Families and Older People ‘Leading Travel Rebound’
According to new study, more families and senior citizens are leading a recovery in post-pandemic holiday travel.
More than a third (38%) of customers are going to take an overseas vacation this year, up from 30% in 2022, according to a survey of 1,000 respondents.
Families were the category most likely to take a vacation in 2023, with 75% indicating that they would do so.
According to a poll conducted by audit, tax, and consulting firm RSM UK, it also appears that persons between the ages of 55 and 64 will begin to feel more optimistic and confident about travelling again in the wake of Covid-19.
Only 14% of individuals say they'll cut back on short travels of 1-4 days during the next three months, and 10% say they'll cut back on extended vacations lasting at least five days.
In contrast, 40% of consumers want to cut back on indulgences like eating and drinking out, while 34% aim to do the same for takeout and deliveries.
Every income level of respondents, as compared to 2022, raised their intentions to travel abroad for extended or brief periods of time this year.
However, the goals of high-income households and those with low incomes clearly differ from one another.
54% of those who make £60,000 or more yearly and 22% of people who make £20,000 or less do long-term international travel planning in the following 12 months, respectively.
Only 11% of low-income households expect to go abroad for short stays in the coming 12 months, compared to 44% of high-income households.
"It's clear that there is pent-up demand; consumers are itching to get away and escape current doom and gloom after facing numerous Covid-related restrictions over the past couple of years, and not even the cost-of-living crisis is deterring them," said Ian Bell, partner and head of travel and tourism at RSM UK.
“Travel is at the top of consumers’ priority list, with them preferring to ditch discretionary purchases such as eating out and takeaways in order to enjoy a holiday.
“There’s a great sense of optimism in the sector for 2023. The year has already got off to a promising start, with ‘Sunshine Saturday’ reported to be a huge success for travel companies, as consumers regain their confidence to book ahead.”
He added: “There’s no denying that the cost-of-living crisis will be front and centre of consumers’ minds when deciding to book a holiday, so value for money will be important. In a bid to reduce costs, we’re likely to see consumers cutting the duration or frequency of their holidays, or even opting for a cheaper location where their money goes further.
“All-inclusive trips are likely to be particularly popular as consumers look to spread the cost of the holiday, but ultimately it will be high-end travel operators that luck out in 2023.
“There is, however, a dark cloud to this silver lining for the sector in the form of strikes by border force staff.
“With government claiming public sector pay rises would negatively impact the recovery of inflation, it looks unlikely we’ll see a resolution to this issue anytime soon. If chaos does unfold in UK airports this could very well hinder the success and recovery of the travel sector.”