Tourism New Destination - India - Yogesh Kende

INDIA Tourism’s New Destination - Yogesh kende 1

India – Tourism’s New Address

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Defining Tourism • It occurs as a result of the different types of business that provide a range of products & services to visitors. • Those activities that takes people away from their usual place of residence for pleasure, holiday or other reason.

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Brand India – A Sell Out! “When you come to India, you’re inspired by the past and you can see the future.” - Former US President George W Bush New Delhi - 3rd March 2006

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Who is a Tourist ? • It can be anyone traveling away from home for any reason :

1. International Visitors whose main place of residence is outside a country (inbound tourist), a resident travel overseas (outbound tourist). 2. Interstate Tourist traveling within their country, to a state other than where they usually stay for tourism purpose. 3. Intrastate Tourist travelling within the state in which they usually stay. 5

Category Of Tourists: 1. Inbound Tourist Visitor to a country whose main residence is not in the country visited.

place

of

2. Outbound Tourist Visitors whose main place of residence is in a country and travelling outside of his country.

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Purpose Of Travel • Corporate meeting

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Business,

sales

trip,

overseas

• Leisure – Holiday, visit friends or relatives, honeymoon • Educational – special interest, study, exchange program • Religious – Pilgrimage or church celebration, festival. Eg – Maclordganj in Himachal Pradesh. 7

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• Conference / Convention personality development etc. • Entertainment gaming etc.

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theatre,

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work-related,

opera,

concerts,

• Health Care – for surgeries, low cost treatment etc.

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India: An emerging superpower “We came to India for the costs, we stayed for the quality, and we are now investing for the innovation.” Sr. V.P. Dan Scheinman of Cisco Systems

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India: An emerging superpower

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Let’s talk NUMBERS Fastest growing Economies 2006-2020

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India’s GDP will exceed : – – – –

Italy’s in 2020, France’s in 2020 Germany’s in 2025 and Japan’s in 2035

Goldman Sachs Projections (US 2003 $ Billion)

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• According to World Tourism Organization estimates, India will lead in South Asia with 8.9 million arrivals by 2020 • India is poised to emerge as the 2nd fastest growing (8.8%) tourism economy in the world over 2005-14 according to the World Travel & Tourism • There has been a growth of more than 13% in foreign tourist coming to India for tourism and other related works. • Foreign exchange earnings from foreign tourists were up by more than 20% at $5,730.86 million 13 in 2007, up from $4,769 million earned in 2006.

India’s Tourism Journey

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Sectors effected by the Growing Tourism Industry • Aviation Sector • Hospitality Sector

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Growth in the Aviation sector : • Indian air travel to grow 20% each year for the next 5 years. • Overall aircraft movements have increased by 15.3%. • Overall passenger traffic has increased by 24.3%. • Overall cargo traffic increased by 21.9%. • Modernization of Airports. • Low Cost Operations. 16

Major Players in the Aviation Sector • Indian Airlines • Air India • Kingfisher Airlines • Air Deccan (acquired by Kingfisher) • Jet Airways 17

HOSPITALITY SECTOR :It consists of various sub-sectors :• Hotel Industry • Car Rental and Taxi Services • Health Care Services.

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Hotel Industry : • This industry has earned gold because of the rise in the India’s tourism industry. • A steep rise is seen in the profitability of the hotel industry because of the increased number of footfalls of foreign tourists in India.

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Major Players of the Hotel Industry • Taj Group of Hotels • Maurya Shereton • Oberois • Le Meridian • The Piccadily etc. 20

Health Care Services – Medical Tourism • Heath Tourism is to provide World Class Health treatment at competitive affordable prices. • Such Services include complex specialized surgeries such as Joint Replacement, (Knee/Hip), Cardiac Surgery, Dental Surgery & Cosmetic Surgery, and Ayurvedic treatment.

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Medical tourism in India• With global revenues of approximately US$ 20 Billion (2005), the medical tourism industry is one of the world's largest industry. •

India's cost effective treatment makes it an important player in this industry

• Growing Medical tourism in India will be one of the major sources for foreign exchange. • With increasing number of non-insured population in western countries and increasing healthcare expenditure to GDP resulting in people opting for treatment choices outside 22 their

Key Indian Players

Apollo Hospital Hyderabad Max Hospital

Delhi

Breach Candy Hospital Jaslok Hospital, Mumbai

Fortis Hospital, Delhi

Wokhardt Hospital 23 Bangalore

India : now recognized as a year round destination. • World over India is perceived predominately as a October to April winter destination. • Marketing initiatives by both the Government and the Private sector is now successfully addressing & changing this perception.

