global issues and trends in tourism

What next for travel and tourism? Here's what the experts say

In many countries, more than 80% of travel and tourism spending actually comes from the domestic market. Image:  Unsplash/Surface

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Stay up to date:.

• In 2020 alone, the travel and tourism sector lost $4.5 trillion and 62 million jobs globally.
• But as the world recovers from the impacts of the COVID-19 pandemic, travel and tourism can bounce back as an inclusive, sustainable, and resilient sector.
• Two experts highlight some of the key transformations in the sector going forward during the World Economic Forum's Our World in Transformation series.

The Travel & Tourism sector was one of the hardest hit by the COVID-19 pandemic, leaving not only companies but also tourism-driven economies severely affected by shutdowns, travel restrictions and the disappearance of international travel.

In 2020 alone, the sector lost $4.5 trillion and 62 million jobs, impacting the living standards and well-being of communities across the globe. Moreover, the halt in international travel gave both leisure and business travellers the chance to consider the impact of their choices on the climate and environment.

Amid shifting demand dynamics and future opportunities and risks, a more inclusive, sustainable and resilient travel and tourism sector can be - and needs to be - built.

The World Economic Forum's Travel & Tourism Development Index 2021 finds that embedding inclusivity, sustainability and resilience into the travel and tourism sector as it recovers, will ensure it can continue to be a driver of global connectivity, peace and economic and social progress.

We spoke to Sandra Carvao , Chief of Market Intelligence and Competitiveness at the United Nations World Tourism Organization (UNWTO), and Liz Ortiguera , CEO of the Pacific Asia Travel Association in Thailand (PATA), and asked them to highlight some of the key areas of risk and opportunity in the sector during an episode of the World Economic Forum's Our World in Transformation series.

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Travel & tourism development index 2021: rebuilding for a sustainable and resilient future, towards resilience and sustainability: travel and tourism development recovery, how can we really achieve sustainability in the travel sector, what are some of the top global trends you're witnessing currently in the travel and tourism sector.

Liz Ortiguera: Given the extended lockdown that we had on travel with the pandemic, vacation for friends and relatives (VFR) is now a high priority for people who haven’t been in touch for a long time thanks to the pandemic. So, people are reconnecting. And that kind of links to the second trend, which is multi-purpose or blended travel. Never before, particularly now that we can connect digitally through Zoom, has the ability to work from anywhere enabled travellers to cover multiple purposes, like visits with friends and multiple business trips. So, we'll find that the duration of travel and the length of stay is longer. And third is the continued high focus on safety and wellness which is top of mind for travellers due to the pandemic. All travel is wellness-related now.

Sandra Carvao: I think there is a bigger concern with sustainability, which is very welcome in our industry. Consumers, particularly the younger generation, are much more aware of the impact they have, not only on the environment but also socially and on the communities they live in. We've also seen an increase in expenditure per trip, so I think people are very eager to go outside, and they're staying longer. And on the other side, I think there are some challenges: we’re seeing a rise in late bookings because restrictions can change at short notice and that’s having an impact on the decisions of travellers. This is putting pressure on the industry in terms of planning and anticipating fluctuations in demand.

Social media surveys have shown that travellers who have immersive experiences are more likely to post about them, which is good for the industry.

What is community-based tourism and why is it important?

Sandra Carvao: One of the positive impacts of the pandemic is that people are looking for local experiences and are spending more time with communities. So, the concept of community-based tourism is obviously one that puts the community at the core of every development, ensuring that it's engaged and empowered and that it benefits. At the UNWTO, we worked with the G20 and the Saudi presidency back in 2020 and produced a framework for tourism development in communities, which states that communities need to be part of the planning and management of tourism activities. We need to go beyond traditional definitions of community to a point where the industry leans on partnerships between the public and private sectors and communities.

Liz Ortiguera: In July 2022, PATA is hosting a destination-marketing forum and one of the key themes is community-based tourism. The purpose is really to put the community and authenticity-in-culture activities at the heart of the travel experience. There are benefits for all stakeholders. One is that travellers can have an authentic experience. They're not in overcrowded, touristic locations and they experience something new and unique within the community. These experiences are designed in partnership with communities who get the benefit of financial inclusion, and if activities are designed properly, the reinforcement of their cultural heritage. Governments also engage in economic development more broadly across countries. Another interesting trend is creative tourism, which means you create an experience for tourists to participate in, like a dance lesson, or a cooking lesson. Social media surveys have shown that travellers who have these kinds of immersive experiences are more likely to post about them online and that's good for the industry.

It is important to emphasize that virtual experiences, while they are a fun tool, can never replace visiting a destination.

How is technology and innovation helping to leverage cultural resources?

Sandra Carvao: One interesting trend we’re seeing is that more and more people are booking trips directly, so communities need to be supported to digitize their systems. Education and upskilling of communities are important so that they can leverage digital platforms to market themselves. From the tourists’ perspective, it is important to emphasize that virtual experiences, while they are a fun tool, can never replace visiting a destination.

Liz Ortiguera: People have been living virtually for more than two years. Amazing innovations have emerged, such as virtual reality and augmented reality, and all kinds of applications and tools. But the important thing is the experience. The destination. Real-world experiences need to remain front and centre. Technology tools should be viewed as enablers and not the core experience. And when it comes to staff, technology can really democratize education. There’s an opportunity to mobilize a mobile-first approach for those who are on the frontlines, or out in the field, and can’t easily access computers, but need to get real-time information.

How is the sector dealing with labour shortages and re-employment of the workforce?

Liz Ortiguera: Labour shortages are much more dynamic in North America and in Europe. But it’s having a knock-on effect on Asia. If, for example, their air carriers are limited by staff and they have to cancel flights, which we're very much seeing out of Europe, seating capacity then becomes a limiting factor in the recovery of Asia Pacific. That's the main constraint right now. And compounding that is the rising price of fuel. But people in the Asia Pacific are keen to get reemployed.

