COMCEC TOURISM OUTLOOK 2016 Aslı TAŞMAZ DADAKOĞLU COMCEC Coordination Office February 2016
OUTLINE The Importance of Tourism for Development Tourism Trends (Demand & Supply Sides) Overview of International Tourism in the World International Tourism in the OIC Member Countries 1
The Importance of Tourism for Development A remarkable socio-economic phenomena A critical sector in both advanced and developing economies Related to more than 185 supply-side economic activities, with direct and indirect effects 2
The Importance of Tourism for Development 9 % GDP (Direct, Indirect and Induced) 1/11 JOBS US $ 1.5 TRILLION IN EXPORTS 6% OF WORLD S TRADE 30 % OF SERVICES EXPORTS Source: UNWTO Tourism Highlights, 2015 Edition 3
Key Tourism Trends Demand Side Share of global population over the age of 60 8 % 12 % 21 % 1950 2013 2050 Active travelers Highly personalized services Soft adventure for «feeling young» Health and wellness products Source: Horwart HTL Tourism Megatrends, 2016 4
Key Tourism Trends Demand Side Generation Y (Millennials) 50 % of all travelers by 2025 Technology is essential!!! Generation Z (igen 6-20 ages) Different from Generation Y Spend parents money faster High level of involvement in digital trends Higher access to information A more dynamic lifestyle Source: Horwart HTL Tourism Megatrends, 2016 5
Key Tourism Trends Demand Side Middle Class Population (in billion) 1.8 3.2 4.9 2009 2020 2030 The increase in average income results in a growing middle class Look for value for Money (choose low cost airlines, trains etc. & discounted tickets) Source: Horwart HTL Tourism Megatrends, 2016 6
Key Tourism Trends Demand Side Increase in the weight of emerging economies 10 cities are from the Middle East and Asia in the top 20 global destinations by international overnight visitors. Emerging Destinations Source: Horwart HTL Tourism Megatrends, 2016 57 % of Total Arrivals 2030 7
Key Tourism Trends Supply Side INTERNET INFORMATION SOURCES Others 33% Sites with Official Tests of Institutes Articles in Internet Magazines 2% 4% Official Websites of Embassies Website for Price Comparison 7% 10% Website of Tour Operators 16% Reservation/Booking Websites 20% Website of Fligtht/Train etc. 25% Social Media 30% Website of Accommodation/Hotel Website of Country /Destination 35% 35% Source: ITB World Travel Trends Report 2015-2016 8
Key Tourism Trends Supply Side Global Hotel Groups Market Capitilisation vs Airbnb (Billion US $) ACCORHOTELS 12,9 WYNDHAM HOTEL GROUP 15,3 STARWOOD HOTELS&RESORTS 16,3 «Sharing Economy» MARRIOTT INTERNATIONAL 25,4 Airbnb (Accommodation Sharing) AIRBNB HILTON WORLDWIDE 25,5 39,5 Uber (Car Sharing) Source: Hospitality On, 2015 9
Key Tourism Trends Supply Side Tourism Sustainable Tourism Sustainable Tourism is defined as: «tourism that respects both local people and the traveler, cultural heritage and the environment» 10
International Tourist Arrivals (Millions) 8,1 678 5,9 807 928 891 2 6,5 950 994 5,1 1.041 4,2 1.088 1.134 1.184 4,7 4,3 4,4-3,9 2000 2005 2008 2009 2010 2011 2012 2013 2014 2015* Number of tourists (millions of people) * Forecast Source: World Tourism Organization Tourists' Annual change (percent) 11
International Tourism- Market Share Tourist Arrivals Middle East 4% Africa 4% Americas 19% Middle East 5% Africa 5% Americas 16% Europe 57% 2000 Asia/ Pacific 16% Europe 51% 2015 Asia/ Pacific 23% Source: UNWTO, Tourism Highlights 2014 & World Tourism Barometer, Volume 14, January 2016
International Tourism Receipts (Billion $) 400 200 000 800 600 400 200 0 8,2 7,3 7,7 6,3 4,5 4,8 5,2 4 1.199 1.250 941 853 927 1.030 1.079 679 475-4,1 2000 2005 2008 2009 2010 2011 2012 2013 2014* 10 8 6 4 2 0-2 -4-6 Tourism receipts (billion dollars) Receipts' Annual change (percent) * Forecast Source: World Tourism Organization 13
International Tourism- Market Share Tourism Receipts Middle East Africa 3% 2% Americas 28% Middle East 4% Africa 3% Americas 22% Europe 49% 2000 Asia/ Pacific 18% Europe 41% 2014 Asia/ Pacific 30% Source: UNWTO, Tourism Highlights 2014 & World Tourism Barometer, Volume 13, December 2015 14
