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eport, Medieministeriet 2011<br />

<strong>The</strong> <strong>Nordic</strong> <strong>outbound</strong><br />

<strong>travel</strong> <strong>market</strong><br />

– Potential and possibilities<br />

Member of:


Readers’<br />

guide<br />

Why invest<br />

in the <strong>Nordic</strong><br />

countries?<br />

02<br />

<strong>The</strong> report covers the <strong>outbound</strong> <strong>travel</strong><br />

<strong>market</strong> in the <strong>Nordic</strong> Countries: Sweden,<br />

Denmark, Finland and Norway. Differences<br />

between the <strong>Nordic</strong> countries are relatively<br />

small, so all essential points cover all four<br />

<strong>market</strong>s. Country specific information is<br />

marked in italics.<br />

All chapters start with a summary of the<br />

most important points. This is followed by<br />

a more extensive review of the subject.<br />

<strong>The</strong> report is based on extensive research<br />

carried out in May-June 2011. All research<br />

sources are listed at the back.<br />

• <strong>Nordic</strong> countries are the third largest <strong>outbound</strong><br />

<strong>travel</strong> <strong>market</strong> in Europe.<br />

• <strong>Nordic</strong> tourists spend 90 % more money than the average<br />

European tourist on food, accommodation and<br />

attractions while on holiday.<br />

• <strong>Nordic</strong> tourists have 5-6 weeks holiday each year.<br />

• <strong>The</strong> level of income in the <strong>Nordic</strong> countries is generally<br />

high – and a record-high percentage of income is spent on<br />

<strong>travel</strong>ling.<br />

• <strong>Nordic</strong> tourists are the best tourists in the world in terms<br />

of adaptability to foreign cultures.<br />

• On average around 60 % of the <strong>Nordic</strong> people take<br />

at least one vacation each year.


Introduction<br />

Contents<br />

04<br />

Medieministeriet has been working with the<br />

tourism and <strong>travel</strong> <strong>market</strong> for quite some<br />

time, and throughout this period we have<br />

experienced an increasing demand for more<br />

information about the <strong>Nordic</strong> <strong>outbound</strong><br />

<strong>travel</strong> <strong>market</strong> among our clients and<br />

partners.<br />

This report should answer most questions<br />

about <strong>Nordic</strong> tourists and their great<br />

potential for the global tourism industry. Our<br />

goal is to introduce <strong>Nordic</strong> tourists to those<br />

who do not know them, explain who they<br />

are, how they act and what they prefer. And<br />

to explain the great potential of this<br />

particular <strong>market</strong>.<br />

In order to make the report relevant for as<br />

many parties as possible, it covers general<br />

tendencies across the four countries. We<br />

hope this can serve as a foundation when<br />

planning a strategy towards the <strong>Nordic</strong><br />

<strong>market</strong>.<br />

If you want more detailed information, or<br />

if you want to know more about what this<br />

means for your destination, country or hotel,<br />

you are always welcome to contact us.<br />

Yours sincerely,<br />

Henrik Koch<br />

CEO, Medieministeriet<br />

P. 06<br />

01: <strong>The</strong> <strong>Nordic</strong><br />

Travel Market<br />

p. 10<br />

03: <strong>The</strong> Economic<br />

Situation in the<br />

<strong>Nordic</strong> Countries<br />

p. 24<br />

05: Important<br />

Segments<br />

p. 08<br />

02: <strong>The</strong> <strong>Nordic</strong><br />

Countries<br />

p. 14<br />

04: Travel Habits<br />

p. 28<br />

06: Booking<br />

Behaviour<br />

and Platforms


Summary<br />

01: <strong>The</strong> <strong>Nordic</strong><br />

Travel Market<br />

<strong>The</strong> World’s<br />

Best Tourists<br />

A recent research study revealed that<br />

<strong>Nordic</strong> tourists are the best tourists in the<br />

world - based on ratings in five different<br />

categories:<br />

1. Willingness to speak the local language<br />

2. Polite and approachable<br />

3. Willingness to adapt to local culture<br />

4. Willingness to try the local cuisine<br />

5. Give a generous tip<br />

<strong>Nordic</strong> tourists take the lead when it comes<br />

to willingness to speak the local language,<br />

and they come in second in the next three<br />

categories: polite and approachable,<br />

willingness to adapt to local culture and<br />

willingness to try the local cuisine.<br />

When it comes to giving a generous tip,<br />

<strong>Nordic</strong> tourists are only number four, but<br />

since they are so well represented in all<br />

other categories they earn the right to call<br />

themselves “the best”.<br />

06<br />

01: <strong>The</strong> <strong>Nordic</strong><br />

Travel Market<br />

Although the <strong>Nordic</strong> countries<br />

are sparsely populated, with<br />

only 25 million inhabitants,<br />

the <strong>Nordic</strong> region is a highly<br />

important <strong>market</strong> for <strong>outbound</strong><br />

<strong>travel</strong>, making it the<br />

third largest <strong>outbound</strong><br />

<strong>market</strong> in Europe.<br />

<strong>The</strong>y are big spenders<br />

<strong>Nordic</strong> <strong>travel</strong>lers spend more than USD<br />

20 billion on <strong>travel</strong>ling each year.<br />

Currently, <strong>travel</strong> spending per capita in<br />

the <strong>Nordic</strong> countries is among the<br />

highest in the world, far surpassing<br />

spending in Germany and England.<br />

<strong>The</strong>y are frequent <strong>travel</strong>lers<br />

<strong>The</strong> high spending power facilitates<br />

frequent <strong>travel</strong>, and almost nowhere<br />

in the world do people <strong>travel</strong> abroad as<br />

often as the <strong>Nordic</strong> tourists.<br />

<strong>The</strong>y journey outside Europe<br />

More and more <strong>Nordic</strong> <strong>travel</strong>lers<br />

(currently more than 18 %) head beyond<br />

the borders of Europe each year in search<br />

for leisure and culture.<br />

<strong>The</strong>y plan more holidays<br />

Statistics show that the <strong>Nordic</strong> tourists<br />

are planning more holiday <strong>travel</strong>s in 2011.


