With the recession of 2008 and the declining disposable income of customers Ireland saw an overall decrease in the number of tourists. This is expected to increase, however, over the forecast period (2013-2017) at a CAGR of 8.86%, supported by government initiatives to promote tourism across the European region.
Inbound tourist arrivals are expected to reach 7.1 million in 2017, representative of a forecast-period CAGR of 1.58%. The key drivers for this growth are expected to be tourism board campaigns across European countries and the expansion of new airline routes announced by Ryanair and WestJet in 2013 and 2014.
Outbound tourism expenditure is expected to rise from EUR5.2 billion (US$6.7 billion) in 2012 to EUR5.7 billion (US$7.3 billion) in 2017, at a forecast-period CAGR of 1.68%. An expected positive growth in consumer incomes and favourable economic conditions will support this trend.
The airline market, hotel market and are car rental market are all expected to increase during the review period. Factors driving growth in the market include increased numbers of inbound tourists from neighbouring countries, the expected rise in air passenger traffic and Ireland’s expected economic recovery allowing for an increase in disposable income.