outbound tourism and inbound tourism means

What is Inbound and Outbound Tourism?

by Hammad Ur Rehman | Oct 25, 2021 | Travel Guide | 6 comments

Don’t you just love traveling around the world and exploring different places? Staying or visiting different countries or states for the sake of fun-filled holidays or work-related visits, are termed tourism. Tourism can be of two types, Inbound tourism or Outbound Tourism. Now the question arises that what is inbound and outbound tourism?

Well, the difference between the two is just a matter of perspective, that is, from where and how you see it. In simple words, if we look from the USA tourism perspective, the outbound tourism would be Robert going to Pakistan, while inbound tourism would be, Ali coming to the USA. Similarly, if we look from a Pakistani tourism perspective, the outbound tourism would be Ali going to the USA, and the inbound tourism would be, Robert coming to Pakistan.

Let’s move on and further elaborate on these two types of tourism.

What is Inbound tourism?

Inbound tourism is economically significant for a country. The tourist countries economically rely on the inbound visitors to drive their maintenance, growth, and development.

What exactly is inbound tourism? In easy words, you can call it incoming tourism. Let’s move further to see the definitions, meanings, significance, drawbacks, and examples of inbound tourism.

Definition of inbound tourism

When someone travels to a country, other than their own country, for tourism, this is called inbound tourism.

Inbound tourism is frequently influenced by certain factors like:

• Season or Weather
• Public holidays
• School’s summer or winter vacations

According to WTO (World Trade Organization) and UN (United States Nation), inbound tourism can be defined as follows:

“ The act of traveling to another country for not more than one consecutive year for leisure, business, or other purposes .”

Importance of inbound tourism

Through foreign exchange, tourism may bring a lot of wealth into a country. This is especially advantageous in places where the local exchange rate is cheaper as compared to visitors’ native currency. Therefore, inbound tourism has high significance in many countries mainly because of the benefits it provides economically.

Mostly, countries target specific nations for advertising and promoting their inbound tourism. For instance, in today’s era, Chinese people tend to spend more on traveling every year as compared to any other nation, plus, the greatest outbound tourism markets are also produced by China. Therefore, Chinese inbound tourists are highly in demand by many tourist countries.

Drawbacks of inbound tourism

Depending entirely on income from the inbound tourism may cause problems. There are many places like Maldives, Goa, Fairy meadows, Greece, etc., whose economies rely on tourists from other countries.

The primary drawback of inbound tourism is that the place is at the hands of the transportation network. Many tourism industries have been ravaged as a result of airlines ceasing to operate a specific route. Cultural conflicts can also take place due to inbound tourism.

Some other disadvantages of inbound tourism include:

• Disposal, contamination, and emissions are all on the rise.
• Environmental and aquatic habitats are being physically harmed on a daily basis.
• Inappropriate buildings are being built next to historical places and monuments.
• Plenty of resources are being used up.
• Building infrastructure and utilization of land.

Inbound Tourism examples

Now that we have a basic understanding of inbound tourism, let’s look at some practical examples.

If a person from one country travels to another country for tourism, then it’s an inbound tourist. For example, Ali is having a summer break from his university and wants to go abroad. So, he decides to go for tourism to France and enjoys his summer break there. This is an example of inbound tourism because Ali is coming from Pakistan to France for his vacation, and it is a tourist activity for him.

Likewise, Robert is also having a summer break from his school and wants to visit another country. So, he decides to go for tourism to Pakistan and enjoys his summer break there. This is also an example of inbound tourism because Robert is coming from America to Pakistan for his vacation, and it’s a tourist activity for him.

Generally, some of the countries that are renowned for inbound tourism include Maldives, Goa, Greece, etc.

What is outbound tourism?

Leaving your homeland for the sake of gaining international tourism experience has wide importance for many countries.

Let’s jump into detail and find out what is outbound tourism, how do we define it, the importance of outbound tourism has it got any disadvantages, and a few examples of outbound tourism.

Definition of outbound tourism

When a tourist travels or visits outside his or her country for the sake of tourism, but not for more than a year. This type of tourism is called outbound tourism.

The WTO (World Trade Organization) and UN (United States Nation) define outbound tourism as follows, “The act of leaving your home country internationally for not more than one consecutive year for leisure, business or other purposes.”

Throughout the years, the market for outbound tourism has grown significantly. However, different regions of the world have different growth rates of the tourism market, but the factors leading to progress are similar.

Importance of outbound tourism

Outbound tourism also has a positive impact on the economy of the county. It provides economic improvements in a variety of industries such as education, healthcare, business, and retail, etc.

