Australia’s inbound travel boom is attracting headlines as growth in Asian tourists here soars. Less considered is the outlook for outbound tourism and what it means for travel agency stocks over the next few years.
In a decade or two, tourism could challenge mining (excluding energy) as Australia’s largest export industry, such is the growth potential. And the number of international tourists arriving here each year will double or triple, provided our tourism industry gets its act together. We could one day have more tourists than residents each year, a challenge that France, Spain, Iceland and other in-demand tourist destinations are grappling with.
Outbound tourism seems relatively less exciting. If one believes the press, Australians are struggling with record personal debt, anaemic wages growth and rising utility bills. That’s hardly conducive to millions of us flocking overseas each year for a holiday.