Inbound operators lose confidence despite rising revenues
Confidence amongst UK inbound operators is at its lowest since September 2016, despite the fact that bookings, visitor numbers and revenue yield are on-par or higher than a year ago.
UKinbound’s Business Barometer showed that 81% of respondents saw the same or better revenue yield in July and August compared to 2016.
Also, 72% of respondents and 75% of tour operators saw bookings or visitor numbers that were similar or higher than July and August last year.
Members stated that the weakness of the pound was the main reason for the growth.
UKinbound CEO Deirdre Wells OBE said: "It’s encouraging to hear from members that July and August were positive months with regards to visitor numbers, bookings and revenue. However, I am concerned that confidence is low amongst our members about future business.
"We need continued investment in tourism, a strong narrative promoting the UK as a welcoming destination, an immigration and visa system that’s flexible to business needs and access to a skilled workforce.
"These issues need to be addressed to ensure that our members’ businesses remain successful and we will continue to work with Government to ensure they are raised and addressed at all levels."
However, one inbound operator insisted he was optimitic, despite Brexit. "At AC Tours, we certainly agree with UKInbound’s findings that bookings, visitor numbers and revenues are up; indeed we are experiencing our strongest year yet, driven by the low pound," said joint MD Malcolm Lindop.
"Yet unlike the thoughts of some of our peers, we are optimistic about the future and remain confident in the UK inbound market. The Brexit process has presented us with opportunities – our North American visitors alone are up 60% year on year with visitors staying longer and exploring further due to the greater value.
"And whilst there is uncertainty around what the post-Brexit business landscape will look like, we believe Britain will retain its appeal to international travellers. The nation’s history, culture and diverse landscapes can be combined into so many unique itineraries that whether you’re visiting for the first or tenth time, there is something to whet your appetite for exploring the British Isles.
"Tourism is a key part of the economy and as long as the Government continues to work with the industry to support and promote Great Britain as a destination, we remain optimistic about the future."
The survey showed that China and USA remain the top growth markets, while Germany replaced France as the biggest declining market.
Linsey McNeill
Editor Linsey McNeill has been writing about travel for more than three decades. Bylines include The Times, Telegraph, Observer, Guardian and Which? plus the South China Morning Post. She also shares insider tips on thetraveljournalist.co.uk
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