FRENCH MARKET OVERVIEW

GENERAL KNOWLEDGE ABOUT FRENCH TOURISTS:

France is a European country with a population over 65 million inhabitants (63 Million in

metropolitan France, 2 Million in overseas department). Certain features make this country an

attractive market regard to tourism:

- A high annual leave: In France, the minimum annual leave is 5 weeks. The average is 7.5 weeks

each year which ranked the country among the highest vacancy rate.

- 3 of 4 French travel at least once a year. However, holidays within France are really important.

- The rate of departure abroad is increasing each year.

- According to UNTWO France was ranked the 5th

in the world based on international tourism

expenditure in 2010 (38.5 billion US dollars).

- In 2010, France was for the 1st time 10

th largest inbound market for visitor arrivals in Lithuania.

- Nouvelles Frontieres in 2012, one of the most popular French tour operator, included Lithuania in

its tours.

Who is the French Tourist?

Three quarter of the whole population travel at least once a year. If we consider only the population

of metropolitan France, it represents more than 47 Millions of potential visitor. However, among

them only a small portion travels abroad.

French tourists who travel outside of France are from major French cities. Of the 26 regions that

make up France, 30% of trips abroad are made by residents of l‘Ile de France (Paris region)

followed by resident of large urban agglomeration such as Lyon or Marseille. The region Alsace

which is at boarder with Germany has also a high rate of departure.

The rate of departure abroad is high among senior executive and intermediate profession. Although

the socio professional category plays a role, the major part of French tourists travelling abroad is

made up of retired. According to a study made by Protourisme, in 2011, over 40% of travelers

abroad are “CSP+” (higher occupation) and retired. Those two categories predominate for long haul

destinations. The average annual budget holiday of those who plan to go at least once abroad in

2011 is 2,875 Euros.

Internet remains the primary source of information about destinations abroad. (81% of those

planning to go abroad check internet, 33% travel agents, 10% associations and company

committee).

THE MAIN CHARACTERISTIC OF FRENCH TRAVEL:

A preference for domestic trip:

With more than 225 millions of trips in 2011, France is an interesting market regard to tourism.

However, if three quarters of the population travel once a year, French tourists like to travel within

France. In fact with its various landscape and climate, France provides a large choice for the

tourists, therefore domestic tourism rates is high. According to a study made by Protourisme in

March 2012, 40% of French want to go on holidays during July and August. Among them, 70 %

decided to stay exclusively in France.

In 2011, only 12.65% of the total trips were made abroad. However, we must emphasize the

constant increase of the outbound trips. Between 2007 and 2011, the number of these trips raised by

15%

Source Eurostat

Breakdown of French outbound trips per continent :

If the domestic trips are a French specificity, the fact remains that some brave tourists dare to leave

the country to travel abroad. In that case, the destinations preferred by the French are in Europe. In

2010, over 70% of outbound trips were made in this continent.

Source : Enquête SDT (DGCIS).

Taking into account the evolution between 2009 and 2010: Except Africa, down 5%, all other

continents have benefited from growth in the number of French tourists traveling abroad: Europe

(+2.7%), but also more distant destinations, like America (+3.3%) and Asia-Oceania (+5.2%).

According to a May 2011 report of the European Travel Commission, arrivals to Western Europe

grew 1.8% and arrivals to Emerging Europe grew 8.7%,annually (compound annual growth), over

the period 2000-2010. In 2010, the market share of French travelers to Western Europe was 70.3%,

down 7.8 percentage points from 2000, and 16.0% to Emerging Europe, a gain of 5.3 percentage

points in share.

Top outbound travel destination by number of tourists:

With more than 3.538 thousands trips in 2010, Spain represents 16% of all outbound tourists travel.

The second, Italy with 2.285 thousands trips represents 10%. The first 10 destinations represent

65% of the all trips made abroad in 2010.

Breakdown of French outbound trips by length:

According to the Eurostat report holidays trips of residents 2010, French tourists made over 197

million of trips (domestic and outbound trips) in 2010. From this total, short outbound trips (1-3

nights) represented 2.4% and long outbound trips (4 + nights) 8.2% of the total trips.