Sandra Carvao: Labour shortages are a priority for the sector in countries around the world. Many workers left the sector during the pandemic and the uncertainty that surrounded the measures taken to contain it left many people unsure of whether the sector would recover. It is time to address things like conditions, scheduling, and work/life balance, all things which have been top of mind for workers during the pandemic. As the sector recovers, we need time to bring new hires on board and to train them to take over where those who switched jobs left off.

Are we seeing a growing trend towards domestic tourism?

Sandra Carvao: We’re talking about 9 billion people travelling within their own countries. And in many countries, for example in Germany, more than 80% of the tourism spending actually comes from the domestic market, similarly in countries like Spain and even smaller economies. Whenever it's possible to travel again, domestic markets tend to be more resilient. They kick off first mostly due to perceptions of safety and security issues. As the world economy recovers from the pandemic, there is a good opportunity for nations to rethink their strategy, look at the domestic market in a different way, and leverage different products for domestic tourists.

When it comes to sustainable tourism, how quickly could we mainstream eco-friendly modes of transportation?

Sandra Carvao: Transport is one of the key contributors to energy impacts and tourism. But it's also important that we look at the whole value chain. The UNWTO together with the One Planet Sustainable Tourism Programme just launched the Glasgow Declaration, which includes green commitments from destinations and companies. We’re seeing a strong movement in the airline industry to reduce emissions. But I think, obviously, technological developments will be very important. But it's also very important to look at market shifts. And we can't forget small islands and developing states that rely on long-haul air travel. It’s important to make sure that we invest in making the problem much less impactful.

Liz Ortiguera: 'Travel and tourism' is such a broad encompassing term that it’s not fair to call it an industry: it is actually a sector of many industries. The pandemic taught us how broad the impact of the sector is in terms of sustainability. There's a big movement in terms of destination resilience, which is the foundation for achieving sustainability in the journey to net-zero. We now have standards to mitigate that impact including meetings-and-events (MIE) standards and standards for tour operators. There are multiple areas within our industry where progress is being made. And I'm really encouraged by the fact that there is such a focus not just within the sector but also among consumers.

This interview was first done at the World Economic Forum's studios in Geneva as part of 'Our World in Transformation' - a live interactive event series for our digital members. To watch all the episodes and join future sessions, please subscribe here .

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The future of tourism: Bridging the labor gap, enhancing customer experience

As travel resumes and builds momentum, it’s becoming clear that tourism is resilient—there is an enduring desire to travel. Against all odds, international tourism rebounded in 2022: visitor numbers to Europe and the Middle East climbed to around 80 percent of 2019 levels, and the Americas recovered about 65 percent of prepandemic visitors 1 “Tourism set to return to pre-pandemic levels in some regions in 2023,” United Nations World Tourism Organization (UNWTO), January 17, 2023. —a number made more significant because it was reached without travelers from China, which had the world’s largest outbound travel market before the pandemic. 2 “ Outlook for China tourism 2023: Light at the end of the tunnel ,” McKinsey, May 9, 2023.

Recovery and growth are likely to continue. According to estimates from the World Tourism Organization (UNWTO) for 2023, international tourist arrivals could reach 80 to 95 percent of prepandemic levels depending on the extent of the economic slowdown, travel recovery in Asia–Pacific, and geopolitical tensions, among other factors. 3 “Tourism set to return to pre-pandemic levels in some regions in 2023,” United Nations World Tourism Organization (UNWTO), January 17, 2023. Similarly, the World Travel & Tourism Council (WTTC) forecasts that by the end of 2023, nearly half of the 185 countries in which the organization conducts research will have either recovered to prepandemic levels or be within 95 percent of full recovery. 4 “Global travel and tourism catapults into 2023 says WTTC,” World Travel & Tourism Council (WTTC), April 26, 2023.

Longer-term forecasts also point to optimism for the decade ahead. Travel and tourism GDP is predicted to grow, on average, at 5.8 percent a year between 2022 and 2032, outpacing the growth of the overall economy at an expected 2.7 percent a year. 5 Travel & Tourism economic impact 2022 , WTTC, August 2022.

So, is it all systems go for travel and tourism? Not really. The industry continues to face a prolonged and widespread labor shortage. After losing 62 million travel and tourism jobs in 2020, labor supply and demand remain out of balance. 6 “WTTC research reveals Travel & Tourism’s slow recovery is hitting jobs and growth worldwide,” World Travel & Tourism Council, October 6, 2021. Today, in the European Union, 11 percent of tourism jobs are likely to go unfilled; in the United States, that figure is 7 percent. 7 Travel & Tourism economic impact 2022 : Staff shortages, WTTC, August 2022.

There has been an exodus of tourism staff, particularly from customer-facing roles, to other sectors, and there is no sign that the industry will be able to bring all these people back. 8 Travel & Tourism economic impact 2022 : Staff shortages, WTTC, August 2022. Hotels, restaurants, cruises, airports, and airlines face staff shortages that can translate into operational, reputational, and financial difficulties. If unaddressed, these shortages may constrain the industry’s growth trajectory.

The current labor shortage may have its roots in factors related to the nature of work in the industry. Chronic workplace challenges, coupled with the effects of COVID-19, have culminated in an industry struggling to rebuild its workforce. Generally, tourism-related jobs are largely informal, partly due to high seasonality and weak regulation. And conditions such as excessively long working hours, low wages, a high turnover rate, and a lack of social protection tend to be most pronounced in an informal economy. Additionally, shift work, night work, and temporary or part-time employment are common in tourism.

