Canadians prefer to travel abroad, increase travel deficit

A country’s failure to convince its citizens not to go abroad for their vacation and choose local travel destinations instead translates into a lot of money being lost. Add not getting enough foreign tourists to compensate the outbound tourism, and you’re hopeless! Canada stands proof for that fact. As Canadians opted for other countries and decided not to explore the varied and always impressive scenery of Canada, they helped their country to a travel deficit of 3.8 billion Canadian dollars in 2010, also fueled by a powerful increase in the fourth quarter of last year.

According to a report from Statistic Canada, Canadian travelers spent 7.9 billion outside their country in Q4 of 2010, while only 4.1 billion were spent here by foreign or local travelers. This of course less to a 1.9 billion increase in international annual travel deficit from a year earlier.

Where did Canadians travel to? The USA seems to have been their number one destination, and they showed their preference by spending 2.9 million Canadian dollars here, up 130 million from Q3 of 2010. US tourists did try to return the favour, but they only spent 7.2 billion during their trips to Canada.
While they do also show an interest in overseas trips, Canadians only spent 923 million in the fourth quarter. While limited in number and spending, even these trips yielded more money being spent than in Q3.

As their tourists show an increasing preference for trips and vacations outside Canada, the country will have to invest in effective marketing campaigns in the US and also in oversees countries, promoting Canada as an extremely attractive travel destination. We have to wait and see if they do better next year!