Euromonitor: Global tourism will record a 4.1% increase in revenues during 2018
Euromonitor International is excited to share new insights about the travel industry. Travel and tourism continues to remain on track, outperforming the global economy, with arrivals set to grow by 3.7% and inbound receipts at a stronger rate of 4.1% over 2017, compared to world GDP at 3.5%.
Flaring up of geopolitical tensions weighs on demand
Pricing pressure will remain in the near term as there are major uncertainties buffeting the world economy, namely the rocky Trump administration, Brexit, as well as the flaring up of regional tensions across the world with a stand-off looming with North Korea and Japan, and the United States.
Value growth for 2017 is expected to be strong at 4.1% in 2017, decelerating to 3.1% in 2018, due to dark clouds gathering on the horizon as uncertainty escalates, and a minor economic deceleration is expected in China.
World Inbound Tourism Performance
Source: Euromonitor International
Mixed fortunes for China outbound
By 2022, we expect that China will be the world’s largest source of outbound tourism demand, with 128 million trips, overtaking the US as the country with the highest propensity for travel abroad. Growth is set to be very strong, at 8.4% over the period 2017-2022. Outside of Asia, the US and France are likely to benefit the most, due to their China-ready approach.
China is already the largest source of tourism expenditure, growing by 10.9% over 2017-2022, driven predominantly by GDP per capita, and the rise in middle-class households.
Japan saw the strongest increase in China arrivals growth over 2013-2017, with a CAGR of 54%, amounting to an additional six million Chinese arrivals thanks to simplifying the visa process and the weak yen.
Due to mounting tensions with China and the travel ban, where the Chinese government is restricting tour groups to South Korea, Chinese arrivals to the country fell 39% in 2017. Worsening relations with Taiwan has also led to a decline.
China Demand for Top Destinations
Source: Euromonitor International
Sound prospects for industry stalwarts
Travel continues to be a two horse race with lodging and airlines dominating sales, which indicates the health of the global travel industry, where traditional components continue to deliver solid CAGR growth of over 3.3%, with airlines and lodging accounting for USD1.2 trillion worth of sales.
Companies are seeking out new sources of emerging demand and new business models like low cost or short term rentals are acting as growth catalysts, rather than cannibalising opportunities, and finding ways to thwart pricing pressure.
Global Travel Sales
Source: Euromonitor International
UK hits an online ceiling but plenty of growth elsewhere
For most countries, online travel sales are increasing at a strong clip year-on-year. However, with this new dataset in Travel 2018, we’re able to see that in the most digitally ready markets, like the UK, that sit atop Euromonitor’s Digital Consumer Index, there is a ceiling to how far online travel sales can grow.
UK online travel sales to residents started to plateau in 2015, and are not expected to exceed 70% of the total travel market over 2017-2022, with offline securing the remaining 30% share.
Despite the appearance of an online ceiling, other traditional markets like Germany are way below the curve, and offer strong incremental growth, in tandem with the strong growth coming out of China, Russia and India.
Online Percentage of Travel Sales
Source: Euromonitor International
Luxury and budget benefit as consumers trade down and up
Luxury categories are benefiting from consumers trading up from mid-market brands to luxury, whilst growth in budget remains popular but doesn’t bring vast returns, but budget players are faced with the challenge from consumers increasingly demanding a premium service at a lower price bracket. The trend towards premiumisation affects every price point, which also requires that luxury constantly updates to keep ahead of consumers’ expectations.
Luxury vs Budget Category Performance
Source: Euromonitor International
Brand success from global footprint – and China
China’s Shanghai Chunqiu operating in intermediaries enjoyed the largest incremental sales of any travel brand in the world, followed by Expedia and Southwest Airlines, enjoying an additional USD8 billion, USDD5.5 billion and USD3.8 billion, respectively.
The largest travel brands worldwide are Ctrip and Booking.com, with Ctrip towering over all its rivals with sales of USD60 billion, compared to Booking.com’s USD33 billion in 2017.
Leading Travel Brands
Source: Euromonitor International
Euromonitor International will present in the WTM London event the Top 100 City Destinations Ranking Report on Tuesday 7th November, WTM Inspire Theatre, 14.55 – 15.45
To pre-register to receive the Top 100 City Destinations Ranking Report, visit:
http://go.euromonitor.com/wtm2017-top-100-cities-destinations.html
To meet Euromonitor team, please visit ME366 stand in the WTM Exhibition floor.
