Individual Travel Cost Method Research Articles

Economic Evaluation of Ewanrigg Botanical Gardens in Zimbabwe Using an Individual Travel Cost Approach

Economists face an environmental goods and services valuation dilemma as natural resources are considered to be common pool resources with no markets. If markets exist they are mostly imperfect which results in undervaluation or overvaluation of natural resources. This study estimated the imputed recreational use value of Ewanrigg Botanical Gardens in Zimbabwe from 2015‑2017 using the Individual Travel Cost Method (ITC) which elicits the consumer surplus and deduces an optimum entry fee. It investigated key socioeconomic factors which influence visits to Ewanrigg Botanical Gardens. A questionnaire survey was conducted on 54 visitors to Ewanrigg Botanical Gardens during the period of the research to solicit for primary data. The primary data were analysed using the Ordinary Least Squares model to obtain a predictive model of visits to Ewanrigg Botanical Gardens. Using the ITC Method the total consumer surplus which equates to the recreational use value of Ewanrigg Botanical Gardens was USD19 142.16/peak period/year. Travel costs, income and employment status were the major factors driving visitation rates to Ewanrigg Botanical Gardens at an optimum entry fee of USD7.81. To maximise profits for self-sustenance of Ewanrigg Botanical Gardens, the Zimbabwe Parks and Wildlife Authority should concentrate on marketing efforts to individuals of higher income and solid employment status and those proximal to the botanical gardens as these incur less travel costs and can afford entry fees. For posterity, the use of ITC Method to ascertain economic value allows for the true valuation of natural resources and is justifiable for the allocation of funds by central government for the management and maintenance of artificial heritage sites such as Ewanrigg Botanical Gardens in developing African countries.

PERCEPTION AND ECONOMIC VALUATION OF WAY BELERANG TOURISM IN THE WAY PISANG FOREST MANAGEMENT UNIT (KPH) USING THE TRAVEL COST METHOD

Visitor perceptions and the economic value of tourism greatly influence sustainable tourism development. The aim of the research is to identify visitor perceptions and calculate the economic value of Way Belerang tourism in KPH Way Pisang. Data collection was carried out using interviews, literature studies and documentation. The data that has been collected is then analyzed using a Likert scale, Zonal Travel Cost Method (ZTCM), Individual Travel Cost Method (ITCM) and Multiple Linear Regression. The research results show that the assessment of visitors' perceptions of the facilities is good. Existing facilities are adequate, but repairs need to be made to the ceiling in the rinse area. Promotion and information are not very good because there is not yet complete media available. The tourist attractions are good, the natural attractions and the tourist atmosphere are very supportive. Security and comfort are good, the parking area is large and the guard posts are manned by officers. The average cost to travel to Way Belerang Tourism is IDR 58,876/person/visit, so the economic value of Way Belerang Tourism is IDR 939,725,328/year. Comparison of travel costs based on the visitor's zone of origin within the district Rp. 23,083/zone/visit times, outside the district Rp. 55,195/zone/visit times and outside the province Rp. 114,545/zone/visit times. Supporting promotion and information on Way Belerang requires adequate tools for promoting tourist attractions so that the tourist attractions are more visited by visitors and improving the facilities available at Way Belerang.

Nilai Ekonomi Objek Taman Wisata Sungai Mudal Menggunakan Metode Individual Travel Cost Method

