http://www.tourism.tallinn.ee/static/files/035/tallinna_turism_2009_eng

Page 1

Tourism in Tallinn 2009 In 2009, 2.15 million tourists stayed in Estonian accommodation establishments, and over half of them (53%) spent the night in Tallinn. Tourists in Tallinn: 1,135,500 (-4%) 1 Bednights in Tallinn: 1,929,000 (-8%) Total foreign tourists: 999,500 (-2%) Bednights of foreign tourists: 1,716,000 (-5%) Total domestic tourists: 136,000 (-18%) Bednights of domestic tourists: 213,000 (-25%)

Among primary markets, numbers of bednights by Finnish and Russian tourists grew. Finland: 762,100 nights (+5%) Russia: 146,900 nights (+11%) Germany: 102,700 nights (-21%) Sweden: 95,700 nights (-13%) Norway: 87,300 nights (-10%) Great Britain: 69,700 nights (-32%) Latvia: 51,400 nights (-9%) Italy: 40,100 nights (-23%) USA: 32,400 nights (-12%) France: 29,600 nights (-4%) Spain: 27,500 nights (-20%) Belgium: 12,100 nights (+5%) Japan: 11,800 nights (+13%) China: 3,700 nights (-3%)

Decrease in length of stay The average length of stay of tourists in Tallinn in 2008 was 1.7 nights (-4%). Stays by foreign tourists: 1.72 nights (-3%) Domestic tourists: 1.57 nights (-8%) Among primary markets, Norwegians averaged the longest lengths of stay (2.5 nights), and Finns spent the shortest time in Tallinn (average 1.43 nights).

The majority of tourists came to Tallinn for vacation and leisure. 1

Comparison with 2008 data

Of all foreign tourists’ bednights in Tallinn, 75% were for leisure purposes, 19% business, 4% conference attendance and 2% other purposes. Domestic tourists spent 58% of their bednights for leisure purposes, nearly a third (30%) for business, 9% conference attendance and 3% other purposes.

Both room occupancy rates in accommodation establishments and the price of guest nights decreased. 342 accommodation establishments were registered in Tallinn at the end of 2009, with 7,540 rooms and 15,250 beds. Average room occupancy was 44%, amounting to 6 percentage points less than the previous year. Tallinn’s accommodation establishments earned 1.01 billion kroons from sales of accommodation services. A guest night in Tallinn’s accommodation establishments cost an average of 529 kroons, a decrease of a tenth (-12%) in comparision with 2008.

Numbers of air passengers decreased; travellers by sea remained at last year’s levels. 1.35 million passengers (-26%) came through Tallinn Airport in 2009. Passengers in Tallinn Old City Harbour totalled 7.24 million (0%), of whom 84% travelled on the Tallinn-Helsinki line.

Increase in cruise ship and cruise passenger numbers 305 cruise ships and 415,000 cruise passengers (+11%) visited Tallinn in 2009. 21% of cruise passengers were from the USA, 19% were from Great Britain, 19% from Germany, and 11% from Spain.

Increase in visits to Tallinn Tourist Information Centres Tallinn Tourist Information Centres served 189,600 visitors (+9%). Foreign visitors originated mostly from Finland (38,000), Germany (19,400) and Russia (15,800).

Tallinn City Tourist Office & Convention Bureau 10.05.2010 1


Tourists staying in Tallinn’s accommodation establishments In 2009, a total of 2.15 million tourists (-10%) spent the night in Estonian accommodation establishments. 64% of them, or 1.38 million, were residents of foreign countries (-4%), who stayed for a total of 2.74 million bednights (-7%). 766,000 domestic tourists (-19%) stayed in Estonian accommodation establishments for a total of 1.38 million bednights (-17%). Half (53%) of the tourists staying in accommodation spent the night in Tallinn. A total of 999,500 (-2%) foreign tourists and 136,000 Estonian residents (-18%) stayed in Tallinn’s accommodation establishments in 2009. The number of people (both foreign and domestic) staying in accommodation establishments shrank by 4%, or 53,000 tourists, in comparison with 2008.

Tourists in Tallinn in proportion to all tourists in Estonia, 2005-2009 1500000

100 1 131 212

1000000

55

1 161 113

51

1 140 764

49

1 188 525

50

1 135 464

80

53

60

% 40

500000

20 0

0 2005

2006

Tourists in Tallinn

2007

2008

2009

Market share of the tourists in Estonia (%)

Source: Statistics Estonia The greatest percentage drop in visitors staying in Tallinn’s accommodation occurred in the first quarter, mostly caused by the sizeable decrease in domestic tourism. In the second half of the year, more visitors were served by accommodation establishments than in 2008 (+1% or 6,700 tourists), because Tallinn’s summer cultural events and Christmas programme brought more foreign tourists to Tallinn than the previous year. In the first quarter, tourist numbers fell by 13%, compared to the first quarter of 2008, including a 9% drop in foreign tourists and a 28% drop in domestic tourists. The percentage decrease in the second quarter was smaller: in the April-June period a tenth fewer visitors stayed in accommodation (-11%); numbers of foreign visitors decreased by 9% and domestic tourists, by 23%. In the third quarter, results were comparable to 2008 (-1%) – numbers of foreign visitors remained unchanged from 2008 (0%), and domestic tourist numbers fell (-12%). In the final quarter, more tourists arrived in Tallinn (+4%). 6% more foreign visitors stayed overnight in Tallinn’s accommodation establishments than the previous year, but numbers of stays by Estonian residents decreased (-8%).

