Adapt To Stay Competitive

Travel and personal time are valued more than ever according to Expedia Group’s Traveler Value Index: 2022 Outlook.

The newly released Outlook reports that travellers rank flex travel at the top of their priorities and are focusing on more responsible and mindful travel.

Expedia Group’s report also underscores the resilience of the industry and reveals how travel companies can adapt to achieve a competitive advantage in this rapidly evolving environment.

Expedia Group’s Traveler Value Index: 2022 Outlook predicts the following:

Most people will travel in the next six months — and frequent, quick trips are trending

More than three quarters (78%) are interested in taking frequent short trips. As people head back into the office and kids remain in school, individuals and families may be looking for more quick adventures. More than eight in ten (81%) plan to take at least one vacation with family and friends in the next six months.

People will invest more in travel compared to pre-COVID-19

More than half (54%) say they plan to spend more on trips than they did prior to the pandemic.

Travellers will use loyalty points accumulated during the pandemic to help fund trips

Two in five (40%) plan to use loyalty points for at least part of a trip in 2022. Gen Z conserved the most loyalty points that could be used for travel.

International travel will start to make a comeback

Approximately half of millennials and Gen Z say they’re likely to travel internationally or already have an international trip booked, while older generations are more reluctant.

Great deals and flexibility remain top priorities

More than eight in ten say flexible fare options make a world of difference.

People will travel more responsibly and consciously

Nearly half (43%) will add in extra time for services and transit, helping to minimize long lines, stress on workers, and missed flights. Almost all (93%) say they will adapt travel plans because of current lack of workers in the tourism industry.

Sustainable trips will rise in popularity

Nearly two-thirds (59%) are willing to pay more fees to make a trip sustainable. About half (49%) will choose a less crowded destination to reduce effects of overtourism.

There will be a surge in travel for personal wellness

More than a third (36%) are searching for a sense of contentment and mental wellbeing. The healing effect of travel is important for many.

Workers will use personal days or travel like never before

Nearly two-thirds (59%) say they are more likely to take a two-week vacation.

Travel companies must continuously adapt to remain competitive in uncertain times. Some considerations:

• Offer refunds or credits if plans change. Clearly communicate cancellation and change policies.
• Provide a range of options and pricing to capture demand across all types of travellers and trips.
• Proactively share COVID-19 updates and guidance with customers, from travel restrictions in the area to on-property updates such as cleanliness protocols and staffing levels.
• Strive to be a companion for travellers every step of the way. Deliver on promises, collect customer feedback, respond to reviews, and adapt accordingly.
• Offer new incentives to attract travellers to differentiate in a recovering market
• Consider introducing new deals specifically for quick trips to achieve a competitive edge.
• Factor in the impending redemption of loyalty points.
• Ramp up marketing, particularly in the markets where people are most keen to travel domestically and internationally.
• Integrate wellness and wellbeing messages into your marketing and package promotions.
• Increase your commitment to sustainability and expand eco-friendly trip options to attract travellers.

The study was conducted in November 2021, in collaboration with Wakefield Research among 5,500 adults across Australia, Canada, France, Germany, Japan, Mexico, the U.K., and U.S. Findings were also sourced from the Expedia 2022 Travel Trends Report and the 2022 Vrbo Trend Report.