Travel sector analysis

Home - Travel and leisure industry research - Travel sector analysis

24.07.2019-946 views -Travel and leisure industry research

 Essay regarding Travel market analysis

International sector analysis

Nov 2013

Travel market

Cauchies Christophe

About the value of the travel around industry in the economy

The travel around industry is among the biggest industrial sectors worldwide. Physique 1 displays the total –direct and indirect - contribution of the travelling and travel and leisure to the progress in every single area of the universe. Surprisingly a lot more than 5% from the Asian growth is due to this industry. This represents 3% of the globally growth. Around 9% with the global GROSS DOMESTIC PRODUCT are – from one way or another – due to travel & tourism. This is the fourth biggest sector in terms of effect on the GROSS DOMESTIC PRODUCT behind the financial services, the training and connection services.

T& T immediate contribution

development forecast intended for 2013

6th, 00%

5, 00%

some, 00%

3, 00%

2, 00%

you, 00%

0, 00%

Determine 1: Origin: Oxford Economics

Figure 2: Source: Oxford Economics

Info about the participation with this industry to the global employment is also available. On the determine 3 we could observe a pointy decrease of the share of travel employment to the total employment. This means that how challenging the crisis for this industry was. Today it presents almost several, 4% with the total employment.

What do all of us exactly mean by " travel industry”?

The travel around industry encompasses a lot of other industries:

Overnight hotel






And so forth

What are we all going to examine in this survey?

We will not focus on the different companies composing the travel industry. Instead all of us will have a broader focus. It induces that a lot of patterns, tendencies and concerns are common between all these areas.

Figure three or more: Source: Oxford Economics

Demand analysis

The first portion of the report tackles the demand aspect of the market. The initial component of the analysis will be geographical. Soon after a segmentation of the customers and their behaviors will be proposed.

Geographic segmentation of the industry

In total terms the location of the world exactly where tourism is the most active is definitely Europe. Since shown in Figure 4, Middle East and The african continent are the areas where travel and leisure is quite a bit less widespread.

Figure4: Source: UNWTO

Middle East has noted a sharp decrease in 2012. This is mainly as a result of political instability surrounding this area. The Arabic spring broken the travel industry in this area. Meanwhile the tourism in Europe, Asia and Pacific boomed this year. Nevertheless, the typical growth among 2005 and 2012 of Middle East is not really low.

Determine 5: Source: UNWTO

The data shown over concerns the hosting country and answers to the query " Where do persons travel? ” In order to have a deeper understanding it is crucial to know " Wherever do these types of travelers originate from? ” For the purpose the figure 6th shows a ranking in the expenditure every capita and per region. The statement that can be produced is that even if the sum of expenditures of Chinese travelers is higher than any other country, the spending per household is the most affordable of the twelve countries in the table. This does not mean that Chinese language don't spend cash while exploring. It indicates that the average costs per inhabitant in suprisingly low. This can be described as the minority from the Chinese that actually travel.

Away of 1, 3b inhabitants in China, only 70m take-offs have been documented. This gives a ratio departures/inhabitants equal to 5%. On the contrary the German and Canadian costs per capita is in the highest. The percentage departures/inhabitants is definitely equal to 89% for Philippines and the certainly one of Canada is definitely 85%. The actual actual big trend in China which is emergence of your new midsection class in China, all of us understand better the growth potential that represents the Chinese populace.

Figure 6: Source: UNWTO

Segmentation by meaning of travel

Persons travel several reasons. A division between two different kinds of travel is created in the travelling industry: The inbound as well as the outbound travel and leisure. Outbound travel and leisure refers to situations where...