Contents
Introduction ..........................................................................................................................................................................11
Methodology ........................................................................................................................................................................11
Executive Summary .............................................................................................................................................................11
Global Tourism in 2011 (source: UNWTO) ......................................................................................................................... 13
Inbound visitor arrivals to Bhutan in 2013 ....................................................................................................................... 14
􀀶􀁈􀁆􀁗􀁌􀁒􀁑􀀃􀀔􀀃􀂲􀀃􀀤􀁑􀁑􀁘􀁄􀁏􀀃􀀷􀁒􀁘􀁕􀁌􀁖􀁐􀀃􀀶􀁗􀁄􀁗􀁌􀁖􀁗􀁌􀁆􀁖􀀃􀁒􀁉􀀃􀀬􀁑􀁗􀁈􀁕􀁑􀁄􀁗􀁌􀁒􀁑􀁄􀁏􀀃􀀹􀁌􀁖􀁌􀁗􀁒􀁕􀁖􀀃􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀔􀀚
Major International Source Markets ................................................................................................................................ 17
Global Segmentation of Major International Source Markets ........................................................................................ 18
Road and Air Accessibility ............................................................................................................................................... 23
Major International Source Markets by Bed Nights ...................................................................................................... 24
Visitors by Activity ............................................................................................................................................................. 25
Tourists by Popular Festivals ............................................................................................................................................ 27
Trekkers by Route .............................................................................................................................................................. 28
Average Length of Stay .................................................................................................................................................... 29
Seasonality of Visitation (Based on Bed Nights) ............................................................................................................ 30
Major Source Markets by Season of Visitation .............................................................................................................. 31
Tour Group Size ................................................................................................................................................................. 32
Spread of Tourism Impact ................................................................................................................................................ 33
Accommodation Providers by Bed Nights ..................................................................................................................... 34
Categories of Accommodation Providers ...................................................................................................................... 35
Occupancy Rate Comparison by Accommodation Categories .................................................................................. 36
Distribution of bed nights by Star Categories of Accommodation Providers............................................................... 37
Accommodation Analysis and Occupancy Rate by Dzongkhag ................................................................................. 38
Tour Operator Share of International Market ................................................................................................................. 39
Tourism Earnings from International Arrivals (in $US Million) ....................................................................................... 40
􀀶􀁈􀁆􀁗􀁌􀁒􀁑􀀃􀀕􀀃􀂲􀀃􀀨􀁛􀁌􀁗􀀃􀀶􀁘􀁕􀁙􀁈􀁜􀁖􀀃􀁉􀁒􀁕􀀃􀀬􀁑􀁗􀁈􀁕􀁑􀁄􀁗􀁌􀁒􀁑􀁄􀁏􀀃􀀹􀁌􀁖􀁌􀁗􀁒􀁕􀁖􀀃􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑 􀀗􀀔
Age of Visitors ..................................................................................................................................................................... 41
Level of Visitor Education................................................................................................................................................... 42
Composition of Visitors Travel Party. ................................................................................................................................ 43
Repeat Visitation Pattern of Visitors ................................................................................................................................. 45
Intention to Return to Bhutan ............................................................................................................................................ 46
Bhutan and Circuit Tourism............................................................................................................................................... 48
Bhutan – Major Draw Cards ............................................................................................................................................ 50
Keywords to Describe Bhutan ........................................................................................................................................... 51
Attractions Visited/Activities Undertaken ........................................................................................................................ 52
Time of Visit .......................................................................................................................................................... 53
Holiday Time in Source Markets....................................................................................................................................... 54
Individual Average Spending on a Bhutan Holiday.............................................................. ......................................... 56
Out of Pocket Spending........................................................... .......................................................................................... 57
Awareness on the Breakdown of Package Price.............................................. ............................................................. 59
Prior Information on Hotels ............................................................................................................................................... 60
Visitors Satisfaction Levels.................................................................................................................................................. 61
Additional Facilities and Improvements.............................. ............................................................................................ 64
􀀶􀁈􀁆􀁗􀁌􀁒􀁑􀀃􀀖􀀃􀂲􀀃􀀨􀁛􀁌􀁗􀀃􀀶􀁘􀁕􀁙􀁈􀁜􀁖􀀃􀁉􀁒􀁕􀀃􀀵􀁈􀁊􀁌􀁒􀁑􀁄􀁏􀀃􀀹􀁌􀁖􀁌􀁗􀁒􀁕􀁖􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑 􀀚􀀔
General Profile of Regional Visitors.................................................................................................................................. 67
Purpose of Visit...................................................................... ............................................................................................ 68
Type of Travel ...................................................................................................................................................................... 69
Travel Party Composition......................................................................................... ......................................................... 70
Length of Stay......................................................... ............................................................................................................. 71
Repeat Visitation Patterns.......................................................................................................................... ....................... 72
Visitation by Dzongkhags........................................................................................................................ ......................... 73
Major Draw Cards to Bhutan (Image of Bhutan Prior to Visit)....................................................................................... 74
Types of Activities Undertaken in Bhutan ....................................................................................................................... 75
Keywords to Describe Bhutan .......................................................................................................................................... 76
