Chile Tourism Report Q4 2011

BMI is positive on the outlook for Chilean tourism at present. H111 arrivals data have shown a 12.8% increase year on year (y-o-y), to reach 1,427,059 tourist arrivals, according to figures released by Chile’s National Tourism Service (Sernatur).rnThis follows a 2010 where 2,766,007 tourists visited the country, an increase of 0.6% on 2009. Indeed, it is testimony to the attractiveness of Chile as a tourist destination that visitor numbers continued to rise across the 2007-10 period, at a time when many other tourist destinations around the world suffered falls in visitor numbers as a result of the global economic crisis. Browse All: Tourism Market Research Report Given this strong start to 2011, there are now clear upside risks to our current forecast of 2.9mn tourist arrivals for 2011, but we would prefer to wait until we have seen additional monthly data over the traditionally quieter winter months before making any alterations at present. One factor set to boost tourist arrivals over the remainder of 2011 and into 2012 was the news in May 2011 that Turismo Chile and national airline LAN had reached an agreement, under the auspices of the Ministry of Tourism, to mount a joint campaign to promote inbound tourism. The campaign will reportedly cost around US$2.5mn, and will highlight the strengths of Chile’s tourism industry. The campaign will focus on traditional sources of inbound visitors – Argentina, Brazil, the US and the major markets of Western Europe. The aim is to increase the number of foreign tourists who come to Chile by 40%. BMI welcomes this prioritising of tourism by the government. The government is also looking to boost domestic tourism, with news in May 2011 that Sernatur has launched the second phase of its ‘Chile es Tuyo’ (Chile is Yours) campaign. The campaign has been designed to boost tourism during the country’s winter months. BMI is currently forecasting an almost 25% growth in tourist arrivals between 2011 and 2015, to reach over 3.6mn tourist arrivals. Over the same period, we also expect tourism receipts to increase by 29%, to reach US$2.76bn.rnHilton Enters Chilean market In June 2011, US-based hotel chain Hilton announced that it had opened its first hotel in Chile, the Hilton Garden Inn Santiago Airport. The property features 144 guest rooms alongside a restaurant, fitness centre and spa, and extensive conferencing facilities. In recent years, several other high-end hotel chains have opened new properties in Chile, including W Hotels’ 196-room Santiago property. In March 2011, InterContinental Hotels Group (IHG) signed a 20-year management agreement to manage a new-build InterContinental Hotel in Punta Piqueros. The 140-room InterContinental Punta Piqueros will feature a gym and spa, 9,500m² of meeting space as well as bars and dining facilities. The property is scheduled to open in January 2013 and will become IHG’s 10th property in Chile. rnBMI believes that the presence of this significant number of high-end properties should do much to boost average room revenue rates for Chile as a whole, and will also aid the sector’s overall development in the coming years. Related Reports: China Tourism Report Q4 2011Costa Rica Tourism Report Q4 2011India Tourism Report Q4 2011Kenya Tourism Report Q4 2011