As the pandemic restrictions have been lifted, the market has responded rapidly. More and more consumers are spending on travel as time goes on, and it seems like confidence in safety while out in public has risen enough to stabilize the market. As a result, the travel industry has begun to thrive again, even outperforming the pre-pandemic period in some ways.
There are some caveats, though. Travel costs are much higher than before the pandemic, causing a significant divide between the actual volume of travelers and the amount spent. As a result, it is important to dive deeper into the data to figure out how best to take advantage of travel trends.
In order to give businesses a better idea of how to monitor and adapt to travel trends in 2022, we are going to go over a few things, including:
So, let’s dive into some of the facts and figures behind the recovery of the travel industry.
Travel spending surpassed 2019 levels for three straight months in April, May, and June of 2022.
With the combination of new demand, and higher average travel pricing, consumer cash being spent on travel has actually outperformed the pre-pandemic period from April-June.
47% of consumers are as likely, or more likely, to travel for overnight business than they were pre-pandemic.
Business travel, which brings in a significant portion of the revenue for travel businesses, has seen a pretty decent recovery so far.
Tourists spent 1.8 billion more nights in the EU in 2021 than in 2020.
Travel in some of the world’s most popular tourist destinations has taken a rapid recovery, and there is still plenty of room to grow before reaching the volume achieved in 2019.
80% of travelers aged 18-34 plan to “go big” on their next trip, compared to the 60% average for all travelers.
Younger consumers are looking to make large travel expenditures the next time they decide to go, leaving a lot of opportunity for businesses that can make it easy to do so.
40% of US travelers are more willing than ever to splurge on travel.
Despite higher travel costs, Americans are ready to reach deep into their pockets to take a nice vacation.
With consumers looking to go big on travel in 2022 but facing a substantial cost increase to do so, businesses need a way to improve their customers' buying power. This is where consumer financing comes in.
Buy now, pay later (BNPL) payment programs, travel loans, and branded credit cards are all great ways to ensure that consumers can have the biggest and best trip possible while being able to plan it financially over time. There are plenty of options that offer no interest at all and don’t impact credit, allowing consumers to obtain all the benefits of financing without many of the drawbacks.
Skeps offers a comprehensive, end-to-end consumer financing program that helps businesses modernize their entire payment process. We go above and beyond one-click payment, also offering a one-click application process for several different types of consumer financing, including:
If you’re looking to partner with a forward-thinking fintech company that will keep consumers' eyes on the purchase while offering best-in-class financing, Skeps is the perfect fit.
Do you have more questions about travel trends in 2022 and how your business can take advantage? Request a demo or contact us at support@skeps.com.