02: the <strong>Nordic</strong><br />

countries<br />

08<br />

02: <strong>The</strong> <strong>Nordic</strong><br />

Countries<br />

Sweden<br />

Population: 9.4 million people<br />

Capital: Stockholm (1,900,000 people)<br />

Vacation: 6 weeks holiday each year<br />

Denmark<br />

Population: 5.5 million people<br />

Capital: Copenhagen (1,182,000 people)<br />

Vacation: 5-6 weeks of holiday each year<br />

Finland<br />

Population: 5.4 million people<br />

Capital: Helsinki (1,364,000 people)<br />

Vacation: 5-6 weeks of holiday each year<br />

Norway<br />

Population: 4.9 million people<br />

Capital: Oslo (599,000 people)<br />

Vacation: 5-6 weeks of holiday each year


03: <strong>The</strong> Economic<br />

Situation in the<br />

<strong>Nordic</strong> Countries<br />

10<br />

03: <strong>The</strong> Economic<br />

Situation in the<br />

<strong>Nordic</strong> Countries<br />

Summary<br />

Frequent Travellers<br />

– Big Spenders<br />

<strong>The</strong> level of income in the <strong>Nordic</strong><br />

countries is generally high – and a<br />

record-high percentage of income is<br />

spent on <strong>travel</strong>ling. <strong>Nordic</strong> tourists’ per<br />

capita <strong>travel</strong> spending is among the<br />

highest in the world and they <strong>travel</strong><br />

abroad more frequently than other<br />

tourists in the world.<br />

Over the past ten years, the <strong>Nordic</strong><br />

countries have had a noticeably greater<br />

increase in GDP than the average for<br />

Western Europe, and this is expected to<br />

continue in 2011. <strong>Nordic</strong> tourists’ private<br />

consumption is also seeing a positive<br />

trend.<br />

Since there is a close correlation between<br />

people’s private consumption and<br />

holiday consumption, this will have a<br />

positive influence on the amount of<br />

money spent on holiday <strong>travel</strong>s to<br />

foreign destinations by <strong>Nordic</strong> tourists.


Forecast for growth of the <strong>Nordic</strong><br />

countries’ GDP in local value<br />

GPD<br />

2011<br />

2012<br />

2013<br />

2014<br />

2015<br />

SWEDEN<br />

+3.1 %<br />

+2.9 %<br />

+2.8 %<br />

+2.5 %<br />

+2.4 %<br />

12<br />

High Level of Income<br />

DENmark<br />

FINLAND<br />

+2.2 %<br />

+2.9 %<br />

+2.3 %<br />

+2.7 %<br />

+2.4 %<br />

*<br />

+2.4 %<br />

*<br />

+2.3 %<br />

*<br />

03: <strong>The</strong> Economic<br />

Situation in the<br />

<strong>Nordic</strong> Countries<br />

<strong>The</strong> <strong>Nordic</strong> countries differentiate<br />

themselves from other countries by<br />

combining high standards of living and<br />

a relatively even distribution of income.<br />

However, the financing of the <strong>Nordic</strong><br />

welfare model entails a heavy tax burden<br />

and a major redistribution of income<br />

compared to most other countries<br />

throughout the world. <strong>The</strong> level of income<br />

is generally high – and differences in<br />

income levels are relatively small in the<br />

<strong>Nordic</strong> countries compared to other OECD<br />

countries.<br />

<strong>The</strong> <strong>Nordic</strong> economy is the 9th largest<br />

economy in the world, surpassed only<br />

slightly in size by Canada and Spain. <strong>Nordic</strong><br />

tourists spend almost USD 700 billion<br />

each year with a record-high percentage of<br />

that sum pertaining to <strong>travel</strong> and tourism<br />

outside their own countries.<br />

Economic Growth<br />

Economic growth in terms of gross<br />

domestic product (GDP) is a good indicator<br />

for activity in business. This variable has<br />

an apparent correlation with business<br />

<strong>travel</strong>, but it also influences people’s<br />

holiday <strong>travel</strong>. <strong>The</strong> development in GDP<br />

has an impact on elements such as people’s<br />

wages, unemployment etc. and therefore<br />

also on people’s private consumption, which<br />

will affect people’s holiday consumption.<br />

Over the past ten years,<br />

the <strong>Nordic</strong> countries had a<br />

noticeably larger increase<br />

in GDP than the average in<br />

Western Europe.<br />

Larger GDP-increase than the<br />

Western Europe-average<br />

Over the past ten years, the <strong>Nordic</strong><br />

countries had a noticeably larger increase<br />

in GDP than the average in Western Europe<br />

(the 15 EU countries before enlargement).<br />

Measured by GDP per capita, the <strong>Nordic</strong><br />

countries have a higher wealth than the<br />

EU-15. Norway’s GDP per capita is as high<br />

as 60 % above the EU-15 average, and<br />

Norway is actually one of the countries<br />

with the highest standard of living.<br />

NORWAY<br />

Private<br />

Consumption<br />

SWEDEN<br />

DENAMrk<br />

FINLAND<br />

NORWAY<br />

+2.3 %<br />

* Figures not available<br />

Source: Oxford Economics<br />

2011<br />

+2.4%<br />

+2.1 %<br />

+2.9 %<br />

+2.5 %<br />

+2.6 %<br />

2012<br />

+2.6 %<br />

+2.2 %<br />

*<br />

+2.5 %<br />

+2.7 %<br />

2013<br />

+2.6 %<br />

+2.1 %<br />

*<br />

+2.2 %<br />

+2.6 %<br />

Forecast for growth of <strong>Nordic</strong><br />

tourists’ private consumption<br />

Private consumption is determined by people’s income to savings ratio.<br />

* Figures not available<br />

Source: Oxford Economics<br />

2014<br />

+2.5 %<br />

+2.1 %<br />

*<br />

+2.1 %<br />

+2.4 %<br />

2015<br />

+2.5 %<br />

+2.1 %<br />

*<br />

+2.2 %


04:<br />

Travel<br />

Habits<br />

14<br />

04: Travel Habits<br />

Summary<br />

Looking for Luxury and Unique<br />

Experiences<br />

<strong>The</strong> <strong>Nordic</strong> tourists <strong>travel</strong> a lot and they<br />

will be <strong>travel</strong>ling more in 2011 than in<br />

recent years.<br />

About 50 % of all their <strong>travel</strong>s are to<br />

foreign countries and overseas holiday<br />

<strong>travel</strong> will become more popular in the<br />

future.<br />

<strong>The</strong> <strong>Nordic</strong> countries are the third largest<br />

