Travel And Tourism in Djibouti
Euromonitor International's Travel And Tourism in Djibouti 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: 53 | Publication date: Oct 2008
Why buy this report
- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
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
Djibouti embarks on a tourism development plan
Despite numerous travelling advantages and assets, Djibouti suffers from regional political instability, namely the continuous national unrest in neighbouring Somalia and the on-going border dispute between Ethiopia and Eritrea. The country also suffered internal stability from 1991 to 2001. As a result, travel and tourism in this young state –Djibouti celebrated its 30th year of independence from France in June 2007 – remains insignificant, totalling less than 1% of total GDP. About 60% of the local working population works in agriculture, in comparison to the 4% employed in tourism. In order to reverse this trend, and aware of the benefits of travel and tourism for the country’s economy, the government has slowly embarked on a development plan to build adequate tourism infrastructures, through upgrading the country’s port and airport facilities and the construction of large international hotel chains, which would in turn facilitate growth in the travel and tourism industry.
Increased demand for eco-tourism
Similar to many countries where tourism is either well-established or growing, Djibouti has the potential to benefit from increasing demand for eco-tourism. Located by the Red Sea, Djibouti has the potential to develop sea tourism, namely scuba diving and fish watching. However, in order to increase the number of tourists visiting the country, Djibouti needs to improve its communication strategy, as there remains a lack of information available for foreigners. Additionally, despite the return of internal stability, the aforementioned exogenous regional factors may continue to plague the country’s image on the international stage for some time.
Investments in travel accommodation increase
Gulf investors, mainly Dubai-based firms, continue to invest in travel accommodation in Djibouti. Following various takeovers by Dubai’s Nakheel and other hotels by Emirati professionals, the long-waited opening of the Kempinski Palace occurred in November 2006. The hotel offers numerous facilities, which are up to international standards, but, more importantly, it is expected to be the pillar of the rather small number of first-class hotels in Djibouti. At the time of the review period, the Kempinski Palace was, along with the Sheraton and the Hotel Residence de l’Europe, the only high-standard hotel available in Djibouti. However, there are plans to develop the market and build new hotels, as well as construct tourism facilities such as marinas and tourism resorts.
The government hopes that these various hotel investments will attract more foreign investors willing to invest in the country’s travel and tourism industry in general. In the long term, the growing number of hotels should also bring prices down. Presently, prices remain high due to a lack of competition, especially in the international-standard hotels.
Air transportation remains limited and prohibitively expensive
Air transport remains limited and expensive, and the national carrier, Air Djibouti, has only one aircraft in its fleet. Faced with competition from Air France and carriers from neighbouring Ethiopia and Eritrea, Djibouti’s airline has yet to become profitable. Although several international carriers fly in and out of Djibouti, there are only three airlines flying to and from Europe, namely Air France, Yemenia and Daallo. Lufthansa and Emirates are, however, negotiating flying routes and may offer flights to Djibouti in 2008. One important aspect of the sector in 2007 was the rise in airfares due to the increasing price of oil on the international market.
Although about half of international visitors to Djibouti come by land, road infrastructures remain poor. Djibouti’s ports however are modern and well-developed, which could allow the country to become a major regional trading hub between East Africa, Asia and the Middle East.
Car rental remains small in Djibouti
Car rental remains limited in Djibouti. There is one international brand only operating in the country, Europcar. The economic situation of the country, the poor state of its roads and the lack of foreign interest in car rental are the main reasons for its small size in Djibouti. However, foreign investors in general and Gulf investors in particular are showing growing interest in investing in different areas of the Djibouti economy; consequently, it is expected that car rental will benefit from this interest in the forecast period.
Travel retail outlets focus on eco-tourism
Travel retail outlets in Djibouti remains limited and professionals concentrate mainly on the growing eco-tourism niche. Most of these outlets are unprofitable and provide poor quality services. As a result, investments – either from local or international parties, which could bring more competition and, more importantly, better services – have yet to occur. During the review period, there were about 20 travel retail outlets in Djibouti. Nonetheless, tour operators specialising in scuba diving and fish watching have, despite the tsunami in 2004 and the Sharm el Sheikh bombing in 2005, managed to develop eco-tourism in the country. Djibouti’s deep sea enjoys a high reputation. Consequently, this area is not only the focus of travel retail outlets but is a pillar of the travel and tourism industry in Djibouti.
The National Office for Tourism in Djibouti (ONTD) has forged a closer link with private operators and is taking the necessary initiatives to create partnerships to make travel and tourism an integral part of the national economy. The major focus of this policy is that the ONTD wants to prioritise quality over quantity in order to make Djibouti a first-choice international travel and tourism destination.
