How a decline in tourism affects your business

Tourism is an essential economic pillar for many regions. Given the outbreak of COVID-19, governments around the world have introduced compulsory quarantine periods for travellers from virus-hit countries (with some even mandating entry and exit bans as well).

Many recreational and business travellers have cut back on flights due to the contagiousness of the virus, lengthy quarantine procedures and altered flight schedules – resulting in declining revenue for not only the travel industry, but related industries as well.

Without steady flows of tourists, hotel occupancy is shrinking, and entertainment venues like casinos, theme parks and other popular tourist attractions are also suffering. Furthermore, lowered demand for flights means fewer daily scheduled flights (if your route hasn’t been cancelled outright).

For economies that rely on tourist dollars, falling inbound arrivals have resulted in lower retail revenues– which have knock-on effects all the way up and down the supply chain. Businesses may consider looking into value-for-money promotional gift ideas to increase awareness and hopefully sales. For example, promoters in Tokyo are now handing out free face masks to pedestrians instead of packs of tissues to advertise their brands.

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