Travel
Travel and Tourism

Travel And Tourism in Hungary

Hungary

Euromonitor International's Travel And Tourism in Hungary 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: 98  |  Publication date: Apr 2008
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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

Tourism sales declined over the review period

Tourism has been traditionally very important for Hungary, accounting for a high percentage of GDP throughout the review period. However, the share of national income realised from tourism has been steadily declining over the 2001-2006 period. This was due to an overall decline in incoming tourism expenditure, which the rapid increase in domestic spending could not entirely counterbalance. The trend, however, is expected to reverse during the forecast period, due to the growing importance of domestic tourism.

Tough competition affects inbound tourism flows

In 2006, the number of international arrivals to Hungary declined again, following a decline in 2005. Hungary’s accession to the EU brought only a temporary relief for the Hungarian travel and tourism industry, breaking the declining trend in the number of arrivals for a short period. The negative trend is expected to continue over the first part of the forecast period, although the Hungarian tourism industry hopes that the number of arrivals will stabilise at around 10 million by 2011. The reason for the decline in the number of arrivals to Hungary is that competition has become intense in the region and Hungary is competing against some tough opponents, such as Croatia, Romania and Bulgaria, all of which are more diverse in terms of nature and, perhaps more importantly, price levels in these countries are lower than in Hungary, thus tourists’ money holds greater purchasing power.

A good performance for domestic tourism

The number of domestic tourists grew dramatically during the review period in Hungary and an increasingly significant part of tourism expenditure is derived from domestic tourism. Hungarian disposable incomes have registered a healthy increase between 2001 and 2006 and this was the most important factor benefiting domestic tourism. This development stimulated an increase in outbound tourism but particularly helped domestic tourism. This is because Hungarian incomes are still relatively low, thus restricting foreign travel.

Low cost carriers to benefit all tourism services

In 2004, when Hungary joined the EU, the aviation market was liberalised and all limitations on flight routes and numbers operated by foreign companies were removed, leaving Malév Hungarian Airlines Rt, the national carrier, vulnerable amid increasingly fierce competition. The opening of the Hungarian skies to competition meant that many new airlines could enter, including budget airlines, such as those from SkyEurope Airlines (SkyEurope), Wizz Air Ltd (Wizzair), easyGroup Ltd (easyJet), Eurowings Luftverkehrs AG (Germanwings) and Ryanair, just to name the largest operators. Given the operating model of these airlines, this heralded the introduction of competitive prices, which naturally translated into a significant increase in the number of passengers carried by air. This increase has had a stimulating effect not only on the transportation industry, but also in terms of generating demand in related categories, such as car rental, travel accommodation, foodservice and tourist attractions.

Gloomy future ahead

By 2011, the balance of tourism payments is forecast to shrink to less than a tenth of what it was in 2001. This is because the declining trend in the number of arrivals accompanied by the rapid increase in the number of departures is expected to continue over the forecast period. The promotion of Hungarian tourism is going to play a crucial role in limiting the extent of this fall. Growth in the Hungarian inbound tourism industry will be primarily driven by the growing popularity of short city breaks (mostly to the capital), as well as the growing significance of health and wellness tourism.

