Is currency movement enough to shift traveler preferences?
(2016 U.K. arrivals after Brexit compared to 2015 Japan arrivals post yen devaluation)
Distance deters many AP travelers, despite benefit of stronger currency
|Difference, Distance to London vs Tokyo (in km)*
Sources (charts 1 and 2): Visa Business and Economic Insights; VISIT database; Haver Analytics; Distance From To.
* Distance to destination is used as a proxy for travel time and flight cost
Visa Business and Economic Insights analysis in this report based on VisaNet data and VISIT. Additional sources include Haver Analytics, Distance From To, the United Nations World Tourism Organization, Ministries of Tourism and other government agencies in selected countries.
Methodology: Visa International Travel (VISIT) database is a proprietary model that combines Visa's cardholder data with publicly-available cross-border arrival statistics. The database provides a comprehensive view into high-frequency cross-border travel flows, currently encompassing the top 82 origin and destination countries, which collectively account for more than 80 percent of global travel.
VISIT combines unique counts of Visa cardholders that register a face-to-face transaction at a merchant outside their home country in a given calendar month with other transaction data such as average spend per cardholder, card usage patterns at lodging merchants and others. Visa uses this data to econometrically model official arrival statistics compiled by various government sources and to generate estimates that fill in the large gaps existing in the cross-border travel data.