Travel and Tourism in Canada to 2017 Improving Economic Conditions and Government Efforts to Promote Tourism Will Support Growth Report Code: TT0106MR Publication Date: September 2013 www.timetric.com John Carpenter House 7 Carmelite Street London EC4Y 0BS United Kingdom Tel: +44 (0)20 7936 6400 Fax: +44 (0)20 7336 6813 Travel and Tourism in Canada to 2017 Page 1
EXECUTIVE SUMMARY 1 EXECUTIVE SUMMARY Despite a deceleration in 2009 due to the financial crisis, Canada s tourism sector flourished during the review period, with tourist volumes increasing in the years following the crisis. The growth can be attributed to the country s strong economic position and the promotional efforts of the Canadian Tourism Commission (CTC). During the review period (2008 2012), Canada s domestic tourist volumes expanded at a CAGR of X.XX%. Domestic tourist volumes increased from XX.X million trips in 2008 to XX.X million trips in 2012, expanding at a review-period CAGR of X.XX%. International arrivals to Canada decreased slightly during the review period, from XX.X million in 2008 to XX.X million in 2012, at a review-period CAGR of X.XX%. Supported by the expansion in air capacity to key outbound destinations and a rise in disposable income levels, outbound tourism is expected to rise at a forecast-period CAGR of X.XX%, from XX.X million departures in 2012 to XX.X million in 2017. Passengers carried by domestic and international airlines reached XX.X million in 2012, increasing at a review-period CAGR of X.XX%. Canada s hotel market was unfavorably affected by the financial crisis of 2009, with market value decreasing at a review-period CAGR of X.XX%. The car rental market value in Canada increased at a review-period CAGR of X.XX% to reach CADX.X billion (US$X.X billion) in 2012. Travel intermediaries revenue in Canada is expected to increase at a forecast-period CAGR of X.XX% to reach CADXX.X billion (US$XX.X billion) in 2017. Travel and Tourism in Canada to 2017 Page 2
EXECUTIVE SUMMARY Figure 1: Canada Tourism Expenditure (US$ Billion), 2008 2017 Source: Timetric analysis Timetric Figure 2: Canada Key Ratios (%), 2008 2017 Source: Timetric analysis Timetric Travel and Tourism in Canada to 2017 Page 3
TABLE OF CONTENTS TABLE OF CONTENTS 1 Executive Summary... 2 2 Market Overview... 13 2.1 The Domestic Economy...13 2.2 Travel and Tourism Trends and Issues...14 2.3 Key Travel and Tourism Indicators...15 2.4 Tourism SWOT...16 2.4.1 Strengths... 17 2.4.2 Weaknesses... 17 2.4.3 Opportunities... 17 2.4.4 Threats... 18 2.5 Country Fact Sheet...19 2.6 Demographic Profile...20 3 Tourism Flows... 21 3.1 Domestic Tourism...21 3.1.1 Performance outlook... 21 3.1.2 Key issues and trends... 21 3.2 Inbound Tourism...22 3.2.1 Performance outlook... 22 3.2.2 Key issues and trends... 22 3.3 Outbound Tourism...23 3.3.1 Performance outlook... 23 3.3.2 Key issues and trends... 23 3.4 Tourism Flows Forecast Highlights...24 4 Airlines... 26 4.1 Performance Outlook...26 4.2 Key Issues and Trends...26 4.3 Airlines Forecast Highlights...27 5 Hotels... 28 5.1 Performance Outlook...28 5.2 Key Issues and Trends...28 5.3 Hotels Forecast Highlights...29 6 Car Rental... 30 6.1 Performance Outlook...30 6.2 Key Issues and Trends...30 6.3 Car Rental Forecast Highlights...31 7 Travel Intermediaries... 32 7.1 Performance Outlook...32 7.2 Key Issues and Trends...32 7.3 Travel Intermediaries Forecast Highlights...33 8 Tourism Board Profile... 34 8.1 Tourism Board Name...34 8.2 Tourist Board Description...34 8.3 Target Market...34 9 Airport Profiles... 35 9.1 Canada Airports...35 9.1.1 Overview... 35 Travel and Tourism in Canada to 2017 Page 4
TABLE OF CONTENTS 9.1.1 Operator profile... 37 9.1.2 Routes... 37 10 Company Profiles Airlines... 38 10.1 Company Profile: Air Canada Inc....38 10.1.1 Air Canada Inc. company overview... 38 10.1.2 Air Canada Inc. business description... 38 10.1.3 Air Canada Inc. main services and brands... 39 10.1.4 Air Canada Inc. history... 39 10.1.5 Air Canada Inc. SWOT analysis... 40 10.1.6 Air Canada Inc. strengths... 40 10.1.7 Air Canada Inc. weaknesses... 41 10.1.8 Air Canada Inc. opportunities... 41 10.1.9 Air Canada Inc. threats... 42 10.1.10 Air Canada Inc. key competitors... 42 10.1.11 Air Canada Inc. key employees... 43 10.2 Company Profile: WestJet Airlines Ltd...44 10.2.1 WestJet Airlines Ltd company overview... 44 10.2.2 WestJet Airlines Ltd business description... 44 10.2.3 WestJet Airlines Ltd main services and brands... 45 10.2.4 WestJet Airlines Ltd history... 45 10.2.5 WestJet Airlines Ltd SWOT analysis... 46 10.2.6 WestJet Airlines Ltd strengths... 46 10.2.7 WestJet Airlines Ltd weaknesses... 47 10.2.8 WestJet Airlines Ltd opportunities... 47 10.2.9 WestJet Airlines Ltd threats... 48 10.2.10 WestJet Airlines Ltd key competitors... 48 10.2.11 WestJet Airlines Ltd key employees... 49 10.3 Company Profile: Chorus Aviation Inc...50 10.3.1 Chorus Aviation Inc. company overview... 50 10.3.2 Chorus Aviation Inc. business description... 50 10.3.3 Chorus Aviation Inc. main services and brands... 51 10.3.4 Chorus Aviation Inc. history... 51 10.3.5 Chorus Aviation Inc. SWOT analysis... 52 10.3.6 Chorus Aviation Inc. strengths... 52 10.3.7 Chorus Aviation Inc. weaknesses... 53 10.3.8 Chorus Aviation Inc. opportunities... 53 10.3.9 Chorus Aviation Inc. threats... 54 10.3.10 Chorus Aviation Inc. key competitors... 54 10.3.11 Chorus Aviation Inc. key employees... 55 10.4 Company Profile: Air Transat A.T. Inc....56 10.4.1 Air Transat A.T. Inc. company overview... 56 10.4.2 Air Transat A.T. Inc. main services... 56 10.4.3 Air Transat A.T. Inc. key competitors... 56 10.4.4 Air Transat A.T. Inc. key employees... 56 10.5 Company Profile: Porter Airlines Inc....57 10.5.1 Porter Airlines Inc. company overview... 57 10.5.2 Porter Airlines Inc. main services... 57 10.5.3 Porter Airlines Inc. key competitors... 57 10.5.4 Porter Airlines Inc. key employees... 57 11 Company Profiles Hotels... 58 11.1 Company Profile: Fairmont Raffles Hotels International Inc....58 11.1.1 Fairmont Raffles Hotels International Inc. company overview... 58 Travel and Tourism in Canada to 2017 Page 5
