Study on Latin American Outbound Travel
Expert survey with the Argentinean travel trade
The main findings of the expert interviews carried out with representatives of 10 Argentinean tour operators, 30 Argentinean travel agencies and 4 airlines can be summarized as follows:
According to the Argentinean travel trade surveyed, the sales of trips to Europe are based on two segments: leisure trips and business trips. The first represents an average of 75% of trips, while the second reaches an average of 25%.
Concerning the profile of the tourists that travel to Europe, it is observed that people with a higher average annual income, higher educational level and that are of the age range between 31 and 49 years old stand out.
The development of the market for trips to Europe during the last three years has shown an increase in the total sales. According to the travel trade surveyed, 1999 was a difficult year due to the recession and to the fact that since it was an election year, there were some doubts about the conversion plan’s continuity. However, the decrease in air tariffs and the credit plans put Europe within everyone’s reach. The number of business trips also grew, due to the fact that many private companies are owned by Europeans, especially Spanish.
It was observed that there was a modification in the clients' profile. Despite the fact that Europe can still be considered as an expensive destination for most of the Argentineans, there were modifications in the market that made it possible for tourists with lower age and income levels to have better access to this destination.
Concerning the market’s future, it hopes for an increase in the total sales. The interest for Europe could grow due to a broader presentation of Europe in the mass media, especially in magazines and the tourism sections of the major newspapers. However, cable TV shows outstanding aspects of different places in Europe, especially through channels like the Travel Channel, Discovery Channel, People and Arts etc. These programs not only refer to landscapes, but also show outstanding aspects of gastronomy, culture, history, etc.
The USA will continue to be the major competitor to Europe. There is basically no difference between the tariffs to Miami and New York and those that have the European capitals as destinations. The fact that electronic products have almost the same price in USA as in Argentina (the difference is compensated with the service obtained buying in the country) is making the shopping motivation disappear more each day. This trip reason, major attraction of the USA, is disappearing. But it is still considered that in the Duty Free Shops of the major airports – including Ezeiza, Buenos Aires – one can get the products that usually would be acquired in Miami for a good price.
The majority of tourists travel in couples or as individuals. A reduction in the participation of people who travel in formal or informal (forfait / package) groups has been observed. In the opinion of the travel agents, the current market tendency are for personalized trips that do not favour the formation of those groups.
Concerning the duration of the trip, the interviewed pointed out the current tendency of shorter vacations (an average of 20 days).
The general average package price obtained from tour operators and travel agents was about US$ 1,800 for a three-week package. The payment facilitation practice is also common in Argentina, in which the total is divided up into equal instalments (interest-free).
In general, the trips are concentrated during the period from April to September. However, there is a market tendency for the lengthening of the season, as a function of differential price promotions between high and low seasons and methods of payment. Another important factor to consider is the tendency in leisure trips to travel to Europe during the Argentinean winter, and during the summer go to the beach resorts on the Argentinean coast, or to the south of the country.
Concerning the type of trip, tours thorugh several countries or to a particular country visiting different places of interest stand out. The short distances make it possible for the visitor to become familiar with many attractions in a reliatively short period of time.
The main motivation that leads a person to choose Europe as destination is the historical/cultural aspects: museums, urban sites and tourism highlights that are typical of each city (or sometimes the country). The Argentinean enjoys contact with local communities, typical gastronomy and seeing each city’s architecture. One of the most valued aspects of European cities is the order and infrastructure provided for the tourist, and also the efficiency of urban transportation.
In relation to what Argentineans who travel to Europe dislike the most are the high prices and also language difficulties.
The main destinations in Europe are Spain, Italy, France and United Kingdom.
Paris is the “best seller” city in Europe. Madrid, Rome and London follow it in importance.
According to the travel trade surveyed, Spain, France, Italy, United Kingdom, Czech Republic, Greece and Germany constitute countries that could count with a potential in the future.
Concerning the general image of European countries, France, Italy and the United Kingdom have a great image, followed by Spain and Germany.
In what concerns the attraction level, France, Italy and Spain are pointed out again, followed by the United Kingdom, Greece and Germany. Among the countries classified as being of medium attraction, The Netherlands, Turkey, Austria, Switzerland, Czech Republic, Belgium, Monaco, Sweden and Norway are pointed out.
It was observed that there is a great lack of knowledge from the travel agents about several countries, amongst which it is worth mentioning Estonia, Cyprus, Slovenia, Iceland, Malta, Croatia and Bulgaria.
The information handed by the tourism representations to the Argentinean travel trade is not totally satisfactory. The Argentinean travel trade is asking for more promotional and advertising material. They also request more workshops or conferences about aspects of the destinations oriented to the travel agencies.