<strong>outbound</strong> <strong>market</strong> in Europe.<br />

<strong>Nordic</strong> tourists are looking for a warm<br />

climate and cultural experiences when<br />

<strong>travel</strong>ling, while package tours and city<br />

breaks are especially popular.<br />

<strong>The</strong>y are becoming more and more<br />

demanding and will increasingly look for<br />

unique <strong>travel</strong> experiences in the future.<br />

Numbers<br />

don’t lie<br />

• In 2009, Swedish leisure <strong>travel</strong>lers spent<br />

an average of 100 euro per person per day<br />

• In 2005, Norwegians took more than six<br />

million vacations to foreign countries and<br />

Norwegian tourists also increased their<br />

average expenditure per person<br />

• In 2006, <strong>Nordic</strong> tourists spent 27 billion<br />

euro on <strong>travel</strong>ling, and that makes<br />

the <strong>Nordic</strong> countries the third largest<br />

<strong>outbound</strong> tourism marked in Europe, in<br />

front of France, Spain and Italy.<br />

• On average, each Danish tourist over the<br />

age of 15 spends about 1,167 euro on<br />

their holiday (including transport,<br />

accommodation and consumption)<br />

• Danish tourists aged 24 to 44 are the<br />

biggest spenders with a <strong>travel</strong> budget of<br />

almost 1,340 euro per holiday<br />

• <strong>The</strong> average holiday budget for Finnish<br />

tourists in 2010 was about 1,500 euro


How much do they<br />

<strong>travel</strong>?<br />

Travelling is a distinction from people’s<br />

everyday life. People from the <strong>Nordic</strong><br />

countries generally experience pressure<br />

during their leisure time, which means that<br />

<strong>travel</strong>ling in the future will involve more,<br />

but shorter trips.<br />

In Norway, there has been an increase of 4.6<br />

% in <strong>travel</strong>ling abroad from 2006-2011 and<br />

since the millennium, Swedes’ holiday <strong>travel</strong><br />

has increased by 17.5 %.<br />

According to new research, 50 % of Swedish<br />

tourists are planning more <strong>travel</strong>s abroad<br />

in 2011 compared to last year. <strong>The</strong> corresponding<br />

figures for Norway and Denmark<br />

are 42 % and 36 % respectively.<br />

16<br />

04: Travel Habits<br />

<strong>Nordic</strong> people have long holidays<br />

compared to other countries. 5-6 weeks<br />

is the average for all four countries. <strong>The</strong>y<br />

often take 3 successive weeks in the<br />

summertime, where they have the time to<br />

<strong>travel</strong> abroad.<br />

Generally, tourists from the <strong>Nordic</strong><br />

countries <strong>travel</strong> a lot and they will be<br />

<strong>travel</strong>ling more in 2011 than in recent years.<br />

• About 50 % of all their <strong>travel</strong>s are to<br />

foreign destinations<br />

• On average, around 60 % of people in the<br />

<strong>Nordic</strong> countries take at least one holiday<br />

each year and the numbers are increasing<br />

During 2009, Finnish residents aged 15-74<br />

made a total of 5.6 million leisure trips<br />

abroad.<br />

How much money<br />

do they spend on<br />

<strong>travel</strong>ling?<br />

Research shows that <strong>Nordic</strong> tourists<br />

spend more money on <strong>travel</strong>ling than any<br />

other European group and the numbers<br />

are increasing each year. <strong>The</strong> research<br />

also shows that after Germany and UK<br />

the <strong>Nordic</strong> countries are the marked that<br />

spends the most money on <strong>travel</strong>ling in<br />

Europe.<br />

Danish <strong>travel</strong> spending has for instance<br />

grown 63 % in just three years.<br />

Swedish tourists’ holiday consumption in<br />

2011 is expected to amount to 11.1 billion<br />

euro, while the Norwegian tourists are<br />

expected to spend 11.9 billion euro.<br />

Research shows that<br />

<strong>Nordic</strong> tourists spend<br />

more money on <strong>travel</strong>ling<br />

than any other European<br />

group and the numbers are<br />

increasing each year.<br />

<strong>Nordic</strong> tourists spend 90 % more money<br />

than the average European tourists on<br />

food, accommodation and attractions while<br />

away on holiday.<br />

<strong>The</strong> average <strong>Nordic</strong> tourist spends<br />

more than 1,000 euro when vacationing<br />

(including transport, accommodation and<br />

consumption).


