Market and Trade Profile

Market and Trade Profile: Germany

Germany Market and Trade Profile Germany

Overview

• Chapter 1: Inbound market statistics provides insights on key statistics about German travellers and who they are. It takes a look at Britain and its competitive set as well as activities of German visitors in the UK.

• Chapter 2: Understanding the market takes a close look at German consumer trends, booking, planning and further travel behaviour of this source market. Perceptions of Britain held by Germans are also highlighted.

• Chapter 3: Access and travel trade shows how Germans travel to the UK, how to best cater for their needs and wants during their stay and gives insights into the German travel trade. Further ways of working with VisitBritain and other useful research resources are pointed out.

2 Market and Trade Profile Germany

Contents

Chapter 1: Inbound market statistics 1.1 Key statistics 6 1.2 Visitor demographics 17 1.3 Britain & competitors 21 1.4 Inbound activities 23

Chapter 2: Understanding the market 2.1 Structural drivers 31 2.2 Consumer trends 35 2.3 Booking and planning 39 2.4 Reaching the consumer 42 2.5 Perceptions of Britain 47

Chapter 3: Access and travel trade 3.1 Access 55 3.2 Travel Trade 59 3.3 Caring for the consumer 66 3.4 Working with VisitBritain 68 3.5 Useful research resources 69

3 Market and Trade Profile Germany

Chapter 1: Inbound market statistics

4 Market and Trade Profile Germany

Chapter 1: Inbound market statistics

Chapter summary • The German outbound market is forecasted to exceed 113 2016: million trips abroad with at least one overnight stay by 2020. Compared to all other countries, Germans took the second £1.5bn most outbound trips in 2016 – only US travellers took more. • Germans rank globally in 3rd place for international spend in expenditure, following Chinese and US travellers, with more than US$81.1bn in 2016. UK • Germany was the 3rd most important inbound source market for the UK for volume and 2nd for spend in 2016. • Ireland was the most considered competitor destination by German visitors, followed by France and . • The German source market has an above-average regional spread with very good growth potential for the years to come. • 92% of departing Germans are either ‘Very’ or ‘Extremely’ likely to recommend Britain for a holiday or -break. Source: International Passenger Survey by ONS, Oxford Economics, UNWTO, FUR Reiseanalyse 2016, VisitBritain/IPSOS 2016, CAA 2016

5 Market and Trade Profile Germany

Chapter 1.1: Key statistics

Key insights • Germany is Britain’s 3rd most important source market in Globally, terms of visits and 2nd most important for visitor spending. • 52% of spending came from holiday trips in 2016. Germans took • In 2016 the number of business trips remained more than second most 300,000 lower than it was at its record-level in 2006. outbound trips • is the leading destination for a trip to Britain but (2016) South East, Scotland and South West are also popular. • Holiday visits from Germany have an above average propensity to feature rural and coastal areas of Britain. • The most popular activities undertaken by German travellers in Britain include sightseeing of famous buildings/monuments; in particular, castles, visiting parks/gardens and shopping. • One-in-five holiday visits from Germany were bought as part of a package or all-inclusive tour in 2016.

Source: International Passenger Survey by ONS

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1.1 Key statistics: global context and 10 year trend

Global context Inbound travel to Britain overview

Measure 2016 Measure Visits Nights Spend (000s) (000s) (£m)

10 year trend International tourism 81.1 expenditure (US$bn) 2007 3,376 19,280 1,206 2008 2,900 17,374 1,125 Global rank for international 2009 2,780 17,300 1,167 3 tourism expenditure 2010 3,004 18,143 1,193 2011 2,947 18,822 1,252 Number of outbound 100.5 2012 2,967 16,306 1,223 overnight visits (m) 2013 3,048 18,113 1,358 2014 3,220 19,523 1,478 Most visited destination Austria 2015 3,249 18,742 1,378 2016 3,341 19,273 1,490 Share of UK total 8.9% 7.0% 6.6% in 2016

Source: International Passenger Survey by ONS, UNWTO, Oxford Economics

7 Market and Trade Profile Germany

1.1 Key statistics – volume and value

Inbound volume and value Nights per visit, spend

Measure 2016 Change Rank out of Averages by Nights Spend Spend vs. 2015 UK top journey purpose per per per markets in 2016 visit night visit

Visits (000s) 3,341 3% 3 Holiday 6 £87 £509

Nights (000s) 19,273 3% 3 Business 3 £126 £415

Visiting Friends/ Spend (£m) 1,490 8% 2 6 £45 £279 Relatives

Study 58 £38 £2,227

All visits 6 £77 £446

Source: International Passenger Survey by ONS

8 Market and Trade Profile Germany

1.1 Key statistics: journey purpose

Journey purpose 2016 Journey purpose trend (visits 000s)

60% 1,800 50% 46% 1,600 1,530 1,400 40% 37% 1,200 31% 26% 1,000 860 30% 24% 23% 800 767 20% 600 6% 400

Share visits of Share 10% 5% 1% 1% 200 151 0% 0 33 Holiday Business VFR Study Misc.

Holiday Business VFR Study Misc. Germany All markets

• 46% of all visits to the UK from Germany were • Holiday visits continue to lead growth in the German made for holiday purposes, followed by 26% of market. 52% of spending comes courtesy of Holiday visits for business purposes in 2016. trips in 2016. • 62% of holiday visits from Germany to the UK were • In 2016 the number of business trips remained more made by repeat visitors (excl. UK nationals). These than 300,000 lower than it was at its record-level in repeat visitors came on average between two and 2006 prior to the financial crisis. three times in the past ten years (a medium • The highest proportion of repeat visitors (excl. UK average visit frequency compared to other nationals) were among those coming for business markets) and spent £1,379 in the UK in the past purposes (92%) or to visit friends or relatives who live ten years. in the UK (88%).

Source: International Passenger Survey by ONS; repeat / first time visitors question asked in 2015 9 Market and Trade Profile Germany

1.1 Key statistics: seasonality

Seasonality 2016

35% 30% 28% 28% • 28% and 30% of visits from Germany to the UK were 27% 30% 25% 24% made in the second and third quarter respectively 25% 20% 20% 18% accounting for more than half of German visits in 15% 2016. 10% • The importance of the spring and summer quarters is

Share visits of Share 5% reflected in the below graph showing the high volume 0% of visits from Germany to the UK during this time Jan-Mar Apr-Jun Jul-Sep Oct-Dec period. The first and last quarter of the year have Germany All markets seen the volume of visits from Germany increase in 2016. Seasonality trend (visits 000s) 1,200 1,001 1,000 942 800 790 600 608 400 200 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Source: International Passenger Survey by ONS Jan - Mar Apr - Jun Jul - Sep Oct - Dec

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1.1 Key statistics: length of stay and accommodation

Accommodation stayed in, in 2016 Duration of stay trend (visits 000s)

(nights, %share) 2,000 3% 1% 0% 1,500 1,360 4% 5% 1,000 1,226 6% 35% 500 403 183 8% 0 169

Nil nights 1-3 nights 4-7 nights 12% 8-14 nights 15+ nights

• Short trips of 1-3 nights and 4-7 nights are the most 26% popular duration of stay from Germans. • Two forms of accommodation dominate the picture Hotel/guest house Free guest with relatives or friends with ‘hotel/guest house’ being the most popular Rented house/flat Hostel/university/school thanks to a large volume of holiday and business visitor nights. 26% of nights are spent with ‘Friends or Paying guest family or friends house Bed & Breakfast relatives’ (free or paid for) with the majority of these Other Camping/caravan being by those on a VFR trip. Rented houses or flats Own home Holiday village/Centre are also popular making up 12% in 2016. Source: International Passenger Survey by ONS

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1.1 Key statistics: regional spread Nights (% share)

Visits to the UK (2016) Region Nights stayed Visits (000) (000) Total 19,273 3,341

