Market Update - 16.05.24

CURRENT MAJOR TOPICS WITHIN THE TOURISM UNDUSTRY IN THE DACH REGION: 

• TOURISM DEMAND IN EUROPE CONTINUES TO RISE: According to the European Travel Commission (ETC), the European tourism industry recorded a significant upturn in the first quarter of 2024. According to destination data, arrivals (+7.2%) from abroad and overnight stays (+6.5%) exceeded the 2019 figures. Read more

• POLITICIANS ANNOUNCE SUPPORT FOT TRAVEL INDUSTRY: Excessive bureaucracy, higher taxes on airline tickets and restaurant meals, an impending tightening of the EU's Package Travel Directive and a possible end to the tax exemption for shift and holiday bonuses, as well as a shortage of skilled workers, are souring the mood in the hotel, tour operator and airline industries. At the BTW tourism summit in Berlin, Federal Minister of Economics Robert Habeck and Minister of Justice Marco Buschmann acknowledge the role of the travel industry and announce that they will campaign against tightening the conditions for selling package tours. Tourism Coordinator Dieter Janecek also speaks out in favor of maintaining the GNTB's current budget. Read more

• GERMANY: THERE HAVE NEVER BEEN MORE OVERNIGHT STAYS IN MARCH THAN THIS YEAR: The Federal Statistical Office counted 35.6 million overnight stays in Germany's accommodation establishments in March. This is a good twelve percent more than in the same month last year and 7.5 percent more than in the previous record month of 2018. This increase is probably also due to the fact that the Easter vacations had already begun in all federal states except Schleswig-Holstein, according to the Federal Statistical Office. The number of overnight stays by guests from abroad rose by 7.8 percent to 5.5 million. Read more

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CURRENT TOPICS WITHIN THE TRANSPORTATION INDUSTRY IN GERMANY & EUROPE:

• FLYING MORE CLIMATE-FRIENDLY BY 2050 - THAT WILL PROBABLY BE DIFFICULT: According to an analysis presented on Wednesday, which examined innovative drive systems for more climate-friendly air traffic, no currently possible strategy is sufficient in itself to achieve the emission targets. What is needed instead is a mix of technologies that utilizes the potential of different areas. According to the Technology Assessment Office at the German Bundestag (TAB), this includes electric drives, more sustainable fuels from waste or biomass, green hydrogen (H2), the optimization of fuels, a more sustainable aircraft design and a reduction in emissions through increased efficiency. Read more

• "MEDIOCRE TO INADEQUATE": GERMAN RAIL NETWORK CONTINUES TO CAUSE PROBLEMS: The condition of the rail network in Germany has once again deteriorated slightly. Deutsche Bahn only gave its own infrastructure a mediocre grade of 3.03 for the past year, according to the latest network condition report from rail infrastructure subsidiary InfraGo. Deutsche Bahn emphasizes that all infrastructure facilities are “stable, operational and safe for traffic”. “However, systems that are particularly relevant to punctuality, such as points, level crossings and signal boxes in the heavily used network, are only in the average to poor range.” This is particularly noticeable for long-distance rail passengers. The railroads have been similarly unreliable so far this year. This is due to the many construction sites on the network, which is in need of renovation and slowing down traffic. Read more

DESTINATION NEWS:

• TAIWAN, JAPAN, SOUTH KOREA & CO: Japan continues to boom. But other countries in the Far East are also benefiting from the return of wanderlust. fvw|TravelTalk presents strategies and new products. In Taiwan, the island's charm continues to attract visitors, helped by strong advertising at trade fairs and its growing popularity among younger people. But also the fact that two Taiwanese airlines now fly non-stop from Germany to Taipei. In Japan, the cherry blossom season in April and the leaf coloring season in autumn are very popular. However, providers are now increasingly advertising other travel periods and new themes. These include the Japanese Alps, the far south and north of the country, hikes, tea culture, meditation, gardens and the world of geishas. South Korea, on the other hand, is focusing more than ever on bleisure and workation. In addition, the five themes of outdoor, temple stays, gourmet and city trips as well as the “Korean wave”, i.e. everything to do with contemporary South Korean pop culture, are being promoted. Finally, Hong Kong promotes its little-known and new sides. Little known, for example, is the quaint Old Town Central with its small alleyways and old Chinese temples. And the futuristic M+ Museum of Visual Arts is relatively new. Read more

• THAILAND: Thailand wants to attract millions of additional tourists to the country and at the same time combat overtourism. It is a great balancing act that the Thai government has undertaken. The introduction of a tourist tax, for example, is under discussion. On the other hand, they are trying to attract more guests. Travel restrictions, better infrastructure for cruise passengers, and the expansion of existing airports and the construction of new ones are all intended to help. The most recent examples are Bangkok's Suvarnabhumi and Don Mueang airports, which will continue to grow.  Read more

• USA: Brand USA announced strong growth at the IPW 2024 industry trade fair in Los Angeles. In 2023, the USA recorded a 28% increase in visitor numbers to almost 67 million international guests. According to forecasts, this year's figure is expected to rise to 78 million guests, which would be a further increase of 16 percent. The curve is also expected to continue upwards in the coming years. Major events such as the 2026 FIFA World Cup, World Pride and the 2028 Summer Olympics in Los Angeles are also driving this trend. Read more

• DUBAI: The Gulf states are now enjoying more visitors again than in the pre-corona year of 2019. Nevertheless, they want to attract even more tourists in the future. One of the topics discussed at the Arabian Travel Market in Dubai was how to achieve this. The country wants to cooperate with the other emirates: “We want guests to stay longer in the UAE. First they are in Dubai and then a few more days in Ajman,” says Mahmood Khaleel Alhashmi, General Manager of the tourism department in Ajman, in an interview with fvw|TravelTalk at the ATM. “Dubai and Ajman complement each other and we work well together.” All destinations on the Persian Gulf also want to increasingly market themselves as summer destinations. Visitors receive the same service in the luxury hotels as in winter, but at a lower price, as summer is considered the low season due to the high temperatures. Read more

• TAIWAN: Taiwan attracts tourists with a new brand. Taiwan in the Far East wants to strengthen its position in tourism with a fresh external image and encourage more vacationers to take a trip. The new brand runs under the motto “Taiwan - Waves of Wonder”. The word “Taiwan” is already written in the form of waves. This is intended to illustrate the seasonal highlights of traveling to Taiwan, according to the tourism administration of the Far Eastern island state. The new lettering is supported by an animated short film and an advertising song. Read more

• BALEARIC ISLANDS: Shortly after Balearic Prime Minister Marga Prohens declared that a "limit had been reached" in terms of tourism on Mallorca and the islands, the conservative-right-wing island council followed suit. The number of guest beds is to be reduced by a good four percent to 412,000. The government has also announced a ban on alcohol in public areas.  Read more