Travel recovery begins to take off

Travel recovery begins to take off

Almost 70 percent of global consumers plan to travel domestically within the next six months, yet less than 10 percent have booked their trips according to a new survey from consulting firm Oliver Wyman.

“The summer travel surge is just the beginning of a recovery that seemed almost impossible a little more than a year ago,” said Michael Wette, head of IMEA transportation and services at Oliver Wyman. “We expect to see a continued desire for leisure travel through the end of the year and travel providers should anticipate a sustained leisure recovery, with strong bookings continuing at least through the end of the year.”

“The travel industry continues to be a part of the diversification strategy for governments in the Middle East region and in the UAE in particular. There will be an even greater level of leisure and business travel due to major events and exhibitions like Dubai Expo 2020, the Dubai Airshow and ADIPEC being hosted.”

According to the survey, 76 percent of respondents expect to travel the same or more post-Covid-19 for leisure. However, international leisure travel continues to be the most impacted by the pandemic, as most travelers opt to stay closer to home. Chinese, American and Australian travelers will prefer to travel domestically when restrictions are lifted, whereas Canadians and most Europeans are likely to favor international trips.

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When it comes to business travel, respondents were more optimistic about the return of corporate trips. About 75 percent of business travelers expect to travel the same as or more than they did prepandemic. However, changing company policies and the effectiveness of teleconferencing may reduce the long-term need for business travel. Business travel will differ greatly by country. For example, business travelers in the US, China and Australia are primed to travel significantly more than they did pre-Covid-19, while Europeans still plan to travel less than before the pandemic.

Price is the most important criterion when it comes to travel decisions and has been throughout the pandemic, with 66 percent of global travelers ranking it among the top three factors when purchasing a flight. Almost 70 percent of travelers are willing to enroll in a digital identification program, which would include vaccine status and other healthcare data. Vaccinated respondents are more willing to share their data compared to unvaccinated travelers.

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