TABLE OF CONTENTS 11.1.2 Fairmont Raffles Hotels International Inc. main services and brands... 58 11.1.3 Fairmont Raffles Hotels International Inc. key competitors... 58 11.1.4 Fairmont Raffles Hotels International Inc. key employees... 59 11.2 Company Profile: Westmont Hospitality Group, Inc....60 11.2.1 Westmont Hospitality Group, Inc. company overview... 60 11.2.2 Westmont Hospitality Group, Inc. main services and brands... 60 11.2.3 Westmont Hospitality Group, Inc. key competitors... 60 11.2.4 Westmont Hospitality Group, Inc. key employees... 61 11.3 Company Profile: InterContinental Hotels Group Canada...62 11.3.1 InterContinental Hotels Group Canada company overview... 62 11.3.2 InterContinental Hotels Group Canada main services... 62 11.3.3 InterContinental Hotels Group Canada key competitors... 62 11.3.4 InterContinental Hotels Group Canada key employees... 62 11.4 Company Profile: Best Western International Canada...63 11.4.1 Best Western International Canada company overview... 63 11.4.2 Best Western International Canada main services and brands... 63 11.4.3 Best Western International Canada key competitors... 63 11.4.4 Best Western International Canada key employees... 63 11.5 Company Profile: Delta Hotels and Resorts...64 11.5.1 Delta Hotels and Resorts company overview... 64 11.5.2 Delta Hotels and Resorts main services... 64 11.5.3 Delta Hotels and Resorts key competitors... 64 11.5.4 Delta Hotels and Resorts key employees... 65 12 Company Profiles Car Rental... 66 12.1 Company Profile: Discount Car & Truck Rentals Ltd...66 12.1.1 Discount Car & Truck Rentals Ltd company overview... 66 12.1.2 Discount Car & Truck Rentals Ltd main services... 66 12.1.3 Discount Car & Truck Rentals Ltd key competitors... 66 12.1.4 Discount Car & Truck Rentals Ltd key employees... 66 12.2 Company Profile: All-time Car Rental Corporation...67 12.2.1 All-time Car Rental Corporation company overview... 67 12.2.2 All-time Car Rental Corporation main services... 67 12.2.3 All-time Car Rental Corporation key competitors... 67 12.2.4 All-time Car Rental Corporation key employees... 67 12.3 Company Profile: Budget Rent-A-Car BC Ltd...68 12.3.1 Budget Rent-A-Car BC Ltd company overview... 68 12.3.2 Budget Rent-A-Car BC Ltd main services... 68 12.3.3 Budget Rent-A-Car BC Ltd key competitors... 68 12.3.4 Budget Rent-A-Car BC Ltd key employees... 68 12.4 Company Profile: RIZ Rent a Car and Truck Ltd...69 12.4.1 RIZ Rent a Car and Truck Ltd company overview... 69 12.4.2 RIZ Rent a Car and Truck Ltd main services... 69 12.4.3 RIZ Rent a Car and Truck Ltd key competitors... 69 12.4.4 RIZ Rent a Car and Truck Ltd key employees... 69 12.5 Company Profile: CanaDream Corporation...70 12.5.1 CanaDream Corporation company overview... 70 12.5.2 CanaDream Corporation main services... 70 12.5.3 CanaDream Corporation key competitors... 70 12.5.4 CanaDream Corporation key employees... 70 13 Company Profiles Travel Intermediaries... 71 13.1 Company Profile: Expedia Canada Corp....71 13.1.1 Expedia Canada Corp. company overview... 71 Travel and Tourism in Canada to 2017 Page 6
TABLE OF CONTENTS 13.1.2 Expedia Canada Corp. main services... 71 13.1.3 Expedia Canada Corp. key competitors... 71 13.1.4 Expedia Canada Corp. key employees... 71 13.2 Company Profile: Flight Network...72 13.2.1 Flight Network company overview... 72 13.2.2 Flight Network main services... 72 13.2.3 Flight Network key competitors... 72 13.2.4 Flight Network key employees... 72 13.3 Company Profile: Red Tag Vacations...73 13.3.1 Red Tag Vacations company overview... 73 13.3.2 Red Tag Vacations main services... 73 13.3.3 Red Tag Vacations key competitors... 73 13.3.4 Red Tag Vacations key employees... 73 13.4 Company Profile: Voyage A Rabais...74 13.4.1 Voyage A Rabais company overview... 74 13.4.2 Voyage A Rabais main services... 74 13.4.3 Voyage A Rabais key competitors... 74 13.4.4 Voyage A Rabais key employees... 74 13.5 Company Profile: Sunwing Travel Group Inc...75 13.5.1 Sunwing Travel Group Inc company overview... 75 13.5.2 Sunwing Travel Group Inc main services... 75 13.5.3 Sunwing Travel Group Inc key competitors... 75 13.5.4 Sunwing Travel Group Inc key employees... 75 14 Market Data Analysis... 76 14.1 Tourism Output...76 14.1.1 Total tourism output... 76 14.1.2 Direct tourism output... 77 14.1.3 Indirect tourism output... 78 14.1.4 Tourism output per employee... 79 14.1.5 Direct tourism output per employee... 80 14.1.6 Indirect tourism output per employee... 81 14.2 Tourism Employment...82 14.2.1 Total tourism employment... 82 14.2.2 Direct tourism employment... 83 14.2.3 Indirect tourism employment... 84 14.2.4 Tourism employee compensation... 85 14.2.5 Total gross income generated by total tourism employment... 86 14.3 Domestic Tourism...87 14.3.1 Domestic trips by purpose of visit... 87 14.3.2 Number of overnight stays... 88 14.3.3 Total domestic tourist expenditure... 89 14.3.4 Average expenditure per domestic tourist by category... 90 14.4 Inbound Tourism...91 14.4.1 International arrivals by region... 91 14.4.2 International arrivals by purpose of visit... 92 14.4.3 Total inbound tourism expenditure by category... 93 14.4.4 Average international tourist expenditure by category... 94 14.5 Outbound Tourism Flows...95 14.5.1 International departures by region... 95 14.5.2 International departures by purpose of visit... 96 14.5.3 Number of overnight stays... 97 14.5.4 Total outbound tourism expenditure by category... 98 Travel and Tourism in Canada to 2017 Page 7
TABLE OF CONTENTS 14.5.5 Average outbound expenditure per resident by category... 99 14.6 Airlines...100 14.6.1 Seats available... 100 14.6.2 Seats sold by carrier type business travel... 101 14.6.3 Seats sold by carrier type leisure travel... 102 14.6.4 Load factor by carrier type... 103 14.6.5 Passenger kilometers available by carrier type... 104 14.6.6 Revenue-generating passenger kilometers by carrier type... 105 14.6.7 Revenue per passenger by carrier type... 106 14.6.8 Total revenue by carrier type... 107 14.7 Hotels...108 14.7.1 Establishments by hotel category... 108 14.7.2 Available rooms by hotel category... 109 14.7.3 Room occupancy rate by hotel category... 110 14.7.4 Room nights available by hotel category... 111 14.7.5 Room nights occupied by hotel category... 112 14.7.6 Average revenue per available room by hotel category... 113 14.7.7 Revenue per occupied room by hotel category... 114 14.7.8 Total revenue per available room by hotel category... 115 14.7.9 Total revenue by hotel category and customer type... 116 14.7.10 Guests by hotel category and customer type... 117 14.8 Car Rentals...118 14.8.1 Market value by customer type and rental location... 