The Economic Evidence of the Accessible Tourism Market

National Dialogue –Stakeholders in Accessible Tourism

Monday 20 June 2011

Economic Contribution of the Accessible Tourism Market

Associate Professor Simon DarcyUTS Business School

University of Technology, Sydneysimon.darcy@uts.edu.au

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Overview

1. Access market potential

2. Business case

3. Research Design

4. Economic Contribution and Market Dynamics

5. Concluding comments

Based on Dwyer, L., & Darcy, S. (2011). Chapter 14 - Economic Contribution of Tourists with Disabilities: An Australian Approach and Methodology. In D. Buhalis & S. Darcy (Eds.), Accessible Tourism: Concepts and Issues (pp. 213-239). Bristol, UK: Channel View Publications.http://www.multilingual-matters.com/display.asp?k=9781845411602z

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1. Access Market Potential

Domestic Demand• Australia = 4.0m

• New Zealand = 0.7m

Overseas Tourism• Europe = 127m

• China = 62m• USA = 60m • India = 47m

• Great Britian = 9m• Canada = 4m

•Group Dynamics = 2.8/day trip = 3.4/domestic

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Dimensions of Access• Mobility

– Ramps, lifts, circulation space, accessible unisex toilets, automatic doors, table heights, operational dexterity

• Vision– Tactile tiles, visual contrast, audible signals (lifts/street

crossings), braille, large print, assistance animal respite areas

• Hearing– Visual signals, Auslan Sign interpreters, captioning or Tele

text, telephone typewriters, preprepared written material• Cognition/learning

– Plain English material, iconic signage, time, speed of communication, environmental stimulus, alternative modes

• Others

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Sour

ce:

HR

EOC

200

3

6

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2. Business Case for Access Markets

• Global Trends• Ageing of the population • Baby boomers• Increased travel opportunity• Human rights declarations• Community expectations • Lifelong learning • CSR – Social sustainability

• Part of all markets• A specific/niche market• New products - innovation• Non peak periods• Segregated Universal• Flexible/integrated space• Group size• Networks and collaborations • Destination competitivness

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Accessible Tourism as a Market?Disability As Part of Every Market?

• UN 2006/2008 Convention on the Rights of People with Disabilities

• WHO 2007 aged friendly cities• 10% earn equal to or above the average weekly

wage of their country • US accessible tourism market = US $13.5bn

(HarrisMarket Research 2002 & 2005)• European accessible tourism market = €80bn

(Buhalis et al. 2005)• Opportunity for niche business development and

general inclusion as part of all business activity

3. Research DesignData Steps and Requirements

Requirement Source1. Australians with disabilities; Disability and Ageing and

Carers survey (ABS,2004)

2. Australian population estimates; Australian DemographicStatistics (ABS, 2007)

3. Overall contribution of tourism; Contribution to GDP(Tourism ResearchAustralia, 2006), basedon TSA

4. Expenditure patterns associated with tourists withand without disabilities (aggregate and detailedtypes of goods and services)

National Visitor Survey(Bureau of TourismResearch, 2003)

5. The expenditure data must be converted intoestimated contribution of key economic variablese.g. Gross Domestic Product (GDP) and jobs.

Carried out through TSA

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Disability Pyramid

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All with a Disability 20% of Aust population (ABS 2004)

Mobility

Vision

Hearing

Ageing/Seniors

Attitudes of Public &

Industry

Invisible

Cognitive

Com

munication

Sensitivities

HigherSupport Needs

Lower Support Needs

No Restriction

Mild

Moderate

Severe

Profound

Step 1 & 2: Population Estimates ABS 2004 & 2007

• 20.6m Australians

• 4.1m people with disabilities

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Step 3: Tourism Satellite Account's Contribution of Tourism to the Economy

• Overnight $AUS40.9bn;• Day trips $AUS12.0bn;• Inbound $AUS20.5bn; and• Outbound $AUS3.6bn

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Step 4: Proportion of Trips& Travel Market (NVS 2003)

Proportion Taking Trips

Overnight (last month) Overnight

PWD 22.1% PWD 10.8%

Non Disabled 27.8% Non Disabled 88.6%

Outbound (last 3 months) Outbound

PWD 2.7% PWD 6.8%

Non Disabled 5.6% Non Disabled 92.7%

Daytrip (last seven days) Daytrip

PWD 14.6% PWD 13.3%

Non Disabled 14.6% Non Disabled 86.3%

Proportion of Market

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Step 5: Apply Step 4 to Step 3

Scenario 1 (What is)• Overnight $4.8bn • Daytripper $1.6bn• Outbound $0.2bn• Inbound $1.4bn• TOTAL $8.0bn

Scenario 2 (Max)• Overnight $8.5bn • Daytripper $1.6bn• Outbound $0.2bn• Inbound $1.4bn• TOTAL $11.6bn

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$3.6bn

4.Overnight Expenditure Pattern

16Source: Purchasing pattern percentages from NVS (2003).

