Study: 10.3% of $5+ trillion global travel spend influenced by TripAdvisor
TripAdvisor, Inc. announced the results of the "Sizing the Worldwide Travel Economy" study, conducted by Oxford Economics in partnership with TripAdvisor to examine the size of the global travel economy and TripAdvisor's contributions to it. The study found that the travel industry reached more than $5.29 trillion USD in spending in 2017, with international tourism spend growing for the last eight consecutive years.
By comparing world economic growth data with TripAdvisor's own trends, the study was also able to show that TripAdvisor had an enormous estimated influence of $546 billion in 2017 alone. Globally, the popular travel site influenced more than 433 million trips last year, and 65 million in just the United States alone last year.
For access to the full Oxford Economic study, click here https://www.tripadvisor.com/TripAdvisorInsights/w2841
"We launched this study not only because we wanted to better understand the true size and scope of the global travel economy, but also to better understand TripAdvisor's scale and impact on tourism," said Charlie Ballard, director of strategic insights, TripAdvisor. "The travel category is indeed enormous and outpacing other consumer spending worldwide, and TripAdvisor not only inspires travel, but also causes more travel – in particular by encouraging travelers to take longer trips by showing them how much more there is to see and do."
To determine the total addressable market, Oxford Economics takes a more expansive view of the tourism and hospitality economy than some other well-known research firms. Their approach is widely recognized as a reliable source of industry sizing and trending, and is a primary source of data for global organizations such as the World Travel & Tourism Council (WTTC), the U.S. Travel Association, and the European Travel Commission. Included in the study's scope are businesses and employees supported directly by tourism.
To reach a high degree of confidence in their findings, Oxford Economics took TripAdvisor user trends data going back through 2004 and married them together with data from their Global Travel Service database which draws on raw data from the United Nations World Tourism Organization (UNWTO), as well as national and regional statistical agencies. The result is one of the largest, most comprehensive views of the size and scope of the global tourism economy performed to date, along with deep insight into TripAdvisor's own impact on the industry.
"We are happy to see more data and studies that affirm TripAdvisor's positive contribution to consumers, travel businesses and the broader economy is huge and undeniable," said Martin Verdon-Roe, vice president of product & marketing, TripAdvisor hotels. "For hotels, rentals, attractions, experiences and restaurants across the globe, the key takeaway from the latest research is that there has never been a better time to market your business on TripAdvisor."
The Oxford Economics report comes soon after two major influence studies: a comScore study, which showed the "staggering" influence TripAdvisor on global travel bookings, and the Harris Poll of consumers who recently named TripAdvisor the "2018 Travel Brand of the Year" in its EquiTrend® Study.
TripAdvisor's Increasing Influence on Travel Decisions
Over the past 10 years according to Oxford Economics, travel-related spending influenced by TripAdvisor sites has outpaced growth in overall travel and tourism spend. TripAdvisor-influenced spend has grown at an annual average growth rate of 7.4% over the past decade. This compares favorably with average growth of 3% for total tourism spend. Even when total spend fell by 5.3% in the depths of the global recession in 2009, TripAdvisor-influenced spend outperformed the wider trend.
TripAdvisor's influence has also risen across all global regions over the past decade – with notable improvement in both developing tourism destinations, as well as in developed markets. In fact, Oxford Economics applied sophisticated analysis to prove that TripAdvisor causes more travel (i.e., "TripAdvisor additional" travel), which is most evident through increased visitor nights and spending than through arrivals.
Global Travel Economy Healthy and Growing
The Oxford Economics "Sizing the Worldwide Travel Economy" paints a picture of a healthy and growing travel economy, with the greatest surges in travel spending over the last few years resulting from the APAC, Middle East and Latin American regions.
At $3.9 trillion per year, domestic tourism spend accounts for around three-quarters of global tourism spend, while international spending grew to $1.4 trillion in 2017.
Largest Tourism Sectors:
When looking at how the travel economy breaks out by sector worldwide, a few key findings stand out, including how a piece of the total traveler economy is spent on retail sales:
Inbound Travel |
Domestic Travel |
|
Accommodation |
22.4% |
14.6% |
Transportation |
29.3% |
34.0% |
Recreation, culture & sports |
6.5% |
7.7% |
Retail |
20.0% |
17.5% |
Food & beverages services |
14.8% |
15.3% |
Other |
7.1% |
10.8% |
Top Growth Markets:
While the North America travel economy has grown by +25% in the past 10 years, the Asia-Pacific market has grown by +130%. In contrast, Western European destinations have largely remained flat during this time.