The industry may need to revisit some fundamentals to build a far more sustainable future: either make the industry more attractive to talent (and put conditions in place to retain staff for longer periods) or improve products, services, and processes so that they complement existing staffing needs or solve existing pain points.

One solution could be to build a workforce with the mix of digital and interpersonal skills needed to keep up with travelers’ fast-changing requirements. The industry could make the most of available technology to provide customers with a digitally enhanced experience, resolve staff shortages, and improve working conditions.

Would you like to learn more about our Travel, Logistics & Infrastructure Practice ?

Complementing concierges with chatbots.

The pace of technological change has redefined customer expectations. Technology-driven services are often at customers’ fingertips, with no queues or waiting times. By contrast, the airport and airline disruption widely reported in the press over the summer of 2022 points to customers not receiving this same level of digital innovation when traveling.

Imagine the following travel experience: it’s 2035 and you start your long-awaited honeymoon to a tropical island. A virtual tour operator and a destination travel specialist booked your trip for you; you connected via videoconference to make your plans. Your itinerary was chosen with the support of generative AI , which analyzed your preferences, recommended personalized travel packages, and made real-time adjustments based on your feedback.

Before leaving home, you check in online and QR code your luggage. You travel to the airport by self-driving cab. After dropping off your luggage at the self-service counter, you pass through security and the biometric check. You access the premier lounge with the QR code on the airline’s loyalty card and help yourself to a glass of wine and a sandwich. After your flight, a prebooked, self-driving cab takes you to the resort. No need to check in—that was completed online ahead of time (including picking your room and making sure that the hotel’s virtual concierge arranged for red roses and a bottle of champagne to be delivered).

While your luggage is brought to the room by a baggage robot, your personal digital concierge presents the honeymoon itinerary with all the requested bookings. For the romantic dinner on the first night, you order your food via the restaurant app on the table and settle the bill likewise. So far, you’ve had very little human interaction. But at dinner, the sommelier chats with you in person about the wine. The next day, your sightseeing is made easier by the hotel app and digital guide—and you don’t get lost! With the aid of holographic technology, the virtual tour guide brings historical figures to life and takes your sightseeing experience to a whole new level. Then, as arranged, a local citizen meets you and takes you to their home to enjoy a local family dinner. The trip is seamless, there are no holdups or snags.

This scenario features less human interaction than a traditional trip—but it flows smoothly due to the underlying technology. The human interactions that do take place are authentic, meaningful, and add a special touch to the experience. This may be a far-fetched example, but the essence of the scenario is clear: use technology to ease typical travel pain points such as queues, misunderstandings, or misinformation, and elevate the quality of human interaction.

Travel with less human interaction may be considered a disruptive idea, as many travelers rely on and enjoy the human connection, the “service with a smile.” This will always be the case, but perhaps the time is right to think about bringing a digital experience into the mix. The industry may not need to depend exclusively on human beings to serve its customers. Perhaps the future of travel is physical, but digitally enhanced (and with a smile!).

Digital solutions are on the rise and can help bridge the labor gap

Digital innovation is improving customer experience across multiple industries. Car-sharing apps have overcome service-counter waiting times and endless paperwork that travelers traditionally had to cope with when renting a car. The same applies to time-consuming hotel check-in, check-out, and payment processes that can annoy weary customers. These pain points can be removed. For instance, in China, the Huazhu Hotels Group installed self-check-in kiosks that enable guests to check in or out in under 30 seconds. 9 “Huazhu Group targets lifestyle market opportunities,” ChinaTravelNews, May 27, 2021.

Technology meets hospitality

In 2019, Alibaba opened its FlyZoo Hotel in Huangzhou, described as a “290-room ultra-modern boutique, where technology meets hospitality.” 1 “Chinese e-commerce giant Alibaba has a hotel run almost entirely by robots that can serve food and fetch toiletries—take a look inside,” Business Insider, October 21, 2019; “FlyZoo Hotel: The hotel of the future or just more technology hype?,” Hotel Technology News, March 2019. The hotel was the first of its kind that instead of relying on traditional check-in and key card processes, allowed guests to manage reservations and make payments entirely from a mobile app, to check-in using self-service kiosks, and enter their rooms using facial-recognition technology.

The hotel is run almost entirely by robots that serve food and fetch toiletries and other sundries as needed. Each guest room has a voice-activated smart assistant to help guests with a variety of tasks, from adjusting the temperature, lights, curtains, and the TV to playing music and answering simple questions about the hotel and surroundings.

The hotel was developed by the company’s online travel platform, Fliggy, in tandem with Alibaba’s AI Labs and Alibaba Cloud technology with the goal of “leveraging cutting-edge tech to help transform the hospitality industry, one that keeps the sector current with the digital era we’re living in,” according to the company.

Adoption of some digitally enhanced services was accelerated during the pandemic in the quest for safer, contactless solutions. During the Winter Olympics in Beijing, a restaurant designed to keep physical contact to a minimum used a track system on the ceiling to deliver meals directly from the kitchen to the table. 10 “This Beijing Winter Games restaurant uses ceiling-based tracks,” Trendhunter, January 26, 2022. Customers around the world have become familiar with restaurants using apps to display menus, take orders, and accept payment, as well as hotels using robots to deliver luggage and room service (see sidebar “Technology meets hospitality”). Similarly, theme parks, cinemas, stadiums, and concert halls are deploying digital solutions such as facial recognition to optimize entrance control. Shanghai Disneyland, for example, offers annual pass holders the option to choose facial recognition to facilitate park entry. 11 “Facial recognition park entry,” Shanghai Disney Resort website.

Automation and digitization can also free up staff from attending to repetitive functions that could be handled more efficiently via an app and instead reserve the human touch for roles where staff can add the most value. For instance, technology can help customer-facing staff to provide a more personalized service. By accessing data analytics, frontline staff can have guests’ details and preferences at their fingertips. A trainee can become an experienced concierge in a short time, with the help of technology.