For example, the more people travel to foreign nations, the more their demands for products and services increase. Thus, it is a source of economic growth and prosperity for many countries.

This direction of tourism helps in increasing employment opportunities, foreign currency earnings, and trade balance. Thus, it is a source of economic growth and prosperity for many countries.

Within a very short period, China has become the largest source of outbound tourists. The increasing number of Chinese outbound tourists opens the gate of opportunities for tour group operating companies, hotels, national government ad retailers.

Drawbacks of outbound tourism

Apart from the advantages, there are a few disadvantages of outbound tourism as well. These drawbacks include the following:

• Many outbound tourists spend a huge amount of money on international chains like KFC fast-food chains, which reduces the positive effects of tourism as the tourist is using money that has been taken out of his residence.
• ·Sometimes, a country relies far too much on its outbound tourism market. For example, some Caribbean island nations depend on money from tourists to fund their entire economy and government, but this is a risky move as the tourism market is highly inconsistent, and a small incident can lead to a large drop in tourism.

Outbound tourism examples

Let’s go through an example of outbound tourism from the USA point of view:

John is a US citizen and has a passport to the USA. He wants to go for tourism so he can explore the international culture and experience new things. So, he goes for a tour to Spain with his family and friends. This is an example of outbound tourism because John has applied for a tourist visa and is traveling outside his country, USA.

Another example of outbound tourism from Spain’s perspective:

Robert is a tourist from Spain who wants to go for tourism in the USA, but he has no American visa. So, he goes for a tour to the UK with his family and friends. This is an example of outbound tourism because Robert has applied for a tourist visa and is traveling outside his country, Spain.

What is domestic tourism?

Until here, we discussed international inbound and outbound tourism. However, tourism can also be domestic. Now you would want to ask what is domestic tourism ?

Well, it’s very simple. In domestic tourism, the tourist visits different regions, cities, or towns of the same country where he/she resides. In easy words, domestic tourism is vacations spent within the same country you live in.

Let me give you an example of domestic tourism, Sarah lives in California, USA, and for her vacations, she visits Pennsylvania, USA.

Domestic tourism is used by the government to eradicate poverty, economic development, production of employments, infrastructure upgrades, reduce the load from overcrowding. For instance, If the government of California promotes domestic tourism within its state, then more people would come to visit various places in California, which are less popular, and it would boost the economy of California by providing employment opportunities to the people.

Also Learn: Domestic vs International Travel

Final Thoughts

In general, tourism contributes significantly to international trade and the provision of job opportunities in many nations. I hope this article has provided you with a clear picture of what are the types of tourism and why are they significant. All types of tourism are important for the economic growth of any nation.

Check our article on: What is FIT And GIT in The Tourism

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What Is Inbound and Outbound Tourism With Example?

By Robert Palmer

Inbound and outbound tourism are two terms that are commonly used in the travel industry. Both of these terms refer to the movement of people from one place to another for the purpose of tourism. In this article, we will take a closer look at what inbound and outbound tourism means, along with examples.

What is Inbound Tourism?

Inbound tourism refers to when tourists visit a country that is not their own. In other words, it refers to the arrival of visitors from overseas into a country.

This type of tourism is also known as international tourism. The visitors could be traveling for various reasons such as leisure, business or visiting friends and family.

Inbound tourism can have a significant impact on a country’s economy by generating revenue through spending on accommodation, food, transport, and other tourist activities. For example, when tourists visit India to see the Taj Mahal or Singapore to experience its unique culture, they contribute significantly towards the local economy.

Examples of Inbound Tourism

• A family from Germany visiting Disneyland in California
• A group of backpackers from Australia traveling across Southeast Asia
• A businessman from Japan attending a conference in New York City

What is Outbound Tourism?

Outbound tourism refers to when tourists leave their home country to visit another country. It’s also known as domestic tourism when people travel within their own country for leisure or business purposes.

Outbound tourism can have an impact on both the traveler’s home country and the destination they are visiting. When people travel abroad from their home countries, they spend money on flights, accommodation and other tourist activities which can contribute significantly towards the local economy of the visited country.

Examples of Outbound Tourism

• A family from Canada taking a vacation to Hawaii
• A group of friends from the United States traveling to Europe for a backpacking trip
• A couple from Australia taking a romantic getaway to Bali, Indonesia

Inbound and outbound tourism are two important aspects of the travel industry. While inbound tourism refers to tourists visiting a country that is not their own, outbound tourism refers to people leaving their home country for leisure or business purposes.

