailed interactive map of Han River Park; this feature gets almost 257,000 visitors a day. Users are also able to communicate with each other, shop, and watch performances. ZEPETO World has approximately 190 million members. 4 Majid Mushtaq, “Korea Virtual Travel with ZEPETO World,” KoreabyMe, September 6, 2021.
  • The BCB Group—a leading crypto banking group—has created a metaverse city that includes representations of some of the most visited destinations in the world, such as the Great Wall of China and the Statue of Liberty. According to BCB, the total cost of flights, transfers, and entry for all these landmarks would come to $7,600—while a virtual trip would cost just over $2. 5 “What impact can the Metaverse have on the travel industry?” Middle East Economy , July 29, 2022.
  • Saudi Arabia’s Royal Commission for AlUla (RCU) recently announced that the ancient city of Hegra had entered the metaverse, in line with a national program to drive technological transformation and innovation. It is the first UNESCO World Heritage Site to be placed in the metaverse, allowing digital tourists to explore the surroundings as well as Hegra’s Tomb of Lihyan son of Kuza. 6 Divsha Bhat, “Saudi’s Royal Commission for AlUla enters the metaverse,” Gulf Business , November 15, 2022; “Vision 2030,” The Embassy of the Kingdom of Saudi Arabia; “Saudi Arabia’s AlUla enters the metaverse,” Arabian Business , November 14, 2022; One Carlo Diaz, “Hegra’s Tomb of Lihyan in AlUla is recreated in the metaverse,” NTravel, November 7, 2022.

Instead of attempting to replicate real-world experiences, entirely novel environments can also be created, convening people in a single immersive space—as in multiplayer online games. (Indeed, many people currently associate the metaverse largely with games.) The travel industry can harness this utility too.

This is particularly relevant to the meeting, incentives, conferences, and exhibitions (MICE) sector, with virtual gatherings, exhibitions, and trade fairs looking to become mainstream. These allow people to gather and take part in activities in the same immersive space, while connecting from anywhere. This dramatically reduces travel, venue, catering, and other costs, while avoiding setbacks like adverse weather conditions or disease scares. For example, one Japanese start-up recently held a virtual market that attracted a wide response, with around 60 well-known companies participating. 7 “Metaverse x MICE; 3D virtual world that will transform MICE industry in the future,” Thailand Convention and Exhibition Bureau.

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What areas of tourism show promise.

As innovative formats become more mainstream, new economic models are emerging. The travel experience of the future will not be exclusively online or offline. Instead, we’ll most likely see a proliferation of hybrid offerings, with virtual events, edutainment, and inspiration combined with physical destinations.

One way to grapple with this complexity is to adopt a traveler-first mindset. By putting themselves in the shoes (or bedroom slippers) of their target tourist, travel companies can identify opportunities to embed relevant virtual elements.

Individual touchpoints, not end-to-end offerings

Virtual experiences that show promise are focused on a few specific, discrete steps in the end-to-end traveler journey (exhibit). Which touchpoints can be most effectively disrupted? Which hold the greatest possibilities for integration? Which steps can be elevated by an immersive element, allowing for exhilarating, fantastical or deluxe experiences not available in the physical world? Three touchpoints show great potential: travel inspiration, virtual events and visitor support.

Inspiration and planning: The metaverse creates a $13 billion opportunity for tourism inspiration, mostly driven by digital travel advertising. Virtual spaces—which can be used to showcase hotel amenities, airline classes, or an entire landmark—spark the desire to travel, give a holistic idea of a destination, help in traveler decision-making, showcase broader offerings, and raise awareness of unfamiliar locations. The case studies of AlUla and ZEPETO demonstrate how this can work. Qatar Airways offers another example: a recently launched VR experience called QVerse allows travelers to view cabin interiors, the business-class QSuite, and the VIP check-in area at Hamad International Airport. 8 Rose Dykins, “Qatar Airways creates virtual reality ‘QVerse’ experience,” Globetrender, June 13, 2022.

Leisure and entertainment: Live streaming soared during the pandemic, followed by a wave of interest in virtual concerts—with significant increases in consumer demand, spend, and audience numbers. 9 John Koetsier, “Virtual Events Up 1000% Since COVID-19, With 52,000 On Just One Platform,” May 27, 2020. In 2020, the metaverse accounted for 0.1 percent of live-music revenues—a figure which rose more than tenfold by 2021. By 2030, we estimate that virtual events could account for up to 20 percent of revenues, driven in part by their capacity to accommodate huge audience numbers at reduced cost.

Ariana Grande leads the way into the music future

In August 2021, Epic Games launched its latest Fortnite event, the Rift Tour, starring Grammy-winning artist Ariana Grande. 1 Isamu Nishijima, “Ariana Grande x Fortnite Rift Tour: The Apogee of Pop Culture or Just the Beginning?”, Headline Asia Publication , Aug 30, 2021. It was a match made in heaven: Fortnite, a wildly popular battle-royale game with then around 350 million registered users, and Ariana Grande, a universally adored pop artist. 2 Emi La Capra, “The Metaverse Concerts: Where Online Games and Music Performances Meet,” Alexandria , 2022. One of the first of such Fortnite collaborations, this was particularly significant: the first time Ariana Grande had performed in nearly two years, and the first concert to allow attendees to participate in minigames.

The concert was an acclaimed success. The Rift Tour was viewed by as many as 78 million players (compared to average conventional concert attendance of under 15,000); the number of streams of Grande’s songs rose by up to 123 percent during the concert, and other featured artists also saw a streaming boost. 3 Maggie Klaers, “PCP: Concert attendance,” SLP Echo, April 29, 2022. While a traditional concert by a top North American performer might rake in less than $1 million, it’s estimated that Grande made more than $20 million from her headline performance—which may be remembered as a critical inflection point for the live-entertainment industry. 4 Bob Allen, “Concert Industry Roars Back! Pollstar 2022 Mid-Year Report,” Pollstar, June 24, 2022.

With top artists generating around $20 million per metaverse concert, this industry has an anticipated income potential of upwards of $800 million by 2025, according to McKinsey estimates (see sidebar, “Ariana Grande leads the way into the music future”). Taken together with XR MICE, this sector is a rich opportunity: an expected $7 billion by 2030.

Visitor support: Some destinations have been exploring the idea of virtual concierges to support travelers at every stage of the journey with real-time itineraries, information, troubleshooting, visa issues, and more. Qatar Airways, for example, provides a MetaHuman cabin crew for an interactive customer experience. Immersive use cases already account for over 1 percent of chatbot investment, and this is expected to increase. Still, it may be several years before this touchpoint gains real traction.

Then there are touchpoints where the disruption potential of the metaverse is still debatable, or where opportunities may take longer to mature:

  • Shopping: Multiple stores could be built in virtual destinations, adding a revenue stream with the sale of accessories, souvenirs and other items. These might be digital, or goods to be shipped in the real world. Iconic real-life stores might also operate as digital recreations.
  • Booking: Customers are already comfortable with online booking, so a shift to XR interactions with virtual travel agents could be seamless. However, this is a relatively small business opportunity, with uncertain added value: the new technology is not expected to change or boost the functionality of current booking processes in any fundamental way.

There is currently limited interest in adding virtual elements to aspects of travel that are necessarily physical, such as mobility, accommodation, the logistics of arrival and departure, and food and drink (F&B).

Mobility is currently expected to have very limited XR use cases: tourists may access a metaverse experience while in a taxi, but are unlikely to replace physical with virtual mobility. The “stay” category is similarly sized. While people may wish to explore virtual stays in hotels or on cruise ships, these will not yet replace actual stays. Hotel developer CitizenM, for example, has announced plans to build a hotel in gaming world The Sandbox, allowing virtual visitors to explore the digital property and raise awareness of its brand. 10 Cajsa Carlson, “CitizenM to become ‘first hospitality company to build in the metaverse’,” dezeen, April 7, 2022.

Similarly, arrival-and-departure use cases are largely limited to customers seeking XR versions of modes of transport, such as business-class flights or special railway routes, without intending to visit. (Such experiences may serve as “portals” to expanded immersive worlds, however.) The F&B industry will likely be among the last to enter the metaverse.

Post trip, the real potential lies in the capacity to inspire further travel. However, actual follow up, currently often achieved via surveys, is unlikely to be deeply impacted.

Francis Davidson

Travel Disruptors: Sonder’s Francis Davidson on the future of hospitality

“no-regret” metaverse moves.

Taking the above factors into account, there are certain no-regret functions that tourism-industry players can pursue to be at the forefront of disruption. These promising use cases have already gained traction, with fast-moving industry players stepping in early to bet on their viability.

They fall into two categories: virtual event centers, and recreations of memorable landmarks that inspire visits. As we’ve seen, event centers are already showing substantial revenue potential for organizers and destinations through business gatherings and entertainment, with ticket sales, attendance fees, and ancillary retail opportunities.

At XR landmarks, visitors can explore, socialize, shop, and learn—all while gaining awareness of lesser-known destinations. Young people and tourists may flock to these social spaces for immersive fun. There may be edutainment opportunities, including specialized archaeology, geology or architecture classes. These spaces can be built on established or upcoming platforms (such as Metapolis) and operate in collaboration with third-party vendors to increase retail opportunities.

Themed gaming, too, can drive engagement with a location, and caters to a core XR demographic. This includes game developers: Unreal Editor for Fortnite (UEFN) is a newly released PC application for designing and publishing games and experiences directly into the online video game Fortnite. 11 The Fortnite Team, “Unreal Editor for Fortnite and Creator Economy 2.0 are here. New worlds await,” Fortnite, March 22, 2023.

There appears to be public appetite for recreations of individual landmarks rather than entire destinations: a metaverse Eiffel Tower rather than a complete metaverse Paris. An example is Dubai’s Burj Khalifa virtual experience, launched by event-management platform Eventcombo, which offers users a focused tour of the world’s tallest building. 12 “Dubai: Take an immersive tour of Burj Khalifa in metaverse,” Khaleej Times, October 8, 2022. For now, there seem to be fewer opportunities to create whole customer journeys (although this may work well for certain cases like theme parks). When it comes to end-to-end tourism experiences, travelers still seem prefer the “real thing.”

Preparing for the future of travel

How can travel companies leverage the metaverse to create more compelling experiences for their customers? Certain challenges must be overcome: these include enabling interoperability between decentralized worlds, protecting data security, and making immersive devices more readily available.

However, it’s prudent for travel players to think proactively about engaging with the metaverse—and perhaps seize a first-mover’s advantage. Early control will help to sidestep thorny issues like third parties claiming virtual rights to a location.

Once travel players have plotted out potential traveler journeys (whether hybrid or fully digital), they can find the right collaborators to bring these experiences to life—such as virtual-universe and retail platforms, communications channels, and designers. As many tech players are still only starting to come to grips with immersive experiences, companies may be able to secure favorable partnership agreements and experiment with different executions.

Four steps for travel players contemplating the metaverse

Step 1: Create a strategy based on individual traveler touchpoints to be disrupted. Develop offers targeted at travelers of the future, considering demographic groups, travel purpose and likely journeys. Imagining specific future touchpoint needs and desires and how these can be satisfied or enhanced in a virtual world will ensure a targeted strategy.

Step 2: Identify the platform you want to play on. There are several options here, depending on factors like the strength of your brand and how much independence you require. With a very strong brand, you might be in a position to create your own platform. If your brand is less widely recognized—as with most tourism destinations—or the advantages of a dedicated platform are not clear, then it might be unwise to go it alone. It may be possible to integrate your experience with another organization’s platform, with the added benefit that their established users can stumble across your product. Or partner with an existing platform, as Saudi Arabia’s RCU have done with browser-based platform Decentraland and Korean tourism with the ZEPETO app.

Step 3: Choose the right talent. Developing any offer will likely require new skills—not just to make your immersive world look good, but to ensure that it’s smooth and exhilarating to use. Excellent “game mechanics” motivate users to come back repeatedly for new experiences. In turn, this requires constant maintenance, operation and innovation, as with any great tourist attraction. Talent for these tasks can be either recruited or outsourced. Hiring a new, dedicated workforce might make sense for a large service that requires intensive modification and security monitoring. For simpler or once-off offerings developed to test the waters, outsourcing will ensure a smoother, faster process.

Step 4: Understand the agreement you have with your partner. Be sure to clarify safeguards related to IP and other potential challenges. Also ensure that virtual experiences cohere with your existing brand identity, as well as the values and cultural context of heritage assets.

The metaverse promises to shake up many sectors of the global economy. Virtual experiences have huge potential for the tourism and travel industries, with the prospect of hybrid and fully immersive digital destinations. But our research indicates that opportunities may, for now, be limited to a few key touchpoints—most prominently, travel inspiration, events, and edutainment. It may take longer for the metaverse to reveal its utility for end-to-end travel experiences, if it ever does.

Nonetheless, there are undeniably travel touchpoints where metaverse integration feels inevitable, profitable and “no regret.” Players in the sector would do well to start planning their metaverse strategy now, focusing on specific touchpoints and destinations, while this rapidly developing arena matures.

Margaux Constantin is a partner in McKinsey’s Dubai office, where Kashiff Munawar is an expert associate partner; Giuseppe Genovese is a consultant in the Dallas office; and Rebecca Stone is a consultant in New York City.

The authors wish to thank Samvit Kanoria, Hamza Khan, and Kevin Neher for their contributions to this article.

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Everything You Need to Know about Virtual Tourism – Examples, Benefits, and Future Perspectives

Sweata Deb Barman

  • On March 29, 2024

virtual tourism

Technology’s role has become more prominent in the ever-evolving landscape of travel and tourism. As tour operators, you are the masterminds behind crafting unforgettable adventures. This is where virtual tourism emerge as a game-changer, revolutionizing how we explore destinations. 

With virtual tours, we transcend distance and time, conducting thorough property explorations from the comfort of our desks. It’s a revolution that saves us precious time and resources, allowing us to focus on what truly matters – curating exceptional client experiences. 

By integrating virtual tours into their operations, we’re streamlining processes, enhancing customer experiences, and propelling our businesses to new heights. Travelers embark on personalized digital adventures, experiencing vibrant markets. 

Just like Apple’s new Vision Pro device seamlessly elevates virtual tours, showcasing destinations with incredible clarity, allowing clients to immerse themselves in the virtual experience. Vision Pro revolutionizes how we present virtual tours, adding an extra layer of realism. 

So, join us as we dive into this virtual realm, uncovering best practices, success stories, and the latest trends to redefine travel experiences and drive exponential growth. The journey awaits – let’s embark on it together.

What is Virtual Tourism?

Virtual tourism leverages technology to offer viewers an immersive experience of activities, locations, or destinations. Despite the diverse array of virtual tourism services, they typically integrate photos, videos, audio, narratives, interactivity, virtual reality, and other multimedia elements. 

This amalgamation offers users a profound sense of a place, exceeding what static pictures or websites alone can convey. Contrary to a common misconception, VR content is not exclusive to specialized VR headsets. 

It can be experienced on any device, including mobiles. While VR is undoubtedly more immersive with dedicated headsets, its accessibility extends to a broader range of platforms.

what is virtual tourism

The Escalation of Virtual Tourism

With the advent of technology, virtual experiences have become increasingly popular among consumers worldwide. According to recent data from Statista , the global virtual tourism market was projected to reach a value of $5 billion in 2021. 

This figure is expected to soar even higher in the coming years, with estimates surpassing $24 billion by 2027. The surge in virtual tourism reflects a broader trend of digitalization and innovation within the tourism industry. 

As consumers seek immersive and interactive experiences, virtual tourism has emerged as a compelling alternative to traditional travel. Nearly 40% of customers globally express interest in various virtual experiences, ranging from online music concerts to virtual museums, art tours, and leisure classes.

global virtual tourism market

The increased interest in virtual tourism highlights the industry’s adaptation and durability, especially in light of recent challenges like the COVID-19 pandemic. Virtual experiences have allowed customers to explore destinations and interact with cultural sites from the comfort of their homes, as travel limitations and safety concerns have limited traditional tourism activities. 

As technology continues to advance and consumer demand for immersive experiences grows, the tourism industry is poised for further expansion and innovation. Virtual tourism is expected to play an increasingly prominent role in shaping the future of travel, offering travelers unparalleled opportunities for exploration and discovery.

How do you elevate your Tourism Business with Virtual Tourism?

Virtual tourism is a versatile tool for any tourism-related enterprise aiming to expand its horizons, enhance client satisfaction, and tap into new markets. To effectively leverage virtual tourism, the following strategies could be used: 

  • 1. Define Target Audience and Unique Selling Points:
  • * Identify your target audience and the unique amenities, offerings, and features that differentiate your hotel and location.
  • * Determine which aspects of your property or destination you want to showcase through virtual tourism.
  • 2. Leverage Signature Experiences:
  • * Highlight signature experiences that guests repeatedly enjoy, such as on-site vineyards, sandy beaches, or art deco decor.
  • * Provide immersive tours of these features to captivate viewers and enhance their understanding of your hotel’s offerings.
  • 3. Tailor Experiences to Guest Demographics:
  • * Utilize virtual reality to offer diverse experiences tailored to different guest demographics.
  • * Consider creating customized experiences like street art tours for young adults or symphony orchestra performances for older guests. 
  • 4. Complement with Marketing Strategies: 
  • * Craft multiple virtual experiences targeting desired guest demographics. 
  • * Support these offerings with tailored packages, content marketing, and targeted email campaigns to maximize engagement and conversion. 
  • 5. Attract Event Planners and Attendees: 
  • * Capitalize on the virtual tourism trend to appeal to event planners and their attendees.
  • * Showcase impressive event spaces and amenities through virtual experiences, highlighting unique selling points and generating demand. 
  • 6. Encourage Creativity and Innovation: 
  • * Foster creativity and innovation in developing virtual tourism offerings.
  • * Explore imaginative ways to recreate real-world experiences through virtual reality, which will allow you to stand out and attract new guests.

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virtual tourism business plan

What are the Multitudinous Virtual Tourism Benefits?

Integrating virtual tourism into your tour operator services not only enhances the customer experience but also provides numerous business benefits, including increased engagement and conversion rates, differentiation, cost savings, upselling opportunities, data insights, and sustainability. 

It’s a strategic investment that propels your business into the future of travel.

  • Enhanced Customer Experience: By offering VR-based pre-trip planning tools, you provide customers with an immersive experience that goes beyond traditional brochures and websites. This enhanced experience not only increases customer satisfaction but also builds brand loyalty. 
  • Increased Engagement and Conversion Rates: VR allows potential customers to virtually visit destinations and hotels, leading to higher engagement and, ultimately, increased conversion rates. When customers can visualize their travel experiences realistically, they are more likely to commit to booking with your company. 
  • Differentiation and Competitive Advantage: In an increasingly crowded market, incorporating VR sets you apart from competitors. It showcases your commitment to innovation and customer satisfaction, giving you a competitive edge that attracts discerning travelers seeking unique and immersive experiences. 
  • Data Insights and Personalization: VR technology can provide valuable insights into customer preferences and behavior. By analyzing VR usage data, you can better understand your customers’ interests and tailor your offerings to meet their specific needs, leading to more personalized and targeted marketing efforts. 
  • Sustainability and Environmental Responsibility: Embracing VR in tourism aligns with the growing demand for sustainable travel practices. By reducing the carbon footprint associated with physical travel, you demonstrate your commitment to environmental responsibility, appealing to eco-conscious travelers and enhancing your brand reputation.

💡  How to become a successful tour operator?

Examples that illuminate the Magic of Virtual Tourism

Here are a few standout virtual tourist examples from around the globe, each aiming to provide users with simple, secure, and engaging access to specific sites while showcasing their unique features:

South Africa 360

South Africa 360″ offers a mesmerizing virtual tourism experience that transports users to the captivating landscapes and vibrant culture of South Africa. From the iconic Table Mountain in Cape Town to the breathtaking wildlife of Kruger National Park, users can explore the diverse beauty of this enchanting country in stunning 360-degree detail.

South Africa Tourism, which used this technology, saw an increase of 11.8% in bookings within just 11 months. Uganda’s Matoke Tours also invested $30,000 in a VR travel application where viewers could track the Gorillas in Uganda.

Hamilton Island in 360˚

The collaboration between Qantas, Hamilton Island, and Samsung has resulted in perhaps the most immersive VR travel experience yet: “Visit Hamilton Island in 360˚ Virtual Reality.” This groundbreaking partnership allows users to embark on a virtual journey to the pristine shores of Hamilton Island, one of Australia’s most idyllic destinations.

Samsung’s cutting-edge VR technology ensures a seamless and truly immersive experience, bringing Hamilton Island’s beauty and tranquility to life like never before.

Great Barrier Reef

Indeed, virtual tourism extends even to the Great Barrier Reef. Renowned broadcaster and historian David Attenborough takes viewers on an interactive journey through the world’s most incredible coral reef system.

This immersive experience showcases the versatility of virtual tourism, offering much more than a mere substitute for physical trips to the Great Barrier Reef.

What are the limitations of Virtual Tourism?

As we embrace Virtual Tourism’s possibilities for enhancing travel experiences, it’s equally important to understand its constraints.

By acknowledging these limitations, we can effectively harness its strengths while supplementing them with traditional travel methods. Ultimately, striking a balance between innovation and practicality is critical to maximizing the benefits of virtual tourism in the travel industry. Let’s explore the constraints of virtual tourism.

  • Limitations in Sensory Replication: Despite its immersive features, VR falls short of replicating the entire sensory experience associated with travel. As a tour operator, you must communicate to your travelers that Virtual Reality (VR) is a valuable supplement rather than a substitute for real-world travel. VR is an additional tool in your arsenal, designed to enrich and enhance their experiences rather than replicate them entirely.
  • VR Headset Compatibility Barriers: The diverse landscape of VR headsets adds complexity to the compatibility requirements. For business operations, ensuring that VR experiences are universally accessible across various headset models presents a significant hurdle that demands careful consideration.
  • Barriers to Adoption: Despite advancements, initial expenses associated with VR implementation deter widespread adoption. Technological literacy gaps further hinder the seamless integration of VR into tourism offerings.
  • Supportive Infrastructure Requirements: Developing infrastructure to support VR implementation is essential for successful adoption. You must collaborate with technology providers and invest in infrastructure development to facilitate VR usage.
  • Promoting Education and Awareness: Educating businesses about VR’s benefits and functionalities is crucial for widespread adoption. Increasing awareness about VR technology can help mitigate barriers and encourage its use in the tourism industry.

virtual tourism business plan

In the dynamic realm of travel, virtual tourism isn’t merely a fleeting fad—it’s a groundbreaking revolution redefining the very concept of adventure. For forward-thinking pioneers, diving into VR isn’t just about keeping pace; it’s about unlocking boundless possibilities and enriching journeys for every explorer. VR’s potential to revolutionize travel is profound.

It offers enhancements in pre-trip planning, immersive exploration, sustainability, affordability, and accessibility. Rather than replacing real-world experiences, VR aims to enrich and broaden them. Consider VR not as a challenge but as an untapped frontier of possibilities awaiting innovative solutions.

