The cultural tourism market refers to tourism focused on a country or region's culture, specifically the lifestyle of the people in those geographical areas, the history of those people, their art, architecture, religion, and other elements that helped shape their way of life. Cultural tourism experiences allow travelers to engage with and learn about different cultures through activities like visiting museums and historical sites, attending cultural events and festivals, food tours exploring local cuisine, and guided walking tours through neighborhoods.
The global cultural tourism market is estimated to be valued at US$ 17,720.11 Mn in 2024 and is expected to exhibit a CAGR of 14% over the forecast period from 2024 to 2031.
Key Takeaways
Key players operating in the Global Cultural Tourism Market Share are Expedia Group, Priceline Group, China Travel, China CYTS Tours Holding, American Express Global Business Travel, Carlson Wagonlit Travel, BCD Travel, HRG North America, Travel Leaders Group, Fareportal/Travelong, CULTURAL TOURISM MARKET Travel, Corporate Travel Management, Travel and Transport, Altour, Direct Travel, World Travel Inc, Omega World Travel, Frosch, JTB Americas Group, and Ovation Travel Group. Growing awareness about diverse cultures and the desire to experience new cuisines and traditions are fueling demand for cultural trips. Technologies like virtual and augmented reality are also being utilized to provide immersive cultural experiences.
Market Trends
Customized and niche cultural tours centered around themes like heritage, arts, or a particular ethnicity are becoming popular. Sustainable cultural tourism is a growing trend where travelers seek out experiences that positively impact the local communities and environment. Operators are focusing on providing immersive local experiences through small group tours led by cultural experts and engaging activities like cooking classes.
Market Opportunities
The increase in long weekend and short breaks is driving the growth of micro trips focused around cultural attractions. Digital nomads are also a fast emerging segment interested in immersive cultural experiences in new destinations. Operators can expand their offerings of culture-focused homestays and rural experiences showcasing traditional lifestyles.
Impact of COVID-19 on Cultural Tourism Market Growth
The outbreak of the COVID-19 pandemic adversely impacted the cultural tourism market. Due to nationwide lockdowns and travel restrictions imposed by governments worldwide to contain the spread of the virus, cultural sites were closed and cultural events were either postponed or cancelled. This severely disrupted demand in the cultural tourism industry. International cultural tourism came to a standstill with restrictions on non-essential travel across borders.
However, with mass vaccination drives and easing of lockdowns in 2021, cultural tourism began recovering. Domestic cultural tourism within countries helped drive initial recovery as international travel was still restricted. Sites started reopening albeit with limited capacity and strict health protocols. Hybrid virtual and in-person cultural events also helped sustain interest. However, full-scale recovery of international cultural tourism is expected to be gradual due to risks of new virus variants.
The future of cultural tourism remains challenging in the near-term but strategies can be adopted for sustainable growth. Digital offerings can engage audiences until risks subside. Sites can promote local cultural tourism to revive local economies. Public-private investments can modernize infrastructure and boost regional connectivity essential for cultural tourism. Compliance with health guidelines would be crucial to regain public confidence as the sector recovers.
Geographical Concentration of Cultural Tourism Market
In terms of value, the cultural tourism market is highly concentrated in developed regions with strong cultural heritage and infrastructure to promote cultural experiences. These include Western Europe, North America and parts of Asia Pacific.
Western Europe has a high density of UNESCO World Heritage Sites and a culturally-rich history spanning centuries. Countries like France, Italy, Spain, Germany are top global destinations for cultural experiences. North America, particularly the United States, also sees significant cultural tourism leveraging its diverse cultural influences and world-class museums and performances.
In recent years, parts of Asia Pacific have emerged as a fast-growing market for cultural tourism. Countries like China and South Korea have heavily invested in cultural attractions, festivals and events to share their cultural traditions. Cities across these regions have become popular urban cultural destinations offering histories intertwined with modern lifestyles. Supportive government policies are helping the Asia Pacific cultural tourism industry expand globally.
Geographical Regions with Fastest Growth in Cultural Tourism Market
The Asia Pacific region, excluding Japan, is witnessing the fastest growth in the cultural tourism market supported by China, Southeast Asian countries and India.
China has seen exponential growth, driven not just by domestic cultural tourists but also rising Chinese outbound travel for cultural experiences globally. Many Southeast Asian countries like Thailand, Vietnam and Indonesia are leveraging their diverse natural and cultural heritages to boost arrivals. Major infrastructure projects improve regional connectivity and cultural promotion campaigns increase global visibility.
In India, cultural tourism is a key priority sector. The government's Swadesh Darshan and PRASHAD schemes are developing new circuits showcasing India's vibrant cultural diversity. This includes better access to major cultural/pilgrimage centres and heritage sites. Megacities also offer unique urban cultural experiences. Collectively, these factors are propelling the Asia Pacific cultural tourism industry ahead with strongest growth momentum.
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