Travel And Tourism in Ethiopia

Euromonitor International's Travel And Tourism in Ethiopia 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.

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

Despite its potential, Ethiopia remains a ‘difficult’ destination for travellers

Ethiopia’s travel and tourism market has enormous potential. The country not only offers the usual African game and cultural experiences to visitors, but also a rich array of historical and ecological sites that set it apart from most of its neighbours. However, despite its huge potential, the travel and tourism market has yet to develop to a point where it can make a significant contribution to Ethiopia’s economic development. While tourist numbers are rising, growth in arrivals and tourism expenditure are by no means commensurate with the potential of the country’s attractions. A major constraint to the development of travel and tourism is the continuing negative perception of Ethiopia in the global community. Limited promotion and inadequate tourism infrastructure also present major challenges to development. However, the Ethiopian government is becoming increasingly active in its efforts to develop the untapped resource of travel and tourism in the country.

Tourists are drawn to Ethiopia’s rich cultural and historical heritage

Tourist arrivals to Ethiopia grew by a total of 50% over 2003-2008. This impressive increase can be attributed to the socio-economic development and democratic processes that have taken place in the country over the past decade or so. Nevertheless, the most important reason cited by tourists for visiting the country is still its rich cultural and historical heritage. Ethiopia has a long and proud history that extends back to the known beginnings of humankind. For leisure tourists, the main attractions are Ethiopia’s unique culture and history, its magnificent scenery and archaeological sites, and the country’s diverse and exotic flora and fauna. Growing appreciation for these attributes continued to fuel demand for the ‘Ethiopian experience’ among overseas visitors in 2008. The government has officially recognised the value of these national resources and taken steps to preserve them, such as with the setting up of the Ethiopian Cultural Heritage Project.

Ecotourism holds massive development potential in Ethiopia

Ecotourism is still in its infancy in Ethiopia, but it holds significant potential for growth. The country’s biodiversity is quite unique compared to neighbouring countries, some of which are famous safari destinations. Ethiopia’s Protected Area (PA), which includes national parks, game reserves, wildlife sanctuaries and controlled hunting grounds, covers about 14% of the country. The protected areas offer ecotourism and leisure activities such as wildlife viewing, trekking, mountaineering and bird watching. Ethiopia’s rich biodiversity is however under threat from communities who have access to these protected areas and who, through settlement, agriculture or livestock grazing, have damaged the natural habitats. In recognition of the deteriorating state of the PAs and the consequences of this trend, during the review period the government formed new policies and introduced legislation that is more supportive to the conservation of biodiversity and the sustainable use of Ethiopia’s natural resources.

Air travel continues to dominate the transportation sector

Transportation remained the largest sector in Ethiopia’s travel and tourism market in current value sales terms throughout the review period. Transportation current value sales continued to grow strongly in 2008 thanks to the positive performance of air travel, which dominates the sector and is the means by which the vast majority of tourists arrive in Ethiopia. Among the major airlines which serve the country are Ethiopian Airlines, Lufthansa, Emirates Airline, South African Airways and Kenya Airways. Ethiopian Airlines is the national flag carrier and also market leader in value terms. In 2005, the airline initiated its Vision 2020 programme, which aims to increase annual passenger traffic to three million and annual revenues to US$1 billion by 2010. Ethiopian Airlines appears to be within reach of this goal, having transported 2.5 million passengers and generated revenues of US$900 million with a net profit of US$56 million for the 2007-2008 fiscal year.

Future looks bright for Cultural, historical and religious tourism in Ethiopia

Cultural or heritage tourism looks set to become an increasingly important revenue generator in Ethiopia over the forecast period. At the end of 2008, the development of cultural tourism products and attractions was ongoing in several destinations across the country. Moreover, cultural tourism is becoming increasingly diverse, with the development of niche areas such as religious tourism, architecture tourism, literary tourism and creative tourism. Although it is not a new concept, religious tourism is now being recognised as having a major overlap with cultural tourism. This is particularly pertinent to Ethiopia, where people travelling for religious motives, including pilgrims, also have a strong interest in the country’s culture and heritage. While Ethiopia will always have a strong religious appeal, new products such as spiritual and ‘retreat’ holidays should help to strengthen and accelerate the development of cultural tourism towards 2013.

