Overseas tourism boards, hospitality & travel companies focus on Tier-II, -III cities on growing interest

An increasing number of outbound Indian travellers from tier two, tier three markets and other smaller towns are prompting overseas tourism boards, travel and hospitality companies and destination marketing firms to take note.

Bader Ali Habib, regional head of proximity markets at Dubai Department of Economy and Tourism (DET), said Dubai is broadening flight connectivity to 23 Indian cities including Jaipur, Pune, Coimbatore, Lucknow, Kochi and Surat, among others.

Tier two and three cities in India have tremendous potential for outbound tourism, backed by spending power, and an increased demand for MICE, weddings, honeymoons and sports. 

The decision to focus on tier two and three cities stems from a notable increase in outbound travel from these regions, driven by rising disposable incomes and a burgeoning interest in experiential travel,” he added.

Markus Tan, regional director for India, Middle East, South Asia, and Africa (IMESA) at Singapore Tourism Board said Singapore received over 6,29,000 Indian visitor arrivals in the first six months of 2024 alone, making India its third-largest source market. 

The significant flow of tourism traffic is due in part to strong outbound travel demand from growth markets across India, bolstered by highly aspirational consumers eager to explore world-class international destinations like Singapore, making these markets important to our tourism business," he said, adding that cities such as Jaipur and Coimbatore are emerging feeder markets.

Liam Findley, CEO of Miral Destinations, said while visitation from India grew 40% from 2023, this growth was bolstered by a double-digit increase in engagement from tier-two and tier-three markets.

Recognizing the potential created by higher disposable incomes and a growing interest in travel, Yas Island Abu Dhabi has significantly intensified its focus on tier two and three Indian cities over the past year,” he said. “Cities such as Chandigarh and Jaipur are showing increased interest. 

The West sees rising demand from Rajkot and Kolhapur, while Coimbatore and Kochi lead the trend in the South,” he added.

Rising disposable incomes and accelerated access connectivity besides the braggable rights of travel are fueling demand from India’s tier two and tier three markets, said Rajeev Kale, president and country head for holidays, MICE and visa at Thomas Cook (India).

The top regional markets for us include Mysore, Mangalore and Madurai in the South; Chandigarh, Lucknow and Jaipur in the North; Guwahati, Indore and Bhubaneswar in East and Central India; and Nagpur, Rajkot in the West,” he said.

Source : https://economictimes.indiatimes.com/nri/visit/overseas-tourism-boards-hospitality-travel-companies-focus-on-tier-ii-iii-cities-on-growing-interest/articleshow/112327167.cms