Table of contents

TRAVEL AND TOURISM IN HUNGARY : MARKET INSIGHT

EXECUTIVE SUMMARY

Tourism sales declined over the review period

Tough competition affects inbound tourism flows

A good performance for domestic tourism

Low cost carriers to benefit all tourism services

Gloomy future ahead

KEY TRENDS AND DEVELOPMENTS

Economic drivers

Legislative environment

Government tourism policy and sustainable tourism

Consumer lifestyles

Low cost carrier development

Internet developments

TERRORISM AND SECURITY

LEAVE ENTITLEMENT

CONSUMER DEMOGRAPHICS

BALANCE OF PAYMENTS

MARKET INDICATORS

Table 1 Leave Entitlement: Volume 2005/2006

Table 2 Holiday Demographic Trends 2001-2006

Table 3 Holiday Takers by Sex 2001-2006

Table 4 Holiday Takers by Age 2001-2006

Table 5 Length of Domestic Trip: 2001-2006

Table 6 Length of Outbound Departure: 2001-2006

Table 7 Seasonality of Trips 2005/2006

MARKET DATA

Table 8 Balance of Tourism Payments: Value 2001-2006

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

Sustainable tourism

Sources

Summary 1 Research Sources

LOCAL COMPANY PROFILES - HUNGARY

DANUBIUS HOTELS RT - TRAVEL AND TOURISM - HUNGARY

STRATEGIC DIRECTION

KEY FACTS

Summary 2 Danubius Hotels Rt: Key Facts

Summary 3 Danubius Hotels Rt: Operational Indicators

COMPANY BACKGROUND

Summary 4 Danubius Hotels Rt: Competitive Position 2006

FOX AUTORENT KFT - TRAVEL AND TOURISM - HUNGARY

STRATEGIC DIRECTION

KEY FACTS

Summary 5 Fox Autorent Kft: Key Facts

Summary 6 Fox Autorent Kft: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 7 Fox Autorent Kft: Competitive Position 2006

TENSI TOURS KFT - TRAVEL AND TOURISM - HUNGARY

STRATEGIC DIRECTION

KEY FACTS

Summary 8 Tensi Tours Kft: Key Facts

Summary 9 Tensi Tours Kft: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 10 Tensi Tours Kft: Competitive Position 2006

WIZZ AIR LTD - TRAVEL AND TOURISM - HUNGARY

STRATEGIC DIRECTION

KEY FACTS

Summary 11 Wizz Air Ltd: Key Facts

Summary 12 Wizz Air Ltd: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 13 Wizz Air Ltd: Competitive Position 2006

TOURISM FLOWS INBOUND IN HUNGARY

HEADLINES

TRENDS

COUNTRY OF ORIGIN

MODE OF TRANSPORT

PURPOSE OF VISIT

INCOMING TOURIST RECEIPTS BY COUNTRY

PROSPECTS

SECTOR DATA

Table 9 Arrivals by Country of Origin: 2001-2006

Table 10 Arrivals by Purpose of Visit: 2001-2006

Table 11 Leisure Arrivals by Type 2005-2006

Table 12 Business Arrivals: MICE Penetration 2005-2006

Table 13 Arrivals by Method of Transport: 2001-2006

Table 14 Incoming Tourist Receipts by Country 2001-2006

Table 15 Tourism Expenditure by Sector: Value 2001-2006

Table 16 Method of Payments for Incoming Tourist Receipts: % Breakdown 2005/2006

Table 17 Forecast Arrivals: 2006-2011

Table 18 Forecast Incoming Tourism Receipts: 2006-2011

TOURISM FLOWS OUTBOUND IN HUNGARY

HEADLINES

TRENDS

DESTINATIONS

MODE OF TRANSPORT

PURPOSE OF VISIT

OUTBOUND DEMOGRAPHIC PROFILE

OUTGOING TOURIST RECEIPTS BY COUNTRY

PROSPECTS

SECTOR DATA

Table 19 Departures by Destination: 2001-2006

Table 20 Leisure Departures by Type 2005-2006

Table 21 Business Departures: MICE Penetration % Breakdown 2005-2006

Table 22 Departures by Mode of Transport: 2001-2006

Table 23 Departures by Purpose of Visit: 2001-2006

Table 24 Outgoing Tourist Expenditure by Sector: Value 2001-2006

Table 25 Method of Payments for Outgoing Tourism Spending: % Breakdown 2006

Table 26 Forecast Departures: 2006-2011

Table 27 Forecast Outgoing Tourism Expenditure: 2006-2011

TOURISM FLOWS DOMESTIC IN HUNGARY

HEADLINES

TRENDS

DESTINATIONS

MODE OF TRANSPORT

PURPOSE OF VISIT

DOMESTIC TOURISM RECEIPTS

METHOD OF PAYMENT

PROSPECTS

SECTOR DATA

Table 28 Domestic Tourist Expenditure: 2001-2006

Table 29 Expenditure per Domestic Trip: 2001-2006

Table 30 Domestic Trips by Destination: 2001-2006

Table 31 Domestic Trips by Purpose of Visit: 2001-2006

Table 32 Method of Payments for Domestic Tourism Spending: % Breakdown 2005/2006

Table 33 Forecast Domestic Tourism: 2006-2011

Table 34 Forecast Domestic Tourist Expenditure: 2006-2011

TRAVEL ACCOMMODATION IN HUNGARY

HEADLINES

TRENDS

HOTELS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 35 Travel Accommodation Sales by Sector: Value 2001-2006

