Q2 2018 Report

TOURISMSECTORPERFORMANCE

EXECUTIVE SUMMARYIn the first half of 2018, International Visitor Arrivals (IVA) increased 7.7 per cent over the same period last year to reach 9.2 million visitors.

Tourism Receipts (TR) reached $13.4 billion, a flat performance compared to the same period last year. This was due to lower expenditure across some components including Shopping, Food & Beverage and Accommodation.

Gazetted hotel room revenue was estimated at $1.9 billion for 1H 2018, a year-on-year growth of 8.5 per cent. Average Occupancy Rate (AOR) increased by 1.2 percentage points

to 85 per cent as Average Room Rate (ARR) grew 1.9 per cent to S$217, resulting in a 3.3 per cent increase in RevPAR to reach S$186.

In the second quarter of 2018 (Q2), IVA grew 8.0 per cent year-on-year to reach 4.6 million visitors. TR in Q2 2018 declined 1.7 per cent over the same period last year to reach $6.6 billion. Gazetted hotel room revenue for Q2 2018 came in at an estimated S$1.0 billion, a 9.4 per cent year-on-year increase.

Note: International visitor arrivals statistics up to August 2018 is now available here.

NOTE TO EDITORSThis quarterly report provides a summary of key statistics on tourism receipts, international visitor arrivals and gazetted hotels. The analysis in this report is based on data from a variety of sources, including Disembarkation/Embarkation cards, the Overseas Visitors Survey (OVS) and the monthly hotel returns from gazetted hotels. Data derived from the OVS are subject to sampling error. Users are advised to exercise discretion when drawing any conclusions or inferences, or taking any action, based on the data. Data is correct as at the time of publishing.

Download Monthly International Visitor Arrivals and Hotel statistics: https://www.stb.gov.sg/statistics-and-market-insights/Pages/statistics-Visitor-Arrivals.aspx

2

TOURISM SECTORPERFORMANCE2018

Q2

QUARTER TWO 2018 HIGHLIGHTS

TOURISMRECEIPTS

S$6.6 billion

year-on-year to reach

TR in Q2 2018 declined by

-1.7%

INTERNATIONALVISITOR ARRIVALS

year-on-year to reach

4.6 million

+8.0%

IVA in Q2 2018 increased by

S$1.0 billion

year-on-year to reach

HOTELINDUSTRY

+9.4%

Gazetted hotel room revenue in Q2 2018 grew

3

Tourism Receipts (TR) for the second quarter (Q2 2018) was estimated at S$6.6 billion, a 1.7 per cent decline over the same period last year. While expenditure grew for

Accommodation (+6%) and Other TR Components (+20%), Shopping (-22%), Food & Beverage (-15%) and Sightseeing, Entertainment & Gaming (-2%) declined.

1 All Tourism Receipts estimates are correct as of October 2018.

Source: Disembarkation/Embarkation Cards and Overseas Visitors Survey- Sightseeing, Entertainment & Gaming includes entrance fees to attractions and nightspots, expenditure on day-tours, leisure events as well as entertainment at the Integrated Resorts.- Other TR components include expenditure on airfares on Singapore-based carriers, port taxes, local transportation, business, medical, education and transit visitors.

TOURISM RECEIPTS BY MAJOR COMPONENTSTOURISM RECEIPTS: S$6.6 BILLION (-1.7% VS Q2 2017)All percentage changes are vs same period in 2017

QUARTER TWO 2018 PERFORMANCE1

3

TOURISM RECEIPTS

OTHER TR COMPONENTS

S$1,783m

ACCOMMODATION

S$1,482m +6%

S$601m -15%

+20%

SIGHTSEEING, ENTERTAINMENT & GAMING

S$1,454m -2%

SHOPPING

S$1,264m -22%19%

23%

9%

22%

27%

% Share

FOOD & BEVERAGE

TOURISM SECTORPERFORMANCE2018

Q2

Expenditure is estimated from Overseas Visitors Survey.Other TR components include expenditure on airfares on Singapore-based carriers, port taxes, local transportation, business, medical, education and transit visitors.* Sightseeing, Entertainment & Gaming has been excluded in the country analysis due to commercial sensitivity of information.

Excluding expenditure on Sightseeing, Entertainment & Gaming (SEG), China (S$988 million), Indonesia (S$766 million) and India (S$566 million) were the top three TR generating markets in Q2 2018, contributing to 45 per cent of TR (excluding SEG).

Among the top 10 TR markets, China, Indonesia and India registered the highest absolute year-on-year growth in TR (excluding SEG).