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A compilation of data on outbound tourism by country, including data on international tourism expenditure and outbound trips.

COUNTRY PROFILE – OUTBOUND TOURISM

In order to better understand outbound tourism, the World Tourism Organization (UNWTO) has launched a dashboard on country profiles with data on outbound tourism .

The dashboard includes data on:

• International tourism expenditure
• International tourist departures
• Comparison of source markets
• Ranking of indicators on outbound tourism

Inbound Tourism

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UNWTO defines inbound tourism as all incoming nonresident arrivals to a targeted destination. Evidentially, this interpretation pertains to international tourists; as such, the foremost choice of travel mode among inbound tourists is by air, by road, and, peripherally, by water and rail.

Long-haul nature of inbound travel can give rise to high expectations among travelers. For instance, pleasure seekers from developed countries look for at par amenities and services at their choice destinations. Primary travel purposes are leisure, recreation, and holidaying in destinations with a perceived exotic novelty to them. Secondary reasons include health, religion, and visiting friends and relatives.

Two key segments of inbound tourism include business, conference, and profession-related arrivals and diasporic (or emigrant) visitors to their respective homelands. The innumerable preferences and options for inbound tourism lend to the existence of two forms: institutionalized (group/individual...

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Cortes-Jimenez, I., and M. Pulina. 2010. Inbound tourism and long-run economic growth. Current Issues in Tourism 13: 61–74.

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Dwyer, L., and P. Forsyth. 1993. Assessing the benefits and costs of inbound tourism. Annals of Tourism Research 20: 751–768.

Otoo, F., S. Kim, and D. Stylidis. 2021. Diaspora tourists’ emotional experience. International Journal of Tourism Research .

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Sahli, M., and J. Nowak. 2007. Does inbound tourism benefit developing countries? A trade theoretic approach. Journal of Travel Research 45: 426–434.

UNWTO. 2020. World Tourism Barometer and Statistical Annex (December). https://www.e-unwto.org/doi/epdf/10.18111/wtobarometereng.2020.18.1.6 . Accessed 29 Dec.

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Singh, S. (2021). Inbound Tourism. In: Jafari, J., Xiao, H. (eds) Encyclopedia of Tourism. Springer, Cham. https://doi.org/10.1007/978-3-319-01669-6_563-2

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Compare and contrast ~ inbound vs. outbound healthcare.

For years, non-U.S. residents have traveled into the U.S. for healthcare, many travelling from third-world countries every year for their annual check-ups, second opinions, diagnosis or treatment of a wide array of medical conditions. If you Google the topic, you’ll find records of wealthy and/or affluent travelers from other countries visiting the U.S. as far back as 2000 for everything from difficult-pregnancy childbirths to cancer diagnosis. ‍

The 2008 Deloitte Report on Medical Tourism gives a decent state-of-the-union report on inbound medical tourism. Inbound Medical Tourism is described as patients from other countries traveling to the U.S. to receive medical care. Outbound Medical Tourism is the opposite of inbound; it is described as patients from the U.S. traveling to other countries to receive medical care.

The main commercial feature of that report is that inbound medical tourism is expected to be essentially stagnant into the foreseeable future. However this doesn’t mean that we can’t glean some meaningful comparisons between inbound and outbound healthcare. ‍

Industry Drivers

First, for both inbound and outbound medical tourism, there are underlying industry drivers. For inbound, proximity is a driver. The bordering countries of Canada and Mexico offer proximity. In addition, there are domestic issues that render travel as an attractive option. Canadian visitors seek to avoid long waiting times in their country.  

Mexican visitors may seek better access to quality than they can find locally. For outbound, the overwhelming industry driving force is cost savings for the payer, be it employer, insurance company or government, as well as the individual. ‍

Beyond the industry drivers that essentially create and establish the industry, there is the issue of quality. For inbound, there is the notion that the U.S. hospitals provide a standard of quality that provides sufficient assurance that they will be able to secure quality healthcare. In addition, the affluent inbound patient seeks specific hospitals, clinics and other healthcare providers of international renown in their field of expertise.

Both those examples are indicators of the desire for quality. For outbound patients there is the similar desire for quality. In the industry, such quality assurance has become exemplified by accreditation of the foreign-based healthcare provider by a renowned accreditation organization. ‍

The Patient Experience

Patient treatment begins with patient reception; how a healthcare facility prepares for, and receives, its patients – specifically, how it receives its non-resident patients. Consideration of the obvious differences between resident and non-resident patients suggests that this area of treatment (reception) should be specific to each patient type. Language considerations, food considerations, cultural considerations and ethnic considerations are a few of the relevant factors that must be addressed. ‍

How a hospital or clinic incorporates these considerations into their overall business model is of particular interest to a marketing specialist like me. The reason that this holds special appeal for marketing types is because the patient experience is one of the major marketing tools that a healthcare facility has.