RELATED TOPICS: Greece, Greek tourism news, Tourism in Greece, Greek islands, Hotels in Greece, Travel to Greece, Greek destinations , Greek travel market, Greek tourism statistics, Greek tourism report
- 1) UN Tourism to make residents focus of Greek island of Thassos’ sector recovery
- 2) American Express report highlights Global Travel Trends during 2024
- 3) German Youth: Holidays are only worth it when they have content for social media
- 4) WTM 2023 Global Report: Tourists abandon sun loungers in favour of new experiences
19/04 01:29
Athens State Orchestra presents 'St. Matthew's Passion' by Bach on April 30th
18/04 21:49
Greek Climate Change Minister signs memorandum for Attica fire protection zones
18/04 20:32
'Easter Basket' and 'Godparents basket' to be put into effect next week in Greece
18/04 20:17
18/04 17:40
17/04 21:06
Thessaloniki Port: Performance growth for 2023 with record container throughput
17/04 20:57
Traffic regulations imposed in Athens for the 41st Peace Marathon on Sunday
17/04 20:52
17/04 18:15
Greek Foreign Minister addresses the 9th Our Ocean Conference in Athens
17/04 17:12
16/04 21:02
NHM hosts the Trial of Pericles at the Harris Theater in Chicago on April 17
16/04 20:17
Greece will invest $830 million to protect marine biodiversity
16/04 01:46
New York Greek Independence Parade honors 1821 and solemn Cyprus Anniversary
16/04 01:35
Olympic Games Paris 2024: Olympic Flame to be lit at Ancient Olympia in Greece
16/04 00:29
European Committee of Regions and UN release study on Rural Tourism
15/04 20:41
15/04 19:58
Minister: Greece is transforming into a hub for exporting quality agri-food products
15/04 18:51
Greek Environment Minister meets Chinese Deputy Minister of Natural Resources
13/04 00:13
UN Tourism and Croatia to launch Research Centre for Sustainable Tourism
12/04 00:03
2024 marks a critical year in the enduring strength of Greek-German relations
12/04 00:00
11/04 22:07
Ambassador: US committed to upgrade of Greek military and support NATO's SE flank
11/04 19:40
Hellenic Pride on display at rainy Chicago Greek Independence Day Parade
11/04 02:06
Delphi Economic Forum IX: Energy collaboration a 'key' in Greek-Bulgarian relations
11/04 01:58
UN Tourism launches investment guidelines for Albania sector
10/04 19:01
Greek FinMin: New package of economic measures in 2025 to lower taxes, raise pensions
10/04 18:25
Greek city of Nafplion hosts Mediterranean Yacht Show for ninth year running
09/04 23:57
Greek PM on Tilos: Innovative projects for a cyclical economy are of key significance
09/04 23:55
UN Tourism members promote agenda for Europe as region leads global recovery
09/04 23:46
HFS presents 1968, Rousing Docudrama about Greece’s First European Cup April 21
09/04 22:48
Stolen 7th-century BC oenochoe returned to Greece by Hanover museum, municipality
09/04 22:42
Greek civil servants confederation ADEDY to strike on May 21
09/04 21:55
Greek Migration Minister meets Senior US Coordinator for Lawful Migration
08/04 23:48
08/04 23:41
Elliniko-Argyroupoli Mayor marches in Greek Independence Philadelphia Parade
08/04 21:53
Project Voria casino complex in Maroussi moving ahead after environmental report
08/04 21:36
Minister: Up to 120 delegations to take part in 9th Our Ocean Conference in Athens
08/04 19:22
Direct flight from Shanghai to Athens offers access to key tourism market for Greece
08/04 18:31
AI conference to attract distinguished speakers to Thessaloniki on April 25-27
04/04 23:28
City of San Jose marks March 25 with 16th Annual Greek Flag Raising Event
04/04 22:16
Urban plans published for seven townships in Thessaloniki and Attica of Greece
04/04 17:24
FinMin: The new EU economic and fiscal framework is good for Greece
04/04 15:30
Greek PM meets with the chiefs of the international pharmaceutical manufacturers
04/04 00:15
Deputy Minister for Macedonia-Thrace meets US Embassy Deputy Mission Chief
03/04 20:12
Syracuse AHEPA Chapter 37 marks March 25th Greek Independence Day
03/04 18:10
Greece's Delphi Economic Forum on April 10-13 to focus on 'The Great Transition'
03/04 16:42
Minister: Industrial production has returned to the pre-crisis levels in Greece
02/04 18:06
30/03 23:21
Eleni Gatzoyiannis scholarship offered to Greek students at Boston University
29/03 16:44
3rd edition of 'This is Athens - City Festival' with 250+ events from May 1 until June 2
29/03 15:53
Athens Metro station Aghia Varvara to stay closed on Saturday and Sunday
29/03 13:55
Greek Foreign Minister for Economic Diplomacy concludes visit to Montenegro
29/03 12:00
29/03 11:51
28/03 18:41
Attica Region to channel 640 bln euros to services of vulnerable and disadvantaged groups
28/03 17:32
Greece to auction three-month T-bills on April 3, 2024 in a book entry form
28/03 15:46
Greece's Meteora Pyli Geopark added to UNESCO Global Geoparks network
28/03 14:44