Scotland (SC) 2,725 355

Wales (WA) 569 94

Northern Ireland (NI) 42 12

London (LDN) 6,333 1,473

North East (NE) 209 49

North West (NW) 980 210

Yorkshire (YO) 837 113

West Midlands (WM) 788 191

East Midlands (EM) 323 92

East of (EoE) 825 174

South West (SW) 2,443 347

South East (SE) 3,131 513

Nil nights (Nil) N/A 183 Source: International Passenger Survey by ONS 12 Market and Trade Profile Germany

1.1 Key statistics: regional spread and top towns and cities

Top towns and cities visited 2016 • German visitors show an above-average spread across the UK‘s nations and regions. London is the Town Visits (000s) leading destination for a trip to Britain but South East, Scotland and South West are also popular. London 1,473 • London is the number one international city trip and Edinburgh 230 study holiday destination for Germans according to FUR Reiseanalyse. Birmingham 93 • The potential of regional spread from German holiday Manchester 78 visitors is very positive. Asked in 2016 in which of the Glasgow 74 regions they would like to spend a holiday in the next five years, German considerers stated Scotland (57%) and London (48%) as the most desired followed by Regional spread 2016 South England (26%), Wales (19%), North England 60% (13%) and Central England (12%) according to the 49% 49% 50% 40% FUR Reiseanalyse 2016. 40% 33% • Holiday visits from Germany have an above average 30% propensity to feature rural and coastal areas of Britain. 20% 14% 8% 10% Share nights of Share 3% 3% 0.2% 1% 0% Scotland Wales London Rest Of Northern England Ireland

Germany All markets

Source: International Passenger Survey by ONS, FUR Reiseanalyse 2016 and 2017

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1.1 Key statistics: visits to coast, countryside and villages

Propensity to visit coast, countryside and villages

13% VFR: Went to the coast or beaches 13%

19% VFR: Went to countryside or villages 17%

3% Business: Went to the coast or beaches 2%

4% Business: Went to countryside or villages 2%

23% Holiday: Went to the coast or beaches 14%

26% Holiday: Went to countryside or villages 18%

15% All journey purposes: Went to the coast or beaches 10%

18% All journey purposes: Went to countryside or villages 13%

0% 5% 10% 15% 20% 25% 30%

Source: International Passenger Survey by ONS Germany All markets

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1.1 Key statistics: use of internal modes of transport

Propensity to use internal modes of transport

3% Ferry/boat 2% Car/vehicle you/group brought 23% to the UK 15% 9% Hired self-drive car/vehicle 8% Private coach/minibus (for 5% group only) 4% Public bus/coach (outside 8% town/city) 8% 25% Taxi 32% 24% Train (outside town/city) 28% Bus, Tube, Tram or Metro Train 48% (within town/city) 53% 1% Domestic flight 2%

0% 10% 20% 30% 40% 50% 60%

Germany All markets Source: International Passenger Survey by ONS

15 Market and Trade Profile Germany

1.1 Key statistics: purchase of transport and package tours

Transport services purchased before or Proportion of visits that are bought as during trip (%) part of a package or all-inclusive tour in 2016 60% 25%

52% 21% 50% 47% 20% 16% 40% 36% 15% 14% 31% 30% 29% 30% 26% 27%27% 27% 11% 24% 25% 22% 23% 20% 10% 9% 20% 18% 15% 15% 6% 6% 6% 13% 5% 10% 7% 2% 1% 1% 1% 0% 0% Pre During Pre During Pre During Pre During Pre During Business Holiday VFR Study Misc. All Transport Train Travel Airport Coach travel Car hire journey within transfer purposes London Germany All markets Germany All markets

International Passenger Survey by ONS, VisitBritain/IPSOS 2016, base: visitors

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1.2 Visitor demographics

Visitor characteristics • Business visitors are four times as likely to be male than female. • More than half of holiday visitors are making 92% a repeat visit to Britain. ‘Very’ or • A high proportion of holiday and business ‘Extremely’ likely to recommend Britain visitors are German nationals but 19% of VFR visitors were British nationals in 2016. • 92% of departing Germans are either ‘Very’ or ‘Extremely’ likely to recommend Britain for a holiday or short-break.

Source: International Passenger Survey by ONS, CAA 2016

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1.2 Visitor demographics: gender and age groups

Visitor demographics: Age group trend gender ratio of visits from Germany: 44% female, 56% male 1000

Female (share of visits by journey purpose) 900 56% 56% 60% 51% 51% 49% 53% 52% 800 792 42% 40% 700 696 20% 20% 20% 600 592

500 0% 476 Business Holiday VFR Study Misc.

Visits (000s) Visits 400 Germany All markets 356 300 Male (share of visits by journey purpose) 228 100% 80% 80% 200 197 80% 51% 56% 100 60% 49% 49% 44% 44% 47% 47% 40% 0 5 20% 2002 2004 2006 2008 2010 2012 2014 2016 0% 0 -15 16-24 25-34 Business Holiday VFR Study Misc. Germany All markets 35-44 45-54 55-64

Source: International Passenger Survey by ONS 65+ Not Known

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1.2 Visitor demographics: origin

Visits to the UK in (000) 2015 • The largest proportion of German visitors who came to the UK live in the South and West of Germany. Gateway airports to the the UK for these areas include Duesseldorf, Cologne/Bonn, Munich and . • The most densely populated states are the city states of Berlin, Hamburg and Bremen; least densely populated states are Mecklenburg- Western Pomerania and Brandenburg which are mostly rural areas.

Visits in 000s | % share of visits

High Medium Low

Source: International Passenger Survey by ONS

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1.2 Visitor demographics: welcome and recommending Britain

Feeling of ‘welcome’ in Britain Likelihood to recommend Britain

60% 50% 56% 47% 45% 45% 45% 49% 50% 40%

39% 40% 35% 30%

30%

20% 20% 12% 10% 10% 8% 9% 10%

0% 0% 0% 0% 0% 1% 0% 0% 0% 0% Extremely Very Quite Not very Not at all Extremely Very likely Quite likely Not very Not at all welcome welcome welcome welcome welcome likely likely likely

Germany All markets Germany All markets

Source: CAA 2016

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1.3 Britain and competitors

Market size, share and growth potential • Britain was the 8th most visited destination by Germans in 2016. • Forecasts suggest there is the potential for steady growth in the number of visits to Britain during the next decade. • Of those who came to Britain for a holiday, 25% Britain considered Ireland, 19% France and 15% ranks 8th Spain as an alternative holiday destination. for German outbound • 21 million, 30% of all holiday trips taken by destinations by volume Germans in 2016 were domestic.

Source: Oxford Economics, VisitBritain/IPSOS 2016, FUR Reiseanalyse 2016 and 2017

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1.3 Britain and competitors

Britain’s market share of German visits Historic and potential visits to Britain (000s) among competitor set

18% 6,000.00 France 22% 21% 4,872 Austria 20% 5,000.00 19% Spain 17% 17% 4,000.00 Italy 18% 8% Netherlands 6% 3,000.00 8% Poland 6% 5% 2,000.00 5% 3% Switzerland 4% 1,000.00 1% Ireland 1% 0.00 0% 5% 10% 15% 20% 25% 2016 2011

Source: Oxford Economics

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1.4 Inbound activities

Inbound Britain • Shopping is the number one activity which features in many German visits followed by going to the pub. • More than half of holiday visits involve time in a park or garden. • Built heritage sites, and especially castles, are important attractions for many visitors from Germany. • German visitors are less likely than other visitors to go to a theatre or live music event while in Britain. • Walking in the countryside or by the coast is an activity popular with many German visitors. • About 50,000 German visits per annum feature time watching football.

