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Expedia releases latest travel trends

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SINGAPORE, 18 February 2022: The Covid-19 pandemic continued to impact travel worldwide through the end of 2021, but in the fourth quarter, Expedia Group Media Solutions registered consistent global search volumes.

Expedia Group Media Solutions released its Q4 2021 Travel Recovery Trend Report earlier this week. The quarterly report combines Expedia Group first-party data and custom research with actionable insights and industry examples to help travel marketers on their continued journey toward rebuilding and recovery.

“The pandemic continued to impact travel around the world through the end of 2021, but in Q4, we saw consistent global search volumes, lengthening search windows and more international destinations

appearing on regional top 10 destination lists,” said Expedia media solutions global vice president Jennifer Andre. “Consumers have learned how to travel under ever-changing circumstances, and we anticipate they will continue to adapt and evolve their behaviours and preferences as the landscape evolves. We are encouraged by the overall year-over-year progress and remain confident in the power of travel and the resilience of the industry and travellers.”

Here are the key findings from the Expedia Group Media Solutions Q4 2021 Travel Recovery Trend Report

Appetite for Travel Continues to Grow

Despite a bumpy quarter, there is still a tremendous appetite for travel compared to 2020. Global search volume in Q4 was flat quarter-over-quarter, but up more than 70% year-over-year, indicating that travellers are still eager to get away. In APAC, search volumes were up nearly 35% over Q3, driven by additional vaccinated travel lanes and international border reopenings in several countries, including Australia, Singapore, and Fiji.

Week-over-week global searches spiked around major announcements and industry activity, including the 8 November U.S. border reopening to vaccinated travellers from 33 countries, and during the week of 27 December, possibly due to travellers reacting to thousands of delayed or cancelled flights.

However, this heightened interest has been sustained into the first weeks of 2022, with global, NORAM*, and EMEA* search volumes even higher during the first two weeks of January than the last week of December 2021. This eagerness for travel is also complemented by an apparent resilience in the traveller mindset, as evidenced by lodging cancellation rates, which remained flat throughout Q4 despite the continued and unpredictable headwinds of the pandemic.

Search Windows Lengthen as Borders Reopen

As borders worldwide continued reopening to international travellers in Q4, the global search window lengthened. 40% of global searches fell within the 31+ day search window, a 15% increase over Q3. Regionally, EMEA saw the greatest swing toward longer search windows, with the 31+ day search window increasing 30% over Q3.

In Q4, 60% of global domestic searches fell within the 0- to 21-day search window, a slight decline quarter-over-quarter, as travellers searched for domestic trips further out – notably around the holiday season. NORAM, EMEA and APAC all saw a lift in the 31+ day domestic search window, with all three regions up more than 10% quarter-over-quarter.

International search window share fluctuated throughout Q4, with around 40% of global international searches occurring in the 0- to the 21-day search window, a 10% decline from Q3. Share for the 31- to 90-day  search window grew 20% quarter-over-quarter.

Sustained Demand for Long-Haul Destinations

First identified in Q2, travellers are looking and booking destinations further afield – continued in Q4. LATAM* led the trend, with five of the top 10 booked destinations for travellers living there located in other parts of the world. Additionally, non-APAC destinations – Dubai and Honolulu – made up two of the four new entrants to the APAC top 10, with Sydney and Singapore also joining the list.

In contrast, North American travellers continued to book closer to home, with Cancun being the only destination outside the region on the top 10 list for NORAM bookers. However, this behaviour looks likely to change this year. Expedia’s 2022 Travel Trends Report found that 68% of Americans are planning to go big on their next trip, and many are eyeing intercontinental destinations like Rome, Bali, London, and Paris in 2022.

Paris, Dubai, Mexico City, Tokyo, and Madrid all saw double-digit quarter-over-quarter growth in hotel bookings. Looking at the 25 most-booked destinations globally, Dubai moved from 18th position in Q3 to 6th in Q4 – driven by a 40% increase in room night bookings quarter-over-quarter. During the same period, Tokyo moved from 41st to 24th, Mexico City moved from 23rd to 17th, and Paris moved from 12th to 5th.

