INDUSTRY OUTLOOK

New report from WTTC and Trip.com Group reveals latest consumer trends and the shift in traveller behaviours

WTTC & Trip.com | November 26, 2021

The World Travel & Tourism Council (WTTC) and Trip.com Group  launched 'Trending in Travel', a new report that shows the latest trends traveller behaviour and future booking patterns in the wake of COVID-19.

WTTC, representing the private Travel & Tourism sector, joined forces with leading global travel service provider, Trip.com Group, and its major consumer brands Trip.com, Ctrip and Skyscanner, to analyse consumer trends shaping the recovery of the Travel & Tourism sector.WTTC's latest projections show strong growth in international spending for 2022 and beyond, projecting to overtake domestic spending in 2022, as more destinations ease restrictions and vaccination rates continue to rise.

Following a 69.4% decline (2020), global international spending on travel is set to rise by 9.3% in 2021, and significantly by 93.8% in 2022.

The inaugural report also reveals how severe and confusing travel restrictions around the world drove a significant rise in domestic tourism, with a surge in domestic hotel bookings of more than 200% on Trip.com's platform this year compared to 2019.

Since the start of the pandemic, mobility restrictions have hindered international travel and, although domestic travel will provide a much-needed boost to the sector, WTTC says the return of international travel is critical to rebooting the global economy.

The report focuses on booking trends, consumer considerations, and consumer profiles. It also features examples of markets whose resilience has provided a platform for the recovery of the Travel & Tourism sector.

The report shows how COVID-19 has changed the way people travel; younger travellers are the first to return to travel; increased demand for longer stays; the importance of fee-free cancellations and the demand for high levels of health and safety checks.

To avoid travel restrictions, travellers are seeking secondary destinations, away from traditional holiday spots, as their destination of choice. This preference positively impacts local communities and livelihoods. According to Trip.com's hotel booking data, Abu Dhabi (UAE) Chiang Mai (Thailand), Doha (Qatar), Florence (Italy), and Frankfurt (Germany) were the most popular secondary destinations in their respective countries in 2021.

The report goes on to show that, according to Ctrip data, bookings for 'the great outdoors' will predominate in the short and medium term. In China – one of the world's largest travel markets - nature-related attraction bookings have increased by 265% in the first half of this year compared to the same period last year.

The pause in travel has also heightened consumers' eagerness to travel more sustainably with more than eight out of 10 (83%) global travellers saying they would make sustainable travel a priority in the future.

Reinforcing this long-term trend, since its launch in 2019, the report shows 68 million travellers have opted to book a "Greener Choice" labelled flight on Skyscanner, a comparatively lower-carbon flight choice.

According to the report, 70% of travellers in many major countries such as the U.S., Spain, the UK, Canada, and Japan plan to spend more on travel in 2022 than they have in the last five years, including 2019 - one of the best years on record for Travel & Tourism.

"It is clear people are really looking forward to travelling again. Consumers are curious, they are looking at new destinations, 'the great outdoors' and travel that benefits the places and people they visit. As travel and tourism represents over 10% of global GDP this is good news for jobs and economies."

-Julia Simpson, WTTC President & CEO

The impact in some countries has been devastating for local communities and this report shows that business is returning in earnest.

"Travellers around the world have shown their eagerness to travel, whether limited to domestic travel or able to cross borders, we see a huge amount of pent-up demand steadily being released."

-Jane Sun, CEO of Trip.com Group

To better evolve with the recovery we must understand travellers, and as an industry adapt to emerging trends.

Latest WTTC research shows the global recovery of the Travel & Tourism sector is picking up pace with the sector's contribution to global GDP projected to rise by 30.7% in 2021 and 31.7% in 2022.

For more information on the Trending in Travel: Emerging Consumer Trends in Travel & Tourism in 2021 and Beyond report, download the full report here.

About Trip.com Group
Trip.com Group is a leading global travel service provider comprising of Trip.com, Ctrip, Skyscanner, and Qunar. Across its platforms, Trip.com Group helps travellers around the world make informed and cost-effective bookings for travel products and services, and enables partners to connect their offerings with users through the aggregation of comprehensive travel-related content and resources, and an advanced transaction platform consisting of apps, websites and 24/7 customer service centers. Founded in 1999 and listed on NASDAQ in 2003 and HKEX in 2021, Trip.com Group has become one of the best-known travel groups in the world, with the mission "to pursue the perfect trip for a better world".For more information, please visit: group.trip.com