Pattern of Domestic Tourist Consumption Percentage

Accommodation (can include food e.g. breakfast if included) 21.62Takeaways and restaurant meals 14.83Fuel (Petrol, diesel) 12.60Shopping, gifts, souvenirs 11.59Airline fares 9.95Groceries etc for self-catering 6.77Other (phone, postage, medical expenses, repairs, dry cleaning, etc) 5.45Alcohol, drinks (not already reported with food above) 4.08Entertainment, museums, movies, zoos, etc 2.44Car hire costs (rental, leasing) 2.01Purchase of motor vehicles or any other major equipment 1.78Conference fees 1.64Horse racing, gambling, casinos 1.33Organised tours/side trips 1.33Vehicle maintenance or repairs 0.99Taxis (including to/from airport 0.81Other long distance transport costs (train, coach, ship, etc) 0.77Other local transport costs (bus, train, tram, ferry, etc) 0.60Education, course fees 0.41

TOTAL 100.00

Proportion Attributable to Sectors

Overnight Daytripper Outbound Inbound TotalAccommodation 28%

Retail trade 14%

Cafes, restaurants 10%

Air, water transport 9%

Non tourism 9%

Retail trade 32%

Other manufact 12%

Cafes, restaurants 11%

Clubs, pubs, taverns 3%

Non tourism 29%

Accommodation 28%

Retail trade 13%

Cafes, restaurants 10%

Air, water transport 9%

Non tourism 12%

Education 19%

Accommodation 15%

Retail trade 8%

Cafes, restaurants 6%

Non tourism 7%

Accommodation 21%

Retail trade 16%

Air and water trans 10%

Cafes & restaurants 9%

Non tourism 14%

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Beyond the $bn2003-2004

• Spent $8.0bn - $11.6bn

• Contributed $3.0bn - $4.5bnTourism Gross Value Added (12% -15%)

• Contributed between $ 3.8bn-$5.8bn Tourism Gross Domestic Product (11-16%)

• Sustained between 51,820 and 77,495 direct jobs in the tourism industry (11-17%)

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Comparative Travel Rates

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14.6%

22.1%

2.7%

14.6%

27.8%

5.6%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

Daytrip Overnight Outbound

Perc

ent

PWD Non Disabled

52%

21%

Source: NVS 2003 (n=20080)

Market Segment Comparison

20

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

Budget traveller Something else(SPECIFY)

Luxury traveller Adventurer Traveller Nature-based /ecotourism traveller

Backpacker traveller

PWD NonDisabled

Source: NVS 2003 (n=20080)

Travel patterns and impairment

24%25%

29%30%

31%

35% 35% 35%36% 36% 37% 38%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Mental wSup

Vision Speech Phys -arms/feet

Hearing Phys -General

ABI/Stroke Otheradditional

LTCondition

Medicated Mood Other

Perc

ent

Source: NVS 2003 (n=20080)

Travel Needs

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

Equip

or med

Comfor

table

seati

ng

Attend

ant

Wheelc

/mob

ility ai

d Acc

ess

Freque

nt sto

ps/to

ilets

Dietary

arran

gemen

ts

Other s

pecif

ied

Nothing

in pa

rticula

r

Unable

/unwillin

g to t

ravel

Perc

ent

Trav% Ntrav%

Source: NVS 2003 (n=20080)

Gap in Travel Patterns• Economic – All people…

• Day trip– Control/own terms

• Overnight– Planning– Accommodation– Transport– Familiarity

• Overseas– Inc complexity– Language– Air travel– Loss of control

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Accessible Market Use Circle

1. AccessEnabling

Environment

2. Organisation CommitmentAccess Audit, Information &

Training

3. Marketing , Promotion & DistributionTraditional &

Electronic based on W3C

4. Market UseThe Experience

6. Review(Positive/Negative) Customer Feedback

6. MonitorAssessing the Business Case

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Customer Feedback Loop

Access Market Use Circle

Adapted from Darcy, S. (2004). Disabling Journeys: the Social Relations of Tourism for People with Impairments in Australia - an analysis of government tourism authorities and accommodation sector practices and discourses, Unpublished PhD Thesis, Faculty of Business , University of Technology Sydney. Retrieved from http://epress.lib.uts.edu.au/dspace/handle/2100/260

Universal Approach to Market Use Circle

Person’sConsiderations

Travel Planning &

Decision Making

Transit

Destination

Transit

Traveller Reflection & Feedback

Tourism Environment

OrganisationalResponses

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Support Needs

Constraints & Socioeconomic Circumstances

Previous Experiences

Disability:Dimension of

Access

Universal Approaches Inform Every

Stage

Buhalis, D., & Darcy, S. (Eds.). (2011). Accessible Tourism: Concepts and Issues. Bristol, UK: Channel View Publications.http://www.multilingual-matters.com/display.asp?k=9781845411602

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Managing Expectation

• All organisations have has access warts!• Strategic approach• Expectation = experience • Expectation ≠ experience • Information provision• Customer service culture• Organisational communication and

commitment

5. Conclusion• Powerful National Secondary Data

– Disability, ageing and carers survey– Census

• Nation Visitor Survey

• Tourism Satellite Account

• Valid and reliable methodology

• NVS 2009 & 2010 27

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Contact

Dr Simon DarcyUTS Business School University of Technology, Sydney02 9514-5100simon.darcy@uts.edu.au