Vacation Rentals Maintain Popularity

In Q4, global lodging bookings – for hotels and vacation rentals combined – were up more than 50% year-over-year. Comparing bookings in Q3 and Q4, there was a shift in share from hotels to vacation rentals, prompted by the busy holiday travel season and continued popularity among friends and families travelling together. LATAM had a particularly strong quarter for vacation rental bookings, which were up more than 100% quarter-over-quarter.

The average length of stay for vacation rentals in Q4 increased slightly to 5.4 days, up from the 5.2 days seen throughout Q2 and Q3. In EMEA, the average vacation rental length of stay surpassed the one-week mark, at 7.1 days.

For more data and insights from 300 petabytes of exclusive global Expedia Group travel intent and demand data, download the full Q4 2021 Travel Recovery Trend Report here.

*NORAM: Canada, the Caribbean and the United States of America
*EMEA: Europe, Middle East, Africa
*LATAM: Latin America

Malaysia revisits 1 March opening date

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TTR WEEKLY
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KUALA LUMPUR, 18 February 2022: While Malaysia’s tourism industry is hoping and praying for a 1 March reopening to welcome back international tourists, the launch date has come under government review.

First reported by TIN, Tourism, Arts and Culture Minister Datuk Seri Nancy Shukri cautioned this week that an evaluation remains ongoing, particularly to address concerns over the timing.

She suggests a full reopening on 1 March is now under reviewed and could be rescheduled based on the outcome of pilot travel bubble projects.

“It needs to be carefully studied before Malaysia’s tourism sector, and international borders can be allowed to fully reopen without the implementation of travel bubbles,” she told local media.

She called for a thorough study and preparations, including discussions with the tourism ministries in other countries.

The country’s  National Recovery Council (NRC) the Tourism, Arts and Culture Ministry, however, remain optimistic that depending on the success of the Langkawi Travel Bubble pilot project, a full reopening is imminent either on 1 March or shortly afterwards.

She told local media: ” Further studies are needed  as some countries have yet to allow their people to travel, and this must be taken into consideration when deciding a date to reopen our tourism sector fully,”

She made cautionary comments to the media last Monday.

The minister noted that two travel bubble projects in Langkawi, starting on 16 September (domestic travellers) and 15 November (international travellers) the previous year, generated 720,000 local and foreign tourist arrivals with tourism income estimated at MYR750 million as of 31 December 2021.

According to the TIN Malaysia report, the Langkawi International Travel Bubble project as of 9 February had generated 4,274 visitor arrivals without any cases of Covid-19 transmission.

Local media reported on 8 February that as part of the NRC edition 2 recovery plan proposed a full reopening as of 1 March, without quarantine.

However, Prime Minister Datuk Seri Ismail Sabri Yaakob subsequently called for a reevaluation that questions the reopening schedule.

(Source: TIN, Malaysia)

Singapore phases in more VTLs

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TTR WEEKLY
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SINGAPORE, 18 February 2022: Singapore’s imported infections are now about one per cent of the daily Covid-19 case count and have no significant impact on Singapore’s epidemic situation, according to Singapore’s Health Minister Ong Ye Kung.

In a briefing earlier this week, he said Singapore should transition towards opening up for all vaccinated travellers adding that instead of making an abrupt change, Singapore would take the first step by simplifying the current border restrictions for non-VTL travellers.

Vaccinated travellers will be able to fly to Singapore from Qatar, Saudi Arabia and the United Arab Emirates without quarantine starting 25 February, following an expansion in the Vaccinated Travel Lane (VTL) scheme. The VTLs with these Middle Eastern countries was deferred back in December last year owing to their proximity to countries that experienced the initial waves of the Omicron Covid-19 variant.

From 4 March, Singapore will also start VTLs for Israel and the Philippines to establish two-way quarantine-free travel with these two countries. Vaccinated travellers will soon also be able to fly to Singapore from all cities in Thailand without quarantine. Currently, the VTL is only for flights to and from Bangkok.

