Global Travel in 2016: Travelers Keen to Spend More, Hoteliers Plan to Increase Room Rates

Travelers are open to spending more in 2016 than they have in the past while many accommodations plan to raise their room rates in the coming year, according to the results of the TripBarometer study released recently by travel site TripAdvisor.
The TripBarometer study is the world’s largest accommodation and traveler survey, presenting a snapshot of the travel landscape for 2016, revealing domestic and global travel trends.

According to the findings of the TripBarometer study, one in three travelers (33 percent) worldwide are open to spending more in 2016 than they have in the past — and not just because of rising costs. Among those who plan to increase their travel budget, 49 percent said they will do so because “because I or my family deserve it.”

Another 31 percent said they would spend more on travel because “it’s important for my health and well-being.”

Meanwhile, nearly half of hoteliers globally plan to increase room rates in 2016 (47 percent).

Most accommodations are increasing rates to compensate for increased overhead costs (65 percent), although more than a third are increasing rates because of recently completed renovations (37 percent) or because of increased demand (35 percent).
Also, three in four business owners are optimistic about profitability in 2016. The majority of those who are optimistic say it’s because of local events and conferences taking place in their markets next year (65 percent). Also, 91 percent of hoteliers see increasing direct bookings as key for the future of their business.

Hoteliers also believe that their online presence remains important as 93 percent said that traveler reviews on the web are essential for the future of their business. 
Online reputation management is still the biggest area of investment for accommodation owners in 2016, with 59 percent investing more in this area than they did the previous year.

The TripBarometer study also revealed that travelers choose destinations for a number of reasons, including special offers from accommodations.

Globally, 47 percent of travelers say they have visited a destination because of the culture and people of the specific country and one in five travelers (21 percent) have chosen a destination because a hotel had a special offer or package.
Among the amenities that travelers will look for when they book an accommodation in 2016, air conditioning and WiFi stand out. Globally, 63 percent of travelers said air conditioning is a must-have when choosing a place to stay and 46 percent said free in-room WiFi is a must-have amenity — meaning that, if an accommodation did not provide it, they would look elsewhere.

In addition, the study also showed that 69 percent of global travelers plan to try something new in 2016. One in five travelers said they would try a cruise for the first time next year.

Conducted on behalf of TripAdvisor by independent research firm Ipsos, the TripBarometer study is the analysis of more than 44,000 survey responses from travelers and the hotel sector worldwide.
For the TripBarometer study, press here.
(source gtp)