Smart cities and tourism

Which smart tourism experiences are more likely to enhance

the destination attractiveness

Sarah Poupineau

I Introduction

Why are cities more important than ever

The process of accelerated urbanization on the world scale profoundly modifies the

inhabitantrsquos way of living Today more than half of the world population lives in

cities In 2050 it is estimated that this will increase by 70 (World Health

Organization 2016)This urbanization is characterized by an increase of cities over

one million in population in addition to megalopolis (cities with more than 10 million

inhabitants) Their geographical distribution is unequal around the globe The future

of the planet is partly at risk in those sprawling cities where each month 5 million

people settle How does one live decently in such cities where the priority is to find a

place to live In those megalopolis disparate forms of architecture coexist buildings

Smart tourism is a new trendy expression related to the increasing

reliance of cities destinations and their tourists on new innovative

forms of ICT that allow to transform massive amount of data into

valuable offers However the concept of smart tourism lacks

theoretical development The report will attempt to define a

successful smart city and understand the change in the tourist

experience by shedding light on current smart tourism trends This is

followed by a cross-study analysis aiming to complement information

on key success factors for a touristic project It will also make a point

on the contribution of smart touristic initiatives achieving

attractiveness of the destination The paper further draws attention to

the obstacles criticism and impacts of such projects

Keywords Smart cities bull Smart technologies bull Tourism experience bull

Case Study bull Smart destination bull

neighbour open-air rubbish dumps Slums account for half of the urban world

population integrating new migrants searching for a job in the city

Another global phenomenon of the Western world that left a mark on modern Asian

cities is the importance given to the automobile in urban planning Transport

infrastructures have deeply modified cities but not only this they have also impacted

the relationship between the available space for traffic and the city life This has led

to a fragmentation of the urban landscape and the development of residential

enclaves while upsetting a coherent integration of the population In light of city

growth and other environmental issues certain decision-makers and planners have

embarked on the development of the smart city concept At its core is the idea of

optimizing networks which criss-cross cities (water electricity transportation waste)

thanks to digital highways The development of such gigantic cities gives rise to new

ways of thinking with a view to living together better it takes into account social and

ecological problems in order to avoid the worst scenarios

Smart cities are providing an alternative answer

What is a smart tourism experience

Smart technologies have received a widespread interest in the field of tourism

Technology has not only become an integral part of tourism but has revolutionized

the way travelling is planned New business models are emerging thanks to smart

technologies in the tourism sectors (Buhalis 2003) Mobile applications virtual

reality cloud computing open innovation on-location based services are all

examples of smart innovations enhancing the tourism experience (Wang et al 2012)

The city appeals as a place where all the opportunities for lsquobeing a protagonistrsquo is

affecting the choice of the tourist destination Indeed cities have become one of the

preferred places of the current tourist demand

Particularly reinforced with the new collaborative dimensions of technologies the

market place has undergone a kind of revolution with tourists playing an active and

interactive role in the experience In this vein Gretzel and Jamal (2009) question the

successful integration of technology into the tourist experience

Yet the understanding of the key success factors for a smart tourism experience is

limited Recent research recognizes the potential of technology for more

personalized interactive and socially engaged experience (Neuhofer 2013)

Zhang et al (2012) suggest that to set up a smart-tourism system 4 forms of

Information Computers Technologies (ICTs) are vital Internet of Things (IoT)

cloud computing mobile technology and artificial intelligence

Despite an increasing number of smart tourism studies research exploring the smart

tourism experiences and its relationship with destination attractiveness research

remain fairly scarce (Gretzel 2011) Based on this fact the aim of the report is to

bridge the gap between enhanced tourism experience and destination attractiveness

to address the research question of ldquoWhich smart tourism experiences are more

likely to enhance the destination attractivenessrdquo It is hoped that this study can

give useful directions for the diagnosis of the key success factors of a smart tourism

experience in a smart city by means of several cases study approach

The paper first assesses the current literature on smart cities and tourist experience

followed by the outline of the methodological approach It then presents the research

findings related to the success factors of a touristic experience in a smart city

