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Understanding the LATAM Market
July 28, 2016
Thank you for joining us for today’s Webinar. This presentation will begin in a few short minutes.
A few reminders…• Please place your phone on MUTE. • Do not place the call on hold. If you need to leave the
presentation please hang up and dial back in. in.
Latin AmericaOpportunities on the table
Latin American (1) VISITORS TO SELECT U.S. CITIES 2014
2014 2014VISITATION
(000)
2014MARKETSHARE
RANK CITY VISITATION (2)
1 Miami 3,324 32.9%2 Orlando 2,381 23.6%3 New York City 2,119 21.0%4 Los Angeles 752 7.4%5 Las Vegas 603 6.0%6 Houston 525 5.2%7 Ft. Lauderdale 509 5.0%8 Chicago 341 3.4%9 Washington, D.C. 309 3.1%
10 San Francisco 292 2.9%11 Atlanta 253 2.5%12 Boston 194 1.9%13 Tampa-St. Petersburg 193 1.9%14 Dallas-Plano-Irving 182 1.8%15 Anaheim-Santa Ana 151 1.5%16 San Diego 150 1.5%17 West Palm Beach 145 1.4%18 San Antonio 130 1.3%19 Philadelphia 89 0.9%19 Florida Keys 89 0.9%
Latin Visitation to the USA in 2014 (in 000) 1 10,111 100.0%
1 Includes estimates for South & Central America, the Caribbean & Mexico air travelers
Top Cities.
Source: Ron Erdman, Deputy Director, US Department of Commerce, National Travel & Tourism Office
Where are Latin Americans going - destinations and connections
Scott Johnson, President, Travel Market InsightsLake George, NY
National Travel and Tourism Office, International Trade Administration, U.S. Department of Commerce 5
Myths of Latin America
Myth – Latin American Arrivals Crashed!•Latin America GDP stagnate (.4%) in 2015 source World Bank
•Brazil’s economy likely to see minus -3.8% growth in 2016•Currency, Commodities and China are all concerns•Venezuela nearly on bring of collapse•Colombia civil unrest (rebels)
National Travel and Tourism Office, International Trade Administration, U.S. Department of Commerce 6
2015 Arrivals from Latin America
Mexico
South America
CaribbeanCentral America
Mexico South America
Caribbean Central America2.6 Million by air
Total: 26.63 million arrivals
millions of visitors to the U.S.Record Arrivals
National Travel and Tourism Office, International Trade Administration, U.S. Department of Commerce 7
All Latin America (1) 26,626 7% 55%1 Mexico (1) 18,414 8% 38%2 Brazil 2,219 -2% 322%3 Colombia 854 -3% 145%4 Argentina (1) 792 16% 273%5 Venezuela 591 -4% 60%6 Ecuador (1) 372 11% 153%7 Dominican Republic (1) 317 17% 34%8 Chile (1) 309 24% 181%9 Peru (1) 282 15% 112%10Jamaica 248 21% 21%
Overseas includes all countries except Canada and Mexico.Sources: NTTO; Statistics Canada; Banco de Mexico - October 2015 forecast, rates of change. The NTTO will revise this forecast in
October 2016
National Travel and Tourism Office, International Trade Administration, U.S. Department of Commerce 12
Short-Term ForecastInbound Travel to the U.S. - Top Latin Origin Countries
Overseas includes all countries except Canada and Mexico.Sources: NTTO; Statistics Canada; Banco de Mexico - October 2015 forecast, rates of change. The NTTO will revise this forecast in
October 2016
In Next Two Years:
Add 1.6 million additional visitors
Visits forecast to increase 6.7%
National Travel and Tourism Office, International Trade Administration, U.S. Department of Commerce 13
Better Metrics - 2016 arrivals to the USA?
• DHS/CBP and DOC improved official visitor arrival metrics
• NTTO Destination data stronger sample (Record High)
• Private Public Partnerships at all time high for survey at departure gates
• Brand USA Strong Partnerships• NEW: Latin America Visitor Research Initiative
National Travel and Tourism Office, International Trade Administration, U.S. Department of Commerce 14
More Information
• Scott C. Johnson• Travel Markets Insights Inc.• [email protected]• www.travelmi.comor• NTTO send E-mail to [email protected]• www.tinet.ita.doc.gov
Jay Santos, Executive Vice President, Business Development, Grupo Trend, Sao Paulo
MexicoArrivals in 2014: 17.3 million
2nd largest arrival market
Travel Export in 2014$19.3 billion
3rd largest travel export market
http://www.census.gov/dataviz/visualizations/072/
Activity Brazil United Kingdom
Shopping 92% 88%
Sightseeing 68% 81%Amusement/Theme Parks 52% 29%
National Parks/Monuments 34% 38%Nightclubbing/Dancing 31% 15%
Source: U.S. Department of Commerce, National Travel & Tourism Office, Survey of International Air Travelers
Top Activity. Brasil.
Sample Characteristics:
Edgar IbarraDirector General, Turistampa
IITA Webinar Understanding the LATAM Market
Mexico,Your distant neighbor
Edgar IbarraGeneral Director
TURISTAMPA travel trade magazine
• Through the years, I have found that in many USA regions and companies, there is a vast amount of misconceptions and stereotypes concerning the Mexican travel and tourism market.
How many Mexicans travel to the USA?How much money do they spend?What do they like?
Distant neighbors
• Last year, the United States received 77.5 million international visitors. That puts the USA in second place worldwide when it comes to international visitations.
• Out of those 77.5 million, 18.4 million were Mexican travellers. That means that almost 1 in 4 international travellers to the USA are from Mexico.
Mexicans love traveling to the USA
It is estimated that Mexico tourism to the USA will grow at a rate of 4% to 5% yearly for the next five years, above the average of other countries. That means that by the year 2021 Mexico could equal Canada in amount of visitors sent to the USA.
And it will keep growing…
When it comes to spending money, Mexican visitors to the USA spend on average more than any other Country with the exception of Canada and China, with an average of $1,032 USD per person
And money is not a problem…
Mexicans love shopping, sports events, skiing, sightseeing, eating in good restaurants, going to shows in Broadway and Las Vegas, staying at great five star resorts, music, arts and food festivals all over the Country and of course, going to theme parks like Disney World or Universal Resort.
What do Mexicans do in the USA?
www.lacitaamericas.com
August 30 - September 1, 2016Trump National Doral, Miami
Thank you for participating in the IITA Webinar – Understanding the LATAM Market.
Please join us again in August for:LGBT Tourism and the Impact of Religious Freedom Laws
Learn about the importance of the LGBT market and hear the results of a just released
study by the US Travel Association on the impact these laws can have on travel and tourism. This session will be presented by John Tanzella, President and CEO of IGLTA, Fred Dixon, President and CEO of NYC & Company, and Malcolm Smith, Senior Vice
President of the U.S. Travel Association. You won't want to miss this!