Table of contents

TRAVEL AND TOURISM IN ETHIOPIA : MARKET INSIGHT

EXECUTIVE SUMMARY

Despite its potential, Ethiopia remains a ‘difficult’ destination for travellers

Tourists are drawn to Ethiopia’s rich cultural and historical heritage

Ecotourism holds massive development potential in Ethiopia

Air travel continues to dominate the transportation sector

Future looks bright for Cultural, historical and religious tourism in Ethiopia

KEY TRENDS AND DEVELOPMENTS

Economic indicators

Government policy and sustainable tourism

Foreign direct investment

Ecotourism potential

MARKET INDICATORS

Table 1 Length of Domestic Trips: 2003-2008

Table 2 Length of Outbound Departures: 2003-2008

MARKET DATA

Table 3 Balance of Tourism Payments: Value 2003-2008

Table 4 Departures by Destination: 2003-2008

Table 5 Departures by Method of Transport: 2003-2008

Table 6 Departures by Purpose of Visit: 2003-2008

Table 7 Outgoing Tourist Expenditure: Value 2003-2008

Table 8 Forecast Departures by Destination: 2008-2013

Table 9 Forecast Departures by Method of Transport: 2008-2013

Table 10 Forecast Departures by Purpose of Visit: 2008-2013

Table 11 Forecast Outgoing Tourism Expenditure: Value 2008-2013

Table 12 Domestic Trips by Purpose of Visit and by Method of Transport: 2003-2008

Table 13 Domestic Tourist Expenditure: Value: 2003-2008

Table 14 Forecast Domestic Trips by Purpose of Visit and by Method of Transport: 2008-2013

Table 15 Forecast Domestic Tourist Expenditure: Value: 2008-2013

Table 16 Tourist Attractions: Value 2003-2008

Table 17 Forecast Tourist Attractions: Value 2008-2013

Table 18 Health and Wellness Tourism Sales: Value 2003-2008

Table 19 Forecast Health and Wellness Sales: Value 2008-2013

APPENDIX

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

INBOUND TOURISM FLOWS

Headlines

Trends

Prospects

SECTOR DATA

Table 20 Arrivals by Country of Origin: 2003-2008

Table 21 Arrivals by Method of Transport: 2003-2008

Table 22 Arrivals by Purpose of Visit: 2003-2008

Table 23 Incoming Tourist Receipts: Value 2003-2008

Table 24 Forecast Arrivals by Country of Origin: 2008-2013

Table 25 Forecast Arrivals by Method of Transport: 2008-2013

Table 26 Forecast Arrivals by Purpose of Visit: 2008-2013

Table 27 Forecast Incoming Tourist Receipts: Value 2008-2013

TRAVEL ACCOMMODATION

Headlines

Trends

Prospects

SECTOR DATA

Table 28 Travel Accommodation Sales by Sector: Value 2003-2008

Table 29 Travel Accommodation Outlets by Sector: Units 2003-2008

Table 30 Regional Hotel Parameters 2008

Table 31 Hotel Company Rankings 2005-2008

Table 32 Forecast Travel Accommodation Sales by Sector: Value 2008-2013

Table 33 Forecast Travel Accommodation Outlets by Sector: Units 2008-2013

Table 34 Forecast Travel Accommodation Internet Sales: Internet Transaction Value 2008-2013

TRANSPORTATION

Headlines

Trends

Prospects

SECTOR DATA

Table 35 Transportation Sales by Sector: Value 2003-2008

Table 36 Transportation Internet Sales: Internet Transaction Value 2003-2008

Table 37 Air Company Rankings 2005-2008

Table 38 Forecast Transportation Sales by Sector: Value 2008-2013

Table 39 Forecast Transportation Internet Sales: Internet Transaction Value 2008-2013

CAR RENTAL

Headlines

Trends

Prospects

SECTOR DATA

Table 40 Car Rental Sales: Value 2003-2008

Table 41 Car Rental Internet Sales: Internet Transaction Value 2003-2008

Table 42 Car Rental Company Rankings 2005-2008

Table 43 Forecast Car Rental Sales: Value 2008-2013

Table 44 Forecast Car Rental Internet Sales: Internet Transaction Value 2008-2013

TRAVEL RETAIL

Headlines

Trends

Prospects

SECTOR DATA

Table 45 Travel Retail Outlets: Units 2003-2008

Table 46 Travel Retail Products Sales: Value 2003-2008

Table 47 Travel Retail Products Company Rankings 2005-2008

Table 48 Forecast Travel Retail Outlets: Units 2008-2013

Table 49 Forecast Travel Retail Products Sales: Value 2008-2013

Table 50 Forecast Travel Retail Products Internet Sales: Internet Transaction Value 2008-2013