Finally it highlights several criticisms and discusses limitations and suggestions for

further studies

II Literature review

Definition of smart cities

The innovative city

The smart city is based on the identification of millions of elementary occurrences

from recording traffic hotspot evaluating individualrsquos energy consumption to

measuring air pollution Smart tourism is becoming a big contributor and benefactor

of the ldquosensor societyrdquo (Andrejevic and Burdon 2015) that is characterized by

ubiquitous always-on data capture During all travel-related activities customers

leave electronic traces like searching a trip planning booking giving feedbacks As

a result it multiplies the sources of data the channels of communications and the

interactions Yet despite the abundance of data few cities are able to interpret and

integrate these data inside their urban system (La Rocca 2013) One key question is

the role of governments in these cities do governments have to take the leading

role in coordinating smart city initiatives despite their own short term engagement

For Coe et al (2001) ldquosmart city governance should encapsulate collaboration

cooperation partnership citizen engagement and participationrdquo They need to break

down their current practice of working in silos and ldquoact as a network of multiple

systemsrdquo (Anne Hidalgo 2016) ldquoCities that can shift from the traditional

bureaucratic approach to using ICT to support e-governance can achieve greater

smart city objectivesrdquo (Moon and Welch 2005) A smart city therefore starts with

smart citizens who are engaged in the process and asked on their opinions

(Mulligan 2013) The Future Space Foundation believes that ldquomaking data more

readily available improves travel experiences for everyone whether they are a

commuter a tourist or a resident exploring everything the city has to offerrdquo Therefore

cities need to ldquoopen-uprdquo to their citizens by offering their data in an easily

accessible and reusable format Moreover open data policies can also foster a

culture of innovation as well as create jobs

The sustainable city

Sustainability and the environment are critical to the urban landscape as cities

account for 80 of CO2 emissions and 75 of global energy consumption Cities no

longer have the option to keep on working the way they have done in the past

There are growing concerns on existing natural resources increasing pressure

regarding the transportation infrastructures access to education provision of

adequate healthcare and safety of the growing number of urban residents As a

result the smart sustainable city aims to achieve an economically sustainable

urban environment without reducing the population quality of life through the use of

ICTs The aggregation of data is not only used for the purpose of data analysis but

also to understand better how the city is running its resource consumption services

and lifestyle Many smart sustainable initiatives are already arising in the cities

rooftop farms shared gardens vertical farms on skyscrappers smart waste

management smart city lightinghellip

The social city

Artificial intelligence digital revolutionhellipthe future of our cities seems to head

towards hyperconnexion and new technologies Yet is it the only solution so that

change may happen in our society Next to the smart city a human collaborative

and open city is emerging A smart future for our cities is one where we live

more collaboratively - not just by sharing decision-making and policy development

but by sharing commodities such as cars energy data Sharing economy platforms

directly contribute to the smartness of a city by providing services matching the need

of the municipality and speeding up social and urban transformations It also

indirectly improve the attractiveness of a city If a city is known to be innovative and

open to these new services it may definitely attract business opportunities tourists

and improve the urban economy

Understanding the change in the tourist experience

Travel experiencerdquo is defined by all the interactions and emotions felt by the traveler

at each step of his triprdquo Considering the dynamic nature of the tourism industry

experiences are subject to constant change With fierce competition in the domain of

tourism experiences the two significant paths for improvement have to do with the

integration of ICTs and the increasing co-creation of experiences

Information and communication technologies

ICTs have represented a catalyst of change that has opened unprecedented

possibilities for tourist experience creation and enhancementrdquo (Sigala 2012) The 4

forms of ICTs vital for Zhang et al (2012) enable for the collection of information in an

unobtrusive and cost-effective way When strategically implemented companies can

use ICTs to collect and analyze consumer needs to maximize both tourist

satisfaction and the destination competitiveness (Picolli et al 2003)

Co-creation

Empowered experiences incorporate immersive technological solutions to allow the

tourist ldquoto become highly involved actively participate and co-create with multiple

stakeholders throughout all stages of travelrdquo (Neuhofer amp Buhalis 2013) The idea

of providing customers with empowered and unique experiences (Pine amp Gilmore

1999) and thereby creating added value for them was proposed as a the key

competitive advantage As a result Pine amp Gilmore emphasize that ldquocompanies do

not actually compete in terms of market price but rather in terms of the distinctive

value of an experience providedrdquo

Upgrading the experience

ICTs have been central in building up platforms of interaction where dialogues occur

fostering personalization and creating meaningful experiences (Buhalis 2002) In

operating such possibilities tourists are integrated in the value chain and can

customize their experience according to the background their needs and

preferences Such change in touristic behavior has brought the tourism industry to a

challenging situation and has led to the development of ldquosmart destinationsrdquo