Tallinn City Tourist Office & Convention Bureau 10.05.2010 2


Tourists in Tallinn (thousands), 1999-2009 1400

+6%

1200

+31 105

1000

+9%

800

+16% +25%

600

70

73

+2% 73

536

160

+4% -2% 175

166

-4% 136

+6% 82

63

400

102

+3%

626

685

697

731

2000

2001

2002

2003

957

1029

2004

2005

1001

965

2006

2007

1022

1000

200 0 1999

foreign tourists

2008

2009

domestic tourists

Source: Statistics Estonia Bednights spent by tourists fell by nearly a tenth from the previous year. A total of 1.93 million bednights (-8%) were spent in Tallinn’s accommodation establishments. While the percentage drop in bednights by foreign tourists was relatively small (-5%, totalling 1,716,000 nights), bednights spent in Tallinn by Estonian residents fell by a full quarter (-25%, totalling 213,000 nights). Analysis of changes in bednights by month shows that numbers of bednights spent by tourists decreased notably in the first half of the year (except January, +1%), stopped decreasing in July, and grew in the last three months of the year (growth in bednights in the fourth quarter, +1%). Bednights by foreign tourists grew in January (+8%), October (+8%) and December (+12%). Numbers of bednights remained comparable to last year’s levels in April (-1%) and July (-1%). In the rest of the months, numbers of bednights decreased, with the greatest fall in March (-26%). January’s growth is connected to the long winter holiday in Russia, but in 2009, Russian tourists’ New Year’s trips grew shorter than the previous year; hence the growth in bednights is smaller than the growth in tourist numbers. The relatively positive results in April and July are explicable by holidays (Easter, summer vacation) and cultural events which interested residents of neighboring countries (including Patricia Kaas, Enrique Iglesias, the Song and Dance Festival, Beer Summer, Medieval Days, Maritime Days, and others). The positive results from October and December were contributed to by special discount offers from hotel and ferry companies and winter advertising campaigns in neighboring countries (Finland, Sweden, and Russia) promoting Tallinn’s winter events and giving ideas for short breaks in Tallinn. Bednights by domestic tourists fell through all the months of the year. Smaller percentage falls were in July (-3%), when the Song and Dance Festival took place, and the largest fall was in September (-39%). The changes in numbers of domestic tourists are in strong correlation with the changes in the Estonian economic situtation (decrease in average salaries, rise in unemployment, and so on). As a result of economic uncertainty, Estonian residents travelled less both for business and leisure.

Tallinn City Tourist Office & Convention Bureau 10.05.2010 3


Bednights spent in accommodation establishments in Tallinn, 1999-2009 2500

+9%

thousands

2000

500

+15% 91

+9% 108

+6%

-8%

325

285

1769

1824

1778

1812

1716

2005

2006

2007

2008

2009

170

213

163

+9% +18% 102

0%

289

+32%

1500 1000

-1%

+15%

126

114

1526 908

998

1058

1153

767

1999

2000

2001

2002

2003

0

foreign tourists

2004

domestic tourists

Source: Statistics Estonia Tourists from Tallinn’s primary target markets (Finland, Sweden, Germany, Great Britain, Norway, Russia and Latvia) made up 81% of all foreign tourists in 2009. Compared with the previous year, the proportion of Russian (+1%) and Finnish (+5%) markets grew, while the German, British, Latvian, and Norwegian market shares fell by a percentage point. The market share of tourists from Sweden remained the same as in 2008. The share of other foreign countries dropped by three percentage points. Tourists from primary target markets as share of all foreign tourists, 2009

Change in tourist numbers, 2008/2009 Russia +13%

Great Russia Britain 7% 3%

other 19%

Finland+5% Latvia 3%Norway 3%

Latvia -3% Norway -7% Sweden -11%

Finland 54%

Sweden 6% Germany 5%

Germany -17% Great Britain -30%

Source: Statistics Estonia More than half of the foreign tourists staying in accommodation arrived from Finland (54%), and 2009 saw growth in the numbers of Finnish tourists as well as their bednights. The economic downturn in Finland influenced the travel choices of Finns; they took fewer trips and preferred to travel within Finland and neighboring countries rather than travelling to farther destinations 2 . In 2009, Finnish tourists’ bednights in Helsinki 2

http://www.stat.fi/til/smat/2009/12/smat_2009_12_2010-02-03_tie_001_en.html

Tallinn City Tourist Office & Convention Bureau 10.05.2010 4


grew by 7% and in Stockholm by 16%. The growth in the Finnish market in Tallinn was influenced by special offers by ferry companies and hotels, cultural events in Tallinn, and cheaper shopping opportunities in Tallinn’s shopping centres. Numbers of Finnish tourists staying in accommodation in Tallinn grew by 5%, or 25,600 tourists, totalling 534,600. Bednights by Finnish residents also grew by 5%, or 35,700 bednights, for a total of 762,100 bednights. Analysing the market behavior by month, we see that both the numbers of Finnish tourists in accommodation and the numbers of their bednights grew most compared to the previous year in July-August, and October and December, precisely the months when several cultural events took place in Tallinn. The marketing campaigns in Finland in 2009 used new media to a far greater degree than earlier years, and so we can assume that more Finns came to Tallinn who had not been here before. In spring, Tallinn promoted its summer cultural events in the „Tallinnassa tapahtuu” campaign through the channels of the search engine Google and the social network Facebook, in addition to banner advertisements. In the autumn, Estonian Tourist Board carried out a campaign entitled „Vironautti - Virosta nauttii!”, focussing on short city breaks. Social networks and blogs played an important role in this campaign’s marketing channels. 2009 was a record year for the Russian market. Russia rose to become the second market in terms of size, and compared to the previous year, the Russian market share rose by a percentage point. Russian tourists made up 7% of all the foreign tourists staying in accommodation. In 2008, the numbers of Russian tourists grew dramatically (+52%), caused mostly by a simplification in the visa regime 3 . The growth in Russian tourist numbers continued in 2009, although the percentage growth was smaller than the previous year. The highest percentage growth took place in the Russian tourists’ peak months – January (+44%) and December (+20%). Nevertheless, Russian tourist numbers did not grow in every month; February, March and November saw a tenth fewer tourists than in the same months in the previous year. Altogether, in 2009 more than a tenth more Russian tourists (+13%) stayed in accommodation than the previous year, and their bednights grew by more or less the same amount (+11%). 70,000 tourists from Russia stayed in Tallinn’s accommodation establishments, and they stayed for 146,900 bednights. A noteworthy positive trend in 2009 concerning the Russian market was that numbers of Russian tourists grew in the summer period, in addition to December and January. Marketing campaigns promoting Tallinn as an attractive, nearby, short-break destination helped raise interest among Russian tourists. The spring campaign focussed on summer cultural events and opportunities for family vacations, while the winter campaign centred around New Year’s festivities, spa holidays and cultural experiences. The third among Tallinn’s primary markets, Sweden, saw a drop in trips to Tallinn similar to previous years, but the percentage decrease was greater than in 2008. While in 2008, numbers of Swedish tourists in accommodation decreased by 1%, in 2009, Swedish tourist numbers decreased by 7% (4,400 tourists). Altogether, 57,900 Swedish residents stayed in Tallinn’s accommodation establishments. Their bednights also decreased. Altogether they spent 95,700 nights in Tallinn, amounting to 13,900 bednights less than the previous year (-13%). Although numbers of tourists in accommodation decreased, we can assume that day-trip visitors arriving from Sweden grew in comparison to 2008, because the new „Baltic Queen” passenger ship considerably increased the numbers of passengers travelling on 3