Destination region |
2017 spend (US$ trillions) |
Growth 2007 – 2017 |
Global |
5.29 |
41.9% |
APAC |
1.89 |
130.3% |
Middle East |
0.15 |
93.8% |
Latin America/Caribbean |
0.28 |
42.1% |
Africa |
0.12 |
26.4% |
North America |
1.20 |
24.9% |
Emerging Europe |
0.23 |
16.0% |
Western Europe |
1.42 |
2.9% |
Other Key Travel Industry Trends
- Tourism growth has outpaced global GDP growth
- Roughly half of all international trips are to European destinations, while destinations in the Asia-Pacific region are taking a greater share of travel
- International travel is expected to become more important as household wealth continues to rise in large emerging markets, with a greater proportion of households able to afford international travel.
- Nearly 1 in 10 employees globally is supported by tourism activity
- Travel Trends Underscore Importance of Online Marketing for Travel Businesses Taking into consideration the large and growing global travel economy and the rise of emerging middle class markets, the climate is right for businesses to engage with potential guests online and drive conversions. And as more consumers turn to their mobile devices to seek out information, no other travel app is as widely used as TripAdvisor across the globe.To help hotel and restaurant businesses capitalize on these opportunities, TripAdvisor launched Sponsored Placements, a new advertising solution enabling businesses to capture the attention of travelers and drive quality, targeted traffic to their property by advertising in high visibility placements on the site, including above search results. Sponsored Placements is an integral part of TripAdvisor's suite of advertising opportunities available to travel businesses. Meanwhile, TripAdvisor's subscription services like Business Advantage for hotels and Premium for Restaurants empower hotels and restaurants, respectively, to differentiate themselves from competitors and measure their success through digital channels in a way simply not possible in traditional offline forms of marketing.
Methodology
The "Sizing the Worldwide Travel Economy" study conducted by Oxford Economics in partnership with TripAdvisor included extensive analysis to size the global travel market as well as measure the effect TripAdvisor had on the overall growth in travel. Causality and econometric testing was performed to prove that TripAdvisor content is not just positively correlated with travel activity, but in fact causes more travel.
About TripAdvisor
TripAdvisor, the world's largest travel site*, enables travelers to unleash the full potential of every trip. With over 630 million reviews and opinions covering the world's largest selection of travel listings worldwide – covering approximately 7.5 million accommodations, airlines, attractions, and restaurants -- TripAdvisor provides travelers with the wisdom of the crowds to help them decide where to stay, how to fly, what to do and where to eat. TripAdvisor also compares prices from more than 200 hotel booking sites so travelers can find the lowest price on the hotel that's right for them. TripAdvisor-branded sites are available in 49 markets, and are home to the world's largest travel community of 455 million average monthly unique visitors**, all looking to get the most out of every trip. TripAdvisor: Know better. Book better. Go better.
The subsidiaries and affiliates of TripAdvisor, Inc. (NASDAQ: TRIP) own and operate a portfolio of websites under 20 other travel media brands:
- www.airfarewatchdog.com, www.bookingbuddy.com, www.citymaps.com, www.cruisecritic.com,
- www.familyvacationcritic.com, www.flipkey.com, www.thefork.com (including www.lafourchette.com,
- www.eltenedor.com, www.iens.nl and www.dimmi.com.au), www.gateguru.com, www.holidaylettings.co.uk,
- www.holidaywatchdog.com, www.housetrip.com, www.jetsetter.com, www.niumba.com, www.onetime.com, www.oyster.com, www.seatguru.com, www.smartertravel.com, www.tingo.com, www.vacationhomerentals.com
- and www.viator.com.
