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National tourism indicators, second quarter 2016

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Released: 2016-09-29

Tourism spending in Canada

$20.8 billion

Second quarter 2016

1.1% 

(quarterly change)

Tourism spending in Canada rose 1.1% in the second quarter, following a 1.2% gain in the first quarter. Increased tourism spending by Canadians at home and by international visitors in Canada contributed to the overall growth.

This was the 13th consecutive quarterly increase in tourism spending in Canada.

Chart 1  Chart 1: Tourism spending in Canada rises for 13th consecutive quarter
Tourism spending in Canada rises for 13th consecutive quarter

Tourism spending by Canadians at home continues to rise

Tourism spending by Canadians in Canada increased 1.1% in the second quarter, more than twice the pace recorded in the previous quarter. The gain in the second quarter was the largest since the first quarter of 2014.

The increase was mainly attributable to passenger air transport (+3.0%) and, to a lesser extent, accommodation (+1.3%) and vehicle fuel (+1.0%). Tourism spending on non-tourism goods and services (+1.0%), such as groceries and clothing, was also higher.

Outlays on recreation and entertainment were down 2.8%.

Chart 2  Chart 2: Increased tourism spending by Canadians at home
Increased tourism spending by Canadians at home

Spending by international visitors increases

Spending by international visitors in Canada rose 1.0% in the second quarter, following a 4.1% gain in the first quarter. An increase in travel from abroad and a depreciation of the Canadian dollar versus its US counterpart may have contributed to growth in the first quarter.

The increase was mainly attributable to passenger air transport (+3.3%). Accommodation (+1.4%) and food and beverage services (+1.5%) also contributed to the gain. Conversely, recreation and entertainment declined 2.7%.

Outlays on vehicle fuel (-2.8%) and non-tourism goods and services (-0.3%) were also lower. The appreciation of the Canadian dollar against the US dollar and a decline in car travel from the United States may have contributed to the decreases.

Chart 3  Chart 3: Gain in tourism spending by international visitors
Gain in tourism spending by international visitors

Tourism gross domestic product increases

Tourism gross domestic product (GDP) grew 0.8% in the second quarter, following a 1.3% gain the previous quarter. A slowdown was recorded in most tourism industries. By comparison, national GDP declined 0.2% in the second quarter, after increasing 0.6% in the first quarter.

The increase in tourism GDP was driven by transport (+1.8%) and accommodation (+1.5%). Tourism GDP in non-tourism industries (+0.5%) also rose, while other tourism industries (-1.1%) posted a decline.

Tourism employment rose 0.7%, following a 0.2% gain the previous quarter. Air transport (+3.2%), food and beverage services (+0.8%) and accommodation (+0.4%) were the largest contributors to tourism job growth; all three tourism industries posted stronger job increases in the second quarter than in the first quarter. Tourism employment in non-tourism industries (+0.3%) was also up. Conversely, the number of tourism jobs in recreation and entertainment (-0.3%) decreased.


  Note to readers

Growth rates for tourism spending and gross domestic product are expressed in real terms (that is, adjusted for price changes), at 2007 constant prices, as well as adjusted for seasonal variations, unless otherwise indicated. Employment data are also seasonally adjusted. For information on seasonal adjustment, see Seasonally adjusted data – Frequently asked questions.

Associated percentage changes are presented at quarterly rates unless otherwise noted.

The national tourism indicators are funded by Destination Canada.

Products

The System of Macroeconomic Accounts module, accessible from the Browse by key resource module of our website, features an up-to-date portrait of national and provincial economies and their structure.

The Methodological Guide: Canadian System of Macroeconomic Accounts (Catalogue number13-607-X) is available from the Browse by key resource module of our website, under Publications.

The User Guide: Canadian System of Macroeconomic Accounts (Catalogue number13-606-G) is also available from the Browse by key resource module of our website, under Publications. This publication will be updated to maintain its relevance.

Contact information

For more information, or to enquire about the concepts, methods or data quality of this release, contact us (toll-free 1-800-263-1136; 514-283-8300; STATCAN.infostats-infostats.STATCAN@canada.ca) or Media Relations (613-951-4636; STATCAN.mediahotline-ligneinfomedias.STATCAN@canada.ca).

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