Entry and Exit Sectors .........................................................................................................................................................77
Transportation .................................................................................................................................................................... 78
Accommodation in Bhutan ............................................................................................................................................... 79
Factors Determining Visitors’ Time of Visit ...................................................................................................................... 80
Visitors Satisfaction Levels.................................................................................................................................................. 81
Satisfaction Levels on Hotels’ Quality Vs. Value for Money ........................................................................................... 83
Satisfaction Levels on Restaurants’ Quality Vs. Value for Money .................................................................................. 84
Satisfaction Levels on Transportation ............................................................................................................................... 85
Satisfaction Levels with Customer Service ....................................................................................................................... 86
Diversity of Attractions ....................................................................................................................................................... 86
Pricing of Goods and Souvenirs ....................................................................................................................................... 86
Easy of Organising Trips to Bhutan .................................................................................................................................. 86
Spending Patterns of Regional Visitors............................................................................................................................ 88
Suggestion for Improvement ............................................................................................................................................ 90

􀀶􀁈􀁆􀁗􀁌􀁒􀁑􀀃􀀗􀀃􀂲􀀃􀀶􀁒􀁘􀁕􀁆􀁈􀀃􀀰􀁄􀁕􀁎􀁈􀁗􀁖􀀃􀀶􀁘􀁐􀁐􀁄􀁕􀁜􀀃􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑􀀑 􀀜􀀖
United States of America ................................................................................................................................................. 93
China ................................................................................................................................................................................. 94
Japan ................................................................................................................................................................................. 95
Thailand .............................................................................................................................................................................. 96
Germany ........................................................................................................................................................................... 97
United Kingdom ................................................................................................................................................................ 98
Australia ............................................................................................................................................................................ 99
Singapore ......................................................................................................................................................................... 100
Malaysia ............................................................................................................................................................................ 101
France ............................................................................................................................................................................... 102
􀀯􀁌􀁖􀁗􀀃􀁒􀁉􀀃􀀪􀁕􀁄􀁓􀁋􀁖
Annual Tourism Statistics
Graph 1.1 - Major Source Markets for International Arrivals ......................................................................................... 17
Graph 1.2 - Global Segmentation of Source Markets .................................................................................................... 19
Graph 1.3 - Entry and Exit by Mode of Transport ........................................................................................................... 24
Graph 1.4 - Visitors by Main Motivation to Visit Bhutan ................................................................................................ 26
Graph 1.5 - Visitors by Activities ...................................................................................................................................... 26
Graph 1.6 - Tourist by Popular Festivals .......................................................................................................................... 27
Graph 1.7 - Visitation by Month ....................................................................................................................................... 30
Graph 1.8 - Bed Nights by Dzongkhags ........................................................................................................................ 33
Graph 1.9 - Distribution of Bed Nights by Star Rating of Accommodation Providers .................................................. 37
Graph 1.10 - Tourism Earnings from International Visitors in USD Million (2008 - 2013) ............................................. 40
Exit Surveys for International Visitors
Graph 2.1 - Age of Visitors ................................................................................................................................................ 41
Graph 2.2 - Visitors’ Level of Education .......................................................................................................................... 42
Graph 2.3 - Composition of Visitors Travel Party ........................................................................................................... 43
Graph 2.4 - Patterns of Repeat Visitation ....................................................................................................................... 45
Graph 2.5 - Intention to Return to Bhutan ...................................................................................................................... 47
Graph 2.6 - Bhutan and Circuit Tourism ......................................................................................................................... 48
Graph 2.7 - Major Attraction to Bhutan ........................................................................................................................... 50
Graph 2.8 - Keywords describing Bhutan ...................................................................................................................... 51
Graph 2.9 - Attractions Visited/Activities Undertaken .................................................................................................. 52
Graph 2.10 - Visitors Time of Visitation ........................................................................................................................... 53
Graph 2.11 - Holiday Time in Source Markets ................................................................................................................ 54
Graph 2.12 - Entire Spending (Including Out-of-pocket Spending, excluding airfare) ............................................... 56
Graph 2.13 - Out of Pocket Spending in USD ................................................................................................................. 58
Graph 2.14 - Awareness on the Breakdown of Package Prices .................................................................................. 59
Graph 2.15 - Prior Information on Hotel Standards ...................................................................................................... 60
Graph 2.16 - Tourist Satisfaction Index ............................................................................................................................. 61
Graph 2.17 - Satisfaction Levels with Accommodation Service ..................................................................................... 62
Graph 2.18 - Satisfaction Levels with the F&B Sector ..................................................................................................... 62
Graph 2.19 - Satisfaction Levels with Transportation Sector .......................................................................................... 63
