Travel Insights 2020 - Visit Jersey Business
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The Specialist Travel Sector This travel insights report explores the Specialist Travel market, diving into multiple trends seen in the last few years – leading into the most popular activities and destinations of 2020. The intention of this review is to give the reader a grounding of the sector’s customer base throughout the booking journey: how do travellers want you to get in touch, how do they want to book, where do they want to go, and what do they want when they get there? HOW DO WE DEFINE WHO IS AITO? OUR SAMPLE SPECIALIST TRAVEL? AITO is a travel association comprising This survey consisted of 26,406 responses of Specialist Tour Operator members, from the databases of 39 different Specialist travel is different from the tourist boards, business partners, and Specialist Travel companies consisting of mass market holiday that has dominated travel agents. AITO’s family of 120 AITO Tour Operators and AITO Agents. the tourism sector for decades. These independent, Specialist Tour Operators The majority of responses were from smaller, expert operators have a is a pillar of reliability in uncertain times. the UK, with a small proportion from real passion for the destinations and Apart from strict membership criteria overseas. Over 80% of respondents were activities they offer, often starting their before joining AITO, constant monitoring above the age of 50, with 48% being companies as a hobby and transforming by AITO’s HQ - and a mandatory Code of retired and 30% in full time work. 55% it into a livelihood. From Specialist Tour Business Practice - encourage the highest of our sample identified as female, with Operators, customers receive a more of operational standards and conduct. 43% identifying themselves as male. personal service as they can provide detailed, first-hand advice on preferred Additionally, all members go beyond itineraries whilst accommodating current Government regulations – they individual requirements where possible. must, under the AITO logo, provide Many operators can use their intimate 100% protection for every holiday sold, knowledge of destinations to curate whether full ‘package’ holidays including tailormade experiences which are transport and accommodation or unrivalled by the larger, profit-driven accommodation-only trips. Notably, AITO generic holiday companies – proving to members are the only UK operators that provide an experience like no other. protect accommodation-only bookings. 2 wilddogdesign.co.uk | spikemarketing.co.uk
CONTENTS The Specialist Travel Sector 02 The Specialist Traveller is a Silver Traveller 04 What’s different? 06 Examining Sustainability 08 Top 10 Specialist Activities 09 A Study of Culture, Arts and History 10 Surveying the Walking and Trekking sector 11 Spotting the Wildlife 12 Examining The Secondary Activity 13 Gaining and retaining travellers 14 The ‘B’ word 16 Top 10 Specialist Destinations 17 South America 18 Australasia 19 South-East Asia 20 Examining Guidebooks 21 Final Figures 22 Thanks to our business partners, SPIKE and Wild Dog Design, for making this report possible. Produced by In association with To contact AITO for further information call us on SPIKE Wild Dog Design 020 8744 9280 or email us on info@aito.com
The Specialist Traveller is a Silver Traveller undisclosed 18-24 Over 80% of respondents within our survey 25-29 are above the age of 50, with the AITO 80 and over 30-39 traveller having the mean age of 61. 40-49 This is very exciting data for Specialist operators. The 50+ market is only getting 70-79 larger, with the number of births over the last 80 years far outweighing the number of deaths. The second wave of the Baby Boom generation (born between 1946 and 1964) is starting to reach 60 this year, leading to the 55-75 age bracket being the most populous 50-59 of any bracket this coming decade. The 55-64 age bracket also has the most expendable income, accounting for 28% of all median household wealth. This demographic has shown itself to prioritise their health, fitness and leisure time above all else – accounting in part for their investment in their breaks away. 60-69 4 wilddogdesign.co.uk | spikemarketing.co.uk
CONSUMER CONFIDENCE REMAINS STRONG AFTER THOMAS COOK. The Specialist Traveller, confident in the security and protection of the Specialist Operator, is undeterred by the demise of Thomas Cook and its subsequent ramifications. Whilst the company’s liquidation EXPERTISE BEATS PRICE. was to the dismay of hoteliers and DMC’s worldwide, with effects of Value for money comes in fourth Similarly, when asked why a traveller seismic proportions, confidence in when considering reasons for booking has not booked with an operator yet, the package holiday remains strong; with a Specialist Tour Operator, with the trip being “too expensive” was Thomas Cook’s sales were high even knowledge and expertise taking the only third on the list – following “still in its last financial year, meaning the top spot followed by being a preferred planning” and “booked with another package holiday product was not specialism, and having a previous good company”. This shows that conversion the issue. experience with the Tour Operator. This is more likely should the operator Before the collapse of Thomas shows that, on the whole, the Specialist focus on the merits on the trip, rather Cook, 52.4% of respondents said Traveller is not as price sensitive as than the price of the product, when they associated the term ‘safe’ the mainstream holidaymaker. There marketing packages further. with