118 14.8.2 Fleet size... 119 14.8.3 Rental occasions and days... 120 14.8.4 Rental length... 121 14.8.5 Average rental length... 121 14.8.6 Utilization rate... 122 14.8.7 Average revenue per day... 123 14.9 Travel Intermediaries...124 14.9.1 Market value by product type... 124 14.9.2 Online revenues by type of intermediary or provider... 125 14.9.3 Online revenues by type of tourist... 126 14.9.4 In-store revenues by type of intermediary... 127 14.9.5 In-store revenues by type of tourist... 128 14.9.6 Travel agent revenues from domestic tourism by sales channel... 129 14.9.7 Travel agent revenues from international tourism by sales channel... 130 14.9.8 Tour operator revenues from domestic tourism by sales channel... 131 14.9.9 Tour operator revenues from international tourism by sales channel... 132 14.9.10 Other intermediaries revenues from domestic tourism by sales channel... 133 14.9.11 Other intermediaries revenues from international tourism by sales channel... 134 15 Appendix... 135 15.1 What is this Report About?...135 15.2 Definitions...135 15.3 Methodology...140 15.4 Contact Timetric...142 15.5 About Timetric...142 15.6 Timetric s Services...142 15.7 Disclaimer...144 Travel and Tourism in Canada to 2017 Page 8
LIST OF TABLES LIST OF TABLES Table 1: Canada Tourist Arrivals from Top-10 Countries (Thousand), 2008 2017... 25 Table 2: Canada Tourist Departures to Top-10 Countries (Thousand), 2008 2017... 25 Table 3: Canadian Tourism Commission (Commission Canadienne du Tourisme) Key Facts and Locations... 34 Table 4: Vancouver International Airport (YVR), Vancouver Overview... 35 Table 5: Toronto Pearson International Airport, Toronto Overview... 35 Table 6: YYC Calgary International Airport, Calgary Overview... 36 Table 7: Montreal-Trudeau International Airport, Montreal Overview... 36 Table 8: Ottawa International Airport, Ottawa Overview... 36 Table 9: Air Canada Inc., Key Facts... 38 Table 10: Air Canada Inc., Main Services and Brands... 39 Table 11: Air Canada Inc., History... 39 Table 12: Air Canada Inc., Key Employees... 43 Table 13: WestJet Airlines Ltd, Key Facts... 44 Table 14: WestJet Airlines Ltd, Main Services and Brands... 45 Table 15: WestJet Airlines Ltd, History... 45 Table 16: WestJet Airlines Ltd, Key Employees... 49 Table 17: Chorus Aviation Inc., Key Facts... 50 Table 18: Chorus Aviation Inc., Main Services and Brands... 51 Table 19: Chorus Aviation Inc., History... 51 Table 20: Chorus Aviation Inc., Key Employees... 55 Table 21: Air Transat A.T. Inc., Key Facts... 56 Table 22: Air Transat A.T. Inc., Main Services... 56 Table 23: Air Transat A.T. Inc., Key Employees... 56 Table 24: Porter Airlines Inc., Key Facts... 57 Table 25: Porter Airlines Inc., Main Services... 57 Table 26: Porter Airlines Inc., Key Employees... 57 Table 27: Fairmont Raffles Hotels International Inc., Key Facts... 58 Table 28: Fairmont Raffles Hotels International Inc., Main Services and Brands... 58 Table 29: Fairmont Raffles Hotels International Inc., Key Employees... 59 Table 30: Westmont Hospitality Group, Inc., Key Facts... 60 Table 31: Westmont Hospitality Group, Inc., Main Services and Brands... 60 Table 32: Westmont Hospitality Group, Inc.., Key Employees... 61 Table 33: InterContinental Hotels Group Canada, Key Facts... 62 Table 34: InterContinental Hotels Group Canada, Main Services... 62 Table 35: InterContinental Hotels Group Canada, Key Employees... 62 Table 36: Best Western International Canada, Key Facts... 63 Table 37: Best Western International Canada, Main Services... 63 Table 38: Best Western International Canada, Key Employees... 63 Table 39: Delta Hotels and Resorts, Key Facts... 64 Table 40: Delta Hotels and Resorts Main Services... 64 Table 41: Delta Hotels and Resorts, Key Employees... 65 Table 42: Discount Car & Truck Rentals Ltd, Key Facts... 66 Table 43: Discount Car & Truck Rentals Ltd, Main Services... 66 Table 44: Discount Car & Truck Rentals Ltd, Key Employees... 66 Table 45: All-time Car Rental Corporation, Key Facts... 67 Table 46: All-time Car Rental Corporation, Main Services... 67 Table 47: All-time Car Rental Corporation, Key Employees... 67 Table 48: Budget Rent-A-Car BC Ltd, Key Facts... 68 Table 49: Budget Rent-A-Car BC Ltd, Main Services... 68 Table 50: Budget Rent-A-Car BC Ltd, Key Employees... 68 Table 51: RIZ Rent a Car and Truck Ltd, Key Facts... 69 Table 52: RIZ Rent a Car and Truck Ltd, Main Services... 69 Table 53: RIZ Rent a Car and Truck Ltd, Key Employees... 69 Table 54: CanaDream Corporation, Key Facts... 70 Table 55: CanaDream Corporation, Main Services... 70 Table 56: CanaDream Corporation, Key Employees... 70 Table 57: Expedia Canada Corp., Key Facts... 71 Table 58: Expedia Canada Corp., Main Services... 71 Table 59: Expedia Canada Corp., Key Employees... 71 Table 60: Flight Network, Key Facts... 72 Table 61: Flight Network, Main Services... 72 Table 62: Flight Network, Key Employees... 72 Table 63: Red Tag Vacations, Key Facts... 73 Table 64: Red Tag Vacations, Main Services... 73 Table 65: Red Tag Vacations, Key Employees... 73 Table 66: Voyage A Rabais, Key Facts... 74 Travel and Tourism in Canada to 2017 Page 9
LIST OF TABLES Table 67: Voyage A Rabais, Main Services... 74 Table 68: Voyage A Rabais, Key Employees... 74 Table 69: Sunwing Travel Group Inc, Key Facts... 75 Table 70: Sunwing Travel Group Inc, Main Services... 75 Table 71: Sunwing Travel Group Inc, Key Employees... 75 Table 72: Canada Total Tourism Output by Category (CAD Billion), 2008 2017... 76 Table 73: Canada Direct Tourism Output by Category (CAD Billion), 2008 2017... 77 Table 74: Canada Indirect Tourism Output by Category (CAD Billion), 2008 2017... 78 Table 75: Canada Total Tourism Output Generated per Employee by Category (CAD Thousand), 2008 2017... 79 Table 76: Canada Direct Tourism Output Generated per Employee by Category (CAD Thousand), 2008 2017... 80 Table 77: Canada Indirect Tourism Output Generated per Employee by Category (CAD Thousand), 2008 2017... 81 Table 78: Canada Total Tourism Employment by Category (Thousand), 2008 2017... 82 Table 79: Canada Total Tourism Employment as a Percentage of Total Employment by Category (%), 2008 2017... 82 Table 80: Canada Direct Tourism Employment by Category (Thousand), 2008 2017... 83 Table 81: Canada Direct Tourism Employment as a Percentage of Total Employment by Category (%), 2008 2017... 83 Table 82: Canada Indirect Tourism Employment by Category (Thousand), 2008 2017... 