Ready for an exciting virtual reality travel journey? Embrace the future and discover enhanced travel experiences together. The time is now, with endless opportunities ahead.

Need help to grow your tour business?

Sweata Deb Barman

Sweata Deb Barman is a passionate Economist turned Digital Marketing Enthusiast with a knack for driving brand growth through innovative strategies. With a joyful spirit and a love for exploration and culinary delights, she brings a unique blend of creativity and analytical prowess to her work.

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Exploring the World of Virtual Tourism: Advantages, Disadvantages, and Frequently Asked Questions

At the height of the COVID-19 pandemic, when most were stuck at home due to travel restrictions, there was a surge in virtual tourism. Heck, I helped one of my clients launch daily live-stream broadcasts via several social media channels (Facebook, YouTube, and Twitter) to stay connected with existing clients and fans. The success of the live streams, which had different Blue Badge Tourist Guides showcasing London, led to the development of virtual tours as a new product offering. So what exactly is virtual tourism? Below I provide insight.

What is virtual tourism?

Virtual tourism is a digital experience that allows people to virtually “travel” to destinations or experience a tourist attraction without leaving their homes. It uses a combination of technical components such as virtual reality software, audio, video, images, narration, etc. Virtual tourism experiences can be recorded or live-streamed interactive presentations with knowledgeable and engaging tourist guides.

Virtual tourism aims to create a near-life touring experience of a particular destination or tourist attraction. Virtual tourism can provide a glimpse of what a destination or tourist attraction has to offer; it can also be used to plan a future in-person trip.

How big is the virtual tourism market?

In-person travel continues to rebound from the COVID-19 pandemic, but the global virtual tourism sector continues to be pushed forward by major VR technology players like Google, GoMeta, Valve, Ximmerse, Samsung Electronics, Microsoft Corporation, Sony Interactive Entertainment and Oculus VR LLC owned by Facebook.

The goal is not to replace in-person travel but complement and also reach new markets; for example, school groups and older people with discretionary income who cannot travel due to health and limited mobility. And according to Market Research Data, “the global virtual tourism market was worth US$ 5 billion in 2021 and is predicted to reach the valuation of US$ 24.10 billion by 2027.” Essentially, virtual tourism has always been a business opportunity within the travel industry, and in recent years due to the lockdown from the COVID-19 epidemic, more people are aware of the offering and now ready to accept it.

UPB wearing VR headset showcasing German summer stories virtual tour.

What are the different types of virtual tourism?

At the core of each virtual tour are photos and videos with narration, often by a knowledgeable tour guide stitched together to create a virtual experience. The technology allows virtual tourists to have an immersive exposure to a location, activity, or destination. There are several different types of virtual tourism, including:

Virtual reality (VR) experiences:  Virtual reality technology creates a fully immersive, computer-generated environment that allows users to explore a destination as if they were there. This can be done using VR headsets, which provide a fully enclosed view of the environment, or through virtual reality apps on a smartphone or tablet. Virtual reality experiences can give a realistic and engaging way to explore a destination, allowing users to look around and interact with the environment as if they were physically there.

Example: A virtual reality experience might allow users to explore the streets of Paris, walking around the city, and visiting popular attractions such as the Eiffel Tower or the Louvre Museum.

360-degree videos:  These videos are created using multiple cameras that capture footage from all angles, allowing users to look around and experience a destination from different perspectives. 360-degree videos can be viewed on a computer or mobile device using a special player that allows the user to pan and zoom the video to look around. This type of virtual tourism can provide a more interactive and immersive experience than traditional videos.

Example: A 360-degree video might allow users to experience a safari in Africa, looking around and seeing the animals up close.

Interactive maps and panoramic images:  These tools allow users to explore a destination by navigating through high-resolution photos or maps. Users can zoom in and out to view different parts of the area, providing a more detailed look at a destination than a traditional map or photo. These tools can also include additional information and highlights of popular attractions, making them a valuable tool for planning a trip.

Example: Interactive maps and panoramic images: An interactive map might allow users to explore the ruins of an ancient city, such as Pompeii, and learn about the different buildings and artifacts that have been preserved.

Augmented reality (AR) experiences:  Augment reality technology can be used to add digital elements to a real-world environment, providing an enhanced view of a destination. For example, an augmented reality app might show the locations of popular attractions overlaid on a live view of the destination or provide additional information about a particular place when the user points their device at it. Augmented reality experiences can provide a unique and engaging way to explore a destination and learn more about it.

Example: An augmented reality experience might provide additional information about the history of a particular building or monument when the user points their device at it, providing a more engaging and informative way to explore a destination.

Live streaming events:  Some destinations offer live streams of popular attractions and events, allowing users to experience them in real time from wherever they are. This can be a great way to see a destination without traveling there or get a sneak peek of a live event or attraction before visiting in person.

Example: A live stream might show a carnival parade or concert at a popular music festival, allowing users to experience the event from their homes as if they were there.

Virtual tours with a guide:   Virtual tours with a guide are a type of virtual tourism in which a real-life tour guide gives an online presentation or interactive workshop showcasing destinations or tourist attractions using a video conferencing platform, such as Zoom or Skype. Virtual tours can also provide an opportunity to interact with the tour guide or other viewers, adding a social aspect to the virtual tourism experience. This type of virtual tour can be a great way to learn about a destination or tourist attraction and have a more personalized experience without having to travel there physically.

Example: A London Blue Badge Tourist guide presents an interactive presentation via video conference service Zoom with attendees getting a virtual tour of the British Museum, learning about the different museum exhibits and artifacts.

What are some examples of virtual tourism?

There are different types of virtual tourism due to the technology used during development. For instance, complex designs require more than an ordinary smartphone to operate. Some involve a tour guide giving an immersive presentation via Zoom. Below are the five primary types of virtual tourism.

A virtual tour trial before a service or purchase

This particular type of virtual tour (often with a virtual reality headset) allows potential guests to view the services being offered on a tour destination beforehand. This type of virtual tourism is effective, especially when a service or product cost is expensive.

One that tours nonexistent areas

This virtual tour is unique as it allows tourists to visit nonexistent places. It typically enables users to explore and connect to people or things in this imaginary destination using an avatar.

A virtual tour to inaccessible places in real life

This unique type of virtual tourism takes you on a journey to locations that are usually restricted or challenging to access, like Plymouth, the former capital of Montserrat, now buried under volcanic ash.

Virtual tourism of ancient places

This digital tour type teleports you to past destinations while you sit comfortably at home. In other words, this tour type gives you the privilege of visiting locations that no longer exist.

A virtual tour across the globe

Google Earth is one of the most reliable virtual tours for giving precise directions or showing you specific tourist destinations. At the touch of a button, you explore any region around the world with ease.

Exploring the Eiffel Tower in Paris, France via Google Earth.

Other virtual tourism examples include:

A virtual tour of the planet Mars

A trip out of this world and one that’s worthwhile is none other than that on the red planet. Although no one on earth has ever landed on the Martian surface, a virtual tour of the planet Mars courtesy of NASA and Google takes you there through images and video recorded by the Mars Curiosity Rover.

Hiking on the Great Wall of China, a UNESCO World Heritage Site

A visit to a historic site like the Great Wall of China is usually an adventure of a lifetime. Virtual tourism allows you to hike the great wall of china without any physical effort. The virtual destination covers six and a half miles between the Simatai and Jinshanling walls, with expansive views of china.

Aerial views of Mount Everest from a helicopter

Flying across Mount Everest entails a lifetime of training, and the opportunity is often hard to come by. Luckily, through a virtual tour, your view of Mount Everest is similar to that of a helicopter rescue pilot, with no risk, of course.

Getting a close-up view of the Niagara Falls State Park

With access from Canada and the United States, national parks like Niagara Falls State Park is often brimming with tourists. Thus, via a Niagara Falls virtual tour, people at home can get a most immersive experience away from all the hustle and bustle while taking in the spectacular views of the falls.

#ExploreNiagara VR

What are the advantages of virtual tourism?

Below are the main advantages of virtual tourism for both the tourist and the tourism industry.

Convenience: Virtual tourism allows people to visit and explore new places without the need for physical travel, which can be time-consuming, stressful, and expensive.

Freedom and Flexibility:   Virtual tourism gives potential customers the freedom that a typical tour wouldn’t. For instance, you can easily climb Mount Everest virtually while wearing your flip-flops. In terms of flexibility, you plan any trip as per your schedule or time zones, making it quite convenient.

Accessibility:  Virtual tourism makes it possible for people with mobility issues or other physical limitations to visit and explore places that may otherwise be difficult or impossible for them to access.

Affordability:  Virtual tourism can be a more affordable option compared to physical travel, as it eliminates the need for airline and accommodation costs. Most often, all a consumer needs is access to a computer or smartphone connected online.

Eco-friendly:  Virtual tourism can provide a more eco-friendly option than physical travel. By eliminating or reducing the need for international travel, virtual tourism can reduce carbon emissions associated with travel, helping to protect the environment.

Extend tourism season:   Virtual tourism can extend the tourism season for tour guides. For example, tour guides can do in-person tours of a tourist attraction or destination during the busy spring and summer. In the off-season, these tours can be customized and presented virtually.

It can stimulate in-person tourism:  Virtual tourism can be used as a marketing tool to promote the actual tourist destinations being mimicked. Tourists can purchase a flight ticket or book a hotel service based on their virtual experience. Essentially a virtual tour can be part of the early stages of research for a trip.

Virtual tourism can also provide a more personalized experience, as viewers can choose the exact locations they want to visit and explore at their own pace. This can be especially beneficial for people interested in specific places or attractions who want to learn more about them.

Blue Badge Tourist Guide Nick Salmond_London Virtual Tour of Westminster Abbey.

What are the disadvantages of virtual tourism?

While there are many benefits of virtual tourism, as outlined above, a few disadvantages come with them.

Lack of physical interaction: Virtual tourism cannot fully replicate the experience of being in a destination and interacting with the environment and people.

Limited immersion:  While virtual reality technology can create a more immersive experience, it still cannot fully replicate the sensory experience of being there in person. For example, virtual tours cannot capture a destination’s smells, sounds, and tactile sensations.

Accuracy:   While virtual tours can provide a sense of being in a place, they may only sometimes accurately represent the destination. For example, pre-recorded videos may not capture the current state of a location, or live streaming may not provide a comprehensive view of the destination.

Technical limitations:  Virtual tourism relies on technology, and there may be technical issues or limitations that can affect the quality of the experience.

Limited social interaction:  There is usually no or limited social interaction and no connections at a personal level. Although this might be ideal for some, others might find the entire experience dissatisfying.

Virtual tourism is inaccessible in some regions:  A strong internet connection is needed for a successful virtual tour, which might pose a challenge, especially when you’re living in a remote area.

Less economic benefits from virtual tours:  Virtual tours contribute less to the economy since they don’t require much, and in the end, you end up spending less.

Undertourism:  Virtual tourism also has the potential to negatively impact the tourism industry and the local economies of destinations. While virtual tourism can provide an affordable option for some travelers, it may also reduce the number of people visiting a destination in person, which can have negative economic consequences for the local community.

Despite these limitations, the growth of virtual tourism continues to increase and provides a unique and engaging way for people to explore new places and experience new things. As virtual tourism technology improves, virtual tours are likely to become even more immersive and realistic, providing an even more authentic experience for virtual travelers.

Blue Badge Tourist Guide Katherine Alcock_London Virtual Tour of attractions along Whitehall.

Frequently asked questions about Virtual tourism.

What is the difference between virtual tourism and virtual reality tours?

Virtual tourism can be defined as using technology to create an artificial tourist destination that mimics a real one, therefore enhancing the experience. On the other hand, virtual reality is the illusion of mimicking reality using digital platforms, with a concept that entirely relies on technology in place.

Is virtual reality bad for your eyes?

Virtual reality is being upgraded, and its technology is also advancing. Therefore, it’s always advisable to limit the time spent using virtual reality headsets and also pay attention to the warning signs that come with them.

Can virtual tourism replace physical travel?

While virtual tourism can provide a similar experience to physical travel in some ways, virtual travel experiences cannot fully replace the real world experience of being in a destination and interacting with the environment and the people there.

Is virtual tourism only for people who cannot physically travel?

Virtual tourism can be enjoyed by anyone, not just people who cannot physically travel. It can be a convenient and affordable option for anyone who wants to explore new places without the need for physical travel.

Is virtual tourism only for exploring destinations?

Virtual tourism can be used for more than just exploring destinations. For example, it can also be used for virtual events, such as concerts or conferences, allowing people to participate from anywhere in the world.

Is virtual tourism costly?

During the pandemic, many virtual tours were offered free of charge. For instance, through a partnership with more than 2,500 museums and art galleries across the globe, Google Arts and Culture has come up with free virtual tours. A few museums you can tour virtually include The Louvre in Paris, New York’s Museum of Modern Art, and the Van Gogh Museum in Amsterdam.

What about paid virtual tours?  Below are examples of travel companies offering a variety of virtual tours or travel experiences for a fee.  Pricing is quite varied and depends on a number of variables (i.e., recorded vs. live, technology and tour complexity, etc.)

  • Guide London – led by Blue Badge Tourist Guides, they offer private virtual tours of London on famous landmarks, tourist attractions, or themes of interest (i.e., Royal London, London Street Art, Legal London, etc.)
  • Avital Tours – they offer virtual events all themed around food and drinks (i.e., cooking classes, mixology, etc.).
  • Clio Muse  – they offer self-guided audio tours from 23 different countries across the globe.
  • Context Travel – led by local scholars, they offer online seminars and courses highlighting popular travel destinations worldwide.
  • Museum Hack – they offer virtual team building and online storytelling workshops.
  • Airbnb Online Experiences  – they offer online tours and experiences led by locals from across the globe.

virtual tourism business plan

Ursula Petula Barzey is the Founder of Moxee Marketing and has  20+ years of business development and marketing (traditional and digital) experience working in the United States and the United kingdom for a wide range of international and SME companies.

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Blog , Virtual Reality

VR In Tourism: Benefits And Use Cases

  • By Gaurav Patil

Market Stats For VR In Tourism

What is virtual reality in travel, benefits of virtual reality in tourism, vr trends for the virtual travel industry, use cases of virtual reality in tourism, examples of virtual reality in tourism, how to develop a vr app for travel industry, cost affecting factors to consider to develop a vr based travel app, tech stack to consider to develop a vr based travel app, how can we help in developing a vr based virtual travel app.

virtual tourism business plan

Virtual reality in tourism provides viewers with an immersive tourism experience. There are many different types of virtual tourism services available. They use a combination of virtual reality, still images, video, audio, narration, and other multimedia formats.

Virtual tourism content can be accessed using a virtual reality headset for the most immersive experience. It can also be viewed on a regular computer or even a mobile device.

By using the power of VR technology, businesses can create immersive and accessible experiences that inspire curiosity, foster cultural understanding, and drive economic growth within the global tourism landscape.

In this article, we’ll explore into the world of VR applications in tourism, covering essential aspects such as key features, development processes, and cost estimation factors to understand how to effectively integrate VR into the tourism sector.

Virtual Reality (VR) technology is transforming the tourist business, providing immersive experiences that transport consumers to destinations across the world from the comfort of their own homes. 

With advances in VR hardware and software, tourism businesses are using this technology to increase customer interaction and promote interest in tourist destinations like never before.

As per a report from Statista, the market size for global virtual tourism is expected to reach  24 billion U.S. dollars by 2027 .

global virtual tourism

Source: Statista

The expanding global tourism market presents a lucrative opportunity for VR development in tourism. 

As more travellers seek immersive experiences, VR offers a compelling solution to showcase destinations remotely. Capitalizing on this trend can lead to increased demand for VR content, driving growth and profitability in the tourism industry.

Virtual reality (VR) in travel entails the creation of interactive images or videos that allow viewers to explore a scene in full 360 degrees. Unlike traditional media captured from fixed viewpoints, VR technology captures every aspect of a location, providing a more immersive experience.

In the travel industry, VR is used to showcase tourism destinations in a unique and engaging manner. Specialized cameras, rigs, and software are employed to capture the content, which can then be experienced through VR headsets or on standard devices such as computers or mobile phones.

While some may believe that VR content is exclusive to dedicated VR headsets, it can actually be accessed on any device, offering varying levels of immersion. For instance, at Immersion VR, we produce tourism VR content that can be explored by clicking or swiping across the video to view the entire 360-degree environment.

Virtual reality (VR) has revolutionized the tourism industry by offering immersive experiences that transcend physical limitations. From virtual tours of destinations to interactive cultural explorations, VR enhances travel planning and fosters global connectivity.

1. Immersive Destination Experience

Virtual reality (VR) offers a unique and immersive way for users to experience travel destinations without physically being there. By transporting users to different locations, VR allows them to vividly imagine themselves at a travel destination, fostering a sense of connection and anticipation.

2. Detailed Destination Showcase

One of the key advantages of VR in tourism is its ability to showcase destinations in stunning detail. Through high-resolution, 360-degree views, users can explore every angle of a destination, providing them with a comprehensive understanding of what it has to offer.

3. Flexible Exploration

Moreover, VR empowers users to navigate and explore scenes at their own pace and according to their preferences. This flexibility enhances the user experience, allowing individuals to tailor their virtual journey to their interests and desires.

4. Memorable Interactions

In addition to offering immersive experiences, VR in tourism creates memorable and unique interactions for users. By simulating real-world environments and activities, VR can evoke strong emotions and leave a lasting impression on users, making their virtual travel experiences truly unforgettable.

5. Innovative Brand Engagement

From a marketing perspective, VR enables travel companies to differentiate themselves and engage with consumers in innovative ways. By leveraging VR technology, companies can create distinctive brand experiences that capture the attention of potential travelers and set themselves apart from competitors.

6. Accessibility Enhancement

Furthermore, VR has the potential to make travel accessible to individuals who may face limitations or barriers to traditional forms of tourism. Whether due to physical disabilities, financial constraints, or other reasons, VR can provide these individuals with the opportunity to explore destinations and cultures from the comfort of their own surroundings.

7. Sustainability Contribution

Importantly, VR in tourism can also contribute to sustainable travel practices by reducing the environmental impact of traditional tourism activities. By offering virtual alternatives to physical travel, VR can help minimize overcrowding and mitigate the negative effects of tourism on vulnerable destinations and ecosystems.

Virtual reality (VR) travel trends have surged in popularity, with travel companies actively offering immersive VR experiences to their customers. These experiences often include simulated journeys to various destinations, allowing users to explore different places from the comfort of their own homes.

1. VR Travel Experiences by Travel Companies

2. virtual hotel tours by travel companies and hotels.

Both travel companies and hotels are increasingly providing virtual tours of their accommodations, giving potential guests a detailed preview of their facilities and amenities before making a booking decision.

3. Technologies to Make VR Travel More Realistic

To enhance the realism of VR travel, ongoing advancements in technology are being implemented. These innovations aim to replicate the sights, sounds, and even sensations of being in a particular location, thus providing users with a more authentic and immersive experience.

4. VR Travel Experiences for the Elderly

Recognizing the potential of VR technology to cater to diverse demographics, there is a growing focus on creating VR travel experiences specifically tailored to the elderly population. These experiences are designed to cater to the unique needs and preferences of older individuals, offering them opportunities to virtually explore destinations they may not have been able to visit physically.

5. VR Flight Experiences

VR flight experiences have gained traction as a novel way for users to virtually experience air travel. These simulations allow users to immerse themselves in the entire flight process, from boarding to landing, providing a realistic portrayal of the flying experience without leaving the ground.

6. Virtual Experiences of Landmark Destinations

Another popular trend in VR travel is the creation of virtual experiences of landmark destinations. Users can virtually visit iconic landmarks and tourist attractions worldwide, gaining insights into their history, significance, and architectural marvels through immersive VR environments.

7. Virtual Booking Interface

Moreover, the development of virtual booking interfaces simplifies the process of planning and booking travel experiences within the VR environment. These interfaces enable users to browse destinations, view accommodations, and make bookings seamlessly, all within the immersive VR environment, enhancing the overall convenience and accessibility of VR travel.

Virtual reality (VR) is revolutionizing tourism by offering immersive experiences that allow travelers to explore destinations, engage in cultural activities, and preview accommodations, enhancing trip planning and the overall tourist experience. Here are some of the use cases

1. Virtual Destination Exploration

Through virtual reality (VR), prospective tourists can engage in comprehensive exploration of various destinations. This technology offers detailed virtual tours of landmarks, museums, or natural wonders, presenting a 360-degree immersive experience. By virtually visiting these locations, travelers can gather information, assess the appeal of destinations, and plan their trips more effectively.

2. Virtual Travel Experiences

VR technology transports users into diverse travel experiences, from iconic activities like riding a gondola in Venice to adventurous endeavors like hiking through a rainforest or even encountering wildlife like swimming with dolphins. These simulated adventures provide travelers with a taste of different cultures and environments, sparking their interest in exploring new destinations and embarking on unique experiences.

3. Virtual Hotel and Accommodation Tours

Hotels and resorts leverage VR to offer detailed virtual tours of their accommodations. Prospective guests can virtually explore various room types, amenities, and facilities, gaining a realistic sense of the lodging options available. This immersive experience empowers travelers to make well-informed decisions about their accommodations, leading to increased bookings for hospitality businesses.

4. Virtual Historical Reconstructions

VR technology enables the recreation of historical sites and events, providing tourists with immersive experiences of significant moments in history. By virtually stepping into the past, visitors can gain a deeper understanding of historical contexts, civilizations, and cultures. These immersive reconstructions enrich educational tourism, offering insights into diverse historical periods and fostering cultural appreciation.

5. Virtual Cultural Immersion

Cultural institutions and tourism organizations utilize VR to offer immersive cultural experiences to audiences worldwide. Through virtual platforms, users can participate in virtual festivals, ceremonies, or cultural performances, immersing themselves in the traditions and customs of different societies. This virtual cultural immersion fosters cross-cultural understanding and appreciation, promoting cultural exchange and dialogue.

6. Virtual Reality Travel Agencies

Modern travel agencies integrate VR technology into their services, offering virtual consultations and immersive presentations to clients. Through VR platforms, travelers can preview destinations, activities, and accommodations in a highly immersive manner. These virtual experiences enhance the booking process, enabling travelers to make informed decisions and tailor their travel experiences according to their preferences.

7. Virtual Tour Guide Services

VR-based tour guide services provide personalized, immersive tours led by virtual guides. Travelers can interact with these virtual guides, who offer informative commentary, historical facts, and navigation assistance throughout the virtual tour. This interactive experience enhances the overall tourist experience, providing travelers with insightful guidance and enriching their exploration of destinations.

Discover the world from the comfort of your home with virtual reality tourism. Explore stunning destinations like the Faroe Islands, Bristol, Dubai, and the Great Barrier Reef in immersive experiences

1. The Faroe Islands

Situated off the coast of Iceland, the Faroe Islands are a picturesque group of islands. With the onset of the COVID-19 pandemic, the Faroe Islands introduced a virtual tourism campaign as an alternative to physical travel. This initiative proved to be a boon for individuals worldwide who were confined due to isolation measures. It allows virtual visitors to explore the islands through the perspective of a local, offering real-time tracking of local activities.

