You are on page 1of 16

CBI Product Fact Sheet:

Outbound tourism from


emerging Eastern EU
countries
Practical market insights into your product
The Eastern EU market is an emerging market for outbound
tourism which still has to reach maturity. Due to rapidly
growing economies, an increasing number of Eastern EU
travellers are travelling abroad. The Eastern EU market had
the highest growth in outbound trips in 2012. Growth forecasts
are also expected to be highest here. Opportunities for tourism
providers from developing countries (DCs) are highest in
Poland, the Baltic States, Czech Republic and Slovakia. As
most of the travellers in these countries are first generation
travellers and first generation travellers generally choose
mainstream holidays, sun and beach holidays and round trips
offer the best potential. Demand for niche products is still
relatively small, but interest is expected to increase.
Product Definition
Emerging Eastern EU countries refer to EU countries that are located in the
Eastern part of the EU market. In this study this includes the following
countries: Estonia, Latvia, Lithuania, Poland, Czech Republic, Slovakia, Hungary,
Romania, Bulgaria and Slovenia.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Figure 1: Emerging Eastern EU countries

Source: Facts Figures Future

The Eastern EU market is an emerging market for outbound travel which still
has to reach maturity in comparison to the outbound markets of other major
EU+EFTA markets. This is because people in the Eastern EU were not able to
leave their countries for years due to political reasons, and did not have the
financial means to do so. However, now that the borders are open and their
economies and incomes are growing, they are increasingly travelling abroad.

Trade and Macro-Economic Statistics


Outbound statistics
Figure 2: Growth of total outbound trips, European regions, 2010-2014, in %

Eastern Europe*

EU
2010
2011

Western Europe

2012 estimate
2013 forecast

Northern Europe

2014 forecast

Southern/Mediterranean

-4

-2

10

*Including Bulgaria, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania,
Slovakia
Source: European Travel Commission

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Eastern EU region shows highest


growth in outbound trips. According
to research by the European Travel
Commission, the Eastern EU region
had the highest growth in outbound
trips in 2012. Growth forecasts for
2013 and 2014 are also highest
(Figure 2). This is particularly the
result
of
the
rapidly
growing
economies of Eastern EU markets.
Eastern EU markets could, therefore,
offer interesting opportunities for DC
tourism providers. However, as they
are all emerging markets with many
travellers who are travelling abroad for
the
first
time
(first
generation
travellers), most long haul destinations
are not very well known.

3 promising clusters. In terms of


opportunities, the Eastern EU tourism
market can be divided into 3 most
promising clusters:
1. Poland: volume
2. Baltics
(Estonia,
Latvia
and
Lithuania):
strong
growth
in
GDP
and
willingness to travel
3. Czech Republic and Slovakia:
high number of outbound trips per
capita and increasing economies.
The main focus in this Product Fact
Sheet will, therefore, be on these 3
clusters.

Figure 3: Outbound trips, Eastern EU


markets, 2007-2011, in millions

Do not view Eastern EU countries as a


whole homogeneous entity. Despite
some similarities, such as the level of
market maturity and economic growth,
there are also differences which you
should take into account. Therefore.
focus on one or two priority countries.

Figure 4: Outbound trips per capita, Eastern


EU markets, 2011

16

1,6

14

1,4

12

1,2

10
Million trips

Considerations for action


Positive country branding is vital to
increasing
awareness
of
your
destination among first generation
travellers. However, you need both the
public
and
the
private
sector.
Therefore, join forces with other
tourism stakeholders in your country
and
together
invest
in
country
branding campaigns.
If you are already active in other
EU+EFTA markets, you could duplicate
the business model that you used
there (provided that business model
has proven to be successful). Always
adapt your approach to the segment
you are targeting.