Since Estonia joined the Schengen visa zone, Russians no longer need an Estonian visa; a visa for any Schengen zone country is sufficient.

Tallinn City Tourist Office & Convention Bureau 10.05.2010 5


the Swedish line in the summer months. German tourists comprised 5% of foreign tourists arriving in Tallinn, and compared to the previous year, their share decreased by one percentage point. The number of regular flights between Tallinn and Germany and the number of German flight destinations decreased in 2009, and this affected the development of the German market. Since November 2008, German tourist numbers in Tallinn’s accommodation establishments has fallen, and this decrease continued throughout 2009. Altogether, German tourist numbers fell by 17%, or 10,300 tourists. Their bednights also decreased from last year, with larger percentage decreases than in tourist numbers (-21%). Hence, German tourists took fewer and shorter trips than in 2008. Altogether, a total of 49,600 Germans visited Tallinn, spending a total of 102,700 nights. German tourists prefer to visit in the summer period (May-September). The greatest numbers of visitors in 2009 were in July (totalling 10,400 tourists), but the smallest percentage decrease from a year earlier was in June (-5%). A positive development was seen in the growth in numbers of German cruise passengers. Country of Origin Finland

Number Accommodated 534 585

Change 2008/2009 Bednights 25 623 5.0 762 099

Length of Change Stay 2008/2009 35 707 4.9 1.43

Russia

69 979

8 134

13.2

146 897

14 670

11.1

2.10

Sweden

57 858

-4 416

-7.1

95 718

-13 948

-12.7

1.65

Germany

49 608

-10 299

-17.2

102 739

-28 044

-21.4

2.07

Latvia

34 980

-1 267

-3.5

51 404

-4 791

-8.5

1.47

Norway

34 879

-4 288

-10.9

87 312

-9 783

-10.1

2.50

Great Britain

29 334

-12 428

-29.8

69 689

-32 964

-32.1

2.38

Total foreign tourists

999 500

-22 967

-2.2

1 715 838

-96 149

-5.3

1.72

Total domestic tourists

135 964

-30 094

-18.1

213 462

-71 247

-25.0

1.57

1 135 464

-53 061

-4.5

1 929 300 -167 396

-8.0

1.70

Total

Source: Statistics Estonia Similarly to the German market, the Latvian, British and Norwegian market shares also fell by one percentage point. Trips to Tallinn by Latvian residents grew until the summer of 2008, when the economic crisis reversed this growth, and already in the second half of 2008, Latvian tourist numbers and bednights decreased. In the first half of 2009, Latvian tourist numbers and their bednights decreased, but notable percentage growth in the third quarter contributed to smaller than average percentage decreases. Latvian bednights fell by 9%, and numbers of tourists by 4%. Altogether, 35,000 Latvian tourists stayed in Tallinn’s accommodation, spending a total of 51,400 bednights. Latvian tourist numbers grew in April, July, and August, when major cultural events took place in Tallinn (Patricia Kaas’, Enrique Iglesias’ and Madonna’s concerts, the Song and Dance Festival). Latvian lengths of stay were considerably shorter than the previous year. Numbers of Norwegian tourists decreased in 2009 by a tenth. Norwegians’ trips to Tallinn have decreased during the past two years, and this trend continued in nearly every month in 2009. The numbers of tourists grew only in April (+8%) and December (+13%). Both tourists staying in accommodation and their bednights decreased by a Tallinn City Tourist Office & Convention Bureau 10.05.2010 6


