Upbeat trading reports and the lack of heavy discounting reflect industry positivity, says Lucy Huxley
Like many sports fans I spent a lot of the past fortnight in awe of the athletic achievements on show at the Olympic Games.
After a hefty amount of doom and gloom in the run-up, the Games turned out to be a resounding success on the field of play. And with Paris still to host the Paralympics at the end of the month, the summer is providing a fantastic shop window for the city.
I have no doubt agents and operators will be planning innovative marketing activity to capitalise on the excitement and promote Paris itineraries for this autumn and beyond.
And it was encouraging to see the tourist board of the Games’ next host city, Los Angeles, reiterate its commitment to the trade this week as it looks to emulate the successes of 2024.
The upbeat mood around the Olympics was largely reflected in trading reports this week, with agents noting decent late sales volumes and pricing.
This week the headline rate of inflation increased for the first time in 2023, and while the main cause was a year-on-year difference in energy pricing, it was notable that the services sector incorporating holidays, flights and hotels is still strong.
As we have reported in recent months, there was a softening in pricing as we approached the summer, but the lack of heavy discounting suggests demand is not significantly waning.
The bump in inflation is a reminder of the ongoing pressure on household budgets, particularly in the lower-end family market. But despite this perpetual squeeze, it appears spending on travel remains a high priority for consumers.
Comment originally from Travel Weekly, August 15 edition