8
6
4

2007

2008

0,8

2009

0,6

2010

0,4

2011
0,2

Source: WTO

Poland offers volume. Poland is by


far the largest source market in the

Outbound trips
per capita

Trips to
developing
countries per
capita

Source: WTO

Considerations for action


Approach Polish tour operators who
already offer trips to your region, and

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Eastern EU (Figure 3) and is,


therefore, one of the most promising
countries in that region. A strong
decline in outbound trips in 2009 was
the result of changes in the exchange
rate of the Zloty/US Dollar, rising costs
for fuel, and the purchase of modern
aircrafts. Outbound trips are expected
to increase as a result of maturing
travel patterns, growing GDP and
strong growth in international aviation
capacity. The limited access to
aeroplane seats in charters to DCs
represents a threat to DC tourism
providers,
since
the
market
is
dominated by a few suppliers who
make block bookings of charter
allocations
(TUI,
Thomas
Cook).
However,
scheduled
flights
by
international airlines to and from
Poland are growing. In February 2013,
for example, the largest airline
operator in the Middle East, Emirates,
started scheduled services to Poland.
This is benefitting Polish and other
Eastern EU travellers with direct flights
to Dubai and onward travel to Asia,
Australia and Africa.

present your tourism product to them.


Evaluate
first
generation
Polish
travellers in order to find out their
interests and requirements and adjust
your product to them.
The increase in airlift is very important.
However, you cannot do this alone.
You need both the public and the
private sector. Therefore, join forces
with other tourism stakeholders in your
country and together lobby airlines,
tour
operators
and
tourism
organisations in order to increase the
airlift. Together, also lobby your own
government to liberalise international
air services as this has been proven to
increase
international
traffic
significantly.

Slovakia and Czech Republic have


among the highest outbound trips
per capita. Czech Republic is the
second largest Eastern EU source
market. Furthermore, Slovakia and the
Czech Republic have, together with the
Baltic States, the highest number of
outbound trips per capita (Figure 4).
They also have growing economies
and good accessibility to scheduled
flights, especially the Czech Republic.
Although they tend to travel less to
long
haul
destinations
(Czech
travellers especially go to Germany,
Slovak travellers focus more on other
Eastern countries), interest in new
destinations is increasing and long
haul travel is, therefore, expected to
grow. Airlines in the Czech Republic,
for
example,
are
promoting
undiscovered destinations and this
provides opportunities for DCs.

Approach Czech and Slovak tour


operators and present your tourism
product to them.
The promotion of your destination by
Czech Airlines would be a good way to
create awareness in the Czech
Republic and in Slovakia. However, you
cannot do this alone. You need both
the public and the private sector and
together you should lobby Czech
airlines.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

GDP and international tourism expenditure


Figure 5: GDP growth, Eastern EU markets, 20102015*, real change in %

Figure 6: International tourism expenditure per


capita, Eastern EU markets, 2011, in

10

600

500

2010
2011

400

300

2012
2013

200

2014
100
2015

0
-2

-4

*2013, 2014, 2015 forecast


Source: Economic Intelligence Unit

The Baltics have the highest GDP


growth. Although Estonia, Latvia and
Lithuania are small in terms of outbound
tourism volume, they have the highest
growth in GDP (Figure 5). People in the
Baltics have relatively high and growing
disposable incomes, and tend to spend more
on international tourism than most other
Eastern EU markets, especially Estonia
(Figure 6). Furthermore, the Baltic States
have good accessibility. The alliance with
flag carriers like Lufthansa, Scandinavian
Airlines (SAS) and Polish Airlines (LOT)
increase the number of scheduled flights and
make
long
haul
destinations
more
accessible. Also, the emergence of low cost
carriers such as Ryanair stimulates long haul
tourism to some extent, as some wealthier
Baltic people fly with low cost carriers to
European hubs such as Frankfurt or Helsinki
and from there to South America or Asia.
Outbound travel by Baltic people is expected
to keep increasing as a result of their
growing economies, curiosity for other
countries and cultures, and a maturing travel
market. As well, more people are looking for
cheap long haul flight tickets to exotic
country destinations and stay there two
weeks or longer. DC tourism providers can,
therefore, also find opportunities in the
Baltic States.

