Designing a Tourism Spillover Index Based on Multidestination Travel

Abstract

The proliferation of multidestination trips provides valuable opportunities for regions to benefit from spillover effects generated by other regions nearby. To better understand the spatial patterns of multidestination travel, we propose a two-stage distance-based model. Results suggest that long-haul tourists (i.e., those who travel far from home) tend to choose a subsequent destination that is closer to the previous destination but farther away from their residences. In addition to sociodemographic and tripographic factors, we recognize the importance of spatial structure effects in determining the travel distance for a multidestination trip. Based on the model estimates, we propose a tourism spillover index to reflect a region’s potential to receive spillover benefits from multidestination tourists leaving a particular region. Finally, we discuss implications for marketing strategies to enhance the attraction potential of specific destinations.