When and where do<br />

they <strong>travel</strong>?<br />

<strong>The</strong>y <strong>travel</strong> in the summertime<br />

<strong>Nordic</strong> tourists mostly <strong>travel</strong> in the<br />

summer period. Holiday <strong>travel</strong> lasting<br />

more than 4 nights typically occurs in July<br />

and August.<br />

30 % of all Danish vacations in 2010 took<br />

place in July and August. This is almost the<br />

same in Sweden with 32.2 % of all annual<br />

<strong>outbound</strong> <strong>travel</strong>.<br />

possibility for different experiences, which<br />

is also important for <strong>Nordic</strong> tourists.<br />

Approximately one out of four holidays go<br />

to a destination outside Europe and the US<br />

is one of the most popular destinations. It<br />

is mainly in the winter that <strong>Nordic</strong> tourists<br />

make these overseas journeys.<br />

<strong>The</strong>y like a good deal<br />

<strong>Nordic</strong> <strong>travel</strong>ers are very aware of<br />

exchange rates and make good use of the<br />

possibilities this brings.<br />

I.e. the low dollar rate encourages them to<br />

<strong>travel</strong> across the Atlantic.<br />

18<br />

04: Travel Habits<br />

Shorter trips becoming popular<br />

Travel patterns are changing, and the<br />

number of tourists who take more than<br />

one vacation each year is increasing. For<br />

instance, they take city breaks in the Easter<br />

period or autumn holidays, and then a<br />

longer vacation in the summer or during<br />

the winter.<br />

<strong>The</strong>y prefer a warm climate<br />

<strong>Nordic</strong> tourists prefer to <strong>travel</strong> to destinations<br />

with a warm climate where they can<br />

relax and spend time with family, relatives<br />

and friends. Experiencing big cities and<br />

different cultures are other elements that<br />

attract <strong>Nordic</strong> tourists when <strong>travel</strong>ing<br />

abroad.<br />

Popular destinations<br />

<strong>The</strong> most popular holiday destination for<br />

<strong>Nordic</strong> tourists is Spain. However, there<br />

seems to be an increasing interest in<br />

non-European destinations when buying<br />

package tours.<br />

Holiday destinations such as Turkey,<br />

Bulgaria, Egypt and Tunisia are especially<br />

popular. Holiday <strong>travel</strong> to these countries<br />

is typically about 15 % cheaper and the<br />

spending money will last longer.<br />

Thailand is a very popular holiday<br />

destination outside Europe and <strong>Nordic</strong><br />

tourists are among the most frequent<br />

visitors to Thailand relative to the<br />

countries’ populations. This is due to low<br />

prices for flights and hotels – and the<br />

How do they prefer<br />

to <strong>travel</strong>?<br />

<strong>The</strong> most popular forms of <strong>travel</strong> among<br />

<strong>Nordic</strong> tourists are:<br />

• All-inclusive Package Tours<br />

• City Breaks<br />

• Cruises<br />

All-inclusive Package Tours<br />

All-inclusive Package Tours are especially<br />

popular among families with children.<br />

All-inclusive hotels and holiday apartments<br />

are popular due to convenience and the<br />

need to know the exact cost of a holiday.<br />

Travel patterns are<br />

changing, and the number<br />

of tourists who take more<br />

than one vacation each<br />

year is increasing.<br />

<strong>The</strong>re is a widespread tendency among<br />

<strong>Nordic</strong> families with children to have a<br />

greater focus on luxury than before. This<br />

means choosing 4 or 5 star hotels when<br />

booking. Some <strong>travel</strong> agencies are also<br />

experiencing an increase in exclusive<br />

family <strong>travel</strong>, such as safari trips where<br />

parents take their children out on great<br />

adventures.<br />

City Breaks<br />

Generally city breaks are popular all year<br />

round and the increasing supply of lowpriced<br />

flights to popular metropolitan<br />

destinations has affected city breaks’<br />

popularity among <strong>Nordic</strong> tourists.<br />

Destinations such as London and New York<br />

are the most popular. London is attractive<br />

because of cheap flights and New York is<br />

enduringly popular.<br />

<strong>The</strong>re is a widespread<br />

tendency among <strong>Nordic</strong><br />

families with children to<br />

have a greater focus on<br />

luxury than before.<br />

<strong>The</strong> purpose of this kind of break from<br />

everyday life is to feel good, eat well and<br />

do some shopping. Barcelona and Paris are<br />

also popular all year round destinations.<br />

Cruises<br />

Cruises are another form of <strong>travel</strong> that<br />

Danes dream about in particular, and<br />

large ships with relative low prices and<br />

smaller ships with relatively high prices<br />

are popular.<br />

How do they prefer<br />

to stay?<br />

Statistics show that hotels and similar<br />

establishments are the preferred type<br />

of accommodation for Europeans when<br />

vacationing. This is also applicable to<br />

<strong>Nordic</strong> tourists.<br />

54 % of the Danish tourists prefer to stay<br />

at hotels when <strong>travel</strong>ling, while 20 %<br />

lodge with family or friends. 5 % prefer to<br />

go camping, 9 % want to stay in a rented<br />

holiday home and 4 % have their own<br />

holiday property.<br />

Statistics show that 6.6 million Finnish<br />

overnight stays were in hotels, which is an<br />

increase of four percent since 2008. 3.9<br />

million overnight stays were in rented<br />

cottages, which is an increase of three<br />

percent.<br />

Norwegians also prefer hotels as their<br />

first choice of accommodation. 63 % stay<br />

in hotels followed by campsites, rented<br />

holiday homes and other commercial<br />

accommodation.


Career<br />

<strong>travel</strong>lers<br />

As tourism develops, there seems to be<br />

a shift away from purely external <strong>travel</strong><br />

determinations, such as demography and<br />

climate towards internal determinations,<br />

such as self-development and creative<br />

expression.<br />

As people in the <strong>Nordic</strong> countries <strong>travel</strong><br />

more, they also become more aware of the<br />

culture and environment of the places they<br />

visit, and they reflect more on their own<br />

experiences and lifestyle.<br />

As <strong>travel</strong> experiences become richer, they<br />

feed the desire for more <strong>travel</strong>ling. People<br />

are therefore becoming so-called career<br />

<strong>travel</strong>lers, demanding an endless source<br />

of new experiences and looking for deeper<br />

experiences within the communities they<br />

visit.<br />

20<br />

04: Travel Habits


22<br />

04: Travel Habits<br />

What do they want?<br />

According to new research, there are five<br />

important factors when <strong>Nordic</strong> tourists<br />

choose a holiday destination.<br />

• Culture and local people<br />

• Cleanliness<br />

• Active holidays<br />

• Shopping<br />

• Restaurants<br />

<strong>Nordic</strong> tourists are very similar when<br />

it comes to their <strong>travel</strong> habits and<br />

preferences.<br />

What will they be<br />

looking for?<br />

New perspectives<br />

As people in general <strong>travel</strong> more and<br />

gain greater insights through their own<br />

experiences and the Internet, they also<br />

become more demanding in relation to<br />

future vacations. Overseas <strong>travel</strong> and<br />

unique <strong>travel</strong> experiences are future <strong>travel</strong><br />

