International tourism to reach one billion in 2012

• PR No.: • PR12002 • Madrid • 16 Jan 12

International tourist arrivals grew by over 4% in 2011 to 980 million

Europe surpasses the half billion mark in 2011Despite persistent economic uncertainty, tourist arrivals to Europe

reached 503 million in 2011, accounting for 28 million of the 41 million additional international arrivals recorded worldwide. Central and Eastern Europe and Southern Mediterranean destinations (+8% each) experienced the best results.

By region, Europe (+6%) was the best performer.

Tourism is a sector directly responsible for 5% of the world’s GDP, 6% of total exports and employing one out of every 12 people in advanced and emerging economies.

International tourism to reach one billion in 2012• PR No.: • PR12002 • Madrid • 16 Jan 12

Receipts confirm positive trend in arrivals

Among the top ten tourist destinations, receipts were up significantly in Spain (+9%).

The top spenders were led by emerging source markets – China (+38%), Russia (+21%), Brazil (+32%) India (+32%) followed by traditional markets - Germany (+4%) USA (+5%)

Governments urged to facilitate travelUNWTO is urging governments to consider advancing travel

facilitation, and make the most of information and communication technologies in improving visa application and processing formalities, as well as the timings of visa issuance, and to analyze the possible impact of travel facilitation in increasing their tourism economies.

“Travel facilitation is closely interlinked with tourism development and can be key in boosting demand. This area is of particular relevance in a moment in which governments are looking to stimulate economic growth but cannot make major use of fiscal incentives or public investment,”

Definition : Tourism Policy

• Tourism policy represents a means by which local, regional, national and supranational institutions and organisations accomplish the adopted goals of tourism development. (Vucetic A., 2009)

History of Policy development

History of Policy development

• Trend in (developed) countries (1950-1980): organizations/institution in governments were established for the purpose of tourism development. Example: Singapore Tourist Promotion Board (STPB) was established in 1964.

• In the mid ’70 ‘s Montenegro formulated a tourism policy which was part of the overall state economic policy. The policy was in general terms and not clearly defined. It represented a small part of the overall economic policy.

• Since 1992 there is The Ministry of Tourism of Montenegro

National Economic Policy

Tourism

National Economic Policy Tourism

Stiff competition now in the global tourism/leisure market

• Public tourism/leisure policy – growing importance

• Countries have to differentiate• Public tourism/leisure policy cannot be

created nor implemented without a team from various fields of expertise

Balance of Payments of a country• All monetary transactions of a year between the country and the rest of the world• Balance of payments points to a surplus or deficit

Spain

(Foreign) Money in

Money out

Balance of paymentsCurrent Account (-,+) = - Capital Account (+)

money in money out money in money out

- Merchandise- Travel- Insurance- Investment income- Govt. Transactions- Donations and gifts

Deficit or Surplus Deficit or Surplus

payments for the country's exports and imports of goods

, services, financial capital, and financial transfers

the purchase or construction of machinery, buildings or even whole

manufacturing plants

Tourism as a long run economic growth factor: the Spanish case of this tourism led growth hypothesis

Current Account (Spain)

• Most important items:

• Merchandise (costly inputs)• Travel (endowed with natural resources: sandy

beaches, pictoresque sites, forests and mountains, sunny climate, cultures and civilisations)

Economic development : Spain

The development of the tourism sector (service) in Spain has 5 comparative advantages over other sectors (agriculture, manufacturing):

• Abundance of resources : Naturals/cultural attractions (supply is endless)• Lower import content : services• Higher growth rate• Exports in tourism are stable• Labour intensive nature of the sector

Given all this it can be said that tourism is the preferred sector for economic development of a country or as a tool for economic development.

Balance of Payments Spain

Current accounts Spain

Policy and planning in Spain (tourspain.es)• The Instituto de Turismo de España (TURESPAÑA) has among its functions

that of planning, developing and taking the steps necessary for the promotion of Spanish tourism on the international markets, supporting the marketing of the Spanish tourism products abroad and collaborating with the Regional and local authorities and the private sector in programmes related to the promotion and marketing of their products abroad.

• Turespaña is a major tool for Spain's tourism policy» Promotion of Tourism Supply» Improve negative effects of competition and

sustainability» Development of new tourism products

Tourism and Regional policies in Spain: an evolution synthesis

Community Support FrameworkRegional Development PlansRegional Restructuring Plans

Playa de Lloret de Mar

The policy process

1. Agenda Setting

2. Policy Formulation 5. Policy

Evaluation

3. Policy Adoption

4. Policy Implementation

Agenda Setting - Public attention focusses on a

public problem or issue. Officials’ words and actions

help focus attention.Policy Formulation -

Policy makers in the legislature and bureaucracy take up the issue. They create legislative , regulatory or programmatic

strategies to address the problem.

Policy Adoption - Policy makers formally adopt a policy solution, usually in the form of

legislation or rules.

Policy Implementation - Government agents begin the job

of making the policy work by establishing procedures, writing

guidance documents.

Policy Evaluation - Policy analysts inside and outside

government determine whether the policy is addressing the issue and whether implementation is proceeding well. They may recommend revisions in the agenda,

in the formulation of policy, or in its implementation.

Evolution of a tourist area1. The place gets very

few tourists.2. Someone discovers

it, and tells a few other friends how good it is.

3. They start to go to the place as well.

4. Services: shops, cafes, hotels etc. start to open up because people are staying there in enough numbers for local people to earn money.

5. Some local people stop what they were doing before.

1. More people find out about the place.

2. It starts to get mentioned in articles, brochures and tourist guides.

3. This means that even more people visit.

4. More shops and hotels open.

5. The roads to the resort get busier.

1. Everyone now knows about the resort.

2. People move to the resort in search of work.

3. During the tourist season, the place is full of people, and hotels are full.

4. Local people are now mostly employed in tourism rather than the jobs they used to have.

5. Some local people will begin to feel that the tourists are starting to be in ‘control’.

6. Traffic problems start to occur on busy days, with car parks filling up early in the day.

1. The place gets so popular that some people stop going there. They will say “it’s too busy” or “it’s not what it used to be like…”

2. Local people will complain that they are being ignored and that tourists get priority.

3. People start going to other places.

4. Some of the shops and hotels close down.

5. Some people stay away because it is so busy, and look for somewhere ‘quieter’ or ‘prettier’ or ‘more like the real….’

1. The place starts to get run down.

2. Shops shut down, and charity shops move in.

3. Out of season, many hotels start to be used to house homeless people and people on benefits as a way of making a bit of money.

4. The place begins to get a ‘reputation’….

5. People stay away

1. New money starts to come into the resort.

2. Some of the older hotels are regenerated and attract new shops to the area.

3. Cafes reopen on the High Street

4. People start to return to the resort out of season.

5. There is a new ‘buzz’ about the place.

6. Jobs start to be created.7. A whole new crowd of

visitors starts to come regularly to the resort.

8. Newspapers start to write articles about the place again.

Example of tourism gone wrong

• Benidorm:• 4 million visit Benidorm per year (1 million of

these are British)• Over the past 50 years Benidorm has

undergone major changes