booking a holiday with a is a willingness to pay more for their Specialist travel company. After the experience to make it memorable. company went into liquidation, this number not only stayed resilient – but rose to 52.5%. This demonstrates a stronger confidence in companies perceived THE B WORD HAS NOT AFFECTED to be Specialists, compared to the PURCHASE INTENTION. mainstream brands. Compare this to an independently-booked holiday, 79% of respondents were not influenced by the trajectory of Brexit when choosing and the results remain reassuring. their holidays last year, and this drops to just 66% when asked if Brexit played a part Independent travellers associated in holidays being booked into 2020. Of those who said that their holiday choices in this method of booking a trip as 2020 will be affected by Brexit, 73% said they were less likely to travel to Europe. an even less safe way to organise Whilst their longing for Europe decreased, Brexit either had no effect on 72% their journey, with the percentile of respondents’ appetite for the rest of the world – or, indeed increased their dropping from 13.6% of travellers desire to travel long-haul. feeling safe doing this to 13.1%. To contact AITO for further information call us on 5 020 8744 9280 or email us on info@aito.com
What’s changed? TRAVELLERS WANT TO TAKE MORE HOLIDAYS The number of AITO breaks. Whilst the majority travellers taking four or of respondents take two more holidays has increased or more holidays, and are from the year before, with willing to invest more in the number taking 5+ these, this rise in serial holidays increasing from holidaymakers shows that 4.6% to 5.9%. This, tied the Specialist market is not with a 3% rise in people immune to the changing wanting to spend between attitudes accompanying £500-£999 on a holiday, the rise of budget airlines. indicates the potential to Data from 2018 shows that, foster relationships with in many case, more UK clients which lead to long- residents have been abroad term gains through selling over the course of the year multiple, shorter-term than the previous five holidays including weekend years combined. TRAVELLERS WANT TO STAY CONNECTED Internet access is more with friends and family in important to travellers than both real time, and at the the year before, rising from end of each day in the hotel 40% to 55% this year. This room – not just after the suggests that, contrary to holiday. Instagram’s hold popular belief, travellers see on the holiday experience the value that access to the is consistent with its internet has whilst on holiday. demographic, as 11% of As social media platforms take users worldwide are within a hold, and platforms such as the 45-64 bracket. With Instagram and WhatsApp rise Instagram’s monthly active in popularity in the sector, users rising at over one billion, travellers require the ability this accounts for a significant to share their experiences number of its users. 6 wilddogdesign.co.uk | spikemarketing.co.uk
CUSTOMER REVIEWS ARE INCREASINGLY IMPORTANT Verifiable customer reviews year, large reviews sites are more influential than have come under fire from ever before to the Specialist consumer activists and Traveller, nearly doubling journalists regarding their from 19.9% of respondents inability to combat the rise believing them to be a of fake reviews, often bought key source of information from the vast array of when booking their holiday services available online. In in 2019, to 39% in 2020. this climate, it is imperative Whilst this news indicates to ensure the feedback being the need to engage with submitted is from genuine a reviews platform and clients. AITO’s own reviews encourage customers to system, for example, has leave reviews about their measures in place to ensure holidays, it demonstrates that those submitting the importance of verifiable, reviews to aito.com are credible reviews. In the last genuine customers. CUSTOMERS ARE MORE LOYAL An annual survey from 2014 have on their customers – finds that businesses adopting with 63% of respondents an omni-channel strategy saying they are likely, if not which enables customers to extremely likely, to book have a seamless experience with an AITO operator again from one touch point to the – rising from 59%. Whilst next leads to significantly technology is making it highly customer retention easier for larger, mainstream rates. This gives the ‘personal companies to provide the touch’ in an age of chatbots illusion of personal service, and endless FAQ pages. Specialist operators give Specialist operators have the real deal – often using been giving this personal the technology available experience for decades, to enhance their personal accounting for the hold they service, not replicate it. To contact AITO for further information call us on 7 020 8744 9280 or email us on info@aito.com
