Travel and Tourism in The Philippines To 2017
Travel and Tourism in The Philippines To 2017
Travel and Tourism in The Philippines To 2017
Philippines to 2017
www.timetric.com
© Timetric. This product is licensed and is not to be photocopied Published: August 2013
EXECUTIVE SUMMARY
1 EXECUTIVE SUMMARY
The travel and tourism sector in the Philippines recorded significant growth during the review
period. Tourism flourished, with a significant increase in domestic and international tourist
volumes, primarily due to the Department of Tourism’s (DOT) continuous efforts to promote
the Philippines as a key tourist destination in the Asia-Pacific region. Prioritization of the
sector also led to an increase in investment on tourism infrastructure and the government is
aiming to improve transportation infrastructure in the country during the forecast period.
During the review period, domestic tourist volume increased at a CAGR of XX.XX%, from XX.XX
million trips in 2008 to XX.XX million trips in 2012. This growth is expected to continue over the
forecast period with domestic tourist volume reaching XX.XX million by 2017, driven by strong
economic growth, infrastructure development, increasing flight frequencies and government
initiatives to promote tourism.
Inbound tourist volumes rose from XX.XX million in 2008 to XX.XX million in 2012, at a review-
period CAGR of XX.XX%. Government initiatives such as infrastructure development and tourism
promotion are expected to drive continued growth over the forecast period with a CAGR of
XX.XX%.
Air capacity increased at a CAGR of XX.XX% during the review period, led by growth in the low-
cost carrier capacity which increased at a CAGR of XX.XX% during the same period.
In line with the steady rise in tourist volumes over the forecast period, the Philippine hotel market’s
total revenue is expected to increase at a CAGR of XX.XX% to reach PHPXX.XX billion
(US$XX.XX billion) in 2017.
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EXECUTIVE SUMMARY
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TABLE OF CONTENTS
TABLE OF CONTENTS
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TABLE OF CONTENTS
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TABLE OF CONTENTS
© Timetric. This product is licensed and is not to be photocopied Published: August 2013
TABLE OF CONTENTS
© Timetric. This product is licensed and is not to be photocopied Published: August 2013
TABLE OF CONTENTS
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LIST OF TABLES
LIST OF TABLES
Table 1: Philippines – Tourist Arrivals from Top-10 Countries (Thousand), 2008–2017 .........................................................................................................25
Table 2: Philippines – Tourist Departures to Top-10 Countries (Thousand), 2008–2017 .......................................................................................................25
Table 3: Philippine Tourism Promotions Board – Key Facts and Locations ............................................................................................................................34
Table 4: Ninoy Aquino International Airport, Manila − Overview ..............................................................................................................................................35
Table 5: Mactan-Cebu International Airport, Cebu − Overview ................................................................................................................................................35
Table 6: Clark International Airport, Luzon Island – Overview .................................................................................................................................................36
Table 7: Philippine Airlines, Inc., Key Facts ..............................................................................................................................................................................37
Table 8: Philippine Airlines, Inc., Main Services .......................................................................................................................................................................37
Table 9: Philippine Airlines, Inc., Key Employees .....................................................................................................................................................................38
Table 10: Cebu Air, Inc., Key Facts ...........................................................................................................................................................................................39
Table 11: Cebu Air, Inc., Main Services ....................................................................................................................................................................................40
Table 12: Cebu Air, Inc. History .................................................................................................................................................................................................41
Table 13: Cebu Air, Inc., Key Employees ..................................................................................................................................................................................45
Table 14: Zest Airways Inc., Key Facts .....................................................................................................................................................................................46
Table 15: Zest Airways Inc., Main Services ..............................................................................................................................................................................46
Table 16: Zest Airways Inc., Key Employees ............................................................................................................................................................................47
Table 17: South East Asian Airlines, Inc., Key Facts ................................................................................................................................................................48
Table 18: South East Asian Airlines, Inc., Main Services .........................................................................................................................................................48
Table 19: South East Asian Airlines, Inc., Key Employees.......................................................................................................................................................48
Table 20: PAL Express, Key Facts ............................................................................................................................................................................................49
Table 21: PAL Express, Main Services .....................................................................................................................................................................................49
