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Tennessee Titans: Securing Record Public Funding for New Enclosed Stadium

The Titans are an established, Nashville-based NFL team, generating economic impacts that extend far beyond football games. Read More

Camping World Stadium: Proving Impact to Secure Funding

Camping World Stadium is a high-impact venue that generates significant economic benefits in Orlando and the greater Florida market. Read More

Economic Impact of Selected Mohegan Properties

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COVID-19’s Impact on Canada’s Tourism Industry

Destination Canada Read More

The Economic Impact of the Coronavirus Due to Travel Losses

2020 Analysis | March 16, 2020 Read More

Global City Analysis

World Travel and Tourism Council Read More

Global Economic Impact of Exhibitions

The Global Association of the Exhibition Industry Read More

Toronto’s Visitor Economy

Tourism Toronto Read More

Economic Impact of Tourism in New Mexico

New Mexico Tourism Department Read More

Travel & Tourism, Economic Impact 2019 World

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The Economic Impact of Travel and Tourism in Pennsylvania

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The Impact of Online Content on Portuguese Tourism

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Economic Impact of Tourism in Maryland

Maryland Office of Tourism Read More

The Economic Impact of Tourism in Wisconsin

Travel Wisconsin Read More

Economic Impact of Tourism in Nevada

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Economic Impact of Tourism in Connecticut

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The Economic Impact of Tourism in Lancaster County

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The Economic Impact of Tourism in Kentucky

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Economic Impact of the US Hotel Industry

American Hotel and Lodging Association Read More

The Economic Impact of Tourism on Galveston Island, Texas

Galveston Island CVB Read More

Economic Impact of Tourism in New Jersey

New Jersey Department of State, Division of Travel and Tourism Read More

The Economic Impact of Global Wildlife Tourism

Economic impact of tourism in michigan.

Michigan Economic Development Corporation Read More

Data & Digital Platforms, Driving Tourism Growth in Asia Pacific

Google and Pacific Asia Travel Association (PATA) Read More

The Economic Impact of Tourism in Louisiana

Louisiana Office of Tourism Read More

Global Economic Significance of Business Events

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The Economic Impact of OTAs in the European Union

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The Economic Impact of Tourism in Huntington Beach, California

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Brand USA Return on Investment 2018 Fiscal Year

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Shaping the Future of Luxury Travel- Future Traveler Tribes 2030

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Economic Impact and Visit Characteristics of Missouri Tourism

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Economic Impact of Tourism in Kansas

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Museums as Economic Engines

American Alliance of Museums Read More

The Comparative Economic Impact of Travel & Tourism

Economic impact of the us gaming industry.

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Sizing Worldwide Tourism Spending (or “GTP”) & TripAdvisor’s Economic Impact

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Economic Impact of the Republican National Convention in Cleveland, Ohio

Cleveland 2016 Host Committee Read More

Improving the Visa Regimes of European Nations to Grow Tourism

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The Economic Impact of Tourism in Buncombe County, North Carolina

Asheville Convention and Visitors Bureau Read More

The Economic Impact of Tourism in Hillsborough County

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Economic Significance of Meetings to the US Economy

The economic impact of philadelphia's beverage tax.

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Philadelphia 2018 Annual Report

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Economic Impact of Tourism in Central Florida

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Oakland 2018 Annual Report

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ETC Trends Watch and Prospects

20-year air passenger forecast.

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New Jersey Division of Tourism and Travel Read More

Impact of Out-of-State Visitors in Florida

Visit Florida Read More

Discover Los Angeles Annual Report

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Minimizing the Impact of the 2017 Hurricane Season on the Caribbean's Tourism Sector

A cost/benefit analysis of savannah's tourism sector.

Savannah Area Chamber of Commerce Read More

The Biltmore Community Impact Report 2016

The Biltmore Read More

San Diego Travel Forecast

San Diego Tourism Authority Read More

Economic Impact of Tourism in North Dakota

North Dakota Tourism Read More

The Economic Impact of Tourism in New York

New York State Division of Tourism Read More

Forecasts Passenger Demand to Double Over 20 Years

The economic impact of out-of-state visitor spending in florida, distribution channel analysis: a guide for hotels.

American Hotel and Lodging Association (AH&LA) and STR Read More

Competitive Analysis of Illinois Tourism Marketing Funding

ICCVB Read More

Competitive Analysis of Pennsylvania’s Tourism Budget

Pennsylvania Tourism Read More

Tourism Funding Analysis, Colorado Springs

Colorado Springs CVB Read More

Travel Facilitation for Enhancing Mobility In the OIC Member Countries

COMCEC Read More

Economic Losses from the Pollution of the Salton Sea

Greater Palm Springs Convention & Visitors Bureau Read More

Mapping the Future of Global Travel and Tourism

Visa Read More

Quantifying the Economic Impact of Aviation in Dubai

Emirates and Dubai Airports Read More

The Impact of Online Content on European Tourism

The economic & fiscal impacts of heritage tourism in new jersey.

New Jersey Tourism Read More

Travel Creates Opportunities and Launches Careers

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Market Allocation Platform (MAP)

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Sustainable Tourism Case Studies

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The Sustainable Tourism Case Studies Clearinghouse aims to provide examples of how the tourism industry is addressing a variety of challenges – from workforce housing to coastal degradation. NC State University students have designed these case studies to highlight solutions from tourism destinations across the United States and around the world, so community leaders and tourism stakeholders can adapt solutions to fit the unique challenges of their destination.

NC State students want to know what sustainable tourism challenges you are facing. Solutions to these challenges will be shared in the NC State Extension Sustainable Tourism Case Study Clearinghouse. Share the challenges you’d like solutions for  HERE with a brief survey .

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Case Studies

• Voluntary Visitor Fee Programs (2024)
• Policies and Planning Strategies for Tourism Workforce Housing (2023)
• Use of Oyster Reefs to Reduce Coastal Degradation in Tourism Destination Communities (2023)

Current Student Researchers

The development of these case studies are supported with the NC State College of Natural Resource’s Lighthouse Fund for Sustainable Tourism. 

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The future of tourism: Bridging the labor gap, enhancing customer experience

As travel resumes and builds momentum, it’s becoming clear that tourism is resilient—there is an enduring desire to travel. Against all odds, international tourism rebounded in 2022: visitor numbers to Europe and the Middle East climbed to around 80 percent of 2019 levels, and the Americas recovered about 65 percent of prepandemic visitors 1 “Tourism set to return to pre-pandemic levels in some regions in 2023,” United Nations World Tourism Organization (UNWTO), January 17, 2023. —a number made more significant because it was reached without travelers from China, which had the world’s largest outbound travel market before the pandemic. 2 “ Outlook for China tourism 2023: Light at the end of the tunnel ,” McKinsey, May 9, 2023.

Recovery and growth are likely to continue. According to estimates from the World Tourism Organization (UNWTO) for 2023, international tourist arrivals could reach 80 to 95 percent of prepandemic levels depending on the extent of the economic slowdown, travel recovery in Asia–Pacific, and geopolitical tensions, among other factors. 3 “Tourism set to return to pre-pandemic levels in some regions in 2023,” United Nations World Tourism Organization (UNWTO), January 17, 2023. Similarly, the World Travel & Tourism Council (WTTC) forecasts that by the end of 2023, nearly half of the 185 countries in which the organization conducts research will have either recovered to prepandemic levels or be within 95 percent of full recovery. 4 “Global travel and tourism catapults into 2023 says WTTC,” World Travel & Tourism Council (WTTC), April 26, 2023.

Longer-term forecasts also point to optimism for the decade ahead. Travel and tourism GDP is predicted to grow, on average, at 5.8 percent a year between 2022 and 2032, outpacing the growth of the overall economy at an expected 2.7 percent a year. 5 Travel & Tourism economic impact 2022 , WTTC, August 2022.

So, is it all systems go for travel and tourism? Not really. The industry continues to face a prolonged and widespread labor shortage. After losing 62 million travel and tourism jobs in 2020, labor supply and demand remain out of balance. 6 “WTTC research reveals Travel & Tourism’s slow recovery is hitting jobs and growth worldwide,” World Travel & Tourism Council, October 6, 2021. Today, in the European Union, 11 percent of tourism jobs are likely to go unfilled; in the United States, that figure is 7 percent. 7 Travel & Tourism economic impact 2022 : Staff shortages, WTTC, August 2022.

There has been an exodus of tourism staff, particularly from customer-facing roles, to other sectors, and there is no sign that the industry will be able to bring all these people back. 8 Travel & Tourism economic impact 2022 : Staff shortages, WTTC, August 2022. Hotels, restaurants, cruises, airports, and airlines face staff shortages that can translate into operational, reputational, and financial difficulties. If unaddressed, these shortages may constrain the industry’s growth trajectory.

The current labor shortage may have its roots in factors related to the nature of work in the industry. Chronic workplace challenges, coupled with the effects of COVID-19, have culminated in an industry struggling to rebuild its workforce. Generally, tourism-related jobs are largely informal, partly due to high seasonality and weak regulation. And conditions such as excessively long working hours, low wages, a high turnover rate, and a lack of social protection tend to be most pronounced in an informal economy. Additionally, shift work, night work, and temporary or part-time employment are common in tourism.

The industry may need to revisit some fundamentals to build a far more sustainable future: either make the industry more attractive to talent (and put conditions in place to retain staff for longer periods) or improve products, services, and processes so that they complement existing staffing needs or solve existing pain points.

One solution could be to build a workforce with the mix of digital and interpersonal skills needed to keep up with travelers’ fast-changing requirements. The industry could make the most of available technology to provide customers with a digitally enhanced experience, resolve staff shortages, and improve working conditions.

Would you like to learn more about our Travel, Logistics & Infrastructure Practice ?

Complementing concierges with chatbots.

The pace of technological change has redefined customer expectations. Technology-driven services are often at customers’ fingertips, with no queues or waiting times. By contrast, the airport and airline disruption widely reported in the press over the summer of 2022 points to customers not receiving this same level of digital innovation when traveling.

Imagine the following travel experience: it’s 2035 and you start your long-awaited honeymoon to a tropical island. A virtual tour operator and a destination travel specialist booked your trip for you; you connected via videoconference to make your plans. Your itinerary was chosen with the support of generative AI , which analyzed your preferences, recommended personalized travel packages, and made real-time adjustments based on your feedback.

Before leaving home, you check in online and QR code your luggage. You travel to the airport by self-driving cab. After dropping off your luggage at the self-service counter, you pass through security and the biometric check. You access the premier lounge with the QR code on the airline’s loyalty card and help yourself to a glass of wine and a sandwich. After your flight, a prebooked, self-driving cab takes you to the resort. No need to check in—that was completed online ahead of time (including picking your room and making sure that the hotel’s virtual concierge arranged for red roses and a bottle of champagne to be delivered).

While your luggage is brought to the room by a baggage robot, your personal digital concierge presents the honeymoon itinerary with all the requested bookings. For the romantic dinner on the first night, you order your food via the restaurant app on the table and settle the bill likewise. So far, you’ve had very little human interaction. But at dinner, the sommelier chats with you in person about the wine. The next day, your sightseeing is made easier by the hotel app and digital guide—and you don’t get lost! With the aid of holographic technology, the virtual tour guide brings historical figures to life and takes your sightseeing experience to a whole new level. Then, as arranged, a local citizen meets you and takes you to their home to enjoy a local family dinner. The trip is seamless, there are no holdups or snags.

