The night-time economy within the tourism sector presents a unique blend of opportunities and challenges.
Innovative approaches that enhance the night-time experience can
significantly contribute to the overall sustainability and inclusivity
of tourism. At the recent PATA Annual Summit 2024 in Macao, Fabrizio
Angelo Orlando, global director of industry affairs at Tripadvisor, shed
light on various aspects that shape the night-time tourism landscape
and its economic impact.
Night time economy is not just about bar- and club-hopping and
late-night fares. It’s about creating a new diversity in the city.
Post-pandemic, night time tourism is also crucial for a city to thrive.
Orlando emphasised that tourist habits have shifted since Covid from
shopping to seeking cultural and immersive experiences in the
destinations they visit. Night time economy, he said, is crucial in
providing value to tourists and, in the case of Macao, encouraging them
to extend their stay beyond the typical one-day visit.
In many countries, the night economy generates substantial revenue.
For example, in France, nightlife activities generated US$157 billion in
2019, accounting for about 20% of total tourism revenue.
In Thailand, the figure was US$63 billion, representing 11% of the
total tourism industry revenue. “Night time economy must look beyond
night markets or late-night dining or even casino entertainment,” said
Orlando.
Orlando proposed four different models for night tourism development.
Set-jetting: The influence of TV and movies on
travel decisions is stronger than ever. An impressive 53% of travellers
have researched a trip after seeing a destination on TV. Iconic examples
include Malta (inspired by "Gladiator"), Paris, popularised by "Emily
in Paris", Thailand (featured in "The White Lotus"), and South Korea
(spotlighted by "Squid Game"). These destinations have successfully
leveraged their appearances on screen to attract tourists, showcasing
the power of media in driving travel trends.
Concert tourism: Concerts and major events are
significant drivers of tourism. The Eras Tour, for instance, has been
estimated to generate US$4 billion in net consumer spending in the US
alone, a phenomenon dubbed "Swiftonomics".
Hosting and organising such events is crucial for attracting young
travellers, emphasising the economic impact of cultural and
entertainment experiences.
The beauty of the game: Sporting events are another
powerful attraction, with substantial economic benefits. Germany expects
a 300% growth in tourist numbers for destinations hosting UEFA Euro
2024. Similarly, the Paris region anticipates an economic impact of €8.9
billion from the Olympic Games. These figures illustrate the profound influence that major sporting events can have on local economies.
MICE and bleisure: A vibrant nightlife can enhance a
city's international reputation, drawing in both leisure and business
travellers. When bidding for corporate and business events, incentive
travel, and trade shows social programmes centred around the evening and
nightlife activities can serve as an added incentive.
Orlando said each city needs to find its own distinctive features to
make night-time tourism a sustainable business model. Having a good
spread of activities that involves engaging and supporting small
businesses, local artisans as well the local community can ensure night
time tourism products are accessible, affordable and inclusive.