tenth. A positive tendency is the smaller percentage decreases than the previous year. In 2009, a total of 34,900 Norwegian residents stayed in Tallinn, for a total of 87,300 bednights. The British market has been decreasing since 2006, and in 2009 both numbers of tourists and their bednights continued to fall. Although 2008 already saw a decrease of nearly a sixth (-17%) in British tourists from the previous year, in 2009 the number fell again, by more than a quarter (-30%). In 2009, a total of 29,300 British residents stayed in Tallinn’s accommodation for a total of 69,700 bednights. British tourists also visited other European cities less in comparison with the previous year (bednights fell by 16% on average). The majority of cancelled trips are short, „extra” vacation trips, affected by the unfavorable sterling-euro exchange rates, in addition to the general economic downturn. In 2009, results from secondary markets in Tallinn’s tourism marketing (Belgium, Spain, Italy, France, USA) showed percentage decreases, but Asian markets grew in numbers. Tourists from Europe and their bednights showed an overall decrease in 2009, a tendency which held for most months of the year. Numbers of Belgian tourists in Tallinn’s accommodation decreased by 10%, but their bednights increased by 5%. Altogether, 4,900 visitors from Belgium stayed in accommodation for a total of 12,100 nights. Visitors from Spain staying in accommodation, and their bednights, decreased, but the numbers of tourists fell considerably less (-12%) than their bednights (-20%). Tourists from Italy (-24%) and France (-9%) also decreased, but the decreases in their bednights were smaller (-20% ja -4%) than the decreases in numbers of tourists. Although fewer tourists came from Belgium, Italy, and France, their trips were longer than in 2008. A quarter more tourists arrived from Asia (+24%) than in 2008, but their stays were considerably shorter than in the previous year. Numbers of tourists from China grew the most (+13%, altogether 1,800 tourists) in 2009, but their bednights decreased (-3%, totalling 3,700 bednights). More tourists also came from Japan, and their interest in travelling to Tallinn grew in the summer months. Numbers of tourists in accommodation grew by 9% (a total of 6,400 tourists) and their bednights grew by more than a tenth (+13%, a total of 11,800 bednights). A decrease continued for the second year in the US market, with numbers of tourists falling by 19% (3,000 fewer tourists) and their bednights decreasing by 17% (6,500 bednights). There were also fewer American citizens among cruise passengers. Fewer American tourists visited other European cities as well (-11%), which leads to the conclusion that the fall in this market is tied to a general fall in trips abroad taken by Americans, rather than a decrease in Tallinn’s attractiveness as a travel destination. The market with the largest relative growth in 2009 was South Korea, whose tourists in accommodation grew by 87% (+600 tourists) and their bednights grew by 56% (+630 bednights). 1,246 South Korean residents stayed in accommodation in 2009 for a total of 1,756 bednights. The largest relative decrease was in the Icelandic market, with a total of 424 tourists (-52%), spending a total of 905 bednights here (-57%).

Length of Stay of Tourists in Tallinn According to the Foreign Visitors Survey, nearly half of foreign visitors are single day visitors and of those who stay overnight in Tallinn, nearly a tenth do not use accommmodation establishment services (i.e. they spend the night with relatives or friends). We can evaluate changes in length of stay only among those visitors who stay in Tallinn’s accommodation establishments. Although both tourist numbers and bednights fell in 2009, the average length of stay in Tallinn City Tourist Office & Convention Bureau 10.05.2010 7


Tallinn also showed a falling trend through all months of the year. Hence, fewer tourists came to Tallinn, and they stayed for a shorter time than in the previous year. The average length of stay for tourists in Tallinn in 2009 was 1.7 nights (-4%). The longest stays were in January (1.99 nights) and the shortest were in November (1.59 nights). The greatest decrease in length of stay occurred in March (-9%). The average length of stay of foreign visitors decreased by 3%, from 1.77 to 1.72 nights. Trips by visitors from abroad were longest in January (2.06 nights) and shortest in November (1.61 nights). Foreign visitors’ trips were longer than average in January because of the long winter holiday in Russia. The average length of stay of domestic tourists decreased even more, from 1.71 to 1.57 nights, or 8%. The length of stay of domestic tourists decreased most in the first quarter (January-March). Estonian residents’ trips were shorter than foreign visitors’ trips in all months (except July). The longest length of stay for domestic tourists was in July (1.87 nights) and the shortest was in February (1.44 nights). Average length of stay for tourists in Tallinn, January-December 2008-2009 2,4 2,2

2,06

bednights

2 1,70 1,8 1,6

1,73

1,70 1,72

1,65 1,55

1,4

1,44

1,87 1,74

1,71

1,51

1,73 1,71

1,71

1,64

1,50

1,67

1,46

1,68

1,61

1,48

1,45

1,45

1,2

foreign tourists 2008

domestic tourists 2008

foreign tourists 2009

domestic tourists 2009

be r De ce m

be r No ve m

O ct ob er

t

be r Se pt em

Au gu s

Ju ly

Ju ne

ay M

Ap ril

ar ch M

Fe br ua ry

Ja nu a

ry

1

Source: Statistics Estonia By primary markets, the longest stays in Tallinn in 2008 were spent by Norwegians (2.5 nights), and their trips were one percentage point longer than in the previous year. They were followed by British tourists, whose length of stay, at 2.38 nights, decreased by 3%. German, Russian, Swedish, and Latvian trips were also shorter than a year earlier. German trips lasted an average of 2.07 nights (-5%). Russian trips shortened from 2.14 to 2.1 nights, and Latvian trips from 1.55 to 1.47 nights (-2% and -5%, respectively). Swedish tourists’ length of stay decreased the most, from 1.76 to 1.65 nights. The shortest visits continue to be among Finnish tourists, whose average length of stay this year was 1.43 nights (0%), remaining unchanged from the previous year. Among most of the secondary and new markets, the average length of stay grew in comparison to the previous year. The largest growth was among Belgian tourists, whose stays grew by 14%, from 2.11 to 2.46 nights. In comparison with 2008, Italian, French, American, and Japanese tourists stayed for longer periods. Chinese and Spanish trips decreased in length (from 2.38 to 2.04 nights and 2.22 to 2.01 nights, respectively).

Tallinn City Tourist Office & Convention Bureau 10.05.2010 8


The fall in overnight trips and lengths of stay in Tallinn were caused primarily by the global economic downturn, which impacted on the numbers of tourists arriving and their travel behavior. Tourist numbers and their lengths of stay fell in most other cities in the Baltic Sea region as well; nevertheless, the changes in Tallinn were greater than average, due to the considerable fall in domestic tourism.