Source: International Passenger Survey by ONS

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1.4 Inbound activities

Propensity to visit museums and Propensity to visit built heritage sites galleries

VFR: visited religious buildings 17% 18% 24% VFR VFR: visited castles/historic houses 24% 23% 23% Holiday: visited religious buildings 42% 46% 35% Holiday Holiday: visited castles/historic houses 60% 48% 48%

Business: visited religious buildings 5% 7% 4% Business 6% Business: visited castle/historic houses 7% 6% All journey purposes: visited religious 25% All journey 29% buildings 20% purposes 28% All journey purposes: visited castle/historic 36% houses 28% 0% 20% 40% 60% 0% 20% 40% 60% Germany All markets Germany All markets

Source: International Passenger Survey by ONS

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1.4 Inbound activities

Propensity to attend the performing arts Number who went to watch sport live during trip

3% 952 All journey purposes: Attended a festival 0 3% Horse racing 2708 All journey purposes: Went to the 6% 312 theatre/musical/opera/ballet 9% 0 0 VFR: Attended a festival 3% Cricket 104 3% 0

VFR: Went to the theatre/musical/opera/ballet 6% 3429 8% 0 Rugby 1998 Business: Attended a festival 0% 0 1% 666 Business: Went to the 2% 403 theatre/musical/opera/ballet 2% Golf 116 0 Holiday: Attended a festival 4% 4% 12435 6225 Holiday: Went to the 9% Football 10560 theatre/musical/opera/ballet 14% 17765 0% 10% 20% 0 5000 10000 15000 20000

Germany All markets Holiday Business VFR Misc.

Source: International Passenger Survey by ONS

25 Market and Trade Profile Germany

1.4 Inbound activities

Propensity to go for a walk or cycle Propensity to visit a park or garden

Holiday: Walking along the coast 20% 11% 35% 2% Holiday: Cycling 2% VFR 32% Holiday: Walking in the countryside 38% 26% 1% Business: Walking along the coast 1% 55% 0% Business: Cycling 0% Holiday 4% 50% Business: Walking in the countryside 5% 13% VFR: Walking along the coast 11% 7% 3% VFR: Cycling 2% Business 7% VFR: Walking in the countryside 35% 28% All journey purposes: Walking along the coast 13% 8% 36% All journey All journey purposes: Cycling 2% 1% purposes 32% All journey purposes: Walking in the… 25% 20% 0% 10% 20% 30% 40% 0% 20% 40% 60%

Germany All markets Germany All markets

Source: International Passenger Survey by ONS

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1.4 Inbound activities

Propensity to go to restaurants, pubs, Propensity to purchase selected items night clubs and socialise with locals (%)

None of these 41% 62% 38% VFR: dining in restaurants 62% Other holiday souvenir (not mentioned… 17% 52% 16% VFR: socialising with the locals 50% Items for your home e.g. furnishing 3% 53% 3% VFR: went to pub 54% 2% 68% Electrical or electronic items e.g. camera Holiday: dining in restaurants 70% 3% 5% 31% CDs, DVDs, computer games etc Holiday: socialising with the locals 36% 5% 29% 54% Food or drink Holiday: went to pub 50% 24% 6% 43% Games, toys or gifts for children Business: dining in restaurants 49% 9% 11% Books or stationery 12% Business: socialising with the locals 15% 13% 32% Cosmetics or toiletries e.g. perfume 8% Business: went to pub 32% 12% 58% Bags, purses etc 6% All journey purposes: dining in restaurants 61% 9% All journey purposes: socialising with the… 29% Personal accessories e.g. jewellery 6% 34% 10% 47% 35% All journey purposes: went to pub 46% Clothes or Shoes 41% 0% 50% 100% 0% 20% 40% 60%

Germany All markets Germany All markets

Source: International Passenger Survey by ONS

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1.4 Inbound activities

Propensity for visit to include an English language course (%)

70% 63% 61% 60%

50%

40%

30%

20%

10% 6% 6% 3% 4% 1% 2% 2% 3% 0% Holiday Business VFR Study Misc

Germany All Markets

Source: International Passenger Survey by ONS

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Chapter 2: Understanding the market

29 Market and Trade Profile Germany

2.Understanding the market

Chapter summary • Germany has the largest and second oldest population in . • Holidays tend to be an important part in the life of German people. Culture Nearly one in three holiday trips they took in 2016 was a domestic Most important holiday but they are keen outbound travellers, too. draw for German • Germans tend to start thinking about their trip to Britain early and visitors have a long lead-in time which can exceed half a year. • Bookings are made most commonly in the three to six month window prior to the start of the trip. Only a small proportion book their travel arrangements in the month leading up to their departure. • Friends, family and colleagues are the most important influences on destination choice. • Germans rate Britain highly for cultural and built heritage, contemporary culture, vibrant cities and sports and associate museums and music most strongly with Britain.

Source: Bank, Oxford Economcis, FUR Reiseanalyse 2016 and 2017, VisitBritain/IPSOS 2016, GfK Anholt Nation Brands Index 2017

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2.1 Structural drivers

Demographics & society • Population of around 82.6 million, the most populous nation in Western Europe. 82.6m • Germany is a Federal Republic with the legislative elections German due in 2017. There are 16 Bundesländer (federal states). The most population densely populated states are the city states of Berlin, Hamburg and Bremen; least densely populated are Mecklenburg-Western Pomerania and Brandenburg which are mostly rural. • Most Germans live in cities (75% according to World Bank Estimate). • The official language is German; English often is the first or second foreign language Germans learn in school. • German full-time employees receive 30 days annual leave plus have up to 10 public holidays/year; European average is 35.3 days in total.

Source: Oxford Economics, CIA World Factbook 2017, World Bank

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2.1 Structural drivers: population and economic indicators

Population dynamics Economic indicators (% growth unless stated)

Measure 2016 Indicator 2016 2017 2018 estimate

Total population 82,551,000 Real GDP 1.8 2.0 1.6 Net No. migrants per 1.5 Consumer spending 1.9 1.3 1.3 1,000 population Unemployment rate 6.1 5.8 5.7 Overall growth rate per annum 1.0% Average earnings 2.8 3.5 3.4

Consumer prices 0.5 1.9 2.1

Source: Oxford Economics, CIA World Factbook 2017

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2.1 Structural drivers: general market overview

General market conditions

• Germany is Britain’s 3rd most important source market • Legislative elections are set for 2017. The current in terms of visits and 2nd most important for visitor German government is a ‘Grand Coalition‘ formed spending. after the 2013 elections with Angela Merkel continuing • The German economy is Europe’s largest and as Chancellor. generally speaking fairly robust and remains on track • The country has the second oldest population in to grow at a solid pace in the near term, before Europe and the third oldest globally with a median slowing in the medium term. Unemployment is age of 46. currently at a record low and consumer confidence • Germans enjoy a high standard of living with GDP per and spend are very strong (Oxford Economics). capita in purchasing power parity terms of around US$44,000, forecasted to increase in the years to Key demographic and economic data come. • According to the Capgemini World Wealth Report Measure (2016 data) Germany Eurozone 2016 there were 1,199,000 High Net Worth Individuals (HNWI) resident in Germany, these being Population (m) 82.6 336.8 people with investible assets worth more than $1 GDP per capita PPP (US$) 43,799 38,070 million, representing an increase of 5% on 2014. This Annual average GDP growth represents the third largest HNWI population behind 1.2 0.6 over past decade (%) the US and Japan. Annual average GDP growth 1.8 1.7 in 2016 (%) Source:, Oxford Economics, Statistisches Bundesamt, Capgemini World Wealth Report 2016

33 Market and Trade Profile Germany

2.1 Structural drivers: exchange rate trends

Exchange rate trends (cost of GBP in EUR)

1.70

1.60

1.50

1.40

1.30

1.20

1.10

1.00 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Please find the most up-to-date exchange rate trend based on monthly averages at .org/visitor-economy-facts.

Source. Bank of England

34 Market and Trade Profile Germany

2.2 Consumer trends

• 98% of Germans aged 14-29 and 96% aged 30-49 access mobile internet (Reiseanalyse 2017). • E-commerce is very popular in Germany: 75% of Germans aged between 20-29 and 80% of 98% Germans aged between 30-39 have bought of Germans aged goods or services online (HDE-Prognose 2015 14-29 use mobile and AGOF Internet Facts 2015-07). internet access • One of the strongest current trends in the market is the sharing economy with e.g. city car-sharing schemes being hugely popular (about 2 million users). Uber and Airbnb and local competitors Wimbdu and 9flats are, as the sharing economy in general, facing legal challenges in most German cities.

