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COMCEC Tourism Outlook-2019

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special interest. Health and wellness travel is popular among silver hair tourists (Horwart

HTL,2015; UN, 2017).

Figure 3.1 Tourism Megatrends

Source:

Horwath HTL, 2015

In addition to aging population, generation Y (also known as Millennials) and generation Z,

(known as iGen) are also an important market for tourism sector. These generations are

technology driven age groups. Among these, millennials are expected to represent 50% of all

travelers by 2025 and before that the entire tourism value chain is being adjusted to meet their

lifestyle requirements. To meet their needs, tourism services will be more transparent and tech

savvy, with a strong focus on empathy and customer connection. On the other hand, generation

Z is believed to be totally different from generation Y in so much as they already have higher

access to information, a more dynamic lifestyle, and a higher level of education, an accelerated

adoption of change and faster spending (Horwart HTL,2015).

The increase in average income and the fall in levels of absolute poverty are resulting in a

growing middle class. It is expected that the middle class will increase from 1.8 billion in 2009

to 3.2 billion by 2020 and 4.9 billion by 2030. Most of this growth is expected from Asia-Pacific

and this segment’s characteristics and needs will have a growing importance and impact on the

tourism products and services (Horwart HTL,2015).

The weight of emerging destinations in the international tourism market is increasing.

According to UNWTO; by 2030, 58% of international arrivals will be to the emerging

destinations.

Governments around the world are facing numerous political, social, economic and

environmental issues that might influence tourism destinations. Political tensions, terrorism

and civil riots impose various threats to the future of tourism in any destination. According to a

research byWTTC, the impact of these crises on tourism and the length of time needed to return

to previous levels differ widely depending on the type of crisis and other diverse factors.

Whether tourists are directly targeted or affected, which locations are involved, the extent of