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Why the $2.05tn global luxury travel universe will kick start economies post COVID-19

ILTM commissions new white paper and podcast – ‘Luxury Travel’s true impact on business and employment’.

ILTM has commissioned a white paper to underpin the true value of luxury travel to small, medium sized and large businesses across the world. The report by Barton Consulting brings clarity to the numbers of people employed – 90% of whom are working within small businesses or individual operations – and the contribution high net worth (HNW) travellers make to every sector. The report is further explained in a podcast entitled Luxury Travel’s true impact on business and employment.’

Alison Gilmore says: “The challenge of COVID-19 has brought the realities of our world into sharp focus and none more so than our international inter-connectivity and dependence on the freedom to travel. The travel industry is one of the greatest catalysts for this globally-linked system and is also a far greater mechanism for the dispersal of wealth to local economies than has been recognised until now.”

In the podcast, the report’s author, Barton’s Winston Chesterfield, explains how so few can make such a big economic impact by spreading their wealth to benefit local economies, communities, individuals and businesses. He explores how these individuals will be the first to kick start the industry post COVID-19 and why the wealth they control is vital to #keeptheworldmoving.

Key Highlights:

  • The white paper brings clarity to the number of people directly employed within travel across the world – 105.9 million.  The global luxury travel ecosystem of activities (valued at $1.54trn) provides employment for an additional 62m people.
  • Although HNW individuals comprise only 0.3% of the global population, the wealth they control ($94trn) and their high spending supports the livelihoods of this incredible number of business owners and individuals.
  • This Global Luxury Travel Universe is valued at $2.05 trillion – it would rank in the top 10 if it were a global economy; if it were a country, it would be bigger than Italy; and it is considerably larger than a number of other discretionary global goods and services industries, such as consumer electronics and fashion retail.
  • Luxury travel is a vital component in the distribution of wealth across the globe: local economies are dependent on luxury travellers for arts, culture, restaurants, guides, sporting events etc.
  • When the time is right, the industry is ready to fight for its protection and continued development, to re-open established enterprises and create a fresh future for new business opportunities

“We wanted to contribute to the luxury travel sector and provide some new insight, facts and figures that we hope will give comfort to those whose livelihood has suffered as a result of the COVID-19 shutdown of this industry. When the time is right, we believe a new future will emerge and ILTM will be here as a catalyst, however long this journey takes,” added Gilmore.

Vicky Karantzavelou
Co-Founder & Chief Editor - TravelDailyNews Media Network | Website

Vicky is the co-founder of TravelDailyNews Media Network where she is the Editor-in Chief. She is also responsible for the daily operation and the financial policy. She holds a Bachelor's degree in Tourism Business Administration from the Technical University of Athens and a Master in Business Administration (MBA) from the University of Wales.

She has many years of both academic and industrial experience within the travel industry. She has written/edited numerous articles in various tourism magazines.