Table 22: PAL Express, Key Employees ...................................................................................................................................................................................49
Table 23: Shangri-La Hotels and Resorts Philippines, Key Facts ............................................................................................................................................50
Table 24: Shangri-La Hotels and Resorts Philippines, Main Services .....................................................................................................................................50
Table 25: Shangri-La Hotels and Resorts Philippines, Key Employees...................................................................................................................................51
Table 26: Hyatt Hotels & Resorts Philippines, Key Facts .........................................................................................................................................................52
Table 27: Hyatt Hotels & Resorts Philippines, Main Services ..................................................................................................................................................52
Table 28: Hyatt Hotels & Resorts Philippines, Key Employees ................................................................................................................................................52
Table 29: Pan Pacific Manila, Key Facts ...................................................................................................................................................................................53
Table 30: Pan Pacific Manila, Main Services ............................................................................................................................................................................53
Table 31: Pan Pacific Manila, Key Employees ..........................................................................................................................................................................53
Table 32: Crowne Plaza Manila Galleria, Key Facts .................................................................................................................................................................54
Table 33: Crowne Plaza Manila Galleria, Main Services ..........................................................................................................................................................54
Table 34: Crowne Plaza Manila Galleria, Key Employees .......................................................................................................................................................54
Table 35: Sofitel Philippine Plaza Manila, Key Facts ................................................................................................................................................................55
Table 36: Sofitel Philippine Plaza Manila – Main Services .......................................................................................................................................................55
Table 37: Sofitel Philippine Plaza Manila, Key Employees.......................................................................................................................................................55
Table 38: Avis Philippines, Key Facts........................................................................................................................................................................................56
Table 39: Avis Philippines, Main Services .................................................................................................................................................................................56
Table 40: Avis Philippines, Key Employees ..............................................................................................................................................................................57
Table 41: Hertz Rent a Car (Philippines), Key Facts ................................................................................................................................................................58
Table 42: Hertz Rent a Car (Philippines), Main Services .........................................................................................................................................................58
Table 43: Hertz Rent a Car (Philippines), Key Employee .........................................................................................................................................................58
Table 44: Europcar Philippines, Key Facts ...............................................................................................................................................................................59
Table 45: Europcar Philippines, Main Services .........................................................................................................................................................................59
Table 46: Europcar Philippines, Key Employees ......................................................................................................................................................................59
Table 47: Gemini Transport Services, Inc., Key Facts..............................................................................................................................................................60
Table 48: Gemini Transport Services, Inc., Main Services .......................................................................................................................................................60
Table 49: Gemini Transport Services, Inc., Key Employees ....................................................................................................................................................60
Table 50: Filcar Transport Services Inc., Key Facts .................................................................................................................................................................61
Table 51: Filcar Transport Services Inc., Main Services...........................................................................................................................................................61
Table 52: Filcar Transport Services Inc., Key Employees ........................................................................................................................................................61
Table 53: Blue Horizons Travel & Tours, Inc, Key Facts ..........................................................................................................................................................62
Table 54: Blue Horizons Travel & Tours, Inc, Main Services ...................................................................................................................................................62
Table 55: Blue Horizons Travel & Tours, Inc, Key Employees .................................................................................................................................................63