84 Table 83: Canada Indirect Tourism Employment as a Percentage of Total Employment by Category (%), 2008 2017... 84 Table 84: Canada Average Salary per Employee by Category (CAD Thousand), 2008 2017... 85 Table 85: Canada Total Gross Income Generated by Total Tourism Employment by Category (CAD Billion), 2008 2017... 86 Table 86: Canada Number of Trips by Purpose (Million), 2008 2017... 87 Table 87: Canada Overnight Stays (Million), 2008 2017... 88 Table 88: Canada Total Domestic Tourism Expenditure by Category (CAD Billion), 2008 2017... 89 Table 89: Canada Average Expenditure per Domestic Tourist by Category (CAD), 2008 2017... 90 Table 90: Canada International Arrivals by Region (Thousand), 2008 2017... 91 Table 91: Canada International Arrivals by Purpose of Visit (Million), 2008 2017... 92 Table 92: Canada Total Inbound Tourism Expenditure by Category (CAD Billion), 2008 2017... 93 Table 93: Canada Average Expenditure per Inbound Tourist by Category (CAD), 2008 2017... 94 Table 94: Canada International Departures by Region (Thousand), 2008 2017... 95 Table 95: Canada International Departures by Purpose of Visit (Million), 2008 2017... 96 Table 96: Canada Overnight Stays (Million), 2008 2017... 97 Table 97: Canada Total Outbound Tourism Expenditure by Category (CAD Billion), 2008 2017... 98 Table 98: Canada Average Outbound Expenditure per Resident by Category (CAD), 2008 2017... 99 Table 99: Canada Seats Available by Carrier Type (Million), 2008 2017... 100 Table 100: Canada Seats Sold by Carrier Type Business Travel (Million), 2008 2017... 101 Table 101: Canada Seats Sold by Carrier Type Leisure Travel (Million), 2008 2017... 102 Table 102: Canada Load Factor by Carrier Type (%), 2008 2017... 103 Table 103: Canada Passenger Kilometers Available by Carrier Type (Billion), 2008 2017... 104 Table 104: Canada Revenue-Generating Passenger Kilometers by Carrier Type (Billion), 2008 2017... 105 Table 105: Canada Revenue per Passenger by Carrier Type (CAD), 2008 2017... 106 Table 106: Canada Total Revenue by Carrier Type (CAD Billion), 2008 2017... 107 Table 107: Canada Establishments by Category (Actual), 2008 2017... 108 Table 108: Canada Available Hotel Rooms by Hotel Category (Thousand), 2008 2017... 109 Table 109: Canada Room Occupancy Rate by Hotel Category (%), 2008 2017... 110 Table 110: Canada Room Nights Available by Hotel Category (Million), 2008 2017... 111 Table 111: Canada Room Nights Occupied by Hotel Category (Million), 2008 2017... 112 Table 112: Canada Average Revenue per Available Room by Hotel Category (CAD), 2008 2017... 113 Table 113: Canada Revenue per Occupied Room by Hotel Category (CAD), 2008 2017... 114 Table 114: Canada Total Revenue Per Available Room by Hotel Category (CAD), 2008 2017... 115 Table 115: Canada Total Revenue by Hotel Category and Customer Type (CAD Billion), 2008 2017... 116 Table 116: Canada Guests by Hotel Category and Customer Type (Million), 2008 2017... 117 Table 117: Canada Market Value by Customer Type and Rental Location (CAD Million), 2008 2017... 118 Table 118: Canada Fleet Size (Actual), 2008 2017... 119 Table 119: Canada Rental Occasions (Million), 2008 2017... 120 Table 120: Canada Rental Days (Million), 2008 2017... 121 Table 121: Canada Average Rental Length (Days), 2008 2017... 121 Table 122: Canada Market Utilization Rate (%), 2008 2017... 122 Table 123: Canada Car Rental Average Revenue per Day (CAD), 2008 2017... 123 Table 124: Canada Travel Intermediaries Market Value by Product Type (CAD Billion), 2008 2017... 124 Table 125: Canada Travel Intermediaries Online Revenues by Provider (CAD Billion), 2008 2017... 125 Table 126: Canada Travel Intermediaries Online Revenues by Type of Tourist (CAD Billion), 2008 2017... 126 Table 127: Canada Travel Intermediaries In-Store Revenues by Provider (CAD Billion), 2008 2017... 127 Table 128: Canada Travel Intermediaries In-Store Revenues by Type of Tourist (CAD Billion), 2008 2017... 128 Table 129: Canada Travel Agent Revenues from Domestic Tourism by Sales Channel (CAD Billion), 2008 2017... 129 Table 130: Canada Travel Agent Revenues from International Tourism by Sales Channel (CAD Billion), 2008 2017... 130 Table 131: Canada Tour Operator Revenues from Domestic Tourism by Sales Channel (CAD Million), 2008 2017... 131 Table 132: Canada Tour Operator Revenues from International Tourism by Sales Channel (CAD Billion), 2008 2017... 132 Table 133: Canada Other Intermediaries Revenues from Domestic Tourism by Sales Channel (CAD Million), 2008 2017... 133 Table 134: Canada Other Intermediaries Revenues from International Tourism by Sales Channel (CAD Million), 2008 2017... 134 Table 135: Timetric Travel and Tourism Sector Definitions... 135 Travel and Tourism in Canada to 2017 Page 10
LIST OF FIGURES LIST OF FIGURES Figure 1: Canada Tourism Expenditure (US$ Billion), 2008 2017... 3 Figure 2: Canada Key Ratios (%), 2008 2017... 3 Figure 3: Canada Economic Outlook, 2007 2017... 13 Figure 4: Canada International Arrivals, 2008 2013... 15 Figure 5: Consumer Price Index (% ann), 2007 2013... 15 Figure 6: Canada Tourism Industry GDP (CAD Million), 2007 2013... 15 Figure 7: Canada Travel and Tourism Sector SWOT Analysis... 16 Figure 8: Canada Population, 2007 2017... 20 Figure 9: Canada Domestic Tourism Expenditure (CAD Billion), 2008 2017... 24 Figure 10: Canada International Arrivals by Purpose of Visit (Thousand), 2008 2017... 24 Figure 11: Canada International Departures by Destination (Thousand), 2008 2017... 24 Figure 12: Canada Seats Sold vs Seats Available (Million), 2008 2017... 27 Figure 13: Canada Available Passenger Kilometers (Billion), 2008 2017... 27 Figure 14: Canada Load Factor (%) and Revenue per Passenger (CAD), 2008 2017... 27 Figure 15: Canada Room Nights Available (Million) and Revenue Per Available Room (CAD), 2008 2017... 29 Figure 16: Canada Room Occupancy Rates (%), 2008 2017... 29 Figure 17: Canada Total Hotel Revenue (CAD Million), 2008 2017... 29 Figure 18: Canada Fleet Size (Actual) and Number of Rentals (Million), 2008 2017... 31 Figure 19: Canada Car Rental Value by Rental Type and Location (CAD Million), 2008 2017... 31 Figure 20: Canada Average Revenue per Day (CAD), 2008 2017... 31 Figure 21: Canada Travel Intermediaries Market Value by Product (CAD Billion), 2008 2017... 33 Figure 22: Canada Market Value through Online Channel (CAD Billion), 2008 2017... 33 Figure 23: Canada Travel Agents Market Value (CAD Billion), 2008 2017... 