Backpacking and Youth Travel

28 November 2007

2

• Background : the dti

• Background : backpacking

• Findings

• Where to from here?

Contents

Background : the dti’s tourism focus

Dti tourism unit (sector desk): Enterprise and Industry Development Division (EIDD)

Investment and Business Development Niche market industry development

Niches can diversify business opportunities, markets AND benefits

Best practice in Australia, Canada, etc. Backpacking, business tourism and community-based

tourism reports (www.nedlac.org.za)

Background: Backpacking

Backpacking: lack of understanding and information on this niche

Backpacking and Youth travel trends publication For existing and new businesses, government officials,

and other tourism stakeholders Primary aim: increase awareness and support for

backpacking amongst all stakeholders

Findings: Backpacking and Youth Travel

WYSETC(2007): youth = 20% of global travellers

In Australia, Backpacking = AUS $3 Billion In SA, 90 000 backpackers in 2005; approx

R900 million in direct spend Huge opportunity presents itself Need to focus and work together to realise this

Findings: Where do they come from?

Tend to travel independently, have flexible travel schedules,

Travel for a longer period (42 days), Prefer budget accommodation, cost conscious, Place emphasis on meeting other travellers, Keen on informal and participatory holiday activities

explore other cultures (83%), excitement (74%), and increasing knowledge (69%).

Findings: Backpacking and Youth Travel

Findings: Backpacking and Youth Travel

0 500 1000 1500 2000 2500 3000

Spend in rand value

Accommodation

Activities

Food

Transport

Shopping

Beverages

Ite

m o

f e

xp

en

dit

ure

Findings: Backpacking

and Youth Travel

Findings: Backpacking and Youth Travel

Not only hippies! Real value too… many choose this way of travel.

Bring benefits to out-of-the-way places: geographic spread. Seek authenticity and interaction. Younger travellers return later in life. Per day spend is less, trip spend often the same, or more. Global industry is growing, competitive, increasingly

formalised. Product must innovate, provide high levels of service AND

experience.

Consider this….

Where to from here?

We need to pursue opportunities in this growing segment: we need your buy-in and partnerships

Distribute publication with Tourism Enterprise Programme, Small Enterprise Development Agency.

Continue to work with Backpacking South Africa on formalising the industry: Market support (e.g. World Youth Student Travel

industry Conference). Registering an industry association with the dti.

THANK YOU

QUESTIONS?