p5 & M2
On this page I'm going to talk about how trends and factors are currently affecting the travel and tourism sector.
Trends
On this page I'm going to talk about how trends and factors are currently affecting the travel and tourism sector.
Trends
Decrease in outbound tourists from the UK
Due to the high pressure on the economy outbound tourism became less popular. “Nearly half of Brits are not planning to take a holiday within the next year, the Accenture poll found 45% of respondents said they will not be taking a holiday and of the 55% who said they will be 21% said they would be staying closer to home." [www.ttgdigital.com] UK residents prefer to stay in the UK other than going overseas as they feel it costs a lot for their way of lifestyle. many will love to just go somewhere that's near them but still a fun place to be at eg Buckingham palace, London eye, Peak District, Blackpool pleasure beach, London museum, Lake District etc...
furthermore, as holidays become more expensive people give up on going oversea holidays regularly as they don't have enough money for a holiday. Most people save up to go on a oversea holiday once or twice a year. If a person from Blackpool goes to stay in London for their accommodation they will probably find a less expensive hotel to stay in, this modern society has economic situation people changed their way of spend money on holidays and that's why UK residents aren't that bothered about going on holidays.
furthermore, as holidays become more expensive people give up on going oversea holidays regularly as they don't have enough money for a holiday. Most people save up to go on a oversea holiday once or twice a year. If a person from Blackpool goes to stay in London for their accommodation they will probably find a less expensive hotel to stay in, this modern society has economic situation people changed their way of spend money on holidays and that's why UK residents aren't that bothered about going on holidays.
Increase in inbound tourists to UK
Tourism is one of the largest industries in the UK, inbound tourists come to the UK to get better value of money also the Olympics was a big event that brought in many inbound tourists. currently in the uk there is one in twelve jobs maintained by tourism, 29.6 million visitors came in the UK in 2010, they spent £16.7 billion. In 2010 the top five inbound tourism markets to the UK in terms of numbers of visits were France, Germany, USA, Irish Republic and Spain. The most popular visited city in the UK is London.
"The number of visits peaked in 2007 at 32.8 million, since when there were several years of slight decline followed by a small increase in 2011. After a long period during which the average spend per visit hovered at a little under £500 there has been a marked increase in the past four years, driven on by the relative weakness of sterling". (www.visitbritain.com). The chart below shows inbound tourist mostly come to the UK for a holiday, in 2003 it got massively decreased as tourist came less to the UK. However, in 2004 it got increased and went further up, coming to the UK for business was just as popular.
"The number of visits peaked in 2007 at 32.8 million, since when there were several years of slight decline followed by a small increase in 2011. After a long period during which the average spend per visit hovered at a little under £500 there has been a marked increase in the past four years, driven on by the relative weakness of sterling". (www.visitbritain.com). The chart below shows inbound tourist mostly come to the UK for a holiday, in 2003 it got massively decreased as tourist came less to the UK. However, in 2004 it got increased and went further up, coming to the UK for business was just as popular.
As you can see half of the inbound tourist use air transport, visitors who travel by air have a habit of spending more per visit than those who use other transport.The second popular transport is road e.g cars, coaches and many more... the least popular transport inbound tourism use is tunnel, the channel tunnel had 1 in 8 visitors getting to and from the UK.
Increased holiday home ownership
factors - affect it has on the travel and tourism industry, postive or negative.
Natural Disasters
Some countries mainly depend on tourism to bring income and foreign currencies into their country, for example the Caribbean. however, when a natural disaster appears they find it hard to bounce back since tourism helps their country's economy and substructure. Tourism can provide people jobs so if the number of tourist drops because of natural disaster the people in the Caribbean will suffer as their country is broke. If tourist stop coming to the Caribbean there would be a high pressure on the economy. Natural disasters are things like tsunamis, flooding and hurricanes, the countries that have been affect with natural disasters are Hawaii, the Caribbean,Florida, the Dominican Republic and Japan. Tourist don't want to come to a place that has been affected by natural disaster because nobody wants to go to a place where there is danger of harming their self. A natural disaster that happened around the Indian ocean it hit the coasts of 12 countries, 200,000 people died and 800,000 were left homeless.
"in the past 12 years, the Caribbean has seen Hurricane Gilbert in 1988, Hugo in 1989, Luis and Marilyn in 1995, Mitch and Georges in 1998 and Lenny in 1999, because of Hurricane Luis, Antigua and Barbuda saw losses of 4,000 to 7,000 jobs". The Caribbeans are the most tourism reliant area in the world so for that reason when tourism stops they have nothing to live up on, there will be less jobs and the workers will lose their jobs as there is nothing to work for.
Natural disaster
> Decline in number of tourists visiting in the
area.
> Decrease in money being spent in the area due to
lack of visitors, decrease in general economy of the
area
>Businesses suffer due to lack of money generated
through tourism, local businesses close, larger businesses decline –possibly
leading to closure of parts of the business and job losses.
> Unemployment in the area affected by the natural disaster
increases, the disposable income of locals decreases meaning less money is
spent in the area which causes more businesses to decline.
