Travel And Tourism in Chile

Euromonitor International's Travel And Tourism in Chile report offers a comprehensive guide to the market at a national level. It looks at travel accommodation, transportation, car rental, tourist attractions and retail travel. It identifies the leading companies and offers strategic analysis of key factors influencing the market, including background information on disposable income, annual leave and holiday taking habits.

Buy online to access strategic market analysis and an interactive statistical database of market size data for travel accommodation, transportation, car rental, travel retail, tourism attractions and health and wellness tourism, tourism inflows and outflows, tourism spending and company and brand shares.

Tables: 103  |  Publication date: Jul 2009
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GBP1190.00

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  • Get insight into trends in market performance
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Product coverage

Car rental; Demand factors; Health & wellness tourism; Tourism flows domestic; Tourism flows inbound; Tourism flows outbound; Tourism receipts and expenditure; Tourist attractions; Transportation; Travel accommodation; Travel retail

Executive summary

Access to credit creates new middle class travellers

Overall, Chileans have seen an improvement in their economic situation, allowing the emergence of a middle class. The growing middle class fuelled demand for a range of products and services, including travel and tourism. In addition, the wide availability of credit for this segment contributed to growing consumption, and finance was available even for travel. As a consequence, an ever larger number of Chileans are travelling, not only to domestic destinations, but also to other countries. Chileans are changing their habits; for example, splitting their paid holidays to travel throughout the year, or taking longer weekends. This is driving a slight reduction in seasonality, and more importantly, attracting more investment to the industry.

Inflation negatively affects Chileans’ budgets

Between 2007 and 2008 inflation grew strongly and dramatically, which negatively affected Chileans’ budgets, resulting in a 20% decline in their purchasing power. As the prices of many services, housing and utilities are indexed to inflation, the effect of higher prices was multiplied. Customers were forced to reassign their budgets, avoiding non-essential purchases. This caused a deceleration in tourism spending. Although many Chileans continued allocating resources to tourism, they selected less expensive destinations or reduced the duration of their trips. Because most Chileans take vacations in January and February, the real effect of the poor economic performance was not fully reflected in 2008, but is likely to have a stronger effect in 2009.

Casino openings improve the tourism offering nationwide

At the end of 2008, new casino players started to open developments to receive domestic and international tourists. About seven of the 17 new developments opened the first phase of their casinos, and will continue to open the remaining facilities in early 2009. In addition to housing casinos, the developments include 4-star and 5-star hotels, bars and restaurants, spas and beauty centres, and shopping centres. By 2012, 24 casinos will be operational. The expansion of casinos nationwide attracted other investment to the towns in which they are located, and encouraged other players to improve their service standards, including traditional casino players, which renewed their offerings to compete. New casinos close to the main cities contributed to creating a more compelling offering for business tourism, which is available year-round. Late in 2008, casino operators adjusted their services to increase occupancy during the week, and created a service attractive enough for families. Monticello, for example, hosts a raffle of CLP5 million weekly for people who visit on Wednesday, and Enjoy Viña del Mar offers a three day/two night package with a free child place to attract families. Most casinos have incorporated entertainment for children, such as video games and bowling.

The internet slowly gains a share of bookings

Fuelled by the efforts of LAN Airlines SA and leading retailers to stimulate online transactions, Chileans have started to trust and to enjoy the benefits of the web. They are getting information, making their reservations and even paying for their tourism services online. LAN has invested the most in developing its online strategy, and about 45% of its consolidated sales are performed online. Slowly, more players have invested in the internet, but still there are many firms which remain offline. In 2008, less than 1% of travel accommodation sales were performed online, a little more than 1% in travel retail and 4% in car rental. Because of LAN’s concentrated efforts to sell online, online sales in air transportation reached 35% of value sales in 2008.

Poor economic performance is likely to slow growth

The effects of the global financial crisis are likely to slow down tourism sales in 2009 and 2010. The Chilean government has identified the tourism industry as one of the ten activities which will drive economic development; thus private and public efforts to position the country as a main tourist destination should continue, despite weakened demand. In 2009, inbound tourism, mainly from long haul countries, is likely to record a decline, which will be partially mitigated by a higher number of arrivals from Argentina and Paraguay. In addition, Chileans are expected to continue to travel abroad, but more cautious customers are likely to reduce their expenditure on tourism, and many may select domestic destinations. Tourism should receive additional investment, and several projects should enter into operation over the forecast period, including casinos, international hotels based on shopping centres nationwide, and infrastructure associated with national parks.

