AFTA Travel Trends

March 2020

© AFTA Travel Trends Report 2020 Inbound and Outbound overview

Introduction

This snapshot provides an overview of the balance of trade between Inbound and Outbound Travel for Year end January 2020.

It uses information provided by Bureau of Statistics (ABS) Overseas Arrivals and Departures (OAD) data set. January YE 2019 Total January YE 2020 Total January YE 2019 Total January YE 2020 Total number of international number of international number of international number of international Total Visitor and visitors to visitors to Australia trips by Australians trips by Australians

Australian departure Inbound Inbound Outbound Outbound and arrivals – Year End January 2020. China 1,455,400 1,427,100 602,600 615,000 The ABS collects data on all New Zealand 1,388,000 1,436,900 1,437,100 1,468,000 travellers entering and leaving Australia through the Inbound USA 785,300 822,400 1,092,700 1,043,400 Passenger Card. UK 730,100 714,900 667,000 663,000 This section displays the number of international tourists entering and Singapore 452,200 477,600 414,600 423,000 Australians departing Australia as of January Year end 2019 and Japan 469,000 502,600 468,300 530,400 2020. Malaysia 398,600 382,600 263,000 279,900 For travel and tourism to be sustainable it is imperative that South Korea 286,100 279,400 75,900 84,000 the trade between each country India 359,500 400,900 397,800 429,000 is balanced and this snapshot tracks overall benefits to each Hong Kong 309,200 319,000 248,500 211,200 country. Indonesia 202,000 217,800 1,291,300 1,411,600 The countries chosen are the major Australian source markets Thailand 98,900 103,500 570,200 538,600 and desired destinations. Fiji 45,400 45,800 342,400 343,700

National Total 9,259,800 9,466,200 11,099,600 11,345,500

Source: January 2020 Short-term Movement, Residents Returning and Visitors Arriving - Selected Countries of Residence: Seasonally adjusted Inbound Report

Introduction

These snapshots provide an overview of the performance of the Australian inbound tourism sector.

It uses information provided by the Australian Bureau of Statistics (ABS) Overseas Arrivals and Departures (OAD) data set.

Performance indicators are provided for each market and month.

A neutral rating is provided for markets which have a year on year variation of (+/-) 2%. Where are our participants?

Total number Total number Change on Change on Month of travellers of travellers 2020 Performance previous year previous year Total inbound tourists to 2018/19 2019/20 Australia – January 2020 February 755,800 4.4% 785,300 3.9% Positive March 775,600 8.8% 770,400 -0.7% Neutral April 764,900 1.4% 765,100 0.0% Neutral This section displays the number of May 757,000 3.8% 817,800 8.0% Positive international tourists travelling to June 770,500 5.9% 790,300 2.6% Positive Australia each month. July 767,500 3.6% 792,900 3.3% Positive August 780,300 5.2% 811,100 3.9% Positive September 771,600 3.7% 789,000 2.3% Positive October 778,600 2.9% 786,800 1.1% Neutral November 773,600 2.4% 790,800 2.2% Positive December 778,500 4.7% 796,700 2.3% Positive January 785,900 2.3% 770,000 -2.0% Neutral National Total 9,259,800 4.1% 9,466,200 2.2% Positive

850,000

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Total number of tourists 2018/2019 Total number of tourists 2019/2020 5 year average

Source: January 2020 Short-term Movement, Visitor Arrivals - Selected Countries of Residence: Seasonally adjusted Where are our participants?

Total number Total number 2019 Year 2020 Year end Destination of travellers of travellers 2020 Performance end change change Year end changes to 2019 2020 top Australian source China 1,455,400 5.5% 1,427,100 -1.9% Neutral New Zealand 1,388,000 2.2% 1,436,900 3.5% Positive markets – January 2020 USA 785,300 -1.4% 822,400 4.7% Positive UK 730,100 -0.2% 714,900 -2.1% Negative This section displays the Singapore 452,200 3.0% 477,600 5.6% Positive performance of the major Japan 469,000 7.4% 502,600 7.2% Positive Australian source markets for Malaysia 398,600 -0.7% 382,600 -4.0% Negative international travellers for the 12 South Korea 286,100 -6.2% 279,400 -2.3% Negative month period ending January India 359,500 15.7% 400,900 11.5% Positive 2019 and 2020. Hong Kong 309,200 8.4% 319,000 3.2% Positive National Total 9,259,800 4.1% 9,466,200 2.2% Positive

1,650,000 1,500,000 1,350,000 1,200,000 1,050,000 900,000 750,000 600,000 450,000 300,000 150,000 0 China New USA UK Singapore Japan Malaysia South India Hong Zealand Korea Kong

YE 20 Country YE 19 Country 5 year average

Source: January 2020 Short-term Movement, Visitor Arrivals - Selected Countries of Residence: Seasonally adjusted Where are our participants?

