Tourism industry in turbulent times
August 2011
Identifying ways out of the global economic crisis

The economic crisis’ impact on the tourism industry has become apparent with a delay, but is currently putting existing business models under pressure. The set phrase that travel is the last thing consumers compromise on is no longer valid. Generally declining demand for travel in the leisure and business sectors and changing customer preferences challenge the players in the industry. In this Viewpoint, Arthur D. Little analyses the main impacts of the downturn on the core business segments of brokers, tour operators, accommodations and destinations. Based on a survey among industry experts and by analysing the business models of selected successful companies in all segments, ways out of the crisis are revealed.