Source: FUR Reiseanalyse 2017, HDE-Prognose 2015, AGOF Internet Facts 2015-07

35 Market and Trade Profile Germany

2.2 Consumer trends: overall travel trends

Travel trends • The total number of holiday travellers (53.4 million in • The share of Germans booking their holidays online is 2016) was stable and the total number of holiday journeys increasing: 37% booked their holidays (or parts of it) taken (68.7 million in 2015) slightly declined online in 2016 (only 14% in 2006, FUR Reiseanalyse (Reiseanalyse 2017). 2007 and 2017). • Short holiday breaks continue to be very popular amongst • Green destinations are increasingly popular: apart from Germans and have increased : 80.5 million short breaks Britain, Ireland, Iceland, and have also of up to 4 nights were taken in 2016; 75% of these were seen significant growth from Germany. Active holiday domestic breaks. Austria, the Netherlands, Italy, Britain types incl. activities such as walking and cycling and and France were the most popular international exploring destinations through a touring holiday are on destinations for short breaks in 2016. London was the the rise (Reiseanalyse 2014). most popular city destination. Domestic city trips and city • The trade currently reports a mixed picture for bookings in trips abroad have both declined in market share amongst general. Bespoke packages have seen growth (e.g. short holiday breaks year-on-year (Reiseanalyse 2017). Dertour) whereas full packages have become less • The German cruise market is still showing strong growth; popular. This shows that the lines between bookings the number of Germans who have taken an ocean or river through tour operators and individual direct bookings cruise has grown by 19% to 2.2 million in 2015 (estimate, have become increasingly unclear. DRV Kreuzfahrtenmarktstudie). • Reliance on traditional retail agents for travel bookings is much stronger than in many other European countries. In 2016 33% of all trips were booked through a traditional travel agent. Source: FUR Reiseanalyse 2017, DRV Kreufahrtenmarktstudie

36 Market and Trade Profile Germany

2.2 Consumer trends: motivation and attitudes to holidays

Number of overnight trips away from home Motivation and attitudes to holidays for all journey purposes (%) • Holidays are very important to Germans as they are considered necessary to escape from the pressure of life 25% or the natural rewards for success and hard work. 20% • Germans are fairly unlikely to amend their holiday plans 20% 17% 16% 16% due to the economic situation (76% reported that it has 15% 12% had no impact on their 2015 holiday plans, EC Study). 11% • Amongst the most popular holiday destinations are typical 10% 7% sunshine locations such as the Mediterranean with Spain 5% being most popular. Turkey has become a very popular 1% destination for families due to its all-inclusive offers but 0% None 1 2 3 4-5 6-10 10+ DK has, like Northern Africa seen recent decline in German visitor numbers after political unrest and terror attacks. • Neighbouring countries including Austria, Switzerland, France, Poland and the Netherlands are very popular for • The volume of outbound trips overall in 2015 was the highest trips taken by car and rail and short trips. of all source markets globally. • Destinations like Britain (outside London), Ireland and the • The majority of Germans like to take more than one trip per Scandinavian countries tend to attract travellers seeking year. slightly more adventurous activities. They often tend to have an above-average income and education, often from older groups.

Source: Oxford Economics, FUR Reiseanalyse 2017, Flash Eurobarometer 432 by EC 2016: During 2015, how many times did you travel for professional or personal reasons where you were away from home for a minimum of one night?

37 Market and Trade Profile Germany

2.2 Consumer trends: reasons for holidays Main reasons for going Reasons to return to the same destination on holiday (%) for a holiday

5% Specific events 3% 9% Accessible facilities 6% 36% Visiting family/ friends / relatives 28% 38% Cultural and historical attractions 31% 26% Culture 26% 13% The activities/services available 20% 30% Nature 31% 17% How tourists are welcomed 15% 21% Sport-related activities 12% 18% 24% The general level of prices City trips 24% 27% 44% 14% The natural features Wellness/Spa/health treatment 45% 13%

37% 33% Sun/beach The quality of the accommodation 39% 32%

0% 20% 40% 60% 0% 20% 40% 60%

Germany EU28 Germany EU28 • Amongst the main reasons for going on a holiday for • Asked for reasons which would make them come back, Germans are: sun/beach, nature, visiting family/friends Germans tend to value natural features and the quality of and relatives followed by nature, culture and city trips accommodation is also found to be key for 1 out of 3.

Source: Flash Eurobarometer 432 by EC 2016: What were your main reasons for going on holiday in 2015? Firstly? And then? and Which of the following would make you go back to the same place for a holiday? Firstly? And then?

38 Market and Trade Profile Germany

2.3 Booking and planning

• German visitors tend to have a long lead-in time in comparison to other markets. They start thinking about their trip early with the majority as early as half a year or more in advance. 6 months+ • The most common time for German visitors to Germans tend to start make a booking is in the three to six month thinking about their trip to window before their arrival in Britain. Only a Britain early small proportion of visitors book their trip to Britain less than a month before. • Most bookings to Britain were made online; however, when travel and accommodation are booked together, one in three visitors made the booking face-to-face. This is a fairly large share in comparison to other European markets.

Source: VisitBritain/IPSOS 2016

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2.3 Booking and planning: booking channels and ticket sales

How trips to Britain were booked Propensity to make a purchase before or during trip

1% 1% 100% 1% 45% 4% 5% 41% 13% 90% 14% Don’t know 40% 37% 5% 80% 35% 10% 30% 31% 36% Did not book – stayed with 28% 28% 70% 30% friends / relatives 25% 23% 24% 24% 60% 25% 22%22% By phone 19% 19% 19% 50% 20% 17% 16% 15% 40% 82% Face to face 11% 72% 9% 10% 6% 30% 58% 5% 20% Online 0% 10% Pre During Pre During Pre During Pre During Pre During 0% Theatre / Sporting event Guided Guided Tickets / passes Travel Accommodation Holiday Musical / tickets sightseeing sightseeing for other tourist (travel and Concert tickets tours in London tours outside of attractions accommodation) London Germany All markets

• German visitors have become increasingly comfortable • Prior to trip: Nearly one in five Germans booked with booking their trips to Britain online, especially when theatre/musical/concert tickets before their journey and they booked travel (i.e. transport to Britain). nearly one in four bought tickets/passes for • More than one in three bookings were made face to face miscellennaneous tourist attractions in advance. when booking a holiday arrangement (i.e. travel and • During the trip: More than one in three bought accommodation combined) which is higher than in many tickets/passes for miscellennaneous tourist attractions. other source markets. One in four purchased guided sightseeing tours outside of Source: VisitBritain/IPSOS 2016, base: visitors (online survey), FUR Reiseanalyse 2017 London.

40 Market and Trade Profile Germany

2.3 Booking and planning: lead-times

Decision lead-time for visiting • Germans tended to start thinking early about their trip to Britain and had a longer lead-time than the all Britain market average. Nearly three in five started thinking 60% 57% about their trip six months or more in advance, while 28% did this in the three to six month window. 50% 46% 44% • Roughly two in five decided to travel to Britain either 40% six months or earlier. A similar proportion of travellers 40% 38% knew at least three months prior to the actual journey;

30% 28% both are above the all market average. 24% • Almost half of German visitors looked at options and 19% 20% 17%17% 15% prices between three and six months ahead of their 13% 11% 9% trip and also made the booking in the same time 10% 7% 5% 5% frame. Only one in five were more spontaneous and 1% 2% 2% 0% booked the trip to Britain less than a month before 6+ months 3-6 months 1-2 months Less than 1 Don't know travelling to Britain. before trip before before month before • The majority of Germans who booked travel and % starting to think about trip at each stage accommodation separately booked it directly with the

% deciding on the destination at each stage service provider e.g. (76% and 62% respectively). When they bought travel and % looking at options/prices at each stage accommodation together as a package 70% chose to % booking the trip at each stage book it through a travel agent, or travel comparison website. Source: VisitBritain/IPSOS 2016, base: visitors

41 Market and Trade Profile Germany

2.4 Reaching the consumer

• The most influential source for destination choice for Germans are friends, relatives and colleagues followed by information from search engines and price comparison websites. • Whilst travel providers and online sources such Friends, family as social media are popular for researching and making a destination choice, one in three & colleagues Germans consult travel guidebooks. #1 Influence for the destination choice • Germans, on average, watch more than 3.5 of Germans hours of TV per day and listen to the radio for more than 4 hours per day.

