ITB Report Finds Diverse Market Recovery in the Americas
According to the ITB World Travel Trends Report, compiled by IPK International and commissioned by ITB Berlin, the travel market in the Americas is a tale of two continents. Whereas North America is recovering only slowly from the aftermath of global recession, South America’s travel industry is taking advantage of a growth in arrivals.
In 2010, the weak U.S. economy was one of the main factors significantly hampering the desire of U.S. citizens in particular to travel abroad. This trend is unlikely to change much in 2011. The Americas Travel Monitor expects only marginal growth in 2010 and offers only tentative predictions for 2011. By contrast, the U.S. has risen up the rankings and become a sought-after travel destination. During the first seven months of 2010, tourist numbers to the U.S. increased by 12 percent compared with 2009, as opposed to a 5 percent drop the previous year. Besides Canada and Mexico, which represent the main source markets, huge growth in tourism from Brazil in particular contributed to these positive figures. In 2009, the U.S. reported a 16 percent increase in arrivals from this booming South American country, a figure that in turn was dwarfed by further 40 percent growth in 2010.
Dr. Martin Buck, director of the Competence Center Travel & Logistics, Messe Berlin, said, “The latest findings have once again shown how flexibly people in the United States are able to react to the economic situation and how heavily the travel industry relies on the state of the overall economy, particularly in the U.S. With unemployment still rising and a debt crisis looming, the U.S. travel sector faces significant challenges in 2011.”
By contrast, in 2010 Brazil’s strong currency encouraged its citizens to travel. Outbound tourism went up by 26 percent, a trend driven by large numbers of Brazilians studying abroad and first-time travelers to foreign countries. One positive side-effect experienced in the countries they visit is that Brazilians are very keen to spend. This year, travel spending rose to $11.5 billion, an increase of 54 percent. Backed by their country’s strong currency, Brazilian tourists spent their money mainly on trips to Miami and other destinations in the U.S. In South America, Argentina was among the countries which experienced similarly dynamic growth. Outbound tourism here rose by 34 percent. Colombia was ranked next, with 12 percent growth.
According to the experts, Brazil is becoming more and more popular with travelers. Large-scale events such as the 2014 FIFA World Cup and the Olympic Games in 2016 will ensure this trend continues. According to data released by the World Tourism Organization (UNWTO), this year international arrivals rose by 13 percent, a figure contributed to by strong domestic travel which increased by 26 percent. Overall, arrivals in South America rose by 7 percent in 2010. As a result, South Americans are looking brightly towards the future. Some 37 percent intend to go on more trips next year, compared with only 22 percent of North Americans. In South America, 17 percent intend to travel less, while in North America 23 percent will be going on fewer trips.
