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Travel and Tourism Industry

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The Indian travel and tourism industry is growing at 7% year on year and was estimated to have contributed to ~9% of India’s GDP (~Rs. 17 Lac Cr.) basis reports from IBEF. The report goes on to state that only 12% of this contribution comes from domestic visitors currently. The scenario is expected to change over the next decade wherein Indian tourists are expected to contribute ~90% of sector revenues by 2028.

The tourist arrivals (Domestic and foreign) are not homogenous across the country, with 5 states – Tamil Nadu, Uttar Pradesh, Karnataka, Andhra Pradesh and Maharashtra – contributing to as much as ~65% of footfall. Similarly, 60% of foreign tourist arrivals are from 5 countries – UAE, Thailand, Singapore, Malaysia and Nepal. Network presence and marketing efforts to target prospective customers need to be in line with tourist arrival statistics

Qwixpert research has identified two major trends have been noticed among the Indian vacationers – Sustainable tourism and Timeshare products

~97% of Indian tourists are looking forward to travelling sustainably with 73% claiming to regularly do so in a recent report by Increasing awareness about eco-accommodations, the positive impact of sustainable travel on local communities and nature are driving significant interest in the segment. The trend is seen to be higher among millennials who are leading the change as per a 2018 survey among millennials by Cox & Kings.

Tourism 1

Tourism 2

Timeshare and vacation ownership as a concept is increasingly appealing to a vast majority of the Indian tourists. A recent survey by RCI India has found higher satisfaction levels among time-share owners over non-time-share owners w.r.t critical aspects of a holiday. Further ~70% of non-time-share owners evinced interest in investing in a “time-share” share product. India which has ~10,000 timeshare units till date is seeing substantial growth in the sector with the entry of single resort owners as well as fast-paced expansion by segment leaders like Club Mahindra and Sterling Holidays

Tourism 3


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