Tourism Enjoys Upbeat Start to 2016 but must Remain Competitive

Tourism Enjoys Upbeat Start to 2016 but must Remain Competitive
International buyers on a visit to Fanad Lighthouse, part of their Wild Atlantic Way trip

On the eve of Ireland’s biggest tourism trade fair, Fáilte Ireland cautions against complacency as all regions report a strong start to 2016


Also - latest research records impressive satisfaction levels amongst overseas holidaymakers to Ireland in 2015

Fáilte Ireland today pointed out that tourism has enjoyed a robust first quarter in 2016 and the indications are that this summer will be another busy season for the sector.  The national tourism authority however cautioned against over-complacency on the eve of its annual tourism trade fair, Meitheal 2016, which takes place in the RDS tomorrow and Tuesday.  The agency also today published its annual Visitor Attitudes Survey which shows that overseas holidaymakers to Ireland last year continued to rate the country as good value for money and that the country matched or exceeded their expectations as a holiday destination.

With regard to how tourism is performing so far this year, the omens are good. Seat capacity on airlines flying into Ireland is this summer is projected to grow 9% on summer 2015 and, across the country, tourism businesses are reporting increased bookings.
 

In Dublin, most hotels are reporting growth for Q1 and extremely high occupancy levels during March as well as a significant jump in booking levels for the summer ahead. Visitor attractions in the city are also very busy with, for example, the Guinness Storehouse enjoying 15% growth in the first three months of the year and their busiest day on record on March 18th – with 10,000 visitors on that day alone.


Along the Wild Atlantic Way, businesses in every part of the region are reporting a very strong Easter particularly from the domestic market with revenue and customers in Q1 above 2015 levels. There has been a noticeable increase in international visitors earlier in the season this year - particularly French, German, Dutch and Swiss travellers. In the northwest, businesses are reporting strong trade from Northern Ireland in Q1 (with the favourable exchange rate a contributory factor) and there is a very high level of booking enquiries in South Kerry, which local businesses are attributing to the Star Wars effect.

Meanwhile, in the Ireland’s Ancient East region (across the south east, midlands and north east), tourism businesses are feeling much more optimistic than ever before with a significant increase in interest throughout the region from overseas travel agents. Many historic attractions throughout the region are reporting an increase in bookings - with noticeably larger groups. Accommodation providers are reporting business up for the first quarter – helped in many cases by a growth in US travellers and from the retiree market in the UK.

Observing current trends within the sector, Fáilte Ireland CEO Shaun Quinn said:

“The signs look good and there is great cause for optimism within tourism this year but there are also good reasons not to be too complacent. The recent weakening of sterling in relation to the Euro means we have to remain vigilant with regard to competitiveness. Furthermore, recent incidents in Paris and Brussels have the potential for undermining travel confidence – particularly from the US. In Fáilte Ireland we are taking nothing for granted. That is why we are committed to events like tomorrow’s trade show and to working with Irish businesses to actively chase as much additional custom as we can.”

Meanwhile, new Fáilte Ireland research confirms that overseas holidaymakers’ expectations of a friendly welcome, a relaxed pace of life and an unspoilt environment were largely met last year. The tourism authority today published its Visitor Attitudes Survey 2015, conducted by Millward Brown, which also shows that overseas holidaymakers continued to rate Ireland as good value for money and believe that Ireland matched or exceeded their expectations as a holiday destination.

The annual survey, conducted with almost 2,000 overseas holidaymakers to Ireland during June to October 2015, including a breakdown of opinions from the various international markets, can be accessed HERE

Meeting and exceeding expectations

When asked about their overall opinion of their Irish holiday, 56% of respondents said that their trip met all their expectations while a further 44% of holidaymakers said their holiday actually exceeded all expectations. In the latter category, North American holidaymakers were the most impressed with 55% saying that their Irish holiday delivered beyond their expectations.

For all holidaymakers whose trip exceeded expectations, the reasons most commonly cited were:

Reason for Exceeding Expectations - %
Irish People   -  69%
Scenery   -  65%
History/Culture   -  37%
Nature and wildlife   -  29%
Weather better than expected   - 28%
Good quality and variety of Food   -  27%

Almost two thirds (64%) of holidaymakers said that they would definitely return within the next few years – up from 57% last year. A further 39% hoped to return at some time in the future.

When asked to what extent (along a scale of 0-10) they would recommend an Irish holiday to family and friends, almost seven in ten holidaymakers said they would ‘definitely’ (a rating of 9-10/10) recommend an Irish holiday. Again, American holidaymakers were the most enthusiastic with 82% saying that they would definitely recommend Ireland.

