BRIC Markets- Spotlight IndiaUnderstanding the New World Traveler

Understanding Market Shifts

Source: Euromonitor Int’l: 2014

10 Largest Economies by GDP

IndiaUnderstanding the Indian Traveler

Snapshot India

New Delhi20.10 million

Mumbai12.78 million

Population: 1.10 billion

Outbound Travelers: • 2014: 15 million outbound • 2020: 50 million

(projected) • Youth intensive – median age 26.7

• UK• Australia• South Africa• New Zealand• Canada

• USA • Thailand • Western

Europe• Singapore

2011:753,000

2013 859,000

Travel Demographics Reported Mid 2012: Current major destinations Recent Growth

To United States:

India’s Economy

Source: forbes.com

PUNJAB

GUJARAT

India’s Wealth

India’s Outbound Travel Market

India’s Outbound Travel Market

Indian Arrivals into the USA

2010 2011 2012 20130

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000

650,935 663,465

724,443

859,169

1.9%9.2%

18.6%

18%

Money Spent by Indians in the USA

2010 2011 2012 20130

1

2

3

4

5

6

4.5 4.44.9

5.6

MONEY SPENT IN BILLIONS

AIR LIFT INTO USA

Via

Atlantic

•American Airlines•British Airways•Swiss Air•Virgin Atlantic•Turkish Airlines•Lufthansa•KLM Air France/Delta•AustrianAirlines•JET Airways

Via P

acific

•Cathay Pacific•Air China•All Nippon Airlines•China Eastern Airlines•China Southern Airlines•Japan Airlines•Singapore Airlines/ Silk Air•Asiana Airlines•Korean Air

Via Gulf(

Middl

e East)

•Emirates Airline•Etihad•Qatar

Approx. 90% of Indian travelers arrived in the U.S. through connecting flights from third point.

AIR LIFT INTO BOSTON

Family Travel and VFR

• Many Indians have associations to the US (through family, school, or business ties)

• USA ranks 3rd in their Int’l destination mix

• Family holidays rank as the top most objective (91%) followed by visits to family and friends (VFR)

Key Motivators

Group vs FIT

well-researched bargains better keen on DIY itineraries

Travel Trade

On Line Travel Scenario

Key Consumer Trends

Asia Pacific Middle Class

Source: ADB. The Rise of Asia’s Middle Class: 2010 (Frost & Sullivan estimates)

Three Reasons to Consider Investing In the India Travel Market

• Indians speak, understand and use English as their common tongue

• Indians LOVE American Culture and Emulate American lifestyle and living

• Given the age demographics, and affinity for the US – there will be a constant mix of first time and repeat travelers for the long haul.

Thank YouQ&A