Table 56: Uni-Orient Travel, Inc., Key Facts .............................................................................................................................................................................64
Table 57: Uni-Orient Travel, Inc., Main Services ......................................................................................................................................................................64
Table 58: Uni-Orient Travel, Inc., Key Employees ....................................................................................................................................................................65
Table 59: WOW Philippines Travel Agency, Inc., Key Facts ....................................................................................................................................................66
Table 60: WOW Philippines Travel Agency, Inc., Main Services .............................................................................................................................................66
Table 61: WOW Philippines Travel Agency, Inc., Key Employees ...........................................................................................................................................67
Table 62: Sharp Travel Service (Phils) Inc., Key Facts ............................................................................................................................................................68
Table 63: Sharp Travel Service (Phils) Inc., Main Services......................................................................................................................................................68
Table 64: Sharp Travel Service (Phils) Inc., Key Employee .....................................................................................................................................................69
Table 65: Fiesta Tours and Travel, Key Facts ..........................................................................................................................................................................70
Table 66: Fiesta Tours and Travel, Main Services....................................................................................................................................................................70
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LIST OF TABLES
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LIST OF FIGURES
LIST OF FIGURES
Figure 1: Philippines – Tourism Expenditure (US$ Billion), 2008–2017 ....................................................................................................................................3
Figure 2: Philippines – Key Ratios (%), 2008–2017 ...................................................................................................................................................................3
Figure 3: Philippines – Economic Outlook, 2008–2017 ............................................................................................................................................................13
Figure 4: Philippines – Length of Stay in Metro Manila, 2010–2012 ........................................................................................................................................15
Figure 5: Philippines – Occupancy Rates in Metro Manila, 2010–2012...................................................................................................................................15
Figure 6: Philippines – Consumer Price Index (% ann), 2007–2013........................................................................................................................................15
Figure 7: SWOT Analysis of the Travel and Tourism Sector in Philippines .............................................................................................................................16
Figure 8: Philippines – Population, 2007–2017 .........................................................................................................................................................................20
Figure 9: Philippines – Domestic Tourism Expenditure (PHP Billion), 2008–2017..................................................................................................................24
Figure 10: Philippines – International Arrivals by Purpose of Visit (Thousand), 2008–2017 ..................................................................................................24
Figure 11: Philippines – International Departures by Destination (Thousand), 2008–2017 ....................................................................................................24
Figure 12: Philippines – Seats Sold vs Seats Available (Million), 2008–2017 .........................................................................................................................27
Figure 13: Philippines – Available Passenger Kilometers (Billion), 2008–2017 ......................................................................................................................27
Figure 14: Philippines – Load Factor (%) and Revenue per Passenger (PHP), 2008–2017 ..................................................................................................27
Figure 15: Philippines – Room Nights Available (Million) and Revenue per Available Room (PHP), 2008–2017 .................................................................29
Figure 16: Philippines – Room Occupancy Rates (%), 2008–2017 .........................................................................................................................................29
Figure 17: Philippines – Total Hotel Revenue (PHP Million), 2008–2017 ................................................................................................................................29
Figure 18: Philippines – Fleet Size (Actual) and Number of Rentals (Million), 2008–2017 .....................................................................................................31
Figure 19: Philippines – Car Rental Value by Rental Type and Location (PHP Million), 2008–2017 .....................................................................................31
Figure 20: Philippines – Average Revenue per Day (PHP), 2008–2017 .................................................................................................................................31
Figure 21: Philippines – Travel Intermediaries Market Value by Channel (PHP Billion), 2008–2017 .....................................................................................33
Figure 22: Philippines – Market Value through Online Channel (PHP Million), 2008–2017....................................................................................................33
Figure 23: Philippines – Travel Agents Market Value (PHP Billion), 2008–2017 ....................................................................................................................33
