Market Intelligence
New Report on Value of the UK Visitor Economy
An in-depth 102-page study was published on 23 July by Deloitte and Oxford Economics describing the importance of tourism to the economy of the UK and each constituent nation, providing key current metrics and forecasts for 2020.
The report, undertaken on behalf of VisitBritain, calculates that the total economic contribution that home and overseas visitors make to the UK is currently £115 billion a year. It predicts that if all goes well the figure is set to rise to £188 billion a year in 2020, an increase of more than 60%.
Deloitte predicts spending by overseas visitors will almost double from £16 billion now to £31 billion in 2020. These figures make tourism Britain’s fifth biggest industry and third largest foreign exchange earner.
It warns that Government intervention will be the key to success because a range of market failures need to be tackled.
These include co-ordinating marketing to help small and medium sized tourist businesses who cannot afford to do it themselves, enabling rural firms who face higher costs of operating to adopt innovative technology, and supporting the many districts across the UK that rely disproportionately on tourism as an important source of jobs for entry-level and part-time workers.
The industry also needs help to improve its ability to predict what facilities will be needed for the tourists that are likely to turn up, to ensure the modernisation of hotels and venues is done in a way that retains their original appeal and authenticity and to adapt more swiftly to new trends such as the growth in older 'grey pound' tourists.
To view the full report, which contains a wealth of information including much that is Wales specific, go to-
http://www.visitbritain.org/Images/Economic%20Contribution%20of%20the%20Visitor%20Economy_tcm139-192073.pdf
Newport (Ymerodraeth State of Mind)
The Ryder Cup will obviously bring a lot of attention to Newport this year but for some, a recently made video posted on You Tube will do rather a lot more; click on the link and note how many people have already been there.
http://www.youtube.com/watch?v=aNfbX6uvA6s
Of course, Peter Alliss may do something similar for the golf!!!
Latest tourism survey data from VisitBritain
• In April 2010, the number of overseas residents visiting the UK was 11% lower compared with April 2009. Looking at the year-to-date, 4% fewer visitors came to the UK when compared to the corresponding period a year earlier. Spending in the year-to-April was 9% lower in nominal terms than during the corresponding period a year earlier
• Holiday visits dropped 7% in the year-to-date as the combination of the volcanic ash and the slow economic recovery impacted on Holiday visits. Visiting friends and relatives (VFR) continues to be affected significantly, down 8% in the year-to-date compared to the corresponding period of 2009
• After steep declines a year earlier, Business visits have increased 3% so far this year, but remain at significantly lower levels than before the economic downturn hit
• The number of visits in the year-to-April from EU15 countries (nations who were members of the EU before the 2004 expansion) is 2% lower compared to the corresponding period a year earlier and visits from Accession countries have continued to decline, down 9% in the year-to-April
• Visits from North America have declined 12% in the year-to-April, having been significantly affected in April by the ash. Visits from remaining parts of the world (Central and South America, Africa, Middle East, Asia and Australasia) were unchanged in the year-to-April
• Figures for the year-to-April show that outbound visits by UK residents were down by 12% compared to the corresponding period a year earlier, with visits to North America down by 10%, visits to Europe down 13%, and visits to remaining parts of the world down by 5%
• Outbound holiday visits were down 12%, business visits down 5%, VFR down 13%, and other visits down 10% in the year-to-April. UK Residents spent 8% less on outbound travel in the year-to-April than a year before
• UK residents took 21.8 million domestic overnight trips in the first three months of 2010, up from 21.0 million in 2009, representing an annual increase of 3.8%
• Spending on domestic overnight trips increased by 2.5% in nominal terms in the first quarter of 2010, primarily thanks to a very strong performance in March. In the twelve months to March the number of domestic overnight holiday visits by UK residents was 18% higher than in the year before, with VFR trips up 6% and business trips 4% up.
£5.1bn Drop in Outbound Overseas Travel in 2009
The Office for National Statistics latest data reveals that the amount spent abroad by UK residents decreased from £36,838m in 2008 to £31,757m last year, a drop of some £5,081m or 13.8%.
This includes a decrease in spend of £3,532m on overseas holidays, £992 on overseas business trips and £382 on visiting friends and relatives abroad.
Nights spent abroad fell from 703m in 2008 to 611m in 2009, a decrease of some 13.1%. The 611m figure is however still above the totals recorded for 2000 – 2002 and just below the 2003 number of nights.
Decline in European visitors to Wales in 2009
The number of overnight visits to Wales from overseas residents declined to 0.955m in 2009 from 1.065m the previous year according to The Office for National Statistics with a loss of 110,000 nights from Europeans – 808,000 in 2008, 698,000 last year. North American visitor nights were up 6,000 to 111,000 and the rest of the World down by 5,000 to 145,000.
May Occupancy Stats from Visit Wales
97 hotels in Wales contributed to the May 2010 survey which indicates that both average bed space and room occupancy rates (49% and 66% respectively) returned to the same levels as in May 2008, following the lower rates of 46% and 62% recorded in 2009. For the full report, go to:
http://wales.gov.uk/docs/drah/publications/Tourism/100715hotelmay10occeng.pdf
By way of comparison, the figures published by VisitEngland are very similar with 48% bed space occupancy and 65% for room occupancy.
Average bed and room occupancy rates for guest houses and bed & breakfast establishments fell slightly in May for the second year running. This month's average bed occupancy rate was 35%, compared with 37% in May last year and 38% in 2008. Average room occupancy fell by one percentage point to 44% (46% in 2008); sample size was 91. For all the details, click on:
http://wales.gov.uk/docs/drah/publications/Tourism/100715ghbbmay10occeng.pdf
The results for hostels and bunkhouses have been calculated from a sample size of 33 and the average bed occupancy rate recorded by establishments this month was 50%, two % points lower than the rate recorded in May last year but above the 48% figure for 2008. Despite the overall decrease in bed occupancy, bunkhouses recorded a much higher occupancy rate this year compared with last (60% compared with 40%). Full details from:
http://wales.gov.uk/docs/drah/publications/Tourism/100715hostelmay10occeng.pdf