Professional Documents
Culture Documents
Travel & Tourism Trends in India
Travel & Tourism Trends in India
Contents
• Travel & Tourism
• India - A Tourist Destination
• Types of Tourism
• Favorite Destinations
• Activities
• Seasonality of Travel
• Online Portals
• Travel & Tourism Industry in 2005
• Travel & Tourism Industry in 2006
• Travel & Tourism Industry in 2007
• Predictions for the Future
• Inbound Tourism
• International Travel Behavior
2
Travel & Tourism Industry – A Brief Overview
• Travel and Tourism one of the world's largest foreign exchange earner among industries
providing employment directly to millions of people worldwide.
• Travel Agencies
• Airlines
• Tour Operators
• Hotels
• Textile Industry
• Floriculture Industry
• Venture Capital
4
Welcome To India
• A 5,000 year old History of Culture, Religion, Alternative Medicine, Art and
Spirituality fascinate both budget and luxury travelers
5
Tourism Scene - India
• India has been ranked 9th amongst the top tourism destinations
• India’s travel and tourism market was valued at US$42 billion in 2005
• The World Travel and Tourism Council (WTTC) have named India as one of the fastest
growing tourism industries for the next 10 to 15 years
6
TOURISM IN INDIA
Types of Tourism
• Primary Tourism • Location
8
Types of Tourism
• Secondary Tourism • Location
9
Places & Activities
• Golden Triangle - Delhi, Agra and Jaipur • Watch the world’s most beautiful monuments, forts,
palaces and heritage spots
• Sikkim
• Trekking, mountaineering, mountain biking, river
rafting, kayaking and yak safari temples,
monasteries, churches and mosques
10
Places & Activities
• Spiritual Tour – Hardwar, Rishikesh, Badrinath, • Cleanse the mind, body and soul
Kedarnath (Char Dham), Gangotri and Yamunotri
11
Major International Tourist Attractions
• Palace on Wheels
• Heritage on Wheels
• Deccan Odyssey
12
Major International Tourist Attractions
• India Wildlife Holidays
• Jim Corbett National Park, Ranthambore National Park
13
Major Tour Operators
• Popular Tour Operators in India
• Mann Tours
• Namaste Tours India
• Kesari Travels
• Travel Corporation of India
• Maharani Voyages
• Apollo Voyages
• India LTC
• J M Mehta Travels and Tours
14
Seasonality Of Travel
• FEB - JUNE • MAY- OCTOBER
• Kanha National Park • Kashmir
• Ranthambore • Leh, Ladakh
• Shimla • Himachal Pradesh
• Uttaranchal • Betla National Park (Jharkhand)
• Srinagar • Srisailam National Park (Andhra
Pradesh)
• Gir Forest (Gujarat)
• Dudhwa National Park(Uttar
Pradesh)
• Jim Corbett Park (Uttaranchal)
• Rajaji National Park(East of
Haridwar)
15
Seasonality Of Travel
• OCTOBER - MARCH
• Kerala
• Rajasthan
• Golden Triangle
• Goa
• Vrindavan
• Varanasi
• Khajuraho
16
DOMESTIC & INTERNATIONAL
TRAVEL TRENDS
Inbound Tourism
• There has been a gradual increase in the number of foreigners visiting India during the
past few years. Increasing at the rate of 11% per annum, the inbound tourism has
brought in huge amount of foreign exchange to India
• Inbound tourism, in India, is at its peak during the months from October through
December
18
Domestic travel
• 230 million domestic travelers in 2002
• Inbound tourism, in India, is at its peak during the months from October through
December
19
Domestic travel
• States promoting Tourism
• Himachal Pradesh
• Kerala
• Tamil Nadu
• Andhra Pradesh
• Arunachal Pradesh
• Madhya Pradesh
• Rajasthan
20
International Travel Behavior
• UK and USA are the prominent contributors to the Indian Travel and Tourism industry.
Each of them accounted for 15% of overall tourist traffic in India during the year 2005
• India, the cradle of Hinduism, Buddhism and Sikkhism attracts Asians such as the
Japanese, Chinese, Korean, Thai for religious reasons
• India, being the second biggest Muslim country in the world attracts a large number of
tourists from the Middle East
• India’s rich spiritual and cultural heritage attracts many international tourists
21
International arrivals in India
• India is the most preferred destination for more than 42% of the total foreign tourists
coming to South Asia
• The bulk of international arrivals in India, both in 2003 and 2004, have been business
travelers
• India witnessed nearly 3.5 million foreign tourist arrivals in 2004, 25.8% more than what
it was in 2003
22
International arrivals in India
• The UK and the US lead arrivals into the country. Combined, they accounted for 33% of
total arrivals in 2005
• Most of the tourists, coming to India, have preferred northern and western India to any
other part of the country
• Adventure tourism, a major draw - 40% of tourists, who visited India in 2004-05 came
looking for escapades
23
International arrivals
24
Online portals – India
• Major online airline & hotel booking portals are:
• Yatra
• Make my trip
• Cleartrip
• Travelguru
• Desiya
• Ezeego
• Ghumo
25
Online portals – India
• Make my trip
• Crossed the $100 million sales mark on February 12, 2007 which was the full year target.
