The halal tourism primer

A primer on a key emergent segment in the world tourism industry.

Source - by Asep Syaeful Bahri via Pexels

Source - by Asep Syaeful Bahri via Pexels

A 2019 New York Times article states that since 2016, the number of Muslim travellers have grown nearly 30 percent. Similarly, a 2018 joint study by MasterCard and Crescent Rating, a research group that tracks halal-friendly travel, showed that in 2018 there were an estimated 140 million Muslim travellers worldwide — up from 131 million in 2017.   

Halal tourism is, therefore, clearly a growing market segment, with Muslim tourists seeking destinations which meet their needs, in terms of diet, dress or rituals.

What is "halal tourism"?

From Arabic, ‘halal’ means permissible in accordance with Islamic teaching. Hence, halal tourism has Islamic law as its base to deliver tourism products and services to the target customers who are mainly Muslims. This concept is then often described as any tourism object or action which is permissible according to Islamic teachings to use or engage with Muslims in tourism industry. The location of activity is not limited to the Muslim world and the motivation for travel is not necessarily religious.  

Why the growth?

In the past, majority of trips by Muslims was to Saudi Arabia for the Hajj and Umra pilgrimages, or for migrated Muslims to travel back to their home countries to visit family and friends. However, going back 50 years, there has been a break in this tradition. With developments in technology and transportation facilitating more accessible travelling, younger, affluent Muslims became open to travelling for leisure to multiple destinations around the world. This change is arguably at the core of the growth of halal tourism. 

Another reason for the expansion includes the rise in Islamophobia post the 9/11 attacks. This was a true turning point that inadvertently led to new destinations becoming popular with Muslims. In some of the richer countries, like Qatar and Saudi Arabia, people historically went to Europe and America, but post September 11 there was a complete overhaul for this demand, where other countries replaced many European and American destinations.  

In recent times, the ongoing debate and politicisation in many European countries surrounding Muslim women’s clothing, including the burkini, is also feeding the growth of the halal tourism industry, where Muslim tourists demand a destination which is safer for them. 

Though the level of adherence to faith-based needs vary from one traveler to another, now there is a louder demand by Muslims tourists for at least some form of faith-based need while traveling. The vast majority of Muslims will at the very least look for halal food, nonetheless, this need has been growing in depth and demand. 

Lastly, with a population that is disproportionately young, educated and upwardly mobile, Muslim tourists have become one of the fastest growing demographics on the global tourism scene. 

What does halal tourism cover?

With the rapid developments in the halal tourism ecosystem, the changing profile of Muslim travellers, Crescent Rating has presented a refresher of a model which was originally published in 2009. Dubbed, “Muslim Traveler Faith-Based Service Needs 2.0” the new model depicts nine key faith-based needs that influence the consumption behaviour of Muslim travellers.

Must have services

  1. Halal food; most important service that a Muslim seeks. Having food outlets with proper and easily identifiable halal assurance is the preferred option.
  2. Prayer facilities; the need to have designated qibla marked prayer places with facilities to perform ablution, or wudu. These places are expected to have prayer mats, prayer garments and copies of the Quran.  
  3. Water and wudu-friendly washrooms; the availability of water in the toilets with hand showers and bidets. 
  4. No Islamophobia; with increasing hate crimes seen around the world, safety and security is a primary concern

Good to have services

  1. Social causes; a key tenet of the Islamic Faith is social justice. Social causes include the ability to improve local living conditions, various green initiatives to protect the environment, and eco-friendly tourism practices.
  2. Ramadhan services; being able to accommodate special needs during the month of fasting. This includes catering pre-dawn halal meals and providing dates to break their fasts at restaurants.
  3. Local Muslim experiences; experiences unique to the destination that allows the traveler to connect with their Muslim identity and heritage. This includes visits and tours to Islamic heritage sites, interacting with local Muslim communities at a local mosque, or experiencing the country with a Muslim tour guide.

Nice to have services

  1. Recreational spaces with privacy; need for privacy for males and females by deploying same-gender facilities with staff to match. This includes facilities such as swimming pools and gyms, spas, beauty salons and, where possible, beaches or sections of beaches. 
  2. No Non-Halal Services; Muslims consider some activities to be ‘Haram’ or non-Halal. Thus, when it comes to traveling, it is important for services to have a family-friendly environment. As such, some Muslims would prefer to avoid facilities that serve alcohol, have discotheques, or are adjacent to a gambling facility.

Popular destinations

The Global Muslim Travel Index 2021 (GMTI), produces an annual ranking of holiday destinations for Muslims. The ratings are based on Muslim friendly environments of worldwide destinations, but for the first time in 2021, the criteria also included ‘travel readiness’, which details how ready destinations are to cope with the challenges of travel in the era of COVID-19. Additional criteria include factors such as access, communication, environment and services. 

In 2021, Malaysia secured the first spot, as it has been ever since the launch of the index in 2015. Subsequently, Turkey, Saudi Arabia, Indonesia and the UAE make up the rest of the top 5. Among the none Organization of Islamic Cooperation (OIC) countries, Singapore maintained the top spot, with the UK and Taiwan moving up to joint second place. Thailand, Hong Kong, South Africa and Japan were also in the top 10

Top outbound Muslim travel markets

2019 records show that the leading outbound Muslim travel market was Saudi Arabia with a value of USD24.3 billion. The top five markets, with corresponding values are;

  1. Saudi Arabia – USD24.3 billion
  2. United Arab Emirates – USD17.2 billion
  3. Qatar – USD14.2 billion
  4. Kuwait – USD13 billion
  5. Indonesia – USD11.2 billion

Technological infusion

Compared to more established western online travel agencies (OTAs), halal tourism e-commerce is still in its infancy, though springing up at a rapid speed. For instance, competing with traditional OTAs such as booking.com or TripAdvisor, Muslim-friendly platforms such as Halalbooking is on the rise.  

Peer-to-peer platforms are also emerging. Bookhalalhomes.com has become the world’s leading portal for halal accommodation rentals. It differentiates itself from Airbnb by guaranteeing halal-certified services such as halal food and designated prayer rooms.

Another link in the technological infusion is the development of apps. For example, Zabiha is an app featuring a large database of halal restaurants in popular travel destinations. Another app, Halaltrip, offers information related to more than 65 destinations worldwide. It generates revenue by selling tour packages

Moving forward

As the world starts to open up again, albeit slowly, the halal tourism market is projected to recover and grow. Muslim travels dropped to 42 million in 2020 from an all-time high of an estimated 160 million in 2019. However, CrescentRating optimistically predicts that the Muslim travel market will return to 2019 levels by 2023.

Pull factors such as family-friendly and Muslim-friendly services are important, as is halal awareness. Where safety concerns and basic halal requirements are met, Muslim tourism will continue to grow.

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