This scenario features less human interaction than a traditional trip—but it flows smoothly due to the underlying technology. The human interactions that do take place are authentic, meaningful, and add a special touch to the experience. This may be a far-fetched example, but the essence of the scenario is clear: use technology to ease typical travel pain points such as queues, misunderstandings, or misinformation, and elevate the quality of human interaction.

Travel with less human interaction may be considered a disruptive idea, as many travelers rely on and enjoy the human connection, the “service with a smile.” This will always be the case, but perhaps the time is right to think about bringing a digital experience into the mix. The industry may not need to depend exclusively on human beings to serve its customers. Perhaps the future of travel is physical, but digitally enhanced (and with a smile!).

Digital solutions are on the rise and can help bridge the labor gap

Digital innovation is improving customer experience across multiple industries. Car-sharing apps have overcome service-counter waiting times and endless paperwork that travelers traditionally had to cope with when renting a car. The same applies to time-consuming hotel check-in, check-out, and payment processes that can annoy weary customers. These pain points can be removed. For instance, in China, the Huazhu Hotels Group installed self-check-in kiosks that enable guests to check in or out in under 30 seconds. 9 “Huazhu Group targets lifestyle market opportunities,” ChinaTravelNews, May 27, 2021.

Technology meets hospitality

In 2019, Alibaba opened its FlyZoo Hotel in Huangzhou, described as a “290-room ultra-modern boutique, where technology meets hospitality.” 1 “Chinese e-commerce giant Alibaba has a hotel run almost entirely by robots that can serve food and fetch toiletries—take a look inside,” Business Insider, October 21, 2019; “FlyZoo Hotel: The hotel of the future or just more technology hype?,” Hotel Technology News, March 2019. The hotel was the first of its kind that instead of relying on traditional check-in and key card processes, allowed guests to manage reservations and make payments entirely from a mobile app, to check-in using self-service kiosks, and enter their rooms using facial-recognition technology.

The hotel is run almost entirely by robots that serve food and fetch toiletries and other sundries as needed. Each guest room has a voice-activated smart assistant to help guests with a variety of tasks, from adjusting the temperature, lights, curtains, and the TV to playing music and answering simple questions about the hotel and surroundings.

The hotel was developed by the company’s online travel platform, Fliggy, in tandem with Alibaba’s AI Labs and Alibaba Cloud technology with the goal of “leveraging cutting-edge tech to help transform the hospitality industry, one that keeps the sector current with the digital era we’re living in,” according to the company.

Adoption of some digitally enhanced services was accelerated during the pandemic in the quest for safer, contactless solutions. During the Winter Olympics in Beijing, a restaurant designed to keep physical contact to a minimum used a track system on the ceiling to deliver meals directly from the kitchen to the table. 10 “This Beijing Winter Games restaurant uses ceiling-based tracks,” Trendhunter, January 26, 2022. Customers around the world have become familiar with restaurants using apps to display menus, take orders, and accept payment, as well as hotels using robots to deliver luggage and room service (see sidebar “Technology meets hospitality”). Similarly, theme parks, cinemas, stadiums, and concert halls are deploying digital solutions such as facial recognition to optimize entrance control. Shanghai Disneyland, for example, offers annual pass holders the option to choose facial recognition to facilitate park entry. 11 “Facial recognition park entry,” Shanghai Disney Resort website.

Automation and digitization can also free up staff from attending to repetitive functions that could be handled more efficiently via an app and instead reserve the human touch for roles where staff can add the most value. For instance, technology can help customer-facing staff to provide a more personalized service. By accessing data analytics, frontline staff can have guests’ details and preferences at their fingertips. A trainee can become an experienced concierge in a short time, with the help of technology.

Apps and in-room tech: Unused market potential

According to Skift Research calculations, total revenue generated by guest apps and in-room technology in 2019 was approximately $293 million, including proprietary apps by hotel brands as well as third-party vendors. 1 “Hotel tech benchmark: Guest-facing technology 2022,” Skift Research, November 2022. The relatively low market penetration rate of this kind of tech points to around $2.4 billion in untapped revenue potential (exhibit).

Even though guest-facing technology is available—the kind that can facilitate contactless interactions and offer travelers convenience and personalized service—the industry is only beginning to explore its potential. A report by Skift Research shows that the hotel industry, in particular, has not tapped into tech’s potential. Only 11 percent of hotels and 25 percent of hotel rooms worldwide are supported by a hotel app or use in-room technology, and only 3 percent of hotels offer keyless entry. 12 “Hotel tech benchmark: Guest-facing technology 2022,” Skift Research, November 2022. Of the five types of technology examined (guest apps and in-room tech; virtual concierge; guest messaging and chatbots; digital check-in and kiosks; and keyless entry), all have relatively low market-penetration rates (see sidebar “Apps and in-room tech: Unused market potential”).

While apps, digitization, and new technology may be the answer to offering better customer experience, there is also the possibility that tourism may face competition from technological advances, particularly virtual experiences. Museums, attractions, and historical sites can be made interactive and, in some cases, more lifelike, through AR/VR technology that can enhance the physical travel experience by reconstructing historical places or events.

Up until now, tourism, arguably, was one of a few sectors that could not easily be replaced by tech. It was not possible to replicate the physical experience of traveling to another place. With the emerging metaverse , this might change. Travelers could potentially enjoy an event or experience from their sofa without any logistical snags, and without the commitment to traveling to another country for any length of time. For example, Google offers virtual tours of the Pyramids of Meroë in Sudan via an immersive online experience available in a range of languages. 13 Mariam Khaled Dabboussi, “Step into the Meroë pyramids with Google,” Google, May 17, 2022. And a crypto banking group, The BCB Group, has created a metaverse city that includes representations of some of the most visited destinations in the world, such as the Great Wall of China and the Statue of Liberty. According to BCB, the total cost of flights, transfers, and entry for all these landmarks would come to $7,600—while a virtual trip would cost just over $2. 14 “What impact can the Metaverse have on the travel industry?,” Middle East Economy, July 29, 2022.

The metaverse holds potential for business travel, too—the meeting, incentives, conferences, and exhibitions (MICE) sector in particular. Participants could take part in activities in the same immersive space while connecting from anywhere, dramatically reducing travel, venue, catering, and other costs. 15 “ Tourism in the metaverse: Can travel go virtual? ,” McKinsey, May 4, 2023.

The allure and convenience of such digital experiences make offering seamless, customer-centric travel and tourism in the real world all the more pressing.

Three innovations to solve hotel staffing shortages

Is the future contactless.

Given the advances in technology, and the many digital innovations and applications that already exist, there is potential for businesses across the travel and tourism spectrum to cope with labor shortages while improving customer experience. Process automation and digitization can also add to process efficiency. Taken together, a combination of outsourcing, remote work, and digital solutions can help to retain existing staff and reduce dependency on roles that employers are struggling to fill (exhibit).

Depending on the customer service approach and direct contact need, we estimate that the travel and tourism industry would be able to cope with a structural labor shortage of around 10 to 15 percent in the long run by operating more flexibly and increasing digital and automated efficiency—while offering the remaining staff an improved total work package.

Outsourcing and remote work could also help resolve the labor shortage

While COVID-19 pushed organizations in a wide variety of sectors to embrace remote work, there are many hospitality roles that rely on direct physical services that cannot be performed remotely, such as laundry, cleaning, maintenance, and facility management. If faced with staff shortages, these roles could be outsourced to third-party professional service providers, and existing staff could be reskilled to take up new positions.

In McKinsey’s experience, the total service cost of this type of work in a typical hotel can make up 10 percent of total operating costs. Most often, these roles are not guest facing. A professional and digital-based solution might become an integrated part of a third-party service for hotels looking to outsource this type of work.

One of the lessons learned in the aftermath of COVID-19 is that many tourism employees moved to similar positions in other sectors because they were disillusioned by working conditions in the industry . Specialist multisector companies have been able to shuffle their staff away from tourism to other sectors that offer steady employment or more regular working hours compared with the long hours and seasonal nature of work in tourism.

The remaining travel and tourism staff may be looking for more flexibility or the option to work from home. This can be an effective solution for retaining employees. For example, a travel agent with specific destination expertise could work from home or be consulted on an needs basis.

In instances where remote work or outsourcing is not viable, there are other solutions that the hospitality industry can explore to improve operational effectiveness as well as employee satisfaction. A more agile staffing model  can better match available labor with peaks and troughs in daily, or even hourly, demand. This could involve combining similar roles or cross-training staff so that they can switch roles. Redesigned roles could potentially improve employee satisfaction by empowering staff to explore new career paths within the hotel’s operations. Combined roles build skills across disciplines—for example, supporting a housekeeper to train and become proficient in other maintenance areas, or a front-desk associate to build managerial skills.

Where management or ownership is shared across properties, roles could be staffed to cover a network of sites, rather than individual hotels. By applying a combination of these approaches, hotels could reduce the number of staff hours needed to keep operations running at the same standard. 16 “ Three innovations to solve hotel staffing shortages ,” McKinsey, April 3, 2023.

Taken together, operational adjustments combined with greater use of technology could provide the tourism industry with a way of overcoming staffing challenges and giving customers the seamless digitally enhanced experiences they expect in other aspects of daily life.

In an industry facing a labor shortage, there are opportunities for tech innovations that can help travel and tourism businesses do more with less, while ensuring that remaining staff are engaged and motivated to stay in the industry. For travelers, this could mean fewer friendly faces, but more meaningful experiences and interactions.

Urs Binggeli is a senior expert in McKinsey’s Zurich office, Zi Chen is a capabilities and insights specialist in the Shanghai office, Steffen Köpke is a capabilities and insights expert in the Düsseldorf office, and Jackey Yu is a partner in the Hong Kong office.

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Top 10 Travel and Tourism Marketing Case Studies [2024]

We are entering a time where travel is not just a leisure activity but a vital part of our global culture. Industry trends suggest that personalized experiences and digital engagement will drive tourism growth. This blog explores ten innovative travel and tourism campaigns that have set the standard for effective marketing in a rapidly changing world. These case studies showcase how embracing technological advancements, cultural insights, and sustainable practices can create unforgettable experiences and successful marketing outcomes in the tourism sector.

Related: Impact of Augmented Reality on Travel & Tourism

Case Study 1: Expedia’s Travel Yourself Interesting

Company Overview:

Expedia, founded in 1995, revolutionized the travel industry by moving travel booking online, displacing traditional high-street travel agents. However, over time, the market became commoditized, with intense competition and a focus on price and deals, which led to reduced margins and an emphasis on price comparison websites.

The primary objective was to reposition travel from being seen as a cost to be minimized to a valuable investment in personal growth and self-improvement. This shift was intended to differentiate Expedia in a market dominated by price-focused marketing and to drive traffic directly to its website and app.

The essence of the campaign was built on the idea that engaging in travel enriches one’s personality and makes them more fascinating. This concept was created through a multi-channel approach, utilizing television, online films, social media, and the hashtag #TYI on Twitter. The strategy marked a departure from the industry’s standard emphasis on deals and savings, focusing instead on the transformational experiences and psychological benefits of travel.

The campaign’s impact was significant:

• In the UK, the campaign achieved a remarkable return on investment (ROI) of £11 for every £1 spent.
• In France, the campaign yielded an ROI of €6 per €1 spent.
• Gross bookings for Expedia increased by 8% in the UK and by an impressive 33% in France.

