Travel and Tourism Industry
The Travel and Tourism Industry is one of the most important sectors of the economy. Visitors’ spending on travel is a major driver of industry employment, wages, and tax revenues. The report, Tourism Economics, predicts that visitor spending will return to pre-pandemic levels in five years. This spending covers many sectors including hotels, restaurants, retail stores, Broadway shows, sightseeing venues, taxicabs, buses, and limousine services. Here are some reasons why the Travel and Tourism Industry is important.
Air travel is one of the biggest drivers of tourism. In fact, air travel is cheaper than ever, according to the WHO. In 2009, there were around half a million people on board planes worldwide. Increasing use of the internet has made the sale of tourist services much easier. Some websites have dynamic packaging, allowing travelers to book their trip even if they are not physically present. A travel agent is a business that sells tickets to tourists.
The Travel and Tourism Industry supports 266 million jobs worldwide, accounting for one in every eleven workers in the world. It also accounts for six percent of world exports. By 2020, over a billion people will travel internationally, and seven billion will travel domestically. Tourism is a major sector of the economy, and it is growing at a steady pace. The industry is an incredible force for the global economy. With this kind of growth, many other sectors will suffer, but the Travel and Tourism Industry is one of the fastest-growing.
The Importance of the Travel and Tourism Industry
The Travel and Tourism Industry supports approximately 15 million jobs in the United States. The travel industry directly supports a quarter of these jobs. Combined, these sectors account for almost sixty-seven percent of the total employment in the industry. Tourism spending generates approximately $157 billion in federal, state, and local tax revenue. The employment in the Travel and Tourism Industry is not only lucrative, but it is also an excellent way to earn a living.
There are many types of accommodation available for travelers. The most obvious is hotels. Hotels are paid accommodations for travelers. But services are highly variable. A new option that has emerged for tourists is shared accommodation. For example, the site Airbnb allows users to list their spare rooms or common areas. By offering affordable lodging, travellers can stay in a unique setting and save on travel costs. The benefits are not just financial, but also cultural. When choosing accommodation, keep in mind the type of trip that you are planning to take.
Visitor spending is a key factor to consider when gauging the health of the Travel and Tourism Industry. The office of State Comptroller has reported that total visitor spending in New York City reached a record high of 66.6 million in 2019 and generated $47 billion in spending. However, visitor spending dropped 73 percent in 2020, causing an estimated loss of $1.2 billion in tax revenue to the City. These figures are a harbinger of future trends in the Travel and Tourism Industry.