TOURISM RECEIPTS BY MAJOR COMPONENTS, TOP 10 MARKETSTOURISM RECEIPTS* :S$5.1 BILLION (-1.6% VS Q2 2017)

VA % Changevs 2017

TR % Changevs 2017

2018 TR*(S$ million)

+8%

+14%

+6%

+13%

+7%

+3%

+5%

+5%

+15%

+18%

-10%

-2%

+24%

+19%

+18%

+4%

+9%

-30%

-15%

-5%

-8%

-21%

Overall

China

Indonesia

India

Australia

Japan

Philippines

Malaysia

USA

Vietnam

South Korea

5,112

988

766

566

298

228

182

179

177

154

146

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

SHOPPING ACCOMMODATION FOOD & BEVERAGE OTHER TR COMPONENTS

p

p

p

p

p

p

p

p

p

p

q

q

p

p

p

p

p

q

q

q

q

q

24% 29% 12% 35%

43%

25%

14%

18%

13%

18%

25%

14%

27%

17%

15%

43%

28%

42%

34%

20%

40%

21%

36%

9%

12%

12%

10%

18%

14%

15%

15%

13%

51%

31%

42%

34%

30%

41%

32%

37%

34%

26% 5% 25%

4

INDONESIA

S$766 million

1 CHINA

S$988 million

2

INDIA

S$566 million3

TOURISM RECEIPTS

TOURISM SECTORPERFORMANCE2018

Q2

QUARTER TWO 2018 PERFORMANCE

Tourism Receipts (TR) for January to June reached S$13.4 billion, a flat performance compared to the same period last year. While expenditure grew for Sightseeing, Entertainment & Gaming (+2%) and

Other TR Components (+22%), Shopping (-15%), Food & Beverage (-13%) and Accommodation (-1%) declined.

Excluding expenditure on Sightseeing, Entertainment & Gaming (SEG), China (S$2,088 million), Indonesia (S$1,446 million) and India (S$924 million) were the top three TR generating markets for January to June 2018, contributing 43 per cent of TR (excluding SEG).

Among the top 10 TR markets, China, India and Indonesia registered the highest absolute year-on-year growth in TR (excluding SEG).

Expenditure is estimated from Overseas Visitors Survey.– Other TR components include expenditure on airfares on Singapore-based carriers, port taxes, local transportation, business, medical, education and transit visitors.* Sightseeing, Entertainment & Gaming has been excluded in the country analysis due to commercial sensitivity of information.

2 All Tourism Receipts estimates are correct as at September 2018.

TOURISM RECEIPTS BY MAJOR COMPONENTS, TOP 10 MARKETSTOURISM RECEIPTS* :S$10.4 BILLION (-0.6% VS JAN-JUN 2017)

JANUARY TO JUNE 2018 PERFORMANCE

TOURISM RECEIPTS BY MAJOR COMPONENTS2

TOURISM RECEIPTS:S$13.4 BILLION (0% VS JAN-JUN 2017)

% Changevs 2017

-15%

-1%

-13%

+2%

+22%

q

q

q

p

p

VA % Changevs 2017

TR % Changevs 2017

2018 TR*(S$ million)

+8%

+11%

+5%

+16%

+2%

+3%

+4%

+14%

+1%

0%

+12%

-1%

+13%

+9%

+19%

+8%

+10%

-3%

-6%

-21%

-17%

-14%

Overall

China

Indonesia

India

Australia

Japan

Malaysia

USA

Philippines

South Korea

UK

10,448

2,088

1,446

924

597

499

403

364

337

318

308

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

SHOPPING ACCOMMODATION FOOD & BEVERAGE OTHER TR COMPONENTS

p

p

p

p

p

p

p

p

p

p

q

p

p

p

p

p

q

q

q

q

q

26% 28% 12% 35%

46%

27%

16%

17%

16%

30%

15%

21%

16%

14%

15%

42%

29%

36%

21%

41%

33%

35%

37%

9%

12%

13%

10%

12%

15%

17%

14%

13%

49%

30%

41%

38%

37%

30%

29%

35%

36%

23% 6% 25%

Source: Disembarkation/Embarkation Cards and Overseas Visitors Survey– Sightseeing, Entertainment & Gaming includes entrance fees to attractions and nightspots, expenditure on day-tours, leisure events and entertainment at the Integrated Resorts.– Other TR components include expenditure on airfares on Singapore-based carriers, port taxes, local transportation, business, medical, education and transit visitors.

Jan-Jun % Share

20%

22%

9%

22%

27%

$2,715

$2,895

$1,228

$2,952

$3,610

S$ Millions 0 2 ,000 4,000 6,000

Q1 1,470 Q2 1,246

Q1 1,413 Q2 1,482

Q1 1,498 Q2 1,454

Q1 1,827 Q2 1,783

Q1 627 Q2 601

SHOPPING

ACCOMMODATION

FOOD & BEVERAGE

SIGHT SEEING, ENTERTAINMENT & GAMING

OTHER TR COMPONENTS

5

TOURISM RECEIPTS

TOURISM SECTORPERFORMANCE2018

Q2

INTERNATIONALVISITOR ARRIVALS

3 Visitor arrival figures quoted are rounded to the nearest thousands.

China (1.7 million), Indonesia (1.5 million), India (0.8 million), Malaysia (0.6 million) and Australia (0.5 million) were Singapore’s top five international visitor-generating markets in 2018. These markets accounted for 56 per cent of total IVA in January to June 2018.