A new VTL with Hong Kong will be launched on 21 February. The move means that only vaccinated travellers from Hong Kong can enter Singapore without quarantine, as opposed to all travellers.

Two-way quarantine-free sea travel between Singapore and Indonesia will also resume with the launch of VTL (Sea) from Bintan and Batam on 25 February. For a start, the VTL (Sea) will allow up to 350 travellers weekly from Batam and another 350 travellers weekly from Bintan to Singapore.

Covid-19 border measures simplified

Singapore is simplifying its country categories for inbound travellers as part of a major review of border measures. Other changes taking effect from 21 February include a shorter travel history period of seven days, down from the current 14, and a standardised seven-day stay-home notice for arrivals from all countries and regions.

VTL and Category I travellers will no longer need to perform an on-arrival polymerase chain reaction (PCR) test. Instead, they will have up to 24 hours from their entry into Singapore to take a supervised self-swab antigen rapid test (ART) at a testing centre. VTL travellers will also no longer need to undergo a seven-day self-supervised ART testing regime after arrival.

All travellers from countries and regions classified under Category I, such as Macau, Mainland China and Taiwan, which have “very low infection rates”, will also continue to enjoy quarantine-free travel.

Singapore will introduce a new General Travel category, which will replace the existing Category II, III and IV in Singapore’s border risk classification system. This means that countries will be grouped into three distinct groups in terms of border restrictions depending on the risk of Covid-19 infections.

Malaysia-Singapore VTL resumes with full capacity

The sale of airline tickets under the Vaccinated Travel Lane (VTL) between Malaysia and Singapore will be fully resumed with 100% seating capacity with immediate effect. These quotas will also be progressively increased.

Singapore reduced the VTL quotas and ticket sales from 20 January when the country tightened its borders amid a rising number of Omicron cases overseas.

For air travel, the sale of tickets under VTL will be open with immediate effect for immediate travel, with both Malaysia and Singapore in advanced discussions on expanding the VTL by Air to Penang and Kota Kinabalu.

Airbus tracks passenger traffic rebound

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TTR WEEKLY
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SINGAPORE, 18 February 2022: Over the next 20 years, airline passenger traffic will grow an estimated 5.3% annually,  and the retirement of older, less fuel-efficient aircraft will see the Asia-Pacific region requiring 17,620 new commercial aircraft, according to an Airbus report.

Nearly 30% of the new aircraft will replace older, less fuel-efficient models.

In a region home to 55% of the world’s population, China, India and emerging economies such as Vietnam and Indonesia will be the principal drivers of growth in the Asia Pacific. Gross Domestic Product will grow at 3.6% per year compared to the world average of 2.5% and double in value by 2040.

The region’s middle class, who are the likeliest to travel, will increase by 1.1 billion to 3.2 billion and the propensity for people to travel is set to almost triple by 2040.

Of the estimated demand for 17,620 aircraft, 13,660 will be in the small aircraft category, such as the  A220 and A320 family of commercial jets. Asia-Pacific will continue to drive demand with some 42% of global requirements in the medium and long-range categories. This translates to 2,470 medium and 1,490 large category aircraft.

“We are seeing a global recovery in air traffic, and as travel restrictions are further eased, the Asia-Pacific region will become one of its main drivers again,” said Airbus International head and chief commercial officer Christian Scherer.

“We are confident of a strong rebound in the region’s traffic and expect it to reach 2019 levels between 2023 and 2025.”

(Source: Airbus)

LADA backs the return of sports events

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TTR WEEKLY
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LANGKAWI, 18 February 2022: More than 220 participants competed in the  Kedah Cruise Association’s 18th LADA Tournament Regatta earlier this week.

The tournament’s return after an absence due to the Covid-19 pandemic was partly due to the Langkawi Travel Bubble launched last November that supported regatta participants by providing easy entry formalities.

Langkawi was the launch destination for the travel bubble, allowing international tourists to return to the island. It is now highly likely that the country will open its borders to fully vaccinated travellers, possibly as early as 1 March without quarantine requirements.