Source: Oxford Economics, VisitBritain/IPSOS 2016, FUR Reiseanalyse 2016 and 2017

42 Market and Trade Profile Germany

2.4 Reaching the consumer: broadcast media, radio and papers

Broadcast media Newspapers • Germans watch TV for 223 mins. on average each day • The German newspaper market is the biggest in (AGF/GfK, 2015). Europe: 45.3 million read newspapers each day • Biggest national public TV channels are ARD, ZDF and (=65% of the population; die-zeitungen.de, 2015); their regional subchannels e.g. SWR, SR, WDR, RBB, local papers make up a large part of this market. NDR and BR. • The main publishing houses are spread across the • Commercial TV landscape: RTL group and country with Berlin being one of the most prominent ProSiebenSAT1 media group, pay TV: Sky, some local media centres. TV channels and teleshopping channels. • The biggest national titles include: BILD, Süddeutsche • Dedicated travel programmes: “Da will ich hin…” (SR), Zeitung (SZ), Frankfurter Allgemeine Zeitung (FAZ), “Service Reisen” (HR), “Reisewege” (SWR) and Welt, Frankfurter Rundschau (FR), Tageszeitung “Nordseereport” (NR) as well as inter-cultural travel (Taz), Tagesspiegel, Neues Deutschland (ND) with programmes on the German-French quality channel BILD being the highest-selling tabloid in Europe ARTE. (circulation: 2.57 million). • All newspapers have weekly travel or lifestyle sections Radio with the content being a compilation of internally • There are >100 major radio stations in Germany and a produced travel features (often the result of press large number of smaller private channels; hardly any of visits) and articles from news agencies and freelance them have any dedicated travel programmes but they still journalists. offer good media opportunities and they often have apps for smartphones and tablets to increase their audience. • >56 million Germans listen to the radio on average 4 hours/day.

Source: AGF/GfK 2015, die-zeitungen.de 2015, Market and Trade Profile Germany

2.4 Reaching the consumer: magazines and online media

Magazines Online media • Almost 1,600 titles – more than 32.7 million Germans • Growing usage of apps and mobile enabled websites read a magazine at least weekly with TV magazines (MEW) resulted in an increase in the number of registered having the highest circulation; the market is highly online media: 1,067 online media suppliers are registered competitive and not saturated despite the large number subject to a regular official and independent review – these are of magazines. a mixture of “classic” online media suppliers and online • Top 5 German travel magazines by circulation: “ADAC versions of traditional media, apps or MEWs Reisemagazin” (circulation: 94,838), “Geo Saison” (http://asuweisung.ivw-online.de). (88,638), “Reise und Preise” (72,060), “Abenteuer • Print goes digital: Reisen” (58,494) and “Lonely Planet Traveller - E-paper circulation of 780,134 overall in 2015 Magazine” (55,000). - choice of more than 600 apps • Ongoing trend topics: - traffic is growing - Rediscovery of men as promising target group: - 2/3 of internet users from 14 years of age consult online Freeman’s World (adventure, travel, life style) and newspaper sites; most popular versions: bild.de, Focus Tweed (British lifestyles) online and Spiegel Online - DIY magazines (COUCH, D.I.Y) • Travel blogs are less popular than in other European countries with a limited number of them available. Many of them include - Blog style magazines (I LIKE BLOGS) social media presences; www.planetbackpacker.de was the - New titles: EASY (weekly women’s magazine), SALON most influential German travel blog in 2015 (Top Blog (hospitality, interior design, lifestyle, food) Ranking). The German language can act as a barrier to - Country-style magazines are also a great media obtaining a large global following. platform; the market leader is “Landlust” (1 million sold • The importance of YouTube has increased and some copies) German vloggers are very popular with hundreds of thousands of followers – they might not focus on travel in particular but are trusted amongst their young followers. Market and Trade Profile Germany

2.4 Reaching the consumer: social media on holiday

Use of social media on holiday • Germans tend to have below-average usage of social media (whilst on holiday) but still roughly one in three use it to keep in touch with people at home and one in 31% five use it to post or upload photos of their holiday. To keep in touch with people at home 44% • The social media channels most used in the German 22% To post / upload photos of my holiday 39% market are YouTube, Facebook, Google +, Twitter, 15% Instagram and Pintererst. Look for recommendations for places to eat or drink 30% • 63% of Germans regard a smartphone as essential I have not used social media at all on this type of holiday 47% 29% whilst they are on holidays. Share with others where you are / what you are doing while 13% on holiday 29% • 84% of Germans love to take photos when they are To let people know where I am at a given moment (e.g. 11% on holidays which is above average compared to all checking in on Facebook) 25% other markets and only topped by Italian respondents To help you plan / decide where to go or what to see or what 11% to do 23% when compared to other European markets. 11% Ask for advice on where to go or what to do 20% • Germans have a below-average propensity to share their photos whilst on holiday and are less likely to Share my own advice or recommendations about visiting 6% where I am 19% share video content whilst on holidays in comparison 0% 20% 40% 60% to other markets.

Germany All markets

Source: VisitBritain/IPSOS 2016, base: all respondents: Have you used social media in any of the following ways whilst on your last holiday to Britain (visitors) /on your last holiday to a foreign destination (considerers)?

45 Market and Trade Profile Germany

2.4 Reaching the consumer: influences

Influences on destination choice

51% Talking to friends / relatives / colleagues 40% 44% Information from search engines [e.g. Google] 33% 36% Looking at prices of holidays/flights on price comparison websites 31% 29% Websites providing traveller reviews of destinations [e.g. TripAdvisor] 30% 27% Talking to friends or family in your social network (e.g. via Facebook / Twitter) 26% 28% An accommodation provider/ hotel website 26% 32% A travel guidebook 25% 24% Travel agent or tour operator website 25% 17% Travel blogs / forums 22% 20% Travel programme on TV 19% 15% A special offer or price deal you saw advertised online 19% 16% Travel agent or tour operator brochure 18% 16% An official tourist organisation website or social media site for the country or destination 18% 21% An official tourist brochure for the country / city / region 17% 23% A travel feature / article in a magazine or newspaper 16% 15% Direct advice from a travel agent/tour operator (face-to-face, over the phone) 16% 10% Images or videos your friends or family have posted to social media 15% 15% Images / information in online adverts 15% 13% A special offer or price deal you saw advertised offline e.g. in a newspaper, magazine or on TV 15% 11% Images or videos from a photo/video sharing social network site 14% 8% Travel app 14% 12% Images / information in adverts in a magazine or newspaper 12% 12% Articles on an online encyclopaedia e.g. Wikipedia, Wikitravel 12% 8% Images / information in TV adverts 11% 4% Seeing social media posts from celebrities talking about their holiday destinations 9% 6% Images / information on billboards / poster adverts 9% 4% Travel programme on radio 6% 3% Information in radio adverts 6% 0% 10% 20% 30% 40% 50% 60% Germany All markets Source: VisitBritain/IPSOS 2016, base visitors & considerers. Which of the following sources influenced your choice of destination? (Market scores have been adjusted so that the sum of all influences for each market is equivalent to the global total, to enable meaningful comparisons)

46 Market and Trade Profile Germany

2.5 Perceptions of Britain

• Germans rate Britain highly for cultural and built heritage, contemporary culture, vibrant cities and sports, but less so for scenic natural beauty and welcome; Britain is rated 26th and 22nd out of fifty nations respectively on these two attributes. Areas of strength for Britain: • Museums and music are the cultural products or services most Culture, history strongly associated with Britain among Germans. and famous sites • A trip to Britain would be expected to be ‘Educational’ and ‘Fascinating’ by Germans. • Australia and to a lesser extent the USA are the destinations that Germans consider the ‘best place’ for delivering the things they most want from a holiday destination. • Areas of strength for Britain include being somewhere to see ‘famous sites’ and for ‘lots of history’ while very few consider Britain is the ‘best place for ‘food and drink’. • Activities that appeal to potential visitors from Germany include a visit to Buckingham Palace and spotting wildlife in the Scottish Highlands.