Table of contents
TRAVEL AND TOURISM IN DJIBOUTI : MARKET INSIGHT
EXECUTIVE SUMMARY
Djibouti embarks on a tourism development plan
Increased demand for eco-tourism
Investments in travel accommodation increase
Air transportation remains limited and prohibitively expensive
Car rental remains small in Djibouti
Travel retail outlets focus on eco-tourism
KEY TRENDS AND DEVELOPMENTS
Regional instability impacts industry performance
Much room for growth within travel accommodation
Increased competition in air transportation
Limited car rental sales
Eco-tourism to attract high-spending travellers
MARKET INDICATORS
Table 1 Length of Domestic Trip: 2002-2007
Table 2 Length of Outbound Departure: 2002-2007
MARKET DATA
Table 3 Arrivals by Country of Origin: 2002-2007
Table 4 Arrivals by Method of Transport: 2002-2007
Table 5 Arrivals by Purpose of Visit: 2002-2007
Table 6 Incoming Tourist Receipts: Value 2002-2007
Table 7 Forecast Arrivals by Country of Origin: 2007-2012
Table 8 Forecast Arrivals by Method of Transport: 2007-2012
Table 9 Forecast Arrivals by Purpose of Visit: 2007-2012
Table 10 Forecast Incoming Tourist Receipts: Value 2007-2012
Table 11 Departures by Destination: 2002-2007
Table 12 Departures by Method of Transport: 2002-2007
Table 13 Departures by Purpose of Visit: 2002-2007
Table 14 Outgoing Tourist Expenditure: Value 2002-2007
Table 15 Forecast Departures by Destination: 2007-2012
Table 16 Forecast Departures by Method of Transport: 2007-2012
Table 17 Forecast Departures by Purpose of Visit: 2007-2012
Table 18 Forecast Outgoing Tourist Expenditure: Value 2007-2012
Table 19 Domestic Trips by Purpose of Visit and by Method of Transport: 2002-2007
Table 20 Domestic Tourist Expenditure: Value: 2002-2007
Table 21 Forecast Domestic Trips by Purpose of Visit and by Method of Transport: 2007-2012
Table 22 Forecast Domestic Tourist Expenditure: Value: 2007-2012
Table 23 Tourist Attractions: Value 2002-2007
Table 24 Forecast Tourist Attractions: Value 2007-2012
Table 25 Health and Wellness Tourism Sales: Value 2002-2007
Table 26 Forecast Health and Wellness Sales: Value 2007-2012
Table 27 Balance of Tourism Payments: Value 2002-2007
DEFINITIONS
Tourism Parameters
Travel accommodation
Transportation
Car rental
Travel retail
Internet sales
Sources
Summary 1 Research Sources
TRAVEL ACCOMMODATION
Headlines
Trends
Prospects
Sector Data
Table 28 Travel Accommodation Sales by Sector: Value 2002-2007
Table 29 Travel Accommodation Outlets by Sector: Units 2002-2007
Table 30 Regional Hotel Parameters 2007
Table 31 Travel Accommodation by Sector: Number of Rooms 2005-2007
Table 32 Travel Accommodation by Sector: Number of Beds 2005-2007
Table 33 Travel Accommodation Internet Sales: Internet Transaction Value 2002-2007
Table 34 Hotel Company Rankings 2005-2007
Table 35 Forecast Travel Accommodation Sales by Sector: Value 2007-2012
Table 36 Forecast Travel Accommodation Outlets by Sector: Units 2007-2012
Table 37 Forecast Travel Accommodation Internet Sales: Internet Transaction Value 2007-2012
TRANSPORTATION
Headlines
Trends
Prospects
Sector Data
Table 38 Transportation Sales by Sector: Value 2002-2007
Table 39 Airline Company Rankings 2005-2007
Table 40 Forecast Transportation Sales by Sector: Value 2007-2012
CAR RENTAL
Headlines
Trends
Prospects
Sector Data
Table 41 Car Rental Sales: Value 2002-2007
Table 42 Car Rental Internet Sales: Internet Transaction Value 2002-2007
Table 43 Car Rental Company Rankings 2005-2007
Table 44 Forecast Car Rental Sales: Value 2007-2012
Table 45 Forecast Car Rental Internet Sales: Internet Transaction Value 2007-2012
TRAVEL RETAIL
Headlines
Trends
Prospects
Sector Data
Table 46 Travel Retail Outlets: Units 2002-2007
Table 47 Travel Retail Products Sales: Value 2002-2007
Table 48 Travel Retail Products Internet Sales: Internet Transaction Value 2002-2007
Table 49 Travel Retail Products Company Rankings 2005-2007
Table 50 Forecast Travel Retail Outlets: Units 2007-2012
Table 51 Forecast Travel Retail Products Sales: Value 2007-2012
Table 52 Forecast Travel Retail Products Internet Sales: Internet Transaction Value 2007-2012