Hello, summer, here we are. Have you made your travel plans? While the old ‘2 weeks at the beach’ standby may be fading, long weekend getaways and different experiences are re-shaping what travelers are looking for. With travel more affordable this summer, we’re seeing more people than ever on the go. Here are industry stats and trends that are influencing travel this summer:
AFFORDABILITY AND SAFETY
One of the main influences on any non-essential purchase like vacation travel is the economy, and it’s making travel more accessible than it has been in years; individuals, couples, and families are on the move. Start with an economy that is perceived as healthier than it has been in the past several years, coupled with lower fuel prices, which in turn lowers the cost of both auto and air travel, and you have a good starting point.
Safety concerns regarding terrorism, especially in Europe, and the Zika virus in Central and South America as well as the Caribbean, create the desire for more home-based travel across the United States.
EFFECT OF P2P
The effect of peer-to-peer travel (P2P) is also significant on many levels, and the hospitality industry is not particularly happy with its growing popularity. As more people use P2P options such as Airbnb, VRBO, and FlipKey, several things start happening. Typically, conventional hospitality outlets (resorts and hotels) can charge their highest rates throughout high demand periods, but with the prevalence and availability of additional rooms in the marketplace through P2P services, they’re being forced to reduce prices and as a result are losing profits. When travelers book a P2P, hotels also miss out on the ancillary revenue they depend on from food and beverage, spa treatments, ‘resort fees’, premium movies, etc.