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Market Overview – Tourism And Hospitality Industry and Forecasted Growth of Industry.

Travel & Tourism to be one of the world’s largest sectors, supporting over 319 million jobs and generating 10.4% of global GDP in 2018, according to data from WNWTO.  The industry generates 122,891,000 jobs directly in 2018 and forecasted to grow by 2.2%.  It generates jobs related to hotels, travel, airlines and other passenger transport services.  As per Business Research the direct contribution of Travel & Tourism to global GDP in 2018 was $2,750.7bn (3.2% of GDP).  The industry is forecasted to grow by 3.6% to $2,849.2bn in 2019.  The rise in the number of middle-class households and growth in consumer spending has a major impact on the tourism and hospitality industry. So the one who looking to kick start firmly in this industry can approach various Market Research companies to have well-defined data about the industry.

The tourism and hospitality industry has emerged as a key driver of the growth of the service sector in India.  Because of diversity, cultural, historical heritage and natural beauty India has become one of the favorable places for tourism.  The growth of the industry was further influenced by online booking providers who played an important role in the growth of the industry.  Such portals changed the overall traveling experience of customers starting from planning, booking, and cancellation. Further, the increase in disposable incomes and rising middle class continued to support the growth of domestic and outbound tourism.

The overall contribution of travel and tourism spent in the economy of India was 9.4% in 2018.  The travel and tourism sector in India accounted for 8% of total employment in India in the year 2019.  The tourism sector in India is having huge growth potential, the E- visa scheme which is expected to increase the tourist flow in the future.  India is the 10th largest Business Travel market globally, according to the Global Business Travel Association (GBTA)

Indian traveler spent around $94 billion in travel in the year 2018, and around 2 billion domestic and international trips.  This momentum is expected to continue as the industry will grow at a rate of 13% and expected to reach $136 billion in 2021 according to market reports.  From a total of $136 billion, $50 billion will spend in transportation and $21 billion will spend on lodging and consumption and the rest $65 billion will spend on shopping, recreation, and food.

 

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