As Pandemic Concerns Fade, 76% of North Americans Plan To Travel Soon. Oracle Survey respondents are ready to spend more on hospitality perks beyond the room charges, hoteliers add new services to extend the customer experience.
After more than a year in lockdown, 76% of consumers in North America plan to travel within the next six months. According to a new Oracle Hospitality survey, 24% of respondents in the US and Canada plan to travel immediately, 31% in the next one to three months, and 21% by the end of the year.
People are largely traveling regionally, but venturing further from home. Domestic travel will account for 61% of travel plans (vs. 44% last year), 19% of people will stay within driving distance (vs. 47% last year), and 20% will go abroad (vs. 10% last year). Beaches (39%) and national parks (16%) are the favored destinations. No matter the location, 77% noted a COVID-19 vaccination is very or somewhat important in giving them the peace of mind to travel. In terms of getting on a plane, 18% do not feel safe doing so until they are fully vaccinated.
Last year, travelers cared most about navigating uncertainty with flexible hotel cancellation and refund policies. This year is all about the experience. To fend off competition from short-term property rentals, hoteliers are offering extended services from packaged excursions to new dining options. The majority of hotel executives surveyed (72%) are exploring opportunities for non-room revenue. And consumers are all in, with 68% noting they are very or somewhat interested in purchasing products or experiences from their hotel beyond the room.
"The pandemic has had a profound impact on the hospitality industry and continues to redefine how travel will look moving forward," said Alex Alt, senior vice president and general manager, Oracle Hospitality. "The great news is that travel is on the rise and consumers are excited to get back out in the world. However, they have new and evolving expectations of what that experience will look like. Hoteliers are rising to the challenge to not only delight customers with a great stay, but also come up with services to boost revenue and compete with the growing short-term rental market."
The Oracle commissioned survey was conducted by Skift in May 2021. The survey "Back to Hospitality: Getting Smarter and More Profitable in a Post-COVID World," interviewed 4,467 global consumers and 537 hotel executives (including 773 people and 160 hoteliers in North America).
Spending beyond the room - After a year of saving money on lost vacations, travelers expressed a willingness to spend for a great experience.
Pandemic priorities have become permanent practices - The survey shows that the features and amenities that became a necessity during the pandemic will be the norm and desire moving forward.
Redefining the Vacation - Being stuck at home has shifted consumer thinking around vacations and what is most critical in terms of space and amenities.
Oracle Hospitality brings more than 40 years of experience in providing technology solutions to independent hoteliers, global and regional chains, gaming, and cruise lines. The report asked questions of consumers and hotel executives to better understand the key factors defining the post-pandemic hospitality marketplace. The survey highlighted what consumers are looking for in this fast-changing and highly competitive landscape and how hoteliers are adapting to welcome back travelers.
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