Australia to gain from Asias luxury travel boom over the next 10

Australia to gain from Asias luxury travel boom over the next 10

first_imgAustralia to gain from Asia’s luxury travel boom over the next 10 yearsAustralia is in prime position to capitalise on the luxury travel boom that will sweep Asia in the next 10 years, with high-growth expected to come from China and India.According to a new Amadeus report featuring data from Tourism Economics, Asia Pacific’s luxury travel market will see faster overall growth than Europe’s from 2011 – 2025. Out of the 25 countries explored in this report, India has the highest rate of projected growth with a Compound Annual Growth Rate (CAGR) of 12.8%, closely followed by China with a CAGR of 12.2%.Australia is already seeing strong tourism growth coming from China and India. In 2015, China represented the biggest region for tourism revenue – $8.3 billion (up 45% from 2014) and visitor growth (up 22% from 2014). India followed closely behind with 19% growth in visitors and 38% growth in total expenditure1.Further, 48% of Chinese consumers2 and 41% of Indian consumer3 are considering travel to Australia in the next 4 years.Tony Carter, Managing Director at Amadeus IT Pacific said, “Because of Australia’s proximity to Asia, our world class tourism, quality infrastructure and amenities, we are in a prime position to capitalise on the luxury travel boom in the coming decade.“The key to success will come down to our understanding of luxury, and what it means to different people. Luxury travel is subjective. For one traveller, it could be a private multimillion-dollar cruise around Queensland. For another, it could be the reassurance of having their dietary requirements automatically catered for throughout their entire holiday and a bespoke designer wardrobe waiting for them in their hotel room. Curating something that appeals to them on a specific, personal level that goes above a traveller’s “norms” is key to capturing the next generation of the luxury travel market,” added Carter.Amadeus’ report found that Oceania’s own luxury market is very mature, having the highest percentage of luxury outbound trips in 2015 at 30.5%, higher than even the US at 26.2%. From 2015 – 2025, Oceania’s luxury travel will grow faster than overall travel with a CAGR of 4.1%, compared to a CAGR of 3.8% for the overall travel market. The report further finds that growth in luxury travel will outpace overall travel, spurred on by consumers’ desire for life experiences.Some key findings from the report include:We have entered a new age of luxury travel, where luxury is curated, real-time and experience-ledDriven by India’s impressive luxury market growth, South Asia’s luxury travel market will expand at a faster rate than any other region exploredChina’s relatively mature luxury market is set against a backdrop of tightening regulations and a battle against corruption. This means luxury travellers in China are more conscious about flaunting their wealthSoutheast Asia, including Singapore, Thailand and Philippines, will also see luxury travel outpace overall travelA human desire for more rewarding experiences provides an essential catalyst to evolve and improve travel industry quality and service standardsA hierarchy of luxury travel needs is identified, ranging from 5-star quality and service standards to exclusive VIP privacy and securityIn 2015, Amadeus released a report called Future Traveller Tribes 2030, which identified six traveller tribes based on consumer behaviour, recognizing that purchasing patterns change depending on the circumstances of each trip.Using similar methodology, Shaping the Future of Luxury Travel, identifies six luxury traveller tribes to help travel providers better target their luxury customer market: Always Luxury; Special Occasion; Bluxury; Cash-rich, time-poor; Strictly Opulent; and Independent Affluent. Learn more herediscover more about Japan hereSource = Amadeuslast_img read more