• It closed the financial year (ending March 31, 2007) with sales of $120 million
• Clear trip
• A 360 degree approach to customer acquisition : Marketing plan includes a healthy mix of
offline & online advertising activities.
• Cleartrip currently has a digital content sharing agreement with Lonely Plant and has launched ‘
Small World ‘
• They offer the customer exhaustive travel guide information.
26
Online portals – India
• Yatra
• Second in the $750 million online travel industry with a 25% market share
• It posts an average revenue of $5 million a month with a volume of 2,500 tickets and 150
rooms a day
• The company has tied up with Reliance Capital to offer online travel solutions through the
Reliance Web World outlets
27
ONLINE BOOKING – AIRLINE &
HOTEL
Online bookings
Airline
• Globally:
• 40% of all American travel and 15 % of global travel is done through e-tickets
29
Online bookings
Airline
• In India major market for online ticket booking are Mumbai, Delhi, Bangalore, Pune and
Hyderabad
• In India, airline tickets are the largest selling items on the internet
30
Online bookings
Hotel
• Globally, over 20% of all hotel reservations are done online through the Internet
• Between January and November 2000, $3.5 billion hotel rooms were booked online
• In 2006 the Internet accounted for 38.3% of online hotel booking, compared to 20.2% in
2005
• Demand for hotel grew at approximately 18% across India in 2003/04 and is growing at
15-20%
31
ONLINE BOOKING – OVER THE
YEARS
Online Bookings - 2005
• On-line hotel reservations in India also picked up in 2005 and constituted 3% of the
business
• Travel agents recognised the importance of the Internet as a means to distribute and
market various deals, drawing in 7% of business from this medium
33
Online Bookings – 2006
• Most hotels in the country are seeing an increase of 15-20% in online bookings as
compared to 2004.
• Indians are expected to make about Rs2 crore worth of online hotel bookings in 2005-06
• Out of all the online shoppers, 20% made hotel bookings. The number is likely to go up
to 31% by 2006
• Hotels located in Mumbai and Delhi accounted for 47% of all online booking
• At present, it is the leisure travellers who make the most bookings online
34
Online Travel Retail Market Present & Future - India
• Online travel grew over a 100% in 2006 and is expected to grow by over 70% in 2007
crossing $1bn dollar mark
• By 2010, India is expected to have 100 million Internet users; majority aged 25 – 39
• The country is Asia’s fastest growing market for online travel retail by 2010
• 16% of travel retail business in 2010 is expected to be sourced through the Internet
35
Travel & Tourism - 2007
• 2007 will see an increase in the importance of Online Travel Agencies as can be
gauged from the 271% expected growth
• Travelocity has just set up its India office, and Amadeus has bagged five of India’s top
OTAs - Indiatimes, MakeMyTrip, Sify, TravelGuru and Yatra
• Yatra.com is averaging $5 million in gross sales per month, selling 2500 airline tickets
and 150 rooms per day
36
Travel & Tourism - India - Future
• Domestic tourism is expected to increase by 15% to 20% p.a. over the next five years
• Foreign tourist arrivals are expected to grow to 5 million by 2007 and subsequently to
10 million
by 2010-12
• By 2020, the Government of India expects Travel and Tourism Industry to contribute
Rs8,500 billion to GDP
• The Confederation of Indian Industry has prepared a vision paper for 2020, which
envisages employment of 50 million persons in the Travel and Tourism industry
(currently it is 42 million) and an increase in the share of this industry to 7% of GDP
37
Executive Summary
• Travel & Tourism Industry
• provides employment to about 41.8 million people
• contributes to country’s 5.9% GDP
• 2004 – 2005 witnessed 22.8% growth for International Arrivals which is the highest growth rate till
date
• Favorite destinations
• Domestic : Char Dham & South India
• International : Northern & Western India
• Future
• By 2020,Travel and Tourism Industry is expected to contribute Rs8,500 billion to India’s GDP
38
Thank You