In the results of a study conducted by the European Travel Commission and Eurail the impact of the cost-of-living crisis on the travel industry and tourism sector was made evident through many travellers intentions for their future travel.
This study by the ETC looked into the impact of the cost-of-living crisis on travel by investigating the travel intentions of travellers from seven different overseas markets of Europe. These overseas markets were Australia, Brazil, Canada, China, Japan, Russia, and the United States. Across these seven markets, the results came out with a great mix of plans, but it was observed that the desire to visit Europe this winter was noticeably lower than in years previous.
“With the cost-of-living crisis set to have a crippling impact on household budgets globally this winter, personal finances have become the main reason behind respondents’ (24%) decision not to travel long-haul,” the ETC said.
“Brazilians (55%), Canadians (31%) and Americans (30%) are most sensitive about money matters. Furthermore, Covid-19 related concerns are still off-putting to many, with 19% of respondents stating it as a reason not to travel overseas, particularly those in Asia.”
In the study it was shown that the desire to travel to Europe has remained weak for Americans during the cost-of-living crisis. A large 41% of American respondents stated they would have more confidence in travelling to Europe after the economic situation has improved. From those who are planning trips to Europe in the near future, 56% want to visit more than one country, France, Italy, Germany, and the UK coming in as top contenders.
The top priorities for American travellers came in as high-quality tourism infrastructure a 35%, security at 33%, and the prices at 31%. How crowded a destination is was also stated to influence 23% of American travellers to Europe.
Canada, on the other hand, is seeing a rebound in desire to travel to Europe. Following the gradual release of travel restrictions between Canada and the rest of the world, many travellers are showing greater interest in travel to Europe despite the cost-of-living crisis. Around 60% of Canadian respondents that were interested in visiting Europe claimed they wanted a multi-country trip, with France, Italy, and the UK topping their lists.
55% of Brazilian respondents were also greatly excited to visit destinations in Europe this winter, with a preference for Portugal at 41%. Close to 60% of Australian respondents also plan to travel abroad before the end of 2022, with 38% looking at Europe specifically.
Luis Araujo, the president of the ETC, said, “It is positive to see a continued improvement in long-haul travel sentiment. Nonetheless, this latest long-haul travel barometer reflects the negative impacts that the increased cost-of-living is having on people’s ability to travel internationally.
“It is likely that personal finances will significantly alter people’s travel choices in the coming months – this is a situation which ETC and its members are committed to monitoring closely and addressing.”
So, if you’d like to learn more about how your consumers’ monies are protected with Protected Trust Services (PTS) and how we support excellent travel businesses, check out our pages. Or you can get in touch with the lovely PTS team by calling 0207 190 9988 or emailing us at firstname.lastname@example.org.