Source: GfK Anholt Nation Brands Index 2017, Arkenford 2013

47 Market and Trade Profile Germany

2.5 Perceptions of Britain

Britain’s ranking (out of 50 nations)

Measure German All respondents respondents Overall Nation Brand 10 3 Culture (overall) 4 5 The country has a rich cultural heritage 6 7 The country is an interesting and exciting place for contemporary culture such as 4 3 music, films, art and literature The country excels at sports 6 4 People (overall) 18 6 If I visited the country, the people would make me feel welcome 22 13 Tourism (overall) 11 3 Would like to visit the country if money was no object 17 6 The country is rich in natural beauty 26 24 The country is rich in historic buildings and monuments 6 5 The country has a vibrant city life and urban attractions 5 4

Source: GfK Anholt Nation Brands Index 2017

48 Market and Trade Profile Germany

2.5 Perceptions of Britain

Cultural associations Adjectives describing a potential trip to Britain

40% Museums Educational 37% 45% 33% 40% Music Fascinating 32% 39% 32% 30% Films Exciting 27% 37% 30% 30% Sports Romantic 15% 36% 17% 23% Modern Design Relaxing 17% 29% 16% 30% Pop videos Spiritual 5% 29% 8% 13% Sculpture Stressful 6% 23% 8% 16% Opera Risky 6% 23% 7% 4% Street Carnival Boring 6% 14% 7% 7% Circus Depressing 6% 13% 5% 27% None None 21% 16% 17% 0% 10% 20% 30% 40% 50% 0% 10% 20% 30% 40% Germany All respondents Germany All respondents

Source: GfK Anholt Nation Brands Index 2017

49 Market and Trade Profile Germany

2.5 Perceptions of Britain Holiday wants and % saying destination is best place for…

Importance GB FR IT AU Best placeUS to get…NL 6.15 Enjoy the beauty of the landscape 14% 35% 35% 53% 31% 14% 6.14 Have fun and laughter 15% 13% 17% 23% 30% 10% 6.02 Soak up the atmosphere 9% 19% 28% 30% 17% 7% 6.01 Explore the place 15% 18% 17% 33% 33% 12% 5.97 Enjoy local specialities (food and drink) 6% 53% 48% 15% 10% 6% 5.96 Do what I want when I want spontaneously 6% 10% 11% 24% 37% 15% 5.95 Offers good value for money 9% 13% 21% 10% 13% 21% 5.95 The people are friendly and welcoming 15% 20% 28% 34% 28% 23% 5.89 Do something the children would really enjoy 13% 20% 28% 32% 37% 14% 5.88 Enjoy peace & quiet 10% 20% 21% 36% 11% 15% 5.80 Broaden my mind/ Stimulate my thinking 19% 20% 22% 39% 37% 10% 5.75 Get some sun 3% 20% 48% 49% 21% 9% 5.71 Experience things that are new to me 9% 10% 12% 58% 42% 9% 5.60 See world famous sites and places 38% 40% 47% 35% 44% 12% 5.60 Be physically healthier 9% 20% 26% 25% 14% 14% 5.60 Have dedicated time with my other half 20% 38% 37% 33% 28% 23% 5.59 It offers unique holiday experiences 19% 24% 27% 60% 55% 14% 5.58 Feel connected to nature 8% 25% 17% 49% 20% 16% 5.48 Chill/ slow down to a different pace of life 7% 17% 23% 24% 11% 12% 5.38 Visit a place with a lot of history/historic sites 41% 48% 52% 20% 27% 11% 5.36 Meet the locals 11% 11% 18% 30% 21% 10% 5.33 Provides a wide range of holiday experiences 21% 27% 31% 47% 54% 15% 5.27 Get off the beaten track 7% 14% 9% 40% 23% 9% 5.26 Experience activities/places with a wow factor 22% 17% 16% 63% 66% 10% 5.17 Feel special or spoilt 8% 21% 22% 27% 31% 10% 5.05 Revisit places of nostalgic importance to me 21% 27% 37% 17% 19% 21% 4.98 Good shopping 34% 27% 32% 15% 59% 14% 4.92 A good place to visit at any time of year 15% 23% 25% 37% 37% 16% 4.88 Easy to get around by public transport 19% 23% 19% 7% 14% 28% 4.86 Enjoy high quality food and drink (gourmet food) 7% 66% 42% 18% 10% 7% 4.55 Do something environmentally sustainable/ green 28% 31% 19% 35% 24% 29% 4.53 Meet and have fun with other tourists 16% 8% 17% 51% 45% 28% 4.53 Visit places important to my family's history 10% 18% 25% 23% 21% 11% 4.52 To participate in an active pastime or sport 12% 22% 29% 35% 31% 19% 4.18 Experience adrenalin filled adventures 18% 11% 14% 41% 37% 9% 3.98 Fashionable destination 15% 27% 34% 42% 45% 13% 3.93 Go somewhere that provided lots of laid on entertainment/nightlife 23% 24% 27% 23% 55% 18% 3.66 Watch a sporting event 33% 18% 26% 27% 29% 17% 3.64 Party 13% 23% 22% 23% 43% 27% 3.50 Do something useful like volunteering to help on a project 15% 29% 11% 23% 22% 25%

Source: VisitBritain/Arkenford 2013

50 Market and Trade Profile Germany

2.4 Reaching the consumer

Motivations for choosing Britain as a holiday destination 44% Cultural attractions 42% 42% Wide variety of places to visit 25% 24% Wanted to go somewhere new 23% 31% Vibrant cities 22% 31% Countryside/natural beauty 22% 20% Easy to get around 22% 33% Somewhere English-spoken 22% 18% Visiting friends or relatives 22% 17% Ease of getting to the country 21% 16% A culture different from own 19% 21% A mix of old and new 19% 13% Contemporary culture 18% 17% Try local food and drink 18% 15% A good deal 18% 9% Security / safety 17% 15% Accommodation (variety & quality) 16% 18% Easy to get plan/organise 16% 16% Meeting locals 13% 13% Wide range of holiday activities 13% 7% The climate / weather 12% 7% Cost of staying in the destination 12% 5% Watching sport 10% 5% Visit a film/TV location 9% 2% Easy to visit with children 8% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% Source: VisitBritain/IPSOS 2016, adjusted data

Germany All markets 51 Market and Trade Profile Germany

2.5 Perceptions of Britain

Sought-after Britain activities 0 0 13% Visit Buckingham Palace 29% 12% Spot wildlife in Scottish Highlands 27% 8% View London from Shard tower / London Eye 18% 7% Go to a Premier League football match 16% 6% Shop on London's Oxford Street 18% 6% Dine by the fire in a cosy Welsh pub 25% 6% Visit Edinburgh castle 19% 5% Tour around quaint Cotswold villages 17% 5% Go walking in Yorkshire's moors & hills 17% 5% Visit 16th c. historic Chatsworth House & gardens 13% 4% Enjoy a night out in Newcastle's bars 14% 4% Watch a musical in London's West End 9% 4% Have fish & chips at the seaside 16% 3% Go on the Harry Potter studio tour 12% 3% Relax in Bath rooftop spa overlooking Roman baths 11% 3% None of these 10% 2% Take a leisurely steam cruise in the Lake District 11% 2% Enjoy traditional afternoon tea & cakes 9% 0% 5% 10% 15% 20% 25% 30% 35%

% first % any

Source: GfK Anholt Nation Brands Index 2013; If you went on a holiday/vacation to Britain which of the following activities would you most like to do? Please choose a first, second and third choice

52 Market and Trade Profile Germany

Chapter 3: Access and travel trade

53 Market and Trade Profile Germany

3. Access and travel trade

• It is possible to reach many destinations in Britain by air from Germany. There are also direct coach services and a simple change of train in Brussels enables visitors to reach Britain by rail. • Monthly airline seat capacity from Germany to Britain has grown ~800,000 Monthly airline seat in recent years. Many operate flights from Germany to capacity from Germany to Britain with being the largest carrier followed by British Britain in early 2016 Airways. • The German travel market is very mature, there are a few big players dominating the market but also a fair number of small specialist operators with comprehensive Britain programmes. • Although in Germany retail agencies are still more important than in other European countries they are now increasingly facing competition from Internet travel portals.

