RISING INFLATION CAUSE FOR CONCERN, BUT CONSUMERS WON’T LET IT STOP THEIR REST & RELAXATION

Tripadvisor has conducted a multi-national research study to understand current perceptions of travel in light of the increase in inflation and cost of living across the board.

A Tripadvisor Consumer Sentiment Survey, based on data drawn from an online survey of over 2,100 consumers, in partnership with Qualtrics, conducted ahead of the holiday season across five countries – U.S., U.K., Australia, Singapore and Japan.

The rise in inflation and cost of living won’t stop people travelling this year despite many consumers cutting back on other spending. 

Research from Tripadvisor shows that whilst respondents are concerned about the increased cost of living,  a desire to travel for rest and relaxation and a reduction in COVID anxiety, means that many people are more keen than ever to get away.

While tighter budgets could have negatively impacted the often more costly ethical and sustainable travel, this is not the case either. Consumers want to travel in a more environmentally friendly way, but don’t feel they should carry the burden alone – rather, most believe it is the government’s responsibility to support travel companies in achieving more sustainable practices.

With the travel industry poised for a strong summer recovery, there is great opportunity for travel brands and retailers to capitalise on the fact that consumers are still shopping for travel despite the rising cost of living. Brand marketers need to ensure their advertising strategy reflects this high demand in order to position themselves competitively as the summer approaches. 

KEY FINDINGS: 

COVID anxiety has reduced and intent to travel soars

• 65% of UK and 64% of US consumers feel comfortable with travel this summer
• Intent to travel for leisure is up by 32% on 2021

The rise in inflation is worrying

• 77% of UK and 74% of US people are concerned about the increase in inflation
• 83% would spend less on non-essential things in the UK
• 77% would spend less on non-essential things in the US

People want to spend money on travel despite the increase in inflation

• 85% are looking to travel this year
• 50% are planning to spend more on travel this year compared to 2021 in the UK
• 47% are planning to spend more on travel this year compared to 2021 in the US

• Nights out (60%), dining out (57%) and food deliveries (53%) were the key areas to sacrifice in order to fund travel according to British consumers
• Nights out (54%), food deliveries (57%) and entertainment (such as attending gigs/concerts) were the key areas to sacrifice in order to fund travel according to US consumers

Travellers looking for respite in 2022

• 35% of US consumers planning to travel this year are hoping for rest and relaxation (28% will visit family and friends, 20% are looking for adventure and 4% want to party).
• 52% of UK consumers planning to travel this year are hoping for rest and relaxation (15% will visit family and friends, 19% are looking for adventure and 6% want to party).
• It seems that the tumultuous COVID years have taken their toll, consumers are burnt out and need a rest
• 76% of UK respondents planning to cut down on dining out in response to increased cost of living compared to 48% planning to reduce international travel
• 73% of US respondents planning to cut down on dining out in response to increased cost of living compared to 37% planning to reduce international travel

The inclination for sustainable travel is there – but consumers need help

• 68% of UK respondents would be willing to spend more to travel sustainability in the future
• 64% of US respondents would be willing to spend more to travel sustainability in the future
• A full 85% of respondents say they practise some sustainable habits while travelling
• Almost half (48%) cite information about sustainability in travel reviews would help them choose more sustainable travel options in the UK
• Almost half (46%) cite information about sustainability in travel reviews would help them choose more sustainable travel options in the US
• Most UK respondents (44%) think that the main responsibility to ensure sustainable travel practices rests with local governments
• Most US respondents (34%) think that the main responsibility to ensure sustainable travel practices rests with local governments

Source: Tripadvisor

  Marketing, Report, TripAdvisor