Key Lessons:

• Breaking Category Conventions: Moving away from the conventional focus on price and deals in travel marketing can be highly effective.
• Emotional Connection: Creating a campaign that resonates emotionally with consumers, in this case by highlighting the enriching experiences of travel, can lead to significant commercial success.
• Strategic Repositioning: Reframing a product or service as an investment in oneself rather than a cost can help a brand stand out in a commoditized market.
• Insight-Driven Marketing: Building a campaign around a deep, relatable insight (“travel makes you more interesting”) can effectively engage and motivate the target audience.

Case Study 2: Icelandair’s Iceland Academy

Icelandair, the national carrier of Iceland, has played a pivotal role in promoting tourism to Iceland.

The primary objective of the “Iceland Academy” aspect of the campaign was to educate tourists about Icelandic culture, etiquette, and safety, thereby enhancing their travel experience. This initiative was part of a broader strategy to attract more visitors to Iceland and encourage responsible and sustainable tourism.

The campaign was executed through an online platform offering 14 short videos of one and a half minutes each. These tutorials covered diverse aspects of Icelandic culture, such as hot tub etiquette, local food sustainability, and glacier safety. The aim was to provide insider knowledge and tips to tourists for a safer and more enriching visit. The “Iceland Academy” participants could earn badges and even win a trip to Iceland.

• Total Views: 10M
• Increase in consideration of viewers: 30%
• Increase in search compared to non-viewers – 342%
• Educational Marketing: Providing practical, educational content can enhance the appeal of a destination and improve the visitor experience.
• Cultural Sensitivity: Highlighting local customs and etiquette helps promote respectful and responsible tourism.
• Leveraging Local Expertise: Utilizing locals and experts in campaign materials can lend authenticity and credibility.
• Interactive Engagement: Encouraging active participation (earning badges, winning trips) can increase engagement and interest.
• Sustainable Tourism Focus: Positioning a destination focusing on sustainability and respect for nature can appeal to a growing segment of environmentally-conscious travelers.

Case Study 3: Ireland Tourism’s Doors of Thrones

The campaign was led by Tourism Ireland, the organization promoting Ireland as a global travel destination. The organization collaborated with HBO and other partners to create a unique tourism experience highlighting Northern Ireland’s connection to “Game of Thrones.”

The campaign’s primary goal was to promote Northern Ireland as a travel destination by leveraging its association with “Game of Thrones.” This was achieved by transforming a natural disaster (the felling of trees during Storm Gertrude) into a creative opportunity.

The campaign centered around creating ten intricately carved wooden doors, each depicting scenes from the show’s sixth season. These doors, crafted from trees that fell during the storm at the Dark Hedges (a filming location for the show), were placed in pubs across Northern Ireland near key filming locations. The doors served as both an homage to the series and a tourist attraction.

• Generated £17 million in earned media.
• 8% increase in tourism from the previous year.
• Views – 17.5 Mn, 250,000 engagements, and a combined total reach of 126 million people.
• Creative Use of Cultural Phenomena: Leveraging popular culture can significantly boost tourism, especially when linked to globally recognized media.
• Turning Challenges into Opportunities: The campaign creatively used the aftermath of a natural disaster (fallen trees from a storm) to create a unique tourist attraction.
• Strategic Partnerships: Collaborating with HBO and other stakeholders was critical to the campaign’s success.
• Multi-Location Engagement: Placing the doors in different locations encouraged tourists to travel across Northern Ireland, distributing the economic benefits.

Case Study 4: Australia Tourism’s Come and Say G’Day Campaign

Tourism Australia, the organization responsible for promoting Australia as a global travel destination, launched the “Come and Say G’day” campaign. This initiative is part of Tourism Australia’s “There’s Nothing Like Australia” global brand platform.

The campaign’s main objective was to reignite the world’s interest in visiting Australia. It aimed to capture the imagination of potential travelers through creative and uniquely Australian elements, driving demand for travel to Australia.

The multi-channel campaign featured two CGI-animated characters. Ruby, a kangaroo souvenir, enlivened the campaign, brought to life with the voice of renowned Australian actress Rose Byrne. Complementing Ruby was Louie, a toy unicorn symbolizing international tourists, with his voice provided by the talented actor Will Arnett. The campaign included a short film, television commercials, print and high-impact out-of-home creatives, and digital and social media content. It featured a reimagined version of the iconic Australian anthem “Down Under,” performed by King Stingray, sung in both English and Yolŋu Matha. The campaign ran across 15 key international markets.

• By July 2023, international visitation to Australia rebounded to approximately 80% of the pre-COVID figures of July 2019.
• 10% uptick in global flight inquiries for Australia
• Tourism Australia developed 190 strategic partnerships, including prominent airlines and travel agents, contributing to the increase in global interest in Australian holidays.
• Leveraging Cultural Icons: Utilizing recognizable cultural symbols, like the Australian kangaroo, can effectively resonate with international audiences.
• Multi-Channel Strategy: A diverse media approach, including animated films and social media content, can broaden the reach and appeal of the campaign.
• Emotional Connection: Creating relatable and engaging characters can foster an emotional connection with potential tourists.
• Strategic Partnerships: Collaborations with various stakeholders, including airlines and travel agents, amplify the campaign’s impact.
• Adaptability Across Markets: The campaign’s success in both English and non-English speaking territories highlights the importance of adaptable marketing strategies.

Case Study 5: California’s Am I Dreaming

The main goal was to showcase California’s vast attractions and encourage tourism, particularly after the challenges posed by the COVID-19 pandemic. The campaign aimed to reinvigorate interest in travel to California by highlighting its unique and diverse destinations.

“Am I Dreaming?” was a visually captivating advertisement highlighting a wide array of California landscapes, providing a glimpse of the diverse scenery and destinations from picturesque beaches to majestic mountains and everything in between.

The campaign extended beyond the Super Bowl ad, running on linear TV, online TV, and digital platforms through the peak spring trip-planning season. It also included a social media presence, with remixed ad versions and behind-the-scenes footage.

• The pregame spot received 60 million viewers, a high percentage in the target 25-54 age demographic.
• The ad was selected as AdForum’s #1 ad worldwide.
• Leveraging Major Events: Premiering the campaign during the Super Bowl capitalized on the event’s massive viewership.
• Celebrity Involvement: Involving well-known celebrities helped increase the campaign’s reach and appeal.
• Cinematic Quality: High production value and engaging visuals can significantly enhance a tourism ad’s effectiveness.
• Multi-Platform Strategy: Extending the campaign beyond TV to digital and social media ensured broader and sustained engagement.

Related: Best AI in Travel & Hospitality Case Studies

Case Study 6: Boosting Travel to San Francisco During Golden Week

San Francisco, renowned for its iconic Golden Gate Bridge, vibrant food scene, and pleasant weather, has long been a favored destination among travelers worldwide. The San Francisco Travel Association, alongside key partners such as United Airlines, SFO Airport, Napa Valley, and Concord, aimed to capitalize on the Golden Week—a significant national holiday in China marked by a surge in international travel.

The primary objectives were threefold:

• Elevate brand awareness for United Airlines and SFO.
• Encourage Chinese tourists to book accommodations in San Francisco.
• Increase visibility for neighboring destinations like Napa and Concord.

These goals were set against evolving economic conditions and digital consumption patterns among Chinese tourists.

In response to the emergence of a new demographic of “free and independent” (FIT) travelers from China, the San Francisco Travel Association devised an innovative campaign. They collaborated with United Airlines, SFO, Napa Valley, and Concord to orchestrate the ultimate Northern California road trip experience.

The campaign’s centerpiece was a partnership with Kiki Fang, China’s top travel social influencer, boasting 6.5 million followers on Douyin. Fang’s travel vlogs, embodying the essence of San Francisco, were disseminated across popular Chinese platforms, including Weibo, Douyin, Toutiao, RED, Mafengwo, and Ctrip. These vlogs featured branded experiences designed to appeal to the target audience. They were supplemented by a performance campaign on Ctrip featuring a custom landing page, travel products, and banner ads.

The campaign yielded impressive outcomes, as highlighted below:

• Video Views: 85 Million
• Video Likes: 5 Million
• Video Comments: 103K
• Room Nights Booked: 6,870+
• Year Over Year Growth: 21%

These statistics underscore the campaign’s success in engaging Chinese FIT travelers and encouraging them to visit San Francisco and its surrounding areas.

From this campaign, several key lessons emerged:

• Influencer Impact: The significant role of a well-chosen influencer in reaching and engaging target demographics cannot be overstated. Kiki Fang’s credibility and relatability were instrumental in the campaign’s success.
• Localized Content: It is critical to tailor content to fit the target audience’s cultural and social media consumption habits. Utilizing platforms popular among Chinese travelers ensured the campaign’s visibility and engagement.
• Collaborative Marketing: The synergy between various tourism stakeholders (airlines, destinations, and influencers) can create a more compelling and holistic campaign, enhancing overall effectiveness.
• Digital Adaptation: Staying abreast of digital trends and consumption patterns is vital for engaging modern travelers, particularly those from rapidly evolving markets like China.

Case Study 7: Etihad Airways’ Single Use Plastic Free Flight

Etihad Aviation Group (EAG) embarked on a pioneering journey to address the pressing global issue of single-use plastic pollution, particularly within the aviation industry. Aligning with the UN 2030 Agenda for Sustainable Development, EAG committed to a significant environmental initiative by implementing a policy to reduce single-use plastics across its operations, setting an ambitious target to achieve an 80% reduction.

The initiative’s primary objective was to confront the environmental impact of single-use plastics in aviation, an industry notably contributing to this global concern. EAG aimed to lead by example, leveraging its policy to substantially cut down on single-use plastic consumption within its various verticals and enhance its brand affinity through demonstrating a strong commitment to sustainability and improving the overall guest experience.

Strategy and Execution:

EAG conducted a comprehensive audit to identify the key areas of single-use plastic consumption within its operations, discovering the highest usage in in-flight and customer service areas. The strategy focused on these areas, sourcing eco-friendly alternatives for over 95 different single-use plastic items, including cutlery, cups, and toothbrushes. A landmark achievement was the operation of the world’s first single-use-plastic-free flight on Earth Day from Abu Dhabi to Brisbane, symbolizing EAG’s dedication to sustainability. The event was heavily promoted through various communication channels, including social media, in-flight videos, and participation from environmental experts, media, and influencers, to generate widespread awareness and engagement.

• Achieved a 20% reduction in single-use plastics on-board flights by June.
• Aiming to eliminate over 100 tonnes of single-use plastics from onboard services by the end of the year.
• The video celebrating Earth Day captivated a 6 million-person audience and garnered more than 1.2 million views on various social media platforms.
• Generated significant media coverage, with over 60 global outlets reporting on the initiative.
• Launched an ‘eco partnership’ with Boeing to explore sustainable aviation practices further.
• Comprehensive audits are critical in identifying and addressing key areas of impact within operations.
• Forming strategic alliances and working collaboratively enhances the scope and effectiveness of efforts towards sustainability.
• Engaging narratives and the involvement of prominent figures play crucial roles in elevating awareness and motivating transformative actions.
• Achieving significant environmental goals requires a multifaceted approach, combining policy change, customer engagement, and industry collaboration.
• Sustainability initiatives can significantly enhance brand affinity and customer experience, positioning a company as a leader in responsible business practices.