Apps and in-room tech: Unused market potential

According to Skift Research calculations, total revenue generated by guest apps and in-room technology in 2019 was approximately $293 million, including proprietary apps by hotel brands as well as third-party vendors. 1 “Hotel tech benchmark: Guest-facing technology 2022,” Skift Research, November 2022. The relatively low market penetration rate of this kind of tech points to around $2.4 billion in untapped revenue potential (exhibit).

Even though guest-facing technology is available—the kind that can facilitate contactless interactions and offer travelers convenience and personalized service—the industry is only beginning to explore its potential. A report by Skift Research shows that the hotel industry, in particular, has not tapped into tech’s potential. Only 11 percent of hotels and 25 percent of hotel rooms worldwide are supported by a hotel app or use in-room technology, and only 3 percent of hotels offer keyless entry. 12 “Hotel tech benchmark: Guest-facing technology 2022,” Skift Research, November 2022. Of the five types of technology examined (guest apps and in-room tech; virtual concierge; guest messaging and chatbots; digital check-in and kiosks; and keyless entry), all have relatively low market-penetration rates (see sidebar “Apps and in-room tech: Unused market potential”).

While apps, digitization, and new technology may be the answer to offering better customer experience, there is also the possibility that tourism may face competition from technological advances, particularly virtual experiences. Museums, attractions, and historical sites can be made interactive and, in some cases, more lifelike, through AR/VR technology that can enhance the physical travel experience by reconstructing historical places or events.

Up until now, tourism, arguably, was one of a few sectors that could not easily be replaced by tech. It was not possible to replicate the physical experience of traveling to another place. With the emerging metaverse , this might change. Travelers could potentially enjoy an event or experience from their sofa without any logistical snags, and without the commitment to traveling to another country for any length of time. For example, Google offers virtual tours of the Pyramids of Meroë in Sudan via an immersive online experience available in a range of languages. 13 Mariam Khaled Dabboussi, “Step into the Meroë pyramids with Google,” Google, May 17, 2022. And a crypto banking group, The BCB Group, has created a metaverse city that includes representations of some of the most visited destinations in the world, such as the Great Wall of China and the Statue of Liberty. According to BCB, the total cost of flights, transfers, and entry for all these landmarks would come to $7,600—while a virtual trip would cost just over $2. 14 “What impact can the Metaverse have on the travel industry?,” Middle East Economy, July 29, 2022.

The metaverse holds potential for business travel, too—the meeting, incentives, conferences, and exhibitions (MICE) sector in particular. Participants could take part in activities in the same immersive space while connecting from anywhere, dramatically reducing travel, venue, catering, and other costs. 15 “ Tourism in the metaverse: Can travel go virtual? ,” McKinsey, May 4, 2023.

The allure and convenience of such digital experiences make offering seamless, customer-centric travel and tourism in the real world all the more pressing.

Three innovations to solve hotel staffing shortages

Is the future contactless.

Given the advances in technology, and the many digital innovations and applications that already exist, there is potential for businesses across the travel and tourism spectrum to cope with labor shortages while improving customer experience. Process automation and digitization can also add to process efficiency. Taken together, a combination of outsourcing, remote work, and digital solutions can help to retain existing staff and reduce dependency on roles that employers are struggling to fill (exhibit).

Depending on the customer service approach and direct contact need, we estimate that the travel and tourism industry would be able to cope with a structural labor shortage of around 10 to 15 percent in the long run by operating more flexibly and increasing digital and automated efficiency—while offering the remaining staff an improved total work package.

Outsourcing and remote work could also help resolve the labor shortage

While COVID-19 pushed organizations in a wide variety of sectors to embrace remote work, there are many hospitality roles that rely on direct physical services that cannot be performed remotely, such as laundry, cleaning, maintenance, and facility management. If faced with staff shortages, these roles could be outsourced to third-party professional service providers, and existing staff could be reskilled to take up new positions.

In McKinsey’s experience, the total service cost of this type of work in a typical hotel can make up 10 percent of total operating costs. Most often, these roles are not guest facing. A professional and digital-based solution might become an integrated part of a third-party service for hotels looking to outsource this type of work.

One of the lessons learned in the aftermath of COVID-19 is that many tourism employees moved to similar positions in other sectors because they were disillusioned by working conditions in the industry . Specialist multisector companies have been able to shuffle their staff away from tourism to other sectors that offer steady employment or more regular working hours compared with the long hours and seasonal nature of work in tourism.

The remaining travel and tourism staff may be looking for more flexibility or the option to work from home. This can be an effective solution for retaining employees. For example, a travel agent with specific destination expertise could work from home or be consulted on an needs basis.

In instances where remote work or outsourcing is not viable, there are other solutions that the hospitality industry can explore to improve operational effectiveness as well as employee satisfaction. A more agile staffing model  can better match available labor with peaks and troughs in daily, or even hourly, demand. This could involve combining similar roles or cross-training staff so that they can switch roles. Redesigned roles could potentially improve employee satisfaction by empowering staff to explore new career paths within the hotel’s operations. Combined roles build skills across disciplines—for example, supporting a housekeeper to train and become proficient in other maintenance areas, or a front-desk associate to build managerial skills.

Where management or ownership is shared across properties, roles could be staffed to cover a network of sites, rather than individual hotels. By applying a combination of these approaches, hotels could reduce the number of staff hours needed to keep operations running at the same standard. 16 “ Three innovations to solve hotel staffing shortages ,” McKinsey, April 3, 2023.

Taken together, operational adjustments combined with greater use of technology could provide the tourism industry with a way of overcoming staffing challenges and giving customers the seamless digitally enhanced experiences they expect in other aspects of daily life.