Total number Total number Change on Change on Destination of travellers of travellers 2020 Performance previous year previous year Monthly changes to top 2019 2020 Australian source China 128,800 15.6% 105,400 -18.2% Negative markets – January 2020 New Zealand 117,600 3.4% 120,400 2.4% Positive USA 68,200 -4.9% 70,400 3.2% Positive UK 60,500 -4.0% 59,500 -1.7% Neutral This section displays the Singapore 39,600 9.4% 37,900 -4.3% Negative performance of the major Japan 39,800 3.1% 43,000 8.0% Positive Australian source markets for Malaysia 30,900 -10.2% 29,500 -4.5% Negative international tourists comparing the month of January 2019 to South Korea 22,900 -13.3% 22,800 -0.4% Neutral January 2020. India 31,700 5.3% 32,800 3.5% Positive Hong Kong 25,000 3.7% 27,600 10.4% Positive National Total 785,900 2.3% 770,000 -2.0% Neutral

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0 China New USA UK Singapore Japan Malaysia South India Hong Kong Zealand Korea

Jan-20 Jan-19 5 year average

Source: January 2020 Short-term Movement, Visitor Arrivals - Selected Countries of Residence: Seasonally adjusted Outbound Report

Introduction

This snapshot provides an overview of the performance of the Australian outbound travel sector.

It uses information provided by the Australian Bureau of Statistics (ABS) Overseas Arrivals and Departures (OAD) data set. Performance indicators are provided for each market.

A neutral rating is provided for markets which have a year on year variation of (+/-) 2%. Total number Total number Change on Change on Month of travellers of travellers 2020 Performance previous year previous year Total outbound 2018/19 2019/20 Australian travellers – February 878,500 -2.1% 910,900 3.7% Positive January 2020 March 914,700 7.0% 923,600 1.0% Neutral April 925,800 3.9% 919,300 -0.7% Neutral May 924,700 5.0% 975,600 5.5% Positive This section displays the number of June 913,700 4.7% 948,200 3.8% Positive Australians travelling outbound for July 930,600 6.4% 931,600 0.1% Neutral each month. August 934,000 6.8% 944,600 1.1% Neutral September 917,800 2.3% 948,500 3.3% Positive October 945,800 6.3% 944,700 -0.1% Neutral November 931,000 5.0% 971,800 4.4% Positive December 938,800 7.5% 968,100 3.1% Positive January 944,200 5.2% 958,600 1.5% Neutral Total 11,099,600 4.8% 11,345,500 2.2% Positive

1,000,000 970,000 940,000 910,000 880,000 850,000 820,000 790,000 760,000 730,000 700,000

Total number of travellers 2018/2019 Total number of travellers 2019/2020 5 year average

Source: January 2020 Short-term Movement, Residents Returning - Selected Destinations: Seasonally adjusted Total number Total number 2019 Year 2020 Year end Destination of travellers of travellers 2020 Performance end change change Year end changes to 2019 2020 popular international New Zealand 1,437,100 0.1% 1,468,000 2.2% Positive destinations travelled to Indonesia 1,291,300 9.6% 1,411,600 9.3% Positive by Australians – January USA 1,092,700 1.8% 1,043,400 -4.5% Negative UK 667,000 5.9% 663,000 -0.6% Neutral 2020 Thailand 570,200 -2.4% 538,600 -5.5% Negative China 602,600 9.9% 615,000 2.1% Positive This section displays the Singapore 414,600 2.9% 423,000 2.0% Neutral performance of the major destinations Australians are Japan 468,300 15.4% 530,400 13.3% Positive travelling to as of January Year Fiji 342,400 0.2% 343,700 0.4% Neutral end 2019 and 2020. India 397,800 7.3% 429,000 7.8% Positive National Total 11,099,600 4.8% 11,345,500 2.2% Positive

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0 New Indonesia USA UK Thailand China Singapore Japan Fiji India Zealand

YE 20 Country YE 19 Country 5 year average

Source: January 2020 Short-term Movement, Residents Returning - Selected Destinations: Seasonally adjusted Total number Total number Change to Change to Destination of travellers of travellers 2020 Performance previous year previous year Monthly changes to 2019 2020 popular international New Zealand 120,700 2.1% 124,000 2.7% Positive destinations travelled to Indonesia 109,200 10.9% 124,800 14.3% Positive by Australians – January USA 90,700 1.2% 80,900 -10.8% Negative UK 55,500 2.6% 56,600 2.0% Neutral 2020 Thailand 47,000 -3.3% 42,100 -10.4% Negative China 55,700 18.0% 61,400 10.2% Positive This section displays the performance of the major Singapore 33,500 1.2% 39,300 17.3% Positive destinations Australians are Japan 41,200 9.9% 44,800 8.7% Positive travelling to, comparing January Fiji 29,100 6.2% 28,900 -0.7% Neutral 2019 to January 2020. India 35,600 7.2% 35,400 -0.6% Neutral National Total 944,200 5.2% 958,600 1.5% Neutral