Average length per continent, (travel for personal reason only):

2007 2008 2009 2010

Europe 7.3 7.7 7.4 7.6

Africa 11.2 11.1 11.2 11.7

America 15.9 15.1 14.6 14.5

Asia and Oceania 17.3 18.2 15.7 16.0

Total Average 9.1 9.3 8.9 9.2

Source : DGCIS, enquête SDT. (Mémento du tourisme 2011)

Source : DGCIS, enquête SDT. (Mémento du tourisme 2011)

Over the period 2007-2010, the average length of French tourists holidays in Europe and Africa

increased by 4% while it decreased by 7% in Asia and Oceania and 8% in America. Nevertheless,

trips made outside Europe are longer with an average of 16 days in Asia and Oceania. The

proximity of destinations within Europe encourages the tourists to make shortest trip. Indeed, the

development of mean of transport, faster and at low cost favored short stays.

Average length in Europe in 2010: (travel for personal reason only):

Source : DGCIS, enquête SDT. (Memento du tourisme 2011)

The highest average length is held by Portugal with 12,4 overnights. It is important to note that

there is a large Portuguese community in France and holidays are for them the period when they can

come back to see their family, therefore they travel for long stay.

The smallest average length is held by Belgium and Luxembourg with 4 overnights. Note that

French neighboring countries have an average length lower than more distant European countries.

For example, French tourists remains 10,6 days in Scandinavia and 8,9 days in Russia.

Breakdown of French outbound trips per year: the seasonality.

Seasonality is a French specificity more than 60% of the outbound trips are made from April to

September. Social facts are at the origin of this seasonality such as the school holidays, the extended

week end or holidays imposed by the companies during the summer.

Source Eurostat

The quarters 2 and 3 dominate regarding departure. If the trips from April to September are the rule

it is because of the favorable climate and the considerable number of holidays during this period.

In April are held the spring holidays (This year from 7.04 until 30.04 depending on the area).

Moreover May contains a large amount of days off which give rise to extended week-end. This

year: the 1st, 8

th and 17

th of May. These week-ends are particularly appreciated to travel within

France or outbound.

The quarter 3 accounts alone 33% of the departure rate in 2011. It is therefore during the summer

holidays that the number of trips is the most important more precisely in August, the month of the

year with the highest rates of departure and the longest overnight stay.

Source : DGCIS, enquête SDT.

Outbound tourist trips expenditure:

According to the French tourism statistics data, the outbound tourist trips expenditure increased

significantly between 2009 and 2010: +5.3%. In 2010 the amount of expenses of French tourist

abroad adds up to 22 billion Euros accordind to French data (bilan du tourisme 2010).

* Expenditure not included in the package

Source : Enquête SDT (DGCIS).

In 2010 the average spending per overnight stay abroad is 107€. The lodging expenses (excluding

packages) have increased 7.7% abroad while expenditures for food entertainment and shopping

grew strongly over 2009: up to 6.8%

The study made by Protourisme in March 2012 precise that the tourists who want to stay in France

during July and August 2012 have a holidays annual budget of 1800€, 2875€ for those who are

going to travel abroad.

Type of transport:

Source : DGCIS, enquête SDT.

In 2010 more than 50% of French tourists going abroad (abroad + overseas department) travelled by

plane. Only 8% of them chose to travel by train and 6% by coach.

Note that the car is a frequently used means of transport (28%). However, this means of transport

has a high rate since the travelers for Spain or Italy (top French tourists destination) prefer the car to

reach these destinations.

Type of accommodation:

In 2010, on all of the trips made abroad (abroad + overseas department) by French tourists, over

70% were performed in commercial accommodation such as Hotel, Camping, Cottage and Bed and

Breakfast while almost 25% has been made in non market accommodations (relatives and second

home). Hotels clearly dominate the market demand for accommodation with a share that represents

over 50% of all types of accommodations.

In 2010, the average hotel’s expenditure was 107€ per overnight. When travelling abroad, a

majority of French tourists choose a 3 or 4 stars hotel.