The Sungai Mudal Tourism Park is situated in Banyunganti Hamlet, Jatimulyo Village, Girimulyo District, Kulon Progo Regency. This destination showcases ecotourism, emphasizing the natural beauty of the Menoreh mountains and water-based activities as its primary attractions. This study aims to analyze tourist characteristics and determine the potential economic value of Mudal River's natural allure. The potential economic value is calculated via consumer surplus using the Individual Travel Cost Method (ITCM). Tourist characteristics, including age, gender, occupation, income, and distance, are analyzed based on primary data gathered through interviews, observations, and questionnaires, supplemented by secondary data from literature. The findings reveal that Mudal River Tourism Park mostly attracts male visitors (50,9%), drawn to its adventurous offerings. The majority are students aged 15-25 with income levels mostly below Rp1.000.000. Most visitors reside within a distance of 0-50 km, primarily originating from Yogyakarta City. The calculated economic potential value of Sungai Mudal Tourism Park reaches IDR Rp 23.257.628.649,27 per year, averaging IDR 346.634,25 per individual annually in consumer surplus. However, the actual economic value recorded in 2022 stands at IDR 7.052.230.000 which represents 30% of the total potential economic value. This indicates that tourists visiting Sungai Mudal Tourism Park obtain environmental service benefits surpassing the incurred costs. Yet, this potential economic value is non-monetary. Effective management strategies for Sungai Mudal Tourism Park are necessary to enhance the actual economic value of tourism.

Economic Assessment for the Recreation Value of Al-Sunut Forest Reserve in Khartoum State, Sudan

This study aims to present a methodological framework for estimating the recreational value as part of the ecosystem’s services provided by the Sudanese forests. The number of visitors ready to pay for the forest’s services has been analyzed using the individual travel cost method (ITCM). The data were collected using questionnaires with 640 visitors randomly participating at the forest site, and respondents’ results were analyzed using SPSS software v21. Further analysis of ITCM was performed using analysis of moment structure. The linear regression model is used to estimate the effects of variables, like socioeconomic variables, on the frequency of the visits to assess the recreational value of the forest site. The results showed that the consumer’s excess for each visitor was 21,500 Sudanese pounds (SDG), and travel costs, age, income, distance, and family size of visitors affect the recreational use of the site. Most of the visitors were students, with the majority of their ages ranging between 21 and 30. An additional discovery indicated that higher-income visitors were more willing to travel. These encouraging findings are a helpful guide for planning the future management of forests for recreational uses. This meant that forests offer great recreational value, which might help the Forestry Office ensure that natural forests are planned for and used sustainably.

Estimating the recreational benefits of Lake Pandin as a tourism destination in San Pablo City, Laguna, Philippines

In this study, the individual travel cost method and Poisson regression are used to estimate the recreational benefits of Lake Pandin as an ecotourism site. It was assumed that the recreational value of Lake Pandin would be reflected by the travel cost incurred by the tourists during the visit. The local travel origin of international tourists was used to avoid overestimation of recreational value and consumer surplus per trip. A survey was conducted among 250 random foreign and local tourists who visited the lake for leisure between September 2019 and February 2020. The sample size was 35 individuals over the 215 required interviewees estimated using the G*Power statistics software. Based on the applied truncated Poisson model, the visitation rate was affected by travel costs wherein the increase in cost reduced the likelihood of tourists visiting Lake Pandin. The coefficient of travel cost revealed that a peso increment would increase the number of visits in the lake by ~0.0011%. The estimated use-value of Lake Pandin was based on tourists’ perceptions upon visiting the lake. The use value of the lake revealed a consumer surplus of PHP 1,652.34 per visit per person in a year, with a total recreational benefit of PHP 48,795,439.52. Applying the present value of the total consumer surplus considering the 2019 tourist arrival data of 29,531, the estimated value of the total consumer surplus of Lake Pandin is PHP 53,674,983.47. Applying r at 10%, the present value of the total consumer surplus is estimated to increase to PHP 78, 585.30 by 2023. This implies that Lake Pandin has great potential for future development. However, the balance between economic benefits and environmental significance should be crucially considered to prevent future degradation of the site. Hence, the evaluation of its biophysical aspects is recommended to enhance the sustainable management of the site.

