A comparison study of travel expenditure and consumption choices between first-time and repeat visitors

This study examines the differences in expenditures and consumersʹ product consumption choices between first-time and repeat visitors. We applied the data collected from the 2009 Annual Survey Report on Visitor Expenditure and Trends in Taiwan to estimate visitorsʹ demand of five major travel products: accommodation, food, transportation, entertainment, and shopping. The Almost Ideal Demand System analysis results suggested the consumption of most products followed the law of demand; the resulting income elasticity also indicated these products were normal goods. In addition, we found that previous travel experience does not generate significant differences in preference and consumption patterns.