Source: Apex Rdc 2016

54 Market and Trade Profile Germany

3.1 Access: key facts

• Most Germans travel to the United Kingdom by plane. It is a very short non-stop flight: usually about 1-1.5 hrs flight time. Most Germans travel • The destination can also be accessed by to the UK by plane. direct coach services, by car through the Channel Tunnel, by ferry or by a simple change of train in Brussels or Paris. • Seat capacity has steadily increased in recent years. • German visitors departing Britain by air pay Access to Britain £13 in Air Passenger Duty. • The above average regional spread of Measure 2016 German visitors is supported by the Weekly aircraft departures 1,263 connectivity to many regional airports in the Weekly seat capacity 180,948 United Kingdom. Airports with direct routes in Germany 23 • The small annual share of some regional Airports with direct routes in Britain 22 airports can be due to seasonal connectivity e.g. Frankfurt-Hahn – Newquay which only runs in the summer schedule. Source: Apex RdC 2016, non-stop flights only

55 Market and Trade Profile Germany

3.1 Access: mode of transport

Visits by mode of transport Sea and tunnel travel (000s) in 2016

800 700 600 591 37 500 Lorry 400 300 275 51

Visits (000) Visits 200 182 100 0 54 Foot 15

Air Sea Tunnel 43 Visits (000) Visits Annual share by mode (2016) Coach 80% 71% 74% 308

60% 68 Private 40% Vehicle 22% 376 20% 14% 12% 6% 0 100 200 300 400 0% Air Sea Tunnel Tunnel Sea Germany All markets Source: International Passenger Survey by ONS

56 Market and Trade Profile Germany

3.1 Access: capacity Annual airline seat capacity trends Origin airport annual seat capacity

1.7%1.3%1.0% 2.8% 1.8% 10,000,000 3.0% 21.1% 9,409,315 5.2% 9,500,000 5.5%

9,000,000 6.9% 17.6% 8,500,000 8.3%

11.8% 8,000,000 12.2%

7,500,000 Frankfurt International Munich - Franz Josef Strauss Düsseldorf Berlin - Schönefeld Airport Hamburg Berlin - Tegel 7,000,000 Stuttgart Cologne/Bonn 2006 2008 2010 2012 2014 2016 Hanover Frankfurt - Hahn Bremen Dortmund Düsseldorf - Niederrhein Others

Source: Apex Rdc 2016: non-stop flights only Airports with less than 1% annual seat share: Nuremberg, Karlsruhe/Baden-Baden, Memmingen, Leipzig/Halle, Friedrichshafen, Muenster Osnabrueck, Dresden, Erfurt , Hamburg Blankenese

57 Market and Trade Profile Germany

3.1 Access: capacity

Destination airport annual seat Airline seat capacity by carrier (2016) 1.0% 1% 1% 1% capacity 1.3% 3.4% 1% 1.6% 2.8% 3.5% 5% 24% 4.3% 14% 41.1% 7.5%

7.8% 15% 22% 11.7%

14.1% 16%

London - Heathrow London - Stansted Lufthansa British Airways Eurowings easy Jet Ryanair Flybe Manchester International Birmingham International bmi Regional Norwegian Air Int. Singapore Airlines London - Gatwick Edinburgh Other airlines London City London - Luton Bristol Glasgow International Aberdeen Others

Source: Apex Rdc 2016: non-stop flights only Airports with less than 1% annual seat share: East Midlands, Leeds/, Liverpool, Newcastle, Cardiff, Doncaster Sheffield, Cornwall Airport Newquay, Jersey, Belfast, London Southend, Guernsey

58 Market and Trade Profile Germany

3.2 Travel trade: general overview Markets share by turnover • The German travel market is very mature. 2015/16 The top five players have just over half of the market share. Medium-size and cruise operators have seen strong growth in the past TUI Deutschland few years. TUI AG (TUI Cruises • For Britain a range of smaller and specialist & HLKF) operators are also important. 16%

DER Touristik • Distribution through retail agencies in 34% 4%

Germany is still more important than in other FTI Group European countries. Especially for bookings 13% of individual elements (e.g. transport and Aida Cruises 4% 10% accommodation) online booking channels are 5% Alltours also seeing growth. 6% 8% Schauinsland • Growth rates of OTAs have slowed down in the past two years Others

Source: fvw Dossier, Deutsche Veranstalter 2016, 23rd December 2016 & fvw Dossier, Deutscher Reisevertrieb 2016, 10th June 2015

59 Market and Trade Profile Germany

3.2 Travel trade: German tour operators

Top ten operators in Germany in 2015/16 The major tour operators with a comprehensive Britain programme Top Ten Tour Operators Turnover €m Pax are:

TUI Deutschland 4.400,0 6.000,000 Thomas Cook Group 3.500,0 6.100,000 DER Touristik 2.800,0 5.400,000 FTI Group 2.210,0 3.900,000 Owned by DER Touristik Aida Cruises 1.500,0 908,000 Alltours Flugreisen 1.330,0 1.620,000 Schauinsland Reisen 1.100,0 1,370,000 TUI Cruises 821,0 413,752 Owned by TUI Deutschland Partly owned by Thomas Cook Phoenix Reisen 327,2 154,058 Hapag-Lloyd Kreuzfahrten 296,7 28,898

Source: fvw Dossier, Deutsche Veranstalter 2016, 23rd December 2016

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3.2 Travel trade: online travel companies

Top ten online travel companies

Company Name Turnover 2016 Platform(s) (€m)* Booking.com 2,000.0 Booking.com Expedia 1,400.0 Expedia.de, Hotels.com, ebookers.de HRS 1,300.0 Expedia.de Ab-in-den-Urlaub.de, Fluege.de, Reisen.de, Unister Travel 1,100.0 travel14.com, Flug24.de Weg.de, Tropo.de, Reise.com, Etraveli.com Seven Travel 1,000.0 (Seat24.de, gotogate.com, Überflieger.de), Billiger- Mietwagen.de, Mydays.de Check 24 850.0 Check24.de Holidaycheck 770.0 Holidaycheck.de TUI.com, TUIfly.com, LtuR.com, 1-2-Fly.com, TUI Deutschland 750.0 Airtours.de Edreams Odigeo 730.0 Opodo.de, Govelo.de, Edreams.de Schmetterling Reisen 717.2 Schmetterling24.de and partner platforms

Source: fvw Dossier, Deutscher Reisevertrieb 2017, 9th June 2016, *estimated figures