Case Study 8: Swedish tourism board targets myth-seekers

In collaboration with Prime Weber Shandwick, Stockholm, Visit Sweden embarked on an innovative PR campaign designed to elevate Sweden’s profile as a travel destination. By delving into the rich tapestry of Swedish folklore and leveraging the burgeoning interest in mysticism, occult, and dark tourism, they introduced an immersive auditory experience titled “Spellbound by Sweden.” This campaign aimed to showcase the hidden drama of Sweden’s modest forests through the lens of its mythical inhabitants, providing travelers a unique cultural and emotional journey.

The campaign sought to differentiate Sweden from other nature-centric destinations by highlighting its cultural richness and mystical folklore. The objectives were to:

• Increase global awareness of Sweden as a culturally rich destination.
• Attract interest from markets with a demonstrated affinity for folklore, mysticism, and the occult, particularly focusing on the UK and US markets.
• Encourage engagement with Swedish nature through a novel, sensory-driven travel experience.
• Boost intention to travel to Sweden by captivating the imagination of potential visitors with the allure of experiencing folklore first-hand.

To achieve these objectives, Visit Sweden and Prime Weber Shandwick crafted a captivating audio story, “Kiln,” in collaboration with horror writer John Ajvide Lindqvist. This story, accessible exclusively within Sweden’s national parks, like Åsnen and Fulufjället, through Spotify, leveraged geo-locking technology to ensure an immersive on-site experience. Listeners would embark on a mystical journey through the forest, stepping into the main character’s shoes and encountering various mythological beings. This innovative use of audio storytelling was supported by a comprehensive digital strategy, engaging potential travelers on social media and the Visit Sweden website with rich content about Sweden’s mythical forest creatures and recommended visitation sites.

• Achieved a campaign reach of approximately 150 million in the UK and US markets.
• Digital content engagement significantly exceeded benchmarks, with some content experiencing up to 10 minutes of reading time.
• Successfully reached 80% of the targeted audience in the UK and US.
• Achieved a 16% rise in recognition of Sweden as a travel destination, augmented its cultural image by 14%, and increased the desire to visit by 5%.
• Innovative Storytelling: Leveraging local folklore and partnering with a renowned writer can deeply enrich the narrative and appeal of a destination.
• Emotional Engagement: Transitioning from visual to emotional storytelling, particularly through audio, can create a more intimate and immersive experience for the audience.
• Cultural Fluency: Aligning the campaign with current cultural trends and interests (e.g., the rise of #WitchTok, astrology, and dark tourism) can significantly amplify its relevance and reach.
• Media Strategy: Utilizing a geo-lock feature for content delivery not only enhances the experience but also generates PR interest, showcasing an effective use of technology in tourism marketing.
• Broader Implications: Even if a large portion of the audience may not directly experience the campaign (due to its geo-locked nature), the generated media coverage and social buzz contribute to achieving the campaign’s broader objectives.

Case Study 9: 13000 reasons to visit Northern Norway

Visit Norway, the official tourism board of Norway promotes Norway as a premier travel destination for both domestic and international tourists. By leveraging Norway’s rich cultural heritage, breathtaking landscapes, and unique experiences, Visit Norway aims to increase tourism and showcase the country’s diverse attractions.

The “13000 Reasons to Visit Northern Norway” campaign aimed to boost domestic tourism within Norway, with a specific focus on encouraging Norwegians to explore the northern regions of their country. This initiative sought to highlight Northern Norway’s unique appeal through the lens of foreign tourists, who have shared their positive experiences and the region’s captivating allure on various social media platforms.

To bring this campaign to life, Visit Norway embarked on an innovative strategy by compiling 13,000 comments from foreign tourists who had visited Northern Norway. These comments, sourced from social media, served as authentic testimonials to the region’s beauty and unique offerings. The campaign creatively utilized these comments by having them read aloud by a local comedian, effectively creating what was described as the world’s longest travel review. This not only provided a platform for showcasing genuine visitor experiences but also engaged the audience in a novel and entertaining manner.

• 72% reach of target group
• 33% increase in domestic tourism to Northern Norway was recorded.
• The campaign gained international recognition, winning the HSMAI Adrian Award for “Best in Show” and the Webby Award for “Best Use of Social Video.”
• Authentic Testimonials: Leveraging real visitor experiences and testimonials can provide compelling reasons for others to visit, showcasing the destination’s appeal through genuine and relatable content.
• Creative Engagement: Utilizing unique and entertaining methods to present information, such as having a comedian read out visitor comments, can significantly increase engagement and interest.
• Focusing on Lesser-Known Regions: Highlighting the attractions and experiences of lesser-visited areas can stimulate interest and tourism, contributing to a more balanced distribution of visitors across a country.
• Social Media as a Tool for Promotion: The effective use of social media comments and engagement in promotional campaigns can amplify reach and authenticity, connecting with potential visitors on platforms they frequently use.

Case Study 10: Bermuda Pink

Bermuda’s tourism board embarked on a strategic marketing campaign aimed at reversing a decline in visitor numbers, particularly those arriving by plane, which had seen a 6% year-over-year decrease in 2019. Recognizing Bermuda’s proximity to New York City and its stunning pink-sand beaches, the campaign sought to reinvigorate interest in the island as an ideal destination for families, friends, and couples seeking unique travel experiences.

The primary goal was to rejuvenate Bermuda’s tourism sector by showcasing the island’s unique attractions and experiences. By highlighting Bermuda’s accessibility from major cities like New York and underscoring its idyllic landscapes, the campaign aimed to educate potential travelers about the island and inspire them to make travel bookings, thereby targeting key demographic groups including families, friends, and couples.

To achieve these objectives, the campaign introduced “Bermuda Pink,” a dynamic marketing initiative that combined a digital microsite with a traditional print campaign. The strategy capitalized on content developed jointly with travel and fashion influencer Wendy Nguyen, who has a following exceeding 1.1 million on Instagram, and Meredith Andrews, a renowned local photographer and artist. The campaign content was strategically diversified into three core themes—Family, Friendship, and Romance—featuring listicles, articles, and slideshows tailored to each audience segment.

The microsite was hosted on Travel & Leisure’s website, a favorite among the target demographic, supported by sponsored social posts and traffic-driving efforts from DEPARTURES and Food & Wine. Additionally, high-impact advertorials in the print editions of Travel + Leisure and Food & Wine featured translucent acetate overlays and QR codes to direct readers to gotobermuda.com. The campaign’s launch was celebrated with an exclusive event at the distinguished Roxy Hotel in New York, drawing influencers, members of the Bermuda Tourism Authority, and a select group from The Luxury Group at Meredith.

• The microsite attracted nearly 185,000 total combined page views.
• Generated 47.4k clicks to the campaign’s content.
• Achieved an average read time of 72 seconds on the microsite, which is a +6% lift over the Meredith benchmark of 68 seconds.
• Display ads for the campaign delivered a Click-Through Rate (CTR) more than +67% above the industry benchmark.
• Wendy Nguyen’s Instagram posts related to Bermuda received a total of 58,040 likes.
• Her most popular Bermuda campaign post received over 16,000 likes, significantly higher than her general post average of around 10,000 likes per post.
• Influencer Collaboration: Partnering with influencers who have a strong, relevant following can significantly amplify a campaign’s reach and impact.
• Integrated Marketing Approach: Combining digital and print mediums, along with exclusive events, can create a comprehensive and immersive campaign experience.
• Content Tailoring: Developing content that resonates with specific target groups—families, friends, and couples—can more effectively inspire travel intentions.
• Engagement Metrics: High engagement rates, from page views to social media interactions, are crucial indicators of a campaign’s resonance with its intended audience.

Event Marketing: Exclusive events can serve as a powerful tool for generating buzz and fostering direct engagement with key influencers and potential travelers

Related: Top Instagram Marketing Tips for Tourism

The travel and tourism marketing world is as varied and vibrant as the destinations it promotes. These campaigns highlight key lessons in leveraging cultural icons, creating immersive digital experiences, and utilizing major events for promotional advantage. As the industry continues to evolve in a post-pandemic world, these insights are more relevant than ever, offering a roadmap for future marketing efforts. Whether you’re a marketer, a tourism professional, or a travel enthusiast, these case studies offer a glimpse into the art and science of turning destinations into dream vacations.

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Published August 15, 2024

An Inside Look at New York’s Dominant Hospitality Industry

Staff Writer

Throughout his childhood, Eli Massachi traveled extensively. He explored new places, interacted with diverse people, and unlocked a new fascination with the world of hospitality. “I immediately fell in love with it,” says Eli. “Hospitality is a global and multicultural industry, driven by people and connections. Based on my own travel experiences, I knew I wanted a career in the industry. That’s what inspired me to pursue the Hospitality, Travel and Tourism Management degree at NYU.”

Eli’s academic pursuits led him to NYU’s Hospitality Business Society (HBS). HBS is a student-run club offered by the School of Professional Studies . Chiefly, the club connects its members with key resources in New York’s dominant hospitality industry. Because of this, Eli saw it as an opportunity to get involved and hone his leadership skills.

“In high school, I didn’t participate in many student organizations. I wanted to change that in college,” he explains. “I joined HBS and was fortunate to be elected vice president. On the executive board, I learned the importance of leadership and public speaking. It also helped me hone my organizational skills and provided me with a sense of fulfillment in planning events that benefit our members.”

Introducing NYU’s Hospitality Business Society

While HBS attracts many hospitality majors at NYU, all students from across the university are welcome to join. Every year, the club plans a range of professional development and networking events to connect members with different facets of New York City’s hospitality community. The professional development events can focus on resume building, cover letter workshops, interview preparation, and how to navigate LinkedIn.

“Tours at various hospitality establishments, like hotels, event venues, and restaurants, are key events for us each year,” says Nicole Schwartz, a Hospitality, Travel and Tourism Management major and HBS president. “For example, we toured establishments such as the renowned Ritz-Carlton, Union Square Cafe, The Pierre, and the Equinox Hotel. Most recently, we had the pleasure of touring a Korean fine dining restaurant called Jungsik.”

In addition to property tours, HBS hosts a career fair and networking panels with alumni, professors, and industry professionals. What’s more, they host conferences with the Hospitality Sales and Marketing Association International (HSMAI).

“The career fair is something HBS recently started, so I’m very excited about it,” says Joshua Jeong. He’s also studying Hospitality, Travel and Tourism Management, and is the HBS treasurer. “Last semester, approximately 15 companies attended the fair. They ranged from destination marketing organizations to travel agencies, to established hotels to food and beverage companies. In the future, we hope it becomes a place where students can learn more about the industry and discover an area to pursue after graduation.”

Invaluable Professional Development Opportunities

Eli says HBS events, especially the tours, enabled him to “explore the city and experience the real world of hospitality in New York.” In addition, these events often lead to networking opportunities and professional connections. “Meeting the executive management team after a site visit or chatting with a panelist after a speaker event opens up many doors for internships and career advancement,” Eli says. “These are invaluable opportunities for our members.”

Through HBS, students have unique access to opportunities and communities in New York they likely wouldn’t have outside of NYU. For many of its members, HBS has played a critical role in their NYU experience.

“HBS has been an integral part of my NYU journey,” says Nicole. “I expanded my leadership skills, networked with industry professionals, and developed lasting connections with people who helped me achieve my academic pursuits and professional goals. So, I am grateful for the role HBS has played in my growth. The opportunity to meet with, learn from, and listen to hospitality experts impacted me on both a personal and professional level.”

