After more than a year of pandemic-related restrictions and stresses, Americans need a vacation and are ready to travel this summer, according to Deloitte’s report, “Keen But Cautious: U.S. Travel in COVID’s Second Summer.” It said Americans of all ages and income levels are making travel plans, although uncertainty continues to influence the entire travel experience.
This latest report comes after an Airbnb report into summer travel plans, and a positive outlook for PwC.
Key highlights from the report include:
- Four in 10 Americans plan to take at least one vacation this summer that includes a flight and/or paid lodging, which is similar to pre-pandemic summer travel of 2019.
- A desire for health and safety continues to weigh on travelers. At least 75% of travelers considering factors such as COVID-19 restrictions, crowd avoidance, vaccination status, social distancing and CDC guidelines when selecting their vacation destination.
- Adventurers are willing to pay for an escape. More than 60% of travelers will spend about the same on their summer trips compared to 2019; only 13% will spend significantly less.
- Over half of work from home travelers (56%) are adding a week or more to their trips, and work from home travelers are twice as likely as others to increase trip budgets over 2019.
- A majority of summer travelers (85%) will stay in a hotel, compared to 23% who will opt for a private rental.
- Choosing where to stay is about more than location. For hotel guests, 89% cited enhanced safety measures as the main reason for their selection. Meanwhile, for those booking a private rental, 86% are driven by an amplified sense of control over COVID-19 exposure and their own safety.
- An added boon for both the hotel and private rental sectors, Americans who work from home are more likely to extend their summer vacations to work remotely. Half of travelers (56%) will add three or more days to their vacations, and they are twice as likely to spend more on travel compared with summer 2019, and 1.7 times as likely to plan international travel.
While hotels are the leading form of lodging for most travelers, the pandemic has increased demand for private rentals. The trend presents the opportunity to convert first-time private renters into regular customers beyond the summer months.
Here is further related data:
- A majority of summer travelers (85%) will stay in a hotel, compared to 23% who will opt for a private rental.
- More than a quarter (28%) of rental travelers have stayed at a private rental for the first time during the pandemic or plan to this summer. Furthermore, two-thirds of pandemic-minted renters say they expect to stay in rentals for at least half of future trips.
- Choosing where to stay is about more than location. For hotel guests, 89% cited enhanced safety measures as the main reason for their selection. Meanwhile, for those booking a private rental, 86% are driven by an amplified sense of control over COVID-19 exposure and their own safety.
- Supply of private rentals is an ongoing issue that leads rental travelers to cross-shop three and a half times more than hotel travelers. For example, 53% of rental travelers will consider a hotel for their trip, compared to just 15% of hotel travelers considering rentals. The lure of a luxurious hotel experience and loyalty rewards are contributing factors as well.
- An added boon for both the hotel and private rental sectors, Americans who work from home are more likely to extend their summer vacations to work remotely. Over half of work from home travelers (56%) will add three or more days to their vacations, and they are twice as likely to spend more on travel compared with summer 2019, and 1.7 times as likely to plan international travel.
“The pent-up demand for travel, coupled with the flexibility of remote working options, will drive more Americans to hotels and private rentals this summer, as an escape from the everyday,” said Ramya Murali, principal, Deloitte Consulting, and U.S. hospitality sector leader. “Lodging suppliers have been diligently adapting their policies and offerings since the pandemic began — they should continue to ease traveler safety concerns, instill confidence, bring back the joy of travel and, ultimately, drive loyalty.”