Travel & Tourism - Peru

Peru

In Peru, the Travel & Tourism market is predicted to experience a remarkable revenue growth in the coming years.
By 2024, the projected revenue in this market is expected to reach US$1,881.00m.
Furthermore, the estimated Compound Annual Growth Rate (CAGR) between 2024 and 2029 is 4.02%, which is likely to result in a market volume projection of US$2,291.00m by 2029.
The most substantial market in the market is the Package Holidays market, where the projected market volume is anticipated to reach US$793.90m in 2024.
Regarding user statistics, the number of users in Package Holidays is estimated to increase to 6,275.00k users by 2029, with a user penetration rate of 22.0% in 2024, which is expected to grow to 25.0% by 2029.
The projected Average Revenue per User (ARPU) is expected to be US$246.80.
According to the forecast, 80% of the total revenue generated by the Travel & Tourism market will be through online sales by 2029.
Finally, in comparison to other countries worldwide, United States is predicted to generate the most revenue in the Travel & Tourism market, with a projected revenue of US$214bn in 2024.
Peru's travel and tourism industry is seeing a rise in popularity, with visitors flocking to explore its ancient ruins and vibrant culture.

Key regions: Malaysia, Europe, Singapore, Vietnam, United States

Definition:

The Travel & Tourism market encompasses a diverse range of accommodation services catering to the needs and preferences of travelers. This dynamic market includes package holidays, hotel accommodations, private vacation rentals, camping experiences, and cruises.

Structure:

The market consists of five further markets.

The Cruises market covers multi-day vacation trips on a cruise ship. The Cruises market encompasses exclusively passenger ticket revenues.
The Vacation Rentals market comprises of private accommodation bookings which includes private holiday homes and houses as well as short-term rental of private rooms or flats.
The Hotels market includes stays in hotels and professionally run guest houses.
The Package Holidays market comprises of travel deals that normally contain travel and accommodation sold for one price, although optional further provisions can be included such as catering and tourist services.
The Camping market includes bookings at camping sites for pitches using tents, campervans, or trailers. These can be associated with big chains or privately managed campsites.

Additional Information:

The main performance indicators of the Travel & Tourism market are revenues, average revenue per user (ARPU), users and user penetration rates. Additionally, online and offline sales channel shares display the distribution of online and offline bookings. The ARPU refers to the average revenue one user generates per year while the revenue represents the total booking volume. Revenues are generated through both online and offline sales channels and include exclusively B2C revenues and users for the above-mentioned markets. Users represent the aggregated number of guests. Each user is only counted once per year. Additional definitions for each market can be found within the respective market pages.

The booking volume includes all booked travels made by users from the selected region, independent of the departure and arrival. The scope includes domestic and outbound travel.

Prominent players in this sector include online travel agencies (OTAs) like Expedia and Opodo, as well as tour operators such as TUI. Specialized platforms like Hotels.com, Booking.com, and Airbnb facilitate the online booking of hotels and private accommodations, contributing significantly to the market's vibrancy.

For further information on the data displayed, refer to the info button right next to each box.

Market

Region

Region comparison

Currency

Analyst Opinion

Peru's Travel & Tourism market is experiencing significant growth and development, driven by various factors shaping the industry in the country.

Customer preferences: Travelers in Peru are increasingly seeking authentic and unique experiences, driving the demand for cultural and adventure tourism. The rich history and diverse landscapes of Peru, including Machu Picchu and the Amazon rainforest, attract tourists looking for immersive experiences. Additionally, there is a growing interest in sustainable and eco-friendly travel practices among visitors to the country.

Trends in the market: One notable trend in Peru's Travel & Tourism market is the rise of experiential travel, where tourists actively participate in local traditions and activities. This trend is reflected in the popularity of homestays, community-based tourism initiatives, and culinary tours. Furthermore, the increasing connectivity and accessibility within the country are making off-the-beaten-path destinations more reachable for travelers, contributing to the overall growth of the market.

Local special circumstances: Peru's unique cultural heritage and natural wonders play a significant role in shaping the Travel & Tourism market. The country's archaeological sites, such as the Nazca Lines and the Sacred Valley, attract history enthusiasts and adventure seekers alike. Moreover, the Peruvian gastronomy, renowned worldwide, has become a key driver for food tourism in the country, with visitors eager to explore the diverse flavors and ingredients of Peruvian cuisine.

Underlying macroeconomic factors: The growth of Peru's Travel & Tourism market is also influenced by macroeconomic factors such as infrastructure development, government initiatives to promote tourism, and international partnerships. Investments in transportation infrastructure, including airports and roads, have improved accessibility to different regions of the country, boosting tourism growth. Additionally, government campaigns to promote Peru as a tourist destination and partnerships with international travel agencies have helped increase the country's visibility in the global tourism market.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and sales channels of hotels, vacation rentals, cruises, package holidays, and camping.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, the Global Consumer Survey, third-party studies and reports, data from industry associations (e.g., UNWTO), and price data of major players in respective markets. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as country-related GDP, demographic data (e.g., population), tourism spending, consumer spending, internet penetration, and device penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, and exponential trend smoothing methods are applied. A k-means cluster analysis allows for the estimation of similar countries. The main drivers are tourism GDP per capita and respective price indices.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.