Examining Sustainability A RENEWED INTEREST Activists such as Greta Thunberg and political groups such as Extinction Rebellion have reignited the fears and challenges surrounding climate change. According to a recent Unilever survey, marketing holiday packages have shown AITO’s role in Sustainable Tourism one in three consumers are now buying to increase a brand’s reputation, if not AITO’s Project PROTECT, in association from brands based on their social and close a sale. with the University of Surrey, measures environmental impact. To respond to Concerns regarding carbon emissions are the work of AITO members in developing this renewed interest and demand for in the media, discussing the role of the tourism that looks after the destinations sustainable practices, large corporations travel industry – with particular focus on in which they operate. In the past two and SME’s alike have had to alter both the airlines. These stories have more than years, more than half of AITO’s members their product offerings and marketing doubled in 2019. implemented 30-plus projects to make a strategies across all sectors. positive difference, including training for Travellers are demanding a response from This demand for sustainable practice poses guides and disadvantaged youths, raising the travel sector, with an expectation for a challenge for SME’s – as committed as awareness about waste and single-use companies to share their concerns. This they are, some reports suggest that 70% of plastics, and providing destinations with could be in the form of offering rail travel small businesses are struggling to turn their much-needed food, water and other where possible (as oppose to plane travel), ambitions into action due to a perceived essential equipment. With more operators through responsible carbon offsetting, or lack of funds or time. Restructuring to developing further initiatives in 2020, simply creating a sustainability plan and increase focus on sustainable practice can, AITO’s long-standing commitment to communicating this to their customer base. however, not only reduce a company’s sustainability remains hugely important. overheads but generate revenue. Sustainable practices, when marketed Number of articles in mainstream media outletsper month about sustainablility correctly, have shown to increase purchase and carbon emissions in the airline industry intention on par with price in some 200 sectors – accounting for the recent surge in sustainability-focused start-ups. 180 The demand for Sustainable Travel 160 140 There are numerous examples of this in the travel sector, with successful 120 accommodation platforms being launched 100 which guide travellers toward socially responsible accommodation, whether 80 this be those with progressive food waste 60 management systems in place, keycards with lower environmental footprints, 40 or lower maintenance footprints. 20 Highlighting these credentials when 0 2015 2016 2017 2018 2019 8 wilddogdesign.co.uk | spikemarketing.co.uk
Most Popular Specialist Activities TOP 10 SPECIALIST ACTIVITIES Find below the most popular activities Specialist Travellers 1 want to primarily experience CULTURE, ARTS AND HISTORY whilst on holiday. Remaining at the top of the list, the Specialist Traveller is fascinated by the stories shared through a country’s cultural components; learning of the significance of worldwide discoveries of Roman remains, studies of late medieval and renaissance paintings, and the guided telling of times of war continue to resonate with holidaymakers. EXPLORING CULTURE, 1 ARTS AND HISTORY 2 WALKING AND TREKKING “Cultural travel provides insight and understanding of our rich heritage” 3 WILDLIFE Stephen Brook, Managing Director, CICERONI Travel 4 SAFARIS 5 GASTRONOMY AND WINE 2 6 SKIING/WINTER SPORTS WALKING AND TREKKING 7 PHOTOGRAPHY There is a real desire for taking a step 3 beyond the local park, with travellers opting to walk amongst sandblasted WILDLIFE 8 ARCHAEOLOGY ruins and flower-filled meadows, The Orangutans and Proboscis through elegant manor houses and Monkeys of Borneo, Leopards of cobbled streets leading to sunlit seas. Malaysia, doves and wild parrots 9 GARDENS These holidays vow to rebrand the of Papua New Guinea and Lemurs afternoon walk. of Madagascar are some of the reasons why Wildlife holidays are still 10 WELLNESS AND SPA immensely popular in 2020, with the beauty of the natural world being put front-and-centre. To contact AITO for further information call us on 9 020 8744 9280 or email us on info@aito.com
A Study of Culture, Arts and History Tour operators specialising in culture focus on traveller immersion; dropping the customer fully into a place within a city and expanding on what is initially picked up by the senses. As a Tour Operator specialising in cultural 41% of travellers wishing to pursue this Whilst cultural holidays may be most getaways, you go out of your way to either activity would spend more than £2,000 commonly associated with exploring live like the locals – or do your best to tell per person on their main holiday, with Roman Ruins, or appreciating the creative the story of those who lived there in a 25% of our respondents willing to spend renderings of the stories of Greek and bygone era. This may be through visiting over £3,000 per person. This is more than Norse Mythology, North America was local villages, curated visits to art galleries, the majority of other activities on this list, found to be the most sought after lectures in historically significant locations, suggesting that they are willing to invest destination for a cultural holiday, followed or diving into gastronomical delights more for the expertise required to execute closely by New Zealand. Whilst the two whilst being presented with the history of a well-informed Cultural trip in return for are relatively young countries, they already the components of your dish. valuable knowledge about a destination. possess a substantial wealth of notable cultural heritage. The USA has 24 UNESCO The profile of consumers wishing to world heritage sites, whilst New Zealand explore a destination’s culture, art “The profile of those wishing to has three, with eight on the list to be and history as their primary activity explore a destination’s culture, considered for future UNESCO status. whilst on holiday, within our survey, is art and history as their primary predominantly between 60 and 79, not activity whilst on holiday, within having a preference between tailor-made excursions and group tours. our survey, is predominantly between 60 and 79” 10 wilddogdesign.co.uk | spikemarketing.co.uk
