Travel Desire Recover After The Pandemic

Ever since the outbreak of COVID-19 in 2020, people have been confined to their homes due to lockdowns. The tourism industry has suffered a setback, and recovered slowly, with the winter season having begun this year. This is related to extensive layoffs across the board, ranging from catering staff and hospitality personnel to airline pilots and cabin crews. Therefore, cities and countries that rely heavily on tourism have been severely affected.

According to data from the United Nations World Tourism Organization, the growth rate of tourist arrivals has seen a negative trend since 2020, with figures varying between -90% in April 2020 to -46% in June of the same year. Tourist sentiment has also slumped since the beginning of 2020, decreasing from 33 in January to 19 in April. However, despite fluctuations, travel sentiment has recovered to 40 by June 2020. These figures illustrate a growing eagerness among people to travel. Demand for travel has picked up pace in response to increasing vaccination rates, and people's greater confidence in safety has also propelled travel sentiment.

Data about the hotel industry indicates a marked improvement in hotel searches and occupancy rates. The growth rate of hotel searches plunged from 13.88% in January 2020 to -80.89% in April of the same year but has since recovered to -27.54% in June 2022. Occupancy rates witnessed a similar decline from 57% in January 2020 to 22% in April 2020, but have since bounced back to 66% in June 2022. Occupancy rates have essentially recovered to the pre-pandemic levels and have suggested an encouraging trend despite seasonal fluctuations.

Short-term rentals, such as car rentals or conference room and house rentals, have also witnessed a significant resurgence in demand. The growth rate of short-term rentals had fallen steeply from 32% in February 2020 to -29% in April of the same year. However, demand has since rebounded, surging to 15% by June 2022. The recovery of short-term rental consumption benefits the tourism industry, as it generates profit and further facilitates the recuperation of the tourism industry's supply chain.

Travel searches reflect how many people plan to travel. The growth rate for travel search volumes stood at 11.27% in February 2020 but then plummeted to -71.44% in April of the same year. However, the data showed an uptick, with the highest figure recorded at 180.10% in April 2021, before gradually returning to stability, reaching 41.05% in June 2022. These statistics demonstrate a growing inclination among people to travel, returning slowly but surely to pre-pandemic levels.

COVID-19 is no longer the primary concern for travelers in Europe and North America. Instead, travel concerns are shifting towards inflation and personal or family reasons. The figures clearly reveal that global travel demand is rising. The resurgence of tourism depends not only on boosting demand but also on getting support from national management policies that contribute to the tourism supply chain's restoration. With the present positive momentum and many countries still fighting against COVID-19, the gradual relaxation of travel restrictions is likely to inject vitality back into the tourism industry and accelerate economic recovery.

References

1. United Nations World Tourism Organization, “The UNWTO Tourism Recovery Tracker”.