This is a best prospect industry sector for this country. Includes a market overview and trade data.
Last Published: 12/3/2019

Overview
The Israeli outbound travel market has reached a record number in 2018 with 8.5 million departures by Israelis abroad. Departures by air accounted for 7.8 million, a 10% increase compared to 2017 and 23% increase compared to 2016. The increase in departures has been consistent in the past 6 years, mostly attributed to a favorable exchange rate, an expansion of the “Open Skies” policy and the growing market presence of low-cost airlines.  The larger share of air departures is short hauls (3-7 days). About 40% of departures are in the range of 5-9 days. Only 7% of total departures are for 10 days or longer. The U.S. market share was 5.7% with 439,153 entries by Israelis in 2018.

Table A: Air Departures by Israelis

YearTotal departure by air (in millions)Change from previous year (%)Number of entries to the United States U.S. Receipts (Exports)*
20155.4 15.2402,600$1.8 Billon
20166.2815.2409,600 $1.76 Billion
2017 7.0912.9421.202$1.67 Billion
20187.810439,153Not available
*Total travel and tourism exports represents the sum of travel + passenger air transport exports (what Israeli visitors spent while in the U.S. + what they spent to get to the U.S.). Source: National Travel and Tourism Office

Israel has been a growth market for the U.S. travel industry in terms of arrivals to the United States and spending due to the strong trade, business, security and R&D activities between the two countries. Israel’s outbound travel market to the United States in 2018 is estimated to have grown 4.3% compared to 2017. Increasing competition with Asian destinations such as China, India, Thailand, Vietnam, and Japan, is evident. To regain market share and attract Israeli travelers, U.S. destinations and travel service providers would need to focus on direct marketing and promotion to Israeli consumers through social media and other digital means.

United Airlines, American Airlines, Delta and Israeli EL-AL airlines operate multiple daily direct flights from Tel Aviv to New York, Philadelphia, San Francisco, Boston, Miami, Los Angeles and Washington D.C. European airlines offer competitive prices and routes to the U.S. via Europe. Over 500 travel agents and about 12 wholesale operators are active in the Israeli outbound travel market. Most operators are conservative in selecting new travel products or expanding beyond popular destinations.

Leading Sub-Sectors
The most popular activities while in the United States are shopping, dining, attending sports events, music festivals, museums, concerts, and performing arts. Israelis are also attracted to trendy accommodations such as boutique hotels and bed & breakfasts in exotic sceneries. Wine tours that include specialized culinary experiences, topped by outlet shopping and sports/arts performance would make the highlight of any trip.

Opportunities
Israeli tour operators and media representatives attend the U.S. Travel Associations’ International Pow Wow (IPW) yearly to meet suppliers and to expand their offerings. Boutique hotels, ground transportation, culinary tours, outlet shopping, music festivals, family travel destinations and cultural events may find opportunities in Israel, especially by offering quality products and flexibility. For more information, please contact U.S. Commercial Specialist Yael Torres at: Yael.Torres@trade.gov 

Web Resources

 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.


More Information

Israel Travel and Tourism Trade Development and Promotion