33 Figure 24: Canada Total Tourism Output by Category (CAD Billion), 2008 2017... 76 Figure 25: Canada Direct Tourism Output by Category (CAD Billion), 2008 2017... 77 Figure 26: Canada Indirect Tourism Output by Category (CAD Billion), 2008 2017... 78 Figure 27: Canada Total Tourism Output Generated per Employee by Category (CAD Thousand), 2008 2017... 79 Figure 28: Canada Direct Tourism Output Generated per Employee by Category (CAD Thousand), 2008 2017... 80 Figure 29: Canada Indirect Tourism Output Generated per Employee by Category (CAD Thousand), 2008 2017... 81 Figure 30: Canada Total Tourism Employment by Category (Thousand), 2008 2017... 82 Figure 31: Canada Direct Tourism Employment by Category (Thousand), 2008 2017... 83 Figure 32: Canada Indirect Tourism Employment by Category (Thousand), 2008 2017... 84 Figure 33: Canada Average Salary per Employee by Category (CAD Thousand), 2008 2017... 85 Figure 34: Canada Total Gross Income Generated by Total Tourism Employment by Category (CAD Billion), 2008 2017... 86 Figure 35: Canada Number of Trips by Purpose (Million), 2008 2017... 87 Figure 36: Canada Overnight Stays (Million), 2008 2017... 88 Figure 37: Canada Total Domestic Tourism Expenditure by Category (CAD Billion), 2008 2017... 89 Figure 38: Canada Average Expenditure per Domestic Tourist by Category (CAD), 2008 2017... 90 Figure 39: Canada International Arrivals by Region (Thousand), 2008 2017... 91 Figure 40: Canada International Arrivals by Purpose of Visit (Million), 2008 2017... 92 Figure 41: Canada Total Inbound Tourism Expenditure by Category (CAD Billion), 2008 2017... 93 Figure 42: Canada Average Expenditure per Inbound Tourist by Category (CAD), 2008 2017... 94 Figure 43: Canada International Departures by Region (Thousand), 2008 2017... 95 Figure 44: Canada International Departures by Purpose of Visit (Million), 2008 2017... 96 Figure 45: Canada Overnight Stays (Million), 2008 2017... 97 Figure 46: Canada Total Outbound Tourism Expenditure by Category (CAD Billion), 2008 2017... 98 Figure 47: Canada Average Outbound Expenditure per Resident by Category (CAD), 2008 2017... 99 Figure 48: Canada Seats Available by Carrier Type (Million), 2008 2017... 100 Figure 49: Canada Seats Sold by Carrier Type Business Travel (Million), 2008 2017... 101 Figure 50: Canada Seats Sold by Carrier Type Leisure Travel (Million), 2008 2017... 102 Figure 51: Canada Load Factor by Carrier Type (%), 2008 2017... 103 Figure 52: Canada Passenger Kilometers Available by Carrier Type (Billion), 2008 2017... 104 Figure 53: Canada Revenue-Generating Passenger Kilometers by Carrier Type (Billion), 2008 2017... 105 Figure 54: Canada Revenue per Passenger by Carrier Type (CAD), 2008 2017... 106 Figure 55: Canada Total Revenue by Carrier Type (CAD Billion), 2008 2017... 107 Figure 56: Canada Establishments by Category (Actual), 2008 2017... 108 Figure 57: Canada Available Hotel Rooms by Hotel Category (Thousand), 2008 2017... 109 Figure 58: Canada Room Occupancy Rate by Hotel Category (%), 2008 2017... 110 Figure 59: Canada Room Nights Available by Hotel Category (Million), 2008 2017... 111 Figure 60: Canada Room Nights Occupied by Hotel Category (Million), 2008 2017... 112 Figure 61: Canada Average Revenue per Available Room by Hotel Category (CAD), 2008 2017... 113 Figure 62: Canada Revenue per Occupied Room by Hotel Category (CAD), 2008 2017... 114 Figure 63: Canada Total Revenue per Available Room by Hotel Category (CAD), 2008 2017... 115 Figure 64: Canada Total Revenue by Hotel Category (CAD Billion), 2008 2017... 116 Figure 65: Canada Guests by Hotel Category (Million), 2008 2017... 117 Travel and Tourism in Canada to 2017 Page 11
LIST OF FIGURES Figure 66: Canada Market Value by Customer Type and Rental Location (CAD Million), 2008 2017... 118 Figure 67: Canada Fleet Size (Actual), 2008 2017... 119 Figure 68: Canada Rental Occasions (Million), 2008 2017... 120 Figure 69: Canada Rental Days (Million) vs Average Rental Length (Days), 2008 2017... 121 Figure 70: Canada Market Utilization Rate (%), 2008 2017... 122 Figure 71: Canada Car Rental Average Revenue per Day (CAD), 2008 2017... 123 Figure 72: Canada Travel Intermediaries Market Value by Product Type (CAD Billion), 2008 2017... 124 Figure 73: Canada Travel Intermediaries Online Revenues by Provider (CAD Billion), 2008 2017... 125 Figure 74: Canada Travel Intermediaries Online Revenues by Type of Tourist (CAD Billion), 2008 2017... 126 Figure 75: Canada Travel Intermediaries In-Store Revenues by Provider (CAD Billion), 2008 2017... 127 Figure 76: Canada Travel Intermediaries In-Store Revenues by Type of Tourist (CAD Billion), 2008 2017... 128 Figure 77: Canada Travel Agent Revenues from Domestic Tourism by Sales Channel (CAD Billion), 2008 2017... 129 Figure 78: Canada Travel Agent Revenues from International Tourism by Sales Channel (CAD Billion), 2008 2017... 130 Figure 79: Canada Tour Operator Revenues from Domestic Tourism by Sales Channel (CAD Million), 2008 2017... 131 Figure 80: Canada Tour Operator Revenues from International Tourism by Sales Channel (CAD Billion), 2008 2017... 132 Figure 81: Canada Other Intermediaries Revenues from Domestic Tourism by Sales Channel (CAD Million), 2008 2017... 133 Figure 82: Canada Other Intermediaries Revenues from International Tourism by Sales Channel (CAD Million), 2008 2017... 134 Travel and Tourism in Canada to 2017 Page 12
TOURISM FLOWS 1.1 Tourism Flows Forecast Highlights Figure 3: Canada Domestic Tourism Expenditure (CAD Billion), 2008 2017 Source: Timetric analysis Timetric Figure 4: Canada International Arrivals by Purpose of Visit (Thousand), 2008 2017 Source: Timetric analysis Timetric Figure 5: Canada International Departures by Destination (Thousand), 2008 2017 Source: Timetric analysis Timetric Travel and Tourism in Canada to 2017 Page 13
TOURISM FLOWS Table 1: Canada Tourist Arrivals from Top-10 Countries (Thousand), 2008 2017 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Source: Timetric analysis Timetric Table 2: Canada Tourist Departures to Top-10 Countries (Thousand), 2008 2017 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Source: Timetric analysis Timetric Travel and Tourism in Canada to 2017 Page 14
