British DMO UK Inbound has published the results of its latest Business Barometer Survey, based on 72 completed surveys (20% of membership).
Breakdown of respondents:
- Attractions 34%
- Tour operators 30%
- Service providers 22%
- Accommodations 8%
- Destinations 5%
Key findings:
- Bookings/visitor numbers in July and August 2016 were higher for 44% (vs. 2015), about the same for 30%.
- Reasons for booking/visitation increase (consider these anecdotal - not rank-ordered):
- Weak GBP
- Increased demand from ES, IT
- Better weather
- Brand awareness
- Better product offerings
- Partnership in target market
- Reasons for decrease (anecdotal)
- Decline in appeal of London due to security concerns
- Paris and Brussels bombings, terrorism
- Brexit and related ill-feeling
- Smaller tour groups
- Fewer visitors from FR, BE, JP
- High GBP (?)
- July-August 2016 revenue vs. 2015
- 53% said higher
- 26% said about the same
- Accommodations (67%) and service providers (63%) reported biggest increases
- USA regained (from China) its position as top inbound growth market in March, and maintained that position through September.
- France remained the main declining market - down 7% to 20% month-on-month.
- 29% of respondents said they aren't experiencing growth from any overseas markets - and 42% said they're not experiencing decline.
- Confidence levels re revenues in the next 12 months were highest among accommodation providers (83% confident) and tour operators (82%), lowest for attractions (48%).
- Brexit opportunities seen (anecdotal):
- Lower GBP leading to exceptional growth
- Reaffirm UK as separate destination vis-a-vis Europe; UK seen as safer because not part of Europe
- Staycations more attractive
- Top priority: overwhelmingly (71% #1 priority) free movement of visitors from EU
Caveat: That's a very small sample size, and the various tourism sectors represented are diverse. But it's good to see that most reported more visitors and bigger spend in summer 2016 vs. 2015, and that most are confident about what the next 12 months will bring. On the other hand, it's not good news that the French market is declining for UK inbound tourism. The euro is plenty strong vs. GBP, so the perception that the Brexit vote is indicative of a drawbridge-up, anti-European posture likely is largely responsible for this. UK tourism officials need to work on that.