International Tourism in the OIC Member Countries (Millions) 180 (Billion $) 140 175 135 135 170 165 124 126 130 125 160 155 150 145 140 114 151 117 159 163 159 174 120 115 110 105 135 2010 2011 2012 2013 2014 OIC Tourist Arrivals (millions) OIC Tourism Receipts (Billion $) 100 15
Tourist Arrivals in OIC Regions (OIC-MENA, OIC-Asia, and OIC-Sub-Saharan Africa) (Millions) 61 68 62 28 27 30 115 106 108 101 104 82 85 71 36 39 39 42 46 47 48 51 4 5 5 6 6 7 8 8 8 7 8 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 OIC-ASIA OIC MENA OIC SUB-SAHARAN AFRICA 16
47 Tourism Receipts in OIC Regions (OIC-MENA, OIC-Asia, OIC-Sub-Saharan Africa) (Billion $) 91 81 81 83 84 78 71 63 55 56 36 38 40 30 33 26 22 25 15 15 17 2 2 2 3 4 3 3 4 5 5 5 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 OIC-ASIA OIC MENA OIC SUB-SAHARAN AFRICA 17
Top 10 OIC Tourism Destinations in International Tourist Arrivals (2014) 39.811 (Thousands) 27.437 15.098 10.282 9.990 9.628 9.435 6.069 4.769 4.560 *2013 data Top-10 countries hosted 137.1 million international tourist in 2014. 18
Top 10 OIC Tourism Earners in International Tourism (2014) 29,6 21,8 (Billion $) 14,0 9,8 8,2 7,2 7,1 5,0 4,6 4,4 Top-10 countries earned US$ 111.6 billion as international tourism receipts in 2014. 19
2015 Global Destination Cities Index 2015 Rank City Country 2015 Arrivals 2015 Receipts (Billion) 1 (1) London United Kingdom 18.82 $ 20.2 2 (2) Bangkok Thailand 18.24 $ 12.4 3 (3) Paris France 16.06 $ 16.6 4 (4) DUBAI UAE 14.26 $ 11.7 5 (7) ISTANBUL TURKEY 12.56 $ 9.4 6 (5) New York USA 12.27 $ 17.4 7 (6) Singapore Singapore 11.88 $ 14.7 8(8) KUALA LUMPUR MALAYSIA 11.12 $ 12.0 9 (9) Seoul South Korea 10.35 $ 15.2 10 (10) Hong Kong Hong Kong (SAR) China Source: MasterCard, 2016 8.66 $ 7.4 20
Recent Developments in the OIC Member Countries Turkey realized 1% decrease in arrivals, 8.7% decrease in tourism receipts for 10 months of 2015. EXPO 2016 in Antalya-Turkey Malaysia realized 9% decrease in arrivals, 21% decrease in receipts for 10 months of 2015. E-visa for seven major markets Egypt showed growth in arrivals (+3%) and receipts (5%) until October 2015. Source: UNWTO, BMI Research 2015 21
Recent Developments in the OIC Member Countries Saudi Arabia recorded increase in arrivals (+15%) through November 2015. 450 km high speed rail network Madinah-Makkah- Jeddah. Indonesia(+3%) is recovering from the impact of largescale forest fires which started in July. Visa free travel for 90 countries allowing 30 day stay Lebanon saw a healthy growth (+14%) so far. Qatar posted 5% increase in arrivals Source: UNWTO 22
Recent Developments in the OIC Member Countries Jordon reported 5% decrease in arrivals for the 10-months of 2015. Palestine experienced 23% decrease in arrivals. Tunisia reported 26% decrease in arrivals, 31% in receipts. Morocco (-1%) posted weaker results in arrivals and receipts. Source: UNWTO 23
Tourism Opportunities and Challenges for the OIC Member Countries Opportunities Challenges Natural Resources Cultural Resources Human Resources Authenticity and newness Price competitiveness Dynamism Insufficient Tourism Investment &Infrastructure Poor Tourism Planning&Product Development Travel Facilitation Problems Safety and Security Related Problems Low Tourism Service Quality Insuffıcıent Marketıng and Promotıon Insufficient Image Building and Branding LACK OF TOURISM DIVERSIFICATION 24
Muslim Friendly Tourism (MFT) Increasing awareness Expanding numbers of Muslim Tourists Muslim Friendly Tourism Next two meetings (2016/2 and 2017/1) will also be related to Muslim Friendly Tourism with the theme; Developing and Marketing of MFT Products & Services Regulation, Standardization and Certification for MFT 25
THANK YOU www.comcec.org comcec@comcec.org Aslı TAŞMAZ DADAKOĞLU COMCEC Coordination Office February 2016