25 January 2010
Japan pursues Europeans
TravelMole Guest Comment by Parita Chitakasem, Euromonitor International
With more activities to attract Europe, The Japan National Tourist Organisation (JNTO) looks set to make a stronger impression on the region from 2010 onwards.
If successful, it could lead to Japan capturing a potentially large chunk of the European market in the longer term.
However, if it can maximise its campaigns over the next year or two will depend on whether it can overcome key challenges and issues which it currently faces.
The ongoing global recession remains the biggest threat to European outbound travel. Consumer sentiment is expected to become more optimistic as the outlook improves, but a delay in this could undermine growth opportunities in Japan’s visitor arrivals in the short-term.
Last year was very tough for the JNTO, as visitors from almost all of Japan’s 20 biggest source markets fell significantly, resulting in total arrivals plummeting by nearly 30% compared to 2008.
The bankruptcy of its national airline, JAL, could also disrupt travel to Japan, although the level of damage could be minimised depending on how well the government will be able to bail it out.
2010 is expected to be a slightly better, but a still challenging year.
Euromonitor International forecasts total growth of only 0.3% in Japan’s total arrivals in 2010, reflecting the continued drop in outbound travel from key markets such as South Korea, the US, and Australia.
Japan is also considered very expensive compared to other Asian countries.
With people’s price-conscious attitudes in the current economic climate, this could pose a huge barrier to JNTO’s goal in attracting Europeans. Building awareness on more lower-priced deals that can be enjoyed in Japan would be key to building its reputation of being a place of better value.
Japan has also trailed behind other Asian countries in targeting Europeans. Whilst other markets such as Cambodia, Vietnam and Thailand have successfully made their name as fascinating holiday places for Europeans to visit, Japan has remained less inviting.
Until now, its drawback was in the language barrier and lack of brochures and road signs in English, to make it one of the least tourist-friendly places in Asia.
This will go some way in making Japan much more accessible for European holiday makers. More brochures, television campaigns and other literature on visiting Japan will also ensure that people are fully aware of what is on offer and what choices are available to them.
Furthermore, whilst many Asian travellers are attracted to Japan’s cutting-edge fashion, shopping and entertainment, the JNTO will market itself to Europe as a destination rich in culture and history. With Europeans generally very drawn to culture, history, landscapes and people, this will hit a chord with several key consumer groups.
Looking ahead, there is good scope of growth for the JNTO targeting Europeans, even amidst the economic recession and other challenges.
Reaching out successfully to the region could increase Japan’s tourism revenues by at least 20% compared to its current levels and provide a springboard for Japan to compete even more strongly on the tourism front.
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Your Comments (1)
Almost all of Japan's road signs are written in Latin script (and have been for a long time). Price is definitely an issue though; Japan is perceived to be an expensive destination - compared to the South East Asia - it is. But compared to the UK - it's pretty much the same in terms of cost of living. Sam Skyscanner.net
By Sam Baldwin, Monday, January 25, 2010