trends among <strong>Nordic</strong> tourists.<br />

<strong>Nordic</strong> tourists want experiences that give<br />

new perspectives in their lives. <strong>The</strong>y will<br />

still <strong>travel</strong> to popular Spain, but there will<br />

be an increasing interest and desire to<br />

<strong>travel</strong> to more exotic destinations.<br />

USA and Canada will remain popular, but<br />

other destinations such as Brazil, Australia,<br />

Japan and exotic places as Samoa and East<br />

Timor will be popular <strong>travel</strong> destinations<br />

in the future.<br />

Unique experiences<br />

Unique experiences that have not been<br />

tried before will become more popular.<br />

This could be a culinary experience, such<br />

as cooking local meals.<br />

Travel Forms<br />

Important<br />

Factors<br />

Activities<br />

Preferred<br />

Transport<br />

Sweden<br />

Package tour<br />

City breaks<br />

Climate<br />

Cleanliness<br />

Culture<br />

Sunbathing<br />

Swimming<br />

Shopping<br />

Air <strong>travel</strong><br />

Denmark<br />

Package tour<br />

City breaks<br />

Climate<br />

Culture<br />

Local People<br />

Relaxing<br />

Sightseeing<br />

Shopping<br />

Restaurants<br />

Air Travel<br />

Finland<br />

Package tour<br />

City breaks<br />

Climate<br />

Culture<br />

Shopping<br />

Sports<br />

Air Travel<br />

Norway<br />

Package tour<br />

City breaks<br />

Climate<br />

Cleanliness<br />

Culture<br />

Relaxing<br />

Shopping<br />

Sports<br />

Air Travel<br />

Remote destinations are also expected to<br />

become more popular.<br />

Sustainability, wellness and<br />

authenticity<br />

<strong>Nordic</strong> tourists will be more climateconscious<br />

in terms of sustainability and<br />

they will also search for <strong>travel</strong> forms that<br />

include wellness activities.<br />

In addition, authentic experiences will be<br />

popular such as meeting local people in<br />

their local surroundings and participating<br />

in volunteer activities. Volunteering is also<br />

popular since students can accumulate<br />

points in relation to their education.


24<br />

05: Important<br />

Segments<br />

05: Important<br />

Segments<br />

<strong>The</strong>re are three important segments with<br />

great potential when entering the <strong>Nordic</strong><br />

<strong>travel</strong> <strong>market</strong>.<br />

<strong>The</strong>y are:<br />

• Families with children<br />

• Singles with no children<br />

• Empty Nesters<br />

Travel activity is increasing for all groups.<br />

This chapter will highlight the most<br />

important characteristics in terms of <strong>travel</strong><br />

habits and potential.<br />

Families with<br />

children<br />

Families with children are an important<br />

segment in the <strong>outbound</strong> tourism <strong>market</strong>.<br />

<strong>The</strong>se families typically use the school<br />

holidays to be together and to experience<br />

things together because the parents have<br />

less and less time.<br />

Why do they go?<br />

<strong>The</strong> most important aspects for these<br />

families when <strong>travel</strong>ling are:<br />

• <strong>The</strong> children should have fun<br />

• <strong>The</strong> family should have shared<br />

experiences<br />

• <strong>The</strong> parents want to relax<br />

• <strong>The</strong> parents need time with their children<br />

• <strong>The</strong> children should be active<br />

Previously, holiday destinations were the<br />

most important aspect when families were<br />

choosing a holiday. This is no longer the<br />

case. <strong>The</strong>re is an increasing tendency for<br />

families to focus more on luxury, which<br />

includes booking 4-5 star hotels with<br />

child-friendly facilities. Families want to<br />

retain the same good standards that they<br />

have at home.<br />

All-inclusive is key<br />

This is closely related to the fact that allinclusive<br />

holidays are becoming more<br />

popular among families in the <strong>Nordic</strong><br />

region.<br />

<strong>The</strong> majority of <strong>Nordic</strong> tourists who take<br />

all-inclusive holidays are families with<br />

children, and the reasons for choosing<br />

these are convenience and control over<br />

expenses. Five years ago, only 3 % of<br />

all package-tour <strong>travel</strong>lers preferred<br />

all-inclusive holidays, but the numbers<br />

are increasing and in 2010, the figure in<br />

Denmark alone was more than 15 %.<br />

Holiday destinations such as Egypt<br />

and Turkey are popular among packagetour<br />

<strong>travel</strong>lers because of low priced<br />

all-inclusive offers.<br />

Five years ago, only 3 % of<br />

all package-tour <strong>travel</strong>lers<br />

preferred all-inclusive<br />

holidays, but the numbers<br />

are increasing and in 2010,<br />

the figure in Denmark<br />

alone was more than 15 %.<br />

Child friendly and safe<br />

Another important factor for <strong>Nordic</strong><br />

families is that they discover child-friendly<br />

places when deciding where to stay. <strong>The</strong>y<br />

consider a place child-friendly when they<br />

are secure, employ staff with a positive<br />

attitude towards children, have access<br />

to water parks, playgrounds and childfriendly<br />

menus at restaurants.


