Travel & Tourism - Madagascar | Statista Market Forecast

Madagascar is expected to witness a rise in its Travel & Tourism market revenue as it is projected to reach US$350.00m in 2024 with an annual growth rate (CAGR 2024-2029) of 7.18%.
This growth is expected to result in a projected market volume of US$495.00m by 2029.
The Package Holidays market is projected to be the largest market in Madagascar with a market volume of US$211.10m in 2024.
The projected number of users in the Package Holidays market is expected to amount to 2.13m users by 2029.
Madagascar's user penetration is expected to increase from 9.0% in 2024 to 11.1% by 2029.
The average revenue per user (ARPU) is expected to be US$125.50.
In Madagascar's Travel & Tourism market, 64% of the total revenue is expected to be generated through online sales by 2029.
In global comparison, United States is projected to generate the most revenue in the Travel & Tourism market, amounting to US$214bn in 2024.
Madagascar's unique biodiversity and stunning landscapes make it a rising destination for eco-tourism enthusiasts.

Definition:

The Travel & Tourism market encompasses a diverse range of accommodation services catering to the needs and preferences of travelers. This dynamic market includes package holidays, hotel accommodations, private vacation rentals, camping experiences, and cruises.

Structure:

The market consists of five further markets.

The Cruises market covers multi-day vacation trips on a cruise ship. The Cruises market encompasses exclusively passenger ticket revenues.
The Vacation Rentals market comprises of private accommodation bookings which includes private holiday homes and houses as well as short-term rental of private rooms or flats.
The Hotels market includes stays in hotels and professionally run guest houses.
The Package Holidays market comprises of travel deals that normally contain travel and accommodation sold for one price, although optional further provisions can be included such as catering and tourist services.
The Camping market includes bookings at camping sites for pitches using tents, campervans, or trailers. These can be associated with big chains or privately managed campsites.

Additional Information:

The main performance indicators of the Travel & Tourism market are revenues, average revenue per user (ARPU), users and user penetration rates. Additionally, online and offline sales channel shares display the distribution of online and offline bookings. The ARPU refers to the average revenue one user generates per year while the revenue represents the total booking volume. Revenues are generated through both online and offline sales channels and include exclusively B2C revenues and users for the above-mentioned markets. Users represent the aggregated number of guests. Each user is only counted once per year. Additional definitions for each market can be found within the respective market pages.

The booking volume includes all booked travels made by users from the selected region, independent of the departure and arrival. The scope includes domestic and outbound travel.

Prominent players in this sector include online travel agencies (OTAs) like Expedia and Opodo, as well as tour operators such as TUI. Specialized platforms like Hotels.com, Booking.com, and Airbnb facilitate the online booking of hotels and private accommodations, contributing significantly to the market's vibrancy.

For further information on the data displayed, refer to the info button right next to each box.

Bookings directly via the website of the service provider, travel agencies, online travel agencies (OTAs) or telephone

Business trips
Other forms of trips (e.g. excursions, etc.)

Madagascar's Travel & Tourism market is experiencing significant growth and development, driven by various factors unique to the region.

Customer preferences: Tourists visiting Madagascar are increasingly seeking authentic and immersive experiences, such as exploring the island's diverse wildlife, pristine beaches, and unique cultural heritage. Sustainability and ecotourism are also becoming more important to travelers, leading to a rise in demand for responsible travel options.

Trends in the market: One notable trend in Madagascar's Travel & Tourism market is the growing popularity of adventure tourism activities, including hiking, diving, and wildlife watching. The country's rich biodiversity and unspoiled natural landscapes make it an attractive destination for adventure seekers looking to explore off-the-beaten-path locations.

Local special circumstances: Madagascar's unique flora and fauna, including lemurs and baobab trees, set it apart as a one-of-a-kind travel destination. The island's blend of African, Asian, and European influences also contributes to its appeal, offering a diverse cultural experience for visitors. Additionally, the government's efforts to promote tourism infrastructure and improve accessibility to key attractions are helping to boost the sector.

Underlying macroeconomic factors: The steady economic growth in Madagascar, coupled with government initiatives to attract foreign investment in the tourism sector, is creating a favorable environment for the industry's expansion. As the country continues to invest in infrastructure development and promote sustainable tourism practices, the Travel & Tourism market is poised for further growth and diversification in the coming years.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and sales channels of hotels, vacation rentals, cruises, package holidays, and camping.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, the Global Consumer Survey, third-party studies and reports, data from industry associations (e.g., UNWTO), and price data of major players in respective markets. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as country-related GDP, demographic data (e.g., population), tourism spending, consumer spending, internet penetration, and device penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, and exponential trend smoothing methods are applied. A k-means cluster analysis allows for the estimation of similar countries. The main drivers are tourism GDP per capita and respective price indices.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.

This report presents a comprehensive analysis and additional information on the Mobility market, in a PDF format.

Business or corporate travel is the tourism segment that focuses on people who travel for work or professional purposes and the related tourism services. This branch also includes the meetings industry, which refers to business events, conferences, congresses, trade fairs, and exhibitions. According to the World Travel and Tourism Council (WTTC), business travel accounted for 20 percent of the global tourism expenditure in 2021. In that year, it was estimated that business travelers spent more than 740 billion U.S. dollars worldwide, with Chinese tourists topping the ranking of the biggest business travel spenders.