Economic expansion and desire to travel overseas after the pandemic have fuelled outbound tourism
by AUFA MARDHIAH / TMRgraphic
INTERNATIONAL travel among Malaysians has gained traction after a two-year hiatus caused by the coronavirus pandemic, which paralysed the global travel and tourism industry.
Industry players and frequent travellers told The Malaysian Reserve (TMR) that economic expansion and desire to travel overseas after the pandemic had fuelled outbound tourism among Malaysians.
Nazrin Ismail, a co-founder of Buddy Backpackers, said the travel agency had received enormous requests for outbound tourism since the country’s international borders were reopened last year.
“Customers have begun to book our trip packages for this year and have also inquired about the packages available next year,” he said.
While average travelling cost would depend on destination and length of travel, Nazrin said airfares and ground arrangements have also increased post-pandemic due to global inflation hikes.
“Flight tickets are currently far more expensive than they were previously. For example, even via low-cost airlines, direct flights to Japan can now cost up to RM2,500 for a single return ticket. It used to cost less than RM1,900.
“The price of the ground arrangement has also risen due to inflation. Therefore, even as our currency strengthens, prices rise,” he said.
The outbound tourism cost increase has also resulted in more Malaysians favouring domestic travel, said Tourism Selangor CEO Azrul Shah Mohamad.
He said the cost of outbound travel has increased as travellers must spend on various precautions before their trip, including vaccinations and Covid-19 test kits.
As airlines and tourism service providers resumed operations only last year after the pandemic, Azrul Shah said a surcharge on foreign travel is inevitable, especially given the weak Malaysian currency.
“With the fluctuating currency, the rise in outbound travel expenses and the endemic economic situation where job opportunities in the tourism sector have only recently begun to reopen, inbound travel will be more prioritised.
“As a result, we anticipate a significant growth in domestic tourism in Malaysia, particularly in Selangor, as well as an increase in foreign visitor inflow,” he said.
In terms of destinations, Nazrin said his customers preferred Japan, followed by Switzerland, South Korea and Turkey.
“Many people enjoy travelling to Japan because it is only seven hours away from Malaysia. In Japan, they can experience winter in Hokkaido, enjoy the scenery and traditional vibes in Osaka and encounter modern metropolis lifestyle in Tokyo,” he explained.
Nazrin said his customers prefer the winter season for outbound travelling to experience the chilly weather and snow.
According to Nazrin, the best time to visit European and Asian countries with four seasons, Japan and South Korea, are between December and March. Meanwhile, the best travelling period to Australia and New Zealand is between June and August.
“Malaysians enjoy winter because our country only has dry and wet seasons. Because we are mainly focused on Japan, we are usually fully booked to destinations like Tokyo, Osaka and Sapporo from December to March.
“School holidays are also a popular time to travel. As a result, we anticipate a high volume of bookings over this period, particularly for family trips with children,” he added.
Nazrin, who described the pandemic as a “long nightmare”, during which commercial aeroplanes and tourism activities were grounded, said the company is recovering.
“After we resume operations, we feel like a tremendous burden has been lifted from our shoulders,” he added.
Photographer and frequent traveller Acacia Daud said airline tickets are more expensive than before the pandemic. Her overseas travel budget now varies between RM3,000 and RM15,000, depending on the length of travel.
“Airline tickets appear to be much more expensive than before the pandemic, as I believe the aviation industry is still recouping. However, I believe those who can afford will find a way to cough out money to travel regardless,” she said.
Acacia, who travels abroad up to seven times a year, said Covid-19 had changed her travelling style to be more careful about health, safety and security before embarking on any trips. Her favourite destination is Iceland, although she frequently visits London.
“After Covid, I’m more careful in choosing places and will do a lot of research leading up to my trips,” she said, adding that travellers are generally reassured by recommendations made by their friends and families.
Similarly, avid traveller Fauhan Naseeha Zakaria found her overseas travel expenses to be higher if compared to pre-pandemic, no thanks to the increase in airfares.
“The situation is not similar to before. Instead, we can see that all businesses in tourist areas are struggling, with a few major brand locations closing and others reducing their operation hours,” she said.
Last year, she said the costs were higher due to the stipulated Covid test upon arrival and the increase in travel insurance premiums. Fauhan Naseeha’s favourite international destination is South Korea due to its well-kept nature, safety assurance for lone travellers and excellent public transportation system.
Tourism sector research agency Pear Anderson founding partner Hannah Pearson told TMR in January that the growth in Malaysian outbound travel in 2023 could hurt domestic tourism, as Malaysians spend their savings on international destinations rather than local ones.
She said in 2022, 1.81 million Malaysians visited Thailand and other popular destinations, namely Japan and Australia, thus reducing the potential spending on domestic tourism.
- This article first appeared in The Malaysian Reserve weekly print edition