Valuation of Environmental Services City Park 1 BSD Using the Travel Cost Method (TCM) and Willingness To Pay (WTP)

BSD City Park 1 has quite complete functions, including ecological, social, and aesthetics, as well as is also a city landmark and a cheap and healthy tourist attraction for residents, including visitors from outside BSD City. The study aimed to find the factors that influence the number of public visits to City Parks and to determine the value of environmental services from City Park 1 BSD through a revealed preference approach using the Individual Travel Cost Method (ITCM) and Willingness To Pay (WTP). Economic valuation through revealed preference using the Travel Cost Method (TCM) calculation, the individual Consumer Surplus value is IDR 55,664/visit with an average stay of 4.8 personal holidays per year. If it is estimated that there are 104,150 visits/year, the Economic Value of City Park 1 BSD is estimated at IDR 5,797,422,757/year. The Willingness to Pay (stated preference) analysis results for additional facilities include the average individual WTP for other sports facilities of IDR 7,619.00; The average particular WTP for adding the number of trash cans is Rp.7,619.00; The average individual WTP increases the number of toilets by IDR 15,000.00.

Economics of Recreational Ecosystem Services : Application of Individual Travel Cost Method from Nandi Hills Forest in Karnataka

Economics of Recreational Ecosystem Services : Application of Individual Travel Cost Method from Nandi Hills Forest in Karnataka

Economic Valuation of Lake Tana: A Recreational Use Value Estimation through the Travel Cost Method

Lake Tana is a well-known tourist spot in northern Ethiopia that lures both domestic and foreign tourists. The lake’s value is still underrated, despite the site’s immense potential for recreation and tourism. In this study, the recreational value of Lake Tana is estimated, and the consumer characteristics associated with recreational demand are analyzed. The study employs a Zero-Truncated Poisson (ZTP) regression model for data generated by the Individual Travel Cost Method (ITCM) and draws information from 1094 on-site surveys. According to ZTP regression results, variables that are significantly and positively associated with demand for Lake Tana recreation include the monthly income and age of the visitors and their preference for other recreation destinations such as Tis-Abay and Gondar Fasiledes Royal Castle. However, respondents’ leisure time, overall cost, and residential distance from the recreational site are all negatively associated with the demand for recreation. It is also evident that Lake Tana is endowed with a wealth of attributes, ranging from natural beauty to ancient religious and cultural heritages, making the lake a highly desirable recreation destination. According to the estimation, Lake Tana has a yearly recreational value of around USD 68.5 million. However, it also demonstrates that if lake settings were to improve in quality, the value of Lake Tana would rise considerably, reaching USD 151 million. The value of sentimental attachment implies that determining Lake Tana’s recreational value is a key element in the resource’s sustainable utilization and management. To make greater use of Lake Tana’s recreational amenities, however, uncontrolled waste disposal, favorable recreation facilities, and the spread of water hyacinth should be addressed immediately. Furthermore, it is imperative to maintain the lake’s diverse attributes, as the integration of these attributes is what gives the lake its primary appeal.

개별여행비용법을 이용한 강원도 삼척 맹방 해수욕장의 경제적 가치추정

The purpose of this paper is to estimate the economic value of coastal beaches in Samcheok Maengbang of Kangwon Province. ITCM(Individual Travel Cost Method) is applied to estimate the economic value of its beaches using Poisson, negative binomial, truncated Poisson and truncated negative binomial models. The consumer surplus during length of stay per capita is estimated to be 173,790~203810 won in beaches, and the consumer surplus per person and per day 68,280~80,080 won. Annual total economic value of its beaches considering the number of visitors in beaches can be converted to be 65,516 million won.