The patient experience translates directly into word-of-mouth marketing. Word-of-mouth marketing has been and continues to be the strongest influencer in the buying decision of ALL products and services in our world. ‍

Results of the strictest and most disciplined research that includes websites, marketing material review and phone calls, are completely overwhelmed by direct rendition of personal experience. Hurricane ravaged hotels have experienced immediate full occupancy based on one tour’s worth of satisfied visitors who spread their satisfaction by word of mouth.

High quality restaurants have experienced business-ending public relations as a result of an article by a dissatisfied restaurant critic.  And, trust me on this one, hospitals and clinics can be permanently (or almost permanently) erased from industry consideration on the basis of one major bad patient experience. ‍

Hospitals that are major players in the medical tourism industry are taking bold, well-thought-out steps to make sure that they own, manage and control the complete patient experience. Hospitals have dedicated entire floors of patient rooms to serve as hotel rooms for patient companions, to retain control of as much of the patient travel and experience as possible.

Other hospitals control the tourism experience by hiring and using their own, or favored, tour operators. If you visit world-class hospitals and take a look at their lobby areas, you’ll see another example of how hospitals manage the patient experience. The types of food vendors, product vendors and services vendors are indicative of the international patients that they attract.

You may see a Starbucks or other coffee vendor, snack outlets, convenience store areas and other “comforts of home” accessories that hospitals use to enhance the patient experience. All of these amenities and activities are intended to manage and achieve positive results for the patient experience. ‍

Let’s go back to how hospitals and clinics incorporate these considerations into their overall business model and how this is of particular interest to a marketing specialist such as myself. Specifically, let’s take a look at the patient reception step and let’s observe international patient departments.

These departments are becoming the industry standard of how a healthcare provider positions itself in the international patient component of medical tourism. In reality, the creation, maintenance and operation of an international patient department says a lot about how motivated a hospital and clinic might be in attracting non-resident patients. ‍

Pre-patient marketing design targets the patients’ country of origin. The hospital or clinic’s international patient department has established marketing plans in the countries from which they wish to attract patients. Some of these plans include specific niche marketing. For example, a hospital or clinic that wishes to attract orthopedic patients might have agreements with physical therapists in a particular market, to refer their orthopedic clients to the hospital or clinic for treatment consideration.

For U.S.-based hospitals, they may achieve the same objective by setting up partnerships or affiliations with foreign-based hospitals to refer their affluent or wealthy clients to the U.S. hospital.  Keep in mind that the objectives are similar – namely to achieve specific niche effective marketing directed to the source of patients and directly connected to the healthcare facility for treatment. ‍

Similarities continue in the pre-patient phase. Hospital international patient departments will offer services such as visa assistance, travel planning, lodging reservations, tours and other travel and patient amenities. They will also finalize payment options and offer payment plans.

I have found that these services are common to both inbound U.S. hospital international patient departments and foreign-based hospital international patient departments. However, I must point out that the similarity is limited to the “good” foreign-based hospitals – not all of them offer these services. ‍

Facility-based marketing plans for foreign-based hospitals include onsite amenities, such as specific reception offices, rooms or cubicles attended to by employees who are proficient in the expected patient’s language. In addition, they include use of pre-patient paperwork and patient registration forms in the patient’s language.

Nurses and doctors who are fluent in the patient’s language may also be always on staff, or be specially scheduled to be working when specific patients arrive. One country has even implemented a medical interpreter program designed for all its hospitals, and monitors participation of its member hospitals through it. ‍

Host-related services include transportation of patients upon arrival. This is an industry-wide standard service. However, excellent hospitals make sure that the transportation includes a language-proficient attendant, and perhaps a review of the patients’ upcoming schedules. Inbound hospital international patient departments will include an orientation with the attending physician to make sure the patient is at ease.

Outbound hospital international patient departments do not always include this service. Inbound hospital international patient departments have the business luxury of being able to build specific accommodation into their price structure, so that their patients experience complete comfort. ‍

For outbound hospitals, they can take a page out of their inbound counterparts’ books and achieve the same satisfaction levels, by enforcing standards on the lodging providers that they select for their patients and their families.