26<br />

05: Important<br />

Segments<br />

Singles<br />

Singles either <strong>travel</strong> with other singles<br />

or they go alone, which more and more<br />

singles are daring to try.<br />

Single culture is growing, and a large<br />

proportion of singles have no children.<br />

This makes singles’ holiday <strong>travel</strong> a<br />

growing industry.<br />

More and more dare to<br />

<strong>travel</strong> alone<br />

Research carried out by a dating site<br />

showed that 30 % of male respondents<br />

and 26 % of female respondents are<br />

open towards singles’ vacations and have<br />

considered taking one.<br />

Singles holiday <strong>travel</strong>ling is a tendency that<br />

can be compared to dating on the Internet:<br />

it was considered taboo 10 years ago, but<br />

today it is a well-known phenomenon.<br />

Singles’ camping is also a new tendency<br />

that more and more people are trying.<br />

Why do they go?<br />

<strong>The</strong> advantages of singles’ holidays are<br />

freedom and social interaction between<br />

single <strong>travel</strong>lers. Only 30 % of the women<br />

and half of the men would <strong>travel</strong> to find<br />

a partner. Instead, the majority choose<br />

singles vacations in order to find new<br />

friends and share experiences.<br />

Empty Nesters<br />

Empty nesters are adult couples, aged 45+ with<br />

no children living at home.<br />

This group used to focus their time on<br />

their children and grandchildren, but in<br />

the future they will spend more time on<br />

themselves, and the biggest share of their<br />

leisure time consumption will be on <strong>travel</strong>.<br />

It is expected that the<br />

empty nester segment<br />

will make up 21 % of the<br />

world’s population by<br />

2050.<br />

A growing segment<br />

Empty nesters are a rapidly growing<br />

segment globally and in all the <strong>Nordic</strong><br />

countries<br />

It is expected that the segment will make<br />

up 21 % of the world’s population by 2050.<br />

In Denmark, the number of people over 60<br />

will make up 33 % of the Danish population.<br />

This makes them very interesting for the<br />

<strong>outbound</strong> <strong>travel</strong> <strong>market</strong>.<br />

<strong>The</strong>y have money and are<br />

ready to spend it<br />

Empty nesters will typically have paid<br />

off their mortgages, while also owning<br />

countryside cottages and possibly holiday<br />

homes abroad. <strong>The</strong>y are generally a<br />

wealthy segment of society and they spend<br />

slightly more money than other tourists<br />

when on vacation.<br />

<strong>The</strong>y also take longer vacations and most<br />

of them are able to <strong>travel</strong> outside of peak<br />

season, for instance in September, April<br />

and May since they are no longer working.<br />

• 48 % prefer to stay in holiday apartments<br />

• 30 % prefer hotels without children<br />

Why do they go?<br />

<strong>The</strong>re are many different types of couples,<br />

with different needs when <strong>travel</strong>ling.<br />

Generally, empty nesters are <strong>travel</strong>ling to<br />

have experiences and they will not waste<br />

their time relaxing in a hammock. Instead,<br />

they want to take different trips that<br />

are more physically demanding, such as<br />

cycling and hiking in the countryside.<br />

More than half want to make unusual trips<br />

to have holiday experiences. Living in the<br />

centre and dining at restaurants are also<br />

highly preferred among this segment.<br />

Research shows that<br />

• 56 % mention renewed energy as one<br />

element they get out of their holiday<br />

• 33 % emphasise time for romance<br />

• 30 % state they strengthen their<br />

relationship<br />

Empty nesters are an<br />

attractive target group<br />

due to the fact that they<br />

• Have a great desire to <strong>travel</strong><br />

• Have a lot of money<br />

• Spend more money than the average<br />

tourist<br />

• Take longer vacations<br />

• Can take vacations outside the peak<br />

season


06: Booking<br />

Behaviour and<br />

Platforms<br />

28<br />

06: Booking Behaviour<br />

and Platforms<br />

Summary<br />

Information Searchers<br />

– Online Bookers<br />

<strong>The</strong> <strong>Nordic</strong> countries are at the forefront<br />

when it comes to penetration and use of<br />

Information and communication<br />

technologies (ICT).<br />

<strong>Nordic</strong> tourists are therefore well<br />

acquainted with and heavy users of all<br />

the new communication platforms.<br />

This means that online information<br />

searches on the Internet are increasing<br />

and an average of 60 % book their<br />

vacations online.<br />

<strong>Nordic</strong> tourists prefer booking online<br />

because it is flexible and they can search<br />

and plan their holiday exactly the way<br />

they want it, and they can do it<br />

whenever it fits their busy schedule.<br />

<strong>The</strong> high level of ICT penetration also<br />

means that social and mobile media<br />

play an important role when tour<br />

operators are inspiring or communicating<br />

with potential tourists.


30<br />

06: Booking Behaviour<br />

and Platforms<br />

Planning and<br />

Booking<br />

Active Online Searchers<br />

<strong>Nordic</strong> tourists gather more information<br />

than the average European tourist.<br />

Information searches on the Internet are<br />

increasing and an average of 60 % book<br />

their vacations online. In Norway, <strong>travel</strong><br />

and holidays are the most bought or<br />

ordered products online.<br />

Booking should be flexible<br />

<strong>Nordic</strong> tourists prefer booking online<br />

because it is flexible and they can search<br />

and plan their holiday exactly the way they<br />

want it, and they can do it whenever it fits<br />

their busy schedule.<br />

• 63 % are satisfied with planning their<br />

holiday themselves<br />

• 57 % used three or more websites to<br />

plan their holiday<br />

• 39 % will definitely plan their next<br />

holiday themselves<br />

Increased use of online booking also<br />

means that people have expectations in<br />

relation to making a good deal, for instance<br />

when booking a hotel room.<br />

<strong>The</strong> women make the decisions<br />

Research shows that women take the lead<br />

when vacations are being planned and<br />

booked. 4-5 years ago only one in four<br />

women decided on the holiday.<br />

This is primarily because women are<br />

more comfortable using the Internet when<br />

buying goods online, including holiday<br />

<strong>travel</strong>.<br />

Women handle all the preliminary work,<br />

searching the Internet, reading magazines<br />

and speaking to friends and relatives to<br />

gain inspiration about their own vacation.<br />

Research shows that<br />

women take the lead<br />

when vacations are being<br />

planned and booked. 4-5<br />

years ago only one in four<br />

women decided on the<br />

holiday.<br />

Children have some influence, especially<br />

when it comes to taking the initiative, but<br />

they have less say than their parents in the<br />

decision making process.<br />

<strong>The</strong> most important sources of<br />

information<br />

<strong>The</strong> most important sources of<br />

information/reasons for choosing a<br />

specific destination for <strong>Nordic</strong> tourists, are:<br />

1. Been there before<br />

2. Google.com<br />

3. Recommendations from friends<br />

or families<br />

4. Official website for <strong>travel</strong> agency<br />

5. Official website for hotels,<br />

attractions etc.<br />

What’s important?<br />

Inspiration from the Internet makes up<br />

three out of five information sources and<br />

therefore it plays a very important role<br />

in terms of searching for inspiration and<br />

booking a holiday.<br />

What’s not important?<br />

<strong>The</strong> most ineffective information sources<br />

are TV spots, exhibition visits and <strong>travel</strong><br />

programmes on TV. <strong>Nordic</strong> tourists clearly<br />

prefer new communication technologies<br />

over traditional media.