Estimating the economic value of the ecotourism destination: The case of Tra Su Melaleuca Forest Natural Park in Viet Nam

In this article, the application of the Individual Travel Cost Method (ITCM) aims at providing a deeper insight into visitors? preferences and their expenses on marketed and non-marketed services when travelling to the Tra Su Melaleuca Forest Natural Park, an ecotourism destination in An Giang Province of Viet Nam. The empirical findings from the survey of 237 visitors in 2022 showed that the frequency of trips to this recreational site was 1.3 per year on average and relied strongly on the travel costs. Additionally, the estimate of tourism revenues for 2022 of this site was 82,3 billion Viet Nam Dong (VND; equivalent to 3,5 million USD). Meanwhile, its economic value calculated by the ITCM application reaches 206,2 billion VND (or 8,8 million USD). It is obvious that a greater economic value over the monetary amount of revenue also raises several ideas of managerial implications dedicated to the recreational site. It includes building a marketing team for developing recreational services and digital marketing performance, expanding tour services like transportation, lodging, local guides. Finally, enabling local people to engage in dialogues, decision-making, and interest shares is also necessary for the sustainable development of ecotourism.

Estimating the recreational use value of Tis-Abay Waterfall in the upstream of the Blue Nile River, North-West Ethiopia

Tis-Abay Waterfall is a famous tourist destination in northern Ethiopia, attracting both domestic and international visitors. Although the site's recreation and tourism potential are enormous, the value of the waterfall remains underestimated; an application of economic valuation methods can provide information to better utilize the resource. This study estimates the recreational value of Tis-Abay Waterfall and analyzes the consumer characteristics associated with recreational demand. Drawing on data from 1044 on-site surveys, the study uses the Individual Travel Cost Method (ITCM) with a Zero-Truncated Poisson (ZTP) regression model. Results of the ZTP regression suggest that visitors' age, monthly income, and interest in alternative recreation sites like Lake Tana and Gondar Fasiledes Royal Castle are variables significantly and positively related with recreational demand for the Tis-Abay Waterfall. However, visitors' recreational demand is negatively associated with respondents' distance from the site, leisure time, and total cost of site access. The appraisal suggests that the Tis-Abay Waterfall has a significant annual recreational value of $9.5 million. But it also shows that the waterfall's value would increase significantly, up to $17.3 million, with hypothetical quality improvements in the waterfall settings. The value attachment suggests that estimating the recreation value for Tis-Abay Waterfall is a central component in the sustainable use and management of the resource. However, the presence of unfavorable trade-offs with the electric power plant and the inadequate infrastructure and services for reaching the site are major concerns that require immediate attention to make better use of Tis-Abay Waterfall's recreational services.

Economic valuation of the Curiak Island area on the development of tourism of special interest of wetlands in Barito Kuala District, South Kalimantan

One of the problems faced in the development of natural tourism is that until now it is not widely known how much recreation value is in a tourist area, such as on Curiak Island. In addition, in the context of making decisions for the development of the use of a tourist area, the value of the big and small of an economy. This study aims to determine the factors that influence the function of visitor demand to Curiak Island and the economic value of the Curiak Island tourist attraction, Barito Kuala Regency. Data collection techniques using observation, interviews and questionnaires. The data processed using descriptive analysis, multiple linear regression, and also using the consumer surplus formula. From the results of the study, there are two factors that effect demand function for ecotourism in Curiak Island, namely income and travel costs. From the calculation results, it can be seen that the consumer surplus based on the individual travel cost method is IDR 251,690.46 per individual in per visit and the economic value of Curiak Island is IDR 520,999,252 per year.

ECONOMIC VALUE OF WILDLIFE SANCTUARY: A CASE STUDY FROM THE WESTERN GHATS IN KARNATAKA, INDIA

Goods and services of the ecosystem provided by the natural environment have not been considered in terms of their economic value. There are a number of studies that have estimated the economic value of forest ecosystem services in India, but very few studies have estimated these economic values of other important ecosystem services.  Biligiri Rangaswamy Temple Wildlife Sanctuary (BRTWLS) is a unique place as a bridge between the Western Ghats and the Eastern Ghats in Karnataka, India. There are 12,500  Soligas (tribal community) living in this area.  Non-timber forest products constitute more than 60% of the Soliga household income. A number of studies have been conducted in the BRTWLS. However, there is a lack of studies on the economic value. The primary objective of this study is to estimate the value of ecosystem services provided by BRTWLS. This study has used the market price methods for estimating the value of provisioning services and individual travel cost method for estimating the value of recreation services, while the value of carbon sequestration and soil erosion prevention has been estimated based on secondary data. This study has estimated the total annual value of provisioning, regulating and cultural services of BRTWLS at Rs 23.9 million y-1. The findings of the study will be helpful to the local policy makers to increase the entry fee at the BRTWLS, as it provides valuable ecosystem services and reinvests the same in natural capital to achieve environmental sustainability at the local level.