Value for money and competitiveness

In terms of value for money, Ireland’s satisfaction levels continue to improve annually with 63% of holidaymakers saying that they found ‘good’ or ‘very good’ value in Ireland – a rise on 2014’s performance and a jump of 12% from two years before.

Value for money                2015 (%)    2014 (%)  2013 (%)
Very Good                             18            14               9
Good                                     45            41              42
Fair                                       31             38              39
Poor                                       5              5                 7
Very Poor                               *              1                 2

Why Ireland?

Today’s survey also illustrates the most important drivers for Irish tourism – the reasons why people choose to come here. Interestingly, given the current international climate, Ireland is rated highly as a friendly, safe and secure destination. The most-cited reasons for choosing an Irish trip were:

Reasons for Choosing Ireland %
Friendly People   -  96%
Beautiful Scenery   -  92%
Safe and secure destination   -  92%
Plenty to see and do   -  90%
Good range of natural attractions   -  87%
Interesting History and Culture   -  86%
Natural unspoilt environment -  86%

Meanwhile, the internet continues to lead the way in terms of information sources that influenced travellers to choose Ireland with six in ten (59%) citing it as their preferred medium for research. Other influential sources which directed traveller decision making included family, friends and business associates (43%) as well as Guidebooks (20%) and travel agents (10%). The internet’s central importance rose further when it came to planning the details for a trip to Ireland – cited as an important source by 83%.

Pointing to the survey results, CEO Quinn said:

“These findings provide us with some useful insights into the performance of the tourism sector last year. It is particularly reassuring that we continued to provide good value for money to those who holidayed here. Ireland’s blend of people, places and pace of life delivers a unique holiday experience for all our guests but a strong level of competitiveness ensures that we attract visitors here in the first instance.”

Ireland’s largest travel trade workshop.

Today’s research is published on the eve of Meitheal, Ireland’s largest global travel trade workshop, which is being held in the RDS, Dublin tomorrow and Tuesday (11-12 April). 

Organised by Fáilte Ireland, in conjunction with its sister agency Tourism Ireland, this year’s event will bring together over 310 Overseas Buyers and 455 Irish tourism businesses for two days of pitching and deal making. Overseas buyers pre-book a schedule of meetings with those propositions they are most interested in ahead of the event and there will be approximately 12,000 face to face meetings organised through Fáilte Ireland over the duration of the event - allowing international and Irish operators to meet and agree business for the 2017 season.

Last year’s Meitheal event resulted in over 2,650 new business contracts being signed, including almost 900 contracts with international operators who had never programmed Ireland before. At this year’s event, there will be up to 40 tour operators in attendance who have not previously had Ireland on their books – predominantly from China, India, the Gulf States and South Africa.

Speaking ahead of Meitheal, Mr Quinn emphasised:

“While the research is very encouraging - with regard to how visitors perceive their time here - we still have to work hard to get people here in the first instance and that is what this week’s event is all about. By bringing both overseas and Irish operators together eyeball to eyeball, we hope to generate deals and contracts which will ensure significant additional tourism activity next year.

“Whether in the RDS or through our tailored trips around the country for the overseas attendees, we will be energetically promoting our best attractions to some of the world’s leading tour operators and agents. Whether it’s the primitive landscapes of the Wild Atlantic Way, the unique history and culture of Ireland’s Ancient East or the lively and varied destination that is Dublin, we will be pulling out all the stops to ensure Ireland is on everybody’s map and itinerary for 2017.”

In addition to this week’s trade fair, Fáilte Ireland has organised a number of fact-finding tours all around Ireland for overseas operators taking part in Meitheal this year, providing them with a direct experience of what an Irish holiday can offer their customers – including tours within Ireland’s Ancient East and along the Wild Atlantic Way.

Meitheal, is a significant annual business event for the tourism industry and allows Irish tourism operators to actively grow business in countries from all around the world – including Ireland’s top four markets  the US, UK, Germany and France. This year, 20 countries will be represented at Meitheal, including: Australia, Austria, Belgium, Canada, China, Denmark, France, Germany, India, Italy, Netherlands, New Zealand, South Africa, Spain, Sweden, Switzerland, United Arab Emirates, the United Kingdom and the USA.

Follow us on Twitter @Fáilte_Ireland #Meitheal2016

ENDS

For further information please contact:

Alex Connolly – Head of Communications
086 7966320/01 8847884


Note for Editor

Fáilte Ireland, the national tourism development authority, was established in 2003 to guide and promote tourism as a leading indigenous component of the Irish economy.

The tourism and hospitality industry employs an estimated 205,000 people and generates over €7 billion in revenue a year. 


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