By: Staff Writer
November 26, 2021
The Caribbean is leading the world in Travel and Tourism (T&T) GDP growth as the region climbs out of the pit of COVID-19 tourism shutdowns, says the World Travel and Tourism Council (WTTC).
Pent-up demand for travel is as high as it has ever been as people come out of COVID-19 lockdowns and are looking for new experiences and to travel and explore the world again. Their “spend” is also likely to be significant as well.
The WTTC in their latest report, “Trending in Travel,” in conjunction with online travel agency Trip.com, said that while international spending is “lagging” domestic spending in 2021 this will change in 2022 as they project international spending to “overtake” domestic spending as destinations begin easing restrictions.
The report also said: “Regionally, the Americas lead the recovery with a 36.8 percent projected growth of T&T GDP, followed closely by Asia-Pacific with an expected T&T GDP growth of 36.3 percent, Africa (27.7 percent), the Middle East (27.1 percent), and Europe (23.9 percent) follow.
“Within the Americas, the Caribbean is the frontrunner with a projected T&T GDP growth of 47.3 percent followed by North America (37.9 percent) and Latin America (26 percent). The growth in T&T GDP is expected to be largely driven by domestic spending, with the exception of the Caribbean and the Middle East where international spending is set to make a significant contribution to T&T GDP. Projected international spending growth in the Caribbean is the highest of any region in 2021, with domestic spending growth projected at 52.6 percent and international spending projected at a notable 61.7 percent.”
The report also said that there will be significant change to traveller habits and preferences as they book their vacations. Travellers are looking for two distinct things when they travel, the first is whether or not the destination is clean and has a sustainable environment and secondly they want somewhere that is COVID-19 free and takes preventive steps to ensure traveller safety.
The report said: “While sustainability has been a priority for the Travel & Tourism sector for some time, it became even more prominent through the pandemic. Indeed, consumers pay closer attention to their human impact on the environment and seek more sustainable options in how they live and travel. Increasingly, the private sector is offering sustainable alternatives, and the public sector is more eager to finance sustainable tourism and development. From the UN Sustainable Development Goals (SDGs), the Paris Agreement, and the UNFCCC’s Climate Neutral Now initiative to action on diversity, inclusion, and illegal wildlife trade, the public and private sectors are working towards a more sustainable future for people and planet.”
This sustainable travel trend will “remain for some time” the report also noted.
The report added: “While there is pent-up demand for travel, consumer criteria evolved during the pandemic, in turn significantly impacting purchasing decisions. The implementation of enhanced health and hygiene measures remains a top priority for consumers worldwide. Indeed, while price still drives bookings, consumers are now equally focused on health and safety. Amadeus found that 47 percent of global travellers cite a COVID-19 related factor as the most in uential criteria in choosing a destination and two thirds expect an understanding of the COVID-19 prevention measures in place prior to booking. When asked about these preferences related to mode of transport and accommodation, more than half of respondents admitted that knowing COVID-19 prevention measures upfront before booking was very important when booking air (62 percent), hotel (66 percent), rail (61 percent), and car rental (56 percent).”
Booking trends are also changing as while travellers opted for shorter booking windows in 2021, this may change in 2022 as the report noted that “same day bookings are gradually decreasing.” This is an inference that destinations are now stabilising from the impact of COVID-19 infection waves and people can now plot out a more predictable and safer trip.
Destinations are also changing as travellers are looking for “secondary destinations” now as they want more of an experience of a destination’s full culture and not the pre-packaged trip to the generally identified tourist areas.
The report said: “Modern travellers are increasingly seeking adventure to satisfy their pent-up wanderlust, with 40 percent of travellers opting to explore unfamiliar destinations. Similarly, American Express found that 69 percent of travellers were interested in visiting lesser-known destinations, 72 percent were hoping to support local communities through their travel, and 59 percent were interested in “philantourism”, specifically choosing an experience or vacation to support a destination through tourism. What is more, 52 percent of consumers are more likely to take an outdoor trip than before the pandemic and 47 percent of travellers want their next trip to be in nature.”