2. Bristol From Home

In response to the pandemic, Visit Bristol developed an immersive virtual experience called Bristol From Home, mirroring the Faroe Islands’ approach. This platform compiles various attractions, activities, and resources that travelers can enjoy from the comfort of their homes during social distancing. The website offers an array of virtual tours, including visits to a luxury Victorian ship, virtual hot-air balloon rides, gin tastings, and more, providing a comprehensive virtual exploration of Bristol’s offerings.

3. Dubai 360: A Virtual Tour of Dubai

Dubai 360 offers an immersive virtual tourism experience showcasing the awe-inspiring architecture of Dubai. This platform allows users to navigate the city from a bird’s-eye view, providing comprehensive information about its diverse attractions and landmarks.

4. The Great Barrier Reef

Virtual tourism is also available for the Great Barrier Reef, offering an interactive journey hosted by renowned broadcaster and historian David Attenborough. This virtual experience provides viewers with a comprehensive tour of the world’s largest coral reef system. It serves as more than just a substitute for physical tours of the Great Barrier Reef, offering a unique and versatile exploration of this natural wonder.

Developing a VR app for the virtual travel industry involves a blend of technical expertise, creative design, and a deep understanding of user experience. Below are non-generic steps to guide you through the process:

1. Market Research and Conceptualization

Identify your target audience within the virtual travel industry, such as adventure seekers, travel enthusiasts, or those with limited mobility. Understand the current market trends by analyzing existing VR travel apps and identifying potential gaps or opportunities for innovation.  

2. Define User Experience (UX) and User Interface (UI):

Develop user personas based on thorough research to understand your target audience’s demographics, behaviors, and preferences. Tailor the UX/UI design accordingly to ensure a seamless and immersive experience for users navigating the virtual travel app. Create wireframes and mockups to visualize the app’s layout, navigation flow, and overall look, prioritizing intuitive controls and seamless transitions to enhance user immersion and comfort within the virtual environment.

3. Choose VR Development Tools and Platforms

Select appropriate VR development platforms based on your target VR devices, considering factors such as Oculus Rift, HTC Vive, PlayStation VR, or mobile VR platforms like Oculus Quest. Utilize game engines like Unity or Unreal Engine known for their VR capabilities, along with VR-specific SDKs and frameworks. Consider compatibility with additional peripherals like motion controllers or haptic feedback devices to enhance user interaction and immersion within the virtual travel experiences.

4. Content Creation and Integration

Curate high-quality 360-degree videos or immersive VR environments showcasing various travel destinations. Utilize photogrammetry techniques to create realistic 3D models of landmarks, cities, or natural landscapes. Integrate interactive elements such as informational hotspots, guided tours, or mini-games to engage users during their virtual travel experiences, ensuring that the content is both captivating and informative for users exploring different destinations within the app.

5. Implement Social and Sharing Features

Enable multiplayer functionality to allow users to explore virtual destinations together or share experiences in real-time, fostering social interactions within the virtual travel app. Integrate social media sharing options to enable users to share snapshots or videos of their virtual travels with friends and family, expanding the app’s reach and user engagement.  

6. Optimize Performance and Accessibility

Optimize graphics rendering and resource management to ensure smooth performance across different VR hardware specifications, providing users with a seamless and immersive experience regardless of their device. Implement accessibility features such as adjustable text sizes, voice commands, or alternative control schemes to accommodate users with disabilities, ensuring that the app is inclusive and accessible to all users.  

7. Monetization and Business Model

Explore various monetization strategies such as premium app purchases, subscription models, in-app purchases for virtual souvenirs or upgrades, or sponsored content partnerships with travel brands. Consider offering a freemium model with basic features accessible for free and premium content or experiences available through in-app purchases or subscription tiers, providing users with flexibility and choice in how they access and enjoy the virtual travel app’s offerings.

8. Launch, Marketing, and User Feedback

Plan a strategic launch campaign targeting VR enthusiasts, travel communities, and tech media outlets to generate buzz and excitement around the virtual travel app. Gather user feedback through beta testing phases, user surveys, and app analytics to iteratively improve the app’s features and performance post-launch, ensuring that it meets the evolving needs and expectations of its users.  

Developing a VR-based travel app involves several cost-affecting factors that need careful consideration. Each of these elements contributes to the overall expense of creating the app, and it’s essential to allocate resources accordingly to ensure a high-quality product.

1. Development Cost

The development of a VR-based travel app involves several cost factors, including software development, UI/UX design, and testing. Allocating resources effectively in this phase ensures the creation of a high-quality product that meets user expectations.

2. Content Creation Cost

A crucial aspect of VR travel apps is content creation, which includes producing 360-degree videos and virtual tours. Quality and quantity of content directly impact user engagement, necessitating thorough budgeting to ensure immersive experiences.

3. Integration with VR Hardware

Ensuring compatibility with various VR devices and platforms adds complexity to development and may incur additional expenses. Seamless integration and optimal performance across hardware configurations are essential for a consistent user experience which can be easily done by hiring VR developers .

4. Marketing and Promotion

Effective marketing campaigns, advertising, and promotional activities are vital for garnering visibility and attracting users. Strategic budget allocation in this area significantly impacts user acquisition and retention, contributing to the app’s success.

5. Maintenance and Updates

Regular maintenance, bug fixes, feature enhancements, and software updates are essential for sustaining the app’s functionality and relevance. Budgeting for ongoing maintenance tasks ensures the app remains secure and up-to-date with evolving technologies and user preferences.

Know more about the cost of VR app development in detail with this ultimate guide.

Here is detailed breakdown of estimated cost to develop a VR powered travel app:

$80,000 – $100,000
$45,000 – $50,000
$15,000- $20,000
$25,000 – 30,000
$10,000 – $15,000

Developing a virtual reality (VR) based virtual travel app requires careful consideration of various technologies to ensure a seamless and immersive user experience. Here’s a suggested tech stack you can consider:

1. Unity or Unreal Engine

These are popular game engines commonly used for developing VR applications. Both engines support VR development and offer robust tools and features for creating immersive environments.

2. VR Headsets

Determine which VR platforms you want to target and choose the appropriate headsets. Common options include Oculus Rift, HTC Vive, Oculus Quest, and Valve Index. Each has its SDK and development requirements.

3. 3D Modeling and Animation Software

Tools like Blender, Autodesk Maya, or Cinema 4D are essential for creating 3D models, environments, and animations for your VR travel app.

4. Programming Languages

Depending on the game engine chosen, you’ll need to be familiar with programming languages such as C# for Unity or C++ for Unreal Engine.

Utilize VR software development kits (SDKs) provided by headset manufacturers like Oculus SDK, SteamVR SDK, or OpenVR for integrating VR-specific features into your app.

6. Spatial Audio Libraries

Implement spatial audio to enhance the immersive experience. Libraries like Google Resonance Audio or Oculus Spatializer can help achieve realistic audio effects.

7. Networking

If you want to include multiplayer or social features in your app, you’ll need networking capabilities. Libraries like Photon Unity Networking (PUN) or Mirror can facilitate multiplayer functionality.

8. Backend Development

For user authentication, data storage, and content management, you may need a backend server. Technologies like Node.js, Django, or Firebase can be used for backend development.

9. Cloud Services

Consider cloud services like AWS or Azure for hosting your backend infrastructure and managing scalability and performance.

10. UI/UX Design Tools

Design intuitive user interfaces and user experiences using tools like Adobe XD, Sketch, or Figma. VR-specific considerations such as user comfort and interaction design are crucial.

11. Analytics and Monitoring

Integrate analytics tools like Google Analytics or Firebase Analytics to track user behavior, engagement, and performance metrics within your VR app.

12. Testing Tools

Ensure the quality of your VR app with testing tools like Unity Test Framework, Oculus Performance Profiler, or SteamVR Performance Test to optimize performance and identify bugs.

13. Security

Implement security measures to protect user data and ensure a secure VR experience. Consider encryption, secure authentication methods, and compliance with data protection regulations.

14. Deployment Platforms

Decide where you want to distribute your VR app. Options include app stores like Oculus Store, SteamVR, or standalone distribution platforms if you’re targeting enterprise users.

Virtual tours offer a promising avenue for diversifying tourism, they provide an accessible option for individuals who may lack the resources, finances, or time to engage in traditional travel experiences.  

Moreover, virtual tours present a cost-effective way to showcase tourist destinations to both local and central governments, requiring advancements in technology such as 360-degree software, virtual reality (VR), and panoramic imaging. 

The evolution of these technologies has enabled the creation of immersive 3D virtual tours, enhancing their realism and appeal.

By leveraging these technological advancements, virtual tours can serve as compelling previews that encourage physical visits to tourist attractions, bridging the gap between virtual and in-person experiences.

We specialize in creating advanced AI solutions and are skilled in developing VR-based virtual travel applications. 

Our talented team of developers and engineers is ready to use cutting-edge technology to create a flawless and immersive virtual travel experience. 

We’re available to work together on anything from developing the initial idea to executing the final deployment. Contact us today by using the button below to begin your VR app development journey.

Hire ex-FANG developers, with combined 50000+ coding hours experience

virtual tourism business plan

Hire Ex - developers, with combined 50000+ coding hours experience

100% developer skill guarantee; or your money back., q. how can vr technology benefit tourism business.

A. Virtual Reality offers immersive experiences that can showcase your destinations, accommodations, and activities in a way that traditional media cannot. It allows potential customers to virtually explore your offerings, increasing engagement and driving bookings.

Q. What are the key use cases of VR in the tourism industry?

A. VR can be used for virtual tours of hotels, resorts, and attractions, providing potential guests with a realistic preview of their experience. It’s also valuable for destination marketing, allowing travelers to virtually explore destinations before making travel decisions. Additionally, VR experiences can enhance travel agency presentations and trade show exhibits, offering a unique and memorable way to showcase destinations.

Q. How difficult is it to integrate VR into existing business operations?

A. Integrating VR into your business can vary in complexity depending on your specific needs and resources. There are off-the-shelf VR solutions available for creating virtual tours and experiences, which can be relatively easy to implement with the right guidance. However, for more customized VR experiences, you may need to work with VR developers or agencies to create content tailored to your business.

Q. Will investing in VR technology provide a good return on investment (ROI) for my tourism business?

A. While the initial investment in VR technology may seem significant, it can lead to long-term benefits such as increased bookings, improved customer engagement, and enhanced brand reputation. By offering immersive experiences that differentiate your business from competitors, VR has the potential to attract more customers and generate higher revenue over time.

Q. How can VR experiences enhance customer satisfaction and loyalty?

A. VR experiences can provide customers with a realistic preview of their travel experiences, helping to manage their expectations and reduce the likelihood of disappointment upon arrival. By offering immersive and interactive content, you can also create memorable experiences that increase customer satisfaction and encourage repeat visits or referrals.

Q. Are there any limitations or challenges associated with implementing VR in the tourism industry?

A. While VR technology offers many benefits, there are some challenges to consider, such as the initial cost of equipment and content creation, technical requirements for hosting VR experiences, and ensuring accessibility for all users. Additionally, VR experiences may not fully replicate the sensory richness of real-world travel, so it’s important to manage customer expectations and supplement VR with other marketing efforts.

Related posts:

  • How to Create a 360 VR App for Tourism in 2023
  • How is augmented reality reshaping the travel and tourism industry?
  • AR Apps in Travel and Tourism: Everything You Need to Know
  • Top 10 Metaverse Use Cases and Benefits
  • Exploring the Impact of AI on the Future of Tourism
  • VR in Real Estate – Benefits and Use Cases

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Gaurav Patil

Gaurav Patil

Loves to explore the latest tech trends in the market. I feel motivated to write topics on Mobile Apps, Artificial Intelligence, Blockchains, especially Cryptos. You can find my words engaging and easier to understand, which makes content more entertaining and informative at the same time.

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360 Rumors

How To Start A Virtual Tour Business and Get Your First Clients

How to start a virtual tour business and get your first clients

If you are looking to jump into the virtual tour business market (and start making real money with your 360 camera) then this is the perfect article for you.

virtual tourism business plan

So let’s get started…

Turning Your 360 Camera Into A Revenue Machine

It is nice to have some extra money in the bank. Whether you are looking to rack in some extra cash for your rent, or you own a digital media company and want to add 30% revenue this year to help scale (for the advanced), this article will help you bring in consistent new leads every single week into your business.

Here is what we are going to cover… -> Section 1: The 3 Pillars Of Your Virtual Tour Business -> Section 2: The Expert Provider Mindset -> Section 3: How To Determine What Is  Really  Important To Your Clients -> Section 4: How To Pick A Niche (Hint: Follow The Money) -> Section 5: How To Acquire Your First 30 Customers -> Section 6: How To Price Your Service -> Section 7: How To Deliver Quickly And Get Paid -> Section 8: How To Scale And Grow

The 3 Things You Need To Start A Virtual Tour Company

virtual tourism business plan

When you are starting your virtual tour business, there are only 3 things you need. Hardware ( 360 camera and accessories ), virtual tour software you can private label (like CloudPano.com ) and paying clients. This article is focused on creating consistent paying clients into your business. Because without leads and clients, you won’t have a business. No matter how fancy the camera or smooth the software. You need more leads and more paying customers.

The Virtual Tour Entrepreneur – What It Really Takes

360 cameras and virtual tours are an incredible technology.  But before we get off into the tools and tech, I want to discuss your approach to business and entrepreneurship. Because if you miss this aspect of business, you will struggle every single day.  So please if you write down only one thing from this article, have it be this…

“Align With Your Clients Goals By Solving Their Pains and Problems ”

Business is very simple. People have problems and pains that are blocking them from reaching their goals. If you can help them overcome those problems, or solve those pains, money will attract itself to you. This is true in every business scenario. You will notice this trend with successful entrepreneurs. Compared to the struggling newbie who never makes it. If you focus your time and attention on understanding and solving your clients needs, you will naturally and easily make money…. Rather than focusing on your tools, your tech, your experience, yourself …you will struggle.

For example, read the example table below for the correct mindset as a service provider.

Successful Virtual Tour Provider vs. Struggling Virtual Tour Provider

Real Estate Agent I help you acquire large luxury listings and sell property faster I shoot 360 tours of houses
Apartment Property Manager I help you reach 97% occupancy sooner I create 360 floorplans
College or University Increase application rates guaranteed I can photograph a virtual tour of your college
Small Business I help increase leads into your store front I can place a virtual tour on google

I think you get it…

It’s a natural human instinct to focus on oneself. And you are going to use this instinct to help you sell more virtual tours. But your first step is to know your client’s goals… And remember don’t assume you know their goals. Ask .

How To Reveal What’s Important To Your Clients (So you can align your value with their goals)

Here are some example questions you can ask a client to help reveal their goals: -> “How is business this year and how can it improve?”

This question helps you understand what they think about 80% of their day. This will reveal pains and problems. Which you will solve (for a fee). Plus the answers you receive should inspire your entrepreneur mind with ideas. This is the process for framing your solution to solve their problems. -> “What are your current objectives?” or “What is the goal of your marketing?” -> Based on their answer ask a deeper question: “What would that mean for you individually?”

Script Example Niche: Property Manager Of A 300 Unit Apartment

<begin script>

You: “Hey I was wondering what your occupancy looks like and how we can help? Where is it currently and what is the goal?”

Property manager: “Well we are at about 92% occupancy and our goal is 97%”

Me: “Oh really?  Your goal is not 100% Occupancy?”

Property manager: “If we hit 100% occupancy, then we need to increase our prices!”

Me: “Haha! Well one way to raise your prices is to market floor plans in 360 / Virtual Reality. Here is an example demo and even a VR headset to play with…” (hands over CloudPano.com demo)

Property manager: “Now this is cool…”

Me: “Yep we specialize in making these for apartment complexes and multi family luxury assets.” Property manager: “How much does it cost?”

<end script>

You see how I used their answer to pitch them on my service? This approach builds massive rapport and trust with your prospective client. And it works in every sales scenario, not only virtual tours.

This is how you charge high prices and build a business that makes major impact.

How To Pick Your First Niche

Now that you know exactly how to align yourself with your clients needs (and have a sales conversation), you need pick one niche to target. The most successful virtual tour providers start with one niche, then branch off after they have mastered their first niche. I know what you are thinking “Zach, I can make virtual tours for anyone , why would I pick only one niche?” Because you need to align your messaging and your pricing with your customers needs. This will allow you to work on your marketing quickly and keep your quotes clean. That is how you build a system that continues to produce income without you constantly creating custom quotes for every request. And this approach will help you later when you hire and scale. You need to think big!

Action Step: Create a simple spreadsheet with some basic research items. Include the name of your niche, local market size, approximate budget etc. Here is an example you can use. Market Research Example: https://docs.google.com/spreadsheets/d/1auDQxg_qrldYnpWeIbtoCXi90Ew92h63DRpVwkQ1-bg/edit?usp=sharing

(make sure to select File > make a copy )

For example:

virtual tourism business plan

When you make this list, you can start to get a feel for your local market. I live in Houston Texas. So I have a huge market for almost every category. Don’t try and go after everyone at once. But prepare you mind for a consistent marketing strategy that is highly targeted. Then make sure to focus on choosing a niche that pays well. A simple shift of focus can increase our income by 4x. You should only spend a few days doing your research. Its ok to guess on some numbers. Get a general idea and move forward to selling. If you are not sure. Just pick one! You can always change later.

Presell Your Niche (On The Phone or In Person)

Start with your close network. Reach out to a few niches you have access to. It can be through friends or your current network. Call them on the phone and tell them what you are doing. Ask them similar questions about their problems. Then pitch them on coming to location and creating a virtual tour. You will quickly hear the level of excitement and possible objections. Mark down notes including their feedback. When you make a connection with a niche who understands your service and grasp the value quickly, good you are on track.

Important:  Getting on the phone with prospects helps you understand you market fast. When you are first starting you need to  hear their voice. 

It is also important to write down a rough calculation of the customer’s value. For example, if your chosen niche receives monthly recurring revenue, then they are more likely to pay you monthly recurring revenue for “hosting.” This increases the lifetime value of your customer and makes them much more attractive to target.

For example, if you target local property management companies with large apartment portfolios, you will have access to multi family money. And if you position your service as a “Luxury Digital Media Company,” you will be able to pitch larger clients. The math works in your favor when you target a large customer. Yes, this will take some work and experience. But if you set your targets high, you will be surprised how quickly you can gain traction.

My First Presale – How You Can Acquire Your First 30 Customers

virtual tourism business plan

This is a picture of me pitching a room full of real estate agents

I have a confession, at this point in my journey I had zero customers , and no camera . I pitched the room on the service, how it worked and what to expect. I had a single pano 360 demo (it wasn’t even a working virtual tour). I handed out on my phone with the demo. I was able to gauge a response right away. Then I handed out a simple signup sheet that said “I want a 360 tour” and I offered a special discount “One time offer” if you signed up today.

Guess what? 15 people signed up. It was a 50% conversion rate.

I still have a photo of that first signup sheet.

The signup sheet (redacted)

Its was amazing! I ran off to Best Buy and bought a 360 camera, called these people and started to shoot virtual tours.

You can do this too. If you think outside the box and start to take action, you will quickly find folks to ‘raise their hand’ with interest in your virtual tour business.

Maybe it’s time to stop thinking about which camera to buy and start to pitch clients. When they say yes, your camera becomes pre-paid and your startup cost become tiny. Cool right!? Take some action today and see what happens.

How To Price Your 360 Virtual Tour Service

The number 1 question I receive from users on CloudPano.com, is “How much do I charge?” Of course my answer is, it depends. I think the answer depends on your market selection more than your experience.

Every time you market to a new client, expect to negotiate on price. If the client is a referral (my favorite type) then do not give them any discount for their first virtual tour. They will already have a level of trust from their contact.

Here is a sample pricing sheet we give out to our users:

virtual tourism business plan

Free Guide: Pricing Secrets Of 360 Virtual Tour Pros – Click Here

When you determine pricing, you can always start low and ramp it up as you pitch more people. Try to deliver pricing in person or over the phone. Watch their face and reaction. If they are totally fine with what you say (no flinching), you should pick a higher price. If they freak out, you can discuss a “discount” only “if they refer you” to 2 more clients. Remember, if you are having a pricing conversation, they want to buy . Ask for the sale, make sure to follow up and always be closing.

How To Deliver Quickly And Get Paid

One of my favorite aspects about shooting virtual tours is the speed of creation. You can photograph a 2000 square foot house in 15 minutes. And when you upload the files to CloudPano.com you can create a virtual tour in less than 5 minutes. Send over a link to your client, followed by an invoice and get paid fast. I have used Paypal for years to send out invoices and receive payments. You can create a business account and quickly get users to pay you (its free to create an account). Getting paid is so important, and you don’t need to waste time calling people about money. Just click ‘send a reminder.’ And Paypal will send an email reminder to your clients. Also you can integrate a papal link right on your website that accepts payments through your shopping cart. Its easy to use and its free to sign up. And of course, if possible get paid in advance!

How To Scale Your Virtual Tour Business

When you first start your local virtual tour business, you take over every role in the business. See example flow of a lead:

virtual tourism business plan

(You are in blue)

You are responsible for all the touch points for your service delivery. This is totally normal. And you will feel this quickly when you start to get lots of work and projects booked.

Your goal is to replace yourself from the equation. As the company CEO, you will need to oversee each activity in your business. This way you can focus on company growth. Here is how your business will look:

virtual tourism business plan

You are the CEO.

Take on the proper role as the business owner and CEO. This will allow for you to optimize each step in your customers experience. When you reach this level of optimization, you will find yourself thinking big and only participating in the activities that you love.

Hiring Help – The Fast Way To Free Your Time

When I first started a virtual tour business, the first thing I did was hire someone to help me shoot locations. He was a high school kid named Patrick and he was home schooled (he had free time). He needed some extra cash before he went off to college. He was easy to work with and I was able to teach him the tech in one hour. It was the perfect fit. Having someone you can source opens your schedule and allows you to accept more gigs and projects as they come through the pipeline. Your future goal is to have 2 people on your team to schedule at any time. As projects come in, you can book them to location.

How To Find Your First Hire

Your first hire will be a unique story. Here is mine (feel free to use the same process)…

I saw a post on Next Door (the neighborhood app) where Patrick was shooting drone photos. I called him up and asked him if wanted to help me with my virtual tour start up. I trained him on location and started to send him out without me.

If you are just started out, this may seem silly. But when you have other established businesses (like me), time becomes your prized asset. When you learn the workflow and understand the tech, all you need is someone to take the photos for you. If they can press a button, they can create a virtual tour. You can set up the systems (like CloudPano.com) and establish a client network. Once you feel ready, hire your first young lad to help you (and pay them hourly). You will quickly be able to focus on sales, marketing, advertising and growth. Removing yourself from photographing the virtual tours may sound crazy or far away in your journey. Don’t think this way. You can quickly convert your virtual tour business into an asset. And that is the level of thinking we cultivate at CloudPano.com.

