Sharp drop in tourism value added after record year 2019

The annual tourism accounts provide insight into the economic importance of the tourism sector, in this case for 2019. There is no complete picture yet of the first half year in 2020; however, the developments of value added and employment in several industries over the first half year were studied in view of the coronavirus crisis. These are industries which depend almost entirely on tourism. They include aviation, accommodation and food services, travel services, and culture, recreation and sports, together accounting for over 70 percent of the tourism GDP of 32 billion euros in 2019.

According to a provisional calculation, in the first half of this year the value added of these tourism industries dropped by around 45 percent relative to the same period last year. The sharpest decline was seen in aviation and travel services combined: by over 55 percent, while accommodation and food services fell by nearly 45 percent. In the first half of 2020, the number of overnight guests in tourist accommodations was more than 50 percent down on the same period last year. The value added of culture, recreation and sports combined decreased by over 35 percent.

The impact of the crisis on the number of jobs and employed persons during the first six months was less severe than on the value added. Due to the Temporary Emergency Measure for the Preservation of Jobs (NOW), employees could still receive their wages despite the loss of turnover. This resulted in fewer job losses. Nevertheless, some of the greatest job losses were recorded in the key tourism industries.

Value added in tourism sector 5 percent up in 2019

In 2019, the value added of the tourism sector still increased compared to the previous year, ending at 31.8 billion euros, a year-on-year increase of 5.0 percent. Adjusted for price changes, the increase was 2.9 percent. The Dutch economy as a whole grew by 1.7 percent last year. The tourism sector held a share of 4.4 percent in the Dutch economy.

Foreign tourism grew faster than domestic tourism

In 2019, tourism expenditure in the Netherlands amounted to 91.2 billion euros, up by 5.4 percent on the previous year. Adjusted for price changes, this was 2.9 percent. Last year’s growth in tourism expenditure was attributable to higher spending by both foreign and domestic tourists. Foreign visitors spent a total of 34.7 billion euros, while domestic tourism accounted for 53.2 billion euros.

In 2019, Dutch tourists spent 4.0 percent more on holidays and day trips within their own country, totalling 46.6 billion euros. They spent more on food and beverages at hotels, restaurants and cafés, but also on fuel, sports and leisure activities. In addition, Dutch tourists travelling abroad spent over 6.6 billion euros on accommodations and transport via Dutch travel companies.

At 7.8 percent, foreign visitor spending rose more rapidly than domestic tourism spending. This increase was partly due to a higher number of overnight stays by foreign visitors in Dutch tourist accommodations. Furthermore, again more foreign tourists booked their accommodations or (airline) tickets via Dutch travel companies, partly for destinations outside the Netherlands.

813 thousand jobs in tourism sector in 2019

In 2019, the number of jobs in the Dutch tourism sector rose by 3.3 percent to 813 thousand, i.e. 7.5 percent of the total number of jobs in the Netherlands. When converted to full-time jobs (labour years), the sector accounted for 498 thousand jobs. This is 6.4 percent of the total number of labour years in the Dutch economy. Nearly half of the labour years in the tourism sector were in the sector accommodation and food services, while over one-quarter were found in aviation and travel services.