Source : DGCIS, enquête SDT.Memento du tourisme 2011

Type of organization of outbound tourist trips :

There is a constant decrease of reserved trips since 2006. In 2006, the number of reserved trips

abroad was 20.818 million when it was only 18.103 million in 2010. However while traveling

abroad, the number of transport and accommodation booking is still really high with more than 60%

each.

Share of all reserved trips made abroad:

2007 2008 2009 2010

Trips including at least the

transport booking (in %)

69.5 67.3 66.1 65.4

Trips including at least the

accommodation booking (in

%)

66.2 65.9 64.6 64.9

Trips including at least the 21.6 21.7 27.6 27.5

activities booking (in %)

Thanks to development of internet services in the field of tourism, more and more tourists decided

to create their own trips. According to the survey made by the European Commission, “Attitudes of

Europeans towards tourism”, 50% of French respondents answered that they organized their

holidays thanks to the internet in 2011. Only 17% of them stated they had recourse to a travel

agency. (Total of all trips in France and abroad).

If we focus on the most recent information, the share of reserved trips made abroad in December

2011 was 85%. Among these, 39% have been contracted with a tour operator or a travel agency

(internet sales or direct sales), 71% of the total trips made abroad were reserved thanks to internet.

Breakdown of French tourists trips abroad by purpose of travel :

Source Eurostat

In 2011the predominant purpose of outbound trips from France was leisure by 88%.

What are looking for the French during their holidays?

With an annual leave of minimum 5 weeks, French represented a big market. The French are

strongly attached to their life outside of work. During the holidays the well being must precedence

over the rest. It is a special time for family gathering and recreation.

A recent study conducted in March 2012 by TNS Sofres for the tour operator Look Voyage shows

that the priority of holiday-maker during their trip is to be amazed (for 61% of them) and to create

links (60%). Economic crises, stress, lack of time make the everyday life difficult. According to the

study, this unstable environment promotes a return to traditional values: family friends, home,

nature, wellness, relaxation or even culture.

The study conducted by Eurobarometer in 2011 shows almost the same result. For French the major

motivations to go on holiday are: (% of people who placed first) 45% Rest recreation, 38% Spend

time with family, 36% Visiting relatives, 29% Sun and beach. However, nature and city trips

represent less than 20 % while culture and sport represent only 10 %. This study demonstrates the

important role of family and friends and also the need to rest before thinking about the rest.

The main aim of holidays is to escape the routine, relax and create links with family. The need to be

in nature and the desire to experience an another culture then come after these basic needs. Note

that sun and beach arrives in 4th

position. Indeed for most of French, holidays are synonymous with

sun and farniente.

As well to the question which of the following would make you go back to the same place for

holidays, arrived in first place, far ahead from others (more than 50%) the nature features. Note that

“nature features” included especially weather condition and landscape. Arrived then with 27% how

tourists are welcomed, quality of the accommodation (23%), general level of prices (23%), and

activities offered (16%)

The main reason why French tourist did not travel in 2011 was for financial reasons (38%) and

private reason (22%)

How do they choose their holidays?

The top three of what French consider being the most important information sources to make a

decision about their travels are: Recommendations of friends, colleagues, relatives (55%), Internet

websites (41%), Personal experience (26%). The rest of the sources (tourist agencies, free

catalogues, guidebook and magazine, radio, TV and social media represents each less around 10%

only.

Which of the following type of holidays do you plan to take? 38% holidays between 4 and 13

consecutive nights, 26% holidays with more than 13 consecutive nights, 17% short stay trip up to 3

nights.

THE PLACE OF THE BALTIC COUNTRIES IN THE FRENCH TOURIST MARKET

The general trend shows a recent craze for the Baltic countries. The number of arrivals is increasing

each year notably in Lithuania.

With more than 30 thousands trips in 2010, Lithuania is the 1st Baltic’s destination for the French

tourists.

Lithuania also dominates in terms of overnights with more than 60.000 bed-nights in 2011 while

Latvia and Estonia collect only 40.000 and 51.000 bed nights.

However, if Lithuania is ranked 1st destination of the Baltics countries, at the worldwide and

European level, Lithuania is far behind other destinations. Lithuania is not part of the first 30

destinations chosen by French tourists.