China (+11%), India (+16%) and Indonesia (+5%) registered the largest absolute year-on-year growth while Germany (-4%) was the only market recording an absolute year-on-year decline

% Changevs 2017

+1%

+3%

+14%

0%

+12%

+15%

+3%

+1%

+8%

-4%

Philippines

Japan

USA

South Korea

UK

Vietnam

Thailand

Hong Kong SAR

Taiwan

Germany

0 50 100 200 300 400‘000s

p

p

p

p

p

p

p

p

q

IVA, TOP 15 MARKETS3

CHINAp+11% 1,731,000INDONESIAp+5% 1,543,000INDIAp+16% 769,000MALAYSIAp+4% 585,000AUSTRALIAp+2% 533,000

Source: Disembarkation/Embarkation Cards

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

385

372

326

314

297

291

269

224

211

177

JAN-JUN 2018: 9.2 MILLION (+7.7% VS JAN-JUN 2017)

6

JANUARY TO JUNE 2018 PERFORMANCE

INTERNATIONAL VISITOR ARRIVALS (IVA)JAN-JUN 2018: 9.2 MILLION (+7.7% VS JAN-JUN 2017), VISITOR DAYS: 30.9 MILLION DAYS (+5.7%)

In the first half of 2018, Singapore’s international visitor arrivals (IVA) stood at 9.2 million for January to June 2018, a 7.7 per cent year-on-year growth.

% Change VS 2017 IVA 2017 (’000s) IVA 2018 (’000s)

TOURISM SECTORPERFORMANCE2018

Q2

1,480 1,471

7%

1,583

5%

1,544

8%

1,471 11%

1,545

1,361 1,364 1,388

10%

1,492

1,480

6%

1,563

HOTEL INDUSTRY

Gazetted hotel room revenue for Q2 2018 came in at an estimated S$1.0 billion, a growth of 9.4 per cent year-on-year. Average Occupancy Rate (AOR4) was at 85 per cent in Q2 2018, a 0.9 percentage point increase compared to the same

quarter last year. Average Room Rate (ARR5) increased 2.0 per cent to S$214 and Revenue per Available Room (RevPAR6) increased 3.1 per cent year-on-year to S$181 in Q2 2018.

HOTEL INDUSTRY

4 Standard AOR = [Gross lettings (Room Nights) / Available room nights] x 1005 Standard ARR = [Total room revenue / Gross lettings] x 1006 RevPAR = AOR x ARR

S$ % % %pts S$ %

Overall 214 p+2.0 85 p+0.9 181 p+3.1

Luxury 425 p+0.2 85 p+2.8 362 p+3.7

Upscale 256 p+1.2 83 q-2.3 212 q-1.6

Mid-tier 166 p+0.3 86 p+1.9 143 p+2.6

Economy 106 p+4.8 83 p+0.8 88 p+5.8

Average Room Rate (ARR)

ARR, AOR and RevPAR, Q2 2018

Average Occupancy Rate (AOR) Revenue Per Available Room (RevPAR)

QUARTER TWO 2018 PERFORMANCE

S$ % % %pts S$ %

Overall 217 p+1.9 85 p+1.2 186 p+3.3

Luxury 434 q-2.2 86 p+2.2 374 p+0.4

Upscale 262 p+3.7 85 q-1.7 222 p+1.6

Mid-tier 168 p+1.7 86 p+2.1 145 p+4.2

Economy 105 p+4.9 83 p+1.5 87 p+6.8

Average Room Rate (ARR)

ARR, AOR and RevPAR, JANUARY – JUNE 2018

Average Occupancy Rate (AOR) Revenue Per Available Room (RevPAR)

Gazetted hotel room revenue for January to June 2018 was estimated at S$1.9 billion, an 8.5 per cent growth over the same period last year. In the first half of 2018, AOR increased by 1.2

percentage points to 85 per cent as ARR grew 1.9 per cent to S$217, resulting in a 3.3 per cent increase in RevPAR to reach S$186.

JANUARY TO JUNE 2018 PERFORMANCE

7

TOURISM SECTORPERFORMANCE2018

Q2

+65 6736 6622 +65 6736 9423 stb.gov.sgTourism Court 1 Orchard Spring Lane Singapore 247729

NOTE: The hotel tiering system is a reference system developed by the Singapore Tourism Board (STB) to categorise the different hotels in Singapore into tiers based on a combination of factors that include average room rates, location and product characteristics.

Figures for the hotel industry are preliminary estimates, based on returns as at 13 August 2018. The current hotel tiers published are based on the hotels’ performance in 2016. The response rate across the tiers may vary.

Luxury – Includes hotels in the luxury segment and are predominantly in prime locations and/or in historical buildings

Upscale – Includes hotels in the upscale segment and are generally in prime locations or hotels with boutique positioning in prime or distinctive locations

Mid-Tier – Includes hotels in the mid-tier segment and are primarily located in prime commercial zones or immediately outlying areas

Economy – Includes hotels in the budget segment and are generally located in outlying areas