sacred splurge

In the business of belief, sacred journeys yield divine dividends, boosting religious tourism

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India is a land of religions. While faith enriches believers spiritually, large-scale religious events also have a tangible economic impact, driving huge business across key sectors and contributing to economic growth.

In recent years, this trend gained momentum with the construction of Lord Ram's temple in Ayodhya and culminated in the Maha Kumbh Mela this year.

A thriving parallel economy has emerged around such events, prompting analysts and economists to coin the term “Religious Tourism” to describe their economic influence. Let us understand how these events provide a strong boost to the locations where they take place.

POST-PANDEMIC STORY

According to a report titled ‘Sacred Journeys: Unfolding the Evolution and Growth of Pilgrimage and Spiritual Tourism in India’ by consulting firm KPMG, religious tourism accounts for over 60% of domestic travel in India. In 2022, a total of 1,433 million domestic tourists visited pilgrimage sites across the country, while 6.64 million foreign visitors arrived. In comparison, the number of domestic tourists stood at 677 million in 2021 and just 1.05 million in 2020, according to the KPMG report.

This growth in religious tourism can be attributed to two key factors. First, India is home to a vast number of spiritual and holy sites. The KPMG report states that the country has approximately 4,50,000 spiritual and heritage sites, with countless more yet to be explored. The report also highlights that 60% of domestic travel in India is driven by spiritual tourism. Additionally, real estate services firm Colliers estimates that spiritual tourism commands a 30% market share in India's travel and tourism sector.