Figure 24: Philippines – Sample Marketing Material .................................................................................................................................................................34
Figure 25: Philippines – Total Tourism Output by Category (PHP Billion), 2008–2017 ..........................................................................................................73
Figure 26: Philippines – Direct Tourism Output by Category (PHP Billion), 2008–2017 .........................................................................................................74
Figure 27: Philippines – Indirect Tourism Output by Category (PHP Billion), 2008–2017 ......................................................................................................75
Figure 28: Philippines – Total Tourism Output Generated per Employee by Category (PHP Thousand), 2008–2017 .........................................................76
Figure 29: Philippines – Direct Tourism Output Generated per Employee by Category (PHP Thousand), 2008–2017 ........................................................77
Figure 30: Philippines – Indirect Tourism Output Generated per Employee by Category (PHP Thousand), 2008–2017 .....................................................78
Figure 31: Philippines – Total Tourism Employment by Category (Thousand), 2008–2017 ...................................................................................................79
Figure 32: Philippines – Direct Tourism Employment by Category (Thousand), 2008–2017 .................................................................................................80
Figure 33: Philippines – Indirect Tourism Employment by Category (Thousand), 2008–2017 ...............................................................................................81
Figure 34: Philippines – Average Salary per Employee by Category (PHP), 2008–2017 .......................................................................................................82
Figure 35: Philippines – Total Gross Income Generated by Total Tourism Employment by Category (PHP Million), 2008–2017 .......................................83
Figure 36: Philippines – Number of Trips by Purpose (Million), 2008–2017 ............................................................................................................................84
Figure 37: Philippines – Overnight Stays (Million), 2008–2017 ................................................................................................................................................85
Figure 38: Philippines – Total Domestic Tourism Expenditure by Category (PHP Billion), 2008–2017 .................................................................................86
Figure 39: Philippines – Average Expenditure per Domestic Tourist by Category (PHP), 2008–2017 ..................................................................................87
Figure 40: Philippines – International Arrivals by Region (Thousand), 2008–2017 .................................................................................................................88
Figure 41: Philippines – International Arrivals by Purpose of Visit (Thousand), 2008–2017 ..................................................................................................89
Figure 42: Philippines – Total Inbound Tourism Expenditure by Category (PHP Billion), 2008–2017 ...................................................................................90
Figure 43: Philippines – Average Expenditure per Inbound Tourist by Category (PHP), 2008–2017 ....................................................................................91
Figure 44: Philippines – International Departures by Region (Thousand), 2008–2017 ...........................................................................................................92
Figure 45: Philippines – International Departures by Purpose of Visit (Thousand), 2008–2017 ............................................................................................93
Figure 46: Philippines – Overnight Stays (Million), 2008–2017 ................................................................................................................................................94
Figure 47: Philippines – Total Outbound Tourism Expenditure by Category (PHP Billion), 2008–2017 ................................................................................95
Figure 48: Philippines – Average Outbound Expenditure per Resident by Category (PHP), 2008–2017 ..............................................................................96
Figure 49: Philippines – Seats Available by Carrier Type (Million), 2008–2017 ......................................................................................................................97
Figure 50: Philippines – Seats Sold by Carrier Type – Business Travel (Thousand), 2008–2017 .........................................................................................98
Figure 51: Philippines – Seats Sold by Carrier Type – Leisure Travel (Thousand), 2008–2017 ............................................................................................99
Figure 52: Philippines – Load Factor by Carrier Type (%), 2008–2017 .................................................................................................................................100
Figure 53: Philippines – Passenger Kilometers Available by Carrier Type (Billion), 2008–2017 ..........................................................................................101
Figure 54: Philippines – Revenue-Generating Passenger Kilometers by Carrier Type (Billion), 2008–2017.......................................................................102
Figure 55: Philippines – Revenue per Passenger by Carrier Type (PHP), 2008–2017 ........................................................................................................103
Figure 56: Philippines – Total Revenue by Carrier Type (PHP Billion), 2008–2017 .............................................................................................................104
Figure 57: Philippines – Establishments by Category (Actual), 2008–2017 ..........................................................................................................................105
Figure 58: Philippines – Available Hotel Rooms by Hotel Category (Thousand), 2008–2017 ..............................................................................................106
Figure 59: Philippines – Room Occupancy Rate by Hotel Category (%), 2008–2017 ..........................................................................................................107
Figure 60: Philippines – Room Nights Available by Hotel Category (Million), 2008–2017 ....................................................................................................108
Figure 61: Philippines – Room Nights Occupied by Hotel Category (Million), 2008–2017 ...................................................................................................109