Economic Valuation of Marine Tourism Based on Bio-Ecoregion (Case Study in Batukaras Beach, Pangandaran District, West Java Province, Indonesia)

The COVID-19 pandemic has an impact on all economic sectors and the order of life in society, including the marine tourism sector. As in the Batukaras Beach tourism area, West Java Province. This research aims to analyze the factors that influence the level of tourist visits marine tourism area of Batukaras Beach and the economic value of marine tourism. The research conducted in May 2021 – June 2022. The data used primary and secondary data, using purposive sampling as many as 106 respondents using multiple linear regression and travel cost method. Based on the results of the research, the factors that influence marine tourism visits are variables X1 natural conditions of marine tourism, X2 types of marine tourism attractions, X3 distance traveled, X4 length of time for tourism activities, X5 level of education, X6 income level, X7 age, X8 travel cost. Based on this research it was obtained economic value of the marine tourism environment based on travel expenses in Batukaras Beach is IDR 79,795,000. Consumer surplus or tourists' willingness to pay based on the individual travel cost method is IDR 2,975.08/individual/visiting and economic value of marine tourism based on willingness to pay in Batukaras Beach IDR 1,039,130,027.

Valuing nature-based recreation in forest areas in Italy: An application of Travel Cost Method (TCM)

Nature-based recreation provides benefits facilitating social interactions and cohesion, creating job opportunities, and stimulating the local economy. The aim of this study was to assess the recreational economic value of different forest areas considering two aspects: stand features and proximity of the forest to urban areas. An individual Travel Cost Method (TCM) was applied in three study areas in Italy involving 603 visitors in the survey. The results show that in all three case studies the most important forest-based recreational activity carried out by visitors is hiking, followed by picnicking and mountain biking. The TCM estimates a consumer surplus between €7.33 and €17.37 per visit. The key points highlighted by the study are that: managed natural forests have a higher recreational economic value than unmanaged artificial forests; the peri-urban forests are characterized by a higher number of visitors but a lower value per visit than mountain forests.

Consumer surplus analysis using the Travel Cost Method (TCM) at the Petrus Kafiar Beach tourist attraction, Manokwari Regency, West Papua

This study aims to determine the economic value of tourism objects and whether there is a consumer surplus at the Petrus Kafiar beach based on the Travel Cost Method (TCM). The consumer surplus value is obtained by using the Individual Travel Cost Method (ITCM) approach and willingness to pay to calculate the willingness to pay of tourists visiting Petrus Kafiar Beach. The value of WTP obtained is Rp. 23,358.21 per person per visit. Meanwhile, the average WTP (willingness to pay) per year for one visit is only Rp. 5,491.23. The results of the integral calculation to find the consumer surplus of visitors to the Petrus beach tourism object, the consumer surplus is ranged from Rp. 5,201.5  to Rp. 10,403.91 per individual/visit.

