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Strong outbound tourism demand from both traditional and emerging markets in 2017

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Virtually all source markets reported higher tourism spending in 2017, reflecting continued strong demand for international tourism across all world regions. Both emerging and advanced economies fuelled growth, led by the United States which spent US$ 12 billion more on travel abroad. China spent US$ 8 billion more, consolidating its leadership as the biggest spender in the world. The Russian Federation spent US$ 7 billion more and Brazil US$ 5 billion more, both rebounding from weaker spending in previous years. Strong tourism expenditure reflects enhanced connectivity, increased visa facilitation and a global economic upswing.

All top 25 source markets reported higher spending on international tourism in 2017, as highlighted in the latest UNWTO World Tourism Barometer. China consolidated its leadership as the biggest spender in travel abroad in 2017 with US$ 258 billion in expenditure (+5% in local currency).

The other three BRIC economies all substantially increased expenditure in 2017. The Russian Federation (+13%) rebounded after a few years of declines, to reach US$ 31 billion, climbing three places to re-enter the top ten at number 8. Brazil (+20%) also recovered strongly and moved up eight places to number 16 with US$ 19 billion in expenditure. India continued its rise with 9% growth in spending to US$ 18 billion and moved up four places in the ranking to 17th.

“Emerging economies play a key role in tourism development and we are very pleased to see the rebound of the Russian Federation and Brazil, and the ongoing rise of India, as these key emerging outbound markets contribute to growth and market diversification in many destinations”, said UNWTO Secretary-General, Zurab Pololikashvili.

Advanced economies also performed robustly in 2017, led by the United States (+9%), the world’s second largest outbound market. US travellers spent US$ 12 billion more on international tourism to US$ 135 billion. Expenditure from Germany (3rd largest market) and the United Kingdom (4th) both increased 3%, and from France (5th) 1%.

Australia (6th) reported 7% growth and Canada (7th) a 9% increase. Completing the top ten are the Republic of Korea (9th) where expenditure grew by 9% and Italy (10th) where it increased by 6%.

Beyond the top ten, tourism spending also grew notably in Sweden (+14%) and Spain (+12%).

These strong results in outbound tourism are consistent with the 7% increase in international tourist arrivals in 2017. Demand for travel was particularly high in Europe, where arrivals increased 8% last year.

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Tourism

World’s Most Disruptive Sports Tourism Start-Ups Celebrated at Global Tourism Economy Forum

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The growing sports tourism sector took centre stage at the Global Tourism Economy Forum in Macau, SAR with the first ‘SPORTSTECH’ edition of the World Tourism Organization’s Tourism Tech Adventures initiative celebrating the most disruptive ideas and innovators from around the world. This served as the ideal backdrop to determine  the winner of the 1st UNWTO Sports Tourism Start-up Competition, launched with the Barca Innovation hub of Football Club FC Barcelona and supported by the Qatar National Tourism Council.

As the World Tourism Organization (UNWTO) reports that rising numbers of tourists are travelling for sports or wellbeing, the competition was launched the with aim of identifying supporting start-ups that excel in a number of ways, including their potential for scaling-up and ability to help contribute to achieving the Sustainable Development Goals.

Within the framework of the Global Tourism Economy Forum, five finalists from the 1st UNWTO Sports Tourism Start-up Competition were invited to Macau for a special masterclass on pitching and attracting investment. The finalists faced-off in a “Start-Up Battlefield” following sessions focused on the future of sports tourism and the potential for disruptive technologies to create value for tourism.

The winner of this first edition is Runnin’City (Belgium), a smartphone app (http://runnin.city) that allows users to discover over 200 cities around the world while running (or walking).

UNWTO General-Secretary Zurab Pololikashvili, opened the Tourism Tech Adventure event, highlighting the United Nations agency’s strong support for innovation, said: “Tourism and sport create decent jobs, promote local culture and provide opportunities for SMEs and entrepreneurs.  Sports tourism can also contribute to creating peace, sustainability and inclusiveness, building bridges between different countries and cultures. UNWTO welcomes innovation in this niche sector and congratulates all today’s finalists on their vision and determination.”

The other finalists that beat off strong competition from hundreds of start-ups from around the world to make it to Macau, were:

Flyfoot (Lebanon)- Fly-Foot is the first online platform where football fans can book all- inclusive travel packages to watch their favorite teams play with just a few clicks and fosters local football communities.
Inclusive Society Led by Persons with Disabilities (Japan) – a travel agency specialized in adapting travel and sports to individuals with limited mobility to increase social inclusion.
Oevit (United States of America)- one-stop-shop solution for experience ecosystems. Oveit combines near field communication and biometric payments, audience engagement, loyalty programs, access control, registration and (e)ticketing.
WeFish (Spain)- Offers a fishing application which is interactive, simple and social – developed by fishers for fishers.

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Regulation Catches up with Innovation: The Case of Short-Term Rentals

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The World Tourism Organization (UNWTO) has published the first systematic overview of how both national governments and local authorities are addressing and managing new business models in the accommodation industry. The so-called “sharing economy” has experienced significant growth over recent years and is poised to outpace the growth of traditional accommodation. Drawing on case studies from around the world, “New Business Models in the Accommodation Industry” analyses existing rules and regulations for the sector.

Drawing on 21 global case studies, the new UNWTO report notes that most of the measures implemented refer to areas of ‘fair competition’ and ‘consumer protection’, specifically measures related to taxation and registration and permits In comparison, measures relating to ‘planning and sustainability’, are less commonplace. At the same time, the report highlights the challenges destinations face in implementing rules and regulations, with a lack of local capacity and a lack of clarity over whose responsibility it is to monitor and regulate short-term tourist accommodation.

Commenting, UNWTO Secretary-General Zurab Pololikashvili said: “There are significantly more regulations than we thought and it is encouraging to see destinations taking the initiative. However, many challenges remain, including the practical implementation of rules and regulations relating to the short-term tourist rental market. Good governance and effective cooperation between the public and private sectors are key to successfully meeting these challenges.”

Case studies analysed for the “New Business Models in the Accommodation Industry” include European countries such as the Netherlands, Italy and Spain, which are home to some of the world’s most popular cities for tourists, as well as countries in the Americas such as Mexico and from across Asia as is the case of Japan.

The report was produced with the support of the Secretariat of Tourism of Mexico.

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U.S. Moves Closer to World Tourism Organization with Landmark Meeting

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A high-level delegation from the United States Department of State has met with head of the World Tourism Organization (UNWTO) as the country moves closer to rejoining the United Nations specialized agency for tourism.

Assistant Secretary of State for International Organization Affairs Kevin Moley and Assistant Secretary for Economic and Business Affairs Manisha Singh were welcomed by UNWTO Secretary-General Zurab Pololikashvili, following up on the announcement that the USA is exploring rejoining UNWTO, of which it is a founding member. The two parties enjoyed productive discussions as the terms of membership are being finalized.

This is the highest level visit of a US delegation to the UNWTO headquarters registered so far. In June of this year, the United States used the occasion of the UNWTO Executive Council meeting to confirm it is exploring the possibility of rejoining, stating that “the UNWTO offers great potential to fuel economic growth in the U.S. tourism sector, create new jobs for American workers, and highlight American travel destinations”.

UNWTO Secretary-General Zurab Pololikashili underscored that “it is extremely encouraging that the United States has clearly signaled its intention to rejoin UNWTO and support tourism as a key driver of job creation, investments and entrepreneurship and safeguarding natural and cultural heritage the world over”.

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