Statistics Canada
www.statcan.gc.ca
Common menu bar links
National tourism indicators
Archived Content
Information identified as archived is provided for reference, research or recordkeeping purposes. It is not subject to the Government of Canada Web Standards and has not been altered or updated since it was archived. Please "contact us" to request a format other than those available.
Tourism spending in Canada increased for the 17th consecutive quarter in the third quarter of 2007.
Tourism spending was up 1.0% in the third quarter, as outlays by international visitors grew for a second consecutive quarter and expenditures by Canadians continued to advance.
Back-to-back gains in international spending
Spending on tourism by international visitors travelling to Canada (tourism exports) edged up 0.2% during the third quarter. While only a modest gain, this was the first back-to-back increase in tourism exports since the fourth quarter of 2004.
The increase came despite fewer same-day and overnight visitors. The number of visitors from the United States was down 1.7% from the second quarter, while visitors from other countries slipped 0.5%.
International tourism spending on transportation services and other non-tourism commodities both gained 0.6% during the summer of 2007, while spending on accommodation advanced 0.4%.
On the down-side, outlays on recreation and entertainment by international visitors fell 1.4%, while consumption of food and beverages slipped 0.5%.
Spending on tourism at home continues up
Spending by Canadians on tourism in Canada was up 1.3% in the third quarter of 2007, after growing 1.2% in the second. This was the 13th consecutive quarterly advance since the second quarter of 2004.
The strength in domestic spending came despite a 5.7% jump in the number of Canadians travelling to the United States, the largest quarterly increase in four years. The Canadian dollar appreciated a sharp 5.1% vis-à-vis its US counterpart during the third quarter, making it cheaper for Canadians to travel and shop across the border.
Gains in tourism domestic spending were recorded across all the major categories of spending except transportation. Outlays on accommodation, recreation and entertainment and other non-tourism commodities were notably strong.
Note to readersLevels and shares of tourism spending are expressed in current dollars, adjusted for seasonal variations. Growth rates of tourism spending and gross domestic product are expressed in real terms (i.e., adjusted for price change) as well as adjusted for seasonal variations, unless otherwise indicated. Employment data are also seasonally adjusted. Associated percentage changes are presented at quarterly rates. The National Tourism Indicators are funded by the Canadian Tourism Commission. |
Domestic spending on transportation was flat, as higher expenditures on airfares were offset by lower expenditures on ground transportation.
Higher spending on accommodation
Spending by resident and non-resident visitors on accommodation was up 2.1% during the third quarter of 2007, the fastest pace in nearly two years.
Other tourism commodities (which include recreation and entertainment, travel agency services, pre-trip spending and conventions fees) posted a strong 1.8% gain for the quarter.
Total tourism spending on air transportation was up 0.5% as both domestic and international outlays on flights with Canadian carriers increased. Spending fell notably on rail transportation (-1.9%) and vehicle repairs and parts (-2.7%).
Tourism GDP outpaces economy-wide GDP
Tourism gross domestic product (GDP) increased 1.0% in the third quarter of 2007, outpacing the 0.7% growth of the Canadian economy overall.
Tourism GDP advanced in all tourism industries, led by accommodation (+1.9%). Food and beverage services and the transportation industry trailed with gains of 0.6% and 0.4%, respectively.
Tourism employment
Employment attributable to tourism rose 0.2% in the third quarter of 2007, after growing 0.7% in the second. Notable job gains were registered in transportation, food and beverage services, recreation and entertainment and travel agencies.
Tourism employment edged down in accommodation and other non-tourism industries (e.g., industries that produce commodities occasionally bought by tourists including groceries, alcoholic beverages, motor vehicle parts and repair, vehicle fuel, toiletries).
Looking ahead
According to the Business Conditions Survey for the Traveller Accommodation Industry, Canadian hoteliers expected improvements in the fourth quarter of 2007 in the number of room nights booked, average room rates, occupancy rates, the number of corporate travellers, and the number of hours worked by employees.
On the currency front, the Canadian dollar continued to gain strength against its US counterpart in October and November. The dollar also advanced against the Euro, the British pound and the Japanese Yen in October, only to retreat in November.
On the international front, the Organisation for Economic Co-operation and Development composite leading indicators for October 2007 indicate a weakening performance for all G7 economies (Canada, France, Germany, Italy, Japan, the United States and the United Kingdom). The latest indicators for China, India and Brazil point to continued expansion but a weakening outlook for Russia.
Available on CANSIM: tables 387-0001 to 387-0010.
Definitions, data sources and methods: survey number 1910.
The third quarter 2007 issue of National Tourism Indicators, Quarterly Estimates (13-009-XIB, free) is now available from the Publications module of our website.
For more information, or to enquire about the concepts, methods or data quality of this release, contact the information officer (613-951-3640; iead-info-dcrd@statcan.gc.ca), Income and Expenditure Accounts Division.
Table(s).