How To Get Started Today

The key to success is business is to take action. If you try to learn every tool, camera, tech and software you will get lost and feel overwhelmed. Just pick a niche and start selling. You may fall flat on your face. But you will learn along the way. If you would like to find more sales minding entrepreneurs and you are ready to take your virtual tour business to the next level, check out CloudPano.com .

Editor’s note: You can get a $100 discount on the lifetime access plan with this affiliate link.  Thank you for supporting 360 Rumors.

Here is a list of free resources to help you in your journey:

1) Check out the CloudPano blog –   blog.cloudpano.com

2) Subscribe to the Virtual Tour Profit YouTube channel here – Click Here

3) Free Guide: Pricing Secrets Of 360 Virtual Tour Pros – Click Here

4) Free Download: The Top 5 Most Profitable Virtual Tour Niches – Click Here 5) Join our virtual tour marketing Facebook group – Virtual Tour Profit – Click Here

And of course, check out our world class 360 Virtual Tour Software platform built for the virtual tour entrepreneur, just like you: CloudPano.com

Thanks for reading! I will see you on the inside.

Zach Calhoon

Co Founder at CloudPano.com

virtual tourism business plan

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Thanks for letting me share! Let me know if you guys have any start up questions. I would love to help. 🙂

thanks Zach!

Hi Zach. Your post is very valuable and it helps a lot to understand basics. Just wondering if your system still working nowadays and I heard that Real estate agencies are not really willing to spend money on anything like videos or virtual/360 photos,they just don’t care about that. Their clients need to come in and see property live anyway, so no difference between ordinary photo gallery and virtual tour on their website. What is your thoughts about that? Do you still working with Real Estate clients? Thanks in advance Rafal

Great question Rafal!

Anyone, who will try to have business with Real Estate agents, need to make own experience, in his own country, with the mentality and rules of his country. But – due to my own experiences – it is not as easy as Zach wrote, if you are a serious business partner. And: Don´t underrate the time and effort you need for acquisition!

Some of my own experiences: In Germany it is hard to find estate brokers, who are willing to spend a few hundred Euro for pictures or for a 360tour. I am a prof. (“fulltime”) 360-photographer since 2010 and have made very different and really all kind of experiences.

In Mallorca (Spain), there are a few brokers, that sell big houses/villas. We had a job to create around 20 “high-end” tours. After 3 Month, 2 of those 20 houses where selled via this 360°-web presentation. Those 2 buyers where not in the houses, they decided to buy, by “inspecting” the vr tour only! – Full success! So the broker´s cost of around 20.000Euro (for the 20 vr-tours) are fully earned by selling the first house. Math: 1% from the selling price of 2 million € ? And the broker receives a little bit more than 1% ! And those villas are in the range of 2 up to 20 million € ! (Hint: You cannot produce high-end tours with a 360-oneshot camera!)

One more experience: In 2012/2013 I tried to establish 360tours for local real estate brokers and made dates with more than 30 R.E. brokers. I did nice presentations, offered my services – very similar to the very good tips that Zach gave! – but finally there have been only 2 with a serious interst. Those 2 gave me 4 jobs to take 360-tours. Math: 6 weeks intense marketing plus 4 days photographic and retouching work for an income of around 1600.-Euro.. Not enough for 7 weeks and for having living expenses in an expensive city like Munich.

What I want to say: See the first 3 sentences again 😉

Thanks buddy!

Hey dude. Yes I agree 100%. I think real estate is a great place to start. But over time you need to move to commercial properties and business owners. This way you can charge more, speak directly to the owner and even charge monthly. RE is a tough market because (here in Houston) everyone is a realtor. But only a few are real producers. If I were you I would pick a weird niche, like storage units or RV parks, and start to market to them. Get feedback. Get on location then up-sell with “advanced features” like the CloudPano Lead generation feature. Then send leads to the end user automatically. Just an idea. Nothing comes easy at first, but overtime the messaging becomes the same. Find the pain and remove the pain with your service/product. Good luck!

Zach shows some good marketing and acquisition tips, but there are more important components, for which at least small hints should be given.

Because as simple as Zach describes it here, it certainly isn’t. But his strategy is of course well suited to find potential customers for his product!

To be successful as a professional tour creator and panorama photographer you need to take care of these additional points: – professional appearance – tax correct working “VAT/Tax returns/Tax office (most need a tax consultant) – Legally secure contracts plus general terms and conditions – commercial registrations (depending on local regulations) – Liability insurance – this can also be mandatory, but is always useful (depending on local regulations). – Further or other regulations may be required depending on the country. – … etc.

I have understood Zach in such a way that one can go immediately without experience, without founded knowledge, without “everything” – even without camera – on customer catch…

Exactly this would be in my eyes, the most unprofessionell kind, to start a respectable! business.

But – of course – I wish anyone the best and hope that the 360 VR market still grows, so let´s go ahead!

Thanks D. Lukas.

@D.Lukas. Hey there thanks for your comment. Here is my comments based on your bullets: “-professional appearance” I am wearing a suite for the presentation. In general I would agree. But I have seen no correlation with clothes and conversion rate. – tax correct working “VAT/Tax returns/Tax office (most need a tax consultant) In Texas we collect a 8.25% tax. But filing your taxes is a separate post all together. I have a guy who does my taxes, so again its easy and not important at this level of an article (getting started). – Legally secure contracts plus general terms and conditions In Texas, a handshake deal is a binding contract. If you are starting small, you do not need any formal contracts to get started. “Payment upon completion.” Is all you need to ask up front. 🙂 – commercial registrations (depending on local regulations) Not needed here. I cant give any comments. – Liability insurance – this can also be mandatory, but is always useful (depending on local regulations). This can be needed for large clients. But not needed to get started. Just have someone with you at all times. (In my opinion) – Further or other regulations may be required depending on the country. Yea I guess that is true. But this should not stop you from taking action

Overall, you need to take action. And some things you have to learn as you go. And thats OKAY! To try and sit down and write up all the requirements will freeze you. And I promise, if you freeze up at the beginning, you will never get started. So follow this one rule, TAKE ACTION. Figure it out as you go. 🙂

Hi Zach, thanks for taking time to answer and toprecise some points!

Let me precise also, but before, just some general words: 1. Please dont feel attacked in any way, I just want to give more hints and give some attention to other importand points that I really missed in your article. Especially, when I wrote, that you want to find customers for your product. This is true and you have to find customers for your business – but of course its not reprobate in any kind. 2. Also, I dont want to start a big discussion here, but – as I said – simply point to some more important things. 3. Therefore the following points should not enrage you – and hopyfully no others – couse my aim is to be contructive, not obstructiv. 4. As I am not a native english speaker, some of my used words could be not precise enought, to give the sense that I wanted to tell…so forgive me, if any confusing phrases could arise… OK, so let´s try it more detailed:

“-professional appearance” — wearing a suite is not what I meant. An “overall public appearance” could be the better phrase. This should include all business things, website, business cards, emails, general professionel behaviour in ALL things someone does as an entrepreneur, because you should not act like the “hobby-photographer”, that “works off the books”…

“Tax office/authorities” — On this point plus the last point (“Further regulations may be required…”) I want to make the readers sensitive for all possible local bureaucratic obstacles…

“contracts/terms and conditions” — yes, a handshake deal is a binding contract in many countries, BUT: it´s worth almost nothing if it comes to a controversy with your client and you dont have a witness OR a written contract. Hint: Usually an email from your customer is a very helpful document, but there should be written all facts, relating to your services for that deal plus the clients o.k. for the price…

“commercial registrations” — Zach, also if not needed in Texas, it makes sense to give a hint, that people in other countries maybee do need to request some permissions and registrations at the local authorities… ( hey, YOU should be very happy, to have less bureaucracy, envy you! )

“Liability insurance” — It´s true, that with some big companies it´s mandatory, but let me give some of my own experience: If you have any kind of accidential incident and – lets say a very valuable – piece of art is broken because of you… If you have enough money to refund to your client, you dont need a “third party liability insurance”, but if you are in the same situation as most people, you should think of such an insurance…. Furthermore, if we go in deeper details, there are much more aspects, a selfemployed photographer should learn, to be able to avoid problems and expensive written warnings from lawers, but this is to deep, to discuss here. (all kind of copyright rules, trademark rights, property rights, and so on…)

“Overall, you need to take action…” Zach, I agree. But if one does want to appear as a trustworthy business partner, there are more things neccessery, than simply “to start now, only with nice words in your bag” (and without reasonable preparations…)

As a fact: Many companies (especially the very small ones) become insolvent, because they did not prepare enough on such points, OR could not deliver consistent quality just in time (due to the agreements). I now very well how annoying it is, to be always on the legal side, in terms of taxes and business-regulations and all other bureaucracy! As a “creative” I hate such things (of ourse) – but I try hard to be on the “safe side”, and this is one more reason, why I still be able to exist with my small photographic-company, but many of my collegues lost her business over the last 10 years.

Yo, omg, what a long answer, sorry, I stop now!

Good Luck to anyone, who want to start with his own business!

I love your passion thanks for your comments. I also think its natural for us as humans to create barriers where there is none. I hope to inspire where I can. Keep up the hustle my friend!

Virtual tours give your audience a visual idea of how your business looks like before they even visit the actual location, and that makes for one big first impression what can be a deciding factor on whether or not they would like your service.

Brilliant, it’s like a mini-course in entrepreneurship.

Oh, also Zach I heard you speaking about event spaces and wedding venues. I’m thinking of getting into the same area, but from a few different angles: shooting them as a 360 photographer, becoming a preferred vendor and shooting weddings there, too, and eventually owning my own wedding venue from seeing what works and what people want.

Hit me up if you’re interested in the 3rd option, I’ve got my eye on some property down here in New Zealand =D

Thanks William!

“Hey I was wondering what your occupancy looks like and how we can help? Where is it currently and what is the goal?”

I know it is a normal approach for a salesman to figure out first what problems a customer has and then offer some solution to solve them. The only problem here is does it really work?

I cannot imagine somebody comes to my business… somebody I do not know… and starts asking something quoted above. I would just reply “as usual” and that’s probably will be the end of conversation.

It is very different from a situation when I as business owner calling some business that claims to solve my problems. I don’t even think I am comfortable to ask something like this from a person who does not know who I am.

Do they really so open minded that they are ready to drop a bucket on you with all their business problems as long as you ask them?

Will it be more practical and convincing to start with something “We can help you to increase your occupancy rates”? It seems to me more logical, you are not starting with poking your nose into somebody’s business and to be honest you know why you are offering a tour to hotel.

As for my approach and I have just started applying it now after more than a year in this business I do the following: I am nurturing one new local cafe with great interior in order to get a tour done for them. Its owners are young people and they are quite interested. It was going for about two month until I came to them yesterday and offered a free 30 days trial. That seems to change everything and we have a meeting tomorrow to discuss it.

So may be, consider that businesses you are targeting a)have no idea what you are offering and barely have time to listen b) simply do not trust your claims. All they see is a price tag and even if it is small it is still considered as a risk and a trust problem. When you remove a tag for some trial period that changes a lot for them as they see it as $0 investment trial and most will go for it. If you can cope it with an access to their analytics before and after the tour or simply run a free local SEO report you will get the most businesses on trial paying you after their trial period.

You do not need to offer a trial to everyone, you can have some selection criteria for businesses like floor plan size, type of a business. For big ones with a huge floor size you can offer to do a few facilities under your floor plan size selection criteria.

Hi Zach, one question for medium entry into this market what camera would you suggest?

hey dude. For cameras you are in the right place. Mic has a ton of reviews. The Z1 will perform well for you. Just get it.

You should be really careful offering people to use Theta cameras. I have had both Z1 and V and I could not work with the for outdoor tours because their Theta app is ruining location data from 5 meters accuracy to 50 m and more. That for the cameras being brand new out of the box so we cannot say I just got a faulty ones.

I even offered Mic Ty to check what location data he gets from his Z1 after he posted its review. Guys like Mike just making reviews for basic functions, resolution and HDR features of a new camera and never checking the most important parameter(a pano location data) I sold mine Thetas and I will never go back to Ricoh brand 360 cameras. Why? Because we(users) tried to make Ricoh aware of their bug in the Theta app directly through their support and through their mod on theta developers group. The guy(moderator) tried to help really hard and made even Ricoh engineers aware of the bug. The result was 0, Ricoh does not seem to care for as simple as just review their code with location data in the app and fix it. Why would I care of chasing them and get it fixed then. I only want to take a photo from my smartphone and get location data in it with an accuracy of smartphone GPS(3-5m). I do not want to spend hours looking for a pano placed 50 meters away and moving them to correct spot. I had a job with 320 x panoramas captured, It took me 6 hours to capture and 8 bloody hours just to place them where they belong. That’s 8 hours came from the problem caused by the Theta app and nothing else.

Now I use a Pilot Era, it does not screw up location. I take a picture, put it on the google map and it lands within 1-2 meters from an actual spot. No extra time to spend on any correction.

BTW, you can use Z1/V with Street View and location data will be ok but you will loose an ability to use their plugins and will have less control over some settings.

I’d love to know how you give proposals for properties.

Check out my upcoming post!

Hi Erica. I recommend checking out the Virtual Tour Profit System. https://360rumors.com/virtual-tour-profit/

I just attended your Webinar .. very exciting stuff and great information .. thank you! There is a video segment of F45 Gym .. and you talked about having done a virtual tour for one location. Where is that virtual tour? If a small business has a website already, how am I giving them the final product to add to their site? Am I just providing them with a link to where my tour is hosted and then their web designer is adding to the site?

Thanks Lisa. I’ll ask Zach to reply.

Can you please help me with my business plan? We have chosen Virtual Reality Tours, pls thank you

Hi Kaye. Congratulations on launching your business! This is the best time to start a virtual tour service. I recommend checking out Zach’s webinar here: https://360rumors.com/virtual-tour-profit/ Best regards, Mic

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virtual tourism business plan

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How to Create a Virtual Tour: A Beginner’s Guide

virtual tourism business plan

Creating a virtual tour is a great way to give your audience a feel for a space without being in person. It’s also great to showcase a property you’re selling or renting. Whether you’re looking to create a virtual tour for business or pleasure, there are a few things you’ll need to keep in mind. This beginner’s guide will show you how to create a virtual tour step by step.

What Is A Virtual Tour?

A virtual tour is a computer-generated simulation of a real place, often consisting of a series of still images or video clips. They are usually created to give people an idea of what it would be like to visit a certain location and can be used for educational and promotional purposes.

Creating a virtual tour can be daunting, but with the right tools and planning, it can be relatively easy. This guide will cover the basics of creating a virtual tour, including choosing your subject matter, setting up your camera, and creating the tour itself.

Choosing Your Subject Matter

The first step in creating a virtual tour is deciding what you want to include. This will largely be determined by your reason for making the tour and your audience. For example, creating a virtual tour for a school project will likely want to include different landmarks and points of interest than creating one for a travel website.

Once you know what you want to include, you need to choose a location. This can be anywhere in the world, although it is often easiest to start with somewhere close to home. Once you have chosen a location, start planning your route and note any specific landmarks or points of interest that you want to include.

Creating a virtual tour is a great way to give viewers a realistic, first-hand look at your business or vacation rental property. But how do you get started? In this beginner’s guide from Giga Works, we’ll show you how to create a virtual tour step by step, using the popular 360° video format.

What You’ll Need

To create a virtual tour, you’ll need:

A 360° camera: We recommend the Insta360 ONE X, an easy-to-use, all-in-one 360° camera that records 5.7K video and 18MP photos.

A tripod: A tripod is essential for keeping your camera steady and ensuring smooth, professional-looking footage.

Optional: A smartphone or tablet: You’ll need a smartphone or tablet to control the camera and stitch together your footage (more on that later).

Now that you have everything you need let’s get started!

Step 1: Find the Perfect Location

The first step in creating your virtual tour is finding the perfect location. This can be anywhere, but we recommend starting somewhere close to home. Once you’ve chosen a location, spend time walking around and brainstorming the best places to set up your camera.

Some things to keep in mind when choosing a location for your virtual tour:

Is there a lot of foot traffic? You’ll want to set up your camera where people are constantly moving so that viewers can sense the space and activity level.

Is the lighting good? You’ll want to ensure there is plenty of natural light so viewers can see everything.

Are there any interesting landmarks or points of interest nearby? These could be anything from a notable building to a scenic view. Including them in your virtual tour will give viewers a sense of the area and what it offers.

virtual tourism business plan

Step 2: Set Up Your Camera

Once you’ve found the perfect location, it’s time to set up your camera. If you’re using the Insta360 ONE X, we recommend using the Bullet Time Handler accessory. This will allow you to capture smooth, professional-looking footage while keeping your hands free.

To set up your camera:

Attach the Bullet Time Handler to the bottom of the ONE X using the included mount.

Thread the string through the eyelet on the top of the handler, and then tie it off at the desired length. We recommend a length of 3-4 feet (91-122cm).

Attach the ONE X to the top of the handler using the included mount.

Finally, secure the string to a sturdy object like a lamppost or fence post. This will ensure your camera stays in place while you’re capturing footage.

Step 3: Shoot Your footage.

Now that your camera is set up, it’s time to start shooting! We recommend walking around your location and taking short video clips of different areas. Keep moving as you shoot so viewers can sense the space and activity level.

If you’re using the Insta360 ONE X, we recommend setting your camera to “Logo Up” mode. This will allow you to capture smooth, stable footage without needing a tripod.

Once you’ve captured all the footage you need, it’s time to move on to the next step: stitching.

Step 4: Stitch Your footage.

If you’re using the Insta360 ONE X, you’ll need to stitch your footage together before you can start editing. Stitching is the process of combining all of your video clips into a single 360° video file.

There are two ways to stitch your footage:

Using the ONE X app: The easiest way to stitch your footage is by using the ONE X app, which is available for iOS and Android devices. Connect your camera to the app and follow the instructions on the screen.

Using the Insta360 Studio : If you prefer, you can also stitch your footage using the Insta360 Studio desktop software. This method is a bit more complex but gives you more control over the final product.

Once your footage is stitched together, you’re ready to start editing!

Step 5: Edit Your footage.

Now that your footage is stitched together, it’s time to start editing. Again, if you’re using the Insta360 ONE X, we recommend using the ONE X app for this step. The app includes a built-in editor that makes creating a professional-looking virtual tour easy.

Using the Insta360 Studio, you’ll have more control over the editing process. This method is a bit more complex, but it allows you to add special effects and transitions to your virtual tour.

Once you’re happy with how your virtual tour looks, it’s time to export it and share it with the world!

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virtual tourism business plan

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Shopping cart items, virtual reality: insights and opportunities in the travel industry.

virtual tourism business plan

Though hints of virtual reality (VR) have touched society over the last several years, it wasn’t until 2016 when the more mainstream, commercial products Oculus Rift, Playstation VR, and HTC Vive came onto the market. Practically overnight, the idea that people could immerse themselves in a technologically generated scenario simulating the real world became a reality. Since then, VR has disrupted, advanced, and challenged industries ranging from automotive technology and gaming to retail and media. The emergence and increasing use of virtual reality is one of the most notable trends in the travel industry. Learn more about this trend and several others in the recently published, free ATTA report, 20 Adventure Trends to Watch in 2018 . Travel and tourism is no different: Using VR technology, today’s travelers can stand on mountain peaks and dive to the deepest depths of the ocean without ever leaving home. But what does this mean for tour companies and destinations, have adoption strategies for this technology been successful, and is now the right time to jump on the virtual bandwagon?

virtual tourism business plan

The Next Big Thing or a Current Fad?

The first challenge is cost and accessibility. Businesses can invest in developing VR products, but will their potential customers be interested in or able to use them? People may be mildly curious about VR, but since it’s not been a part of their lives, they may not actively seek it out for adoption. Also, offering VR film experiences early in the customer journey through accessible means such as YouTube assumes customers will use the technology, but in truth, they may not because 360-degree video is only part of the viewing equation. Though there are commercial headsets on the market, they aren’t common in most households. Travel-related VR has been increasingly showcased at trade shows, but this is not the environment in which most people are conducting in-depth research about or booking an upcoming trip.

During the early stages of technology development, there is also an issue of numerous players becoming involved in the space. HTC, Lenovo, Huawei, and other developers have introduced their own products in the market, but they all have slightly different features. This means a VR video designed for one of these headsets may not translate as well on another, resulting in software fragmentation and yet another potential setback for an already potentially pricey marketing investment.

Additionally, while the inspiration and research phases of the trip may offer the most obvious opportunity for utilizing VR, the question remains whether it serves as a marketing enhancement or travel deterrent. If people can ride in a hot air balloon and watch the Serengeti wildebeest migration below from the comfort of the couch, do they really need to spend thousands of dollars to book plane tickets and tours to do the same thing in person? “It can become a cheaper alternative to travel,” said Milena Nikolova, an expert on traveler behavior trends and director of knowledge and AdventureEDU at the Adventure Travel Trade Association (ATTA) . “Why would you take four days and a lot of money and maybe a lot of risks to take a long weekend in Paris when you can walk the streets of Paris or climb the Eiffel Tower through virtual reality without the long wait, without the security threats, without being concerned about the weather?”

Virtual Reality for Inspiration, Research, and Booking

Despite these concerns, some adventure industry pioneers have become early adopters, experimenting with VR to see what is possible and gauge public interest at the cross-section of the technology with travel.