Source: WTO

Approach Baltic tour operators and present


your tourism product to them.
Baltic travellers are very curious about
other countries and new cultures. It is,
therefore, important to arouse their
interest, for example, by a country branding
campaign that emphasises your cultural
assets. However, you cannot do this alone
and, therefore, you need to join forces with
other tourism stakeholders in your country.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

DC destinations
Figure 7: Outbound trips to DCs by region, most promising Eastern EU countries,
2011, in %
0,9
0,8
0,7
0,6
Europe
0,5

Africa

0,4

Asia
Central America

0,3

South America

0,2
0,1
0
Poland

Estonia

Latvia

Lithuania

Czech
republic

Slovakia

Source: WTO
Table 1: Top DC destinations, most promising Eastern EU countries, in 2011,
market share in %*
Country

Top 10 DC destinations including market share in total trips to


DCs (in %)

Poland

Ukraine(47.7), Croatia (13.7), Turkey (13.1), Egypt (10.5), Tunisia


(2.7), China (1.9), Morocco (1.4), Montenegro (1.1), Thailand (1.0),
India (0.8)

Estonia

Turkey (34.7), Egypt (18.9), Ukraine (18.1), Thailand (9.6), Croatia


(6.2), India (2.8), Morocco (2.7), Cambodia (1.0), South Africa
(0.7), Albania (0.7)

Latvia

Turkey (38.6), Ukraine (32.7), Croatia (7.8), China (5.1), Thailand


(4.5), India (2.6), Kazakhstan (2.0), Belarus (1.4), Armenia (0.9),
Cuba (0.6)

Lithuania

Turkey (39.0), Ukraine (25.8), Croatia (11.0), China (4.0), Thailand


(3.3), Montenegro (2.7), Kazakhstan (2.4), Morocco (1.9), India
(1.9), Belarus (1.7)

Czech
Republic

Croatia (54.4), Turkey (18.3), Tunisia (5.7), Ukraine (4.4), Thailand


(2.5), Montenegro (2.1), China (1.7), India (1.0), Morocco (0.9),
Serbia (0.8)

Slovakia

Ukraine (50.7), Croatia (30.1), Turkey (10.8), Tunisia (1.8),


Montenegro (1.0), China (0.8), Thailand (0.8), Morocco (0.6),
Serbia (0.6), Cuba (0.4)

*Data is not available for all countries


Source: WTO

DCs in Europe most popular among


Polish travellers (Figure 7). This is mainly
the result of the large share of neighbouring
country Ukraine (Table 1). Many Polish
travellers go to Ukraine for business,
shopping or visiting family and friends. For
leisure holidays, Croatia, Turkey and Egypt
are popular. Turkey has gained popularity at

Research the travel and tourism preferences


and expectations of Polish consumers and
adjust your tourism offer accordingly.
Study, for example, websites of large Polish
tour operators, as these often reflect the
preferences and expectations of consumers.
Join forces with other local tourism
providers, tourism boards and tourism

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

the cost of Egypt and Tunisia because of


political unrest. The massive switch to
Turkey was possible because of welldeveloped
tourism
infrastructure
in
combination with offers adjusted to the
expectations of Polish tourists. Large Polish
tour operators, especially TUI Poland, are
the main drivers of outbound tourism. They
carefully monitor customer preferences in
order to tailor their offer to customers
expectations, but they also actively promote
new destinations. Polish travellers are
expected to continue visiting their traditional
destinations such as Turkey and Egypt, but
also to penetrate other less known
destinations.

promotion organisations and together


improve the tourism infrastructure in your
country.

DCs in Asia most popular among Baltic


travellers. Baltic travellers prefer DCs in
Asia. Turkey is by far the most popular
destination, because of distance, direct
flights, and price. Also, Egypt and Morocco
are popular. However, due to political unrest
in Northern Africa, there has been a shift to
other destinations further away such as
Thailand and Bali. Such exotic destinations
are especially popular in winter. Mainstream
tour operators are successfully selling long
haul destinations such as Thailand and the
Maldives. There are, for example, charter
flights from Riga (Latvia) to Bangkok. Other
popular long haul destinations are India and
Vietnam. Increased interest has been
noticed
in
South
America.
These
developments in long haul tourism offer
interesting opportunities.

Approach mainstream tour operators in the


Baltics and offer them unique, attractive
products. It is quite difficult to get involved
with them and margins are generally low,
but if you persevere you will get volume.
As long haul destinations are more popular
in winter, you should intensify your
promotion in summer and autumn.

Czech and Slovak travellers prefer


holiday destinations close to their
country. The most popular DCs for Czech
and Slovak travellers are close to their
country: Ukraine, Croatia and Turkey.
Overseas destinations are expected to gain
market share in the Czech Republic, as
tickets have become much more accessible
and airlines are promoting exotic and
undiscovered
destinations
such
as
adventurous Colombo in Sri Lanka and
exciting Bangkok in Thailand. However, they
do not take consumer preferences into
account. Outbound travel in Slovakia is
expected to face some difficulties as Czech
Airlines reduced scheduled air travel
destinations from and to Slovakia.

