Asian destinations win big amid Muslim travel boom
Asia is set grow its market share of global Muslim travel spend to 22% or US$34 billion by the end of the decade, with non-Muslim destinations including China, Thailand and Singapore claiming a large percentage of this inbound expenditure, according to new research.
The Global Economic Impact of Muslim Tourism and Future Growth Projection: 2017-2020 report by Salam Standard further revealed that the GDP impact of Muslim travel in Asia is forecast to hit US$33 billion by 2020, up 27% from US$26.2 billion in 2017.
As a region of outbound Muslim travellers, Asia is starting to generate significant Muslim travel expenditure, which reached US$21 billion in 2017, or 21% of the global share, and is forecast to hit the US$29.6 billion mark by 2020.
“Asia is one of the top regions driving the growth of the global Muslim travel market, fuelled by a young and aspirational population and an increasingly-affluent middle class who are hungry to travel the world in a faith-compatible way, whether for business or leisure,” said Faeez Fadhlillah, co-founder and CEO of Salam Standard and Muslim-friendly hotel booking portal, Tripfez.
Muslim travellers from Malaysia, Indonesia and China will lead the way, according to Salam Standard, contributing 17% of the total global outbound spend by 2020 and outpacing European countries included in the study, who will contribute just 15% between them.
While Asia is a big feeder of Muslim travellers, the report urges Asian destinations to also look outside the region to key Muslim travel source markets in order to better capitalise on global growth trends.
The GDP impact of the global Muslim travel sector is projected to reach US$183 billion by 2020, up from US$148 billion in 2017.
Notably, the Middle East generated the majority of global outbound spend (61%) at US$62.2 billion. This is expected to reach US$72 billion by 2020, with Saudi Arabia and the UAE forecast to contribute 41% of the total Muslim travel spend worldwide by that date.
“One in three people worldwide will identify as Muslim by 2060 and to disregard this trend would be foolhardy,” said Faeez.
“With the Muslim population growth at 70% compared to the global average of 32%, the Muslim travel market presents many untapped opportunities for countries and organisations that successfully address its needs – and an enormous threat for those who ignore it.”
The full Global Economic Impact of Muslim Tourism and Future Growth Projection: 2017-2020 report will be launched on Salam Standard on November 6 during WTM in London.
source: TTG Asia