Yachting association KSA cooperated with the Langkawi Development Authority (LADA), State Sports Council (MSN) Kedah, and Malaysian Cruise Association (MSA) to host the 18th Langkawi International LADA Tournament Regatta earlier this week with crews based at the National Screen Boat Training Centre Langkawi.

Deputy Chief Executive Officer Management and Chief Information Officer (centre) welcomed regatta participants during the opening ceremony.

The regatta attracted 16 teams with 220 participants for an event that received World Sailing Grade 3 recognition. Teams competed in seven-event categories; Laser Standard (ILCA 7), Laser Radial (ILCA 6), Laser 4.7 (ILCA 4), International 470 (Mix), International 420, Windsurfing ( RS: One ) and Windsurfing (Bic Techno).

Meanwhile, the Langkawi International Water Festival is on the revival calendar for this April if Covid-19 rules continue to ease.

Held in April every year, the Langkawi International Water Festival is a water-sports competition comprising an island-to-island kayak race, sandcastle-building competition, underwater treasure hunt, beach netball game and fishing competitions. It was introduced in 2002 but was postponed during the Covid-19 pandemic.

In conjunction with the National Water Festival, the festival takes place all around the main island, but most contests happen at Telaga Harbour Park in Pantai Kok and Pantai Cenang.

https://naturallylangkawi.my/

(Your Stories: LADA)

Sarawak welcomes Brunei VTL

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TTR WEEKLY
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SARAWAK, 18 February 2022: Sarawak Tourism Board (STB) welcomes the decision by both Malaysia and Brunei regarding the implementation of air and land Vaccinated Travel LaneS (VTL) for cross-border movement between the two countries.

STB sees this update as a positive development for the state tourism sector and expressed its confidence in the industry’s recovery in 2022.

Sarawak Tourism Board Chief Executive Officer Puan Sharzede Datu Haji Salleh Askor said: “We are encouraged by the announcement made by the Malaysian and Brunei Government as we believe that this decision will aid in boosting the country’s economic recovery, in tandem with the growth of the tourism sector.”

“We are confident that the reopening of Brunei borders will bode well for us, as Miri, Limbang and Lawas borders are the closest to Brunei, and Sarawak has always been a state that attracts travellers, from Brunei and around the world.” 

“In ensuring the safety of all, Sarawak through the Sarawak Disaster Management Committee has in place an intelligent risk management within borders, as well as stringent standard operating procedure.”

In addition to the border reopening, STB is also encouraged by the decision made by the Ministry of Transport on the sale of bus and airline tickets under the Vaccinated Travel Lane (VTL) between Malaysia and Singapore, which has resumed to 100% seating capacity, with immediate effect.

Additionally, STB is also heartened by Scoot Tigerair’s expansion of its route to Sarawak, following news that it will commence its direct flights from Singapore into Miri starting 23 February 2022. This is in addition to its existing flights from Singapore to Kuching three times weekly.

“The opening of this new route between Singapore and Miri reinforces the confidence the airline has in Sarawak as an investment destination, given the stability and growth potential of the state. It is very timely for the airline to operate from Singapore to Miri and vice-versa as Miri is designated as the northern gateway to Sarawak.”

“STB is optimistic that these recent developments will contribute towards realising the state’s tourism targets for the year. 2022 is a chapter of resilience, resurgence and growth for the travel industry, and STB will continue focusing on building and creating new ways of doing business beyond the Covid-19 pandemic.”

“Our unique blend of culture, adventure, nature, food, and festivals (CANFF) will remain our driving force, and we remain committed to creating a meaningful experience for our travellers whilst spearheading responsible tourism initiatives,” Puan Sharzede concluded.

Visit: www.sarawaktourism.com

(Your Stories: Sarawak)

Vietnam sets a new reopening date

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TTR WEEKLY
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HANOI, 18 February 2022: Vietnam’s Ministry of Culture, Sports and Tourism succeeded in gaining approval earlier this week to reopen the country to international tourists effective 15 March.