Moreover one must take into account a new trend: the very rapid increase in the number of French

arrivals in Estonia. On the same period (March to May), the tourists flow to Estonia increased by

8% in 2011 compared to 2010. Only 2% in Lithuania, - 4% in Latvia.

The Baltic competition:

Source : Estonian, Latvian and Lithuanian accomodation statistics

Source : Estonian, Latvian and Lithuanian accomodation statistics

Estonia

In 2011 the number of arrivals at accommodation establishment of foreign in Estonia was

1.807.919. With 22301 arrivals France represents less than 2% of the total arrivals.

Taking to account the number of accommodated international visitors in Estonia in 2011 France

was ranked 13th

. However, between 2008 and 2011 arrivals from France increased by 20% while

the number of bed nights dropped by 33%.

Latvia

In 2011, the number of arrivals at accommodation establishment of foreign in Latvia was 1.063.294.

With 19635 arrivals France represents less than 2% of the total arrivals.

Taking to account the number of accommodated international visitors in Latvia in 2011 France was

ranked 11th

. The evolution in terms of overnight and arrivals is less impressive than in Estonia ;

Between 2007 and 2011 the overnights raised by 13% while the number of arrivals dropped by

11%.

Overview of French travel agents and tour operator market and offer to Lithuania:

Top 5 of the French tour operators:

.

The major French tour operators offer to tourist exotic and sunny destinations. The top destinations

are localized in the Mediterranean or Caribbean. The aim is to propose a maximum of services and

- First French tour operator in number of customers

- Part of the TUI group (1st tour operator in Europe)

- Specialized in tourism in Mediterranean and in Island

(Smallest choice of destination)

-Offer : Travel, holidays, flights, cruise, tours,

combined

- This tour operator does not propose trips in Lithuania

- A former subsidiary of Club Med sold in 2008

to Thomas Cook’s group

- Wide choice of destination (top destinations

located in Mediterranean)

- Offer : Club Eldorador (resort intend to

familiers) tours, week end, spa, golf and

customized trips

- This tour operator does not propose trips in

Lithuania

- Subsidiary of Transat AT inc

- Wide choice of destinations

-Offer: Hotel clubs, tours, cruise, week end (the

week end are only proposed in Western

Europe)

- This tour operator does not propose trips in

Lithuania

- Subsidiary of TUI

- Nouvelles frontieres group owns: 2 brands of tour operator

(Nouvelles frontieres and TUI France) over 800 distributions

agencies, more than 20 hotels clubs and its airline: Corsairfly

- Offer : Clubs, tours, cruise, week-end and flight

- Wide choice of destinations (top destinations located in

Mediterranean)

-This group has the largest choice of trips around the Baltics

and particularly in Lithuania

- Independent tour operator

- Wide choice of destination and large choice of

“week-ends in Europe”

- This tour operator propose short terms trips in

Vilnius Riga and Tallinn

activities so the all inclusive dominates with this type of tour operator. Therefore they possess their

own network or hotels club.

The travel offer to Lithuania and the Baltics:

Only two major French Tour operators submit tours or weekend in Lithuania. Nouvelles Frontieres

and Fram.

Nouvelles Frontieres dominates widely by offering 4 new different tours or week ends:

In Lithuania:

- “Treasure of Lithuania”: Self drive tour, include the accommodation in 3 to 4 * hotels for 7

overnights, half board. Hotels are booked in Vilnius, Kaunas and Klaipeda

- “Break in Vilnius”: include flight, transfer, accommodation in a 3* hotel for 3 nights, a guide.

Visit of Vilnius and its old town and free day to visit Trakai (not included).

Baltic Trips:

- ‘Gold from the Baltic”: Self drive tour, include the accommodation in 3 to 4* hotels for 7

overnights, half board. Hotels are booked in Vilnius, Kaunas, Riga, Tallin.

- “The Amber Route”: tours which includes flight, transfer, accommodation in a 3* Hotel for 7

nights in full board, a guide. Cities: Vilnius (old town), Trakai, the hill of crosses (2 days, 2

nights in Lithuania) Rundale, Riga, Jurmala, Sigulda,(3 days, 3 nights in Latvia) Tallinn (2

days, 2 nights).