Research the travel and tourism preferences


and expectations of Czech and Slovak
consumers and adjust your tourism offer
accordingly, as many mainstream tour
operators do not take these into account.
Consequently, invest in marketing on the
Czech and Slovak market, for example, by
participating in tourism trade events.

For more information on tourism trade statistics and macro-economic indicators


in the EU+ EFTA market in general, refer to CBIs Trade watch for tourism.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Product Specifications

Traveller profile and requirements


Sun and beach holidays offer the best potential
in Eastern EU markets. Also, round trips offer
opportunities as many Eastern EU travellers are
curious about other cultures. Demand for niche
products is still relatively small, but interest is
expected to increase quickly. This is because
the tourism lifecycle has accelerated in Eastern
EU markets. They jump readily into new
phases.

Considerations for action


If you have a sun and beach destination,
emphasise this in your marketing message.
Tour operators should compose attractive
round trip packages that include the most
interesting natural and cultural highlights of
your destination/region.

Poland
Many
first
generation
travellers
interested in mainstream holidays. Most
Polish long haul travellers are first
generation
travellers
interested
in
mainstream sun and beach holidays. They
generally have higher incomes and often
travel in couples. A large proportion of Polish
tourists choose all-inclusive sun and beach
options in 4 and 5 star hotels as this
guarantees a high standard holiday which
carries much prestige. Apart from going to
the beach, Polish travellers also like
shopping, dining, sightseeing and visiting
historical places. A strong niche market is
religious tourism. However, this mainly
concerns travel to catholic places in Europe,
not long haul. Due to market size and
increasing maturity, interest in other special
interest segments such as adventure tourism
and emerging destinations is expected to
increase.
Poles are price sensitive, especially for
travel. As Polish travellers are very price
sensitive, tour operators underline price
promotions. Since 2009, first minute
offerings gained popularity. This means
anticipated sales of next seasons trips, often
purchased in autumn a year before the
planned trip. Polish customers are attracted
to such offering as they guarantee a fixed
price, irrespective of any possible rise in
costs.
Polish language important. Polish tourists
strongly appreciate having information in
Polish.

Considerations for action


Start with targeting Polish mainstream
tourists.
Compose travel packages with options for
different types of accommodation, including
4 and 5 star hotels.

Have your product offer and prices for the


next year ready a year in advance.
Make use of price promotions, for example,
first minute offerings or early booking
discounts.

Have (the most important part of) your


website and information material available in
Polish. Offer the option of Polish speaking
guides. Consider working with freelancers to
maintain your companys flexibility.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Baltics
Baltic people are very curious and
willing to travel. Their growing economies
and disposable incomes encourage them to
travel more. Typical long haul travellers are
aged over 35 since most younger people lack
the money for a less conventional holiday.
They generally live in bigger towns and cities
and travel in couples or as a family. A
number of pensioners are eager travellers
too. Although the effects of the crisis are still
present, even for wealthier customers, most
Baltic people still travel once a year with that
single trip being longer than before,
generally between 10 days and two weeks.
Sun and beach holidays are most in
demand, but niche markets are gaining
ground. Sun and beach holidays are the
most popular tourism segment, although
many Baltic travellers want mixed tailormade trips combining sun and beach with
sightseeing and cultural activities. Baltic
travellers are in general more interested in
niche markets than other Eastern EU
travellers. A dedicated minority is interested
in niche markets such as adventure, golf or
diving. Niche agencies reported that demand
is growing by 10-15% per year. Also, more
conference and incentive trips are being
organised
to
long
haul
destinations,
especially to Asia. Outbound business travel
is getting stronger and people tend to
combine a business trip with an extension
for sightseeing or even a beach holiday.
Baltic travellers value quality, comfort
and variety, but also a low price. The
most important requirement for Baltic
travellers is to have excellent service and
maximum comfort at the lowest price. They
also want a variety of activities, from
sightseeing and culture to shopping and
sports. Many agencies in the Baltics reported
that their clients prefer package holidays,
especially
when
sunny
and
warm
destinations are involved. Baltic travellers
are ok with having English speaking guides
as they generally have good English
language skills.