It is recognized that the most effective way to make some type of advertisement activity of the European countries in Argentina is through written press
According to the Argentinean travel trade surveyed, the sales of trips to Europe are based on two segments: leisure trips and business trips. The first represents an average of 75% of trips, while the second reaches an average of 25%.
Concerning the profile of the tourists that travel to Europe, it is observed that people with a higher average annual income, higher educational level and that are of the age range between 31 and 49 years old stand out.
The development of the market for trips to Europe during the last three years has shown an increase in the total sales. According to the travel trade surveyed, 1999 was a difficult year due to the recession and to the fact that since it was an election year, there were some doubts about the conversion plan’s continuity. However, the decrease in air tariffs and the credit plans put Europe within everyone’s reach. The number of business trips also grew, due to the fact that many private companies are owned by Europeans, especially Spanish.
It was observed that there was a modification in the clients' profile. Despite the fact that Europe can still be considered as an expensive destination for most of the Argentineans, there were modifications in the market that made it possible for tourists with lower age and income levels to have better access to this destination.
Concerning the market’s future, it hopes for an increase in the total sales. The interest for Europe could grow due to a broader presentation of Europe in the mass media, especially in magazines and the tourism sections of the major newspapers. However, cable TV shows outstanding aspects of different places in Europe, especially through channels like the Travel Channel, Discovery Channel, People and Arts etc. These programs not only refer to landscapes, but also show outstanding aspects of gastronomy, culture, history, etc.
The USA will continue to be the major competitor to Europe. There is basically no difference between the tariffs to Miami and New York and those that have the European capitals as destinations. The fact that electronic products have almost the same price in USA as in Argentina (the difference is compensated with the service obtained buying in the country) is making the shopping motivation disappear more each day. This trip reason, major attraction of the USA, is disappearing. But it is still considered that in the Duty Free Shops of the major airports – including Ezeiza, Buenos Aires – one can get the products that usually would be acquired in Miami for a good price.
The majority of tourists travel in couples or as individuals. A reduction in the participation of people who travel in formal or informal (forfait / package) groups has been observed. In the opinion of the travel agents, the current market tendency are for personalized trips that do not favour the formation of those groups.
Concerning the duration of the trip, the interviewed pointed out the current tendency of shorter vacations (an average of 20 days).
The general average package price obtained from tour operators and travel agents was about US$ 1,800 for a three-week package. The payment facilitation practice is also common in Argentina, in which the total is divided up into equal instalments (interest-free).
In general, the trips are concentrated during the period from April to September. However, there is a market tendency for the lengthening of the season, as a function of differential price promotions between high and low seasons and methods of payment. Another important factor to consider is the tendency in leisure trips to travel to Europe during the Argentinean winter, and during the summer go to the beach resorts on the Argentinean coast, or to the south of the country.
Concerning the type of trip, tours thorugh several countries or to a particular country visiting different places of interest stand out. The short distances make it possible for the visitor to become familiar with many attractions in a reliatively short period of time.
The main motivation that leads a person to choose Europe as destination is the historical/cultural aspects: museums, urban sites and tourism highlights that are typical of each city (or sometimes the country). The Argentinean enjoys contact with local communities, typical gastronomy and seeing each city’s architecture. One of the most valued aspects of European cities is the order and infrastructure provided for the tourist, and also the efficiency of urban transportation.
In relation to what Argentineans who travel to Europe dislike the most are the high prices and also language difficulties.
The main destinations in Europe are Spain, Italy, France and United Kingdom.
Paris is the “best seller” city in Europe. Madrid, Rome and London follow it in importance.
According to the travel trade surveyed, Spain, France, Italy, United Kingdom, Czech Republic, Greece and Germany constitute countries that could count with a potential in the future.
Concerning the general image of European countries, France, Italy and the United Kingdom have a great image, followed by Spain and Germany.
In what concerns the attraction level, France, Italy and Spain are pointed out again, followed by the United Kingdom, Greece and Germany. Among the countries classified as being of medium attraction, The Netherlands, Turkey, Austria, Switzerland, Czech Republic, Belgium, Monaco, Sweden and Norway are pointed out.
It was observed that there is a great lack of knowledge from the travel agents about several countries, amongst which it is worth mentioning Estonia, Cyprus, Slovenia, Iceland, Malta, Croatia and Bulgaria.
The information handed by the tourism representations to the Argentinean travel trade is not totally satisfactory. The Argentinean travel trade is asking for more promotional and advertising material. They also request more workshops or conferences about aspects of the destinations oriented to the travel agencies.
It is recognized that the most effective way to make some type of advertisement activity of the European countries in Argentina is through written press