The strength of the Swiss franc is over: The gentle upswing from Europe comes

The impact of the strong Swiss franc remains severe. However, the tourism industry has tackled these challenges, and a recovery from Europe is now in sight.

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Individual markets are already showing a stable development in hotel room nights again and, in some cases, slight growth. Incidentally, the strong currency is not an important issue for the first time in the 100-year history of Swiss tourism marketing. As early as the 1930s, the industry and the then Swiss National Tourist Office had to contend with the strong franc, as the review of 100 years of tourism marketing at the annual media conference of Switzerland Tourism on Tuesday shows. Then, as now, the response was to position Switzerland as a travel destination not by price, but by the unique quality of the experience. And then as now, this brought positive results. For after massive declines since 2009, a stabilization and in some cases even a gentle growth in overnight hotel stays can be observed again in 2016, even in the price-sensitive markets of Europe.

Loyal Swiss guests - as ever

Domestic tourists are the real backbone of Swiss tourism. Once again, a record number of overnight hotel stays by Swiss guests were recorded in 2016: 16.24 million hotel room nights, 1.2 percent more than in the previous year and more than at any time in the last 25 years*. The Swiss were also the main reason for an actual record autumn (September to November 2016: 3.8 million overnight stays*). Here, a positively establishing mid-season is emerging. For this reason, Switzerland Tourism is currently examining its intensified marketing.

The soft recovery from Europe is emerging

An increase of 7.6 percent in hotel nights from the Netherlands in summer 2016 and the stabilization among German guests last fall (+0.3 percent) are clear indicators*: Switzerland as a travel destination is once again able to score with affine target groups in price-sensitive markets. The tourism industry is clearly marked by the currency effects, but the decline from Europe seems to have bottomed out and the turnaround is in sight. In addition to positive feedback from the industry, Switzerland Tourism is relying on the forecasts of Oxford Economics, which expect hotel overnight stays from Europe to grow by 2.5 percent in 2017**.

In the local markets, Switzerland Tourism is therefore focusing on a continued strong market presence, on less price-sensitive guest segments and markets (e.g. Scandinavia) and on a clear focus on tourist experiences (rail travel, nature and parks, outdoor activities, etc.).

Stable growth from the long-distance markets

North America is showing sustained and stable growth. Since 2011, hotel room nights from the USA have even increased by 23 percent*. In 2016, the Gulf States (959,467, +3.2 percent), India (599,062, +1.2 percent) and Korea (339,473, +7.1 percent), as well as Thailand (181,000, +13.3 percent), also posted record numbers of overnight stays*. Switzerland is well positioned as a tourist destination in these countries.

Growth from China continues as a trend, albeit at a somewhat lower level than in previous years. This is mainly due to guests' fears about the terror situation in Europe and weakened consumer sentiment in China itself.

The guest from Asia will travel more individually in the future. For Switzerland, this means longer stays and higher added value. Switzerland Tourism is taking up the trend of individual tourism in its activities. In India, for example, a new urban and active generation of guests is being addressed. In addition, the promising marketing of the Swiss winter in the Chinese market is being intensified. In the field of business tourism, Switzerland Tourism in Asia is focusing, among other things, on the increasingly popular reward trips (incentives) to the dreamland of Switzerland.

*Source: FSO, Accommodation statistics 2016.
**Source: Oxford Economics, Forecast December 2016.

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