FMI says that adventure tourism involves domestic and international travelling that entails various adventurous activities such as rafting, trekking, cycling, caving, among others, natural environment, and cultural immersions (Photo: India Outbound)
Driven by rising income levels in developing geographical locations and reduction in prices of costs in aviation and accommodation, the demand for adventure tourism is expected to expand, says a report by Future Market Insights (FMI), a global market research consultancy.
The report by FMI says that the global adventure tourism industry held a market value worth USD 292 billion in 2022, and it is anticipated that it will reach a market value of USD 1,491.5 billion by 2033, growing at a CAGR of 16.2 pc. The market for adventure travel is expanding, which may be linked to rising traveller interest and reasonably priced airfares.
In a press statement, FMI says that adventure tourism involves domestic and international travelling that entails various adventurous activities such as rafting, trekking, cycling, caving, among others, natural environment, and cultural immersions. It provides practical and cost-effective incentives to promote bio-cultural variety while bringing in revenue for regional and private sectors. Adventure tourism is now becoming more popular than traditional mass tourism across the globe due to its adaptability, ability to support economies, and promotion of sustainable practices, says the consultancy.
The adventure tourism industry witnessed humongous growth and related spending due to the increased number of travellers in recent years. Driven by rising income levels in developing geographical locations and reduction in prices of costs in aviation and accommodation, the demand for adventure tourism is expected to expand. The number of international tourists has increased to an exorbitant number, thus, favouring the growth of the market.
It says that while during and soon after the Covid-19 pandemic, most countries had banned visiting tourist spots to curb the virus. But these restrictions have been lifted and instead these destinations are aggressively seeking tourists.
FMI says that a key driver of the adventure tourism market is the increasing demand for an authentic and individualised travel experience. This, in turn, is largely driven by driven by rapid urbanization, rising disposable incomes, the impact of social media, and economical airline tickets.
Key industry players are working together with marketing firms to draw in high-value clients through internet marketing, which is helping to increase demand for adventure tourism around the globe. Government organisations in many nations are also encouraging adventure tourism since it generates job opportunities and has a positive impact on community development. This, in turn, is increasing the global appeal of adventure tourism is anticipated to rise as a result.
FMI says that inclination towards activities like trekking, hiking, cycling, camping, and scuba diving by all age groups is contributing to soft adventure growth. Soft adventure activities have a low-risk level and thus have become popular among adventure enthusiasts and grazers. Soft adventure is gaining popularity by people who are open to experimenting and travelling.
Soft adventure tourism is seeking extraordinary adventure experiences with low or no risk. Growth in demand for soft adventure activities among the elder age group is expected to drive market growth. The soft adventure segment was anticipated to possess 62.5 pc of market share for adventure tourism market in 2022.
Improving the business environment, rising income levels, and government initiatives to promote tourism and travel activities are positively influencing the market for adventure tourism market in Europe. There is a tremendous demand for adventure tourism since Europeans appreciate the sense of exploring new areas. This factor is anticipated to fuel market expansion throughout the continent of Europe, says FMI in the statement. In 2022, the European adventure tourism market was expected to possess a 35.5 pc market share.
Tourists from countries like India, China and Japan have shown a keen inclination towards exploring different parts of the world as well as the region.
Surveys state that intra-regional visitor arrivals would increase rapidly in Asia Pacific in the upcoming years. Asia Pacific has a plethora of opportunities for people of all age groups for leisure and adventure activities. The Asia Pacific group travel business has been considerably encouraged and accelerated by economic growth, loosening of travel restrictions, increased competition, and aggressive promotion techniques used by the involved players in the sector together with the regional government. The Asia Pacific was estimated to possess a 30.5 pc market share of the market in 2022.
Countries such as United States, Mexico and Canada are attracting majority of travellers owing to the scenic spots they offer. With the region being largely developed, traveling across the same has become easier. Easy connectivity from all part of the world along with cheaper flight rates is accelerating the sales for adventure tourism in the region. North America was estimated to procure a 25.9 pc market share in 2022, it says.