Surveying the Walking and Trekking sector British Specialist holidaymakers continue to prefer getting active on holiday, as the 50+ market remains strong for the sector. Walking holidays provide the opportunity Both of our 2018 and 2019 reports Consumers understand the preparation for close, intimate encounters with predicted the prolonged popularity of the that goes into devising an exceptional destinations, giving a real feel to the walking holiday, and this survey displays walking holiday, and 50% of respondents flower-filled meadows and cobblestone this as walking holidays rose from the who select this activity would spend streets walked upon. When engaging third most popular activity last year, to between £500 and £1,499 – with the in this activity with a guide, as part of a the second this year. Its popularity with most favoured pricing bracket being group, a sense of belonging is instilled. the over 50 market remains strong as between £1,000 and £1,499. This This explains why the data shows that those who chose this activity are most demonstrates that a considerable people who wish to engage in this commonly between 50 and 69, proving percentage of walking enthusiasts are activity prefer small group tours, that walking holidays for this sector go prepared to spend more for the right than tailor-made excursions. beyond the ‘Edie’ effect. destination. The Americas are emerging for these price brackets; South America is a key destination for walking holidays, home to the Inca Trail, with parts of North America also featuring high on the list. “Both of our 2018 and 2019 reports predicted the prolonged popularity of the walking holiday” To contact AITO for further information call us on 11 020 8744 9280 or email us on info@aito.com
Spotting the Wildlife Increased interest in sustainability has travellers look towards what’s in need of protecting, as birdwatching holidays and safaris are also amongst the most popular primary activities to experience on trips abroad. Beyond the traditional safari – wildlife popularity of the traditional African safari throughout Europe, and accounting for holidays encompass activities from holds strong, with India and South- a sizable amount of the wildlife activities swimming with sea lions in the Galapagos, East Asia trailing behind. It can, in part, sector. Considering the varied sub-sections kayaking through the Amazon jungle, be credited to the changing face of of birdwatching, and vast number of to tracking jaguars in Columbia. Wildlife African safaris – from being about simply notable species who lend themselves to holidays, by their nature, cater to the facilitating the travellers’ desires to get human interest, the preference of this experiential tourist - with travellers often a photo of the big five, to championing demographic to tailor-made over group interacting with animals in active, conservation and instilling this mentality holidays is understandable. yet responsible ways. into local villagers to protect the world’s The amount spent by those interested rarest species – including the black rhino. Despite South America being a in this activity as their primary activity frontrunner, ideally suited for the Consumers within our sample wishing differed greatly, perhaps due to this experiential activities above, Sub-Saharan to go on a Wildlife holiday were preference for tailor-made. It is this Africa climbs as a key destination for mostly between the ages of 60 and 69, personalisation that, perhaps, accounts for holidays where experiencing wildlife is consistent with the age profile of birders 30% of respondents with a keen interest the primary desired activity from survey – with birdwatching being a growing in Wildlife holidays being willing to spend respondents. This indicates that the niche market in nature-based tourism over £3,000 on their main holiday. 12 wilddogdesign.co.uk | spikemarketing.co.uk
TOP 10 SECONDARY ACTIVITIES Find the most desirable secondary activity to add to the top 10 primary Examining The activities below. Secondary Activity Primary Activity Most Popular Secondary Activity Building beyond the specialism CULTURE, ARTS MUSIC 1 AND HISTORY WALKING AND There are numerous specialisms in activity to their primary reason for 2 GARDENS TREKKING the AITO portfolio alone – yet only a going on holiday. Similarly, 89.7% of handful repeatedly claim the top ten respondents who would go horse- 3 WILDLIFE GASTONOMY spots, rising and diving between each riding on holiday viewed it as a & WINE other. Whilst special interest holidays, secondary activity, in addition to a by their definition, attract a smaller primary activity such as a walking 4 SAFARIS GARDENS pool of travellers who either develop a holiday. Painting, cooking, and passion for the activity on offer, or are climbing were also all viewed as viable looking for their passion to be facilitated secondary activities. GASTRONOMY 5 COOKING by an expert, it is interesting to uncover AND WINE A demand for the activities above, which additional activities Specialist therefore, does still exist. A suitable SKIING/WINTER Travellers would like to experience. 6 WELLNESS & SPA secondary activity may increase SPORTS This year, we’ve not only asked bookings of primary product offerings, respondents for the activity they’re whilst also providing a testing ground 7 PHOTOGRAPHY COOKING most interested in, but for one other for products perhaps considered, but activity they’d like to see as part of a not implemented. Similarly, those tour’s itinerary. This shows us which specialising in an activity perceived to 8 ARCHAEOLOGY GASTONOMY activities are of interest, but are be ‘secondary’ could package it with & WINE perceived to be more suitable as part ‘primary’ elements to see if there is an of a longer experience. increase in interest. 9 GARDENS MUSIC Whilst only 11% of respondents See right for the top secondary would go singing on their primary activity for each of the most popular WELLNESS HORSE-RIDING 10 holiday, over eight times more believe primary activities. AND SPA singing to be a viable secondary To contact AITO for further information call us on 13 020 8744 9280 or email us on info@aito.com