Figure 62: Philippines – Average Revenue per Available Room by Hotel Category (PHP), 2008–2017 .............................................................................110
Figure 63: Philippines – Revenue per Occupied Room by Hotel Category (PHP), 2008–2017............................................................................................111
Figure 64: Philippines – Total Revenue per Available Room by Hotel Category (PHP), 2008–2017 ...................................................................................112
Figure 65: Philippines – Total Revenue by Hotel Category (PHP Billion), 2008–2017 .........................................................................................................113
Figure 66: Philippines – Guests by Hotel Category (Thousand), 2008–2017 ........................................................................................................................114
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LIST OF FIGURES
Figure 67: Philippines – Market Value by Customer Type and Rental Location (PHP Million), 2008–2017 ........................................................................115
Figure 68: Philippines – Fleet Size (Actual), 2008–2017 ........................................................................................................................................................116
Figure 69: Philippines – Rental Occasions (Million), 2008–2017 ...........................................................................................................................................117
Figure 70: Philippines – Rental Days (Million) vs Average Rental Length (Days), 2008–2017 ............................................................................................118
Figure 71: Philippines – Market Utilization Rate (%), 2008–2017 ..........................................................................................................................................119
Figure 72: Philippines – Car Rental Average Revenue per Day (PHP), 2008–2017 .............................................................................................................120
Figure 73: Philippines – Travel Intermediaries Market Value by Product Type (PHP Billion), 2008–2017 ..........................................................................121
Figure 74: Philippines – Travel Intermediaries Online Revenues by Provider (PHP Million), 2008–2017 ...........................................................................122
Figure 75: Philippines – Travel Intermediaries Online Revenues by Type of Tourist (PHP Billion), 2008–2017 .................................................................123
Figure 76: Philippines – Travel Intermediaries In-Store Revenues by Provider (PHP Billion), 2008–2017 ..........................................................................124
Figure 77: Philippines – Travel Intermediaries In-Store Revenues by Type of Tourist (PHP Billion), 2008–2017 ...............................................................125
Figure 78: Philippines – Travel Agent Revenues from Domestic Tourism by Sales Channel (PHP Billion), 2008–2017 ....................................................126
Figure 79: Philippines – Travel Agent Revenues from International Tourism by Sales Channel (PHP Billion), 2008–2017 ...............................................127
Figure 80: Philippines – Tour Operator Revenues from Domestic Tourism by Sales Channel (PHP Million), 2008–2017 .................................................128
Figure 81: Philippines – Tour Operator Revenues from International Tourism by Sales Channel (PHP Billion), 2008–2017 .............................................129
Figure 82: Philippines – Other Intermediaries Revenues from Domestic Tourism by Sales Channel (PHP Million), 2008–2017 .......................................130
Figure 83: Philippines – Other Intermediaries Revenues from International Tourism by Sales Channel (PHP Million), 2008–2017 ..................................131
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TOURISM FLOWS
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TOURISM FLOWS
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
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APPENDIX
2 APPENDIX
2.1 What is this Report About?
This report is the result of extensive research into the travel and tourism sector in the Philippines,
covering its dynamics and competitive landscape. It provides insights into the market size and forecast
for the travel and tourism sector, and includes analysis and insight on key tourism-related subjects
such as airports, popular destinations, and national tourist boards. It also includes an overview of the
leading companies in the travel and tourism sector, and details of strategic initiatives undertaken by
them.
2.2 Definitions
All data is collected in local currency. To avoid distortions due to currency fluctuations, all conversions
into US dollars, of current, historical and forecast data alike, are made with a yearly average exchange
rate. All values in tables, with the exception of compound annual growth rates (CAGRs) are displayed
to one decimal place. Growth rates may, therefore, appear inconsistent with absolute values due to
this rounding method.
The key market categories featured in the report are defined below:
Tourism demand factors Factors that influence time and money spent on tourism. Typical factors
include the amount of holiday leave available to the average employee in
the country, and mean household income.
Annual employee holiday entitlement The number of days the average resident of a country will accrue annually
through entitled holidays, including annual leave and public holidays.
Public holidays are statutory holidays to which a country’s residents are
entitled.
Domestic trip A trip taken to a destination within the traveler’s country of residence.
International trip A trip taken to a destination outside the traveler’s country of residence.
Trips taken by season The number of trips undertaken by the residents of a country (both
domestic and international), segmented into four quarters: January–
March, April–June, July–September and October–December.
Number of trips by residents The number of trips undertaken by the residents of a country, segmented
by domestic and international trips.
Average length of trip The average number of nights spent by the residents of a country,
segmented by domestic and international trips.
Tourism flow factors Factors that influence the flow of tourists from one location to another.
Number of overnight stays The total number of nights spent by the residents of a country on all trips
during a given year.
International arrivals The number of foreign nationals entering a country. For example, a
person from Canada who visits France would be an international arrival to
France.
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APPENDIX
Leisure trips Trips for holidaying, recreation, or visits to friends and relatives.