What is important is not the technological development itself but rather the

strategic and adequate integration of smart technology as a resource for the co-

creation of valuable touristic experiences This paper suggests to subdivides the

experience creation process to understand where and how technology is used

alongside the different stages of travel

III Analytical method

A case study approach has been used to validate the findings empirically and

measure the impact of smart touristic initiatives in the destination attractiveness

To address this enquiry cases were identified following the benchmark of enhanced

touristsrsquo experiences The selection has been treated according to a set of defined

criteria such as being represented in the hospitality amp tourism industry and

embodying currently a successful initiative of enhanced tourism experience in a

smart city The following indicators had to be attracting wide support having clear

objectives producing concrete outcomes and impacts being imitated or scaled

In this process eight organizations were contacted covering various industry sectors

telecoms museums destination management organization (DMOrsquos) hospitality

travel agencies and restaurants As major assets for the case study research

multiple sources were integrated including informal interviews observation

documentary information surveys Informal interviews with project owners favored

an in-depth understanding of real life cases while direct observations and on-site

tests and visits enabled to get a first-hand technology-enhanced experience This

diversified data collection allowed for a mixed and comprehensive understanding of

the smart tourism experience

Table 1 Case study outline

Case

Nr

Company Industry

sector

Rationale choice

1 Co-creation between

Orange Museacutee de

lrsquoHomme

Telecom

museum

Orange Beacon partnered with the Museacutee de lrsquoHomme in

Paris to create a fun and educational app for children It

offers a chance to visit the museum through a series of

interactive games thanks to the use of Orange Beacons

2 Chacircteau de Versailles Museum The Chacircteau de Versailles offers several applications

using Augmented Reality and 3D to guide tourists in their

visit

3 Val Thorens Destination

Management

Organisation

The tourist office offers an interactive 360deg video on their

Facebook page that takes tourist virtually through

different places of their destination

4 Thomas Cook Travel

Agency

The travel agency equipped its agencies in England

Belgium and Germany with Oculus Rift headset to inspire

clients and enable them to virtually visit hotel before

booking The application consists in projecting oneself

into a virtual dimension by pointing onersquos smartphone to

the specific place to lsquodiscoverrsquo

5 August Smart Lock Hotel August Smart Lock partnered with Airbnb to propose a

keyless access to Airbnbrsquos hosts through an app and a

connected lock for a safer and time-saving check-in and

check-out

6 Voyages SNCF Transport The company uses humanoid robots called ldquoPepperrdquo

which give information on trains helps travelers to carry

their luggage and gives information on nearby public

transportation

7 Tourist Office Alenccedilon Destination

Management

Organization

The tourist office of a French city in Alenccedilon proposes an

app including beacons and virtual reality to attract its

visitors through an immersive visit of the city

8 E-Office NFC Restaurants Restaurants use NFC technology to translate the menus

of the restaurants in several languages The tourist just

needs to flash a QR code to get access to the translation

IV Findings and discussion

Smart Tourism Experiences

Having undertaken eight case studies this section presents the findings of the study

The four forms of vital ICT are validated by the case study analysis

The Internet of Things is transforming the customer experience by merging the

digital and physical world Both Alenccedilon city and the Museacutee de lrsquoHomme set up

beacons sensors in the city or in the museum to push interactions to visitors when

they are near to the place Throughout their journey visitors are guided and can

discover the story behind the different monuments or paintings thanks to mobile

applications August Smart Lock also uses IoT to send electronic keys to their

Airbnbrsquos hostrsquos smartphone transforming the welcoming phase into a smooth

experience

The mobile technology is also a key tool enabling information retrieval anywhere at

any time Firstly the mobile provides the right information at the right time and in the

right place Secondly mobile device becomes the new travel guide facilitating the

travelerrsquos experience information orientation photographing sharing hellip Many apps

now give the possibility to book an activity on site thanks to dematerialized tickets or

NFC technology For instance E-restaurant uses NFC readers to send the translated

menu directly on their guestrsquos smartphone

At the booking stage destination travelers have now the opportunity to watch

immersive 360deg videos through virtual reality headsets on their smartphones to

project even more in the future Thomas Cook has invested in virtual reality

technology to inspire clients and enable them to virtually visit the hotel before

booking On the same vein the tourist office of Alenccedilon enables to visualize the

famous Alenccedilon castle at different times in history providing an immersive

experience

To upgrade tourist personalization artificial Intelligence allows businesses to

facilitate the right customer service at the right time Voyages SNCF for instance

offers a humanoid robot called Pepper which gives information on trains and nearby

public transports and helps travelers to carry their luggage This bot uses the SNCF