Gaining and retaining travellers LEAD TIME The duration between purchase decision and date of travel varies from traveller to traveller – with higher value trips often having a longer break between a concrete booking and date of travel, demonstrating a longer rumination period. The most common lead time across AITO is 6 to 12 months, followed by 3 to 6 months. Based on the season an operator is trying to sell, this knowledge can assist in marketing communications to influence a booking. MOST IMPORTANT FACTORS By breaking your customers down by remember a review – good or bad – for of Facebook users admitted in a poll that their lead time, you can find what is most a considerable amount of time. Reviews viewing their friends’ post influenced their important to them about this trip or your thereby increase a potential traveller’s future travel plans. business – hitting them with information confidence in an operator, leading them to On the whole, there is a negative on your dedication to those factors. Those part with their money sooner for a future correlation between those that use social that book only 1 to 4 weeks before their pay-out in experience. media, and lead time. Whilst WhatsApp trip, for example, are less affected by was the most common platform used by an operator’s knowledge and expertise Price sensitivity Specialist Travellers, the length of time compared with those with a longer lead Whilst we’ve seen that Specialist Travellers between the time of booking and the trip time. Ease of booking prioritises for these aren’t as price sensitive as those used shows that WhatsApp for business, whilst customers, consistent with the profile of to mainstream holidays, price is still a being a relatively new addition to the an impulse buyer. concern. Impulse buyers with a shorter social media landscape, is more effective Those travellers who value an operator’s lead time of 1-4 weeks are more price when targeting bookers with a lesser lead specialisms, tied with their personal sensitive than those booking in advance. time than those with a longer lead-time; service, are more likely to book over a This demographic, however, only accounts expected with instant communications. year in advance. This echoes the need for for 3.7% of the Specialist Travel sector. Impulse buyers are more likely to take Facebook is the social media platform of investment in customers in order to ensure more than five holidays a year due to choice across the board, with Instagram not only higher value bookings, but repeat the perceived value for money of their following close behind. Pinterest and customers through building loyalty. relatively cheap holiday. For the majority, Snapchat account for a small number of demonstrating knowledge and expertise, respondents in our survey, consistent with Reviews personal service, and tailored specialism is their current average age profiles of below This loyalty is reflected in the appreciation 40 and 13-24 respectively. A staggering more likely to lead to early bookings. of a previous good experience with an 30% of respondents to our survey, Operator, whether this be first or second however, have said they do not use any Social Media hand. Those with a lead time of over a social media platforms. year value previous good experiences, Social media marketing conventionally including customer reviews, significantly favours early adopters. The positive more than those with a shorter lead influence of social media on purchase time. This shows the power of a review, intention is undebatable, especially in the indicating that potential travellers travel industry – in a recent survey, 84% 14 wilddogdesign.co.uk | spikemarketing.co.uk
Role of traditional marketing cater to an operator’s demographic, number rises to 34% of travellers using As Aneil Bedi, CEO of Brand Agents not ignoring the value of well-devised tablets on holiday, with over half using Ltd and former CEO of M&C Saatchi, brochures and direct contact with a smartphone. This variation in device highlighted at AITO’s Overseas Conference potential clients, may prove more effective suggests the need for both a responsive in Wroclaw last year, investment in social in the long-term. Brochures, direct mail, website, and responsive support system – and digital display advertising should and customer magazines remain the customers should be able to easily contact be done with caution – as, often, 46% most prominent methods the 60+ market you, and view any booking updates, of apparent impressions online are not would like operators to use to stay in from across their devices. A survey in viewable, with 65% of those apparently touch with them. 2016 shows that 94% of leisure travellers viewed actually viewed – and 26% of these switch between devices as they plan or are viewed for more than a second. This