Purpose of visit In 2009, the 1.14 million tourists who stayed in Tallinn’s accommodation establishments were divided according to their purpose of travel as follows: 74% leisure travellers, 25% business travellers, and 1% visitors with other aims (studies, health, visiting friends). In 2009, 836,900 leisure travellers, 226,700 business travellers, 55,100 conference-goers and 16,800 visitors with other aims stayed in Tallinn’s accommodation. Compared with 2008, numbers of leisure travellers fell by 4%, conference-goers by 15% and travellers with other aims, by 43%. Business travellers remained at approximately last year’s level (+1%). In comparison with 2008, the proportion of leisure trips and business trips grew and conference and other trips decreased. Purpose of travel by number accommodated

Leisure travel

2005

2006

2007

2008

2009

Number (per cent)

Number (per cent)

Number (per cent)

Number (per cent)

793 361 (70%)

843 771 (73%)

806 749 (71%)

869 301 (73%)

Number (per cent) 836 860 (74%)

235 511 (20%)

245 133 (21%)

225 261 (19%)

50 652 (4%)

48 158 (4%)

43 822 (4%)

64 462 (5%)

41 441 (4%) 1 131 212

33 673 (3%) 1 161 113

45 060 (4%) 1 140 764

29 501 (2%) 1 188 525

Business 245 758 (22%) Conference travel Other travel TOTAL

226 666 (20%) 55 107 (5%) 16 831 (1%) 1 135 464

Source: Statistics Estonia Regarding changes taking place in the purpose of visits among tourists staying in Tallinn’s accommodation establishments over the last five years, the proportion of vacation and leisure travellers has grown, and the proportion of other purposes has shrunk, while business travel has remained fairly stable. About a quarter (24-25%) of all those staying in accommodation arrive in Tallinn for business purposes. Bednights of tourists staying in Tallinn’s accommodation establishments in 2009 (total 1,929,300 bednights) were divided according to purpose of travel as follows: 72% leisure travel (total 1,393,900 bednights), 21% business travel (total 397,800 bednights), 5% conference attendance (90,300 bednights) and 2% other purposes (studies, health, visiting friends and acquaintances, total 47,300 bednights). Hence, as with previous years, business-related travel and travel connected with other purposes were longer than leisure and conference travel.

Tallinn City Tourist Office & Convention Bureau 10.05.2010 9


75% of bednights spent by foreign tourists were for leisure purposes. 23% of foreign tourists' bednights in Tallinn were for business purposes, of which 4% comprised conference attendance. Other purposes made up 2% of foreign visitors' bednights. In comparison with the previous year, numbers of foreign tourists' bednights in all categories decreased: leisure travel -5%, business -1%, conference travel -4% and other purposes -33%.

Foreign tourists' bednights spent by purpose of visit, 2009

business 19%

c onference 4%

other 2%

leisure 75%

Source: Statistics Estonia

Domestic tourists spent over half their bednights in Tallinn (58%) for leisure purposes. Business travel accounted for 39%, of which 9% comprised conference attendance. Other purposes accounted for 3% of all bednights in Tallinn by residents of Estonia. Bednights spent by domestic tourists for leisure purposes decreased in comparison with the previous year by 14%, bednights for business, by 31%, conference travel bednights by 22% and visits with other purposes, by 70%.

Domestic tourists' bednights spent by purpose of visit, 2009

conference 9%

other 3%

business 30% leisure 58%

Source: Statistics Estonia

Tallinn’s Accommodation Establishments Key phrases characterising Tallinn’s accommodation market in 2009 include increased competition, decreases in prices, and decreases in the number of accommodation establishments and their revenue from sales of accommodation services. Besides the decreased numbers of visitors and their shorter trips, Tallinn’s accommodation market figures were most affected in the course of the year by the opening of Meriton hotels 4 . As of December, Tallinn has 342 registered accommodation establishments, including 57 hotels, 14 guesthouses, 14 hostels, 234 guest apartments, 18 B&Bs, and 5 camping sites. Although there are fewer accommodation establishments than last year, Tallinn’s 4

The Meriton Conference & SPA Hotel opened in April and the Meriton Old Town Garden Hotel, in December.

Tallinn City Tourist Office & Convention Bureau 10.05.2010 10


accommodation capacity (i.e. numbers of rooms and beds) continued to grow. During the year, the number of accommodation establishments dropped by 70, due to smaller establishments closing down. New hotels expanded the capacity by 5%, adding 368 rooms and 811 bed spaces during the year. The expansion of accommodation capacity together with decreases in visitor numbers considerably affected the price of rooms on offer, and hence also the revenue from accommodation services. The average price of an overnight stay decreased by 12%, or 72 kroons, from 2008 prices. The revenue of Tallinn’s accommodation establishments from sales of accommodation services amounted to 1.01 billion kroons, according to estimates from Statistics Estonia, which is a fifth less (-20%) than that of 2008. As the number of bednights spent by tourists decreased since 2008, while the number of rooms increased, room occupancy rates decreased. On average, 44% of rooms were occupied in 2009, meaning a 6% decrease in occupancy from 2008. As with previous years, in 2009 the occupancy rates were also larger in the summer months and lower in the beginning of the year. The months with highest occupancy were July and August (65% and 58%, respectively) and lowest occupancy was in February and March (both 31%). Occupancy in most months was lower than in 2008, with the sole exception of December, when it rose by one percent. Room occupancy rates decreased the most from 2008 in March, with a 13% fall.