In Estonia:

- “Break in Tallinn”: include flight, transfer, accommodation in a 3* hotel for 3 nights.

FRAM: offers short stays and weekends only. It includes flight and hotel. There is a large choice of

Hotel from 2 to 5*. Cities: Vilnius, Riga, Tallinn.

Note that these tours and week ends have a great drawback. These tour operators do not work in

partnership with low cost airlines, so there is no directs flights. The journey from Paris to Vilnius is

a minimum of 5 hours not including the time spent waiting at the airport.

Edreams offers the same type of service as Fram (hotel+flight). However this website includes low

cost flight which means a direct flight and a cheaper trip.

Most of the trips offered by the tour operators in Lithuania are short stays. Nouvelles Frontieres is

the only one proposing a long term stays in Lithuania exclusively. These week ends allow urban

tourism in Vilnius, Riga or Tallinn. Most of the long term stays are organized into circuits within

the three countries.

However, it is also possible to find agencies which provide trips around the Baltics (Voyage

auchan, Intermèdes) or especially in Lithuania (Nord espaces). As well, Evaneos website offers the

possibility to contact local agencies to create your custom trip thanks to local agents.

According to these agencies, who are the travelers coming in Baltic countries?

And in Lithuania ?

En attente de plus de reponses…

According to the 2010 Lithuanian statistics: the French tourists came by plane in Lithuania (87% of

them). The predominant purpose of traveling from France was leisure (48%). Arrive then business

(28%) and visiting relatives (20%). These travelers were mostly aged 25 to 54. (Age groups 35-44:

23%, 25-34: 22%, 45-54: 21%)

What do the French think about Lithuania?

First, it should be noted that there is only few forums about Lithuania. The advice and suggestions

are so not always recent. However, the various forums agree on different places to not miss in

Lithuania. The suggested itineraries often include the same places: Vilnius, Trakai, Kaunas, The hill

of crosses and the seaside.

According to French forums1 the best places to visit in Vilnius are: The Old town, churchs, Uzupis,

KGB museum. For the most enthusiastic tourists 5 days are recommended to visit Vilnius when 2

days are sufficient for those who are less. For a vast majority of tourists, Trakai is a must when

traveling in the region of Vilnius, it is a place to not miss.

Opinions are more mixed about the city of Kaunas. Generally, tourists prefer Vilnius rather Kaunas.

They advice so there is no need to stay long in this city (at least just one day). For some tourists, the

industrial city does not offer enough monuments. The others are delighted by the charm of the old

city, its history and the museum of the devil.

Unique monument, Hill of crosses is place to not miss while coming in Lithuania. Although the

area surrounding the monument is never mentioned, Hill of crosses is worth visiting for most

tourists. They describe a particular atmosphere there.

The sea side has unanimous support among tourists. The cities of the coast which are the most

mentioned are Klaipeda, Palanga, Delta Niemen, Isthmus of Kurland, Neringa, Nida.

Tourists seeking wilderness area will prefer to not go in Klapeida and Palanga. The city of Klapeida

is far from having unanimous support among tourists. For the others cities, sands dunes, fishing

villages best meet the needs of authenticity and nature.

What do they think about Latvia and Estonia ?

Most of the people think that Tallinn is teeming with tourists, making the visit less pleasant. Same

observation for Riga, where the lack of authenticity and the number of tourists are mentioned.

Despite this tourist problem, Riga and Tallinn appears to be livelier than Vilnius and so more

attractive for some tourists. The cities have unanimous support regarding their cultural heritage and

architecture. The two capitals are more expensive than Vilnius.

From the 3 capitals, Vilnius appears to be the most charming and the less touristy. The city has

unanimous among tourists looking for authenticity.

- SWOT analyze of Lithuania

Strengths :

- 2 low cost airlines offer direct flights

departing from Beauvais. (Ryan air and

Wizz air)

- Variety of landscapes

- Strong cultural heritage (Unesco)

- Large choice of activities, which can attract

Weaknesses :

- No direct flight departing from the major

French cities Paris, Lyon, Marseille.

- The only direct flights are departing from

Beauvais and are low cost.

- Difficulty finding information in French.

