Tourists spending more in Asia

MANILA, Philippines - The latest Visa Global Travel Intentions Study 2013 has revealed that travelers to the Asia-Pacific region (APAC) spend around $273, even topping the global average of $239. 

Visa’s regular barometer of travel trends indicates budgets are no longer among the top three reasons behind why travelers choose their next holiday destination. The pull of attractions, scenery and rich culture are instead stronger reasons for travel.

 According to the study that surveyed 12,631 travelers from 25 countries, the average global travel budget of $2,390 per trip is set to increase five percent to $2,501. 

Top spenders abroad are the Saudi Arabians, spending an average of $6,666 per trip, with Australian ($4,118) and Chinese travelers ($3,824) not far behind. 

The study also noted that future travel budget increases are especially high among Asian markets, with a predicted increase of 46 percent. Travelers from Singapore, Thailand and Hong Kong all plan to at least double the budget of the last trip in the future. 

Visa country manager for the Philippines and Guam Iain Jamieson sees the results of the study as an opportunity for the Philippines to boost its tourism. 

“We now see a positive trend towards Asia-Pacific travelers as they are now considered the key drivers pushing the growth of global tourism. More travelers are realizing the benefits of paying with their Visa cards before and during their travels, offering more security and less hassle than carrying large amounts of cash,” Jamieson added. 

As of February 2013, there were 418,108 visitor arrivals compared to 380,000 posted in the same month last year recording a double-digit growth of 15.52 percent. It also marked the first time in this month wherein the country reached the 400,000 mark.

With the recent influx of foreign tourists, it also enabled most of the country’s low-cost carriers to offer cheaper fares by introducing regular seat sales and promising new destinations.  

The share of low-cost seats for international destinations jumped from 24 percent in 2011 to 28 percent in 2012, while low-cost seats to domestic destinations jumped from 63 percent in 2011 to 78 percent in 2012, according to business consultancy firm Innodata.  

Likewise, hotel constructions are also becoming prevalent, with Manila posting the second-highest expected hotel room growth of 34.8 percent, equivalent to 7,846 new rooms, according to hotel analysis firm STR Global. 

As Asia-Pacific travelers continue to drive global tourism growth due to sound macroeconomic policies of their countries, rising middle class, and the implementation of policies that promote cooperation and coordination in cross-border tourism, Jamieson sees an opportunity for digital payments, such as the use of prepaid travel cards, as an alternative for cash when spending overseas. 

“We see the potential of digital payment options such as the use of prepaid travel cards as an excellent alternative for travelers to spend instead of bringing plenty of cash,” he adds.