Business trips Trips involving business as the primary purpose. This includes trips for
meetings, incentives, conventions and exhibitions (MICE) purposes,
events and conferences.
Other trips Trips for purposes other than leisure or business, such as education,
sports or pilgrimage.
International departures The total number of citizens leaving their home country and arriving in
other countries. This will be higher than the total number of citizens
leaving their home country, as a traveler might travel to more than one
country.
Domestic tourist expenditure Expenditure on tourism commodities during trips within national borders
by citizens of a country. This spending is categorized into accommodation,
sightseeing and entertainment, food service, retail transportation, travel
intermediation, and others, which include travel insurance and equipment
rental.
Accommodation The total direct spending on accommodation by inbound, domestic and
outbound tourists within a single economy.
Sightseeing and entertainment The total direct spending on sightseeing and entertainment by inbound,
domestic and outbound tourists within a single economy
Foodservice The total direct spending on food and beverages from foodservice outlets
by inbound, domestic and outbound tourists within a single economy.
Retail The total direct spending in retail outlets by inbound, domestic and
outbound tourists within a single economy.
Transportation The total direct spending on transportation by inbound, domestic and
outbound tourists within a single economy.
Travel intermediation The total direct spending via travel intermediaries by inbound, domestic
and outbound tourists within a single economy.
Other categories The total direct spending within all other categories by inbound, domestic
and outbound tourists within a single economy.
Inbound tourist expenditure Expenditure on travel and tourism commodities by international visitors
within a country. This spending is categorized into accommodation,
sightseeing and entertainment, food service, retail, transportation, travel
intermediation and others, which include travel insurance and equipment
rental.
Outbound tourist expenditure The total expenditure by the residents of a country for the purpose of, and
during, international tourism trips, irrespective of whether these
transactions involve domestic or international providers. This spending is
categorized by various categories such as accommodation, sightseeing
and entertainment, food service, retail, transportation, travel
intermediation and others which include travel insurance and equipment
rental.
Tourism balance of payments The difference between the expenditure of a country’s inbound and
outbound tourists with international tourism commodities providers.
Direct tourism output The total direct spending by inbound, domestic and outbound tourists
within a single economy, segmented by categories such as
accommodation or sightseeing and entertainment. Direct tourism output
represents all output consumed directly by visitors.
Indirect tourism output All output used as inputs in the process of producing direct tourism output.
Examples include toiletries for hotel guests and local entertainment for
hotels.
Indirect tourism employment All jobs where workers are engaged in the production of indirect tourism-
related output, for example, output which is used as an input in the
process of producing direct tourism output. For example, people employed
for local entertainment in hotels generate an indirect output which will be
used as an input for the accommodation industry, a direct tourism output.
Direct tourism employment All jobs where workers are engaged in the production of direct tourism
output.
Total tourism output The sum of the value of goods and services purchased by tourists and
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APPENDIX
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APPENDIX
Charter airlines An airline hired by a group or single customer for leisure or business
purposes, or as an air ambulance, and flies outside normal schedules.
Airlines classified as non-scheduled by civil aviation organizations fall into
this category.
Number of seats available The number of seats available for purchase on all the airlines operating in
a country, for example, both national and foreign carriers operating on
domestic and international routes.
Number of seats sold The number of seats sold to revenue passengers by all the airlines
operating in a country in a year.
Hotels Establishments that provide paid lodging and full guest services, typically
with a continuous staff presence. In the case of motels, this includes off-
street parking facilities but not necessarily meal services.
Budget hotels Includes hotels that are considered to be budget accommodation, or have
a one- or two-star rating, providing accommodation on a short-term basis
at relatively low prices.
Midscale hotels Includes hotels with a three-star rating. These hotels provide more
facilities and comfort than budget hotels, and their services are charged at
higher prices.
Upscale hotels Includes hotels with a four star rating. Upscale hotels include both
traditional full-service hotels and smaller select-service hotels with
comfortable accommodation at higher prices than midscale hotels.
Luxury hotels Includes hotels with a five-star rating or higher. Luxury hotels provide top
quality accommodation, with a combination of high-class facilities and
style, typically at much higher prices than standard hotels.
