An analysis of supply-side relationships in small island destinations: the role of tour operators, travel agencies and tourism transport in the Canary islands

Small island locations face particular challenges when seeking to compete within the international tourism marketplace. This paper is set in the context of island tourism development, with a particular focus on Spain's Canary Islands. With this context in mind, this paper notes that the tourism transport and distribution sectors in small islands (as elsewhere) are facing profound changes in their structure, particularly where tour operators and travel agencies are concerned. New reservation distribution systems (GDS and CRS) and interactive television systems are setting new guidelines for the sector. The worldwide platform of the Internet has created a new context, which is rapidly emerging and becoming ever more dynamic. For this reason, travel organizations are required to explore the proliferation of management tools that facilitate the establishment of new competitive strategies and positioning in an increasingly volatile area, with new products and operational models to be found in both demand and supply. This exploratory study addresses issues raised in a survey of a sample of hotel and travel agency managers in the Canary Islands, relating to specific supply-side relationships within the transport and tourism distribution sectors.