Travel & Tourism - Malta

Malta

in Malta, a country known for its rich history and beautiful beaches, is expected to see a significant rise in revenue in the Travel & Tourism market.
By 2024, the projected revenue is set to reach US$47.82m.
The market is also expected to show an annual growth rate (CAGR 2024-2028) of 4.63%, which will result in a projected market volume of US$57.31m by 2028.
The Hotels market is expected to be the largest market in Malta, with a projected market volume of US$15.03m in 2024.
The number of users in the Hotels market is estimated to reach 66.32k users by 2028, indicating a steady increase.
In 2024, the user penetration is projected to be 24.8%, and it is expected to hit 26.9% by 2028.
The average revenue per user (ARPU) is expected to amount to US$358.90.
It is also noteworthy that by 2028, 67% of the total revenue in the Travel & Tourism market in Malta will be generated through online sales.
When compared globally, United States is expected to generate the highest revenue, with a projected revenue of US$199bn in 2024.
Malta's travel and tourism sector is heavily dependent on coastal activities, such as diving and beach-going, due to the country's small size and limited natural resources.

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

Malta's Travel & Tourism market is experiencing significant growth and development, making it an attractive destination for travelers worldwide.

Customer preferences: Travelers visiting Malta are increasingly seeking unique and authentic experiences, moving away from traditional tourist attractions to explore the local culture, cuisine, and historical sites. There is a growing demand for sustainable tourism practices, with tourists showing interest in eco-friendly accommodations and activities that promote environmental conservation.

Trends in the market: One notable trend in Malta's Travel & Tourism market is the rise of digital nomads and remote workers choosing the country as their base due to its pleasant climate, affordable cost of living, and reliable internet connectivity. This trend has led to an increase in long-term stays and the emergence of co-working spaces catering to this new demographic. Additionally, the cruise tourism sector in Malta is experiencing growth, with more cruise lines including the country in their itineraries, boosting tourist arrivals.

Local special circumstances: Malta's unique selling points, such as its rich history, UNESCO World Heritage sites, crystal-clear waters for diving and snorkeling, and vibrant local festivals, set it apart as a desirable travel destination. The country's strategic location in the Mediterranean also makes it a convenient hub for exploring other European destinations, attracting tourists looking to combine multiple destinations in one trip.

Underlying macroeconomic factors: The growth of Malta's Travel & Tourism market can be attributed to favorable macroeconomic conditions, including stable economic growth, government investments in infrastructure development, and proactive marketing strategies to promote the country as a year-round destination. The country's efforts to diversify its tourism offerings beyond sun and sea tourism have also contributed to attracting a wider range of visitors seeking cultural and adventure experiences.

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.