About WTTC
The World Travel & Tourism Council is the global authority on the economic and social contribution of Travel & Tourism. WTTC promotes sustainable growth for the Travel & Tourism sector, working with governments and international institutions to create jobs, to drive exports and to generate prosperity. Council Members are the Chairs, Presidents and Chief Executives of the world's leading private sector Travel & Tourism businesses.For further information, please visit: WTTC.org

Spotlight

An infographic representation of the best European city breaks in 2015 broken down by personal interest including the history lover, foodie, fashionista, architecture lover, sun worshipper and culture vulture. Compiled by

Spotlight

An infographic representation of the best European city breaks in 2015 broken down by personal interest including the history lover, foodie, fashionista, architecture lover, sun worshipper and culture vulture. Compiled by

Related News

DESTINATION AND TOURISM

Taconic Capital Advisors and HEI Hotels & Resorts Jointly Acquire Hyatt Regency Jersey City

Taconic Capital Advisors LP and HEI Hotels & Resorts | December 05, 2022

Taconic Capital Advisors LP (“Taconic”) and HEI Hotels & Resorts (“HEI”), announced that they have jointly acquired Hyatt Regency Jersey City from affiliates of Hyatt Hotels Corporation (NYSE: H) and Veris Residential Inc. (NYSE: VRE). The property is a full-service, 351-key hotel located adjacent to Exchange Place situated on a pier extending over the Hudson River in Jersey City, NJ.In conjunction with the purchase, Taconic and HEI were successful in assuming a $100 million fixed-rate CMBS mortgage with ample remaining term. The hotel was completed in 2002 and more than $15 million in subsequent upgrades have been performed since 2010. Major enhancements to the guestrooms, food and beverage outlets and event spaces are expected to commence under the new ownership. Hyatt Regency Jersey City occupies fee simple real estate with unmatched and undisturbed views of the Manhattan Skyline. The property features well-appointed guestrooms, a state-of-the-art gym and indoor heated pool, a restaurant and lounge and 20,000 square feet of meeting space that has long served as a popular venue for corporate retreats, weddings, and social gatherings. The hotel is centrally positioned amongst 28 million SF of office space within a one-mile radius and is conveniently located near world-famous attractions, including the Statue of Liberty, Ellis Island, One World Trade and the 9/11 Memorial. “We are pleased to further our partnership with HEI and begin an exciting relationship with Hyatt. Hyatt Regency Jersey City was a compelling opportunity to acquire a world-class hotel with a strong segmentation mix and a diverse set of revenue contributors, The highly accretive assumable financing allowed us to continue our thesis for well-located urban, upscale hotels in an otherwise prohibitive financing environment.” -Andrew Lam, a Director in Taconic Capital Advisors’ Commercial Real Estate Group Hyatt Regency Jersey City is a wonderful property with a rich legacy that has greatly benefitted from Jersey City’s rapidly expanding corporate base as well as the revitalization of Hudson Yards and Lower Manhattan, said Clark Hanrattie, Partner at HEI. We are proud to team with Taconic on this important transaction and we are looking forward to making the hotel the very best it can be. The joint acquisition of Hyatt Regency Jersey City follows Taconic and HEI’s March 2022 purchase of the Westchester Marriott in Tarrytown, NY, a 15-acre property that offers 444 guestrooms and 21 event rooms for a total of 26,700 SF of conference and meeting space, including a 9,000 SF ballroom. Over the past two years, Taconic has been involved in hotel transactions throughout the capital structure, spanning over 20 properties totaling more than 5,000 keys. About Taconic Capital Advisors Taconic Capital Advisors (“Taconic”) is a global institutional investment firm that pursues an event-driven, multi-strategy investment approach designed to generate strong, risk-adjusted returns over multiple market cycles. Taconic was founded in 1999 by former Goldman Sachs partners Frank Brosens and Ken Brody. The firm has approximately $8 billion of total assets under management with offices in New York, London and Hong Kong and more than 100 employees worldwide. Taconic’s full-service commercial real estate platform invests in all asset classes and across the capital structure in both public and private markets. The strategy’s brand mandate offers flexibility to capitalize on shifting market opportunities, creating uncorrelated risk-adjusted return profiles for investors. Rooted in distressed and opportunistic investing, the team applies high-touch asset management capabilities to drive strong asset-level performance and capital market executions. Well-established relationships drive Taconic’s unique and diverse transaction sourcing channels which include local operating partners, investor partners, and a broad network of lenders, CMBC special servicers, trading desks, and brokerage houses. Taconic’s series of closed-ended real estate funds are fully discretionary and have received over $1 billion in capital commitments. Investments to date across all Taconic funds total over $3 billion of gross asset value across approximately 175 distinct transactions. About HEI Hotels & Resorts Founded in 1985, HEI is an established expert on Luxury, Upper-Upscale, and Upscale hotels in Urban, Super-Suburban, and destination Resort locations across branded, soft-branded and independent lifestyle categories. The company’s portfolio currently includes 90-plus assets, representing more than 28,000 keys across approximately 30 different capital partners. HEI continues to be one of the most active investors in, and managers of, institutional-quality hotel assets across the US.

