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News / COVID-19 Travel Insight Report by MMGY Global
Global Cues Bring Optimism and Lessons for Recovery
May 21 - There are continuing signs of travel recovery around the world. Hotel occupancies, air load factors, attraction openings and demand generators are all on the rise as economies open up. In the U.S., hotel occupancy has doubled in the last 30 days and intra-EU air travel is on the horizon as Ryanair announced its intention to restore 40% of its flights in July. In China, consumer confidence is growing as domestic travel opens up, and nations are watching to better understand what their own recovery process could look like.
While it’s clear that the road to recovery will require a slow and steady pace, and each destination is contending with unique circumstances and challenges, there is a growing sense of optimism – especially as MMGY Global looks toward traditionally busy summer travel months.
MMGY Global recently sat down with their global Travel Consul partners, BrandStory Asia, AIGO Italy and Interface Tourism Spain to discuss these lessons of recovery and more.
U.S. Traveler Pulse Wave IV Insights
The recently released fourth wave of the MMGY Travel Intelligence and U.S. Travel Association’s TIPS report indicates that travelers are less interested in great travel deals and more interested in impacting the slowing of the spread of COVID-19. The report also suggests though that travelers are still more likely to consider domestic trips within driving distance. However, there is still a significant number of travelers who are willing to postpone – not cancel – their planned vacations, suggesting that there is a sense of brighter days ahead. The overarching sentiment, however, is that having a sense of security about health and safety exceeds the desire for great deals – which will be important as travel brands develop the communication strategies and key message points going forward:• With the interest in driving trips in mind, 32% of all respondents report that they’re willing to drive at least 300 miles each way, and 1 in 5 travelers are willing to drive 500 or more miles each way. Compare this to research conducted prior to COVID-19, which showed that just 24% of travelers had driven at least 300 miles for their vacation
• Overall, there’s been a slight dip in the intent to travel domestically in the next six months, dropping to 36% in Wave IV from 38% in our Wave III report. This most recent figure, however, is still higher than the previous survey that bottomed out at 31%
• Worth noting as a sign of optimism, approximately one-third of travelers remain committed to postponing their scheduled vacations, rather than canceling altogether. That is especially true for trips with longer booking windows, including river cruising and packaged tours
• Overall, the likelihood to travel and stay in a hotel increases as travelers get older. However, younger travelers are more likely to engage in travel activities such as attending a concert or a sporting event during the next six months
Quick Takes on Travel
With so many moving parts involved in creating a recovery strategy, it’s worth analyzing each element to understand the full picture. Check out CEO Clayton Reid and other agency travel experts break down the current and future state of travel in the Quick Takes on Travel series, where they address the following:• How changes in traveler spend will impact economy, mid-level and luxury markets
• The role of OTAs in driving recovery efforts
• What luxury travelers will expect from their travel providers going forward
• How content consumption is evolving and what marketers can do with that information
Crisis Communication Toolkit
It’s tempting for brands to lean into instinct and fall in line with the message that MMGY Global is all in this together. And we certainly are. But in order to navigate this crisis successfully, there are essential steps to avoid getting lost in the noise.MMGY Global research already says that perceptions of safety and security are more important than great deals when making travel decisions, which indicates that travel brands need to connect with consumers on an emotional level. In our three-part crisis communication series, MMGY Global outlines how to tap into the human element in order to shape your strategy.
• In part one, MMGY Global explores why your brand’s authentic voice will resonate with audiences more than ever before
• In part two, they show why the human perspective is so critical in understanding data – because numbers cannot exist in a vacuum
• Stay tuned for part three as MMGY Global presents our guide to better understanding your audience when developing your marketing plan
Buy One, Give One
MMGY Global and HSMAI have partnered to launch Buy One, Give One – a “vacay layaway” program designed to generate immediate revenue for hotels while thanking health care workers who are working tirelessly on the front lines.Available at BuyOneGiveOneStay.com now through June 30, 2020, the initiative encourages consumers to spend now on future travel. In return for the hotel booking, participating hospitality brands and hotels will donate room nights, gift cards or loyalty points to select organizations, which will distribute them to health care professionals for future leisure stays.
North American DMO Barometer
MMGY Global will be releasing the fifth wave report from the Destinations International Foundation and MMGY Travel Intelligence on June 1. This multiwave survey measures the impact of COVID-19 across the travel industry and assesses how partners around the globe are preparing for next steps.Full Wave I, II, III and IV Reports can be accessed here.
More Travel News:
COVID-19: Insights on Travel Impact, Europe #33
OAG Coronavirus Update – Week Eighteen Weekly Capacity Grows At One Of The Fastest Rates Ever
Travel’s Reopening: A Global Timeline
G Adventures COVID-19 Updates