Table 36 Travel Accommodation by Sector: Units 2001-2006

Table 37 Regional Hotel Parameters 2006

Table 38 Travel Accommodation Internet Sales by Direct Suppliers and Intermediaries: Internet Transaction Value 2001-2006

Table 39 Hotel National Brand Owners by Key Performance Indicators 2006

Table 40 Hotel National Brand Owners by Market Share 2002-2006

Table 41 Forecast Travel Accommodation Sales by Sector: Value 2006-2011

Table 42 Forecast Travel Accommodation by Sector: Units 2006-2011

Table 43 Forecast Travel Accommodation Internet Sales by Direct Suppliers and Intermediaries: Internet Transaction Value 2006-2011

TRANSPORTATION IN HUNGARY

HEADLINES

TRENDS

AIRLINES

PRIVATE JETS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 44 Transportation Sales by Sector: Value 2001-2006

Table 45 Airline Capacity: 2001-2006

Table 46 Airline Utilisation: 2001-2006

Table 47 Airline % Utilisation 2001-2006

Table 48 Airline Volume Sales by Seat Class: % Breakdown: 2001-2006

Table 49 Airline Volume Sales by Distance: % Breakdown: 2001-2006

Table 50 Transportation Internet Sales by Direct Suppliers and Intermediaries: Internet Transaction Value 2001-2006

Table 51 Key Airlines Key Performance Indicators 2006

Table 52 Airline Market Shares 2002-2006

Table 53 Forecast Transportation Sales by Sector: Value 2006-2011

Table 54 Forecast Transportation Internet Sales by Sector: Internet Transaction Value 2006-2011

CAR RENTAL IN HUNGARY

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 55 Car Rental Sales by Sector and Location: Value 2001-2006

Table 56 Structure of Car Rental Market: 2001-2006

Table 57 Average Car Rental Duration by Sector 2004-2006

Table 58 Average Car Rental Duration: % Breakdown 2005/2006

Table 59 Time of Booking: % Breakdown 2005/2006

Table 60 Car Rental Internet Sales by Direct Suppliers and Intermediaries: Internet Transaction Value 2001-2006

Table 61 Key Car Rental Companies’ Key Performance Indicators 2006

Table 62 Car Rental Market Shares 2002-2006

Table 63 Forecast Car Rental Sales by Sector: Value 2006-2011

Table 64 Forecast Car Rental Internet Sales by Sector: Internet Transaction Value 2006-2011

TRAVEL RETAIL IN HUNGARY

HEADLINES

TRENDS

GROWTH SECTORS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 65 Travel Retail Outlets by Sector: Units 2001-2006

Table 66 Travel Retail Sales by Product: Value 2001-2006

Table 67 Travel Retail Sales by Destination: % Value Breakdown 2001-2006

Table 68 Travel Retail Internet Sales by Direct Suppliers and Intermediaries: Internet Transaction Value 2001-2006

Table 69 Travel Retail Internet Sales by Sector: Internet Transaction Value 2001-2006

Table 70 Travel Retail Products Market Shares 2002-2006

Table 71 Key Travel Retail Companies by Number of Outlets 2006

Table 72 Forecast Travel Retail Outlets by Sector: Units 2006-2011

Table 73 Forecast Travel Retail Sales by Product: Value 2006-2011

Table 74 Forecast Travel Retail Internet Sales by Direct Suppliers and Intermediaries: Internet Transaction Value 2001-2006

TOURIST ATTRACTIONS IN HUNGARY

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 75 Tourist Attractions by Sector: Value 2001-2006

Table 76 Tourist Attractions by Sector: 2001-2006

Table 77 Tourist Attractions Internet Sales by Direct Suppliers and Intermediaries: Internet Transaction Value 2001-2006

Table 78 Leading Tourist Attractions by Visitors 2001-2006

Table 79 Forecast Tourist Attractions by Sector: Value 2006-2011

Table 80 Forecast Tourist Attractions by Sector: 2006-2011

Table 81 Forecast Tourist Attractions Internet Transaction Value Sales by Sector: Internet Transaction Value 2006-2011

HEALTH & WELLNESS TOURISM IN HUNGARY

HEADLINES

TRENDS

PROSPECTS

SECTOR DATA

Table 82 Number of Hotel/Resort Spas: Units 2001-2006

Table 83 Spa Sales by Type: Value 2001-2006

Table 84 Spa Consumer Markets: Domestic Tourism 2005-2006

Table 85 Spa Consumer Markets: Arrivals 2005-2006

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