“What is the difference between inbound and outbound?” “Is inbound a term used not only in the tourism industry but also in the marketing field?”
As mentioned above, many people have doubts about inbound tourism. The word inbound has the meaning of “from the outside to the inside,” but it is used differently depending on the industry.
In this article, we will use specific examples to explain the basic meaning of inbound and how it is used in each industry.
What is inbound?
Inbound means coming in from outside, and is a term often used in the travel and tourism industries. When we say “inbound to Japan” in a travel-related context, we often mean “foreign tourists visiting Japan.”
“Inbound” in business in general means that an action is taken by the customer rather than by the company, such as receiving inquiries about products or services from the customer.
In the following sections, we will explain the antonym of inbound, “outbound,” and introduce the meaning of inbound for each industry.
Difference between inbound and outbound
Inbound and outbound are antonyms. Inbound means inward, that is, coming in from the outside.For example, in the travel and tourism industry, it means foreign tourists visiting Japan.
On the other hand, outbound means going outward, that is, going from inside to outside, and in the travel and tourism industry, it means Japanese people traveling abroad. In general business, the work of calling customers from a call center and walk-in sales are called outbound.
Next, let’s look at typical examples of inbound and outbound.
Typical example of inbound
A typical example of inbound business is inbound business. Inbound business is business for foreigners visiting Japan.
Typical examples of inbound business include Don Quijote and Matsumoto Kiyoshi. Don Quijote and Matsumoto Kiyoshi continue to grow inbound sales despite headwinds from tougher tariffs in China. Aiming to encourage Chinese tourists to buy big, the store has implemented effective measures for foreign visitors to Japan, such as using not only Japanese signage but also Chinese signage in the store, and creating a tax-free checkout counter. I’m doing it.
Representative examples of outbound
As mentioned above, outbound means “from the inside to the outside.” Two typical examples of outbound are:
Meaning of inbound by industry
Inbound has different meanings depending on the industry. From here, we will explain the meaning of inbound in each industry.
The meaning of inbound as used in the tourism industry
The following are terms that include inbound that are used in the tourism industry. Let’s take a look at the meaning of each.
Inbound tourism
Inbound tourism refers to trips by foreigners to Japan, and is also called trips by foreigners visiting Japan. Inbound tourism brings many economic benefits, as many foreigners come to Japan with an interest in Japan’s unique culture and history.
The following are industries that can expect economic effects from inbound tourism.
Due to the spread of the new coronavirus infection, the economic effect of inbound tourism was temporarily down, but it can be said that it is finally on a recovery trend recently.
Inbound consumption
Inbound consumption refers to consumption within Japan by foreigners visiting Japan. Inbound consumption is the consumption behavior of foreigners visiting Japan, such as lodging, shopping, and eating and drinking.
The huge purchases of home appliances and daily necessities by Chinese tourists are also an example of inbound consumption. Recently, among foreign visitors to Japan, inbound consumption among people from Greater China has been on the rise. Economic growth in China, South Korea, and Taiwan, the impact of the weaker yen, and the relaxation of requirements for issuing short-term visitor visas are thought to be contributing factors to the upward trend in inbound consumption.
Inbound demand
Inbound demand refers to the demand for services in Japan from foreigners visiting Japan, and is sometimes referred to as the “inbound market” or “foreigner travel market”.
The aforementioned booming purchases are also a type of inbound demand. In addition to shopping, inbound demand also includes skiing, theme parks, and other experiences. In recent years in the travel industry, there is a view that inbound demand such as bargain shopping has settled down and demand is shifting from shopping-focused to experience-oriented demand.
Inbound measures
Inbound measures are measures and efforts to encourage foreigners visiting Japan to use domestic services.
We will make our services easy to use even for people who do not understand Japanese or Japanese culture, and prevent loss of business opportunities. Specific examples of inbound measures include the following.
Even when it comes to dealing with foreigners, it may be difficult to accommodate all foreigners, as languages, religions, foods that cannot be eaten, preferences, etc. vary from country to country. However, if we can increase the number of foreign visitors to Japan by taking proper measures to prevent inbound tourism, we can revitalize local regions and have a significant economic effect.
The meaning of inbound as used in the marketing industry
The main term used in the marketing industry that includes inbound is “inbound marketing.”
inbound marketing
Inbound marketing is a term that refers to all marketing activities that arouse interest in your company from customers. A distinctive feature of this service is that the customer spontaneously develops an interest in the product without any sales activity from the company itself.
We use so-called owned media such as websites, blogs, SNS, and email newsletters to brand our products and services while disseminating information that has value and benefits for customers.
We then conduct
lead nurturing
for those customers who have become fans, and ultimately develop them into hot leads with high
LTV
(Life Time Value).
The meaning of inbound as used in the IT/web industry
The following are words that include inbound that are used in the IT/web industry.
Inbound communication
Inbound communication refers to communication that occurs from the outside to the inside. This is so-called reception, and refers to the computer or system receiving data from the outside. Conversely, communication that goes from inside to outside is called outbound communication.