Learn More About NYU’s Hospitality, Travel and Tourism Management Degree

NYU’s undergraduate degree in Hospitality, Travel and Tourism Management prepares students for management positions in one of the largest economic sectors worldwide. Here, students gain in-depth knowledge through industry-specific coursework, site visits, industry events, and internships. Students can also study hospitality finance, sales and marketing, revenue management, special event planning, destination development, and food and beverage operations. Additionally, they learn to develop new hotel and resort concepts, market tourism destinations, and manage tourism and convention bureaus. By the end of the program, students are ready to transition into the job force as highly employable industry professionals.

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India’s Surging Role in Global Tourism: Key Insights from Earnings Calls

Peden Doma Bhutia , Skift

August 12th, 2024 at 4:25 AM EDT

The travel industry is making a global shift to capture India’s booming outbound tourism. From hotels and airlines to credit cards and digital platforms, everyone’s racing to cater to this surging wave of Indian travelers. As the market soars, the India opportunity is simply too big to ignore.

Peden Doma Bhutia

India’s tourism industry is undergoing a significant transformation. The Federation of Indian Chambers of Commerce and Industry (FICCI) projects the outbound travel market to reach $55.4 billion by 2034 . At the core of this boom is India’s expanding middle class, driving both domestic and international travel as disposable incomes rise.

Indian tour and travel operators are also expected to see a 15-17% revenue increase in fiscal 2025, according to credit ratings agency CRISIL , which attributes this growth to improved infrastructure, rising incomes, evolving travel behaviors, and government efforts to boost domestic tourism.

India’s growing prominence on the global travel stage is further evident, with 2024 projections already at $18.8 billion. The surge of first-time tourists, as highlighted by McKinsey & Company , is a key factor. In 2023, 28.2 million Indians traveled abroad, surpassing pre-pandemic levels, while overseas spending hit $31.7 billion, with 54% dedicated to travel.

Global travel and hospitality leaders also recognize the potential of this burgeoning market. Skift analyzed recent earnings calls from these industries to gauge their outlook on India’s evolving role in global tourism.

India’s Push to Middle East Tourism

Accor: Sebastien Bazin, CEO of Accor, in the latest earnings call, highlighted the robust demand within India, noting the potential for Indian outbound travelers to double in the near future. “When it comes to the outbound of India, you have 40 million Indian people traveling abroad and 80% of them go Southeast Asia or they go to the Middle East. That 40 million could end up being 80 million in 1 year or 2 years from today,” he said at the latest earnings call.

This surge, he suggests, will have a profound impact on hotel markets in Southeast Asia and the Middle East, where a significant portion of Indian travelers head. “There’s no slowdown in demand in many of the airlines in the world and certainly not in India,” Bazin added.

Wynn Resorts: Talking about the Wynn Resorts coming up in UAE’s Ras Al Khaimah, CEO Craig Scott Billings said at the recent earnings call that while Europe is an important market for the UAE in general, India is also a huge market for this part of the world. “There’s a lot of folks there. There’s a lot of wealth in India, and that’s going to be an important market.”

Wizz Air: The aviation sector is similarly bullish on India’s potential. In its latest earnings call József Váradi CEO, Wizz Air, remarked on the “sparkling demand” from India, which is driving the need for more aircraft and infrastructure.

There Is no Slowdown in Demand

Hilton: Pointing out to the demand in Asia Pacific at the latest earnings call, Hilton CEO Chris Nassetta said the hotel company hasn’t seen any real signs of demand weakening in India.

Airbnb: Meanwhile, Brian Chesky, in Airbnb’s latest earnings call, positioned India as a crucial market alongside other major Asian economies.

Highlighting India’s rapid growth, noting a nearly 30% increase in nights booked in 2023 compared to the previous year, Dave Stephenson, Airbnb’s chief business officer, recently spoke about India as a burgeoning travel market with vast growth opportunities, positioning it among Airbnb’s top strategic priorities.

IHG: In its latest earnings call, IHG CEO Elie Wajih Maalouf reported nine hotel signings in India this quarter, highlighting the country’s strategic importance to the company’s growth. IHG recently signed a voco in Srinagar, IHG’s first hotel in Kashmir, slated to open in October 2026. This move aligns with IHG’s broader plan to expand in key leisure destinations across India, capitalizing on the country’s booming tourism sector.

Sudeep Jain, managing director for South West Asia at IHG, recently emphasized the rising trend of domestic travel to leisure destinations, noting that the signings reinforce IHG’s commitment to expanding its footprint in these high-potential markets.

The Push to Aviation

Airports in India are rapidly expanding to accommodate this growth, with Delhi’s airport now boasting a capacity of 100 million passengers.

Airports de Paris: In its latest earnings call, Augustin de Romanet, chairman and CEO of Airports de Paris (ADP), talked about the strategic significance of India’s airport infrastructure, forecasting that the country’s major airports are poised to emerge as key hubs in Asia.

He emphasized India’s position as a major aviation market, with an 8% compound annual growth rate in sales over the past decade, a trend he expects to continue given the substantial aircraft orders from airlines like IndiGo, Air India, and Akasa Air.

ADP’s investment in India, including a 49% stake in GMR Airports, aligns with this outlook.

Romanet pointed to the rapid growth of India’s population, particularly its middle class, as a catalyst for a sharp increase in air travel , contingent on the development of appropriate infrastructure. He also highlighted the vast potential in India’s market, especially with anticipated privatization of regional airports, which could offer strategic expansion opportunities for ADP.

However, he noted the company’s cautious approach, emphasizing the need to adapt their business model to capitalize on the right opportunities at the right time.

Visa: This trend is supported by government initiatives aimed at boosting tourism infrastructure and the increasing availability of travel-related financial products. Ryan McInerney, Visa CEO, pointed to the launch of India’s first co-branded credit card with rich airport-linked benefits with partners like Adani One and ICICI Bank, designed to cater to the evolving needs of Indian travelers. He said this would be for a target base of 400 million customers through the Adani One platform.

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Tags: accor , air india , airbnb , airports , asia monthly , earnings , hilton , ihg , india outbound , indigo airlines , middle class , middle east , visa , wynn resorts

Photo credit: India’s growing prominence on the global travel stage. Drobot Dean / Adobe Stock

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Exploring tourism competitiveness in developing economies: residents’ perspective

• Open access
• Published: 17 August 2024
• Volume 5 , article number  201 , ( 2024 )

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• Sanja Kovačić 1 ,
• Marija Cimbaljević 1 ,
• Vanja Pavluković 1 &
• Slobodan Jovanović 2  

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Understanding the factors that contribute to tourism competitiveness in developing economies is essential for policymakers, industry stakeholders, and researchers, as these countries still struggle to fully capitalize on their tourism potential. The residents’ perspective, often overlooked in Tourism Destination Competitiveness (TDC) models, is crucial because they are the primary stakeholders who directly experience the consequences of tourism activities in their daily lives. Their positive attitudes can contribute to a welcoming and friendly environment, enhancing the competitiveness of the destination in the global tourism market. Up to now, there have been a few studies that relate residents’ attitudes to tourism destination competitiveness. However, none have focused on developing a tailor-made model for measuring residents’ perspectives on TDC. To develop such a specific model and contribute to the existing theory in this area, our research applied a multi-step approach, including a literature review of existing models, pilot testing for indicator selection, and model validation through CFA. The data were collected through a survey of residents in Serbia, chosen as an example of a developing country. The final model of the study consists of five factors: Natural and Cultural Resources, Quality of Tourist Offer and Infrastructure, Situational Framework of Tourism Development and Management, Destination Perception and Experience, and Pollution, containing 32 indicators. Practical applicability of the model and theoretical contributions are discussed in the paper, as well as the TDC evaluation for Serbia.

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1 Introduction

Tourism plays a crucial role in the economic development of many nations, particularly in developing economies, where it can be a significant driver of growth and employment. Formerly marginalized in the tourism sector, the developing world has now evolved into a key driver of its expansion [ 1 ]. However, advanced nations consistently hold top positions in the World Economic Forum (WEF) Travel and Tourism Competitiveness Index. Meanwhile, developing economies express concerns regarding environmental sustainability, human resources, job prospects in tourism, and the prioritization of tourism [ 2 ]. According to Sanches-Pereira and associates [ 3 ], developing countries have yet to fully capitalize on their tourism potential. Therefore, understanding the factors that contribute to tourism competitiveness in developing economies is essential for policymakers, industry stakeholders, and researchers alike.

Numerous studies have explored tourism competitiveness, aiming to comprehend the diverse factors influencing a country’s capacity to attract and retain tourists [ 4 , 5 , 6 , 7 , 8 , 9 , 10 ]. The evaluation of a country’s tourism competitiveness encompasses an analysis of various dimensions, including natural and cultural resources, infrastructure, policy environment, and overall appeal to tourists. The majority of these studies were carried out in well-established destinations and emphasize the viewpoints of tourism experts and industry practitioners, who are deemed to possess the highest level of knowledge regarding management and competitiveness [ 11 ]. Unfortunately, the perspective of residents has been largely overlooked.

Residents, as integral stakeholders, contribute to the co-creation of the destination’s identity, influencing its attractiveness and sustainability. They play a crucial role in shaping the destination’s image and influencing the overall visitor experience. To achieve sustainable and inclusive tourism development in any country, particularly a developing one, and to ensure the overall well-being of local communities, residents’ attitudes towards tourism development should be acknowledged [ 12 ]. Positive attitudes can contribute to a welcoming and friendly environment, enhancing the competitiveness of the destination in the global tourism market. The residents’ perspective is crucial because they are the primary stakeholders who directly experience the consequences of tourism activities in their daily lives. Residents of different destinations may have a different view of what characterizes a good stay and well-being in a destination compared to experts or tourists [ 13 , 14 ]. Unlike tourists, residents tend to have a more complex interpretation of a destination, as it holds greater significance for them beyond being just a vacation spot. For residents, a tourist destination is a social place where they earn their livelihood, interact with community members, utilize resources that influence their living and working conditions, and enjoy natural resources and cultural offerings for their personal well-being. When they have the opportunity to leverage these resources, they actively engage in tourism-related activities by providing services to tourists [ 15 ]. Additionally, these residents possess local knowledge that can enhance the tourist experience by recommending attractions or facilities to visit [ 16 ]. Thus, their role in evaluating destination attributes is significant, as they serve as prosumers—both consumers of local services and co-creators of the tourist experience. Moreover, the evaluation of destination attributes is complex for this group of stakeholders, as their perspectives can significantly impact the residents' quality of life [ 17 ]. Therefore, the aim of this study is to assess the key determinants of tourism competitiveness in a developing country from the residents’ viewpoint.

In this context, Serbia was chosen as the research area because it is an emerging tourism destination and a developing economy actively seeking a stronger presence in the global tourism arena. Strategically located in Southeast Europe, Serbia boasts a diverse cultural and historical heritage, abundant tourism attractions, and faces notable developmental challenges, sustainability efforts, and deliberate market positioning. This makes Serbia an interesting area for studying tourism destination competitiveness (TDC). The country holds a relatively modest competitive position globally, ranking 83rd among 140 countries listed in the WEF Travel & Tourism Competitiveness Report 2019 [ 2 ]. The World Travel & Tourism Council (WTTC) reported that in 2021, the total contribution of travel and tourism to Serbia’s GDP was 3.6%, and it accounted for 5.4% of employment [ 18 ]. Recognizing tourism as a priority sector, Serbia aims to leverage it for overall economic and social growth [ 19 ]. However, academic studies on TDC in Serbia are scarce and primarily focus on the perspectives of tourism experts and industry practitioners [ 20 , 21 , 22 , 23 ]. To the best of the authors’ knowledge, no attempt has been made so far to investigate residents’ opinions towards TDC in Serbia. Therefore, this study is significant as it aims to address this gap by developing a tailored competitiveness model that considers Serbian residents’ attitudes toward competitiveness indicators.

