India highlighted for tourism growth
India has been identified as an important growing source market inbound tour operators to Europe.
A report commissioned by the European Tour Operators Association outlines the potential India represents with the number of Indians travelling abroad almost doubling to 3.9 million in the 1990s.
It identifies the country’s rapidly growing, free-market economy and GDP set to double over the next decade.
The report describes “promising fundamentals” such as a young population, 61,000 US$ millionaires, a booming stock market, flourishing software industry, and an increased ability to travel abroad.
The UK, Switzerland and Italy are the most popular destinations for Indian tourists. In 2004, Britain received 256,000 visits from India – an increase of nearly 60,000 (31%) on 2003.
The ETOA report highlights that seat capacity in direct air services from India to Europe increased by more than 250% from 1.7 million to 4.3 million and direct weekly flights from India to Europe increased by 135% from 99 to 232 from 2000 to 2005.
Competition between the larger Indian travel agencies is fierce, with aggressive marketing and tactical promotions. Meanwhile, 38 million people have access to the internet and that is set to grow. The internet is one of the few deregulated areas in a heavily regulated market.
ETOA executive director Tom Jenkins said: “There is a new cultural connection between India and Europe that reinforces the institutional legacy of long standing European influence.
“Of all the Asian economies, India has the closest identification with Europe. This is particularly the case among the elite who are the target market for European vacations. It is also true for those millions of Indians who have relatives based in Europe, for whom Europe is a second home.”
Report by Phil Davies
Phil Davies
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