  • Discovery TRVLR is an ambitious 38-episode travel documentary series that will be broken into seven chapters, each of which will visit a different continent. There are already several episodes available in the docu-series, which can be viewed on YouTube, at DiscoveryVR.com, and on the Discovery VR app, allowing travelers to travel among and learn about endangered species such as whale sharks and African elephants, join locals like Vietnamese acrobats and a South African shaman as they go about their daily lives, and take part in risky endeavors like flying an airplane on skis and rappelling in underground caves in New Zealand.
  • Navitaire, an Amadeus company, is creating a travel search and booking tool allowing potential travelers to visit a destination, select an airplane seat, and examine rental cars — and then pay for the entire trip — all within the VR space.
  • ATTA member Visit Sweden has three VR films it uses as a promotional tool at trade shows and other destination-related events. “At big events with a large number of visitors, the VR films always draw a lot of attention, regardless of age,” said Viveca Burkhardt, global public relations manager at Visit Sweden. “The films give you the feeling of being in the middle of the wonderful Swedish nature, and the viewers become even more curious about the best spots and hidden treasures in Swedish nature.” “At big events with a large number of visitors, the VR films always draw a lot of attention, regardless of age." ‌ Visit Sweden isn’t the only industry player using VR to scratch the travel bug: Qantas Airlines developed a VR app so potential guests can visit popular Australian destinations such as Uluru and Hamilton Island without ever leaving home. Similarly, Matoke Tours created the Virtual Gorilla app to convey the sense of excitement of tracking gorillas in Uganda. And Thomas Cook placed VR headsets in 10 of its offices, encouraging potential customers to virtually visit destinations like Greece, Singapore, and New York; the company reported a 40 percent return on investment, with the New York product being the most effective in conversions.
  • Beyond simply introducing potential travelers to a destination, ATTA member Quark Expeditions has captured VR video for a few key destinations, allowing customers to view different parts of an expedition from the perspective of an actual passenger. Prior to booking, people can get a glimpse of what they’ll actually see as a Quark Expeditions client when they take a helicopter sightseeing tour at the North Pole or ride in a zodiac cruising through the channels of icebergs in Antarctica.
  • Sometimes photos just don’t do a destination justice. Destination British Columbia’s “The Wild Within” introduced viewers to expansive locations within the province. Visit Mammoth also enlisted VR to convey the sheer size and magnitude of its destination. “The technology solves a unique problem for us: showing off the sheer grandeur of our destination in a way that just doesn’t translate fully on traditional video or in still shots,” said Visit Mammoth’s director of marketing Whitney Lennon in a recent interview with tnooz .

virtual tourism business plan

Virtual Reality for Enhanced Visitation, Value, and Internal Processes

Once travelers have booked a trip and have feet on the ground, VR can help to enhance experiences. The technology can also help feed the current adrenaline rush to encourage booking for in-destination experiences and future trips. While travelers can smell that ocean breeze, hear the jungle sounds, and taste the local food, this might be the perfect time to nudge their interest in returning for another vacation.

  • Guests staying at Marriott International properties can partake in VR experiences while staying on property. The VRoom Service, launched in 2015, is a guest service experience that allows guests to immerse themselves in virtual “postcards” in destinations ranging from Rwanda to Chile.
  • Royal Caribbean and Azamara Cruises were among the first cruise companies to create VR experiences not only showcasing entertainment and amenities on their ships but also of onshore excursions for passengers to test drive before booking. “You are much more likely to book under the excitement because you are under the emotional impact of ‘actually’ having experienced this rather than simply looking at pictures and having to imagine,” Nikolova said. “It’s really powerful and increases the likelihood for booking significantly.”
  • Eurostar passengers can’t look out their windows as the train passes through the underwater portions of its journey, but on select trains with VR devices, they can get a glimpse of what their surroundings look like. “This is an average train ride, but with virtual reality, it is transformed into an experience because you are able to see what’s around you. As you can imagine, it becomes an adventure,” Nikolova said.

Also, not everyone is able to travel, but VR can still feed that sense of wanderlust. “Some companies are creating experiences for people who are unable to travel for whatever reasons, maybe health reasons or physical inabilities, to actually go and visit destinations that they wouldn’t normally be able to visit because of their age and health conditions, so there is a social aspect that comes with the replacement effect,” Nikolova said. MyndVR and Littlstar recently partnered to start delivering immersive content specifically designed for a 55+ audience. The goal is to deliver original content, including travel-related experiences, designed to help improve the minds and lives of adults 55 and older. And Embrace The Life VR is creating fully immersive experiences for wheelchair users that include a physical wheelchair as part of the simulation.

VR can also give travelers a chance to visit places currently hitting a saturation point without further contributing to the problem. Destinations suffering from overtourism, in particular, may consider adopting VR so people can visit without ever adding another physical body into the mix.

Additionally, while most travel and tourism professionals are using VR as a customer touchpoint, companies can look internally as well. Lufthansa uses a number of innovative techniques and materials to train flight attendants and senior cabin crew members, including VR. In an industry like adventure travel, where company headquarters may be half a world away from tour destinations, perhaps VR could be used for guide training, putting employees on the ground to see and “experience” potential places and issues they might meet on the job.

Though VR is a hot topic right now, it may very well just be in its infancy. Where it goes from here is anyone’s guess, but for those working in the travel and tourism industries, the sky is the limit … and so are the deepest oceans, the densest forests, and the most isolated places on Earth.

Benefits of Virtual Reality in the Tourism and Travel industry

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Virtual Reality is transforming the travel and tourism industry in an unstoppable way! VR can create amazing experiences limited only by your imagination. It is an excellent tool for marketing hotel rooms, flights, and travel products. As a hotel or travel company, you can provide unique customer experiences with VR elements on your website or as app downloads.  

Support customer buying decisions and give insights before booking a hotel

The primary benefit of Virtual Reality in the tourism and travel industry is to initially provide a kind of ‘try before you buy’ option. The immersive nature of VR enables everyone to experience a virtual version of a hotel room, attraction, or unique selling point. VR can cause strong emotions more convincingly than just viewing images or reading customer reviews can achieve. Because customers usually require lots of information before they book a hotel room, you can significantly shorten the process of researching and seeking information by using VR. VR experiences offer an effective way to show customers how their stay could look like, and give them confidence that they are dealing with a honest vendor with nothing to hide, before arriving at a purchase decision.

Benefits of Virtual Reality in the Tourism and Travel industry

Create a VR experience from your  local attractions to increase publicity

The big-hitting tourist destinations dominate the tourism market, leaving marketers of smaller or less famous attractions a hard time in competing.

VR helps to attract a large audience of visitors to see a destination’s potential and to show how worthy it is to visit. An attention-grabbing, immersive VR experience has exponentially greater impact on increasing visitor intention than traditional media, and at relatively small cost.

Alternatively, you might not want hordes of visitors descending on a place that is literally crumbling under the mass of tourists. Or some environmentally sensitive destinations will have unique ecosystems in danger from human intrusion. Or a destination might just be too expensive for most people to reach. In these cases, VR can provide a satisfying substitute for the real experience. 

VRdirect Tourism

Become an innovation leader  in the tourism industry 

Make VR valuable in your area of tourism and travel and be amongst the first to emotionally empower your customers with the help of VR. Typically, tourist customers seek to purchase experiences rather than products, and Virtual Reality offers a great way to provide a completely new customer journey that takes in all the senses. thereby creating maximum customer value. You can diversify your services, meet the demands of the market – and be an innovative leader of your industry. Be aware also that Millennials and upcoming Generation Z customers already spend a lot of time in digital environments and are therefore the perfect target group for digital technologies. 

What our partners and clients say

VRdirect enables businesses to easily create their own Virtual Reality projects and to make them available to end-users, employees or partners. Everything without having to develop their own app and without the need of any expert skills. Read how our partners and clients are already using it profitably:

Benefits of Virtual Reality in the Tourism and Travel industry

„Virtual Reality for Tourism – it is very obvious that the medium offers great possibilities. Buying decisions are often emotional ones and VR again is perfect to support this. At the same time, we always want to offer our clients marketing ideas that are reasonable within a more complex strategy and a step ahead of the competitors. With VRdirect as a proven platform, we can quickly implement our creative ideas in this area and provide our clients with very professional, stable and cost efficient Virtual Reality projects (VR apps and Web Player solutions).”

Stefan Thomsen   Managing Partner at Travel Marketeers

“Virtual Reality / Interactive 360° is a key medium when it comes to tourism and city marketing. Successfully working with hotels, cultural institutions and tourism authorities in Germany and also Spain, edataconsulting is alwaysexploring possibilities in how to add “virtual value” to a campaign. From our experience VR does significantly support the sales process and as an emotional medium can really drive purchase decisions. Our mission is to enable all of our clients to exploit the great potential of Virtual Reality – by offering efficient, scalable and still very stable solutions. As experts in 360° production and marketing we can fully rely on VRdirect here. By using the platform to build and distribute our projects we are saving clients the enormous costs of programming.”

Carlos Ayala Jiménez Head of Sales at edataconsulting

Benefits of Virtual Reality in the Tourism and Travel industry

Are you keen to learn more about working with Virtual Reality in the tourism and travel industry?

Download our White Paper for an in-depth view on the various benefits of VR for the tourism and travel industry , as well as a step-by-step guide for how to create your own interactive experience. Learn how to use VR to increase hotel bookings and get to know more about future trends in travel marketing.

Virtual Reality is exploding all over the tourism industry, and as a stakeholder and player you cannot escape its impact!

virtual tourism business plan

The VRdirect platform is the easiest solution to create and publish Virtual Reality projects. There are no expert skills needed. Moreover, Virtual Reality projects created with VRdirect can be published instantly via any VR enabled device, smartphone or web-browser and you can update them easily and in real-time.

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5 Important Benefits Of Virtual Reality In Tourism Businesses

  • By: Fatema-Tuz-Zohra Nabila Last updated on: May 21, 2024 8 mins read

5 Important Benefits Of Virtual Reality In Tourism Businesses

Running a travel & tourism business can be quite exciting. You will regularly deal with new faces and try to help them get the best traveling experiences.

However, the main challenge here is the competition. The tourism industry is quite competitive, and you have to find smart ways to attract potential clients for your tourism packages.

Sure, you can put up images and videos of the locations you cover on your website or social media to attract a few potential clients.

However, there are better ways. And one of the options that work best is virtual reality in tourism.

The fact is, for some people, a tour during their vacation is the most part of the year. They plan for it for months and research every possible option. At this point, if you can hook them with something unique that is both affordable and attractive, they are more likely to take your service.

Likewise, VR has more important benefits in the tourism industry.

Today, we will look at 5 core benefits of using virtual reality in tourism businesses.

After reading this article, you will get a clear answer to your question: How could a travel and tourism company utilize virtual reality to enhance their business?

So, let’s begin.

What is VR Tourism?

The concept of VR Tourism is to give people a glimpse of an actual tour in a realistic virtual environment.

Basically, you capture 360 panoramic images of the locations you cover in your tourism packages and turn them into virtual tours.

You can then place them on your website for potential clients to visit. Many clients will get hooked thanks to the realistic feeling they get and will be more curious to visit in person.

So basically, virtual tourism can be a great tool to convert prospects into clients in a unique way that’s more engaging and attractive than your competitors.

5 Reasons To Use Virtual Reality In Tourism Business

The way you use VR will vary depending on the packages you offer.

For example, you could offer a package where you take   Kilimanjaro Hiking Tour with a group of people via caravan and visit multiple locations in a span of 3 to 5 days. So the package may include the key tourist spots, hotels/resorts to reside at, food & other facilities, and a certified travel guide.

In this case, you could create a virtual tour that will include at least 1 scene from each of the tourist spots, a scene of the entrance of the resort, and the room where the travelers will lodge.

Then, you may connect each of these scenes so that people can explore all of them in the virtual environment before deciding to book this package with you.

Plus, you may even have the trainer record an introductory video which you can use along with your.

**Make sure to include tooltips and additional details in the VR tours so that people stay excited.

Another package could be a visit to a single resort.

In this case, you could have a virtual tour of the resort for people to browse through where they will be visiting.

Here are the key benefits of why you should invest in having such virtual tours on your website.

1. Get Increased Bookings

As mentioned above, virtual reality tourism will get people curious about the places you offer in your tourism packages.

If you include a booking form or a contact form in the virtual tour, chances are many will end up booking a package while taking this tour.

Of course, just a basic 360 environment is not enough. You need to include crucial elements such as relevant tooltips to share knowledge on specific locations or items, engaging click-to-view content such as videos or gifs, background music, and even a mini video to invite them in.

If your package only includes a hotel tour, then you can create a virtual tour of a hotel by highlighting the main areas of focus – the central public space, the rooms, the swimming pool (if any), the canteen, the bar (if any), etc. Overall, you should include all the areas that a visitor may find attractive.

Simply place the tour on the package landing page, and you will see how it will deliver a lot more results than a video.

The main reason why a virtual tour can get more results is the freedom of control and the engaging elements in the tour. People love to have more control when researching and this will definitely help convince them to book a package with you.

2. Time-Saving and Cost-Effective

A couple of concerns many people have is

  • they think it will get too expensive and
  • they feel it may take up too much time to create a virtual tour.

However, virtual reality in tourism is not as expensive as you think.

It is possible to create a tour for less than $100 spent a year. And the best part is that if you have the right tool, it won’t take more than 10 to 15 minutes to craft a complete virtual tour.

All you need is a digital 360 camera to capture panoramic images and a reliable virtual tour creator to turn these images into a virtual tour.

  • Here are a few digital 360 cameras you may choose from .

We recommend you use WPVR to create the virtual tour.

  • Learn more about WPVR

3. Improved Marketing Results

Using virtual tourism as part of your marketing plan can help you achieve a higher “time spent on page” and low “bounce rate.”

These are crucial because, as the concept goes, the longer a person spends time on your website, the higher the chances of him placing an order or making some commitment.

So, you can actively use virtual reality in tourism and achieve these higher marketing metrics, which will eventually lead to higher conversion rates and more packages sold.

4. Significant Competitive Advantage

Virtual reality is not so popular in the tourism industry simply due to the lack of knowledge on how much it can deliver.

So, if you start using it now, you will be one step ahead of your competitors. You will have a higher chance of getting customers excited about your tourism offers, provided that you are not overcharging and are advocating for high-quality services.

Moreover, it shows your commitment to providing the best possible experience for your customers. It’s a clear message that you’re investing in technology to make their journey more engaging, informative, and enjoyable. This level of dedication can earn you trust and loyalty. Additionally, offering seamless travel services, such as reliable airport taxis , can further enhance the overall customer experience, ensuring convenience from the start of their journey.

5. Make It Easier For Clients To Make A Decision

Virtual tours offer a fast lane to decision-making when it comes to booking accommodations or travel experiences.

In the traditional booking process, travelers often find themselves sifting through brochures, photos, and descriptions, trying to piece together potential destinations they will enjoy. This process can sometimes be frustrating.

Virtual tours will give them a visual understanding of how the environment is, what they can expect in the surroundings, and how aligned it is to serve their traveling purpose, such as peace, adventure, modernness, rural tranquility, etc.

Images & videos may not always be satisfactory as they are often manipulated to make the locations look better than they actually are. A virtual tour will nullify the possibility of false promotion regarding understanding the surroundings.

Hence, it is the best way to help prospects make a decision on which travel package they want.

Examples Of Virtual Reality Tourism

Virtual tour of a hotel.

Here’s an example of a virtual tour of a hotel with interactive hotspots to let the audience know what they are offering in a room.

This lets the audience have a better look at the available rooms and choose from the best ones for them to book.

We’ve created this tour using the WordPress plugin WPVR .

360 Video Tour Atlantis Dubai

This Virtual 360 Tour Atlantis Dubai shows almost every unique feature that clients can see and explore before they even step there.

Hamilton Island 360 VR Tourism

In this virtual 360 video, you can easily explore everything from stepping onto the island to experiencing underwater adventures.

Final Thoughts

If you are in the travel and tourism business, then this is a great opportunity to stay ahead of the competition. Using virtual reality in tourism businesses is yet to get popular, and the sooner you start investing in it, the better your chances to become the go-to solution for offering the best tourism packages.

You can easily create virtual tours in WordPress thanks to the plugin WPVR.

WPVR is currently the #1 virtual tour plugin in WordPress, which has every feature you need to create engaging virtual tours without any complications.

If your website is created using WordPress, then you must try using WPVR. You will amazed at how simple yet effective this plugin is to help you grow your business using virtual reality.

  • Check out WPVR now.

Try WP VR For Free!

Create unlimited Virtual Tours to showcase stunning properties to attract more clients and secure better deals.

5 Important Benefits Of Virtual Reality In Tourism Businesses 1

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Fatema-Tuz-Zohra Nabila

Fatema-Tuz-Zohra Nabila

Nabila is a Product Marketing Manager at RexTheme. She provides technical guidance in her writing and uses visual storytelling to present information, especially in the area of Virtual Reality & eCommerce.

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virtual tourism business plan

Your Passport to Success: A Comprehensive Guide to Launching a Tourism Business

  • Published: July 13, 2023
  • By: Yellowbrick

Setting foot into the vast landscape of the tourism industry might seem like attempting to scale Mount Everest. However ,  bear in mind , just like any mountain , t his behemoth can be conquered step by step . Wrapped in this guide is your trusty sherpa, ready to guide you through the precipitous path of launching a tourism business. Brace yourself for an exhilarating expedition, interspersed with pearls of wisdom, as we unfold the blueprint for your entrepreneurial success.

Resting on our laurels isn’t an option when there’s an entire landscape to be explored. The tourism industry, much like an uncharted terrain, necessitates a thorough exploration. Having a comprehensive game plan will prevent you from losing your bearings amid the wilderness . So, fasten your seatbelts and put on your thinking caps; it’s time to traverse the exciting topography of creating a successful tourism business.

Spotting the Opportunity

In the buzzing beehive of business , identifying a distinctive honeycomb  – or rather , a unique   opportunity – is the cornerstone of entrepreneurial success . Now, don’t get caught with your pants down thinking it’s a cakewalk; it demands a discerning eye for detail and a pulse on what consumers are hankering for. Initiate your quest by examining your surroundings. What seems absent? What exclusive offering can you bring to the table that others haven’t?

Once the spark of an idea ignites,  it’s crucial to fan its flames to ensure its sustainability . The flash-in-the-pan ideas might create an initial buzz but they’re like shooting stars, fading away as quickly as they appear. To avoid this pitfall, conduct an in-depth market validation. It’s akin to checking the depth of the river before taking the plunge – you wouldn’t want your business to flounder due to a lack of demand . So, roll up your sleeves and dive headfirst into market research to substantiate your idea’s feasibility.

Carving Your Unique Niche

Now that you’ve got a winning idea in your arsenal, it’s time to etch out your unique niche . While it’s easy to get lost in the crowd in an industry as broad as tourism, having a distinct identity can help your venture stand out. It’s about not just being another face in the crowd , but the one that turns heads and commands attention .

Tailoring a unique business proposition is like threading a needle – it requires precision and a clear understanding of what you’re capable of delivering. Consider your strengths and how they can be leveraged to provide a unique experience for your customers. Remember, t he aim is to create a service that’s as unique as a fingerprint ,  an offering that’s distinctly yours and resonates with your target audience . This is your golden ticket to carve out a successful space in the tourism industry.

Constructing a Comprehensive Business Plan

A solid business plan is akin to a well-crafted blueprint ; it lays down a firm foundation and guides your venture’s growth. Think of it as the ‘master plan,’ containing the DNA of your business – everything from your mission and objectives to financial forecasts and marketing strategies.

First off, you’ll need to define your business model . In other words, decide how you’ll earn your bread and butter. Will you focus on luxury travel, budget packages, adventure tourism, or cultural experiences? Furthermore, pin down your target audience . Who will be lining up to avail of your services? Young globetrotters, retired explorers, corporate clients, or thrill-seekers? Understanding your clientele is half the battle won.

Arranging the Financial Framework

Finance is the lifeblood of any business. Ensuring you have your ducks in a row when it comes to funding is absolutely vital . Whether you’re bootstrapping, seeking investors, or applying for loans, having a robust financial plan is crucial.

Start by determining your startup costs – the price tag for getting your venture off the ground. Then, l ay out a clear projection of your revenue and expenses for the first few years . By doing so, you’re not just shooting in the dark but are well-prepared for the financial challenges ahead. Remember, it’s always better to be safe than sorry.

Jumping Through Legal Hoops

The legal aspect of setting up a business might seem like a minefield, but don’t fret. It’s simply about understanding what’s required and ensuring all the t’s are crossed and the i’s are dotted. You’ll need to select a business structure , r egister your business name , and obtain necessary licenses and permits .

While it might seem like you’re climbing a legal mountain, taking it one step at a time can make it manageable. It’s worth considering seeking professional help to navigate this complex terrain. A misstep here could cost you heavily, so proceed with caution.

Crafting a Magnetic Brand

Creating a compelling brand is akin to crafting a magnet ; it should attract your target audience and resonate with them on a deeper level. Your brand is more than just a logo or a tagline; it’s the embodiment of your business’s personality, values, and promises.

To create a brand that turns heads, you must understand what makes your business tick . What’s your story? What are your core values? How do you want to be perceived by your audience? By answering these questions, you can shape a brand that is both authentic and appealing.

Building a Strong Online Presence

In the digital age, having an online presence is not a luxury but a necessity . It’s like your open-for-business sign that’s visible globally. A captivating website, active social media profiles, and a strategic SEO plan are vital components of your online presence.

A website is your digital storefront ,  and social media platforms are your public forums . They offer an opportunity to engage with your audience, showcase your services, and build trust. On the other hand, SEO can help your business get discovered by potential customers. It’s like having a well-lit billboard on the internet highway.

Launching and Marketing Your Venture

Finally, it’s time for the curtain-raiser – the launch of your venture . However, simply opening your doors won’t get the cash registers ringing; you’ll need a robust marketing strategy to put your business on the map .

A successful marketing plan isn’t just about big-budget advertising campaigns. It’s about identifying the most effective channels to reach your audience, creating engaging content, and fostering relationships with your customers. Remember, word of mouth is a powerful tool in the tourism industry . A satisfied customer can be your most effective marketing agent.

Splash Your Unique Colors Onto the Vast Canvas of the Tourism Industry

Embarking on the trail of the tourism business, as you’ve journeyed through this guide, is undoubtedly more marathon than sprint. Yet, w ith the perfect blend of preparation , vision , and undying tenacity , this intricate maze can be traversed to emerge as a beacon of entrepreneurial success . This guide has endeavored to be your trusty torchbearer, illuminating the vital steps to morph your fledgling business idea from an abstract thought to a concrete, profitable venture.

From identifying golden opportunities to that euphoric moment of launching your venture, it’s paramount to remember:  the journey carves the entrepreneur just as much as the destination . It’s the blend of grit, the relentless grind, those fleeting moments of despair punctuated by exhilarating peaks of triumph, that crafts the entrepreneurial spirit.

But here’s the best part:  your journey doesn’t have to end with this guide . Oh, no. Picture this; an opportunity to splash your unique colors onto the vast canvas of the tourism industry, guided by expert hands. Exciting, right? Well, that’s not just a dream anymore.

Cue the drumroll, please… Enter the world of tourism from the comfort of your living room. Yes, you read that right! In this era of high-speed digital connectivity, your journey of learning and discovery is just beginning.

A treasure trove of knowledge and expertise lies within your reach, awaiting exploration. We’re talking about navigating unique paths in the tourism sector, all without leaving your home. It’s a game-changer!

To top it off, Yellowbrick ,  in collaboration with the renowned New York University ( NYU ), presents an online Hospitality and Tourism Industry Essentials Course . Guided by seasoned faculty from NYU and industry insiders, this program is designed to steer you through the winding corridors of establishing a successful tourism business.

This all-encompassing program, delivered entirely online, dives deep into the ocean of the hospitality and tourism industry. The program features  six online course modules , with each course taking approximately 3-5 hours. It’s thoughtfully broken down into digestible lessons that students can complete at their own pace. The cherry on top?  A non-credit certificate of completion from the globally-recognized NYU to amplify your professional portfolio upon successful completion .

With this guide as your compass and the opportunity to enroll in an insightful online course, you’re primed to carve your path to success in the tourism industry. It’s an exciting vista waiting to be adorned with your unique imprint.

