Travel Reference
In-Depth Information
Literature Review
Since 1998, the propensity for Australians to travel domestically for holidays
has waned. In 2010 Australians took 6.4 million fewer domestic holidays than
they did in 1998, which was an average annual decrease of 0.8%. Over that
same period, Australians took almost double the number of international
holidays, resulting in a 7% average annual growth rate. With an increased
household income, more access to overseas markets, improved competition
resulting in cheaper airfares and technological improvements, Australians
are increasingly holidaying overseas. Coupled with this, a high exchange
rate for the Australian dollar heightened the appeal of international travel.
However, not all travel is for holiday purposes. People also travel for
other purposes, such as VFR. VFR travel is an important component of
family tourism. As discussed in Chapter 9, families often struggle with the
stress of travelling, especially when their children are young. As a result,
many families with children at primary school travel to see friends and
family as a way of having a break with the support available to ensure some
form of leisure can be achieved by the parents.
In the Australian state of Victoria, almost half of its visitors are visiting
friends and relatives (Backer, 2012). VFR travellers may be less sensitive to
exchange rates and the destination is more fixed. As a result, VFR travel
can actually provide destinations with a buffering effect against economic
downturns. Economic conditions have also affected destinations outside
Australia. In 2009 the global recession resulted in a 'steep decline in tourism
worldwide' (Liu, 2009). Some countries have been particularly affected, in
Europe as well as Asia (Liu, 2009).
The recessionary conditions stimulated a trend towards cheaper
destinations and there has been a shift towards caravanning and camping
(Liu, 2009). While the USA also suffered a significant drop in international
tourism, it has not been as badly affected as some other countries, mainly
because of its strong domestic tourism market (Liu, 2009). The link with
VFR travel in recessionary conditions can also be seen in the USA. For
example, an increased number of Americans were recorded travelling on
the 2011 Thanksgiving holiday, 'giving the sluggish economy a small boost'
( People's Daily Online , 2011). While Thanksgiving has traditionally been a
holiday to celebrate the harvest in the USA and Canada, the modern celebra-
tion is 'where American families come together; even more than Christmas'
(Baigrie, 2011). The increase in travel over Thanksgiving in America despite
the decrease in tourism for the country highlights the point about VFR
travel being less vulnerable to recessionary conditions compared with other
forms of tourism.
New Zealand has also seen the strength of VFR of late, in comparison
with other segments. While business travel fell by 5% and holiday arrivals
fell by 2.2%, international VFR travel grew by 4.2% in 2008 (Angus &
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