Considerations for action


Target Baltic consumers who are aged over
35, including pensioners.

Czech Republic and Slovakia


Czech and Slovak travellers are more
interested
in
nature
and
active/sports related holidays than
other Eastern EU markets. Sun and
beach holidays are an important holiday
segment in the Czech Republic and
Slovakia. However, Czech and Slovak
consumers are also very interested in
active/sports-related
holidays.
Also
health and wellness and cultural visits
are drivers for outbound trips. Czechs
and Slovaks are by nature conservative

Considerations for action


Adapt your product to the interests of
Czech and Slovak travellers, this means,
besides sun and beach activities, also
offering nature and active/sports related
activities.
Try to get positive recommendations from
Czech/Slovak travellers who have already
made use of your product. Place them on
your website and share them on social
media platforms such as Facebook.

Combine sun and beach with sightseeing,


cultural and/or adventure activities.
Tour operators should compose basic travel
programmes
that
include
the
most
interesting natural and cultural highlights of
your destination/region. In addition, offer
optional add-ons (building bricks) that
include niche activities such as hiking, golf or
diving so that Baltic travellers can compose
their own package that meets their interests.
Compose attractive tourism packages for
conference and incentive trips or make your
accommodation suitable for conferences
(develop, for example, a conference hall if
you have the space).
Focus on providing high quality services,
comfort and a competitive price.
Compose tourism packages that include a
wide range of activities.
Have English speaking guides available.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

and quite loyal to destinations which are


known and recommended by their friends
and relatives.
Package holidays are again gaining
in importance. Despite the trend
towards individual holidays, many Czech
and Slovak consumers returned to using
the services of tour operators due to the
uncertain
economic
environment.
Package holidays enable them to budget
and manage their expenditure more
easily. Furthermore, Czech and Slovak
travellers are not used to adventurous
travel without organised groups, and
trust Czech/Slovak travel agencies and
tour operators to plan their trips for
them.

Partner with Czech/Slovak tour operators


so that they can sell your products in their
local market.

Legal requirements
No legal requirements. There are no legal
requirements for long haul tourism as it is
offered outside the EU market. However,
there are some EU travel and consumer laws
that are applicable to tourism within the EU,
for example, the Travel Package Directive
which protects consumers who purchase
package travel within the EU.

Considerations for action


Study the Travel Package Directive. Although
it is not applicable to long haul tourism, it
can help you to better understand the EU
tourism market.
Study the terms and conditions of major
Eastern EU tour operators as these generally
reflect EU travel and consumer laws.
Furthermore, they also give insights into
what they expect from trade partners.

Non-legal requirements
Sustainability does not play a large role
yet. In comparison with more mature,
Western EU travel markets, sustainability
plays a minor role in Eastern EU countries.
Eastern EU travellers are not very aware of
their impact on the places that they visit
during their holidays. Furthermore, price is a
very important deciding factor when
choosing a holiday and sustainable holidays
are often more expensive in these countries.
Due to this lack of interest, Eastern EU tour
operators offer very few sustainability trips.

Considerations for action


Although sustainability does not play a large
role yet in Eastern EU travel markets, it is
recommended that you integrate sustainable
elements into your product. This will not only
give you a competitive advantage, but will
also increase your opportunities in Western
EU travel markets where sustainability is
playing an increasing role.

For more information about expectations of tourism buyers in the EU+EFTA


tourism market in general, refer to CBIs Buyers Black Box for tourism.

Market Trends
Social market drivers
Health and wellness tourism is gaining
ground. As busier lives are creating a
demand for ways to reduce stress and relax,
the health and wellness lifestyle is spreading
among different consumer groups, even in
Eastern EU markets. However, Eastern
Europe itself has many natural resources for
health and wellness tourism which gives
them a large competitive advantage over DC
destinations.