So, what are you waiting for? The clock is ticking , and the stage is set for you to dive in and bring your dream tourism business to life . Remember, the essence of success lies not just in reaching the summit but in relishing the climb and embracing growth. So, here’s to your future success as a thriving tourism tycoon. Godspeed!

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virtual tourism business plan

virtual tourism business plan

A Step-by-Step Guide: How to Start an Online Travel Agency (OTA)

Building a new online travel agency (OTA) can be an exciting and rewarding business venture. While starting an OTA can be an attractive opportunity, it also involves significant challenges and competition.

To succeed in this industry, it’s essential to conduct thorough market research, develop a strong business plan, and focus on providing exceptional customer experiences and unique value propositions. In this article, you will find all the information you need to start an online travel agency.

Boost your travel business with the right technology

You will learn:, state of travel industry in 2024, key travel trends and technologies, customer experience with ai and ar, automation and efficiency in travel business, strategic technology investments, what is an online travel agency (ota), business benefits of starting an online travel agency, key steps to start your online travel agency, difference between an online travel agency, a channel manager and a property management system, what is a travel search engine, a travel booking engine and a metasearch engine, the role of a global distribution network (gds).

  • Key statistics on online travel agencies
  • Fees and commissions between an online travel agency, a channel manager and a hotel

Latest innovations in the online travel agency industry

How to personalize the booking experience for travelers when running an ota, building a travel application or extending your development team.

🚀 We're here to assist you in accelerating and scaling your business. Send us your inquiry, and we'll schedule a free estimation call .

An online travel agency (OTA) is an online platform, developed by a travel software development company , that allows users to search , compare, and book travel services such as flights, hotels, car rentals, cruises, and vacation packages. OTAs act as intermediaries between travelers and travel suppliers, such as airlines, hotel chains, and car rental companies.

OTAs offer customers the convenience of planning and booking their trips online, often providing competitive pricing and a wide range of options to choose from. Some well-known examples of OTAs include Booking.com, Expedia, and Agoda.

These platforms typically make money by charging commissions on each booking made through their websites or apps. OTAs have become increasingly popular in the travel industry, as they simplify the booking process for consumers and help travel suppliers reach a broader audience.

online travel agent

The market of online travel agencies offers several advantages and opportunities:

Growing market

The travel industry has been expanding rapidly in recent years, driven by increasing disposable incomes, globalization, and technological advancements. A new OTA can tap into this growth and cater to the evolving needs of modern travelers.

Niche opportunities

While there are already several large OTAs in the market, there is still ample room for new players focusing on niche markets or offering unique products and services. By targeting specific customer segments or travel experiences, a new OTA can differentiate itself from the competition and build a loyal customer base.

Convenience for customers

OTAs provide a one-stop-shop for travelers, allowing them to search, compare, and book various travel services in a single platform. By starting an OTA, you can offer customers the convenience of planning and booking their trips online, potentially attracting a significant share of the market.

Global audience

Operating an OTA allows you to reach a worldwide audience, expanding your potential customer base and increasing your opportunities for growth.

Flexibility and scalability

An OTA is a largely digital business, making it easier to adapt and scale as the market evolves. You can quickly add new products, services, or partnerships, and expand into new markets or customer segments as needed.

starting a travel agency

Low overheads

Compared to traditional brick-and-mortar travel agencies, an OTA often has lower overheads, as it doesn’t require physical office space or a large staff. This can result in higher profit margins and increased financial flexibility.

Leverage technology

By starting an OTA, you can take advantage of the latest technology advancements in the travel industry, such as artificial intelligence , machine learning, and big data analytics, to enhance your product offerings, optimize your marketing efforts, and improve customer experience.

Collaboration opportunities

Starting an OTA offers the opportunity to forge strategic partnerships with various travel suppliers, such as airlines, hotels, and tour operators. These collaborations can lead to exclusive deals, improved inventory access, and competitive pricing.

[Build Your Own OTA With Us]

Starting an online travel agency (OTA) can be a rewarding business venture, but it requires careful planning, research, and execution.

Here’s a practical guide to help you establish your own OTA:

1. Market research

Conduct thorough market research to understand the current travel trends , competition, and customer preferences in the travel industry. Identify your target audience, their needs, and the niche you want travel company to focus on (e.g., luxury travel, budget travel, adventure travel, etc.).

2. Create a business plan

Develop a comprehensive business plan outlining your goals, target market, competitive analysis, marketing strategy, operational plan, and financial projections. This document will serve as a roadmap for your business and help you secure funding if needed.

3. Legal requirements

Register your travel business, obtain the necessary licenses and permits, and comply with any specific regulations in your region. This may include registering as a travel agent or agency, obtaining insurance, and adhering to consumer protection laws.

own business strategy

4. Establish relationships with suppliers

Build relationships with travel suppliers and businesses such as airlines, hotels, car rental companies, tour operators, and other service providers. You may need to negotiate contracts, commission rates, and access to inventory.

5. Choose a technology platform

Select a suitable technology platform to power your OTA. This may involve purchasing or developing various travel agency software such as a booking engine , custom search engine , hotel inventory management system, travel management solution , integrating with Global Distribution Systems (GDS) or other supplier APIs, and setting up a user-friendly website and mobile app.

6. Design and develop your website and mobile app

Create a visually appealing, easy-to-navigate website and mobile app that showcases your travel agency business plan, products and services. Ensure the platform is mobile-friendly, responsive, and optimized for search engines (SEO).

7. Payment processing

Set up a secure payment processing system to handle online transactions. This may involve partnering with a payment gateway or merchant account provider, and ensuring compliance with Payment Card Industry Data Security Standards (PCI DSS).

8. Marketing and promotion

Develop a comprehensive marketing strategy to promote your OTA and attract customers. This may include search engine marketing (SEM), search engine optimization (SEO), social media marketing, email marketing, content marketing, and public relations efforts.

9. Customer support

Provide excellent customer support to assist travelers with their booking needs, handle inquiries, and resolve any issues. This may involve setting up a dedicated support team, offering multi-channel support (e.g., email, phone, live chat), and providing self-help resources.

10. Monitor and analyze performance

Regularly track and analyze your OTA’s performance using analytics tools and key performance indicators (KPIs). Use this data to identify trends, optimize your marketing efforts, and improve your product offerings.

11. Continuous improvement

Continuously update your travel products, improve your travel website, and mobile app, and refine your marketing strategies based on customer feedback and industry trends.

By following these steps and remaining adaptable to the ever-changing online travel industry here, you can successfully establish and grow your online travel agency.

what is OTA

These travel industry related terms can be confusing. so when discussing how to set up your own OTA, it’s worth looking closely at these terms to understand the differences.

An online travel agency (OTA), channel manager, and property management system (PMS) are distinct components within the online travel business and hospitality industry, each serving a specific purpose:

Online Travel Agency (OTA)

An OTA is a web-based platform that allows customers to search, compare, and book various travel services such as flights, hotels, car rentals, and vacation packages. OTAs act as intermediaries between travelers and travel suppliers, providing a convenient way for consumers to plan and book their trips. Examples of popular OTAs include Expedia, Booking.com , and Agoda.

Channel Manager

A hotel channel manager is a software solution that enables hotels and accommodation providers to manage their room inventory, rates, and availability across multiple distribution channels (including OTAs, metasearch engines , and direct booking platforms) from a single, centralized interface. The primary function of a channel manager is to simplify and streamline the process of updating room information across various channels, reducing the risk of overbooking or double-booking, and ensuring accurate, real-time data synchronization.

Property Management System (PMS)

A PMS is a software application designed to help hoteliers manage the day-to-day operations of their properties. It typically includes functionalities such as reservation management, yield management , guest check-in and check-out, billing and invoicing, housekeeping management, and reporting. A PMS can also integrate with other systems, such as channel managers and point-of-sale (POS) systems, to enable seamless communication between various aspects of hotel operations.

To sum up, an OTA is a platform for travelers to search and book travel services, a channel manager is a tool for managing room inventory and rates across multiple distribution channels, and a PMS is a system for managing daily hotel operations.

These components often work together to provide a comprehensive solution for managing and optimizing a hotel’s online presence, distribution strategy, and operational efficiency.

[Read also: How to Start Real Estate Busines ]

new travel agency

Travel search engine, travel booking engine, and metasearch engine are distinct terms used in the travel industry, each referring to a different type of online platform or tool:

Travel Search Engine

A travel search engine is an online platform that allows users to search for travel-related information, such as flights, hotels, car rentals, and vacation packages. These search engines typically crawl and index travel websites, aggregating relevant data for users to browse and compare. However, they may not offer the ability to make bookings directly on their platform. Instead, they often direct users to the respective travel suppliers’ websites or other booking platforms to complete the reservation process. Examples of travel search engines include Kayak and Skyscanner.

Travel Booking Engine

A travel booking engine is an online platform or software application that enables users to search, compare, and book travel services directly on the platform. It is typically integrated with various travel suppliers’ inventory systems or Global Distribution Systems (GDS) to provide real-time availability and pricing information. Travel booking engines can be found on travel suppliers’ websites (e.g., airline or hotel websites) or on Online Travel Agencies (OTAs) such as Expedia and Booking.com .

Metasearch Engine

A metasearch engine is a specialized type of search engine that aggregates information from multiple travel booking platforms or OTAs, enabling users to compare prices and availability for flights, hotels, and other travel services in one place. Unlike a regular travel search engine, a metasearch engine focuses on collating information specifically from booking platforms and often allows users to book directly through their site or redirects them to the appropriate booking platform to complete their reservation. Examples of travel metasearch engines include Google Flights, Trivago, and TripAdvisor.

Again, let’s recap mentioned terms. A travel search engine helps users find travel-related information by crawling various sources, a travel booking engine facilitates the booking process on a platform, and a metasearch engine aggregates data from multiple booking platforms to enable users to compare prices and availability more easily.

successful travel agency

A Global Distribution System (GDS) plays a crucial role in the travel industry as a centralized network that connects travel service providers, such as airlines, hotels, and car rental companies, with travel agencies and consumers. It facilitates real-time inventory management, pricing, and booking of travel services, making the process more efficient and streamlined for all parties involved.

The key roles of a Global Distribution System include:

Inventory management

GDSs store and manage inventory data from various travel service providers, including seat availability on flights, room availability in hotels, and available rental cars. This centralized inventory management enables service providers to update their availability and pricing information in real time, ensuring accurate data for their travel agents, agencies and customers.

Distribution

GDSs act as intermediaries between travel service providers and travel agencies (both online and offline), allowing the agencies to access and book inventory from multiple providers through a single, consolidated platform. This broadens the reach of service providers and simplifies the booking process for travel agencies.

Booking and reservation

GDSs enable travel agencies and consumers to search, compare, and book travel services seamlessly. They provide real-time information on pricing, availability, and booking conditions, allowing users to make informed decisions and complete reservations efficiently.

Marketing and sales

GDSs offer marketing and sales opportunities for travel service providers, as they can promote their services to a vast network of travel agencies and consumers. They can also implement targeted marketing campaigns and offer special deals or promotions to increase their visibility and sales.

Reporting and data analysis

GDSs provide valuable data and insights on booking trends, customer preferences, and market dynamics. This information helps travel service providers and agencies make data-driven decisions to optimize their offerings, pricing strategies, and marketing efforts.

Some of the major Global Distribution Systems in the market include Amadeus, Sabre, and Travelport (Galileo and Worldspan). By connecting travel service providers with travel agencies and consumers, GDSs play an essential role in streamlining the booking process, enhancing the visibility of the host agencies and travel services, and improving the overall efficiency of the travel industry.

travel agency business

Key statistics on Online Travel Agencies

Some key statistics that illustrate the scale and impact of OTAs in the travel industry:

Market size

The global online travel market was valued at around USD 765.34 billion in 2019 and was expected to reach approximately USD 983.39 billion by 2023, according to a report by Statista.

Market share

OTAs account for a significant portion of travel bookings. In the hotel industry, for instance, OTAs were responsible for around 39% of total room bookings in the United States in 2019, as reported by Phocuswright.

Key players

The OTA market is dominated by two major players, Expedia Group (which owns brands such as Expedia, Hotels.com , and Vrbo) and Booking Holdings (which owns brands like Booking.com , Priceline, and Agoda). Combined, these two companies accounted for approximately 70% of the U.S. OTA market share in 2019, according to Phocuswright.

Mobile bookings

Mobile devices have become an increasingly important channel for travel bookings. In 2019, around 38% of OTA bookings were made through mobile devices, as reported by eMarketer. This trend is expected to continue as more consumers adopt smartphones and mobile booking apps.

Growth drivers

Some of the key factors driving the growth of the OTA market include increasing internet penetration, rising disposable incomes, and a growing preference among consumers for online booking platforms due to their convenience, pricing transparency, and extensive range of options.

Customer demographics

Millennials and Gen Z travelers are more likely to use OTAs for travel planning and booking, as they tend to be more tech-savvy and value the convenience, choice, and comparison capabilities offered by these platforms.

travel agency business

Fees and comissions between an online travel agency, a channel manager and a hotel

The fees and commissions in the travel industry are typically split among the involved parties, including online travel agencies (OTAs), channel managers, and hotels. Here’s a general overview of how fees and commissions may be distributed:

Online Travel Agency (OTA) commissions

OTAs earn revenue by charging a commission on each booking made through their platform. The commission rate can vary depending on the OTA, the market, and the negotiated terms between the OTA and the hotel. Generally, OTA commission rates range between 15% and 25% of the total booking value. This commission is paid by the hotel to the OTA for facilitating the booking and providing access to their customer base.

Channel manager fees

Channel managers usually charge a monthly subscription fee or a per-booking fee for their services. The fees can vary depending on the channel manager, the number of channels being managed, and the level of service required. These fees are paid by the hotel directly to the channel manager for providing the software and services necessary to manage their inventory and rates across multiple distribution channels.

Hotel revenue

Hotels earn revenue from the bookings made through OTAs, minus the OTA commission and any channel manager fees. The net revenue for the hotel depends on factors such as their room rates, occupancy levels, and the efficiency of their revenue management strategies.

[Read also: Guide to Hotel Revenue Management: Best Strategies and Tips ]

travel agent

How to avoid an overbooking as an online travel agency

As an online travel agency (OTA), avoiding overbooking is crucial for ensuring customer satisfaction and maintaining a good reputation.

Here are some strategies to prevent overbooking:

1. Real-time inventory updates

Make sure your platform is integrated with hotels’ property management systems (PMS) or channel managers to receive real-time inventory updates. This ensures that your OTA displays accurate room availability information, minimizing the risk of overbooking.

2. API integration

Establish a robust API connection with hotels’ PMS or channel managers to facilitate seamless data exchange and real-time synchronization of room availability, rates, and other relevant information.

3. Set booking cutoffs

Collaborate with hotels to establish booking cutoffs, such as a certain number of hours before check-in, to minimize the risk of last-minute overbookings that may not be communicated to the hotel in time.

4. Monitor booking trends

Regularly analyze your OTA’s booking data to identify patterns that could lead to overbooking, such as high demand for specific dates or hotel properties. Use this information to adjust inventory allocations and prevent potential overbooking issues.

5. Use a centralized reservation system

Encourage your hotel partners to use a centralized reservation system or a channel manager, which can help manage inventory across all distribution channels more effectively and reduce the risk of overbooking.

5. Overbooking management policies

Develop clear overbooking management policies and procedures in collaboration with your host agency and hotel partners. This may include providing alternative accommodation, compensating the affected guest, or offering incentives for voluntary changes.

By implementing these strategies, you can significantly reduce the risk of overbooking as an OTA and provide a better experience for your customers. It’s essential to continuously monitor your booking processes and maintain strong relationships with your hotel partners to ensure a seamless and efficient booking experience for your customers.

host agency

The Online Travel Agency (OTA) industry has experienced several innovations in recent years. These advancements aim to enhance user experiences, streamline processes, and stay competitive in the evolving digital landscape.

Some of the latest innovations in the OTA industry include:

Artificial Intelligence (AI) and Machine Learning

OTAs are leveraging AI and machine learning algorithms to provide personalized travel recommendations, enhance customer service with chatbots, and optimize pricing strategies based on customer behavior and market trends.

Mobile-first strategies

As more travelers use smartphones to research and book trips, OTAs are focusing on mobile-first strategies, developing responsive websites, and user-friendly mobile apps. They also utilize mobile-specific features, such as push notifications, to engage with customers and provide real-time updates on bookings.

Augmented Reality (AR) and Virtual Reality (VR)

OTAs are exploring AR and VR technologies to create immersive experiences for customers, allowing them to virtually explore hotels, attractions, and destinations before booking. This can help users make more informed decisions and enhance the overall booking experience.

Blockchain technology

Some OTAs are exploring the potential of blockchain technology for secure, transparent, and efficient transactions. This technology could enable decentralized booking systems, streamline payment processing, and enhance loyalty programs.

Voice search and booking

With the increasing popularity of voice-activated devices, OTAs are developing voice search and booking capabilities to cater to this growing market segment, making it more convenient for users to search for and book travel services using voice commands.

Sustainable and responsible travel options

As the demand for sustainable and responsible travel options grows, OTAs are integrating eco-friendly accommodations and activities into their platforms, allowing users to make more environmentally conscious choices when planning their trips.

Enhanced customer service

OTAs are utilizing AI-powered chatbots and virtual assistants to provide instant customer support, address common queries, and assist with bookings. This enables OTAs to provide 24/7 support without significantly increasing operational costs.

Dynamic packaging

OTAs are offering dynamic packaging, which allows customers to create customized travel packages by bundling flights, hotels, car rentals, and other services. This approach provides more flexibility and personalization for users and can increase customer satisfaction.

These innovations are continually evolving as new technologies and market trends emerge.

[Read also: Digital transformation in the travel industry ]

business travel

Personalizing the booking experience for travelers can lead to increased customer satisfaction, loyalty, and conversions. By implementing these personalization strategies, you can create a more engaging and customized booking experience for travelers, ultimately leading to increased customer satisfaction, loyalty, and conversions:

Data collection and analysis

Collect and analyze data on traveler behavior, preferences, and booking history. This can help you understand their needs, interests, and patterns, enabling you to tailor your offerings accordingly.

Personalized recommendations

Use the collected data to provide personalized travel recommendations , such as hotels, destinations, or activities that align with the traveler’s preferences and interests. Machine learning algorithms can further enhance the accuracy of these recommendations.

Tailored offers and promotions

Send targeted offers and promotions based on the traveler’s booking history, preferences, and search patterns. These could include discounts, upgrades, or special packages that cater to their specific interests.

Customized communication

Personalize your communication with travelers by addressing them by name, acknowledging their previous bookings, and offering relevant content based on their preferences. Ensure that the communication is consistent across all channels, including email, social media, and mobile app notifications.

Allow travelers to create customized travel packages by bundling flights, accommodations, car rentals, and activities based on their preferences. This flexibility can enhance their booking experience and lead to higher customer satisfaction.

Personalized user interface

Personalize the user interface on your website or app to display relevant content, offers, and recommendations based on the traveler’s preferences and browsing history. This can make the booking process more efficient and engaging.

Localization

Adapt your website or app to cater to travelers from different regions by offering language options, displaying local currency, and providing region-specific content and recommendations.

Chatbots and virtual assistants

Implement AI-powered chatbots and virtual assistants to provide instant, personalized support to travelers. These tools can answer frequently asked questions, help with booking processes, and offer recommendations based on the traveler’s preferences.

Post-booking personalization

Continue personalization efforts after the booking is complete by providing tailored pre-trip information, such as destination guides, travel tips, and itinerary suggestions based on the traveler’s interests.

Collect feedback

Encourage travelers to provide feedback on their booking experience and preferences. Use this feedback to further refine your personalization efforts and enhance the booking experience for future travelers.

host agency

Final words

Starting an online travel agency can be a challenging but rewarding venture. By following these practical steps and leveraging the latest technology and industry trends, you can create a successful business that offers personalized and convenient travel experiences to your customers.

Remember to prioritize customer service, stay up-to-date with industry developments, and continuously innovate to stay competitive in the ever-evolving digital landscape.

With determination, hard work, and a commitment to excellence, you can turn your dream of starting your own travel business as an online travel agency into a reality.

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They're very skilled technically and are also able to see the bigger picture. Stratoflow can actually think about solutions, not just the technical task at hand, which they've been assigned.

Arnd Jan Prause

Chief Operating Officer, musQueteer

Stratoflow delivered the website successfully within the timeframe and budget. They assured that the output met the set requirements. Overall, the team's performance was excellent and recommended for their exceptional technical business expertise. They've been able to deliver all of their work on time and within budget, which has been very impressive.

Lars Andersen

Founder & CEO, My Nametags

Travel sector rebound after the pandemic is complete. We have fantastic global coverage of travel data distribution due to mutual agreements and data exchange between aggregators. Competition for the best price of limited resources degradates margins. How to win? Provide personalized experience and build your own products in the front-office. The missing bits: a traveller golden record collecting past activities and a AI/ML recommendation technology.

Michał Głomba

CEO at Stratoflow

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How To Create a VR Tourism Agency Business Plan: Checklist

By alex ryzhkov, virtual reality tourism agency bundle.

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Welcome to our blog post on how to write a business plan for a Virtual Reality Tourism Agency. With the rapid advancements in technology, the virtual reality industry has experienced tremendous growth in recent years. According to the latest statistics, the global VR market size is projected to reach $44.7 billion by 2024, indicating the increasing demand for immersive and lifelike experiences.

In order to establish a successful Virtual Reality Tourism Agency, it is essential to follow a strategic and well-structured approach. In this blog post, we will provide you with a nine-step checklist on how to create a comprehensive business plan that will set you on the path to revolutionizing the travel industry.

From identifying your target market and researching industry trends to developing a comprehensive marketing strategy and establishing a team, each step is crucial to ensure the success and growth of your agency. By following this checklist, you can effectively navigate through the process of creating a business plan that will enable you to provide individuals with unforgettable virtual reality travel experiences.

So, let's dive into the nine essential steps that will guide you in writing a business plan for your Virtual Reality Tourism Agency!

Identify Target Market

One of the first crucial steps in developing a successful business plan for a virtual reality tourism agency is to identify the target market . By clearly defining the specific audience you will be catering to, you can tailor your virtual reality experiences to meet their preferences and needs.

To begin this process, conduct thorough market research to gain insights into the demographics, interests, and behaviors of potential customers. This research should involve collecting data on age groups, income levels, travel preferences, and technology adoption rates.

Once you have compiled this information, analyze it to identify patterns or trends that can help you narrow down your target market. Consider factors such as the most popular destinations among your potential customers, their willingness to pay for virtual reality experiences, and any specific interests or activities they may have.

Tips for identifying your target market:

  • Conduct surveys or interviews to gather direct feedback from potential customers
  • Study industry reports, articles, and forums to understand current trends and preferences
  • Consider partnering with VR hardware retailers or conducting focus groups to gather insights
  • Segment your target market based on different customer profiles to customize your VR travel packages

By identifying your target market early on, you can tailor your virtual reality tourism agency's offerings to cater to their specific needs and preferences. This will not only help you attract more customers but also ensure a higher level of customer satisfaction and loyalty in the long run.

