JAPAN. Faced with a strong Euro, a weakening Yen and higher hotel room rates, Japanese travellers are staying closer to home in 2007 – and travelling to Asian destinations instead. That’s according to travel agents and wholesalers surveyed by Travel Journal International (TJI) Online.
Japanese travellers are finding better value for money in nearby countries such as China, and there has been a slowdown in travel to Europe and the major US cities, said wholesalers.
Rising hotels rates, a reduction in air seats and rising fuel surcharges, plus a stronger US Dollar have meant fewer Japanese visitors to the US.
Europe appears to be suffering the biggest drop in arrivals since 2003, when SARS and the Iraq War affected demand from Japan. Strong economic growth in Europe has spawned solid travel activity throughout the continent, thus limiting the number of hotel rooms available and affecting the supply-and-demand curve for leisure travel.
This has also made it more difficult for Japanese wholesalers – and travellers (FITs) – to secure hotels for their tours.
Seat capacity is also becoming a big issue. According to TJI’s survey of air seat capacity, the number of seats available per week on non-stop flights between Japan and Europe reached 67,079 in 2000 (a 10.72% share), compared to 64,966 (8.73%) in summer 2007. On Chinese routes the number of seats rose from 96,574 (a 15.43% share) in 2000 to 185,310 (24.90%) this summer season, reflecting a +191.88% surge and a shift towards short-haul markets.
Other major long-haul routes also showed declines. The Pacific routes serving North America boasted a 19.68% share of available seats in 2000 compared to a share of 11.74% in 2007. Routes to Australia and New Zealand had a 4.48% share in 2000 but just 3.57% in 2007.
MORE STORIES ON JAPANESE TRAVEL
Japanese overseas travel dips in first seven months – 05/09/07
Asian destinations drive Japanese travel in 2007, say travel wholesalers – 22/08/07
Japan Airlines increases services on high-profit Guangzhou, Delhi and New York routes – 15/08/07
