I like the idea of investing in shares that have a tailwind behind them. It should hopefully mean a rising number of customers, more revenue and more profit.
'Tourists' is a vague term. It could be referring to millennials looking for more experiences (over material possessions). It could mean the growing western retiree population entering their golden years and wanting to have fun. It could mean the rising Asian middle class that wants to spend some of their hard-earned money on exploring countries. Perhaps all count as tourists?
Here are two of my favourite shares to take advantage of the growing tourism tailwind:
Auckland International Airport Ltd (ASX: AIA)
This is the company that runs Auckland Airport, the largest airport in New Zealand.
Ever since Lord of the Rings was released, New Zealand has received even more international attention for its beautiful landscapes and friendly population. This is really benefiting the country's biggest airport.
Every month the airport company tells the market its passenger numbers. In the May 2018 update it revealed that total passengers were up 4% on May 2017 and year to date passengers were up by 6.2%.
I think this is a better choice compared to Sydney Airport Holdings Ltd (ASX: SYD) because Auckland is the clear first point of entry for most international flights into New Zealand, whereas several Australian cities share the workload.
It's currently trading at 30x FY19's estimated earnings.
Crown is Australia's largest casino and entertainment provider with its large complexes in Melbourne and Perth.
It seems as though the company has put its Chinese VIP gaming problems behind. It has also divested most of its global operations, making it a much simpler investment for shareholders to get to grips with.
The main avenue for growth, other than growing the number of patrons at its existing locations, is Crown Sydney. Having a luxurious Crown complex in Australia's glitziest city could be an excellent driver for long-term growth.
It's currently trading at 22x FY19's estimated earnings.
Foolish takeaway
Crown seems like it's trading at good long-term value considering how much extra earnings Crown Sydney will add. Auckland Airport is the more attractive business to me, however rising interest rates could significantly hurt its valuation over the next couple of years.
