The Olympic Games are undoubtedly the world’s foremost sports competition and the allure of watching the extravaganza unfolding in the City of Lights is hard to miss. No wonder, like many other nationalities from around the world, Indians, too, are travelling during this time to not just visit Paris but also to explore various destinations around it.
Booking.com’s search data from May shows that India was one of the top five countries in the Asia-Pacific (APAC) region searching for flights to Paris between July 26 and August 11 with “Indians looking to travel to destinations close to Paris including Nice, Cannes and Cap D’Agde that are seeing a notable y-o-y increase in searches”, as per Santosh Kumar, country manager for India, Sri Lanka, Maldives and Indonesia at Booking.com.
For Airbnb, the Paris region has seen a 40% increase in active listings, with a 30% increase in bookings made from India for stays in and around Paris during the Games such as Nice, Aubervilliers, Colombes and Saint-Ouen-sur-Seine.
The vacation rental company has also witnessed the highest increase in travellers coming from India, mainland China, Hong Kong and Japan. “Travellers are venturing beyond traditional tourist spots to explore cities like Saint-Denis and Bordeaux to catch their favourite sports,” says Amanpreet Bajaj, Airbnb’s GM for India, Southeast Asia, Hong Kong and Taiwan.
Global sporting events play a crucial role in influencing people’s travel plans, and the ongoing Paris Olympics isn’t going to be an exception either. Thomas Cook (India)’s consumer data trends reveal 23% of consumers take such events into account while choosing destinations to travel. As a result, the travel company has seen a 40% surge in demand for such destinations. As for the Paris Olympics, it is offering some premium programmes that work out to Rs 11 lakh per person in a group of around 50 customers.
Sports tourism is a rapidly growing segment projected to be worth $1.8 billion globally by 2030 and over 73% of Indians are planning to travel for a number of international sporting events scheduled through this year, says Kumar of Booking.com.
Meanwhile, the Olympic Games are expected to attract more than 15 million visitors in Paris, generating an estimated 11 billion euros in economic activity. But all the hype around visiting the destination has disrupted travel plans for international travellers due to overcrowding and higher pricing.
As per data from French aviation company Air France-KLM Group, travel between Paris and other destinations is below the usual June-August average as residents in France seem to be postponing their holidays until after the Olympic Games or considering alternative travel plans. It estimates a negative impact of 160 million to 180 million euros for the period of June-August, revealing pressure on projected unit revenues for the summer season with traffic to and from the French capital lagging behind other major European cities.
The Games forecast up to 3 million additional visitors in Paris in 2024, but it brings challenges for the French tourism industry. “Short-term rentals will play a key role as the sector is more elastic in terms of capacity than hotels,” says Alexander Goransson, senior consultant at Euromonitor International, a global business intelligence, research data and analysis company. In a statement, Goransson shared that the Games are organised near most iconic sites such as the Eiffel Tower, Versailles Palace and the Champs-Elysees but non-Olympic visitors will be avoiding these iconic sites, if they will have access to them at all.
“Museums and heritage sites will be negatively impacted as will organisers of guided walks and tours with their activities restricted due to street closures. Airports will be busy and non-Olympic travellers are advised to avoid them three days before the opening ceremony and after the closing ceremony. Arguably, Paris is the hub of the European high speed rail network, with connections to four European capitals—relieving pressure on Paris’s airports,” said Goransson.
While the accommodation and transportation prices have risen significantly, deterring budget-conscious tourists from visiting, Vineet Raina, MD, Pink Elephant Journeys, a luxury and experiential travel company, gives a number of reasons for tourists avoiding Paris. “The influx of athletes, officials, media and spectators leads to overcrowded attractions, public transportation, and restaurants. Enhanced security protocols cause disruptions and longer wait times at popular sites. Hotels and rentals are reserved for participants, leaving fewer options for regular tourists. Changes in public transport schedules, and other logistical adjustments can make the city seem less accessible to tourists. These factors combined lead to a temporary decline in the number of regular tourists visiting Paris during the Olympic period,” he explains.
If the Games are expected to bring a surge in leisure travel, the lower demand can be seen as a temporary adjustment. “This dip in travel in the short term is allowing Paris to focus on catering to the massive influx of leisure travellers visiting the market in July,” says Christina Choueifaty, senior account manager, STR, a subsidiary of CoStar Group.
Quoting the STR observatory – In Extenso for Atout France report, Sheetal Munshaw – Director Atout France India, France tourism development agency, says, “In Paris, hotel booking data are up sharply over the period of the Olympics (+40 points to date), but down in July (-5 points). This decline can be observed in the March-June period for the capital.”
“Summer season is a peak time to travel to Europe and the demand is high. As a result, it is one of the most expensive places to visit in the region with airfares and hotel rates on the rise on most travel websites,” says Amit Kanojia, director of Virkauf DMC, a company that specialises in tours in the UK, Europe and Scandinavia.