APIs to provide essential information to train stationlsquos users Finally the cloud

computing technology stimulates information sharing and provides access to solid

data storage The findings from the cross-case analysis indicated that technology

can be used either has a supplementary role to support the experience either

constitutes the integral part of the experience The analysis also suggested that

technology is revolutionizing the experience creation by offering high level of

interactivity social engagement and personalization This is in line with

literature such as Neuhofer et al (2013) who argue that rdquothe more involved the

tourists are with the technology the richer their physical experience will berdquo In this

respect social media play an important role in empowering levels of interaction

among multiple parties The tourist not only co-creates his experiences with his

immediate environment but also interacts with physically distant surroundings The

Val Thorens DMOrsquos assert their strong digital positioning and foster brand

destination loyalty by being the first to offer an interactive 360deg video on their

Facebook page It is also a way to promote their destination to new markets allowing

clients or tourist operators to visit the city virtually without being actually in Val

Thorens

The experiences utility functions can be seen on Table 2

Smart tourism experiences Company Goals and advantages

1 Virtual reality (VR) enables visitors to experience digital recreation of tourism sites and time travel

2 NFC tags give access to translated restaurant menus

3 Tourists are guided thanks to beacon technology

4 360deg video is proposed on the

Facebook page of a destination

5 IoT smoother the check-in

experience 6 Pepper robot provides real-time

information on transport network and guide the tourists in a train station

Alenccedilon Tourist Office Thomas Cook E-NFC restaurants Museacutee de lrsquoHomme Chacircteau de Versailles Alenccedilon Tourist Office Val Thorens August Smart Lock Voyages-SNCF

Promotion of the destination Mind-blowing experience

Encourage visitors to spend more time on site

Increase their willingness to visit the place further

Attract new market Increase sales Promote local culture

Smart mobility Innovate Highlight the experience Foster their digital brand destination positioning

Attract new markets

Inspire keep tourists engaged in real time

Facilitate the experience Secure Planning

Guidance

Create a smart destination experience from scratch requires the project leader to

constructively involve and collaborate with the different stakeholders

Table 3 summarizes the different outcome for each stakeholders based on the

analysis of the case studies

Table 3 Smart tourism experience characteristics

Stakeholders Characteristics of the requirements

Government Establish Public-Private Partnership Maintain adequate network coverage within the

city to avoid gap between dense and rural areas Support open-data Regulate data privacy

Tourism companies Digitalize their core business activities Give access to information in real-time and in a

readable format for users Engage with local communities tourists and

government in co-creating the experience or developing crowd-sourced applications

Local communities Actively involved in developing cultural heritage

Tourists Connected active committed Co-create the experience Contribute to the content Use end-user devices at multiple touch points involved in social media

Destination Innovative ecosystem Capture information from users and their activities Interconnected through IoT Interoperable services Eco-friendly environment Educate their citizens and visitors on how to best

use the technology

Source Adapted from Buhalis (2013)

Smart Tourism Experiences take advantage of technologically embedded

infrastructures end-user devices in various touch-points and engaged stakeholders

The final goal is to use the system to upgrade tourism experience to maximize both

destination attractiveness and consumer satisfaction and to demonstrate long term

sustainability commitment

V Conclusions and implications

Present cities are expected to become megalopolis with millions of inhabitants To

manage the inevitable change of these new large urban systems it will be necessary

to implement coordination among decision-makers local authorities and the society

A first attempt to define the pre-conditions for the development of smart city is to

divide the city into three sub-systems the innovative city the sustainable city and the

social city Smart dimension necessarily involves a review of the processes for the

governance of the urban system Technology should be integrated into the urban

system and not to be considered as additional equipment By the use of ICTs locals

tourists and city users can act as a dynamic role in improving their quality of life and

creating new experiences The notion of creating experiences has become essential

for a successful promotion of the destination The need for adapting urban services

supply to answer the increasingly expert and qualified tourist demand will require to

reconsider the relation between and physical and virtual elements For instance

ferry terminals low cost airports and buses represent new gates to enter the city

meant to receive the tourist flow and need to be upgraded in their hosting services

