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The next big thing in global tourism

April 16, 2019 by Forimmediaterelease

Enchanting tourist attractions, unique diplomatic stature and a thriving airliner have placed Ethiopia, Land of Origins, on top of the world when it comes to tourism growth.

According to the World Travel & Tourism Council’s (WTTC) annual review, the country saw the highest tourism growth in the world (48.6%), surpassing the global average growth rate of 3.9% and the African average of 5.6%. During the period, the sector supported 2.2 million jobs and contributed US$7.4 billion to Ethiopia’s economy, an increase of US$2.2bn on 2017.

The timeless charm of Ethiopia’s natural, cultural and historical tourist attractions has been driving an influx of tourists from far and wide. As the land where mankind, coffee and the Blue Nile trace their roots, Ethiopia has always been a fascinating destination for holidaymakers.

The country’s UNESCO-registered heritages including the majestic obelisks of Axum, the rock-hewn churches of Lalibela and the fortified historic town of Harar, among others, have always remained tourist magnets, drawing visitors in droves. And add to this the magnificent scenery and the unique wildlife riches, some of which are found in the country only.

As the Meetings, Incentives, Conferencing & Exhibitions (MICE) tourism blossoms around the world, Ethiopia is also uniquely positioned to reap the benefits, owing to its unique place in Africa’s diplomatic landscape. Ethiopia today the city stands among the top capitals in the world, hosting major regional and global conferences.

As the main hub of the Pan-African carrier, Ethiopian Airlines, Ethiopia also enjoys convenient air connectivity with multiple destinations in Africa and the rest of the world, making travel to the country easier than ever before. The connectivity options the airline offers to travelers has made Ethiopia ever more accessible to the whole world, and has facilitated the influx of tourists.

The airline’s catalyst role has never been more impactful, especially in promoting tourism, as alluded to by Gloria Guevara, President & CEO of the World Travel & Tourism Council concerning the exceptional growth of Ethiopia’s tourism. “Ethiopia’s Travel & Tourism boom was one of the great success stories of 2018. It has exceeded our sector’s global and regional comparisons to record the highest level of growth of any country in 2018”, Gloria Guevara notes. “This has been driven by the very strong performance of aviation in the country and the development of Addis Ababa as a dynamic and growing regional hub.” Africa’s largest carrier today spreads its wings to 120 destinations throughout the world, with half the destinations in Africa. Thanks to Addis Ababa’s strategic location at the center of the East-West lane and the ever-expanding service of Ethiopian Airlines, the city has emerged as the major gateway into Africa surpassing Dubai.

Besides its wide connectivity and multi-award winning signature services, the flag carrier’s cutting –edge technologies are adding a definite wow factor that is enabling the influx of tourists savor the beauty of the nation and designate the east Africa’s nation as a home away from home! Ethiopian Mobile App enables international travelers secure eVisa within 4 hours and elevates travelers to a high degree of personalization and end to end travel experience through mobile devices.

Global passengers can apply e-Visa and book their flights, pay online using credit or debit cards, mobile money, e- Wallet and bank transfer. They can also check-in and issue boarding pass as well as self-board. Passport and Ethiopian App suffice all the way to experience seamless travel to and from Ethiopia. The excellence of Ethiopian is also manifest in its hospitality and award winning service. The carrier has been certified by SKYTRAX as Four Star Global Airline.

As Ethiopia keeps leveraging its edge as a destination of choice for holidaymakers, and as Addis Ababa continues to augment its place as the diplomatic capital of Africa and the flourishing hub of Ethiopian Airlines, the sky will be the limit to its tourism growth in the years to come.

Travel News | eTurboNews

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Egypt Tourism Minister: Tourism is key to rapprochement and peace

April 10, 2019 by Forimmediaterelease

Egyptian Tourism Minister Rania al-Mashat and winner of IIPT Award said that Tourism and travel are the key to peaceful borders, cultural exchanges, bridge-building, communication, rapprochement and peace, especially in light of recent political and economic changes in the world.

World Travel and Tourism Council (WTTC) conducted a study revealing that the growth rate of the tourism sector in Egypt reached 16.5% in 2018.

In statements on the sidelines of her visit to Jordan for the World Economic Forum in the Middle East and North Africa, which was held from April 6 to 7, Mashat explained that this rate is higher than the average global growth of 3.9%, noting the remarkable development and improvement witnessed by the tourism industry.

The minister pointed out that her goal since taking on her role in tourism has been to change the stereotypical image of Egyptian tourism, a goal that has already begun to be achieved. The impact of these developments has been shown through the expressed appreciation of many international institutions and international reports for the developments and growth witnessed within the sector.

She pointed out that Egypt recently won the Global Champion Award in addition to positive reports published by several international agencies and media on tourism in Egypt.

She pointed out that Egyptian tourism now has a common vision and plan, which is being worked out by all parties related to the sector from government, Parliament, private sector groups, investors, etc., pointing out that the structural reform program launched by the Tourism Ministry for the development of the sector is the result of the consolidation of these visions and ideas.

