|SAN FRANCISCO, July 6, 1998 -- The German outbound travel
market will continue to hold a huge potential for the Pacific Asia region,
according to a major German Market Report issued today by Pacific Asia
Travel Association (PATA) during its Asia Business Forum in Kathmandu,
With a population of 81 million, Germany is currently the world's largest tourist-generating and spending market, and according to the PATA study, the outbound market should continue to grow. Germany's potential travelling population is conservatively estimated at 63 million -- larger than the absolute population of all countries in Europe.
More than a quarter (27 percent) of all trips abroad undertaken by Europeans originated from the German travel demand that has been fueled by a strong economy; high incomes (German workers are among the world's highest paid); a large amount of paid holidays (six weeks); the declining cost of travel; increased travel experience; and the sheer desire to travel abroad.
For the Pacific Asia region, which has been adversely impacted by a decline in regional international travel due to the economic downturn within the region, Germany offers a huge growth market for PATA destinations "said Mr. John Koldowski Director of PATA's Strategic Information Centre, based in Singapore. "Despite the size of the market and the potential for continued growth, there are some concerns including high unemployment and consumer protection legislation."
According to Mr. Koldowski, within recent times, the German economy has been pressured by slow growth, low exchange rates against the dollar and high unemployment levels.
The PATA report identifies and profiles two types of German consumers with the most potential for travel to the Pacific Asia region -- the health conscious with diverse commitment, and the dynamic and egocentric traveller. These two groups not only possess the highest travel intensities, but they are most willing to travel outside Europe. These categories also tend to be younger, with higher income and education. They look for physical exertion, culture and sights, amusement and pampering, according to Mr. Koldowski.
The report finds that sun, sea and relaxation have been, and will continue to be, the major incentives for Germans travelling abroad. However, spectacular growth in a number of special interest activities such as river rafting (833 percent), cruising (566 percent) and naturalist holidays (283 percent) is expected between 1997 and 2000.
A number of special interest markets with significance for the Asia Pacific region are identified and analysed in the report, including surfing, sailing, diving, golf, health and fitness, canoeing, cruises, fishing and hiking. There is growing interest and concern for the environment. Germans are willing to pay extra for the protection of the environment in countries they visit.
According to the PATA report, most Germans who take part in special - interest activities invariably belong to clubs, which are very important in Germany. PATA destinations would do well to utilise these clubs as channels for direct advertising, club discounts, sponsoring events, etc. in order to target special - interest market segments.
The report also goes into detail on the tough German laws that have made tour operators more liable for German travellers' holidays -- operators must deliver exactly what is promised. Germans are more likely to use a tour operator because of this guaranteed protection rather than opt for independent travel.
"Pacific Asia suppliers can benefit tremendously by being honest in the advertising message and delivering exactly what is promised," said Mr. Koldowski.
According to the PATA report, the German market is less likely to be a large source of repeat visitors, as Germans tend to visit a destination once and then move on to other locations.
The PATA German Market Report also provides a detailed listing of German special-interest tour operators, major travel trade publications, an insight into the legal hazards of doing business in Germany and guides written in German.
For more information, contact the PATA Strategic Information Centre,
138 Cecil Street, #04-01 Cecil Court, Singapore, 069538. Tel: (65) 223-7854.
Fax: (65) 225-6842. E-mail: [email protected].
|Also See:||Global Tourism Growth Slows Due to Asian Financial Crisis / PATA / Mar 1998|
|IATA Revises Forecasts for Pacific Asia Air Traffic Growth / PATA / May 1998|