With world arrivals forecast to be down 50% by the end of 2020, the global travel supply chain is under immense pressure.
Faced with the reality of a global recession and new waves of the virus, countries are using innovation to accelerate recovery, according to global market research company Euromonitor International’s new report ‘Accelerating Travel Innovation after Coronavirus’.
In Europe, a strong rebound of 5% real GDP growth and a 76% increase in inbound receipts are expected in 2021. Sustainable tourism will play a big part in the recovery process, with countries looking to achieve net positive impact for local communities, especially in destinations suffering from over-tourism, like Barcelona. With a rise in nature-based activities, known for its cognitive benefits, Scotland is developing a therapeutic recovery programme to improve mental wellbeing post-lockdown.
In Asia Pacific, recovery is expected within three years—relatively quicker than Western Europe. Home to the world’s largest population of internet users, innovation in the region is already thriving, with concepts tackling various needs during lockdown, including customer journey, mobility and sustainable destination management. With mobile sales accounting for 62% of all APAC online sales this year, this trend will continue apace post pandemic. By 2025, Singapore will lead online travel sales with an average spend of USD1,200 per person a year.
In the Americas, Panama and Argentina are forecast to experience a 20% CAGR in inbound receipts in 2021-2025, ahead of the US at 12% CAGR. Digitalisation is accelerating with a wide range of technology incorporated into new travel concepts, including AI, automation, blockchain and the Internet of Things, to create a safer, more sustainable and seamless travel experience. Insights from Euromonitor show that 61% of US travel companies expect AI to impact their business in the next five years.
Countries in the Middle East are introducing new health and hygiene protocols to reassure people’s safety. Mosques in Saudi Arabia are using Ozone technology and thermal cameras for mass disinfection and temperature scanning. While, in Africa, the potential for smart connected cities is close in countries such as South Africa and Nigeria, with the acceleration in digital identity creation and rolling out 5G.
For full insights on how each region is forecast to perform alongside the latest innovation, download Euromonitor International’s report Accelerating Travel Innovation after Coronavirus.
About Euromonitor International
Euromonitor International is the world’s leading provider for global business intelligence market analysis and consumer insights. From local to global and tactical to strategic, our research solutions support decisions on how, where and when to grow your business. Find the right report, database or custom solution to validate priorities, redirect assumptions and uncover new opportunities. With offices around the world, analysts in over 100 countries, the latest data science techniques and market research on every key trend and driver, we help you make sense of global markets.
Via BUSINESS WIRE