network<br />

readiness<br />

<strong>The</strong> Networked Readiness Index is the<br />

capacity of countries to fully benefit from new<br />

technologies in their competitiveness strategies<br />

and their citizens’ daily lives.<br />

Source: <strong>The</strong> Global Information Technology<br />

Report (2010-2011)<br />

Country/<br />

Economy<br />

1 sweden<br />

2 Singapore<br />

3 finland<br />

4 Switzerland<br />

5 Unite States<br />

6 Taiwan, China<br />

7 Denmark<br />

8 Canada<br />

9 Norway<br />

Score<br />

5.6<br />

5.59<br />

5.43<br />

5.33<br />

5.33<br />

5.30<br />

5.29<br />

5.21<br />

5.21<br />

32<br />

06: Booking Behaviour<br />

and Platforms<br />

New Technology<br />

Experts<br />

<strong>The</strong> pace of technological advance is<br />

accelerating and ICT is increasingly<br />

becoming an essential part of people’s<br />

behaviour and social networks. Mobile<br />

phones, smart phones, computers and the<br />

Internet have opened up new channels of<br />

communication.<br />

Several studies show that the <strong>Nordic</strong><br />

countries are at the forefront when it<br />

comes to ICT penetration and use.<br />

<strong>The</strong>y are familiar with ICT<br />

<strong>Nordic</strong> tourists have a high individual<br />

usage level of ICT tools and the number<br />

of mobile and broadband Internet<br />

subscribers, Internet users, PCs, mobile<br />

phone subscriptions with data access and<br />

Internet access in schools is high.<br />

How can they<br />

be reached?<br />

Smartphones<br />

An application for<br />

every vacation<br />

For smartphones, new <strong>travel</strong>-related<br />

apps are constantly becoming available.<br />

I.e. <strong>travel</strong> tips, translation apps, cultural<br />

information, navigation and maps, flight<br />

information and taxi cab services.<br />

Last minute booking made easier<br />

<strong>The</strong> use of mobile phones and other mobile<br />

devices makes it easier to make last minute<br />

bookings, while last minute decisions<br />

about when and where people want to<br />

<strong>travel</strong> will increase.<br />

With large booking portals and apps<br />

like “hotels near me”, it is possible to<br />

be anywhere in the world and book the<br />

nearest hotel straight away.<br />

Social Media<br />

Everybody’s there<br />

Young people are developing a wave of<br />

social media activities. Older generations<br />

have been influenced by the use of social<br />

media and the behaviour of young people<br />

and are themselves increasingly active<br />

users of social media.<br />

Most people in the <strong>Nordic</strong> countries have<br />

a personal Facebook profile and are active<br />

users of the site.<br />

• Norway - 52 %<br />

• Denmark - 46 %<br />

• Sweden - 44 %<br />

• Finland - 35 %<br />

Facebook<br />

Pictures encourage Travelling<br />

<strong>The</strong> sharing of holiday snaps is a popular<br />

activity on Facebook, and research shows<br />

that pictures have a very strong influence<br />

on Facebookers’ <strong>travel</strong> plans.<br />

• 52 % state that seeing friends’ holiday<br />

pictures had inspired them to book a<br />

holiday to the same destination<br />

• 45 % say that Facebook encourages<br />

them to visit their friends abroad more<br />

Twitter<br />

Where are you?<br />

<strong>The</strong> social networking and microblogging<br />

service Twitter has rapidly gained<br />

popularity, especially in USA – but in recent<br />

times the <strong>Nordic</strong> people have start taking it<br />

to heart.<br />

<strong>The</strong> Twitter application, MySkyStatus,<br />

lets users automatically share flight<br />

information via Twitter, Facebook or<br />

LinkedIN while in the air. <strong>The</strong> site is open<br />

for all major airlines and the site has<br />

distributed more than 400,000 status<br />

updates.


34<br />

Research<br />

Sources<br />

Statistics and reports<br />

European Commission: Survey on the<br />

attitudes of Europeans towards tourism,<br />

2011<br />

European Travel Commission: Tourism<br />

trends for Europe, 2006<br />

Eurostat (European Statistics from the<br />

European Commission): Inbound and<br />

<strong>outbound</strong> tourism in the European Union,<br />

2006<br />

Eurostat (European Statistics from the<br />

European Commission): Tourism Statistics,<br />

2008<br />

Ministry of Transport in Denmark: Danish<br />

Airfreight, 2015, 2005<br />

Norden (<strong>The</strong> official collaboration of<br />

the <strong>Nordic</strong> countries): <strong>Nordic</strong> Statistical<br />

