Brazil is entering a hotel building boom, driven by demand for beds not only during the FIFA World Cup 2014 and the Olympics Games in 2016 but also from domestic travellers, reveals new research presented on April 24 2013 at the WTM Vision Conference – São Paulo.
Euromonitor International expects 45 new hotels to open this year, followed by a further 85 in 2014. This will add 8,000 and 14,000 rooms respectively.
With two major sporting events taking place, Brazil will be in the global spotlight. Euromonitor International believes that Brazil is ideally placed to capture demand for “authenticity and experiential travel” and that there will be a positive tourism legacy for the country.
However, Lisandra Minussi, Senior Research Analyst, Euromonitor International told delegates Brazil had to be aware of the “displacement effect” often experienced by host countries of mega events.
The Brazilian outbound travel market is also poised for growth. “Wealthier and more sophisticated consumers are driving demand for quality products,” Minussi said.
And by 2017, nearly 40% of Brazilian households will have an annual income of more than $25,000 (£16,500, 50,500 Brazilian Real). Minussi also suggested that tourism businesses take note of the rising numbers of elderly and middle-aged consumers.
Elsewhere, it was noted that Brazil is the world’s fifth biggest internet and mobile phone market, and that by 2015, broadband penetration will reach 25%. Brazilians are already starting to use social media to help make travel decisions.
The WTM Vision Conference São Paulo took place as part of the inaugural World Travel Market Latin America.. WTM Vision Conferences were held in Moscow and Beijing earlier this month, with Dubai (7 May) and Rimini Italy (17 October) also confirmed.
Reed Travel Exhibitions Director World Travel Market Simon Press said: “Brazil and Latin America are markets growing in importance for the global travel and tourism industry. It is great to be able to launch the WTM Vision brand at the first WTM Latin America in Sao Paulo.
“The content delegates have heard today confirms the growing importance of the Latin American market and will help delegates at WTM Vision Conference – Sao Paulo get a head start on their competitors in maximising its potential.”