The concept of enforcing standards can be duplicated throughout the patient experience value chain and can include tour operators, hotels, personal assistants, facilitators, concierge services, car rentals and any other service provider that impacts the patient experience. ‍

As I’ve illustrated, there are similarities and differences between inbound and outbound facilities and the services they offer, including their international patient departments. It’s important for hospitals, clinics and governments to assess their complete patient experience value chain from Step One: Thinking, to Step Eight: After Glow (from OneWorld Global Healthcare Solutions services’ “Create Positive Word-of-Mouth Marketing Campaigns”).

They must identify the ownership of each step and how they can influence that owner to guarantee a positive outcome. They will find that the patient is at least part owner of every step, but also that they can manage the patients’ assessment of each step so that they will eventually attract and multiply international patients. ‍

With over 17 years experience in Insurance, Marketing and Employee Benefits Management, Alex Piper possesses extensive knowledge of the U.S. Healthcare Market and the influence that Insurance Carriers, U.S. Employers, Hospitals, Physicians, Physician Groups, Healthcare Professional Organizations and Government will have on the next generation of global healthcare.

‍ He is the President of OneWorld Global Healthcare Solutions, a consulting company committed to creating a worldwide healthcare solution. He can be reached at: [email protected] or www.OneWorldGlobalHealthcareSolutions.com

Korea: Turning the Focus to an Emerging Global Leader in Medical Tourism

Exploring the surge of cosmetic tourism: trends and considerations in aesthetic procedures abroad, holistic healing: exploring integrative medicine and wellness retreats, meeting the surge: the growing demand for knee replacement surgeries and advances in the field, innovations in medical technology: how cutting-edge technology drives medical tourism, south korea, a medical tourism leader pioneering the future of medicine  , surgical solutions for obesity and weight management ~ a team effort, south korea ~ stepping into the spotlight in global healthcare, south africa ~ making great strides in healthcare, reusables give northwestern memorial a sharp edge on safety and sustainability, continue reading, the new silk road: deconstructing china's luxury healthcare market, the boomers are coming the boomers are coming, financial savings in medical tourism, featured reading, guide to choosing korea for medical travel, transforming healthcare through innovation: ceo spotlight interview with matthew a. love, medical tourism magazine.

The Medical Tourism Magazine (MTM), known as the “voice” of the medical tourism industry, provides members and key industry experts with the opportunity to share important developments, initiatives, themes, topics and trends that make the medical tourism industry the booming market it is today.

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Inbound tourism shows strong rebound, with more bugs being addressed

These days, one of the favorite topics among my colleagues and friends is the rising number of foreign faces we see on the streets.

A journalist in Beijing mentioned this to me last month when I was there attending a training session.

A couple of days ago, during another training session in Shanghai, I mentioned the same phenomenon to a colleague from Hangzhou, who confirmed that the same could be said of Hangzhou, a city known throughout the world for its breathtaking scenic beauty.

Apparently, we do not need statistics to support our observations, though statistics are equally persuasive.

According to the National Immigration Administration, during the first quarter of 2024, Chinese immigration management agencies processed over 141 million traveler trips. Among them, trips by foreign nationals reached 13.1 million, a year-on-year increase of 305.2 percent.

There are a number of explanations for this dramatic growth.

International tourists from a cruise liner arrive at Shanghai's Wusongkou International Cruise Terminal last month.

Earlier this year, China adopted a visa-free policy that spares many European passport holders a time-consuming and costly process.

This measure undoubtedly encourages travelers from nearly a dozen European countries to explore China, which beckons with its well-endowed tourist resources, rugged terrain and tantalizing food.

In a further move, Chinese President Xi Jinping, during his recent European tour, announced that China has decided to extend visa exemption entry for citizens from 12 countries, 11 of them in Europe, on short-term visits to China until the end of 2025.

An insider from a travel agency said this extension enables travel agencies to plan travel products for the spring and summer of 2025.

In an interview with Xinhua News Agency, Ralph Ossa, chief economist of the World Trade Organization, said China's visa-free policy for European countries and the recovery of Chinese outbound tourism are conducive to global service trade.

One of the first beneficiaries is the international aviation sector that is still recovering from the doldrums during the pandemic. Air China, for instance, handled a total of 6,364 passengers traveled between Geneva and Beijing during this March, up 374.9 percent from a year earlier.

There are other explanations for these easily observed uplifting signs of change.

The ravages of COVID-19 had significantly dampened enthusiasm for travel to China, but scrutiny will show that the post-pandemic recovery had also been compounded by three other factors, mobile payment, flights, and hotels.