* Source: comScore Media Metrix for TripAdvisor Sites, worldwide, November 2017
** Source: TripAdvisor log files, average monthly unique visitors, Q3 2017
TRIP-G
Cision View original content with multimedia:http://www.prnewswire.com/news-releases/tripadvisor-has-a-massive-influence-on-a-5-trillion-and-growing-global-travel-economy-according-to-new-oxford-economics-study-300645960.html
SOURCE TripAdvisor
Kevin Carter, kcarter@tripadvisor.com
- 1) Greek Deputy Foreign Μinister meets her Slovenian counterpart in Athens
- 2) Public transport, ferry and taxi strikes in Athens on Wednesday
- 3) Deadline for submiting your film and your project to the Los Angeles Greek Film Festival
- 4) Greek government spokesperson announces launch of Single Digital List of Surgeries
28/03 18:41
Attica Region to channel 640 bln euros to services of vulnerable and disadvantaged groups
28/03 17:32
Greece to auction three-month T-bills on April 3, 2024 in a book entry form
28/03 15:46
Greece's Meteora Pyli Geopark added to UNESCO Global Geoparks network
28/03 14:44
IPTO announces framework agreement tender for undersea power cables in Greece
28/03 11:49
IOBE: Construction sector in Greece records robust growth and good prospects
26/03 23:51
St. Thomas Hellenic School honors 1821 and the Feast of the Annunciation in NJ
26/03 21:59
PM at Economic Club of Canada: Greece is an attractive investment destination
26/03 17:56
Greek State budget primary balance reaches a surplus of 3,378 million euros
26/03 11:45
Ancient Messene to get upgraded visitors' facilities after approval by Council
23/03 17:43
New requirements for 'Golden Visa' program to kick in on March 31
23/03 16:49
Athenians continue to head out of the Greek Capital for March 25 long weekend
23/03 16:47
Greek Parliament lights to be turned off for Earth Hour 8:30-9:30 pm
22/03 21:54
US President on Greek Independence Day: Alliance with Greece stronger than ever
22/03 19:51
High diplomacy and geopolitics at Delphi Economic Forum IX in Greece
22/03 19:32
Tax authorities enable payments with foreign bank cards in Greece
22/03 14:19
22/03 00:24
Greece ranks first on list of countries with fastest business environment progress
22/03 00:02
Hellenic Police acquires first electric VAN-type highway patrol vehicle
21/03 22:41
21/03 15:33
Unseen Museum presents "The stele of the twin babies" exhibition in Athens
20/03 22:48
Health Minister: 95% of Greek hospitals to perform afternoon surgeries
20/03 21:52
Greek Deputy Minister of Justice meets delegation from US Embassy in Athens
20/03 21:44
Greek Interior Minister to visit United States and Canada on postal vote
20/03 20:55
Philadelphia Icarians mark 85th Anniversary and organize Apokriatiko Dance
20/03 18:01
Development Minister: We continue the battle against high prices in Greece
19/03 22:28
President of the Hellenic Republic meets her Ethiopian counterpart in Athens
19/03 20:57
19/03 20:25
FinMIn: Moody’s analysis records significant progress in the Greek economy
19/03 11:15
Sector chiefs report: Good news for Greek tourism in 2024 at ITB Berlin
18/03 22:20
American Hellenic Educational Progressive Association honors Past Supreme President
16/03 13:01
Greek Deputy Foreign Μinister meets her Slovenian counterpart in Athens
16/03 12:56
Greek-Canadian Diaspora to welcome Greek Prime Minister to Toronto
16/03 11:28
Greek Migration Minister visits refugee hosting facilities in Kavala, Drama and Serres
15/03 21:50
Greek Minister announces conference on defence ecosystem in Athens from Lithuania
15/03 13:45
PM: More than 80 hospitals and 156 health centres being upgraded in Greece
15/03 12:55
Piraeus Port and Genoa Chambers of Commerce ink memorandum of cooperation
14/03 23:43
President of Hellenic Republic meets Prime Minister of Slovakia in Bratislava
14/03 22:58
American Express report highlights Global Travel Trends during 2024
14/03 22:52
Four hospitals in Attica Region already organizing afternoon surgical procedures
14/03 22:49
US Ambassador to Athens: More flights from the United States to Greece and Thessaloniki
14/03 22:43
Greek archaeologists discover ten ancient shipwrecks off Aegean island of Kasos
14/03 19:32
No new intubations for Covid-19 recorded in Greece for the first time
14/03 18:36
Extra road safety measures adopted for Greek pre-lent carnival and Clean Monday
14/03 14:48
14/03 12:54
Electric buses to be deployed on the streets of Athens and Thessaloniki by May
13/03 22:23
13/03 20:11
Prices of basic lenten products either lower or equal to last year's in Greece
13/03 19:15
US Ambassador to Athens: Greece secures NATO readiness via Alexandroupolis
13/03 17:19
13/03 12:26
Greece shows new costumes for revamped Olympic Flame-lighting ceremony
12/03 22:46
Epirotes Society of Philadelphia ‘Omonia’ organized 16th Annual ‘Tsipourovradia’
12/03 21:38
The President of the Hellenic Republic to visit Slovakia on March 13-15
12/03 20:29
First afternoon surgeries in Greece kick off at Papageorgiou Hospital in Thessaloniki
11/03 23:58
Greek Foreign Minister: We stand behind Montenegro's European perspective
11/03 23:47
Visa Express for Turkish citizens to commence on five Greek islands in March
11/03 19:40
11/03 18:49
Microsoft Data Center construction kicks off in Spata next to Athens Airport