Yearbook, 2010<br />

Statistics Denmark: Denmark in numbers<br />

2011, 2011<br />

Statistics Denmark: Spain and Italy as<br />

favorite destinations, 2010<br />

Statistics Denmark: Danish Facebook<br />

habits, 2009<br />

Statistics Finland: Finnish residents’<br />

leisure trips increased and business <strong>travel</strong>ling<br />

declined in 2009, 2010<br />

Statistics Norway: Most Norwegians prefer<br />

to <strong>travel</strong> in the summer holiday season,<br />

2010<br />

Statistics Norway: More popular to <strong>travel</strong><br />

abroad, 2007<br />

Statistics Norway: Number of holiday trips,<br />

by main destination and different criteria,<br />

2007<br />

Statistics Norway: Travel Survey, 2005<br />

Statistics Sweden: <strong>The</strong> Travel and Tourism<br />

Industry in Sweden, 2008<br />

Visit Denmark: Tourism in numbers, 2009<br />

Visit Denmark: Forecast on Danish<br />

Tourism 2011-2015, 2011<br />

Visit Denmark: Mom, dad and kids - roles<br />

and wishes in connection with the family<br />

vacation, 2004<br />

Visit Denmark: Market profile of Finland,<br />

2010<br />

Visit Denmark: Market profile of Norway,<br />

2011<br />

Visit Denmark: Market profile of Sweden,<br />

2009<br />

Visit Denmark: Swedish adult couples,<br />

2005<br />

Visit Finland: Outbound Travel:<br />

Ruotsi – Sweden, 2010<br />

Zunia Knowledge Exchange: <strong>The</strong> Global<br />

Information Technology Report 2010-<br />

2011, 2011.<br />

Databases and websites<br />

Agri-info.eu (www.agri-info.eu)<br />

Ministry of Foreign Affairs of Denmark<br />

(www.udenrigsministeriet.dk)<br />

New Media Trend Watch (<strong>The</strong> European<br />

Travel Commission)<br />

(www.newmediatrendwatch.com)<br />

Official Site of Scandinavian Tourist Boards<br />

of North America (www.goscandinavia.<br />

com)<br />

Statistics Denmark (www.dst.dk)<br />

Statistics Finland (www.stat.fi)<br />

Statistics Norway (www.ssb.no)<br />

Statistics Sweden (www.scb.se)<br />

Articles<br />

Check-in (Danish <strong>travel</strong> magazine): <strong>The</strong><br />

frequency of the Danes restaurants visit on<br />

holiday, 2011<br />

Check-in (Danish <strong>travel</strong> magazine):<br />

<strong>The</strong> Danish tourists choose luxury hotels<br />

on their holiday, 2011<br />

Check-in (Danish <strong>travel</strong> magazine):<br />

Intercon<br />

tinental routes set a record in 2010, 2011<br />

Check-in (Danish <strong>travel</strong> magazine): Star<br />

Tour wants to focus on couples’ <strong>travel</strong>s,<br />

2010<br />

Check-in (Danish <strong>travel</strong> magazine):<br />

All inclusive is a hit, 2010<br />

Check-in (Danish <strong>travel</strong> magazine): CHP<br />

strengthens the intercontinental traffic,<br />

2010<br />

Crezcan: About the <strong>Nordic</strong> <strong>travel</strong> <strong>market</strong>,<br />

2011<br />

Din Side (Norwegian <strong>travel</strong> website): Don’t<br />

relax on holiday, 2011<br />

Fri.dk (Danish lifestyle website):<br />

Singles <strong>travel</strong> together, 2008<br />

Guide 24 (Danish news site):<br />

<strong>The</strong> airlines focus on Denmark in 2010,<br />

2010<br />

Helsinki Times (Finnish national<br />

newspaper): Facebook lacks friends in<br />

Finland, 2011<br />

Hotels.com: Young Danes dream about<br />

shopping, sun and thrill, 2009<br />

Invest in Finland (Finnish business<br />

website): All-inclusive holiday a growing<br />

trend among Finnish tourists, 2011<br />

Invest in Finland (Finnish business<br />

website): Travel agencies in Finland expect<br />

a year of growth for foreign <strong>travel</strong>, 2011<br />

Invest in Finland (Finnish business<br />

website): Finland’s future pensioners will<br />

spend more money on <strong>travel</strong>ling, 2010<br />

Jyllands-Posten (Danish national<br />

newspaper): Scandinavians are the best<br />

tourists in the world, 2011<br />

My News Desk – Hotels.com: <strong>The</strong> Danes<br />

have 5 ½ weeks holiday, 2011<br />

New Media Trend Watch (<strong>The</strong> European<br />

Travel Commission): Friends’ holiday<br />

pictures on Facebook inspire 52 percent to<br />

book a holiday the same place, 2011<br />

Rejsefeber (Danish <strong>travel</strong> website): New<br />

research, section: activities and preferences,<br />

2011<br />

Rejse Guide (Danish <strong>travel</strong> website):<br />

Couples disagree on the destination, 2010<br />

Rejseliv (Danish <strong>travel</strong> website):<br />

More people choose to <strong>travel</strong> outside of the<br />

Euro countries, 2011<br />

Rejseliv (Danish <strong>travel</strong> website):<br />

Travel trends 2010: We want unique experiences<br />

far far away, 2010<br />

Rejseliv (Danish <strong>travel</strong> website): Travel<br />

trends 2010: We want to do it ourselves<br />

and it has to be unique, 2010<br />

Stand By (Scandinavian <strong>travel</strong> magazine):<br />

Every third has their holiday planned,<br />

2011<br />

Skyscanner – Flight search: Explore: Travel<br />

features, 2011<br />

<strong>The</strong> Local – Sweden’s news in English: Fast<br />

facts: Swedes’ <strong>travel</strong> habits, 2007<br />

TIC Travel (Danish online <strong>travel</strong><br />

community): <strong>The</strong> Danes want to live in<br />

luxury on their<br />

holiday, 2011<br />

TIC Travel (Danish online <strong>travel</strong><br />

community): 3 <strong>travel</strong> trends in 2011, 2011<br />

Travel<strong>market</strong> (Danish <strong>travel</strong> website):<br />

Danes’ most popular searches, second half<br />

of 2010, 2011<br />

TV 2 Norge (Norwegian national television):<br />

<strong>The</strong> Norwegians have new <strong>travel</strong><br />

habits, 2011<br />

Zoover World (blog about <strong>travel</strong> news, tips,<br />

trends and research): Social media during<br />

holiday, 2011


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