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0 New Indonesia USA UK Thailand China Singapore Japan Fiji India Zealand

20 Country 19 Country 5 year average

Source: January 2020 Short-term Movement, Residents Returning - Selected Destinations: Seasonally adjusted Visiting Other Reasons for Holiday Business Reasons to travel to friends/relatives Journey popular international New Zealand 47.1% 43.1% 5.4% 4.4% destinations by Indonesia 86.8% 9.1% 1.6% 2.5% USA 67.2% 20.8% 4.7% 7.3% Australians – January UK 41.6% 50.3% 3.4% 4.6% 2020 Thailand 80.3% 13.6% 2.4% 3.6% China 28.0% 53.9% 6.7% 11.4% Singapore 61.0% 23.8% 9.0% 6.2% Japan 83.5% 11.3% 1.9% 3.3% Fiji 81.4% 13.4% 2.0% 3.3% India 27.1% 64.1% 1.4% 7.5% National Total 57.2% 33.8% 3.5% 5.5% This section displays the performance of the popular destinations visited by Australians 100.0% by reason of travel in January 90.0% 2020. 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0%

Holiday Visiting friends/relatives Business Other Reasons for Journey

Source: January 2020 Short-term Movement, Residents Returning - Selected Destinations: Original Airlines

Introduction

This snapshot provides the market share of each airline for international travel.

Information is sourced directly from the Department of Infrastructure and Regional Development.

Department Summary:

Sixty-four international airlines operated scheduled services to/from Australia during December 2019 (includes five dedicated freight airlines but excludes airlines operating only via code share arrangements).

International scheduled passenger traffic in December 2019 was 4.039 million compared to 3.951 million in December 2018 – an increase of 2.2 per cent.

Source: International Airline Activity—Monthly Publications, December 2019 Airline activity - Month End Monthly Share of passengers carried December -18 December -19 December 2019 Airways 16.8% 16.8% 8.2% 8.2% This snapshot displays the market share of 7.7% 7.8% the top ten airlines for international travel 7.9% 7.0% for the month of December 2019. Virgin Australia 6.4% 6.7% 6.7% 6.6% Airways 4.6% 4.5% This information from the Department of 3.6% 3.5% Infrastructure and Regional Development presents statistical information on the AirAsia X 3.0% 2.8% scheduled operations of international 2.8% 2.8% airlines operating into/out of Australia. AirAsia X, 2.8% Qatar Airways, 2.8%

Key Highlights China Southern Airlines, 3.5%

• The Qantas group – Qantas Qantas Airways, 16.8% Cathay Pacific Airways, Jetstar and Jetstar Asia Airways, 4.5% (0.2%) accounted for 25.1% of total passenger carriage in December 2019 (the group’s share in December 2018 was Air New Zealand, 6.6% 25.2%). Jetstar, 8.2% • The share of passenger traffic accounted for by Australian Virgin Australia, 6.7% designated airlines was 31.6% in December 2019. The share was Singapore Airlines, 31.4% in December 2018. Emirates, 7.0% 7.8%

Source: International Airline Activity—Monthly Publications, December 2018 and December 2019 Year End share of Year End share of December - 18 December - 19 passengers carried passengers carried

Qantas Airways 17.1% Qantas Airways 17.4% Jetstar 8.9% Jetstar 8.7% Singapore Airlines 8.0% Singapore Airlines 8.3% Emirates 7.7% Emirates 6.8% Air New Zealand 6.6% Air New Zealand 6.8% Airline activity – Year End Virgin Australia 6.2% Virgin Australia 6.7% Cathay Pacific Airways 4.4% Cathay Pacific Airways 4.5% December 2019 China Southern Airlines 3.2% China Southern Airlines 3.1% AirAsia X 3.1% Qatar Airways 3.0% This snapshot displays the market share of 2.9% 2.6% each airline for international travel of Year Others 31.9% Others 32.1% end – December 2019.

Qantas Airways, 17.4% This information from the Department of Infrastructure and Regional Development presents statistical information on the Others, 32.1% scheduled operations of international Jetstar, 8.7% airlines operating into/out of Australia.

Singapore Airlines, 8.3%

Malaysia Airlines, 2.6%

Qatar Airways, 3.0% Emirates, 6.8% China Southern Airlines, 3.1% Air New Zealand, 6.8%

Cathay Pacific Virgin Australia, 6.7% Airways, 4.5%

Source: International Airline Activity—Monthly Publications, December 2018 and December 2019 For further information please contact:

Courtney Duddleston

Head of Strategy & Finance

E: [email protected]

Ph: 02 9287 9900

The information contained within this Report has been prepared by AFTA based upon best endeavours to ensure the accuracy and completeness of material.

AFTA accepts no liability for any loss or damage a person suffers because that person has directly or indirectly relied on any information provided by AFTA.

© AFTA Travel Trends Report 2020