> Government spending increases due to lack of
money generated through tax (as less people are working in the formal
sector), combined with the aid needed to recover from the event, government
spending is very high and the areas economy is at its
lowest.
source: www.ecclesbourne.derbyshire.sch.uk
"in the past 12 years, the Caribbean has seen Hurricane Gilbert in 1988, Hugo in 1989, Luis and Marilyn in 1995, Mitch and Georges in 1998 and Lenny in 1999, because of Hurricane Luis, Antigua and Barbuda saw losses of 4,000 to 7,000 jobs". The Caribbeans are the most tourism reliant area in the world so for that reason when tourism stops they have nothing to live up on, there will be less jobs and the workers will lose their jobs as there is nothing to work for.
Natural disaster
> Decline in number of tourists visiting in the
area.
> Decrease in money being spent in the area due to
lack of visitors, decrease in general economy of the
area
>Businesses suffer due to lack of money generated
through tourism, local businesses close, larger businesses decline –possibly
leading to closure of parts of the business and job losses.
> Unemployment in the area affected by the natural disaster
increases, the disposable income of locals decreases meaning less money is
spent in the area which causes more businesses to decline.
> Government spending increases due to lack of
money generated through tax (as less people are working in the formal
sector), combined with the aid needed to recover from the event, government
spending is very high and the areas economy is at its
lowest.
source: www.ecclesbourne.derbyshire.sch.uk
The latest natural disaster that happened is hurricane sandy in new York city, the picture above shows the new York city light before and after as you can see the upper half shows how new York used to be very bright with lots of lights on but the lower picture shows after the hurricane with no lights on, some parts still have there lights on but those are the parts that have not been affected by the hurricane. all of the public transport in new York city has been postponed before the hurricane sandy the bus, train services and the subway has been shut down so has the schools. The hurricane sandy will destroy many people's life "Up to 60 million people could be affected by the storm, which is set to hit several states key to the 6 November presidential election." The aftermath of hurricane still affects USA the situation hit people in the new York city extremely hard, the powers went completely off it was pitch dark."Some 2.5 million homes and businesses still have no electricity." (www.bbcnews.com)
Decline in Sales
Tui travel which owns Thomson and first choice, it's per-tax profit decreased to £3m in just three month when last year it was £11m. The German travel operator Tui said "Had the Easter date fallen in the third quarter we would have reported that £13m in the third-quarter result issued today. This is an issue of timing." (www.bbcnews.com) Tui are not selling oversea holidays that much because of the recession people don't have enough money to book a holiday, most of the people living in the UK take their holidays in the UK as it costs less than going oversea with Tui. moreover, Tui declined in sales also because people are becoming more independent this decade so they usually book online which saves them money but unfortunately, the Tui company earns less profit as to people not booking more with their travel agent other than online. Sales in France decreased dramatically 4 out of 10 people will not go on a holiday this year. however, Tui has improved they expanded capacity next summer for the first time since 2007 "Tui said its summer programme was almost fully sold, with load factors ahead of last year." (BBC news) They are doing better now and they still are.
Terrorism
The terrorism affects the travel & tourism because it would affect the sector of the economy which would directly relate to the tourism industry which can affect either be large or small depending on the need on the travel and tourism industry.however, the impact of terrorism in the tourism industry which can be enormous which can lead to unemployment, homeless and many other social impacts. also, the impact on the tourism for any country would be great for any downturn in the tourism industry which can be a major concern for much government. The effects are left in many other industries associated with tourism like airlines. The 9/11 is an example of terrorism it was in the US in 2001, passenger jets flew into the twin tower it was very shocking "The threat of terrorism still seems to be very real and the US and other countries, including the UK, continue to be understandably jump"(www.ttgdigital.com) The 9/11 attacks lend to airport securities being more strict also it made the flying more secure, the airports are much better than what it used to be before.
Conclusion
I learnt that most UK residents prefer to stay in their country other than going somewhere overseas; they rather go somewhere like peak District or Buckingham palace as it is cheaper and it is still enjoyable. The biggest event this year that happened in London which brought in so many inbound tourist in the UK is the Olympics, not only do people come here for holidays but also for business purpose. USA is the second home for people in Britain to buy other than Europe also, you won't have to worry about exchange rates or air fares when you have a holiday home. Caribbean depends on tourist income. If a natural disaster hits a country, the people living in the country will lose their jobs, shelter and sometimes family. Hurricane sandy was the latest natural disaster that happened New York City, they suffered from serious damage. Recessions are causing decline in sales, people don't have enough money to spend on holidays as they have to pay for their rents, gas, and food. Terrorism is a serious problem if it happens to any place people will be unemployment, homeless and many other social impacts. The 9/11 changed the way the airports security for the better.
I learnt that most UK residents prefer to stay in their country other than going somewhere overseas; they rather go somewhere like peak District or Buckingham palace as it is cheaper and it is still enjoyable. The biggest event this year that happened in London which brought in so many inbound tourist in the UK is the Olympics, not only do people come here for holidays but also for business purpose. USA is the second home for people in Britain to buy other than Europe also, you won't have to worry about exchange rates or air fares when you have a holiday home. Caribbean depends on tourist income. If a natural disaster hits a country, the people living in the country will lose their jobs, shelter and sometimes family. Hurricane sandy was the latest natural disaster that happened New York City, they suffered from serious damage. Recessions are causing decline in sales, people don't have enough money to spend on holidays as they have to pay for their rents, gas, and food. Terrorism is a serious problem if it happens to any place people will be unemployment, homeless and many other social impacts. The 9/11 changed the way the airports security for the better.