Considerations for action


Tour operators could add health and wellness
elements to their packages, or at least offer
optional modules with health and wellness
aspects.
Accommodation providers could include
health and wellness elements to their
accommodation,
for
example,
facial
treatments or spas.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Technology market drivers


Social networks are attracting Internet
users in Eastern EU countries, also for
travel
purposes.
People
use
social
networks, for example, to gain inspiration for
their next holiday destination and to learn
about the experiences of other long haul
travellers. Facebook is the most popular
social network. Although the use of
Facebook is growing rapidly, some local
networks are also doing well and sometimes
their popularity still exceeds the popularity
of Facebook (like Draugiem in Latvia and NK
in Poland). Also, video content is increasing
steadily, both video advertising and video
content, for example, on YouTube. Video
content has proved to work well for branding
campaigns in the Eastern EU market.

Considerations for action


Open a Facebook company page for your
company in order to increase awareness,
obtain information for product development,
and increase website traffic. Post interesting
news on your page, for example, about
product development or customer reviews,
and keep your page up-to-date.
Allocate some of your marketing budget to
video content, for example, for making high
quality videos of your product and posting
them on YouTube.

Economic market drivers


Recession
changes
travel
habits.
Although Eastern EU markets have growing
economies, the effects of the recession are
also noted here. Due to the economic
uncertainty, demand for package holidays
has increased at the cost of customised
travel packages as they are generally
cheaper. Domestic/regional tourism has
gone up, whereas long haul has somewhat
decreased. Eastern EU travellers are also
trading down in accommodation and they
are shortening the length of their holidays.

Considerations for action


Offer lower budget products/packages, for
example, compose travel packages which
include stays in lower budget hotels or have
rooms available in different price classes.

Low cost carriers continue to grow.


Scheduled airlines have a market share of
around 50% in Eastern EU markets, versus
25% for low cost carriers and 20% for
charters. The recession is helping low cost
airlines to gain share from scheduled
airlines. Growth is especially stimulated by
the expansion of current low cost players
such as Ryanair and Wizz Air. Low cost
carriers could stimulate long haul tourism as
well, since some wealthier Eastern EU
travellers will fly with low cost carriers to
European hubs and from there to long haul
destinations.

Consider advertising at airports or in


magazines published by low cost carriers in
order to increase awareness of your
destination.

Poland: growing demand from families


with children who are interested in
special tourist attractions. Next to the
two important traveller groups of couples
and singles, families with children are also
becoming an important travel group in
Poland as there is a rising trend towards
Polish parents travelling with small children
(increase of 28% in 2011). They travel
especially during summer holidays and
organise their trips through tour operators.
Singles who travel are mainly people who
visit their families and friends living in other
countries. Couples comprise a tourist group
who combine different purposes, both

Adapt your product to the needs and interest


of families with children. Accommodation
providers could offer, for example, family
rooms and organise entertainment for
children.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

visiting and sightseeing.


Baltics:
new
way
of
reaching
destinations. Baltic consumers who want to
travel are increasingly asking for new,
attractively-priced
destinations.
Booking
package trips that include regular flights or
booking travel components independently
can end up being rather expensive. The
challenge for tour operators is to find such
destinations while ensuring an acceptable
price and good quality. One of the largest
Baltic tour operators, Novatours, developed
a new way of offering new trips at a good
price. They offer a new destination at a
specific time (for example once a week) with
one or two airport transfers (layovers of one
hour). Their turnover increased significantly
thanks to this new type of offering. This kind
of trip is expected to become one of the
trends in 2013.

Approach Baltic tour operators and present


your tourism product to them. Come up with
a good sales pitch in which you show them
why your product is so special.

For more information on market trends on the EU+EFTA tourism market in


general, refer to CBIs Trend Mapping for tourism.

Market Channels and Segments

Tour operators important trade channel.


Tour
operators
specialised
in
your
country/region or in a specific niche market
which matches your product offer one of the
best opportunities as they are generally
more dependent on local partners than
mainstream tour operators. However, as
demand for niche products is still relatively
small in Eastern EU countries, the number of
niche tour operators is also small. Travel
distribution mainly goes through traditional
mainstream players such as TUI or
Neckermann that offer standard products.
However, as long haul tourism is an
emerging market in Eastern EU countries,
many destinations are not even offered by
mainstream tour operators yet. They are,
therefore, also an important trade channel,
although it is generally more difficult to
engage with them than with niche tour
operators.