The same will have to be developed with the tourist office which will inevitably need

to modify its role and function to become new modern poles of tourist reception

In reviewing the theoretical background of the smart city and the tourist experience

the paper has recognized two major changes in the nature of tourist experience a)

four forms of technology can be used to create enhanced touristic experiences b)

empowered experiences incorporate immersive technological solutions to allow the


stakeholders throughout all stages of travelrdquo

A gap between the theoretical approach and the cases under analysis was spotted

The theoretical approach indicated that successful destination of the future will be

the one that integrate ICTs in their structures to dynamically co-create smart

experiences with tourists in all travel stages At the same times findings have

highlighted how low the level of touristrsquos engagement can be in the co-creation

process and how hard it is to maintain a high level of commitment over time This

suggests that the success of smart touristic projects cannot be disconnected from a

larger smart city policy able to penetrate in depth local residents and civil society It

follows that smart touristic initiatives can empower citizens and tourists to actively

participate in bottom-up decision-making processes Otherwise it is likely to remain

a simple use of new technologies under the logic of brilliant engineerrsquos logic losing

track of the human part

neighbour open-air rubbish dumps Slums account for half of the urban world

population integrating new migrants searching for a job in the city

Another global phenomenon of the Western world that left a mark on modern Asian

cities is the importance given to the automobile in urban planning Transport

infrastructures have deeply modified cities but not only this they have also impacted

the relationship between the available space for traffic and the city life This has led

to a fragmentation of the urban landscape and the development of residential

enclaves while upsetting a coherent integration of the population In light of city

growth and other environmental issues certain decision-makers and planners have

embarked on the development of the smart city concept At its core is the idea of

optimizing networks which criss-cross cities (water electricity transportation waste)

thanks to digital highways The development of such gigantic cities gives rise to new

ways of thinking with a view to living together better it takes into account social and

ecological problems in order to avoid the worst scenarios

Smart cities are providing an alternative answer

What is a smart tourism experience

Smart technologies have received a widespread interest in the field of tourism

Technology has not only become an integral part of tourism but has revolutionized

the way travelling is planned New business models are emerging thanks to smart

technologies in the tourism sectors (Buhalis 2003) Mobile applications virtual

reality cloud computing open innovation on-location based services are all

examples of smart innovations enhancing the tourism experience (Wang et al 2012)

The city appeals as a place where all the opportunities for lsquobeing a protagonistrsquo is

affecting the choice of the tourist destination Indeed cities have become one of the

preferred places of the current tourist demand

Particularly reinforced with the new collaborative dimensions of technologies the

market place has undergone a kind of revolution with tourists playing an active and

interactive role in the experience In this vein Gretzel and Jamal (2009) question the

successful integration of technology into the tourist experience

Yet the understanding of the key success factors for a smart tourism experience is

limited Recent research recognizes the potential of technology for more

personalized interactive and socially engaged experience (Neuhofer 2013)
















further studies



The innovative city







































The social city

























Co-creation








































Case

Nr

Company Industry

sector

Rationale choice



lrsquoHomme

Telecom

museum







visit


Management

Organisation





Agency










check-out




transportation


Management

Organization


















experience














experience





















Thorens

















Attract new markets



Guidance















use the technology


























































further studies



The innovative city







































The social city

























Co-creation








































Case

Nr

Company Industry

sector

Rationale choice



lrsquoHomme

Telecom

museum







visit


Management

Organisation





Agency










check-out




transportation


Management

Organization


















experience














experience





















Thorens

















Attract new markets



Guidance















use the technology








































































The social city

























Co-creation








































Case

Nr

Company Industry

sector

Rationale choice



lrsquoHomme

Telecom

museum







visit


Management

Organisation





Agency










check-out




transportation


Management

Organization


















experience














experience





















Thorens

















Attract new markets



Guidance















use the technology














































































Case

Nr

Company Industry

sector

Rationale choice



lrsquoHomme

Telecom

museum







visit


Management

Organisation





Agency










check-out




transportation


Management

Organization


















experience














experience





















Thorens

















Attract new markets



Guidance















use the technology












































Management

Organization


















experience














experience





















Thorens

















Attract new markets



Guidance















use the technology













































experience





















Thorens

















Attract new markets



Guidance















use the technology



























































Attract new markets



Guidance















use the technology





















































use the technology











































Smart cities and tourism

Technology

Transcript of Smart cities and tourism