Oct 17, 2024

/ Posted on 17 October, 2024 10:35 Digital marketing specialist Sojern’s latest travel data ahead of the holiday season and beyond shows that travellers are eager to hit the road or skies, but economic concerns and inflation are widening the wealth gap and influencing how travel decisions are made. Compared to 2023, more consumers are opting for road trips over air travel, if they are traveling at all. Sojern data shows upscale and luxury hotel prices have risen by 1.7% and 1.4%, while economy lodging remains steady, reflecting growing demand for higher-end accommodation. Demand for Asia is up among travellers from the US and Europe this holiday season; El Nido, Palawan, the Philippines pictured “Unlike the pandemic where travellers chose less crowded destinations, those who are traveling are going back to more popular and expensive cities – and they’re willing to pay a premium,” said Noreen Henry, chief revenue officer at Sojern**. ** “We saw this with Taylor Swift’s Eras Tour where booking interest traffic to European cities spiked 65% and hotel room prices were up 154%. This holiday season, we’re seeing the same trends. From events to festive outings, travellers want  immersive adventures, and the travel brands that deliver personalised, magical experiences will win.” US travel spikes for Thanksgiving and Christmas With an estimated 4.7  million people flying over the Thanksgiving holiday, Sojern data shows that domestic flight bookings are up 4% in 2024 compared to the same time period in 2023, with Orlando taking the top spot as the Thanksgiving flight destination of choice. Meanwhile, domestic travel during Christmas is down 15%, while travel to Europe is up 2% and Asia up 9%. Top destinations internationally are Mexico, the UK, Canada and Dominican Republic. European cities delight international travellers while Europeans flock to Asia Europe’s festive flair and array of Christmas markets have long attracted travellers from around the world – and this year is no exception. However, while travellers from around the world are packing their bags and jetting off to major European cities, Europeans have other plans. Currently, domestic flight bookings are down 26% and bookings within Europe are down 5%. Interestingly, flight bookings to Asia (14%), Latin America (3%), and non-conflict countries within the Middle East and Africa (3%) are all up, indicating that Europeans either prefer to drive for their holiday experiences or embark on long-distance adventures. London, with its charming pubs and festive holiday displays, stands as Europe’s top destination this season, capturing 79.1% of flight bookings and 89.7% of hotel reservations. With bustling Christmas markets, Germany and Austria have long been popular destinations. International travel to Germany is up 7% while travel to Vienna is scooping up 80% of Austria’s holiday flight bookings. Paris is still riding high off the 2024 Summer Olympics as one of the most in-demand destinations in Europe. Overall, domestic travel within France is down 41%, but international travel is only down 1%. Much like other European destinations, domestic travel within Italy and Spain is down, but international travel is up 13% and 11%, respectively, with visitors choosing major cities, such as Rome, Milan, Florence, Venice, Madrid, and Barcelona. Abu Dhabi and Saudi Arabia gain favour ahead of major events and travel peak Formula One events attract significant crowds. The UAE is gearing up for the Abu Dhabi Grand Prix (Dec 6 to 8), with flight bookings from the past 30 days showing a 9% overall increase for December. Regional bookings are up 13%, and international travel is up 4% compared to 2023. Meanwhile, Saudi Arabia is experiencing rising demand as it enters peak travel season, with international flight bookings up 15% and regional travel surging by 38%. Travellers skirt traditional ski destinations in favour of Japan Preferences for holiday skiing are changing. American and Canadian ski destination hotel bookings are down between 9% and 18%, and European ski tourism is seeing similar patterns. Japan is emerging as a top ski destination, with hotel bookings up 417% compared to last year. Chinese New Year bookings are down Chinese New Year in 2025 runs from January 28 to February 3, and is driving travel across Asia-Pacific. Singapore is typically a huge draw, but current hotel bookings are down 11.55% overall compared to the same period in 2024, with domestic bookings down 26%. Singapore is China’s top destination for the holiday, capturing 14.8% of non-intra-regional Asia-Pacific travel. While some Chinese travellers are flying for the holiday, flight bookings are down 18.82%. Hotel bookings are up 10.41% compared to 2023, indicating a higher demand for domestic travel, but likely by rail or car. 2025 and beyond Sojern observes that today’s travellers are more experience-driven than ever, investing heavily in attending concerts, events, and major sports like the FIFA World Cup. In 2022, Qatar hosted the FIFA World Cup, spiking international lodging searches by 541% worldwide. Next up, Canada, Mexico, and the US will host the 2026 FIFA World Cup, drawing travellers from around the world to cheer for their teams. As travellers increasingly seek out experiences, they are willing to spend more, driving up both costs and expectations. In response, the travel industry is embracing innovative solutions, such as Generative AI, to better understand guests and deliver personalised experiences at scale. This year marks just the beginning, as the adoption of these cutting-edge tools is set to grow well into 2025 and beyond. *Sojern data pulled as of Oct. 1, 2024 TAGS