Considerations for action


Tour operators and DMCs should try to
partner with Eastern EU tour operators, for
example, by joining trade associations,
attending relevant trade fairs or visiting a
number of selected tour operators personally
by organising road shows in their target
Eastern EU country.
Local
accommodation
and
excursion
providers should focus both on local tour
operators and on DMCs and Eastern EU tour
operators.

Sources that can help you find tour operators in the most promising Eastern EU
markets are:
Baltics

Association of Latvian Travel Agents and Operators (ALTA) http://www.alta.net.lv - go to ALTA and ALTA members. Refine your
search by Tour operators or Outgoing travel.
B2B Baltic.travel - http://b2b-baltic.travel - assists travel companies from all
over the world to attract more Baltic travellers. They also organise the
Travel Trade Roadshow.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Balttour - http://www.balttour.lv - tourism trade event in Latvia, held


annually, in February, in Riga. Go to Visitors area and select List of
participants.
Estonian Travel and Tourism Association (ETFL) - http://www.etfl.ee - go to
Members for a list of members, including tour operators.
Tourest - http://www.tourest.eu - tourism trade event in Estonia, held
annually, in February, in Tallinn. Go to 2013 catalogue for information
about exhibitors.
Vivatur - http://www.visusplenus.lt/vivattur - trade fair of tourism, sport
and leisure in Lithuania, held annually, in February, in Vilnius.

Czech Republic and Slovakia

Association of Czech Travel Agencies (ACCKA) - http://www.accka.cz - go to


Clenov ACCKA for a list of member companies.
Go - http://www.bvv.cz/en/go-regiontour/2013 - tourism trade event in the
Czech Republic, held annually, in January, in Brno. Go to Go-regiontour
2013, My i-Catalogue of companies, 02 Tour operators-travel agencies
and consequently select tour operators for your region to see a list of tour
operators and travel agencies that offer trips to your region.
Holiday World - http://www.holidayworld.cz - central European tourism
trade event, held annually, in February, in Prague, Czech Republic. Go to
List of exhibitors.
ITF Slovakiatour - http://www.incheba.sk - tourism trade event in Slovakia,
held annually, in January, in Bratislava. Search for ITF Slovakiatour and
select List of exhibitors.
Madi Travel market - http://www.madi.cz - tourism trade event in the Czech
Republic, held annually, in October, in Prague. Go to Madi travel market,
select Exhibitors and click on List of exhibitors.
Slovak Society of Tour operators and travel agencies (SACKA) http://www.sacka.eu - go to Members List, Outgoing tour operators and
refine your search by selecting your destination and, if relevant, your
product category for a list of Slovakian tour operators who offer such
products to your destination.

Poland

Gdansk Tourism Fair (GTT) - http://gtt.amberexpo.pl - one of the largest


tourism trade fairs in Poland with separate halls for sports/active, boat,
honeymoon and event tourism. Held annually, in April, in Gdansk. Go to
Exhibitors and select Exhibitor list.
International Travel Show TT Warsaw - http://www.ttwarsaw.pl - leading
Polish and Eastern EU tourism trade fair, held annually, between September
and November, in Warsaw. Go to For visitors and select List of exhibitors.
Polish
Outgoing
Tourist
Workshop
http://outgoingpoland.pl
workshop/networking event where foreign tourism suppliers can meet Polish
leisure and MICE tour operators. This workshop is held annually, in March, in
Warsaw and Katowice.
Polish Chamber of Commerce (PIT) - http://pit.org.pl - click on the English
version and go to Member list for an overview of Polish tour operators.

You can also look for tour operators by searching on search engines, such as
Google. Search with English or local keywords and in advanced search narrow
your domain to the extension of your target market, for example, .pl for
Poland, .ee for Estonia or .cz for the Czech Republic.

Rapid development of Internet sales


channel. Although Internet penetration in
Eastern EU markets is lower than the

Considerations for action


Make sure you have a professional, high
quality website with quality photos and
videos that can enhance the experience

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

average of the EU27 (55% versus 63%), it is


growing rapidly. This means that there is still
a huge potential as a distribution channel.
Internet penetration is highest in Slovakia
and Estonia (Figure 8). Furthermore, the
recession is stimulating Eastern EU travellers
to search for the best travel deals through
the Internet. Transportation dominates
Internet sales, followed by travel retail.
Around half of tourism Internet sales in
Eastern EU markets are bought through
intermediaries and the other half directly
from suppliers. Internet sales are expected
to become more important than the
traditional distribution channel of tour
operators.

of your product.
Invest in online promotion such as
Search Engine Optimisation.
As English language skills are not always
good in Eastern EU markets, it might be
a good idea to translate your website into
the local language, especially in the case
of Poland, the Czech republic and
Slovakia. English language skills in the
Baltics are generally better.

