Tourism Expected to Grow by 4% by 2020, Despite Adverse External Shockwaves
Market Research Company Euromonitor International released today its latest travel research, providing the latest insights on the industry performance. According to Euromonitor's new research, global travel and tourism sales grew consistently despite high external shockwaves. Geopolitical tensions, whether terrorism or political concerns, have impacted the traditional sun and sea destinations in locations such as the Mediterranean Sea, with safer destinations winning out.
"The substitution effect, where tour operators shift capacity away from troubled hotspots to more stable countries, is visible" says Caroline Bremner, Head of Travel Research at Euromonitor International. International arrivals declined in Egypt and Tunisia, suffering a negative growth of 25 percent and 5 percent respectively, as the travel industry and consumers shun trouble for the safer shores of Spain, Portugal and Croatia.
Global uncertainty also hit the UK, with the Brexit vote expected to affect domestic tourism in the short to mid-term. Euromonitor International predicts 2.3 million less visitors during the 2015-2020 period. Bremner adds "Destination branding and consumer desire to travel would be hit hard by the uncertainty Brexit provides in the short to mid-term." The EU source markets, such as Ireland, Germany and Spain, along with the US, would experience the sharpest forecast change in volume. However, a pound slump after Brexit would help entice visitors to the UK.
Euromonitor's travel research also revealed:
- Western Europe continues to be the most popular regional destination
- Asia Pacific has increased by 10 percent between 2010 and 2015
- Cuba experienced a spike in visitor numbers in 2015 registering 3.5 million inbound tourists since the eased travel restrictions
- Iceland has emerged as a popular holiday destination with 21.4 percent growth between 2010 and 2015
To find out more about Euromonitor's travel research, visit http://blog.euromonitor.com/category/travel-and-tourism
This article was first published on http://www.hospitalitynet.org/