2005

2006

2007

301

364

395

412

342

46

48

52

53

57

+4

Number of rooms in accommodation est. Room occupancy rate

5 668

6 049

7 076

7 172

7 540

+368

60%

58%

55%

50%

44%

14 439

15 250

Number of beds in accomodation est. Bed occupancy rate Average cost of a guest night (kroons)

10 945 12 130 14 456

2008

Change 2008/2009 Number % -70

Accommodation Establishments Nr. of accommodation establishments incl. number of hotels

2009

52%

49%

47%

42%

36%

582

598

604

601

529

5% -6%

+811

6% -6%

-72

-12%

Source: Tourist Office & Convention Bureau of Tallinn City Enterprise Board, Statistics Estonia

Tallinn City Tourist Office & Convention Bureau 10.05.2010 11


Average cost of a guest night and room occupancy rate in Tallinn 800

80

kroons

700

70

600

589

553

534

536

65 500

542

523

500 400 33

300

31

510

49

48

44

565 503 58

60

512

486

45

44

50

40 40

39

31

30

200

20

100

10

0

average cost of a guest night, kroons (2007) average cost of a guest night, kroons (2009) room occupancy rate, % (2008)

r

r et D

N

ov

se

m be

em be

be r kt oo

r O

em be Se

pt

gu st Au

li Ju u

Ju u

ni

ai M

ril l Ap

ts är M

ar ru eb Ve

Ja a

nu a

r

0

average cost of a guest night, kroons (2008) room occupancy rate, % (2007) room occupancy rate, % (2009)

Source: Statistics Estonia According to data from the Estonian Hotel and Restaurant Assocation (EHRL) 5 , room occupancy rates and prices in Tallinn’s hotels were higher than in other types of accommodation establishments, but results were nevertheless lower than the previous year. In 2008, the occupancy rate in EHRL member hotels was 53%, while in 2009, occupancy fell to 47%. The average price of a guest night in EHRL member hotels in Tallinn was higher (722 kroons), but the percentage decreases from the previous year were also higher on average (-18%).

Travellers in Tallinn Airport A total of 1.35 million passengers travelled through Tallinn Airport in 2009. International flights accounted for 98% of these passengers, and domestic flights accounted for 2%. 82% of the passengers flew on regular flights. Hence, the numbers of passengers in Tallinn Airport depends greatly on regular international flights. Numbers of flight passengers have grown continuously over the last years, but in comparison with 2008, the number of passengers in Tallinn Airport in 2009 decreased by 26%, or 465,300 passengers. The numbers increased on domestic flights, but decreased on international flights. Although the prognosis for 2009 was lower travel activity due to the global economic crisis, the actual decrease was even greater than expected. A study among passengers in Tallinn Airport showed that 55% of passengers on regular flights were business travellers, 37% were leisure travellers, and 8% were travelling for other purposes. This distribution is similar to previous years. In comparison with 2008, the proportion of passengers who cited other purposes shrank by 2% and the proportion 5

EHRL statistics include only EHRL member hotels, and hence should not be taken to represent statistics on all Tallinn’s hotels.

Tallinn City Tourist Office & Convention Bureau 10.05.2010 12

%


of leisure travellers grew. The greatest market share in Tallinn Airport in 2009 continued to be held by Estonian Air (41%), followed by AirBaltic (13%) and Finnair (11%). Altogether, 10 airline companies offer regular flights out of Tallinn. Analysis of changes in the number of passengers by month shows that the number of passengers fell in all months of the year, but the greatest percentage decreases were from February to October, after which the decrease halted at the end of the year. The greatest drops in passenger numbers were in May (-31%) and February (-29%), and the numbers fell the least in December (-15%) and January (-19%). Passengers in Tallinn Airport, 2000-2009 2000 1800

20

thousands

1600

21

22

1400

23

22

1200 1000

18

800 600 400 200

6

5

15

554

568

591

2000

2001

2002

16

1378

1519

1708

1790 1323

979 700

0 2003

2004

international flights

2005

2006

2007

2008

2009

domestic flights

Source: Tallinn Airport In 2009, regular flights operated from Tallinn to 24 destinations in the summer period, and 21 destinations in the winter period. Domestic flights flew to Kuressaare and Kärdla, and international flights to 19-23 large European cities. In comparison with 2008, fewer direct flights flew to Germany, Great Britain, Sweden, Norway, Poland and Holland. Compared to the previous year, both destinations and numbers of direct flights decreased. Only St. Petersburg was added as a destination. The highest demand was for flights to Riga, Helsinki (each accounting for 14% of the total numbers of passengers on regular flights) and Copenhagen (13%). In comparison with 2008, the proportion of Riga as a destination rose considerably (altogether by 11%). Riga’s importance has risen in connection with the considerable growth in number of destinations of regular flights departing from Riga Airport (70 destinations in 2009).

Passengers in Tallinn Old City Harbour While in 2008, the number of passengers passing through Tallinn Old City Harbour grew by a tenth, in 2009 the number of passengers did not change significantly (0%). Altogether, 7.23 million passengers were served in Tallinn Old City Harbour, or 21,000 passengers more than the previous year. Hence, 2009 set a new record in number of passengers in Tallinn Old City Harbour. The largest portion of passengers in Tallinn Old City Harbour were travelling on the Tallinn-Helsinki line, making up 83% of all the passengers (altogether 6,006,000 passengers). Compared to 2008, the number of passengers did not change significantly. The number of passengers on this line was affected by special offers made by ferry Tallinn City Tourist Office & Convention Bureau 10.05.2010 13


companies, as well as new ships travelling on the Tallinn-Helsinki line, making the connection between the two cities faster and more comfortable. A tenth (11%, altogether 813,000) of all the passengers were travelling on the Swedish connection. A new ship was added to the Tallinn-Stockholm line in 2009, considerably increasing the passengers travelling on this line in the summer months. Altogether, 2009 saw a 10% increase in numbers of passengers on this connection from 2008. The greatest number of passengers were served by Tallink (60% of all passengers), followed by VikingLine (22%) and EckerรถLine (12%).

Passengers in Tallinn Old City Harbour, 1999-2009 9000 8000 +14%

thousands

7000 6000 5000

5989

+15% -6% 5622

5266

+3%

-2%

5812

5727

2002

2003

+4% 6855

+12% -4% 6588

6591

-2%

7215

6458

0% 7235

4000 3000 2000 1000 0 1999

2000

2001

2004

2005

2006

2007

2008

2009

Source: Tallinn Harbour Cruise passengers made up 6% of all passengers travelling through Tallinn Old City Harbour, a total of 415,000 passengers. As in the previous year, the number of cruise passengers grew, but by a smaller amount. Cruise ship passenger numbers grew by 11%, or 40,000 passengers. Cruise passengers originated from 150 countries.