Valuasi Ekonomi Ekowisata Kawasan Ekosistem Esensial (KEE) Pantai Taman Kili-Kili Kabupaten Trenggalek

Ecotourism KEE Kili-Kili beach, located in Trenggalek Regency, is rich in biodiversity and natural beauty. Valuation is needed to determine the use value or benefits of resources and the environment. Economic value of resources that offer natural beauty, in general, are non-market (does not have a market price) because they are public goods. This study aims to estimate the potential economic value of KEE ecotourism at Taman Kili-Kili beach, Trenggalek Regency. This study is a quantitative study with multiple linear regression analysis to determine the factors that influence the number of tourist visits. Meanwhile, to find out the economic value, the individual travel cost method (ITCM) is used. The results showed that only the motivation variable had a significant effect on the number of visits variable. The economic potential of ecotourism KEE at Taman Kili-Kili beach reaches Rp. 34,580,440,612/year. The magnitude of the value of the economic benefits of natural resources and the ecotourism environment of the Taman Kili-Kili KEE coast is expected by managers and related stakeholders to improve ecotourism management by adding tourist facilities and attractions to provide more satisfaction for visitors. In addition, the improvement of the access road to the location is very necessary in order to provide convenience and comfort in reaching the location.

Valuasi Nilai Ekonomi Agrowisata Bukit Waruwangi Menggunakan Metode Biaya Perjalanan

Bukit Waruwangi Agrotourism is a new tourist destination in Serang Regency, Banten Province that offers the experience of enjoying a farm with grassland surrounded by beautiful hillside views. A good understanding of the visitors perception, contributory factors of the visit demand, as well as the potential value of tourism activities are fundamental in formulating effective farm management policies. This paper used the individual travel cost method to estimates the recreational value of Bukit Waruwangi Agrotourism. In general, visitors have a good perception of the farm. However, parking facilities, road access, and visitor shelters need to be improved. Travel costs, education level, and distance significantly affect the recreational demand. The value of a single farm visit is estimated to be Rp 18,266.00 per person and estimated annually at Rp 2,465,900,000.

Economic Value of Recreational Benefits from the Mudumalai Tiger Reserve, Tamil Nadu, India: An Individual Travel Cost Approach

The study reported in this article estimates the economic value of recreational benefits of the Mudumalai Tiger Reserve (MTR) in the Nilgiris district of Tamil Nadu, and its determinants using the Individual Travel Cost Method. The tiger reserves in India account for more than a half of the world’s tiger population and are providing a variety of ecosystem services. Most of these services, recreational services in particular, are non-marketed in nature. Hence, the economic value of the recreation services needs to be measured so that the public’s scarce resources can be allocated efficiently for future protection, planning and managing the tiger reserves. Based on the information from primary surveys, our estimated result indicates that the annual recreational value of the MTR is equivalent to ₹114.26 million. The study also found that travel cost, respondent income, family size, gender and site quality are the most important determinants of demand for recreation at MTR. This implies that the recreational value generated by the MTR is significant and more investment in the reserve will enhance future recreational benefits as well as various other ecosystem benefits.

Determination of Tebing Keraton Recreation Demand Functions With Travel Cost Method

Forest recreation services as additional products that are intangible. It can not be quantified because it does not have a price on the normal market system. It underlies a study to determine the economic value of recreation, with case studies Tebing Keraton using the Individual Travel Cost Method. Analysis of data obtained from questionnaires using data processing equipment SPSS version 21 with multiple linear regression method to get the Tebing Keraton recreation demand functions. The variables that influence the number of visits are travel cost, total income, age, mileage, and gender. Coefficient values of variables determine the trend in increasing or decreasing the number of tourist visits. In this study, the demand functions divided into two recreational functions for students/scholar and for working people considering total income per month category. Based on the regression results, demand functions for students/scholar, is Y=-2.179–0.0000347X1+0.286X2+0.159X3-0.0000794X4-0.267X5, and for working people is Y=1.994–0.00000164X1+0.53X2-0.32X3-0.003X4-0.334X5. The regression result obtained a coefficient of determination (R2) that the percentage of the diversity of demand number of visits to Tebing Keraton which can be explained by the independent variables in the model. R2 value of model for students/scholar is 67.1%, which is more than 0.5, showing the moderate accuracy. While for working people, the value of R2 is 48.9%, which is in the range of 0.31 – 0.5, indicate the weak accuracy.