Read More

TRAVEL TECHNOLOGY, AIRLINES AND AIRPORTS

Allegiant Introduces Allegiant Pay Powered by Uplift Through Expanded Long Term Partnership with Buy Now Pay Later Leader Uplift

Allegiant | September 23, 2022

Uplift, the only enterprise Buy Now Pay Later (BNPL) solution serving the world's top travel and retail brands, has grown its long standing partnership with Allegiant by introducing Allegiant Pay Powered by Uplift on all flights, hotel and car rental bookings making it even easier for customers to pay over time.The new brand Allegiant Pay Powered by Uplift aligns with Allegiant's company mission to offer value and affordability to customers, creating memories that last forever. This enhanced way to pay also now offers customers one easy click to estimate how much they can spend and pay over time, making the booking of their next getaway even easier and more budget friendly. Since 1999, Allegiant has been connecting customers to the people, places and experiences that matter most. Focused on taking travelers from small to mid-sized cities and jet setting to popular leisure destinations, Allegiant now offers service into more than 30 airports across the country. Allegiant is also a travel company at heart offering easy bookings for all the necessities of a memorable family trip or group getaway. "From inception, Allegiant has remained committed to affordable and accessible travel. That's why we're introducing Allegiant Pay Powered by Uplift, allowing our customers to go now and rest easy knowing they can pay it with low monthly installments. Our extended partnership with Uplift means Allegiant customers will have a flexible payment option for flights, hotels and car rentals as we continue to grow," -Scott DeAngelo, Allegiant Executive Vice President and Chief Marketing Officer. From the beginning of our partnership, Allegiant believed in the power of Uplift's pay over time solution to create yet another way for consumers to associate Allegiant with accessibility and value," said Tom Botts, Uplift Chief Commercial Officer. "One of the many reasons we enjoy our growing relationship with Allegiant is their commitment to consumer value, for not only flights but complete vacation packages as well. Uplift partners with over 200 of the world's leading airlines, cruise lines, resorts and other major travel providers to offer BNPL payment options to help more consumers make meaningful purchases and experience the travel that they deserve. Allegiant Pay, Powered by Uplift - is now available for purchases beginning as low as $49 and for 3 to 11 month terms, with no late fees or prepayment penalties. Customers can book today and fly as soon as tomorrow – even before they are finished making their payments. For more information, visit Allegiant Pay Powered by Uplift. Down payment may be required. Actual terms are based on your credit score and other factors and may vary. Not everyone is eligible, and some states are not served, including IA and WV. Loans made through Uplift are offered by these lending partners: www.uplift.com/lenders. Allegiant – Together We Fly™ Las Vegas-based Allegiant (NASDAQ: ALGT) is an integrated travel company with an airline at its heart, focused on connecting customers with the people, places and experiences that matter most. Since 1999, Allegiant Air has linked travelers in small-to-medium cities to world-class vacation destinations with all-nonstop flights and industry-low average fares. Today, Allegiant's fleet serves communities across the nation, with base airfares less than half the cost of the average domestic round trip ticket. For more information, visit us at Allegiant.com. Media information, including photos, is available at http://gofly.us/iiFa303wrtF About Uplift Uplift is the leading Buy Now Pay Later solution empowering people to get more out of life, one thoughtful purchase at a time. Serving the world's top enterprise level travel and retail brands, Uplift's complete range of flexible payment options drive higher conversion and loyalty for partners, while giving customers a simple, surprise-free way to pay over time with no late fees or prepayment penalties. Uplift is currently available throughout the United States and Canada. To learn more, visit Uplift.com.