APPENDIX 2 APPENDIX 2.1 What is this Report About? 2.2 Definitions This report is the result of extensive research into the travel and tourism sector in Canada, covering its dynamics and competitive landscape. It provides insights into the market size and forecast for the travel and tourism sector, and includes analysis and insight on key tourism-related subjects such as airports, popular destinations, and national tourist boards. It also includes an overview of the leading companies in the travel and tourism sector, and details of strategic initiatives undertaken by them. For the purposes of this report, the following timeframes apply: Review period: 2008 2012 Forecast period: 2013 2017 Base year for forecasting: 2012 All data is collected in local currency. To avoid distortions due to currency fluctuations, all conversions into US dollars, of current, historical and forecast data alike, are made with a yearly average exchange rate. All values in tables, with the exception of compound annual growth rates (CAGRs) are displayed to one decimal place. Growth rates may, therefore, appear inconsistent with absolute values due to this rounding method. The key market categories featured in the report are defined below: Table 3: Timetric Travel and Tourism Sector Definitions Term Tourism demand factors Annual employee holiday entitlement Domestic trip International trip Trips taken by season Number of trips by residents Average length of trip Tourism flow factors Number of overnight stays International arrivals Leisure trips Definition Factors that influence time and money spent on tourism. Typical factors include the amount of holiday leave available to the average employee in the country, and mean household income. The number of days the average resident of a country will accrue annually through entitled holidays, including annual leave and public holidays. Public holidays are statutory holidays to which a country s residents are entitled. A trip taken to a destination within the traveler s country of residence. A trip taken to a destination outside the traveler s country of residence. The number of trips undertaken by the residents of a country (both domestic and international), segmented into four quarters: January March, April June, July September and October December. The number of trips undertaken by the residents of a country, segmented by domestic and international trips. The average number of nights spent by the residents of a country, segmented by domestic and international trips. Factors that influence the flow of tourists from one location to another. The total number of nights spent by the residents of a country on all trips during a given year. The number of foreign nationals entering a country. For example, a person from Canada who visits France would be an international arrival to France. Trips for holidaying, recreation, or visits to friends and relatives. Travel and Tourism in Canada to 2017 Page 15
APPENDIX Business trips Other trips International departures Domestic tourist expenditure Accommodation Sightseeing and entertainment Foodservice Retail Transportation Travel intermediation Other categories Inbound tourist expenditure Outbound tourist expenditure Tourism balance of payments Direct tourism output Indirect tourism output Indirect tourism employment Direct tourism employment Total tourism output Trips involving business as the primary purpose. This includes trips for meetings, incentives, conventions and exhibitions (MICE) purposes, events and conferences. Trips for purposes other than leisure or business, such as education, sports or pilgrimage. The total number of citizens leaving their home country and arriving in other countries. This will be higher than the total number of citizens leaving their home country, as a traveler might travel to more than one country. Expenditure on tourism commodities during trips within national borders by citizens of a country. This spending is categorized into accommodation, sightseeing and entertainment, food service, retail transportation, travel intermediation, and others, which include travel insurance and equipment rental. The total direct spending on accommodation by inbound, domestic and outbound tourists within a single economy. The total direct spending on sightseeing and entertainment by inbound, domestic and outbound tourists within a single economy The total direct spending on food and beverages from foodservice outlets by inbound, domestic and outbound tourists within a single economy. The total direct spending in retail outlets by inbound, domestic and outbound tourists within a single economy. The total direct spending on transportation by inbound, domestic and outbound tourists within a single economy. The total direct spending via travel intermediaries by inbound, domestic and outbound tourists within a single economy. The total direct spending within all other categories by inbound, domestic and outbound tourists within a single economy. Expenditure on travel and tourism commodities by international visitors within a country. This spending is categorized into accommodation, sightseeing and entertainment, food service, retail, transportation, travel intermediation and others, which include travel insurance and equipment rental. The total expenditure by the residents of a country for the purpose of, and during, international tourism trips, irrespective of whether these transactions involve domestic or international providers. This spending is categorized by various categories such as accommodation, sightseeing and entertainment, food service, retail, transportation, travel intermediation and others which include travel insurance and equipment rental. The difference between the expenditure of a country s inbound and outbound tourists with international tourism commodities providers. The total direct spending by inbound, domestic and outbound tourists within a single economy, segmented by categories such as accommodation or sightseeing and entertainment. Direct tourism output represents all output consumed directly by visitors. All output used as inputs in the process of producing direct tourism output. Examples include toiletries for hotel guests and local entertainment for hotels. All jobs where workers are engaged in the production of indirect tourismrelated output, for example, output which is used as an input in the process of producing direct tourism output. For example, people employed for local entertainment in hotels generate an indirect output which will be used as an input for the accommodation industry, a direct tourism output. All jobs where workers are engaged in the production of direct tourism output. The sum of the value of goods and services purchased by tourists and output which is used as an input in the process of producing these goods and services. Travel and Tourism in Canada to 2017 Page 16