Virtual Reality Tourism Agency Financial Model Get Template

Research Industry Trends And Competition

Researching industry trends and competition is a crucial step in developing a successful business plan for a virtual reality tourism agency. By understanding the current state of the market and analyzing competitors' strategies, you can identify opportunities and challenges that will help you position your agency for success.

When conducting your research, consider the following:

  • Identify emerging technologies: Stay up-to-date with the latest advancements in virtual reality technology. This will allow you to incorporate innovative features and provide unique experiences to your customers.
  • Explore consumer demand: Analyze market reports and conduct surveys to understand the level of interest and demand for virtual reality travel experiences. This will help you gauge the potential size of your target market.
  • Study competitors: Research other virtual reality tourism agencies or similar businesses to identify their strengths and weaknesses. Analyze their offerings, pricing strategies, marketing tactics, and customer feedback.
  • Identify gaps and opportunities: Look for gaps in the market that your agency can fill. Identify areas where competitors may be lacking, such as limited destinations, poor customer service, or outdated technology.
  • Join industry forums and attend trade shows to connect with professionals and gain insights into the latest trends.
  • Monitor social media platforms and online communities to gather feedback from potential customers and understand their preferences.
  • Consider conducting a SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) to assess both internal and external factors impacting your agency.

By thoroughly researching industry trends and competition, you will be better equipped to develop a unique value proposition and tailor your virtual reality tourism agency to meet the needs and desires of your target market.

Conduct Market Analysis

Conducting a thorough market analysis is crucial for the success of your virtual reality tourism agency. It allows you to gain insights into the current market trends, identify your target audience, and understand the competitive landscape. Here are the key steps to conduct a comprehensive market analysis:

Tips for conducting market analysis:

  • Research industry reports and publications to gather knowledge about the virtual reality and tourism sectors.
  • Identify the key players in the virtual reality tourism industry and analyze their offerings, pricing strategies, and target markets.
  • Conduct surveys and interviews to gather feedback from potential customers and understand their preferences and requirements.
  • Analyze the demand and adoption rate of virtual reality technology in the tourism industry, considering factors such as consumer interest, technological advancements, and market growth projections.
  • Assess the regulatory landscape and any legal requirements that may impact your virtual reality tourism agency.

By conducting a comprehensive market analysis, you will be equipped with valuable insights that can guide your business strategy, help you identify unique opportunities, and make informed decisions. It will also enable you to position your virtual reality tourism agency effectively in the market, ensuring that you stand out from the competition and meet the needs of your target audience.

Define Unique Selling Proposition

In order to stand out in the competitive virtual reality tourism industry, it is essential to clearly define your unique selling proposition (USP). Your USP is what sets your Virtual Reality Tourism Agency apart from competitors and gives it a distinct advantage that appeals to your target market.

1. Identify your agency's key differentiators: Start by identifying the key features or aspects of your virtual reality tours that make them unique. Are you offering a wider range of destinations? Do you provide more interactive elements or personalization options? Are you using the latest VR technology to create more realistic experiences? Understanding and emphasizing these unique features will help you create a compelling USP.

2. Focus on customer value: Your USP should revolve around the value your agency offers to customers. Consider what benefits or experiences your virtual reality tours provide that cannot be found elsewhere. Are you giving customers an opportunity to explore ancient ruins that are otherwise inaccessible? Are you offering immersive cultural experiences that go beyond just sightseeing? Your USP should clearly communicate how your tours add value and enhance the overall travel experience.

3. Address pain points: Identifying and addressing pain points in the virtual reality tourism industry can also contribute to a strong USP. Are there specific challenges or frustrations that travelers face when planning and booking traditional trips? If so, highlight how your agency's virtual reality tours alleviate these pain points. Whether it's eliminating the need for extensive travel planning or overcoming physical limitations, positioning your agency as a solution to common travel challenges can be a powerful USP.

  • Conduct market research to understand your target market's needs and preferences.
  • Stay updated with the latest industry trends to identify gaps in the market.
  • Highlight the uniqueness of your virtual reality experiences in your marketing materials and promotional campaigns.
  • Test different USP statements to see which resonates the most with your target audience.

Determine Business Objectives and Goals

Once you have identified your target market, researched industry trends and competition, and conducted a market analysis, it is crucial to determine your business objectives and goals. This step will help you establish a clear direction for your Virtual Reality Tourism Agency and provide a framework for measuring your success in the future.

When determining your business objectives and goals, consider both short-term and long-term aspirations. Short-term goals can be achieved within a specific timeframe, usually one year, while long-term goals span over several years.

Here are some tips to help you determine your business objectives and goals:

  • Define specific, measurable, attainable, relevant, and time-bound (SMART) goals. This will ensure that your objectives are clear, manageable, and aligned with your overall business strategy.
  • Consider the growth rate you aim to achieve in terms of customer base, revenue, and market share.
  • Focus on your unique selling proposition (USP) and how you can differentiate your Virtual Reality Tourism Agency from competitors.
  • Align your objectives with market trends and consumer demands. This will help you capitalize on opportunities and stay relevant in the industry.
  • Regularly review and revise your objectives and goals based on market dynamics and the growth stage of your business.

By determining your business objectives and goals, you will be able to create a roadmap for success and guide your decision-making process in the future. It will also allow you to communicate your vision effectively to potential stakeholders, such as investors, partners, and employees.

Develop A Comprehensive Marketing Strategy

In order to successfully promote and market your Virtual Reality Tourism Agency, it is essential to develop a comprehensive marketing strategy. This will help you reach your target audience, increase brand awareness, and ultimately drive bookings and sales. Here are some key steps to consider when developing your marketing strategy:

  • Identify Your Target Audience: Begin by identifying your target market and understanding their needs, preferences, and motivations. This will allow you to tailor your marketing messages and campaigns to resonate with your ideal customers.
  • Build a Strong Online Presence: As a virtual reality tourism agency, it is crucial to have a strong online presence to showcase your VR experiences and engage with potential customers. Develop a visually appealing and user-friendly website that highlights your unique selling propositions and offers seamless booking options.
  • Utilize Social Media: Leverage popular social media platforms to reach a wider audience and engage with potential customers. Create compelling content that showcases the immersive and lifelike experiences your agency offers. Encourage users to share their virtual travel experiences using designated hashtags to enhance brand visibility.
  • Content Marketing: Create and distribute high-quality content that educates and entertains your target audience. This could include blog posts, videos, and infographics that provide insights into different destinations, travel tips, and behind-the-scenes footage of your virtual tours.
  • Partner with Influencers: Collaborate with influential travel bloggers, vloggers, and social media influencers who align with your brand values and have a relevant following. Their endorsements and reviews can greatly amplify your reach and credibility.
  • Offer Special Promotions and Incentives: Encourage bookings by offering exclusive promotions, discounts, or early-bird incentives. This will create a sense of urgency and entice potential customers to experience your virtual tours.
  • Stay updated with the latest VR trends and technologies to ensure your virtual experiences remain cutting-edge and immersive.
  • Monitor customer feedback and reviews to continuously improve your services and address any concerns promptly.
  • Consider hosting virtual events or webinars to showcase your VR experiences and engage with a larger audience.
  • Collaborate with travel agencies, hotels, and other tourism-related businesses to cross-promote each other's offerings.

Create a Financial Plan and Budget

Creating a financial plan and budget is crucial for the success of your Virtual Reality Tourism Agency. It allows you to have a clear understanding of your expenses, revenue projections, and overall financial health. Here are some important steps to consider when creating your financial plan and budget.

  • Estimate startup costs: Begin by estimating the cost of setting up your agency, including the purchase of VR equipment, software, marketing expenses, and hiring any necessary personnel. This will give you a starting point for your budget.
  • Research market rates: Look into the pricing strategies of similar VR tourism agencies or virtual travel platforms to get an idea of how much you can charge for your virtual tours. Consider factors such as the length and complexity of the tours, quality of the VR experience, and the unique features you offer.
  • Forecast revenue: Determine how much revenue you expect to generate from each VR travel package or virtual tour. Consider factors such as the number of customers, pricing, and any additional revenue streams, such as partnerships or collaborations with local businesses.
  • Track expenses: Keep track of all your expenses, including VR equipment maintenance, marketing costs, software subscriptions, and any other operational expenses. This will help you understand where your money is going and identify areas where you can optimize spending.
  • Monitor cash flow: It's essential to regularly monitor your cash flow to ensure you have enough funds to cover your expenses. Set up a system to track incoming revenue and outgoing expenses, allowing you to make informed financial decisions and avoid potential cash flow problems.
  • Consider potential ROI: Evaluate the return on investment (ROI) for each VR travel package or virtual tour you offer. Calculate the revenue generated minus the expenses incurred to determine the profitability of each offering. This analysis can help you decide which tours or packages to prioritize and refine your pricing strategy.
  • Consider offering different pricing tiers for virtual tours, such as basic, premium, and VIP, to cater to different customer segments and increase revenue potential.
  • Regularly review and update your financial plan and budget as your agency grows and evolves.
  • Avoid underestimating expenses and overestimating revenue to ensure your financial projections are realistic.
  • Explore potential funding options, such as investors or small business loans, to support your initial startup costs and future expansion plans.

Identify Potential Partnerships And Collaborations

When establishing a Virtual Reality Tourism Agency , identifying potential partnerships and collaborations is crucial for the success and growth of your business. By forging strategic alliances with relevant industry players, you can leverage their expertise, resources, and customer base to enhance your offerings and reach a wider audience. Here are some steps to consider when identifying potential partnerships and collaborations:

1. Research industry players:

2. attend industry events:, 3. reach out to industry influencers:, 4. seek out complementary businesses:, 5. collaborate with content creators:.

Remember that when identifying potential partnerships and collaborations, it is important to ensure that the values, goals, and objectives of both parties align. Look for partners who share a similar vision and can contribute to the overall growth and success of your Virtual Reality Tourism Agency.

Establish A Team And Roles

To successfully launch and operate a Virtual Reality Tourism Agency, it is crucial to establish a strong team and define clear roles and responsibilities. Assembling a knowledgeable and skilled team will ensure that every aspect of the business is well-managed and that the agency can deliver exceptional virtual reality experiences to its customers. Here are the key steps to establishing a team and defining roles:

  • Determine the core team: Identify the key positions required for the agency's operations, such as a CEO, CTO (Chief Technology Officer), Creative Director, Marketing Manager, and Operations Manager. Each team member should possess expertise in their respective fields and be passionate about the business idea.
  • Define responsibilities and roles: Clearly outline the responsibilities and roles for each team member. This includes defining job descriptions, outlining reporting structures, and establishing lines of communication. Ensure that there is clarity and transparency regarding tasks to avoid confusion and promote efficiency.
  • Recruit talented individuals: Seek out professionals with the necessary skills and experience in virtual reality, travel industry, marketing, technology, and customer service. Consider advertising job openings on relevant platforms, conducting thorough interviews, and selecting candidates who align with the agency's mission and values.
  • Create a collaborative environment: Foster a culture of teamwork and collaboration within the agency. Encourage open communication, regular team meetings, and brainstorming sessions. Building a collaborative environment allows for creative ideas to flourish and ensures that everyone is working towards a shared vision.
  • Empower employees: Provide team members with the tools, resources, and training needed to excel in their roles. Encourage professional development and invest in continuous learning opportunities related to virtual reality technology, travel industry trends, and customer service best practices. Empowering employees will enable them to contribute their best efforts towards the agency's success.
  • Outsource when necessary: Consider outsourcing certain tasks or collaborating with external partners to enhance the agency's capabilities and efficiency. This could include partnering with VR technology experts, content creators, or local guides who can enhance the virtual reality experiences offered by the agency.

Tips for Establishing a Successful Team:

  • Clearly communicate the agency's vision, goals, and values to align team members towards a common purpose.
  • Promote a culture of innovation and creativity to encourage team members to think outside the box and propose new ideas.
  • Regularly evaluate team performance and provide constructive feedback to ensure continuous improvement.
  • Build a diverse team with complementary skills and perspectives to foster creativity and problem-solving.
  • Encourage cross-functional collaboration to leverage the expertise of different team members and departments.

In conclusion, writing a business plan for a virtual reality tourism agency requires careful consideration and thorough planning. By following the nine steps outlined in this checklist, you can ensure that your agency is well-equipped to tap into the immense potential of the VR travel industry. Identifying your target market, researching industry trends, and conducting a comprehensive market analysis will provide valuable insights for crafting a unique selling proposition and setting clear business objectives.

Developing a robust marketing strategy, creating a financial plan, and identifying potential partnerships will pave the way for establishing a successful VR tourism agency. Additionally, assembling a talented team and assigning appropriate roles will ensure smooth operations and exceptional customer experiences.

By embracing VR technology and offering immersive virtual tours, your agency can deliver personalized and memorable experiences to customers, revolutionizing the travel industry and redefining the way people explore the world.

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Travel Tour Agency Business Plan

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Sephats Tours

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">, opportunity.

The tourism industry has undergone rapid growth of unsurpassed nature over the last several decades. This has mainly been due to the advent of a ‘borderless’ world and increased information dissemination about the majestic sceneries throughout the world, with the southern African region being no exception.

Sephats Tours intends to provide individual and group travel to leisure clients. Services and products provided by Sephats will initially include pre-arranged tours, custom packages according to clients specifications, travel consultation, and as time progresses making reservations for lodging amongst other related services. Sephats Tours seeks to differentiate itself as the premier adventure travel company in the greater Gaborone (Botswana) area.

We will be focusing on those foreign tourists seeking leisure travel and excursions whilst on vacation in Botswana, with the intention of letting them see and appreciate the numerous attractions in our country. Though we realize that the majority of our tourists come from South Africa we shall be mainly targeting those from Europe and the Americas who often do not have transport or adequate knowledge about the country, unlike their South African counterparts who often do. Hence we shall be mainly targeting those who are not that mobile but wanting to see as many sites as possible. These people often do not want to waste their money on hiring vehicles to move about by themselves, but instead want to be escorted around places of interest by a reliable source. Hence the need to professionally market ourselves and the services we provide, offering a service of uncompromised nature.

Competition

We have identified competing companies, some firmly established, that fill the same needs as Sephats Tours. We intend to market ourselves in such a way that with time competitor customers will choose our service over competitors’ on the basis of our higher quality and informative excursions. 

Sephats Tours is poised to take advantage of this growth and moderate competition in the city travel portion of the industry, with a dedicated and experienced staff, excellent networking, and effective management and marketing. Sephats Tours intends to provide travel and adventure packages to tourists primarily in the Southern region, but also the whole of Botswana. Services and products provided by Sephats will initially include pre-arranged tours, custom packages according to clients specifications, travel consultation, and as time progresses making reservations for lodging amongst other related services. Sephats Tours seeks to differentiate itself as the premier adventure mobile operator in the greater Gaborone area.

Expectations

We foresee a slow initial growth in sales, as we strive to ensure we are known on the market, though operating expenses will be relatively high, and a bump in our sales and revenue generation as we spread our services during expansion.

Collection days are very important. We do not want to let our average collection days get above the client’s actual subscription period under any circumstances. This could cause a serious problem with cash flow, because our working capital situation is chronically tight. However, we recognize that we cannot control this factor easily, because of the relationship we wish to create with our clients.

Financial Highlights by Year

Financing needed.

We wil have 2 investors that will contribute: 

investor 1 – P100,000

investor 2 – P102.000

This will cover all our necessary expenses until we are able to start making a net profit 

Problem & Solution

Problem worth solving.

The tourism industry has undergone rapid growth of unsurpassed nature over the last several decades. This has mainly been due to the advent of a ‘borderless’ world and increased information dissemination about the majestic sceneries throughout the world, with the southern African region being no exception. Customers want to travel, to see the world. They are in need of a company where they can enjoy the sites and the luxuries without having to pay a huge price. 

Our Solution

Sephats Tours intends to provide individual and group travel to leisure clients. Services and products provided by Sephats will initially include pre-arranged tours, custom packages according to clients specifications, travel consultation, and as time progresses making reservations for lodging amongst other related services. Sephats Tours seeks to differentiate itself as the premier adventure travel company in the greater Gaborone area. Customers will think we are well worth the expense 

As it grows it will take on people and expand into related markets and services. It will also look for additional leverage by establishing relationships and representations with appropriate strategic allies.

Target Market

Market size & segments.

We will be focusing on those foreign tourists seeking leisure travel and excursions whilst on vacation in Botswana, with the intention of letting them see and appreciate the numerous attractions in our country. Though we realize that the majority of our tourists come from South Africa we shall be mainly targeting those from Europe and the Americas who often do not have transport or adequate knowledge about the country, unlike their South African counterparts who often do. Hence we shall be mainly targeting those who are not that mobile but wanting to see as many sites as possible. These people often do not want to waste their money on hiring vehicles to move about by themselves, but instead want to be escorted around places of interest by a reliable source. Hence the need to professionally market ourselves and the services we provide, offering a service of uncompromised nature. />Our marketing strategy will be based mainly on making the right service(s) available to the right target customer. We will ensure that our services’ prices take into consideration organizations’ and peoples’ budgets, and that these people know that we exist, appreciate the value of our services, and how to contact us. The marketing will convey the sense of quality in every picture, every promotion, and every publication. Our intension will be to target those individuals and groups looking for leisure activities and places to visit. We realize the need to focus our marketing message and our service offerings. We need to develop our message, communicate it, and make good on it. The decision to establish strategic alliances with several hotels, lodges and travel agencies is aimed at tapping our target market effectively and efficiently.

Current Alternatives

We have identified competing companies, some firmly established, that fill the same needs as Sephats Tours. We intend to market ourselves in such a way that with time competitor customers will choose our service over competitors’ on the basis of our higher quality and informative excursions. A more thorough outline of our main competitors including their strengths and weaknesses follows:

  • XXX:  Located on the first floor of the G Hotel, Gear Adventures specializes in tailor-made safaris throughout Botswana and her neighboring countries. Gear Adventures offers Mobile Wilderness Safaris, Weekend Adventures, One-day explorations and safari operators. Of particular concern to us are the day tours around Gaborone that it offers to G Hotel guests. Research indicated that Gear Adventures is the only operator that offers day trips in and around Gaborone. Several of its services include: [details omitted].
  • YYY:  Arguably one of the most reputable companies in our intended line of business. It has a fleet of nineteen buses comprising two semi-luxury B7 Volvo train-buses, six semi-luxury B7 Volvo, five M/Benz, four Nissan and two DAF buses. All the Volvo buses have radio facilities, and one of the train-buses has toilet facilities. With close to twenty years of experience Mr. K supported by his wife, Mrs. K, are achieving most of what they envisioned when they started their business-to provide a nation-wide road transport service renowned for its efficiency and reliability. The recent launch of a new imported South American double-decker luxury bus serves as testimony of their continued dedication towards providing a good service to their clients.

Pro Tip:

  • ZZZ:  Similar to YYY, Z is well respected in the market with a large fleet of buses. As well as providing daily transport to Selebi Phikwe and several towns it also provides local and international trips by hire. However they lack the marketing edge and foreign tourist focus we intend to have.

Upon closer analysis of the above competitors it may be observed that the majority of these are offering safari excursions, and this represents an opportunity to be realized by us. According to the Central Statistics Office there are approximately 81 travel agents, tour operators and safari operators in Botswana at present, the majority of which have a South African background either in directorship or actual origin.

Our Advantages

Our advantages are best described as our strengths: 

  • Diversified client base:  This will reduce our dependency on one particular market.
  • Combination of skills in employees:  The directors intend to engage well-qualified and experienced employees to jointly develop business strategy and long-term plans, so as to attain company objectives.
  • Extensive advertising and marketing:  The company will undertake extensive advertising and marketing, promoting both its name as well as service/product awareness. Hence an aggressive and focused marketing campaign with clear goals and strategies shall be one of our mainstays.

Keys to Success

The keys to Sephats Tours success will undoubtedly be effective market segmentation through identification of several niche markets and implementation strategies. Along these lines the company intends to implement advertising, personal selling and direct marketing strategies to the target markets. Our personal selling marketing strategies will rotate around keeping in touch with hotels and travel agencies for major customers, and advertising for more individual customers. Hence our key success factors will include the following:

  • Excellence in fulfilling the promise:  We intend to offer completely enjoyable, comfortable and informative travel excursions that will ensure that travelers are thoroughly satisfied and appreciative at the end of their trip.
  • Timely response to customers’ requests:  We cannot afford to delay our clients for whatever reason, as this will have a negative bearing on our image and reputation, including future business. Hence we need to be continually communicating with the client, including hotels and lodges so as to ensure that we are constantly available to the client meeting their expectations.
  • Solid and fruitful strategic alliances:  Considering the nature of our services and our relative infancy on the market, we realize the importance of establishing and maintaining fruitful strategic alliances with various stakeholders, including hotels, lodges, and travel agencies, amongst others, so as be assured of a constant flow of customers, fulfilling their needs at every opportunity.
  • Marketing know-how:  As a relatively new company on the market there will be a need to aggressively market our business and the services we provide so as to be continuously at the top of our prospective clients minds. This will also act as a temporary deterrent for companies contemplating entering our market. Advertising shall be undertaken on a regular basis.

Marketing & Sales

Marketing plan.

One core element of our strategy will be that of differentiation from our competitors. In terms of marketing we intend to ensure that our name and services are marketed on an extensive basis so that customers are aware of our existence. We will have a Social Media Strategy. We will be in Twitter, on Facebook, and on LinkedIn. We will run promotions and sales and have our customers tell us their favorite vacations, and experiences and they will talk to each other. In price, we intend to offer reasonable and competitive prices in comparison to competition and we need to be able to sustain that. Our service marketing will strive to ensure that we establish long relationships with clients.

For the short term at least, the selling process will depend on personal selling/networking and advertising to lure and inform potential customers about the services we offer and the benefits of utilizing our services. Our marketing does not intend to affect the perception of need as much as knowledge and awareness of the service category.

Locations & Facilities

At present the company offices are located at Plot Number 28338, Block 3, Belabela road opposite Gaborone Television Station, near Hill Crest Primary School. However, as time progresses the intention is to move into more accessible and attractive offices in a prime area. This regardless of the fact that our type of business is not too dependent on office location and size.

Sephats Tours will strive to ensure that it contains the latest, or extremely recent personal computer including relevant software so as to ensure that the company is continuously at the forefront in our market arena. The one certainty in our industry is that technology will continue to evolve and develop, changing what we market as well as how we market it. Our aim will be to be aware of the implications of this new technology and utilizing it in our existing framework where possible. However it should be noted that as we are new on the market it will take some time before we have in place our own website and other multimedia presentations. With time we also intend to have the latest and most efficient software in place to enable smooth operations.

Milestones & Metrics

Key metrics.