Devices used book a trip, with 60% of travel searches leads to the viewing rate of digital display Whilst a desktop or a laptop remains the starting on a mobile device. Mobile has advertising resting, on average, at 9%. most used tool to research and book a also encouraged last-minute booking Instead of investing solely in digital, holiday, 21% of respondents use a tablet behaviours, showcasing the importance of having a varied marketing strategy to when reaching the booking stage. This adapting targeting strategies by devices. Most important factors for those booking X months before travel Decision Factors Longer than 6 to 12 3 to 6 1 to 3 1 to 4 Less than a year months months months weeks a week Knowledge and expertise 50% 48% 47% 43% 39% 39% Ease of booking 11% 14% 16% 21% 23% 11% Specialty in desired holiday 48% 47% 47% 41% 42% 28% Can solve any potential problems 24% 21% 18% 18% 18% 11% Previous good experience 41% 43% 41% 38% 32% 44% Value for money 18% 25% 28% 31% 33% 11% To contact AITO for further information call us on 15 020 8744 9280 or email us on info@aito.com
The ‘B’ Word Brexit dominated many of the headlines last year with concerns surfacing from both sides of the aisle. Uncertainty shocks, still prevalent today For the Specialist Traveller, the large travel longer-haul to the rest of the world, post-deal, have led to reduced investment majority of travellers within our survey whilst those that usually spend less than and employment growth – with estimates were not affected by Brexit when booking £500 on their main holiday are now far suggesting a long-term reduction of UK their main holiday last year – with almost more likely to spend that money in the UK, productivity by 0.5%. Major corporations 80% stating it had no effect on their rather than on a short break in Europe. such as Unilever and Aviva announced decision. This stand when considering this For Specialist Travellers, Italy, France and their intentions to move their assets out year, with only 22% of respondents saying Spain continued to top the list of top of the UK, and immigration of talent from that Brexit will have any effect on any part outbound destinations from the UK the abroad dropped. of their booking process for 2020. last few years despite the uncertainties In the travel industry, AITO council Those who have said that Brexit has surrounding Brexit. There is no evidence member and former ABTA chairman affected their decisions are far less suggesting a shift from this short-haul Noel Josephides warned the problematic likely to holiday in Europe, with 73% of destinations, with findings from other nature of a January leave date, citing the respondents affected by Brexit saying it is major research being conducted placing industry’s “need for a booking pattern” unlikely they will travel to the continent. the countries at the top of people’s lists. in order to plan capacity and budgets. Brexit has, however, had no impact on Our focus this year is, therefore, on Looking at traveller perspectives, research their travel plans to the rest of the world. longer-haul destinations from the UK. conducted at the end of last year Those concerned about Brexit that usually suggested that almost a third of those spend over £3,000 per person on their surveyed by a currency exchange firm said main holiday are now less likely to spend they believed that Brexit will affect their that money in Europe, but more likely to holidays more than any other factors. 16 wilddogdesign.co.uk | spikemarketing.co.uk
TOP 10 AUSTRALASIA 1 MOST POPULAR LONG-HAUL NORTH AMERICA DESTINATIONS The United States of America and Canada came at the top of our list – with FOR 2020 more travellers wanting to cross the Atlantic than in previous years. With its diverse landscapes populated with varied cultures, the USA is a synecdoche of humankind’s customs, food and architecture. San Francisco’s Alcatraz island, Most popular long-haul Utah’s Canyonland, Texan cuisine and the melting pot that is New York City destinations for 2020 are only a few of the vast experiences the country can offer. In Canada, the mountains of the Yukon and coastal landscape of Nova Scotia provide sharp contrast to the cosmopolitan cities of Toronto and Quebec – providing the curious traveller with many stopping points on their journey. As North America carves out more of a foothold in AITO itineraries, we’ll be able to delve deeper into the extraordinary part of the world in the next few years. 1 NORTH AMERICA 2 2 SOUTH AMERICA SOUTH AMERICA “Specialist Operators prove Sovereign states including Argentina, there is a lot more to 3 AUSTRALASIA Bolivia, Brazil, Columbia and Peru are also close to the top of the Specialist the Americas than just Traveller’s agenda, wanting to go to theme parks” 4 SOUTH-EAST ASIA and beyond the Inca Trail, explore the Martyn Sumners depths of the Amazon rainforest, and Executive Director, AITO 5 JAPAN discover that Columbia is more than Pablo Escobar. 6 INDIA 4 SOUTH-EAST ASIA Australia and New Zealand have not 3 Cambodia, Myanmar, Thailand and 7 CENTRAL AMERICA AUSTRALASIA Vietnam each have unique historic Australia and New Zealand have not identities, blessed with the likes of lost their charm in 2020. Despite the restored temples, freshwater lakes, 8 SUB-SAHARAN AFRICA fires in Australia, the islands are still waterfalls and – of course – mouth- high on our respondents’ itineraries watering cuisine ranging from countless this year. Where it’s learning about the street food stalls, to Michelin-starred 9 NORTH AFRICA - Maori people’s history in a traditional restaurants. village, or finally going diving at the Great Barrier Reef, Australasia’s 10 SRI LANKA popularity is unwavering. To contact AITO for further information call us on 17 020 8744 9280 or email us on info@aito.com