The minister pointed the importance of cooperation and openness between peoples, adding that this comes within the framework of the new recreational plan for Egypt through the concept of People to People (p2p), which is based on the openness of the Egyptian people to other peoples.

Travel News | eTurboNews

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Ethiopia, Rwanda and Uganda: Top 10 improved world travel destinations

April 10, 2019 by Forimmediaterelease

Three Eastern African nations have emerged among the top ten fastest-growing destinations for tourism in the world.

The 2019 annual report compiled by the World Travel and Tourism Council (WTTC) shows that Ethiopia is the fastest-growing travel destination in the world with Rwanda in sixth place and Uganda holding a twelfth position on the list.

Ethiopia’s tourism sector grew by a staggering 48.6 percent in 2018, making up 9.4 percent of the economy and creating 2.2 million jobs. Over 8 percent of Ethiopia’s total workforce now works in tourism.

Rwanda also saw growth rates of 13.8 percent and Uganda 11.3 percent, with all 3 showing the pull of East Africa both in terms of its wildlife, history, and beaches, the Nation Media Group reported from Nairobi.

Kenya also saw a big growth in 2018  at 5.6 percent  which had created 1.46 million jobs and made up 8.8 percent of the total annual economy.

Kenya stands as the leading tourist hub in Eastern Africa, taking an advantage of its rich wildlife, historical sites, and beaches on the Indian Ocean coast and improved tourist services, mostly hotels and air transport facilities.

In its annual analysis quantifying the global economic and employment impact of travel and tourism in 185 countries and 25 regions, the World Travel and Tourism Council’s research reveals that the sector accounted for 10.4 percent of global GDP and 319 million jobs, or 10 percent of total employment in 2018.

It adds that travel and tourism’s growth in 2019 is expected “to remain resilient” despite a slowing global economy.

“Our forecasts point to a 3.6 percent expansion for travel and tourism, faster than an expected global economy growth of 2.9 percent in 2019,” the report says.

It adds that one in 5 of all new jobs were created by travel and tourism over the past 5 years showing the growing importance of the sector to the global economy.

Travel and tourism GDP grew by 5.6 percent in 2018, significantly above the African economic growth rate of 3.2 percent.

This places Africa as the second fastest-growing region in 2018, behind only Asia-Pacific.

Such growth is partly explained by North Africa’s rebound from security crises as well as the development and implementation of policies that stimulate travel promotion.

Travel News | eTurboNews

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IATA Report: Aviation continues to deliver solid

April 4, 2019 by Forimmediaterelease

The International Air Transport Association (IATA) announced global passenger traffic results for February 2019 showing total revenue passenger kilometers (RPKs) rose 5.3%, compared to February 2018. This was the slowest rate of growth in more than a year but still in line with long-term demand trends. Monthly capacity (available seat kilometers or ASKs) increased by 5.4%, and load factor slipped 0.1 percentage point to 80.6%, which is still high by historic standards.

“After January’s strong performance, we settled down a bit in February, in line with concerns about the broader economic outlook. Continuing trade tensions between the US and China, and unresolved uncertainty over Brexit are also weighing on the outlook for travel,” said Alexandre de Juniac, IATA’s Director General and CEO.

February 2019
(% year-on-year)
World share1 RPK ASK PLF
(%-pt)2
PLF
(level)3
Total Market 100.0% 5.3% 5.4% -0.1% 80.6%
Africa 2.1% 2.8% 1.1% 1.1% 70.4%
Asia Pacific 34.5% 6.3% 5.8% 0.4% 82.6%
Europe 26.7% 7.3% 7.7% -0.3% 81.5%
Latin America 5.1% 5.0% 5.5% -0.4% 81.3%
Middle East 9.2% -0.9% 2.7% -2.6% 72.6%
North America 22.4% 4.2% 3.9% 0.3% 80.8%

 

nternational Passenger Markets

February international passenger demand rose 4.6% compared to February 2018, which was a slowdown from 5.9% growth in January. Capacity climbed 5.1%, and load factor dropped 0.4 percentage point to 79.5%. Airlines in all regions but the Middle East showed traffic growth versus the year-ago period.