IPTO announces framework agreement tender for undersea power cables in Greece
28/03 11:49
IOBE: Construction sector in Greece records robust growth and good prospects
26/03 23:51
St. Thomas Hellenic School honors 1821 and the Feast of the Annunciation in NJ
26/03 21:59
PM at Economic Club of Canada: Greece is an attractive investment destination
26/03 17:56
Greek State budget primary balance reaches a surplus of 3,378 million euros
26/03 11:45
Ancient Messene to get upgraded visitors' facilities after approval by Council
23/03 17:43
New requirements for 'Golden Visa' program to kick in on March 31
23/03 16:49
Athenians continue to head out of the Greek Capital for March 25 long weekend
23/03 16:47
Greek Parliament lights to be turned off for Earth Hour 8:30-9:30 pm
22/03 21:54
US President on Greek Independence Day: Alliance with Greece stronger than ever
22/03 19:51
High diplomacy and geopolitics at Delphi Economic Forum IX in Greece
22/03 19:32
Tax authorities enable payments with foreign bank cards in Greece
22/03 14:19
22/03 00:24
Greece ranks first on list of countries with fastest business environment progress
22/03 00:02
Hellenic Police acquires first electric VAN-type highway patrol vehicle
21/03 22:41
21/03 15:33
Unseen Museum presents "The stele of the twin babies" exhibition in Athens
20/03 22:48
Health Minister: 95% of Greek hospitals to perform afternoon surgeries
20/03 21:52
Greek Deputy Minister of Justice meets delegation from US Embassy in Athens
20/03 21:44
Greek Interior Minister to visit United States and Canada on postal vote
20/03 20:55
Philadelphia Icarians mark 85th Anniversary and organize Apokriatiko Dance
20/03 18:01
Development Minister: We continue the battle against high prices in Greece
19/03 22:28
President of the Hellenic Republic meets her Ethiopian counterpart in Athens
19/03 20:57
19/03 20:25
FinMIn: Moody’s analysis records significant progress in the Greek economy
19/03 11:15
Sector chiefs report: Good news for Greek tourism in 2024 at ITB Berlin
18/03 22:20
American Hellenic Educational Progressive Association honors Past Supreme President
16/03 13:01
Greek Deputy Foreign Μinister meets her Slovenian counterpart in Athens
16/03 12:56
Greek-Canadian Diaspora to welcome Greek Prime Minister to Toronto
16/03 11:28
Greek Migration Minister visits refugee hosting facilities in Kavala, Drama and Serres
15/03 21:50
Greek Minister announces conference on defence ecosystem in Athens from Lithuania
15/03 13:45
PM: More than 80 hospitals and 156 health centres being upgraded in Greece
15/03 12:55
Piraeus Port and Genoa Chambers of Commerce ink memorandum of cooperation
14/03 23:43
President of Hellenic Republic meets Prime Minister of Slovakia in Bratislava
14/03 22:58
American Express report highlights Global Travel Trends during 2024
14/03 22:52
Four hospitals in Attica Region already organizing afternoon surgical procedures
14/03 22:49
US Ambassador to Athens: More flights from the United States to Greece and Thessaloniki
14/03 22:43
Greek archaeologists discover ten ancient shipwrecks off Aegean island of Kasos
14/03 19:32
No new intubations for Covid-19 recorded in Greece for the first time
14/03 18:36
Extra road safety measures adopted for Greek pre-lent carnival and Clean Monday
14/03 14:48
14/03 12:54
Electric buses to be deployed on the streets of Athens and Thessaloniki by May
13/03 22:23
Greek Foreign Minister addresses the 9th Our Ocean Conference in Athens
Greek Climate Change Minister signs memorandum for Attica fire protection zones
Athens State Orchestra presents 'St. Matthew's Passion' by Bach on April 30th
'Easter Basket' and 'Godparents basket' to be put into effect next week in Greece
Traffic regulations imposed in Athens for the 41st Peace Marathon on Sunday
Thessaloniki Port: Performance growth for 2023 with record container throughput
The Economist magazine names recovering Greece Best 2022 Performer
Minister: Transactions with the Greek State will be further simplified in 2024
IPTO report: Rapid implementation of Crete-Attica electricity interconnection
Amendment tabled introducing postal vote for Diaspora Greeks in national elections
Saint Thomas Hellenic School organizes Parent Teacher Organization Fundraiser
Flights to and from Heraklion airport in Crete resume on Saturday
Greece and Germany set up Working Group on shipping cooperation
Extra road safety measures adopted for Greek pre-lent carnival and Clean Monday
Greek Environment Minister meets Chinese Deputy Minister of Natural Resources
Saint Katherine HEC Paideia Preschool to organize Open House on February 7
Temporary residence for displaced Ukrainians extended in Greece to March 2025
The Festival of Greek Dances takes place in the Metropolis of San Francisco
Revealing "70 Years of Friendship: Greece's photo journey through the Korean War"
Norse Atlantic Airways launches new JFK-Athens flight in May-October from $249