11/03 17:53
Dodecanese Federation marked 76th Anniversary of Unification with Greece
09/03 22:23
08/03 14:27
Prime Minister: Radical change in Greek education and a brave reform for growth
08/03 14:24
Traffic restrictions expected in Athens mid-morning to evening on Friday due to protests
08/03 14:24
Applications to out-of-court settlement more than doubled in Greece in February
08/03 13:18
Metro station 'Maniatika' near Piraeus Port to be closed on Saturday and Sunday
07/03 14:12
Athens wins World Travel Award 2024 as the top city-break destination in Europe
06/03 22:51
WTTC data show Greece and Portugal lead league for growth in tourist arrivals
06/03 20:28
Greek Tourism Minister at ITB: 2024 will be another excellent year for sector
06/03 19:47
Greek Foreign Minister to meet UAE Minister of Industry and Technology on Friday
06/03 18:43
European Union actions of 274m euros to support cultural heritage in Greece
06/03 16:37
'Odontotos' rack railway temporarily stopped until landslides issue is resolved
06/03 14:40
Minister: Bringing about the return of Greeks abroad 'a moral duty'
05/03 14:28
Archdiocese of America Eparchial Synod to meet on March 14-17 in Florida
05/03 14:21
05/03 14:11
ITB BERLIN 2024 opens with excellent bookings after global rise in travel in 2023
05/03 12:24
Greek PM at Athens supermarket: Consumers 'can already see lower prices on the shelf'
04/03 22:02
Greek Health Minister: Afternoon surgeries at state hospitals to begin shortly
04/03 21:47
Holy Cross Greek Orthodox Whitestone Community marks 49th Anniversary
04/03 20:27
Labor chief: Greece to train 500,000 workers in digital, green skills by 2025
04/03 19:44
Foreign Ministry to organize event on 'Women, Peace, and Security' on Friday
04/03 15:12
Athens Riviera | The summer experience with Athens as a background
29/02 22:54
Consumers to see price cuts up to 18.1% in 3,000 Greek supermarket products as of Friday
29/02 21:44
Greece and Germany set up Working Group on shipping cooperation
29/02 21:30
Wyndham Rewards’ Member Month offers 5 weeks of deals, discounts, and bonus points
29/02 21:03
Temple of Poseidon at Sounion near Athens to get new lighting system
29/02 21:02
29/02 20:47
Greece is represented by 60 firms at GULFOOD 2024 exhibition
29/02 19:58
Greek government gives 1+1 month extension for cash register-integrated POS terminals
29/02 19:49
Archangel Michael Church Dance Program shines at Folk Dance Festival in SF
29/02 15:39
'Renovate-rent' programme to be launched, Minister tells Greek Parliament
29/02 12:39
Rio-Antirrio ferry line in central Greece closed due to strong winds
28/02 21:34
Weather with heavy rain and storms in Greece as of Sunday night
28/02 17:31
CEO: The goal is for PPC to become a leading player in Southeast Europe
28/02 17:04
New Wyndham Hotels Market Managing Director of Central and Eastern Europe
28/02 12:21
Minister: Transactions with the Greek State will be further simplified in 2024
28/02 11:57
27/02 17:25
UN Tourism hails Saudi Arabia's historic milestone of 100 million tourists
27/02 15:00
Greek Prime Minister: Relations with Armenia can become even more productive
27/02 14:26
Wyndham: New growth cycle in Greece for the largest hotel chain franchise in the world
27/02 13:15
Price cuts of up to 15% in important product categories in Greece after March 1
27/02 12:46
Athens taxi drivers' protest rally in progress from Athinon avenue to Messogion
26/02 18:30
Annual Summit of Women Political Leaders (WPL) to be held in Athens in April
Attica Region to channel 640 bln euros to services of vulnerable and disadvantaged groups
Greece to auction three-month T-bills on April 3, 2024 in a book entry form
IPTO announces framework agreement tender for undersea power cables in Greece
IOBE: Construction sector in Greece records robust growth and good prospects
Greece's Meteora Pyli Geopark added to UNESCO Global Geoparks network
Ancient Messene to get upgraded visitors' facilities after approval by Council
New requirements for 'Golden Visa' program to kick in on March 31
PM at Economic Club of Canada: Greece is an attractive investment destination
St. Thomas Hellenic School honors 1821 and the Feast of the Annunciation in NJ
Greek State budget primary balance reaches a surplus of 3,378 million euros
Greek supermarkets record rise in value and decline in volume of FMCG sales
AEGEAN concludes transfer of stake in Animawings to Memento Group
Greek Tourism Minister in Belgrade for International Exhibition
Greek Deputy Transport Minister flies in first test seaplane flight from Lavrio port
EXPOTROF-The Greek Fine Food Exhibition opens near Athens on Saturday
Parnithos Avenue closed down to traffic from the cable car area due to snow
Price cuts of up to 15% in important product categories in Greece after March 1
Deputy Foreign Minister for Economic Diplomacy on business missions agenda
EU forecasts Greece 2024 growth at 2.3%, Eurozone’s fourth-highest rate
Weather with heavy rain and storms in Greece as of Sunday night
Rio-Antirrio ferry line in central Greece closed due to strong winds
Athens streets reopen after private university protest rally and minor incidents
The Festival of Greek Dances takes place in the Metropolis of San Francisco