The Vietnam National Tourism Administration of Tourism reported on its website that a government meeting chaired by Deputy Prime Minister Vu Duc Dam “discussed the plan to resume full tourism activities in the “context of safe, flexible adaptation and effective control of the COVID-19 pandemic, associated with the gradual social-economic recovery.”

Based on the proposal from the MOCST, relevant ministries attending the meeting, including Health, Foreign Affairs, Transport, Public Security and National Defence, approved the proposal to reopen tourism on 15 March. The proposal brings the reopening date forward from a planned May schedule.

Based on the proposal, VNAT reported that international and domestic tourism would be fully reopened from 15 March via air, land and sea routes.

International tourists to Vietnam are not required to buy a pre-booked tour package from a registered tour company to gain entry.

Visa provisions

Based on the new normal conditions, ministries agreed to propose to the government that effective 15 March, the application for entry visas for international visitors will resume as usual, including electronic visa issuance unilateral and bilateral visa exemption.

Previously, Vietnam has granted unilateral visa exemption for citizens of 13 countries and bilateral visa exemption for specific citizens of 88 countries and territories. However, since the outbreak of Covid-19 in 2020, the government has paused visa exemption.

Entry requirements

Show vaccination certification (second dose administered within six months), or hold a certificate of having recovered from Covid-19 within six months.

Hold a negative Covid-19 test result – taken within 24 hours prior to arrival in case of rapid test, or 72 hours in case of RT PCR test.

Have health insurance that covers Covid-19 with a minimum value of USD10,000.

International visitors entering the country by air will be tested immediately at the airport and must wait up to 24 hours in a pre-booked hotel for the results. If the test is negative, they can continue their trip schedule. If the test is positive, the company or accommodation establishment will be responsible for working with health facilities and local authorities to transfer the guest to quarantine and treatment.

International visitors entering via land or sea will be tested at the border gate before entry (rapid Covid-19 tests).

Visitors must self-monitor their health within 14 days from the date of entry, following local regulations and recommendations.

International visitors will be required to install a health management application and set it as active during travel.

Deputy Prime Minister Vu Duc Dam advised each ministry to “urgently and responsibly implement effective solutions to resume tourism activities, ensure safety in pandemic prevention and control.”

(Source: Tourism Information Technology Centre)

Avis Budget Group hits historical highs

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TTR WEEKLY
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SINGAPORE, 16 February 2022: Avis Budget Group announced on Tuesday financial results for the fourth quarter and full-year ended 31 December 2021.

The group ended 2021 with fourth-quarter revenues 90% above the previous year and 19% above the fourth quarter of 2019, at USD2.6 billion.

Revenues were driven by increased revenue per day and rental days as demand continued from the third quarter. Net income was USD381 million and Adjusted EBITDA was USD683 million, the best fourth quarter Adjusted EBITDA in the company’s history. Utilisation for the quarter was 68.2%, showing that our fleet was well-positioned to meet demand.

Full-year revenues increased 72% compared to the prior year and 2% above 2019, at USD9.3 billion. Net Income was USD1.3 billion, and Adjusted EBITDA was USD2.4 billion, both new full-year records for the company. The significant increase in revenues suggests a steady return to historic travel levels.

The group’s liquidity position at the end of the quarter was approximately USD757 million with an additional USD2.6 billion of fleet funding capacity.

“Our strong performance continued in the fourth quarter with all of our key metrics beating pre-pandemic levels in the Americas,” said  Avis Budget Group chief executive officer Joe Ferraro. “We were able to achieve these results and deliver the best year in our company’s history despite the emergence of Omicron. This wouldn’t have been possible without the tireless effort of our entire organisation, and I want to thank the team for helping us achieve these milestones.”

About Avis Budget Group

Avis Budget Group Inc is a leading global provider of mobility solutions, both through its Avis and Budget brands, which have more than 10,000 rental locations in approximately 180 countries worldwide and through its Zipcar brand, which is the world’s leading car-sharing network with more than one million members. Avis Budget Group operates most of its car rental offices in North America, Europe and Australasia directly and operates primarily through licensees in other parts of the world. Avis Budget Group is headquartered in Parsippany, New Jersey.

