Belgium: Belgium Tourism Profile
2015/02/28
Travel and tourism hampered by a still weak economy
The economic situation in Belgium remains weak. Increase of real GDP is flat and unemployment is high. This limited the increase of a lot of travel and tourism categories in 2013 as travellers remained cautious, cutting back on their travel plans in a bid to save money. Nevertheless, the majority affluent consumer group comprised those aged over 65, who as well have the time to travel.
Outbound numbers decline while domestic and inbound numbers increase
Despite a weak economic climate in the Eurozone, the number of arrivals increased slightly in 2013, mainly driven by an increase in tourism from the BRIC nations. Belgians preferred to take domestic rather than outbound trips due to remaining cautious with their spending. Belgium offers a varied range of options for both domestic and inbound tourists as the country has beaches in the west, hills in the east and a lot of large cities with historic centres and cultural activities and events.
Internet revolution impacts the industry
Online travel sales have recorded double-digit increase rates in recent years. The internet has as well revolutionised the way in which consumers make their travel decisions. Web-based marketing campaigns have become an increasingly significant means of promoting destinations and services. Social networking websites provide forums for travellers to discuss the places they have visited. In addition, additional and additional people are booking online. Thus, technology is assuming increasing importance in companies’ strategies and priorities.
Air travel drives the increase of transportation
Air travel is a major driver of increase in transportation and in 2013 price sales exceeded those seen before the economic downturn, with air travel registering positive increase. Air travel took a huge knock in 2009 at the same time as the world recession as well hit Belgium, but it saw very positive development in the two years that followed. A growing number of routes are being offered from Brussels Zaventem Airport, not only from flag carrier Brussels Airlines, which has added additional intercontinental routes, but as well from low-cost carriers such as Vueling and Ryanair.
Modest increase the majority likely scenario
The expectations are that most travel and tourism categories will see modest increase over the estimate period. It is likely that Belgian travellers will remain cautious with their spending, and will be careful at the same time as selecting travel products and services. The reason for this is that the economic situation could remain unstable due to the threat of a new recession. Spending cuts and higher taxes may be necessary measures for the Belgian government to take in order to fasten the economy, which would limit the spending power of Belgians over the estimate period. This would naturally as well limit the increase potential of most travel and tourism categories.
Travel and tourism in Belgium still affected by the economic crisis in 2010
The slowdown in travel and tourism in Belgium started at the end of 2008, owing to the onset of the world economic downturn. In 2009, there was a decrease in number of trips in arrivals due to a decrease in both business and leisure visitors to Belgium. In 2010, there were modest signs of economic recovery but this failed to prompt significant recovery in travel and tourism.
Decreased request for inbound and outbound travel benefits domestic tourism
Economic uncertainty was the major reason for the slowdown in increase in number of trips of arrivals and departures and for the positive increase in number of trips of domestic tourism in 2010. As the unemployment rate increased, the purchasing power of consumers came under pressure. In addition, the political situation in Belgium remained unclear, as a result of which a lot of consumers decided to remain close to home. Belgians therefore opted to continue to take holidays but to reduce their costs by choosing to take holidays within Belgium.
Hotels continues to struggle in 2010
Hotels in Belgium was hit hard by the economic crisis. The category suffered a significant slowdown in retail price increase in 2009 and this continued in 2010. However, the slowdown in 2010 was not as dramatic as in 2009. Business arrivals started to show signs of recovery in 2009 which helped to limit the negative impact on hotels. On the other hand, a lot of hotels faced continued occupancy issues, particularly luxury hotels, in 2010.
Tourist attractions profit from increase of domestic tourism
The downturn in the economy had a positive impact on the performance of tourist attractions in 2010 as visitor numbers continued to increase as did retail price sales. The major reason for this was the continued shift from outbound travel to domestic tourism category which performed particularly well was theme/amusement parks as this was the majority popular form of tourist attraction in Belgium in 2010 and it recorded the fastest increase in visitor numbers major reason for the strong increase of theme/amusement parks is that a lot of families decided to take fewer holidays in 2010 because of the uncertainty surrounding the economy and thus they decided to take day trips to theme /amusement parks instead.
Travel and tourism expected to recover slowly
Travel and tourism in Belgium is expected to witness a return to positive increase in 2011. However, Belgian consumers are expected to remain cautious with regard to their holiday budgets. As well, the increase of travel and tourism is expected to remain modest, at least over the initial half of the estimate period, due to the fragile national of the Belgian economy and the low level of consumer confidence.
Analyse of the sector 25/11/2010
Crisis affects travel and tourism in Belgium
Leisure tourism fared better than business
Low cost carriers outperform schedule carriers
Demand for hotels falls strongly
A slow recovery
- Belgium News
-
- AFGHANISTAN: UNWTO: International tourism – strongest half-year results since 2010
- ALBANIA: US LNG exports make European market more competitive
- BELGIUM: Belgium Consumer Confidence Unchanged In August
- BELGIUM: Brussels Tourism launches its first Urban Culture Guide
- AFGHANISTAN: Higher earning Why a university degree is worth more in some countries than others
- BELGIUM: Belgium green lights unchanged Ceta
- Trending Articles
-
- CHINA: China welcomes Guinea to take part in Belt and Road Initiative
- CAMEROON: Poor End of Year Results for Cameroon Students
- AUSTRALIA: Queensland Bauxite Gains State Approval of Mineral Development Work Program
- CHINA: Chinese-supported infrastructure projects change Zambia's landscape
- UNITED STATES: Spotify, Hulu target students with discounted bundle
- UGANDA: Ugandan Govt Starts Verifying International Academy Teachers