61 Market and Trade Profile Germany

3.2 Travel trade: German holidays Public and local holidays

National public holidays in 2017 Local Holidays in 2017

Date National Holiday Date Local Federal State Holiday

1 January New Year’s Day Baden Württemberg, Bavaria, 6 January Twelfth Day Saxony-Anhalt 14 April Good Friday Baden Württemberg, Bavaria, 17 April Easter Monday Hesse, North Rhine-Westphalia, Corpus 15 June Rhineland-Palatinate, Saarland, Christi 1 May Labour Day Saxony-(only certain counties), Thuringia (only certain cities) 25 May Ascension Day Assumption Bavaria, Saarland (only certain 15 August 5 June Whit Monday Day towns) Baden-Württemberg, Bavaria, All Saints 3 October Day of German Unity 1 November North Rhine-Westphalia, Day Rhineland-Palatinate, Saarland 31 October Reformation Day (only in 2017 due to Luther anniversary) Repentance 25-26 22 November Saxony Christmas Day December

62 Market and Trade Profile Germany

3.2 Travel trade: practical information

General practical information: • Business Meeting Etiquette: Appointments are mandatory and should be made one to two weeks in advance. An • Business hours are usually 09:00 – 18:00 introductory email or letter is essential (not necessarily in (with 45 minute lunch break). German) with relevant background information. Most • A firm handshake is the most traditional form of greeting. meetings are formal and initial meetings are used to get to Titles are important and denote respect. You should say know each other. Meetings tend to adhere to strict Herr or Frau and the person's title and their surname until agendas, including starting and end times. At the end of a invited to use their first name. In general, when entering a meeting, some Germans signal their approval by rapping room, shake hands with everyone individually. their knuckles on the table. • Check your trip does not coincide with a public holiday as • Communication tends to be formal and you should expect many Germans take a long weekend around these, written communication, both to back up decisions and to especially in the spring and summer. Check on whether maintain a record of decisions and discussions. Following there is a large trade fair happening in the city you are the established protocol is critical to building and visiting, as it may be impossible to find a hotel room. maintaining business relationships. Once a firm business • Punctuality is important. If you expect to be delayed, relationship has been established it is appropriate to relax telephone and offer an explanation. It is considered rude to rules and to become more informal. cancel a meeting at the last minute and it could jeopardize • Business often is hierarchical and decision-making is held your business. at the top of the company. Final decisions are translated • Dress code: Business dress tends to be understated and into comprehensive action steps. conservative. • Make sure your printed material is available in both English and German.

63 Market and Trade Profile Germany

3.2 Travel trade: sales calls

Sales calls Germany is a large regionalised country with the travel • It is also important to note that a significant number of the trade concentrated around several cities, often with large key Britain players attend the VisitBritain’s ExploreGB distances between them. Therefore, before you embark on workshop, Best of Britain, BIM Marketplace and what could turn out to be a very costly and time-consuming VisitScotland Expo. Please contact VisitBritain London for sales visit to Germany, VisitBritain recommends that you details of those attending. Some operators also visit World take the following steps: Travel Market but register with the organisers • Provide the operators you are visiting with a independently. comprehensive information pack (preferably in German) • Bear in mind that it is not going to happen overnight! about your product. On your return to Britain ensure that Germany is a huge, complex and very competitive market you follow up quickly and renew contact regularly. that requires hard work and commitment. It may take • Keep in touch with VisitBritain; let us know about your several years to become established. progress. Regular market intelligence is essential for our future plans and activities.

64 Market and Trade Profile Germany

3.2 Travel trade: hospitality etiquette

Hospitality etiquette • If you are not paying for all, splitting a bill in Germany is If there is the opportunity it is definitely a good idea to quite common. Simply tell the waiter/waitress when take your German business partner out for a meal – paying what you are paying for, s/he will readily add up either to build up a relationship or to thank for business your amounts and present you with a personal total, given in the past. Here are some practical tips to help you which you should round up, as explained above. The plan this: waiter/waitress is likely to come up at the end of the meal and ask "All together?" or, in German “Zusammen?" • When choosing a restaurant ensure beforehand that credit cards are accepted or bring enough cash. Many German restaurants do not take credit cards (either cash or German debit cards). • If you order water, you will be asked whether you wish still or carbonated mineral water. It is uncommon to order tap water. • Service and VAT are included in the menu price in restaurants and bars all over Germany. Still, it is typical to "round up" the amount to some more-or-less round figure. A rule of thumb is to add 5-10%, generally ending with a full Euro amount.

65 Market and Trade Profile Germany

3.3 Caring for the consumer

Caring for the consumer Language basics • Very few German visitors expect their British hosts to English German speak German, with the majority of younger Germans speaking English. • German visitors are likely to have planned their Please Bitte itinerary in some detail, but younger visitors may be more spontaneous, but all will welcome local recommendations for things to do and see. Thank you Danke • Germans often try to find accommodation that has ‘character’. Yes Ja • German vegetarians are often impressed by the range of choices on offer in Britain. No Nein

Sorry! (apology) Entschuldigung!

Excuse me! Entschuldigen Sie, bitte!

Sorry, I do not speak Entschuldigung, ich spreche German. leider kein Deutsch.

66 Market and Trade Profile Germany

3.3 Caring for the consumer: German language tips

Language tips for arrival and departure

English German

Hello Hallo My name is… Ich heiβe… Welcome to Britain Willkommen in Großbritannien

Pleased to meet you! Ich freue mich Sie kennenzulernen.

How are you? Wie geht es Ihnen? Enjoy your visit! Genießen Sie Ihren Aufenthalt!

Goodbye! Auf Wiedersehen!

Did you enjoy your visit? Hatten Sie einen schönen Aufenthalt?

Have a safe journey home! Ich wünsche Ihnen eine sichere Heimreise!

Hope to see you again soon! Auf ein baldiges Wiedersehen!

67 Market and Trade Profile Germany

3.4 Working with VisitBritain We can help you extend your reach through: • Digital and social media such as through We are here to support you and look Twitter, our Facebook page – Love GREAT forward to working with you. Britain, or Pinterest. • Press and PR by sending us your newsworthy stories or hosting our journalists and broadcast To find out more browse our crew opportunity search (visitbritain.org/opportunities) • Leisure, and the business travel trade via our programme of sales missions, workshops and or trade website exhibitions or promotion to our qualified (trade.visitbritain.com) Britagents and supplier directory or contact the B2B events team • Print advertising in targeted media/Britain (Email: [email protected]) supplements or campaign partnerships team • Retailing your product through the VisitBritain (Email: [email protected]) shop or trade support team • Or as a major campaign partner (Email: [email protected])

68 Market and Trade Profile Germany

3.5 Useful research resources We have dedicated research and insights available which include: • Latest monthly and quarterly data from the We are here to support you and look International Passenger Survey by ONS forward to working with you. (visitbritain.org/latest-monthly-data visitbritain.org/latest-quarterly-data-uk-overall To find out more about Germany or other visitbritain.org/latest-quarterly-data-area) inbound markets browse • Inbound Tourism Trends by Market our markets & segments pages or visitbritain.org/inbound-tourism-trends (visitbritain.org/markets-segments) • Sector-specific research our inbound research & insights or visitbritain.org/sector-specifc-research (visitbritain.org/inbound-research-insights) • 2017 Inbound Tourism Forecast contact us directly visitbritain.org/forecast (Email: [email protected]) • Britain‘s competitiveness visitbritain.org/britains-competitiveness

69 Market and Trade Profile Germany

3.5 Useful market-specific research resources We have dedicated research and insights available which include: • Planning, decision-making and booking cycle of We are here to support you and look international leisure visitors to Britain forward to working with you. https://www.visitbritain.org/understanding- international-visitors To find out more about Germany or other • Technology and social media inbound markets browse https://www.visitbritain.org/understanding- our markets & segments pages or international-visitors (visitbritain.org/markets-segments) • Gateways in England, insights on overseas our inbound research & insights or visitors to England's regions, participation in (visitbritain.org/inbound-research-insights) leisure activities, multi-destination trips and more contact us directly visitbritain.org/visitor-characteristics-and- (Email: [email protected]) behaviour • Food & drink research visitbritain.org/inbound-food-drink-research

70 Market and Trade Profile Germany

Market and Trade Profile: Germany