IVIS Country Analysis – Ireland

IRELAND

254,320 Arrivals in the United States

Loss of 5,367 over 2002, -2.1%

50.3% of all Irish Long-Haul Travel

-0.04% over 2002

SUMMARY

In 2003, total outbound travel from Ireland was flat over 2002, but still generated nearly 19.8 million Irish arrivals to destinations worldwide. Irish long-haul travel was also nearly flat, declining only 1.7 percent year-on-year. Irish travel to the United States declined 2.1 percent in 2003 over 2002. Because arrivals to the U.S. declined more than total long-haul travel, the U.S. Market Share (MSI) fell 0.4 percent, year-on-year, to 50.3 percent of all Irish long-haul travel. The number of travelers to the U.S. from Ireland has more than doubled in the past decade, from 122,435 arrivals in 1993 to 254,320 in 2003.

Ireland's economy had been growing robustly for the past decade thanks to European Union directives that favor EU nations with small economies. Indeed, real GDP achieved double digit growth for the years 1999 and 2000. In 2003, the economy slowed down, though, but was not as slow as other EU member states that skirted recession. Real GDP grew only 2.1 percent over 2002, after having grown at three times that pace for the previous two years. Real private consumption was also subdued, increasing 2.2 percent year-over-year. The consumer price index increased 3.5 percent, above the EU goal for inflation.

The Irish currency is now the euro. (To maintain a ten-year trend, the MSI online database shows the value of each eurozone country's currency in terms of the country's former local currency. The rate of change, however, is based on the euro after 1998, the year local currencies pegged to the euro.) After appreciating 5.5 percent against the dollar in 2002, the average exchange rate for the euro in 2003 showed appreciation of 19.5 percent over 2002. Typically, a stronger currency helps to attract travelers to the U.S., but Ireland was an exception in 2003.

With one half (50.3%) of the market share in 2003, the United States is the top country destination for long-haul travel from Ireland. The next most popular long-haul country destination for the Irish is South Africa (5.9%), followed by Canada (5.2%), Tunisia (4.7%), and Singapore (4.2%). Among these countries, only South Africa and Tunisia gained market share of Irish long-haul travel in 2003.

(Ireland_country image goes here.)
Source: Global Insight

Regionally, the United States is by far the most popular long-haul destination for travel from Ireland garnering one half of all Irish long-haul travel. Other competitive regions include Africa with a market share of 18.7 percent, Asia (10.5%), the Caribbean (2.2%) and the Middle East (2.0%). The U.S. and Asia lost market share of Irish long-haul travel in 2003, while the other regions gained share.

Source: Global Insight