DEEP DIVE South America From the Amazon to Buenos Aires, South America goes from one of the most anticipated ‘new destinations’ in our last survey, to one of the most popular long-haul destination in 2020. “An increase in Patagonian glaciers, Andean peaks, and the Amazon rainforest tied with the various 60 communities in the region – whilst providing customers of all brackets the direct flights from strands of the Inca trail explains why those interested in South America prefer true South American experience. With Machu Picchu, The Amazon, Rio the UK has brought walking and trekking, and/or immersing themselves into the wildlife, as their de Janeiro, and Buenos Aires consistently on the top of everybody’s agendas, South America to primary activity to experience on holiday. South America’s popularity has been This call for experiencing the natural prominent over the last few years. The the attention of a environment first-hand has not gone LATA (Latin American Travel Association) unanswered, with initiatives in place predicts a 4% year-on-year increase in wider audience.” to strengthen Costa Rica’s capacity for global bookings to Latin America, with eco-tourism, and Columbia’s wildlife Nicaragua proving to be a key growth Sarah Bradley inhabitants, for example. Chilean country. Looking at the United Kingdom Managing Director Patagonia’s launch of the 1,700-mile in particular, despite total international Journey Latin America ‘Route of Parks’ marks a marketing arrivals into the continent dropping by initiative to encourage the development 1.6% in 2019, from the UK this figure was of tourism ventures which help only 1.2% - showcasing the UK’s market’s protect the biodiversity surrounding affection for the destination. 18 wilddogdesign.co.uk | spikemarketing.co.uk
DEEP DIVE Australasia The Great Barrier Reef meets Hanmer Springs, as Australia and New Zealand emerge has two of the most popular long-haul destinations in our survey for 2020. “It’s no surprise Australia’s variety of beaches, from the white sand of Queensland or coves of suppliers. British travellers to Australia in 2019 spent an average of 32 nights in the to us that clients Western Australia, tied with their proximity to the big cities, only begins to shape country, favouring Sydney, Melbourne, and Perth, spending on average over are wanting to its merits as one of the most popular destinations for 2020. Mount Augustus, £4,000 per trip. New Zealand’s landscapes remain a large experience both Tasmania, and Lake Hillier provide further natural wonders, contrasting with selling point for international tourists, as the country leans into ecotourism mighty mountain manmade architectural wonders like the Sydney Opera House and the Dr Chau according to a recent MBIE report. Interacting with the local Maori culture, landscapes and Chak Wing building. Australia’s vibrance and variety have attracted backpackers history and stories remains supplementary to the natural cliffs and rolling hills – Maori culture.” and families alike. explaining why walking and trekking Due to the recent bushfires, the remains the most popular activity in this Andrew Guthrey government has injected $76m into their destination. Cycling also lends itself neatly General Manager tourism ventures – leading to Tourism to New Zealand’s offering. ANZCRO Australia’s launch of the ‘Holiday Here The country has also invested into This Year’ campaign for 2020, taking a its tourism over the last few months, grassroots approach to entice travellers primarily due to the effects of the to come to the country. Specialist fears surrounding coronavirus. Whilst operators will be able to ride this push, the trajectory of the virus is currently whilst relieving any concerns that the unknown, the promotion of the large number of potential customers may destination by the tourist board could have, and rebuilding Australia’s recent align with current marketing strategies. drop in tourism by contributing to local To contact AITO for further information call us on 19 020 8744 9280 or email us on info@aito.com
DEEP DIVE South-East Asia From Halong Bay to the temples of Angkor, South-East Asia includes Thailand, Vietnam, Laos, Cambodia, Indonesia and the Philippines along with several other smaller islands. “Southeast Asia is a Culture, Arts and History holidays remain Thailand spent 20% of their travel budget high on the list of those wishing to travel on food, with vast capacity for growth. perennial favourite – to parts of South-East Asia, as these Street food hubs such as Yaowarat and easy-going for the countries are teeming with centuries of Nang Loeng market may be key to tapping traveller, and a region diverse history working its way to the into the rise in food tourism. present through a deep reverence for offering such diversity” tradition. Part of this tradition is expressed Indonesia’s recently reopened Bogor- Sukabumi train route allows easy Robin Ball, Director through the creation of culinary delights. access to sites of historical significance Bamboo Travel, South-East Asia’s rise in popularity in our including Gunung Padang and several survey comes with the rise in travellers tea plantations dating back to the Dutch wanting to experience gastronomy colonial era, along with the beautiful and wine whilst on holiday – with the Surabaya–Madura bridge. activity rising from 29.9% to 41.6% of As contingencies in place to tackle the respondants wanting to experience local spread of coronavirus reduce inbound delicacies whilst on their trip. This is Chinese tourists to South-East Asia, the consistent with a 2019 report showing region sees an overall drop in tourists in that 80% of consumers specifically seek 2020 so far – consistent with the effects out local food on a trip, compared to of uncertainty across the globe. This international chains. This is great news suggests a change in strategy for these for countries like Thailand. According to countries as they pave the way to target a 2018 report, international visitors to international visitors. 20 wilddogdesign.co.uk | spikemarketing.co.uk
