8 NEWS ICELAND, BEST IN
8 NEWS ICELAND, BEST IN CLASS WITH 21% GROWTH IN TOURISM Northern Lights - one of the key attractions driving major growth in Iceland © xxxxxx European Tourism in 2013 – Trends & Prospects European tourism maintains growth momentum according to European Tourism Commission Tourism to European destinations grew by a robust 5% in 2013, which is well above the most optimistic projections. According to the latest ETC report “European Tourism in 2013 – Trends & Prospects“, confidence is growing in the sector, as some of the factors underlying growth will persist into the next year. The ETC expects international tourism to grow between 3% and 4% in 2014. With a joint effort, the public and private sector can consolidate this growth path and secure Europe a long-term position as the world’s number 1 destination. European tourism reached new peak levels in 2013 and experienced the fourth consecutive year of growth. Growth spread across virtually all European destinations and accelerated as the year progressed, mainly due to strong summer travel demand from large outbound markets, such as Spain and the UK. Confidence is growing in the European tourism sector, as reflected in key industry indicators. “European tourism has a bright future ahead” said Eduardo Santander. Nonetheless, “competition is tough”, echoed Pedro Ortún, Director for Tourism of the European Commission, “but European destinations have by far all the means to stand out as the most attractive, diverse and unique destinations worldwide”. In 2013, Europe received 29 million international visitors more than in the previous year, reaching 563 million arrivals, according to UNWTO figures. In relative terms, this means a robust growth of 5%. Fasterthan-average growth is reported by Europe’s five largest destinations. France consolidates its position growing by a solid 8%. An unprecedented 60 million international tourists visited Spain (+6%), while in Italy (+3%) stagnation seems to be over, at least in terms of inbound travel. Tourism to Turkey (+10%) grew fast despite protests during the central months of the year, while Germany (+4%) remains on a steady growth path and hits the 30 million mark in foreign visitors. Stunning two-digit growth is reported by a remarkably high number of smaller destinations. Iceland is the best-in-class performer, with a 21% increase in foreign visits, followed by Latvia (+14%), Serbia (+13%), Greece (+12%), Slovakia and Malta (both +10%). Key industry indicators point to an increasing confidence in the European tourism sector. European hotel occupancy growth outpaced all other world regions throughout 2013, and raising pricing power is indicative of growing confidence in the tourism sector. Air seat capacity increased throughout the year as a further indication of industry expectations of ongoing growth in demand. SOLID FOUNDATIONS FOR FUTURE GROWTH Overall, ETC expects international tourism to grow between 3% and 4% in 2014. As the Eurozone area is turning the corner from recession to recovery, according to the IMF, the intra-European market is expected to support tourism growth throughout 2014. Russia is also expected to further consolidate its significance as outbound travel market, as its rising middle-class becomes more acquainted and independent with travel. Among long-haul markets, the US is expected to remain the powerhouse of long-haul tourism demand for Europe, while China will keep on leading growth in relative terms. Megaevents and the overall policy environment might instead lead to a softer growth of outbound travel from Brazil. Large-scale initiatives, such as the Winter Olympics in Russia or Germany’s UNESCO Word Heritage Year, will contribute to keep attention for European destinations high. ITB BERLIN NEWS • Tuesday 18 th March 2014 www.itb-berlin-news.com
NEWS 9 The Evolution of Shopping Tourism Chic Outlet Shopping spurs the growth of shopping tourism from Europe to China and even beyond Thibault Ruffat Head Of European Promotion & Global Marketing, Chic Outlet Shopping In the three years that Chic Outlet Shopping has exhibited at ITB Berlin, the perception of shopping tourism has changed significantly, according to Thibault Ruffat, Head of European Promotion & Global Marketing, Chic Outlet Shopping. “We have to justify our presence at ITB Berlin less and less. Shopping tourism is a real segment of the tourism industry, understood now by all the major players. We are working with the UNWTO on the Shopping Tourism Report to be published later this year.” Chic Outlet Shopping’s strategy of launching new products for the MICE market has also coincided with similar increase in MICE-related business deals taking place at ITB Berlin. WE ARE WORKING WITH THE UNWTO ON THE SHOPPING TOURISM REPORT TO BE PUBLISHED LATER THIS YEAR With the announcement of the Chic Outlet Shopping partnership with Hotelbeds further galvanizing the company’s status for shopping and activity packages, ITB Berlin 2014 has also seen the company’s footprint in the Chinese market grow. “China, for our European Villages, is the number 1 longhaul market in terms of revenue generated through tax-free figures,” said Ruffat. “Our first shopping village in China - Suzhou Village - opens in May and this is just the beginning for us. A second village is in the pipeline, connected to Disneyland China, and we are targeting the opening of five villages in China by 2020. Comparing the difference between Europe and China, what is interesting is that European villages tend to grow steadily, from 60 at launch to 120 boutiques after ten years, while in China we start straight away with 150 boutiques. The dynamism of growth in China is amazing.” LGBT at ITB Berlin Gay and Lesbian Travel Pavilion grows to 400m 2 It is difficult to quantify the exact size of the LGBT potential market, but today it’s clear that it is an important growth sector. ITB Berlin News asked John Tanzella, President and CEO of the International Gay and Lesbian Travel Association (IGLTA) how big he estimates the market as being. Looking at the UNWTO World Tourism Barometer and estimate that LGBT travellers would conservatively account for 5 percent of the 1.087 billion international tourism arrivals for 2013 that would represent 50 million travellers is a significant market! IGLTA began participating in ITB Berlin more than 10 years ago, using a single tabletop to represent its members. In 2010, we became a founding partner of the Gay & Lesbian Travel Pavilion, which has now grown to 400 m2. We’ve absolutely seen increased interest from our members in ITB Berlin – they appreciate the visible commitment to LGBT travel within such an important global show. How different is today the trade perception of Gay and Lesbian travel compared to your first time presence at ITB Berlin? It’s evolved a great deal since I first attended seven years ago. Our booth was not as busy as it is now. We have back-to-back appointments and interview requests. In the beginning, we were more of a curiosity, whereas now visitors to our booth are seeking us out. Do you see new countries or cities embracing today the concept of gay travel? Yes, and our ITB Berlin stand was a reflection of this. In the past two years, members from India and Poland have joined us. This year we have a business from China for the first time. In Fall 2013, our non-profit IGLTA Foundation launched a program to offset association membership fees for LGBT businesses in emerging destinations and the first business that signed up is based in Belgrade, Serbia. This is often how it evolves: We see one or two businesses join IGLTA from a city or country and then tourism boards and wider acceptance follow. It’s like the association itself – we were founded in the United States by 25 small business owners and now have members in more than 75 countries. John Tanzella President and CEO of the International Gay and Lesbian Travel Association (IGLTA) 50 MILLION OF ESTIMATED LGBT TRAVELLERS IS A SIGNIFICANT MARKET” ITB BERLIN NEWS • Tuesday 18 th March 2014