For example, if your company provides web services, other computers or systems may access your company’s server, so inbound communication takes place there.
On the other hand, when you access an external service to view a website, it is considered outbound communication.
inbound link
Inbound links are
links
placed from other websites to the website in question, and are referred to as backlinks. This is a phrase that is often heard when it comes to SEO measures, and it is said that the more inbound links you have, the higher your ranking will be from search engines.
Conversely, setting up a link from a website to another website is called an outbound link, and refers to the so-called originating link.
The meaning of inbound as used in the call center industry
The term inbound is also used in the call center industry. In the call center industry, inbound generally refers to customer support. We will improve customer satisfaction by carefully responding to customer questions and consultations.
Inbound may also include receiving inquiries and applications for products and services, as well as responding to complaints and requests from customers.
About the inbound situation by industry
Below, we will explain the inbound situation by industry.
Tourism industry inbound situation
Tourism is a market that the Japanese government has placed so much emphasis on that it has positioned it as the foundation of the domestic economy. In 2006, the Tourism Nation Promotion Act was enacted to improve convenience for tourists, and two years later, in 2008, the Japan Tourism Agency was established.
Initially, the Japanese government set a goal for the number of foreign visitors to Japan to be 40 million in 2020 and 60 million in 2030
*1
. However, due to the new coronavirus that was announced in Japan in January 2020, the goal for 2020 was not achieved.
As of September 2023, the number of foreign visitors to Japan has recovered to a 3.9% decrease from before the outbreak of the new coronavirus in 2019
*2
, but it is still unknown whether the goal of 60 million people by 2030 can be achieved. I am.
*1Reference:
Number of visitors to Japan to reach 40 million in 2020, government aims to double (Nihon Keizai Shimbun)
*2 Reference:
[Illustration] The number of foreign visitors to Japan in September was 2.18 million, the same level as before the coronavirus, while the Chinese market decreased by 60% – Japan National Tourism Organization (Breaking News) (Travel Voice)
Inbound status in the marketing industry
Japan is said to be an underdeveloped country in
BtoB
inbound marketing, and the reason for this is that marketing itself was not given that much importance in the first place.
Through so-called outbound marketing, Japan has built a period of high economic growth. This was a market where a PUSH type of sales, which could be described as somewhat forceful, would lead to visible results.
Against this background, Japan has become an underdeveloped country in inbound marketing, compared to other countries. However, with the spread of the Internet and the penetration of smartphones, outbound marketing has become less effective, forcing a shift to inbound marketing.
Furthermore, consumer awareness is changing, and an increasing number of people are referring to information on the Internet, such as word-of-mouth and reviews, when purchasing products.
Even in Japan, outbound marketing has already been deemed unsuitable for market characteristics, and the current situation is that it is gradually being adopted by other countries.
Inbound situation in the IT/web industry
In the IT/web industry, the term inbound is mainly used in fields such as general communications, firewalls, and
SEO
. All of these can be considered cutting-edge technologies as of 2023.
General communication
In general communication, data received from the outside is called “inbound traffic,” and data received from the outside is called “inbound data.”
The telecommunications industry is still a growing industry, but there are many challenges ahead. Companies are busy with measures such as “further expansion of IoT,” “building a secure environment,” and “expanding into areas where optical fiber networks are not widespread.”
firewall
For firewalls, communication from the outside to the computer or system is called “inbound communication.”
Firewalls are a rapidly growing field, and the market is expected to expand in the future. However, we are constantly playing cat-and-mouse with hackers, and dealing with hackers who are likely to continue to evolve has become an important issue.
SEO
An example of the term inbound used in the SEO field is inbound links. Inbound links are so-called backlinks that are placed from other websites to your website.
Since the dawn of the Internet around 1994, Google has evolved
its search engine
through a process of trial and error, including the Panda Update, Penguin Update, and Hummingbird.
Even though search engines have been updated many times, inbound links are still highly effective in improving page ratings and improving crawlability, and acquiring high-quality inbound links is an essential part of SEO. It has become an essential element.
In the future, the challenge will be how Google can identify higher quality inbound links in order to further eradicate spam links.
Inbound situation in the call center industry
In the call center industry, inbound refers to inquiries, complaints, requests, etc. from customers, and the work that handles these calls is called inbound call work.
The call center industry has a huge market size. However, in addition to a high turnover rate, there is a chronic shortage of human resources, a lack of skills among operators, and the burden on operators is increasing due to the increasing variety of inquiries.Resolving these problems will be a challenge in the future. It becomes.
summary
In this article, we have explained inbound using specific examples. Inbound is a word that means from outside to inside, and is used in various ways depending on the industry.
Be sure to remember the meaning of terms you often hear, such as inbound tourism, inbound marketing, and inbound sales. In addition to remembering its meaning, it is also important to keep an eye on inbound-related issues and future trends in each industry.
Please use this article as an opportunity to deepen your understanding of inbound tourism from various angles.