APPENDIX Total tourism employment Total tourism employment as a percentage of total employment Average salary by category Total national tourism expenditure Average national tourism spend per day of trip domestic Average national tourism spend per day of trip international Percentage of total resident income spent on tourism Average expenditure per international tourist Average expenditure per domestic trip Average overseas tourism expenditure Domestic, outbound and inbound tourist expenditure on transportation Direct tourism output on transportation Indirect tourism output on transportation Indirect tourism employment on transportation Direct tourism employment on transportation Total tourism output on transportation Total tourism employment Total national tourism expenditure on transportation Average expenditure per international tourist on transportation Average expenditure per domestic trip on transportation Passenger airlines Low-cost airlines Full-service airlines All employees engaged in generating tourism output within a country, both directly and indirectly. The percentage of people employed in the tourism industry, both directly and indirectly, of the total employed population. Average remuneration per year for employees working within tourismrelated categories. The total spending by residents on both domestic and outbound trips within categories such as accommodation and transportation. The average daily expenditure of a country s residents during domestic trips. The average daily expenditure of a country s residents during international trips. The percentage of total annual income that a country s residents spend on travel and tourism activities. The average expenditure on travel and tourism activities by an international tourist within a country. This spending is categorized by accommodation, entertainment and sightseeing, food service, retail transportation, travel intermediation, and others, which include travel insurance and equipment rental. The average expenditure on domestic travel and tourism activities by residents of a country, segmented by categories such as accommodation and foodservice. The average expenditure on travel and tourism activities by outbound tourists of a country, segmented by categories such as accommodation and food service. Expenditure on all modes of transport within a country by domestic, outbound and inbound tourists. The total direct spending on transportation by inbound, outbound and domestic tourists within a single economy. Direct tourism output represents all output consumed directly by visitors. Indirect tourism output on transportation includes all output used as inputs in the process of producing direct tourism output on transportation. Includes all jobs where workers are engaged in the production of indirect tourism-related output, for example, output which is used as an input in the process of producing direct tourism output. Includes all jobs where workers are engaged in the production of direct tourism output in the transportation category of a country. The sum of the value of goods and services (directly or indirectly related to transportation) purchased by tourists and output which is used as an input in the process of producing these goods and services. All employees engaged in generating tourism output within a country, both directly and indirectly. The total spending by residents on transportation in domestic trips. The average expenditure on transportation by an international tourist within a country. The average expenditure by residents of a country on transportation during domestic trips. An airline whose primary business is the transport of passengers. Airlines that generally offer lower fares by eliminating many traditional services. To recover the revenue lost in reduced ticket prices, the airlines may charge for additional facilities such as priority boarding, seat allocation, food and baggage. Full-service airlines generally have higher fares, operate long-distance routes and offer a complete range of in-flight services. Travel and Tourism in Canada to 2017 Page 17
APPENDIX Charter airlines Number of seats available Number of seats sold Hotels Budget hotels Midscale hotels Upscale hotels Luxury hotels Number of rooms Room occupancy rate Revenue per available room Total room revenue Total non-room revenue Number of guests Business guests Leisure guests Car rental Business rentals Leisure rentals Airport rentals by leisure customers Airport rentals by business customers Non-airport rentals Non-airport rentals by business customers An airline hired by a group or single customer for leisure or business purposes, or as an air ambulance, and flies outside normal schedules. Airlines classified as non-scheduled by civil aviation organizations fall into this category. The number of seats available for purchase on all the airlines operating in a country, for example, both national and foreign carriers operating on domestic and international routes. The number of seats sold to revenue passengers by all the airlines operating in a country in a year. Establishments that provide paid lodging and full guest services, typically with a continuous staff presence. In the case of motels, this includes offstreet parking facilities but not necessarily meal services. Includes hotels that are considered to be budget accommodation, or have a one- or two-star rating, providing accommodation on a short-term basis at relatively low prices. Includes hotels with a three-star rating. These hotels provide more facilities and comfort than budget hotels, and their services are charged at higher prices. Includes hotels with a four star rating. Upscale hotels include both traditional full-service hotels and smaller select-service hotels with comfortable accommodation at higher prices than midscale hotels. Includes hotels with a five-star rating or higher. Luxury hotels provide top quality accommodation, with a combination of high-class facilities and style, typically at much higher prices than standard hotels. The total number of rooms available in all hotel accommodation establishments in a country in a year. The percentage of