Tallinn City Tourist Office & Convention Bureau 10.05.2010 14


Cruise ship calls and passengers in Tallinn 450

415

400

324

thousands

350 300 250 200 150 100

236 187 106

173 110

175 134

165

232

294

299 311

268

298 375

305

2008

2009

292

204 205

127

50 0 1999

2000

2001

2002

2003

2004

cruise passengers

2005

2006

2007

cruise ships calls

Source: Tallinn Harbour Cruise ship made 305 calls to Tallinn in 2009, an increase of 7 harbour calls from the previous year. The most cruise ship calls took place in July (80 harbour calls, with a total of 114,500 passengers). 21% of cruise passengers visiting Tallinn were from the United States of America, 18% were from Great Britain, 19% from Germany, 11% from Spain, 6% from Italy, 5% from Sweden and 4% from Canada. Compared to the previous year, the largest growth was in numbers of passengers from European countries– Great Britain and Germany. Compared to the previous year, there were fewer residents of farther away countries like the USA and Canada among cruise passengers. According to Tallinn Harbour’s survey of cruise passengers in 2009, passengers were satisfied with their experience in Tallinn (the average score given was 4.6 on a 5-point scale), and a large portion of them thought they would return to Tallinn on vacation. The most memorable places in Tallinn according to their opinions were the Old Town, the churches, Kadriorg Palace, KUMU museum and the Open-Air Museum. On average, each cruise tourist spent 254 kroons on shopping during their time spent in Tallinn, amounting to 12 kroons more than last year. Tallinn Harbour estimated ca. 105 million kroons in financial profit from cruise passenger purchases.

Tallinn’s Revenue from Tourism Estonian export of tourism services in 2009 (i.e. all expenditures in Estonia by foreign visitors in connection with their trip, including accommodation, dining, entertainment, shopping, etc.) totalled 16.2 billion kroons, according to the Bank of Estonia, of which Tallinn’s share of the revenue can be estimated at 13.7 billion kroons. Compared with 2008, Tallinn’s revenue from foreign tourism fell by 8% to a level comparable to that of 2007. Compared with 2008, the export of travel services fell by 5%, totalling 9.8 billion kroons. Export of passenger transport (payments by foreign visitors to Estonian transportation companies) came to a total of 3.9 billion kroons, marking a 16% decline. This decline came mostly from the considerable drop in numbers of flight passengers.

Tallinn City Tourist Office & Convention Bureau 10.05.2010 15


Total receipts from international tourism, 2000-2009 (billion kroons) 16000 14000

4182

12000 2813

10000 8000

2980

2900

6880

7117

7319

7520

2000

2001

2002

2003

2532

2700

4713 3965

3264

6000 4000

4327

8880

9400

10105

9382

2004

2005

2006

2007

10283

9778

2008

2009

2000 0

international travel rec eipts

international fare rec eipts

Source: Bank of Estonia

Visits to Tallinn Tourist Information Centres and Tourism Website In 2009, Tallinn’s two Tourist Information Centres (in the Old Town and Viru Shopping Centre) were visited by a total of 189,600 visitors, of whom 91%, or 171,600 came from abroad and 9%, or 18,000 were from Estonia. Compared to 2008, the number of visitors grew by 9%, or 15,700 visitors, with the greatest growth in July. Fewer visitors in comparison with the previous year came in February, March, August and September. Visitors came from 107 countries, including the new additions of visitors from Barbados, Botswana, Algeria, Lebanon and Honduras. Change 2008/2009 Country of Origin Visits 2008 Visits 2009 Number % Finland 28 900 38 000 9 100 32 Germany 22 300 19 300 -2 900 -13 Great Britain 15 000 13 100 -1 900 -13 Sweden 13 700 14 000 355 +3 Estonia 13 800 17 900 4 100 +29 Russia 12 300 15 800 3 400 +28 Spain 11 300 11 900 600 +6 USA 10 900 12 000 1 100 +10 France 7 000 8 200 1 200 +17 Italy 5 800 6 400 600 +11 Norway 4 100 4 300 +200 +5 Latvia 2 300 2 400 75 +3 Lithuania 1 700 1 600 -112 -7 Total 173 900 189 600 15 700 9% Source: Tourist Office & Convention Bureau of Tallinn City Enterprise Board Comparing the numbers of visitors to Tallinn’s Tourist Information Centres by country of origin shows that in 2009, visitors from Finland paid the greatest number of visits to the Tourist Information Centres, making up 20% of the total visits. Next in numbers of visitors were Germans (10%) and visitors from Great Britain (7%). Compared to the previous year, numbers of visits by foreign tourists grew most among Finnish (+32%), Tallinn City Tourist Office & Convention Bureau 10.05.2010 16


Russian (+28%) and French (+17%) visitors. British and German visits decreased (-13%) from 2008, due to the considerable drop in numbers of tourists arriving from those countries and their shorter stays. Visitors to the Tallinn City Tourist Information Centres 40000 35000 30000 25000 20000 15000 10000 5000