Through a comprehensive analysis, the study aims to shed light on the key factors influencing the tourism competitiveness of a developing economy, thereby offering valuable policy recommendations for fostering sustainable tourism development in developing economies. The paper is structured as follows: Sect.  2 sets the theoretical framework, Sect.  3 describes the methodology, Sect.  4 presents the main results, Sect.  5 provides a discussion, and Sect.  6 outlines the main conclusions.

2 Literature review

2.1 the role of residents in assessing the competitiveness of a tourist destination.

Tourist destinations that demonstrate the ability to foster economic prosperity or environmental well-being, while also prioritizing environmental conservation and enhancing residents’ quality of life, are likely to positively influence residents’ perceptions of tourism and increase the overall destination’s competitiveness [ 24 , 25 ]. Numerous empirical studies have been conducted to date, applying various TDC models. These studies utilize data on specific destinations to assess the significance of attributes relevant to tourism competitiveness [ 11 , 26 ]. It is unlikely that all these factors have the same impact and significance in shaping the level of competitiveness for different stakeholders within the tourism industry. Nonetheless, it is crucial to establish a comprehensive list of relevant variables and promote research conducted from the perspective of various stakeholders for a thorough understanding of a destination’s competitiveness. The role of residents in assessing destination competitiveness can be approached from different aspects. When managing the competitiveness and development of a destination, it is important to take into account local perspectives, as residents are inherent and deeply engaged stakeholders. Furthermore, the residents’ perspectives become increasingly significant, particularly in organizational aspects, as residents will assume a foundational role in presenting the destination's image, preserving its heritage, and enhancing its attractiveness [ 9 , 27 ].

Research focusing on destination image states that residents’ positive perceptions of the destination image may positively influence their views on the impacts and changes imposed by tourism in the community [ 28 ]. Since destination image serves as a reliable measure of destination attractiveness, it naturally contributes to the destination's competitiveness [ 29 ]. As a result, residents play a crucial role in strengthening the destination image, which is vital for setting the place apart from other destinations [ 9 ]. This, in turn, can increase their intention to support the development of tourism and enhance the destination’s competitiveness. When considering the contribution of communities to promoting tourism development, residents are recognized as both carriers and actors in destination marketing and competitiveness efforts. The competitiveness of a destination encompasses not only its natural landmarks but also its unique cultural and heritage aspects inherent to the locality. Strzelecka and associates [ 30 ] discovered that residents with deeper knowledge and comprehension of natural and cultural resources manifest a stronger sense of place attachment. This indicates that residents perceive various aspects of destination competitiveness that are closely related to the distinctive local environments and accessible resources at destinations. Initially, residents tend to perceive certain characteristics of TDC at a high level, including natural and cultural competitiveness. Ahn and Bessiere [ 15 ] examine that distinctive regional characteristics like contextual and natural competitiveness are valued as crucial tourism assets by residents. Additionally, technological advancements such as mobile applications, artificial intelligence, virtual reality, and online information are recognized as significant elements of destination competitiveness. Consequently, practitioners and governments should aim to maximize the utilization of these competitive resources, foster the development of innovative travel products and activities, and create strategies for successful and sustainable destination management. Success for a tourist destination is often measured by various indicators such as the number of tourists, tourism revenue, length of stay, visitor satisfaction, and the destination’s image. However, true success goes beyond these quantitative measures to include qualitative aspects like resident satisfaction, environmental sustainability, and the overall quality of life for those living in the destination.

The connection between competitiveness and success lies in a destination’s ability to balance the needs and expectations of tourists with the well-being of its residents and the sustainability of its resources. A highly competitive destination that attracts many visitors might not be truly successful if it neglects the quality of life of its residents or the preservation of its natural and cultural assets [ 14 ]. Conversely, a destination that prioritizes resident satisfaction and sustainability is likely to achieve long-term success, fostering a supportive community and preserving its appeal for future visitors. Research by Dwyer [ 14 , 31 ] emphasizes the importance of incorporating broader measures of success into the evaluation of destination competitiveness. This includes considering factors such as resident well-being, environmental impact, and socio-cultural benefits.

Bu and associates [ 9 ] analyzed residents’ attitudes toward tourism development, focusing on perceived advantages, experienced effects, and willingness to support tourism initiatives. Their research highlighted residents’ belief in the government’s pivotal role in enhancing a destination’s image and competitiveness. This underscores the need to prioritize enhancing residents’ quality of life and well-being through tourism. Effective destination governance stresses the involvement of residents in the development process [ 32 ] acknowledging their direct experience of tourism's impacts [ 33 ]. Prioritizing residents’ interests is crucial for maximizing benefits from tourism development and fostering sustainable destination growth [ 30 , 34 ]. Detailed insights into residents' perspectives can validate planning processes and promote community-based sustainable development approaches [ 35 ]. Studies indicate that residents may perceive environmental impacts of tourism negatively. Gajdosik and associates [ 33 ] highlighted concerns such as noise pollution, water and air pollution, and issues with parking and construction. On the other hand, Vodeb [ 36 ] emphasized the importance of early engagement with residents in destination development to secure their participation and manage expectations effectively. This collaborative approach ensures that actions align with community interests and receive local support.

The role of residents in shaping the competitiveness of a destination is often underestimated but becomes apparent through their attitudes toward tourists and their impact on enhancing visitor experiences and the overall destination atmosphere. Previous studies have explored residents’ emotional responses and attitudes toward tourists [ 37 ], their behavioral interactions with tourists [ 25 ], and their cognitive assessments of tourism [ 38 ]. Local residents play a crucial role in shaping the visitor experience by actively participating in and contributing to tourism products and services. Positive interactions between residents and tourists contribute to a favorable destination image, thereby increasing competitiveness [ 9 , 27 ]. Tse & Wing Sun Tung [ 25 ] highlight various strategies for policymakers in the tourism sector to foster positive resident-tourist interactions, thereby enhancing destination attractiveness and competitiveness.

Studies also examine how residents act as ambassadors for their destinations, influencing others, including family and friends, to visit their hometowns [ 39 , 40 ]. As reliable informants, residents actively contribute to the uniqueness and attractiveness of their city when recommending it [ 41 ]. Thus, destination management organizations (DMOs) could benefit from involving residents more actively in destination promotion, potentially boosting both competitiveness and effective promotion [ 25 ].

Several studies have examined the economic impact of tourism from residents’ perspectives, revealing that residents typically view these impacts positively [ 42 ]. The competitive attributes of a destination can enhance its economic benefits, particularly when residents effectively utilize local resources [ 43 ]. This perspective suggests that increasing household income can confer a competitive advantage. Residents achieve this through various tourism-related business activities, such as selling handmade goods, running restaurants, and providing services as local travel agencies and guides [ 31 , 44 ].

Research on residents’ perceptions of tourism development and competitiveness primarily focuses on identifying, quantifying, and comparing different attributes that potentially shape perceptions of tourism and its effects [ 33 ]. Bu and colleagues [ 9 ] argue that tourism planners should actively seek input and recommendations from local residents regarding destination management and promotion, thereby evaluating resources as critical factors contributing to competitiveness. Additionally, tourism planning initiatives should offer opportunities for residents to engage in various activities and foster effective coordination among stakeholders.

While it is crucial for destinations to establish long-term competitive strategies aimed at enhancing their ability to offer diverse tourism experiences, it is equally important to understand how local residents perceive the competitiveness of their destination. Most significantly, local residents play an active role in contributing to tourism planning [ 45 ]. Despite this pivotal role, there remains a noticeable gap in the tourism literature regarding the analysis of residents' perceptions of destination competitiveness and their influential role in shaping this process. To address this gap, the present study aims to evaluate the developed model of competitiveness specifically with the local population as the target group. Developing and refining a measurement model tailored to assess residents' perspectives on tourism destination competitiveness involves creating comprehensive frameworks that capture their perceptions across different dimensions such as natural and cultural resources, quality of tourism offerings, infrastructure, management frameworks, and environmental concerns. While literature on residents’ perspectives regarding tourism destination competitiveness is currently limited, this research may prove valuable in conducting studies across developing economies to understand variations in resident attitudes and factors influencing tourism competitiveness.

The paper also outlines key points and highlights the gaps in research regarding the role of residents in evaluating TDC (see Table  1 ). Such research enables tourism planners and policymakers to assess the strengths and weaknesses of destinations [ 23 , 46 , 47 , 48 , 49 ], drawing insights from local residents. The objective is to create a model that is tailored to the preferences and perspectives of this target group, thereby promoting the significance of local involvement and participation. Given the dynamic nature of destinations, which evolve over time and undergo continuous change, the primary contribution of the present study is to identify the key determinants and planning factors that residents perceive as crucial for enhancing the competitiveness of their destination.

3 Methodology

The creation of the model is performed in three stages: In-depth literature review, Pilot testing and Model set and validation.

3.1 In-depth literature review

In order to generate a pool of indicators for measuring TDC, a detailed literature review has been done, taking into account the Scopus database in the period of from 2000 to March 2022. A total of 558 papers with the main keywords “destination competitiveness” and “sustainable tourism indicators” were selected for the analysis, while after initial screening, 232 papers were selected as relevant for further analysis. Most of these studies utilized established models for TDC evaluation, particularly relying on well-known models such as the Integrated Destination Competitiveness model [ 50 ] or the Ritchie and Crouch [ 51 ] model, emphasizing the perspectives of tourism experts and industry stakeholders, while overlooking the viewpoint of residents. In the second round of analysis, 12 tourism experts from Serbia reviewed the indicators extracted from relevant papers and removed repetitive and irrelevant items for the analysis of TDC. After a long process of purifying the relevant indicators, a list of 165 indicators was extracted and included in the pilot questionnaire for local communities.

3.2 Pilot testing

Pilot testing was conducted from June to August 2022 via email and standard paper-pen surveys with representatives of local communities in Serbia. Participants were randomly selected from major cities and tourism destinations such as Subotica, Novi Sad, Belgrade, Niš, Leskovac, Zlatibor, and Kopaonik. The pilot research aimed to eliminate any misunderstandings related to the questions and to remove indicators that community members lacked sufficient knowledge to evaluate. Respondents were asked to estimate the relevance of each of the 165 indicators for measuring the tourism destination competitiveness (TDC) of Serbia on a Likert scale from 1 to 5 (1—not relevant at all, 5—very relevant). They were also given options to mark 6 if a question was “not well formulated” and 0 if they felt they “didn’t have enough knowledge.”

Indicators were divided into logical groups to facilitate the elimination and evaluation process. Pilot testing was conducted on a sample of 30 representatives of local communities. Typically, preliminary pilot tests are administered to a small set of respondents, with a sample size of about 30 to 50 individuals [ 52 ]. Afterwards, the responses were analyzed, and indicators were ranked based on the mean values of the answers and standard deviations. Indicators with a mean value below 4 and high standard deviations were marked for exclusion from the study. Additionally, any indicators that were unclear or beyond the scope of local knowledge were eliminated. From the initial 165 indicators, 60 relevant indicators were identified for the final stage of the research.

3.3 Model set and validation

3.3.1 participants.

