From numerous research reports on the hospitality and leisure sectors and discussion at tourism conferences, it is clear that leisure travel is back in a big way and consumers are on the move – a tremendous vote of confidence for the luxury travel market.
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Embracing Regional Sales Power
With this travel resurgence, major city center hotels and the world’s resorts have a much more balanced mix of high-net-worth guests. Gone are the days when top suites were filled with wealthy Americans or Middle Eastern guests paying top dollar. Today’s mix is much broader with affluent guests from around the globe – Latin America, ?xml:namespace>
The Importance of Maximizing Rate
With occupancy back on the rise, hoteliers, cruise lines and airlines should emphasize a focus on maximizing rate. While consumers still are looking for value – not to be confused with discounts – the industry must now employ the very best revenue managers to improve the ADR (average daily rate), which unfortunately, in many cases, still lags behind where room rates were four years ago. Now that consumers are traveling again, they will have to book with a longer lead time in order to secure their preferred accommodations, itineraries and flights – and this will propel travel counselors to work more effectively with their clients to coordinate trips further in advance of departure. Clients unable to plan far in advance will require greater flexibility and more options. How will the travel industry rise to the occasion and meet these consumer needs? Consider ‘delivery’ – in terms of service, experience and value for money – as crucial to your strategic planning going forward.