NEEDHAM, Mass., May 10, 2021 /PRNewswire/ -- Millennials in
search of luxury are at the forefront of rebounding U.S. traveler
confidence, a joint study by Tripadvisor®, the world's largest
travel guidance platform, and Accenture, the global professional
services company, has found. While beach vacations remain
highly popular among U.S. travelers planning to travel domestically
in 2021, the U.S. city break is also returning as a trip of
choice.
The findings were revealed today in a new research
report that shares insights into U.S. travelers' plans
for the year ahead. The research analyzes the latest consumer
sentiment in the U.S. across a comprehensive range of demographic
groups and income levels, to gain a deeper understanding into how
different groups of U.S. travelers are feeling, where they are
planning on going next and how much they're going to spend.
The report, entitled The Future of Travel, found that while
confidence to travel appears to be returning among all age groups,
it is the high income Millennial demographic that are most likely
to spend big on travel this year, with a majority already booking
luxury trips - thanks to a strong desire for self-care and
relaxation.
Key findings from the report include:
- A return to confidence
-
- Of those U.S. respondents who did not take a trip at all in
2020, nearly two thirds (61%) said they are comfortable doing so in
2021.
- Respondents earning $100,000 or
more are leading the way in likelihood to travel in 2021 - with
over a third (34%) having already booked a trip for 2021, compared
to less than one in five (19%) of the remaining population.
- Those who traveled in 2020 are more likely to have booked a
2021 trip already - of those respondents that traveled last year,
forty-one percent (41%) have already booked 2021 travel compared to
just thirteen percent (13%) of those who did not travel at all in
2020.
- U.S. travelers are getting more adventurous in their plans -
especially in the higher income brackets
-
- Over half (54%) of all U.S. respondents earning more than
$50,000 are considering domestic air
travel for their next trip, while a quarter (25%) of those earning
$100,000 or more are considering
flying abroad for their next trip.
- Millennials earning above $50,000
are the most eager to fly. Three out of five (58%) of those
surveyed are considering domestic air (compared to 41% among other
age groups) and one in four (25%) are considering international air
travel (that's 1.8 times higher than the average among respondents
in other demographic groups).
- Respondents who have already booked a trip are five times more
likely to be taking an international trip as opposed to a
staycation (i.e. a trip less than three hours from home).
- Travelers are planning longer trips this year - eighty-seven
percent (87%) of respondents who have already booked travel have
opted for a trip of three nights or more. Of those yet to book a
trip, more than three quarters (77%) are also planning a break of
three nights or more.
- Beach destinations remain popular, but city breaks are back
on the rise too
-
- The beach remains the number-one choice for most age and income
segments planning their next trip, with one in three (30%)
selecting a beach vacation as their next spring or summer
destination
- Nevertheless, there is a renewed interest in the city break as
a vacation option for U.S. travelers. One in four (25%) say city
destinations are the preferred option for their next trip, second
only to beaches and ahead of other types of nature travel
- The choice of urban instead of nature destinations is
particularly pronounced among younger, less affluent travelers. Gen
Z respondents earning less than $100,000 are twice as likely to visit a city
(30%) than they are to visit a nature destination (beaches
excluded)
- City dwellers are particularly keen to visit other urban
centers: across all income ranges, metropolitans from both coasts
are interested in other U.S. cities for their next trip.
Thirty-four percent (34%) of Californians and New Yorkers say a
city is where they are headed next
- A desire for relaxation and luxury is driving demand - and
higher spending
-
- Across all demographics, the desire to use travel as a means to
relax is clear, with nearly half (45%) of all respondents saying
relaxation is what they are seeking on their next trip
- Certain groups are also willing to spend more on travel this
year to upscale their trips. Thirty-two percent (32%) of
high-earning Millennials are planning to increase their travel
spending in 2021 - almost double the average respondent.
- Luxury vacations are the order of the day - more than a third
(37%) of high-income Millennials are planning to spend more than
$5,000 on an upcoming luxury
trip.
- While most groups identified cost as a leading factor when
booking their next trip (close to 60% of respondents), only 40% of
high-income Millennials listed this as a concern.
"Throughout this pandemic our research and insights have always
shown us consumers' resilience and wanderlust to travel. In this
latest joint report, it's fantastic to see U.S. traveler confidence
returning, especially to destinations further afield," said
Christine Maguire, general manager,
global media business, Tripadvisor. "What is also encouraging
for brands and destinations is that, among those planning to spend
more than $5,000 on their next trip,
as many as 62% have not yet made a booking -- and they are eager to
spend more on travel than ever before. For brands, the opportunity
is there to attract the purchasing power of this audience now."
"The research highlights a positive outlook and several trends
that look set to shape the U.S. travel market recovery. Cities are
making a comeback as a top destination, and there is a clear desire
among more affluent travelers for luxury experiences," said
Liselotte de Maar, managing director, travel industry at Accenture.
"The focus needs to be on targeting the early "inspiration" of the
customer journey with new travel offerings that establish a
personalized connection. Travelers choose the brands they trust, so
it has never been more important to live up to the brand promise,
while having the flexibility and responsiveness to developments in
order to meet travelers' evolving needs."
For additional information on the impact COVID-19 has had on the
tourism industry, visit Tripadvisor's webinar series found at:
https://www.tripadvisor.com/TripAdvisorInsights/w5933.
About the research
This online survey was sponsored by Accenture and Tripadvisor;
it was executed by Qualtrics. The survey was conducted on
March 3, 2021 and interviewed 1,000
respondents from 49 states, evenly distributed across Gen Z, Gen X,
Millennial, and Boomer generations.
About Tripadvisor
Tripadvisor, the world's largest travel guidance platform*,
helps hundreds of millions of people each month** become better
travelers, from planning to booking to taking a trip. Travelers
across the globe use the Tripadvisor site and app to discover where
to stay, what to do and where to eat based on guidance from those
who have been there before. With more than 887 million reviews and
opinions of nearly 8 million businesses, travelers turn to
Tripadvisor to find deals on accommodations, book experiences,
reserve tables at delicious restaurants and discover great places
nearby. As a travel guidance company available in 49 markets and 28
languages, Tripadvisor makes planning easy no matter the trip type.
The subsidiaries of Tripadvisor, Inc. (NASDAQ: TRIP), own and
operate a portfolio of online travel brands and businesses,
operating under various websites and apps, including the following
websites:
www.bokun.io, www.cruisecritic.com, www.flipkey.com,
www.thefork.com (including www.lafourchette.com, www.eltenedor.com,
www.bookatable.co.uk, and www.delinski.com), www.helloreco.com,
www.holidaylettings.co.uk, www.housetrip.com, www.jetsetter.com,
www.niumba.com,
www.seatguru.com,
www.singleplatform.com, www.vacationhomerentals.com, and
www.viator.com.
* Source: SimilarWeb, unique users de-duplicated monthly,
March 2021
** Source: Tripadvisor internal log file
TRIP-G
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SOURCE Tripadvisor