In an industry facing a labor shortage, there are opportunities for tech innovations that can help travel and tourism businesses do more with less, while ensuring that remaining staff are engaged and motivated to stay in the industry. For travelers, this could mean fewer friendly faces, but more meaningful experiences and interactions.

Urs Binggeli is a senior expert in McKinsey’s Zurich office, Zi Chen is a capabilities and insights specialist in the Shanghai office, Steffen Köpke is a capabilities and insights expert in the Düsseldorf office, and Jackey Yu is a partner in the Hong Kong office.

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International Tourism to End 2023 Close to 90% of Pre-Pandemic Levels

• All Regions
• 30 Nov 2023

International tourism is on track to recover almost 90% of pre-pandemic levels by the end of this year. According to the latest data from the World Tourism Organization (UNWTO), an estimated 975 million tourists travelled internationally between January and September 2023, an increase of 38% on the same months of 2022.

The newest UNWTO World Tourism Barometer also shows:

• World destinations welcomed 22% more international tourists in the third quarter of 2023 compared to the same period last year, reflecting a strong Northern Hemisphere summer season.
• International tourist arrivals hit 91% of pre-pandemic levels in the third quarter, reaching 92% in July, the best month so far since the start of pandemic.
• Overall, tourism recovered 87% of pre-pandemic levels in January-September 2023 . That puts the sector on course to recover almost 90% by the end of the year.
• International tourism receipts could reach USD 1.4 trillion in 2023 , about 93% of the USD 1.5 trillion earned by destinations in 2019.

The latest UNWTO data shows that international tourism has almost completely recovered from the unprecedented crisis of COVID-19 with many destinations reaching or even exceeding pre-pandemic arrivals and receipts

UNWTO Secretary-General Zurab Pololikashvili said: "The latest UNWTO data shows that international tourism has almost completely recovered from the unprecedented crisis of COVID-19 with many destinations reaching or even exceeding pre-pandemic arrivals and receipts. This is critical for destinations, businesses, and communities where the sector is a major lifeline. "

The Middle East, Europe and Africa lead recovery

• The Middle East continues to lead the recovery by regions in relative terms, with arrivals 20% above pre-pandemic levels in the nine months through September 2023. The Middle East remains the only world region to surpass 2019 levels this period. Visa facilitation measures, the development of new destinations, investments in new tourism-related projects and the hosting of large events, help underpin this remarkable performance.
• Europe , the world's largest destination region, welcomed 550 million international tourists over the period, 56% of the global total. That represents 94% of pre-pandemic levels. The rebound was supported by robust intra-regional demand as well as strong demand from the United States.
• Africa recovered 92% of pre-pandemic visitors this nine-month period,  and arrivals in the Americas reached 88% of 2019 numbers this period, as the region benefitted from strong US demand, in particular to Caribbean destinations.
• Asia and the Pacific reached 62% of pre-pandemic levels this period due to slower reopening to international travel. However, performance among subregions is mixed, with South Asia recovering 95% of pre-pandemic levels but North-East Asia only about 50%.

International tourist arrivals (% change vs. 2019)

The World Tourism Barometer includes more focused data on regions, as well as sub-regions and individual destinations.

Tourism spending strong

Strong demand for outbound travel was reported by several large source markets this period, with many exceeding 2019 levels. Germany and the United States spent 13% and 11% more respectively on outbound travel than in the same nine months of 2019, while Italy spent 16% more through August.

The sustained recovery is also reflected in the performance of industry indicators. Drawing on data from IATA (the International Air Transport Association) and STR, the UNWTO Tourism Recovery Tracker details a strong recovery in air passenger numbers and tourist accommodation occupancy levels.

Against this backdrop, international tourism is well on track to fully recover pre-pandemic levels in 2024 despite economic challenges such as high inflation and weaker global output, as well as important geopolitical tensions and conflicts.

Related links

• Download the News Release on PDF
• World Tourism Barometer | Volume 21 • Issue 4 • November 2023 | EXCERPT
• World Tourism Barometer (PPT version)
• UNWTO Tourism Recovery Tracker
• UNWTO World Tourism Barometer
• UNWTO Tourism Data Dashboard

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Global Issues and Trends in Tourism

There has been massive changes and developments in the tourism sector since 1960s and 1970s. With this changes and developments, many things have changed for the individuals participating in tourism. In particular, there is an agreement upon the fact that a strong shift has happened over the last years from the classic 3s, sea, sand and sun towards culture tourism and nature tourism. While all these discussions are taking place, one misses the fact that another type of tourism is distinguished from others. This type of tourism responds to the touristic needs of the individuals with Islamic sensitivities who deem themselves as believers, specifying their lifestyles in accordance with the requirements of Islam. However, the organizational efforts carried out within Turkish tourism up to now regarding the conceptual analysis and current potential of the concept of halal tourism has been very limited. Standards and strategies are required regarding the characteristics of the presented product, its contribution to the Turkish tourism and evaluation of this product in particular. In this sense, the aim of the research is to conduct the theoretical analysis of the halal tourism and uncover the potential of halal tourism, which is a new trend in Turkish tourism. Accordingly, a general framework will be created for the halal tourism concept and a de facto strategy will be produced in terms of bringing them to potential customers. In this way, the questions of the research are as follows: 284 What is halal tourism? What is the theoretical analysis of halal tourism? How is halal tourism regarded in the world and in Turkey? What is the place and importance of halal tourism in the Turkish tourism? What should be the strategy regarding halal tourism?

