The factors that Influence Participation and usage Decisions of Destination Management System (DMS) by regional SMTEs

Abstract: The tourist industry plays an immense role in the socio-economic development of different regions. Destination Management Systems (DMS) are significant in developing e-tourism. DMS integrate data from Small and Medium-Sized Tourism Enterprises (SMTEs) in order for tourists to find information about e.g. accommodation, restaurants and attractions of a certain location. Although being represented in a DMS has proven to be advantageous, not all SMTEs are participating in such systems. This thesis aims to explore the possible factors that influence, motivate and inhabited regional SMTEs to participate in DMS and to create a framework from these factors. Data was collected by semi-structured interviews performed with respondents from SMTEs in Jönköping County, Sweden and Liverpool City, United Kingdom. The transcriptions from the interviews were analyzed by content analysis in order to create categories of factors. The motivating factors were categorized in technological, organizational and external factors. Technological factors were user friendliness, system quality, effectiveness, information quality, system performance, system updates and information up-dates. The organizational factors were management support, available resources and the size of the organization. The external factors competitive pressure, cost effectiveness, distribution channel, user satisfaction and to provide quality services to customers. The inhibiting factors were categorized into administration factors and communication factors, where the predominant factor was lack of know-how. The communication factors were lack of available information and lack of communication between organizations. To increase SMTEs’ participations in DMS, Destination Management Organizations need to enhance communication, develop marketing strategies and clearly explain the benefits of participation the SMTEs.