Why tour operators must gamble on Indian $19 billion travel market
What you need to know:
- India’s outbound travel sector is rapidly expanding, with 13 million Indians traveling internationally in 2022, representing 61 percent of pre-pandemic levels
Arusha. Tanzania is positioned to capture a significant portion of the Indian outbound travel market valued at $18.8 billion, distinguished US travel specialist Stephen Richer has said.
Speaking to members of the Tanzania Association of Tour Operators (Tato) in Arusha over the weekend, Richer offered invaluable insights on tapping into this expanding market.
Mr Richer highlighted the rapid growth of Indian outbound travel. In 2022, approximately 13 million Indians travelled internationally, representing 61 percent of the peak level seen in 2019 before the Covid-19 pandemic.
Projections suggest that by 2040, this number could surge to between 80 and 90 million travellers.
Furthermore, India’s middle class is anticipated to spend up to $55.3 billion annually on international travel by 2034, a sharp rise from the current $18.8 billion.
This burgeoning market has caught the attention of hotels, airlines, and destinations worldwide, all vieing for a share. ”Tanzania tour operators are strategically positioned to attract a lion’s share of Indian outbound travel,” Richer noted.
According to him, the geographical proximity and other factors bestow Tanzania with several competitive advantages over other destinations.Richer outlined the compelling attributes that Tanzania offers as a tourism destination, such as outstanding cultural resources and exotic wildlife.
Tanzania is home to globally renowned natural attractions such as the Serengeti National Park, Mount Kilimanjaro, and the Zanzibar Archipelago.
These destinations offer unparalleled opportunities for wildlife safaris and cultural experiences. Ease of access via air travel, he cited, explaining that Tanzania boasts well-connected international airports, including Kilimanjaro International Airport, which facilitate ease of travel from India. Packages for family and group travel are among the factors that put Tanzania at the competitive edge to attract travellers from India.
“The destination is well-equipped to handle large groups and families, offering a variety of accommodations ranging from luxury lodges to budget-friendly options. This is one of the top preferences of Indian holidaymakers,” Mr Richer explained.
English is widely spoken in Tanzania, making communication seamless for Indian travellers, who often prefer destinations where language is not a barrier, he noted.
“The presence of Indian cuisine in Tanzanian hotels and restaurants is a number one magical draw for Indian travelers. Familiar food options can make the travel experience more comfortable and enjoyable,” Mr Richer said.
The large Indian Diaspora community is also another factor in wooing more travellers from India. Tanzania has a substantial Indian diaspora, which can help in attracting and hosting Indian tourists, providing a familiar cultural touchstone.
Affordable travel options are also on the list of allures. Tanzania offers a range of affordable travel packages, making it competitive compared to other international destinations, he noted.
With its stunning vistas and abundant wildlife, Tanzania is a paradise for social media enthusiasts, providing numerous photo opportunities that resonate well with modern travellers who love to share their experiences online. “Given these advantages, Tanzania and East Africa are well-positioned to experience significant growth from the Indian market,” the tourism guru said.
However, Mr Richer noted, this potential could only be realised through aggressive and comprehensive marketing strategies.
Richer emphasised the importance of targeted marketing campaigns and partnerships with Indian travel agencies to effectively capture this market.
“With the right strategies in place, Tanzanian tour operators have the opportunity to tap into one of the fastest-growing travel markets in the world, thereby boosting their revenue and supporting the local economy,” Mr Richer explained.
For her part, the head of communications and marketing at the National College of Tourism, Ms Devotha Mdachi, said that the insights provided by Mr Stephen Richer underscore the significant potential for Tanzanian tour operators to attract Indian outbound travellers.
“Leveraging these strategies, Tanzania could secure a substantial share of the anticipated $55.3 billion that India’s middle class will spend on international travel by 2034, driving growth and prosperity in the country’s tourism industry,” she explained.
Ms Mdachi, who is a former Tanzania Tourist Board (TTB) Managing Director, said that plans are well underway to roll out an ambitious project to be executed in collaboration with Tato to capture the Indian outbound market.
The project to be led by Mr Richer will focus on four steps, namely tourism asset assessment, tourism development, training, and marketing blitz.
Tato Board Member, Mr Vinay Sapra, highlighted that Indian travellers typically prefer to vacation in April-May and November, which coincides with Tanzania’s low tourism season.
This presents an optimal opportunity for local tour operators to attract this market.
“Indian travellers look for affiliation, such as food. They are also price-sensitive but appreciate quality tourism products and services,” Mr Sapra noted.
He further explained that Indian holidaymakers have a particular affinity for safaris and Mount Kilimanjaro climbing.
“Tato is exploring possibilities to close the gap between Tanzania and India by collaborating with Indian tour operators through information exchange,” he added.
In conclusion, Tato Executive Director Mr Elirehema Maturo expressed gratitude to the American tourism expert for sharing valuable insights with the association’s members.
He committed to collaborating with the expert to tap into the burgeoning Indian market.
Mr Maturo also urged Mr Richer to advocate globally for the vast tourism investment opportunities in Tanzania, encouraging a broader awareness of the country’s potential.