SINGAPORE, 6 October 2016: Overseas travel spend by Singaporean households is expected to double to almost USD45 billion by 2025, placing the country in the top 10 globally and in the top three in Asia Pacific, according to Visa’s “Mapping the Future of Global Travel and Tourism in Asia Pacific” report.
Average annual spend on overseas travel per Singaporean household is projected to hit USD30,230 by 2025, almost six times the Asia Pacific household average of USD5,230 and the global household average of USD5,309.
In Asia Pacific, households in China (USD255 billion), Hong Kong (USD47.4 billion) and Singapore (USD44.9 billion) are likely to be the top markets with the largest outbound travel spend.
Travel spend among top five Asia Pacific markets (according to 2025 values) with households earning USD20,000 or more annually by projected 2025 spend. Figures are based on constant 2015 prices.
“Travel continues to be a staple activity amongst Singaporeans. The increasing popularity of online travel portals and mobile travel apps, coupled with more convenient and secure electronic payment options, will allow travellers to book their next travel destination with greater ease and lead to continued growth in international travel,” Visa Country Manager for Singapore and Brunei, Ooi Huey Tyng said. “Visa continues to work with our partners to ensure that consumers enjoy the convenience and reliability of electronic payments when travelling and we expect to see even more Singaporean travelers heading abroad every year.”
Globally, by 2025 it is estimated that travellers age 65 and above (seniors) will make an estimated 180 million trips, more than doubling their current international travel and accounting for one-in-eight international trips taken.
Trends such as “medical tourism”, in which aging populations undertake international travel for medical purposes, will also become more popular in the future.
In Singapore, international travel amongst seniors is expected to grow by more than 300% to over 3 million trips by 2025.
According to the study, Singaporeans, age 65 and above, are currently taking an average of 1.31 outbound trips per person each year. By 2025, this number is expected to increase to 2.84. In Southeast Asia, the Philippines is the only market with a higher projected growth rate (360%) in international travel by seniors than Singapore.
“As one of the fastest growing tourism sectors in the region, senior travel brings tremendous opportunities for merchants in the tourism and hospitality industries. Singapore is a key aviation hub and is an extremely well-connected city, so travelling abroad is relatively easy, driving an increasing desire for more trips and higher spending,” Ooi Huey Tyng said.
An executive summary along with country and region-specific data as well as interactive tools can be found on www.visa.com/travelinsights.