Related Papers

Jurnal Ilmiah Ekonomi Islam (JIEI)

Rahmad Hakim

Halal has become a global issue today, not least in Indonesia. At the state level, Indonesia is planned to become the world halal center. This is clearly seen by the Ministry of Tourism trying to increase the number of tourists visiting Indonesia, especially visiting halal tourist destinations. Some regions are trying to compete to become areas that are friendly to halal tourism, including Lombok, Aceh and finally Malang City. Regarding the halal tourism trend, it is important to know about the concepts and parameters used in implementing halal tourism. This study aims to conduct an in-depth analysis of the concept of halal tourism and several parameters that are used as standard for halal tourism destination. The method of data collection uses documentary methods based on a review of both primary and secondary literature. The results of this study are that the concept of halal tourism can be classified into two importance aspects; first, the act of obedience, which described as a way to appreciate the greatness of God's creation. Second, the act of fulfilling an economic demand. While the parameters of halal tourism have to meet material and spiritual criteria, such as the activities have to meet shariah regulation which avoid syirk, disobedience, tabdzir or israf, and falsehood. On the other hand, the availability of services and infrastructure which meet the Muslim tourist criteria.

Mohammed Jemal Ahmed

Central Asian Journal of Innovations on Tourism Management and Finance

Central Asian Studies

the article mainly discusses the development trends of halal tourism on a global scale. In recent years, the demand for halal tourism has been increasing year by year. Countries with developed tourism are also paying great attention to it. Therefore, this article analyzes the development stages of halal tourism. Halal tourism is one of the most well-liked places in the travel industry. More than 180 million Muslims visit various nations each year. At the same time, they select the states that will offer them comfortable surroundings. These include low-cost family motels, halal-certified restaurants without alcohol, and bathrooms with separate spaces for men and women, and mosques.

Ezzat Ezzuddin

This paper delineates the two problems related to halal tourism and what is the perspective from Islam about it as well as the best solution to cater the problem based on Shariah standard and guideline.

Md. Abid Hosain

The concept of halal tourism is getting populated day by day because of increasing number of Muslim populations, the development of middle class and increasing amount of spendable income. This concept is also talking about sustainability. Three different Islamic tourism concepts are shared through this study. Though this concept ensure sustainability businessmen may face some challenges and opportunities to earn profit by following this concept.

II. International Conference on Tourism Dynamics and Trends PROCEEDINGS BOOK

Alfonso Vargas-Sánchez , Maria Moral-Moral

Plano Madani : Jurnal Perencanaan Wilayah dan Kota

Fitri Rahmafitria

International Journal of Business, Economics and Law

Siddique Azam , Moha Abdullah

Sustainability is a worldwide concern embedded in every sphere of human life including economic, environmental, and as well as social aspects. Similarly, tourism is one of the major areas of many economies where sustainability is a rising concern. Sustainable tourism has been defined by several organizations like WTO, ICOMOS, and many studies as well. Additionally, Halal tourism, often termed as Islamic tourism or Muslim friendly tourism, is a new concept in the tourism industry that opens up new and exciting opportunities for enhancing economic growth. The idea 'Halal' additionally relates the idea 'Toyyib' which means great. Along these lines, the importance of 'Halal' is anything which is allowed by sharia'h and great for human being. The coordination of moral qualities alongside religious qualities opens up the limit of halal tourism from 2.8 billion Muslim consumers to non-Muslim consumers too around the globe. The fusion of halaln-toyyiban (Lawful and goodness) can be related to every field of sustainability. Halal tourism, one of the components of the Halal industry, in fact, addresses a few of the seventeen sustainable development goals (SDGs) and can have a significant contribution towards sustainability. It has now become a lifestyle choice of Muslim travelers and also drawing the attention of non-Muslims as well. Recent data shows Muslim spending on Halal travel was USD169 billion in 2016 and estimated to reach USD283 billion by 2022. It is essential to understand and also spread the sustainable aspect of Halal tourism in the global economy which can enhance the growth of the industry. This perspective will also make all consumers welcome and accept halal tourism keeping aside any religious zeal. Based on literature review and secondary data, this paper defines and justifies the term 'Halal' accepted and welcomed by all. The study provides the definition of Halal in the form of a table where the term has been adopted as an acronym. Each letter of the acronym HALAL stands for different attributes of Halal concept. Combining all these aspects together completes the definition of Halal. The definition of Halal tourism has also been deducted integrating all the aspects (Shariah law, target customer, destination, purpose, and product and services) together to be covered in terms of both sustainable and halal tourism. Simultaneously, it justifies the definitions of tourism from both sustainable and Islamic perspective. The study also identifies how halal tourism addresses four important SDGs and contributes towards sustainable development. Additionally, and it explores the scope of halal tourism to contribute more in relation to other SDGs in a greater extent. This paper contributes to the halal industry, that represents Islamic economy as well, providing a universal definition of Halal, clarifying the sustainability perspective of both Halal and halal tourism, and identifying the SDGs addressed by Halal tourism. This study opens up greater research scopes regarding other components of Halal industry and sustainable development.

Majdah Zawawi

While tourist operators claim that their products and services are "halal" or "Muslim friendly", many do not understand the reason behind the need for Muslims to observe to everything that is "halal". This article seeks to firstly explain the meaning of "halal" from the basic structure of the Muslim belief. From there an explanation will be made as to how a particular product and service is classified as "halal" and how this affects the decisions made by Muslims. Several issues that arise for Muslims when they travel abroad will be raised. The discussion on these issues is divided into those that arise out of travelling to an "Islamic" country as opposed to countries where Muslims are the minority. The article will also address why the tourism industry needs to cater to Muslim tourists and provide basic guidelines on how this is achieved without too much difficulty.

Dr. Teoman Duman

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• What’s trending in global tourism

A new age of travel is upon us. From sustainability to resilience to inclusiveness, let’s take a closer look at three trends for travel and how standards support the journey.  