A total of 456 representatives from local communities across Serbia participated in the final stage of the research. For model validation, the sample was divided into two parts: Sample 1 (N = 153 respondents) was used for Exploratory Factor Analysis (EFA), while Sample 2 (N = 303 respondents) was used for Confirmatory Factor Analysis (CFA). In both samples, there were slightly more female respondents. The age range was from 18 to 73 in Sample 1 and up to 75 in Sample 2. The highest number had completed secondary school, followed by those with higher education. Additionally, the majority of the sample were not employed in tourism.

3.3.2 Procedure and research instrument

The field research with the local population of Serbia was carried out from June until December in 2023. A total of 456 respondents from all over Serbia participated in the survey. The largest number of respondents are from Belgrade, Novi Sad, Niš, Subotica, Leskovac, Užice, Kopaonik and Zlatibor, but the sample also includes subjects from the rest of Serbia. One of the primary criteria for conducting the research was selecting cities and tourist regions that play a significant role in Serbia’s tourism industry, offer diverse tourist attractions, and have the potential to provide a comprehensive understanding of the factors influencing TDC. The sample selection was random, with the condition that respondents reside in the given city/destination and are above 18 years old.

The survey instrument consisted of 60 items measuring TDC of Serbia, which were extracted in the previous phases of model building, as well as socio-demographic characteristics of the respondents. The participants were asked to evaluate their agreement with the statements referring to TDC of Serbia on a 5-point Likert scale (1-I totally disagree, 5-I totally agree). The research was conducted using standard paper-and-pen surveys by 10 trained researchers who collected data in the field. Additionally, respondents were offered the option to complete the survey via tablet or mobile phones to accommodate different preferences and ensure maximum reach. Researchers conducted on-site intercept surveys at key locations such as parks, shopping centres, public transportation hubs, tourist attractions, as well as during some local events and gatherings. This involved directly approaching individuals in these areas and inviting them to participate in the survey. In some cases, local tourism organizations helped to distribute the survey and encouraged participation. Small incentives, such as faculty promotional gifts (e.g. pencils, folders, notepads) were offered to encourage participation. Clear and concise information about the purpose of the survey, its importance, and how the data would be used was provided to potential respondents. The survey was anonymous and voluntary, but respondents were asked to provide some basic information such as age, gender and education (Table  2 ). Statistical software IBM SPSS 23 and AMOS were used for data analysis.

4.1 Exploratory factor analysis (EFA)

In order to identify the latent dimensions of Serbia's TDC, EFA was conducted on sample 1 (N = 153 respondents). Item analysis showed a high KMO = 0.923, and the statistically significant value of Bartlett’s sphericity test was confirmed (χ2 = 9896.90, df = 2485, p < 0,000). The analysis of item correlations revealed a significant number of correlations with values above 0.3, which led to the conclusion that the data are suitable for EFA. Items that had factor loadings lower than 0.3 (a total of 10 items) were excluded from the further analysis [ 53 ]. The method of principal components with Promax rotation (due to established correlations between factors) and Kaiser normalization was used to extract factors. As a result, considering only factors whose eigenvalues were equal to or greater than one, five factors were extracted with total of 50 items, which explain 50,56% of the variance. The five identified factors are: F1 Natural and cultural resources, F2 Quality of Tourist offer and infrastructure, F3 Situational conditions for tourism development and management, F4 Destination perception and experience, and F5 Pollution. The results of EFA are presented in Table  3 .

4.2 Confirmatory factory analysis

CFA is used on sample 2 (N = 303 respondents) to validate and confirm the factor structure obtained by EFA. The AMOS program for the Windows operating system was used for CFA. The Mardia index of multivariate kurtosis was above 3 for all tested models, indicating significant multivariate kurtosis. Therefore, it was justified to use robust methods and indices based on this method [ 54 ]. The fit or appropriateness of the model was assessed using the following indices: Sattora-Bentler χ 2 (S-B χ 2 )—if it is insignificant, then the model has a good fit, but since it is sensitive to the number of respondents, it is mostly significant in a greater number of cases, Standardized Root Mean-Square Residual (SRMR), Root Mean-Square Error Of Approximation (RMSEA)—SRMR and RMSEA should be less than 0.08 [ 55 ], Comparative Fit Index (CFI), Normed Fit Index (NFI), Non-Normed Fit Index (NNFI)—if the CFI, NFI and NNFI are over 0.90, the model has a good fit [ 56 ]. In order to achieve adequate fit indices, modification indices were used with which AMOS suggests and proposes changes to the model.

When the first model obtained by exploratory factor analysis was tested, satisfactory fit indices were not achieved. First, it was suggested that several items should be excluded because they achieved saturation on several factors simultaneously (8 items in total). Moreover, the items that initially were part of the factor Situational conditions for tourism development and management (The positioning of the country as a tourist destination on the international market is effective, Social networks are effectively used to support the marketing activities) are suggested to be a part of the factor Destination perception and experience.

After these changes, the model was run again, and although the fit indices were visibly improved, a satisfactory fit index was still not achieved. The modification indices now suggested the exclusion of 10 more items. The final modifications related to the addition of correlations between individual items that belonged to the same factors. After these changes, a satisfactory fit model and the final structure of the competitiveness model were achieved. The final model consists of five factors: 1. Natural and cultural resources, 2. Quality of tourist offer and infrastructure, 3. Situational framework of tourism development and management, 4. Destination perception and experience and 5. Pollution.

The final fit indices are shown in Table  4 .

The final model is shown in Table  5 , it consists of the five mentioned factors and a total of 32 indicators.

Factor 1: Natural and cultural resources is a factor referring to natural and cultural resources (tangible and intangible) of Serbia. Factor 2: Quality of tourist offer and infrastructure—refers to the quality of tourist infrastructure, signalization and accessibility of destination, including the quality of tourist offer and activities. Factor 3: Situational framework of tourism development and management—refers to the extent to which the conditions in Serbia are favourable for tourism development. This factor also contains items related to sustainability and ethics in tourism, i.e., local community support for tourism development, tourism companies operate in accordance with ethical principles etc. Factor 4: Destination perception and experience—refers to the perception of the brand, the image of Serbia as a tourist destination, destination positioning, but also quality of the overall experience at the destination. This factor also includes an assessment of the possibility of booking services, and the willingness to recommend Serbia as a destination to others. Finally, the last extracted factor is Factor 5: Pollution, referring to the assessment of the noise level, water and air pollution. This factor is of immense importance, as it indicates that local population consider pollution as important element of TDC.

4.3 Descriptive statistics and measurement model validity

Descriptive statistics for all variables are presented in Table  6 . It can be seen that Cronbach’s alpha coefficient for all variables/dimensions is above 0.7. This means that the instruments used in the study are reliable and that they measure the given constructs. The results show that Natural and cultural resources are the best-rated factor in Serbia's competitiveness as a tourist destination, which means that Serbia has rich cultural and natural resources and great potential for tourism development. The lowest rated factor is the Factor 3: Situational framework of tourism development and management, especially the item Political values, the overall political situation and stability in Serbia are favourable for the development of tourism. Only one item in this group exceeds 3.5, which is the residents support the development of tourism. This is followed by factor Quality of tourist offer and infrastructure, where the items related to the transport infrastructure and signalization Local tourist and traffic signalization is in line with the needs of tourists, a high-quality air traffic infrastructure and A high quality bicycle and pedestrian paths are the lowest rated together with the item Quality offer of amusement and theme parks. On the other hand, the highest rated item in this group is Diverse and high-quality restaurant offer. The concerning fact is also that Pollution is rated above 3.5 which could negatively influence competitive position of Serbia on travel market.

The data obtained from the research pointed to the basic shortcomings that affect the competitiveness of Serbia as a tourist destination, and they should be the focus of further tourism strategies and initiatives.

Before conducting CFA, convergent and divergent validity of the constructs was calculated to check the measurement model validity. The convergent validity of each dimension was examined by calculating the score of the average variance extracted (AVE, [ 57 ]). A substantial convergent validity is achieved when all item-to-factor loadings are significant and the AVE score is higher than 0.50 within each dimension, but AVE of 0.40 is still acceptable if the composite reliability (CR) is higher than 0.60 [ 58 ]. Results showed that all dimensions had AVE higher than 0.40 and CR higher than 0.60 (Table  6 ) which indicates good convergent validity. Discriminant validity was then checked by comparing the average variances extracted (AVEs) for each latent factor with the squared correlation estimates between latent constructs. Fornell and Larcker [ 57 ] noted that the discriminant validity is guaranteed when the AVEs are greater than the squared correlation estimates (Table  7 ).

5 Discussion

The primary aim of this study was to address significant gaps identified in previous TDC research. These gaps primarily include the lack of consideration for residents’ attitudes towards TDC indicators and the absence of specifically tailored models to assess destination competitiveness in developing countries from the residents' perspective. Existing literature has predominantly focused on residents' perceptions of destination image [ 9 , 28 , 29 ] or place attachment [ 30 , 59 ], but lacked comprehensive models for measuring destination competitiveness. It is evident that residents possess specific knowledge, information, and emotional attachment to their living destinations [ 60 ]. Therefore, assessing competitiveness from their viewpoint requires specific indicators, which may differ in some aspects from traditional TDC models where assessments are typically conducted by tourism stakeholders or tourists. To address these gaps and contribute to theory in this area, our research employed a multi-step approach. This approach included a literature review of existing models, pilot testing for indicator selection, and model validation through CFA. Through this rigorous scientific process, we selected indicators and validated a model structure tailored for assessing residents’ perceptions in developing economies. This model represents the first of its kind in the existing literature on this topic, marking a significant theoretical contribution. The final model of the study comprises five factors: Natural and cultural resources, Quality of tourist offer and infrastructure, Situational framework of tourism development and management, Destination perception and experience and Pollution, encompassing 32 indicators. The model is tailor-made through pilot testing, where residents themselves identified indicators, they could assess based on their knowledge, experiences and information levels. Those indicators were further validated through survey research involving another sample of residents, and tested through EFA and CFA.

The application of this model to Serbia, a developing economy, has yielded insightful findings. Previous research has highlighted residents’ significant role in assessing natural and cultural resources [ 30 ] and shaping destination image [ 9 , 28 , 29 ], given their extensive knowledge and role as destination promoters and ambassadors. This aligns with two factors in our model: Natural and cultural resources, and Destination perception and experience. Additionally, our model underscores residents’ crucial role in evaluating the Quality of tourist offerings and infrastructure. Residents often utilize tourism infrastructure extensively [ 61 ], granting them firsthand insights into its quality. Moreover, some residents are directly involved in tourism-related businesses, providing further expertise in this area [ 15 , 44 ]. A novel aspect of our model is the recognition of residents’ capability to assess the Situational framework of tourism development and management. This factor evaluates the conditions favoring tourism development at a destination, a role traditionally fulfilled by tourism stakeholders without residents’ input [ 32 , 45 ]. Furthermore, sustainability factors, crucial for competitiveness in developing countries, receive attention through the Pollution factor, which reflects residents’ concerns about environmental conditions at their destination. This tailor-made model for residents’ assessment of TDC serves as a new tool for enhancing local involvement and participation in TDC assessment, particularly beneficial for developing economies in their early stages of tourism development [ 3 ]. Engaging residents in understanding factors influencing TDC is essential for effective tourism decision-making and planning processes.