Read More

TRAVEL TECHNOLOGY,COMMERCIAL TRAVEL

Sabre, Conferma Pay and Mastercard Join Forces to Power the Travel Economy with Virtual Cards

Sabre Corporation,Conferma Pay and Mastercard | November 29, 2022

Sabre Corporation (NASDAQ: SABR) a leading software and technology provider that powers the global travel industry, and Conferma Pay, a global fintech firm that specializes in payment technology, announced a new partnership with Mastercard to accelerate the use of virtual cards for business-to-business (B2B) travel payments. Today's announcement builds on Sabre's August 2022 acquisition of Conferma Pay. The collaboration with Mastercard is the next step in advancing Sabre's goal to create an open and independent travel payment ecosystem. Digitization of travel payments with virtual cards helps address the historic challenges associated with B2B leisure and corporate travel payments. The securely generated, single use card numbers provide a link between booking and associated payments to third party suppliers. Travel buyers and suppliers are therefore able to easily track and reconcile payments, as well as benefit from flexible pricing, financing options, and enhanced security through card payment guarantees. "The payments industry is in the midst of a revolution and there is an increased need for travel companies to better manage the whole payment experience, Companies in the travel space – including travel management companies, travel agencies, corporations, issuers and technology partners – need sophisticated solutions and seamless connections. Sabre is taking strategic steps to fulfill the needs of our industry, beginning with the acquisition of Conferma Pay. Now, the new partnership with Mastercard will help Conferma Pay to build new and enhanced digital capabilities in virtual cards, transforming the payment experience for issuers." -Roshan Mendis, Executive Vice President and Chief Commercial Officer, Sabre Travel Solutions. As part of the agreement, Mastercard has agreed to make a minority investment in Conferma Pay, which will continue to operate independently and serve the entire travel industry and beyond. Mastercard's investment in Conferma Pay is subject to customary closing conditions. A combination of experience, technologies and capabilities will accelerate travel payment innovation and drive inclusive and sustainable growth for the sector, said Chris Fendley, Executive Vice President, Enterprise Partnerships at Mastercard. Virtual cards deliver visibility, boost liquidity and increase control over B2B payment flows, which enhance payment strategies and empower organizations across the travel value chain to run, grow and protect their business, which has never been more essential. Conferma Pay connects issuers to more than 700 travel management companies, all the major global distribution systems and more than 100 online booking tools. Conferma Pay is fully integrated with all the major card schemes and serves more than 50 banking partners, who issue Conferma Pay generated virtual cards in nearly 100 currencies. "We've already made significant inroads in the B2B travel space through partnering with Sabre, We are excited about the new investments. This, combined with our existing strong relationships, will enable Conferma Pay to build on our global footprint and be at the forefront of addressing industry challenges and opportunities." -Martin Cowley, interim CEO at Conferma Pay Sabre's Virtual Payments will continue to offer Conferma Pay services – with increased capabilities that help travel buyers, agencies and corporations best support travel customer needs. Sabre Virtual Payments is a unique, secure, automated and integrated end-to-end payment solution designed to simplify and add value to the transactions that TMCs, OTAs, travel agencies, corporations and travel suppliers do every day. Sabre Virtual Payments takes all the capabilities of Conferma Pay and its network of issuers and combines it with seamless integration across Sabre products for -connected travel buyers, agencies and corporations. About Sabre Corporation Sabre Corporation is a leading software and technology company that powers the global travel industry, serving a wide range of travel companies including airlines, hoteliers, travel agencies and other suppliers. The company provides retailing, distribution and fulfilment solutions that help its customers operate more efficiently, drive revenue and offer personalized traveler experiences. Through its leading travel marketplace, Sabre connects travel suppliers with buyers from around the globe. Sabre's technology platform manages more than $260B worth of global travel spend annually. Headquartered in Southlake, Texas, USA, Sabre serves customers in more than 160 countries around the world. For more information visit www.sabre.com. About Mastercard (NYSE: MA) Mastercard is a global technology company in the payments industry. Our mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart and accessible. Using secure data and networks, partnerships and passion, our innovations and solutions help individuals, financial institutions, governments and businesses realize their greatest potential. Our decency quotient, or DQ, drives our culture and everything we do inside and outside of our company. With connections across more than 210 countries and territories, we are building a sustainable world that unlocks priceless possibilities for all. www.mastercard.com About Conferma Pay Conferma Pay is a global financial technology company. It designs and integrate virtual payment systems that provide a more efficient, seamless and secure way to pay for businesses. Conferma Pay was born in Manchester in 2005. Since then, it has connected over 700 TMCs, and directly integrates with all the major GDSs and OBTs. Its roots lie in corporate travel payment integration. It enables its payment providers to flow virtual cards into the preferred purchasing process of any business travel buyer. Crucial to this is its network of banking partners, who have issued virtual cards in over 200 countries, in 40 currencies with over 45 commercial banking partners via all major card networks. Its ecosystem continues to expand to meet the growing requirements of its global customer base.

Read More