Number of rooms The total number of rooms available in all hotel accommodation
establishments in a country in a year.
Room occupancy rate The percentage of available rooms sold during a given period.
Revenue per available room A measure of financial performance in the hospitality industry. It is the
ratio of total room revenue to total rooms available. Average room rates
and occupancy can also be used to calculate revenue per available room.
Total room revenue The room rent that a guest pays for the occupied room.
Total non-room revenue Revenue earned by hotels other than the room rent. It includes revenue
from food and beverages, telecommunications, health and leisure
operations, and car rentals.
Number of guests Guest numbers in all hotel accommodation establishments in a country in
a year.
Business guests The annual number of guests arriving in hotel accommodation
establishments for business purposes.
Leisure guests The annual number of guests arriving in hotel accommodation
establishments for leisure purposes.
Car rental Car rental is the hiring of a motor vehicle from one party to another.
Business rentals Annual revenue generated through car rentals under negotiated
contractual agreements between businesses and a rental company,
Leisure rentals Annual revenue generated through car rentals directly to customers.
Airport rentals by leisure customers Annual car rental revenue generated through direct customer rentals to
and from an airport.
Airport rentals by business customers Revenue generated through car rentals by business customers from an
airport under negotiated contractual agreements between the employers
and the rental company.
Non-airport rentals Annual car rental revenue generated through direct customer rentals at
locations other than airports.
Non-airport rentals by business customers Revenue generated through car rentals by business customers at
locations other than airports under negotiated contractual agreements
between the employers and the rental company.
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APPENDIX
Insurance replacement The revenue generated by car rental firms through customers hiring
vehicles through insurance and leasing companies, repair shops or
dealerships with which car rental companies have a contractual
relationship.
Fleet size The number of times rental cars are hired out.
Number of rental occasions The number of times rental cars are rented out.
Rental days The total number of days all cars in the fleet are rented. It is calculated by
multiplying the total fleet size by the average number of days per year
during which a car is rented.
Average rental length The average duration of a car rental.
Utilization rate The ratio of the number of rental days to total number of days for which
cars could be actually rented during the year.
Average revenue per day The ratio of car rental revenue to the total number of rental days in a year.
Travel intermediaries Part of a business that assists in selling travel products and services to
customers. The products may include airline tickets, car rentals, hotels,
railway tickets and package holidays that may combine several products.
Accommodation only Total revenue generated by intermediaries exclusively through
accommodation bookings.
Travel only Total revenue generated by intermediaries exclusively through travel
bookings.
Car rental only Total revenue generated by intermediaries exclusively through car rental
bookings.
Tourism packages A combination of tourism products or services, such as accommodation,
travel bookings and car rental bundled together by a tour operator.
Experiential travel Travel packages offering a holistic experience for travellers who want to
go beyond the beaten tourist paths and learn about cultural and social
aspects of a country or a place.
Other products Revenue generated by travel intermediaries from travel products and
services that are not classified above.
Travel agents Businesses that sell travel-related products and services to both leisure
and business customers on behalf of suppliers such as tour operators.
These may include package holidays, sightseeing tours, airline tickets,
hotel accommodation, cruise bookings, car rentals, rail travel and travel
insurance. Some travel agents also serve as sales agents for international
travel companies.
Tour operators Tour operators typically combine two or more travel services, such as
transport, sightseeing, accommodation, food and entertainment, and sell
them either directly to customers or through travel agents as a single
product, called a package tour, for a single price.
Other providers Any part of the value chain between the direct supplier and traveler
(customer), which is not classified as a travel agent or a tour operator.
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APPENDIX
2.3 Methodology
Timetric’s dedicated research and analysis teams consist of experienced professionals with industry
backgrounds in marketing, market research, consulting and advanced statistical expertise.
Timetric adheres to the Codes of Practice of the Market Research Society (www.mrs.org.uk) and the
Society of Competitive Intelligence Professionals (www.scip.org).
All travel and tourism reports are created by following a comprehensive, four-stage methodology. This
includes market study, research, analysis and quality control.
1) Market Study
A. Standardization
Definitions are specified using recognized industry classifications. The same definition is used for
every country. Annual average currency exchange rates are used for the latest completed year. These
are then applied across both the historical and forecast data to remove exchange rate fluctuations.
