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According to a survey conducted by Eda`a Research Center regarding tourism cancellations, among 28 Inbound Tour Operators, the average percentage of cancellations is more than (55%) since the beginning of 2011.
Through these same offices, (91,000) tourists have visited the Hashemite Kingdom since the beginning of this year and an additional (56,000) tourists are expected to visit prior to the end of the year. (200,000) tourists are expected to be attracted next year (2012), only half of whom have confirmed their bookings to date.
A first of its kind, the study on Reservations & Cancellations for the Inbound Tourism Market in Jordan, prepared by Eda`a Research Center for Tourism, Environment and Culture, aimed to explore the effects of political unrest and safety & security concerns, which have been witnessed in the Arab World, upon inbound tourism in Jordan. The study revealed that the cancellation rate for 28 Inbound Tour Operators (out of 70 total tour operators contacted for the study) was approximately 55%. The study also revealed that these 28 offices anticipate attracting an additional (56,000) tourists prior to the end of this year. Moreover, for 2012, the owners of these offices expect to attract about (200000) tourists, half of whom have confirmed their bookings for the upcoming year.
The study population consisted of (70 offices) specializing in inbound tourism. It should be noted that the study did not include offices which have attracted less than (1000) tourists in the past two years (2009-2010), approximately 50 offices in all. However, the number of respondents represented roughly (40%) from the offices which met the criteria set forth in the study (offices which attract more than 1000 visitors annually to Jordan).
In the first question, respondents were asked to identify, in order, the top five countries from which they attract visitors. From the Western hemisphere, the United States was followed by Brazil, then Canada and Mexico in a tie for third, while Argentina and Ecuador occupied the fifth spot. From Europe, France and Spain occupied the top position, followed by the United Kingdom, Italy, and Germany in a tie for fourth, and the Netherlands in fifth place. In Asia, Japan and Russia were first,, followed by India and the Ukraine in second and third place respectively, whereas China and Malaysia, Singapore, Taiwan, and Thailand came fourth, while Indonesia, Korea, Croatia and Sri Lanka tied for fifth. The study results, however, clearly point out that Arab markets have no place in the top-five inbound markets for these offices, this may explain the large percentage of cancellations, noting that all previous studies on this issue concluded that American and European markets, in particular, have been more affected than other markets.
In the study’s second question, offices were asked about their respective percentages of cancellations from January 1 to July 31, 2011. According to the results of the study, the percentage of cancellations in (17 offices) out of (28 offices) has reached approximately (60.7%) [See figure No.1] which likely indicates that the political unrest and safety & security concerns which have been witnessed in the Arab Region have had a negative influence upon the non-Arab inbound tourism sector in Jordan.
The study’s third question reported that the number of tourists who were attracted to Jordan since the beginning of the year, at these same offices, reached (80000). The study’s fourth question revealed that the number of tourists who have confirmed their reservations to visit the Hashemite Kingdom prior to the end of 2011 has reached roughly (55000) tourists. Thus, the total estimated number of incoming tourists to Jordan by the end of this year, from all offices included in the study, will be approximately (135000) tourists – compare this to (155.600) and (270.500) tourists in the same periods (2009-2010) respectively for these same offices.
The study’s fifth question asked inbound tourism offices to consider the number of tourists which they expect to host in 2012. The sample expected to attract (200000) tourists, noting that (11 offices) only their reservations confirmation percentage were (40%).
In summary, it is clear that the inbound tourism sector in Jordan, especially from those foreign countries producing the largest number of visitors to the Hashemite Kingdom for inbound tourism offices, has witnessed a significant decrease in 2011. How much of this decline can be attributed to the ongoing political instability and security challenges in the Arab Region and how much can be attributed to the Global Financial Crisis, is difficult to determine. Although respondents to the survey identified the challenges posed by the political instability and security challenges as the reasons for cancellations, we would be remiss if we failed to recognize that source markets have been impacted, in the case of Spain, by a financial crisis of its own, the United States with a greater than 9% unemployment rate, and Japan with a catastrophic natural disaster.
Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.
