Package Holidays - Panama

Panama

Highlights

The Package Holidays market in Panama is expected to experience a rise in revenue, with projections indicating a rise to US$50.52m in 2024.
This projection is fueled by an estimated annual growth rate (CAGR 2024-2029) of 4.16%, which could result in a market volume of US$61.93m by 2029.
By 2029, the number of users in the Package Holidays market is expected to reach 288.40k users.
In 2024, user penetration is projected to be 5.0% and is forecasted to increase to 6.0% by 2029.
The Package Holidays market's average revenue per user (ARPU) is expected to be US$224.20.
Notably, a significant proportion of the total revenue, 82%, will be generated through online sales by 2029.
In comparison to other countries, China is projected to generate the highest revenue in the Package Holidays market, with an estimated revenue of US$49bn in 2024.
Panama's package holiday market is on the rise, driven by the country's beautiful beaches, rich culture, and favorable exchange rate.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Package Holidays market in Panama is experiencing a significant growth trajectory, driven by various factors influencing consumer preferences and local special circumstances.

Customer preferences: Panamanian travelers are increasingly opting for package holidays due to the convenience and cost-effectiveness they offer. With busy lifestyles, travelers appreciate the all-inclusive nature of package holidays, which saves time and eliminates the need for detailed planning. Additionally, the appeal of having accommodation, meals, and activities bundled together provides a sense of security and ease for travelers looking to relax and unwind.

Trends in the market: One notable trend in the Package Holidays market in Panama is the rise of personalized and experiential packages. Travelers are seeking unique experiences that go beyond traditional tourist attractions, leading to the customization of holiday packages to include off-the-beaten-path destinations, cultural immersion activities, and authentic local experiences. This trend caters to the growing segment of travelers looking for memorable and meaningful vacations.

Local special circumstances: Panama's unique geographical position as a bridge between North and South America makes it a diverse and attractive destination for travelers. The country's rich biodiversity, tropical climate, and vibrant culture contribute to its appeal as a holiday destination. Additionally, Panama's infrastructure development, including modern hotels and resorts, enhances the overall tourism experience for visitors. The presence of popular attractions such as the Panama Canal, tropical rainforests, and pristine beaches further boosts the demand for package holidays in the region.

Underlying macroeconomic factors: The steady economic growth and increasing disposable income levels in Panama have positively impacted the Package Holidays market. As more Panamanians have the means to travel, the demand for holiday packages has surged. Moreover, the government's efforts to promote tourism and improve transportation infrastructure have made Panama more accessible to both domestic and international tourists, further fueling the growth of the Package Holidays market in the country.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and sales channels of package holidays.

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.