available rooms sold during a given period. A measure of financial performance in the hospitality industry. It is the ratio of total room revenue to total rooms available. Average room rates and occupancy can also be used to calculate revenue per available room. The room rent that a guest pays for the occupied room. Revenue earned by hotels other than the room rent. It includes revenue from food and beverages, telecommunications, health and leisure operations, and car rentals. Guest numbers in all hotel accommodation establishments in a country in a year. The annual number of guests arriving in hotel accommodation establishments for business purposes. The annual number of guests arriving in hotel accommodation establishments for leisure purposes. Car rental is the hiring of a motor vehicle from one party to another. Annual revenue generated through car rentals under negotiated contractual agreements between businesses and a rental company, Annual revenue generated through car rentals directly to customers. Annual car rental revenue generated through direct customer rentals to and from an airport. Revenue generated through car rentals by business customers from an airport under negotiated contractual agreements between the employers and the rental company. Annual car rental revenue generated through direct customer rentals at locations other than airports. Revenue generated through car rentals by business customers at locations other than airports under negotiated contractual agreements between the employers and the rental company. Travel and Tourism in Canada to 2017 Page 18
APPENDIX Insurance replacement Fleet size Number of rental occasions Rental days Average rental length Utilization rate Average revenue per day Travel intermediaries Accommodation only Travel only Car rental only Tourism packages Experiential travel Other products Travel agents Tour operators Other providers Online In-store Source: Timetric analysis The revenue generated by car rental firms through customers hiring vehicles through insurance and leasing companies, repair shops or dealerships with which car rental companies have a contractual relationship. The number of times rental cars are hired out. The number of times rental cars are rented out. The total number of days all cars in the fleet are rented. It is calculated by multiplying the total fleet size by the average number of days per year during which a car is rented. The average duration of a car rental. The ratio of the number of rental days to total number of days for which cars could be actually rented during the year. The ratio of car rental revenue to the total number of rental days in a year. Part of a business that assists in selling travel products and services to customers. The products may include airline tickets, car rentals, hotels, railway tickets and package holidays that may combine several products. Total revenue generated by intermediaries exclusively through accommodation bookings. Total revenue generated by intermediaries exclusively through travel bookings. Total revenue generated by intermediaries exclusively through car rental bookings. A combination of tourism products or services, such as accommodation, travel bookings and car rental bundled together by a tour operator. Travel packages offering a holistic experience for travellers who want to go beyond the beaten tourist paths and learn about cultural and social aspects of a country or a place. Revenue generated by travel intermediaries from travel products and services that are not classified above. Businesses that sell travel-related products and services to both leisure and business customers on behalf of suppliers such as tour operators. These may include package holidays, sightseeing tours, airline tickets, hotel accommodation, cruise bookings, car rentals, rail travel and travel insurance. Some travel agents also serve as sales agents for international travel companies. Tour operators typically combine two or more travel services, such as transport, sightseeing, accommodation, food and entertainment, and sell them either directly to customers or through travel agents as a single product, called a package tour, for a single price. Any part of the value chain between the direct supplier and traveler (customer), which is not classified as a travel agent or a tour operator. Revenue generated by travel intermediaries by selling travel-related products or services over the internet. Revenue generated by travel intermediaries by selling related products or services to a customer over the counter. Timetric Travel and Tourism in Canada to 2017 Page 19
APPENDIX 2.3 Methodology Timetric s dedicated research and analysis teams consist of experienced professionals with industry backgrounds in marketing, market research, consulting and advanced statistical expertise. Timetric adheres to the Codes of Practice of the Market Research Society (www.mrs.org.uk) and the Society of Competitive Intelligence Professionals (www.scip.org). All Timetric databases are continuously updated and revised. All travel and tourism reports are created by following a comprehensive, four-stage methodology. This includes market study, research, analysis and quality control. 1) Market Study A. Standardization Definitions are specified using recognized industry classifications. The same definition is used for every country. Annual average currency exchange rates are used for the latest completed year. These are then applied across both the historical and forecast data to remove exchange rate fluctuations. B. Internal Audit Review of in-house databases to gather existing data: o Historic market databases and reports o Company database C. Trend monitoring Review of the latest travel and tourism companies and industry trends 2) Research A. Sources Collection of the latest market-specific data from a wide variety of industry sources: o Government statistics o Industry associations o Company filings o International organizations o Travel and tourism agencies B. Expert opinion Collation of opinion taken from leading travel and tourism industry experts Analysis of third-party opinion and forecasts: o Broker reports o Media o Official government sources C. Data consolidation and verification Consolidation of data and opinion to create historical datasets Creation of models to benchmark data across categories and geographies Travel and Tourism in Canada to 2017 Page 20