There are several factors that affect the demand for tourism. One set of factors deals with the price people have to pay. The cost of getting to a destination is a factor. Higher travel costs may lower demand. The cost of accommodations, food, tours, entertainment, and local travel may all also impact tourism demand. If these costs are high, demand may drop.
There are non-price factors that impact tourism demand. The climate of a location is an important factor. If the climate is too hot or too cold, demand will be impacted. The reputation of a location is another important factor. If a place has many things to do and has many attractions, tourism demand should increase. If a destination is known as a safe location, it will be attractive to tourists. The condition of the economy at home and abroad also impacts tourism demand. If the economy is good, people may be more willing to travel, since they may have more disposable income.
There are several factors that affect tourism demand.