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Travel News, April, 2006


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Setback to Asia Pacific tourism in 2006

      Pattaya (Thailand): A new AC Nielsen study carried out for Visa International Asia Pacific (Visa) and the Pacific Asia Travel Association (PATA) has warned that tourism in the Asian-Pacific region could take a fiancial beating in 2006-07 if remedial steps are not taken to remove travelers misconceptions. The Travel Intentions Survey 2006 report, which investigated the attitudes of potential travelers to Asia from ten key markets, however, reveals the increasing willingness of people to visit Asia compared with a similar survey a year ago. Of individuals intending to travel internationally in 2006, 43 percent are considering Asia as a holiday destination. Of those travelers considering Asia, about 80 percent rate their likelihood of visiting the region at more than 50 percent.

     The study highlights a number of concerns that are holding back growth in the Asian tourism market. While unease about the aftermath of the 2004 tsunami and fears of a repetition are not the greatest concern, they nevertheless cast a significant shadow. Travelers are concerned about their safety in Asia and according to the study; one in five is misinformed as to the locations where terrorism has occurred. Fifty-eight percent say that the potential for terrorism makes them less likely to visit Asia and the same percentage also say that negative media reports would make them less likely to travel to Asia. More than two thirds of the respondents (69 percent) say they would be less likely to visit Asia if their governments issued travel warnings. The study also uncovered that potential travelers need urgent access to accurate information. While tsunamis were not seen as a considerable barrier to travel (35 percent say they were less likely to visit Asia because of the tsunami), those who did cite it as a concern were frequently misinformed. Nearly 16 months after the December 2004 tsunami, a significant number of potential Asian travelers say that several destinations (including China, Hong Kong, Korea, Japan, Philippines and Singapore - markets unaffected by the December 2004 tsunami) were "still severely or somewhat affected" by the tsunami. Bird flu has also now emerged as a hurdle to travel in Asia.

     Approximately one-third of respondents do not know which areas have been affected, and more than one in five believe that areas with no reported cases have been affected. Without belittling the potential threat of bird flu, clearly ignorance is proving to be an unnecessary inhibitor to travel. "Travelers' perceptions do not always reflect the reality of a situation, and ignorance is costing the industry billions," said Paul Dowling, Visa Asia Pacific's Executive Vice President for Corporate Relations. "In 2005, international Visa cardholders traveling in Asia spent nearly 24 billion dollars. This study shows that while Asia continues to show its resilience as a tourism market, money is being left on the table. Better consumer education would make a big difference, bringing billions of extra tourism dollars, particularly by the high spending travelers, into Asia." "For our part, we in the travel industry need to be more proactive in getting the facts in front of consumers. We believe this study goes a long way to identifying consumers' concerns that need to be addressed by the travel industry," Dowling added.

     PATA President and CEO Peter de Jong said, "The overall numbers of the survey are encouraging; more travelers are considering returning to Asia- Pacific. However, we feel that closer collaboration is required among the travel industry and the media to ensure travelers have a clear understanding of the Asia Pacific region. When our survey tells us that an average of 18 percent of respondents identified unaffected areas of the 2004 tsunami as 'severely affected' or 'somewhat affected,' we know there is work to do." When asked where they obtain information about their upcoming holiday destinations, 82 percent of the respondents report that they search the Internet. "Travel marketers and tourism organizations would do well to maximize the reach of the Internet," said Dowling. "The survey showed that potential travelers use multiple sources for information to make travel decisions and the Internet is top of the list. Providing up-to-date information on websites and monitoring the Internet to ensure erroneous data is corrected swiftly and forcibly would greatly assist travelers in making more informed travel decisions." The study shows that travelers from Asia are most likely to travel to within Asia. However, outside of the region, travelers from Sweden, Germany and Austria are most likely to consider Asia in 2006. Aside from actual volume, the US showed the greatest increase in the proportion considering Asia compared with 2005. The only country to show a decline was China, which went from 62 percent to 42 percent. Fears over potential terrorist attacks were cited as the main reasons for this decline.
-April 27, 2006




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