Travel & Tourism - Malaysia | Statista Market Forecast

In Malaysia, the Travel & Tourism market is expected to grow significantly in the coming years.
By 2024, revenue in this sector is projected to reach US$5.86bn.
Furthermore, it is expected to grow at an annual growth rate of 3.28%, reaching US$6.89bn by 2029.
The Package Holidays is predicted to be the largest in the market, with its revenue projected to reach MYR 15.26m users by 2024.
By 2029, the number of users of Package Holidays is expected to increase to 15.26m users, with a user penetration rate of 66.3%.
In 2024, user penetration is expected to be 52.2%.
The average revenue per user (ARPU) is expected to be US$323.80.
In Malaysia, online sales are expected to generate 73% of the total revenue of the Travel & Tourism market by 2029.
United States is projected to generate the most revenue in the Travel & Tourism market globally, with revenue of US$214bn in 2024.
Malaysia's Travel & Tourism market is diversifying, with a growing focus on ecotourism and cultural experiences.

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.)

Over the past few years, Malaysia has seen a steady growth in its Travel & Tourism market, attracting visitors from around the world to experience its unique culture and natural beauty.

Customer preferences: Travelers visiting Malaysia are increasingly looking for authentic cultural experiences, eco-friendly tourism options, and opportunities to engage with local communities. Many tourists are seeking off-the-beaten-path destinations, immersive activities, and culinary experiences to truly connect with the destination.

Trends in the market: One notable trend in the Malaysian Travel & Tourism market is the rise of sustainable tourism practices. With increasing awareness of environmental issues, travelers are actively seeking eco-friendly accommodations, responsible tour operators, and activities that promote conservation efforts. This trend has led to the development of eco-resorts, wildlife conservation projects, and community-based tourism initiatives across the country.

Local special circumstances: Malaysia's diverse cultural heritage and stunning natural landscapes set it apart as a unique travel destination. From the bustling streets of Kuala Lumpur to the pristine beaches of Langkawi and the lush rainforests of Borneo, the country offers a wide range of experiences for every type of traveler. Additionally, Malaysia's rich culinary scene, influenced by Malay, Chinese, and Indian flavors, is a major draw for food enthusiasts.

Underlying macroeconomic factors: The Malaysian government's efforts to promote tourism as a key economic driver have significantly contributed to the growth of the Travel & Tourism market. Investments in infrastructure development, marketing campaigns, and visa facilitation have helped attract more international visitors to the country. Additionally, the country's stable political environment, diverse tourism offerings, and strategic location in Southeast Asia have made it a popular choice for travelers looking to explore the region.

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.