Graph 2.20 - Satisfaction Levels with Customer Services .............................................................................................. 63
Graph 2.21 - Satisfaction Levels with Diversity of Attraction .......................................................................................... 63
Graph 2.22 - Satisfaction Levels with Pricing Souvenirs ................................................................................................ 63
Graph 2.23 - Satisfaction Levels with Quality of Tour Guide .......................................................................................... 63
Graph 2.24 - Satisfaction Levels with Ease of Organising Trip ...................................................................................... 63
Graph 2.25 - Value for Money Perception ...................................................................................................................... 64
Graph 2.26 - Suggestions for Improvement ................................................................................................................... 65
Exit Surveys for Regional Visitors
Graph 3. 1 – Country of Respondents .............................................................................................................................. 67
Graph 3. 2 - Age of Respondents .................................................................................................................................... 67
Graph 3. 3 - Gender of Respondents .............................................................................................................................. 67
Graph 3. 4 - Respondents’ Level of Education ................................................................................................................ 67
Graph 3.5 - Purpose of Visit ............................................................................................................................................. 68
Graph 3. 6 - Type of Travel ................................................................................................................................................ 69
Graph 3. 7 - Travel Party Composition ............................................................................................................................. 70
Graph 3. 8 - Length of Stay ................................................................................................................................................ 71
Graph 3. 9 - Patterns of Repeat Visitation ....................................................................................................................... 72
Graph 3. 10 - Arrivals by Dzongkhags ............................................................................................................................ 73
Graph 3. 11 - Major Draw Cards for Bhutan ................................................................................................................... 74
Graph 3. 12 - Activities Undertaken during the Trip ........................................................................................................ 75
Graph 3. 13 - Keywords describing Bhutan .................................................................................................................... 76
Graph 3. 14 - Entry and Exit Sectors ..................................................................................................................................77
Graph 3. 15 - Type of Transportation ................................................................................................................................ 78
Graph 3. 16 - Factors Determining Choice of Hotels ...................................................................................................... 79
Graph 3. 17 - Factors Determining Time of Visitation ..................................................................................................... 80
Graph 3. 18 – Tourist Satisfaction Index ............................................................................................................................ 81
Graph 3. 19 - Value for Money Perceptions .................................................................................................................... 82
Graph 3. 20 - Satisfaction Levels with Hotels (quality vs. value) .................................................................................... 83
Graph 3. 21 - Satisfaction Levels with Restaurants and Food (Quality vs. Value)......................................................... 84
Graph 3. 22 - Satisfaction Levels with Transportation (Quality Vs. Value) .................................................................... 85
Graph 3. 23 - Satisfaction Levels with Quality of Customer Services ............................................................................ 87
Graph 3. 24 - Satisfaction Levels with Variety of Things to Do and See ....................................................................... 87
Graph 3. 25 - Satisfaction Levels with Price of Souvenirs and other Shopping Goods ............................................... 87
Graph 3. 26 - Satisfaction Levels with Ease of Organising Trip to Bhutan .................................................................... 87
Graph 3. 27 - Total Spending of Regional Visitors .......................................................................................................... 89
􀀯􀁌􀁖􀁗􀀃􀁒􀁉􀀃􀀷􀁄􀁅􀁏􀁈􀁖
Table 1.1 - Major Source Markets by Growth Rates ........................................................................................................ 18
Table 1.2 - Country-wise Breakdown of International Source Markets ........................................................................ 19
Table 1.3 - Road and Air Accessibility ............................................................................................................................. 23
Table 1.4 - Major Source Markets by Bed Nights ........................................................................................................... 25
Table 1.5 - Trekkers by Route ............................................................................................................................................ 28
Table 1.6 - Average Length of Stay by Major Markets ................................................................................................... 29
Table 1.7 - Bed Nights by Month ...................................................................................................................................... 30
Table 1.8 - Source Markets by Season of Visitation ........................................................................................................ 31
Table 1.9 - Tour group Size ............................................................................................................................................... 32
Table 1.10 - Dzongkhag Arrivals and Bed Nights .......................................................................................................... 34
Table 1.11 - Accommodation Providers by Bed Nights .................................................................................................. 34
Table 1.12 - Categories of Accommodation Providers .................................................................................................. 35
Table 1.13 - Occupancy Rates by Type of Accommodation (October and Annual) ..................................................... 36
Table 1.14 - Accommodation Analysis and Occupancy Rate by Dzongkhags ........................................................... 38
Table 1.15 - Tour Operator Share of Market (based on Bed Nights) ............................................................................ 39
Table 1.16 - Tourism Earnings Breakdown (USD) ............................................................................................................ 40
Table 2.1 - Travel Party Composition by Major Markets ................................................................................................ 44
Table 2.2 - Repeat Visitors by Major Markets ................................................................................................................ 46
Table 2.3 - Intention to Return to Bhutan by Nationality ................................................................................................ 47
Table 2.4 - Cross-tabulation of Circuit Tourism by Nationality ...................................................................................... 49
Table 2.4 - Holiday Time by Major Source Markets ....................................................................................................... 55
Table 2.6 - Out-of-pocket Spending Categories in USD ................................................................................................ 58