Visa study: travel budgets set to increase in 2013

Visa’s latest Global Travel Intentions Study 2013 has revealed that global cross-border tourism is thriving and travelers intend to increase budgets for their next trip by an average of five percent. Visa’s regular barometer of travel trends indicates budgets are no longer among the top three reasons behind why travelers choose their next holiday destination. Attractions, Scenery, and Culture were cited as the key drivers for a future trip regardless of destination.

According to the Study, which surveyed 12,631 travelers from 25 countries, the average global travel budget of US$2,390 per trip is set to increase to US$2,501. Top spenders abroad in the past were the Saudi Arabians, spending an average of US$6,666 per trip, while Australian (US$4,118) and Chinese travelers (US$3,824) were not far behind. Future travel budget increases are especially high amongst Asian markets with a predicted increase of 46 percent – travelers from Singapore, Thailand and Hong Kong all plan to at least double the budget of their last trip in the future.

Visa’s Study revealed the United States ranked as the most popular destination choice for global travelers, both for trips taken in the past two years (17 percent) and for intended travel in 2013 (10 percent). Other top destinations in 2011 and 2012 included the United Kingdom (UK) (12 percent), France (12 percent) and China, Singapore, Thailand and Hong Kong (all 10 percent). Looking ahead, regional travel is set to increase, especially in reflection of the growing popularity and economic strength of Asia Pacific (APAC). 31 percent of global travel is expected to be to Asia, and new APAC destinations such as Australia (four percent) and Korea (three percent) are making it on to the latest list of most preferred destinations for future travel. Travelers also ranked Japan (five percent) and Australia (four percent) alongside the UK (five percent) as the top four intended destinations for future trips abroad.

An increasing ease and availability of travel options is fuelling the tourism boom. This is particularly prominent in the airline industry where 85 percent of travelers prefer to fly to their destinations despite a preference for shorter distances. Of this figure, most (71 percent) chose to fly economy class while, perhaps surprisingly, only 16 percent chose budget airlines.

The results of the Study paint a picture of today’s global traveler. They are seasoned travelers, with 79 percent travelling in the past two years, taking 1-2 trips per year. 80 percent plan their holidays in advance, taking an average of 10 weeks to organize the trip. Spending time with family and friends was cited as the most popular (38 percent) reason for a holiday. These trips are more likely to be organized independently (42 percent) and will last an average of 10 nights. They choose hotels of four stars and above (39 percent) with 69 percent choosing to take a trip with family members.

The Visa Global Travel Intentions Study 2013 was conducted between November and December 2012. It was based on online and offline surveys with 12,631 travelers aged 18 and above, across 25 markets in Asia Pacific (Australia, China, Hong Kong, India, Indonesia, Japan, Korea, Malaysia, Singapore, Taiwan, Thailand), Europe (France, Germany, Russia, UK), Africa & Middle East (Egypt, Kuwait, Morocco, Saudi Arabia, South Africa, UAE), and the Americas (Brazil, Canada, Mexico, USA).