2005

2006

2007

2008

be r De ce m

be r No ve m

ct ob er O

be r

t

Se pt em

Au gu s

Ju ly

Ju ne

ay M

Ap ril

ar ch M

Fe br ua ry

Ja nu a

ry

0

2009

Source: Tourist Office & Convention Bureau of Tallinn City Enterprise Board A total of 169,100 queries came into the Tourist Information Centres in 2009, amounting to 21,100 more queries that the previous year. Trends from previous years continued: numbers of queries presented in person at the Information Centres grew, while numbers of queries sent by post, fax and email shrank. The most frequent topics of interest were transportation connections, city maps and shopping information. There was more interest in museums and sights than earlier, but fewer queries about shopping and services. The decline in queries coming in via post, fax and email is connected with more active use of the tourism website. The Tourism Web was visited 840,000 times in 2009. In terms of language environments, the most viewed was the English-language website (41%), followed by Finnish (21%), Russian (15%), Estonian (11%), Swedish (7%) and German sites (4%). The new Japanese and Chinese sites (new in 2009) comprised 0.4% of views. Compared to a year earlier, the use of the Finnish-language website grew by 3 percentage points, whereas German and Swedish sites were visited less. The most frequently read topics included the city’s sights and travel planning, followed by entertainment, Tallinn Card and events information. Subpages in the Tourism Website were viewed 4.3 million times, and during each visit, the user viewed an average of 5 pages. From the spring of 2009, active promotion of Tallinn as a tourist destination was begun in social media environments. The VisitTallinn Facebook account attracted 2,400 fans by the end of the year, the TallinnCity Twitter account gained 350 followers, and photos in the TallinnCity Flickr account were viewed 16,000 times. For more information, see www.tourism.tallinn.ee/statistika Compiled by: Karen Alamets, analyst, Tallinn City Enterprise Board Tourist Office & Convention Bureau

Tallinn City Tourist Office & Convention Bureau 10.05.2010 17


Tourists accommodated in Tallinn in 2009, number of nights spent and length of stay Country of Origin

Number Accommodated

Change 2008/2009 Number %

Bednights

Change 2008/2009 Number %

Length of Stay

Albania

75

-51

-40,5

263

-82

-23,8

3,51

Austria

5 064

-1 347

-21,0

11 119

-3941

-26,2

2,20

Belgium

4 912

-550

-10,1

12 087

562

4,9

2,46

Bulgaria

794

43

5,7

3 159

1 430

82,7

3,98

13 669

-1 864

-12,0

27 531

-6 922

-20,1

2,01

Holland

8 174

-434

-5,0

18269

-2 075

-10,2

2,24

Croatia

433

-142

-24,7

1 248

-15

-1,2

2,88

Ireland

1 955

-592

-23,2

4 818

-1 804

-27,2

2,46

Iceland

424

-464

-52,3

905

-1 182

-56,6

2,13

16 653

-5 175

-23,7

40 091

-11 644

-22,5

2,41

Greece

2 143

-96

-4,3

4 813

-546

-10,2

2,25

Cyprus

308

-236

-43,4

860

-591

-40,7

2,79

22 131

-5 042

-18,6

36 366

-10 264

-22,0

1,64

569

-47

-7,6

1 250

-155

-11,0

2,20

34 980

-1267

-3,5

51 404

-4 791

-8,5

1,47

214

12

5,9

577

-79

-12,0

2,70

Norway

34 879

-4 288

-10,9

87 312

-9 783

-10,1

2,50

Poland

13 479

-2 115

-13,6

24 938

-3 238

-11,5

1,85

2 375

29

1,2

6 038

286

5,0

2,54

France

12 918

-1 203

-8,5

29 610

-1 226

-4,0

2,29

Sweden

57 858

-4 416

-7,1

95 718

-13 948

-12,7

1,65

Romania

982

42

4,5

2 108

-240

-10,2

2,15

Germany

49 608

-10 299

-17,2

102 739

-28 044

-21,4

2,07

4 257

-830

-16,3

8 822

-965

-9,9

2,07

Slovakia

729

-188

-20,5

1 950

-117

-5,7

2,67

Slovenia

633

-262

-29,3

1 758

-48

-2,7

2,78

534 585

25 623

5,0

762 099

35 707

4,9

1,43

29 334

-12 428

-29,8

69 689

-32 964

-32,1

2,38

Spain

Italy

Lithuania Luxembourg Latvia Malta

Portugal

Switzerland

Finland Great Britain

Tallinn City Tourist Office & Convention Bureau 10.05.2010 18


Country of Origin

Number Accommodated

Change 2008/2009 Number %

Bednights

Change 2008/2009 Number %

Length of Stay

Denmark

9 617

-1 656

-14,7

20 545

-4 054

-16,5

2,14

Czech Republic

3 949

227

6,1

7 605

-953

-11,1

1,93

Turkey

2 444

-106

-4,2

5283

276

5,5

2,16

Ukraine

3 214

-716

-18,2

7 825

-2 089

-21,1

2,43

Hungary

1820

-1 010

-35,7

4 363

-2 601

-37,3

2,40

Russia

69 979

8 134

13,2

146 897

14 670

11,1

2,10

Other European countries

1 4671

-2 150

-12,8

2 8707

-6 942

-19,5

1,96

African countries

864

-164

-16,0

2 002

-403

-16,8

2,32

Incl. Republic of South Africa

237

-17

-6,7

519

48

10,2

2,19

13 744

2654

23,9

25 709

4 068

18,8

1,87

Incl. China

1 826

213

13,2

3 728

-110

-2,9

2,04

Incl. Japan

6 373

505

8,6

11 777

1 340

12,8

1,85

Incl. South Korea

1 246

578

86,5

1 756

630

56,0

1,41

13 245

-2 978

-18,4

32 361

-6 518

-16,8

2,44

Canada

3 185

801

33,6

8 749

2 894

49,4

2,75

South and Central American countries

1 979

-295

-13,0

4 150

-836

-16,8

2,10

1 107

287

35,0

2 355

431

22,4

2,13

Australia, Oceania

3 998

-300

-7,0

9 246

-742

-7,4

2,31

Incl. Australia

3 367

-156

-4,4

7 796

-578

-6,9

2,32

Other countries

2 656

2 179

456,8

4 855

3760

343,4

1,83

999 500

-22 967

-2,2

1 715 838

-96 149

-5,3

1,72

135 964

-30 094

-18,1

213 462

-71 247

-25,0

1,57

1 135 464

-53 061

-4,5

1 929 300

-167 396

-8,0

1,70

Asian countries

United States of America

Incl. Brazil

Total foreign tourists Total Estonian residents Grand Total

Source: Statistics Estonia

Tallinn City Tourist Office & Convention Bureau 10.05.2010 19


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