India eases travel rules

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TTR WEEKLY
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NEW DELHI, 16 February 2022: Creative Travel, a leading tour operator in India, welcomes the country’s decision to lift most travel restrictions effective 14 February.

India first initiated reopening procedures last October but was forced to declare a temporary pause due to the emergence of the more contagious Omicron variant.

“We are super excited to announce that from 14 February, the Government of India has removed many of the arrival restrictions,” the company’s owners Rajeev and Rohit Kohli commented. “This has made travel to India so much easier than before. It’s a wonderful Valentine’s gift for us in Indian tourism.”

According to the latest ruling, there is no quarantine requirement for passengers arriving on international flights. Passengers with a valid certificate demonstrating they have completed a full vaccination schedule for Covid-19 do not need to undergo a pre-arrival RT-PCR test.

According to government guidelines, those vaccinated with WHO-recognised vaccines or residents in countries with mutual recognition of vaccine certificates with India do not have to present a test on arrival effective 14 February. Instead, international passengers are requested to “self-monitor their health” for 14 days following their arrival.

All passengers should check the updated travel guidelines.

https://www.mohfw.gov.in/pdf/GuidelinesforInternationalarrivalsupdatedon10thFebruary2022.pdf

List of countries:

https://www.mohfw.gov.in/pdf/ListofCountriesRegionsinrespectofwhichprimaryvaccinationschedulecompletioncertificateisallowedtobeuploadedincontextofguidelinesforinternationalarrivalsupdatedon10thFebruary2022.pdf

Or visit: https://www.mohfw.gov.in/

PATA forecast bullish on travel rebound

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TTR WEEKLY
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BANGKOK, 16 February 2022: International visitor arrivals will begin to increase in 2022 across the Asia Pacific region, possibly gaining in strength to reach 2019 levels by 2024 according to the PATA Asia Pacific Visitor Forecasts 2022-2024.

The full report released on Tuesday by the Pacific Asia Travel Association predicts annual changes in international visitor arrivals (IVAs) across 39 destinations will turn positive this year compared with 2021.

It reports IVA variations in 2022 based on mild, medium, and severe scenarios saying the growth will be between 126% and 84%.

The predicted increase in the absolute number of international visitor arrivals will range from 72.5 million to 175.7 million under the severe and mild scenarios, respectively, lifting the total volume of visitor arrivals to the Asia Pacific between 159 million and 315 million, under those same scenarios.

“While it is a positive and welcome development after two years of extremely difficult conditions, the international travel and tourism sector of the Asia Pacific region still has much to repair and revitalise,” the association cautioned. The forecasted increases in inbound visitor numbers in 2022, for example, still only return them to 23 to 45% of the level of foreign arrivals received in pre-pandemic 2019.

Moving forward to 2024, IVA growth over the next three years is projected to be positive, with the volume of IVAs in 2024 being equal to or possibly improving on the total achieved in the pre-Covid year 2019. That positive forecast is based on two of three scenarios.

PATA CEO Liz Ortiguera noted: “ As stated by our panel, the effect of the Omicron variant is projected to have a small incremental impact for now with the key earlier assumptions still driving the forecast.

“Equitable access and deployment of vaccines plus a practical risk-based approach to health and safety protocols are fundamental to the travel sector’s sustained recovery.

“We share the World Health Organization’s (WHO’s) view that the pharmaceutical sector must address barriers to access and affordability for all destinations. Furthermore, as acknowledged by the WHO, travel bans will not prevent international spread. Instead, travel channels should remain open with clear, practical guidelines as recently shared by the Centers for Disease Control and Prevention (CDC) and WHO.”

The PATA Asia Pacific Visitor Forecasts 2022-2024 Full Report is now available at www.pata.org/research-q1v63g6n2dw/p/asia-pacific-visitor-forecasts-2022-2024-full-report.

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