In March this year, Sun Yeli, minister of culture and tourism in China, mentioned the payment difficulties encountered by inbound tourists in a fast digitalized country where cashless smartphone payment has become the norm, and cash payment a rarity.

Since then, relevant authorities have come up with a host of measures to address the issue, which include detailed measures intended to enable foreign travelers to use bank cards or cash in such venues as hotels, airports, tourist attractions and other commercial outlets.

For those who opt for mobile payment, domestic payment platforms and enterprises have collaborated on a streamlined process whereby foreign tourists could easily register for payment applications. All commercial venues are also required to accept cash.

These simplified procedures ensure that foreign tourists in China enjoy the same level of convenience in accommodation, transportation and shopping as Chinese tourists.

Although mobile payment is not something new, some Westerners are more accustomed to Apple Pay or Google Pay, which are not so popular in China.

In spite of marked progress in payment, work is still needed in this direction. For instance, re-installing and upgrading point-of-sale devices in hotels and shopping malls would infinitely facilitate substantial payment at these venues, but it would involve more work to persuade small retailers to install point-of-sale devices, or return to cash.

Another obstacle impacting inbound travel is the number of international flights that, in spite of their recovery, seem to have been restored to only a fraction of the pre-pandemic highs, largely blamed on the demand. This means flight fares are at a level many travelers find intimidating.

Yet another difficulty seemed to be with smaller hotels in China. While domestic travelers could check in by simply having their ID cards scanned, foreign passport holders would be met with a lengthy verification process that makes some small hoteliers reluctant to receive foreign visitors. The de facto ruling out of these small hotels, understandably, adds significantly to the costs of ordinary and younger passport-holding travelers in China.

But these are problems that are being addressed.

In a recent interview with China Tourism News, Shi Qingjun, president of Beijing New World Tours, said that "the market rebound has been so robust, that it beat our previous estimation ... Given our limitation in personnel and guides, our ability to handle inbound travelers has already been overstretched."

Some destinations are more favorable to some visitors. One favorite destination for South Korean visitors, for example, is Zhangjiajie in Hunan Province, which accounted for nearly 43 percent of all inbound visitors during the first two months of the year.

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International travel & inbound tourism score wins in Federal Budget… here’s where

The federal budget last night delivered a few wins for the australian travel industry, both for international travel and inbound tourism..

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The big news for international travel is the announcement of a new fee that gives travellers access to fast-tracked passport applications from 1 July 2024. 

Unfortunately, on the same day, the cost of obtaining an Australian passport will also rise 15 per cent , making the world’s most expensive passport (among OECD nations) even pricier. But at least those willing to fork out an additional $100 will be able to skip the queue and have their passport processed within five business days.

According to the ABC, the Government expects to make around $27.4 million over five years from the new fees.

The Australian Travel Industry Association (ATIA) has welcomed the expedited passport option, saying the initiative will help streamline international travel. 

“We are thrilled by the Government’s decision to fast-track passport processing. This reflects our close relationship and ongoing work with the Australian Passport Office and Government,” ATIA CEO Dean Long said.

“Starting in July, passports can be processed within five business days for an additional fee of $100. This offers a great option for travellers seeking more certainty in receiving their passports, without needing the two-day expedited service, which will soon cost nearly $300.”

“It’s also an opportunity to share with clients that, on 1 July, passport fees have an additional 15 per cent increase, so anyone who is looking to renew this year should do so before then.”

Long also flagged the support measures for small businesses delivered in last night’s Budget.

“Eligible small businesses will benefit from a $325 reduction in their electricity bills over the year,” he stated. 

“The $20,000 instant asset write-off has been extended, and additional funding has been allocated to programs providing free financial and well-being support for small business owners.”

There is also good news for skills and training, with the Government “partially reversed previously announced cuts to traineeship incentives”. 

“This reversal applies to occupations on the priority list, so retaining travel consultants on this list is a significant victory for our industry,” Long added.

Tourism takeaways 

Away from international travel, the Australian Tourism Export Council (ATEC) has welcomed the Budget’s measures to help the Aussie tourism industry – especially with the potentially lucrative Chinese market through reinstated funding for the Approved Destination Status (ADS) scheme.  

A champion of the scheme, ATEC says this initiative is key to rebuilding the Chinese visitor market, which in 2019 was worth more than $3.3 billion, as more than 670,000 Chinese holidaymakers hit Aussie shores.

“ATEC has been advocating for the reinstatement and refresh of this important program since the re-establishment of visitors from China last year and we are pleased to see this funding back in the Budget,” ATEC Managing Director Peter Shelley said.