B. Internal Audit
Review of in-house databases to gather existing data:
o Historic market databases and reports
o Company database
C. Trend monitoring
Review of the latest travel and tourism companies and industry trends
2) Research
A. Sources
Collection of the latest market-specific data from a wide variety of industry sources:
o Government statistics
o Industry associations
o Company filings
o International organizations
o Travel and tourism agencies
B. Expert opinion
Collation of opinion taken from leading travel and tourism industry experts
Analysis of third-party opinion and forecasts:
o Broker reports
o Media
o Official government sources
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APPENDIX
3) Analysis
A. Market forecasts
Feeding forecast data into market models:
o Macroeconomic indicators
o Industry-specific drivers
Analysis of travel and tourism industry database to identify trends:
o Latest travel and tourism trends
o Key drivers of the travel and tourism industry
B. Report writing
Analysis of market data
Discussion of company and industry trends and issues
Review of financial deals and travel and tourism trends
4) Quality Control
A. Templates
Detailed process manuals
Standardized report templates and accompanying style guides
Complex forecasting tools to ensure that forecast methodologies are applied consistently
Quality-control checklists
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APPENDIX
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benefit from better, timelier decisions.
Timetric provides:
High-quality data including proprietary, specialized industry data, survey-based research, social
media monitoring, macroeconomic data and forecasts
Expert analysis from experienced economists and analysts, who use robust proprietary models,
indices and forecasts
Powerful proprietary visualization and workflow technologies developed over years of extensive
investment
Timetric has office locations in London, New York, San Francisco, Hyderabad, Seoul, Singapore and
Sydney. It employs 500 people, including 150 analysts and economists, and 200 professional
researchers.
Intelligence Centers
Timetric’s industry intelligence centers are premium web-based services that provide access to
interactive tools, comprehensive research and expert analysis in key sectors. They provide invaluable
decision support presented in an easily digestible format and grounded in deep research.
© Timetric. This product is licensed and is not to be photocopied Published: August 2013
APPENDIX
Briefing Services
Timetric offers a range of briefing services, which offer cutting-edge thought leadership and expert
commentary on and for the financial services industries. Driven by influential and respected editorial
teams with years of experience in their respective fields, these services deliver need-to-know insight
and analysis to decision makers across the financial services value chain.
Consultancy
Timetric specializes in the development and delivery of innovative research solutions that are
designed to provide competitive advantage and profitability to clients.
Dedicated industry analysts and economists provide expert advice and actionable recommendations
underpinned by Timetric’s market and country knowledge, experience and proprietary databases,
panels and research infrastructure.
For projects requiring quantitative data, Timetric undertakes special research projects using its in-
house panels and survey technology. These provide ready access to an extensive source of specialist
business executives and consumers.
Quantitative Research
Timetric connects with thousands of potential customers for various markets every day. Using
sophisticated, interactive and highly engaging graphical surveys, research speed is increased and
costs reduced, while ensuring that respondents deliver the insight needed.
Qualitative Research
Timetric’s Qualitative Research service helps customers understand the emotional and cultural
behaviors of a target audience. Timetric provides unique access through market-leading publications
and information services to decision makers specifically brought together to discuss topics that are
important to the client.
Technology Solutions
Timetric has built a unique technological platform to collect and visualize data, and employs some of
the world’s leading experts on data collection and visualization. Through technology and software
consulting services, Timetric can provide clients with the means to gather and visualize the data the
client has, or wants to collect.
© Timetric. This product is licensed and is not to be photocopied Published: August 2013
APPENDIX
2.7 Disclaimer
No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form
by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior
permission of the publisher, Timetric.
The facts of this report are believed to be correct at the time of publication but cannot be guaranteed.
Please note that the findings, conclusions and recommendations that Timetric delivers will be based
on information gathered in good faith from both primary and secondary sources, whose accuracy we
are not always in a position to guarantee. Timetric will accept no liability whatsoever for actions taken
based on any information that may subsequently prove to be incorrect.
© Timetric. This product is licensed and is not to be photocopied Published: August 2013