Redefining “all-inclusive” 

Can you imagine a place where families and friends can holiday together so that nobody gets left behind? From Braille-friendly information centres to barrier-free infrastructures, accessible tourism adds value to travel experiences, enabling people from all walks of life to travel with equity. That vision can be a reality with the help of ISO 21902 , which facilitates enjoyment of travel by people of all ages and abilities – making tourism accessible to everyone.

A study suggests that accessible tourism is a significant emerging market, expected to generate revenues of EUR 88.6 billion by 2025. The standard helps tourism service providers promote tourist-friendly destinations for the disabled and realize the opportunities this lucrative market has to offer. Whether you are an expectant mom, a senior citizen or a person with a disability, you have the same right as everybody else to enjoy life through barrier-free tourism. The impact of this standard even goes beyond the tourist beneficiaries – it embeds accessibility into the social and economic values of society. 

Sustainability will continue to be a priority for hotels in 2022 and beyond.

Keeping culinary traditions alive 

Food is everything that we are. It’s an extension of our ethnic identities, not to mention our personal histories. One of the best ways to fully experience a country’s local culture is to have a taste of its unique cuisine, which is why it’s so important that we preserve it the right way.

ISO 21621 outlines requirements and recommendations for traditional restaurants worldwide to provide tourists with a local, authentic culinary experience. At the heart of the standard is preserving tradition, from specifying what restaurants should look like to how food is to be served to demonstrate that they stay true to their heritage. This will help tourists make more informed choices on where to dine and savour the locals’ culinary pride.

Travelling green 

Sustainability will continue to be a priority for hotels in 2022 and beyond, with recent studies suggesting that 76 % of travellers would choose accommodation facilities that have sustainable practices in place. With the help of ISO 21401 , accommodation facilities can improve their environmental impact, promote social exchange and contribute to local communities.

Accommodation is pivotal for tourist activities and holds immense potential for sustainable tourism. The global interest in sustainability increases people’s desire to experience more sustainable services and products. As travellers become more aware of the importance of sustainability, they can enjoy guilt-free holidays knowing that they have contributed to protecting our planet by choosing sustainable accommodation along with its eco-friendly services.

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The current state of global tourism and factors shaping the industry in 2022 and beyond

The pandemic decimated the global travel industry virtually overnight. Travel restrictions due to the virus outbreak resulted in a staggering 98% drop in international tourist arrivals in May 2020 compared to the same month the previous year. And things only slightly improved since then— the first quarter of 2021 saw a drop of 83% .

Before the pandemic, the USD 8 trillion industry accounted for 10.4% of global GDP and 10.6% of total global employment, while tourist spending totalled USD 1.7 trillion. A nosedive in international travel resulted in a loss of approximately USD 1.3 trillion in export revenues —more than 11 times bigger loss than the one experienced in the last economic crisis in 2009.

As a result of such a profound shock, experts are not expecting things to return to the pre-pandemic level in the short term or even medium term.

With travel restrictions still present in most parts of the world, the question remains how will the future of travel look in 2022 and beyond?

Here are four key trends in terms of consumer behaviour, operating procedures, and service offerings shaping the global tourism industry.

Key factors shaping global tourism

1. responsible travel.

The great pause that pandemic forced upon the travel gave us a glimpse of the world with a more sustainable way of living. As consumers take the opportunity to rethink how their activities—including travel—interact with societies, natural resources, and ecosystems, they increasingly double down on sustainability.

This watershed moment made travellers grow more aware of their visitor footprint and the negative impact of over-tourism on the ecology as well as challenges related to food, water, and energy waste.

As a result, consumers increasingly seek destinations and travel options that are aligned with their green values and the commitment to minimise their impact on the planet. This growing market trend forces travel businesses to rethink every aspect of how they run their operations to create a more resource-efficient and carbon-neutral tourism sector of the future.

2. Demand evolution: Focus on domestic trips and outdoor destinations

Travellers, largely confined to their homes for the best part of the past 18 months, are longing for a change of scenery.

The desire to travel is very strong—after all, the need to explore is inherent to human nature. However, how that desire translates into demand might look different in the post-pandemic world.

Due to heightened uncertainty about the virus spread and potential travel restrictions, travellers’ behaviour has shifted toward the known, predictable, and reliable. They now prefer to travel within smaller groups such as friends and family. In addition, they value flexibility and are booking on much shorter lead times. A recent study demonstrates that 80% of bookings are now made within a fortnight of departure, as opposed to 36 days in pre-COVID-19 times. Travellers of today also tend to travel shorter distances— The World Travel & Tourism Council estimates that in 2020 domestic visitor spending was less negatively impacted as it decreased by 45%, compared to international visitor spending, which took a much bigger hit declining by 69.4%.

3. Leisure travel will lead the recovery; Business travel could see a permanent shift

Leisure travel will lead the recovery in the tourism and travel sector, while business travel—a key revenue generator for hotels and airlines—could see a permanent shift or may come back only in phases based on proximity, reason for travel, and sector. Regional and domestic business travel is expected to return first , but a full recovery to pre-pandemic levels is not expected to happen before 2025 .

As remote work takes hold, people realise it does not necessarily mean work from home but work from anywhere. In an environment where the workforce becomes distributed across the country and the world, the industry needs to reimagine business travel. For example, company retreats intended to gather employees coming from their individual locations may become a new form of business travel.

4. Technology and innovation

An unexpected catalyst for innovation, the pandemic has prompted the sector to re-evaluate its digitisation efforts. Travel businesses are exploring how technology can be used to drive demand and facilitate safe travel.

Novel technologies such as virtual reality (VR) deployed at the decision-making stage of the customer journey can help customers experience destinations before the travel—and from the comfort (and safety) of their homes. Through online VR tours, they are able to experience hotel and restaurant interiors, outdoor environments, famous landmarks, and other tourist attractions, which gives them extra encouragement to make a booking in this new world of increased uncertainty.