  • European carriers showed the strongest performance for a fifth consecutive month in February. Passenger demand increased by 7.6%, compared to a year ago, unchanged from January. Europe’s continuing strong performance provides a paradox given Brexit concerns and signs of a softer economic outlook. Capacity rose 8.0% and load factor slid 0.3 percentage point to 82.3%, which still was the highest among regions.
  • Asia-Pacific airlines’ February traffic rose 4.2% compared to the year-ago period, a substantial slowdown from the 7.2% increase recorded in January. The timing of the Lunar New Year holiday in the first week of February this year may have shifted some traffic to January. Capacity increased 4.7% and load factor dipped 0.3 percentage point to 81.0%.
  • Middle East carriers recorded a 0.8% traffic decline in February compared to a year ago, the only region to report a drop year-over-year. Capacity rose 2.9% and load factor fell 2.7 percentage points to 72.6%. Broadly speaking, passenger volumes of the region’s airlines have been moving sideways for the past 12 – 15 months.
  • North American airlines’ traffic climbed 4.2% in February, a decline from 5.4% growth in January. Capacity rose 2.9% and load factor was up 1.0 percentage point to 79.0%. Signs of softening economic activity at the end of 2018, in conjunction with the effects of ongoing tensions between the US and several of its trading partners, may be mitigated by the region’s low unemployment and generally sound economic backdrop.
  • Latin American airlines saw traffic rise 4.3% compared to February 2018, a slippage from 5.4% annual growth in January. Capacity increased by 5.6%, and load factor dropped 1.0 percentage point to 81.4%. Renewed economic and political uncertainties in a number of key countries may weigh upon air transport demand in coming months.
  • African airlines experienced a 2.5% rise in traffic for the month compared to the year-ago period, down from 5.1% growth in January. Concerns over conditions in the largest economies are contributing to the slowdown. Capacity rose 0.3%, and load factor climbed 1.5 percentage points to 69.7%.

Domestic Passenger Markets

Domestic travel demand rose 6.4% in February compared to February 2018, down from 7.4% annual growth in January. All markets except Australia reported increases in traffic, with India recording its 54th consecutive month of double-digit percentage growth. Domestic capacity climbed 5.8%, and load factor edged up 0.5 percentage point to 82.4%.

February 2019
(% year-on-year)
World share1 RPK ASK PLF
(%-pt)2
PLF
(level)3
Domestic 36.1% 6.4% 5.8% 0.5% 82.4%
Australia 0.9% -1.7% -1.6% -0.1% 78.0%
Brazil 1.1% 5.8% 3.1% 2.1% 82.5%
China P.R 9.5% 11.4% 8.9% 1.9% 86.9%
India 1.6% 10.0% 12.3% -1.9% 89.1%
Japan 1.0% 2.5% 2.9% -0.2% 70.9%
Russian Fed. 1.4% 10.1% 11.8% -1.1% 76.9%
US 14.1% 4.5% 4.8% -0.2% 81.7%

 

  • China topped the growth chart for a second month in a row, with RPKs up a strong 11.4% year-on-year, although this was down from 14.5% growth in January compared to a year ago.
  • Brazil’s domestic traffic increased 5.8% in February, compared to a year ago, the fastest pace in more than six months and more than double the 2.6% year-over-year rise for January. Brazil was the only domestic market tracked by IATA to show an increase in the year-on-year growth rate compared to January 2019.

The Bottom Line

“While overall economic confidence appears to be softening, aviation continues to deliver solid results, helping to sustain global commerce and the movement of people. The Brexit deadline has come and gone with no separation agreement, but with vital air connectivity between the UK and the Continent maintained for the present. Temporary measures, however, are no substitute for a comprehensive Brexit package that will ensure that the Business of Freedom is able to play its vital role in contributing to the well-being of the region—and the world,” said de Juniac.

Read the full February Passenger Traffic Analysis  (pdf)

Travel News | eTurboNews

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Travel Trends Index: International and domestic travel growth projected to dwindle

April 2, 2019 by Forimmediaterelease

Travel to and within the U.S. grew 3.2% year-over-year in February, according to the U.S. Travel Association’s latest Travel Trends Index (TTI).

However, the predictive Leading Travel Index (LTI) continues to project a slowdown in both international and domestic travel growth, as both segments could continue to feel the effects of rising trade tensions, volatile financial markets and weakening business and consumer confidence. These factors have the potential to stunt travel growth and dull American competitiveness at a time when the U.S. is seeking to reverse its declining share of the global international travel market.

Though international inbound travel grew for the ninth consecutive month, the segment grew only 1.4% in February. Domestic travel increased 2.8% year-over-year in February, with growth in both the business and leisure travel segments. Domestic business travel outpaced the leisure segment for the first time since October 2018, registering slightly above its six-month moving average with a 3.0% growth. Leisure growth fell slightly below its six-month moving average with a more tepid 2.6% growth rate.

Looking ahead, domestic and international inbound travel are both projected to grow, but at a moderate pace.

Said U.S. Travel Senior Vice President for Research David Huether: “Growth is expected to decelerate in the case of domestic travel while international inbound travel is projected to remain soft. This is consistent with an expectation of stable-yet-moderating economic growth both in the U.S. and globally.”

U.S. Travel economists caution that this decelerated growth rate will make it even more difficult for the U.S. to regain its diminishing share of the global international travel market. Acting on certain legislative initiatives—such as Brand USA’s long-term reauthorization and the rebranding and expansion of the Visa Waiver Program—can help the U.S. increase competitiveness in the global travel market.

The TTI is prepared for U.S. Travel by the research firm Oxford Economics. The TTI is based on public and private sector source data which are subject to revision by the source agency. The TTI draws from: advance search and bookings data from ADARA and nSight; airline bookings data from the Airlines Reporting Corporation (ARC); IATA, OAG and other tabulations of international inbound travel to the U.S.; and hotel room demand data from STR.

Click here to read the full report.

Travel News | eTurboNews

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