“We see an opportunity for the China ADS program to be modernised to strengthen service delivery and to focus on consumer-driven, quality group tour offerings.” 

The Budget has allocated $8.1 million over 4 years to rebuild the China ADS scheme, which was paused during the pandemic. 

Elsewhere, ATEC praised the decision to retain Tourism Australia’s funding. The organisation will receive $170.4 million for 2024-25.

“ATEC welcomes the Government’s commitment to supporting existing funding levels for Tourism Australia and its investment in promoting Australia,” Shelley remarked. 

“Moving forward we will look for increased funding to ensure Australia remains competitive in the global tourism marketplace.” 

Funding will also continue for tourism operators monitoring and protecting the Great Barrier Reef.

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Home to half of the world's top 10 trending tourism destinations, Asia Pacific is making a comeback: Mastercard Economics Institute on travel in 2024

J apan tops the trending list, welcoming a record-breaking 3M+ international arrivals in March While outbound travel from the Chinese Mainland continues to recover, now at 80% of 2019 levels, more Indians are traveling than at any time in history Travelers to APAC are vacationing longer while prioritizing experiences over purchases SINGAPORE, May 16, 2024 PRNewswire -- The global travel sector is breaking boundaries in 2024 as consumer spending on tourism remains robust and passenger traffic soars, according to the latest report from the Mastercard Economics Institute (MEI). Released today, the MEI's fifth annual report, "Travel Trends 2024: Breaking Boundaries" provides comprehensive insights into the evolving landscape of the travel industry across 74 markets, including 13[1] in the Asia Pacific region (APAC).

Mastercard Economics Institute: APAC is now home to half of the world's top 10 trending tourism destinations.

Despite fluctuating exchange rates and varying levels of affordability, travel is booming, with nine out of the last 10 record-setting spending days in the global cruise and airline industries occurring this year[2]. Looking ahead, the MEI anticipates this momentum will continue as consumers around the world prioritize meaningful experiences and allocate more of their budgets to travel.

Drawing on a unique analysis of aggregated and anonymized Mastercard transaction data, including Mastercard SpendingPulse™ and third-party data sources, the report takes a deep dive into key tourism trends for 2024 and beyond. Here in the Asia Pacific region, a few themes stand out, including:

APAC destinations are trending in a big way, comprising half of the top 10 hot spots that have demonstrated the greatest momentum among travelers. This is measured and ranked by the change in share of tourism transactions over the past 12 months ending March 2024.

Japan emerged as the #1 trending destination worldwide (growing 0.9% vs Ireland at 0.4%), as it welcomed 3,081,600 visitors from abroad in March 2024 - the highest level ever - even before the peak travel season begins. Driven by a weak yen (the lowest since 1990), Japan's favorable exchange rate is expected to help it remain the clear tourism frontrunner throughout 2024, benefitting Japanese businesses catering to tourists and the local economy overall. APAC passenger traffic is rebounding, particularly for shorter, intra-regional trips. For example, this summer's top destinations for travelers from Singapore include Bangkok, Kuala Lumpur, and Perth. Thailand tourism is expected to fully recover in 2024, according to MEI, with total visitor arrivals now only 7% below 2019, pre-pandemic levels[3]. Notably, inbound flight traffic from South Asia and the ASEAN region is nearly 20% above 2019 levels. "Consumers in the Asia Pacific region have an intense desire and willingness to travel and are becoming increasingly savvy to ensure they get the best value and unforgettable experiences from their trips," said David Mann, chief economist, Asia Pacific, Mastercard. "For tourism authorities, retailers, the hospitality and F&B sectors, the bottom line is that costs matter. In today's economy, foreign exchange rates and spending power have become vital components in driving a traveler's assessment of value when they are making their plans. This suggests that businesses targeting tourism dollars need to review their current strategies, and shift them if necessary, to maintain their appeal to travelers."

Summer holiday hot spots (June-Aug 2024[4])

While Japan was the top trending destination during the last 12 months[5], looking ahead, Munich ranks as the #1 summer destination (in terms of share gain in flight bookings) due to its hosting of the UEFA EURO 2024 football championship in June. Tokyo comes in a close second while Bali (#6) and Bangkok (#7) are also among the top 10 cities where demand is gaining momentum in the next three months.

Chinese Mainland Domestic Tourism Rebounds While Outbound Travel Continues to Recover

The Chinese Mainland's travel dynamic has shifted, as more Chinese tourists prioritize domestic trips over international ones.