Table of contents

TRAVEL AND TOURISM IN CHILE : MARKET INSIGHT

EXECUTIVE SUMMARY

Access to credit creates new middle class travellers

Inflation negatively affects Chileans’ budgets

Casino openings improve the tourism offering nationwide

The internet slowly gains a share of bookings

Poor economic performance is likely to slow growth

KEY TRENDS AND DEVELOPMENTS

Economic Indicators

Legislative Environment – Bilateral Agreements

Legislative Environment – Gambling

Government tourism policy

Sustainable Tourism

Consumer Lifestyles

Low Cost Carriers

Emerging Niche Sectors

Internet Developments

TERRORISM AND SECURITY

LEAVE ENTITLEMENT

CONSUMER DEMOGRAPHICS

BALANCE OF PAYMENTS

MARKET INDICATORS

Table 1 Leave Entitlement: Volume 2005-2008

Table 2 Holiday Demographic Trends 2003-2008

Table 3 Holiday Takers by Sex 2003-2008

Table 4 Holiday Takers by Age 2003-2008

Table 5 Length of Domestic Trips: 2003-2008

Table 6 Length of Outbound Departure: 2003-2008

Table 7 Seasonality of Trips 2005-2008

MARKET DATA

Table 8 Balance of Tourism Payments: Value 2003-2008

DEFINITIONS

Tourism parameters

Travel accommodation

Transportation

Car rental

Travel retail

Tourist attractions

Health and wellness

Internet sales

Internet sales: dynamic packaging

Internet sales: traditional package holiday

Summary 1 Research Sources

LOCAL COMPANY PROFILES - CHILE

LAN AIRLINES SA - TRAVEL AND TOURISM - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 2 LAN Airlines SA: Key Facts

Summary 3 LAN Airlines SA: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 4 LAN Airlines SA: Competitive Position 2008

SKY AIRLINE - TRAVEL AND TOURISM - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 5 Sky Airline: Key Facts

Summary 6 Sky Airline: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 7 Sky Airline: Competitive Position 2008

TURISMO COCHA - TRAVEL AND TOURISM - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 8 Turismo Cocha: Key Facts

Summary 9 Turismo Cocha: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 10 Turismo Cocha: Competitive Position 2008

VIAJES FALABELLA - TRAVEL AND TOURISM - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 11 Viajes Falabella: Key Facts

Summary 12 Viajes Falabella: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 13 Viajes Falabella: Competitive Position 2008

TOURISM FLOWS INBOUND IN CHILE

HEADLINES

TRENDS

COUNTRY OF ORIGIN

INBOUND DEMOGRAPHIC PROFILE

MODE OF TRANSPORT

PURPOSE OF VISIT

CITY ARRIVALS

INCOMING TOURIST RECEIPTS BY COUNTRY

PROSPECTS

SECTOR DATA

Table 9 City Arrivals in Chile 2007/2008

Table 10 Arrivals by Country of Origin: 2003-2008

Table 11 Leisure Arrivals by Type 2005-2008

Table 12 Business Arrivals: MICE Penetration 2005-2008

Table 13 Arrivals by Method of Transport: 2003-2008

Table 14 Arrivals by Purpose of Visit: 2003-2008

Table 15 Incoming Tourist Receipts by Country: Value 2003-2008

Table 16 Tourism Expenditure by Sector: Value 2003-2008

Table 17 Method of Payments for Incoming Tourist Receipts: % Breakdown 2005-2008

Table 18 Forecast Arrivals by Country of Origin: 2008-2013

Table 19 Forecast Arrivals by Method of Transport: 2008-2013

Table 20 Forecast Arrivals by Purpose of Visit: 2008-2013

Table 21 Forecast Incoming Tourist Receipts by Country: Value 2008-2013

TOURISM FLOWS OUTBOUND IN CHILE

HEADLINES

TRENDS

DESTINATIONS

OUTBOUND DEMOGRAPHIC PROFILE

MODE OF TRANSPORT

PURPOSE OF VISIT

OUTGOING TOURIST EXPENDITURE BY COUNTRY

PROSPECTS

SECTOR DATA

Table 22 Departures by Destination: 2003-2008

Table 23 Leisure Departures by Type 2005-2008

Table 24 Business Departures: MICE Penetration % Breakdown 2005-2008

Table 25 Departures by Method of Transport: 2003-2008

Table 26 Departures by Purpose of Visit: 2003-2008

Table 27 Outgoing Tourist Expenditure by Country: Value 2003-2008

Table 28 Outgoing Tourist Expenditure by Sector: Value 2003-2008

Table 29 Method of Payments for Outgoing Tourism Spending: % Breakdown 2005-2008

Table 30 Forecast Departures by Destination: 2008-2013

Table 31 Forecast Departures by Method of Transport: 2008-2013

Table 32 Forecast Departures by Purpose of Visit: 2008-2013

Table 33 Forecast Outgoing Tourist Expenditure by Country: Value 2008-2013

TOURISM FLOWS DOMESTIC IN CHILE

HEADLINES

TRENDS

DESTINATIONS

MODE OF TRANSPORT

PURPOSE OF VISIT

DOMESTIC TOURIST EXPENDITURE

PROSPECTS

SECTOR DATA

Table 34 Domestic Trips by Destination: 2003-2008

Table 35 Domestic Trips by Purpose of Visit and by Method of Transport: 2003-2008

