![]() Financial Daily from THE HINDU group of publications Sunday, Dec 18, 2005 |
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Industry & Economy
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Tourism US edges out UK to top tourist arrivals Tunia Cherian George
Mumbai , Dec. 17 THE US has become the largest tourist market for India, pushing down the UK that has been the leader for the past many years. During 2004, tourist arrivals from the US stood at 5.20 lakh, which accounted for 15.5 per cent of the 33.67 lakh foreign arrivals in the country. Data available with India Tourism say the UK came in second with 4.99 lakh arrivals, followed by Sri Lanka (1.29 lakh), France (1.33 lakh), and Germany (1.02 lakh). The increasing number of arrivals from the US is significant for the tourist industry considering the higher spending power of the Americans , whether it is on five-star accommodation, car rentals, dining, and shopping, among others. Spending more time, money: On an average, the US traveller spends at least two weeks in the country, compared with just nine days spent by the European traveller, said Mr Himmat Anand, Chief Operating Officer, SITA Inbound. The tour operator has been handling a growing number of enquiries from business travellers and NRIs based in the US. "The development is good for the Indian economy considering that the US-based tourist has the highest per capita spend in the country," he said. However, industry officials point out that NRIs and business travellers form the bulk of the traffic from the US, while the UK and European markets would still be the top leisure markets for the country. Improving brand recall: A host of companies, tour operators and hotels included, have taken steps to improve their brand recall and services in the US. Earlier this year, the Taj entered into a management contract for The Pierre in New York. A company official said this was an initiative to strengthen their presence in the US, which along with the UK, was their strongest market. SITA Inbound, the tour operator, has also reopened its US office to service the growing number of enquiries from that country. Mr Sanjoy Pasricha, Corporate Head, Sales and Marketing, The Leela group, said persons domiciled in the US formed the majority of guests at its Bangalore and Mumbai hotels. The group had seen the trend developing more than two years ago, and has raised its sales pitch in the US market. Airlines keen to cash in: Airlines are also warming up to the business opportunities on the India-US sector. Austrian Airlines is one of the many carriers keen to exploit the long-haul traffic on this sector. Inbound flights are currently flying to capacity, with a sizable portion of the traffic originating from the US and comprising business and leisure travellers, the latter dominated by the US-based NRI, an airline official said. However, industry officials point out that while it made good reading, the India Tourism data was short on detail. For instance, it did not reflect the profile of the tourist, whether he came on business or leisure. This is necessary to establish the actual gains for the tourism industry, they say.
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