Additionally, this study contributes to the limited understanding of residents' attitudes toward TDC in Serbia, marking the first inclusion of their perspectives in the competitiveness assessment. It offers long-term recommendations for integrating residents into the assessment process. The model indicates that Serbia's primary competitive advantage lies in its natural and cultural resources, while significant opportunities for improvement exist in the other four factors. Residents express concerns about the Situational framework of tourism development and management, particularly noting political stability as a factor negatively impacting destination competitiveness. They also highlight areas needing improvement in the Quality of tourist offerings and infrastructure. Pollution emerges as another concern, with residents indicating room for enhancing environmental sustainability to bolster Serbia's competitive position. A detailed analysis of each factor's components provides valuable insights for destination managers regarding residents' perceptions of the current state of TDC, identifying major gaps and advantages.

6 Conclusion

Numerous empirical studies have utilized various models to assess TDC predominantly from the perspectives of tourism experts and industry practitioners, often overlooking the viewpoint of residents. Establishing a comprehensive list of TDC variables and promoting research that incorporates perspectives from diverse stakeholders are crucial for a comprehensive understanding of TDC. Notably, destinations that successfully foster economic prosperity and environmental conservation while enhancing residents' quality of life tend to positively influence residents’ perceptions and overall TDC. This study focuses specifically on developing economies, which face unique challenges and opportunities in tourism development. The model developed is tailored to these contexts, providing insights that are more relevant and applicable to similar countries, thereby enhancing the theoretical framework of TDC in these regions.

To date, several studies have highlighted the significant role of residents, among other stakeholders, in comprehending and enhancing destination competitiveness. Their active involvement contributes to enhancing the destination's image, preserving its heritage, and increasing its overall attractiveness. Moreover, positive resident perceptions of the destination’s image can improve their attitudes towards tourism impacts and changes, thereby enhancing overall competitiveness. Success in tourism goes beyond mere quantitative metrics such as tourist numbers and revenue; it encompasses qualitative factors like resident satisfaction, environmental sustainability, and overall quality of life. Hence, achieving a balance between the needs of tourists, the well-being of residents, and the sustainability of resources is critical for long-term success. Integrating residents’ attitudes provides a more holistic view of TDC and acknowledges the pivotal role of the local population in shaping a welcoming and hospitable environment.

Finally, by understanding residents' perceptions across various dimensions such as natural and cultural resources, tourism offerings, infrastructure, management frameworks, and environmental aspects, tourism planners and policymakers can better assess the strengths and weaknesses of destinations. Encouraging local involvement and participation in tourism planning is vital, given the dynamic nature of destinations. This research helps identify the key determinants and planning factors that residents perceive as important for the competitiveness of their destination, highlighting the significance of local involvement in shaping successful and sustainable tourism development. The final model in this study consists of five distinct factors: Natural and cultural resources, Quality of tourist offer and infrastructure, Situational framework of tourism development and management, Destination perception and experience, and Pollution. These factors provide a comprehensive framework for assessing TDC from a residents' perspective, which can be used as a benchmark for future studies.

7 Practical implication

The practical application of the model lies in the fact that it is made to be used for the continuous evaluation of destination competitiveness by residents in developing economies. This could be performed as a regular research procedure of local or regional tourism organisations that could include residents in assessing destination competitiveness together with other important target groups such as tourism stakeholders and tourists. The model highlights the importance of community engagement in tourism development. By fostering positive attitudes among residents, destinations can enhance their attractiveness and competitiveness in the global market. The model provides a structured framework for evaluating TDC, which can be used by researchers and practitioners to benchmark performance and identify areas for improvement. Policymakers can use the model to understand residents' attitudes towards tourism, enabling them to create policies that align with local needs and preferences. This can lead to more sustainable and accepted tourism development strategies. Industry stakeholders can utilize the insights from the model to enhance the quality of tourist offerings and infrastructure, ensuring they meet both resident and tourist expectations. This can improve overall satisfaction and competitiveness. By considering factors such as pollution and the situational framework of tourism development, the model encourages sustainable practices that benefit, the environment, the local community, and visitors. It should be also emphasized that TDC is a multi-faced concept and its assessment requires the involvement of all important stakeholders at the destination in order to get a concrete pathway to increasing tourism competitive position on the market. The involvement of the local population in evaluating competitiveness may necessitate significant shifts in attitudes toward tourism planning, development, management, and destination marketing. Anticipated outcomes include a broader understanding of the factors contributing to destination competitiveness and clearer insights into the population’s role in this process. Developing a model to measure residents’ perspectives on tourism competitiveness ensures greater relevance to the diverse realities of various destinations, considering that the validation and adaptation of existing models might be less effective across different cultural and geographical contexts. The practical benefits of the application of the model are numerous. However, the most important is the fact that measuring residents’ attitudes about destination competitiveness is essential for creating a balance between the economic benefits of tourism and the well-being of the local community. It allows for sustainable development, positive destination branding, and the creation of an overall positive experience for both residents and visitors.

Based on the research findings, we propose several recommendations for policymakers to enhance Serbia’s TDC:

Engage residents: Involve residents in tourism planning and decision-making processes, as well as in TDC assessment, to foster more sustainable and accepted tourism development strategies.

Utilize the new model: Apply the newly developed model tailored to capture residents’ TDC assessments in developing economies, gaining comprehensive insights into the strengths and weaknesses of the destination from a local perspective.

Regular monitoring: Implement a regular monitoring system using this model to track changes in TDC over time, helping to identify trends, policy impacts, and areas needing improvement.

Focus on quality improvement: Address residents' concerns regarding the quality of tourism infrastructure and services. Improvements in these areas can enhance both resident and tourist satisfaction, boosting overall competitiveness.

Address environmental concerns and promote sustainability: Recognize environmental sustainability as a key competitiveness factor. Implement measures to reduce pollution and improve environmental conditions, responding to residents’ concerns and enhancing the destination’s appeal. Encourage sustainable tourism practices that benefit both the environment and the local community.

Improve tourism development conditions: Address residents’ concerns about the situational framework of tourism development, particularly regarding political stability and favourable conditions for tourism growth, to significantly enhance the destination’s competitiveness.

Strive for sustainable development: Ensure that tourism development strategies balance economic benefits with the well-being of the local community. This includes considering residents’ satisfaction, environmental sustainability, and overall quality of life in tourism planning and development

8 Limitation and further research

The current study also has certain limitations. Firstly, the model has been tested in one developing economy (Serbia) chosen as a case study to conduct initial research. The model should be applied and replicated in other developing economies to confirm and validate the structure and prove the comparability of results obtained in various developing economies. Secondly, since this was an initial study aimed at creating a new model, the research was conducted only once. Continuous monitoring and longitudinal studies are necessary to track progress and draw conclusions about changes in destination competitiveness. Longitudinal studies play a crucial role in evaluating TDC by offering insights into trends, policy impacts, and causal relationships over time. Such information is vital for making informed decisions, especially in developing economies where understanding the long-term effects of tourism policies and interventions is critical.

Future research should also examine the impact of certain independent variables (such as their active engagement in tourism, tourism and pro-environmental attitudes etc.) and sociodemographic characteristics on residents’ perceptions of TDC. It would be also beneficial to reshape, modify and test the model for different target groups such as tourists or tourism stakeholders to enable a holistic approach to TDC research in developing countries.

Data availability

Data is provided within the manuscript or supplementary information files Ethics approval: The consent of the Ethics Commission of the University of Novi Sad, Faculty of Science, is not required for the collection of data for the purpose of scientific research through survey research, in accordance with Article 7 paragraph 2 of the Code of Academic Integrity of the Faculty of Science, University of Novi Sad number: 0601-351/5. All data generated or analysed during this study are included in this article.

Code availability

Not applicable.

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Acknowledgements

This research was supported by The Science Fund of the Republic of Serbia, GRANT No. 7739076, Tourism Destination Competitiveness—Evaluation Model for Serbia—TOURCOMSERBIA. Also, the authors acknowledge financial support of the Ministry of Science, Technological Development and Innovation of the Republic of Serbia (Grant No. 451-03-66/2024-03/ 200125 & 451-03-65/2024-03/200125).‬‬‬‬‬

This research was supported by The Science Fund of the Republic of Serbia, GRANT No. 7739076, Tourism Destination Competitiveness—Evaluation Model for Serbia—TOURCOMSERBIA. Also, the authors acknowledge financial support of the Ministry of Science, Technological Development and Innovation of the Republic of Serbia (Grant No. 451-03-66/2024-03/200125 & 451-03-65/2024-03/200125).‬‬‬‬‬‬‬‬‬‬‬‬‬‬‬‬‬

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Kovačić, S., Cimbaljević, M., Pavluković, V. et al. Exploring tourism competitiveness in developing economies: residents’ perspective. Discov Sustain 5 , 201 (2024). https://doi.org/10.1007/s43621-024-00416-x

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• The global tourism boom is shifting to Asia

Travel in the region is roaring after a difficult few years

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T ourism is back , at last. This year the number of trips abroad is expected to overtake levels reached in 2019. Spending by travellers, too, is projected to exceed what was shelled out in 2019, according to the World Travel and Tourism Council ( wttc ), a trade body. Cruising is afloat again . The return of mass tourism has sparked protests in Western hotspots such as Barcelona and Majorca. Talk to a hotelier or a travel agent, though, and the real action is further east.

Travel to Asia had been slower to recover from the covid-19 pandemic than in the West. Strict quarantine measures from China to Malaysia were in place for longer than in Europe or America, keeping the number of tourists down. Now, however, business on the continent is roaring back. The number of travellers arriving in Asian countries is set to surge by a third this year, according to the WTTC , more than in any other region (see chart).

Even as business in the rest of the world stabilises, industry bosses are touting rapid growth in Asia. On August 6th Michael Glover, the finance chief of IHG , a hotel group, pointed to its booming business in Thailand and Vietnam. On August 7th Mark Galardo, an executive at Air Canada, a carrier, said that new routes to Seoul and Osaka were performing “exceedingly well”.

Westerners are turning up in droves. The number of trips Americans took to Asia doubled last year. The dollar, which has appreciated strongly against Asian currencies, is part of the explanation. Catherine Heald, the boss of Remote Lands, a travel agency for the rich, notes that more of her clients are scuba diving off Indonesia’s Komodo island, temple-hopping in Japan and taking gastronomical excursions across Thailand.

The range of destinations and activities is widening. Well-heeled tourists can travel aboard the recently redeveloped Eastern & Oriental Express through Singapore and Malaysia, run by Belmond, the hotels business of LVMH , a French luxury giant. Over 500,000 hotel rooms were under construction across Asia as of June, up by over 4% from last year. Getting to Asia is also becoming easier, with home-grown and Western airlines increasing the number of flights to and from the continent. British Airways, for instance, is relaunching flights to Bangkok and Kuala Lumpur.

The biggest boost to Asian tourism, though, is coming from the region’s own travellers. Chinese consumers have begun to holiday abroad again, with international trips forecast to double this year compared with 2023, according to Oxford Economics, a research firm. Even then, the number of trips will be below pre-pandemic levels, leaving plenty of room for growth. Much of the travel by Chinese tourists will happen within their neighbourhood. Three-quarters of the flights that left China last month went to East and South-East Asia.

Thanks to rising disposable incomes, India’s consumers are also heading overseas in growing numbers. They spent close to $20bn on foreign trips in the year to March, more than three times the amount they spent five years ago. Many also prefer to travel closer to home, not least because of looser visa restrictions in the region. As incomes rise, Indian tourists will only become bigger spenders. The WTTC reckons that by the end of the decade only Americans and Chinese will splurge more on overseas travel than Indians. Asia’s travel boom is just beginning. ■

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This article appeared in the Business section of the print edition under the headline “Hitting the road”

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