(web site, forum…)

1 (Voyage forum.com, le routard, e-voyageur)

all type of clientele

- Spa resort

- Numerous protected areas and Parks

- Events

- In the collective imagination, Lithuania is a

country without a real identity for the French

tourists, so the territory is not yet regarded as

a tourist destination.

- The language barrier

- Climate :Lithuania is a destination which is

not attractive during the all year

- Only two of the major French tour operators

offer this destination.

Opportunities :

- French tourists travel more and more abroad

and especially in Europe.

- Number of French tourists increased in the

Baltics including Lithuania

- More and more tour operator offer tours to

the Baltic.

- In 2012, Nouvelle Frontiere one of the

largest French tour operator offers trips

exclusively in Lithuania.

- Possibility in creating diversified offer by

theme (nature, health, culture…)

- Trend of demand :

- Lithuania is in line with the expectation of

tourists : need to relax, need to break from

the daily, looking for a “green trip” and

authentic destination

- Increasing of the senior market who travel

throughout the year

- Development of short stay within the

European Union.

Threats :

- Competition from other Baltic countries

including Estonia.

- Competition from new European destination,

Short stays : Czech Republic, long stay :

Croatia

Strength:

- Possibility of reaching diverse customer: It is necessary emphasize the large variety of tourism

offer to the French tourists: Green, cultural, urban, health and well being.

Weaknesses:

Challenge:

Make known Lithuania in France:

- Faced with the difficulty of French tourists to speak another language and the importance of the

internet to choose a destination, it is essential to create a website in French. This website must

describe all the place worth visiting and the activities that the country offers. It can be also

interesting to create a forum on this website because there is a lack of advices and opinions of

travelers concerning this destination

- It is also necessary to make known Lithuania thanks to the media where the potential clientele

is. The largest number of traveler abroad comes from the biggest French cities. We can imagine

a poster campaign in Paris, Lyon, and Marseille showing the diversity of the landscape.

Emphasis should be place on the cultural heritage (with Vilnius) and the wild beauty of the

landscape (with the different park and the sea side). The goal here is to differentiate Lithuania

from the others Baltics countries deemed too touristy to show an unspoilt nature and an

authentic destination.

- To capture a broader clientele, it is necessary to communicate thanks to large public newspaper.

These should not be specialized travel magazines but articles must be included in the travel

section of the major daily newspaper.

The accessibility of the destination:

- It is necessary to offer better connection to Lithuania. The duration of the journey can limit the

number of tourists. Moreover direct flights are only represented by low cost airlines which is not

suitable for all types of clientele

- The destination should be accessible to a large public thanks to the tour operator and the

agencies. A largest number of those should offer this destination including non specialized

agencies.

- Create a real identity to the country: with a slogan and a strong image. The tourist must have an

idea about the country before imagining himself spending his holidays in this country. The aim

is to show that Lithuania is a place worth visiting, only 2 hours by plane!

Target customers :

- Youth aged 15 to 25 years: This clientele is characterized by its strong propensity to travel

abroad but also by a lower income than other tourist. This category will tend for shorter trips

with a small budget. The type of travel to promote is a short stay in the capital: the city break.

For these travellers we must focus on: The low cost accessibility to the destination, the cultural

heritage, show a livelier destination and be present on internet (most tourists choose their

destination on the internet but it is even more true for young people).

- The 25-45 years, couple: This clientele is characterized by a high income average (“double

income no kids”) coming from large french urban area. Short and long stays suit to these

travellers. For these tourists we must show that Lithuania has : cultural heritage, wide choice of

activities, green tourism, health and well being tourism, hotel ¾ *, proposal for long stay in

Lithuania.

- Seniors: This clientele is characterized by its strong propensity to travel propositions and by a

high income average. For these travellers we must focus on long stay for this it is need to

highlight : variety of landscape, cultural heritage, well being, activities, hotel ¾*.

- Incentives: For French Lithuania remains a little known country. This destination can attract

companies in search of discovery. For these travellers we must focus on: the wide variety of

activities: hot balloon, golf, spa and in the wild beauty of the country. It is also important to

show that Lithuania has accommodation capacity for hosting congresses.