Chapter 4 – National Digital Tourism Mission
4.1.
Digitalization, Innovation and Technology – to drive competitiveness in tourism
4.1.1. Digitalization – offers unprecedented opportunities
The Policy recognizes that digitalization, innovation and technology in tourism sector
presents opportunities for tourism enterprises to expand their market reach,
increase growth, improve operational efficiencies, and sharpen their competitive
edge. At a collective level, it will help to develop and customize product offerings,
improve destination connectivity, generate data to track performance, and help to
improve destination management. Over the long term, digital transformation can
unlock innovation and ensure the competitiveness of India’s tourism sector.
4.1.2. Digitalization – fragmented tourism sector has many challenges
The Policy recognizes that the tourism sector is highly fragmented, and subsectors
such as transport, accommodation, restaurants and catering, and personal services
are all subject to very different challenges and opportunities, when it comes to
digitalization. There are significant differences in human resource capabilities,
varying levels of access to financial and non-financial resources, different levels of
awareness, and variations in digital skills.
4.1.3. Digitalization – Micro, Small and Medium Enterprises (MSMEs) lagging behind
The Policy also recognizes that the advantages of digitalization notwithstanding,
MSMEs are lagging behind in the digital transition, and many small traditional
tourism businesses are struggling to understand the opportunities and reap the
benefits. MSMEs that do not invest in their digitalization will not survive, let alone
thrive in the future.
4.1.4. Need to fully embrace digitalization
Destinations, businesses and the wider tourism sector will need to fully embrace new
technologies to remain competitive, and to take advantage of the innovation,
productivity and value creation potential. Digitalization requires a fundamental
change in thinking and doing (“mind set”) and therefore presents the tourism
industry with crucial challenges.
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