Examining Guidebooks As we consider the role of traditional marketing material in an increasingly digital world, other aspects of the ‘traditional’ must be brought under the microscope. From the research within our survey commissioned by DK Eyewitness, it is clear that the humble guide book remains essential for the Specialist Traveller. The guidebook remains a vital tool haul destinations such as Istanbul and deciding which holiday to book. for the Specialist Traveller, as 64% of Egypt, consistent with our research This implies that travellers may not our respondents used a guidebook in which showed that travellers are more trust internet sources as much as 2019 – influencing their travel plans, likely to use a guidebook on a long- guidebooks, along with highlighting along with giving them extra insight haul trip, than on a city break in the that people may not have consistent into the destinations they visit. Maps 2019/2020 period. internet access everywhere on holiday. are the most important feature of a Whilst content on the internet is guidebook to the Specialist Traveller, the most common source of travel “DK Eyewitness Travel Guides followed by the highlights of a information throughout a traveller’s destination – including their cultural hold a firm place in the booking journey, and whilst on and historical background. holiday, over 70% of respondents traveller’s backpack.” The common misconception is that within our survey have said that Victoria Sturley, Marketing Manager print is on the decline as an increasing guidebooks are moderately to DK Eyewitness Travel amount of consumers find their extremely important to them when content online. This generalisation How likely are you to use a travel guide book for the following types of trips? ignores sector segmentation, as sorting by the type of content consumed leads to different narratives. Considering magazines, City Break for example, several current affairs publications are increasing in sales Short haul trip year on year whereas celebrity gossip and fashion titles are decreasing in performance. Long haul trip When looking at guidebooks, some When visiting destinations are outperforming others. a destination DK Eyewitness in 2018 experienced a visited before sales growth for books to mid to long- 0 1000 2000 3000 4000 5000 6000 7000 8000 To contact AITO for further information call us on 21 020 8744 9280 or email us on info@aito.com
Final Figures It’s often valuable to have the raw data at hand. Find below some of the key figures from this year’s research. In a typical year, how many holidays does the Specialist Traveller take? The majority of respondents in our survey take 0 1 2 3 4 5+ at least two holidays abroad every year. At home 9% 26.6% 33.3% 17.6% 7.6% 5.9% Abroad 4.1% 27.9% 36% 18.7% 7.9% 5.3% Where has the Specialist Travelller stayed over the last 3 years? Who does the Specialist Traveller Accommodation % go on their main holiday with? Chain hotels 75.8% Companion % Boutique hotels 63.6% As a couple 57.4% Luxury hotels 49.8% Travels alone 14% Apartments 45% With immediate family 12.5% Airbnb 36.1% With friends 9.5% Villas 28.1% Join a group / escorted trip 4.7% Lodges 27.3% Other 1.1% Mobile homes 7.8% Which phrases are most associated with the following booking methods? Specialist Travel Company Independent booking Easy to book 43.1% 18% Safe 52.5% 13.3% Value for money 24.3% 41% Authentic 55.8% 37.5% Expensive 66.9% 17.2% 22 wilddogdesign.co.uk | spikemarketing.co.uk
What is the main currency used to pay for a holiday? Which of the following payment methods do Specialist Travellers mostly use when paying for a holiday? Currency % Payment method % Pound Sterling 76.5% Credit card 80.7% US Dollars 10.2% Debit card 43% Euros 9.1% Bank Transfer 17.3% Other 4.3% PayPal 7.3% Cheque 3.9% What are the best ways for travel companies to keep in touch with customers about new holidays, destinations and offers? Other 1.8% Communication method % Which of the following social media platforms do E-mail 84% Specialist Travellers use? Brochure 41.3% Platform % Mail (in the post) 27.7% Facebook 47.8% Customer magazine 20.9% Twitter 13.7% Social media (Facebook, Twitter etc.) 13.1% Instagram 18.9% Other 2.4% Pinterest 6.6% Telephone 1.6% Snapchat 2.2% Brochures continue to have a role in the booking journey, Whatsapp 51.1% providing potential travelers with exciting information. What is the Net Promoter Score of AITO members? 67.1 Promoters 72.6% Passives 21.9% ‘World Class’ Detractors 5.5% NPS, gained by asking if customers would recommend a business to a friend, is indicative of the level of service and quality offered to a traveller. Any positive NPS is considered ‘good’, with 67.1 being a ‘World Class’ Net Promoter Score showing that AITO members are providing the highest levels of customer experience. To contact AITO for further information call us on 23 020 8744 9280 or email us on info@aito.com
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