Augmented reality can be used to offer travellers real-world experiences combined with virtual elements as the best of both worlds. For example, travellers can use an AR-based app as a real-life guide around tourist attractions, or it can help them navigate around a destination.

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Tourism Education: Global Issues and Trends: Volume 21

Table of contents, tourism education: global issues and trends, copyright page, tourism education scholarship.

This chapter explains the background of the book and begins with an introduction of Jafar Jafari’s tremendous contribution to tourism knowledge creation and education. This is followed by a report on the content analysis of 573 tourism education related articles published in the past 10 years. Results indicated the need for philosophical discussion about the nature of tourism education and the popularity of teaching and learning approaches as a research topic. The two main sections of this book, namely philosophical issues in tourism education and experiential/active learning in tourism education, fit into these two identified issues. A synopsis of each chapter is provided next; and future directions for tourism education research are suggested.

Philosophical Issues in Tourism Education

Studying tourism: where’s the humanity in it.

Previous work has conceptually explored the value of the humanities for tourism education and has considered the pressures that likely serve as barriers to its greater inclusion in curricula. This chapter moves the debate from the conceptual level to the ground, reporting the results of a survey of tourism educators with regard to the role of the humanities in the programs in which they teach. The study explores the prevalence of the humanities as primary and supporting course content at the undergraduate and graduate levels, sheds light on barriers faculty members identify for incorporating more humanities content into their curricula, and offers examples of creative ways some educators are currently engaging with such content.

Values in Tourism: The Case of EMTM

This chapter analyzes the importance and performance of values in tourism higher education and business as seen by the alumni of the European Master in Tourism Management. The students were exposed to the values-based education framework proposed by the Tourism Educational Future Initiative. This chapter empirically tests the relevance of its model for an ideal and real industry, and for the corresponding world of tourism education. Using importance performance analysis, results identify gaps between the importance and performance in the values. The findings have implications for the future development and implementation of experimental values-based education.

Tourism PhD Studies: A Swedish Experience-Based Perspective

This chapter offers an experience-based report about the development of the first Scandinavian PhD program in tourism studies at Mid-Sweden University. This process is documented through a framework which, rather than having the coherence of a single clearly bounded discipline, focuses on tourism as a study area encompassing multiple disciplines. Tourism knowledge is derived through a synthesis of fact-oriented positivist methodologies and critical theory. The theoretical framework employed to develop the graduate program in tourism studies is presented by critically discussing its multidisciplinary base and briefly outlining future veins of further development.

Rethinking Caribbean Tourism Education

For the islands of the Caribbean, tourism is more than an industry to be managed. Significantly, it is a socioeconomic phenomenon that if managed effectively can address some of the challenges facing the region. Tourism higher education plays a critical role in preparing graduates to shape an improved Caribbean tourism society and in performing research. Over the years, its tourism education has been framed by “Western models” that have not taken sufficient account of the Caribbean reality. The focus of this chapter is to define Caribbean education and to propose a tourism higher education strategy for the implementation in part of this education.

Experiential/Active Learning in Tourism Education: Case Studies

Experiential learning in tourism education: the case of ithas.

This chapter presents an innovative learning opportunity for tourism students, International Tourism and Hospitality Academy at Sea, that has been in operation for the last 10 years. The program could render itself as a case study of Kolb’s experiential learning theory according to which knowledge is created by transforming experience. Its uniqueness and complexity lie in its diversity. This program has involved between 80 and 130 tourism students yearly from four to six institutions from different countries participating in new scholarly inputs by non-resident professors and instructors.

Including Augmented Reality in Tourism Education Programs

This chapter outlines an augmented reality project developed as part of a master’s course on eTourism within a curriculum. It discusses opportunities to foster community engagement with local tourism actors and experiential learning for international students. It also contributes to the literature on experiential education in this field. Moreover, the chapter discusses cross-cultural learning implications as international students were asked to study a local destination. Results show how the introduction of a practical project into the tourism curriculum proved to provide better learning of the application of eTourism, and a powerful pedagogical approach to raise global citizenship awareness.

Inquiry Learning in Tourism: Haaga-Helia Porvoo Campus

Inquiry learning points is based on questions and requires students to work independently to solve problems. Instructors are facilitators of learning, not people who give right answers and instructions to learners. Haaga-Helia University of Applied Sciences Porvoo campus in Finland is a new concept for learning. The lecturers have changed from traditional ones to coaches aiming at new competences with new tools to enhance learning. Their own implementation of inquiry learning has been assessed by themselves with an ongoing self-assessment process as a part of the normal tasks of instructional teams. Self-assessment is a part of action research that aims to develop an organization and the work in it.

Developing Student Engagement in China Through Collaborative Action Research

As its market and society open up, China has transformed itself from a closed agrarian socialist economy to an urban state and an economic force. This has released accumulated tourism demand, led to the development of a diversified industry, and the spread of university and vocational courses in this field. However, the industry faces challenges to recruit and retain staff, with tourism education in higher education blamed for the shortfall in numbers and quality of candidates with suitable purpose, knowledge, and passion to serve. This chapter provides a background to the development of and problems facing tourism education in China, and suggests how to support student engagement and hence the future workforce.

Conclusion and the Way Forward

This concluding contribution draws together key issues discussed in the various chapters of the book and connects them with future trends for tourism education. It places task in the changing world of higher education in general, and discusses changes in knowledge acquisition, ways of learning, knowledge content, and the role of educators in the future. This coverage leads to new learning technologies and their impact on the learning spaces of the future. Finally, the chapter discusses how projected tourism education programs can be designed to address society’s needs at this critical juncture in the history of the mankind. Creating responsible leaders for this global industry is perhaps the most important goal of future tourism education.

About the Authors

• Pauline J. Sheldon
• Cathy H. C. Hsu

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