Table 36 Domestic Tourist Expenditure: Value: 2003-2008

Table 37 Method of Payments for Domestic Tourism Spending: % Breakdown 2005-2008

Table 38 Forecast Domestic Trips by Purpose of Visit and by Method of Transport: 2008-2013

Table 39 Forecast Domestic Tourist Expenditure: Value: 2008-2013

TRAVEL ACCOMMODATION IN CHILE

HEADLINES

TRENDS

HOTELS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 40 Travel Accommodation Sales by Sector: Value 2003-2008

Table 41 Travel Accommodation Outlets by Sector: Units 2003-2008

Table 42 Travel Accommodation by Sector: Number of Rooms 2003-2008

Table 43 Regional Hotel Parameters 2008

Table 44 Travel Accommodation Sales: Internet Transaction Value 2003-2008

Table 45 Hotel National Brand Owners by Market Share 2004-2008

Table 46 Hotels National Brand Owners by Key Performance Indicators 2008

Table 47 Forecast Travel Accommodation Sales by Sector: Value 2008-2013

Table 48 Forecast Travel Accommodation Outlets by Sector: Units 2008-2013

Table 49 Forecast Travel Accommodation Sales: Internet Transaction Value 2008-2013

Table 50 Hotel Performance in Chile 2007/2008

TRANSPORTATION IN CHILE

HEADLINES

TRENDS

AIRLINES

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 51 Transportation Sales by Sector: Value 2003-2008

Table 52 Airline Capacity: 2003-2008

Table 53 Airline Utilisation: 2003-2008

Table 54 Airline Passengers Carried by Distance: % Breakdown: 2003-2008

Table 55 Transportation Sales: Internet Transaction Value 2003-2008

Table 56 Airline Market Shares 2004-2008

Table 57 Airlines National Brand Owners by Key Performance Indicators 2008

Table 58 Forecast Transportation Sales by Sector: Value 2008-2013

Table 59 Forecast Transportation Sales: Internet Transaction Value 2008-2013

CAR RENTAL IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 60 Car Rental Sales by Sector and Location: Value 2003-2008

Table 61 Structure of Car Rental Market: 2003-2008

Table 62 Average Car Rental Duration by Sector 2004-2008

Table 63 Average Car Rental Duration: % Breakdown 2004-2008

Table 64 Time of Booking: % Breakdown 2005-2008

Table 65 Car Rental Sales: Internet Transaction Value 2003-2008

Table 66 Car Rental Market Shares 2004-2008

Table 67 Car Rental National Brand Owners by Key Performance Indicators 2008

Table 68 Forecast Car Rental Sales by Sector and Location: Value 2008-2013

Table 69 Forecast Car Rental Sales by Sector: Internet Transaction Value 2008-2013

TRAVEL RETAIL IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

GROWTH SECTORS

PROSPECTS

SECTOR DATA

Table 70 Travel Retail Outlets by Sector: Units 2003-2008

Table 71 Travel Retail Products Sales: Value 2003-2008

Table 72 Travel Retail Sales by Destination: % Value Breakdown 2003-2008

Table 73 Travel Retail Online Sales by Sector: Internet Transaction Value 2003-2008

Table 74 Travel Retail Products Market Shares 2004-2008

Table 75 Travel Retail Products National Brand Owners by Key Performance Indicators 2008

Table 76 Forecast Travel Retail Outlets by Sector: Units 2008-2013

Table 77 Forecast Travel Retail Products Sales: Value 2008-2013

Table 78 Forecast Travel Retail Online Sales by Sector: Internet Transaction Value 2008-2013

TOURIST ATTRACTIONS IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 79 Tourist Attractions Sales by Sector: Value 2003-2008

Table 80 Tourist Attractions Visitors by Sector: 2003-2008

Table 81 Tourist Attractions Sales: Internet Transaction Value 2003-2008

Table 82 Leading Tourist Attractions by Visitors 2003-2008

Table 83 Forecast Tourist Attractions Sales by Sector: Value 2008-2013

Table 84 Forecast Tourist Attractions Visitors by Sector: 2008-2013

Table 85 Forecast Tourist Attractions Sales: Internet Transaction Value 2008-2013

HEALTH & WELLNESS TOURISM IN CHILE

HEADLINES

TRENDS

PROSPECTS

SECTOR DATA

Table 86 Number of Hotel/Resort Spas: Units 2003-2008

Table 87 Health & Wellness Tourism Sales by Type: Value 2003-2008

Table 88 Spa Consumer Markets: Domestic Tourism 2005-2008

Table 89 Spa Consumer Markets: Arrivals 2005-2008

Table 90 Forecast Health & Wellness Tourism Sales by Type: Value 2008-2013