Figure 8: Internet penetration, Eastern EU, June


2012, in %
90%
80%
70%
60%
50%
40%
30%
20%

10%
0%

Source: Internetworldstats

For more information on market channels and segments on the EU+EFTA


tourism market in general, refer to CBIs Market Channels and Segments for
tourism.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Market Competitiveness
Figure 9: Scores of the Travel & Tourism Competitiveness Index, 3 most popular
DCs per region for Eastern EU markets, 2013
5
4,5
4
3,5
3
2,5
2
1,5
1
0,5
0

Source: Travel & Travel Competitiveness Report 2013

The Travel & Tourism Competitiveness


Index gives you insights into the
competitiveness of your country. The
TCCI assesses to what extent a countrys
travel
and
tourisms
1.
regulatory
framework, 2. business environment and
infrastructure, and 3. human, cultural and
natural resources make it attractive to
develop the travel and tourism sector.
When looking at the most visited DCs by
region for Eastern EU travellers, Croatia
scores best in the TCCI index (Figure 9).
This is especially due to its excellent tourism
infrastructure, its rich cultural resources (it
has 18 cultural world heritage sites), its
sustainability efforts, and good health and
hygiene standards. Thailand comes second
thanks to its rich natural resources and a
friendly attitude towards tourists.

Considerations for action


Identify and focus on your countrys key
competitive
advantages
over
other
countries and differentiate the travellers
experience in your country from the
experience he would have elsewhere.
Use the TCCI as a benchmarking tool to see
in which areas your country is performing
well and in which areas it needs to improve.
Go
to
the
Travel
and
Tourism
Competitiveness Report of the World
Economic
Forum
for
more
detailed
information about the performance of your
country and competing countries.

The TTCI index is interesting for Eastern EU


tour operators as it gives them information
about which countries/regions are attractive
as new tourism destinations. It is also very
useful for DC tourism providers as a
benchmark and it gives them insights in
which areas their country is performing well
and in which areas they need to improve.
For more information on market competitiveness on the EU+EFTA tourism
market in general, refer to CBIs Market Competitiveness for tourism.

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

CBI Product Factsheet: Outbound tourism from emerging Eastern EU countries

Useful Sources

Cestovatel - http://www.cestovatel.cz - consumer travel magazine in Czech


Republic with an online community that publishes an event calendar and
interesting news on the Czech travel and tourism market (in Czech).
Euromonitor - http://www.euromonitor.com - publishes (paid) reports about
many sectors, including travel and tourism. Go to Browse the industry
reports, select Travel and tourism, Tourism flows outbound and Eastern
Europe for an overview with available country reports on outbound tourism.
A summary of the main market developments is available for free.
Go Reisiajakiri - http://reisiajakiri.gomaailm.ee - online travel magazine in
Estonia. Also good source to find different travel companies in Estonia by
destination (in Estonian).
Keliones ir Pramogos - http://www.kelionesirpramogos.lt - consumer travel
magazine in Lithuania focussed on adventurous travel. Writes about many
DC destinations (in Lithuanian).
Podroze - http://www.podroze.pl - one of the most read consumer travel
magazines in Poland with an online community which publishes interesting
news on the Polish travel and tourism market (in Polish).
VisitBritain - http://www.visitbritain.org - publishes interesting market
intelligence reports about different countries. Go to Insight and Statistics
and select, for example, Markets for market reports, including Czech
Republic and Poland.
Voyage - http://www.voyage.pl - one of the most read consumer travel
magazines in Poland with an online community that publishes interesting
news on the Polish travel and tourism market. (in Polish)

This survey was compiled for CBI by Facts Figures Future


in collaboration with CBI sector expert Theo Nagel.
Disclaimer CBI market information tools: http://www.cbi.eu/disclaimer

Source: CBI Market Information Database URL: www.cbi.eu Contact: marketintel@cbi.eu www.cbi.eu/disclaimer

You might also like