Our Key metrics are:

  • Tours sold (units, growth from month to month and year to year)
  • Tourists per tour (average, and changes over time)
  • Revenue per tour
  • Revenue per tourist
  • Total tourist prospects (estimates)
  • Facebook likes
  • Twitter follows

Ownership & Structure

Sephats Tours is a Private Limited company incorporated at the Registrar of Companies through the foresight and vision of Mr. X and Mrs. Y. It is a 100% wholly owned Botswana firm.

Management Team

The founders of Sephats Tours are passionate about the activities it will promote and offer on the market. Management style will reflect the participation of the directors/shareholders. The company intends to respect its community and treat all employees well. We will develop and nurture the company as community. However we realize that we are not fully conversant in tourism and as such intend to engage experienced staff as well as undergo a training course from a reputable institution.

The Managing Director’s experience in public commercial transportation and government will assist in the establishment of good networks. He also has attended a course in Auto Mechanics at X Centre that will assist in servicing the vehicles. However acknowledging the importance of continuous training and improvement the Managing Director intends to undergo a course in Travel and Tourism so as to be fully conversant in the field, as well as obtain knowledge of the latest developments in the industry.

Personnel Table

2020 2021 2022
Accountant P30,000 P33,000 P36,300
Tourguide P24,000 P26,400 P29,040
Sales and Marketing P21,600 P23,760 P26,136
Driver P18,000 P18,900 P19,845
Personal Assistant P14,400 P15,840 P17,424
Cleaner (2) P14,400 P15,120 P15,876
Nightwatchman (2) P14,400 P15,120 P15,876
Mechanic (0.67) P15,000 P17,000
Totals P136,800 P163,140 P177,497

Financial Plan investor-ready personnel plan .">

Key assumptions.

Some of the more important underlying assumptions are:

  • We assume a strong economy, without major recession.
  • We assume, of course, that there are no unforeseen changes in economic policy to make our service immediately obsolete or unwanted.

Revenue by Month

Expenses by month, net profit (or loss) by year, use of funds.

Thus far we have purchased a Mercedes Benz mini bus to run tours for our customers, for P167,00, which was purchased with P32,000 down and the rest on a 5-year 6% loan. Other start-up expenses covered include  legal costs, business plan compilation, license costs and related expenses. 

START-UP REQUIREMENTS

Start-up Expenses

  • Legal P1,000
  • Logo, branding. P500
  • Website, collaterals P700
  • Consultants P1,200
  • Insurance P800

TOTAL START-UP EXPENSES P5,000

Sources of Funds

We have 2 investors, investor 1 is investing P100,000, investor 2 is investing 102,000. 

Projected Profit & Loss

2020 2021 2022
Revenue P678,000 P802,000 P916,000
Direct Costs P325,440 P384,960 P439,680
Gross Margin P352,560 P417,040 P476,320
Gross Margin % 52% 52% 52%
Operating Expenses
Salaries & Wages P136,800 P163,140 P177,497
Employee Related Expenses P27,360 P32,628 P35,499
Rent P14,400 P14,400 P14,400
Sales and Marketing P101,700 P120,300 P137,400
Insurance P12,000 P12,000 P12,000
Travel P1,800 P1,800 P1,800
Miscellaneous P2,400 P2,400 P2,400
Maintenance P12,000 P12,000 P12,000
Startup Expenses P5,000
Total Operating Expenses P313,460 P358,668 P392,996
Operating Income P39,100 P58,372 P83,324
Interest Incurred P7,451 P5,978 P4,416
Depreciation and Amortization P16,700 P16,700 P16,700
Gain or Loss from Sale of Assets
Income Taxes P2,242 P5,354 P9,332
Total Expenses P665,293 P771,660 P863,124
Net Profit P12,707 P30,340 P52,876
Net Profit/Sales 2% 4% 6%

Projected Balance Sheet

Starting Balances 2020 2021 2022
Cash P25,365 P46,323 P57,282
Accounts Receivable P43,500 P40,100 P45,800
Inventory
Other Current Assets
Total Current Assets P68,865 P86,423 P103,082
Long-Term Assets P167,000 P167,000 P167,000
Accumulated Depreciation (P16,700) (P33,400) (P50,100)
Total Long-Term Assets P150,300 P133,600 P116,900
Total Assets P219,165 P220,023 P219,982
Accounts Payable P26,085 P22,827 P25,820
Income Taxes Payable P2,242 P1,360 P2,355
Sales Taxes Payable P0 P0 P0
Short-Term Debt P23,869 P25,342 P26,905 P28,564
Prepaid Revenue
Total Current Liabilities P23,869 P53,669 P51,092 P56,739
Long-Term Debt P111,131 P85,789 P58,885 P30,321
Long-Term Liabilities P111,131 P85,789 P58,885 P30,321
Total Liabilities P135,000 P139,458 P109,977 P87,060
Paid-In Capital P202,000 P202,000 P202,000
Retained Earnings (P135,000) (P135,000) (P122,293) (P121,953)
Earnings P12,707 P30,340 P52,876
Total Owner’s Equity (P135,000) P79,707 P110,047 P132,923
Total Liabilities & Equity P0 P219,165 P220,023 P219,982

Projected Cash Flow Statement

2020 2021 2022
Net Cash Flow from Operations
Net Profit P12,707 P30,340 P52,876
Depreciation & Amortization P16,700 P16,700 P16,700
Change in Accounts Receivable (P43,500) P3,400 (P5,700)
Change in Inventory
Change in Accounts Payable P26,085 (P3,258) P2,993
Change in Income Tax Payable P2,242 (P882) P995
Change in Sales Tax Payable P0 P0 P0
Change in Prepaid Revenue
Net Cash Flow from Operations P14,234 P46,300 P67,864
Investing & Financing
Assets Purchased or Sold (P167,000)
Net Cash from Investing (P167,000)
Investments Received P202,000
Dividends & Distributions (P30,000)
Change in Short-Term Debt P1,472 P1,563 P1,659
Change in Long-Term Debt (P25,342) (P26,905) (P28,564)
Net Cash from Financing P178,131 (P25,342) (P56,905)
Cash at Beginning of Period P0 P25,365 P46,323
Net Change in Cash P25,365 P20,958 P10,959
Cash at End of Period P25,365 P46,323 P57,282

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virtual tourism business plan

Most Democrats want Biden to step aside, making a plan to crown him the nominee early even more controversial

  • Democrats are moving ahead with a plan to crown President Joe Biden as their nominee earlier than expected.
  • The Democratic National Committee is set to hold a virtual roll call vote before the convention.
  • Their effort would help Biden head off any formal challenge to step aside.

Insider Today

President Joe Biden urged skeptical Democrats to challenge him on the convention floor. But under a controversial plan, he would already be the Democratic Party's presidential nominee when delegates gather in Chicago.

Top national Democrats have pledged to move ahead with a virtual roll call vote, which would head off any messy fight on the convention floor. Legally speaking , it would also make it far more difficult to replace Biden once he is formally declared the nominee.

This is why some of Biden's biggest skeptics are railing against the plan.

"Fast-forwarding the nomination process is no way to convince the many unconvinced voters in the growing number of battleground states," Rep. Lloyd Doggett of Texas said in a statement. "Those so eager to overly protect President Biden ignore his own words inviting anyone questioning his nomination to do so at the Convention."

In a letter to other top Democrats, Minnesota Gov. Tim Walz and Leah Daughtry, who co-lead the Democratic National Committee's Rules Committee, defended the plan to move forward with the virtual vote. They said a Friday meeting would further discuss how the vote would work.

"We will not be implementing a rushed virtual voting process, though we will begin our important consideration of how a virtual voting process would work," they wrote.

Related stories

Walz said a vote would not happen before August 1. Each of the more than 4,000 delegates elected to participate in the national convention would be able to vote in a virtual vote. Josh Putnam, a respected expert on the delegate selection process, wrote on X that it is possible that superdelegates, which include influential party leaders, could vote as well.

Doggett was the first congressional Democrat to call on the president to step aside in the wake of Biden's disastrous debate performance — 19 other Democrats have now joined him. As Doggett pointed out, Biden once goaded skeptical Democrats to challenge him on the floor in Chicago.

"I'm getting frustrated by the elites in the party, 'Oh, they know so much more,'" Biden said during an interview with MSNBC's "Morning Joe" on July 8. "Any of these guys that don't think I should run, run against me. Announce for president, challenge me at the convention."

Ostensibly, Democrats are pressing ahead because they are concerned that Biden and Vice President Kamala Harris might not make the ballot in every state. The Democratic National Committee began putting a back-up plan in May when Ohio looked like it could not change its ballot deadline. Since then, Gov. Mike DeWine, a Republican, called a special session of the state legislature. On May 31, he signed a law ensuring Biden would be on the ballot.

But some of the party's top leaders are still not convinced.

"If we were in a simpler time, we've trusted each other and got it done," Minnesota Gov. Tim Walz, speaking at a news conference on behalf of Biden's reelection, told reporters in Milwaukee, per CNN.

Walz added, "I don't trust them in Ohio to do this."

In their letter, Walz and Daughtry also cited concerns about deadlines in Washington, Montana, Oklahoma, and Virginia.

Democratic National Committee chairman Jaime Harrison got into a heated back-and-forth with journalist Nate Silver, who rose to fame as an election analyst, on Tuesday after Silver repeatedly pointed out that Ohio had changed its law.

"Love y'all but when it comes to election law and ballot access, I put my trust in our legal team who make a living understanding these laws and processes & not in the pollster who promised us the red wave. #ClassDismissed," Harrison said, misidentifying Silver's profession.

There's no 8/7 deadline. You're making that up. Ohio passed legislation so that whomever is nominated at the Democratic Convention will be on the November ballot. Have some guts and defend your party's ability to follow its own process. And stop lying to the American public. https://t.co/OXl0SAPpld — Nate Silver (@NateSilver538) July 17, 2024

Election law experts have called out Democrats' justifications, saying they are really just designed to help Biden run out the clock on any challenge.

"Respectfully, these are makeweight arguments designed to deflect attention from the Biden/DNC plan to run out the clock, which has been discernible since at least early last week," University of Wisconsin Law School Dean Daniel Tokaji wrote on an election blog hosted by fellow respected expert Rick Hasen, a law professor at UCLA.

Hasen has called out the claim that Ohio could try to bait and switch Democrats. He argued that if something like that were to occur, then Democrats could use the statements of Ohio Republican leaders in a potential lawsuit.

"I don't think it's serious to say that Democrats need do a virtual roll call to assure their party's nominee will be on the ballot. This is about politics, not law," Hasen wrote.

The reality is that Biden still hasn't quieted his doubters.

Biden has repeatedly declared he's not going anywhere. He's stepped up his campaign schedule and granted more interviews. Still, the doubts about his standing persist, especially after two shaky interviews earlier this week.

An unnamed House Democrat told Politico, "Quiet efforts continue to urge the president to step aside, and team Biden remains dug in."

An AP-NORC poll is likely to fuel those doubts. The poll, which was released on Wednesday, found that nearly 2/3rds of Democrats want Biden to step aside.

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Huge Microsoft Outage Caused by CrowdStrike Takes Down Computers Around the World

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Banks, airports, TV stations, health care organizations, hotels, and countless other businesses are all facing widespread IT outages, leaving flights grounded and causing widespread disruption, after Windows machines have displayed errors worldwide.

In the early hours of Friday, companies in Australia running Microsoft’s Windows operating system started reporting devices showing Blue Screens of Death (BSODs). Shortly after, reports of disruptions started flooding in from around the world, including from the UK, India, Germany, the Netherlands, and the US: TV station Sky News went offline, and US airlines United, Delta, and American Airlines issued a “ global ground stop ” on all flights.

The widespread Windows outages have been linked to a software update from cybersecurity giant ​​CrowdStrike. It is believed the issues are not linked to a malicious cyberattack, cybersecurity officials say, but rather stem from a misconfigured/corrupted update that CrowdStrike pushed out to its customers.

“Earlier today, a CrowdStrike update was responsible for bringing down a number of IT systems globally," said a Microsoft spokesperson in a statement. "We are actively supporting customers to assist in their recovery.”

Engineers from CrowdStrike posted to the company’s Reddit forum that it has seen “widespread reports of BSODs on Windows hosts” occurring across its software, is working on the problem, and has advised a workaround for impacted systems . It also issued instructions to its customers in an advisory .

The incident has only impacted devices running Windows and not other operating systems. It's unclear exactly how widespread the issues are and how long they will take to resolve.

Hours after the issues started to emerge, CrowdStrike CEO George Kurtz issued a statement about the outages, saying the company has found a “defect” in an update for Windows that it issued. “This is not a security incident or cyberattack,” Kurtz said . “The issue has been identified, isolated, and a fix has been deployed.” In the statement, Kurtz confirmed that Mac and Linux hosts are not impacted by the update and said that its customers should refer to its support portal. He later apologized for the incident during a television interview .

At the same time as the CrowdStrike issues emerged, Microsoft was also dealing with its own, apparently unrelated, outage of its Azure cloud services . The company says the two incidents are not linked.

How Soon Might the Atlantic Ocean Break? Two Sibling Scientists Found an Answer&-and Shook the World

The outages could result in “millions” being lost by organizations impacted who have had to halt their operations or stop business, says Lukasz Olejnik, an independent cybersecurity consultant, who says the CrowdStrike update appears to be linked to its Falcon Sensor product. The Falcon system is part of CrowdStrike’s security tools and can block attacks on systems , according to the company.

“It reminds us about our dependence on IT and software,” Olejnik says. “When a system has several software systems maintained by various vendors, this is equivalent to placing trust on them. They may be a single point of failure—like here, when various firms feel the impact.”

The outage stemming from the CrowdStrike update has had a huge knock-on impact on public services and businesses around the world. Scores of airports are facing delays and long queues, with one passenger in India sharing a hand-written boarding pass that they have been issued. In the hours after the outages first emerged, more than 4,000 flights around the world have been canceled, although not all of them may have been directly linked to the disruption .

Image may contain: Cutlery, Fork, Electronics, Logo, and Hardware

Within health care and emergency services, various medical providers around the world have reported issues with their Windows-linked systems, sharing news on social media or their own websites. The US Emergency Alert System, which issues hurricane warnings, said that there had been various 911 outages in a number of states. In Portland, mayor Ted Wheeler declared a city emergency as a result of some of the outages, although also said many systems were being restored. White House officials say president Joe Biden has been "briefed" on the CrowdStrike outages and his team is monitoring the situation.

Germany’s University Hospital Schleswig-Holstein said it was canceling some nonurgent surgeries at two locations . In Israel, more than a dozen hospitals have been impacted, as well as pharmacies, with reports saying ambulances have been rerouted to unimpacted medical organizations.

In the UK, NHS England has confirmed that GP appointment and patient record systems have been affected by the outages. One hospital has declared a “critical” incident after a third-party IT system it used was impacted. Also in the country, train operators have said there are delays across the network, with multiple companies being impacted.

Indicating the far-reaching nature of the disruption, the organizers of the Paris Olympics, which is due to start next week, said that its systems have been impacted in a “limited way.” According to a statement from the organizers, the affected systems are linked to the delivery of uniforms and its ticketing system hasn’t been impacted.

Among other services, CrowdStrike provides endpoint detection and response (EDR) to companies around the world. This EDR technology runs on thousands of “endpoints”—such as computers, ATMs, and internet-of-things devices—and scans them to identify real-time threats, such as malicious activity from cybercriminals. The company has more than 24,000 customers around the world.

Cybersecurity researcher Kevin Beaumont posted on X that he has seen a copy of the CrowdStrike update that was issued and says the file isn’t properly formatted and “causes Windows to crash every time.” Beaumont says, in further posts, that it appears there isn’t an automated way to fix the issues, at least currently. This may mean that impacted machines need to be manually rebooted before they can come back online, a process that could take hours or days depending on the impacted entity.

Brody Nisbet, the director of overwatch at CrowdStrike, also posted on X indicating that the workaround fix the company had issued involves booting up Windows machines into safe mode, finding a file called “C-00000291*.sys,” deleting it, and then rebooting the machine normally. “There is a fix of sorts so some devices in between BSODs should pick up the new channel file and remain stable,” Nisbet posted.

Update 7/19/24 1:35pm ET: This story has been updated with further comment from Microsoft, and additional details about the outage's impacts.

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Caught in the CrowdStrike Outage? Here’s How to Get Compensated.

Air travelers paying for last-minute lodging and other expenses are entitled to be reimbursed if their flight was impacted by an event in the airline’s control, like the CrowdStrike failure. Here’s how to get your money back.

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In a crowded airport terminal, a man wearing athletic clothes rests against his suitcase and other luggage, watching a mobile phone with a basketball at his side.

By Christine Chung

The global software outage last week caused thousands of travelers flying in the United States and internationally to have their flights delayed, canceled or both. In the days that followed, some airlines were trying to reboot critical computer systems affected by the outage, with many of their passengers still stranded at airports.

During a travel meltdown, it may seem nearly impossible for air travelers to find immediate help . Gate agents are swamped, customer service phone lines have hourslong hold times, and seemingly confusing or incomplete instructions online only add to the headaches.

Passengers who foot the bill for last-minute lodging and other expenses are entitled to reimbursement if their flights were impacted by an event in the airlines’ control, like the CrowdStrike outage. Here’s how to get your money back.

[Are you seeking compensation from an airline following the Crowdstrike outage? We want to hear from you .]

If they caused the disruption, airlines owe passengers assistance

It is the airline’s fault when a situation under their control — issues with crew, maintenance, baggage and fuel, or software outages — leads to a delay or cancellation. Weather and air traffic control issues do not count. On Friday, the Transportation Department noted that this I.T. outage fell under the control of the airlines.

What passengers will get from airlines depends on how long they were forced to wait, but it could include transport to and from hotels and the costs of accommodation.

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    Explore the transformative potential of Virtual Reality (VR) in tourism, examining its benefits salongside diverse applications. (+971) 8007 4267 (+91) 946 340 7140 ... Plan a strategic launch campaign targeting VR enthusiasts, travel communities, and tech media outlets to generate buzz and excitement around the virtual travel app. Gather user ...

  12. How To Start A Virtual Tour Business and Get Your First Clients

    The 3 Things You Need To Start A Virtual Tour Company. When you are starting your virtual tour business, there are only 3 things you need. Hardware ( 360 camera and accessories ), virtual tour software you can private label (like CloudPano.com) and paying clients. This article is focused on creating consistent paying clients into your business.

  13. Virtual tourism can rebuild travel for a post-pandemic world

    Anu Pillai. Augmented, virtual and mixed reality technologies can offer alternative ways to travel the world and an exciting new model for the industry. The tourism industry has hit a nadir owing to the COVID-19 pandemic. It will continue to feel the effects for at least the first three quarters of 2021 - according to a recent UN report ...

  14. How to Create a Virtual Tour: A Beginner's Guide

    To create a virtual tour, you'll need: A 360° camera: We recommend the Insta360 ONE X, an easy-to-use, all-in-one 360° camera that records 5.7K video and 18MP photos. A tripod: A tripod is essential for keeping your camera steady and ensuring smooth, professional-looking footage. Optional: A smartphone or tablet: You'll need a smartphone ...

  15. Virtual Reality: Insights and Opportunities in the Travel Industry

    The emergence and increasing use of virtual reality is one of the most notable trends in the travel industry. Learn more about this trend and several others in the recently published, free ATTA report, 20 Adventure Trends to Watch in 2018.

  16. Benefits of Virtual Reality in the Tourism and Travel industry

    The primary benefit of Virtual Reality in the tourism and travel industry is to initially provide a kind of 'try before you buy' option. The immersive nature of VR enables everyone to experience a virtual version of a hotel room, attraction, or unique selling point. VR can cause strong emotions more convincingly than just viewing images or ...

  17. 5 Important Benefits Of Virtual Reality In Tourism Businesses

    The main reason why a virtual tour can get more results is the freedom of control and the engaging elements in the tour. People love to have more control when researching and this will definitely help convince them to book a package with you. 2. Time-Saving and Cost-Effective. A couple of concerns many people have is.

  18. How to Start a Tourism Business: A Step-by-Step Guide

    The tourism industry, much like an uncharted terrain, necessitates a thorough exploration. Having a comprehensive game plan will prevent you from losing your bearings amid the wilderness. So, fasten your seatbelts and put on your thinking caps; it's time to traverse the exciting topography of creating a successful tourism business.

  19. A Step-by-Step Guide: How to Start an Online Travel Agency (OTA)

    Conduct thorough market research to understand the current travel trends, competition, and customer preferences in the travel industry. Identify your target audience, their needs, and the niche you want travel company to focus on (e.g., luxury travel, budget travel, adventure travel, etc.). 2. Create a business plan.

  20. How To Create a VR Tourism Agency Business Plan: Checklist

    Welcome to our blog post on how to write a business plan for a Virtual Reality Tourism Agency. With the rapid advancements in technology, the virtual reality industry has experienced tremendous growth in recent years. According to the latest statistics, the global VR market size is projected to reach $44.7 billion by 2024, indicating the ...

  21. Travel Tour Agency Business Plan Example

    P25,365. P20,958. P10,959. Cash at End of Period. P25,365. P46,323. P57,282. Download This Plan. Explore a real-world travel tour agency business plan example and download a free template with this information to start writing your own business plan.

  22. What We Know About the Global Microsoft Outage

    Across the world, critical businesses and services including airlines, hospitals, train networks and TV stations, were disrupted on Friday by a global tech outage affecting Microsoft users.

  23. Why Delta is still canceling flights as other airlines return to normal

    Three days after a computer update problem caused more than 5,000 flight cancellations around the world in a single day, things are pretty much back to normal — except at Delta Air Lines.

  24. Controversial Plan to Crown Biden the Nominee Early ...

    In a letter to other top Democrats, Minnesota Gov. Tim Walz and Leah Daughtry, who co-lead the Democratic National Committee's Rules Committee, defended the plan to move forward with the virtual vote.

  25. Airbus Starts Cost-Saving Plan as Aviation Industry Turns Gloomy

    Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world

  26. Southwest Airlines is getting rid of open seating

    The airline went 47 consecutive years without reporting an annual loss - until 2020, when the pandemic nearly halted all demand for air travel. Southwest's fleet is made up entirely of Boeing ...

  27. Huge Microsoft Outage Linked to CrowdStrike Takes Down ...

    Banks, airports, TV stations, health care organizations, hotels, and countless other businesses are all facing widespread IT outages, leaving flights grounded and causing widespread disruption ...

  28. How to Get Compensated If You Were Caught in the CrowdStrike Outage

    Check the fine print of your credit card agreement or travel insurance policy. If you purchased travel insurance, the policy could cover certain types of trip interruptions, including select air ...

  29. Democrats Finalize Plan to Nominate Harris Before Convention

    The virtual roll call would take place the first week of August and formalize the result of a remarkable 32-hour blitz in which Harris won the support of a majority of delegates without a single ...

  30. Microsoft outage: Frontier and other airlines were at a ...

    A significant Microsoft outage brought low-cost carrier Frontier Airlines and some competitors to a standstill for hours after a regulator halted departures. A regulator halted departures for ...