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New Tourism Products • Monsoon magic - focus on months from April to October • Rural & village tourism - the tourism ministry is laying special emphasis on infrastructure development in various rural destinations in India. • Medical tourism - the Indian Healthcare Delivery market is estimated at US$ 18.7 billion. The industry is growing at about 13 per cent annually. • Wellness & Spa tourism – luxurious world class health spa’s are mushrooming across the country. • Luxury tourism – e.g. Palace on Wheels.

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Change in perception • There has been a positive change in perception about the benefits of tourism in the minds of planners, policy makers and as well as state governments in India. • Tourism is now being seen: – Engine of growth for the economy and a key employment generator. – Low Capital Investment in the trade. – Import’s that earn foreign exchange. – Cultural revival/ regeneration. 26

New Destinations • Till recently the state governments of Kerala and Rajasthan were aggressively marketing their product. • Today there is more competition from other states. – Gujarat – N. Kerala – Ladakh – Madhya Pradesh – Orissa – Bihar – Rajasthan – Uttaranchal – Punjab 27

‘Incredible India’ Campaign • The ‘Incredible India’ Campaign implemented by the Government of India has proved a catalyst in attracting record tourists into India. • Being the first B2C campaign of its kind, it has created a unique brand and identity of India in the world travel & tourism space. • The year has been a significant year, with ‘Incredible India’ catching international eyeballs and the subsequent recognition by the world media.

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‘Incredible India’ Campaign • Winner of PATA Grand Award in the Heritage (HE) category, for its ‘Ajanta Ellora Conservation & Tourism Development Project“ • Winner of PATA Gold Award in the Print Media (AD-P) category for its "Incredible-Taj" ads. • Winner of PATA Gold Award for Marketing, Government for its "Incredible India Campaign“ • Travel and Leisure- Highest Recall AD -Worldwide 29

Destination INDIA • Cultural tourism & Round Trips – Covering the popular circuits comprising of the Golden Triangle, Rajasthan, N. India & in South the well known temples, backwaters & beaches. • Mass tourism – Goa is a tourism based economy and a leader in this sector, is all set to promote mass tourism. Goa also won the 2nd most popular winter destination in UK. • Kashmir – With revival of tourism in 2005, the state witnessed a 40 per cent increase in tourism related activities, due to return of normalcy resulting in the lifting of travel advisories in most countries. • Commonwealth Games 2010 – The government is investing in infrastructure, to further develop tourism in and around Delhi. 30

Destination INDIA • North East – States such as Sikkim, Arunachal, Assam and Nagaland have emerged as major players. The major focus in 2005 was to develop tourism infrastructure in the region. These states have witnessed a quantum leap in tourist inflow. • New States – Uttaranchal for e.g. which attracted 14 million tourists in 2004 witnessed a growth of 40% in 2005. Major focus on marketing to attract high spending tourists, initiatives to create world-class infrastructure. • Beautiful South – Aggressive marketing has helped achieve over 25% growth in tourism in southern states. Andhra Pradesh and Karnataka are witnessing an upswing in foreign tourists, other than Kerala.

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Business Idea !! When a tourist goes to any place, he/she spends a huge lot of money in living and accommodation. Then so as to save money he goes for a low standard hotel or lodge where he makes a compromise with the service quality so as to save money which he will utilize in other activities. So what can be done so as to make the tourist happy by giving high quality services at a lower cost.

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Solution • If a person who has a big home in which some rooms are unutilized, then he can better make the tourists stay at his place and charge him accordingly. • Tourist will be provided all the services which he receives in a hotel. • E.g Homely and good cooked food of the tourist’s choice and preference. • He should be paid full attention like he gets in his home. • If the owner of the house has the car, then that can also be utilized for the travelling purpose of the tourist against some affordable charges. • As you are the local resident of that place then you can help him in visiting different places of the city which are famous for tourist purposes. 33

How should a tourist contact you? • Do proper marketing of your business with the help of newspaper. The Advertisement should be published at the national level so that the person whole round the country can know about you. • One can also go for making a website so as to market his service based business.

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Thank You

Thank You

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