Travel & Tourism - Nicaragua | Statista Market Forecast

The Travel & Tourism market in Nicaragua is projected to reach a revenue of US$138.20m by 2024.
It is expected to grow annually at a rate of 5.83%, resulting in a market volume projection of US$183.40m by 2029.
The largest market in Nicaragua is the Package Holidays sector, which is expected to reach a market volume of US$90.86m in 2024.
The number of users in this market is projected to amount to 477.10k users by 2029, with a user penetration of 10.9% in 2024, expected to rise to 13.0% by 2029.
The average revenue per user (ARPU) is expected to be US$177.70.
Online sales are expected to account for 75% of the total revenue generated by the Travel & Tourism market in Nicaragua by 2029.
In comparison to other countries, United States is expected to generate the most revenue, with a projected revenue of US$214bn in 2024.
Nicaragua's Travel & Tourism industry is seeing an uptick in eco-tourism, with visitors flocking to explore the country's lush rainforests and diverse wildlife.

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.

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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.)

Nicaragua, a country known for its stunning landscapes, rich culture, and warm hospitality, has been experiencing significant growth in its Travel & Tourism market in recent years.

Customer preferences: Travelers in Nicaragua are increasingly seeking authentic and immersive experiences, opting for eco-friendly accommodations and sustainable tourism practices. They are drawn to the country's diverse natural attractions, including pristine beaches, lush rainforests, and active volcanoes. Tourists are also showing a growing interest in cultural experiences, such as visiting historic sites, attending local festivals, and interacting with indigenous communities.

Trends in the market: One notable trend in the Nicaraguan Travel & Tourism market is the rise of adventure tourism. The country's rugged terrain offers opportunities for activities such as surfing, hiking, zip-lining, and volcano boarding, attracting thrill-seekers from around the world. Additionally, Nicaragua has been gaining popularity as a wellness tourism destination, with an increasing number of wellness retreats and spas catering to health-conscious travelers.

Local special circumstances: Nicaragua's unique blend of natural beauty, cultural heritage, and affordability sets it apart as a compelling travel destination. The country's political stability and safety measures have also contributed to its appeal among tourists. Moreover, the government's efforts to promote tourism development and improve infrastructure have helped boost the sector.

Underlying macroeconomic factors: The growth of Nicaragua's Travel & Tourism market can be attributed to various macroeconomic factors, including a stable economy, favorable exchange rates, and government incentives for tourism investment. Additionally, the country's strategic location in Central America and its increasing connectivity through air and land transportation have facilitated easier access for international visitors. As Nicaragua continues to enhance its tourism offerings and promote sustainable practices, the Travel & Tourism market is poised for further expansion 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.