The Chinese Mainland's domestic tourism story is a positive one, as air passenger traffic has fully normalized and even exceeded 2019 levels, benefiting local businesses. Meanwhile, international tourism traffic leaving the Chinese Mainland continues to recover and is now at 80.3% of 2019 levels. Additional upside growth is expected in 2024, supported by visa exemptions in APAC and beyond, as well as an increase in international flight capacity, benefiting destinations such as Singapore, Malaysia and Thailand. More Indians are Traveling Than Ever Before

Strengthened by a burgeoning middle class, additional route capacity, and a strong desire to travel, 2024 marks the year when more Indians are traveling internationally than at any time in history.

In the first three months of 2024, 97 million passengers traveled through Indian airports. Just 10 years ago, the same figure would have taken a whole year to achieve. Domestic passenger traffic is up 21% compared to 2019 levels while international passenger traffic is up 4%, as of March 2024. Indian travelers to key markets are up significantly in 2024 compared to 2019: 53% increase in visitors to Japan, 248% increase to Vietnam, 59% increase to the United States (notable as total overseas arrivals to the U.S. are still 7% below 2019 levels, largely due to the strong USD). Leisure for Longer

In APAC (excluding ANZ) in 2024, tourists are extending their trips by an average of 1.2 days to a total duration of 7.4 days, motivated by the affordability of destinations, warm weather, and favorable exchange rates. This compares to the 2019 average of 6.1 days per trip. In Australia and New Zealand (ANZ), overseas visitors are staying for an average of 5.4 days, an increase of 0.6 days compared to 2019. The APAC destinations with the longest increase in trip duration between 2019-2024 are India (+2 days), Vietnam (+2 days), Indonesia (+1.9 days), and Japan (+1.4 days), largely due to their lower growth in hotel prices during this period compared to other markets. Longer stays generally translate to more spend per trip too, which benefits local economies. Thrill Seekers Want Experiences and Nightlife

Consumers globally continue to prioritize experiences over material goods. This is playing out in the travel sector as spending on experiences and nightlife totals 12% of tourism sales - the highest point in at least five years. Meanwhile, retail shopping is recovering at a slower pace.

Australian tourists are the highest spenders globally on experiences and nightlife. In 2024, Aussies are spending one of every five dollars (19%) on these activities - significantly higher than the global average (12%). Tourists from the Chinese Mainland are also increasingly seeking out experiences, spending 10% on this category in 2024, up from 7% in 2023. Casual Trumps Luxury for Fashion and Food

Tourists today prefer laid-back vibes, except in spots where luxury retail and fine dining provide exceptional value for money.

Notably, luxury fashion sales soared YoY in the year ending March 2024 in Japan (152%) and Hong Kong SAR (208%), despite casual fashion still leading the pack in most places. Hong Kong SAR's surge is partly attributed to its late reopening in 2023, whereas Japan's boom stems from a weak yen and robust inbound tourism. Australia, India, and Thailand now enjoy burgeoning fine dining scenes, leading to premium dining outperformance compared to casual dining, which remains dominant elsewhere. "Amidst the evolving tourism landscape and continuing surge in travel throughout 2024, the Mastercard Economics Institute aids businesses and policymakers in translating macroeconomic forces and data insights into actionable strategies at the country, category, and company levels, in addition to counseling on possible scenarios and the implications they have on demand," added Mann.

Explore the full Travel 2024: Breaking Boundaries report here. Additional reports and insights from the Mastercard Economics Institute can be found here.

[1] Australia, Chinese Mainland, Hong Kong SAR, India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, South Korea, Taiwan, Thailand.

[2] MEI analysis of aggregated, anonymized switched consumer volumes (nominal USD unadjusted for FX) through March 2024.

[3] MEI analysis of Thailand Department of Tourism visitor arrival data through the end of February 2024.

[4] MEI analysis of aggregated & anonymized Mastercard leisure flight booking data provided by third party partners.

[5] MEI analysis of aggregated & anonymized Mastercard leisure travel related switched transactions.

About Mastercard Economics Institute

Mastercard Economics Institute launched in 2020 to analyze macroeconomic trends through the lens of the consumer. A team of economists, analysts and data scientists draws on Mastercard insights - including Mastercard SpendingPulse™ - and third-party data to deliver regular reporting on economic issues for key customers, partners and policymakers.

About Mastercard (NYSE: MA), www.mastercard.com

Mastercard is a global technology company in the payments industry. Our mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart and accessible. Using secure data and networks, partnerships and passion, our innovations and solutions help individuals, financial institutions, governments and businesses realize their greatest potential. With connections across more than 210 countries and territories, we are building a sustainable world that unlocks priceless possibilities for all.

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